MUMBAI: The girl with the glucose biscuit is probably the most iconic image after the Amul butter girl in India. The Parle-G girl is a part of the Parle Products family that has been in existence since 1929, founded by the Chauhan family in Vile Parle, Mumbai. Until a few years ago, as you crossed the station, you could smell the aroma of the baked biscuits wafting through the air and immediately got transported back in time to your childhood. The now-defunct factory on the premises is a great reminder of the company’s heritage. Now, Parle is gearing up to make a bigger impact in China and is planning to build a manufacturing facility in Mexico.
In 1947, when India became independent, the company launched an ad campaign, showcasing its glucose biscuit, Parle-G, as an Indian alternative to the British biscuits. The Parle brand has since become well known in India expanding to other names such as Milano, Hide & Seek, Poppins, Kismi, and Melody.
Parle-G continues to hold 20 per cent share of the Rs 25,000 crore biscuit market by value. Since 1990, the product has managed to retain 80 per cent of the glucose biscuit market while premium biscuits are worth only Rs 5000 crore in the total biscuits market.
While biscuits have always been the anchor of the company, comprising nearly 70 per cent of its Rs 10,000 crore turnover in 2017, Parle is now seeking to enhance its confectionery portfolio that generates revenue of more than Rs 1000 crore. The company has also entered into a new category of staples in the recent past.
Parle Products category head Buddha Krishna Rao says that in the last year and half, the company has seen good growth coming back to categories like biscuits, confectionary, snacks, cakes and rusks.
While the brand’s core target has always remained women and kids, a few products have a great appeal with the younger generation. Parle has over a period of time learned to customise its content and communication that cuts the ice with the audience as the market changes.
Parle is working on being relevant in the digital space. Krishna Rao says, “We are in talks with a few production houses for brand integration on digital platform for a customised series, which will be targeted at the Parle audience. The webisode series is slated to launch in late 2018.”
Parle recently rebranded one of its quintessential products, Kismi. The product now also comes in two additional Indianised flavours of rosemilk, kulfi and rajbhog along with the traditional elaichi flavourajr. Kismi, along with Melody, was once the star product for the brand that started to lose its sheen with the entry of newer products in the market.
“Although many believe it was out of the market, it just wasn’t marketed enough. In the last four years, we have felt the need to communicate for the brand and we choose to communicate with youngsters,” Krishna Rao adds. Since the product caters to the younger generation, Parle will engage in a lot of OOH, radio, college fest and other opportunities to connect with the millennials.
Madison recently launched its 2018 outlook report for adex. The report projected that ad expenditures are likely to grow at 12 per cent this year and Krishna Rao thinks the projection is a fair expectation. Parle itself will increase the ad spends by 11-12 per cent in 2018 and the majority of the ad spend will go to the digital medium.
Known for its distribution strength, Parle Products currently reaches out to 4.5 million outlets directly and also has an indirect reach of 6 million. Kaccha Mango Bite has been the best-selling candy in terms of sheer volume for the brand. Parle Products rebranded its chocolate Lacto Bite as Londonderry in 2012, which competes directly with Perfetti Van Melle’s Alpenliebe. Parle discontinued its mint-flavoured candy, Mints, in early 2017 as it was under performing.
The company exports to various markets across the globe including the US, the UK, Europe, Africa, the UAE, South East Asia and Pakistan. It is also looking at spreading its presence in China. Among all the countries Parle exports to, majority of demand comes from Africa as it is still a developing nation and Parle products are available there at economical prices. The company also has two manufacturing units set up in Africa at Cameroon and Nigeria and is already working on setting up a new unit in Mexico. Products like Parle-G, Marie, Krack Jack are locally produced in Africa and the brand wants to predominantly target the Indian diaspora living abroad. Going forward, Parle is looking at having customised products for international markets which would result in more local authentic flavours and combinations to attract local buyers.
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