EXECUTIVE SUMMARY

The project is an extensive report on how the Bisleri company markets its strategy and how the company has been able in tackling the present tough competition and how it is cooping up by the allegations of the quality of its products. The report begins with the history of the product and the introduction of the Bisleri company. This report also contains the basic marketing strategies that are used by the Bisleri company of manufacturing process, Water Technology (Ultra Heat Treatment), production policy, advertising, export scenario, future prospect, and government policies. The report includes some of the key salient features of market trend issues.

In todays world of cutthroat fierce competition, it is very essential to not only exist but also to excel in the market. Todays market is enormously more complex. Hence forth, to survive in the market, the company not only needs to maximize its profit but also needs to satisfy its customers and should try to build upon from there.

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Introduction to the Mineral Water Industry

Water is the most important liquid in the world. Without water, there would be no life, at least not the way we know it. Our bodies are estimated to be about 60 to 70% water. Blood is mostly water, and our muscles, lungs, and brain all contain a lot of water. We need to drink water because water is needed to regulate body temperature and to provide the means for nutrients to travel to all our organs. Water also transports
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oxygen to our cells, removes waste, and protects our joints and organs. In today's world, the need for Pure Drinking Water is becoming the issue for the common man. Water helps nearly every part of the human body function efficiently. Considering that our bodies are almost two-thirds water, it is important to understand water's role in healthy lifestyles.

Brain is 75% water / Moderate dehydration can cause headaches and dizziness Water is required for breathing Regulates body temperature Carries nutrients and oxygen to all cells in the body Blood is 92% water Moistens oxygen for breathing Protects and cushions vital organs Helps to convert food into energy Helps body absorb nutrients Removes waste Bones are 22% water Muscles are 75% water Cushions joints

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It is also found by doctors throughout the world that 90% of human diseases are water borne. There are 3 types of water impurities, which are root cause of water borne diseases 1. Microbiological-Bacteria / virus. 2. Dissolved impurities - chemical. 3. Imbalance of Mineral Content.

Rapid changes are taking place in our environment. The air and water pollution is also increasing. The main sources of drinking water are the rivers and downstream which also have not been able to escape this pollution.

Current Global Trends

Recent trend in bottle water industry include new product development, widespread marketing and packaging efforts, and the emergence of new industries tapping into bottle water, all aiming to gain markets further. The most conspicuous trend in the
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bottled water industry is the development and flooding of a seemingly never ending array of bottle water product. Among them are: bottle mineral water, spring water, sparking water, well water, purified water, distilled water, vitamin infused water, mint flavored water, fruit-flavored water, hydrating water and now even super oxygenated water and cosmeceutcal water. One Australian company even extracts water from apples and oranges by freezing fruit juice and using a pressure chilling process to separate the fruit from the water. Another significant trend is product marketing and packing. Realizing the consumer cite taste, quality and purity as the top reasons for drinking bottled water, bottles market and design bottlers to display their purity. Straight from nature to you is indicative of untouched, pure natural water marketing. Another popular ad slogan says that their bottle water is so pure, [that they] promise nothing. Other manufactures seek to carve out a new level in the bottled water industry introducing high-end products. These bottles seek distinctions by marketing their water origins, fortification or even bottle shapes, size and styles. Examples of these include: bottle water that now comes in bullet shaped glass, icicle-shaped plastic, see through labels, sports ball-sized water bottles and the ever-charging unique cylindrical containers. Another packing trend in the bottled water industry is multi-packs. As current bottled water consumption grows, more consumers are turning to multi-packs to save time and money.

Global Position of Bottled Water

Bottled water represents the fastest growing segment of the global beverage market with a market share of about 38%. World bottled water market is expected to reach
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$65.9bn by 2012, stimulated by rising population, consumer spending patterns, lifestyle trends and growing levels of health consciousness, among others. The market is expected to grow rapidly in the coming years due to growing consumer concerns about fitness, water quality and health. As stated by the recent report published by Global Industry Analysts, global bottled water market is dominated by Europe and the US, which together account for about 55% of the market value estimated in the year 2010. Bottled water will continue to fare well in the global beverage marketplace as a healthy alternative to carbonated soft drinks. Gains in bottled water market will also come from flavored varieties and convenient packaged formats, especially single-serve packs. Sparkling water market is dominated by Europe, which accounts for more than 75% of the world market estimated in 2010. Western Europe comprises some of the world's largest per capita bottled water consumer markets, which include Germany, France, Spain and Italy. The largest proportion of bottled water consumers can be found in Germany, as 88.2% of its adult population drinks bottled water. The non-sparkling water market constitutes the bulk of bottled water shipments, accounting for between 80-85% of the market in volume and value terms. Non-sparkling bottled water is also expected to offer the highest growth opportunity, outgrowing the sparkling bottled water market by three to four times. Market for non-sparkling water in the US is projected to reach $15.1bn by 2012.

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The major challenge for most companies is product innovation and differentiation as water is still just water. Containers are an important part of bottled water, as they
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constitute nearly 47% of cost. Even look, weight and price of the product are as significant as the water itself. For instance, Colorado-based Biota sells bottled water in biodegradable bottles that are produced using corn in order to attract consumers who are ecologically conscious. Some companies try to attract children by selling bottled water in attractive bottles with vivid designs and colours.Key players dominating the global Bottled Water market include Aqua Gold International Inc, Boreal Water Collection Inc, China Water & Drinks Inc, Group Danone, Danone Naya Waters Inc, Isbre Holding Corp, Nestle SA, PepsiCo, Quilmes Industrials Sa-Adr, Saint Elie, San Miguel Corporation and The Coca-Cola Company.

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Indian Bottled Water Industry

India is one of the biggest and most attractive water markets in the world. The boom time for Indian bottled water industry is to continue- more so because the economics are sound, the bottom line is fat and the Indian government hardly cares for what happens to the nation's water resources. Most multi-national (MNC) companies view India as the next big market with a lot of potential and growth possibility. Several MNCs are waiting in the wings to expand a $ 287 billion global water market into India. There is a huge market being exploited by the packaged water industry, and it's growing at 40% per annum.With over a thousand bottled water producers, the Indian bottled water industry is big by even international standards. There are more than 200 brands, nearly 80 per cent of which are local. Most of the small-scale producers sell non-branded products and serve small markets. In fact, making bottled water is today a cottage industry in the country. There are investments worthy mid-cap companies in this segment. Despite the large number of small producers, this industry is dominated by the big players - Parle Bisleri, Coca-Cola, PepsiCo, Parle Agro, Mohan Meakins, SKN Breweries and so on. Parle was the first major Indian company to enter the bottled water market in the country when it introduced Bisleri in India 25 years ago.
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Industry sources estimate that the total Indian water market is worth more than $1 billion - consisting of approximately one-third for water provisioning, one-third for municipal water treatment and one-third for industrial water treatment. The overall water market is growing at 15-20 percent per annum.

In just 50 years a water-rich nation has been reduced to a water-insecure one. By 2025, the per capita availability of water is likely to slip below the critical mark of 1,000 cubic meters. And with 82% of our villages overdrawing groundwater to meet their needs and cities ferrying water from peri-urban areas, the country is close to exhausting its groundwater reserves. India has 16 percent of the world's population, 2.5 percent of the land mass and 4 percent of the world's water resources. These limited water resources are depleting rapidly while the demands on them are increasing. Drinking water supplies in many parts of India are intermittent. Transmission and distribution networks for water are generally old and badly maintained, and as a result, are deteriorating. Corporate control over water and water distribution in India is growing rapidly: the packaged water business is worth $250 million, and it's growing at a huge 40-50% annually. Around 1,200 bottling plants and 100 brands of packaged water across the country are battling over the market, overdrawing groundwater, and robbing local communities of their water resources and livelihoods.

India is the tenth largest bottled water consumer in the world. Today it is one of India's fastest growing industrial sectors. The rise of the Indian bottled water industry began with the economic liberalization process in 1991. The market was virtually stagnant until 1991, when the demand for bottled water was less than two million
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cases a year. However, since 1991-1992 it has not looked back, and the demand in 2004-05 was a staggering 82 million cases. The per capita bottled water consumption in the country is still quite low - less than five liters a year as compared to the global average of 24 liters. However, the total annual bottled water consumption has risen rapidly in recent times - it has tripled between 1999 and 2004 from about 1.5 billion liters to five billion liters. Between 1999 and 2004, the Indian bottled water market grew at a compound annual growth rate (CAGR) of 25 per cent the highest in the world. Indeed, the bottled water industry is one of the most thriving sectors in India.

Indeed, the bottled water industry is one of the most thriving sectors in India. According to another section of market observers, the market is growing at a whopping rate of about 55 percent annually. Though exact figures are not available, the market is growing for sure. Even though it accounts for only 5 percent of the total beverage market in India, branded bottled water is the fastest growing industry in the beverage sector. Bottled water is still not perceived as a product for masses though; the scene is changing slowly thanks to low pricing and aggressive marketing strategies adopted by new entrants. Some surveys show that truck drivers on highways form a major chunk of bottled water drinkers. Penetration in rural areas is another significant factor that is likely to play a key role in the development of the bottled water trade. Bottled water is sold in a variety of packages: pouches and glasses, 330 ml bottles, 500 ml bottles, one-liter bottles and even 20- to 50-litre bulk water packs. The formal bottled water business in India can be divided broadly into three segments in terms of cost: premium natural mineral water, natural mineral water and packaged drinking water. Leave alone the metros, where a bottled-water manufacturer can be
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found even in a one-room shop, in every medium and small city and even some prosperous rural areas there are bottled water manufacturers. Consumption of bottled water in India is linked to the level of prosperity in the different regions. The western region accounts for 40 per cent of the market and the eastern region just 10. However, the bottling plants are concentrated in the southern region - of the approximately 1,200 bottling water plants in India, 600 are in Tamil Nadu. This is a major problem because southern India, especially Tamil Nadu, is water starved. The majority of the bottling plants - whether they produce bottled water or soft drinks - are dependent on groundwater. They create huge water stress in the areas where they operate because groundwater is also the main source - in most places the only source - of drinking water in India. This has created huge conflict between the community and the bottling plants.

Packaged drinking water, which is nothing but treated water, is the biggest segment and includes brands such as Parle Bisleri, Coca-Cola's Kinley and PepsiCo's Aquafina. While the single largest share in the mineral water market might still belong to an Indian brand -- Parle's $52 million Bisleri brand has a 40 percent share -multi-national corporations are not far behind. Nestle and Danone are vying to purchase Bisleri, and Pepsi's Aquafina and Coke's Kinley brands have been extremely successful in edging out many of the small and medium players to buy-outs and exclusive licensing deals. Kinley and Aquafina are fast catching up, with Kinley holding 20-25 per cent of the market and Aquafina approximately 11 per cent. The rest, including the smaller players, have 20-25 per cent of the market share. News reports indicate that other MNCs like Unilever are also eying the market. Currently, Kinley is being manufactured in 15 bottling plants across the country and according to
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Coca-Cola India President Alex von Behr, Coke had invested nearly $1 billion in India between entering the market in 1993 and December 2001. Behr says that Coke expects a significant portion of our turnover to be accounted by pure water business. Almost all major national and international brands have taken a plunge. Parle's Bisleri that virtually monopolized the bottled water market is now vying with Nestle, Coca Cola, PepsiCo, Manikchand, UB and Britannia. According to a national-level study, there are close to 200 bottled water brands in India. Nearly 80 per cent of these are local brands. Premium natural mineral water includes brands such as Evian, San Pelligrino and Perrier, which are imported and priced between $2 2.5 a litre. Natural mineral water, with brands such as Himalayan and Catch, is priced around 40 cents a liter. The Indian bottled water market, which has more than 250 brands, is expected to undergo a major consolidation phase, and the need for standards and regulations is of great importance, according to the Asian Bottle Water Association (ABWA). The Indian bottled water market is valued at more than $250 million and is growing at a rate of 60 per cent. The major growth in packaged water, however, was in the bulk water segment. According to estimates, bulk water packs of 20 liters, targeted at the institutional and home segments, grew at a rate of 30-40% in 2002 alone. Bisleri re-invented its 20-litre jumbo home pack, fitted with a spout, to acquire a more 'consumer-friendly' image. According to industry estimates, the main consumers of packaged water are no longer restricted to the upper class but include middle class and lower-middle class families as well. The 'rural' market is currently dominated by tourists and travelers; packaged water is now beginning to be seen as an essential appendage to any form of travel.

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The packaged drinking water market in India is huge and growing. On account of the dominant presence of unorganized regional players in the market, estimates for the actual size of this segment vary. However, it is believed that the domestic bottled water industry is around Rs.1500 to Rs.1800 crore in size and growing at the rate of around 40% per annum. This is way ahead of the growth rate of 7.6% reported for global market as a whole in 2006. The domestic demand has increased from 2 million cases in 1990 to an estimated 68 million cases by 2006. In fact, India is estimated to be the 10th largest bottled water consumer in the world. Market experts disclose that there are more than 1,800 water brands in India, of which most are local and regional brands that are often classified under the unorganized sector.

In India there are more than 200 local brands for bottled water. The major players in this industry are as follows:

Coca-Cola India Pvt Ltd PepsiCo India Holdings Pvt Ltd Parle Bisleri Ltd Parle Agro Pvt Ltd DS, Group Manikchand Group Tata Group UB Group

Major players in the global water industry

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Arrowhead Aquafina Aquapod Bisleri Bonaqua Bonafont Ciel Purificada Crystal Geyser Dasani Deer Park Dej Blue Evian Fiji Galvanina Gerolsteiner Island Chill Ozarka Pennine Spring Perrier Propel Fitness Water Ramlosa San Pellegrino

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Current Market Scenario of Mineral Water Industry

A few years back, the mineral water market had been crawling at the rate of 3-4%, or even a lower figure. Indians carried drinking water in earthen pitchers, plastic or PUF bottles. But increasing cases of typhoid and other waterborne diseases began to be reported. In addition to this, liberalization happened and the mineral water industry began to be stirred and shaken. The market started growing an astounding rate of over 100% per annum. The fact that there were very few players in the market meant that their business grew by leaps and bounds. The market today has grown to Rs11bn. The organized sector -- branded mineral water -- has only Rs5bn of market share. The rest is accounted for by the unorganized sector, which is dominated by small regional players. The market is still growing at a rate greater than 80% per annum. In the branded segment, Parles Bisleri is the market leader with a share of more than 45%. Parle Agros Bailley comes a close second with market share
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of 15%. Other major players in the market are Yes of Kotharis, Ganga of T-Series, Himalayan, Hello, Nestls Pure Life, Pepsis Aquafina, Coca-Colas -Kinley Prime, and Florida etc. Sensing the opportunity that this segment holds, MNCs began to draw up plans to enter the market. Today the market is proving to be yet another battlefield for an ongoing battle between the Desis and MNCs. Last year the industry had around 170 brands. This figure is over 300 presently. The major foreign players are Coca-Cola promoted Kinley, Pepsis Aquafina, Britannias Evian, Nestls Perrier, Herbert sons and Danone International.

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Company Profile

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Genesis

The name that epitomizes mineral water today was first introduced in Mumbai in the early 60's. In 19 65 Signor Felice Bisleri an Italian by origin, came up with the idea of selling bottled water in India. His company Bisleri Ltd. offered mineral water in two variants Bubbly and Still. In 1969 Parle bought over Bisleri (India) Ltd. and started bottling Mineral water in glass bottles under the brand name 'Bisleri'. In due course Parle switched over to PVC non-returnable bottles and finally advanced to PET containers.

Under the leadership of Mr. Ramesh J. Chauhan, Bisleri has undergone significant expansion in their operations. The company has witnessed an exponential growth with their turnover multiplying more than twenty times in a short span of 10 years. The average growth rate over this period has been around 40% with Bisleri enjoying more than 60% of the market share in the organized mineral water segment.

A brand that pioneered the concept of mineral water, bottled with its distinct green label, Bisleri, today, is a household name. Powered by 17 owned plants, 33 copackers, 11 franchisees and a wide distribution and retail network pan India, Bisleri is at the centre of the Aqua Green Revolution.

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Vision Statement

The Aqua Green Revolution began with an ambitious dream: An India in which every person has uninterrupted access to scientifically purified and fortified drinking water, irrespective of geog

Mission Statement
The Aqua Green Revolution urges us to innovate continuously, to provide every Indian access to scientifically purified and fortified drinking water that is readily available and easily affordable; and to support initiatives that rejuvenate the Earth's natural sources of pristine drinking water.raphical barriers or economic limitations.

The Journey till Now

1969: Buys Bisleri bottled water from an Italian company, Felice Bisleri. Early-1980s: Shifts to PVC bottles from glass bottles used in 1969 and sales urge. Mid-1980s: Switches to PET bottles, which meant more transparency and life for water. 1993: Sells carbonated drink brands like Thums Up, Gold Spot and Limca to CocaCola for Rs.400 crore. 1995: Bisleri launches a 500 ml bottle and sales shoot up by 400 per cent. 1998: Introduces a tamper-proof and tamper-evident seal.

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2000: Introduces the 20-litre container to bring prices down from Rs 10 a litre to Rs 2 a litre. 2000: BIS cancels Bisleri's license of water bottling in Delhi since some of the bottles did not carry ISI label; the license is restored one-and-a-half months later. 2002: Kinley overtakes Bisleri. The national retail stores audit by ORG-MARG show Kinley's marketshare at 35.1 per cent compared to Bisleri's 34.4 per cent. 2003: Bisleri says it plans to venture out into Europe and America to sell bottled water. 2006: Launch of Natural Mineral Water to increase the product portfolio. 2007: Introduced 250ml attractive bottles. 2008-2010: May introduce energy drinks and flavored water. 2010-Launches a limited addition of celebration and celebrate cricket level in 250 ml and 500 ml packs. Also launches a vedica-natural mountain water from the Himalayas

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Product Portfolio of Bisleri -

Bisleri has developed 8 unique pack sizes to suit the need of every individual. They are present in 250ml cups, 250ml bottles, 500ml, 1L, 1.5L, 2L which are the nonreturnable packs & 5L, 20L which are the returnable packs.

Purification process
Every drop of Bisleri water is purified as per international standards to ensure that your Bisleri experience always remains pure and satisfying for longer. The following is a brief understanding of the water treatment process.

1. Chlorination:
Kills micro organisms. Remove organic matter.

2. Arkal Filter:
Removes suspended matter and turbidity.

3. Carbon Filter:
Removes residual chlorine & odours. 4. Reverse Osmosis:
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Removes organic material. Controls total dissolved solids in the water. 5. Addition of Minerals: For the purpose of maintaining a balanced mineral content.

6. Micron Filtration: Additional safety measures to guarantee purity. 7. Ozonation: Ensures water remains bacteria free for longer life.

1. Bisleri with added Minerals:

This product is bottled drinking water at its best. Bisleri with added minerals has a TDS count (total dissolved solids count) of approximately 100. Bisleri Mineral Water contains minerals such as magnesium sulphate and potassium bicarbonate which are The composition of Bisleri Water in milligrams per liter (mg/l):

160-TDS
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7.2-ph factor 13.6-Calcium 22-Chlorides 58-Bicarbonate 7.8-Magnesium 2-Nitrate 19.3-Sulphates 66.1-Hardness

Pack Sizes Available

Bisleri with added minerals is available in 250ml cups, 250ml bottles, 500ml bottles, 1 litre bottles, 1.5 litre bottles, 2 litre bottles and 5 and 20 litre cans.

2. Bisleri Mountain Water:

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The search for new products has now led the company to the new Natural Mountain Water. Inspired by nature, it comes from a pristine source situated in the beautiful and scenic mountains of Northern India. Natural Mountain Water resonates with the energy and vibrancy of health and well-being. It is packed with the goodness of nature's minerals which will refresh ones senses and rejuvenate a person. Bisleri Natural Mountain emanates from a natural spring, located in Uttaranchal and Himachal nestled in the vast Shivalik Mountain ranges. Lauded as today's 'fountain of youth', Bisleri Natural Mountain Water resonates with the energy and vibrancy capable of taking a person back to nature. Bisleri Natural Water is bottled in its two plants in Uttaranchal and Himachal Pradesh.

Pack sizes Available

Bisleri Mountain Water is available in six different pack sizes of 250ml, 500ml, 1 litre, 2 litres, 5 litres and 20 litres

3. Bisleri Himalayan Water:

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The water that almost descends from the Gods The Himalayas, the abode of the Gods, where the earth meets the heavens and where in lies nature's untouched bounty. White glaciers, snow-capped mountains and a plethora of exotic herbs and other flora that have therapeutic properties. This is where one will find a treasure trove of hidden natural spring water that flows through natural purifying filters, mineral rich rocks and herbs from which it absorbs many healing properties. Bisleri bottles this pristine spring water directly at source, at the foothills of the Himalayas.

Pack Sizes Available

Bisleri Himalayan Water is available in 500ml. bottles & 1 litre bottles.

Packaging @ Bisleri -

The most critical aspect of bisleris bottling process that sets it apart from the rest of the industry is the fact that their bottles remain untouched right through the rinsing, filling, capping and labeling operations.
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Filling: Bottles are fed by an air conveyor from the blowing unit directly into the in-feed of the RFC. The RFC equipment is neck run and it boasts of a monoblock unit, which means that every bottle is held by the neck automatically while being inverted, rinsed and sprayed with ozonated water at 2 bar pressure. After draining, the bottles are reinverted and transferred to the filler. At the filler these bottles are straightened up and gradually lifted to the filling valves which open only when a bottle is placed under them. Filling is then done systematically through gravity.

Capping: After the filling process the bottles are then transferred to the capping section. Here ozonated-water rinsed caps are screwed on the bottle with uniform torque. Since the water is ozonated all product contact parts are of 316L grade stainless steel and the rubber parts are of EPDM. (All components are water lubricated above the table top.)

Labeling: From the capping section the bottles are directly sent to the labeling section. All Bisleri bottles are labeled on a hot melt reel feed BOPP labeling machine. This machine allows each individual bottles to be spaced out and fed to the labeling station where precisely cut labels with a strip of hot melt glue at the leading and trailing edge, get rolled around the bottle. These labels are fed into the machine in a roll form too.

Quality Check:

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From here on, the bottles go through an online check where qualified personnel inspect each bottle for any leaks or breakages. They are then packed into sturdy cartons which are dispatched to the market by the companys fleet of trucks.

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Every brand needs a good ad campaign to establish itself in the market. So it becomes very imperative to look at various ad campaigns that Bisleri undertook to build itself as a brand. Bisleri started its game plan with the punch line of Pure and Safe and used the same catch-line for advertising. But with the advent of many new players, all claiming the purity, it became very imperative for Bisleri to differentiate its product so as to stand out in the market. Bisleri found the answer in sealed cap bottles. It claimed 100% purity. While the bottles of the other brands, it claimed, could be refilled with ordinary, or even germinated water, Bisleris seal capped bottles ensured the consumer of purity of water and single-used ness of the bottles. The ad showed a milk-man and a child showering their buffaloes and filling the so-called mineral water bottles with the same water and packing them with the simple polythene seal and the consumer not knowing about the purity of the water he is drinking. Next clip shows the Bisleri bottles being sealed with plastic caps and ensuring the purity of water. The ad did work for Bisleri and it got its much needed product differentiation. In 2000, some giant brands like Pepsi and coca-cola entered the mineral water industry with a big bang. Bisleri now had a big threat of maintaining its market cap. While Coca-cola introducing its brand Kinley as a health care product, Pepsi projected Aquafina as something as pure as Your own body. Pepsi targeted the young generation and introduced Aquafina as a fancy product to carry. The ad campaign of Aquafina emphasized as 70% of your body is water and thus give your body the purest water. The ad showed young vibrant models
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. e ie x

and created the atmosphere of youthfulness. Water, Pepsi claimed, was no longer a simple beverage, but was something highly fashionable. They complimented it by giving their bottles an attractive look. This soon caught the eye of the consumer. All these factors made Pepsi the biggest upcoming competitor of Bisleri (whereas Kinley lagged behind the race, showing a doctor advising a family to take Kinley for pure water not a very attractive ad campaign). Bisleri, to counter-attack the new Feel-Young fever had to even bolder steps. They first changed their base line from Pure and Safe to Play Safe. They tried a brand new ad campaign to catch the fancy of consumer. The new ad showed a young romantic couple on a marooned island, when the girl seductively attracts the guy and he follows her in trance. The moment he gets hold of her, she whispers something in his ears. The next few shots show the guy looking for something in frenzycan not find it.rushes towards the chemists shop.buys something (keeping the audience in suspenseor rather implicitly pointing for ). The girl opens it and.POOF.takes out a bottle of Bisleri and quenches her thirst. Caption: Play Safe. This campaign was to catch the attention of youth and a new Indian society which is supposed to be not-so-prudish. Thus Bisleri has taken a very bold step. The T.V. ads have been complimented by print ads also. The company has to focus on the marketing management of the product. In light of the challenge in front of the company and its current strengths and position, we have incorporated the marketing mix to counter the marketing strategies of the competitors by developing its own marketing.

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MARKETING MIX

The set of controllable tactical tools- product, price, promotion, and place (4 Ps), that the firm blends to produce the response it wants, in the target markets. The 4Ps

Product The main product of the company is the mineral water by the name of Bisleri Mineral water. Other than mineral water the company has also the soda water, mountain water under its brand name called the Bisleri Soda Water and Bisleri Mountain Water. The concept of bottled mineral water was introduced in India, first by Bisleri, and that is the reason, it has become a generic name for the mineral water. Bisleri has become a perfect synonym of the mineral water for the Indian consumers. The main challenge facing the company or any other player in this mineral water industry is that there is no scope of invention and innovation in the product, which can be added as the additional benefits of the product.

It is just water after all. This is what the Indian customers think of the bottled water. If we are talking about a product like television we can think that the innovations could provide extra benefits derived from the product. For example other than its core usage the product can provide for Internet facilities using conversion.
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Place Place stands for the company activities that make the product available to the target customers. To make the product available to the target consumers a good distribution network has to be there to support the good quality of the product. Here in the case of the mineral water industry the distribution network is the important factor in being competitive and the catch lies in making water available to maximum number of places in the country.

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DISTRIBUTION NETWORK: The small-scale players built their sales by piggybacking on the generic category built up by Bisleri. Its a battle that Bisleri can win by sheer distribution muscle. One of the reasons why Bisleri is running strong in this industry is its strong distribution network built over the years since its inception. Further, Bisleri plans to increase its distribution network over the southern and eastern region, where it is behind popular brands like Team in Tamil Nadu and in Andhra Pradesh.

Prices for following packaging variants

(AN ECONOMIC FACTOR AFFECTING THE BUYERS BEHAVIOR)

Price is the sum of values that consumer exchange for the benefits of having or using the product or service. Price is the only element in the marketing mix that produces revenue. All other elements represent costs. In India, where the majority of the population comprise of the middle-income group and lower income groups it is not hard to understand that pricing is one of the most important factor in the buying decisions. Bisleri has met the expectations of the consumers in terms of pricing the product and also making the product available in variations of litres, making Bisleri both convenient and affordable. The company is following a very aggressive pricing. Its product is available at a very reasonable price.

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250 ml Glass 250 ml Bottel 500ml Bottel 1 Litre Bottel 2 Litres Bottel 5 Litres Jar 20 Litres Jar

Rs.4 Rs.6 Rs.10 Rs.15 Rs.22 Rs.35 Rs.70

Promotion Modern marketing calls for more than just developing a good product, pricing it attractively, and making it available to the target customers, companies must also communicate with their customers, and what they communicate should not be left to chance. A Companys total marketing communications program- called its Promotion Mix consists of specific blend of advertising, personal selling, sales promotion, and public relations tools that the company uses to pursue its advertising and marketing objectives.

ADVERTISING CAMPAIGN: While designing the advertisement campaign, it is necessary to keep in mind the opinion leaders. Youth are the opinion leaders of the present time. And thus it becomes necessary to design the campaign keeping the youth in mind. The opinion leaders would further trickle down the message to the less active members of the society. This is exactly what Bisleri is doing. Bisleri has started an advertisement campaign stressing the point of purity and flaunting the patent right the company has over the breakaway seal. The company has tried to put the
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message across louder, by using the ad campaign that catches the eye of everyone, specially the youth. Bisleri that was looking for a differentiator decided to make the breakaway seal the symbol of purity. The tamper-proof seal was developed, around which the communication was woven. The campaign stresses the safety provided by the breakaway seal by illustrating the ease with which conventionally sealed bottles can be refilled and recycled. The objective with the campaign would have been to highlight the tamperproof seal and create doubt in the consumers mind of the purity of the other brands. That is, Bisleri is the only one that guarantees purity and keeps you Safe.

To conclude: We find that new advertisement campaign of Bisleri is eye catching. This is what the company should do. And also the company should make the message clearer to the customers that it has the patent right over the breakaway seal. In the survey we found that the consumers are aware of the breakaway seal but are not aware that the company has the patent right.

Apart from a high dose of investments on expanding bottling capacities and an ad budget thats risen six-fold over last year, if Bisleri wants to penetrate every possible segment of the market, it can do that by introducing more pack sizes and establishing the brand strongly with trendy new packaging. Apart from creating consumer pull with campaign, the company, to increase its sales would have to do the sales push as well. For that it would have to give the retailers and other stockiest high trade margins and incentives for keeping the
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product. This is very important in case of this product because consumers would take up what is available to them at ease and whatever retailer is giving.

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[Page No.39]

COMPETITION The mineral water market is set to explode and hit the Rs.2,000-crore mark in the next couple of years. This is drawing the big guns attention. First Britannia launched Evian. And recently, soft drinks giant Pepsi entered the fray with Aquafina. Now, Nestle too is reportedly planning a foray. Meanwhile, Parle Agros Bailey has been growing steadily. Small local players too are breathing down Bisleris neck riding on better trade margins and intensive distribution (in their respective areas of operation). The competition facing Bisleri can be categorized into a few brand names like

Parle Bailey Pepsi Aquafina Coca Cola Kinley

With Parles Bailey being the main competitor and second in market share in the organized market, Bisleri faces tremendous competition from the unorganized sector.

Aquafina
The advantage for Aquafina is that though there are over 300 labels of bottled water in the Indian market, few can be called brands. It is necessary to remember that every product with a name is not a brand; even Bisleri has become generic to this category. It does not have any emotional values attached to it. So there was no difficulty for Pepsi in creating space in such a market, which is completely different from the soft drinks market, where it will be very difficult for any
[Page No.40]

new player to find a slot. So the creative team at HTA virtually had an empty canvas to work on. And it came up with a campaign that did have people talking. First, a series of teasers, followed by a film that showed healthy bodies and youthful people and, of course, lots of water. Although Aquafina is only available in a 750 ml pet bottle, the pricing, at Rs.10, is competitive. And it is safe. In addition to the tamper proof seal, there is a reliable method of checking whether the bottle has been refilled.

Coca Cola- Kinley

Coca-Cola joined the race by announcing the imminent launch of its own brand of water and, in the process, putting to rest rumors of its so-called takeover of Bisleri. Kinley is targeting institutions.

Parle Agros- Bailley

Bailley the brand that is owned by Ramesh Chauhans brother Prakash Chauhan is very popular in the southern part of India. Southern part of India accounts for 20% of the sale of the whole water market industry Another thing that makes the competition difficult for the company is the price at which its competitor is offering the product. Like Bisleri it also gives the 1 lt. For Rs.10. The only strength point of the company, which it can capitalize, is its generic name. And also the company would have to enter that market with a strong distribution base. We know the fact that Bailley has grown at a rapid pace using the route of franchising, which Bisleri has not adopted as yet. This is another point, which the company would have to take care of to face the competition.

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Strengths

Old and famous brand name Better packaging Effective distribution network Famous as pure & safe among consumer Good product mix Frequent quality checking Much used by corporate world Better management Give regular follow up to distributor Indian image Better sales force Sponsoring various cultural program Better visibility Good intensives to dealer

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WEAKNESS one liter packs which accounted for 50 per cent of the companys turnover has come down to 30 per cent. The two-liter packs, which have practically disappeared from the shelves, have come down from 20 per cent to five per cent. The growth has come from the 500 ml and the five-liter category, which account for 15 per cent and 36 per cent of turnover respectively. Earlier, Bisleri was selling at a premium of Rs.12 for the same size. But beginning last year, it has been selling its one- liter bottles at Rs.15 each. Aqua Minerals attributes the Price slashing to retailer margins being on the higher side earlier. The competitive Rs.15 price tag has been working well for the brand. In what could be a masterstroke, Aqua Minerals is testing out the possibility of mass marketing 20-litre Bisleri bottles for an MRP of Rs.70. That works out to Rs.20 a litre. If the logistics, manufacturing and distribution do fall in place, it could change the face of the purified water market for keeps.

OPPURTUNITIES So far, Chauhan has not used the franchising route very aggressively unlike Parle Agros Bailley which has grown very fast using this route. He has around six franchisees in Mumbai, Delhi, Chennai, Bangalore, Goa and Rajasthan. We shunned this route so far because in most areas where we had no presence, it was imperative that we did it ourselves. Now for further expansion we can afford to use the franchisee route.

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THREATS
Bisleri will be taking the packs back and refilling them. But the packs cannot be sterilized since the material used is PET and cannot withstand high temperature. So how can he ensure purity?

Strategy to counter threats and others? We subject the bottles to chlorine washes, hot water washes and ozone washes before we refill the bottles. The company is betting on the home segment. The reason being that filters and water purifiers also need to be cleaned periodically and still do not guarantee absolutely clean water. In order to service this segment, the five liter packs are being pushed through the route of fat dealers (wholesale dealers) who are retailers as well as stockiest and serve as supply points from where customers can pick up the required quota. In future, consumers will be able to call the fat dealer and place orders for home delivery of the five-liter pack. The company has so far appointed 180 such dealers. This is a high turnover, low-margin retailer who does not keep a store but serves a similar purpose with other items such as rice or Atta.

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Objectives of the Project

To find out the preference level of Bisleri bottled water in the market.

To determine the market share of Bisleri Brand of Bottle Water

To know the competitors strategies.

To find untapped retailers.

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RESEARCH METHODOLOGY
1. RESEARCH DESIGN:

The research design which has been used in the research report is Exploratory
research

Exploratory Research
In this research we use the these method : 1- Survey method 2-Search for secondary data 1-survey-in this method we collect the data from the interview .we take the interview of different Retailer and asked the question related to topic. We take the interview of 50 person in the market. 2-Search for secondary data-it is the most economical way of research for collecting data we collect the data from those resources.

Methodology adopted
We collect the data from the different sources . these are : (1) Primary sources: Primary Source of data collection with mothers who use baby soaps or may be other soaps for their kids.

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(2) Secondary sources: Past records, Files, Internet,

SIZE OF SAMPLE:
This refers the number of items (Outlets) to be selected from the finite universe to constitute a sample size. The survey was conducted of 50 outlets.

NATURE OF DATA:
In this project report the data is collected through primary data source as well as secondary data. Type of Data collection Primary Method adopted Questionnaire Mode of communication Personal Interviews

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Q. 1 whether the customers are already aware about this product? A) Aquafina b) Bisleri c) Kingfisher d) Kinley e) Others

4.50% 25%

10.50%

Aquafina Bisleri Kingfisher Kinley 50% others

10%

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Q.2 Which brand of bottle water do customers ask for the most? .

6.30%

3.97% 23.33% Kingfisher Kinlery Aquafina Bisleri

54.45%

13.95%

others

ANALYSIS: According to market share figure, Bisleri is the leading brand which 55.45% market share. While Kinley is on second rank with 23.33% market share, Aquafina is on the third rank with 13.95% share, Kingfisher have 3.97% market share and others 6.30%.

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Q.3 Which brand of bottle water do customers ask for the most? a)Aquafina b)Bisleri c)Kingfisher d)Kinley e)Others

4.50% 25%

10.50%

Aquafina Bisleri Kingfisher Kinley others

10%

50%

ANALYSIS: 50% retailers said that when it comes to mineral water customers only said give me a Bisleri then on second number they ask for kinley or any other bottled water.

Q.4 How much is your monthly sale of different brands?

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20%

2.00% Bisleri Aquafina Kingfisher

8% 10%

60%

Kinley Others

ANALYSIS: 60% of sellers said that they have their maximum sales from Bisleri, 20% sellers said that they have their maximum sales from Kinley, 10% said that they are getting good revenues from Aquafina, 8% get it from Kingfisher, 2% get it from others.

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Q.5 Why do you prefer to sell more this particular brand? a. Easily available b. More demand c. Quality Factor

26%

34%

Easily available More demand Quality Factor

40%

ANALYSIS: 40% sealer prefer to sale Bisleri because of it high demand, 34% sale it because of its easily availability and 26% sale it because of its good quality.

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Q. 6 When you talk of mineral water, what brands come to your mind?

15%

5% 35%

25% 20%

Bisleri Aquafina Kingfisher Kinley Others

ANALYSIS: 35% seller said that when they think of mineral water Bisleri name comes in their mind, 25% of the sellers said that Kingfishers comes to their mind, 20% said Aquafina, 15% said Kinley and 5% said others.

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Q. 7 whether the customers are already aware about this product?

100% 80% 60% 40% 20% 0%

85%

15% YES S1 NO

S e r ie s 1

INTERPRETATION: 85% are aware about the product and 15% people are unaware.

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Q.8 Which brands of mineral water are more available on your shop?

45% 40% 35% 30% 25% 20% 15% 10% 5% 0%

40%

25%

15%

15%

5%

Analysis: 40% of the saler said that they kept Bislsri more in their shop, 25% said that they stock more Aquafina , 15% kingfisher as well as 15% Kinley and only 5% stock others .

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Q.9 Number of the buyers who buy this particular brand of water per day? a) 0-5 b) 5-10 c) 10-15 d) above 15

0-5 5_10 10_15 above 15

ANALYSIS: As per the above analysis 40% sellers sell10-15 bottels in a day, 25% sellers sell 5-10 bottles in a day, 15% sell 0-5 bottles, 10% sell Above 15 bottles.

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Q.10 Are you satisfied with the current margins on this brands? Yes No

yes no

ANALYSIS: As per the above analysis 88% sellers are satisfied with the current margins of this brand, but 12% sellers are not satisfied.

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Q.11. Whether you are getting any complaints from customers specify?

Bisleri

100% 50% 0% yes no series1 series1

ANALYSIS: As per the above analysis 88% sellers are satisfied with the current margins of this brand, but 12% sellers are not satisfied.

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Finding
After the tabulation and analysis of 50 respondents from Ghaziabad city: He following findings are obtained: 1. 50% people know about the Bisleri brand 2. As per the above analysis 88% sellers are satisfied with the current margins of this brand.

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3. Accounting to market share figure, Bisleri is the leading brand which 55.45% market share. 4. 60% of sellers said that they have their maximum sales from Bisleri. 5. 85% are aware about the product and 15% people are unaware. 6. As per the above analysis 88% sellers are satisfied with the current margins of this brand

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CONCLUSION The players who will endure will be those who have a strong regional presence. Take the case of Team, which enjoys immense popularity in Tamil Nadu. Similar brands with a regional presence are Siruvani, and Koday. Thus, new players will be looking for a distinct positioning. One such brand is Bisleri, the largest selling bottled water brand in the US. After its successful test launch in Mumbai and Bangalore, Bisleri was released in Chennai, Ahmedabad, Vadodara, and Pune. Parle Agro has invested over Rs.5 crore in the new Bisleri water project in Maharashtra.

Moreover, Bisleri will be served absolutely chilled. That makes sense too, since surveys have indicated that an overwhelming majority of the bottled water that is consumed in India is by people who are traveling.

With the big players, who have the support of the financial muscle and a large consumer base in other categories with them, like Pepsi, Kingfisher, Nestle and Coke the battle is the tougher arena of brand building. All the multinationals are looking at high-octane advertising targeting specific consumer segments. Sensing troubled waters ahead, Bisleri is busy working on a strategy to soak up the competition and protect his water kingdom.

Strategy which the company could adopt, are as follows: -

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1.The soft target Selling bottled water requires constantly expanding the market. The company should also target the market for soft drinks. All the soft drinks addresses three issues: fun, thirst and refreshment followed by status to some degree. The thirst and the status value of the mineral water are well accepted. There is very little the mineral water brands can do to add the fun element around the product. Again here, it becomes important for the company to have a good distribution network. It should be understood that if the mineral water is easily available everywhere then it can be said with confidence that it would be able to replace the soft drinks as thirst quencher. If we try and look at the reasons that why consumers buy soft drinks as thirst quenchers: we would find the answer as that either water is not available or if it is available then safety is not assured. Therefore, backed by a good distribution network mineral water industry can grow at a rapid rate.

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[Page No.65]

LIMITATIONS

o A small segment of the market has been covered only, so the conclusion cannot be generalized.

o The data collected cannot be free from errors, since some of the respondents failed to give correct information.

o Study accuracy totally based upon the respondents response.

o Stipulated short span of time for survey.

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[Page No.67]

RECOMMENDATIONS o Tries to give retailers good margin so they feel it more profitable to sell our product more than the competitors. o Tries to provide small refrigerator to the big retailers as you competitors done so that they can provide chilled water to the consumers because your competitors do not allow the to keep you product in there refrigerator and because of these reasons some time retailers hesitate to keep your product. The company should take care of the demands of distributor such as providing extra cartons (as some cartons are destroyed during loading and unloading activities), promotional materials etc. o The company should increase its tie-ups with major fast food retail outlets and leading chain of restaurants and Hotel in order to boost sales o Advertisement to build the brand image that will provide the required ground to establish the authenticity to the product. o Awareness programs at health club, schools & Nursing homes. o The company should organize camps at various part of the city also road show to bring about the difference between mineral water and filter/purified water and to tell the people how mineral water is more hygienic than filtered water/purified water. o To aware people the cost benefit analysis to the customer of how the mineral water would cot less and benefit more, because people using purifier system cost too much.

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[Page No.69]

BIBLIOGRAPHY

Marketing Management, Philip Kotlar Annual Report, Bisleri

Business Magazines

Websites

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[Page No.71]

QUESTIONNAIRE Retailers details (please fill up): ________________________________ Retailers shop Name: ________________________________ Address: Contact Person: ________________________________ Q1. Which brand of bottle water do you sale more? a. Kingfisher b. Kinlery c. Aquafina d. Bisleri e. others Q2. Which brand of bottle water do customers ask for the most? a)Aquafina b)Bisleri c)Kingfisher d)Kinley e)Others Q3 How much is your monthly sale of diffrent brands? _______________________________________________ Q4. Why do you prefer to sell more this particular brand? a. Easily available b. More demand c. Quality Factor
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Q5. When you talk of mineral water, what brands come to your mind?

Q6. Whether the customers are already aware about this product? ____________________________________________________

Q7. Which brands of mineral water are more available on your shop? ____________________________________________________ Q8. Number of the buyers who buy this particular brand of water per day? a) 0-5 b) 5-10 c) 10-15 d) above 15

_________________________________________________ Q9. Are you satisfied with the current margins on this brand? Yes No

Q10. Whether you are getting any complaints from customers specify? __________________________________________

Q11. Whether you are getting any complaints from customers, specify? ____________________________________________________ Q.12. To which brand and reason?

Brand:-

_____________________________________

Reason:-

_____________________________________
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