Assignment 3

Bingo Case Analysis

Group 12

Group Members: Aditya Masekar 166; Ayesha Hussain - 315

Himanshu Singh 123; Rachit Narang - 141
Ria Barman 174; Surashree Rahane 354; Sovan Kumar - 352
What should be the nature of brand promotions?
As far as this segment is considered, we see that PepsiCos FritoLays leads the
market share with a 75-80% share in both value terms as well as volume. ITCs
Bingo is a recently launched high rising player. Parle is planning to cover up5-6%
of the market share on the basis of playing on volume. Parle has identified the
consumer insight that the consumers arent happy with the volume of chips per
packets. Thus, their plan to tackle the competition is through offering higher
volumes over the rival companies. For instance, they plan to provide 20gms
more in the sticks segment and 25gms more in the chips segment.
We should follow Parles strategy and enter the market with keeping volume as
our focus area. So, if we come up with promotions wherein we state and offer
more quantity at the same price it will be appealing to the consumers. Our idea
is that the promotions should promote higher volumes at the same price as those
of the rival companies. Also, as this is a low involvement product, the consumer
decision making process only includes need recognition, purchase and post
purchase behavior. So the brand promotions need to be strongest in between
need recognition and purchase. This can be done by BTL activities like good
visibility in stores, company sponsored racks and print ads in high consumption
and purchase places like canteens, general stores, food bazars, airports, railway
stations and bus stands. They should use influencers and paid promotions for
digital marketing purpose. For television ads, they should go for known
personalities that resonate with their brand ethos as this can lead to better brand
recall. The brand should also take care of their distribution strategy by making
the print ads and the product available in remote places where many brands
cant reach along with metros, cities, villages and towns.

How much should be spent on sales and promotions?

For a new launch, promotions are very important as it helps in making brand
recognition among customer and hence should constitute a good chunk of the
expenditure. For parle who are planning to spend 20 crores for Musst about 20%
of this money should go towards sales promotion.
How to differentiate the brand from others in the industry?

Parles offering of potato chips and wafers can be differentiated from the
products of the competitors in the following ways:
1. FOOD INNOVATION: Parles chips and wafers should be a healthy
snack to munch on. It can be baked and non-fried. It should come
across as the reinvention of the classic chips in the form of a health
food that is still finger licking good.
2. PACKAGING: Parle should differentiate its product by offering
innovative packaging which would be a re-sealable packet. This will
give the consumer the option of snacking on chips intermittently as
and when desired. Also, the product variants can have names that
sound like Indian cities or exotic Indian food flavours or even on the
lines of geographically identifiable and distinct cuisines. E.g. Mughlai
Magic, Deccan Delight, Konkan Kurry etc.

What customer looks for when buying wafers?

Some of the major factors that worked for competition are as follows:
For Bingo their innovative flavours made the customers go for repurchase while
their quirky advertisements made the young customers seek the product among
the cluster of packages in shops. The shape of product (Mad angles) is the
differentiating feature and also the smashable element for it. Also the sound
association of Bingo with toing worked for them.
For kurkure , their quantity is their competitive advantage. The weight to price
ratio is high for kurkure as compared to other branded snacks category and is
quit perceptible by consumer. Kurkures recent campaign highlighting their odd
shape is a good straetegy to turn a disadvantage into advantage.
Lays enjoys a brand equity as well as loyal customer group.
What is the most critical aspect involved in marketing of a product like
wafers?
The most critical aspect involved in marketing of a product like wafers is the
packaging and the promotional scheme on it. It is a low involvement product.
Thus, if there are promotional schemes being displayed on the packaging of the
product, then the probability for the consumption of that product increases.
Packaging should clearly mention their USP which is high volume in terms of big
packet than competitors and the percentage of extra volume as compared to
competitors. Such schemes will also lead to impulse behavior in the consumers.
Thus, we believe packaging is one of the most critical aspects when it comes to
marketing of wafers.