A

MINI PROJECT REPORT

ON

“CONSUMER PREFERENCES OF FROOTIIN

HYDERABAD & SECUNDERABAD”

&

“MARKETING MIX OF FROOTI”

SUBMITTED BY:

Manmath Kumar Sahu

Roll No-M2-24

PGDM (Marketing)

UNDER THE GUIDANCE OF

Dr. Harish Sir

Siva Sivani Institute Of Management

1

S.P. Sampathy’s Siva Sivani Educational Society’s (2906/97)

SIVA SIVANI INSTITUTE OF MANAGEMENT

(Approved by the All India Council for Technical Education)

S. AARATHY

Date:

This is to certify that Mr. Manmath Kumar Sahu has completed the project entitled

satisfaction survey for CONSUMER PREFERENCES OF FROOTI IN

HYDERABAD & SECUNDERABAD”& “MARKETING MIX OF FROOTI

under my guidance and completed , the project successfully, for the partial

fulfillment of the Course: Dissertation in Term – 3rd of the Post Graduate Diploma

in Management - Marketing (Batch: 2007 – 2009).

I wish him all the success.

Project Guide

Dr. K.H.Harish

Date:

2

SAILESH SAMPATHYVice-President &

Dy. Chief ExecutivePresident & Chief Executive

Declaration

I Manmath Kumar Sahu , declare that this project report entitled “Consumer

preferences of frooti In Hyderabad and Secunderabad & Its marketing mix ” is an

original piece of work done and submitted by me towards partial fulfillment of my

Post Graduate Diploma in Management , under the guidance of “Prof. Anil Ramesh

, T Suchitra Rani ,Dr. Harish .

Date:

Place: Secunderabad Signature

3

Acknowledgement

I take this opportunity to express my deep sense of gratitude to my superiors

Prof. Anil Ramesh , Prof. Suchita Mam and Dr. Harish Sir for their guidance and

other staff of the organization for extending their valuable support and help in the

preparation of this project report.

I am also thankful to my family & friends for extending their co-operation in

completion of this project report.

Date:

Place: Secunderabad Signature

4

C O N T E N T S

Sl. No. Topic

1) CERTIFICATE

2) DECLARATION

3) ACKNOWLEDGEMENT

4) CHAPTER – I

Introduction

Scope of project

Objective of project

Hypothesis

5) CHAPTER – II

Company profile

Industry profile

Marketing Mix

6) CHAPTER – III

Research Methodology

7) CHAPTER – IV

Marketing survey & Data Analysis

Testing of Hypothesis

8) CHAPTER – IV

SWOT Analysis

Recommendations

Suggestion

9) CONCLUSION

10) LIMITATION

11) BIBLIOGRAPHY

12) QUESTIONAIRE

5

CHAPTER- I

INTRODUCTION

A soft drink is a beverage, often carbonated, that does not contain alcohol.

(Carbonated soft drinks are more commonly known as soda, pop, tonic, or soda pop

in parts of the United States and Canada, or fizzy drinks in the U.K.;[1] sometimes

called minerals in Ireland) The name "soft drink" specifies a lack of alcohol by way

of contrast to the term "hard drink". The term "drink", while nominally neutral, often

carries connotations of alcoholic content. Beverages like colas, sparkling water,

iced tea, lemonade, squash, and fruit punch are among the most common types of

soft drinks, while hot chocolate, hot tea, coffee, milk, tap water, alcohol, and

milkshakes do not fall into this classification. Many carbonated soft drinks are

optionally available in versions sweetened with sugars or with non-caloric

sweeteners

SCOPE OF PROJECT

1. Detailed study of the noncarbonated softdrinks industry in India

2. Analysis of Frooti’s performance against the other prevailing noncarbonated

softdrinks brands in the country.

3. Analyzing consumer perception based on various parameters such as purchase

frequency, effect of sales promotion schemes, brand attributes and consumer

loyalty, packaging ,

OBJECTIVES OF THE PROJECT

1. To study the taste and preferences of the  consumer

2. To study the market response to the new packaging  of Frooti

introduced by Parle.

3. To study the marketing mix of Frooti

4. To study the market share of Frooti in the non-Carbonated Soft

Drink (NCSD) category

6

HYPOTHESIS

1.

A. Null Hypothesis

H0=Fruit Drink is the preferred attribute which customers look for in Frooti

B. Alternate Hypothesis

H1 = Fruit Drink is not the preferred factor for which customers looks in Frooti

2.

A. Null Hypothesis

H0 = frooti is a child drink

B. Alternate Hypothesis

H1= frooti is not a child drink

3.

A. Null Hypothesis

Ho = Frooti is readily available

B. Alternate Hypothesis

H1= Frooti is not readily available

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CHAPTER-II

COMPANY PROFILE

PARLE AGRO PVT. LTD.

MISSION:

“To provide consumers superior, wholesome agro based food and

drink bands through which Parle can build a profitable; growth oriented

organization.”

Parlet is a leading Indian Food and Beverage Company, the only

Indian transnational giant with the past experience of having

successfully launched leading soft drink brands like “Frooti, Apply, N -

Joi and Bailley”. Today its brand portfolio consists of No. 1 brands like

Frooti along with Apply, N-Joi and Bailley. Parle agro was the first to

identify the dormant mango segment in India and launch India’s first

national Mango drink - Frooti Mango. Today Frooti has an 85% market

in the Fruit Drink segment.Today, the Parle Group turnover is over

Rs.600 crore with a group strength of over 1000 employees, including

over 400 professionals.

PRODUCTS

1. FROOTI:

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.

2. BAILLEY AQUA :

It is a mineral water and was launched in the year 1993. It is one of the

first brands to get an ISI certification Bailley conforms to stringent BIS

Norms. It undergoes 51 quality control tests includes 32 chemical tests,

8

9 microbiological tests and 10 physical tests and meets international

standards laid down by WHO, USFDA, PFA.

Parle Bailley Aqua is unique because it has the same consistent taste

across India. This is because of the unique purifying processing

system, which removes all minerals and salts and puts back only exact

premeasured quantities of salts and minerals necessary for the human

body. Bailley Aqua is purified with chemical free natural U.V.

Treatment.

3. N-JOI:

Parle Agro entered the dairy segment with the launch of N-JOI. N-Joi

is India’s first real fruit and dairy fresh milk drink. It contains orchard

fresh pulp of mango / strawberry and dairy fresh healthy low fat cow’s

milk. It’s full of natural goodness and wholesomeness. N-Joi is

nutritious filler and a delicious smooth fruit and milk drink. N-Joi

Mango with dairy fresh milk and N-Joi strawberry with dairy fresh milk

have been rated as the Most Innovative products in the Beverage

Industry.

4. APPY:

An apple drink from Parle, it’s available in a sleek, international pack.

The brand has been positioned as the champagne of apple drinks due to

its unique richness of taste. Unlike ordinary apple drinks, Aply spells

style and exclusiveness which makes it a party favourite in the upper

crust of the society. Apply is made from freshly picked ripe apples

sourced from the rich natural environs of Himachal Pradesh. The clear

and crisp Apply Nectar is a premium product available in a 200 ml easy

to pour pull-tab opening pack.

WHY FROOTI:

Soft drink market can be divided into two categories:-

1. Carbonated soft drink

2. Non-carbonated soft drink (NCSD).

9

Frooti is the market leader in the NCSD category with around 60%

market share. The NCSD market is growing but there is intese

competition among the various segments in this market. The market

share of Frooti in the NCSD category is on the decline because of the

Fruit Juice Segment, which is increasing at the rate of 20% per annum

along with the sluggish growth of the Fruit drink segment. To counter

this onslaught, Frooti has introduced PET bottle packing in 250 ml, 500

ml and 1000 ml and Tetra-pack packing in 65 ml quantity. Therefore,

we have taken up this project to suggest recommendations to Parle to

increase the share of Frooti in NCSD category and to study the market

response of the new packaging of Frooti.

ABOUT FROOTI :

Mango - India’s 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’s

flagship brand and India’s leading fruit drink with an 85% market

share.Now, Frooti also comes in PET bottle packing.Frooti is like an

Indian ambassador and is a hot favourite not only in India but all across

the world. Frooti is the first tetrapak fruit juice in India. Launched in 1984, Frooti

still holds a dominant position in the Rs300 crore tetrapak fruit juice (TFJ)

market.Frooti over these years have carved out a niche for itself in the market. Frooti

instantly caught the fancy of Indian consumer with its tetrapak and some smart

campaigns. Initially the drink was positioned as a kids drink. The product was

perceived as a healthy fruit drink by the mothers . So within a short span of time ,the

brand was an alternative to the “unhealthy” colas. The tetrapak had other benefits

also . Fruit juice is a perishable product and tetrapak have extended the shelf life of

Frooti because tetrapaks have 2 layers of paper and a plastic coating that ensured

tamper proof and enhanced shelf life.Lured by the success of Frooti, there was a

lot of new launches in the TFJ market. Players like Godrej with Jumpin, kissan etc

tried their luck in this market but failed to dislodge Frooti. Frooti was positioned as

a mango drink that is “Fresh-n-juicy” For over a 7 years, the company promoted the

product using that famous baseline. The product have tried to create excitement in

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the market through a series of new variants and packing. But in late ninetees the

brand was facing stagnated sales. The company tried to excite the market with an

orange and pineapple variant but both the variant bombed. The came the experiment

with packaging . The YO! Frooti variant came with a slim paper can aimed at the

college  going youth.Worried by the stagnating sales, Parle tried to reposition the

brand to appeal to youth aged between 16-21. The positioning changed to be more

fun based. The package also changed. The old green color of the bottle changed to

more bright mango color with lot of graphics added to it.One of the most famous

marketing campaigns India have witnessed took place during the repositioning. The

campaign is the famous “ Digen Verma “ campaign. This campaign was considered

as one of the most successful teaser campaigns in India. The campaign lasted for 15

days started in February 2001. The campaign was about a faceless person Digen

Verma. There were posters and outdoors all across the markets that had messages

like “ Who is Digen verma” “ Digen Verma was here” etc. This created lot of

excitement in the market and “Digen Verma “became the most talked about faceless

name at that time. The campaign was executed by Everest communication. But the

campaign was not followed up and the hype was not translated to long term brand

building. Frooti is basically a nectar based drink so it is not 100% fruit juice, it also

have some preservatives added to increase the shelf life. Although Frooti did not face

much competition in the category it created, competition came from a slightly

different category, 100% fruit juices. Parle saw the emergence of the “ 100% fruit

drink market and launched “Njoy” brand but it did not clicked. Parle could have

extended Frooti to this market also .The brand Real from Dabur is the main player in

this category. Real effectively positioned itself as a premium healthy drink for adults.

Frooti was not able to appeal to adults and was considered as a mango drink while

Real is not restricted to any flavour. Frooti also changed its positioning statement

from ‘ Fresh-N-juicy” to “ Juice Up your life” which have not clicked with the

customers. Although Frooti enjoys a commanding (75%) market share , Frooti is

facing stagnation. May be some serious steps should be taken to increase the usage

of the product. The launch of PET bottle Frooti is a step in this direction. Recently

Frooti also launched a “Green mango” variant just to create some hype in the market.

Frooti may have to reposition itself again to appeal to cola drinkers.

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INDUSTRY PROFILE

NON-CARBONATED SOFT DRINK INDUSTRY

IN INDIA

AN OVERVIEW :

The non-carbonated SOFT DRINK (NCSD) sector can be classified

as Fruit drinks, Nectar and Juices. The classification is based on the

percentage of the fruit pulp content in the beverage. Fruit drink has to

have minimum fruit pulp content of 10%, while Nectar needs to have a

minimum fruit pulp content of 25%. The total size of the branded non-

carbonated beverages in the organized segment is estimated at Rs.500

crores. The Fruit drink segment is estimated at Rs.250-300 crores,

while the Juice market (Branded & Packaged) is estimated at Rs 150

crores. Nectar is a small category of around Rs 35-50 crores. In the

fruit drink category, Parle’s Frooti, Godrej’s Jumpin and Coca-Cola’s

Maaza and Pepsi’s Slice are the major brands. In the Nectar segment,

the key national players are - Dabur, Godrej Xs and Parle’s Appy. The

two key national level players in the juice segment are Tropicana and

Real. Real is the market leader with 55-60% market share. Tropicana

has an estimated share of 30-35%. Several local / regional brands also

exist, besides a huge unorganized sector. The Juice category is the

fastest growing segment at present, estimated to be growing by 20-25%

p.a. The fruit drinks category has also been witnessing growth of

around 5% p.a.The main reason for this growth in the NCSD Category

is the change of the consumer preference from the carbonated to the

non-carbonated soft drink sector mainly due to increasing Health

Awareness among consumers and the Pesticide issue relating to Coke

and Pepsi. In the Fruit Drink segment, Frooti is the clear market leader

with around 85% market share but in the NCSD category as a whole, its

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share has been declining because of the growth in Fruit Juice

segment.So, with the growth of the NCSD category, Frooti has to

compete with all the segments in this category to take a larger share of

this growth.

Non-Carbonated

Soft Drink

Fruit Juice

Category

Fruit Drink

Category

Fruit Nectar

Category

Major Players

Real

Tropicana

Major Players

Frooti

Jumpin

Slice

Maaza

Major Players

Appy

X’s

COMPETITORS:

The main competitors of Frooti are as follows:-

1. Maaza

2. Slice

3. Real

4. Tropicana

5. Jumpin

13

We are not taking into account the nectar segment as it constitutes a

small part of the NCSD category and also, the growth is very sluggish

in this segment.

MARKETING MIX:

Marketing decisions generally fall into the following four controllable

categories:-

1. Product

2. Price

3. Place (distribution)

4. Promotion

The term “marketing mix” became popularized after Neil H. Borden

published his 1964 article, The Concept of the Marketing Mix. Borden

began using the term in his teaching in the late 1940’s after James

Culliton had described the marketing manager as a “mixer of

ingredients”.The ingredients in Borden’s marketing mix included

product planning, pricing, branding, distribution channels, personal

selling, advertising, promotions, packaging, display, servicing,

physical handling, and fact finding and analysis.E. Jerome McCarthy

later grouped these ingredients into the four categories that today are

known as the 4 P’s of marketing, Product, price, place and promotion.

These four P’s are the parameters that the marketing manager can

control, subject to the internal and external constraints of the

marketing environment. The goal is to make decisions that center the

four P’s on the customers in the target market in order to create

perceived value and generate a positive response.

PRODUCT DECISIONS :

The term “product” refers to tangible, physical products as well

as services. Here are some examples of the product decisions to be

made:

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1. Brand name

2. Functionality

3. Styling

4. Quality

5. Safety

PRODUCT:

A product is anything that can be offered to a market to satisfy a want

or need.

India’s first real fruit drink in a Tetra Pak is available in - Frooti

Mango, Green Mango. Frooti Mango is from premium Indian Mangoes.

Frooti has also been introduced in PET bottle packing. Mango Frooti

contains vitamin A which is essential for eye sight, growth and healthy

skin. Frooti is a delicious and refreshing ready to serve fruit beverage.

Frooti comes in Fruit drink segment of NCSD category (NON-

CARBONATED SOFT DRINK).

Frooti is available in following quantities:-

65 ml (only Tetra pack packaging)

200 ml (only Tetra pack packaging)

250 ml

500 ml (only PET Bottle)

1000 ml (only PET Bottle)

Hence, we can see that Frooti has got a very large quantity basket.

PRICE DECISIONS :

Some examples of pricing decisions to be made include:

1. Pricing strategy (skim, penetration, etc)

2. Suggested retail price

3. Volume discounts and wholesale pricing

4. Cash and early payment discounts

15

5. Seasonal pricing

6. Bundling

7. Price flexibility

8. Price discrimination

PRICE:

TETRA PACK PACKAGING

QUANTITY PRICE (Rs.)

65 ml 2.50

200 ml 10.00

250 ml 12.00

PET BOTTLE PACKAGING

QUANTITY PRICE (Rs.)

250 ml 10.00

500 ml 18.00

1000 ml 30.00

In order to maintain its position as a market leader, Frooti is offering

its product in different quantities and prices depending upon the

consumer requirements, preferences and income-levels.

As we can see from the above table, Frooti’s new 65 ml packaging is

priced at Rs 2.50 only, targeting the lower income-group and it has also

been introduced in PET bottle packaging as it is more cost-effective as

compared to Tetra-pack packaging to become more competitive in the

market.

DISTRIBUTION (PLACE) DECISIONS:

Distribution is about getting the products to the customer.

Some examples of distribution decisions include:

1. Distribution channels

2. Market coverage (inclusive, selective, or exclusive distribution)

3. Specific channel members

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4. Inventory management

5. Warehousing

6. Distribution centers

7. Order processing

8. Transportation

9. Reverse logistics

PLACE:

Frooti is the highest distributed brand in Fruit drink segment with an

85% market share in India. Frooti reaches more than 10 lakh retail

outlets through more than 1500 distributors and wholesalers directly

and indirectly. This is borne out by Parle Agro winning the Beverage

Industry award for the Best Managed Supply Chain 2002 and the

Highest Retail Availability in the year 2002. Frooti’s excellent

distribution system has already been proved in our market survey and

analysis where 90% of the respondents agreed that Frooti is readily

available to them .

PROMOTION DECISIONS

In the context of the marketing mix, promotion represents the various

aspects of marketing communication, that is, the

Communication of information about the product with the goal of

generating a positive customer response.

Promotion decisions include:

1. Promotional strategy (push, pull, etc)

2. Advertising

3. Personal selling & sales force

4. Sales promotions

5. Public relations & publicity

6. Marketing communications budget

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PROMOTION:

In a strategic move, Parle Agro Ltd is revamping its marketing

plans in a bid to promote its flagship brand ‘Frooti’ in the overcrowded

category. In fact, the company has taken a different marketing route by

launching a host of new retailing and packaging initiatives to pump up

volumes. Three years ago, Parle Agro introduced a mysterious

character called ‘Digen Verma’ and created a hype around this person

through an aggressive outdoor campaign which was quiet a success.

Parle Agro had introduced two characters called Froo and Ti on every

200 ml pack of Frooti as part of its retailing initiative. These two

characters are being displayed on the packs of the drink. And through

tongue twisters, puzzles and various interactive games, the characters

are entertaining the children as well as increasing their knowledge

about famous personalities and current affairs. These two characters are

very different in nature. While Froo is an affable girl who is good at

studies, Ti is a naughty boy who keeps running after Froo to get his

home-work done. With this move, the company expects to share various

activities of its target audience--kids. Recently, Frooti was introduced

in a new tetra pack packaging in 65 ml quantity which is priced at Rs

2.50 each and Parle is promoting it as “ 5 KA 2 OFFER”, which means

2 packs for Rs 5.

18

CHAPTER- III

METHODOLOGY:

A) DATA COLLECTION

1) Primary Source

Retailers

Consumers

2) Secondary Source

Website

Magazines and Newspapers

B) RESEARCH INSTRUMENTS

Questionnaire

Personal interview

C) SAMPLING PLAN

1) Sampling Unit : Who is to be surveyed?

Urban Consumers

2) Sample Size: How many people to be surveyed?

100 Units (of all age groups)

3) Sampling Procedure:

We have taken sample from following areas:

1) KOMPALLY

2) SUCHITRA

3) BOWENPALLY

4) PARADICE

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CHAPTER- IV

MARKET SURVEY AND ANALYSIS

PREFERENCE OF CONSUMERS

INFERENCES

1. The consumers are becoming more health conscious.

2. The market share of NCSD is growing.

3. Great opportunity for Frooti to capture this growing market.

IS FROOTI A HEALTH DRINK?

20

CARBONATED DRINK

FRUIT DRINK

80 %

12 %

Consumer will perceive any drink as a health drink if he / she think

drinking it will benefit his / her health.

This diagram shows the percentage of respondents who perceive Frooti

as a Health Drink.

INFERENCES

1. Frooti is not perceived by the majority as a health drink.

2. Health drink consumers should be targeted.

CONSUMER AWARENESS REGARDING VARIOUS

FLAVOURS OF FROOTI.

21

YES

NO

CANT SAY

47%

18%

35%

INFERENCES:

1. This diagram shows the percentage of respondents who are aware

about the various flavours of Frooti.

2. Less promotion of green mango flavour.

3. Less acceptance of green mango flavour among consumers.

SHOULD FROOTI COME IN OTHER FLAVOURS?

INFERENCES:

1. This diagram shows the percentage of respondents who think that

Frooti should come in other flavours.

22

YES 77%

NO 23%

WHICH FLAVOURS?

INFERENCES:

1. In other flavours, consumers have gone for strawberry and lemon.

2. Consumers want Frooti in other flavours.

3. Huge market in flavours other than Mango.

4. Other than Mango, Orange and Pineapple are the most preferred

flavours.

23

IS FROOTI A CHILD DRINK?

INFERENCES:

1. Frooti is more of a family drink rather than a child drink.

2. Frooti has market in all age-groups.

IS FROOTI READILY AVAILABLE?

INFERENCES:

1. This diagram shows the percentage of respondents who think

Frooti is readily available.

2. Good distribution channel of Frooti.

3. Good demand for Frooti in the market.

24

CHILD DRINK 52 %

CHILD DRINK 44 %

YOUTH DRINK 7 %

CHOICE OF CONSUMER

INFERENCES:

1. Emergence of Real as Frooti’s main competitor.

2. Growing threat to Frooti’s leadership in NCSD category.

3. Increasing consumer preference towards Fruit juice segment.

25

EFFECT OF PROMOTIONAL SCHEMES ON CONSUMER:

INFERENCES:

1. This diagram shows the percentage of respondents whose buying

behaviour is influenced by promotional schemes.

2. Consumers are attracted towards promotional schemes.

3. Buying decision of consumer can be changed through consumer

schemes.

26

VALUE FOR MONEY

Value for money means the real value of the product in relation to the

price of the product.

INFERENCES:

This diagram shows the satisfaction the consumer derives by

consuming the product in terms of money in a 1-5 point scale given on

the y-axis of the diagram.

(1 indicating BEST and 5 the WORST).

27

CONSUMER AWARENESS REGARDING PACKAGING OF

FROOTI:

28

INFERENCE

1. Consumer is well aware of packaging of Frooti .

29

CONSUMER AWARENESS REGARDING AVAILABILITY OF

VARIOUS QUANTITIES OF FROOTI .

30

INFERENCE:

1. As Frooti in 65 ml quantity was recently introduced and half of

the respondents know about it, this shows good promotion and

good initial demand for new packaging .

31

CONSUMER PREFERENCE FOR VARIOUS QUANTITIES OF

FROOTI

INFERENCES

1. There is good demand for all the quantities.

2. Great demand for 200-250 ml.

3. Introduction of 65 ml was a good move.

CONSUMER RESPONSE FOR THE MOST CONVENIENT FORM

OF PACKAGING

32

INFERENCE

1) As Frooti was the first to introduce PET bottle packing in

NCSD category, this shows it was the right move from

convenience point of view.

TESTING OF HYPOTHESIS

Hypothesis 1:

33

1. Null hypothesis(H0)= Fruit Drink is the preferred attribute which customers

look for in Frooti

2. Alternate hypothesis (H1) = Fruit Drink is not the preferred factor for which

customers looks in Frooti

3. Level of significance= Let 5% be the level of significance in testing the hypothesis Since the test s two tailed test , the value of z = ±1.96

4. Test formula:-

p‾ - p Z= √ {p (1-p)/n}

Where

p= sample proportion (calculated from graph) = 80%

p¯=population proportion (known) = 81%

n= sample size=100

.81-.8 Z= √ {.8(1-.8)/100} =.25

Calculated value Z=.25 falls within acceptance level in +1.96, so hypothesis is accepted .

Conclusion: customer see the Frooti as fruit drinks

Hypothesis 2:

1. Null Hypothesis (H0)=frooti is a child drink

2. Alternate Hypothesis(H1)= frooti is not a child drink

34

3. Level of significance= Let 5% be the level of significance in testing the hypothesis Since the test s two tailed test , the value of z = ±1.96

4. Test formula:-

p‾ - p Z= √ {p (1-p)/n}Where

p= sample proportion = 44%

p¯=population proportion = 34%

n= sample size=100

Now

.34 – .44 Z= √ {.44 (1-.44)/100}

= -2.01

5. Calculated value is not fall in acceptance level ,so the hypothesis is rejected

Conclusion: The Frooti is not only child drinks , it can be used by adults

Hypothesis 3:

1. Null Hypothesis (H0)= Frooti is readily available

2. Alternate Hypothesis(H1)= Frooti is not readily available

35

3. Level of significance= Let 5% be the level of significance in testing the hypothesis Since the test s two tailed test , the value of z = ±1.96

4. Test formula:-

p‾ - p Z= √ {p (1-p)/n}Where

p= sample proportion = 90%

p¯=population proportion = 91%

n= sample size=100

Now

.91 – .9 Z= √ {.9 (1-.9)/100}

= .33

5. Calculated value is fall in acceptance level, so hypothesis is accepted

Conclusion: The Frooti is readily available in market

CHAPTER- V

SWOT ANALYSIS:

36

The overall evaluation of a one’s strengths, weaknesses, opportunities

and threats is called SWOT analysis.

STRENGTHS OF FROOTI:

1. Market leader in NCSD category-60% market share.

2. Innovative - First packaged Mango drink in Indian market, first

to introduce Tetra pack, PET bottle packaging in NCSD category.

3. Quick market responder - Introduced 65 ml packaging to cater

different segments.

4. Frooti has got a very large quantity basket - available in various

quantities like 65 ml, 200 ml, 250 ml, 500 ml and 1 Litre.

5. Efficient distribution network-readily available.

6. Frooti is a health drink - Contains Vitamin A.

7. Frooti has got a strong Brand Equity.

WEAKNESSES OF FROOTI

1. Frooti is not perceived as a health drink. As per our survey majority of our

respondent didn’t consider Frooti has a health drink.

2. Frooti has limited variety of flavour - only mango and green mango.

3. “Frooti means mango”, syndrome in the mind of consumers.

4. Margin given to retailers and distributors is less as compared to its

competitors.

5. The main target audience of Frooti is kids.

6. Frooti has no brand ambassador.

7. No brand expansion - Brand equity of Frooti is not utilized properly.

37

OPPORTUNITIES FOR FROOTI

1. Huge untapped unorganized sector in NCSD category.

2. Huge untapped market in other flavours - Orange, Pineapples,

Grape.

3. Growing market share of NCSD category.

4. Demographically, in the coming years around 55% of the

population will consist of below 35 years in age, which should

be major target market for Frooti.

5. Increasing health awareness among consumers - As per our

survey 88% of the respondents preferred fruit drink to carbonated

drink.

THREATS FOR FROOTI

1. Decreasing share in NCSD category - Fruit juice segment

consisting of Real and Tropicana is increasing at the rate of 20-

25% per annum as compared to sluggish growth in other segment.

2. Presence of huge unorganized market.

3. High consumer preference for flavours other than mango and

green mango.

4. Competition with global giants - Coke and Pepsi.

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RECOMMENDATIONS FOR FROOTI ON THE

BASIS OF MARKETING MIX

PRODUCT

Frooti in Others Flavours:

1. As per our survey, 77% of the respondents want Frooti in

flavours other than mango and green mango like Orange,

Pineapple and Grape.

2. Now, the most striking fact is that Frooti is available in Orange,

Strawberry and Pineapple flavours in selected cities in

Maharashtra like Mumbai and Pune.

3. These flavours are not available in Hyderabad and Secunderabad

region.

4. Our main competitor Real  is available in many flavours like

mango, orange, guava, grape, apple, pineapple and mix fruit etc.

5. So, to compete with Real and other competitors, the present

variants of Frooti in orange, pineapple and strawberry flavour

should be made available all over India.

6. Frooti should also be made available in grape flavour as there is a

great demand for this flavour, especially in the under 20 age-

group segment.

2. The Appy case :-

1. Appy is a new product launched by the Parle agro. It is a nectar

drink which comes in apple flavour.

2. Now the question is that Parle agro has not used the brand equity

of Frooti in branding Appy.

The reasons for this can be :-

1. Appy is a nectar drink and is in a different segment from Frooti

which is in the fruit drink segment.

2. Parle agro is promoting Appy as a look alike for champagne drink

and is targeting the upper income class consumers.

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PLACE :

1. Retail chain of NCSD in India

2. To capture the huge unorganized sector, Frooti should be

promoted as a retailing chain outlet in India on the lines of

Barista which is in the retailing of coffee.

3. This outlet should contain all the variants of Frooti in different

flavours and quantities and it should also be served in glasses.

4. Also, this outlet can be used to provide fresh fruit juices in

various flavours at a very reasonable price. This move will help

Parle to capture a major chunk of the huge unorganized sector

which is more than Rs 500 crore.

5. But, this is a highly risky move and requires lot of capital so,

Parle should first experiment by opening a few outlets.

PROMOTION :    

1. The nutrient content of Frooti should be highlighted on the package so that

the consumer can become more aware and perceive Frooti as a Health drink.

2. The quality standard of Frooti should be approved by a reputed authority or

organization (like ISO series) and this be promoted.

3. Taking the cost consideration into account, Parle Agro can go for more

distributor and retailer margins, as by getting more margins the retailers and

the distributors will promote Frooti more efficiently. It should also provide

more consumer schemes.

4. Parle can also promote Frooti by providing various offering like

Refrigerators.

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BRAND AMBASSDOR FOR THE FROOTI:

1. Frooti is needed to be promoted as a health drink and should

target not only the kids but also the other members of the

family.

2. For this Frooti should project its brand ambassador who will

help consumers perceive it as a health drink.

3. The Brand ambassador should be someone who symbolizes

good health and along with him / her a cartoon character

(someone very popular among kids) should also be introduced

so that Frooti does not loses its current taret audience-kids.

SUGGESTION:

1. Frooti can go for Salman Khan as a brand ambassador as he is

very popular in India and symbolizes good health. (Punch line

can be something like “After gym, have a Frooti”) Along with

him, Frooti should also go for a famous cartoon.

2. Character like Scooby Doo or Pokemon to target the kids and

both of them should feature together in the advertisement.

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CONCLUSION:

We can conclude the following:

1. By taking some initiatives, Frooti can compete with the fruit

juice segment comprising of Real and Tropicana, and can

maintain its position as a market leader in the NCSD category.

2. The consumers response to the new packaging (PET botte and 65

ml Tetra pack) of Frooti is positive as shown in the survey.

LIMITATIONS:

1. The corporate office of Parle Agro is situated in Mumbai and so

we could not gather information from there.

2. We could not find the reason why Frooti was not introduced in

other flavours like orange, pineapple etc on all India basis (We

sent an E-Mail to the company but didn’t get any reply).

BIBLIOGRAPHY:

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1. “Philip Kotler”, Marketing Management, Millennium edition.

2. www.parleagro.com

3. www.netmba.com

4. www.indiainfoline.com

5. www.financialexpress.com

6. Business line.

7. Brand Equity, Economic Times

8. www.coolavenues.com

QUESTIONNAIRE

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Dear Sir / Madam:

This questionnaire is part of a market study being conducted by me. The aim of the

study is to analyze the strategies adopted by Lifebuoy in the various stages of its

lifecycle.

Any information provided would be used only for academic purpose and kept

confidential.

1. Name:

2. Age:

3. Occupation:

4. Do you drink Soft Drinks ? Yes / No

5. If yes, which Soft Drinks ?

6. Carbonated Drinks / Fruit Drinks

7. Which fruit Drinks u like most ?

MAZZA

SLICE

FROOTI

REAL

TROPICANA

8. Do u know Frooti is available in many flavour ? Yes /No

9. If yes what are they?

Mango

Green mango flavour

Other .

10. Should Frooti come in other flavour ? Yes/ No

11. If yes , which flavour ?

Orange

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Apine apple

Grape

Other

12. Is Frooti a health drinks ? Yes/ No

13. Is Frooti a child drink ? Yes /No

14. Is Frooti readily available ?

15. Do you think advertising influence you to drink Frooti ? Yes/No

16. Which drink give you more value ?

Frooti

Mazza

Slice

Real

Tropicana

Jumping

17. Do you know Frooti is available in many packages ? Yes/ No

Pet bottle

Glass bottle

Tetra pack

18. Which packages do u prefer most ?

Pet bottle

Glass bottle

Tetra pack

19. Do you know Frooti is available in many quantity?

65 ml

200 ml

500 ml

1000 ml

20. Which quantity do you prefer most?

65 ml

200 ml

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500 ml

1000 ml

21.What is your opinion of the brand?

Excellent

Good

Fair

Poor

22. What is your monthly consumption?

23. Would you visit another store X, if you do not find it at your store?

24. Any recommendation , suggestion , you want to give for Frooti for betterment

of product …….

.

.

.

.

.

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