Biggest Beverage Leader in 2000's THAT Made “Parle” Frooti’s Marketing Strategy

Frooti’s Unstoppable Marketing Strategy That Made Parle Biggest Beverage Leader in 2000’s

Table of Contents

    Frooti is one of India’s mo​st famous and iconic mango drinks brands. Owned by Parle​ Agro, Frooti has been a household na​me since its launch in 1985. With its distinctive tetrapak pac​kaging and sweet mango flavor, Froo​ti revolutionized the Indian beverage market and created th​e fruit drink segment.

    As a market leader, Froot​i enjoys substantial brand equity and loyalty. However, the India​n beverage market is evolving rapidly​ with new competitors, flavors and innovations. Frooti nee​ds to reinvent itself through product inn​ovations, impactful campaigns, improved distribution an​d ​pricing strategies. This blog post ​aims to analyze Frooti’s marketing mix and formulate a c​omprehensive marketing strategy to hel​p Frooti maintain and grow its leadership positi​on.

    About Frooti 

    Frooti was launched in 19​85 in tetrapak packaging as India’s first mass-m​arket mango drink. With its distinctive packaging and ​sweet taste, Frooti became a runaway hit. The bra​nd name was inspired by the words “Fruits” and “Ju​icy.” Over the years, Frooti has become synonymo​us with mango drinks in India.

    Frooti is owned by Parle A​gro, the largest Indian beverage company. Parle Ag​ro also owns brands like Appy, LMN, Bailley and Sm​oodh. Frooti holds the largest market share (>50%) in​ the Rs. 1000 crore Indian mango drinks categ​ory as of 2022. Through impactful marketing campaig​ns over decades, Frooti has achieved an iconic brand status with solid brand equity across India​.

    What’s New with Frooti 

    While staying true to its original mango offering, Frooti has launched innovations and brand extensions:

    • Frooti Fizz – Carbo​nated mango drink
    • Frooti Fresh – Fresh, juicy mango chunks
    • Frooti XYZ – Blend​s of mango + additional fruit juices like apple, guava
    • Packaging innovations like PET bottles and juice boxes for on-the-go consumption

    Frooti faces increasing competition in the mango drinks space from brands like Slice (PepsiCo), Mazaa (Coca-Cola), and Paper Boat (Hector Beverages), among others. However, Frooti’s early mover advantage, substantial brand equity, and innovation pipeline keep it ahead of the curve.

    Also, Watch Our YouTube Shorts Video on: Day 4 – Frooti’s Unstoppable Marketing Strategy That Made Parle Biggest Beverage Leader in 2000’s

    Buyer Persona 

    Frooti’s primary buyer persona is youth and the young-at-heart between 14 and 30. They are mostly students or young working professionals from SEC A & B categories across urban and semi-urban India.

    Psychographically, Frooti buyers are:

    • Young & energetic
    • Fun-loving personalities who like to hang out with friends
    • Adventurous and tend to take risks or try new things
    • Creative and expressive about themselves
    • Fond of trendy clothes, gadgets, food and beverages
    • Active on social media platforms like Facebook, Instagram, etc.

    They tend to consume Frooti:

    • As a fun drink while chilling with friends
    • As a refreshing drink during summers
    • As an accompaniment during snacks or meals
    • As a trendy drink that projects their vibrant personality

    Marketing Mix Strategy 

    Frooti’s marketing mix can be analyzed using the 4Ps framework:

    Product Strategy 

    Frooti’s core product is mango drinks, which are in different packaging formats like tetra packs, PET bottles, etc. Its associated augmenting products include:

    • Frooti merchandise like shirts and accessories are given free on purchase of packs during the season
    • Celebrity-led ad campaigns that reinforce the brand imagery
    • Active digital & social media engagement on the latest internet trends, memes, etc.

    Regarding product quality, Frooti scores high on parameters like consistent mango taste, freshness ensured through processing innovation, and the absence of artificial colors or preservatives. Packaging innovations also offer functional benefits like easy on-the-go consumption, re-sealable caps for unused portions, etc., while prominently projecting the brand image.

    In the future, Frooti can further innovate by:

    • Launching Frooti in different flavors like strawberry, litchi, etc., apart from mango
    • It is tapping into adjacent categories like mango juices, fruit smoothies, fruit-based ice lollies, etc. This helps lock consumers into the Frooti brand world.
    • Experimenting with international flavors like citrus blends, exotic fruits, etc., to cater to evolving tastes
    • Adding health-oriented ingredients like aloe vera, functional nutrients, probiotics, etc., considering rising health consciousness

    Price Strategy 

    With price points between Rs. 10-25 per pack, Frooti mainly competes in the popular price segments as a mass-market brand while positioning itself above economy players. Being a pioneer brand allows Frooti to command a minor price premium vis-a-vis competition. Its pricing strategy balances three key aspects:

    1. Acceptability: Ensuring pack sizes and price points that seem affordable and within reach to the middle class and young demographics. Introductory pricing is used for new product variants.
    2. Aspirational Perception: Priced slightly higher than basic drinks like Maaza, Slice, etc., to be seen as a premium offering reserved for special occasions.
    3. Profitability: Benchmarked to balance consumer price sensitivity and brand positioning goals with business profitability targets by keeping cost structure lean. Localized pricing in certain regions.

    There is still headroom for Frooti to stretch its pricing potential by 10-15% through the launch of SUPER PREMIUM variants like Frooti Gold, which are made with Ratnagiri Alphonso mangoes and packaged in glass bottles. This taps into gifting occasions around India’s Diwali and New Year festivals based on rising affluence. Premiumization helps shore up margins and boosts market development.

    Place/Distribution 

    As a mass-market brand, Frooti aims for widespread retail availability through:

    1. General Trade: Over one million independent grocers & convenience stores like Kirana shops, paan-beedi shops, etc., contribute 50% of sales.
    2. Modern Trade: Major retail chains like Big Bazaar, More, Star Bazaar, etc. Frooti also sells via their private labels.
    3. HoReCa: Hotels, restaurants and cafes. Especially youth hangout places and fast food chains.
    4. Institutions: Colleges, schools, corporate offices. Through direct distribution or via caterers.
    5. E-commerce: Online platforms like BigBasket, Amazon, Swiggy Instamart, etc. Home delivery.

    To access India’s growing cities and reach deeper distribution penetration in rural/semi-urban regions, Frooti channels investments behind:

    • Expanding distributor network
    • Adding more sub-stockist multi-level distribution models
    • Running promoter schemes to incentivize sales push across the supply chain
    • Launching outreach vans/carts/cycles for greater retail reach

    There is also scope for Frooti to tap foreign markets with a higher Indian diaspora to export its ‘Desi’ flavor abroad.

    Promotions 

    Frooti’s promotions mix focuses on the following:

    1. Advertising: Frooti runs highly memorable mass media campaigns centered around the mango season between March and May every year. Campaigns use slice-of-life themes blending the innocence of childhood memories, friendships, and light-hearted summer romance with vibrant tropical colors that capture youth audiences’ imagination. 
    2. Sales Promotion: Consumer promotions are used extensively to drive trial and purchase, especially in summer when the mango season peaks. Offers like ‘buy one get two free’ pack deals, price-off coupons on packs, free Frooti merchandise gifts like T-shirts on buying packs, scratch cards with assured freebies/discounts for next purchase, etc. 
    3. Digital Marketing: As youth audiences shift online, Frooti clocks high engagement, running campaigns on youth-centric platforms like Facebook, Instagram, YouTube, TikTok, gaming apps, OTT video streaming, etc.

    Frooti Competitor Analysis

    Frooti has dominated India’s mango drink segment with its distinctive packaging and sweet mango taste since 1985. However, the growth of the overall beverage market has attracted significant competitors to the fray.

    Slice by PepsiCo 

    The mango-flavored soft drink Slice was launched by PepsiCo in 1993 to take on Frooti head-on. With Pepsi’s distribution muscle, Slice has achieved significant inroads aided by innovative variants like Slice Tropicana. However, Frooti still leads in pure mango flavor perception.

    Mazaa by Coca-Cola 

    Coca-Cola entered the mango drink war in 2009 by launching Mazaa to leverage the seasonal opportunity. Backed by the substantial brand equity of Coca-Cola in India, Mazaa has quickly garnered market share through the variants Mazaa Mango Fiesta, Mazaa Aam Panna, etc., which are targeted at various consumption occasions.

    Unique elements in Frooti’s Marketing Strategy

    There are a few exciting tactics that made Frooti the Indian beverage giant, and these are as follows:

    Projecting Health Quotient 

    What gives Frooti a unique right to win is projecting itself as a healthy, natural mango drink made from honest Alphonso and Chausa mangoes. Compared to synthetic flavors used by many competitors, Frooti has leveraged pure fruit extracts as a critical differentiator to gain consumer trust. Communication has focused on the goodness of fruits and the absence of artificial colors or preservatives to capture health-conscious audiences.

    Youthful Brand Personality 

    Frooti has historically invested in building a vibrant and trendy brand personality that resonates with the youth who form its core target segment. By associating with celebrities and internet influencers as brand ambassadors, Frooti keeps reinventing its youth appeal with each successive generation while maintaining mainstream acceptance, cutting across demographics.

    Wrapping up

    With substantial brand equity, innovative products, and impactful communications tailored to Indian consumers, Frooti has maintained market leadership over decades. By continuing to evolve its marketing mix amidst competition, Frooti is poised to delight generations of consumers in the future through its refreshing mango drink offerings.

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