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A
PRO1ECT REPORT
ON

~PREFRENCE LEVEL OF CONSUMERS TOWARDS THE
BRAND







Submitted in partial fulfillment of
MASTERS OF BUSINESS ADMINISTRATION

ACADEMIC SESSION: 2009-11

Under the Guidance oI
External Supervisor
Senior Sales Executive
Mr. Ankur Jain


Submitted To: Submitted By:
ABES Institute Business Management Mansi Jain
MBA
0961070026


ABES Institute oI Business Management
NH-24, Vijay Nagar,
Ghaizabad


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TABLE OF CONTENTS
1. Acknowledgement
2. PreIace
3. Executive Summary
4. Introduction
- Inception oI Bisleri
- Product ProIile
- Mineral Water Industry Current Market Scenario
- ManuIacturing
5. Objective oI the study
6. Research Methodology
- Sample Size
- Data Collection
7. Advertising Campaign oI Bisleri
8. Marketing Mix
9. Competition in the market


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10. SWOT Analysis
11. Findings
12. Conclusion
13. Limitations
14. Recommendations
15. Annexure
16. Bibliography


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#%%



This is to certiIy that Ms. Mansi Jain, is a student oI ABES Institute oI Business
Management and has done her Training Project on the topic 'PREFRENCE LEVEL
OF CONSUMERS TOWARDS THE BRAND in the specialization area
MARKETING.

The work embodied in this report is original and is oI the standard expected oI an
MBA student and has not been submitted in part or Iull to this or any other University
Ior the award oI any Degree or Diploma. she has completed all requirements oI
guidelines Ior Training Project Report and the work is Iit Ior evaluation.



Signature oI Head oI Institution
Name :
Designation :
Institution :



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ACKNOWLEDGEMENT

I am honored to be attached with organization. I extend my sincere gratitude to
the management oI ~BISLERI International Pvt. Ltd., Ghaziabad especially to
Mr. Deepak Changa(Assistant General Manager), Ior availing me and giving me
an opportunity to do my training in his organization.

I am deeply thankIul to Mr. Ankur 1ain (senior sales executive) whose
valuable guidance and co-operation helped me in the accomplishment oI this project
report.

I am also thankIul to the entire team oI marketing oI the company who
helped me a lot whenever I Iaced diIIiculty in my project.

MANSI 1AIN








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PREFACE
Modern organizations are highly complex and dynamic systems. They operate under
very turbulent social economic and political environment. They are required to
reconcile several incompatible goals. ConIlicting roles and divergent interests. They
are also Iraught with use risk and uncertainties hence tactIul management oI such
organization to plan execute, guide, coordinate and control the perIormance people to
achieve predetermine goal. Management has to keep the organization vibrant moving
and in equilibrium it has to achieve goals which themselves are changing. It is
thereIore the problems is highly complex and ticklish. To tackle these problems,
inIormation plays an important role. Marketing Research is the appropriate tool to get
most useIul inIormation about the market. This inIormation will asset to marketing
manager in making eIIective decision. The research are used to acquire and analysis
inIormation and to make suggestions to management as to how marketing problems
should be solved.
The marketing research is a process which links to manuIacturers, dealers and
individuals through inIormation an important part oI curriculum oI MBA
programme, the project taken by student in any business organization. AIter
completion oI I year oI the programme . The objective oI this project is to enable the
student to understand the application oI academies in real liIe business. I am Iully
conIident that this project will be extremely useIul Ior the management .


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EXECUTIVE SUMMARY

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

In today`s world oI cutthroat Iierce competition, it is very essential to not only exist
but also to excel in the market. Today`s market is enormously
more complex. Hence Iorth, to survive in the market, the company not
only needs to maximize its proIit but also needs to satisIy its customers and should
try to build upon Irom there.


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Introduction to the Mineral Water Industry
Water is the most important liquid in the world. Without water, there would be no
liIe, at least not the way we know it. Our bodies are estimated to be about 60 to 70
water. Blood is mostly water, and our muscles, lungs, and brain all contain a lot oI
water. We need to drink water because water is needed to regulate body temperature
and to provide the means Ior nutrients to travel to all our organs. Water also
transports oxygen to our cells, removes waste, and protects our joints and organs. In
today's world, the need Ior Pure Drinking Water is becoming the issue Ior the
common man.
Water helps nearly every part oI the human body Iunction eIIiciently. Considering
that our bodies are almost two-thirds water, it is important to understand water's role
in healthy liIestyles.
O Brain is 75 water / Moderate dehydration can cause headaches and dizziness
O Water is required Ior breathing
O Regulates body temperature
O Carries nutrients and oxygen to all cells in the body
O Blood is 92 water
O Moistens oxygen Ior breathing


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O Protects and cushions vital organs
O Helps to convert Iood into energy
O Helps body absorb nutrients
O Removes waste
O Bones are 22 water
O Muscles are 75 water
O Cushions joints
It is also Iound by doctors throughout the world that 90 oI human diseases are water
borne. There are 3 types oI water impurities, which are root cause oI water borne
diseases
1. Microbiological-Bacteria / virus.
2. Dissolved impurities - chemical.
3. Imbalance oI Mineral Content.

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





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Innovations in the Mineral Water Industry

When a consumer became aware oI the problems caused by water pollution the
market saw an advent oI ceramic water Iilters, which Iilters the dust and suspended
particles but dissolved impurities and microbiological impurities are not cleared out.
The mineral balance is also not maintained. 1980's witnessed more changes by a tap
attachment wherein Iodine resin is used to Iilter the water. It deactivates
microbiological impurities to an extent but has side eIIects due to iodine and does not
take care oI dissolved impurities mineral balance.

Late 1980's witnessed Ultra Violet based puriIier, which Iilters dust and deactivates
bacteria to a great extent. It maintains the odour and colour oI water but does not
clear out the dissolved impurities and mineral particles. These things lead to the birth
oI mineral water.

Historically, the need Ior puriIied water within Indian homes had been kept down to a
minimum. Essentially, there were three types oI water that was used Ior diIIerent
purposes. The Iirst type was used Ior rinsing. The second type, which was used Ior
cooking, was cleaner and kept covered. The third type was the cleanest drinking
water and was very oIten boiled beIore drinking. Since an average Iamily needed a


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small quantity, not more than Iive or six litres a day, boiled and
Iiltered water had been a convenient solution Ior some time. The Iallouts were
obvious. 'It was very diIIicult to convince the people that puriIication system was
worth the price. There was no visible way to demonstrate the beneIit, The otherwise
somnolent market began to change once companies like Eureka Forbes targeted the
oIIice segment, while the mineral water players went aIter travelers. Ion Exchange
was the only company which had any measure oI success in entering homes with
Zero-B. But clean drinking water returned on the national agenda a little later.
Only three decades ago Iew knew about mineral or spring water, and Iewer still
thought that one day most Canadians would spend a lot oI money to buy it. Moreover
with this commodity being a human necessity, it makes best sense to do business in.
As a normal human being requires on an average needs 2-3 liters oI water everyday
and world population growing at 2-3 annually, the business opportunity is
humongous and the potential is largely untapped.

Since ancient time people have used water Irom mineral spring, especially hot
springs, Ior bathing due to its supposed therapeutic value Ior rheumatism, arthritis,
skin diseases, and various other ailments. Depending on the temperature oI the water,
the location, the altitude, and the climate at the spring, it can be used to cure diIIerent
ailments. This started the trend oI using mineral water Ior drinking purpose to exploit
the therapeutic value oI the water. This trend started gaining momentum in mid 1970s
and since then large quantities oI bottled water Irom mineral springs in France and
other European countries are exported every year. The bottled water industry is


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estimated to be a whopping Rs.1600cr business. It has grown at a
rate oI 38-40 annually over the past Iour years.

Earlier it was privileged oI the aIIluent class and Ioreign tourist and highly health
conscious people but the present decade, has witnessed increasing popularity among
average consumers, increasing leaving standards, disposable income, education and
awareness among the consumers domestic and Ioreign tourist, sophisticated business
houses and oIIices has sky rocketed the sales oI bottled water in recent years.
Scarcity oI portable and wholesome water at railway stations, tourist spots, and role
oI tourism corp. etc. has also added to the growth. There is high scarcity index oI
ground water in coastal areas and higher concentration oI objectionable inorganic
constituents in many parts oI country. This again enhanced the need Ior bottled
drinking. The growing demand Ior bottled water speaks volumes oI the scarcity oI
clean drinking water and the quality oI tap water. It has become an icon oI healthy
liIestyle emerging in India. It is the pet material used in bottled water that makes a
big diIIerence in taste. Almost all has traces oI plastic Ilavor. The interesting scenario
is that we have, on the one hand, a vast majority oI population which is struggling
hard to get access to potable water and on other, the new generation concentrated in
urban areas getting accustomed to bottled water culture` even though it means they
have to pay through their nose Ior it. Selling saIety` i.e. pure and simple water- has
now become one oI the Iastest growing industries in India despite the harsh truth it is
build on the Ioundation oI bad governance, inequality and obvious exploitation.


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However bottled water provides the distance advantages oI
convenient packing, consistent quality and is ubiquitous.

This particular industry in India has never looked back aIter the economic
liberalization process oI 1991-92. In Iact the Iastest growth in the consumption oI
bottled water in the world has been recorded in India according to a new study
conducted by the US based earth policy institute. It even question the rising thirst Ior
bottled water with consumption tripling in India and more than doubling in china over
the past Iive years. The sales oI bottled water have exploded globally particularly in
Europe, North America and Canada in recent years, largely as a result oI positive
public perception on the saIety oI mineral water. The corporate control and
distribution over this important liquid asset is growing as brisk rate in India.
According to Bureau oI Indian standards (BIS), there are 1200 bottling plants (out oI
which 600 are in the state oI Tamil Nadu) and 200 Brands oI packed drinking water
across the country (nearly 80 oI which are local) batting over the markets which
amply signiIies the market is big even by international standards. At 40 signiIicant
growth rate, the market is expected to humble the Iizzy drinks market soon.
Nevertheless, in India the per capita bottled water consumption is still quite low-less
than Iive liters a years as compared to the global average oI 24 ltr. These are boom
time Ior the Indian bottled water industry- more so because the economy is sound.
India is the tenth largest bottled water consumer in the world. By taking into account
the per capita water consumption oI France (111 liter) and US (45 liter) the Iuture
potential oI our country in this sector is immense- there cannot be anything more


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signiIicant Ior the Indian economy. The consumption oI smaller
units oI 500 ml has increased by around 140 perceptibly.


Current Global Trends -

Recent trend in bottle water industry include new product development, widespread
marketing and packaging eIIorts, and the emergence oI new industries tapping into
bottle water, all aiming to gain markets Iurther. The most conspicuous trend in the
bottled water industry is the development and Ilooding oI a seemingly never ending
array oI bottle water product. Among them are: bottle mineral water, spring water,
sparking water, well water, puriIied water, distilled water, vitamin inIused water, mint
Ilavored water, Iruit-Ilavored water, hydrating water and now even super oxygenated
water and cosmeceutcal water. One Australian company even extracts water Irom
apples and oranges by Ireezing Iruit juice and using a `pressure chilling` process to
separate the Iruit Irom the water. Another signiIicant trend is product marketing and
packing. Realizing the consumer cite taste, quality and purity as the top reasons Ior
drinking bottled water, bottles market and design bottlers to display their purity.
Straight Irom nature to you` is indicative oI untouched, pure natural water marketing.
Another popular ad slogan says that their bottle water is 'so pure, |that they| promise
nothing. ' Other manuIactures seek to carve out a new level in the bottled water
industry introducing high-end products. These bottles seek distinctions by marketing


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their water origins, IortiIication or even bottle shapes, size and
styles. Examples oI these include: bottle water that now comes in bullet shaped glass,
icicle-shaped plastic, see through labels, sports ball-sized water bottles and the ever-
charging unique cylindrical containers. Another packing trend in the bottled water
industry is multi-packs. As current bottled water consumption grows, more
consumers are turning to multi-packs to save time and money.


Global Position of Bottled Water -

Bottled water represents the Iastest growing segment oI the global beverage market
with a market share oI about 38. World bottled water market is expected to reach
$65.9bn by 2012, stimulated by rising population, consumer spending patterns,
liIestyle trends and growing levels oI health consciousness, among others.
The market is expected to grow rapidly in the coming years due to growing consumer
concerns about Iitness, water quality and health. As stated by the recent report
published by Global Industry Analysts, global bottled water market is dominated by
Europe and the US, which together account Ior about 55 oI the market value
estimated in the year 2008. Bottled water will continue to Iare well in the global
beverage marketplace as a healthy alternative to carbonated soIt drinks. Gains in
bottled water market will also come Irom Ilavored varieties and convenient packaged
Iormats, especially single-serve packs. Sparkling water market is dominated by


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Europe, which accounts Ior more than 75 oI the world market
estimated in 2008. Western Europe comprises some oI the world's largest per capita
bottled water consumer markets, which include Germany, France, Spain and Italy.
The largest proportion oI bottled water consumers can be Iound in Germany, as
88.2 oI its adult population drinks bottled water. The non-sparkling water market
constitutes the bulk oI bottled water shipments, accounting Ior between 80-85 oI
the market in volume and value terms. Non-sparkling bottled water is also expected to
oIIer the highest growth opportunity, outgrowing the sparkling bottled water market
by three to Iour times. Market Ior non-sparkling water in the US is projected to reach
$15.1bn by 2012.




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




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Indian Bottled Water Industry -

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


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municipal water treatment and one-third Ior industrial water
treatment. The overall water market is growing at 15-20 percent per annum.

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

India is the tenth largest bottled water consumer in the world. Today it is one oI
India's Iastest growing industrial sectors. The rise oI the Indian bottled water industry
began with the economic liberalization process in 1991. The market was virtually
stagnant until 1991, when the demand Ior bottled water was less than two million


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cases a year. However, since 1991-1992 it has not looked back, and
the demand in 2004-05 was a staggering 82 million cases. The per capita bottled
water consumption in the country is still quite low - less than Iive liters a year as
compared to the global average oI 24 liters. However, the total annual bottled water
consumption has risen rapidly in recent times - it has tripled between 1999 and 2004 -
Irom about 1.5 billion liters to Iive billion liters. Between 1999 and 2004, the Indian
bottled water market grew at a compound annual growth rate (CAGR) oI 25 per cent -
the highest in the world. Indeed, the bottled water industry is one oI the most thriving
sectors in India.

Indeed, the bottled water industry is one oI the most thriving sectors in India.
According to another section oI market observers, the market is growing at a
whopping rate oI about 55 percent annually. Though exact Iigures are not available,
the market is growing Ior sure. Even though it accounts Ior only 5 percent oI the total
beverage market in India, branded bottled water is the Iastest growing industry in the
beverage sector. Bottled water is still not perceived as a product Ior masses though;
the scene is changing slowly thanks to low pricing and aggressive marketing
strategies adopted by new entrants. Some surveys show that truck drivers on
highways Iorm a major chunk oI bottled water drinkers. Penetration in rural areas is
another signiIicant Iactor that is likely to play a key role in the development oI the
bottled water trade. Bottled water is sold in a variety oI packages: pouches and
glasses, 330 ml bottles, 500 ml bottles, one-liter bottles and even 20- to 50-litre bulk
water packs. The Iormal bottled water business in India can be divided broadly into


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three segments in terms oI cost: premium natural mineral water,
natural mineral water and packaged drinking water. Leave alone the metros, where a
bottled-water manuIacturer can be Iound even in a one-room shop, in every medium
and small city and even some prosperous rural areas there are bottled water
manuIacturers. Consumption oI bottled water in India is linked to the level oI
prosperity in the diIIerent regions. The western region accounts Ior 40 per cent oI the
market and the eastern region just 10. However, the bottling plants are concentrated
in the southern region - oI the approximately 1,200 bottling water plants in India, 600
are in Tamil Nadu. This is a major problem because southern India, especially Tamil
Nadu, is water starved. The majority oI the bottling plants - whether they produce
bottled water or soIt drinks - are dependent on groundwater. They create huge water
stress in the areas where they operate because groundwater is also the main source -
in most places the only source - oI drinking water in India. This has created huge
conIlict between the community and the bottling plants.

Packaged drinking water, which is nothing but treated water, is the biggest segment
and includes brands such as Parle Bisleri, Coca-Cola's Kinley and PepsiCo's
AquaIina. While the single largest share in the mineral water market might still
belong to an Indian brand -- Parle's $52 million Bisleri brand has a 40 percent share --
multi-national corporations are not Iar behind. Nestle and Danone are vying to
purchase Bisleri, and Pepsi's AquaIina and Coke's Kinley brands have been extremely
successIul in edging out many oI the small and medium players to buy-outs and
exclusive licensing deals. Kinley and AquaIina are Iast catching up, with Kinley


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holding 20-25 per cent oI the market and AquaIina approximately
11 per cent. The rest, including the smaller players, have 20-25 per cent oI the market
share. News reports indicate that other MNCs like Unilever are also eying the market.
Currently, Kinley is being manuIactured in 15 bottling plants across the country and
according to Coca-Cola India President Alex von Behr, Coke had invested nearly $1
billion in India between entering the market in 1993 and December 2001. Behr says
that Coke expects a signiIicant portion oI our turnover to be accounted by pure water
business. Almost all major national and international brands have taken a plunge.
Parle's Bisleri that virtually monopolized the bottled water market is now vying with
Nestle, Coca Cola, PepsiCo, Manikchand, UB and Britannia. According to a national-
level study, there are close to 200 bottled water brands in India. Nearly 80 per cent oI
these are local brands. Premium natural mineral water includes brands such as Evian,
San Pelligrino and Perrier, which are imported and priced between $2 - 2.5 a litre.
Natural mineral water, with brands such as Himalayan and Catch, is priced around 40
cents a liter. The Indian bottled water market, which has more than 250 brands, is
expected to undergo a major consolidation phase, and the need Ior standards and
regulations is oI great importance, according to the Asian Bottle Water Association
(ABWA). The Indian bottled water market is valued at more than $250 million and is
growing at a rate oI 60 per cent. The major growth in packaged water, however, was
in the bulk water segment. According to estimates, bulk water packs oI 20 liters,
targeted at the institutional and home segments, grew at a rate oI 30-40 in 2002
alone. Bisleri re-invented its 20-litre jumbo home pack, Iitted with a spout, to acquire
a more 'consumer-Iriendly' image. According to industry estimates, the main


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consumers oI packaged water are no longer restricted to the upper
class but include middle class and lower-middle class Iamilies as well. The 'rural'
market is currently dominated by tourists and travelers; packaged water is now
beginning to be seen as an essential appendage to any Iorm oI travel.

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

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

O Coca-Cola India Pvt Ltd
O PepsiCo India Holdings Pvt Ltd
O Parle Bisleri Ltd
O Parle Agro Pvt Ltd


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O DS, Group
O Manikchand Group
O Tata Group
O UB Group

Major players in the global water industry
O Arrowhead
O AquaIina
O Aquapod
O Bisleri
O Bonaqua
O BonaIont
O Ciel PuriIicada
O Crystal Geyser
O Dasani
O Deer Park
O Deja Blue
O Evian
O Fiji
O Galvanina
O Gerolsteiner
O Island Chill


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O Ozarka
O Pennine Spring
O Perrier
O Propel Fitness Water
O Ramlosa
O San Pellegrino


Current Market Scenario of Mineral Water Industry

A Iew years back, the mineral water market had been crawling at the rate oI
3-4, or even a lower Iigure. Indians carried drinking water in earthen
pitchers, plastic or PUF bottles. But increasing cases oI typhoid and other
waterborne diseases began to be reported. In addition to this, liberalization
happened and the mineral water industry began to be stirred and shaken. The
market started growing an astounding rate oI over 100 per annum. The Iact
that there were very Iew players in the market meant that their business grew
by leaps and bounds.
The market today has grown to Rs11bn. The organized sector -- branded
mineral water -- has only Rs5bn oI market share. The rest is accounted Ior by
the unorganized sector, which is dominated by small regional players. The
market is still growing at a rate greater than 80 per annum.


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In the branded segment, Parle`s Bisleri is the market leader
with a share oI more than 45. Parle Agro`s Bailley comes a close second
with market share oI 15. Other major players in the market are Yes oI
Kotharis, Ganga oI T-Series, Himalayan, Hello, Nestle`s Pure LiIe, Pepsi`s
AquaIina, Coca-Cola`s -Kinley Prime, and Florida etc.
Sensing the opportunity that this segment holds, MNCs began to draw up
plans to enter the market. Today the market is proving to be yet another
battleIield Ior an ongoing battle between the Desi`s and MNC`s. Last year the
industry had around 170 brands. This Iigure is over 300 presently. The major
Ioreign players are Coca-Cola promoted Kinley, Pepsi`s AquaIina,
Britannia`s Evian, Nestle`s Perrier, Herbert sons and Danone International.



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Company Profile











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Genesis

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

Under the leadership oI Mr. Ramesh J. Chauhan, Bisleri has undergone signiIicant
expansion in their operations. The company has witnessed an exponential growth
with their turnover multiplying more than twenty times in a short span oI 10 years.
The average growth rate over this period has been around 40 with Bisleri enjoying
more than 60 oI the market share in the organized mineral water segment.
Currently Bisleri has 11 Iranchisees and 8 plants across India, with plans oI setting up
4 new plants on the anvil. The overwhelming popularity oI 'Bisleri' and the Iact that
the company was the pioneer oI the bottled water industry in India has made it
synonymous to Mineral water and a household name. So naturally 'When you think oI
bottled water, you think Bisleri'.


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Innovations Bisleri -

The people at Bisleri value their customers & thereIore have developed 8 unique pack
sizes to suit the need oI every individual. They are present in 250ml glass, 250ml
bottles, 500ml, 1L, 1.5L, 2L which are the non-returnable packs & 5L, 20L which are
the returnable packs. Till date the Indian consumer has been oIIered Bisleri water,
however in their eIIort to bring to the customers something reIreshingly new, they
have introduced Bisleri Natural Mountain Water - water brought directly Irom the
Ioothills oI the mountains situated in Himachal Pradesh. Hence the product range
now comprises oI - Bisleri with added minerals & Bisleri Mountain Water.
The commitment oI the company is to oIIer every Indian pure & clean drinking
water. Bisleri Water is put through multiple stages oI puriIication, ozonation & Iinally
packed Ior consumption. Rigorous R&D & stringent quality controls has made bisleri
a market leader in the bottled water segment. Strict hygiene conditions are maintained
in all plants.

In their endeavour to maintain strict quality controls each unit purchases perIorms &
caps only Irom approved vendors. The company produces bottles in-house. They
have recently procured the latest world class state oI the art machineries that puts the
company at par with International standards. This has not only helped them in
improving packaging quality but has also reduced raw material wastage & doubled


33
production capacity. People can be rest assured that they are
drinking saIe & pure water when they consume Bisleri. Bisleri is Iree oI impurities &
100 saIe.
Enjoy the Sweet taste oI Purity!



.












34





Vision Statement

Our vision is to be the dominant player in the branded water business where the
second player is less than 20 oI their business.

Mission Statement

We are in the business to serve the customer.
He is the most important person.
He is the only one who pays.
He deserves the best quality and presentation at a worth oI the price.
We must have world class quality, at the lowest production & distribution cost.
This will make us an unbeatable leader, and will have satisIied loyal customers.






35


The 1ourney till Now -
1969: Buys Bisleri bottled water Irom an Italian company, Felice Bisleri.
Early-1980s: ShiIts to PVC bottles Irom glass bottles used in 1969 and sales urge.
Mid-1980s: Switches to PET bottles, which meant more transparency and liIe Ior
water.
1993: Sells carbonated drink brands like Thums Up, Gold Spot and Limca to Coca-
Cola Ior Rs.400 crore.
1995: Bisleri launches a 500 ml bottle and sales shoot up by 400 per cent.
1998: Introduces a tamper-prooI and tamper-evident seal.
2000: Introduces the 20-litre container to bring prices down Irom Rs 10 a litre to Rs 2
a litre.
2000: BIS cancels Bisleri's license oI water bottling in Delhi since some oI the bottles
did not carry ISI label; the license is restored one-and-a-halI months later.
2002: Kinley overtakes Bisleri. The national retail stores audit by ORG-MARG show
Kinley's marketshare at 35.1 per cent compared to Bisleri's 34.4 per cent.


36
2003: Bisleri says it plans to venture out into Europe and America
to sell bottled water.:

2006: Launch oI Natural Mineral Water to increase the product portIolio.

2007: Introduced 250ml attractive bottles.

2008-2010: May introduce energy drinks and Ilavored water.





Expansion


37

Bisleri International Pvt. Ltd. is committed to meeting the needs oI its customers
across the country and to eIIectively service the end consumer Bisleri has been
working continuously to establish Iresh bottling and distribution capacities.

Over the course oI last one year, bottling plants have come up at:
Location EIIective Date
Wadki, Maharashtra 17.08.2007
Ahmedabad, Gujarat 13.11.2007
Chennai, Tamil Nadu 15.11.2007
Andaman & Nicobar 18.12.2007
Madurai, Tamil Nadu 05.01.2008
Rajampet, Andhra Pradesh 29.01.2008
Mysore, Karnataka 29.02.2008
Udaipur, Rajasthan 01.03.2008
Kanpur, Uttar Pradesh 01.04.2008


The period Irom August to December 2008 have seen the Iollowing additional
capacities go on stream:

Location -
Nagpur, Maharashtra


38
Wada, Maharashtra
Dahisar, Maharashtra
Nanded, Maharashtra
Chennai, Tamil Nadu
Varanasi, Uttar Pradesh
Jammu, Jammu & Kashmir


Since August 2008, the company has been planning Iurther capacities in the
Iollowing states:
O Punjab
O Haryana
O Uttar Pradesh
O Himachal Pradesh
O Rajasthan
O Assam
O West Bengal
O Gujarat
O Karnataka
O Andhra Pradesh
O Tamil Nadu
O Kerala


39







Product Portfolio of Bisleri -



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


1. Bisleri with added Minerals:


40



This product is bottled drinking water at its best. Bisleri with added minerals has a
TDS count (total dissolved solids count) oI approximately 100. Bisleri Mineral Water
contains minerals such as magnesium sulphate and potassium bicarbonate which are


essential minerals Ior healthy living. They not only maintain the pH balance oI the
body but also help in keeping a person Iit and energetic at all times.

The composition oI Bisleri Water in milligrams per liter (mg/l):
160-TDS
7.2-ph Iactor
13.6-Calcium


41
22-Chlorides
58-Bicarbonate
7.8-Magnesium
2-Nitrate
19.3-Sulphates
66.1-Hardness


Purification -

Every drop oI Bisleri water is puriIied as per international standards to ensure that
your Bisleri experience always remains pure and satisIying Ior longer. The Iollowing
is a brieI understanding oI the water treatment process.
1. Chlorination:
Kills micro organisms. Remove organic matter.
2. Arkal Filter:
Removes suspended matter and turbidity.
3. Carbon Filter:
Removes residual chlorine & odours.
4. Reverse Osmosis:
Removes organic material. Controls total dissolved solids in the water.


42
5. Addition of Minerals:
For the purpose oI maintaining a balanced mineral content.

6. Micron Filtration:
Additional saIety measures to guarantee purity.
7. Ozonation:
Ensures water remains bacteria Iree Ior longer liIe.

Pack Sizes Available -

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


2. Bisleri Mountain Water:



43


The search Ior new products has now led the company to the new Natural Mountain
Water. Inspired by nature, it comes Irom a pristine source situated in the beautiIul and
scenic mountains oI Northern India. Natural Mountain Water resonates with the
energy and vibrancy oI health and well-being. It is packed with the goodness oI
nature's minerals which will reIresh one`s senses and rejuvenate a person.




Bisleri Natural Mountain emanates Irom a natural spring, located in Uttaranchal and
Himachal nestled in the vast Shivalik Mountain ranges. Lauded as today's 'Iountain oI
youth', Bisleri Natural Mountain Water resonates with the energy and vibrancy
capable oI taking a person back to nature. Bisleri Natural Water is bottled in its two
plants in Uttaranchal and Himachal Pradesh.

Pack sizes Available -

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




44
3. Bisleri Himalayan Water:



~The water that almost descends from the Gods
The Himalayas, the abode oI the Gods, where the earth meets the heavens and where
in lies nature's untouched bounty. White glaciers, snow-capped mountains and a
plethora oI exotic herbs and other Ilora that have therapeutic properties. This is where
one will Iind a treasure trove oI hidden natural spring water that Ilows through natural
puriIying Iilters, mineral rich rocks and herbs Irom which it absorbs many healing
properties. Bisleri bottles this pristine spring water directly at source, at the Ioothills
oI the Himalayas.



Pack Sizes Available -

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


45

Packaging Bisleri -

The most critical aspect oI bisleri`s bottling process that sets it apart Irom the rest oI
the industry is the Iact that their bottles remain untouched right through the rinsing,
Iilling, capping and labeling operations.

Filling:
Bottles are Ied by an air conveyor Irom the blowing unit directly into the in-Ieed oI
the RFC. The RFC equipment is neck run and it boasts oI a monoblock unit, which
means that every bottle is held by the neck automatically while being inverted, rinsed
and sprayed with ozonated water at 2 bar pressure. AIter draining, the bottles are re-
inverted and transIerred to the Iiller. At the Iiller these bottles are straightened up and
gradually liIted to the Iilling valves which open only when a bottle is placed under
them. Filling is then done systematically through gravity.

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

Labeling:


46
From the capping section the bottles are directly sent to the labeling
section. All Bisleri bottles are labeled on a hot melt reel Ieed BOPP labeling machine.
This machine allows each individual bottles to be spaced out and Ied to the labeling
station where precisely cut labels with a strip oI hot melt glue at the leading and
trailing edge, get rolled around the bottle. These labels are Ied into the machine in a
roll Iorm too.

"uality Check:
From here on, the bottles go through an online check where qualiIied personnel
inspect each bottle Ior any leaks or breakages. They are then packed into sturdy
cartons which are dispatched to the market by the company`s Ileet oI trucks.


47

























48

~It`s a compliment being generic to the category, but its not very good when
consumers think any mineral water brand is Bisleri

Bisleri, a product established in India by Ramesh Chauhan, Chairman oI Parle
Agro Minerals has become a generic brand. Bisleri was the Iirst marketed bottled
water in a totally virgin market. The brand has become synonymous with mineral
water; consumers accept any brand oIIered by the retailer when they ask Ior
Bisleri.
So Iar Ramesh Chauhan`s Bisleri enjoys the largest market share oI 56 in the
Rs1100 crores mineral water markets and is growing at the rate oI 180 per
annum. Annual sales oI Bisleri have touched Rs400 crores. In seventies, 'Bisleri'
was the only mineral water, which had national presence, and the sale was to the
tune oI approximately one hundred thousand cases valued at about Rs.60 lacs.



49





50
A quick look at Bisleri's manuIacturing reach indicates that it is
represented across the country North accounts Ior 35 oI sales Ior the industry,
West accounts Ior 30, South 20 and the East 15.
In order to be available in untapped areas Bisleri has setup 16 plants located
all over the country - three-Iourths oI which are company owned. The balance
is run by Iranchisees. Bisleri has 5 plants in the North, 5 in the West- two oI
which were setup in the last year at Ahmedabad and Surat, 4 in the South and
2 in the East. The company has bottling units located in Chennai, Bangalore,
Goa, Calcutta, Mumbai, Delhi, Jaipur, Uttar Pradesh, Punjab, Indore and
Nepal. The new plants are being set up in states like Kerala, Orissa, Bihar and
North Eastern States, which hitherto have been unexplored by the company.
It is also changing its production strategy and shiIting to a 10-hr production
schedule with sudden increase in demand planned to be met by additional
production.
Bisleri has planned to expand its operations by investing Rs.60 crores in the
upgradation oI Iacilities. The 120-bottles per minute (BPM) capacity oI the
16 units across the country will be increased to 240 BPM.
Conscious oI the environmental implications oI its PET bottles, the company
is to set up recycling plants at Delhi and Chennai, each with an outlay oI
Rs.50m. These will process 500 kg oI PET per hour. The processed material
will be an input Ior polyester yarn manuIacturers. In centers other than Delhi
and Chennai, the company will set up crushing units to crush the used PET
bottles.


51
The company's expansion plans will see its water bottling
capacity go up Irom the present 400 million liters to 500 million liters. Parle
Bisleri Limited (PBL) is planning to invest Rs 200 crores to increase its
bottling capacity and double its turnover. The expansion will also increase
the number oI company's bottling plants Irom 16 at present, to 25. The
company will set up all the new plants as green Iield plants. It doesn`t have
any intentions to acquire any existing plants.



52



53


54
1.




















55
Every brand needs a good ad campaign to establish itselI in
the market. So it becomes very imperative to look at various ad campaigns
that Bisleri undertook to build itselI as a brand. Bisleri started its game plan
with the punch line oI Pure and Safe` and used the same catch-line Ior
advertising. But with the advent oI many new players, all claiming the purity,
it became very imperative Ior Bisleri to diIIerentiate its product so as to stand
out in the market. Bisleri Iound the answer in sealed cap bottles`. It claimed
100 purity. While the bottles oI the other brands, it claimed, could be
reIilled with ordinary, or even germinated water, Bisleri`s seal capped bottles
ensured the consumer oI purity oI water and single-used ness oI the bottles.
The ad showed a milk-man and a child showering their buIIaloes and Iilling
the so-called` mineral water bottles with the same water and packing them
with the simple polythene seal and the consumer not knowing about the
purity` oI the water he is drinking. Next clip shows the Bisleri bottles being
sealed with plastic caps and ensuring the purity oI water. The ad did work Ior
Bisleri and it got its much needed product diIIerentiation.
In 2000, some giant brands like Pepsi and coca-cola entered the mineral water
industry with a big bang. Bisleri now had a big threat oI maintaining its
market cap. While Coca-cola introducing its brand Kinley` as a health care
product, Pepsi projected AquaIina` as something as pure as Your own
body`. Pepsi targeted the young generation and introduced AquaIina as a
Iancy product to carry.


56
The ad campaign oI AquaIina emphasized as 70 oI your
body is water` and thus give your body the purest water. The ad showed
young vibrant models and created the atmosphere oI youthIulness. Water,
Pepsi claimed, was no longer a simple beverage, but was something highly
Iashionable. They complimented it by giving their bottles an attractive look.
This soon caught the eye oI the consumer. All these Iactors made Pepsi the
biggest upcoming competitor oI Bisleri (whereas Kinley lagged behind the
race, showing a doctor advising a Iamily to take Kinley Ior pure water not a
very attractive ad campaign).
Bisleri, to counter-attack the new Feel-Young` Iever had to even bolder steps. They
Iirst changed their base line Irom Pure and Safe` to Play Safe`. They tried a brand
new ad campaign to catch the Iancy oI consumer. The new ad showed a young
romantic couple on a marooned island, when the girl seductively attracts the guy and
he Iollows her in trance. The moment he gets hold oI her, she whispers something in
his ears. The next Iew shots show the guy looking Ior something in Irenzy.can not
Iind it..rushes towards the chemist`s shop..buys something` (keeping the
audience in suspense.or rather implicitly pointing Ior ..`). The girl opens it
and..POOF..takes out a bottle oI Bisleri and quenches her thirst. Caption: ~Play
Safe. This campaign was to catch the attention oI youth and a new Indian society
which is supposed to be not-so-prudish`. Thus Bisleri has taken a very bold step. The
T.V. ads have been complimented by print ads also. The company has to Iocus on the
marketing management oI the product. In light oI the challenge in Iront oI the
company and its current strengths and position, we have incorporated the marketing


57
mix to counter the marketing strategies oI the competitors by
developing its own marketing.


58



59
MARKETING MIX

The set oI controllable tactical tools- product, price, promotion, and place (4
Ps), that the Iirm blends to produce the response it wants, in the target
markets.
1he 4Ps
Product
The main product oI the company is the mineral water by the name oI Bisleri
Mineral water. Other than mineral water the company has also the soda water,
mountain water under its brand name called the Bisleri Soda Water and
Bisleri Mountain Water. The concept oI bottled mineral water was introduced
in India, Iirst by Bisleri, and that is the reason, it has become a generic name
Ior the mineral water. Bisleri has become a perIect synonym oI the mineral
water Ior the Indian consumers.
The main challenge Iacing the company or any other player in this mineral
water industry is that there is no scope oI invention and innovation in the
product, which can be added as the additional beneIits oI the product.


It is fust water after all. This is what the Indian customers think oI the bottled
water. II we are talking about a product like television we can think that the
innovations could provide extra beneIits derived Irom the product. For


60
example other than its core usage the product can provide Ior
Internet Iacilities using conversion.

Place
Place stands Ior the company activities that make the product available to the
target customers. To make the product available to the target consumers a
good distribution network has to be there to support the good quality oI the
product. Here in the case oI the mineral water industry the distribution
network is the important Iactor in being competitive and the catch lies in
making water available to maximum number oI places in the country.



61
DIS1RIBU1IOA AE1WORK:
The small-scale players built their sales by piggybacking on the generic
category built up by Bisleri. It`s a battle that Bisleri can win by sheer
distribution muscle. One oI the reasons why Bisleri is running strong in this
industry is its strong distribution network built over the years since its
inception. Further, Bisleri plans to increase its distribution network over the
southern and eastern region, where it is behind popular brands like Team in
Tamil Nadu and in Andhra Pradesh.

Prices for following packaging variants

(AN ECONOMIC FACTOR AFFECTING THE BUYERS BEHAJIOR)

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


62


250 ml Glass Rs.4
250 ml Bottel Rs.6
500ml Bottel Rs.10
1 Litre Bottel Rs.15
2 Litres Bottel Rs.22
5 Litres Jar Rs.35
20 Litres Jar Rs.70



Promotion
Modern marketing calls Ior more than just developing a good product, pricing
it attractively, and making it available to the target customers, companies
must also .422uni.ate with their customers, and what they communicate
should not be leIt to chance.
A Company`s total marketing communications program- called its Pr424ti4n
Mix consists oI speciIic blend oI advertising, personal selling, sales


63
promotion, and public relations tools that the company uses
to pursue its advertising and marketing objectives.

ADJER1ISIAC CAMPAICA:
While designing the advertisement campaign, it is necessary to keep in mind
the opinion leaders. Youth are the opinion leaders oI the present time. And
thus it becomes necessary to design the campaign keeping the youth in mind.
The opinion leaders would Iurther trickle down the message to the less active
members oI the society.
This is exactly what Bisleri is doing. Bisleri has started an advertisement
campaign stressing the point oI purity and Ilaunting the patent right the
company has over the breakaway seal. The company has tried to put the
message across louder, by using the ad campaign that catches the eye oI
everyone, specially the youth.
Bisleri that was looking Ior a diIIerentiator decided to make the breakaway
seal the symbol oI purity. The tamper-prooI seal was developed, around
which the communication was woven. The campaign stresses the saIet y
provided by the breakaway seal by illustrating the ease with which
conventionally sealed bottles can be reIilled and recycled.
The objective with the campaign would have been to highlight the tamper-
prooI seal and create doubt in the consumer`s mind oI the purity oI the other
brands. That is, Bisleri is the only one that guarantees purity and keeps you
Safe.


64

1o conclude: We Iind that new advertisement campaign oI Bisleri is eye
catching. This is what the company should do. And also the company should
make the message clearer to the customers that it has the patent right over the
breakaway seal. In the survey we Iound that the consumers are aware oI the
breakaway seal but are not aware that the company has the patent right.

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


65
























66
COMPE1I1IOA
The mineral water market is set to explode and hit the Rs.2,000-crore mark in
the next couple oI years. This is drawing the big guns attention. First
Britannia launched Evian. And recently, soIt drinks giant Pepsi entered the
Iray with AquaIina. Now, Nestle too is reportedly planning a Ioray.
Meanwhile, Parle Agro`s Bailey has been growing steadily. Small local
players too are breathing down Bisleri`s neck riding on better trade margins
and intensive distribution (in their respective areas oI operation).
The competition Iacing Bisleri can be categorized into a Iew brand names like
,Parle Bailey
,Pepsi Aquafina
,Coca Cola Kinley
With Parle`s Bailey being the main competitor and second in market share in
the organized market, Bisleri Iaces tremendous competition Irom the
unorganized sector.

Aquafina
The advantage Ior AquaIina is that though there are over 300 labels oI bottled
water in the Indian market, Iew can be called brands. It is necessary to
remember that every product with a name is not a brand; even Bisleri has
become generic to this category.


67
It does not have any emotional values attached to it. So there
was no diIIiculty Ior Pepsi in creating space in such a market, which is
completely diIIerent Irom the soIt drinks market, where it will be very
diIIicult Ior any new player to Iind a slot. So the creative team at HTA
virtually had an empty canvas to work on. And it came up with a campaign
that did have people talking. First, a series oI teasers, Iollowed by a Iilm that
showed healthy bodies and youthIul people and, oI course, lots oI water.
Although AquaIina is only available in a 750 ml pet bottle, the pricing, at
Rs.10, is competitive. And it is saIe. In addition to the tamper prooI seal,
there is a reliable method oI checking whether the bottle has been reIilled.
The date oI manuIacturing has been written on the cap as well as on the
bottle. Thus a person who is reIilling it would have to Iind a matching cap
and bottle, the probability oI which is very low.
Coca Cola- Kinley
Coca-Cola joined the race by announcing the imminent launch oI its own
brand oI water and, in the process, putting to rest rumors oI its so-called
takeover oI Bisleri. Kinley is targeting institutions.
Parle Agro's- Bailley
Bailley the brand that is owned by Ramesh Chauhan`s brother Prakash
Chauhan is very popular in the southern part oI India. Southern part oI India
accounts Ior 20 oI the sale oI the whole water market industry. Bisleri
would have a tough competition Irom Bailley since the company plans to


68
spread its presence in that part oI the country. Another thing
that makes the competition diIIicult Ior the company is the price at which it`s
competitor is oIIering the product. Like Bisleri it also gives the 1 lt. For
Rs.10. The only strength point oI the company, which it can capitalize, is it`s
generic name. And also the company would have to enter that market with a
strong distribution base. We know the Iact that Bailley has grown at a rapid
pace using the route oI Iranchising, which Bisleri has not adopted as yet. This
is another point, which the company would have to take care oI to Iace the
competition.



69
PURE BOTTLED DRINKING-WATER
The Safety of Bottled Drinking-water

Because oI the large number oI possible hazards in drinking-water, the development
oI standards Ior drinking-water requires signiIicant resources and expertise, which
many countries are unable to aIIord. Fortunately, guidance is available at the
international level.

The World Health Organization (WHO) publishes Guidelines f4r Drinking-water
Quality which many countries use as the basis to establish their own national
standards.
International Standards for Bottled Drinking-water
The intergovernmental body Ior the development oI internationally recognized
standards Ior Iood is the Codex Alimentarius Commission (CAC). WHO, one oI the
co-sponsors oI the CAC, has advocated the use oI the Guidelines f4r Drinking-water
Quality as the basis Ior derivation oI standards Ior all bottled waters.
CSE Report on pesticide residues in bottled water

The Centre Ior Science and Environment, a non-governmental organization based in
New Delhi, has set up the Pollution Monitoring Laboratory to monitor environmental
pollution. Its main aim is to undertake scientiIic studies to generate public awareness
about Iood, water and air contamination.


70

The bottled water market share oI major brands is Bisleri (51), Bailley (17), Yes
(11) Iollowed by Kinley (10), AquaIina (4).

Drinking water Iilled in hermetically sealed containers oI various
compositions, Iorm, and capacities that is suitable Ior direct consumption without
Iurther treatment



71
FACTS
Bottled drinking water samples oI some top brands Bisleri (Parle Bisleri Pvt. Ltd.),
Bailley (Parle Agro Pvt. Ltd.), AquaIina (Pepsico India Holding Pvt. Ltd.), Kinley
(Hindustan Coca Cola Beverage Pvt.
Ltd.) and oI other less popular brands like Best, Royal Aqua, Seagull etc., which were
being sold and manuIactured in Mumbai and nearby areas like Pune and Daman, were
purchased randomly. All the samples were purchased Irom retail outlets in the market
and Irom railway station and were checked Ior proper seal, date oI manuIacture and
batch number.
Even the top brands, which claim to use treatment methods like puriIication Iiltration,
activated carbon Iiltration, demineralization and reverse osmosis were Iound to
contain residues oI pesticides. It might be due to the reason that the manuIacturers
may be by-passing the raw water aIter partial treatment and remixing it with the Iully
treated stream so as to cut down the cost oI treatment. On the basis oI the results
diIIerent brands can be rated in terms oI total organochlorine and organophosphorus
pesticides Irom least to most contaminated as-
AquaIina
Macblue
Bailley
Kinley
Seagull


72
Sheetal
Bisleri
Brilliant
Bally
Apurva
Royal
Aqua
Best
OXYRICH

When absorbed into the body, these pesticides are not metabolized
rapidly hence get stored in the Iat.
The organophosphorus pesticides aIIect and damage the nervous system and can
cause cancer. They can cause reproductive and endocrinal damage also.



CONCLUSION

"Water, water everywhere, but not a drop to drink" Irom the Rhyme oI the Ancient
Mariner is perhaps a Iitting description oI the attitude oI many consumers living in


73
urban areas today who are increasingly looking toward bottled
water as a means oI meeting some or all oI their daily requirements.

It holds that discomIort or dissonance occurs when a consumer holds conIlicting
thoughts about a belieI or an attitude object.

Consumers may have various reasons Ior purchasing bottled drinking water, such as
taste, convenience or Iashion, but Ior many consumers, saIety and potential health
beneIits are important considerations.

Thus, the pesticide used in the water makes it dangerous to use regularly.





74













75
Strengths

O Old and Iamous brand name

O Better packaging

O EIIective distribution network

O Famous as pure & saIe among consumer

O Good product mix

O Frequent quality checking

O Much used by corporate world

O Better management

O Give regular Iollow up to distributor

O Indian image



76
O Better sales Iorce

O Sponsoring various cultural program

O Better visibility

O Good intensives to dealer






77


W WE EA AK KA AE ES SS S
one liter packs which accounted Ior 50 per cent oI the company`s turnover
has come down to 30 per cent. The two-liter packs, which have practically
disappeared Irom the shelves, have come down Irom 20 per cent to Iive per
cent. The growth has come Irom the 500 ml and the Iive-liter category, which
account Ior 15 per cent and 36 per cent oI turnover respectively.
Earlier, Bisleri was selling at a premium oI Rs.12 Ior the same size. But
beginning last year, it has been selling its one- liter bottles at Rs.15 each.
Aqua Minerals attributes the Price slashing to retailer margins being on the
higher side earlier.
The competitive Rs.15 price tag has been working well Ior the brand.
In what could be a masterstroke, Aqua Minerals is testing out the possibility
oI mass marketing 20-litre Bisleri bottles Ior an MRP oI Rs.70. That works
out to Rs.20 a litre. II the logistics, manuIacturing and distribution do Iall in
place, it could change the Iace oI the puriIied water market Ior keeps.



78



O OP PP PU UR R1 1U UA AI I1 1I IE ES S
So Iar, Chauhan has not used the Iranchising route very aggressively unlike
Parle Agro`s Bailley which has grown very Iast
using this route. He has around six Iranchisees in Mumbai, Delhi, Chennai,
Bangalore, Goa and Rajasthan. 'We shunned this route so Iar because in most
areas where we had no presence, it was imperative that we did it ourselves.
Now Ior Iurther expansion we can aIIord to use the Iranchisee route.



79
1HREA1S
Bisleri will be taking the packs back and reIilling them. But the packs cannot
be sterilized since the material used is PET and cannot withstand high
temperature. So how can he ensure purity?

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






80


Objectives of the Project -


To Iind out the preIerence level oI Bisleri botteled water in the market.

To determine the market share oI Bisleri Brand oI Bottle Water

To know the competitors strategies.

To Iind untapped retailers.



81
RESEARCH METHODOLOGY
1.RESEARCH DESIGN:
The research design which has been used in the project report is descriptive in nature.
2.SAMPLE DESIGN:
The sample design which has been use in this project report is simple random
sampling.
A decision has to be taken concerning a sample unit beIore selecting the number oI
samples. It may be geographical as well as individual. Here Noida city has been
taken as a geographical unit and retailers as an individual unit.
3.SIZE OF SAMPLE:
This reIers the number oI items (Outlets) to be selected Irom the Iinite universe to
constitute a sample size. The survey was conducted oI 50 outlets.
4.NATURE OF DATA:
In this project report the data is collected through primary data source as well as
secondary data.
Type oI Data collection Method adopted Mode oI communication
Primary Questionnaire Personal Interviews



82
FINDINGS
AIter the tabulation and analysis oI 50 respondents Irom ghaizabad city:-

He Iollowing Iindings are obtained:
Q. 1 Whether the customers are already aware about this product?
a)AquaIina b)Bisleri c)KingIisher d)Kinley e)Others
Which brand oI bottle water do customers ask Ior the most?
.
3.97%
23.33%
13.95%
54.45%
6.30%
Kingfisher
Kinlery
Aquafina
Bisleri
others
10.50%
50%
10%
25%
4.50%
Aquafina
Bisleri
Kingfisher
Kinley
others


83
ANALYSIS:
According to market share Iigure, Bisleri is the leading brand which 55.45 market
share. While Kinley is on second rank with 23.33 market share, AquaIina is on the
third rank with 13.95 share, KingIisher have 3.97 market share and others 6.30.


84

2. Which brand oI bottle water do customers ask Ior the most?
a)AquaIina b)Bisleri c)KingIisher d)Kinley e)Others

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

10.50%
50%
10%
25%
4.50%
Aquafina
Bisleri
Kingfisher
Kinley
others


85


3. How much is your monthly sale oI diIIrent brands?













ANALYSIS:
60 oI sellers said that they have their maximum sales Irom Bisleri, 20 sellers said
that they have their maximum sales Irom Kinley, 10 said that they are getting good
revenues Irom AquaIina, 8 get it Irom KingIisher, 2 get it Irom others.
60%
10%
8%
20%
2.00%
Bisleri
Aquafina
Kingfisher
Kinley
Others


86

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

ANALYSIS:
40 saler preIer to sale Bisleri because oI it high demand, 34 sale it because oI
its easily availablety and 26 sale it because oI its good quality.
34%
40%
26%
Easily available
More demand
Quality Factor


87

Q. 5 When you talk oI mineral water, what brands come to your mind?

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

35%
20%
25%
15%
5%
Bisleri
Aquafina
Kingfisher
Kinley
Others


88
Q. 6 Whether the customers are already aware about this product?
















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



ES
NO
S1
85%
15%
0%
20%
40%
60%
80%
100%
Series1


89


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


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


Analysis:
40 oI the saler said that they kept Bislsri more in their shop, 25 said that they
stock more AquaIina , 15 kingIisher as well as 15 Kinley and only 5 stock
others .


90

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


0-5
5_10
10_15
above15

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



91


9. Are you satisIied with the current margins on this brands?
Yes
No
es
no


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





92


10. Whether you are getting any complaints Irom customers speciIy ?
0%
50%
100%
es no
series1
BisIeri
series1
ANALYSIS:
As per the above analysis 88 sellers are satisIied with the current margins og this
brand, but 12 sellers are not satisIied.



93






94
CONCLUSION
The players who will endure will be those who have a strong regional
presence. Take the case oI Team, which enjoys immense popularity in Tamil
Nadu. Similar brands with a regional presence are Siruvani, and Koday. Thus,
new players will be looking Ior a distinct positioning. One such brand is
Bisleri, the largest selling bottled water brand in the US. AIter its successIul
test launch in Mumbai and Bangalore, Bisleri was released in Chennai,
Ahmedabad, Vadodara, and Pune. Parle Agro has invested over Rs.5 crore in
the new Bisleri water project in Maharashtra.

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

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



95
Strategy which the company could adopt, are as follows: -

1he soft target
Selling bottled water requires constantly expanding the market. The company
should also target the market Ior soIt drinks. All the soIt drinks addresses
three issues: Iun, thirst and reIreshment Iollowed by status to some degree.
The thirst and the status value oI the mineral water are well accepted. There
is very little the mineral water brands can do to add the Iun element around
the product. Again here, it becomes important Ior the company to have a good
distribution network. It should be understood that iI the mineral water is
easily available everywhere then it can be said with conIidence that it would
be able to replace the soIt drinks as thirst quencher. II we try and look at the
reasons that why consumers buy soIt drinks as thirst quenchers: we would
Iind the answer as that either water is not available or iI it is available then
saIety is not assured. ThereIore, backed by a good distribution network
mineral water industry can grow at a rapid rate.



96
LIMITATIONS

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

The data collected cannot be Iree Irom errors, since some oI the respondents
Iailed to give correct inIormation.

Study accuracy totally based upon the respondents response.

Stipulated short span oI time Ior survey.


97
RECOMMENDATIONS
Tries to give retailers good margin so they Ieel it more
proIitable to sell our product more than the competitors.
Tries to provide small reIrigerator to the big retailers as you
competitors done so that they can provide chilled water to the
consumers because your competitors do not allow the to keep
you product in there reIrigerator and because oI these reasons
some time retailers hesitate to keep your product.
The company should take care oI the demands oI distributor such as providing
extra cartons (as some cartons are destroyed during loading and unloading
activities), promotional materials etc.
The company should increase its tie-ups with major Iast Iood retail outlets
and leading chain oI restaurants and Hotel in order to boost sales
Advertisement to build the brand image that will provide the required
ground to establish the authenticit y to the product.
Awareness programs at health club, schools & Nursing homes.
To win over the consumer belieI and Iaith over the genuity oI the
product.
Display oI hot and cold dispensers and bottles at places like hotels,
clubs and airports where upper class group visits, as they are the


98
potential customers. Place like departmental stores,
petrol pumps and super bazaars can also be considered.
The company should organize camps at various part oI the city also
road show to bring about the diIIerence between mineral water and
Iilter/puriIied water and to tell the people how mineral water is more
hygienic than Iiltered water/puriIied water.
To aware people the cost beneIit analysis to the customer oI how the
mineral water would cot less and beneIit more, because people using
puriIier system cost too much.



99



















100


BIBLIOGRAPHY

, Marketing Manage2ent, Philip K4tlar
, Annual Rep4rt, Bisleri
, Business Maga:ines
, ebsites


101




AAAEXURE


102


"UESTIONNAIRE
Retailers details (please Iill up ) :
Retailers shop Name :
Address :
Contact Person :
Q1. Which brand oI bottle water do you sale more?
a. KingIisher
b. Kinlery
c. AquaIina
d. Bisleri
e. others
Q2. Which brand oI bottle water do customers ask Ior the most?
a)AquaIina b)Bisleri c)KingIisher d)Kinley e)Others




103
Q3 How much is your monthly sale oI diIIrent brands?

Q4. Why do you preIer to sell more this particular brand?
a. Easily available
b. More demand
c. Quality Factor
Q5. When you talk oI mineral water, what brands come to your mind?

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


Q7. Which brands oI mineral water are more available on your shop?

Q8. Number oI the buyers who buy this particular brand oI water per day?
a) 0-5 b) 5-10 c) 10-15 d) above 15

Q9. Are you satisIied with the current margins on this brands?
Yes
No



104
Q10. Whether you are getting any complaints Irom customers
speciIy ?


Q11. Whether you are getting any complaints Irom customers, speciIy?

Q.12. To which brand and reason?

Brand:-

Reason:-













105

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