The study on Brand availability of Parle-Agro

In Colleges and IT Companies in Hyderabad

Submitted by: Saroj Kumar Jena PGDM 2011-13 Regd. No.-7013 Under the supervision and Guidance of

(Faculty guide) Prof. Bharat Bhusan Singh

(Director Academics) Prof. Mir Irfan Ul Haque

DECLARATION

I Saroj Kumar Jena, here by declare that the project titled The study on Brand
availability of Parle-Agro in various Colleges and IT Company in Hyderabad is an

original work carried out under the guidance of Prof, Bharat Bhusan Singh.The report submitted is a bonafide work of my own efforts and has not been submitted to any institute or published before.

Date: Place: Hyderabad

Signature Of the student SAROJ KUMAR JENA

Faculty Guide Certificate

I Prof. Bharat Bhusan Singh certify Mr/Mrs. Saroj Kumar Jena that the work done and the training undertaken by him/her is genuine to the best of my knowledge and acceptable.
Signature

Date

ACKNOWLEDGEMENT
I would like to express my appreciation and thanks to all those with whom i have had the opportunity to work and whose inputs & insights have helped me in furthering my knowledge and understanding of my subject. I would like to take this opportunity to thank Prof. Mir Irfan Ul Haque, director academic, vishwavishwani institute of systems & management, Hyderabad and ParleAgro for giving me the opportunity to do my project in such a big organization. My heartfelt thanks go out to my project supervisor, Prof.Bharat Bhusan Singh, vishwa vishwani institute of system and management, Hyderabad, who was instrumental in designing the project deserve more than just a few lines in acknowledgement and I am deeply indebted to him with regard to the successful completion of the project. Without her guidance and encouragement it would not have been possible for me to complete my project successfully. I would like to thank the principal director and director operation and faculty members of my institute for providing me opportunity to work in a professional environment. I also extend my gratitude to Parle-Agro for giving this project an identity and to me an opportunity to represent the premier institute in professional world. For this i would like to thank my project guide Mr. T Venkat (BDM) and some other person of this organization. Without support of all other employees my project would not be completed, so I am also equally thankful to all employees of Parle-Agro. At last I express my sincere gratitude to almighty for his considerate and profound care and support for making me capable for undertaking my maiden project of life and completing it successfully.

SAROJ KUMAR JENA

TABLE OF CONTEENTS

CHAPTER

CONTENT
Introduction

PAGE NO.
5-9

2.1 Industry profile 2 2.2 Company profile 2.3 Review of literature

10-55

3.1 Research methodology 3 3.2 Theoretical concepts 56-59

4.1 Data collection 4 4.2 Analysis & 4.3 Interpretation 50-71

5.1 Findings 5 5.2 Recommendations 5.3 Conclusions 72-74

Bibliography Annexure, Questionnaire 75-78

CHAPTER - 1 INTRODUCTION

INTRODUCTION
Products which have a quick turnover, and relatively low cost are known as Fast Moving Consumer Goods (FMCG). FMCG products are those that get replaced within a year, examples of FMCG generally include a wide range of frequently purchased consumer products such as toiletries, soap, cosmetics, beverages, tooth cleaning products, shaving products and detergents, as well as other non-durables such as glassware, bulbs, batteries, paper products, and plastic goods.

Types of trade deal by (FMCG) company. GENERAL TRADE. MORDEN TRADE. INSTITUTIONAL SALES. HORECA. According to this project the study covers on institutional trade.

Institutional Sales

The institutional market consists of Schools, Colleges, Hospitals, Nursing homes, IT

companies, Air lines, Railways and other institutions that provide goods and services to people in their care .Institutions differ from one another in their sponsors and their objectives. These markets are also giving opportunity to sell huge amount of product to few customer. Thus its reducing labor as well as delivering cost .Each institution has different buying needs and resources. According to my work point of view the company given to me institutional selling at various College and IT Company in Hyderabad. According to the above statement each institution has different buying needs. For example, College Student have little choice but to eat whatever food the College supplies. A College purchasing has to be deciding on the quality of food to buy for student. Because the food is provide a part of total service package .If student receiving poor quality of food will complain to other and damage college reputation. Thus the

college purchasing department must search for institutional food vendor whose quality meets or exceeds a certain minimum standard. Brand visibility. Brand availability and sku availability. New account opening.

The companies will always tries to enfold certain visionary thoughts of a product or services. Though it is very difficult to envisage the practical measures of the company and gradually dismantling the process of improvement in its field. The product visibility plays a greater role to increase the sales of the company. The

visibility will always allocate the manifestation of the products and increase the percentage of share through its point of sales materials such as wobblers, posters, stickers and also arranging the products in a right way. There are different eye levels of people starting from children to old age people and thereby making arranging the products in right manner. So as to attract the customers through its arranging the products. In an organization, the company will always tend to follow the visual marketing. So as to attracts the customers and make as marketers to think beyond their limits and captivated the systematic approach of the business. The Parle Agro will always grab the majority of share in the market. As this Parle Agro is a brand and thus will tend to improve its market share in day to day basis and thus the Brand visibility is must to improve the sales.

Brand avaliablity and SKU avaliblity: Brand availability also plays a vital role for increase the sales performance of the company . Brand availability helps the company like If the brand is available on the store its create a positive impact to the company It cant give the chance to customer for switching the brand A stock-keeping unit (SKU) is a unique number which is used to identify a billable item in a company's inventory. Using SKU numbers, companies can keep track of the quantities they have in inventory, and they can manage inventory effectively with the use of computerized systems, rather than having to keep track of everything by hand. SKUs are usually unique to the companies where they are used, which means that an identical product can have different SKUs if it is handled and sold by different companies are make different types of sku for a product . Because to meet the customer want at different time. The different different store are also willing to keep different sku of that product . If all the sku is available in the store then definitely he can meet the customer want of different sku. Thats why now a days every company give

special type of focus on sku for how to avail in all store. New account opening: Here new account opening means add new institution to our company. Every company always try to opening new account . Because its helps in achieving high market share and increase the company image. According this project I was able to crate 80 new accounts to the company.

OBJECTIVE OF THE STUDY

To find out how many IT Company and College are available in the city. To know the brand availability in the colleges and IT Companies. To know the sales proportion of Parle products vis a vis competitors products To know the customers brand preference.

SCOPE OF THE STUDY The study only covers the colleges and IT Companies canteens in Hyderabad The study is done to find out the brand avaialbility of the Parle products The study covers the customers preference of only those customers who are using the canteen services of IT Companies and colleges canteen.

LIMITATION OF THE STUDY The scope of study is limited to the respondents are selected from in and around Hyderabad and secundarabad region. The project is carried out for the period of 60 days only. The sample unit was also 150 respondents.

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CHAPTER-2
LITERATURE REVIEW

INDUSTRYPROFILE COMPANY PROFILE

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LITERATUREREVIEW
What Is an Institution?
What do you think of when you think of an institution? 1. A mental hospital 2. Correctional facility 3. Dormitory 4. Cafeteria food 5. An elephant in the room? Institutions today are a lot more exciting than they were decades ago! If you take a close look, you will see just how dramatic the transformation has been. Healthcare is evolving continuously. Hospitals are no longer cinder blocks, tile floors and pale green paint-they are now on the leading edge in architectural design and the services they provide. Many medical clinics have high-tech systems that enable the staff to share and/or access your medical records from anywhere in the country. Churches that were previously stern and imposing structures have morphed into neighborhood gathering places where people can enjoy Starbucks or Subway while they visit with fellow parishioners. Organ recitals have been replaced with rock music, steeples can house cell phone towers, and the dividing line between sacred and secular is often blurred College students can choose to take classes on-site or online. They have bookstores filled with logo apparel, school supplies, electronic equipment, and gourmet coffee and food offerings. College students 40 years ago had bookstores filled with -- books. Dormitories were sparse and primitive compared to residence halls today that provide refrigerators, microwaves, lounges, and private baths. If you think of an "elephant in the room" when you think of the institutional market, you're not alone. In many ways, the institutional market is the elephant in the B2B room. Marketers have known for decades that certain service and administration SIC
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codes produce good results but we are just now learning how big and desirable B2i has become and, more importantly, how to talk about it. From a B2B marketer's view, institutions are scattered around the SIC spectrum which makes it difficult to see them as a whole segment. While SIC codes haven't changed much since they were created in the 1930s, institutions have grown dramatically. When SICs were established, institutions were tiny slivers within the B2B pie. Today, they have grown to the point that they represent mammoth opportunities and deserve your attention. Once you understand the B2i market, you will probably experience information overload. The elephant becomes visible. You'll see it in news articles, business reports, CEO interviews, and special interest TV and newspaper segments that are devoted to the significant aspects of the institutional market. The reports, however, rarely identify B2i as a whole or call it by name.

Institutions And Businesses Are Different

Institutions don't buy like businesses, don't act like businesses, and can't be segmented like businesses. You cannot expect to use the same strategies to reach influencers in the institutional market as you have used to reach decision makers in the B2B world. When you get under the surface, you will see the differences and how they should impact your pitch and marketing plans. The chart below provides a very basic view of the differences between businesses and institutions:

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There are three major groups of institutions. While some institutions are clearly members of only one of the major groups, other types of institutions can belong to multiple groups making it even more important to examine the differences 1. Government offices and government-funded entities include parks and recreation departments, police and fire departments, and public schools. 2. Private, not-for-profit organizations that are purpose driven include hospitals, nursing homes, churches, and private schools, Govt School, among others. 3. For-profit organizations that are purpose driven include doctors, dentists, and the 16% of U.S. hospitals that are for-profit. When you pay attention to the fundamental differences between businesses and institutions, you can modify your marketing plans and optimize your success in the B2i space. The Institutional Market Is Big And Growing

If institutions could be placed in a single SIC category, you would see that in 2005 spending in the B2i segment was $4.1 trillion-approximately one-third of GDP. Given the incredible size of the segment, you're probably wondering why you haven't read or heard about it. The fact of the matter is that the purpose-driven economy is invisible or
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obscured in government data; non-profit organizations don't pay taxes and many of them aren't required to file forms with the IRS. Look at the following examples of institutional growth and think about the bottom-line benefit of focusing on the institutional market.

Healthcare has grown from 5% of GDP in the 1950s to 16% today. The title of the September 25, 2006 BusinessWeek cover story drives home the point that the healthcare segment is exploding: "What's Really Propping up the Economy-Health care has added 1.7 million jobs since 2001. The rest of the private sector? None."

City and County Government budgets can be equivalent to Fortune 1000 companies. Johnson & Johnson (#32) and the City of New York each control $50 billion budgets. Master Card (#626) and Cook County, IL are each responsible for $2.9 billion annually.

Total education funding has increased substantially in recent years at all levels of government, even when accounting for enrollment increases and inflation. By the end of the 2004-05 school year, national K-12 education spending had increased an estimated 105% since 1991-92. On a per-pupil basis and adjusted for inflation, public school funding increased 24% from 1991-92 through 2001-02.

The total revenue of religious organizations in 1996 was $81.2 billion. While it's difficult to find solid revenue data regarding religious organizations, growth of mega-churches and faith-based initiatives over the past decade has certainly contributed to making religion a multibillion-dollar market.

When you consider the fact that institutions have grown twice as fast as businesses over the past 50 years, the B2i segment becomes very attractive. The pay-offs to investing more of your attention to capturing B2i customers are increased profit and improved lifetime value.

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Institutions Are Bigger Than Businesses

It can be difficult for marketers to grasp the size advantage that institutions have over businesses. One reason is that most B2B marketers view their customers through the lens of SIC (Standard Industrial Classification) codes, which are used to segment B2B marketing databases. The SIC system was developed by the federal government in the 1930s to organize and report on economic data. While the SIC system was modified slightly over time (and has since been replaced by NAICS codes for government use), it is still strongly skewed toward describing the business environment as it existed 70 years ago. The bulk of the SIC codes describe manufacturing activities, while the institutional sector is given short shrift because it wasn't prominent in the 1930s. As an example, there are four separate codes to differentiate the producers of electronic capacitors, electronic resistors, electronic coils, and electronic connectors. Meanwhile, every specialty outpatient facility-alcohol treatment, family planning, mental health, physical rehabilitation, and more-is shoved into a single SIC category. To really view the scope of the B2i economy, it's necessary to reconfigure the institutional SIC codes, which we have done in the table below. In this arrangement, you can compare the size and economic power of purpose-driven institutions compared to traditional profit-driven businesses.

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When arranged properly, the numbers clearly show that the distribution of SIC codes has not kept pace with the rapid growth of the B2i market. Note that institutions employ 28.3% of the workforce, but have only been allotted 7.4% of the total number of SIC codes! Those relatively few SIC categories, however, add up to a very large marketplace. The B2i sector includes 2.2 million locations that employ 37 million people. The true size advantage of institutions is shown in the number of employees per location. The average institution has 16.7 employees, nearly double the amount of the average business (8.5). Organizations with more employees have greater purchasing needs to support the activities of their staff, so the typical institution customer is twice as desirable as its business counterpart. Institutions are indeed good, large potential customers, and there are lots of them. Many people are surprised that institutions such as hospitals, schools, and government offices are now the biggest employers in most cities and towns across the U.S. The continuing shift in the U.S. economy, which is often reported as a shift to "service-

17

based" or "information-based" businesses, could arguably be better stated as a shift toward an "institution-based" economy. For example, manufacturing jobs in Chicago dropped 26.3% from 1995 to 2005 while employment in the advanced services sector grew rapidly. Crain's Chicago

Business ranked the largest employers in the city for 2005. Six of the top ten employers are institutions and even more interesting is the fact that those six institutions employed 73% of the total employees in the top-ten list.

What are the implications of the institutional size advantage? Take an institutional SIC like 8062, general medical and surgical hospitals. According to D&B there are 13,468 locations with an average of 297 employees per location. This compares to just 10 employees on average for all organizations in the B2B database. When reviewing your customer file through the SIC lens, you might see that 8062 is a strong performer. But is it 30 times stronger? If not, one conclusion might be that 8062 is under-marketed in your current strategy. You should review your customer file to make sure you're capitalizing on the largest organizations with the largest budgets. If institutional customers aren't buying more than your business customers, you may need to shift your focus toward the B2i employers.

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Institutions Are More Stable Than Businesses: One of the key reasons stability is important is that acquisition costs are lower when you don't have a customer file prone to constant churn. It is much more economical to mail to the same customer year after year than it is to try and find new customers to replace customers who have ceased doing business. An interesting way to examine the stability/volatility contrast between businesses and institutions is to think about the number of Fortune 500 businesses over the past 50 years that are no longer in existence today. Businesses:

Bethlehem Steel was #12 on the Fortune 500 list in 1955 but no longer exists today.

Enron first appeared on the Fortune 500 list in 1995 with revenues of $8.9 billion and filed for bankruptcy just 6 years later.

Institutions:

Harvard University was established in 1636 and now has a $29 billion endowment.

New York Hospital was founded in 1771 and now has a multibillion-dollar budget.

According to the Bureau of Labor Statistics, mass layoffs impacted 3.6 million workers from 1999 through 2001. The industry breakdown shows that 80% of the layoffs occurred in the business sector:

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Institutions Are Recession Resistant Institutions are funded through taxes and other revenue sources that are not impacted by dramatic short-term fluctuations in the economy. If your customer file contains a high number of institutions, your revenue gains and losses will be similarly stable. If your customer file contains a high number of businesses, the peaks and valleys will be much steeper. Think about the dotcom era and how businesses spent exorbitant sums of money to acquire talent, decorate offices, and pay bonuses. When the bubble burst, the economic valley was the equivalent of the Grand Canyon. A good way to contrast businesses and institutions during that time period is to think of the tortoise and the hare-institutions grew, but at a steady and almost predictable rate, and in the long run, won the race. The institutional market is a good sector during both strong and soft economic cycles. People need the services provided by government offices, hospitals, and schools regardless of the economic climate. Even if institutions have to cut programs and services during a soft economic period, they still need to function on a daily basis, i.e., they still need office supplies, computer equipment, janitorial supplies, and they still need to provide basic services like police and fire protection to the public. Institutions Are Creditworthy

When was the last time you turned an institution over to a collection agency? Creditworthiness is not an issue when dealing with most institutions because:

Institutions cannot spend money unless it is appropriated. In other words, they can't spend money they don't have.

Purchase orders cannot be released unless there are funds in the bank.

Businesses can often be a credit risk because revenue disbursements are made at the discretion of the business owner or manager. In the institutional space, the money can't be spent if it hasn't been appropriated. The minute a purchase order is issued, the funds are encumbered so they can't be used for a different purpose. Although many marketers say the purchase order process is time-consuming and laden with details, the benefit of
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knowing you will be paid for a product or service is well worth the effort. In addition, the financial stability and lower acquisition costs make B2i customers a very attractive segment. When Should You Mail To Institutions? Timing is a critical element in B2i campaigns. In fact, it is so important that choosing when to mail will directly impact how successful you will be. Most of us would enjoy having the resources to conduct year-round campaigns. While it's true that some level of discretionary purchasing occurs on a year-round basis in institutions, there are also extremely time-sensitive opportunities. For example, in nonprofit and government-funded organizations, fiscal year-end dates and budgets have a significant impact on purchasing decisions. For most non-profit organizations, the months near the end of one fiscal year and beginning of the next are the critical budgeting and purchasing period. Your product and service offerings need to be in the hands of purchasing influencers at the time they are discussing budgets for the upcoming year. Likewise, capitalizing on "clean-up" spending prior to the end of a fiscal year is equally beneficial. Clean-up spending means using left over budgeted funds before the end of a fiscal year to avoid losing them. A key contrast between institutions and businesses is the difference between public and private accounting standards:

In businesses (private institutions), managers are incentivized to reduce costs to maximize profits.

In public institutions, managers are incentivized to spend their entire budgets.

If a department doesn't spend all of the money allocated to it by the end of the fiscal year, the money is returned to the general budget and the department's budget for the next year may be reduced. Selecting drop dates that correspond with your customers' discretionary and clean-up spending timeframes will help you maximize profitability and increase response rates.

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Finding The Decision Maker In Institutions Identifying the decision maker at an institution can be a difficult task because in many institutional settings, the decision maker collaborates with others prior to making the commitment to buy. A sole decision maker is more likely to exist in the business arena and it's much easier to identify that person and/or their title. This is one area where you need to think about your audience and be especially careful about business title addressing. Sometimes job titles don't accurately describe the job function. For example, the Materials Manager at a hospital who has more influence than the Purchasing Director. The Materials Manager is responsible for deciding what to buy while the Purchasing Director is responsible for monitoring the actual transaction, i.e. purchasing process. Likewise, an Acquisition Librarian doesn't actually "acquire" anything-that person is responsible for making sure the orders are processed correctly. In the institution market, you need to know whom you are targeting. If you approach the institution file with the strategies you use in reaching traditional B2B decision makers, you may miss some terrific candidates. Businesses and institutions also have significantly different operating infrastructures and the organizational chart can be an important tool in helping you understand reporting structures and identifying key decision makers. It's interesting to note that even the training for leadership positions is different between businesses and institutions. The vast majority of college graduates who are interested in a "business" career will pursue a Masters of Business Administration degree. Students interested in an institutional leadership position will enroll in programs such as Master of Public Administration, Master of Theology, Master of Education, or Medical Doctor. Businesses have CEOs, Presidents, and COOs while institutions' leaders may be called Mayor, Governor, Superintendent, Principal, Director, Manager, City Administrator, or Pastor. The ability to select the appropriate decision maker by job title can have a huge impact on response rates and the success of a mailing campaign. In some cases, mailing to multiple job titles may help your message reach the right person at the right time in the budgeting and allocation cycle.

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Conclusion

Think about the traits you would like your ideal customer to have:

larger than average unlikely to go out of business always pays its bills buys more each year not subject to big economic swings.

When you combine these traits, you have essentially defined an institution. While B2i is certainly the elephant in the B2B room, this stealth growth market now spends $4.1 trillion annually making it a very, very lucrative market. The purpose-driven economy of institutions has evolved from small slivers of the SIC world into much larger pieces of the pie. It is worth the time and effort to learn about both the subtle and dramatic differences between businesses and institutions. By developing marketing plans strategically focused on the institution market, you can improve your profits, response rates, and the lifetime value of your customers.

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INDUSTRY PROFILE
Fast Moving Consumer Goods (FMCG) Industry:
FMCG are products that have a quick shelf turnover, at relatively low cost and don't require a lot of thought, time and financial investment to purchase. Fast Moving is in opposition to consumer durables such as kitchen that are generally replaced less than once a year. Three of the largest and best known examples of Fast Moving Consumer Goods companies are Nestl, Unilever and Procter & Gamble. The Indian FMCG sector is an important contributor to the country's GDP. It is the fourth largest sector in the economy and is responsible for 5% of the total factory employment in India . This has been due to liberalization, urbanization, increase in the disposable incomes and altered lifestyle. The lower-middle income group accounts for over 60% of the sector's sales. Rural markets account for 56% of the total domestic FMCG demand. FMCG Evolution: 1950s-80 Low Investment in the sector. Low purchasing power. Govts emphasis on small scale sector. HLL and other companys urbane focus. Post liberalization. Entry of MNCs. Focus shifted to getting to rural consumer first Others, like Nestle, remained with the urban population Latest fad to hit the market is the sachet bug.
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appliances

Mushrooming of regional brands. Nirma enters and changes the focus to Value for Money in the 70s. Post liberalization, Jyothi Laboratories, Ghari Detergent and Anchor toothpaste giving the nation-wide brands a run for their money.

FMCG SECTOR: Fast Moving Consumer Goods (FMCG) goods are popularly named as

consumerpackaged goods. Items in this category include all consumables (other thangroceries/pulses) people buy at regular intervals. The most common in the listare toilet soaps, detergents, shampoos, toothpaste, shaving products, shoepolish, packaged foodstuff, and household accessories and extends to certainelectronic goods. These items are meant for daily of frequent consumption andhave high return. A major portion of the monthly budget of each household is reserved for FMCGproducts. The volume of money circulated in the economy against FMCGproducts is very high.

Industry category and products:

Household Care
Personal Wash:The market size of personal wash is estimated to be around Rs. 8,300 Cr. The personal wash can be segregated into three segments: Premium, Economy and Popular. The penetration level of soaps is ~92 per cent. It is available in 5 million retail stores, out of which, 75 per cent are in the rural areas. HUL is the leader with market share of ~53 per cent; Godrej occupies second position with market share of ~10 per cent. With increase in disposable incomes, growth in rural demand is expected to increase because consumers are moving up towards premium products. However, in the recent past there has not been much change in the volume of premium soaps in proportion to economy soaps, because increase in prices has led some consumers to look for cheaper substitutes. Hindustan Unilever Lim-ited is the biggest pro-ducer of Personal wash and detergents.The seg-ment is expected to grow by double digit. Detergents:-

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The size of the detergent market is estimated to be Rs. 12,000 Cr. Household care segment is characterized by high degree of competition and high level ofpenetration. With rapid urbanization, emergence of small pack size and sachets, the demand for the household care products is flourishing. The demand for detergents has been growing but the regional and small unorganized players account for a major share of the total volume of the detergent market. In washing powder HUL is the leader with ~38 per cent of mar-ket share. Other major players are Nirma, Henkel and Proctor & Gamble.

Personal Care
Skin Care:The total skin care market is estimated to be around Rs. 3,400 Cr. The skin care market is at a primary stage in India. The penetration level of this segment in India is around 20 per cent. With changing life styles, increase in disposable incomes, greater product choice and availability, people are becoming aware about personal grooming. The major players in this segment are Hindustan Unilever with a market share of ~54 per cent, fol-lowed by CavinKare with a market share of ~12 per cent and Godrej with a market share of ~3 per cent.

Hair Care:The hair care market in India is estimated at around Rs. 3,800 Cr. The hair care market can be segmented into hair oils, shampoos, hair colorants & conditioners, and hair gels. Marico is the leader in Hair Oil segment with market share of ~ 33 per cent; Dabur occupies second position at ~17 per cent. Shampoos:The Indian shampoo market is estimated to be around Rs. 2,700 Cr. It has the penetration level of only 13 per cent in India. Sachet makes up to 40 per cent of the total shampoo sale. It has low penetration level even in metros. Again the market is dominated by HUL with around ~47 per cent market share; P&G occupies second position with market share of around ~23 per cent. Antidandruff segment constitutes around 15 per cent of the total shampoo market. The market is further expected to

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increase due to increased marketing by players and availability of shampoos in affordable sachets.

Oral Care:The oral care market can be segmented into toothpaste - 60 per cent; toothpowder - 23 per cent; toothbrushes - 17 per cent. The total toothpaste market is estimated to be around Rs. 3,500 Cr. The penetration level of toothpowder/toothpaste in urban areas is three times that of rural areas. This segment is dominated by Colgate-Palmolive with market share of ~49 per cent, while HUL occupies second position with market share of ~30 per cent. In toothpowders market, Colgate and Dabur are the major players. The oral care market, es-pecially toothpastes, remains under penetrated in India with penetration level ~50 per cent.

Food & Beverages

Food Segment:The foods category in FMCG is gaining popularity with a swing of launches by HUL, ITC, Godrej, and others. This category has 18 major brands aggregating Rs. 4,600 Cr. Nestle and Amul slug it out in the powders segment. The food category has also seen innovations like softies in ice creams, ready to eat rice by HUL and pizzas by both GCMMF and Godrej Pillsbury. Tea:The major share of tea market is dominated by unorganized players. More than 50 per cent of the market share is capture by unorganized players. Leading branded tea players are HUL and Tata Tea. Coffee :The Indian beverage industry faces over supply in segments like coffee and tea. However, more than 50 per cent of the market share is in unpacked or loose form. The major players in this segment are Nestl, HUL and Tata Tea.

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Top 10 fmcg companies in india in terms of revenue

FMCG sector is an ever growing sector and is currently in a boom phase. There are many jobs in FMCG sector at different levels like sales, supply chain, manager, operations, purchasing, supervisor, administration, general management, product development, HR, Finance and marketing. FMCG sector is famous for jobs that are not only well paying but also gives the best perks and bonuses. Freshers are looking for jobs in FMCG sector as these jobs will give them the best career in the industry.

Top ten fmcg companies in india in terms of revenue:

S. NO.

Companies Hindustan Unilever Ltd. ITC (Indian Tobacco Company) Nestl India GCMMF (AMUL) Dabur India Asian Paints (India) Cadbury India Britannia Industries Procter & Gamble Hygiene and Health Care Marico Industries

1. 2. 3. 4. 5. 6. 7. 8 9. 10.

SOURCE:http://www .naukrihub.com /india/fmcg/t op-companies/4

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KEY PLAYERS IN FMCG INDUSTRY: Hindustan Unilever Limited:

Unilever is lowering its expenditure on packaging across its portfolio of food brands as part of a wider cost-cutting drive. HUL has pared down the colour palette used for print-ing across many products. The system has been used to reduce printed packaging costs for Unilevers products. It is also eco-friendly because it reduces waste in the printing process. HUL is taking different steps to reduce the cost and increase the margin.

Hindustan Unilevers product - Pureit (a water purifier) has received the UNESCO Water Digest Water Award 2008-2009 in the category of best domestic non-electric water puri-fier. Pureit received the award for outstanding contribution in the field of water in India. The product is available across 21 Indian states and has reached more than 1 million homes in India giving them access to microbiologically safe drinking water. Pureits performance has been tested by leading international & national medical, scien-tific& public health institutions and

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meets the germ-kill criteria of the Environmental Pro-tection Agency, the drinking water regulatory agency in the USA.

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Procter & Gamble Hygiene & Health Care Limited (P&G):

The Company has 21 product categories out of which only 8 producthave presence in India. The company is planning to launch the rest 13product in India. The company expects to see a growth in other categories.

The company has an aggressive plan to set up 20 new factories acrossthe World out of which 19 is expected to come in emerging marketsand most of them would be seen in Brazil, Russia, India, and China(BRIC) nations.

Whisper which is one of the companys power brands has recorded 50per cent market share in urban India.

Godrej Consumer Products Limited (Godrej):

The Board of Directors of Godrej Consumer Products Limited (GCPL)has approved the acquisition of 50 per cent stake of its joint venturepartner SCA Hygiene Products stake in Godrej SCA Hygiene Limited.After the transaction, the Joint Venture which
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owns the Snuggy brandof baby diapers will become a 100 per cent subsidiary of GCPL. Godrej Consumer Products Limited has acquired 100 per cent stake inthe Kinky Group Limited, South Africa. Kinky is among one of thelargest brand into hair segment with product portfolio

Dabur India Limited (Dabur):

Dabur has entered into the malted food drink market with the launchof a new health drink DaburChyawan Junior. According to thecompany, they expect to capture a market share of 10 per cent of theRs. 1,900 Crores malted food drink market over the next two years.

Dabur has acquired 72.15 per cent of Fem Care Pharma Ltd (FCPL), aleading player in the womens skin care products market, for Rs 203.7Crores in an allcash deal. The Company is expected to create synergyby this deal.

Dabur got approval from Government of Himachal Pradesh to set up another medicine manufacturing unit. The project has an expectedinvestment of Rs. 130 Crores

32

Colgate-Palmolive (India) Limited:

Colgate Palmolive (India) Ltd, which is currently holding 75 per cent ofthe share capital of SS Oral Hygiene Products Private Ltd, Hyderabad,has acquired the remaining 25 per cent share capital from the localshareholders at an aggregate price of Rs 77.70 lakh. Consequently, SSOral Hygiene Products has become a wholly owned subsidiary of thecompany.

Nestle India Limited:

Nestle is planning to invest Rs 6 billion in India in 2009 for expansionof its business in the country. The company which has allotted aninvestment of Rs 3 billion in the Indian market in 2008, would bedoubling the investment in 2009 as part of its business strategy. NestleInternational is reinvesting and expanding in India and Nestle Indiawill have all the financial resources to expand and grow from theparent company.

Nestle India reported a good increase in its standalone net profit for thesecond quarter. During the quarter, the profit of the company rose26.54% to Rs 1,210.90 million from Rs 956.90 million in the samequarter, last year. The company posted earnings of Rs 12.56
33

a shareduring the quarter, registering 26.61% growth over prior year period.Net sales for the quarter rose 23.45% to Rs 10,356.30 million, while totalincome for the quarter rose 23.78% to Rs 10,423.40 million, whencompared with the prior year period.

Amul

GCMMF stands for Gujarat Cooperative Milk Marketing Federation and the company aims at offering good returns to the farmers and at fulfilling the requirements of consumers by offering them quality products. Of the different products offered by GCMMF, Amul range of products is the most famous and millions of people in India use Amul products. Some of the products of Amul include Amulya, Amul Milk, Nutramul, Amul Ice Cream, Amul Shirkhand, Amul Chocolates, Amul Cheese, Amul Spray, Amul Ghee, Amul Milk powder and Amul Butter.

Asian Paints:

Asian paints came into existence in the year 1942 and they are dealing with industrial and marine coatings, wood finishes, automobile OEMs and refinishes, finish coats and ancillary product in decorative paints. They are manufacturers of FMCG goods namely paints and their plants are located in different states like Tamil Nadu, Uttar Pradesh, Andhra Pradesh, Gujarat and Maharastra.
34

Cadbury India:

Cadbury came into India in the year 1948 by importing consumer good namely chocolates. They were dealing only with importing chocolates, but now they have manufacturing units in different parts of India like Himachal Pradesh, Bangalore, Gwalior, Pune and Mumbai and sales offices at Chennai, New Delhi, Kolkata and Mumbai. Some of their popular products are Cadbury diary milk, celebrations, Eclairs, perk and 5 star and they are also popular for their milk drink bournvita.

Britannia Industries:

Britannia industries are dealing with manufacturing of products like milk, butter, cheese, cakes, rusk, bread and the popular Britannia biscuits. Some of their popular branded biscuits are milk bikis, good day, pure magic, maska chaska, treat and marie gold. The manufacturing units of the company are located at different parts of India like Uttarakhand, Chennai, Delhi, Kolkata and Mumbai.

35

Marico Industries:

Marico Industries is a leading Indian company manufacturing and exporting consumer products to different countries like SAARC Countries, Egypt, the Middle East, Bangladesh, UAE and the USA. Some of their popular products are Parachute, Revive, Shanti, Saffola, and Mediker.

FMCG is an ever-growing sector and this sector offers a wide range of employment opportunities in different departments like marketing, finance, HR, product development, general management, administration, supervision, purchase, operations, sales and supply chain management. Thus, this sector improves the earning capacity of individuals by offering wide range of employment opportunities

Swot analysis of fmcg industry:

Strengths:
Low operational costs

Presence of established distribution networks in both urban and ruralAreas. Presence of well-known brands in FMCG sector

Weaknesses:
Lower scope of investing in technology and achieving economies ofscale, especially in

small sectors Low exports levels "Me-too products, which illegally mimic the labels of the establishedbrands. These products narrow the scope of FMCG products in ruraland semi-urban market.
36

Opportunities:
Untapped rural market

Rising income levels, i.e. increase in purchasing power of consumers Large domestic market- a population of over one billion. Export potential High consumer goods spending.

Threats:
Removal of import restrictions resulting in replacing of domestic brands

Slowdown in rural demand Tax and regulatory structure

37

COMPANY PROFILE

'Parle Products Pvt Ltd based in Mumbai India has been India's largest manufacturer of biscuite and Confectionery, for almost 80 years. Makers of the world's largest selling biscuit, Parle-G, and a host of other very popular brands. Its reach spans even to the remotest villages of India. Many of the Parle products - biscuits or confectioneries, are market leaders in their category and have won acclaim at the Monde Selection, since 1971. With a 40% share of the total biscuit market and a 15% share of the total confectionery market in India, Parle has grown to become a multi-million dollar company.Parle Agro is a food and beverage company based in Mumbai, India. Parle Agro - a trusted name in the beverage industry for agro based drinks. Parle Agro is a leading Indian Beverage Company, the only Indian transnational giant with the past experience of having successfully launched leading soft drink brands like 'Frooti, Appy Classic,Appy- Fizz, Bailley Packaged Drinking Water & Confectionery brands like Mintrox and Buttercup'. Parle Agro strength is our people who have worked towards making our presence felt throughout the country and all over the world through a strong franchisee network and well-developed strong infrastructure. Parle Agro has its factories located in Silvassa, Patalganga, Bhopal, Chennai, Ghaziabad and Hyderabad. At Parle Agro, success is a habit; where greater heights are achieved through consumer insight, sound business practices, marketing and sales innovation, with the focus on the consumer. 'Thinking consumer, Tasting success, Always' - that is what Parle Agro is all about.
38

NATURE OF ORGANIZATION:
"PARLE AGRO is a trusted name in the Indian beverage industry and has been refreshing India since more than two decades with leading brands like Frooti, Apply Classic, Apply Fizz, Bailley, Saint Juice, LMN & recently launched Grappo Fizz. Parle Agro Pvt., Ltd. manufactures, distributes, sells, and exports fruit drinks in India and internationally. The company offers fruit and milk drinks, packaged water, and apple and mango drinks in polyethylene terepthalate (PET) bottles and containers, and tetra packs. The company also operates a health and fitness studio for woman. The company distributes its products through franchisees. Parle Agro Pvt., Ltd. was founded in 1985 and is based in Mumbai, India. Parle Agro has been a trusted name in the beverage industry providing wholesome and healthy agro-based drink brands. It has successfully launched some of India's leading beverages like Frooti, Appy and N-Joi, And packaged drinking water, Bailey, over the last two decades.In a country where health consciousness is growing at a rapid pace, Parle Agro, with its numerous fruitbased drinks, has struck a chord with the masses. It brings to the consumers the magic of premium quality fresh fruit drinks conveniently packed and available all through the year. Fruit beverages are wholesome, easy to digest, highly refreshing with natural nutritional values as compared to synthetic and aerated drinks. Parle Agro's Frooti is India's first national mango drink. The mango segment is 95% of the Indian fruit drink market and Frooti has 85% market share in the tetra pack segment. Made from fresh and premium Indian mangoes, Frooti has grown to be one of India's top 50 most trusted brands. When Parle Agro launched N-Joi with real fruits and fresh milk, it not only launched a new healthy Beverage, but also created a whole new category in India. The milk shake claims to contain no preservatives and is full of nutritional goodness. It's a delicious filler and an apt quick refreshing nourishment for today's hectic stressful life.

39

TERRITORY DESIGN Business of Parle Agro Is divided into following forms: 1.) General retail 2.) Modern Trade 3.) Ho Re Ca 4.) Institutional

Parle Agro has divided its Channel partners into 3 categories:1.) General Trade a.) Premium Distributor b.) Normal Distributor 2.) Modern Retail 3.) HORECA & Institutional

40

The organizational hierarchy:

CEO

GENERAL MANAGER (ALL CHANNELS)

GENERAL MANAGER (ALTERNATIVE CHANNELS)

SENIOR MANAGER

KEY ACCOUNT MANAGER

BDM (BUSINESS DEVELOPMENTMANAGER)

BDE (BUSINESS DEVELOPMENT EXECTIVE)

BDO (BUSINESS DEVELOPMENT OFFICER)

TRAINEES

41

Distribution network of Parle Agro:

FACTORY

C&F

DISTRIBUTER

RETAILER

END CUSTOMER

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VISION:To be the leaders in our business. We will stand apart from the competition by being the first in the market to innovate. MISSION:We will be the leaders in our business by maintaining high quality, introducing new and innovative products, reaching every part of India, remaining customer-centric, constantly upgrading our knowledge and skills. To provide consumers superior, wholesome agro based food and drink brands through which parle can build a profitable; growth oriented organization. Parle is a leading Indian Food and Beverage Company, the only Indian transnational gaint with the past exp[erience of having successfully launched leading soft drinks like Frooti, Appy, N-Joi and Bailley. Toady its brand portfolio consists of No.1 brands like froti along with Appy, N-Joi and Bailley.

PRODUCTS
1. FROOTI:

43

It is the flagship brand of Parle agro. It was introduced in 1985 and it was the first Fruit Drink to be introduced in India. Mango - Indias national and most premium fruit was a virtually untapped segment until the year 1985, which saw the launch of Frooti Mango in a trendy convenient tetra-pack. Frooti Mango is Parle Agro flagship brand and Indias leading fruit drink with a 75% market share. Now, Frooti also comes in PET bottle packing. Frooti is like an Indian ambassador and is a hot favorite not only in India but all across the world. Frooti is the first tetra pack fruit juice in India. Launched in 1984, Frooti still holds a dominant position in the Rs300 crore tetra pack fruit juice (TFJ) market. Frooti over these years have carved out a niche for itself in the market.

Changes in tag line over the years Mango Frooti, Fresh n Juicy has remained the base tagline since the brand launch. In between, the brand has used new taglines such as Frooti - Just like that Fresh and juicy! What a beauty! Mango Frooti! Juice up your Life Accepting that Frooti would perhaps always be identified as Fresh and juicy, Frooti packs currently incorporate the decades-old tagline, with a minor change, saying, Fresh N Juicy Mango. Even the ad plays the jingle towards the end. But Frooti brand communication is based around the theme of Why grow up.

Product line of Frooti

1. Frooti 65 ml TCA 2. Frooti Tetra Pack 200ml 3. Frooti Pet 200 ml

44

Product line of Frooti

Frooti 65 ml TCA
01

Frooti Tetra Pack 200 ml

02

Frooti Pet 200 ml

03

Frooti 500 ml
04

Frooti Pet 1000 ml

05

Frooti 1500 ml
06

45

2.

BAILLEY

It is a mineral water and was launched in the year 1993. It is one of the f irst brands to get an ISI certif ication. Bailley conf orms to stringent BIS Norms. It undergoes 51 quality control tests includes 32 chemical tests, 9 microbiological tests and 10 physical W HO, USFDA, PFA. Parle Bailley Aqua is u nique because it has the same consistent taste across India. This is because of the unique pur if ying processing system, which removes all miner als and salts and puts back only exact premeasured t ests and meets inter national st andards laid down b y

quantities of salts and minerals necessary f or the human body. Bailley Aqua is purif ied wit h chem ical f ree natural U.V. Treatment .

46

3. APPY

Appy Classic was launched in 1986 as Apple nectar and originally available in a white tetra pack with an apple and leaf graphic. As of 2011, it comes in black tetra packaging. It was the first apple nectar to be launched in India. Born in 1986, Appy - the still apple drink, is the most popular and first of its kind in the country. Appy is made from fresh juicy apples. Its new sleek and classy packaging makes it elegantly charming to one and all. Maybe youll bump into it at your next banquet or while dining at your favorite restaurant. Meet the most sophisticated member of our family. Appy is available in 200ml & 1 ltr. Tetra Pak and 250ml& 400ml PET.

47

4. Appy Fizz

Appy Fizz is a product by Parle Agro, introduced in India in 2005. Appy Fizz consists of carbonated apple juice, and is used as the basis for cocktails and is a popular drink with the youth.After the success of Appy which was clean apple juice, Parle launched its sequel product as Grappo Fizz, which is a carbonated grape juice. The drink was the subject of a successful campaign of advertising at cricket matches in 2007-08. Appy Fizz is also manufactured and marketed in Bangladesh by Global Beverage Co Ltd. under license from Parle Agro.

48

Appy Fizz 300ml

Appy Fizz 500ml

Appy Fizz 1000 ml

5. Grappo Fizz:

49

Launched in 2008, Grappo Fizz is a sparkling grape juice drink. Credited with creating the sparkling fruit drinks category in India[citation needed], Grappo Fizz is along the lines of existing product Appy Fizz. Heres Appy Fizz cousin - Grappo Fizz. He can rap, he can dance and can almost always do both together. Grappo Fizz comes in the same sleek champagne-bottle shaped bottle as Appy Fizz and sports a label that has his hip-hop attitude all over it. Oh, and of course, you cant miss his bling. Whether its his awesome attitude or sheer grapeness, Grappo Fizz will surely bring the house down! Grappo Fizz is available in 300ml, 500ml and 1 ltr. PET.

6. LMN

LMN was launched in March 2009, as non-carbonated lemon drink (nimbupaani or lemonade) When youre thirsty, catch up with LMN Lemon Aqua, the fresh lemon drink packed with Vitamin C and tons of lemony goodness. Well, this drink is really one of a kind. It can turn even a boring meeting or a traffic jam into a refreshingly refreshing experience. Do invite it the next time youre at home twiddling your thumbs, tired or just thirsty, for a refreshing time. Meet our most accomplished thirst quencher! Just ask for lemon. Available in 100ml and 200ml Tetra Pak and 250ml, 500ml and 1 ltr. PET.

50

7. S AINT JUICES:

Saint Apple Juice comes with the natural benefits of green apples. Compared to other varieties of apples, Green Apples are richer in Vitamin C and are high on fiber content. They are an excellent source of potassium and antioxidants. The concentrate for Saint Apple Juice is made from carefully selected green apples from the best orchards in Austria and imported to India. Saint Juice is being manufactured out of Parle Agro's Hyderabad plant, which has high capacity lines for manufacturing of one liter Tetra Pak and economy of scale to support the new product. Saint Apple Juice packs are pristine white and uncluttered, featuring stunning shots of real green apples stacked unconventionally on top of each other. The unique and distinct packaging lends an international feel to the product. Available in 1 liter and 200 ml SKU's, the packs are priced at Rs 80 and Rs 15 respectively. Saint Apple will be available across India with a special focus on metros, mini-metros and the top three cities of every state.

51

Confectionary 8. Mintrox mints

Mintrox mints (launched in 2008), hard mint candy available in 2 flavors Buttercup candies (launched in 2008), hard boiled candy; it is targeted at kids and adults alike. MintroxLife eej hard. Introducing the little rock star.Well, Mintrox is a small yet a firm member of our family. Its a hard mint that loves to enjoy even the hardest moments in life. It is available in three exciting flavours: Peppermint, Cinnamon Mint and Menthol Mint. You can expect some solid performances from this guy. Mintrox is available in a refill pouch of 100 pcs. and jars of 150 pcs., 300 pcs. and 900 pcs.

Frewt clair Fruit inside. Fruit outside. Introducing the newest member of our family. Its rich and definitely one of its kind. Frewt clair is not your average clair. Its fruit cream in the inside, fruit caramel on the outside, and fruit all around. It comes in four awesome flavors mango, banana, strawberry and orange. Such a simple idea that you may wonder why nobody thought of it before .Frewt clair is available in a stand-up pouch of 100 assorted pcs. and a jar of 160 assorted pcs .
52

9. Buttercup Softease

Buttercup Softease, a toffee available in 4 flavors .Buttercup soft ease Really precious toffees. If youve passed through the metal detector, say Hi to our Buttercup Softease.This pricey Kidult is really precious to us. In fact, we make sure to keep it in our treasure chest. And guess what, this wealthy newcomer is available in four rich and creamy flavors - caramel, coconut, strawberry and vanilla. Well, actually in invaluable tastes. Butter Cup Softease is available in a refill pouch of 100 assorted pcs. and a jar of 240 assorted pcs.

10. Softease mithai

53

Softease Mithai, a toffee available in 3 flavors Softease Mithai Tradition with a twist. When timeless traditions meet tasty toffee. Presenting the ultra-lovable Softease Mithai - the newest member of our Confectionery family. This cultured treat is available in two delicious flavours - Kaju and Kesar. Softease Mithai is available in a refill pouch of 100 pcs. and jar of 124 pcs.

Snacks
11. Hippo:

Hippo (launched in 2009), baked snack available in seven flavors .Hippo Delicious Baked Munchies. Youd be delighted to meet this family member especially when you are hungry. He cares. He cooks. He is Hippo. Hippo is very disappointed with superheroes, intelligence agencies and world leaders. He thinks none care about fighting the worlds biggest enemy, hunger. So, Hippo has taken matters into his own hands and kitchen. To fight hunger, Hippo has made delicious baked munchies in international flavors like Italian Pizza, Yoghurt Mint Chutney, Chinese Manchurian, Hot-n-Sweet Tomato and Thai Chili Hippo is available in Rs.5, Rs.10 and Rs.20 packs
54

Market Share:Frooti has 85% market share in the tetra pack segment. With a 40% share of the total biscuit market and a 15% share of the total confectionery market in India. Parle Agro has been a trusted name in the beverage industry providing wholesome and healthy agro-based drink brands. It has successfully launched some of India's leading beverages like Frooti, Appy and N-Joi, and packaged drinking water, Bailley, over the last two decades. In a country where health consciousness is growing at a rapid pace, Parle Agro, with its numerous fruit-based drinks, has struck a chord with the masses. It brings to the consumers the magic of premium quality fresh fruit drinks conveniently packed and available all through the year. Fruit beverages are wholesome, easy to digest, highly refreshing with natural nutritional values as compared to synthetic and aerated drinks. Parle Agro's Frooti is India's first national mango drink. The mango segment is 95% of the Indian fruit drink market and Frooti has 85% market share in the tetra pack segment. Made from fresh and premium Indian mangoes, Frooti has grown to be one of India's top 50 most trusted brands. When Parle Agro launched N-Joi with real fruits and fresh milk, it not only launched a new healthy beverage, but also created a whole new category in India. The milk shake claims to contain no preservatives and is full of nutritional goodness. Its delicious filler and apt quick refreshing nourishment for today's hectic stressful life. Appy, another premium drink from the Parle portfolio, is a deliciously light and refreshing apple drink made from orchard fresh apples from Himachal Pradesh. It's a favorite with the young generation as a tasty, healthy, nourishing drink. Parle Agro has also diversified into the fitness industry and has set up fitness centers in Juhu and Malad in Mumbai with aggressive plans to expand nationally. Says Ms. Nadia Chauhan, Director, Marketing, "Parle Agro remains committed to refreshing India and constantly caters to the health and quality-conscious consumer through newer and varied initiatives." Parle Agro is the first to introduce fruit drink in a tetra pack in India, the first to introduce apple nectar and the first to introduce fruit drinks in PET bottles in India and the first to develop a real fruit and dairy fresh milk brand.
55

Bisleri Bailley Aquafina Kinley Himalaya Kingfisher Local

48% 22% 3% 4% 2% 1.50% 19.50%

SHARE IN % OF MAJOR PLAYERS OF MINIRAL WATER

Kingfisher 2% Himalaya 2% Kinley 4% Aquafina 3% Local 20% Bisleri 48%

Bailley 22%

56

SWOT Analysis of Parle Agro

Strengths
Parle Brand Parle has a Brand Name Diversified product range - Parle Group has diversified products in its portfolio, it has fruit drinks like Frooti, Appy, N-Joi , Confectionary items, Snacks etc in its portfolio. In Mineral Water segment it has bailey as its product. Low and mid price range Catering to mass Its Price is vey affordable for its customers

Weakness
Dependence on retailers & grocery Stores for displaying diversified Parle Products on shelf Parle Agros product display is dependent on retailers & Grocerry Stores

Opportunities
Estimated annual growth of 20% Low per capita consumption It is expected that the per capita consumption will grow Changing consumer preference - Consumers preference is increasing ,demand for sugar free product is increasing every year

Threats
Hike in cost of production due to hike in Raw material cost - Production cost is affecting profitability of Parle Agro Increasing distribution cost Increased distribution cost has also effected Parle Agros profit Local bakery products - Their are bakery products from local bakers which is a threat for Parle Agro
57

CHAPTER-3 RESEARCH METHODOLOGY

58

Research:
Viewing a particular phenomenon that already exists is called as Research. In other words, searching and doing study on any existing substance from the universe is called as Research. A universe is the total population on which the research study is to be done or is being conducted. Methodology: The in the Methodology contains the steps involved in the research, which are used to solve problem of research.

Research methodology
Many companies that invent new products set high initial value to the products and similar to the practice in the industry and these rates are typically decided on the basis of products positioning, demand, competition, inflation and other factors. Even small differences in prices can signal product differences. Many direct marketers monitor inventories, costs and demand at any given moment and adjust prices instantly. Throughout most of history, prices were set by negotiations between buyers and sellers. This project depends upon the primary as well as secondary sources which are as follows.

Components of research problem:

There must be an individual or a group of individuals, which has some difficulty or some problems. There must be some objectives to be attained. There must be some alternative means to obtain the objectives. There must be some environment.

59

Why we study research methodology?

To get an inside about every knowledge. To determine the association of one activity with another activity. To determine the characteristics of an individual or a group of individuals or various activities or their frequency of occurrence.

Importance of research methodology in management:

Helps the managers to take good decisions.

Provide the managers, more knowledge and better information. Helps the management for new product development. Availability of improved techniques and tools to meet this need Helps in customer satisfaction

Types of research:
Two types of research are there. 1. Exploratory research 2. Conclusive research Conclusive research further divided into two categories Descriptive and Experimentation Research.

Sources of Data Collection

There are two sources of Data Collection 1. Primary Sources The Data collected directly from the universe by conducting interview, etc. These are the original Sources from which the researcher directly gathers data which are not previously referred, observation. Many companies that invent new products set high
60

initial value to the products and similar to the practice in the industry and these rates are typically decided on the basis of products positioning, demand, competition, inflation and other factors. Even small differences in prices can signal product differences. Many direct marketers monitor inventories, costs and demand at any given moment and adjust prices instantly. Throughout most of history, prices were set by negotiations between buyers and sellers. SAMPLE SIZE AND AREAS COVERED A customer-based survey was conducted in which 100 m canteen owner were

asked to fill the questionnaire in which 100 responded during the brand availability and brand visibility event around Hyderabad like AMMERPET, MEHENDIPATNAM, BANJARAHILLS ,UPPAL ,KOTI, KONDAPUR, etc.. 2. Secondary sources The data are collected from secondary sources such as magazines, journal etc. These sources consist of already variable data in a form of statement, and report, which may include sensory report, financial statement of the company, report of Government department, etc.

61

Chapter-4 Data collection /Analysis & Interpretation

62

1. Do you have a canteen in your College ? 1 Yes 45

No

55

Total

100

Series 1

Yes 45% No 55%

From the above graph it is interpreted that out of 100 respondents, 45% respondents said they have canteen and 55% respondents do not have canteen.

63

2. Do you purchase Beverages for your canteen? 1 2 Yes No Total 60 40 100

Sales

No 40%

Yes 60%

From the above observations of graph out of 100 respondents, 60 respondents said that they purchase Beverages and 40 respondents that they do not purchase Beverages.

64

3. Which brand you would like to purchase more in quantity? 1 2 3 4 Pepsi Coca Cola Parle-Agro Others Total
50 30 13 7 100

Sales
Others 7% Parle-Agro 13%

Pepsi 50% Coca Cola 30%

From the above graph it is observed that 50 respondents buy pepsi, 30 respondents buy Coca Cola followed by Parle Agro which is 13 and others is 7.

65

4. What influenced your decision to purchase Parle Agro product?

Demand Consumer

by 40

Brand Reliability

Name 35

3 4

Quality Advertisement
Total

15 10
100

Sales
Advertisement 10%

Quality 15%

Demand by Consumer 40%

Brand Name Reliability 35%

From the above graph it is observed that out of 100 respondents, the maximum respondents buy Parle Agro Product because of demand, 40 respondents Demand by consumer, 15 respondents Brand Name Reliability, 15 respondents Quality, 10 respondents Advertisement

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5. According to brand preference which brand do you think is the toughest

competitor for Parle Agro product?

1 2 3 Pepsi Coca-Cla Others Total 55 38 7 100

Sales

Pepsi Coca-Cla Others

From the above graph it is observed 100 respondents, 55 respondents think pepsi is toughest competitor for Parle Agro product,38 respondents think toughest competitor for parle Agro,7 respondents think other toughest competitor for parle Agro.

67

6. Which brand of fruit juice you prefer to purchase?

1 2 3 4 Maaza Slice Frooti Others Total 40 25 30 5 100

Sales
Others 5%

Frooti 30%

Mazza 40%

Slice 25%

From the graph it is observed that out of 100 respondents, 40% are purchase maaza, 25% are purchase Slice, 30% are purchase frooti, 5% are purchase other brand.

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7. which brand of water battle you prefer to purchase?

1 2 3 4 Kinley Aquafina Bailley Others Total 40 32 10 18 100

Sales

Others 18% Kinley 40%

Bailley 10%

Aquafina 32%

From the graph it is observed that out of 100 respondents, 40% respondents are like to purchase kinley, 32% respondents are like to purchase Aqufina, 10% respondents are like to purchase Bailey, 18% respondents are like to purchase other brands.

69

8. which brand of snacks you prefer to purchase ? 1 2 3 4 5 Lays Kurkure Bingo Hippo Others Total 40 32 12 4 12 100

Sales
Hippo 4% Others 12% Lays 40%

Bingo 12%

Kurkure 32%

From the above graph it is observed out of 100 respondents, 40% respondents like to purchase lays, 32% respondents like to purchase Kurkure, 12% respondents like to purchase Bingo, 4% respondents like to purchase Hippo, 12% respondents like to purchase other brand.

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9. Do you think brand visibility will increase the sales of Parle Agro products?
1 2 3 Yes No Can nt say Total 55 35 10 100

Sales
Can nt say 10%

No 35%

Yes 55%

From the chart it is observed that out of 100 respondents, 55% respondents are visibility will increase the sales of Parle Agro products. 35% respondents are visibility will increase the sales of Parle Agro products 10% respondents are visibility will increase the sales of Parle Agro products.

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10. Are you satisfied with the service of Parle Agro? 1 2 Yes No Total 60 40 100

Sales

No 40%

Yes 60%

From the above graph it is observed that out of 100 respondents, 60% respondents are like to satisfy in Parle Agro services, 40% respondents are like to not satisfied in parle Agro services.

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11. What do you expect as a customer from Parle Agro products?

1 2 3 4 5
Total

Quality Purity Availability Loyalty others

40 22 12 18 8
100

others 8%

Sales

Loyalty 18%

Quality 40%

Availability 12% Purity 22%

Interpretation:-This chart represents that 48% respondents expect quality from Parle Agro products 22% respondents purity from Parle Agro product.12% respondents Availability from Parle Agro product. 18% respondents Loyalty from Parle Agro product. 8% respondents other from Parle Agro product .
73

Findings, suggestions and conclusions

74

Findings of the study: Here it is found that in the current market scenario every college & IT company

canteen is keeping frooti and confi in their shops. Penetraion is 100%. According to the brand preference the college & IT company canteen are willing

to purchase Parle Agro product in more quantity as compared to others whereas Pepsi, Coca-Cola and Cadbury have a smaller presence. If we see the influence factor then we can found that canteen are willing to buy

Parle Agro product due to the brand name and then after for customer demand whereas quality influences little beat at last merchandising come to their mind. According to the competition of merchandising, Coca-Cola is the toughest

competitor of Parle Agro. Pepsi, Dabur, Perfetti Van melle are also creating very good competition. Merchandising can use as a tool to increase the off take off a company because

maximum respondents strongly agreed and many respondent agreed that it may increase the sales whereas no body disagreed. According to the shelf space it is found that front shelf is meant to create

maximum impact in the customers mind as compared to side shelf-space and back shelf-space. Coca-cola ,mazza, and kinley merchandise is best accepted as up-to-date one and thus it is competing with Parle Agro in this field of Beverage. Parle Agro is giving the best customers service and stands first among its

competitors. It maintains its CRM very effectively and efficiently. . The company has a very committed and dedicated marketing department Creating awareness through Internet or through Audio/ visual or through Print

media is best done by Parle Agro.

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According to the variety of product (product lines) Coca-Cola, Pepsi, ITC is

competing with Parle Agro in this respect. Distribution is regarded as one of the important factor in FMCG industry; here in

my study Parle Agro has a good distribution network comparing Coca-Cola.

Recommendations:

The Brand visibility should be up to date and should create impulse in the mind of customer. It should take steps to create more canteens by offering, Catchy & Intelligent schemes.

The attitude of salesman with the college & IT company Canteens owners must be helping & communication in formal way. Exchange Policies of all Parle Agro Product due to expiry or damage should be properly communicated to customers during Sale. The salesman appointed by the company must be literate and should have good communiacation skills. The company should appoint merchandiser under every distributer to increase in off take of the company.

Conclusion
After going thick on the thing, now time is to make a complete picture, while making a product a SKU of the shop retailers think about the customer needs and they promote the brand which provides them highest satisfaction. They expect return in the form of profit margin, company schemes, window display and references of the shop. Among these, company schemes make the differences and are the highest source of motivation after profit margin. So a food and beverages company should focus both on pull and push strategy.

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BIBLIOGRAPHY Books
Principle of marketing 13 th edition by (Philip Kotler) (Gary Armstrong) Published by Dorling Kindersley (India) licensees of Pearson Education in South Asia Marketing management 4th edition by (V S Ramaswamy) ( S Namakumari) Published by Rajiv Beri for Macmillan Publishers India ltd Marketing by (Joel R. Evans) (Barry Berman) Macmillan Publishers India ltd Business Marketing 3rd edition by (F Robert Dwyer) (Jhon F Tanner) Published by Tata Mcgraw Hill Education pvt. Ltd. Marketing Research by Gilbert A. Churchill, Dawn Iacobucci and D.Israel Published by Cengage Learning. Business Research Methodology 1st edition 2008 by J.K. Sachdeva Published by Himalaya publishing house Research methodology in management 5th edition by Dr. V.P Michil Published by Himalaya publishing house

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Websites
http://www.google.co.in/ http://www.wikipedia.org/
www.Parleagro.co.in www.indianeconomy.com www.naukrihub.com www.marketresearchdata.com

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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 fruit drinks for your shop? a. Yes ( ) b. No. ( ) 3. Which brand you would like to purchase more in quantity? a. PepsiCo ( ) b. Coca-Cola ( ) 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)( ) 5. Which brand do you think is the toughest competitor to Frooti /Appy? a. Mazaa b. Slice c. Others 6. Which brand of fruit juice you prefer to purchase? a. Maaza b. Slice c. Frooti d. Others
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7. Which brand of water battle you prefer to purchase? a. Kinley b. Aquafina c. Bailley d. Others

8. Which brand of snacks you prefer to purchase? a. Lays b. Kurkure c. Bingo d. Hippo e. Others 9. Do you think brand visibility will increase the sales of Parle Agro products? a) Yes b) No 10. Are you satisfied with the service of Parle Agro? a) Yes b) no

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