5. “The supply chain of products in the FMCG market in India is one of the longest supply chains an industry could really have. There are as many as 5 levels of intermediaries involved in the entire supply chain through which a product passes before reaching the end consumer.” Source: Bee Management Consultancy Services Pvt Ltd report on analysis and distribution channels on various sectors, 2005
6. Parle Parle maintains 9 mother units and 70 contract manufacturing units across the country Distribution network (~ 5000 distributors) Distributors arrange their own transport Urban Rural Through the normal 5 layered distribution channel Directly from the company: Parle trucks deliver material 600gm packs are delivered from the factory only ‘Dedicted Parle Shops’ which keep only Parle products Source: Factory visit
8. 1980's…. Parle-G started being advertised Mainly through press ads The communication spoke about the basic benefits of energy and nutrition.
9. 1989 Parle-G released its Dadaji commercial, which went on to become one of the most popular commercials for Parle-G. The commercial was run for a period of 6 years.
10. 2002 Parle-G MeraSapnaSachHoga' Bringing the brand closer to the major consumer: Children Brand Ambassadors: Hrithik Roshan & Ricky Ponting
11. 1997 PARLE – G SPONSORED TELE-SERIES SHAKTIMAN Huge Success!! Parle extended this association with Shaktimaan and gave away a lotof merchandise of Shaktimaan
12. 2002 – G MAN New ambassador for Parle-G Superhero who defeats evil
14. Brand positioning ‘G for Genius’ since 2004. 2006-07: Changed to ‘Hindustan kiTaakat’, to assume a bigger platform as the biscuit that stands for strength (taakat) in and for India. But in early 2008, Parle-G reverted to its ‘G for Genius’ line with a little twist – ‘Do Genius EkTaakat’.
15. ITC Uses FIFO method to reduce wastage of goods due to expiry Keep goods on constant move from low sales area to high sales area Company collects expired goods 4 times a year and destroys them ITC provides the retailers with racks, hangers, etc to display the products Source: http://www.itcportal.com/about-itc/newsroom/press-reports/PressReport.aspx?id=468&type=C&news=ITC%20foods%20growt h%20spawns%20Rs%20700%20crore%20brand
16. Britannia Marketing strategy include Product and packaging innovations Appropriate pricing Strong distribution channel
17. Britannia No major strategic innovations in distribution channels More than 600000 outlets across the country Britannia has maintained an excellent distribution channel in urban India But ~70% of the Indian population is in villages and Britannia needs to tap this market “We have good strong distribution channels 50 % of our revenue comes from rural markets “- Vinita Bali Source: http://www.paterson.co.in/downloads/Britannia%20Ind%20-%20Paterson.pdf
18. Three manufaturing plants : Greater Noida Lucknow (U.P.) Surat (Gujarat) Concentrated mainly on Nothern and central part of the country. Distribution channel consist of super stockists and distributors. 125 : Super stockists 3500 : Distributors Greater availibilty in the Rural Market of the North. Provide biscuits to airlines,railways, food kiosks present at railway stations (300 railway stations) Priyagold
19. Ways to improve distribution channel Partnering with Self Help Groups in Rural India. Internet based Rural Kiosks/Hubs Direct Selling Marketing and distribution model like ShaktiAmma by HUL Source: http://www.oppapers.com/essays/Innovative-Distribution-Channels-Fmcg-India/120552