Saturday 5 October 2013

Sustainable/Holistic Marketing

Holistic Marketing

A marketing strategy that is developed by thinking about the business as a whole, its place in the broader economy and society and in the lives of the customers.It attempts to develop and maintain multiple perspectives on the company's commercial activities.


Holistic marketing by frooti

Frooti, the Indian mango drink, is being promoted in a television commercial featuring Bollywood superstar Shahrukh Khan. The film, shot after a game practice, inter cuts between Shahrukh gulping Frooti and a bunch of little soccer players yearning for the mango drink. The film is backed by a holistic marketing plan which includes innovative outdoor, BTL, mall activation, visibility at Retail outlets (POP) and strong digital presence. Social media will be the focus of the communication plan, with activities on Twitter and Facebook.The Frooti campaign was developed at Creativeland Asia, Mumbai.



SRKLovesFrooti Song Lyrics

Segmentation, Targeting and Positioning(STP) and Marketing Strategies

Segmentation, targeting, and positioning together comprise a three stage process.  We first (1) determine which kinds of customers exist, then (2) select which ones we are best off trying to serve and, finally, (3) implement our segmentation by optimizing our products/services for that segment and communicating that we have made the choice to distinguish ourselves that way.
                                                

Segmentation-
Frooti's consumer section is broadly classified in two segment.
  • The primary segments consists of childrens in the age group of 4-12 years.This is because of the growing health awareness among mothers who are very particular about giving fruit drinks to their kids.
  • The secondary segments consists of all the adults those who love fruit based drinks because they are wholesome and non-carbonated.
Target market-
  • recreational
  • kids
  • lifestyle
  • sports
  • fitness
  • health
primary market: 
  • Kids
  • Teens
  • Youth
  • Working people
  • Women
  • Elderly people
secondary market
  • travel industry (airlines,railways)
  • recreational centers (movie halls, community sectors)
Positioning-
Frooti is India's legendary and iconic mango drink. When frooti was launched in 1985, it came in as a really contemporary and youthful mango drink. Frooti was the first brand to introduce fruit drink in tetra packs to Indian consumer.It was cool to have a frooti. Even the imagery in frooti commercials was way ahead of anything Indian society was exposed to.In the 1990's the commercials revolved around the king of fruits mango.As frooti entered the second decade the brand realised that they have to change perception that frooti was made just for kids.There was a need of new positioning.They had to make froorti more relevant to the youth.The YO frooti campaign, Digen Verma campaign and Bimdass campaign were steps in that direction.Being the market leader in fruit drinks,it is important that frooti stands out while retaining the brand associations with mangoes. Frooti's recent campaign "why grow up" lays the foundation for long term strategy and vision of the brand.It not only highlights the brand makeover, it also stays true to its core mango value.

Marketing Strategy


Marketing strategy is the complete and unbeatable plan designed specifically for attaining the marketing objectives of the firm. The market objective indicates what the firm indicates, what  the  firm wants    to   achieves,  the marketing  strategy  provides  for achieving them. Marketing strategy is the complete and unbeatable plan designed specifically for attaining the marketing objectives of the firm. 

When  the  Parle  food  Company  entered  in  the  Indian  soft  drink  market,  the market  was  already prevailed  by  coke  and    previously  it  was  Godrej,  Pepsi  tried  to established  in  India  with  a  unique marketing  policy,  Parle  took  into  consideration  of youth segment target markets. Though the advertisement of Pepsi highlighted the style of  living  of  young  generation  with  different  walk  of  life. Frooti  brought  in  its advertisement different stalwart’s personalities from different fields. It has attracted the young generation and of course increase the sale of Frooti.

Organisational Buying Behaviour

Organisation buying is the decision making process by which formal organisations establish the need for purchased products and services and identify, evaluate and choose among alternative brands and suppliers.
The diagram below shows various roles of buying center.

                                          
Initiators-people in the organisation who request that something needs to be purchased.

Users- those who use the product or service.

Influencers-people who influence the buying decisions, often by helping define specifications and providing information for evaluation alternatives.

Deciders-people who decide on product requirement or on suppliers.

Approver-people authorize the proposed actions of deciders or buyers.

Buyers-people who have formal authority to select the supplier and arrange the purchase terms

Gatekeepers-people who have the power to prevent sellers or information from reaching the buying center.

Parle Agro buys fine quality of mango pulp  for making of Frooti. It is bought from areas of 
Bangalore and Mumbai.A cold or soft drink bottling plant requires the following raw materials:‐ 
1. Mango Pulp 
2. Sugar 
3. Flavour
4. Water  
5.Plastic Bottles
6.Cartons  
The drink is one of the most popular beverages amongst Indian youth. The water division is spearheaded by Bailley Packaged Drinking Water. It was the first water brand to be given an ISI certification and is one of India’s most popular packaged drinking waters. It was the first company to introduce fruit drinks in a Tetra Pak format as well as in PET bottles.

Tuesday 1 October 2013

Consumer Behaviour

Consumer behaviour can be understood by the following :





In case of frooti:

Marketing Stimuli depends upon price of the product whether it is affordable or not, also in quality of the product, the number of promotions and advertisements for frooti also acts like a marketing stimuli in the minds of consumer for example the Digen Verma campaign and with recent promotions by Shah Rukh Khan as the brand ambassador have made much hype and buzz.

Environmental Stimuli depends upon economic conditions of the target consumer, whether they are technologically sound or not so that the products promotions and advertisement reaches them on right time. Demographic and cultural scenario of a place also affects the consumer decision.Like people might consume more frooti at places which are dry because of climatic conditions. In summer season consumption of frooti increases in the market. 

Consumers psychology focuses on how and why consumers make choice of the fruit juice they buy and their evaluation of these products after use.An advertisement can make a consumer change its perception of a product.Earliler frooti with its tagline "mango frooti, fresh n juicy" targeted only kids but latter frooti with its tagline "why grow up" targeted not only kids and teens but also adults.

Decision process  Consumer decides what to purchase, for whom to purchase, why to purchase, from where to purchase, and how much to purchase. In order to increase sales a firm must know the liking or disliking of the customers and must also know the time and the quantity of goods and services, a consumer may purchase, so that it may store the goods or provide the services according to the liking of the consumers.

Saturday 28 September 2013

Sales Management

Sales management is the discipline of maximizing the benefits a company and its customers receive from the efforts of its sales force. 

The ‘Digen Verma'campaign seemed to have been very successful in terms of the interest it generated. For Rs. 30 million spent on it, the customer awareness it was likely to capture for ‘Frooti'seemed quite phenomenal. Though the campaign had been successful in generating interest, some analysts were skeptical about whether a campaign could actually generate sales. A teaser was made to grab the attention of consumer that generated curiosity.
Analysts pointed out that many of those who had watched this campaign, had expressed certain disappointment when they learnt that it was a promotional campaign for Frooti. Some analysts felt that Digen Verma may become larger than the brand, ‘Frooti'; this would defeat the very purpose of the creation. 
Parle Agro and its ad agency however felt that its campaign had been successful in not just evoking interest but also in increasing sales. They just spent Rs 30 million on this campaign, and the sales were up by almost 30 per cent.
No matter what effect the ‘Digen Verma'campaign ultimately would have on ‘Frooti'sales, this campaign was probably one of the most innovative teaser campaigns ever run in India. Although the efficacy of it may be subject to debate, the ‘Digen Verma'campaign would be remembered for its sheer creativity and the unprecedented public interest it generated.


  

Distribution Decision


Distribution

Distribution is the process of making a product or service available for use or consumption by a consumer using direct or indirect means of intermediaries.
Levels of distribution are of 4 types:
1.Zero level distribution : direct marketing
2.First level distribution  : retailers
3.Second level distribution:wholesalers and retailers
4.Third level distribution: broker, wholesalers, retailers

Distribution channels of Frooti

Frooti adopts first level and second level distribution channels. 
The depot of the company sells its products directly to the retailers and then from retailers it goes to the consumers.This happens only in places where depot of the company is located.
In small towns wholesalers are established by the company.Wholesalers get product from depot of the company and they sale to retailers.From retailers it goes to consumers.

Froori mainly focuses on retailers as its distribution channel. There are around 3,50,000 retailers that helps to serve frooti in its distribution.Since a long time frooti has been following this strategy to reach to its customer. 





Promotions for IMC/ATL/BTL

Promotion of a brand

A promotional plan for a brand can have a wide range of objectives, including: sales increases, new product acceptance, creation of brand equitypositioning, competitive retaliations, or creation of a corporate image,there are three basic objectives of promotion- to present information to consumers as well as others, to increase demand, to differentiate a product.

Promotion of a brand are divided into two parts ATL and BTL promotions
ATL Promotion: ATL advertising uses media such as television, cinema, radio, print, and Out-of-home to promote brands or convey a specific offer.It differs from BTL advertising, which uses unconventional brand-building and promotional strategies.  


Some of Frooti’s famous campaigns are:
Shahrukh Khan Campaign: One of the most successful TV commercials in which they resort to celebrity endorsement for the first time. Shahrukh Khan has been used to promote the product. The film, shot after a game practice, intercuts between Shahrukh gulping Frooti and a bunch of little soccer players yearning for the mango drink.  What makes the ad even more enchanting is the soulful track that holds the film together. 

      


The Digen Verma Campaign: The Company wanted to reposition its product and create hype around it. Hence they introduced a mysterious character called Digen Verma. Frooti had always been positioned as a drink for kids. Now, they wanted to position it as a drink for the youth, especially, the college-going teenagers. They therefore went in for a real life, down-to-earth person, who, like any college student likes to bunk classes, is a good sportsman and is a popular figure in the college, with whom the teenagers can actually associate themselves. The enigma called 'Digen Verma' was everywhere, in buses, film halls, colleges, cyber cafes and shopping malls. 'JUST who is Digen Verma?' That's what the nation seemed to be have been wanting to know. In the 15 days that the campaign lasted in (February 2001), Digen Verma seemed to have become the most talked about faceless name in the country.
Screenshots of other Commercials and ATL promotion over the years
       
  


BTL (Below The Line) Promotion:  BTL sales promotion is an immediate or delayed incentive to purchase, expressed in cash or in kind, and having short duration. It is efficient and cost-effective for targeting a limited and specific group. It uses less conventional methods than the usual ATL channels of advertising, typically focusing on direct means of communication, most commonly direct mail and e-mail, often using highly targeted lists of names to maximize response rates.
Frooti rarely indulges in such form of promotion.


Integrated Marketing Communications (IMC) 
Integrated marketing communications (IMC) is an approach to brand communications where the different modes work together to create a seamless experience for the customer and are presented with a similar tone and style that reinforces the brand’s core message. Its goal is to make all aspects of marketing communication such as advertising, sales promotion, public relations direct marketing, online communications and social media work together as a unified force, rather than permitting each to work in isolation, which maximizes their cost effectiveness. An example of this in relation to Frooti would be:
Juicy Mango Surprise Project:  The campaign captures people’s reaction to giant sized props in the form of mangoes which suddenly appear on the streets, rolling down from above a slope. In most cases, the mangoes seem to be chasing the people on the streets and the video captures their reaction to the charging mango.
Billed as an integrated campaign which involved a live outdoor stunt, on-ground activities, a direct marketing campaign, word of mouth buzz and television spots, besides viral videos, the campaign titled ‘Juicy Mango  Surprise Project’ was repeated across 12 metros and mini metros across the country in malls, schools, colleges and popular youth hang-outs. In the videos, the people who have been played a prank on are greeted by a Frooti undercover agent who will explain the idea behind the stunt and hand them a complementary bottle of Frooti.  
Images of the campaign:

    









Thursday 26 September 2013

Pricing

Pricing of Frooti


During our shopping experience we encounter various brands stacked on the same shelf. While all are marketed as fruit drinks, content-wise these fruit drink brands have a lot of differences. Pricing policy includes pricing strategy, suggested retail price, cash and early payments discount,seasonal pricing,price flexibility.

Pricing policy of frooti: the pricing of frooti is done by keeping in mind its target audience which includes kids, teenagers, youths, adults and also for the low income consumers. Unlike its competitors like Tropicana and Real it doesn't only caters to a niche category of consumers.


Tetra Pack packaging
          Quantity                               Price(Rs)
             65ml                                     2.50
             200ml                                   10.00
             250ml                                   12.00

         PET bottle packaging
          Quantity                               Price(Rs)
             250ml                                   10.00
             500ml                                   18.00
             1000ml                                 35.00
             2000ml                                 60.00    

Payment methods: direct payment by the consumer at the shop or retail store.


Branding and Brand Management

Branding Of Frooti

To create a brand a firm must position itself in the right market segment.Segments are the divisions made in the market according to the type of consumers.Positioning is the act of designing a company's offering and image to occupy a distinctive place in the minds of the target market.
The majority of the target group for frooti are the youngsters, school and college students and also kids.

How did frooti build a strong brand?

  • 1985 parle agro launches frooti India's first fruit drink in Tetra Pack.
  • 2000 Frooti changed its positioning to young adults who would otherwise go to bottled cola drinks.
  • 2002 Frooti launched its first ever PET bottles to cater to different occasions and family size.
  • 2004 Frooti launched triangular tetra classic pack for Rs 2.50 which helped it to reach the rural market.
  • 2011 Frooti revamped its positioning to target young at heart which essentially include all kids, youngsters and adults.

Brand Management

Over the years the brand Frooti has gone through series of re positioning. From the original tagline "Mango frooti, fresh n juicy" to "why grow up".Most of the branding is done through its product promotions and advertisements. The present ad campaigns focus on reaffirming frooti's position in the Indian Market.Managing a brand needs extensive market research,defining product category, defining target audience, knowledge about the competitor etc etc.
Brand positioning done by frooti:
  • Catchy and creative promotional campaign,which is capable of differentiating the product.
  • Multimedia advertising
  • OOH's
  • Offline promotions
  • Online promotions
  • TVC's
examples for some of its promotions are:

Recently frooti relaunched itself with Shah Rukh Khan as its brand ambassador.
  
One example for its OOH advertisements.

Some other examples for its public promotions are game shows like crazy mango fun and mango slam bam bam.



Services and Service Marketing

Services provided by Frooti

1. It is a mango nectar drink made by fresh mango pulp.
2.Available in all seasons.
3.No added preservatives and adulterants.
4.Healthy to drink and good in taste.
5.Has nutritional value.
6.Comes in a very handy and easy to carry tetra pack and PET bottles.
7.Has the ability to adapt to the diverse preferences of consumers across ages.
8.Price of Frooti is affordable thus it caters to large number of segments.
9.Ready to serve fruit beverage.

Above mentioned points are some of the services provided by Frooti to its consumers.

Service Marketing

The service marketing is also called as extended marketing mix and is an integral part of service blueprint design.The service marketing mix assumes the service as the product itself.It consists of 7 P's.They are 
                                                         servicemarketingmix Service Marketing Mix


Frooti used differential marketing and communication in all forms for product, packaging, brand, place and promotions.

Product: 

Frooti was introduced in tetra packs and also in PET bottles which made it easy to carry and ready to drink fruit nectar. Packaging was changed to new splash graphics which appealed to youth as  well as kids, also the packaging was changed to flip flop packaging which gave it a complete new look. 


Price: 

Tetra Pack packaging
          Quantity                               Price(Rs)
             65ml                                     2.50
             200ml                                   10.00
             250ml                                   12.00

         PET bottle packaging
          Quantity                               Price(Rs)
             250ml                                   10.00
             500ml                                   18.00
             1000ml                                 35.00
             2000ml                                 60.00       


Place:

Frooti is the highest distributed brand in fruit drink segment with an 85% market share in India. Frooti reaches more than 10 lakh retail stores through more than 1500 distributors and wholesalers directly and indirectly.It is heavily promoted in canteens, movie hall, bus stops, colleges where young people usually hangout and thus created a lot of buzz in the market.

Promotion:

A nation  wide campaign was run to promote Digen Verma which lasted for 15 days and then it  was revealed that Digen Verma was the brand ambassador of frooti.Such campaign covered TVC's , newspaper, OOH, radio jingles,online promotions etc.And few months ago frooti was relaunched with Shah Rukh Khan as its brand ambassador.Frooti with its "The Mango Surprise  Stunt Project" tried involving its consumers for its promotions.Frooti launched an initiative designed to give back to the less fortunate in the society.As a part of CSR initiative.The why grow up campaign conceptualized a game show where the object that the participants must wrestle with is a large toy mango on every occasion. 


            

  

Monday 23 September 2013

Product Mix

Product mix

 A product mix is the set of all products and items a particular seller offers for sale, a mix of products is offered to cater to different segments.A product mix has certain divisions like width, depth, length and consistency.Width of a product mix is the number of different product lines the company has.Length of a product mix is the total number of items in the mix.Depth of the product mix is the number of variants offered by each product in the line.Consistency of the product mix is how closely related the various product lines are in the end use.

Product Mix of Parle Frooti:


Parle defined its product category as the need satisfying category which quenches the thirst and is fun to drink.The product form was the fruit juice with competitors in the juice category like Tropicana, Jumpin and soft drinks like Pepsi, Coca-Cola and others.
Frooti is one of the product lines of Parle. Frooti is available in 65ml and 200ml Tetra Pack, 250ml, 500ml, 1ltr, 1.5ltr PET and 200ml, 2ltr PET in selective markets.These show the depth of Frooti in the product mix.
Appy Classic another variant of Parle is available in 200ml Tetra Pack. Appy Fizz is available in 300ml, 500ml,1lt Tetra Pack.

                                                      

Saturday 31 August 2013

Product Life Cycle

Product life cycle of Parle Frooti

Every product has a life span, which is divided into four stages. The product lifecycle describes the sales pattern of a product over the time.The four stages are Introduction, Growth, Maturity, Decline.


Product lifecycle of parle frooti:

1)Introduction stage- Frooti was launched in 1985, and it has been two decades but still it holds the dominant position in the market. Frooti intantly caught the fancy of Indian consumer with its tetrapack and some smart campaigns. Initially the drink was positioned as a kids drink.Being a fruit drink frooti was considered to be healthy so within short span of time the brand was an alternative to the unhealthy colas. Tetrapack extended its shellife which was the biggest advantage.And very soon it became the market leader.

2)Growth stage-Frooti was positioned as a mango drink that is "fresh n juicy", for over 7 years the company promoted the product using the famous tagline. The product created excitement in the market through a series of new variants and  packaging. Lured by the success of frooti, there was a lot of new launches in the market. Players like Godrej with Jumpin , Kissan etc tried their luck but failed to dislodge frooti.

3)Maturity stage-In late 90's it reached its maturity stage, the brand was facing stagnation in salses. The company tried to excite the market with an orange and pineapple variant but both failed. So then came the experiment with packaging. The YO! frooti variant came with a slim paper can aimed at the college going youth. Worried by the stagnant sales, parle tried to reposition the brand to appeal to the youth aged between 16-21 years old.

4)Decline stage- Frooti still hasn't reached its declining stage, although frooti enjoys a commanding market share i.e. 75%-85% ,it is still facing stagnation, Frooti may have to reposition itself again to appeal to cola drinkers. 

Market Structure and Competition



Market structure and Competition of Parle Frooti


The Rs1500 crore brand, frooti is ready to move to its next phase of growth giving tough competition to its competitors like Coca Cola's Mazza and PepsiCo's Slice on the one hand and carbonated beverages on the other.It has 85% market share making it the leader.Frooti is a nector drink not a fruit juice so it faced a reallie tough competition from Tropicana and Dabur's Real fruit juice which are 100% fruit juices.So, it was lagging behnd in terms of health drinks. Frooti is enhancing its distribution base by almost 30 to 40 percent by reaching out to the new segments as Hotels, Restaurants,Catering and also doubling the number of franchises appointed factories.It invested Rs 40 crores to ride on IPL this season to stand out among others like Mazza and Slice.It has also started its first celebrity endorsement which includes Shah Rukh Khan with the tagline of "why grow up " which has created a lot of buzz in the market ant this campaign has positioned frooti as drink not only for kids and youths but also for people of all age groups.


Sunday 25 August 2013

Customer buying decision process.

Customer buying decision process of Parle Frooti

The buying decision process has five stages:
1)Need recognition- a customer's need before purchasing frooti would be to satify their thirst or taste.A need is triggered by an external or internal stimuli, becomes a drive, which inspires thoughts about the posibility of making purchase.
2)Information Search- through TV commercials, online blogging and reading materials helps a customer to know about the products offerings.Frooti ads has always been about mango lovers.Mango lovers have always identified frooti with mangoes.
3)Evaluation of alternatives- a costumer before buying the product evaluates all the other options available in the market.Like frooti has a tough competition with tropicana, real, tang etc which are available health drinks in the beverage market segment.
4)Purchase decision- it depends upon the brand value and customer satisfaction and customer loyalty.Frooti's past and present positioning has made it a very stong brand and has become a market leader.
5)Post purchase behaviour- more quickly buyers consume a product the sooner they may be back in the market to repurchase it.

Monday 19 August 2013

Customer Value

CUSTOMER VALUE

Customer value means loyalty of a customer towards a product and commitment to rebuy the product.Customer value can be created by making a customer satisfied with products,services and quality.It is what a customer perceives about a product.


Customer value of frooti..

    
Frooti has been a trendsetter all through its 25 years of existence. From being the first in a tetrapacks, to being in the PET bottle, frooti has innovated all along the way. Frooti as a brand has always tried to evolve with its evolving consumers to be relevent to them at all times. This is what really made frooti one of the most trusted brands and most prefered mango drink in India.Frooti commercials oozed fun and exuberence.Past positioning of frooti came in as a really contemporary and youthful mango drink.In the second decade there came a need for new positioning, this was to change the perception that its not just a drink for kids and wanted to make it more relevant to the youth.The new ads were more about situations and showcasing how consumers connect with the frooti.