Indian Biscuit Industry: An Introduction

India Biscuits Industry is the largest among all the food industries and has a turnover of around Rs.3000 crores. India is known to be the second largest manufacturer of biscuits, the first being USA. It is classified under two sectors: organized and unorganized. Bread and biscuits are the major part of the bakery industry and covers around 80 percent of the total bakery products in India. Biscuits stand at a higher value and production level than bread. This belongs to the unorganized sector of the bakery Industry and covers over 70% of the total production.

India Biscuits Industry came into limelight and started gaining a sound status in the bakery industry in the later part of 20th century when the urbanized society called for readymade food products at a tenable cost. Biscuits were assumed as sick-man's diet in earlier days. Now, it has become one of the most loved fast food products for every age group. Biscuits are easy to carry, tasty to eat, cholesterol free and reasonable at cost. States that have the larger intake of biscuits are Maharashtra, West Bengal, Andhra Pradesh, Karnataka, and Uttar Pradesh. Maharashtra and West Bengal, the most industrially developed states, hold the maximum amount of consumption of biscuits. Even, the rural sector consumes around 55 percent of the biscuits in the bakery products.

The total production of bakery products have risen from 5.19 lakh tonnes in 1975 to 18.95 lakh tonnes in 1990. Biscuits contributes to over 33 percent of the total production of bakery and above 79 percent of the biscuits are manufactured by the small scale sector of bakery industry comprising both factory and non-factory units.

The production capacity of wafer biscuits is 60 MT and the cost is Rs.56, 78,400 with a motive power of 25 K.W. Indian biscuit industry has occupied around 55-60 percent of the entire bakery production. Few years back, large scale bakery manufacturers like Cadbury, Nestle, and Brooke bond tried to trade in the biscuit industry but couldn't hit the market because of the local companies that produced only biscuits.

The Federation of Biscuit Manufacturers of India (FBMI) has confirmed a bright future of India Biscuits Industry. According to FBMI, a steady growth of 15 percent per annum in the next 10 years will be achieved by the biscuit industry of India. Besides, the export of biscuits will also surpass the target and hit the global market successfully.

According to IBMA, the biscuit industry in India witnessed annual growth as 15% in 2003-04, 14% in 2004-05 and 2005-06, 13% in 2006-07, 15% in 2007-08 and 17% in 2008-09. While the growth rate has been stagnating during last 4 years, it has picked up momentum during the 2007-08 and the first quarter of 2008-09 mainly on account of exemption from Central Excise Duty on biscuits with MRP up to INR 100 per kg, as per Union Budget for 2007-08.

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Industry Trends:

Biscuit Industry is witnessing a steady growth of 14-15% annually. IN 2008, the growth exceeded the 16% remark on account of exemption of Central Excise duty on biscuits.

Biscuits production in per metric tonnes too has shown a gradual increase along the past. The main reason being the consumer behavior and demand.

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Classified Biscuit Industry:

The organized biscuit manufacturing industry‘s annual production were around 1.1 million tons in 2003-04, 1.25 million tons in 2004-05, 1.4 million tons in 2005-06, 1.6 million tons in 2006-07 and 1.7 tons in 2007-08

Rural -Urban market penetration for biscuits has been 75%-85% for urban market and 55%-65% for rural market.

Branded /Organized to Unbranded/Un organized market share of biscuit has been 60% for organized sector and 40% for unorganized sector.

Biscuit consumption pattern in the country are

Export share is around 15% of total production .

Biscuits categorized as:

Major types of biscuit popular in Indian market are based on two principles:

PHYSIOLOGICAL PROPERTIES

CORE GROUP NON CORE GROUP

Low calorific value High in Volume Cheap

On the basis of Core and Non Core group the different range of biscuits are categorized as:

CORE GROUP NON CORE GROUP

Glucose Marie Digestive (aero roots) Milk Biscuits

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High calorific value Low in volume Expensive

Salted crackers Semi- Sweet n salt Cream biscuits Sweet cookies Cheezlings Wafer cream

Main Manufacturers

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Choice of PARLE:

“Close your eyes. Shut your ears. Yet people almost everywhere, will talk of Parle sweets and

biscuits.”

This was the scenario of pre-Independence when Parle was the only dominant brand in market. It worked just on one basic principle – “DELIVER THE BEST AT LOW COST AND REST WILL BE TAKEN CARE OF.” Such visionaries were The Chauhan Family, founders of Parle, who ventured into the biscuit market after trying hands on business in trading silks and embroideries imported from Europe.

In 1929 a small company by the name of Parle products emerged in British dominated India. The intent was to spread joy and cheer to children and adults alike, all over the country with its sweets and candies. The company knew that it wouldn’t be an easy task, but they decided to take the brave step. A small factory was set up in the suburbs of Mumbai, to manufacture sweets and toffees. A decade later it was upgraded to manufacture biscuits as well. Since then, the Parle name has grown in all directions, won international fame and has been sweetening people's lives all over India and abroad.Our thougt h in choosing Parle as a company and Parle-G as the desired product:

Parle Products ltd. Provides the best first hand information on its dealings and conceptualization. It was a unanimous decision to pick up the company as Parle for the very known fact that the manufacturing unit is set up in Mumbai and can be visited. Scanning through the history of Parle Products It shows decades and decades of progress inspite of the every increasing competition and threats. Set up in 1929 it has shown a tremendous growth in the most profitable and innovative ways. One of the reasons why Parle is one of the most liked brands is for the fact that they maintained their stand on quality and prices of their few Core products irrespective of competitors invasion.

Parle-G is till date one of the most preferred and loved glucose biscuits. It has being maintaining its major market share since its time of first production. That makes it a HIT among management students to choose it for the various Marketing studies and analysis. It takes a lot of endurance and survival strategies to stay upbeat with the ever changing market trends and consumer behavior.

Parle biscuits are linked with factors of power and wisdom providing nutrition and strength. Parle biscuits are indeed much more than a tea- time snack, they are considered by many to be an important part of their daily food. Parle can treat you with a basket of biscuits which are not only satisfying but are also of good and reliable quality. Parle biscuits cater to all tastes from kids to senior citizens. They have found their way into the Indian hearts and homes. While to consumers it's a beacon of faith and trust, competitors look upon Parle as an example of marketing brilliance

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Various products of PARLE

Products Packaging Products Packaging

Hide and Seek Milk Shakti

Krackjack Parle 20-20

Hide & Seek Milano

Goldenarcs

Magix Kreams Gold

Digestive Marie Nimkin

Monaco Kreams

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PARLE- G

Parle-G: An Introduction

Every nation dreams of a better tomorrow. And every nation’s tomorrow lies in the hands of its children; children who make the nation proud in every aspect; the young geniuses who shape the future of the nation.  So it’s important to nourish these young minds, for after all it’s a question of the nation’s future.

Filled with the goodness of milk and wheat, Parle G is a source of strength for both body and mind. Treat yourself to a packet of Parle-G to experience what has nurtured and strengthened the minds of millions of genius Indians for over 65 years.

Parle -G has been a strong household name across India. The great taste, high nutrition, and the international quality, make Parle -G a winner. No wonder, it's the undisputed leader in the biscuit category for decades. Parle -G is consumed by people of all ages, from the rich to the poor, living in cities & in villages. While some have it for breakfast, for others it is a complete wholesome meal. For some it's the best accompaniment for chai, while for some it's a way of getting charged whenever they are low on energy. Because of this, Parle-G is the world's largest selling brand of biscuits. Launched in the year 1939, it was one of the first brands of Parle Products. It was called Parle Glucose Biscuits mainly to cue that it was a glucose biscuit. It was manufactured at the Mumbai factory, Vile Parle and sold in units of half and quarter pound packs.

The incredible demand led Parle to introduce the brand in special branded packs and in larger festive tin packs. By the year 1949, Parle Glucose biscuits were available not just in Mumbai but also across the state. It was also sold in parts of North India. The early 50s produced over 150 tones of biscuits produced in the Mumbai factory. Looking at the success of Parle-G, a lot of other me-too brands was introduced in the market. And these brands had names that were similar to Parle Glucose Biscuits so that if not by anything else, the consumer would err in picking the brand. This forced Parle to change the name from Parle Glucose Biscuits to Parle -G.

Parle- G as a product is an enormous brand. It has become a icon. Broadly, the project is compiled to study certain areas of Parle-G under:

1. 4 P’s of Marketing

i. Product

ii. Price

iii. Place

iv. Promotion

2. Segmentation- Targeting- Positioning

3. Competency ladder

4. SWOT analysis

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5. Unique Selling Proposition

6. Results based on Market survey

The 4P’S of MARKETING:4 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:

Brand name Functionality

Styling

Quality

Safety

Packaging

Repairs and Support

Warranty

Accessories and services

Price Decisions

Some examples of pricing decisions to be made include:

Pricing strategy (skim, penetration, etc.) Suggested retail price

Volume discounts and wholesale pricing

Cash and early payment discounts

Seasonal pricing

Bundling

Price flexibility

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Price discrimination

Distribution (Place) Decisions

Distribution is about getting the products to the customer. Some examples of distribution decisions include:

Distribution channels Market coverage (inclusive, selective, or exclusive distribution)

Specific channel members

Inventory management

Warehousing

Distribution centers

Order processing

Transportation

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. Marketing communication decisions include:

Promotional strategy (push, pull, etc.) Advertising

Personal selling & sales force

Sales promotions

Public relations & publicity

Marketing communications budget

Based on these we are broadly elucidating the Parle-G’s Marketing Mix.

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1. PARLE-G: PRODUCT

10 – 12 biscuits with the company’s name printed in Red and you know these are Parle- G biscuits. Times changed, variety of biscuits did come and go but nothing has changed with these biscuits. Yes, the size of their packing has definitely changed but for the consumers good as these are money savers pack. The name Parle- G conjures up fond memories across the length and breadth of the country.

Parle- G biscuits are exceptionally known for their unceasing nature to deliver their best in terms of quality. With advent of excise duty levy, it did have a major stake on Parle- G’s production since the basic ingredients needed for production are wheat and milk, but Parle Products did not budge on it. They found alternatives and let alone Parle-G stand as a brand capturer alone in the glucose market.

The product ingredient involves:

Wheat Flour, Sugar, Partially Hydrogenated Edible Vegetable Oils, Invert Syrup*, Leavening Agents, Salt, Milk Solids, Emulsifiers and Dough Conditioners. Contains Added Flavors (Artificial).* (d - Glucose, Levulose)

Parle-G has seen a tremendous growth in the past. It has established itself as unbeatable market leaders in the stream of Glucose biscuits with a market share of 70%. Inspite of competition from the manufacturers in the glucose brand, Parle-G sustained its place and position. Fairly, the reason being it kept upgrading itself on quality, promotion and packaging.

Based on consumer behavior with respect to packaging, Parle-G revamped itself in the market. For more than a decade or so, Parle-G was maintained with soaring sales as paper wrapper deliverables, but with the advent of pure competition and consumer’s eye on attractive packaging, Parle-G made use of BOPP paper. When the decision was made, they did think of the fact that though their production cost is 60% they are spending an extra 20-25% as packaging cost. The risk was worth it. The sales increased and it enjoys its stake as market leaders. Parle-G in terms of innovation have evolved.

The logo of Parle as a brand has kept undergoing minor changes. But its sole Pentagon with PARLE written in it remains the same.

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For Parle- G was initially recognized by its iconic white and yellow stripped wax paper wrapper with the baby face on it. Many competitors have tried to sell their lower quality products by copying the packaging, trying to sell their biscuits as Parel-G; Parle-Jee etc. Due to increasing competition Parle- G now uses plastic wrappers (BOPP) for its packaging.

Parle- G comes in 8 different sizes: 6.5g, 38.5g, 60.5g, 82.5g, 99g, 209g, 313.5g, 418g, and 825g

Parle-G packets give detailed information on the calorific value, net contents and a very meticulous direction on ‘tear open the packet here.” The basic small packs are packed mechanically using automated machines and are sealed using the pollybag sealing machine. These small packs are then manually packed into small boxes and are sent through the conveyor belt to be packed in large cartons. 160 packets are packed per minute.

The basic end use of Parle-G product remains the same – eating it simply to satisfy hunger it may also be consumed for the intake of high glucose levels for immediate strength & energy.

Parle-G is still in the growth phase of Product cycle. This was very well stated by Mr.B.Krishna Rao (Product Manager) of Parle Products Pvt.Ltd.

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Old packing New packing

2. PARLE-G: PRICE

The Parle-G marketing philosophy emphasizes catering to the masses. It constantly endeavors at designing products that provide nutrition & fun to the common man. Most Parle offerings are in the low & mid-range price segments. This is based on its cultivated understanding of the Indian consumer psyche. The value-for-money positioning helps generate large sales volumes for the products. Parle- G has adopted the Market Penetration strategy i.e. low price along with capturing of a large market. Also they focus on low prices and provide good quality products at the same time, which means it uses the value pricing method.

Parle-G, haven’t raised price since 1994

It’s a brand that has held its price line at Rs 4 for 25 years now — the price was last raised in 1994 by 25 paisa. So, it’s not for nothing that Parle-G is the world’s largest-selling biscuit by volumes.

Not that the company didn’t try to raise prices to offset the overall hike in costs. Three years ago it did so, but quickly rolled it back after volumes fell sharply and consumers wrote to lodge their protest.

“We want to cater to the masses and have consciously tried not to increase the price. Parle-G is available for Rs 50 a kg. There are very few food items that are available for Rs 50-60 a kg,” says Pravin Kulkarni, general manager (marketing), Parle Products.

Parle is, of course, not doing it for charity. Soaring input prices meant it opted for reducing the weight of the biscuit than increasing the price — first from 100 gm to 92.5 gm in January 2008, and then to 88 gm in January this year — in line with other biscuit-makers and FMCG players.

Regular customers would have noticed the number of biscuits in a pack come down from 16 to 15 even as each biscuit became lighter, but they seemed to understand the cost pressures on the firm. The gamble paid off: Parle was able to sustain its volumes.

Strict cost control at every point in its supply chain also helped — Parle entered into forward contracts with suppliers, outsourced production, increased the number of manufacturing locations to 60 and consolidated buying.

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3. PARLE-G: PLACE

Parle Products has 4 manufacturing units for biscuits and confectionaries at Mumbai, Haryana, Rajasthan and Karnataka. It 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. It has widespread market hold and it lives up to it by its authentic distribution strategies. It caters to the remotest of the rural areas and the most posh urban areas.

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 most remote places and in the smallest of villages with a population of just 500. Parle has nearly 1,500 wholesalers, catering to 4, 25,000 retail outlets directly or indirectly. A two hundred strong dedicated field force services these wholesalers & retailers. Additionally, there are 31 depots and C&F agents supplying goods to the wide distribution network. The Parle Marketing philosophy emphasizes catering to the masses.

Parle uses the same distribution channels for selling all its products under the biscuit category i.e. 1st, 2nd & the 3rd level of the distribution channels.

Manufacturer Distributer Wholesaler Retailer Consumer

4. PARLE-G: PROMOTION

Parle has a multi-channel marketing system since it uses more than two marketing channels to reach all its customer segments. Promotion Mix. The marketing mix tools used by Parle are Advertising, Sales promotion and Public relations.

COMMERCIALS

Advertising Parle-G started being advertised in the 80's. It was advertised mainly through press ads. The communication spoke about the basic benefits of energy and nutrition. In 1989, Parle-G released its Dadaji commercial, which went on to become one of the most popular commercials for Parle-G. The commercial was run for a period of 6 years. Parle-G grew bigger by the minute. Be it the packs sold, the areas covered or the number of consumers. It became a part of the daily lives of many Indians. Consumers recognized it as “Swaad Bhare, Shakti Bhare”

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Another campaign that was launched by Parle for Parle-G was - ’G’ maane ’GENIUS’’. For this a series of ads were shown in which a little kid eats Parle G and tricks the wise and experienced people. Just a few months back a reminder TV commercial was launched for Parle-G where the product is being called ‘hindustan ki takat.’

Most of the Parle-G TV commercials tell us that brand awareness is being done by capturing consumer emotion. Heavy promotion plays a major role in creating brand awareness.

SPONSORSHIPS

In the year 1997, Parle-G sponsored the tele-serial of the Indian superhero, Shaktimaan that went on to become a huge success. The personality of the superhero matched the overall superb benefits of the brand. Parle extended this association with Shaktimaan and gave away a lot of merchandise of Shaktimaan

The next level of communication associated the brand with the positive values of life like honesty, sharing and caring. The year 2002 went down as a special year in Parle-G's advertising history. The birth of G-Man - a new ambassador for Parle-G. Not just a hero but also a super-hero that saves the entire world, especially children from all the evil forces. A campaign that was not just new to the audiences but one that involved a completely new way of execution that was loved by children all over the world Animation.

A national level promo - `Parle-G Mera Sapna Sach Hoga' was run for a period of 6 months.There were over 5 lakh responses and of that, over 300 dreams were fulfilled. Dreams that were fulfilled ranged from trips to Disneyland at Paris & Singapore; meeting their favorite film star Hrithik Roshan; free ride on a chartered plane; 20 scholarships worth Rs 50,000; a special cricket coaching camp with the Australian cricketer - Ricky Ponting; etc. Golu Galata contest- In Tamil Nadu, traditionally, women decorate various dolls made of clay during Navaratri celebrations by setting up 7-9 steps.

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SPONSORSHIPS GIVEN:

SALES PROMOTIONS

Parle-G does provide some gms free with the existing quantity. At times, such tactics has to be done so as to vie the lost consumers or to increase sales. Also it gives in discounts or as free product with some other product fairly being targeting new consumers.

Sales Promotion Parle uses the Sales force promotion tool for all its employees. Every year it holds day fairs at branded venues where games and fun events are organised for the employees of Parle and their families; where Parle products are giveaway prizes. Public Relations Parle has done the following for enhancing public relations.

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SEGMENTATION, TARGETING & POSITIONING

SEGMENTATION

Parle-G being a consumable product is not influenced by factors like cultural factors.Social factors are further sub divided into 3 parts namely reference groups, family & social role & status.

The factors whose intensity differs from person to person are together termed as personal factors. They are as follows:

1) Age Parle-g is consumed maximum by the kids in the age group of 5-10 years i.e. the growing age group. Kids, who have formed the habit of having Parle-G in their early stages of life, continue this practice even after growing up. They continue their consumption of Parle-G even after they grow up.

2) Occupation The buying behavior of the consumer is influenced also by the occupation he or she belongs to. In case of Parle-G, the purpose for buying the product varies from a person with a high post in a M.N.C. to a poor laborer. For the executive employee, he may or may not buy the product. He may buy a more expensive or an imported biscuit brand because he can afford it. Also he may buy it only to be one of the many snacks available to him. On the other hand, a poor laborer would buy a packet of Parle-G simply to satisfy his hunger. For him, it is not matter of choice or luxury, but a necessity because it’s the easiest & the cheapest he can get.

3) Income: Income of a person decides its core expenditure segment. If a laborer earns a fixed amount & if a biscuit like parle-g which for sure ensures high level glucose content & immediate energy regained, he would defiantly opt to buy a parle biscuit packet & not spend even that minimal amount of Rs.4 on anything else. But since Parle-G is a low-priced, value for money product a person’s income does not really play a role in influencing the purchase of the product. Consumers of all income groups do buy the product. Psychological Factors: Motivation For Parle-G the main & the basic motivation which pulls consumers towards buying it is simply hunger. This is what pulls the consumers towards the purchase of Parle-G. Also, since biscuits are perceived as snacks, when a consumer is drinking tea he or she is motivated to buy Parle-G at that time

TARGET

Parle-G’s consumer base is unique in the way it cuts across age groups, income groups .So although the core target consumers are young mothers and kids in the 6-to-12 bracket, we can have a campaign that speaks to the entire spectrum of consumers.

Also, different people have different reasons for consuming Parle-G. These can be broadly clubbed under the five pillars of taste, nutrition, meal substitute, mental development and price.

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Glucose biscuits are mainly the favourites of many as their intake charges them up. Especially if a person is suffering from Low BP, then these glucose biscuits act as energizers in emergencies. People suffering from Diabetes too carry them to increase the glucose level in their body. Besides the delicious taste that it offers, it is highly helpful for people suffering from the above 2 illness who take it for reasons beyond its taste.

Reference Group People, especially kids are always influenced by the people around them. They are influenced by friends, relatives, family members specially elder siblings, etc. so if they see anyone around them having parle-G biscuit, they too want to eat it.

Family In his case also, if it’s a usual habit of the family members to have Parle-G with tea or coffee, the kids in the growing stage or any new member joining the family for tea will form a similar habit or the later will be offered the same biscuit.

POSITIONING

The relevance and importance of conventional marketing, especially in the fast moving consumer goods category, has slid down to give way for more aggressive market savvy solutions that can revolutionise the way products sell these days.  

While dealer productivity and market penetration are still important in the overall marketing activity, the brand has to evolve and revolve in a different orbit — it has to reposition itself if it really wants to make a difference in the highly competitive market.

Positioning a product firmly in the consumer’s mindset has been one of the major marketing challenges that has enamoured many a marketing guru.  As organizations are re-engineering themselves to be more productive, products also need to reposition themselves if they want to stay ahead in the marketing war game. 

The name of the marketing game is therefore repositioning your brand and thereby, the competition. When the stakes are high and when you are not able to take the competition head-on, the only way to survive and build on an equity is through repositioning.  

Parle-g products have now taken on the corporate tag line “svaad Baro¸saccaI Sai@t Baro!” This would definitely go on to increase the already-high equity the brand enjoys.  

A cursory look at the commercials, just to get a hang of the campaign. The first commercial (‘boarding school’) is about this girl recounting her first experience of boarding school. She talks about the anguish that comes from leaving a big, well-knit family, the alien atmosphere of the boarding school, the tears of distress… ‘Phir maine papa ke diye hue jhole ko khola,’ she says. ‘Pata hai usme kya tha? Parle-G… Wahi pehchaani khushboo, wahi swaad. Aisa laga jaise main ghar par baithke Parle-G kha rahi hoon…’ The spot ends with the voiceover: ‘Barson se apna sa swaad. Parle-G.’

The second ad (‘exam’) is about a man harking back to the ‘all-night study plans’ that he and his friends used to chalk out while preparing for their

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examinations. The plans, of course, stayed as plans, with the friends rarely ever burning the midnight oil. ‘Raat bhar chai pee, raat bhar Parle-G khaayaa, thodi si padhai kar li… aur exams hamesha achhe beet gaye,’ he shrugs and smiles. ‘Soye dimaag ko jagaaye, Parle-G,’ informs the voiceover.

Ad three (‘college’) has this boy narrating the story of how he gave the very desirable ‘Tina’ a lift from college one rainy day. It turns out that fussy Tina was prone to a bit of whining, while our narrator was rather stretched for money. ‘Meri jeb mein woh das ka phata hua note! Usse paise mangta? Tchk…’ the ego kicks in. The solution presents itself in the form of a roadside dhaba. ‘Ek cutting chai, ek Parle-G. Uska to mood ban gaya, yaar…’ the boy says, thrilled. ‘No fuzool, paisa vasool, Parle-G,’ the voiceover chuckles.

The remaining two ads (‘school’ and ‘train journey’) are about a mother talking about her son tendering excuses for not having his lunch in school, and about a woman recalling a train journey where Parle-G helped assuage hunger when the train was left stranded in the middle of nowhere. All five commercials end with the slug, ‘Parle-G. Duniya ka sabse zyaada biknewala biscuit.’ (For the records, as per ORG figures, Parle-G enjoys a 69-per cent share of the domestic glucose biscuit market, pegged at close to 2.7 lakh tonnes per annum. Closest competitor Britannia Tiger has a 24 per cent market share.) It wanted to create a campaign that was befitting “a world champion”; one that would “stand out of the clutter” and “speak to a wide spectrum of users”. And, for good measure, layer in Parle-G’s five ‘driving propositions’ (taste, nutrition, meal substitution, alertness, and value-for-money) by making them integral to the campaign thought.

So they created five stories built around these five different propositions. The ‘boarding school’ ad is rooted in taste and familiarity, ‘exam’ highlights mental alertness, ‘college’ has affordability at its heart, the ‘school’ ad is about ‘poshan’ (nutrition) and ‘train journey’ showcases the brand as a meal substitute.

The last campaign, Hindustan ki Takat, (the strength of India) is a huge position which no other brand can take so effortlessly. Parle continues with its G for Genius campaign and its targeting of Kids these ads are all over all the kids cartoon channels. Parle G claims that it is the largest selling glucose biscuit all over the world but it is now working to improve its image in metros and modern areas and hence this push.

P a g e 18HINDUSTAAN KI TAAKAT ‘G’ for GENIUS

COMPETENCY LADDER: PARLE- G

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SWOT

analysis of PARLE- G

USP of PARLE-G

Price is not its only USP..

What makes the Parle G brand tick is also that it has been positioned on the health platform (a single pack of biscuit offers 450 calories). Its earlier punchline was Parle-G: swadh bhare, shakti bhare (full of taste and energy). Currently, the brand uses two punchlines. Parle-G: G for Genius and Hindustan ki Taakat (the country’s strength).

The brand, , meets different needs of customers: calories (energy), nutrition and value-for-money — enough reasons why Parle-G enjoys close to 70 per cent market share in the glucose biscuit category and probably has the deepest reach.

It reaches 2.5 million outlets, including villages with a population of 500 people, on a par with Unilever’s Lifebuoy, ITC’s cigarettes or mobile pre-paid cards.

It’s also one of the few FMCG brands in the country, whose customers straddle across income segments.

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).Competition has, of course, been trying to wean away customers from Parle. Britannia relaunched its Glucose-D biscuit as Tiger in 1995 and boasts of 17-18 per cent share, while ITC’s Sunfeast glucose has captured 8-9 per cent, according to industry sources.

Even Levers had forayed into this segment in 2003 and launched a glucose biscuit branded as Modern, after it acquired the bakery business of Modern. There are strong regional brands, including Priya Gold (west), Cremica (north) and Anmol (east).But they still have their work cut out.

The Parle-G story is so fascinating that it deserves to be a case study. What would be interesting to see is whether it will be able to retain its leadership in the coming years as income grows in the hinterlands and consumers upgrade and develop new tastes.

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Defines the areas of USPfor Parle-G:

01. What kind of biscuits do you buy on a regular basis?a. Plain solids (Parle-G, Marie etc)b. Salted Crackersc. Cookiesd. Cream

02. Do you buy biscuits for:a. Kids Tiffinb. Guestsc. Elderly people at homed. All of them

03. Which is the most trusted biscuit brand for you?a. Parle b. Sunfeastc. Britanniad. Anyother mention here ______________________

04. Which is the most preferred Parle product?a. Parle Gb. Parle Digestive Mariec. Parle Krack Jackd. Parle Kreams

05. How often do you eat Parle-G in a week?a. Onceb. Twicec. Thriced. Many times

06. Is Parle-G fairly priced for a 99g pack (Rs.5)?a. Yesb. No.

If NO then what according to you may be the fair price? _________

07. Parle-G gives instant drive of energy, how would you rate it?a. Very goodb. Goodc. Faird. Bad

08. What according to you, is Parle-G segmented towards?a. Kidsb. Adultsc. Elderly d. All of them

09. In Parle-G what does G stand for?a. Globeb. Glucosec. Geniusd. Game

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MARKET SURVEY

Q’s

Name: __________________________________

Age: ________

Gender: O Female O Male

Occupation: ________________________________

MARKET SURVEY ANALYSIS:

A marketing survey was done as shown above. The sample size taken was 50 and a based on the questions above an analysis was done. A varied age group was taken and research was conducted. Though it becomes a little difficult to compile based on age group criteria, a generalized survey report based on majorities is submitted herewith. Certain questions have shown a more than obvious outcomes

A graphical representation is done through pie charts for visual understanding of the survey.

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Question No. Options

No. of people

Question No. Options

No. of people

Q.1 a 19 Q.6 a 48b 8 b 2c 6d 17

Q.2 a 5 Q.7 a 15b 4 b 30c 1 c 3d 40 d 2

Q.3 a 29 Q.8 a 13b 9 b 0c 12 c 1d 0 d 36

Q.4 a 27 Q.9 a 0b 4 b 40c 10 c 10d 9 d 0

Q.5 a 13b 8c 3d 26

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BIBLIOGRAPHY

01. Marketing Management: Philip Kotler

WEBLIOGRAPHY01. http://business.mapsofindia.com/india-industry/biscuits.html02. www.ibmabiscuits.in03. www.bakerybazar.blogspot.com04. www.foodprocessing360.com05. http://www.parleproducts.com/

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CONCLUSION

It gives us immense pleasure to state that, all through the working of the Project we realized the key aspects and areas a Marketer has to know. We saw the various stages and challenges through which a product has to go through. The strategies involved in sustenance and maintaining the stake as a Market Leader.

Along with these core factors, it becomes a kind of mandate for every company to be socially responsible. We witnessed that Parle as a company and Parle-G as a product have done their best in the area of consumer satisfaction.

Its one in a hundred that we find companies like Parle and products like Parle-G who are consistent and keep human values and tendencies in mind at large.

We also realized that Parle-G in spite of tremendous competitors has found alternate ways of maintaining their price and quality and not hurting the economies of consumers. They have used brilliant marketing strategies to survive in the market. Today one can naturally claim that, Parle-G is the unbeatable product and brand in glucose biscuits.

THANK YOU.

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