Parle shops for the premium buyer

With an expanded range and Twinkle Khanna as ambassador, the mass market player rallies behind its premium Platina brand

Ayear since Parle Products, the Mumbaiheadquartered octogenarian biscuits and confectionary brand, grouped its premium products under a single label, Platina, it is adding a layer of gloss to its premiumisation efforts. With Twinkle Khanna as endorser and a larger premium portfolio, the company is looking to connect with new customers and beat the slowing growth in the mass segment. The mass market brand that will turn 90 next year is looking to build its identity beyond its best-selling biscuit, the Parle-G Glucose. The company is playing for a larger slice of the ~20-billion-odd super premium biscuit business and says it wants to push the contribution of its Platina range from 15 per cent of the company's overall revenue to around 25 per cent. To do that Parle is putting more energy into the brand, both in terms of the products under the label and the communication with customers. However, as it does that, it is up against a behavioural change among customers, especially the premium category. According to a string of customer surveys, healthy living is on the rise and cookies and packaged snacks are seen more as occasional indulgent experiences. Parle Products Category Head Mayank Shah said that the biscuit category is estimated to be around ~300 billion and 2.7 milllion tonnes per annum. It is broadly split into four categories based on price; the value segment of up to ~100 a kg, mid segment of ~100-170 a kg, premium around ~175-250 a kg and super premium of around~250 per kg and above. Platina is aimed at the super premium range that is seeing a lot of action, said Shah. The premium range includes Hide & Seek, Milano, Mexitos and Simply Good. “These brands are very different from the mother brand, Parle, more futuristic and aspirational,” said Shah. "Hence, we wanted to create a distinct identity for these brands, and hence Parle Platina came about," h e added. The company has added to the range under the Milano biscuits with new flavours, mixed berries and hazelnut filled cookies, and has signed on Twinkle Khanna to widen its appeal. Khanna is among the popular digital personalities today, using her celebrity status to take a strong stand on social issues. With five million followers on Twitter (her handle is MrsFunnybones) a blog with a leading national daily and as author of a few best-sellers, Khanna has set herself apart from her actor parents and husband and is seen as someone who speaks her mind, has a sharp sense of humour and is not afraid to take a controversial stand. Parle says that its communication and brand image for Platina is built around such a personality. The television commercials have been filmed with a quirky undertone and drive home the message that one can never be too diet-conscious, it is good to indulge a little in a delicious Milano cookie, said Shah. This a narrative that the company hopes will appeal to the ‘trendsetter’ segments (age between 15 and 40). The look, taste and advertising is designed for people who travel a lot, are keen on experiences and like to indulge themselves with new tastes, formats and innovative products, he added. Parle Platina that currently contributes about 15 per cent to company's overall revenue of over ~100 billion is expected to account for 25 per cent in next one year. The company sees a swelling in the ranks of affluent Indians that would help accelerate its premium run. However, the challenge will be to lure the brand’s mass market followers into the premium category and to convince premium buyers to look beyond the brand’s popular credentials. Both ask for a leap of faith from consumers and hefty marketing spends from the brand. Shah sees distribution playing a significant role here too. The company is ramping up the direct distribution of the Parle Platina product range to about two million outlets from the current 1.4 million outlets he said. The focus is modern trade in urban India, where the population is one million plus. Given this focus, the choice of Khanna was nearly universal he said. “The brand has to be placed in as many places as possible (distribution) and presented (packaged) and communicated (different kind of humour, not a regular celebrity) differently,” he added. Khanna not only lets the brand use a tone that is different from the wholesome goodness or fun and play that most biscuit/cookie ads use, she also opens up the digital channels for the brand. And this is where Parle wants to focus its future marketing spending. Digital has been on the radar for a while now for the company that started out in 1929 as a small confectionary maker with a team of 12 people. Founded by Mohanlal Dayal, the company managed to break open the Indian urban and subsequently, rural markets with its trademark glucose biscuits whose identity even today is linked very closely to the little girl mascot on its packaging. For Platina, the company has to reimagine the brand. With Khanna as its face, it is hoping to do that and at the same time, crack open the online channels to get the chatter going on social media platforms.

"These (Platina) brands are very different from the mother brand, Parle, more futuristic and aspirational” MAYANK SHAH Category head, Parle Products