Aqua Blue - Market position in Small Water Bottle Brand - 200ml Water Bottle

The case discussed below is about the best brand in India of mineral water 200ml Water Bottle that is Aqua Blue, the company as many of us know is the best in its field which is small bottle water brand and leading in save plastic sagment. The discussion below is about the actual market position of the company using the SWOT, Porter's five forces and the PESTEL framework which analyzes the actual position of the company in the industry as well as the market and society.


Contents

INTRODUCTION:
Water is one of the basic necessities for human life to survive on this planet & today getting pure water is not an easy task with so much harmful chemical being disposed into the water by various industries is making the water harmful for drinking. 71% of the earth is made of water out of which only 1% of water can be used by living beings. Among this 1% of water 60% of water is polluted. (Upadhyay, 2017)

According to the Bureau of Indian Standards there are 2,500 bottled water factories all over India (of which 600 are in one state -- Tamil Nadu). Over 150 brands are vying for the Rs. 6,000-crore (Rs. 60 billion) bottled water market and are hard selling their products in every way possible -- better margins to dealers, aggressive advertising, catchy taglines.... In such a scenario, The Strategist takes a look at how it all started -- with Aqua Blue a market out of pure water bottle.

This is an SWOT analysis report of one of the premium, recognized & trusted brand in the Indian bottled water market named Oasis Bottling. This is enjoying the huge share in the market in bulk segment in small packs.

Aqua Blue set up a plant in Surat, Gujarat for bottling and marketing actual mineral water, which did not quite work. By 2006, Aqua Blue wanted to exit the business and to help him out the Chauhan's bought the brand, intending to turn it into a Best Small Water Bottle Brand.

Since then it has come a long way. Now, it owns a large percentage of shares in the Indian market and also it has its presence in International Water Market.

Tag line of Aqua Blue:

"WATER Is EVERYWHERE
DRINK PURE LIVE MORE"
SWOT ANALYSIS ON Aqua Blue:
STRENGTHS
1. QUALITY STANDARD: Every bottle of Aqua Blue is put through a rigorous Multi stage purification processes which includes micron filtration and i-onization. It acquires 6 stages of purification processes which ensure quality water which is pure and safe for drinking purpose. Good manufacturing are the strength all the time processing in religiously monitored at every stage.

2. TRUST FOR BRAND:-
More than 1 million people trust the Aqua Blue. They buy only Aqua Blue 200ml Water because it has became generic name for mineral water with it's Good Look and afordabel price. For example: - When people find small mineral water bottle for use in Function, Part Office and many More Events, and ask for Aqua Blue for Purity with Best test and Best Look, with best price. even though they get other brand. Aqua Blue is Top Mineral Water Brand in Small Bottle Sagment.

3. LARGE RANGE OF PRODUCTS:-
Aqua Blue offers a large range of products which attracts consumer of all categories. For example: - 500 ml or 200 ml pack is useful for individual buyers, 20 liters is useful for organization. Therefore it attracts large number of customer.

4. MARKETING:-
Aqua Blue is promoted by an aggressive print & Online. Online is backed by a Hoarding & point - of - sale material. Every interface with customer is used as an opportunity to reinforce. For example: - All vehicles used for supply have been painted in light Pink, bears the Aqua Blue logo & sport catchy baseline likes "drink and drive".

5. DISTRIBUTION SYSTEM.
With little belief in the distributor system, the company leverage its large fleet of truck to supply bottled water directly to retailers through a system called 'Route Selling' where the driver of truck is trained to be a service person. This ensures that water supplied is fresh and bottles are in good shape. Aqua Blue has more than 1,000 outlets in Gujarat and Maharastra.

6. BULK - SEGMENT IS USEFUL FOR HOUSEHOLDS ALSO:-
Households in certain parts of the country spend a huge amount of money on fuel in order to purify the water. They are supposed to buy the impure water and then they have to spend money to purify it. For instance the water scarce south people spend large some of money to buy water and still more to purify it. The 20 liter product is hit in various cities of south.

7. GROWING POPULARITY:-
The popularity of Aqua Blue is increasing rapidly day by day. People in the market when it comes to mineral water a person goes to any shop and asks for Aqua Blue as his/her first preference. Aqua Blue is seeing a growth of almost 50% per year. With the small pack being popular among individuals user its bulk pack is also generating the huge demand which is capturing the market for Aqua Blue. Today 60-70 % of total income of Aqua Blue comes from its bulk segment and the company is planning to increase it up to 80%.

WEAKNESS
1. METHOD ADOPTED FOR DISTRIBUTION:-
THE 'ROUTESELLING' policy adopted by Aqua Blue for distribution is more expensive than more commonly followed method of appointing distributors in different towns. This reduces the profit of company. The dealer margin is reduced due to this .therefore not many dealer keeps Aqua Blue in many areas. Indirectly this is reducing the coverage of Aqua Blue.

2. REUSE OF BOTTLE BY LOCAL SELLERS AND ILLEGAL MANUFACTURERS:-
Market research conducted by Aqua Blue revealed that the other overriding concern for this set of buyers is the tampering of seal and the reuse of bottles. Many have witnessed used bottles being refilled at railway stations. This deteriorates the brand image of Aqua Blue.

For example: - local sellers fill the bottle of Aqua Blue with impure water and the bottles are purchased by illiterate customers as Aqua Blue water but they buy water of low quality. In this way brand of Aqua Blue gets affected.

OPPORTUNITY
1. FAST GROWING FIELD:-
The best beverage for India in the new millennium seems to be water. In recent years, the bottled drinking water market has been witnessing high decibel level of activity, with a host of new entrants. The bottled water market which worth Rs. 6000 crore is expected to be Rs. 9,000 crore by 2020. This will increase a lot of scope for bottled water market.

2. LAUNCH OF PREMIUM PACK:-
The company also has its premium product range. This is prepared keeping 5-star hotels and other premium customer. This pack will be sold at Rs. 20 per liter. This will give a tough competition to the EVIAN, the biggest player in the premium water range which sells its 1 liter water at a hefty of Rs.85 per liter.

3. INCREASE IN PRODUCTION:-
Aqua Blue is eyeing the Market and is in the process of increasing the production by setting 2 new plants . This will increase the production capacity of the company.

THREATS
MARKET IS EYED BY THE BIG PLAYERS:-
The growth of the market indicates the need for the mineral water. Due to this the heavy weights are eyeing the market. Bisleri, Coke, Pepsi, Britannia, Nestle, Auswater-is keen on raising their stakes in this market. With the cut throat competition between Bisleri, Coke and Pepsi, Aqua Blue is not safe.

ENTERING OF NEW PLAYERS:-
To get some share in the market many new players are entering in the market. Among them major names are Godrej, which is launching its product AQUA-PURE and Tata-Tea is looking forward to bring Himalayan, this will increase the competition. Also Britannia which is distributing EVIAN is planning to launch its own brand. There are also new entrants ATCO with BRILLIANT water, DS FOODS with CATCH are also coming. Even Hindustan lever is planning to enter into the market. This is giving a tough competition to the current water brands including Aqua Blue.

WATER FILTER MANUFACTURERS:-
Aqua Blue is not only getting competition from mineral water maker but is also facing a tough competition from various water filter manufacturers such as Eureka Forbes (Aqua guard). They have been marketing there purifiers in the market which has decreased the sales of bottled water supply to homely customers.

ILLEGAL MANUFACTURERS:-
Company is facing a tough competition from illegal manufacturers in the rural areas. The illegal manufacturers provide water at a very cheaper rate then the branded manufacturers. There are 1000's of illegal manufacturers which are providing the water at a very cheaper rate. This is a serious problem for branded manufacturers. This companies also use the fake name of branded bottled water i.e. Aqua Blue and supply their products in the market.

CONCLUSION
With this SWOT analysis we have derived the conclusion that:

The base of Aqua Blue water is strong in the Indian market. Its managing director is one of the biggest achiever in the packed water bottled market; it is found that its weakness lies in the production. The company was in trouble because of its production related techniques; The Company has a lot of opportunity which can be exploited in the future which will give the company a profit, proper utilization of opportunities will be a key to survive in the market, But with more and more competitors entering the market, there are also various threat to company. One wrong step can lead to a white-wash of company from the market in the future.

http://www.aqua-blue.in/aqua-blue-200ml-mineral-water-bottle


Contact Details

Company Name: Aqua Blue 200ml Mineral Water Bottle
Issued By: Ranjeet Roy
Phone: 09714131115
Address: 86,87 Balagi industrial Est. Sayan
City: Surat
State: Gujarat
Zip: 394130
Country: India
Website: Visit the website

Keywords : Aqua Blue, 200ml Mineral Water Bottle, Bottled Water, Aqua Blue Water, Mineral Water,

by Ranjeet Roy (few years ago!)

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