Project Report

On
“Marketing Mix”
At
PARLE PRODUCTS LTD.
 Preloaded by
MAYURSINH S. JADEJA

 Academic year
2009-2011

 Roll No.
17

 Collage :
KSKV Kachchh University

 Guided by :
KANISHAK SHAH

Submitted to
KSKV KACHH UNIVERSITY, BHUJ
 TRAINING CERTIFICATE
DATE: 20 JULY, 2010

TO,
THE HEAD OF DEPARTMENT,
DEPARTMENT OF COMM. & MANG.
KSKV KACHCHH UNIVERSITY,
BHUJ.

It is certified that summer training report entitled

Marketing Mix at Parle product ltd. is submitted by Mr. Mayursinh
Jadeja for regular fulfillment for the degree of Master of Business
Administration at KSKV Kachchh university, bhuj. It is record of
candidate’s own work carried out at PARLE LTD. During 13 June to 20
July, 2010.
During the training period, we found him very hard
working and sincere. We wish him bright future.

(Gautam Jani)
Marketing Manager
PARLE PVT. LTD.
 certificate

This is to certified that the summer project

report prepared by Mayursinh Jadeja on Marketing Mix at
Parle Products Ltd.

Under my supervision and his own

contribution. The report embodied the results of standards
expected of candidate for Master of Business
Administration at department of commerce and
management, KSKV Kachchhh University Bhuj- Kachchh.

PROJECT GUIDE
(Assis. Prof. Kanishak Shah)
 Declaration

I Mayursinh Jadeja hereby declare that the project work

presented in this report is my own work & has been carried out under
the supervision of Gautam Jani.

This work has not been previously submitted to any other

university for any examination.

DATE: 20 July, 2010

PLACE: Bhuj

(Signature of the student)

Mayursinh S. Jadeja

Acknowledgement
 It is an occasion of great pleasure and a matter of great
satisfaction to present this report of project work undergone at “Parle
Products Ltd.”
This Set of work has helped me in acquiring valuable
Knowledge regarding application of theoretical knowledge and has also
helped me to understand in a better way what I learnt in theory.
For their encouragement and assistance with spirit and
enthusiasm which helped me to proceed with mere vigor and
seriousness.
I am heartily thankful to Marketing manager of P.P.L.
Who gave the permission to take training in P.P.L. for the vocational
training of 40 days also for extending complete co-operation for my
training purpose.
Finally, I express my Feeling of thanks to Friends, family,
members and to each every person who has helped me directly or
indirectly while training and preparation of this report.

Yours Faithfully
(Mayursinh Jadeja)
 Index
Sr. Particulars Page
no. no.
1 Introduction
2 General Information
 About the company
 Organization Structure of Mkt. dept. of P.P.L.
 History & development
 Marketing Mix
3 Product
 Introduction
 Levels of A product
 Product Mix
 Brand Name
 Product life – cycle packaging stage product
positioning
 Product plan& Strategy
 Product analysis, Reserch & Innovation
 Product Related Strategies of P.P.L.
4 Pricing
 Meaning & Defination
 Pricing Policy
 Pricing Methods
 Factors Influencing Pricing Decisions
 Pricing Objectives
5 Place
 Meaning& Selecting Making Channels
 Channel Levels
 Channel Mat Decisions
 Motivating Channel Members
6 Promotion
 Introduction
 P.P.L. & Promotion Mix
 Advertising
 Sales Promotion
 Trade Promotion
 Personnel Selling
 Publicity
 Packaging
7 Ending With
 Future Plans
 Suggestions
 Conclusions
 Bibliography
 Introduction

 Name & Location : Parle Products Ltd.

Village ler, behind shekhpir, bhuj

 Regional office : MUMBAI

 Branch Office : Delhi, Calcutta,

Chennai.

 Year of Establishment : 1928

 Sources of Finance : Own Capital

 Name of the product :

Parle – G
Krack- Jack
Monaco (crishp, light)
Cheese Monaco
Cheeslings
Jeffs
Sixer
Cream Biscuits
Marie choice
Hide & Seek
Nimkin Biscuits
Poppins (Fruity)
Kismi (Elaichi Bar)
Mango Bite
 Kismi Toffee
Rol – a – cola
Poppins (Fruity mint)
Resemint
Orange Candy
May Fair (Caramal
Fantses)
Lux (The star Tiffee)
Dairy Toffee (Rich
Cream)
Tangy
Bool
Fantoosh
Kismi coffee

 Production Capacity :
The company has achieved
Progress in its Production Capacity quite quickly
and steadily. The production achieved by the
company can be illustrated by the fast that the
production at the rate lactones per annum has
now increased to the rate o got ones per day.

 Total turnover : 1100 crores.

 GENERAL
INFORMATION
 About the Company

(I) Out look of Biscuit Industry :

Biscuit which Constitute an important item of bakery

industries have now become a common item of consumption among all
classes of People with tea or coffee biscuits make a taste nutritious
Snack. Biscuits have become more and more popular as a convenient
food with the changes taking place in the economic life of the masses.
The consumption of biscuits has seen increasing over the years and this
envisages the scope for years and this envisages the scope for setting up
of biscuit mixture units. People started manufacturing biscuits of their
own taste by using baking ovens which very popular in the market now
a days. To make it more convenient there is a need of biscuits mixture
which will be ready mix just after adding water, and the dough will be
ready for biscuit making. The Production of ready mix flour on
commercial scale saves time & labour and is sometimes even check up.
To the house wives.
(II) Market of Biscuit Industry :

The consumption of biscuit has been increasing years over

year. The finding of a survey indicates that biscuits are being consumed
in the rural and semi urban arras which constitutes bulk of our
population. Looking at such demand this ready mix can definitely be a
popular item particularly in a rural & urban area.

(III) Insight of Parle Industry :

In the year 1928, there was no any other food industry

producing biscuits and other items of confectionaries. So the chauhan
families the first who have launched or started their industries concerned
with Biscuits and confectionaries. They felt the need or customers
requiring the ready product as and when the consumers need or
requirement, chauhan family have taken the instinctive step in the field
of food industry of biscuits.

Parle products ltd. is managed by 7 chauhan families. It is

a partnership firm. Parle products ltd. is contacting manufacturing units.
The company is having total seven departments. In a factory at Mumbai
products are manufactured through various processes in production
department. The machines used by the factory are taken from India and
they have also had to rely on foreign country. In the factory machines
are working with fully automatic and 100% hygienic condition melody
production in the factory is too fast that they produce 140 counts per
minute. After completing the production the products are standardized
through various methods. The company is also having quality control
department. They quality of the product is checked if they are found best
then any they are sent for packaging department.
 Finished products are packed with colored butter paper
pack. Then all the packets are packed in cartoon boxes. After packaging
products are labeled. Then different fetch no. of the products are given
to each and every products. After completion of packaging finished.
Products are send from factory to depo. From that parle product ltd.
Mumbai dept. have 3 more depos working for the company in Gujarat.
From this depos goods are delivered to distributors. In this company
distributors are called as wholesales.

Wholesalers further delivered these goods to the field staff

and it goes into market. In this unit there is ready stock is available for
customers. All the wholesalers have their own agency in the agency of
Parle product Hd. The work staff from 90 clock in the morning.
Products are loaded from godown for sending the goods or products to
retailers. At 9:30 am. First car starts. In the agency they have recruited
salesman delvers and loaders etc. while delivering goods from the
agency to retails shop jeeper. Salesman carries with them bill books,
bags, sample kits, retail pack etc. In the trade, detailing the product.
Sampling of product outlying the product bills, taking the cash,
merchandising the display of the product and ultimately completing the
sales with the best ability all the activities are performed by the
salesman. By providing satisfactory services to there retail customers the
company achieves re-orders from them. The company follows only cash
business no credit is given to retail shopkeepers by wholesalers. The
parle product ltd. has not increased the rate of price also the lucidity
maintenance issue good that the company has achieved market share at
their best level. The Parle is the leader in the market.
 History & Development

The history is the past performance of the unit and stage at

which has reached by progress is known as development.

In Parle product ltd. the chief promotion of the company

Mr. Pithamber Chauhan has established the company in 1928 with the
small scale production. The company is established by 7 chauhan
families. In the initial period they first started confectionary
manufacturing in a factory of 60 feet × 40 feet with 12 workers and the
production was 40 tone per annum. In value turnover was Rs. 50,000 per
annum. In 1939 company started expansion with biscuits brands
launched were Glucose and monoco. Gradually company has started
producing other novel novelty introduction they are SPIN-H, ORLE,
CHEESLINGS, JEFFS, SIXER, KRACK JACK, POPPINGS, KISMI,
TOFFEES, MELOPY, TOFFEE, VOCACIL, COUGH DROPS, and
many other product in the row. In the year 1981 company started
another.
 Contents
 Introduction
 Levels of a product
 Product mix
 Product life – cycle stage
 Product Plan and strategy
 Product analysis, research & innovation
 Product related strategies of Parle product Ltd.
 Introduction
Any damn fool can put on a deal, but it takes genius faith
and perseverance to create a brand.
DAVID OGILAVY

A product is something that is made in a factory a brand is

something that is bought by a customer. A product can be copied by a
competitor. A brand is unique. A product can be quickly out-dated. A
successful brand is timeless.
STEPHEN KINO

A product is anything that can be offered to the market to

satisfy a want or need.

Meaning

Products that are marketed include physical goods,

services, persons, places organization and ideas.
 Introduction
 Product :

Product is a thing possessing utility. If stands for goods &

services. In a narrow sense, a product is a set of attributes assembled in
identical benefits that satisfy their needs.

According to Philip Kotler, “Product is anything that can

be of fered to a market for attention, acquisition, use or consumption and
that might satisfy a want or need”. Products include more than just
tangible goods. Broadly defined, products include physical objects,
service, persons, places, organizations, ideas or mixer of these entries.
Services are products that consist of activities, benefits or satisfaction
that are offered for sale. Services are essentially intangible & don’t
result in the ownership of anything. Thus, product is an umbrella term
covering goods, services. Places, persons & ideas. According to William
Stanton. “ A Product is a set of tangible & intangible attributes,
including packaging, color, price, quality & brand, puls the seller’s
services & reputation.

In essence, consumers are buying much more than a set of

physical attributes. When they buy a product. They are baying want
satisfaction in the form of the benefits they expect to receive from the
product.
  Product Mix :

The most basic marketing mix pool is “Product Mix”. A

product mix is a set of all products lines & items that a particular seller
offers for sale. A Company’s product mix has four important
dimensions. i,e., Width, Length, Depth & Consistency.

Width: It refers to the no, of different product lines the company carries.

Length: It refers to the total no, of items the company carries.

Depth: It refers to the no, of versions offered of each products in the line.

Consistency: It refers to how Closely related the various lines are in end
use, production, requirement, distribution channels or in
some others way.
 The product mix of Vadilal Enterprises Ltd. includes
the following points :

 Product Variety
 Quality
 Features
 Brand Name
 Packaging
 Sizes
 Product Positioning
 New Product Development Strategy

Now, we shall discuss above points regarding “Product

Mix” in different way & in separate chapter.
 Levels of a Product:

In planning its market offering the marketer needs to think

through five levels of the products. Each level adds more customer value
and the five constitute a customer value hierarchy.

In Parle product ltd. the production manager keeps all the

five level of the product. The most fundamental level that parle product
ltd. keeps in mind is core benefit. Then the marketer turns core benefit
into a think level, the marketer of parle product ltd. Prepares on
expected product a set of normally expect. Also parle product ltd.
prepares an augmented product that meets the customer desires. Also
parle product ltd. stands for uses of all the augmentation and
transportation that the product might ultimately under go in the future.

Parle product ltd. is concerned with the processing of best

quality of energy biscuits for the customer. They are manufacturing
confectionaries for children.
 Product mix:

A product mix is the set of all products and items that a

particular seller offers for sale to buyers.

A company’s product mix has a certain width, length,

depth, and consistency.

 The width of product mix offers to how many different product lines
the company carries.

 The length of product mix refers to total number of items in its

product mix.

 The depth of product mix refers to the total number of items in its
product mix.

 The depth of product mix refers to how variants are referred of each
product in the line.

In Parle Product ltd. the length of the Product mix carries

two different lines. That means the company concerned with
manufacturing of biscuits and confectioneries.
 The depth of Parle Product ltd. can be measured for the
sizes, colours, models, price and quality of the Parle Products. Parle
Product ltd. has a products in various Sizes which means the biscuits
packets are available in 50gms., 75gms., 100gms., 150gms., 500gms.,
with various Prices and colours and colours and quality.

 The biscuits market is divided into following segments:

 Glucose e.g. Parle – G, Tiger, Gluco-Gold Kwality Gluyco, etc.

 Low count stated e.g. Monaco, snax, topate.

More and thin arrow work e.g. parle marie choice.
Low count sweets e.g milk Bikkies, Nice, coconut.
High count sweet. e.g. Brita, Zoological etc.
High count Salted e.g. Sixer. Jeffs, Chakra
Other cookies, cream cruckers, etc.
Cream Variety.

 Confectionary is broadly divided into:

 Hard Boied Confectionery e.g. orange candies, mango bite,

poppins, etc.
 Toffee Modified Toffee, e.g. Kismi, Lux Dairy, Mayfair.
 Chocolates eg. Melody, cadburry’ Nestle etc.
 Low count sweets e.g. milk Bikkier, Nice, coconut.
 High count sweet e.g. Brita, Zoological etc.
 High count salted e.g. Sixer, Jeffs, chakra
 Other cookier, cream cruckers, etc.
 Cream variety
 Confectionary is broadly divided into
 Hard Boiled confectionery e.g. orange candies, mango bite,
poppins, etc.
 Toffee Modified Toffee e.g. Kismi, Lux dairy, My fair
 Chocolates e.g. Melody, Cadburry’s Nestle etc.
 Brand Name

A brand is name, term, sign, symbol or Design or a

combination of these intended to identity the products of services of one
seller or group of sellers and to differentiate them from those of
competitors. Thus a brand identities the maker or seller of a product.

In other words, a brand is seller’s promise to deliver

consistency a specific set of features, benefits & services to buyers. The
best brand conveys a warranty of quality.

Most of the big companies are having their private brands.

Private brand are often hard to establish & due costly to stock &
Primate, private labels yield higher profit margins for the middlemen,
they also give middlemen exclusive products that cannot be bought them
competitors, resulting in greater store traffic & loyaly.

The unit has adopted its own brand name known as

“vadilal” because of the following reasons.

 The unit has broad product lines.

 The unit is well established & having a good distribution system.
 The unit holds large shares of the market.
 The brand name has high consumer acceptance.
 The brand name also helps to assure consumers that they will get
consistent quality when they re-order.

From the above discussion we can say that

“Vadilal is one step ahead-as always”

Now days, the company gets success to attract many customers by just
the power of its name & strange image in the market. Today the brand
name is counted much more than the features, Price & other things. The
purchasing decisions made mostly from the brand name of the company
and that’s why Vadilal Ice-Creams are on the top & thus. We
confidently say like.

“Nothing can satisfy you like Vadilal”.

 Packaging
Some marketers have called packaging a fifth ‘p’, allying
with product, price, promotion & place However packaging is treated as
an element of packaging consists of all the activities designing &
producing the container or wrapper for a product. The container or
wrapper is called the package physical product require packaging
decisions to create such benefits as protection, economy convenience
and promotion packaging also have various elements like size, shape,
materials, colour, text & brand name.

Parle Product ltd is always very accurate in the matter of

packaging the products & they care a lot & fined more importance to
this activity at some point. Ice-cream are the frozen liquid items &
requires the superior package & packaging activities because of the
following purposes.

 Packaging protects the product on its way to the consumer. The

biscuits & chocolates of P.P.L. co. are transported to a very long
distance & also it can prevent tampering with products in the
warehouse or retail store.
 Package goods generally are more convenient, cleaner and less
susceptible to losses from evaporation, spilling & spoilage.
 Packaging also helps in identifying a product & thus, may
prevent substitution of competitive products.

From the above Points, we can say that package can serve
as a “Silent Sales Person”. Plastic’s wrapper & paper container,
ultimately a package may become a product’s differential advantage, or
at least a significant part of it. Thus, products might be differentiated by
a feature of the package.
 Product Positioning
Positioning is an act of designing the company’s offer &
image so that the target market understands and appreciates. The product
can enjoy a strong positions in the market when it fills the consumer
needs there for, the company’s positioning must be routed in an under
standing of how the target market defines value & makes choices among
vendors. Positioning them its competitors along with real dimensions in
order to be the preferred company for creating market segment
positioning aims to help customers to know the different between
competition companies, so that, they can match themselves to the
company that it can satisfy their needs best.

The P.P.L. holds a better & strong market share in the

market of Ice-cream vadilal ice-cream stands at the top position of
market with its image in P.P.L. is accepted in all over India

 Teenclgers (appr. 30%)

 Children’s (appr. 45%)
 Middle age & Old age People (appr. 25%)
 Product Life Cycle Stage

From the time the produce idea is been during its

development and up to the time it is launched in the market, a product
goes through the various phases of its development. Its life begins with
its market introduction, next it goes through a period during which its
market grown rapidly. Ultimately it resides marketing, maturity after
which its market declines and finally the product dies.

The product life cycle may move through five stages

 Introductory, pioneering as development stage.

 Growth or the market acceptance stage.
 Market Maturity stage
 The Saturation stage
 The Decline stage

In Parle Product Ltd. the product of the unit has reached at

growth stage. In this stage, the product is produced in significant
quantity and put in the market without delay. Here in this unit also the
Parle Product Ltd. is having ready stock working with them. As the
company Parle Product Ltd. has reached as its growth stage there are
large number of competitors entered in the product. Parle Product Ltd. is
having a number of distribution outlets and that’s why the products of
Parle are fixed at economic rate.
 Product Plan Strategy

First of all Parle Ltd. concentrate on the need of

consumers and then produces to satisfy those needs of the consumers.

Product planning is defined as the process of deciding in

advance every factor related to product. Each company has their own
product planning and strategy.

Parle Product Ltd. while dealing their product plan and

strategy keeps in mind the following points:

 Market SIZE
 Consumer NEED
 Competition CLUTTERS

After going through the above factors plans are made for
the production and distribution of products, but the main aim remains to
meet with consumer’s needs and demands to know the consumer needs
market research is carried out, through small market research team.
 Product Analysis Research &
Innovation

Product analysis is the process of evaluating the product

and finding its positive and negative points. Product Analysis refers to
the finding out of pros and cons of any products of the company. The
product of the company is compared with similar products of other
companies and then the product it evaluated on the basis of results
obtained.

Product Analysis is done through Research work. The

market and Consumer Research shows the position of the Product and
also indicate whether any modification or change is to be made in the
product.

The Parle Product Ltd. have their own Marketing Research

Department. If the company wants to launch any new product then they
first of all make segmentation of cities. If the questionnaires are
prepared and people are interviewed about which type of product they
need. Feed back from the customers are collected and they are
scrutinized on the basis of data collected from the people. Top Level
Executives takes action on that. The Manager of Marketing Research
Department and Manager of Production Department both get concerned
with each other and then the finalization of the product is mad. As the
product gets finalized, they are launched in selected cities for test
marketing and get the response about whether the product is going to
accept or not. They are test marketing and getting feedback for six
months. If they feel that the product is fitted according to Customer
demand. Then the products are produced for while market. Other wise
changes are made das and when required.
Product Related Strategies of P.P.L.

“Today the issues of branding, packaging, product

warranty and product servicing are especially sensitive are as than ever
before”.

Merchandising

The work merchandising means goods for sales and

merchandising is a comprehensive concept which embraces all concepts
undertaken at the retail to promote sales.

Parle Product Ltd. also uses various types of display

material which reinforces the impression and effects. They are using
strummers, posters, backup sheets, yard stickers, boxes, self stickers,
wall paintings stands and dispenser.

Branding

Perhaps the most distinctive skill of Professional

Marketing is their ability to create, maintain, protect and enhance
brands. “Branding is the art and curbstone of Marketing”. The American
Marketing Institution defines Brand as:
 A Brand is a name, term, sign, symbol or design or a
combination of them, intended to identify the goods or services of one
seller of group of sellers and to differentiate them from those of
competitors.

As Parle Company gives importance to both brand name

and quality. They believe that brand and quality are the two sides of the
same coin. For maintaining brand it is necessary that the quality of the
product should be best.
 BRAND NAMES OF THE
BISCUITS OF
PARLE PRODUCT LTD.

1. Parle - G

It is one of the oldest brands of the company which was

introduced in 1939. It is crisp, sweet and has got unique taste. It is a
brand leader especially in west and north zone which are strong Glucose
market. There are lots of limitations of this products, lot of consumption
is through children.

2. Monaco Roll

Monaco Rolls are available in delicious round shaped,

salty biscuits. Very light, very crisp, eaten plain or with toppings and
never sold loose.

3. Krack Jack

Krack Jack of Parle Product Ltd. is about 24 years old

product. It is sweet and salty in taste.
4. Cream Biscuits

Cream biscuits of Parle Product Ltd. are available in four

flavors – Orange, Pineapple, Chocolates and Elaichi. With very crisp
and creamy biscuits, each biscuit includes seven grams cream which is
available at very economical Price.

5. Dump Varieties i.e. High Count Salted Biscuits

(a) Cheeslings : Cheeselings are only type of its kind and

unique cheese biscuits which are very light,
thin and fluffy.

(b) Sixer : Sixer is the brand name which means six

sided salted biscuits.

(c) Jeffs : Jeffs are of small shaped Jerra biscuits.

CONFECTIONARIES - CANDIES

1. Orange Candies:
Orange candies are of the oldest brand of Parle
Product Ltd. It is of oval shaped orange flavored candy which is
very popular among children.

2. Mango Bite:
Mango Bite is mango flavored bid size candy.

3. Roll – A – Cola Candy:

4. Poppins:
It is one of the oldest and very successful brands
available in roll form in various fruity flavors.

5. Peppermints & Rosemings:

Pepper and rose flavored menthol candy in tablet
form.
 CONFECTIONERY: TOFFEES

Kismis Toffees
Mayfair Toffees
Lux Toffees
Dairy Toffees
Melody Toffees
Melody Regular
Melody Variants
Kismi Toffee Bar

Melody Production in Parle Product Ltd. is too fast that

the machines are working with fully automatic and 100% hygienic
capacity. The Product of Melody per minute is 140 count.

Trademark

A trade mark have been defined as any sign, mark,

symbol, work on words which indicated the origin or ownership of a
product as distinguished from its quality and which others have not the
equal right to employ for the same purpose. Trademark or brand may be
registerable or non-registerable.

As we have already seen that Parle Product Ltd. has

choose various trade marks or brand for their products of biscuits and
confectionery products.
Slogans

Slogans and sentences are used to win sales and increase

business when used intelligently. Someone has said “If you win a luck
phrase you win future success”. Good slogans are never wear out, they
are as good today as they were yesterday and will remain so far coming
hundred years.

The following are some slogans which are used by Parle

Product Ltd. have coded in increasing sales by converting prospects into
steady customers.
SLOGANS PRODUCT

1. Crispy Jerra Biscuits Jeffs

2. Crispy Salty Munchies Sixer
3. Cheesier ! Munchies Cheeslings
4. Jeera Ka Jabardast Jalwa Jeffs
5. Curcure Namkin Ka Karara Maja Cheeslings
6. Khile Khile ! Cheese Bhare ! Swad Bhare !
Cheeslings
7. Thoda Mitha Thoda Namkin Krack Jack
8. Tiagling Fresh Extra Strong Mint Parle Extra
9. Cola Ka Gola Rol – A – Cola
10. Jeene Ki Raah Yahi Hai Sahi Parle – G
11. Swad Bhare Shakti Bhare Parle – G
12. Melody Khao Khud Jaan Jao Melody
13. Mast Mast Falon Ka Naya Maja Poppins
14. The Big Toffee Bar Kismi Toffee
PRICING
 Pricing Policy

Skimming Price Policy:

This strategy involves setting a very high price, so that in

the initial stage cream of demand may be skimmed and enormous profits
made for an indefinite period or the price may be covered later in order
to tap other segments of the market.

Penetration Price Policy:

In this strategy a low price is set to reach the market

immediately.

Parle products has adopted penetration price policy for

their items of biscuits and confectionery, because in consumer products
there are many competitors prevailing in the market. So it is not possible
to set a very high price in the initial period. Considering their
competitors policy parle has adopted penetration price policy.
 Pricing method

The price, the company charges will be somewhere

between one that is too low to produce a profit and one that is to high to
produce any demand product costs set a floor to the price. Consumer
perceptions of product’s value set the ceiling. The company must
consider competitor’s price & other external & internal factors to find
the best price between these two extremes. Companies set prices by
selecting a general pricing approach that includes one or more of three
sets of factors such as : The cost – based approach like cost – based
approach like cost-plus pricing, break-even analysis and target profit
planning :

The buyer – based approach like perceived – value

pricing:

The competition based approach like going – rate & sealed

– bid pricing.

The Vadilal Enterprises Ltd. has much longer product line.

So, it would be difficult for all products. Therefore, the prices are fixed
according to the materials consumed & adding relatively services.
 Generally, pecking method adopted by the unit is the cost
– plus pricing. This pricing method is considered the best approach to
pricing. It is based on the seller’s cost of production plus additional
margin of profit. There are a few items in determining the sale price i.e.
 Cost of producing / acquiring goods
 Cost of operating / selling expenses
 Interest, Depreciation etc.
 Expected profit margin
The cost – plus pricing method is a very common practice
particularly in retail trade. because of the following reasons:

 Sellers can determine cost much more easily.

 Where all the firms in the industry use this pricing method. their
prices tend to be similar. Price competition is therefore
minimized.
 Many people feel the cost plus pricing is fairer to both buyers &
sellers, As sellers do not take advantage of buyers when the
latter’s demand becomes acute, the sellers earn a fair return on
their investment.

Therefore, the prices fixed by the P.P.L. are in such a

manner that they include cost or production, adding relatively services &
profit margin & also the prices are affordable by all classes of people.
Therefore, we can see that the pricing method adopted by the unit is
perfectly suitable.

Pricing Methods

Companies revolve the pricing issue by selecting a pricing

method. The pricing method then leads to a specific price. As there are
many pricing methods which are as under:
 Mark – up Pricing
 Target Return Pricing
 Perceived Value Pricing
 Going Rate Pricing
 Sealed Bid Pricing

Parle Products Limited has adopted sealed bid pricing

method for the fixation of prices of biscuits and confectionery.
Competition oriented pricing is common where firms submit sealed bid
for jobs. The Parle products fixes the prices taking into account prices of
competitors rather than rigid relation to the firm’s supply or demand.
Parle wants to win the contract and winning normally requires
submitting a lower price than competitors. At the same time the unit has
not set its price below cost.

There is no government regulation in fixation of price of

products P.P.L., government only advises on the quality of the products.
 There is no any type of discount and allowances provided
to dealers and customers. The products are not sold on credit basis and
there is only such cash system prevailing in P.P.L.

During my field training in market, I came to know that

there is no credit benefit provided to retailers, stockiest or customers,
because they are the market leader and without providing credit facility
also their products are in great demand by the retailers and customers.
Also if they fix some high price, then also, the loyal customers of the
P.P.L. will not get diverted toward others products because 90% of the
customers believes in good quality rather than only on price. Only 10%
of customers may have a chance of diversification towards other brands.
Factors Affecting Pricing Policy

The price fixed by the seller’s own sentiment may not

necessarily be accepted in the market. Historically, prices were set up by
buyers & sellers negotiating with each other. Seller would ask for higher
price than they expected to receive & buyers world offer less than they
except to pay. Through bargaining. They world arrive at an acceptable
price.

Today, most sellers set one price for all buyers. Yet, many
companies do not handle pricing well. There are number of factors
which affect the pricing policy of the company. If the entrepreneur
would not give much importance these factors, he may not be able to
survive in the consumer’s markets. The factors affecting the pricing
policy can be broadly deviled into two categories.

 Internal factors which include the company’s marketing

objectives, marketing – mix strategy, costs & organization etc.

 External factors which include the nature of the market &

demand, competition and other environmental elements.
 So far as P.P.L. is concerned, the factors which affect the
pricing policy can be summarized as under:

Internal factors
Cost of Production

At the time of marketing the pricing. The manager has to

attempt to optimize the cost. Cost optimization means setting of
reasonable prices which provide equitable return on capital at the same
tome suit the consumer’s purchasing power.

Distribution cost

P.P.L. are transported to a very distance, naturally the

distribution cost would be high. Again, the costs on middlemen clue
generally high because the profit given to the would also be included in
to them would also be included in the cost.

Normal Profit Margin

The main objective of any company is to earn maximum

profit. Here, also the margin of profit is taken into account while fixing
the prices. But the prices are changed at the cost of society.
 Product Perishablility

While fixing the prices, the decision makers should not

underestimate the perishable quality of the products. The unit also gives
much stress on this factor & fixes prices accordingly.

External factors:

Demand of the Product

The decision makers of the unit are always in trying to

study the nature & magnitude of demand & according the level of
demand, the unit fixes prices.

Socio – Economic Environment

Rise in the level of income or in the standard of living may

affect the pricing policy. The decision makers may prefer to increase the
price, where there is a high standard of living & vice versa.

Government Regulations

The decision makers of the unit are always keep in the

mind the regulations introduced by the Government. This factor requires
more care & precaution.

Competitor’s price in the Market

This is the most important factor in determination of

prices. The main competitors of the Vadilal are Amul, Hawmore &
Walls. The decision makers, here also give full attention to these
competitors while fixing prices.

Thus, above all factors are taken into account while fixing
prices for the products. Ultimately, consumer perceptions of price and
value determine whether the company has set the right price, if the price
is higher than the sum of the perceived values, consumer will not buy
the product.
Factors Influencing Pricing Decisions

Pricing decisions are influenced by numerous factors.

Pricing policies should be consistent with pricing objectives and pricing
strategy should be in conformity with pricing objectives and pricing
policies. Also pricing decisions require the knowledge of the company’s
over all marketing environment. In P.P.L. while fixing the price
structure following points is considered:

 Invoice Amount
 Local Sales Tax
 Secondary Freight
 Wholesaler’s Margin
 Cost to Retailers

In Parle Product Limited, company fixes the price of

various brands of biscuits and confectioneries. Accordingly to the price
of competitors like Britania, Bakemans, Windsor, Nutrine, Nestle,
Candy-Cake, Simco products are available from the ranges of Rs. 2, Rs.
4, Rs. 5.45, Rs. 6, Rs. 11.50, Rs. 18.50. The profit covered by pare-G
products is very less, but by the effort of P.P.L.; they have not allowed
their competitors to enter in the market. The future of Parle-G is very
bright.
 Objectives of Pricing

Every marketing activity – including pricing should be

directed toward a goal. Thus, management should decide on its pricing
objective. Before determining the price itself. The pricing objective
selects must be compatible with the overall goals set by the company &
the goals for its marketing programme.

A company also might use price to attain other more

specific objectives it can set prices low to prevent competition from
entering the market or set prices at competitions levels to stabilize the
loyalty & support of resellers or to avoid government intervention price
can be reduced temporarily to crate excitement for a product or to draw
more customers into a retail store. One product may be priced to help
the sales of other products in the company’s line. Thus, pricing may play
an important role in helping to accomplish the company’s objectives at
many levels.

A company can peruse any of the six major objectives by

its pricing which are as follows.

 To survive in the market

 Maximum current profit
 Maximum current revenue
 Maximum market skimming
 Product quality leadership

The pricing policy of the P.P.L. is formulated keeping in

mind that majority of its customers belong to all classes of people
therefore the pricing policy is formulated in such a way that it can be
affordable by all classes of people & is not burden on their income. The
main aim of the company while setting price objective is to maximize
sales growth & current revenue by keeping the cost as low as possible
into increasing both sales & market share. The speciality of pricing
objectives of Vadilal Enterprises Ltd. is to grow its market share through
decreasing the prices of Ice-creams set during the time of festivals.
 Pricing Objectives

Pricing objectives are overall goals that describe the rate

of prices in an organisation’s long range plans. The most important
objectives of the company is to have maximum profits.

There are mane objectives in pricing such as:

 To achieve target return of investment.

 To stabilize prices.
 To maintain or improve a target share of market.
 To meet or prevent competition.
 Maximum profits.
 Survival.

As Parle products is a limited company and that’s why the

main objective of fixing price is to achieve maximum profits from the
products like biscuits and confectioneries items but by providing best
quality at economic rate. That’s why the product of parle-G has covered
70% of market share and the company is market leader. He secondary
objective of P.P.L. wants to survive by competition as there are many
competitors with the products like Britania, Bakemans, Windsor in
Biscuit items and Nutrine, Nestle, Candy – Cake, Simco in
confectionery. Also P.P.L. wants to survive by providing best quality of
product with economical rate. The P.P.L. wants to survive by providing
best quality of product with economical rate. The P.P.L. has not
increased the rate of price as other companies are doing. Retail margin
earned by the unit 10% in biscuits and 15% to 55% margin in
confectioneries.
PLACE
Managing & Selecting Marketing
Channels

It is a path traced in the direct or indirect, transfer of title

to a product as it moves from a producer to ultimate customers or
industrial users. We can define the distribution channels as movement of
goods and services between the point of production and point of
consumption through organization that perform a variety of marketing
activities. The route of the channel include both manufacturer and the
consumer and intermediaries who are linked in the channel system by
one or more of the marketing flows like transfer of title or ownership,
physical movement of goods of merchandise, flow of money through
payment of prices or so or transmission of marketing information. A
distribution system has two sub divisions

Channels of Distribution
Physical Distribution

Physical distribution looks after physical handling of the

goods and assures maximum customer service. It aims at offering
delivery of right goods at the right time and place to customers. These
activities include packaging, warehousing, transportation, and inventory
control and customer service.

In P.P.L. for delivery of biscuits or confectionery

products, they are having truck facilities. They are using many
transportation companies for carrying goods from factory to wholesalers
or from factory to depo.

Distribution Channels
Physical Distribution Channel Distribution
 Transportation Wholesaler
 Warehouse Retailers
Agents
Brokers
Job Workers

“Marketing channels are sets of interdependent

organizations involved in the process of making a product or service
available for the use or consumption.”

- Philip Kotler
 Channel Levels

Each intermediary that performs work in bringing the

product and its title closer to the final buyer constitutes a channel limit.

 A zero level channel also called a direct marketing channel

consists of a manufacturer selling directly to final customer.
 The one level channel contains one selling intermediary such as a
retailer.
 The two level channel contains the intermediaries which is the
most widely used channel where manufacturers have direct
dealings with wholesalers who in turn sell to retailers and they in
turn to consumers.
 The three level channels contains agent, middleman, wholesaler
and retailer and then ultimate consumer which is after used by
relatively small manufacturer with a limited product line who sell
to widely dispersed market.

The Parle industry uses the following channel of

distribution:

Manufacturer Agent Wholesaler Retailer Consumer

Middleman

Parle industry is concerned with food items. There are as

many numbers of buyers and ultimate consumer so it is not possible for
direct selling of buyers and ultimate consumers. So it is not possible for
direct selling of product to them. From the factory of Parle goods are
sent in depo. The P.P.L. is having two depos in Gujarat. From depo
goods are delivered to distributors. P.P.L. calls their distributors as
wholesalers. Wholesalers further delivers goods to the trade. In the unit
P.P.L. follows ready stack working system. In the trade. In the unit
P.P.L. follows ready stack working system. In the agency ready stacks
are available for providing and leaders whole delivering agency have
recruited salesman, drivers and leaders whole delivering goods from
agency to retail shopkeepers. Salesman carry with them bill books,
sample kits, retail pack. In the trade various activities are performed by
salesman like detailing the product, supplying of products, cutting the
product and ultimately closing the sales with the best ability. By
providing satisfactory service P.P.L. achieves reorders from retailer or
retailers gain of business from ultimate customers. Here service means
providing best quality at cheaper rate and at – proper time and place.
Channel Management Deceasing

After a company has choose a channel alternative,

individual intermediaries must be selected, motivated and evaluated.
Also channel management must be modified over time.
Selecting Channel Members and
Providing Training

Producers vary in their ability to attract qualified

intermediaries within the chosen channel. Also they have to work hard
to get qualified intermediaries.

In P.P.L. the management recruits their channel members

not on the basis of qualification and experience but they make marketing
survey. They are getting applications from the applicants. On the basis
of the applications received they evaluated the applicant and the final
selection is made. Newly appointed wholesalers are generally given
three days training by dealers. Also the training is provided by model
wholesalers who have got the thorough knowledge of policy and
procedures updated by P.P.L. and paperwork concerned with that job.
New wholesalers are provided with one and half days on the job training
in the one and half day’s electrician training. For arrangement of this
training programme company is producing three star hotels, single A.C.
room with breakfast, launch and dinner and other facilities. P.P.L.
wholesalers are selected to population for e.g. cities like Rajkot they
have wholesalers.

In Ahmedabad they have ten wholesalers. In Baroda they

have five wholesalers. In Surat they have eight wholesalers. In Kachchh
they have six wholesalers. In Talukas company does their business by
separating the market customers.
Motivating Channel Members

Intermediaries must be continuously motivated to do their

best job. This motivation is supplemented by training, supervision and
encouragement. Intermediaries can aim for a relationship based co-
operation, partnership or distribution programmes. Internally producers
are using positive motivators such as high margin, special deals,
premiums, co-operative advertising allowances, display allowances and
sales contacts.

P.P.L. has also adopted positive view for motivation. They

are providing their wholesalers 3.85% rate of margin plus they are
giving 0.5% commission to them, as on incentive for extra efforts made
by them. Overall wholesalers are getting 4.3% of margin for their
services provided to the company. P.P.L. Company is also improving
their wholesalers. The distributor’s turnover ratio is nill in parle. All the
company is very much co-operative to the distributors. They believe in
providing special deals to their wholesalers and are heading sales contest
in Navratri and Satam-antham festival. P.P.L. provides stimulates
approach towards their wholesalers. That is why P.P.L. calls their
distributors as ‘PARLE PARIWA’ and not Parle Products Limited.
 Also once in a year P.P.L. organizes one self improved
programme for all the wholesalers as well as for field staff. In that self
improvement programme, they are not doing any business yet. The
whole concentration is given on improving themselves. During this
period they are doing YOGA and DHYAN also. The trainers are playing
healthy physical games. Thus all the training programmers are for
wholesalers as for sales managers.
 Evaluating Channel Member

In this company of P.P.L. they periodically evaluated

intermediaries performance on the basis of sales quota attainment.
Average inventory levels, customer delivery time, accordingly treatment
of damaged and last goods. In P.P.L. distributors are visiting market
regularly. They visit the out-let one by one to distribute the product. If
any problem arises they try their best to overcome the problem. If
retailers have any claim or broken goods with them they have to replace
it and provide replacement stock.
Intensity & Eaten of distribution

After deciding the channel of distribution, the

manufacturer has to decide how many middlemen should be in the
demand that is the intensity of distribution to be used at the wholesaling
levels in the channels has to be decide. They are intensive distribution,
exclusive distribution and selective distribution.

Extensive Distribution

This strategy is used by producers of convenience goods

and common raw materials. The purpose is to saturate the market as
such as possible with their product. The strategy is mostly used when
the product is inexpensive and frequently purchased. The market is
competitive. The unit of purchase is usually small along with their price
and consumers wanted to their near areas and retailers enjoy high stock
turnover on small industry. The burden of advertising lies on the
manufacturer.
Norms Followed By The Agency Of
The P.P.L.

Active person the firm should visit the trade at least two
hours daily in different routes. He should contact priority outlets once in
a month and on every Saturdays in semi-wholesale market to book the
order and to know market trends. All available products to be given all
semi-wholesale outlets.

 All the routs to be covered weakly with rate size of 45 outlests in

ready stock.
 If possible the market should be feeded in GRI and GRQ.
 For every 450 outlets there should be one unit.
 Range selling should be more than and fine.
 Stock registers to be maintained daily.
 Give respect to all people coming across.
PROMOTION
 Contents

 Introduction

 P.P.L. and Promotion Mix

 Advertising

 Agency

 Objectives

 Budget

 Message

 Media

 Publicity
 Promotion

Push Strategy and Pull Strategy:

A push strategy involves manufacture’s marketing

activities primarily sales force and trade promotion directed at channel
intermediaries. The good is to induce intermediaries to order and carry
the product and promote it to the end users. It is more useful under when
there is low brand loyalty in a category and brand choice is made in a
store. Product is an impulse item.

A pull strategy involves marketing activities, advertising

and consumer’s promotion directed at end users. The goal is to induce
the end users to ask intermediaries for the product and thus induce
intermediaries to order the product and manufacturer. It is appropriate
when there is high brand loyalty and high involvement the category.

PUSH STRATEGY

Producer Retailers & Wholesalers Consumers

Producer Marketing Retailer marketing activities

Activities (personal (personal selling, advertising,
Selling, Promotion sales promotion, etc.)
and other)
PULL STRATEGY

Producer Demand Retailer & Wholesaler Demand Consumers

Products marketing Activities

(Advertising, sales promotion)
 Introduction

This is the fourth pillar of marketing programme. It refers

to the activities to the promotion of the product, service or idea. It
consists of all activities crimed at persuading and motivating customers
to buy the product. The various element of promotion mix are :

Advertising

Advertising consist of all the activities involving in

presenting product information to customers. The product message is
communicated through media like newspaper, radio, television, etc. and
is paid for the seller.

Personal Selling

Personal selling is the face to face communication

between a seller and buyer. Sale contacts are made with the customers
by company sales representatives. These representatives assists and
persuades a prospective buyer to buy a product in face to face situation.
Sales Promotion

It is the method of increasing the sales through displays,

demonstrations, contests, etc. Sales promotion activities aim to
supporting personal selling and advertising efforts.

Publicity

It refers to the mention of a company brand or product in

trade journals, newspapers, radio, etc. which is not paid for. It is
relatively a minor from of promotion because the manufacturer has no
control over what the mention usually. A favourable report by the news
media on the company product often will more weight then a paid
advertising message.

Promotion mix aims at stimulating market demand for

products. It refers to the activities designed by the manufacturer to
influence buyer behavior through communication.

BRINK AND KELLY have defined promotion as “The

co-ordination of all seller initiated efforts to set up channel of
information and persuasion to facilitate the sale or a product service or
the acceptance of an idea.”
 P.P.L. & Promotion Mix

It is true that to make the product known and acceptable

some kind of promotion tool must be adopted so that company can
communicate to the consumers. Advertising and promotion of products
it must for every company if they want to make their position in this
competitive and dynamic market.

In P.P.L. the manager of marketing believes that it is must

for every product to be advertised by any method or media in this
competitive world where other company concerned with the same
products are in large number. It is necessary to inform about the product
to the prospects because advertising and other promotions helps in
crating brand patronage in market.

So, P.P.L. also promotes its products through:

Advertising
Sales Promotion
Publicity
Personal Selling

The P.P.L. spends on advertising according to various brands of

biscuits and confectionaries. Advertising budget is fixed in the year and
according to requirement of advertising budget is set for every brand in the
product. P.P.L. spends 65% on advertising budget on the total turnover
achieved by the company as company’s turnover of the last year’s 700 crores.
The amount spent by the company on advertising budget comes to Rs. 455
crores.
Advertising

“Advertising is any paid form of non-personal presentation and

promotion of ideas, goods or services by an identified sponsor.”

- Philip Kotler

It is paid communication because the advertising has to

pay for the space or time in which his advertisement appears. The
sponsor wants to persuade and induce the readers, viewers or listeners to
take some action. Advertising appears in any recognized media as
newspapers, magazines, radio, cinema, television, etc.

The field of advertising management is made up of a system of

interacting organizations and institutions all of which play a role in the
advertising process. At the care of this system are advertisers. The
organizations that support advertising. Advertisers are private and public
sector. Organisation that use more media to accomplish an organizational
objective. It is the decision to invest resources in prevailing time or space in
such mass media as television, radio, newspapers or magazines that basically
distinguishes advertisers from non advertisers.
 Government Advertising Agency

Advertiser
Media

Competitor Research Suppliers

Markets and Consumer Behaviour

Advertising Department and Advertising Agency:

Advertising department is managed by the advertising manager

of the company. Company has to recruit the advertising manager and has to pay
fixed salary whether he works or not.

Parle Products Limited has their separate advertising department.

It consists of 8 to 10 staff people and key person assistant. Company pays fixed
salary to the staff of advertising department.

Advertising agency employees specialists who generally can

perform advertising tasks better than a companies own staff. Agencies also
bring an outside point of view to solving a company’s problems along with
years of experience from working with different clients and situations. And
because the firm can dismiss its agency, an agency works hard to do a good
job.

Also P.P.L. has employed specialists who handles the advertising

tasks. They also have reverent marketing agencies. In P.P.L. advertising agency
is having four departments:
  Creative, which develops ads and produces ads.
 Media, which selects media and place ads.
 Research, which handles the agencies business activities.

In this P.P.L. each account is superviewed by an account

executive and people in each department are usually assigned to work in one or
more account. Ad agencies are paid through commission and some fees.

Advertising Objectives of P.P.L.

The long term objective of advertising are broad and general and
concern the contribution advertising should make to the achievement of overall
company objectives.

The Parle Products Limited has the following advertising

objectives. The main object is to remind the customer about the availability of
the product. The other secondary objectives are:
  To do the entire selling job.
 To build brand Preference.
 To remind users to buy the product.
 To provide rationalization
 To combat competitor’s advertising like Britania.
 Increasing sales volume there by reducing unit production cost.
That’s why the parle is providing products at quite economic rate
with just quality.
 Stabilise the company’s business
 Secure leadership or domination
 Protect company from the consequences of revolutionary
competitors tactics.
 Promoters intelligent buying by saying JEENE KE RAH YAHE
HAI SAHI – PARLE-G.
 Gains goodwill on stores buying power.

Deciding On Advertising Budget by P.P.L.

After determining the advertising objectives Parle Products

Limited established advertising budget for each product. P.P.L. fixes the
amount for the whole advertising budget and according to satellite and brand of
the product company spends on it. As there are various brands of biscuits and
confectioneries accordingly. Considering the following five factors P.P.L. sets
the budget:
Stage in the product life cycle

For Monaco Cheesling Company receives large advertising

budgets to build awareness and to gain customer trial.

Market share and consumer share

In glucose biscuits P.P.L. has earned 70% of market share. So far

high market share brands less advertising budget is prepared.

Competitive and clutter

In a market, in P.P.L. they have large number of competitors like

Britatnia, Windsor, Baikmans, so it requires high advertising spending so that
the brand of biscuits can be heard above the noise in the market.

P.P.L. spends 65% of the amount of total turnover Rs. 700 crores
which amount to Rs. 455 crores of advertising expenses.
How P.P.L. chooses advertising message

The advertiser of P.P.L. conducts market analysis and research to

determine that which appeal is most likely to succeed with the target audience.
As P.P.L. is concerned with food products preparing biscuits and
confectioneries they execute the message which stands for rational positioning.

The objective of the advertising made by P.P.L. is convenience

biscuit users that now they can buy a canned biscuit that’s as good as home –
made.

Parle Products Limited hence found a style tone words for

executing the message.

Slice of the product

Parle has prepared advertising for the product of PARLE – G

showing the whole family which expresses satisfaction with a biscuits of
PARLE – G.

Words

P.P.L. uses these memorable and attention getting words:

THODA MITHA THODA NAMKIN : KRACKJACK

SWADHARE SHACHI SHAKTI BHARE : PARLE – G
MELODY KHAO, KHUD JAAN JAO : MELODY

Media selected by P.P.L.

There are major media types used by the company. The media
planner of advertising department of P.P.L. selects the media considering the
reach, frequency and impact of the customers. As the biscuits and
confectionary items are mostly consumed by children. And also, company is a
market leader, they gives advertisement in television because the television is
the media which gives message of the product to people living in urban or rural
area. In rural area people mostly rely on T.V. and radio. So considering the
factor in mind they gives ads in T.V. the serials like Shaktiman and Captain
Vyom are also sponsored by the Parle Products Limited.
 Sales Promotion

Sales promotion consists of a diverse collection of incentive tools

mostly short form, designed to stimulate quicken etc. greater purchase of
particular products by consumer or the trade.

Sales promotion tools used by P.P.L. includes Coupons, Lucky

draw schemes, Prizes, Warranties, point of purchase displays and
demonstrations. In the school up to five years of children they are given
coupon. P.P.L. gives coupons also to their retailers up to amount of purchase of
Rs. 500. They are given gift coupon free of cost. Retailers are having facility of
lucky draw scheme in that they have 51 prizes for chances of wining. P.P.L.
also considers the interest of wholesalers, keeping this view in mind, they hold
contest for wholesalers in Navratry and Satam-Atham festival. Parle Products
Limited also offers sport purchase scheme and trade load offers (T.L.O.) for
that the retailers got benefits. The company is also having display and
demonstration facility. Generally, this facility is provided to Cinema Canteen,
in Hotel, etc.
 On Orange Candy P.P.L. spends 6% amount of total production
mix budget and 1% on biscuits. They do not provide more than 1% on sales
promotion in mass stock yearly. When, I asked to the manager that if they do
not provide any kind of sales promotion then what will happen. He answered
me that brand of the product of Parle are so advertised that if they do not spend
a little on sales promotion the also the sales will remain same.

At the same time, when P.P.L. is offering trade load scheme then
the loyal customers of the other companies are also attracted toward the Parle
Product they getting the additional sales and visibility. P.P.L. arranges sales
promotion programme for maximum of two months in a year.

Situation of sales promotion clutter as compared to advertising

clutter of P.P.L.

As against the Parle products; Britania is doing much more

advertising, because they are means. Britania is having premium products with
them they have high M.R.P. product and low awareness product. As against
this Parle is having low M.R.P. products with highest awareness.

In sales promotion also Britania is giving higher sales promotion

than Parle.
Type of part of purchase material used by the Parle Products
Limited

Point of purchase displays and demonstrations takes place at the

point of purchase or sale. Parle product uses various materials. For display of
product they give their retailers streamers, posters, danglers, backup sheets,
yard stickers and dispensaries. Generals for less pricing products it is possible
for P.P.L. to give advertisement. On T.V. but generally these types of products
are advertised through stickers.
How sales promotion acts as tool of demand creation

Promotion is described as persuasive communication where

message transmitted describes product features in terms of consumer wants and
desires. Sales promotion develops better understanding of consumer needs and
desires and problem. The overall purpose of sales promotion is to influence
buyer behavior and alter the shape and location of consumer demand curve in
favor of the product. All promotion efforts are directed to alter the demand
curve or buyer behavior.
 Trade Promotion

ADEX inc. is promoted by professionals having vast experience

in the field of advertising, mass promotion and marketing. The basic principle
during this organization is to create avenues for business unique manner
possible to derive maximum benefits from each rupee spent on such promotion
drives.

The original promotion, micro scan graphic process is one of the

leading organization in the field of advertising and pre press services in
SURASHTRA turned to offering the best microscan has always bucked the
trend and offered successfully, unique ways of print media promotion.

This form in the field of exhibition will add one more feather to
the cap of ingenious promotional measures offered by microscan.

Opportunities
PARLE PRODUTS LIMITED has got opportunity
for exhibition for the international standards in exhibiting the goods. In Rajkot
the opportunity is given to P.P.L. for taking part in Festive 98 which is being
organized during the pre-festival days of Christmas and the New Year. The
exhibition provides to P.P.L. products show case for their goods to reach the
most potential to P.P.L. products show case for their goods to reach the most
potential market. Festivex’98 is one of the largest exhibitions organized in
Gujarat and it’s the only one of its kind organized in Surashtra region. Given
the timing and organizing of the fare will definitely prove to be Philip Kotler’s
choice.

The Region of Saurashtra and Kutch

 Saurashtra and Kutch has been one of the most prosperous
regions of Gujarat having vast natural resources backed by a strong consumer
community. This region has always been one of the focus points in any
business house’s marketing strategy. The agrarian company of the region has
nourished a thrilling business community and vast upper middle class
population. Moreover the high literacy level and the spread of information and
knowledge amongst the popular presents the right segment to be approached.

Rajkot has always enjoyed the distinction of being economic

capital of this region. Almost all the centers of this region by and large depend
on Rajkot for supply on information and goods. In a true sense for this region
Rajkot is the window to the world and for the world.

Infrastructure Facilities Provided to P.P.L.

 Ergonomically designed stall lay-outs for maximum exposure and

smooth movements.
 Security with C.C.T.V. and Walkie Talkie and insurance cover.
 Multiple signboards and guide maps for visitor convenience.
 Well planned placement of ceiling fans for better air circulation.
 A comprehensive communication center offering facilities like local
phone, fax, email, internet, courier, speed post and secretarial services.
 Special business development lounge for free use by participants.
 Travel and accompulation assistance dusk for the participants and the
outstatation visitors.
 Negotiated special rates in leading hotels for the participants.
 Special octroi passing facility for hassle force movement of exhibition
goods.
 Bank Conuter.
 General medication facility for immediate attention and relief in case of
exigency.
 Personal Selling

Selling means the transfer of ownership of goods on service to a

buyer in exchange for money. Salesmanship is the process of persuading a
person to buy goods or services. The act of salesmanship consists of one human
mind. Different authors have defined it in various ways.

“Salesmanship is the art of teaching, or helping others to buy.”

Another says it is the persuasive leadership that influences people to buy goods
and services.

In Parle Product Limited, Personal Selling plays an important

role in the promotion mix. Persons go door to door for selling biscuits and
confectionery items. Sales persons are recruited and selected from the local
place. The remuneration to them is also decided on the local basis.
 Publicity

Publicity means sponsoring various efforts to publicize specific

products. Many companies are turning to marketing public relation to directly
support corporate. One product promotion is securing additional space as
opposed to paid space in Print and broadcast media to promoted or type a
product, place or person.

Though P.P.L. is having mass advertising for biscuits and

confectionery items, they are more publishing their products for that they are
sponsoring serials like Shaktimaan and Captain Vyom free of charge.

P.P.L. is also providing services in blood donation camp, children

development activities and welfare activities. They are also helding tradefair.
All these activities are performed by P.P.L.
 Packaging

The Indian Institute of Packaging has defined packaging as

“The embracing function of package, selection, manufacture,

filling and handling.” Packaging obvisously is related to labeling and branding
because the label often appears on the package and the brand is typically on the
label.

As far as packaging is concerned PARLE PRODUCTS

LIMITED is self reliant and self sufficient in printing wrappers for biscuits
and confectionery products like PARLE – G is identified by yellow and white
stoaps, baby parle pantagone and red PARLE-G biscuits are packed in white
colored butter pack.

Details of Pack Sizes and Cartoon Packs

PARLE – G
Pack Sizes Cartoon Pack Box W.T.
50 gms. 24 pkts × 12 poly bags = 288 pkts. 14.4 kgs
75 gms. 24 pkts × 6 poly bags = 144 pkts 10.8 kgs
100 gms. 24 pkts × 9 poly bags = 96 pkts 9.6 kgs
100 gms. 10 pkts × 6 poly bags = 100 pkts 10.0 kgs
100 gms. 24 pkts × 6 poly bags = 144 pkts 14.4 kgs
150 gms. 12 pkts × poly bags = 108 pkts 16.2 kgs
LOOSE
300 gms. 48 poly bags = 18 pkts 14.4 kgs
300 gms. 30 poly gags = 30 pkts 15.0 kgs

Packing

Monaco Rolls 75 gms. Pack × 60 pkts. In a box weigh 4.5 kgs 150 gms.
ATC pack × 72 pkts I a box weight 10.8 kgs. Other
variants available are zeera and cheese in 75 gms. Packing
Krack Jack 100 gms. Pack 5 pkts. In a poly bag and 24 poly bags in a
box.

Cheesling 3.1 gms. Loose in Tine pack

100 gms. Pouch Pack 30 Pouches in box.

Sixer 5.0 gms. Loose in the pack

100 gms. Pouch Pack 30 Pouches in box.

Teffs 4.5 gms. loose in the pack

100 gms. Pouch Pack 30 Pouches in a box.

CONFECTIONERIES

Orange 300 counts per Kg. And 18 kgs. In a GB.

Candies 500 gms. Pack × 36 poly bags in a GB.
Mango-Bite 200 counts per Kg. And 18 kgs. in a GB.
Role – A – Cola 125 counts per 500 gms. pack poly bags in GB.
250 counts per kg. Pack of taran.
Role – A – Coal Roll 25 gms. Roll (10 tablets)
50 rolls in a poly bag.
28 poly bags in a box WT. 25 kgs.

Peppermint & Rosemint 24 sticks in a cartoon

48 cms in a box weigh 13.824 kgs.

Melody Regular Available in single twist wrapper

140 counts in a kg. And 18 kgs. in a CBB

Melody Variants 70 counts per pack and 36 packs in a CBB

Labelling

Lable consists of verbal information that accomplishes the

product. A label identifies who made? What are its ingredients? How it
should be used? Date of manufacturing and expiry, the price to
becharge, brand name, net quantity of contents. Labels are part of the
painted materials on the point of purchase advertising.

In P.P.L. the label of the product contains information like

ingredients use in various biscuits and confectioneries. Information
about the date of production, location of factory that is Mumbai. Various
ingredient shown in the package are as under:

INGREDIENTS

Biscuits - wheat flour, edible vegetable oils, skimmed milk

powder, salt, leaving agents, flavours and dough
conditioners.
Kismi Dairy, Lux
& Mafair - Sugar, liquid glucose, edible vegetable oil,
skimmed milk powder, salt, edible starch, permitted
emulsifier and flavors and contained additional
flavors.

Melody - Sugar, liquid, cocoa, solids, edible vegetable oils,

skimmed milk powder, edible starch, salt, permit
tent emulsifier and flavors.

Melody Coffee - Sugar, liquid glucose, edible vegetable oils, edible

starch, milk solids, coffee, cheery, mixture,
permitted emulsifier.

Melody Coal - Sugar, liquid glucose, edible vegetable oils,

skimmed milk powder, edible starch, salt, permitted
emulsifier and favors.

Kismi Toffee - Sugar, liquid glucose, edible vegetable oil,

skimmed milk powder, beaten, coffee and chicory
mixture, edible starch, permitted emulsifier, colours
and flavors.

Poppins and Roal – A – Cola

- Sugar, liquid oil, edible starch, and permittd flavors

and colours and contains added flavors.
ENDING
WITH
Future Plant

As Parle Products Limited is concerned with

manufacturing of biscuits and confectioneries, the company is thinking
about widening the length of the product line. While asking to the field
manager about the future plans of Parle Products Limited, he replied that
the company has a widen scope in the same product category. As all the
products of the company are winners. The company has achieved
“MONDE SELECTION AWARD” in food industries.
Suggestions

P.P.L. is a large scale unit having very wide market in

India and other foreign countries like Geneva, Paris, Brussels,
Amsterdam, London, Lisbon, Athens the Barcelona. It is the firs
company who has started manufacturing biscuits and confectioneries.

Parle should start the selling of its products not only in the
above mentioned countries, but also all over the world.

Right now, the company is producing many brands of

biscuits like Parle – G, Cream biscuits, KrackJack, Monaco, but in
future it should go for such type of products which suits above and over
the all company’s product connected with production of biscuits and
confectioners.

All the advertising campaign of the company is limited to

television and wall painting, etc. The company should start advertising
through other media which suits the product. No doubt the company is
also giving sales promotion once in a year, but the company should
adopt new and modern technique of attracting kids for biscuits
conducting competitions, quiz, etc. and gifting like participated with
parle products.
Conclusion

Parle Products Limited has reached its zenith in the world

of food items preparing biscuits and confectioneries. It has always
adapted a futuristic approach i.e. anticipated the company’s need in the
year to come.

Parle Products Limited always keeps in mind the needs of

consumers and that’s why they have launched recently cream biscuits,
considering the requirement of modern consumers. In P.P.L. from
factory to the ultimate consumers all the people are working co –
operatively. In the factory, employee relations are harmonious.