Product – Parle-G Introduction

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Well recognized by its iconic white and yellow wax paper wrapper with the depiction of a young girl covering the front Parle-G has been the undisputed market leader in the glucose biscuit market for many decade. For over 65 years, Parle G has been a part of the lives of every Indian. From frenetic cities to laid back villages, Parle G has nourished, strengthened and delighted millions. Filled with the goodness of milk and wheat, Parle G is not just a treat for the taste buds, but a source of strength for both body and mind, making it truly Hindustan Ki Taakat.

THE JOURNEY OF PARLE-G GOES AS:
A long time ago, when the British ruled India, a small factory was set up in the suburbs of of Mumbai city, to manufacture sweets and toffees. The year was 1929 and the market was dominated by famous international brands that were imported freely. Despite the odds and unequal competition, this company called Parle Products, survived and succeeded, by adhering to high quality and improvising from time to time. A decade later, in 1939, Parle Products began manufacturing biscuits, in addition to sweets and toffees. Having already established a reputation for quality, the Parle brand name grew in strength with this diversification. Parle Glucose and Parle Monaco were the first brands of biscuits to be introduced, which later went on to become leading names for great taste and quality. Parle fought to make biscuits affordable, despite World War II. -Parle-G has been a strong household name across India. The great taste, high nutrition, and the international quality, makes Parle-G a winner. No wonder, it's the undisputed leader in the biscuit category for decades. Parle-G is consumed by people of all ages, from the rich to the poor, living in cities & in villages. While some have it for breakfast, for others it is a complete wholesome meal. For some it's the best accompaniment for tea, while for some it's a way of getting charged whenever they are low on energy. Because of this, Parle-G is the world's largest selling brand of biscuits Launched in the year 1939, it was one of the first brands of Parle Products. It was called Parle Gluco Biscuits mainly to cue that it was a glucose biscuit. It was manufactured at the Mumbai factory, Vile Parle and sold in units of half and quarter pound packs. They expand their business very quickly and in right manner. The incredible demand led Parle to introduce the brand in special branded packs and in larger festive tin packs. By the year 1949, Parle Gluco biscuits were available not just in Mumbai but also across the state. It was also sold in parts of North India. By the early 50s, over 150 tonnes of biscuits were produced in the Mumbai factory. Looking at the success

After all . a lot of other me-too brands were introduced in the market. There were over 5 lakh responses and of that. The children just could not get enough of Parle-G and Shaktimaan. It wasn't a biscuit any more. The personality of the superhero matched the overall superb benefits of the brand. meeting their favorite film star Hrithik Roshan free ride on a chartered plane. A national level promo . The commercial was run for a period of 6 years. the consumer would err in picking the brand. the areas covered or the number of consumers. etc. sharing and caring.000. First came the Middle East then USA followed by Africa and then Australia.`Parle-G Mera Sapna Sach Hoga' was run for a period of 6 months. .of Parle-G. The communication spoke about the basic benefits of energy and nutrition. it was decided to bring the brand closer to the child who is a major consumer. Dreams that were fulfilled ranged from trips to Disneyland at Paris & Singapore. that's what you would expect from the Parle-G World's Largest Selling Biscuit THE PRODUCT LIFE CYCLE OF PARLE-G A product’s life cycle can be divided into 4 main stages – Introduction. In the year 1997.Ricky Ponting. over 300 dreams were fulfilled. An Indian brand. Take a look at the global market where it is being exported. Parle-G was the only biscuit brand that was always in short supply. It became a part of the daily lives of many Indians. Maturity and Decline. Shaktimaan that went on to become a huge success. Parle-G sponsored the tele-serial of the Indian superhero. It was advertised mainly through press ads. Parle-G started being advertised in the 80's. It had become an icon. The new airtight pack helps to keep the biscuits fresh and tastier for a longer period.which was supported by POS and press communication. Parle extended this association with Shaktimaan and gave away a lot of merchandise of Shaktimaan . Parle-G continues to climb the stairs of success. And these brands had names that were similar to Parle Gluco Biscuits so that if not by anything else. today it is available in a contemporary. premium BOPP pack with attractive side fins. In 1989 Parle-G released its Dadaji commercial. The promo was all about fulfilling the dreams of children. Originally packed in the wax paper pack. that's exported to almost all parts of the world. 20 scholarships worth Rs 50. Parle-G grew bigger by the minute. This forced Parle to change the name from Parle Gluco Biscuits to Parle-G. a special cricket coaching camp with the Australian cricketer . It was heading towards becoming an all-time great brand of biscuit. The next level of communication associated the brand with the positive values of life like honesty. Be it the packs sold. Growth. In the year 2002. which went on to become one of the most popular commercials for Parle-G.

It was heading towards becoming an all-time great brand of biscuit. a lot of other me-too brands were introduced in the market. Parle-G started being advertised in the 80's. In the introductory stage the paper media was mainly used for advertising but the distribution channel was not that strong as the company’s manufacturing facility was located in Vile-Parle. Looking at the success of Parle-G.(I) Introduction Stage: In the introduction stage is a stage where there are one or few relatively indifferent products and the firm generally use high price. over 150 tonnes of biscuits were produced in the Mumbai factory. the consumer would err in picking the brand. Parle-G followed the price skimming strategy. Mumbai so it was not able to cover larger geographical area but Parle-G performed well in the area covered by it and attracted masses. The communication spoke about the basic benefits of energy and nutrition. intensive distribution and increased advertising to build brand preference. By the year 1949. Parle-G was the only biscuit brand that was always in short supply. which went on to become one of the most popular commercials for Parle-G. Parle Gluco biscuits were available not just in Mumbai but also across the state. The commercial was run for a period of 6 years. It was also sold in parts of North India. This forced Parle to change the name from Parle Gluco Biscuits to Parle-G. By the early 50s. Parle-G was introduced in the year 1939 even before independence when the market was dominated by famous international brands that were imported freely and no Indian brands. The distribution is selective and scattered as the firm commences implementation of the distribution plan and the promotion is aimed at building brand awareness. Parle-G’s growth stage continued from 1949 to 1997. In 1989 Parle-G released its Dadaji commercial. It was advertised mainly through press ads. (II) Growth Stage: Growth stage in a product’s PLC is charactrised by new product features and packaging options. thus keeping the price of the product low and thus gained larger market share and lots of attention of the masses. In some cases a penetration price strategy is used and introductory prices are set low to gain market share rapidly. And these brands had names that were similar to Parle Gluco Biscuits so that if not by anything else. improvement of product quality. assuming skim price strategy for a high profit margin as the early adopters buy the product and the firm seeks to recoup development cost quickly. .

Parle-G had availability in remote places even in the villages having population of 1500. advertising expenditure is reduced. In this stage also the price of the Parle-G biscuits were kept low following the sell brands not price motto. Be it the packs sold. The next level of communication associated the brand with the positive values of life like honesty. In this period Parle-G faced stiff competition due to the entry of 3 more glucose biscuits brands. railway & bus. the company was not much affected by the entry of the other brands due to the customer confidence and loyality to the brand and also thru its vast advertising regime. The distribution channels and incentives to resellers in order to avoid losing shelf space and the promotion is aimed to get competitor’s customers to switch. sharing and caring. (III) Maturity Stage: Maturity stage is the most profitable stage. The company still followed the penetration strategy keeping high quality and maintaining low price. donations. It wasn't a biscuit any more. Through out its maturity phase Parle-G wider reach through different medium-education. sports. Competition may result in decreased market share and/or prices. The company did not face much of the competition and challenges in this stage. Sales continue to increase at a lower pace. the areas covered or the number of consumers.A Glimpse of the Parle-G dada-ji commercial Parle-G grew bigger by the minute. NGOs. Nearly 1500 wholesalers. It had become an icon. catering to 425000 retail outlets directly or indirectly. Challenges Faced in the maturity stage and How they were Met. The maturity stage for Parle-G started in the year 1997 and continued till 2006. Because brand awareness is strong. The company however used differentiated pricing strategy as per the geography as the freight cost for reaching remote areas was high. . however. It became a part of the daily lives of many Indians. army. hospital. Its brand value compelled suppliers to sell Parle-G at low commission.

Britannia leads the market with 37% share.50 for 100gms. Shaktimaan in this very year. and Rs. 20 scholarships worth Rs 50. that went on to become a huge success.50 for 50 gms packs. 2. .2 (2005) to 38.4 (2006) %. In the year 2000 Surya Food products launched Priya Gold Brand which was again a failure and didn’t affect the brand Parle. If the product had developed brand loyalty.3 %. 10 per 100 gms.000. Parle-G was sold at Rs.• • • • • In the year 1997 Britannia launched its ‘Tiger’ brand and to avoid competition from Britannia and to strengthen its position Parle-G sponsored the tele-serial of the Indian superhero. followed by Parle’s 31. The personality of the superhero matched the overall superb benefits of the brand. Due to stiff competition HLL quit its Max Brand in the year 2005 (IV) Decline Stage: In this stage the sales begin to decline as the maket becomes saturated. Parle-G was available at Rs. over 300 dreams were fulfilled. Unit costs may increase with the declining production volume and eventually no more profits can be made. meeting their favorite film star Hrithik Roshan free ride on a chartered plane. The decline stage of Parle-G started in 2006 and continues till date. Despite of the fact that Parle-G and Britannia were the only two brands having huge market shares. There were over 5 lakh responses and of that. 4. media and was endorsed by Shahruk Khan. a special cricket coaching camp with the Australian cricketer . It was decided to bring the brand closer to the child who is a major consumer.3 % and ITC’s 6. 4 and sunfeast and tiger were sold at Rs.4 for 100gms. But still Parle-G was not affected greatly as people still preferred Parle-G due to its good image in the past so many year and because of the huge price difference in these products.50 paise price hike by the firm.`Parle-G Mera Sapna Sach Hoga' was run for a period of 6 months. By the year 2002 the company Parle-G took the entry of new brands seriously and decided to strengthen its brand by increasing its advertising and promotional activities. The children just could not get enough of Parle-G and Shaktimaan. 2 for 50 gms for almost 12 years. By this time Parle hold 52% share in the global market but in Indian market in terms of value. and Rs. or customer tastes change. Parle extended this association with Shaktimaan and gave away a lot of merchandise of Shaktimaan . The promo was all about fulfilling the dreams of children. And thus the entry of Britannia Tiger was not able affect the brand Parle-G.which was supported by POS and press communication. the product becomes technologically obsolete. But in the year 2004 Parle-G increased its price to Rs.V. Dreams that were fulfilled ranged from trips to Disneyland at Paris & Singapore.Ricky Ponting. etc. A national level promo . The reason of the decline of the so preferred brand is the . the profitability may be maintained longer. In June 2003 ITC launched its brand Sunfeast Glucose which was promoted hugely thru T. sunfeast managed to gain considerable market share thru its high brand promotions. This didn’t affect the company initially but slowly the company started loosing its shares and the actual decline started in the year 2006 when the company’s market share dropped from 42.

45 40 35 30 25 20 15 10 5 0 2006 2005 parle priya gold others • Describe the various marketing strategies PARLE -G followed in the stages of PLC ? .

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