REINVENTING
BISLERI
Case code- MKTG-20
Published-2002
INTRODUCTION
FROM "PURE AND SAFE" TO "PLAY
SAFE"
WILL BISLERI EVER BE A Rs. 10 BILLION BRAND?
Parle Bisleri's aggressive marketing was aimed at making Bisleri a Rs 10
billion brand by 2003. However, new entrants into the branded water market like
Pepsi and Coca-Cola were equally aggressive in marketing their brands.
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In August 2001, Kinley launched an ad campaign with the tag line Boond boond mein vishwas
(Trust in every drop). The ad focussed on trust in relationships.
The 40 second commercial opens in a rural setting, showing cracked earth and a
young boy waiting for rain. A Kinley truck arrives and sprinkles water all
over. The boy's face breaks into a smile. The ad also shows a father running
behind his son's school truck to hand over a Kinley bottle. Commenting on the
ad, Pandrang Row, executive creative director, McCann-Erickson, Kinley's ad
agency said, "We were trying to show images where people had to trust the
water they were drinking, or giving their children. Kinley is the water you
use when you need to be able to trust what you're drinking or giving someone
to drink."
In late 2001, Coca-Cola announced that it would enter the bulk segment where
Bisleri was a dominant player. The 20 litre bulk water packs would be targeted
at institutional and home segment. Kinley's brand positioning of trust and
purity would be maintained. With the entry into the bulk segment, Coca-Cola
aimed to garner a market share of 40% by 2002. Sanjiv Gupta, Senior
Vice-President, Coca Cola India said, "We are aiming to be either number one
or a close number two within a year." |
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Analysts felt that with the cola giants shifting their
focus to branded water in India, Bisleri would be the worst sufferer. Chauhan
was already planning to sell a 49% stake in Bisleri. However, according to some
analysts; he would wait till 2003 when Bisleri was likely to touch a turnover
of Rs 10 billion, before selling out the 49% stake. Others felt that given the
pace at which Kinley and Aquafina were eroding Bisleri's marketshare, 2003
could be too late.
What remained to be seen was whether Bisleri's new positioning would help it to
increase its turnover to Rs 10 billion by 2003.
QUESTIONS FOR DISCUSSION
1. Analyse Bisleri's strategy of shifting its positioning in the late 1990s.
Do you think bisleri's new positioning will help it achieve ambitious targets?
2. What is the market segmentation in branded water? How is the industry shaping?
3. With Pepsi and Coca-Cola entering the branded water market do you think competition will intensify in this market and that water wars will
replace cola wars? Where do you think Bisleri stands in this market?
ADDITIONAL READINGS & REFERENCES
1.Singh Namrata, Price Hike May Not Augur Well,
www.indian-express.com, April 1998.
2.Bhatnagar Mohini, Cadbury's Revitalizes, www.domain-b.com,
March 1999.
3.Sweet Success, www.businessworldindia.com,
March 2000.
4.Singh Namrata, Cadbury Targets Kids with Milk Treat,
www.expressindia.com, July 2000.
5.Shatrujeet.N, Cadbury's Perk: Fixing Market Shares,
www.agencyfaqs.com,September 2000.
6.Munshi Toral, Cadbury India, www.indiainfoline.com, April
2001.
7. Krishnan Aarati, What's Sweet and What Isn't,
www.blonnet.com, July 2001.
8. Cadbury Relaunches 5 Star for a Bigger Bite, www.magindia.com,
July 2001.
9. The Challenge is to Grow in an Economic Slowdown,
www.magindia.com, August 2001.
10. Temptations in the South East Soon, www.magindia.com, October 2001.
11. Cadbury Offers Packs for Diwali, www.magindia.com, October 2001.
12. Nestle, Cadbury to Fight Out Bitter War in South, Economic Times,
December 2001.
13. Cadbury Celebrates a New Year with Another Product Range, Financial
Express, January 2002.
14. Challapalli Sravanthi, Cadbury's Celebrations Makes Quiet Entry,
www.blonnet.com,April 2002.
15. Shatrujeet.N, Cadbury Dairy Milk: No More Excuses, Please,
www.agencyfaqs.com, April 2002.
16. D'Souza Freeda, Nestle Gobbling Cadbury's Share with Sweet Prices,
Times News Network, May 2002.
17. Rodrigues Malika, Back to Romance, www.economictimes.indiatimes.com,
August 2002.
18. Shatrujeet.N, Cadbury Unveils New Brand Story for Dairy Milk, www.agencyfaqs.com, August 2002.
19. www.cadburyindia.com
20. www.indiainfoline.com
21. www.magindia.com
22. www.karvy.com
23. www.agencyfaqs.com
24. www.cadburyschweppes.com
25. www.sharekhan.com
26. www.myris.com
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This case study is intended to be used as a basis for class discussion rather
than to illustrate either effective or ineffective handling of a management
situation. This case was compiled from published sources.
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