Product-Mix & Product line analysis of United Phosphorus Ltd..

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Here herbicide product line analysis of UPL has been done to find out the line decisions of the company and accordingly suggestions have been given on line stretching, line filling and line modernization. Since price-list and sales figures are not available, so line pruning decision has not been done.

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Product-Mix & Product line analysis of United Phosphorus Ltd..

  1. 1. Product-Mix & Product Line Analysis (United Phosphorus Limited) COURSE:Agri-Input Marketing(PGDM2011-13), Indian Institute of Plantation Management,Bangalore Presented by- Bidhu Bhushan Binit(11PGDM08)
  2. 2. UPL- a brief introduction UPL is the largest manufacturer of agrochemicals in India. It offers a wide range of products that includes Insecticides, Fungicides, Herbicides, Fumigants, PGR ,Rodenticides and Industrial & Specialty Chemicals. UPL, Advanta and UEL, the three companies in the group, are listed on the Indian stock exchange, with a combined market capitalization of approx $2.5 billion. It operate in every continent and have a customer base in 123 countries with own subsidiary offices. It ranks amongst the top 5 post patent agrochemical industries in the world.
  3. 3. Product-Mix Aceta CyruxFungicide Insecticide Herbicid Industrial s e Doom chemicalsRampart Fego WP/YP Jhatka Rodenticide PGR RPConquer Guru Aishwarya PCL3 SAAF Metsy Josh Ratol Granules PCL5 TMP Samar Sathi Kardon4G & Lancer Unilax SF-10 24 More items & Uthane Sweep 10 more Uniquat items Produt-mix width
  4. 4. Four dimensions of UPL’s product-mix1. Length: 61 Average length = total length / no of lines = 61/6 =10.12. Width Its product mix width is of six product lines.3. Depth Since products under Industrial and specialty chemical line are offered according to the need of customer, means customization is there. So, we can’t exactly calculate the depth of products of this line particularly. Total no of products (except Indus.& Speciality Chemicals) = 33 Total number of Variants = 97 So, Average depth of Product-mix(excluding Industrial&specialty Chemicals) = 2.94. Consistency UPL’s product lines except Indus. & Specialty Chemicals, are consistent in two ways- End consumer of these product lines is same i.e. farmer. Distribution channel is same for these product lines.
  5. 5. Target Customer of each Product lineSeria Product line Target Profilel no customer Crop Country/importer1 Fungicides Farmer Maize,bajra,paddy,tobacco,mango,grape ,vegetables2 Herbicides Farmer Paddy,Wheat,Tea,Coffee,Rubber,Sugarc ane3 Insecticides Farmer Cotton,paddy,soyabean,sugarcane,sunfl ower,pulses, Vegetables4 Rodenticides Farmer Paddy,Wheat,maize5 PGR Farmer Paddy,veg.,Tea,cardem6 Industrial & Agro-Chemical Mostly importers of more than Specialty Chemicals product manufac. 100 Countries.
  6. 6. Core, Tangible and Augmented product ofUPL’s offerings(Herbicide product line) expected Augmented No augmentation offered Tangible >various size and volume > Different categories Core Destruction of unwanted weeds
  7. 7. Scope for improvement in Augmentation Number of players is increasing and farmers have more choices. Definitely UPL has to think over it. It must bring augmentation in its products. If we talk about herbicides, company can offer free farm visits by experts to give technical assistance.
  8. 8. Brand Building UPL (in India) is far below than other big players of industry in sales and revenue. Its market share is very low, somewhere between 1 to 2 per cent. It needs to make efforts on brand building, both product brand building and corporate brand building:• UPL also deals in Industrial chemicals( B2B) from which it gains a large revenue. In this segment, corporate branding matters and it has built it successfully. Company needs to use this expertise in B2C( in first five product lines).• Since, pesticide products still having longer life cycle than other input products, UPL needs to focus on product branding. Its product brands are not much familiar amongst farmers. Many products are named according to their formulation which sounds technical like UNIQUAT,SF-10, METSY, UTHANE and many more. It should be changed to catchy ones.
  9. 9. Product line analysis(herbicides) Product map for herbicide product line(used for Rice) S Non- S selectiv e U B selectiv S B e Pre- Post-emergence emergence B=Bayercrop, S=Syngenta,U=UPL.
  10. 10. Suggestions1. Lengthening the existing herbicide product line by line filling: For rice, company is not offering any product in selective post emergence and non selective post emergence categories where major players are offering. Attack on these two particular categories will increase UPL’s market share. For plantation crops, UPL should fill the line by introducing herbicides in selective post emergence and in selective pre emergence.2. Line Stretching of herbicide product line Introduce herbicide products for vegetables and Soyabean.3. Customer Awareness Programs Filling more products leads to confusion amongst customers. When it comes to farmers, it becomes more challenging. The only method is intensive awareness programs to make them educate about noticeable differences between products.4. Line modernization for herbicide product line Common design of packaging/ labels etc so that farmers could recognize easily. Many products of the existing product line is named technically. It must be renamed which could sound attractive.
  11. 11. THANK YOU

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