The most sensational case in the marketing history of Indian consumer products
1. INDIAN FOOD PROCESSING INDUSTRY PRIOR TO INTRODUCTION OF BISCA:
In order to encourage the development of food processing industries, Government of India in March
1985 delicensed various industries such as canned fruit and vegetable products, protein and processed
foods, vegetable based foods, marine products and cattle feed. Almost all the industries covered under
Industries (Development and Regulation) Act, Schedule27 (5) were exempted from licensing. This gave
strong encouragement to food processing industry.
By the end of last decade, agro-food materials worth Rs.60,689 crores were converted into processed
foods. The industry employed nearly 17% of the labour force in the country. Within the processed food
industry, convenience foods emerged as the answer to the needs of working women. The instant food
industry in our country was growing by 8 to 10% annually. The turnover of the organized sector in this
category was Rs.25 crores in 1989 and the annual growth rate of the entire food industry was supposed
to be 20%.
Many business organizations launched or planned to launch their products in this decade. A whole new
generation of food products arrived in the market, catering to an entirely new breed of consumers.
Growing urbanization, changing lifestyles, working couples with double income, liberalized government
policies and rising standard of living, not only pushed the boundaries of the market, but also brought
about several changes in the profile of Indian consumer.
With the increase in number of working women, urban families had lesser time to prepare traditional
Indian food delicacies, but had ample money to purchase easily available instant food items. Maggi
noodles of Nestle India Limited (earlier Food Specialties Limited) had successfully developed the
attraction towards the noodles in the minds of Indian consumers.
2. PARLE GROUP & GOLDEN FOOD PVT LTD:
With this background, Parle launched Bisca noodles in April 1989 in the market, Parle expected a Red
Carpet Welcome for Bisca. Parle Group is one of the reputed groups in the Indian soft drinks and food
products industry. At present, the group includes various companies such as Parle Beverages, Parle
(Exports), Parle Agro Products, Parle Products Manufacturing Company, Bisleri Beverages Limited,
Golden Foods Private Limited etc. The first tetra pack soft drink product-Fruity, has been another
success story of Parle. Super-Milk and Parle-G biscuits, Kismi toffee bar and Popins are very much
popular among the children.
Mr. Ramesh Chauvan, a dynamic entrepreneur, shrewd businessman and aggressive marketer is the real
strength of Parle Group. For him, marketing is a game which has to be played in offensive style. He is
always ready to take risks and challenges. The Business World of June20-July 3, 1990 includes a cover
story-"India's Marketing Hot-Shots". In this cover story, the capacity and caliber of Mr.Chauvan has been
rightly appreciated. With such a superb marketing and financial background, Parle Exports decided to
diversify into the related areas. The most logical was food. Again the most logical slot was instant foods.
Therefore it was decided to introduce instant meal in the form of vegetable noodles. Pre-cooked
vegetable noodles were quite popular in Japan. In India, Maggi noodles which were introduced in 1984,
possessed an impressive success story. Taking the inspiration from all these things, the product-Bisca
Kwik Chow Noodles was launched in April 1989.
Bisca noodles were manufactured at this fully automatic computerized plant imported from Japan.
Machinery worth Rs.2 crores was installed at this plant. The plant had a capacity to produce 40,000 cup
noodles per shift. The noodles were cooked and fried in vegetable oil. These could be consumed
immediately by adding hot water to it. Considering the cost of production, administration and
marketing, it can be set with confidence that Parle had spent approx.Rs.8 crores over this Bisca Project.
3. THE PRODUCT: BISCA KWIK-CHOW NOODLES
It included pre-cooked noodles and vegetables (carrots, capsicum and French beans). The product was
offered in heat resistant, expanded polystyrene disposable cartons or thermo cups. Along with the
product a spoon-cum-fork called foon was supplied. The user had to rip off the tap on top of the cup and
pour in to it around 250ml. (one and half cup) boiling water. Bisca introduced in four flavours, Curry
Masala, Peppy Capsicum, Onion and Garlic and Saucy Tomato. Each thermo cup consisted of 330 grams
of noodles and was priced at Rs.6/-per cup.
So Now what we have to do
1. Prepare a Positioning Statement of Bisca Noodles
2. How Bisca Kwik-Chow noodles was differentiated when compared with Maggi noodles
For Reference:
Positioning Statement: For_________________________________ this brand is
_____________________________________________ because _______________ .
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