CAPSTONE PROJECT

2017-19
 “APPREHENSION OF RETAILERS ON PARLE AGRO
PRODUCTS INCLUDING THE NEWLY LAUNCHED
PRODUCT FROOTI FIZZ”
Faculty Guide : Dr. Shazia Khan

Prepared By : Vinay Kumar Yadav

Program : Retail Management & Marketing
Batch : 2017-2019
Regr. No. : PGRM3246
CONTENT 1. Introduction
2. Literature Review
3. Research Objectives
4. Research Methodology
5. Data Analysis, Interpretation &
Findings
6. Recommendations/Suggestions
7. Conclusion
8. References
 INTRODUCTION- FMCG SECTOR
103.7
52.75 SECTOR COMPOSITION
• Accounting for a revenue share of around 55 per cent,

02 urban segment is the largest contributor to the overall

revenue generated by the FMCG sector in India.
2017-2018 2020F
SIZE • Rural segment is growing at a rapid pace and accounted
• FMCG market in India is expected to grow at a for a revenue share of 45 per cent in the overall
CAGR of 27.86 percent and is expected to
reach US$ 103.70 billion by 2020 from
01 revenues recorded by FMCG sector in India.

US$ 52.75 billion in FY18. • India’s household and personal care is the leading
segment, accounting for 50 per cent of the overall market.
healthcare (31 percent) and food and beverages (19 per
cent) comes next in terms of market share.
3.6

1.82 RURAL
, 45%
URBAN
, 55%

2017 2020F KEY TRENDS

• Final consumption expenditure is set to increase at a 04 GOVERNMENT INITIATIVES
• 51 % FDI in multi-brand retail
CAGR of 25.44 per cent from 2017-2021.

• Final consumption expenditure is expected to reach

03 • 100% FDI in single brand retail
nearly US$ 3.6 trillion by 2020 from US$ 1.82 trillion
in 2017.
 INTRODUCTION- PARLE AGRO
• Parle Agro Private Limited is an
Indian company that owns Frooti,
Appy, LMN, Hippo and Bailey
brands.
• Parle Agro is an offshoot of Parle
Products, which was founded in 1929
in British India. It was owned by the
Chauhan family of Vile Parle, Mumbai.
• The original Parle company was split
into three separate companies owned
by the different factions of the original
Chauhan.
• Headquarter- Ville Parle(E),Mumbai
Revenue- 2800 Cr INR, (2017)
Area Served- Worldwide
Employees- >2500
• Parle Agro commenced operations in 1984.
It started with beverages, and later
diversified into bottled water (1993), plastic
packaging (1996) and confectionery (2007).
Frooti, the first product rolled out of Parle
Agro in 1985, became the largest selling
01 mango drink in India.
02 • Parle Products, led by Vijay, Sharad and
Raj Chauhan (owner of the brands Parle-
G, Melody, Mango Bite, Poppins, Kismi
Toffee Bar, Monaco and Krack Jack)
• Parle Agro, led by Prakash Chauhan and
his daughters. (owner of the brands such
03 as Frooti and Appy)
• Parle Bisleri, led by Ramesh Chauhan.
04
05
 LITERATURE REVIEW
Retailer Perception process by which people translate
• “Grocery retailers are operating in a slow-growth market. The sensory impressions into a coherent and unified view of
pursuit of market share is one of the main concerns for retail the world around them. Though necessarily based on
managers. The retail structure is becoming increasingly incomplete and unverified (or unreliable) information,
standardized and homogenous because of concentration of the perception is equated with reality for most practical
ownership of stores”. MCB UP Ltd, 2013 purposes and guides human behavior in general.
• “The country's largest biscuits and confectionery products
maker Parle Products said it is planning to expect sales of 1000
crores sales of Café Cuba by 2016”. Economic times Preethi
Chamikutty, 2014

• Wolfgang Olga & Samir Chacour pinned in the magazine

Industrial Marketing Management under the title Measuring
Retailers-Perceived Value in Business (volume 30), delivering
superior value to customers is an ongoing concern of
management in many business markets of today.

• “Parle Products wins PETAs first-ever Vegan Food Awards”.

Webnewwire.com, 2014
 RESEARCH OBJECTIVES

OBJECTIVE NO. 1
To know the retailer perception towards Parle Agro
Products including the newly launched “FROOTI FIZZ”

OBJECTIVE NO. 2
To know the availability of Parle agro products in the
retail market

OBJECTIVE NO. 3
To know the quality and preference of Parle Agro
product in the retail market

OBJECTIVE NO. 4
To know the distribution channel efficiency of Parle
Agro.

OBJECTIVE NO. 5
To collect the effectiveness of various Policies of
the company such as Distribution, Advertisement,
Product/ Brand preference.
 RESEARCH METHODOLOGY
FORMULATE THE PROBLEM
• The first valuable function of any marketing research is to
define the problem, that needed to be solved and the most
important part is to specify the objective. As per the project DETERMINE THE RESEARCH DESIGN
work my objective was to understand the perception of • The sources of information and research design,
Parle Agro in various Retails. depends on how much is known about the problem.
As per the study descriptive research design is
selected and the questionnaire is prepare to meet
SOURCES OF DATA COLLECTION
the canteen owner.
• Primary- Questionnaire, Observation, Interaction with
Retailers during data collection SAMPLE DESIGN
• Secondary- Management of Parle Agro, Various
Magazines, Internet • I have selected the units for my survey was
Unorganized Retail shops etc.
• The sample size is 50.
TOOLS USED FOR DATA ANALYSIS • The method I have used is simple random sampling.
• Analysis of data collected is coded and presented
systematically with the use of Microsoft Excel and the
analysis of primary data is been done by using
statistical tools like averages, mode, percentage and
graphs to make the study more effective
 DATA ANALYSIS & INTERPRETATION

Q1. Which age group prefer Parle agro Q2. According to you, which is the best
products more? attribute of parle agro products?

AGE GROUP BEST ATTRIBUTE

66% 32%

28%

20%

34%
12%

8%

0 0 0
TASTE QUALITY DIFFERENT AD's OTHERS
10 TO 20 20 TO 30 30 TO 40 40 TO 50 OTHERS FLAVOURS
 Q4. Do you think the brand “Parle” has a
Q3. What is the contribution of Parle Agro to
competitive edge over other brands in the
your total Sales?
market?

CONTRIBUTION TO TOTAL SALES COMPETITVE EDGE

41% 42%
68%

32%

12%

5%

LESS THAN 5% BETWEEN 5 - 10 % BETWEEN 10 - 20 MORE THAN 20%

% YES NO
Q5. Are the products available in all the local Q6. Is the company trying to attract the new
retail shops in the city? retailers?

AVAILABILITY OF PRODUCTS ATTRACT TO NEW RETAILERS

60%

62%

40%

38%

YES NO YES NO
 Q7. Which brand of soft drinks (mango flavors) Q8. Are you aware of the newly launched
you sell more? Frooti Fizz drink?

BRAND OF SOFT DRINKS AWARENESS OF FROOTI FIZZ

100%
53%

37%

5% 5%
0%

FROOTI MAAZA SLICE OTHERS YES NO

 Q9. What was the Retailer’s feedback about the Q10. Do you think “Frooti Fizz” is offered in
Frooti Fizz drink? appropriate packing?

RETAILOR'S FEEDBACK TO RETAILERS PROPER PACKING OF FROOTI FIZZ

45%
60%
39%

40%

16%

0%

VERY GOOD GOOD BAD VERY BAD YES NO

 Q11. According to you, which one of these
Q12. Which company offers more profit
brands has the highest preference in the
margin to retailers?
market?

BRAND THAT IS PURCHASED MORE PROFIT MARGIN

70%

62%

36%
30%

2% 0% 0%
0%

PEPSI COCA COLA PARLE AGRO OTHERS PEPSI COCA COLA PARLE AGRO OTHERS
PRODUCTS PRODUCTS
 Q14. According to you which of the following
Q13. Which products of Parle agro has the attributes decides the success of Parle Argo’s
highest share in retail market?
distribution channel?

HIGHEST SHARE SUCCESS OF PARLE AGRO

DISTRIBUTION
55%
48%

42%

35%

10%
10%

0%
ON TIME DELIVERY REPLACING OLD SOLVING RETAILERS
FROOTI FIZZ FROOTI APPY FIZZ BAILLEY STOCKS COMPLAINTS
 Q15. Do you think that aggressive
Q16. How will you rate the overall
advertisements further increase the sales
performance of Parle agro?
volume of Parle agro products?

ADVERTISEMENT STRATEGIES PARLE AGRO PERFORMANCE

62%
72%

30%

28%

8%

0%

YES NO VERY GOOD GOOD AVERAGE VERY BAD

 LIMITATIONS OF THE RESEARCH
01
The research has been restricted only to a particular area
in Mumbai.
02
Observation techniques and questionnaire method have
also been used to make the analysis more comprehensive
and effective, but both methods also have certain
limitations.
03
The bias of the respondent might have led to errors in the
survey findings.
04
Since the analysis is based on options and suggestion, the
results at best are near to truth.
05
The sample size for the study was 50 respondents, which
is small, hence the results may not be conclusive.
06
The selection of sample was restricted only to Retail
shops and time and resources where limited to conduct a
detailed study.
RETAILER’S SUGGESTIONS
 They should still improve the frequency of

advertisement.

 They should come up with more different flavors.

 They should increase the quality of products.

 Innovative ideas should be implemented.

 They need to do survey on customer needs.

 Proper strategies must be done to market the

product.

 Company should show the proper awareness of the

quality to the customers.

 Make the product available in every store.

 SUGGESTIONS

01 04
Parle agro should increase its distribution channels Extensive advertisement of Café Cuba should be
to increase its sales and Advertisement of the made to continue the awareness of the brand.
products should be increased to create awareness.

02 05
Different schemes should be offered to Parle should tie up with outlets like
increase the interest to the distributors coffee day, dominos etc. to create
and Products should be made readily awareness and increase sales.
available in each and every shop

03 06
Different variety of flours of soft drinks should be Parle should increase the delivery time comparatively.
released to attract consumers
CONCLUSION
• Majority of the respondents were from the age group of 20-30 (66%) who
consume Parle Agro products.
• Respondents feel that Parle agro still don’t have the competitive edge
compared to other brands in the market.
• Availability of the products are very less compared to other brands in the
market.
• Respondents feel that MAAZA is the best brand in mango flavor that is
available in the market, which they prefer it as the top brand.
• Highest sales of soft drinks comes from Frooti of Parle agro.
• Respondents tell that Coca Cola provides the best service and price
compared other brands in the market
• Awareness of Frooti Fizz was very good in the market.
• Only 16% of the respondents tell that the products is very good.
• Advertisement is the main part in marketing plan as it helps the companies
to position them in the minds of the consumers as the preferred brand and
will help Parle agro to increase the sales volume.
• As per research, Frooti Fizz does not help in increasing market share of
Parle and it does not able to provide profits to retailors as well.
REFERENCES
• https://parleagro.com/
• https://parleagro.com/brands/
• https://parleagro.com/media-center/
• https://parleagro.com/company/
• https://parleagro.com/business/
• https://en.wikipedia.org/wiki/Parle_Agro
• https://www.ibef.org/industry/indian-consumer-market/showcase/parle-agro
• http://corporatemissions.blogspot.com/2007/11/parle-agro.html
• https://www.researchgate.net/publication/240260653_Consumer_perceptions_
of_grocery_store_formats_and_brands
• http://nptel.ac.in/courses/110105029/pdf%20sahany/Module.6-25.pdf
• https://www.livemint.com/Companies/zukyk1qus3CYp9yJuFc4bL/Parle-to-
launch-Frooti-Fizz-the-first-extension-of-the-bran.html
• https://en.wikipedia.org/wiki/ITC_ (company)
• https://en.wikipedia.org/wiki/Dabur
• https://en.wikipedia.org/wiki/PepsiCo
• https://en.wikipedia.org/wiki/Coca-Cola
Thank You