Bisleri International Marketing and Sales

This report explores the global marketing and sales strategies of Bisleri International Pvt. Ltd. It discusses market entry strategies, segmentation, targeting, and positioning in the UK market. The report also provides an analysis of macro and micro factors affecting the company's expansion.

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Programme
Module name GLOBAL MARKETING AND SALES
Schedule Term Autumn 2019
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Report/Assignment Title BISLERI INTERATIONAL MARKETING AND SALES
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published for a wider audience.
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GLOBAL MARKETING AND SALES
Coursework Assessment Brief
September Term 2019
Submission deadline:
Submission mode: Turnitin online access
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GLOBAL MARKETING AND SALES
Contents
EXECUTIVE SUMMARY........................................................................................................5
MACRO ANALYSIS ...............................................................................................................6
Micro analysis '...........................................................................................................................8
SEGMENTATION, TARGETING AND POSITIONING (STP) ..........................................11
MARKET ENTRY STRATEGY.............................................................................................16
MARKETING MIX OF BISLERI – THE 4 P’S OF BISLERI...............................................20
REFLECTION.........................................................................................................................24
CONCLUSION........................................................................................................................24
REFERENCES ........................................................................................................................26
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EXECUTIVE SUMMARY
Dear, Mr. Ramesh Chauhan , Chairman and Managing Director, Bisleri
International Pvt. Ltd, It’s an honour for me to address the potential market
Entry for Bisleri international ltd for your esteemed brand in UK . You had
been an inspiration and role model to the youngsters of India on your visionary
thinking, successful business model and being a successful entrepreneur from
India competing with global leaders like Aquafina and kinley. I hereby write
this report to you in a challenge to expand your business globally, as there is a
huge demand for bottled water across the European union. This report address
the global bottled water forecast, consumption of bottled water in uk, top brands
and their market share in uk, suggestion for market entry strategies and
successful theories to support the internationalisation of the brand. I hope you
will give your valuable time in reading this report, as I’m proud and glad to
research on Bisleri, a top Indian company in the bottled water segment who is a
pioneer in launch of bottled water in India. End users need in the bottled water
market has been extensively researched. One the strategic side of entering an
unknown market , I have adopted two entry mode strategies for bisleri to gain a
competitive market share one through a white label solution, after the success of
the first model, bisleri will be venturing with its own brand in uk. The reason to
select uk , as its a wealthy country, with virtually no people living on less than
£4 a day and 2% present of India population live in uk. I once again thank for
your time and patience to review the report and to your further notice we can
meet in person if you have a thought to promulgate your brand in uk .
MACRO ANALYSIS
Political factors: These are those factors which has direct impact on the
organisation as the government imposes various regulation that they have to
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comply with. The political condition in the country is quite stable which implies
that there will not be any significant changes in the policies of the government
in near future. This is an opportunity for Bisleri as they can formulate their
marketing and sales strategies which will not get affected due to political factors
in the near future. Along with this the policies of the country are relatively fair
in context of the inner working due to which the influence on the public within
the country is large. Also the government of UK is considered to be proactive as
they take into consideration the impact of business on the society and for this
they take impose various regulations on them which can affect the operations of
Bisleri (PESTEL analysis of the UK, 2017).
Economic factors: These are those factors which are based on the economic
condition of the country. The economy of UK is growing which implies that the
business will also grow significantly. The wage rate of the people in UK is
expected to increase in future due to which their expenditure will also increase.
It will have positive impact on the Bisleri as with this people can afford their
product. UK is considered to be a country which attracts foreign direct
investment easily due to which Bisleri can easily procure funds for
implementing their planned strategies. The GDP of the country is considered to
be 5th largest in the world and second in Europe due to which the spending of
the consumers on the purchase of better quality products is high while the the
minimum wage of the people are expected to be £8.21 per hour and it is
expected to increase in future and this is likely to be an opportunity for the
company to expand their market share. The current inflation rate is 1.7% as of
September 2019. It rose to 3.1% in November 2017. It is worth noting that the
Bank of England has set a 2% inflation target. It increased its key interest rate in
November 2017. The rate has gone up from 0.25% to 0.5% (BBC, 2017).
Social factors: The social factors include the consumer’s taste and preference
which has direct impact on the profitability of the company. The people of UK
are considered to be most influenced by the social class which has impact on
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their purchasing behaviour. They prefer to have food of better quality so that
they can maintain their standard of living. This offers an opportunity for Bisleri
to expand their market share in that country. Also the people of UK are
educated due to which they are health conscious which will lead to better sales
of the product as they will prefer to have their bottles. The UK has a major
consumer market. As indicated by the information discharged in August 2019
by the Office for National Statistics, the number of inhabitants in the UK was
66.4million in 2018. Births keep on dwarfing passings and the populace is
required to arrive at 74 million by 2039. The populace is getting more seasoned
too. In UK 18% of the people are aged 65 and above while 2.4% of the
employees within the country are aged 85 and above. This implies that the
people within the country are more health conscious as well as health system in
UK is also effective. It is an opportunity for Bisleri that they can efficiently
enter into the market (PESTEL analysis of the UK, 2017).
Conclusion: On the basis of this PESTLE analysis it can be analysed that the
Bisleri has opportunity to expand their market share and can enter into UK
market. This is because all the factors are in favour of them. While the impact
of changing technology can be managed by the company as this is necessary for
them to deal with the changing needs of the level of the competition. The
company also has to analyse various positive and negative impact of various
policies of UK as with the help of this they can make their policies of expansion
such as the taste and preference of the people of UK.
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Micro analysis '
With the help of micro analysis Bisleri can ensure that they have better strategy
as per their competence and capabilities (Cho, Bonn and Brymer, 2017). The
factors which musty be taken into consideration by Bisleri as their crucial micro
factors includes:
 Competitors: The competition level for the Bisleri is high as In Uk a
large number of company has been operating that offer packed water to
the customers. Various competitors includes Evian, Highland Spring,
Volvic, Buxton etc. with similar pricing strategy so that they can
efficiently target the customers. Due to this Bisleri has to enter into the
market with such a market strategy that can enable them in making the
customers comfortable with the offering of the competitors (Sheehan,
Grant and Garavan, 2018).
 Consumers: The consumers in UK are highly concerned for their health
and due to which they aim to have better quality products. With this they
can easily bring their product in market of UK through various marketing
strategy as their targeted customers prefers the product that they offer.
Analysis of Bottled water consumers in UK
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The present populace of the United Kingdom is 67,706,167 as of December
2019, in light of Worldometers elaboration of the most recent United Nations
data.The United Kingdom 2019 populace is evaluated at 67,530,172 individuals
at mid year as per UN information. The United Kingdom populace is equal to
0.88% of the all out total populace. 82.9 % of the populace is urban (56,012,276
individuals in 2019). The middle age in the United Kingdom is 40.1 years.
Uk Consumption of water drink by 7% to arrive at 4,267 million liters, as per
apex worldwide's 2019 water drinks report's Sale of plain filtered water in retail
packs expanded by 7.9% to 3.4bn liters. The top organizations selling mineral
water from uk is danone, which holds an overall position of #2 among plain
water bottle deals. The income from mineral water fares to china, Indonesia and
France accounted to euro 4.5 billion. Good country spring water stands second
in uk mineral water deals. 7.7 billion single-use plastic water bottles are
consumed in the UK every year, In 2017, 19% of the UK population drank
bottled water everyday (Mintel Bottled Water Report). In 2017, 76% of the
entire UK population used bottled water.
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SEGMENTATION, TARGETING AND POSITIONING (STP)
Bisleri’s Marketing Strategy and Interesting reason behind its success
Bisleri is the First Company in India to introduce bottled Mineral water,
history stands three decades back Powered by 125 plants, 3000 Distributors &
5000 distribution trucks across Republic of India. A symbol of goodness, trust
and purity, Bisleri has been a house name for many years. It’s the foremost
pure drinking water in Republic of India. Having a robust presence, with one
hundred twenty five operational plants (13 owned) and a robust distribution
network of 3000 Distributors & 5000 Distribution trucks across Republic of
India & neighbour countries, Bisleri stands faithful its promise of providing
safe, pure & healthy drinking water to customers for the last fifty years. Parle's
Bisleri holds the most extreme piece of the pie of the drinking water industry by
roughly 36%, trailed by Kinley and others. Bisleri is one of the first rate
refreshment marks that are made in India .
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Bisleri tries to draw attention on their brand across different state’s of india, by
locally marketing the labels of bottled water in their regional language of a
particular state. This acts a catalyst for a normal consumer to access the brand
easily in term of selection of bottled water. Labels were released in several local
languages like Hindi, Marathi, Gujarati, Punjabi, Tamil, Telugu, Assamese,
Malayalam, Kannada, Bengali, and Oriya across different SKUs.
Eco friendly bottles and eco-friendly environment has been a prime choice for
bisleri’s to create environmental awareness and boost it sales . To intensify the
brand presence and eco friendly bottles, bisleri had changed their bottle color
from blue to green being unique from their competitors.It was additionally in
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accordance with the expanding worldwide enthusiasm for eco friendly and
green earth ideas. Bisleri realized that the little, nearby players would
effortlessly change to green yet worldwide brands won't. ‘Bottles for Change’,
an activity by Bisleri International Pvt. Ltd., centers to make mindfulness
among all residents about waste isolation, reusing of plastic containers and best
practices towards cleaner condition. As a piece of the program, bisleri direct's
plastic recycling awareness in schools, universities, corporate workplaces,
shopping centers, happy and parties, occasions, and so forth. Bisleri has banded
together with 3 Non-Governmental Organizations in Mumbai - Parisar Bhagini
Vikas Sangh, Sampurna Earth and Garbage Concern Welfare Society. The
plastic gathered is squashed, offered to recyclers and afterward changed over
into chips. These pieces are then used to make non-consumable items, for
example, material texture, Hand sacks, Window blinds and other valuable items.
Bisleri creates an opportunity for Rag pickers to collect used but clean plastics
through various channels. The program helps waste pickers to collect large
amount of clean plastics at a time, fetching them with good income all plastics
collected are sorted at the segregation centre and sent for recycling.
Segmentation, targeting and positioning strategy for entering into the UK
market are given below:
Segmentation: Bisleri while entering into the market of UK has to focus upon
the people and their behaviours. For this they can segment them on the basis of
different parameters such as common characteristics so possessed by them. For
this the segmentation can be done as given below:
 On the basis of geography: The factors that can be considered by the
managers of Bisleri include the major cities of UK. Also they must
consider the climate where it is hot and humid.
 On the basis of psychographic: The factors under this segment that can be
considered by Bisleri include the lifestyles of the people such as who are
travel freak because they need such waters bottles at the time of
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travelling. Also the segmentation must include the people who are health
conscious (Goldstein, 2017). .
 On the basis of demographic: The demographics on the basis of which
segmentation can be done includes the individual people and the one who
lives with family as both such people has different mindset. Along with
this the corporate can also be the focus of the Bisleri as with the help of
this they can cater e large market segment.
Different segments are divided as with this the company can target them
as per the target market. This enables them to target each and every segment
of the market on the basis of their behaviours and attitude.
Targeting: For targeting different segments of the customer’s different product
line can be introduced. Such products can be made available in different sizes
and prices as per the need of the customers like in corporate small size bottles
i.e., 250ml will be used in the meetings while at home bigger size bottles i.e.,
5ltrs, 20ltrs etc. can be used. The pricing of the bottles must be such that can
easily be affordable to each and every people of the particular segment. Also
their targeting strategy must include the retails strategy and the bulk strategy.
This can be managed by them by taking into consideration the income of the
consumers as the prices of the bottles has impact on the sales of the Bisleri.
Positioning: Bisleri must position their product on the grounds of the purity of
the water so contained in their bottles. They can launch various campaigns that
are creative so that they can attract more and more customers. With the help of
this Bisleri must target the mindset of the people as the people are becoming so
health conscious. So by focussing on this they can create a better image over the
competitors (Sheehan, Grant and Garavan, 2018).
UK BOTTLED WATER BRANDS AND THIER MARKET PRICE
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The most well-known water brands in the UK (in order) are as follows
(Statista):
1. Evian
2. Highland Spring
3. Volvic
4. Buxton
Among the above chart, the average price of UK branded water is around 1.17
pounds, which is 5 times expensive than per/litre price of bisleri in India. This
indicates a wide gap to compete with international brand in terms of pricing.
With the analysis of the competitors offerings the Bisleri can efficiently
evaluate their strategies that can be adopted by them in UK as this will enable
them to target the customers similarly as their competitors are targeting (Eggers
and Moeen, 2018).
MARKET ENTRY STRATEGY
As uk holds 2 percent of population holding Indian race, brand promotion will
be easier to promulgate among the target segment. Among the international
citizen it will be real challenge for Bisleri to use a method for market entry
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strategy. They have to adopt a Market neutral strategy and can’t be aggrevisive
spending on marketing and promotional activities. Despite the fact that uk
consumers for bottled water is significantly increasing, still promoting a brand
with a tag of India can be question of survival for the firm and the penetration
into the international segment really gives them a challenge for the sales.
Bisleri can enter uk market in two phases.
Direct export Mode (white label solution)
PHASE 1: White label solution(via Export): White labeling is when a product
or service removes their brand and logo from the end product and instead uses
the branding requested by the purchaser.
White label is a safer mode to operate in the intial stage for bisleri, as the cost of
marketing and other promotional activities will be a hurdle to invest in an
unknown international market. Having a tie up with a local importer of bottled
water will be the best way to penetrate a new segment marketing. A Long term
agreement between the importer and the exporter would add value to the
importer in terms of proprietorship rights on his own brand. The contract will
hold the following
1. General provisions
Identification of parties to the contract
Duration of the contract
Definition of covered goods
Definition of territory or territories
Sole and exclusive rights
Arbitration of disputes
2. Rights and obligations of manufacturer
Conditions of termination
Protection of sole and exclusive rights
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Sales and technical support
Tax liabilities
Conditions of sale
Delivery of goods
Prices
order refusal
Inspection of distributor’s books
Trademarks/patents
Information to be supplied to the distributor
Advertising/promotion
responsibility for claims/warranties
Inventory requirements
Termination and cancellation
3. Rights and obligations of distributor
Safeguarding manufacturer’s interests
Payment arrangements
Contract assignment
Competitive linesa
Customs clearance
observance of conditions of sale
After-sales service
Information to be supplied to the manufacturer
Evaluating international distribution partners
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From the above image we can comprehend that If the partner is doing badly on
a very attractive market (cell 7), the partner should be switched with another
(and better) one.
If the market is very attractive and the partner is doing a good job (cell 9), the
company could consider forward integration, by turning the existing entry mode
(distributor) into a subsidiary and promoting the distributor to be the new CEO
of the subsidiary, provided they have the necessary competences for such a
position and have sufficient management talent. The agreement contractor
between the exporter and buyer, holds a key important agreement in terms of
costing, profit sharing, royalty or controlling the importer in selling the product
at high price. The exporter should have a strong control in pricing as the key
strategy implementation of bisleri in the uk market will be pricing, they can gain
competitive advantage by reducing the price per litre of bottled water compared
to its peer, as its very difficult to sell an unknown brand at premium in the
initial stage of entry into new markets. Along side the contract should hold in
Bisleri entering in future if the sale of current white labelled water has a
significant sales appreciation for the next three years.
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Licensing is the entry strategy with the help of which the an organisation such
as Bisleri can efficiently expand their market. This is because with this they can
allow the local player in the market to operate on their behalf so that they can
directly expand their market share as they have better knowledge and
understanding of the local market. Licensing will allow Bisleri to offer the right
to market and manufacture their product and services.
Franchising is a strategy which can be used for rapid expansion due to which
most of the organisation uses this strategy for expansion. Bisleri can efficiently
adopt this strategy as with this is suitable fro the organisation that has repetitive
business model. This model also will enable Bisleri to have strong recognition
of the brand that can enable them to meet up with the level of competition at
global level with operations in different countries (Pruthi, Basu and Wright,
2018).
MARKETING MIX OF BISLERI – THE 4 P’S OF BISLERI
Product
 Bisleri mineral water was most readily accessible in glass bottles four
decades back with its image name Bisleri composed on it. The
organization later changed to PVC bottles that were non-returnable and
now the bottles are available in PVC that can be taken away by the
consumers and this is most acceptable to the consumers in UK. Mineral
water is the fundamental thing in the item arrangement of the brand and
promoted under the name "Bisleri Mineral water". Other than this, the
brand likewise delivers soft drink water under the name "Bisleri
Sodawater". This soft drink water is accessible in two unique variations
non-carbonated and carbonated. Bisleri Urza is an ongoing expansion and
is a power drink which can easily be offered in UK as youth nowadays
prefers to have energy drinks. As the idea of packaging mineral water
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was an initial plan of Bisleri in India, consequently the brand has become
equivalent word for the Indian shoppers of mineral water. Bisleri bottles
are accessible in sizes of a large portion of a litre, 250ml, 330ml, 500ml,
1 litre, 20litre which will be preferred by the consumers in UK as well as
per their need.
 The Bisleri can enter into the market of UK with the same product line
and sizes of the bottles as the people of UK afford to have better product
as per their requirements. All of their products such as water bottles, soda
waters and other carbonated and non carbonated drinks have high demand
in UK which makes it a favourable market for Bisleri.
Place
 Bisleri has understood that accessibility is the way to progress and for the
accomplishment of this idea; the dispersion channel must be sufficient.
The brand technique has been to make an immediate arrangement of
conveyance at the national level and this is suitable for expansion within
UK as well because with this they can ensure availability of their
products. By and by Bisleri has in excess of eighty thousand outlets that
are utilized as retail shops in the entire nation and among this number,
twelve thousand outlets are distant from everyone else in the urban
places. The organization has 2000 trucks for sheltered and helpful
transportation of items. The organization has set up eighteen of its own
assembling plants everywhere throughout the nation. It has chosen to
enlist its very own salesmen for appropriate dealing with and distributive
offices. This is so in light of the fact that the brand needs its very own
system of dispersion in places where it as of now has an assembling plant
for cost cutting and productive administration process. So as to enter
profoundly in the southern area the organization has chosen to expand its
circulation channels over there. Bisleri bottles are accessible in each
niche and corner of India. From the little shops to the panwallas at each
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corner etc. In UK the focus of the Bisleri must be on hypermarket,
supermarkets, general merchandise shops etc. so that they can easily
make their target market aware of their products.
 The Bisleri can consider similar strategy in UK for making their products
available to each and every customer. They can under into the agreements
with various channel partners such as distributors, wholesalers and the
retailers. This will ensure that their products are available to each and
every customer throughout. It will enable them to be accessible at
shopping centers, at film lobbies, at cafés, at air terminals, at railroad
stations and at each comprehensible spot.
Price
 In India, most of the individuals belong to white collar class segment of
the general public and accordingly the brand has gone for a sensible
valuing strategy. Water is accessible at each corner and to sell and market
it, one needs to keep the valuing approach at the very least range. Until
and except if the customers can purchase the item at an advantageous spot
and that to at moderate rates, it won't arrive at all aspects of the general
public. So as to meet the purchaser desire Bisleri has continued
evaluating approaches straightforward and clear. It has as of late
expanded its rates to a base raise under its focused and sensible valuing
arrangement since all its different rivals were additionally selling their
items at that value run.
 The bisleri focuses upon economic pricing for the product as this product
belongs to the category of basic necessity. To make it easily affordable to
each and every person of the UK they will follow the same the pricing
strategy i.e., Economic pricing strategy throughout. But for the products
such as carbonated drinks and non-carbonated drinks they can adopt price
penetration strategy.
Promotion
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 In one of the primary special print promotions, a head servant was
holding two Bisleri bottles with a turn of phrase "Bisleri is extremely
exceptional". This aided in catching the creative mind of the general
population and made ready towards success. The showcasing goals and
publicizing approaches of Bisleri in UK can be effective for individual
selling, explicit promoting in various mediums, advertising and deals
advancements. Bisleri in UK has set up a forceful media plan with the
promotions on hoardings, boards, vehicles like trams, trucks, and each
other conceivable interface that a buyer can associate with. Every one of
its promotions is on radio and appeared on the TV slots. Its trademark
"Unadulterated and Safe" has gotten exceptionally well known among the
shoppers. So as to separate itself from different organizations Bisleri
chose "fixed top containers". Later the brand changed its slogan to "Play
Safe" and turned out with some striking promotions to draw in the more
youthful age.
 For creating awareness about their products in UK the Bisleri can use
various promotional campaigns such as they can adopt slogan which can
attract the attention of the customers. For attracting the customers various
hoardings, advertising through televisions, radio, print media etc. can be
used. All these can easily make the people of UK know about their
products. Also they can display their products in various supermarkets
and general merchandise which will make the customer know about the
existence of the product.
REFLECTION
 I realised that on the basis of this report an understanding of various
marketing strategies is developed in me and among all the people of the
group. Different group members were given different responsibilities as
per their nature of expertise such as some people were given the tasks of
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analysing the impact of various macro factors that can enable the
organisation in planning their expansion. While undertaking this report I
realised that some people were not satisfied with the roles and
responsibilities that were allocated to them as they were expecting more
authority and powers while gathering the data in terms of more resources
and opportunity to go on to field. In addition to this various other issues
includes that the students while reporting their analysis were not on time
due to which entire report formation delays. Also the format of reporting
so suggested was not accurate. This had impact on the ethical
consideration of undertaking a project.
CONCLUSION
It’s highly recommended to think global for bisleri, as 50 years of hard
work can reap them a global presence if approached with data facts researched
in this report. A small leap is enough to test the success of Bisleri market into
UK as they can reinvest a portion of annual profit to strategies for international
expansion with the help of various entry strategies such as licensing and
franchising. With the help of marketing mix strategies various aspects of selling
the products efficiently can be ensured as it will enable them to adequately
made the offerings as per taste and preferences of the customers.
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