Swot Analysis of Bisleri
SWOT Analysis of Bisleri 1. Strength:- The strength of Bisleri are as follows:- a. Pioneer of packaged drinking water:- Bisleri is the pioneer of the packaged drinking water segment, so whenever one refers to the packaged drinking water the first name that comes is mind is of Bisleri. So popularity of Bisleri in packaged drinking water segment is very high as it is the pioneer of the packaged drinking water. Eg:- whenever a customer wants to buy an packaged drinking water the first name that comes to his mind is of Bisleri , bisleri has became an generic name for packaged drinking water. b.
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Innovation of the PET bottles:- Bisleri company was the first to launch the PET water which has better water transparency and the sparkling clear water was made visible to the customers via this bottles, the sales of Bisleri boost after they innovated the PET bottles. c. Main Focus on Mineral water segment:- After the company sold its coldrinks brands to Coca-Cola in 1993 for 400 crores the entire focus of the company was only on the packaged drinking water segment , as a result the number of new products were launched by the company in packaged drinking water segment that boost up its sales. . Bisleri have high water quality standard:- About 6 steps are involved in the complete purification of the mineral water at the Bisleri, so the quality standard of the Bisleri water is very high. e. Building of trust among the people regarding bisleri due to its high quality:- Bisleri was the pioneer of the packaged drinking water segment, they have been able to sustain for such long time in the market only because of the trust they have been able to build in the minds of the customer by providing high quality water. . Vast Distribution System:- Bisleri have an vast distribution system through which they have been able to provide bisleri bottles in each and every corner of India. Bisleri have been able to reach rural areas of India also where the purity of water is the main problem among the peoples of rural areas. g. Better Understanding of the Customer needs:- Bisleri have launch wide range of products like 500ml bottle, 1. 2 litre bottle, 20 litre water cans by studying the various different needs of the customers.
They have launch small bottles that is helpful for the travelling peoples, large cans for household purposes. Better understanding of the customer needs is very important for any company to sustain in the market, and is also helps the company to increase its sales. h. Increasing popularity of Bisleri in mineral water segment:- As bisleri was the pioneer of the packaged drinking water so it is the most popular in that segment and it is on every customer tongue whenever mineral water segment is been considered.
The popularity of bisleri is increasing day by day and so are its profit margins. Small pack along with its bulk packs are most popular in the packaged drinking water segment. i. Unique Design to stop piracy:- Bisleri have launched unique break away seal bottle caps that are unique in it kinds and cannot be imitated. By launching such caps the company has been able to control the piracy of the bisleri bottles. 2. Weaknesses:-
Weaknesses of Bisleri are as follows:- a. Faulty Reuse of the packaged drinking bottles:- After the mineral water bottle is consumed by the customer , the used bottles are been used by other peoples that fill it with water of low quality and sell it again in the market. b. Lack of Proper strategy for the use of used bottles:- Bisleri lacks an good strategy that will help them in proper use of the used bottles by the customer i. e Recycling.
Proper recycling strategy will help them to cut down the cost of production of the PET bottles and will also help them to control the piracy done through used bottles. c. Low profit margin to the dealers:- In order to sustain in the growing competitive market of the packaged drinking water segment , Bisleri is trying to provide its bottle at comparative lower rate that reduces its profit which ultimately reduced the dealer margins, so many dealers are not keeping bisleri in many areas due to low profit margins. d.
Faulty Packaging Accident in 2000:- BIS cancels Bisleri’s license of a water bottling in Delhi since some of the bottles did not carry ISI label, that affected the reputation of the company. e. Fault in Production:- The most hiped production fault of bisleri occurred in 2002 when an insect was found in one of the Bisleri Bottles, that accident affected the trust of bisleri among the customers . f. Unable to meet the demands:- As the distribution policy of Bisleri is not up to the mark , it is unable to meet the demands in particular areas of the country like south nd eastern part of India. 3. Opportunities:- Opportunities in front of Bisleri are as follows:- 1. Growing market in the packaged drinking water segment:- The market of the packaged drinking water is increasing at higher rate as the packaged water is able to provide purified water which is portable and is available in all parts of the country. Market for the packaged drinking water is increasing every year that is attracting many more companies towards this segment. 2.
Bisleri can utilize its brand name for increasing sales:- As bisleri has pioneered the packaged drinking water segment , it has became an generic term for mineral water. Bisleri can make use of its popularity to increase its sales in such an growing market of the packaged drinking water segment. 3. Expansion in Europe and America:- Bisleri have made plans to venture out in Europe and America to sell bottled water, this will help bisleri to create an international brand image. 4.
Launch of New products depending on its brand name:- Bisleri can launch new products depending on its established brand name in the market, like launching high price premium bottles with different packaging that will give tough competition to established players in premium packaged water segment. 4. Threat:- 1. Attraction of other companies in the packaged drinking water segment:- As the market of packaged drinking water is increasing year by year, this is attracting various other players to enter in the market of packaged drinking water.
If more players enter in this market the profit margin of bisleri will definitely be affected. 2. Availability of cheap water purifiers in the market:- The water purifiers are now made available to the customers at lower prices which is now attracting the customers of the bulk segment of Bisleri. 3. Piracy:- Despite of the launch of tamper-proof and tamper-evident seal the company is not able to control the piracy of the bottles which is taking place through the used bottles of bisleri.
Due to improper recycling strategy the used bottles of bisleri are pirated at an higher rate by the local manufactures. 4. Competition from establishes players like Pepsi and Coca-Cola:- Bisleri biggest threat are the established players like Pepsi and Coca-Cola which have vast distribution network as compared to Bisleri. Due to distribution problems bisleri is not able to meet the demands in particular areas of the country which is diverting the minds of the customer to various other brands which have stronger distribution networks and the local manufactures. . Decreasing Ground Water level:- The ground water level is decreasing year by year due to extensive drilling done , as bisleri requires approx 3 litres of ground water to produce 1 litre of its mineral water. Decreasing water level is also one of the major threat to the packaged drinking water company. New Product that should be launched by Bisleri:- According to me Bisleri should launch its products in the energy drink segment. There are not many players of energy drink in India, the major energy drink player in Indian is XXX energy drink.
As Bisleri is the most popular packaged drinking water brand , it should utilize its brand name in launching the energy drink which contains mainly glucose and should have and Indian touch for the Indian market like the “Nimbu-paani” flavor. Brand name along with the Indian touch and high amount of Glucose are the factors that will help Bisleri to achieve high sales and profit in this sector of energy drink. As there are not many players in the energy drink market it is simple for Bisleri to utilize its brand name to establish its position in the energy drink market.