So why do people really eat Chlormint?!?

IIPM Publication

No, we’ve not yet left the question? Why do people really eat Chlormint; or for that matter, any of the other confectionery items sold by Perfetti Van Melle India, a company that lays claim to more than a quarter of the market share in the estimated Rs.1,800- 2,000 crore confectionery segment? “Over 35 million Indians touch a Perfetti product everyday,” an overly proud Prakash Wakankar is besides himself when he gloats over the figure to us. But perhaps he’s earned quite some right to be boastful; well, he is the Managing Director of this Rs.700 crore behemoth.

But that’s easier said than eaten, huh? Having bagged some of the biggest advertising awards of recent times with flamboyant commercials for its brands Mentos and Happydent, one would assume that with a 15-product-strong portfolio, which includes radically transformative success stories like Centre Fresh, Alpenliebe, Mentos, Chlormint, Big Babool, Happydent, and others, a company like Perfetti would be beyond reach of most competitors, huh? Well, didn’t we tell you, that’s easier said than eaten.

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Source : IIPM Editorial, 2007

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

The fountain of success

IIPM BEST B-SCHOOL

The most innovative ways of distribution have been developed by the Cola companies. They introduced the vending machines which soon became very popular and gave a boost to their sales. Vending machines suddenly made it so convenient to buy products you would hesitate to pick up otherwise (like condoms). Of course, they also made cigarettes and alcohol easily accessible to the youth. Today vending machines are selling just about anything and everything. Companies are quickly realising the potential of new distribution techniques. In the United States, sales through snack and beverage vending machines grew by 150% over a tenyear period reaching $35 billion annually in 1999.

Apple even started distributing its iPods and other products via vending machines. From digital cameras to batteries to other accessories, all were available in a single vending machine. Who would have thought a whole store could be shrunk into a staff-less 6-foot wide space!

Like the vending machine, the “soda fountain machine” is the very heart of Coke’s US strength and the major reason for Pepsi’s weakness. It’s the fountains business, which accounts for nearly all the difference in the 12 to 13 share-point lead Coke has over Pepsi (in US). About 25% of soft drinks sold in the US are dispensed by fountains (at McDonald’s, Pizza Hut etc). It just goes on to show that good and unique distribution channels can really become a brand’s “fountain” of success.

For Complete IIPM Article, Click on IIPM Article

Source : IIPM Editorial, 2007

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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