SUBMITTED BY: SUBMITTED TO:

ANUJ ARORA PROF. MILIND FADNAVIS

2010042

[PARLE G] INTEGRATED MARKETING COMMUNICATION MIX

BRIEF ABOUT THE COMPANY

The Parle name conjures up fond memories across the length and breadth of the

country. After all, since 1929, the people of India have been growing up on Parle

biscuits & sweets.

Initially a small factory was set up in the suburbs of Mumbai city, to

manufacture sweets and toffees. The year was 1929 and the market was dominated

by famous international brands that were imported freely. Despite the odds and

unequal competition, this company called Parle Products, survived and succeeded,

by adhering to high quality and improvising from time to time.

A decade later, in 1939, Parle Products began manufacturing biscuits, in

addition to sweets and toffees. Having already established a reputation for quality,

the Parle brand name grew in strength with this diversification. Parle Glucose and

Parle Monaco were the first brands of biscuits to be introduced, which later went on

to become leading names for great taste and quality.

For around 75 years, Parle have been manufacturing quality biscuits and

confectionery products. Over the years Parle has grown to become a multi million-

dollar company with many of the products as market leaders in their category. The

recent introduction of Hide & Seek chocolate chip biscuits is a product of

innovation and caters to a new taste, being India’s first ever chocolate-chip

biscuits.

All Parle products are manufactured under most hygienic conditions. Great care is exercised in

the selection and quality control of raw material and standards ensured at every stage of the

manufacturing process.

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.

Today, Parle enjoys a 40% share of the total biscuit market and a 15% share

of the total confectionary market, in India.

Parle Products has been India's largest manufacturer of biscuits and confectionery for almost 80

years. Makers of the world's largest selling biscuit, Parle-G, and a host of other very popular

brands, the Parle name symbolizes quality, nutrition and great taste. With a reach spanning

even to the remotest villages of India, the company has definitely come a very long way since

its inception.

Many of the Parle products - biscuits or confectioneries, are market leaders in their category

and have won acclaim at the Monde Selection, since 1971. With a 40% share of the total biscuit

market and a 15% share of the total confectionary market in India, Parle has grown to become

a multi-million dollar company. While to the consumers it's a beacon of faith and trust,

competitors look upon Parle as an example of marketing brilliance.

Available Anywhere

Today, the great strength of Parle Products is the extremely widespread distribution network.

Even at the remotest places, you can buy Parle biscuits and sweets from the local grocer. It has

taken years to create this extensive network. Parle’s sales force started with one salesman in

Bombay and some agents in few other cities. Gradually, Parle Products expanded. Soon sweets

and biscuits were being sent by rail to Calcutta, Delhi, Karachi, Madras and other major cities.

As production increased, distribution was amplified. Full time salesmen were appointed in

different areas. Currently, Parle Products has over 33, 00,000 distribution outlets.

BRAND PARLE-G

A cream colored yellow stripped wrapper with a cute baby photo containing

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 Parle name conjures up fond memories across the length and breadth of the

country. After all, since 1929, the people of India have been growing up on Parle

biscuits & sweets.

Parle-G has been a strong household name across India. The great

taste, high nutrition, and the international quality, makesParle-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 were 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.

Originally packed in the wax paper pack, today it is available in a

contemporary, premium BOPP pack with attractive side fins. The new

airtight pack helps to keep the biscuits fresh and tastier for a longer period.

ParleG Has a market share of 60% in the glucose biscuits category, worth about Rs2,000 crore.

It is the flagship brand and sells over 25 crore packs every month.

CONSUMER AND BRAND POSITIONING

Consumer

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 tea,

While for some it's a way of getting charged whenever they are low on en-ergy. Parle company practices mass marketing for Parle- G which appeals to masses. It is a product liked by everyone and does not cater only to a specific group or part of the whole market. Thus it is mass production, mass distribution and mass promotion of Parle- G for all buyers.

Brand Positioning

Positive values of life like honesty, sharing and caring.

Synonymous to energy & nutrition.

symbolize quality, health and great taste.

4 P’S OF THE BRAND

Product Mix

1) Core benefit- the core benefit of biscuits is to satisfy hunger of the consumer 2) Basic product- in the second level, the basic product is biscuits. 3) Expected product- the consumers expect the product to have a good taste and also give nutrition. 4) Augmented product- parle biscuits increase a person’s energy levels. This is not always expected by the consumers and hence exceeds customer’s expectations. 5) Potential product- in the future parle could come up with different products such as a snack which could be a combo of chocolate and biscuit.

Price mix

• Parle G has adopted the Market Penetration strategy i.e. low price along

with capturing of a large market

• Also they focus on providing good quality products at the same time, which

means it uses the value pricing method.

• The value-for-money positioning helps generate large sales volumes for the

products.

• Parle G is available in Re 1,Rs 2, Rs 4 to Rs 25 packet

• Profit margin for distributors is 4% and for retailers is 10-12%

• Parle-G maintained its price of Rs.4.00 for the last 12 yrs & has seen the

variation in its sales due to increase in price by mere 50p.

Place mix

• The extensive distribution network, built over the years, is a major

strength for Parle Products.

•Parle G biscuits are available to consumers, even in the most remote

places and in the smallest of villages with a population of just 1500.

• Parle has nearly 1,500 wholesalers, catering to 4,25,000 retail outlets

directly or indirectly. A two hundred strong dedicated field force services its

huge wholesalers & retailers network.

• Additionally, there are 31 depots and C&F agents supplying goods to the

wide distribution network.

• Factories at strategic locations & Establishment of manufacturing units in

rural areas.

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. So it is seen that Parle has 1 level, 2 level & 3 level distribution channels levels.

Level 1 - availability to all departmental stores.

Level 2 – Since it’s an FMCG product this channel exists for customers scattered

throughout the country.

Level 3 – Mass consumption & suitable for national & international coverage. For

e.g. Parle’s international operations consist of serving markets in the Middle East, Africa, South America, Sri Lanka, Australia and North America for which the 3 level distribution channel exists.

PROMOTION / IMC MIX

The marketing mix tools used by Parle are Advertising, Sales promotion and Public Relations.

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 (link for the ad:

http://www.youtube.com/watch?v=5D4PBN0OzuE), 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. It wasn't a biscuit any more. It had become an icon. 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. A year

that saw 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 TV commercial that showed G-Man saving the children from the evil

force called Terrolene launched this campaign. It was also supported by print

medium through posters and streamers put up at the retail outlets.

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’ ( link for the ad:

http://www.youtube.com/watch?v=Kxb4bLq35mg ). 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. Such is the case of Parle hide

& seek biscuit’s television advertisements. The ads of parle hide and seek are portraying actor

Hrithik Roshan. This tells us that the product is being promoted by celebrity endorsement to

increase awareness of this product and help capture the consumers’ attention.

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:

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 children just could not get enough of Parle-G and Shaktimaan.

In the year 2002, it was decided to bring the brand closer to the child who is a

major consumer. A national level promo - `Parle-G Mera Sapna Sach Hoga' was

run for a period of 6 months. The promo was all about fulfilling the dreams of

children. 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. This display is

well decorated and friends and relatives are invited to witness the same. Through a

detailed research, Parle found that due to time pressures, this tradition is slowly

dying and is getting restricted to a select few households.

Thus, to revive the fading event, Parle had introduced the novel promotion called

Parle Golu Galata contest in 2005. After the encouraging response and resounding

success of the 2005 Golu Galata contest, in 2006 Parle Products Pvt. Ltd took the

contest to Chennai, Madurai, Trichy, & Kumbakonam. (Golu means Doll & Galata

means Dhammal.)

Parle Saraswati Vandana, one of its initiatives, is an inter-school contest based on the

Saraswati Puja celebrations. Since it started in 2002 it has seen a tremendous increase in

participating each year, with entries coming from schools of West Bengal.

Famous Campaigns

Famous ―Dada Ji commercial. This was a huge success and was aired for 6 years.

Hindustaan ki Takat

Sponsorship of ―Shaktiman, a TV series.

Parle-G Mera Sapna Sach Hoga

G = Genius

Mein Takat Hun

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