Post on 19-Jul-2016
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A PROJECT REPORT
ON
PARLE-G,
A BRAND SUCCESS
SUBMITTED BY: SUBMITTED TO:
ROHIT REHAN (216) PROF. VIJENDRA DHYANI
SACHIN YADAV (218) FACULTY:
SAMREEN JABBAR (221) MARKETING
MANAGEMENT
SATYAM SIDDHARTH (223) (IMS GHAZIABAD)
SAURABH KHETWAL (226)
SHANTANU PANDEY (231)
INSTITUTE OF MANAGEMENT STUDIESC-238, BULANDSHAHR ROAD, LAL QUAN
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GHAZIABAD – 201009
INDEX
S.NO. CONTENTS PAGE NO.
1 Acknowledgement 3
2 Introduction 4 - 5
3 About The Company 6
4 Board Of Directors 7
5 Products Of Parle 8
6 Quality Of Parle 9
7 Marketing Strategy Of Parle 10
8 Marketing Mix Of Parle Products Limited 11 - 12
9 Major Competitors Of Parle Products Ltd 13 - 15
10 Questionnaire 16 – 23
11 Bibliography 24
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ACKNOWLEDGEMENT
Project work is never the work of an individual. It is more a combination of views and ideas,
suggestions and contribution and work. This project also bears the imprint of many people. Thus
one of the most pleasant parts of writing this report is the opportunity to thank those who have
contributed towards it.
Nothing concrete can be achieved without an optimal combination of inspiration and
perspiration. No work can be accomplished without taking the guidance of the experts. It is only
the views and advice from ingenious intellectual that help in the transformation of a product into
a quality product.
I gratefully thanks to Prof. VIJENDRA DHYANI (Project Guide) who has given us the
opportunity to learn at deep level to prepare this project.
Last but not the least, no acknowledgement will be complete without mentioning our parents &
friends. They have also supported us throughout the development of our project.
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INTRODUCTION
Parle Products has been India's largest manufacturer of biscuits and confectionery for almost 80
years. Makers of the world's largest selling biscuit, Parle-G, and a host of other very popular
brands, the Parle name symbolizes quality, nutrition and great taste. With a reach spanning even
to the remotest villages of India, the company has definitely come a very long way since its
inception.
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 confectionary market in India, Parle has grown to become a
multi-million dollar company. While to the consumers it's a beacon of faith and trust,
competitors look upon Parle as an example of marketing brilliance.
Over the years Parle has grown to become a multimillion-dollar company with many of the
products as market leaders in their category. Parle Products began manufacturing biscuits, in
addition to sweets and toffees. Having already established a reputation for quality, the Parle
brand name grew in strength with this diversification. Parle Glucose and Parle Monaco were the
first brands of biscuits to be introduced, which later went onto become leading brand names itself
for great taste and quality.
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Today, the great strength of Parle Products is the extremely widespread distribution network.
Even at the remotest places, you can buy Parle biscuits and sweets from the local grocer. It has
taken years to create this extensive network. Parle’s sales force started with one salesman in
Bombay and some agents in few other cities. Gradually, Parle Products expanded. Soon sweets
and biscuits were being sent by rail to Calcutta, Delhi, Karachi, Madras and other major cities.
As production increased, distribution was amplified. Full time salesmen were appointed in
different areas. Currently, Parle Products has over 33, 00,000 distribution outlets.
Hygiene is the precursor to every process at Parle. From husking the wheat and melting the sugar
to delivering the final products to supermarkets and store shelves nationwide, care is taken at
every step to ensure the best product of long-lasting freshness. Every batch of biscuits,
confectioneries & snacks are thoroughly checked by expert staff, using the most modern
equipment. This ensures consistent and perfect quality across the nation and abroad.
Concentrating on consumer tastes and preferences, the Parle brand has grown from strength to
strength ever since its inception. The factories at Bahadurgarh, Haryana and Neemrana,
Rajasthan are the largest biscuit and confectionery plants in the country. The factory in Mumbai
was the first to be set up, followed soon by the one in Bangalore, Karnataka. Parle also has 10
manufacturing units for biscuits and 75 manufacturing units for confectioneries on contract.
All Parle products are manufactured under the most hygienic conditions. Great care is exercised
in the selection & quality control of raw materials, packaging materials & rigid quality standards
are ensured at every stage of the manufacturing process. Every batch of biscuits &
confectioneries are thoroughly checked by expert staff, using the most modern equipment.
The Care is taken at every step to ensure the best product of long-lasting freshness. Every batch
of Biscuits, Confectionaries & Snacks are thoroughly checked by expert staff using the most
modern equipment. This ensures consistent and perfect quality across the nation and abroad.
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ABOUT THE COMPANY
A long time ago, when the British ruled India, a small factory was set up by Mohanlal Dayal
Chauhan in the suburbs of Mumbai city, to manufacture sweets and toffees. The year was 1929
and the market was dominated by famous international brands that were imported freely. Despite
the odds and unequal competition, this company called Parle Products, survived and succeeded,
by adhering to high quality and improvising from time to time.
A decade later, in 1939, Parle Products began manufacturing biscuits, in addition to sweets and
toffees. Having already established a reputation for quality, the Parle brand name grew in
strength with this diversification. Parle Glucose and Parle Monaco were the first brands of
biscuits to be introduced, which later went on to become leading names for great taste and
quality.
The original Parle Company was split into three separate companies, owned by the different
factions of the original Chauhan family:
Parle Products, led by Vijay, Sharad and Anup Chauhan (owner of the brands Parle-G,
Melody, Mango Bite, Poppins, Monaco and Krack Jack)
Parle Agro, led by Prakash Chauhan and his daughters Schauna, Alisha and Nadia (owner of
the brands such as Frooti and Appy)
All three companies continue to use the family trademark name "Parle". The original Parle group
was amicably segregated into three non-competing businesses. But a dispute over the use of
"Parle" brand arose, when Parle Agro diversified into the confectionary business, thus becoming
a competitor to Parle Products. In February 2008, Parle Products sued Parle Agro for using the
brand Parle for competing confectionary products. Later, Parle Agro launched its confectionery
products under a new design which did not include the Parle brand name In 2009, the Bombay
High Court ruled that Parle Agro can sell its confectionery brands under the brand name "Parle"
or "Parle Confi" on condition that it clearly specifies that its products belong to a separate
company, which has no relationship with Parle Products.
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BOARD OF DIRECTORS
NAME OF MEMBERS DESIGNATION
Vijay K Chauhan Chairman & Managing Director
Sharad P Chauhan Managing Director
Raj K Chauhan Managing Director
Ajay V Chauhan Executive Director
Anup S Chauhan Executive Director
Samar S Chauhan Executive Director
PRODUCTS OF PARLE
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BUSCUITS SWEETS SNACKS
Parle-G Londonderry Parle’s wafers
Monaco Melody Namkeen
Golden Arcs Mango Bite Fulltoss
Parle Actifit Digestive
marie
Kaccha Mango Bite Munchies
Parle Marie Chox Cheeslings
Hide & Seek Poppins
Hide & Seek Fab Mazelo
Hide & Seek Bourbon 2 in 1
Festo 2 in 1 Éclair
Happy Happy Kismi
Milano Kismi Toffee Bar
Nimkin Fruit Drops
Coconut
20 – 20 cookies
Jam In
Gold Star
Kreams
Top
Magix
Coconut
QUALITY OF PARLE
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Parle Quality:-
Hygiene is the precursor to every process at Parle. From husking the wheat and melting the sugar
to delivering the final products to the supermarkets and store shelves nationwide, care is taken at
every step to ensure the best product of long-lasting freshness. Every batch of biscuits and
confectioneries are thoroughly checked by expert staff, using the most modern equipment hence
ensuring the same perfect quality across the nation and abroad.
Concentrating on consumer tastes and preferences, the Parle brand has grown from strength to
strength ever since its inception. The factories at Bahadurgarh in Haryana and Neemrana in
Rajasthan are the largest biscuit and confectionery plants in the country. The factory in Mumbai
was the first to be set up, followed soon by the one in Bangalore, Karnataka. Parle Products also
has 14 manufacturing units for biscuits and 5 manufacturing units for confectioneries, on
contract.
Quality Commitment:-
Parle Products has one factory at Mumbai that manufactures biscuits & confectioneries while
another factory at Bahadurgarh, in Haryana manufactures biscuits. Apart from this, Parle has
manufacturing facilities at Neemrana, in Rajasthan and at Bangalore in Karnataka. The factories
at Bahadurgarh and Neemrana are the largest such manufacturing facilities in India. Parle
Products also has 14 manufacturing units for biscuits & 5 manufacturing units for
confectioneries, on contract.
All these factories are located at strategic locations, so as to ensure a constant output & easy
distribution. Each factory has state-of-the-art machinery with automatic printing & packaging
facilities.
All Parle products are manufactured under the most hygienic conditions. Great care is exercised
in the selection & quality control of raw materials; packaging materials & rigid quality standards
are ensured at every stage of the manufacturing process. Every batch of biscuit & confectioneries
are thoroughly checked by expert staff, using the most modern equipment.
MARKETING STRATEGY OF PARLE
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LATEST STRATEGY:
As part of its marketing initiative, Parle Products has recently adopted a major pricing strategy
whereby a 5 kg ‘Parle-G’ Atta will be available to consumers and, along with ‘Parle-G’ biscuit
pack for free at Rs 90. However, competitors, ‘Pillsbury’ atta are priced at Rs 104, and, ‘Kissan
Annapurna’ at Rs 102, in similar capacity.
AVAILABILTY:
Parle-G is available in Europe, UK, USA, Canada, etc. In Canada, it is sold by Zehrs, Food
Basics, Loblaw’s, etc for only 99 cents for a 418 gram pack. Parle-G or Parle Glucose biscuits,
manufactured by Parle Products Pvt. Ltd, are one of the most popular biscuits in India. Parle-G is
one of the oldest brand names as well as the largest selling brand of biscuits in India. For
decades, the product was instantly recognized by its iconic white and yellow wax paper wrapper
with the depiction of a young girl on the front. Counterfeit companies have attempted to recreate
and sell lower quality products of similar names with virtually identical package design.
MARKET SHARE:
It has 70% market share in India in the glucose biscuit category followed by Britannia, Tiger
(17-18%) and ITC's Sunfeast (8-9%). The brand is estimated to be worth over Rs 2,000 crore (Rs
20 billion), and contributes more than 50 per cent of the company's turnover (Parle Products is an
unlisted company and its executives are not comfortable disclosing exact numbers). Last fiscal,
Parle had sales of Rs 3,500 crore (Rs 35 billion). It also is popular across the world and is
starting to sell in Western Europe .
MARKETING MIX OF PARLE PRODUCTS LIMITED
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PRODUCT STRATEGY:
Core benefit- the core benefit of biscuit is to satisfy hunger of the consumer.
Basic product- in the second level, the basic product is biscuits.
Expected product- the consumers expect the product to have a good taste and also give nutrition.
Augmented product- Parle biscuits increase a person’s energy levels. o Potential product- in the
future Parle could come up with different products.
MARKET STRENGTH:
The extensive distribution network, built over the years, is a major strength for Parle products.
Parle biscuits & sweets are available to consumers, even in the e most remote places and in the
smallest retail outlets. Parle has nearly 1,500 wholesalers, careering to 4,25,000 retail outlets
directly or indirectly. A two hundred strong dedicated field force services there wholesalers and
retailers. Additionally, there are 31 depots and C&F agents supplying goods to the wide
distribution network. Parle constantly endeavor at designing products that provide nutrition and
fun t o the common man. Most Parle offerings are in the low and mid-range price segments.
This is based on their understanding of the Indian consumer psyche. The Value for money
positioning helps generate large sales volumes for the products. However, Parle Products also
manufactures a variety of premium products for the up-market, urban consumers. And in this
way, caters a range of products to a variety of consumers.
REASON OF PARLE-G MAINTAINING ITS PRICE OF RS.4.00 FROM LAST 25
YEARS?
Low profit margin.
Decrease in weight per biscuit.
Bulk purchase of raw material.
Reduced wastage- 1% of the 115 TONES.
Increased productivity.
Availability in remote places.
Avoid sophisticated packing.
100g pack costing Rs 4 has net weight of 93.5g from Jan.2008.
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Parle-G has seen the variation in sales due to increase in price. By mere 50 paise in 1995.
PRICING STRATEGY OF PARLE-G:
Appeal to all income groups : The product is appealing to the consumers as the target
audience is basically kids. This product is suitable to all Income group.
Low and mid range price Segments: The pricing of the product is of low and mid range so as
it suits every ones pocket.
Value for money:
Value for money allows all age group to enjoy parle products at fullest.
Strict cost control at every point in supply Chain:
It reaches 2.5 million outlets, including villages with a population of 500 people.
AWARDS
Parle - G is the winner of 8 Gold and 11 Silver awards at the Monde Selection Awards? The
global standard for quality in Food category. Providing kids with the vital vitamins and minerals
necessary for all round mental and physical development.
MAJOR COMPETITORS OF PARLE PRODUCTS LTD
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The major competitors of parle products is Britaniya, Sunfeast, Priya Gold, cadburry, and
others local brand.
Britannia
The company was established in 1892, with an investment of Rs.295. Initially, biscuits were
manufactured in a small house in central Kolkata. Later, the enterprise was acquired by the
Gupta brothers mainly Nalin Chandra Gupta, a renowned attorney, and operated under the name
of "V.S. Brothers." In 1918, C.H. Holmes, an English businessman in Kolkata, was taken on as a
partner and The Britannia Biscuit Company Limited (BBCo) was launched. The Mumbai factory
was set up in 1924 and Peek Freans UK, acquired a controlling interest in BBCo. Biscuits were
in big demand during World War II, which gave a boost to the company’s sales. The company
name finally was changed to the current "Britannia Industries Limited" in 1979. In 1982 the
American company Nabisco Brands, Inc. became a major foreign shareholder.
Biscuits
The company's factories have an annual capacity of 433,000 tonnes. The brand names of biscuits
include VitaMarieGold, Tiger, Nutrichoice Junior,Good day, 50 50, Treat, Pure Magic, Milk
Bikis, Good Morning, Bourbon, Thin Arrowroot, Nice, Little Hearts and many more.
Tiger, the mass market brand, realised $150.75 million in sales including exports to countries
including the U.S. and Australia, or 20% of Britannia revenues in 2006.
In a separate dispute from the shareholder matters, the company alleged in 2006 that Danone had
violated its intellectual property rights in the Tiger brand by registering and using Tiger in
several countries without its consent. Britannia claimed the company found out that Danone had
launched the Tiger brand in Indonesia in 1998, and later in Malaysia, Singapore, Pakistan and
Egypt, when it attempted to register the Tiger trademark in some of these countries in
2004. Whilst it was initially reported in December 2006 that agreement had been reached, it was
reported in September 2007 that a solution remained elusiv. In the meantime since Danone's
biscuit business has been taken over by Kraft, the Tiger brand of biscuits in Malaysia was
renamed Kraft Tiger Biscuits in September 2008.
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Britannia initiated legal action against Danone in Singapore in September 2007. The dispute was
resolved in 2009 with Britannia securing rights to the Tiger brand worldwide, and Danone
paying Rs220 million to utilise the brand.
ITC
In July 2003, ITC forayed into the Biscuits market with the Sunfeast range of Glucose, Marie
and Cream Biscuits. Sunfeast's brand essence connotes happiness, contentment, satisfaction and
pleasure. In a span of 9 years, Sunfeast has well-established presence in almost all categories of
biscuits and is also a key player in the pasta and instant noodles segments.
Sunfeast Biscuits straddle all segments of the market led by Dark Fantasy at the premium end.
High quality married with exciting innovations has helped drive this category. Dark Fantasy
Choco Fills has wowed the Indian consumer with its innovative centre-filled format and high-
quality packaging.
In addition, the launch of the Dream Cream range of biscuits in two exciting and innovative dual
cream formats further reinforces ITCs commitment to continuously delight the consumer.
Priya Gold
Surya Food & Agro Ltd. was incorporated in November 1992 and commenced its commercial
operations of manufacturing & selling of biscuits under brand “Priyagold” in October 1993. Over
a period, we have established strong manufacturing capabilities and have invested substantially
in developing consumer preference for our products. trademarks / brands “Haq Se Maango” &
“Priyagold” have emerged as one of the most powerful brands in the FMCG sector. They are
committed to invest in brands, manufacturing capabilities, deliverables and distribution strength.
They have three plants located in Greater Noida, Lucknow & Surat. & also outsource some of
our requirements to another plant located in Hyderabad.
Capacities have reached 1,50,000 MT p.a., which along with strong brand building and
distribution capabilities have enabled us to command a sizable market share in the biscuit market
despite competition from well-established players in the industry.
After establishing foothold in biscuit industry, they continued to adopt strategy to identify and
commercialize profitable growth opportunities by leveraging established brand and distribution
network.
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Following this strategy, they diversified into manufacturing of “fruit juices” through wholly
owned subsidiary “Surya Fresh Foods Ltd.” in January 2006. The manufacturing facility is
located at Greater Noida, U.P. We have consciously invested in creating markets for fruit juices
and have established brands such as “Fresh Gold” & “Treat”.
Strategy of strengthening the brands especially the umbrella brand “Priyagold” has resulted in
creating immense brand recall value. They are continuing with our effort of strengthening the
brand with a scientific approach, which will result in growth of customer base, price premium,
consumer loyalty which is expected to result in increased earning and ultimately enhancing
enterprise value of company.
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QUESTIONNAIRE
1. Is Parle G your budget biscuit?
a. Yes
b. No
90%
10%
BUDGETYES NO
Interface: From the above chart we can analyze that 90% of the people say Parle g is their
budget biscuit and only 10% of the people disagree to it. So we can conclude that Parle g is a
budget biscuit for most of the people.
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2. How often do you have Parle G biscuit?
a. Weekly
b. Monthly
40%
60%
CONSUMPTIONWeekly Monthly
Interface: From the above chart we can analyze that 60% of the people say that they consume
Parle g biscuit on monthly basis and only 40% of the people consume it weekly.
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3. How do you rate the quality of Parle G?
a. Very Good
b. Bad
c. Average
40%
10%
50%
RATINGVery Good Bad Average
Interface: From the above chart we can analyze that 50% of the people say Parle g is a average
quality biscuit, 10% of the people say its bad and rest 40% agree that it’s a very good quality
biscuit.
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4. Have you ever faced change in the quality of Parle G?
a. Never
b. Often
50%50%
Change In QualityNever Often
Interface: From the above chart we can analyze that 50% of the people say that they never faced
change in the quality of Parle g biscuit and rest of the people say they often faced change in the
quality .
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5. Why do you prefer Parle G?
a. Taste
b. Healthy
c. Cheap
20%
30%
50%
PREFERENCETASTE HEALTHY CHEAP
Interface: From the above chart we can analyze that 20% of the people say that they prefer
Parle g because of the taste, 30% of the people prefer because its healthy and rest 50% prefer it
because it’s cheap.
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6. Does the advertisement of Parle G persuade you to buy it?
a. Yes
b. No
40%
60%
PROMOTIONYES NO
Interface: From the above chart we can analyze that 60% of the people say that promotion of the
Parle g don’t persuade them to buy it and rest of 40% of people agree to buy it because of
promotions.
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7. Do you think that the company should change the packaging and colour of cover?
a. Yes
b. No
30%
70%
PACKAGINGYES NO
Interface: From the above chart we can analyze that 70% of the people say that Parle g should
not change the packaging and only 30% of the people disagree to it.
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8. What future improvement do you want in Parle G?
a. Taste
b. Freshness
c. Availability
d. Quantity
20%
20%
30%
30%
IMPROVEMENTTASTE FRESHNESS AVAILABILITY QUANTITY
Interface : From the above chart we can analyze that 30% of the people say that Parle g should
improve its taste and the same percentage of people feel that there should be availability of the
product should improve. 20% of the people feel that there should be improvement in freshness of
the product and the same percentage of people feel that there should be improvement in terms of
the quantity of the product.
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BIBLIOGRAPHY
WEBSITE & SEARCH ENGINE:-
http://www.citehr.com
http://www.parleproducts.com
http://www.teamcomputers.com
http://www.studymode.com