SYNOPSIS

On
COMPARATIVE STUDY ON
CONSUMER PERCEPTION
TOWARDS BISLERI & KINLEY

Towards partial fulfillment of

Master of Business Administration (MBA)

Guided by Submitted by
(Name of the Guide) Shubham Chaudhary

Session 2018-2019
School of Management

Babu Banarasi Das University

1
 TABLE OF CONTENT

 Introduction

 Objectives of the Study

 Literature of the Review

 Research Methodology

 References

2
 INTRODUCTION

Water is the most important liquid in the world. Without water, there would be no life,

at least not the way we know it. In today's living condition, the need for Pure

Drinking Water is becoming the issue for the common man.

Eighty percent of the human metabolism consists of water. This is the reason why

90% of human diseases are water borne. There are 3 types of water impurities, which

are root cause of water borne diseases.

1. Microbiological-Bacteria / virus.

2. Dissolved impurities - chemical.

3. Imbalance of Mineral Content.

There are rapid changes that are taking place in our environment since long and the

air and the water pollution is on an increase. The main source of drinking water is

river and downstream which have also not been able to escape the pollution.

When a consumer became aware of the problems caused by water pollution the

market saw an advent of ceramic water filters, which filters the dust and suspended

particles but dissolved impurities and microbiological impurities are not cleared out.

The mineral balance is also not maintained.

1980's witnessed more changes by a tap attachment wherein Iodine resin is used to

filter the water. It deactivates microbiological impurities to an extent but has side

effects due to iodine and does not take care of dissolved impurities mineral balance.

Late 1980's witnessed Ultra Violet based purifier, which filters dust and deactivates

bacteria to a great extent. It maintains the odour and colour of water but does not clear

out the dissolved impurities and mineral particles. Thus came advent of mineral water.

Historically, the need for purified water within Indian homes had been kept down to a

minimum. Essentially, there were three types of water that was used for different

3
purposes. The first type was used for rinsing. The second type, which was used for

cooking, was cleaner and kept covered. The third type was the cleanest – drinking

water – and was very often boiled before use.

Since an average family needed a small quantity, not more than five or six litres a day,

boiled and filtered water had been a convenient solution for some time. The fallouts

were obvious. “It was very difficult to convince the people that purification

system was worth the price. There was no visible way to demonstrate the

benefit,” The otherwise somnolent market began to change once companies like

Eureka Forbes targeted the office segment, while the mineral water players went

after travelers. Ion Exchange was the only company which had any measure of

success in entering homes with Zero-B. But clean drinking water returned on the

national agenda a little later.

Around 1989, drinking water became an issue again.

“Around early 1990sTime did a story on India as a key emerging market and

that was the trigger for all the players eyeing this market."

The best beverage for India in the new millennium seems to be water. In recent years,

the bottled driving water market has been witnessing high-decibel levels of activity,

with a host of new entrants swelling the clutter. With over 200 players jostling to be

the thirst quenching favourite of the Indian consumer, the business is growing at a rate

of over 50 per cent annually. The country's bottled water business is estimated to be

around

Rs. 1,100 crore, of which the branded market accounts for Rs. 700 crore and about

700 million litres in volume.

In India, the core proposition of bottled drinking water lies in hygiene, as the quality

of tap water is bad and is rapidly deteriorating. This is in stark contrast with the West

4
where 'mineral water' indicates the attendant minerals present in the water. Mineral

water in Western countries is obtained from natural springs and is, generally, named

after those springs. Most of the bottled water passed off as mineral water in India,

however, is filtered, boiled or purified by other means such as reverse osmosis. A

better description of bottled drinking water sold in India therefore, would be 'purified

bottled water.

The growth of the category indicates the need for this 'mineral water' and the fact that

heavyweights are eyeing the segment points to the potential that is seen in this market.

Coke's Kinley, Pepsi's Aquafina, Brittania, Nestle, Kingfisher, Auswater-are keen on

raising their stakes in the Rs. 700 crore, 700 million litre market. The entry of

Danone’s brand, Evian, the high-priced mineral water from the French Alps, shows

the perceived potential India presents in this product category. Clearly targeted at the

premium segment of consumers, the brand is being distributed in the country by

Britannia Industries. Currently, Evian has more of an institutional presence (five star

hotels) than on the retail shelves, with a 1-litre bottle being priced a hefty Rs. 80

The market today has grown to more than Rs15bn. The organised sector -- branded

mineral water -- has only Rs7bn of market share. The rest is accounted for by the

unorganized sector which is dominated by small regional players. The market is still

growing – at a rate greater than 80% per annum.

Today there are more than 200 brands, out of which 10 of them are from top

companies.

In the branded segment, Parle’s' Bisleri 'is the market leader with a share of more than

45%.

5
OBJECTIVES OF THE STUDY

The following are the main objectives of my Research study:-

1. To make a brand analysis of Bisleri & Kinley.

2. To conduct a market survey of Bisleri & Kinley.

3. The affects on Bisleri & Kinley sale, profit and market share after the

launch of ‘Acquafina’ by Pepsi.

4. To find out the current position of Bisleri and Kinley mineral water.

5. Strategies and measures adopted by Bisleri & Kinley to counter the

competition.

6
 LITERATURE REVIEW

American Water Works Association (2001), “Dawn of the Replacement Era:

Reinvesting in Drinking Water Infrastructure”, reveals that most of the underground

water infrastructure is at or close to the end of its expected life span and will need to

be replaced within the next few decades. Estimated restoration and replacement costs

are in the hundreds of billions of dollars. These repairs will not only allow for the

newest technology and increase efficiency but will be able to meet and exceed the

increasing number of standards set by the Safe Drinking Water Act. Unfortunately, the

only way to fund these changes is through increased rates and taxes which will

undoubtedly be met with great resistance. Ideally, this inevitable rise in rates will

encourage municipal water companies to advocate for their services and regain the

trust of the public which has been lost for decades. However, whether mandatory

increased payments and greater advocacy by water companies will start the necessary

shift away from bottled water consumption and back towards tap water

trustworthiness is an aspect of the water consumption debate that remains to be

examined.

Aini M, Fakhru’l-Razi A, Suan K., (2001) in their study on, “Water Crisis

Management: Satisfaction Level, Effect And Coping of the Consumers”, explain that

a high level of dissatisfaction could be expected in a region experiencing significant

water quality problems and frequent supply interruptions, and is similar to results

from elsewhere.

Celine Nauges (2004) in his study titled, “Perception of Health Risk and Averting

Behavior: An Analysis of Household Water Consumption in Southwest Sri Lanka”,

explains that using household data from surveys made in Sri Lanka, they provide

original results regarding i) factors driving the perception of risk related to water

7
consumption and ii) the role of perceived risk on household’s decision to treat water

before drinking it. First, they find evidence that water aesthetic attributes (taste, smell,

and color), household’s education and information about hygiene practices drive

household’s assessment of safety risk. Second, they show that a higher perceived risk

increases the probability that households boil or filter water before drinking it.

Miller, M. (2006) in the study on, “Bottled Water: Why Is It so Big? Causes for the

Rapid Growth of Bottled Water Industries”, in 2005, Nestle Waters of North America

reported that the average person in the United States consumes twenty times more

bottled water than they did 20 years ago. The reasons for this vary from person to

person, but the outcome is the same: bottled water has become the most popular

beverage in the U.S. Nestle suggested that consumers feel a sense of safety in

consuming bottled water rather than tap water. Over half of the population surveyed in

2001, water quality survey had concerns about the quality of their drinking water.

Hrudey, S. Hrudey, E. and Pollard, S., (2006) in their study entitled, “Risk

Management for Assuring Safe Drinking Water”, explain that safety does not mean

the absence of any risk since to demand an absolute standard would mean that no

water would ever meet this standard and thus no water could ever be considered safe.

While it is clear from the literature that consumers want water supplies that are 100%

safe, what is less clear is what proportion of the population expect some uncertainty

and thus accept less than 100% safety. It is not clear what levels of risk are acceptable

to different types of consumers. In formal risk assessments risk is generally defined as

the probability of the occurrence of an undesirable event together with the

consequences of that event. However, expert risk assessment does not seem to

correspond with lay assessments of risk.

8
Troy W. Hartley, (2006) in his study on, “Public Perception and Participation in Water

Reuse”, explains that the Water Environment Research Foundation in the United

States funded an interdisciplinary and integrative social science study on public

perception and participation in water reuse within the US. It employed a three phased

research protocol consisting of 1) literature review and three comprehensive case

studies, including interpretive white papers from five different social science

disciplines and public health and environmental engineering scientists, 2) a

multistakeholder workshop to promote integrative, interdisciplinary analysis of the

literature and case study findings, and 3) peer-review among twenty-one social

science and water resource management experts. Five themes were identified as

critical to building and maintaining public confidence in water resource management

and water reuse decision-making: managing information for all stakeholders;

maintaining individual motivation and demonstrating organizational commitment;

promoting communication and public dialog; ensuring a fair and sound

decisionmaking process and outcome; and building and maintaining trust.

Wright, (2012) in his study entitled, “Public Perception of Drinking Water Safety in

South Africa 2002–2009: A Repeated Cross-Sectional Study”, reveals that in low and

middle income countries, public perceptions of drinking water safety are relevant to

promotion of household water treatment and to household choices over drinking water

sources. However, most studies of this topic have been cross-sectional and not

considered temporal variation in drinking water safety perceptions. The objective of

this study is to explore trends in perceived drinking water safety in South Africa and

its association with disease outbreaks, water supply and household characteristics.

This repeated cross-sectional study draws on General Household Surveys from 2002–

2009, a series of annual nationally representative surveys of South African

9
households, which include a question about perceived drinking water safety. Trends in

responses to this question were examined from 2002–2009 in relation to reported

cholera cases. The relationship between perceived drinking water safety and

organoleptic qualities of drinking water, supply characteristics, and socioeconomic

and demographic household characteristics was explored in 2002 and 2008 using

hierarchical stepwise logistic regression. The results suggest that perceived drinking

water safety has remained relatively stable over time in South Africa, once the

expansion of improved supplies is controlled for. A large cholera outbreak in 2000–02

had no apparent effect on public perception of drinking water safety in 2002.

Perceived drinking water safety is primarily related to water taste, odour, and clarity

rather than socio-economic or demographic characteristics. This suggests that

household perceptions of drinking water safety in South Africa follow similar patterns

to those observed in studies in developed countries. The stability over time in public

perception of drinking water safety is particularly surprising, given the large cholera

outbreak that took place at the start of this period.

10
RESEARCH METHODOLOGY

The purpose of market research is to provide information, which will aid

management decision-making. Marketing managers are commissioned to

undertake marketing research and formal studies on specific problems and

opportunities. They may request a marketing survey, a product preference test, a

sales forecast for a region or a research advertising effectiveness. It was felt that

to obtain more information intense study with practices was required for

understanding the subject. The basic aim of the study is to analyze customer

perception towards Kinley & Bisleri drinking water.

In this Project I have applied DESCRIPTIVE RESEARCH because Descriptive

Research aims at fact finding and more often is based on surveys. It is purpose to

describe the present state of affairs of topic of study. The researcher has little

control over the variables involved and he merely reports whatever is occurring

or has occurred. It is often referred to Post – facto study. It provides basic

information for formulating more sophisticated studies. Data are collected by one

or more methods of observation, interviewing and a mail questionnaire.

DATA COLLECTION METHOD

Since the study is exploratory in nature. A personal interview with each retailer was

aid of questionnaire was selected as the method of obtaining data the questionnaire to

used in Lucknow to facilitate tabulation and analysis of data were designed for

segment retailers.

Field experience showed that listing the respondents to the questionnaire failed to

touch upon certain parameters and it was found necessary to let the respondents have

free had and let the designed information filter lengthy discussion, through some

aspects of questionnaire adequately touch upon.

11
The questionnaire was prepared by researches and the researcher also filled himself

interviewing the retailers these himself interviewing the retailers. For interviewing the

retailers these himself interviewing the retailers.

Since the study is descriptive in nature. A personal interview with customers with the

help of questionnaire was selected to obtain data. The questionnaire to be used in

Lucknow city only.

Data source:- The various source of information broadly divided in 2 categories.

(a) Primary source:- Source from where first hand information are gathered directly

are called primary source and information thus collected is called primary data. In

case of the above study the primary source was retailer.

(b) Secondary source:- The data that are collected for anther purposes are already

existing somewhere is called secondary data. With regard to my study the secondary

sources where records of the company, Magazines and papers.

RESEARCH INSTRUMENT:- In this regard an instrument refers to means by

which research is conducted .

In this case of all the respondents’ questionnaire was used.

SAMPLING PLAN:

The samples were on judgment and convenience. A sample size of 100 respondents

was taken. The sampling unit was retailers of Lucknow for which this sample size

was considered a fair representative of the above – mentioned area. The sample

consisted of retailers spread over the entire area of the distributor.

STATISTICAL TOOLS USED:-

Bar & Pie charts, Tables etc. For analysis & interpretation of data the research used:-

Percentage = No of respondent
X 100
Total No of respondents

12
 REFERENCES

BOOKS:-

 Marketing management -- PHILIP KOTLER

WEBSITES

 www.google.com
 www.wikipedia.org

13