1783 Jlean Jacob Schweppe; a Gemnan ~ born. Swiss enlrepreneur, quit hi's jewellery busaess to start commercial production of alrtificiaI carbonated ~vatet, based all a method devised by an English s'cl,enhst. In 1792, Schweppe, shifled his "fizzy \~'ler" bus,in,ess bJ IEngl,and, litHe knowing that (he unique' onomatopoeic quality ,of h~s name ,(the first thre',f}letter'S ,of wtllich sound like ,8

boUle be~ng U'nc:apped~w.Qul!d soon eeme to emil 0 dyl he IJlery''~.dva'c:Hy of 'the brand's personality. J Schweppe 00 aerated wa~er 'I/TJaS aln instan~ success wUh the British consumer In 1798 the company unvened B: new product - a soda \Naf,er IllNCIlS aerated wa,ter With soda as a medicine ingredient. The next launch came lin 1835, ~vhen the company began marketing Schweppes aerated lemonade. In the ~BSO's Schweppes launch,ed Us Indian ~onic VI8~,era drink used' as a diluting agent for gin & vodk.a. ln ihe next few decades slcnweppes expa,nd'ed geographically whne in the UI<; 'lile brand gaV,E! up ilts, lelitist snobbery and widened tts~arge't audience 'to ~ncilide mass-market

consumers as well. Over 'the next decade, J. Schweppes & Co. began setting lip subsidiaries and boWing plants. In Arrica, Australia. N,ew Zealland, I~orlhAmerica and mainland

Europe. But the big merger came ill 1'969 when the company merged with thG UK - based conrecUor~ery major;, Gadbwy pic. It was a company founded in the 1870'5 by John Ca,dbury. a Birm~nghlun cocoa, retailer, who, started his ~irsl .

chocolate factory in a


called Bournville_

In synergy Cadb,ury and Schweppes could use 1helr combined might to, ward off competition ,and harness lhe'ir resources to target impulse IPUirchas!9 goodies at 'tlh'9 cons,umer Bevera,ges currently account for 55,% of tile company "5,umover, with sates of 2.2 billion ('Rs. 6820 crcres) In 1,994, up 1'1I/~'from, the year before.

y this year GadbtJry Schweppes also launched ~Ibs Schw. Illn Ju~.ndia CSBIL's basket of' oUerings to ~h@ lndlan Con.9f has increalsed substanba~l~y.11h Us oiherffa nc:h~sees . Ud.Bls :an exciting marl(e~ :and wi~1h'dmduc e mQ. (C8B~L) reports to beverage 's~eam Q'f Ca. a un ique '~Ch:am:pa:Qneloo!k~ng" . CS. in 0 ctob sr '94 a nd Pure D:rr~r1'ks lis now Us f) bon lair and franchisee for De.BIL mgards indla. 61[90 belongs to ~he same ~9roup. CSB. Cadbury Indi.IL has 81ready ~aU1nched 'f~ye famous br.t The nrs:t brand to be cHy la unchec was orang.Jaipur" the Hazoori's: in Sur.lyCSB.IL Is cOl1temp[at~ngl the :Iaunch ota product in s!egnnsnL Ul€l: m~nernl wa'~ler .epp'e's Bi.Uer Lemon and Schweppes Soda In Del hm_ \Ni ~h the launch '0'" these five intema tiona II)' acclarned brands in I. ~ Its Q ~amous brands In a phased manner throlJlghou~ ~he counby.aml1llUi.e' UaV"oured "Crush'" JI'1I Man::11 'S'5 wl1ic:!h \VaIS fenewed by "C iii nada Dr{.dblJry Schw8iPpes Pic. Curren~. CadbLiry ~m:l~a h:adan exce~len( y'ear in rhe ~iberal~is~d eccmolTlY.s~.al and IICFA in J.onga~ in L Meerut.Cadbwy Schweppes Beverages Indial ltd.aJ Ltd. Ithe Jaipurias ~n.sum.b'eanll.eppes range \mmcn at present lncludes Sch.weppes Tonic: VVa~er" Schw.lJnas in ~he of DeU.EIre the M.reporting [into the Dorrfec~iQnery s.drink w~tha l~is'Uncti\le navour.erllt with Ptlre :Drrun ks (N:ew De~h Pvt.Meanwhile'~ CSB~L sjgned an agrls:em.

el'led ~n no sma II mess ure by ~he: nsi ng concem. creating.ent to sustain them. to . makiifl'gl it curnclll~t ~or srnaU sea Ie: p~'a~N3r:so t compete wiU1 b. kin .towedby Mohan M.igger ptaYlers in the markets.et The ~aUerare beiln9 given benefits by the governmlenta. In a[ypicai~ scenario. Wha.e market \VaS dominated by Bisl. tnansportation and dh.e rise TI.alteg~ory is that whil~iethe actual cost of the product is neg~igib~e:~ pac'kagmng cO$tsaccot~lnts for up ~o 501 percent or the seiling price lof tihe p:mduct.8 ha ~fdecades tIl.'f'o~. Chalnging I~Uestyl. For alrnost mo and .. Whrh:~.. However! the 'concessions have not been sumci. .iither at o'fFliceor at home. U~e need for easily ava j~ ab~e bo ttl ed dri nkl ng WEi ter _ ~\Jot. a iregi<Clnal manufacturer remains regiona~.e's '9 also re'5ulted ~nan Up'S\fvi~1g usalge occasions when hav in people are ne.s .r1ingl o incemUves to retailers s'tockingrhe ibr.OS~S are h ig h a we II.e phenomenal increase in demand formlnerel wa~erfrom just 3. sa tie d'r~n g! wa ler .e marKet U1 1993 Parle Agro I~aunchedtheir 8ailleys mineral! 1WaterfoUowed by spate of other bra Ildis~ighti ng for a :share of the erstlMt.5 million cases in ~992~:93 to 8. The rea:sons are not hard fofind.t is rernerkable about lhec:. lh e fwst bra 11 ed m iner8Ji~Via~erj B i:9Ieri. wha~ has also he~pedis the cornoarw's pO~I~cy f offe. !Besides.:5 million cases at pre'sent has been prop. Currel1tly there are about 158 mllneral wa~er mamd'acturers in the oountry wl'~h 'the numbers on th.adv:antage.8 'large extent due to its '~r'st mover . ~he fact that tll.th ~.eak~nsifl 19 17.erl wim nCI sizabl'2: pl'ayers I~nUl.only corporates but even smaller players are enterinq the mark.ror hea~th ano.hecategory.'lribu Uon C:. iIe growl n:gmarket B is le ri 'en~oys a 50 percent marke~ share end has become almost g~nBr!C \Nl.e brand's success is.. thus.MINERAL WAriER ~~ n nelia.incentive to setup shop. wa!:i wntmduced by' Parle in d 1968.and and locatil1lg pl::fints across the country to ensue a national presence..

What then are the dynamics.tute for lnduslrial IResearch. According. the study goes.d of the 1.4prominent brands in the counbY. on to state 'thi.j six p'facbcally rnase no menlien Q'f ~he composilion except as a general statement. 6S percent of the mineral wa~er 1ndustry does not comply with ons or mora determined 'Values prescribed for drin~dng ~rlJeter 'standards.abmarket share is to ensure hl9h visibility at retalill ouUeis.There IS atso the added pro:lJlem of a ~ac~of qua Illy control made worse by the fact [hat there are practrcally no government ~ set standards to ensure quality.~:hat govern this product categiory. to an analytical study done by the Delhl~based Sriram Insti. . ~n 'tact. through the product and point-of-sale material. The key determmant ~or success is a effident disgibutian system and building brand loyalty However ~ the concept of buying water 'is a miatively new' concept in the country and efforts: have to be made to boost COB sun phon patterils_ The Inajonty of purchases are impulsive and the suni!st way to gr.

Meakins 8aililey Golden Eagh~ 4% :(0. 4'. he irE! 50 % Parle Agro Moh. Aerated drinks Non aerated soft dlin ks Other Min erel 'IIwf.The compe~Wori is :foreseen fn:lm thn:!e broad segmen~s ~.compemton is from Bisl1reri ellnd Bai~I'ey The the 'si!abte pi ayers ~n~:hemarket' for bottled m~nacre w.a tel are : I Ma:rk et S. 0." SK IIJ 8 rewerie Penguin TrutPU Kothari 8M Foeds 5% YES O~hers 9% .gment main .an.(:lr 50ft l~n minera~\Yate~sle.

the most important user segmenr ha~ been ~he 'floating population' or ~he people en the move Accord~ngto a research condaeted this segment accounts ~or 16 percent of the m. instiluUona[ sales will comprise only about 40 percent of ~hem E1rft.8 ]Nty of min era I.a.aystations. ra~tway restauran:~s.18 an insurance for sclfe ly Also. a statu'S symnoi .~Ulerat home nor :aUoffice) and tilE abimy to pay for safewa~er have combined to propel! the consumer Tile market no lonqer thrives on for. hotels. with mcreasinq demand. there' ~sthe prest~geale men t In tha'l some peop Ie th i11k 'Of It a S. 'they are becomingla~WJr. As Indians are getting more healthconsemus.ette k'iosk s G enera I stores. s b weter at grocery stores filnd cigar. lifeslvl:es (gre. decline in 'the quality oi lap 'waiter '~ndties (due to uriJallisaiion).e U"l'atmineral v. .m ti1e next 'five ye.ers. alrpens and mghts. changrng.ter occasions whEl:n one .taurafl[s. There: are indica.~sne.e·t Th I5 ca n a~ 0 be Judged from th e in ore asing avai 1.e~gl1ers. A.rater . res.ar:keL This includes sales at ra~~w..Tradi~ionally.Uons thalLlhE: market s:r~C'tLJre is changing. bars and weddings are atso seen as areas iOf growth by Il1dustry ~eaders.

ack Ul(l.n rllgh marke~eers are moving to'w.g rmec:hal'li. Bau'Uej' 'Wa'S U1'8' first to iruroducelhe 500.S[ Q'r nile actual produCl IS the bot~le.~·mm inera I \Walter refe:rs ~o 'INater forti fied wit h m inera Is Inere is also.sm for used botlles.an market iNa mamtfaclurers mentions the contents.akingthem mhouse to cut cost Improve marlgms and keep a check on~heir quality ana aV8~labilily Currently the most \M'dely form of 1l8ckaglil1lgi is 'Ihe PVC botUes.ot~lersas the c neghg~ble Packa.l is be~ng 'foUowed to boost.ProrJl. B~s!. I~ tarn n TI~115 ategory stands apart from . .en is avaUaJb~e in f. 1he cap and the secondary packaging (cartons).tUes. polybags and CUD! paCks fer one time use is also.e recyclin.~.lct ationa lIy the te. The lndian Bureau of standards has nor lard down 'any such specifications. resorted 'to Offering water in conveniera pac:k sizes i's . liUe and usage. ~nnovation in packagm'~ like serving in pltlJSUCcups". Tm now no manuf~u:::tur'f:!rhas bElen able' '~Owork out an eUec'thJ. Beceuse the packagmg component .another t. labte water I{lreated wa.~rdsm.No ltiltre. Price . m:~bofile' tar'ge'ledal off~ce goer's vi/ho wotdd rather drink waier thana soft dr'~nk 'On the other hand. one litre ~n)d' 500 rnl bo. whkll cost less HoweVl61 some companies are shlrtingl towards PET bomes whllch though costly are more hy'gJienic.er)and spring water (VJatB procured from natural spr~ngs and then process1ed). sales. Howeveurhere~ is no such d:~fferentiafion betvljleen U1e various products offeJ1ed ~n the ~ndf.g~ngworks out. ro 50 % o~ selhng price the amount c:overl~ng CQ.

Besides sma II: tradU~onal I advertisilllg 'the corroanes resort to ex~ensive use or 'P or's to ensure high visibility .~: other hal lid tha r. ail major players in the produc'1 cat.e~ do not maintain quaility. way to grow. the makers of Ballley neve taken full advantage o~ the dis·b'rbu'~lonnetwork nUlt was set up to market the hugely successful mango drink Frooll It has 18 operational unitsand all but two o~ 'them rnanufacfure bottles as welL 8islHfI and Bailley have used the trBru:hi. lhere is very litHe to differenUa'le hetween dlifferenl brands. Bail~e'Y has 16 franchisees and iL plans to add another six soon Same' companies. The market 'operates 011 h'igh retail margltls.sar position~jng diff. On U·H. BI~der~ ent :about developing the w market in a sys:1'emaiic rnaneer The company already has 14 unils across ~he loounby and it is.encesi between brands. do not consider 'franch~sing a good. ncr are they interested' ill Ionq-tarm benefits The distribution nen~ork of Bislsrl with 7200 au Ilets and Parle Agro using the same dfstr'ibution network o'f FrooU is the most' extensive.etailer's marcin is 25 percent which can amcet double lin tourislspotswnere the floating populaUcn IS ~arge.ss or setting up a major pll.ant In Goa.ographical[ coverage and to augment capaclties. in mhe prnce.er. The distrlbutol's margin is about 5 percent.sgory are hard pressed to push sales.DistrlbuUon : Wrth hard~y any drs1ingluishing USPs. In this scenario. however. On the other hand.e. I CommunicatJion .At this point the generic be ne ms ot mineral water.sing route to ensore wider ge. It is felt Uu~Jfranchis. Though he'illlllth remains tine major posliUoning platform therB IS com pa ny underta ke nth e respo ns~'b O'f mty S8 iii ng In t'lmE!'no high profile adverllsing is resorted to nor has any no el.

5 nllnc.)..._q_1 . .9ses 11 ~H>.

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