Shamshad Bhai

8/13/2019 Shamshad Bhai

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SUMMER TRAINING REPORT

On

MARKETING SURVEY OF

PARLE REGARDING SALES

Of

Parle Agro pvt. Ltd. in Delhi

Submitted for the partial fu lf il lment of the requi rement f or the award of

MASTER OF BUSINESS ADM INI STRATION

(Mahamaya Technical University, Noida, Uttar Pradesh)

FACULTY GUIDE:-

MR.PRADEEP KUMAR

Asst.Professor

SUBMITTED BY:- INDUSTRY GUIDE:-

SHAMSHAD AHMED MR.SURAJ GANGWAR

ROLL NO- 1209770041 (MBA) AREA SALES MANAGER

Galgotias College Of Engineering & Technology

1, KNOWLEDGE PARK, PHASEII, GREATER NODA.(U.P.)
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ACKNOWLEDGEMENT

I thank all those people who helped me in this summer training project. First of all I

would like to express my profound gratitude to MR.PRADEEP KUMARwho gave

me this opportunity to do this project. He always remained a wonderful guide and

supporter throughout this project.

I sincerely thank to MR.SURAJ GANGWAR (Area Sales Manager) who have

been the constant source of guidance and encouragement.

I would like to thank my institute also where I got all the knowledge and skill

required for this project. I also thank for his intellect stimulation, moral support and

constant inspiration throughout the project. Under his guidance, my project has

attained the goal reality and success.

In the end I wish to acknowledge my thanks to all the staff members of the Parle

Pariwar for providing all necessary assistance when required.

Shamshad Ahmed

Roll no.1209770041


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DECLARATION

I hereby that this project report entitled Marketing survey of Parle regarding

sales is written and submitted by me under the kind guidance of faculty

MR.PRADEEP KUMAR. The finding and interpretation in the report are based on

both primary and secondary data collection. This project is not copied from any

source or other project submitted for similar purpose.

SHAMSHAD AHMED


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PREFACE

Project work is one of the most important activities of Professional curriculum at

every level irrespective of degree. This provides us an opportunity to apply our

knowledge, skills and aptitude in real life. It also provides an opportunity to work in a

group and share responsibilities.

The purpose of practical training for management students is to keep them

understands the management of working organization in all its aspects especially in

the area specialization. It also helps them to broaden their horizon and in efficiency

grasping the intricacies in good stand when they are actually in management position

in an organization. It also intends to integrate the theoretical concept with the

practical working of an organization.

The project should include relative information and details of the market so that it is

easy to draw inference from it about the current market situation. Proper execution of

plans and projects are responsible for the economic growth of the country.


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CERTIFICATE FROM COLLEGE

This is to certify that the project titled MARKETING SURVEY OF PARLE

REGARDINGSALES is a bonafide work carried out by Mr. SHAMSHAD

AHMED for partial fulfillment of the requirement for the completion of the

MASTER OF BUSINESS ADMINISTRATION from GALGOTIAS COLLEGE

OF ENGINEERING & TECHNOLOGY, Greater Noida (UP), His report is

satisfactory and not copied from anywhere to the best of my knowledge.

We wish him a very bright and successful career.

FACULTY GUIDE: HEAD OF DEPARTMENT:

MR.PRADEEP KUMAR DR.NIRUPA LAKSHMI
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TABLE OF CONTENTS

Topic Page No.

INTRODUCTION 7

OBJECTIVE OF THE STUDY 8

SCOPE OF THE PROJECT 8

COMPANY PROFILE 9

INDUSTRY PROFILE 18

RESEARCH METHODOLOGY 21

REVIEW OF LITERATURE 23

ANLYSIS OF DATA COLLECTION 24

SWOT ANALYSIS 25

LIMITATIONS 29

FINDINGS 30

RECOMMENDATION 73

CONCLUSION 74

SURVEY (QUESTIONNAIRE) 75

BIBLIOGRAPHY 78


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INTRODUCTION TO PROJECT

The post graduate program in management is a course of IV semester

duration. After completion of IInd semester student has to undergo 45

days compulsory training in a business organization. This training is

popularly known as summer training. Generally it is done during the

month of June and July. This training aims to providing practical

knowledge along with theoretical knowledge. This training helps thestudent to get familiar with the business world.

This project is carried out by Parle Agro Private Limited as a part of the

requirements in completion of Post-graduation program offered by

GCET, The project was conducted based on the details collected during

the internship program in Parle Agro Private Limited in Delhi for the

period between 18th June 2013 and 03rd

August 2013 and the data

collected from various mass communication which includes the data

published by Parle Agro Private Limited , Newspaper, portal

commenting on the strategies of Parle Agro Private Limited and based on

discussions held in various forum.


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COMPANY PROFILE

About the Company

A Cream colored yellow stripped wrapper with a cute baby photo

containing 1012 biscuits with the companys name printed in Red and

you know these are Parle G biscuits. Times changed, variety of biscuits

did come and go but nothing has changed with these biscuits. Yes, the

size of their packing has definitely changed but for the consumers good

as these are money savers pack. The Parle name conjures up fond

memories across the length and breadth of the country. After all, since

1929 the people of India have been growing up on Parle biscuits and

sweets.

Initially a small factory was set up in the suburbs of Mumbai city, to

manufacture sweets and toffees. The year was 1929 and the market wasdominated by famous international brand that were imported freely.

Despite the odds and unequal competition, this company called Parle

products, survived and succeeded, by adhering to high quality and

improvising from time to time.

A decade later, in 1939, Parle Products began manufacturing biscuits, in

addition to sweets and toffees. Having already established a reputationfor quality, the Parle brand name grew in strength with this

diversification. Parle Glucose and Parle Monaco were the first brands of

biscuits to be introduced, which later went on to become leading names

for great taste and quality.


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For around 75 years, Parle have been manufacturing quality biscuits and

confectionery products. Over the years Parle has grown to become a

multimillion dollar company with many of the products as market

leaders in their category. The recent introduction of Hide and Seek

chocolate chip biscuits is a product of innovation and caters to a new

taste, being Indias first ever chocolate-chip biscuits.

All Parle products are manufactured under most hygienic conditions.

Great care is exercised in the selection and quality control of raw

material and standards ensured at every stage of manufacturing process.

Parle Products has 4 manufacturing units for biscuits and confectionaries

at Mumbai, Haryana, Rajasthan and Karnataka. It also has 14

manufacturing units for biscuits and 5 manufacturing units for

confectioneries, on contract.

All these factories are located at strategic locations, so as to ensure a

constant output and easy distribution

Today, Parle enjoys a 40% share of the total biscuit market and 15%

share of the total confectionary market, in India.

The marketing mix of Parle for this project has been studied from the

point of view of Parle biscuits, mainly ParleG and Parle hid and seek.


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Parle GThe Evolution

Parle G has been a strong household name across India. The great taste,

high nutrition, and the international quality, makes ParleG a winner no

wonder, its the undisputed leader in the biscuit category for decades.

Parle g is consumed by people of all ages, from the rich to the poor,

living in cities and in villages, while some have it for breakfast, for

others it is a complete wholesome mean, for some its the best

accompaniment for chai, while for some its a way of getting charged

whenever they are low on energy. Because of this, Parle g is the worlds

largest selling brand of biscuits.

Launched in the year 1939, it was one of the first brands of Parle

products. It was called Parle glucose biscuits mainly to cue that it was a

glucose biscuit, it was manufactured at the Mumbai factory, vie Parle

and sold in units of half and quarter pond packs.

The incredible demand led Parle to introduce the brand in specialbranded packs and in larger festive tin packs. By the year 1949, Parle

glucose biscuits were available not just in Mumbai but also across the

state. It was also sold in parts of north India. The early 50s produced

over 150 tones of biscuits produced in the Mumbai factory. Looking at

the success of Parle g a lot of their me-too brands were introduced in the

market. And these brands had names that were similar to Parle glucose

biscuits so that if by anything else, the consumer would err in choosing

the brand. This forced Parle to change the name of the Parle glucose

biscuits to Parle G


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Originally packed in the wax paper pack, today it is available in the

contemporary, premium BOPP pack with attractive side fins, the new

airtight pack helps to keep the biscuits fresh and tastier for a longer

period.

ParleG was the only biscuit brand that was always in short supply. It

was heading towards becoming an all time great brand of biscuit. Parle G

started being advertised in the 80s. It was advertised mainly through

press ads. The communication spoke about the basic benefits of energy

and nutrition. In 1989, Parle G released its dadaji commercial, which

went on to become one of the most popular commercials for Parle G the

commercial was run for a period of 6 years.

Parle G grew by the minute. Be it the packs sold, the area covered or the

number of consumers it became a part of the daily lives of many Indians

It wasnt biscuit any more, it had become an icon. The next level of

communication associated the brand with the positive value of life likehonesty sharing and caring.

In the year 1997, Parle G sponsored the tele serial of the Indian

superhero shaktimaan that went on to become a huge success. The

personality of the superhero matched the overall superb benefits of the

brand. Parle extended this association with shaktimaan and gave away a

lot of merchandise of shaktimaan, which was supported by POS andpress communication; the children just could not get enough of Parle G

and shaktimaan.

In the year 2002, it was decided to bring the brand closer to the child

who is a major consumer. A national level promo Parle G mera sapna


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In Tamil Nadu, on the amavasya day, women first finish the ritual

tarpana keep the kalash filled with rice, toor dal haldi sticks, betel

leaves and nuts or mango leaves with coconut on it

The right muhurtam is chosen before placing the kalash and the dolls for

worship, with which the kollu festival begins, the dolls are given to the

girl from her parents during her marriage and are called marapachi

bommi (wooden dolls). From this day she starts collecting dolls and

observes the ceremony annually.

The household women also decorate clay dolls (gods and goddesses

painted in bright colors) and display them on the specially prepared

lolupadis or steps made of wood and covered with a tick cloth. The

number of steps was always an odd number three, five seven or nine.

The more the steps, the merrier! Often a variety of dolls are displayed

artistically and arranged beautifully on the steps.

A well decorated tableau, often this display is enjoyed by friends and

relatives. However a recent study found that due to hectic schedules, this

tradition is slowly getting restricted to a select few households relatives.

However a recent study found that due to hectic schedules, this tradition

is slowly getting restricted t o a select few households.

Thus, to revive a grand tradition, Parle created a novel promotion called

Golu Galata contest. Golu means doll and Galata means dhammal.

In 2005, 500 households participated and in 2006, it was 10 000

households who participated.


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At the end of the celebration, the winners will be felicitated at a gala

prize distribution ceremony.

CORE VALUES

An in-depth understanding of the Indian consumer psyche has helped

Parle evolve a marketing philosophy that reflects the needs of the Indian

masses. With products designed keeping both health and taste in mind,

Parle appeals to both health conscious mothers and fun loving kids. Thegreat tradition of taste and nutrition is consistent in every pack on the

store shelves, even today. The value-for-money positioning allows

people from all classes and age groups to enjoy Parle products to the

fullest.

1.1.Products ManufacturedBISCUITS CONFECTIONERIES SNACKS

PARLE G MELODY MUSST BITES

KRACKJACK KISMI GOLD CHEESELINGS

MONACO MANGO BITE SIXER

MAGIX ORANGE CANDY SIXER ZEERA

KREAMS KACCHA MANGO BITE JEFFS

PARLE 20 20

COOKIES

XHALE MUSST STIX

&MUSST CHIPS


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NIMKIN POPPINS

CHOX 2 IN 1 ECLAIRS

HIDE AND

SEEK

KISMI TOFFEE

HIDE & SEEK

MILANO

GOLGAPPA

DIGESTIVE

MARIE

KISMEE TOFFEE BAR

PARLE MARIE MELODY SOFTEE

MILKSHAKTI MAZELO

GOLDEN ARCS PARLE LITES

KREAMS GOLD

MONACO

JEERA


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INDUSTY PROFILE

Biscuits and confectionari es I ndustry

List of Biscuits and confectionaries in India

Priyagold

Cremica

Anmol

Sobisco

Market Share of Parle and other players in India

MARKET SHARE Market share %

Parle 31.30%

Britannia 37.00%

ITC 6.30%

OTHERS 25.40%


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Market share

31.30%

37.00%

6.30%

25.40%

Parle Britannia ITC OTHERS


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HYPOTHESIS MODE

The project was initiated with the research hypothesis that the marketing

strategies adopted by Parle Agro Private Limited are correct,

innovative and according to the emerging marketing conditions. Though

the hypothesis is not scientific and descriptive, enough data and findings

are collected to measure the correctness of the hypothesis. The

hypothesis is proved correct based on the findings of this project.


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RESEARCH METHODOLOGY

Research methodology includes random sampling, snow ball sampling

and secondary data collection. For understanding the strengths and

weakness of Parle Agro Private Limited snow ball sampling was

carried out with various distribution channels. The sample includes the

Stockiest, Distributors and Retail vendors. To understand the

promotional strategies a random sampling was conducted amongst the

customers, this sample consists more of children and their parents.

Research Approach-

The data collection includes both Primary and secondary sources,

collected from the distribution channel, customers, newspapers, social

common forum and companys web published data.


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DATA COLLECTION METHODS

PRIMARY DATA

Primary data includes the Information collected from the employees

during the internship, from stockiest, distributors, institutes, companies,

retail vendors and customers, the data is collected through snow ball

sampling and random sampling techniques.

I have prepared questionnaire to collect the information for my research.

SAMPLE SIZE-

I have met 100 people to collect the information about my research.

SECONDARY DATA

Secondary data includes the Review of Literature, newspapers, experts

comments and discussion in various social and marketing forums, data

published by Parle Agro Private Limited through various source of

communication.


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Review of Literature

There are various researches conducted on the functioning Parle Agro

Private Limitedof which includes

1. The product information about the company,

2. Competitors analysis

3. Journey of Parle Agro Private Limited and its success journey

This project studies the FOUR Ps of marketing, which is the key for their

success despite of the competitors who tried to imitate their products in

terms of color, name and promotional strategy.


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ANALYSIS OF DATA COLLECTION

According to the survey, people who use the Parle-g

Yes

No

Different brands uses by the customer

Parle

Britannia

Priyagold

Other

55%

45%
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SWOT ANALYSIS

SWOT Analysis, is a Strategic planning tool used to evaluate the

Strengths, Weaknesses, Opportunities, and Threats involved in a Project

or in a Business venture. It involves specifying the objective of the

business venture or project and identifying the internal and external

factors that are favorable and unfavorable to achieving those objectives.

STRENGTHS:-

Over the years, Parle has grown to become a multi-million US Dollar

company. Many of the Parle products - biscuits or confectionaries, are

market eiders in their category and have won acclaim at the Monde

Selection, since 1971. Today, Parle enjoys a 40% share of the total

biscuit market and a 15% share of the total confectionary market, in

India. The Parle Biscuit brands, such as, Parle-G, Monaco and Krackjack

and confectionery brands, such as, Melody, Poppins, Mango bite and

Kismi, enjoy a strong imagery and appeal amongst consumers. Be it a

big city or a remote village of India, the Parle name symbolizes quality,

health and great taste! And yet, we know that this reputation has beenbuilt, by constantly innovating and catering to new tastes. This can be

seen by the success of new brands, such as, Hide & Seek, or the single

twist wrapping of Mango bite. In this way, by concentrating on consumer


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tastes and preferences and emphasizing Research & Development, the

Parle brand grows from strength to strength.

Company image:-

A biscuit and confectionery major in the Indian market, Parle has

seeped into the hearts of the masses be it the rural folk or the urban

class. Has not mainly forayed into the premium biscuit sector.

Operational capacity :-

200-250 tons per day at PBPL. Bahadurgarh and Neemrana factories

have the largest manufacturing facilities for biscuits.

Brand awareness:-

Highly aware product and brand profile (esp. Parle-G, KrackJack and

Monaco) due to a strong and efficient marketing team. The other

biscuits in the Parle Products basket include Monaco, KrackJack, andMarie; Hide n seek, Cheeslings, Jeffs, Sixer and Fun Centre. But

consumers need to be made aware that are from the house of Parle.

The marketing strength :-

Parle has nearly 1,500 wholesalers, catering to 4, 25,000 retail outlets

directly or indirectly. Two hundred strong dedicated field force services

these wholesalers & retailers. Additionally, there are 39 depots and C

& F agents supplying goods to the wide distribution network.


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WEAKNESSES:-

The semi-sweet category accounts for the maximum turnover in

the mass market- the Tiger Anytime being a member of this

category is perceived as a tow quality product; this may liquidate

Parle Gsbrand equity in the mass market.

Parle G has positioned its Tiger range on health and taste, but my

findings show that health consciousness in the mass market is low,

which means that the brand is under-positioned, since the market

doesn't consider "health1 as an important benefit in biscuits.

Parle G's strength is in mid, premium mid super-premium

category; this market is approaching a saturation point.

Parle G 's mass market is not segmented properly; Parle G cannot

afford to go all out in the mass market, the best strategy would be

to concentrate on these segments of the mass market, which will

account for volume sales and require minimum investment.

Growing middle class in India can provide more opportunities for

Parle Gspillar brands.


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Credit given to dealers will help Parle G in expanding the width of

reach, by which the company will have a volume advantage.

Taste plays an important role in mass market which can take care

of price sensitivity to some extent.

There is a fairly good market for a high count salty cracker variety

and a cream cracker variety in the mass market.

THREATS:-

De-reservation of the biscuit industry may attract foreign players

who initially will try to attack the premium segment, which is already

established for Parle G.

A characteristic feature of premium market consumer is that this

segment is not brand loyal; therefore there is a chance of the

consumers to shift to other brands in the near/distant future.

Too much concentration in the mass market may affect the

companysmarket in this established segment.

A large number of competitors each having respective bold in

different markets of the company's pillar brands will account for high

contribution.


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Limitations

1.Unavailability of sensitive data

2.Unavailability of time to cover the entire distribution channel and

record their feedback Through questionnaire


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FINDINGS

Marketing strength

The extensive distribution network built over the years is a major

strength for Parle products.

Parle Biscuits and sweets are available in the most remote places and

in the smallest of villages with a population of just 500.

Parle has nearly 15000 wholesalers catering to 4, 25,000 retail outlets

directly or indirectly.

A 200 strong dedicated field force services these wholesalers and

retailers.

Additionally, there are 31 depots and C & F agents supplying food to

the wide distribution network.

Parle masses philosophy emphasizes catering to masses. They

constantly endeavor at designing products that provide nutrition and fun

to common man.


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Most Parle are now in low and mid-range price segments.

This is based on their understanding of the Indian consumer psyche.

The value for money positioning helps generate large sales volume for

the products.

However a Parle product also manufactures a variety of premium

products for the up market, urban consumers.

And in this way caters a range of products to a variety of consumers.


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MARKETING M IX OF PARLE PRODUCTS LI M I TED

PRODUCT S STRATEGY

PRODUCT LEVELS

1) Core benefits -The core benefit of biscuits is to satisfy the hunger of

the consumer.

2) Basic productsin the second level, the basic product is biscuit.

3) Expected product the consumers expect the product to give taste

and also a good nutrition.

4) Augmented product Parle biscuits expect to increase the energy

levels. This is not always expected by the consumers and thus it exceeds

the consumers expectations.

5) Potential product in the future, Parle is expected to come with

different products such as a snack which could be a combo of chocolate

and biscuits.


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PRODUCT M IX

WIDTH

Parle produces biscuits, confectioneries and snacks. So the width is 3.

LENGTH

The length of Parle products is as below

Biscuits Snacks Confectioneries

Parle g Jeffs Melody

Milk shakti Sixer Bitestangy tomato

Krack jack Kismi toffee bar Marie choice

Hide and seek Orange candy Chox

Mango bite Marico Rola cola

Monacco

Fun Centre

Chocolate, butterscotch, strawberry, milk cream, nimkin, Parle cream

Mango, orange, elaichi, bourbon, pineapple, Digestive marie Krack jack

cream, Mayfair


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DEPTH

Parle G comes in 8 different sizes. Hence the depth of Parle G is 8

For variants of PARLE G

Parle G Magix has 2 flavors i.e. Choco and cashew. It comes in only one

size. i.e. 75 gms. So the depth is 2. Parle milk Shakti has no flavors. It

comes in just 1 size that is 150 gms.

So the depth of Parle G is 8+ 2+ 1=11

For Parle Hide and Seek and Milano- Parle Hide and Seek comes in two

sizes. 25 gms and 100 gms. Hence the depth is two.

Parle Hide and Seek Milano come in only 1 size. Also it has no flavors.

The size is 100 gms. The depth of Parle Hide and seek therefore is 2 + 1

= 3.


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CONSISTENCY

The product consistency generally depends on 3 parameters

1. production

2. distribution

3. consumer end use

The production process of every Parle biscuit follows the same basicingredients like wheat flour, vegetable oil, inverted syrups, skimmed

milk etc. then depending upon the product, extra ingredients are added,

for example, in Monaco, there might be an extra pinch of salt to give in

that prominent salt taste . Like in hide and Seek, chocolate chips are

added.

Parle uses the same distribution channel for all its products under the

biscuit category like the 1st, 2ndand 3rd level of distribution channels.

The basic end use of all Parle products remains the same-eating it simply

to satisfy the hunger. Products like Parle G may also be consume for

instant energy and strength.


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BRANDS

Parle biscuit brands such as Parle G, Monaco and krack-jack earn a

strong imagery and appeal against the consumers. Be it a big city or a

remote village in India, Parle G name symbolizes quality, health and

great taste. And yet this reputation has been built by constantly

innovating and catering to new tastes. This can be seen by success of

new brands like Hide and Seek and Hide and Seek Milano.

BRAND NAME STRATEGY

Parle follows company brand name strategy since all the products are

named keeping the companys name as prefix such as Parle G, Parle

Hide and Seek, Parle Monaco, Parle Digestive Marie etc.


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BRAND STRATEGY DECISION

Product category

Old New

LINE EXTENSION ( OLD) BRAND EXTENSION

MULTI BRAND (NEW) NEW BRAND

Parle follows both line extension and brand extension for its products.

For a product like Parle G, it followed line extension with introduction of

Parle G milk Shakti and Parle G Magix which has both the flavours

Choco and cashew. For Parle Monaco, it too followed line extension

when a new flavours Parle Monaco Jeera was introduced.

Similarly when it introduces any new product in biscuit category, it

follows line extension.


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Initially, Parle G used to produce only confectioneries. It followed brand

extension with introduction of products in biscuits and snacks category.

In this way by concentrating on consumer tastes and preferences and

concentrating on Research and Development, the Parle brand grows from

strength to strength.

PRODUCT LI FE CYCLE

Parle as a company has reached its maturity stage in product life cycle as

since products such as Parle G, Parle Monaco, and parle Krackjack

which form a major part of Parle products sales have captured most of

Indias market.
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But for its premium biscuits like Parle Hide and Seek and Parle Hide and

Seek Milano , the products are in growth and introduction stages

respectively.

FOR PARLE HIDE AND SEEK

Parle Hide and seek was introduced in the year 1998 with flavors such as

mint, orange and chocolate. But it did not really succeed in capturing

consumers attention. So after a few years, It was re launched with just

chocolate flavor with new packaging.

After re launch it started getting attention of its potential buyers and

hence it is in the growth stage of its life cycle. It has to fight for its stand

in the market since it faces competition from Britannia Good day choco

nuts.


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PACKAGING AND LABELLI NG

PACKAGING

The time spent by a customer in picking up a product from a retail outlet

is just a few seconds. Therefore, the package should appeal to the

customer within such a small interval of time. In this, both packaging

and labeling play an important role in attracting customers both visually

and psychologically.

FOR PARLE G

Parle G was initially recognized by its white and yellow wax stripped

wax paper wrapper with the baby face on it. Many competitors have tried

selling their products copying the packaging of Parle , trying to sell their

biscuits as Parle G; Parle Jee parle G has started using plastic wrappers

for its packaging.

Parle G comes in 8 different sizes.

25 gms, 44 gms, 93.5 gms,

231gms, 340.5 Gms, 462 gms, 577.5 gms, 1000 gms pack just for Rs.30

which is not offered by its competitor brands.


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It initially came out in 3 variants, mint chocolate and orange which was

not accepted by the masses. Thus the production of Mint and Orange

flavors were stopped. Chocolate is the only flavor which is running

successfully till date as it is Indias first chocolate chip biscuit.

Hide and Seeks current packaging has been modified with lower pricing

and better affordability rates. Thus there is a change in the size of the

product which is prevalent in the ads.

One of the advertisements show movie actor Hrithik Roshan walking

with a hide and Seek packet, comfortably put in the back pocket of his

trousers emphasizing on the small size of the product.


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FOR PARLE HIDE AND SEEK MILANO

This product of Parle has a flashy purple coloured packaging with the

complete look of Italian chocolate chip cookies.

LABELLING

Increasingly, consumers are becoming more health conscious day by

day. Thus it is essential to display the content of every pack. Hence,

every product of parle G, Parle Hide and Seek, and Parle Hide and Seek

Milano has all mentioned in the packet right from the ingredients used,

nutrition contents, mailing and Emailing addresses asking for feedback,

phone number, packaging date etc.All this along with brand name and

directions are printed in Hindi too.


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PRICE MIX

PRICING STRATEGIES-

parle marketing philosophies emphasize on catering to huge masses. It

constantly endeavors at designing products that provide energy to

common man. Post parle products come in low and mid range price

segments. This is based on the cultivated Indian consumer behaviour

psyche. Value for money positioning helps to generate large volume ofsales for the products.

Parle G adopted the marketing penetration strategy i.e. low price along

with capturing of a large market. Also they focus on low price and good

quality product at the same time which means it uses the value pricing

method. This benefits Parle G by having a market share of 40% currently

in both rural and urban market .

For setting the price of their pemium product , Parle Hide and Seek, a

survey was conducted in urban and semi urban markets; on the basis of

which Hide and Seek was introduced.

It was found that the potential consumers were ready to pay a premium

price for an innovative product like choco chip biscuits.


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Thus Parle adopted MARKET SKIMMING where th price of the

product was high and also of high quality. All these show customer

status, which is also one of the reasons why it was priced high.

A separate example of explaining the pricing strategy of Parle is its

product PARLE CREAMS.

For this, parle uses going rate method only as a reference rate. In this

case, Parle creams were introduced after Britannia cream Treat with

similar variants but Rs.5 per packet of biscuit and not Rs.10 like that of

Britannias cream treat.

PLACE MIX

The extensive distribution network , built over the years is a major

strength for Parle. It even reaches out to rural areas with as low as a

populace of just 500.

CHANNEL LEVELS

Parle has nearly 1500 wholesalers catering to 4, 25,000retail

Outlets, directly or indirectly. A 200 strong dedicated field force services

these wholesalers and retailers. Additionally, there are 31 depots and C&

F agents supplying goods to the wide distribution network.

So it seen that Parle has level1, level2 and level 3 distribution channel

levels.


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LEVEL1availability to all department stores

LEVEL 2-since its a FMCG product, this channel exists for customers

scattered throughout the country.

LEVEL 3- mass consumption and suitable for national and international

coverage. For example, Parles national and international operations

consist of serving markets in the Middle East, Africa, South America,Sri

Lanka , Australia and North America for which 3 level distribution

channel exists.

CHANNEL DYNAMICS

Parle has a multi channel marketing system since it uses more than 2

marketing channels to reach all its customer segments.

PROMOTION

The marketing mix used by Parle is sales promotion. Public relations

and advertising.


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ADVERTISING

Parle G started being advertised in the 80s. it was advertised mainly

through press ads. The communication spoke about the basic benefits of

energy and nutrition.

In 1989, parle G released its dada ji commercial ad which went on to

become one of the most popular ads for Parle G. the commercial was

run for a period of 6 years.

Parle G grew by every minute. Be it the pack sold, the areas covered or

the number of consumers. It became a daily part of the lives of many

Indians. It was not a biscuit anymore. It had become an icon.The next

level of communication associated the brand with the positive values of

life like honesty, caring and sharing.

The year 2002 went down as a special year in the calendar of Parle s

events. It was an eventful year. It gave origin to a new character, called

G man, the new ambassador for Parle G. not just hero but a super hero

that saves the entire nation, especially children from all evil forces.

A campaign that was not just new to the audiences but one that involved

a completely new way of execution that was loved by children all over

the world.


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A TV commercial that showed G man saving the children from the evil

force called Terrolene launched this campaign. It was also supported by

print medium through posters and streamers put up at retail outlets.

Another campaign that was launched by Parle G was G

maanegenious. In this a small child after having Parle G is able to trick

the wise and experienced people.

Just a few months back, a reminder TV commercial was launched for

Parle where the product is called Hindustan Ki Taakat.

Most of the Parle G products tell us that brand awareness is done by

capturing consumer emotion.

Heavy promotions play a major role in creating brand awareness. Such is

a case of Parle hide and Seek advertisements. The ads of Parle hide and

Seek are portraying Hrithik Roshan. This tells us that the product is

being promoted by celebrity endorsee to attract consumer attention and

to increase awareness of this product.


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SALES PROMOTION

Parle uses its sales force promotions for all its employees. Every year it

holds day fairs at branded venues where fun events and games are

employed for the employees there and their families where Parle

products are a take away prizes for them.

PUBLIC RELATIONS

Parle has done the following for enhancing the public relations.

In the year 1997, Parle G sponsored the tale serial of the Indian super

hero SHAKTIMAAN that went on to become a great success. The

personality of the super hero matched the overall brand image of the

company. Parle extended its association withSHAKTIMAANand gave

a lot of merchandise of SHAKTIMAAN. The children just could not get

enough of Parle G and SHAKTIMAAN.


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Institutional sales

Institutions means those outlets which buy a product in larger quantities

as compared to normal outlets, due to high consumer inflow like

S.T.Canteens, Railway Canteens, Self Service Stores, Hospital Canteens,

School Canteens, College canteens. Resorts or for their internal

consumption like Factory Canteens. Office Canteens, or outlets who may

not buy in large quantities but where our product availability is a matter

of prestige like Clubs, Theatres etc.

We had been in a shortage situation up to a few years from now due to

which institutions were not really looked to as a potential source of

getting assured, regular and quantum business. Whichever institutions

were coming in our route or an institution who inquires with us was

tapped and serviced. In the year 2002 we realized that we were really

losing out on this huge potential and this was the time when we went

about systematically listing and tapping all types of institutions. Inspite

of doing this exercise diligently for a year we are presently covering 50%

of the available institutions and getting sales which contribute to around

5% of the territory sales. In towns where the potential is high we can also

appoint a separate wholesaler to cater only to institutions.

Our aim is to get 15 to 20% of territory sales from institutions.


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Outlet Self Service: They are outlets where all the products they sell are

visible to the consumer and generally there is no influence of the retailer

in selling a product. Self service outlets ask for some discount to be

given for keeping our products on specific racks which have more

visibility. Whenever a new self-service outlet is veing started, it should

have catered to as an A class outlet without offering any sort of

discount. However after a few visits we can negotiate for doubling the

existing sale or for giving our products prominent display in the shop or

both and can offer him a discount of up to 2% by taking prior permission

from your senior. We can also take up some in-shop promotions to be

done during any festival within this budget, but against prior sanction.

Our service levels to such outlets should be of very high level because if

stocks are not there on the shelf, the consumer will buy some competitor

brand. Every 3rdday the unit should visit them and after booking orders

ensure all products are available on the shelves. TS/SR should visit all

self-serviceoutlet on every visit to a visiting town and in HQ once aweek. Wholesaler owner should visit minimum once a weed. In W/S, TS

and SR visit the objective should have to get at least one more shelf or

jar and to sell minimum one more product than what the outlet is already

buying. Updated status of visits and availability should be there with the

TS/SR and AFM.

S.T. Canteens/Railway Canteens / Hospital Canteens: These are outlets

where the flow of customers is very high. The customers who frequent

these outlets are not regulars but they are travelers who do not have

much time to waste. In the little time a consumer has he picks up or asks

for products which are seen, so, in such type of outlets also visibility


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plays a very important role. The potential of these outlets is very high. If

our service level and visibility in these types of outlets is high we can get

good volume of business from them. Unit should visit them every 3 days.

Wholesaler owner should visit minimum once a week. In W/S, TS and

SR visit the objective should be to get at least one more shelf or jar and

to sell minimum one more product than what the outlet is already buying.

For getting higher volumes than what we are already getting from such

outlets, we can offer discount up to 2% on prior sanction from your

seniors or this amount can be utilized to put up dealer board or getting

his most prominent shelves as a permanent display for us.

List of hospitals can be got from the medi-claim office of insurance

companies.

Hospital Kitchens: Generally most of the hospitals serve biscuits to

their patients along with tea 2ce a day. Here the patients dont have a

choice but the hospital authorities do. This is a very good sales outlet forus since our product is going directly to the end user and also it gives us

a lot of publicity. In this case we have to approach the Dean/Nutrition in-

charge and convince them to buy our product. In such outlets you have to

give your best try if not once on quite a number of occasions because

once you get a breakthrough you get quantum and assured business for a

very long time. Unit and wholesaler owner should visit minimum once a

week. In TS and SR visit to any town they should make it a point to visit

such outlets for introducing more range. No discount to be extended.


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School/Collage Canteens: These canteens are either run by the

authorities or they are given to private vendors against a monthly rental.

But even in cases where it is given to private vendors the school / college

Principal will be the deciding authority as to what products should be

should have sold since it is a matter of health of the children. So to get

through in such outlets we have to approach the Principal first. In any

case if it is Okayed by the Principal then the vendor has to keep the

product. Unit and W/S owner has to visit minimum once a week. TS/SR

should visit such outlets on every 2ndvisit to visiting town and on HQ

minimum once a fortnight with the objective of increasing minimum one

jar or shelf.

List of schools / colleges can be got from the local district level

authorities.

Factory / Office Canteens: There are some factories who have

employeesconsumer societies, in which the deciding authorities are theunion members who have their monthly / fortnightly meetings to decide

any new product introduction. So in such cases we would have to

approach these union members, give our samples and prices and keep a

regular follow up with them. In some cases the factories have canteens

which are given to private contractors to run. These contractors run

canteens in many factories / offices. So getting a breakthrough in even

of them would give you an easy entry in many other factories offices

automatically. In other cases the concerned factory gives biscuits to their

employees along with tea as a welfare measure.


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In such cases the deciding authority would be the personnel manager. In

both cases these cases the final sale will not happen in a single visit. We

will have to visit them frequently to finally clinch the sale.

Clubs: Most clubs have Self Service shops within their premises.Club

members are generally people who have some standing in society or the

upper class. Hence in such outlets our products being available is a

matter of pride and prestige. Our service levels tothem should be same as

for self service outlets.

Theatres: In theatres the sale happens only during intervals and before

start of the show. Here consumers dont have much choice except

whatever is sold by the canteen. These canteens sell at rates much above

M.R.P because of the high rentals of their stalls, so emphasizing on

M.R.P would not help here, rather we can emphasize on how much the

product can be sold at and what rupee value profit the vendor will get.

Making our products available in theatres is very important as the off-take of product is sure shot because of less or no competition. Even in

this case, the canteen owners generally run canteens in many theatres so,

if you get an entry in 1 of them it will be easy in the others. Service

levels should be the same as for S.T. Canteens.

Resorts/Hotels: Many good hotels keep biscuits in the rooms for their

guests and also offer it during conferences which they have. In hotels andresorts people go for holidays, they have leisure time they have a good

look at that is being offered by the hotel, which in other cases they

wouldnthave the time to do so. Hence keeping or offering biscuits of

our company would also enhance the image of their resort and for us, it


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would be publicity and an image building to say that we are also

supplying to x chain ofhotels etc. Making our products available may

take the same effort as that of factories. Our service levels should also be

the same as that for factories.

Overall remember institutions can help you a great deal in achieving

your targets month after month and being ingrade I quarter after

quarter.

In the year 2002, it was decided to get the child closer to the brand who

is a major consumer. A national level promoParle G mera sapna sach

hoga . The promo was run for 6 months. It was all about getting the

desires in children to fulfill their wishes and wants. There were over 5,

00,000 responses and out of which 300 were fulfilled. These dreams

were fulfilled ranging from a trip to Disneyland and Singapore, meeting

their favourite film hero Hrithik Roshan, free ride on a charter plane, 20

scholarships worth Rs. 50,000, a special cricket coaching camp with theAustralian cricketer, Ricky Ponting etc.


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GOLU GALATTA CONTEST

In Tamil Nadu, women generally decorate their homes with toys made of

mud and clay in a step down ladder for all the 9 days in the period of

Navratra. The steps are generally in odd numbers from a minimum of 3

and a maximum of 9.

All relatives and friends are invited over for the same to each othersplace to witness this event, called as Golu .

Due to increasing work pressure in the offices and hard pressed for

time,and little time to celebrate this function , thus it soon became a

fading event. Parle rightly tapped its importance amongst the south

Indian households and vigorously promoted an event what was called the

Golu Galatta contest in 2005.after the warm response from large

number of households, and thus the success of the promotional event,

Parle in year 2006 took this contest to the interiors of south including

Madurai, Trichi, Kumbakonnam etc. ( Golu means doll and Galatta

refers to Dhamaal).


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CONSUMER BEHAVIOUR

FOR PARLE G- In India, it is a tradition to have biscuits with tea. Parle

G is referred to as Biscuit in rural areas. Thus when asked for a Biscuit

to a shopkeeper, it simply means that the consumer wants a

Parle G.

Understanding the consumer behaviour is tough. Its challenging to

comprehend their buying motives and buying habits.

Keeping all this in mind, the factors influencing the consumer behaviour

are Parle G being a consumable product is not being influenced by

cultural factors. As a component of buying behaviour social factors aresub divided into Reference groups, family & social role & status.

REFERENCE GROUP- people especially kids are always influenced

by the people around them especially their kins and realtives. And thus if

any of those are having Parle G, then they too want it.


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FAMILY-in this case too, if there is a practice in the family of regularly

taking Parle g along with tea, then its obvious that growing children

would too form a habit of regular consumption of Parle G biscuits. Also ,

any additions made to the family would too be used to it in no time.

PERSONAL FACTORS-The factors whose intensity differs within

each individual is termed as personal factors. They are:

AGE Parle G is consumed maximum in the age group of 5-15 years i.e.

the growing age group. Kids who have formed the habit of eating Parle g

biscuits continue to eat even after they have grown up.

OCCUPATION- the buying behaviour of an individual is influenced by

his or her profession too. In case of Parle G, the purpose of buying the

product would differ for a MNC job holder and a labourer.

While for the executive, the reason to but simply may be to have a

variety of biscuits available at home or just as a casual alternative.

However, in the case of a labourer, it may be to simply satisfy his

hunger. For him, thus its not a matter of choice or luxury the very matter

of survival.


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INCOME- income of an individual is the deciding element for any

expense. For a labourer whose income is low and fixed, and for whom

the product would be an instant energy booster, he would definitely opt

for Parle G and for no other product even if the same range.

However since parle G is extremely low priced, the cost of the product is

often not a consideration. And thus all level of income groups purchase

it.


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PSYCHOLOGICAL FACTORS

MOTIVATION-the main aim to purchase and the motivating factor to

consume Parle G is simply hunger. This is what draws the consumer to

take the product. Also twilight is especially the time when the Indian

households have tea and so often Parle G acts as a snack too.

PERCEPTION-the consumers have a perception of Parle being a qualityproduct with immense glucose product and since it is priced low too, it is

generally purchased.


SOCIAL FACTORS

REFERENCE GROUP-Parle hide and Seek is targeted at the youth.

For this product, an influence is often sibling or a friend. These act as

references to an individuals decision making .

STATUS- Parle Hide And Seek is a high priced product. So consumers

in the higher income groups would prefer to buy this product over otherless expensive product as it gives a touch of royalty in your living.


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PERSONAL FACTORS

AGE-the advertisements are such the adolescents especially in the age

group of 15-28 years get highly carried by the world of advertisements .

and it often acts in their conscience and thus they quickly purchase the

product. To add on , the endorsements have Hrithik Roshan consuming

just the same.

OCCUPATION- Major consumers for parle Hide and Seek are

students.

INCOME- since its a high ranged product,the potential customers for

this product are high income holders. The chances of a lower income

strata individual buying the product is lower than that of a highly paid

individual.


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MARKET SEGMENTATION

LEVEL OF MARKET SEGEMENTATION

PARLE G is consumed by people of all ages from rich to poor, living in

cities and villages. While some have it as breakfast, others have it as a

wholesome meal. For some its the best accompaniment for tea, while for

some its a way of getting charged whenever they are low on energy.

Parle company practices mass marketing for Parle G which appeals to

masses. It is a product liked by everyone and does not cater only to a

specific group or part of the whole market. Thus it is mass production.

Mass distribution and mass promotion of Parle G for all buyers.

However parle follows nichemarketing for Hide and Seek. Its a

premium product and since its chocolate flavour, its liked by all

chocolate lovers. when Hide and Seek was first launched, there was no

other biscuit of that kind.


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2. MARKET SEGMENTATION

Parle G is consumed by people in urban areas and rural areas both.

However, Parle Hide and seek being a premium product and highly

priced is only consumed in urban and semi urban areas.

DEMOGRAPHIC SEGMENTATION

Age Parle Hide and Seek is eaten mainly by youth and growing

children for they have a fetish for it.Parle G is however consumed by

everyone.

IncomeParle Hide and Seek is consumed by high income group while

Parle G consumed by all income groups.

Social class- Hide and Seek is meant for rich class and middle class

families. However Parle G can be consumed by only lower & middle

class due to lack of funds with the and lower strata groups.


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1.2. BEHAVIOURAL SEGMENTATION

1,1,2. Benefit sought- In case of Parle G, there is instant source of

energy and in case of hide and Seek , there is good taste.

PATTERN OF MARKET SEGMENTATION

PREFERENCE: Clustered

If we divide the whole market on the basis of sweetness and saltiness in

biscuits, then the possible outcome would be that the preferences would

be clustered near some tastes i.e. the consumer would not like to have

something really vague like 50% salt, 25% creamy and 25% sweet. This

is why the preferences are clustered and not diffused wherein the

preferences have to be really extreme and vague.

Parle as a company makes use of the clustered preferences and

manufactures for each cluster.Eg, Monaco for extremely salty biscuits

and its latest product

Krackjack cream is for sweet and salty taste.


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TARGET MARKETING STRATEGY

DIAGRAM

Blue Blue Blue

Green

Orange Orange


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PARLE COMPANY AS A WHOLE ENGAGES IN

SELECTIVE MARKET SPECIALIZATION STRATEGY

The above diagram, the blue colour explaining the extent of Parle G. it is

1 product for all the 3 market.

But for Hide and Seek,its the green colour where it is aproduct for only

1 market.

Whereas , the orange colour is for Krackjack biscuits where it is for 2

markets.

POSITIONING STRATEGY

Parle G is positioned in the minds of the people as a low cost product and

as value for price product. Whereas Hide and Seek has tapped a new

market.


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DIFFERENTIATED STRATEGY

For Parle the company has used channel and image differentiation tools.

Parle G has by far the most intensive distribution coverage as compared

to any other biscuit company in India.

Also the name Parle generates a lot of respect and belief of good quality

in the minds of the buyers.

PACKING

As in all other biscuits, Parle products packing is similarly important.

The basic small packs are done mechanically using automated machines

and are sealed using the polybag sealing machine. These small packs are

then manually packed into small boxes and then it is sent on the

conveyor belt to be packed in large cartons.

As many as 160 packets are packed per minute and in one big box, there

are 160 parle G biscuit packets. The packaging material is also produced

within the factory premises itself.

For export purposes, the packets have different languages written on

them depending upon the geographical location and demand of the

people. Each factory has a state of art machinery with automatic printing

and packaging facilities.


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RECOMMENDATIONS

Its seen that Parle is very particular on its brand image and the quality of

making its products. Thus that being a brand differentiation in itself,

It must maintain that at any given time. There must be proper quality

management techniques that help in constantly upgrading the products

worth.

It was seen that even in the times of inflation when the cost of

manufacturing the product increased, it made sure that the burden did not

fall on the consumers. Rather it came with a unique strategy of reducing

the quantity of 100 gms of its product to almost 88gms but with the same

pricing.

Also Parles product coverage is weak in Eastern India and Tamil Nadu.

Thus it must constantly come up with promotional offers to improve its

sales.

Also , Britannia has a wide coverage almost equaling Parles market

share. Thus it must always be very competitive.


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Conclusion

Over the years, parle has become a multi million US dollar company.

Many of the market leaders in the range of biscuits and confectioneries

are market leaders in the category and have won acclaim at the Monde

Selection since 1971.

Today, parle enjoys a 40% share of the total biscuit market and 15%

share in the total confectionery market. The parle biscuit brands such as

Parle G , Monaco, and Krackjack and confectionery brands such as

Melody,Poppins, Mango bite, Kismi enjoy a strong imagery amongst

customers.

Be it a big city or a remote village in India , Parle enjoys the reputation

of quality, health and great taste. And yet we know this reputation has

been built by constantly innovating and catering to new tastes.

This can be seen in the success of new brands like Hide and Seek or

simple wrapper twisting like mango bite.


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Survey (Questionnaire)

1. Do you have any canteen in your College & IT Company?

a) Yes( )

b) no( )

2. Do you purchase cream Biscuits for your shop?

a) Yes ( )

b)No. ( )

3. Which brand you would like to purchase more in quantity?

a) Britania ( )

b) Priya gold ( )

c) Parle Agro ( )

d) Others ( )

4. If yes, what influenced your decision to purchase a Parle

Agro product?

a) Demand by consumer ( ),

b) Brand name and reliability ( ),

c) Quality ( )

d) Advertisement (merchandising)( )


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5. Which brand do you think is the toughest competitor to

Parle g/hide n seek?

a) sunfeast

b) Krack-jack

c) Others

6. Which brand of biscuits you prefer to purchase?

a) Britania 50-50

b) sunfeast

c) hide n seek

d) Others

7. Which brand of snacks you prefer to purchase?

a) Lays

b) Kurkure

c) Bingo

d) Hippo

e) Others


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8. Do you think brand visibility will increase the sales of Parle Agro

products?

a) Yes

b)No

9. Are you satisfied with the service of Parle Agro?

a) Yes

b)No


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Bibliography

www.parleproducts.com

www.indiainfoline.com

Philip Kotler - Marketing management

www .Wikipedia.com
http://www.indiainfoline.com/http://www.indiainfoline.com/http://www.indiainfoline.com/

Documents

Shamshad Bhai