So as we know parle agro is one of the oldest company in India. But did you know which strategies make them so successful ?
Parle agro has many products like biscuits, beverages and some household products.In this blog I am focusing their main product parle-g.
In this blog I am gonna told you these strategies.
1)LOW PROFIT MARGIN
First of all parle company has a product called parle-g. From last 25 years parle company didn't increased the cost of parle-g. Once they increased and lots of people starts protesting about it. Parle company thought that parle-g is their main product and because of it we are famous, so we are not going to increased the price.
2)SAME PRICE BUT REDUCED IN WEIGHT
Once upon a time 65 gram packed biscuits come in 5 rupees. But today in a 5 rupee packet 55 gram biscuits come. So basically it reduced the weight to tackle the increased cost of raw materials and machinery.
3)BUYING INTELLIGENCE
In business world it is said that "The cost you saved on purchase of raw material is your net profit". Parle agro is the only company in India has reasonable raw material purchase cost. So here they show their buying intelligence.
4)OPERATIONAL EFFICIENCY
Parle is the only company has most operational efficiency. Figures show that in a production of 115 ton their is only 1% wastage. So here we see that how their operation works with perfection and discipline.
5)LOW COST PACKAGING
When you see the parle-g packet it has a simple packaging. When they saw customers are price sensitive they start using plastic in place of wax papers. Here also they save their manufacturing cost. The fun fact is in family pack the biscuits are in simple plastic covered there is no wrapper.
6)STRATEGIC LOCATION OF FACTORIES
They start their factories in mumbai, haryana, rajasthan, karnataka. Because they wanted to cover major areas
1)To save logistic cost
2)To save warehousing cost
3)To save miscellaneous cost
4)To supply product quickly
7)MULTIPLE PRICE VARIANTS
To make the profit company depend on different products with high profit margin.
So you are going to use this strategies in your business ?
Comment down and suggest some topics.
Thanking you
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