Patanjali introduction and marketing about their products and how they became one of the major FMCG companies in India.

1. PATANJALI
PREPARED BY-
Milind Hali-141

2. PATANJALI
 FMCG company
 Established in 2006
 Manufacturing unit and
headquarters in Haridwar
 Acharya Balkrishna:94% Stake
 Sarwan and Sunita Poddar:6%

3. PATANJALI vis- a -vis COMPETITORS
Patanjali is leading over its competitors due to following reasons:
• INNOVATION
• PRICING
• BRAND MARKETING
• REVENUE MARKET SHARE
•
•
The top six Patanjali competitors are: DABUR INDIA, PROCTER AND
GAMBLER, MARICO, NESTLE LTD., HUL(HINDUSTAN UNILEVER LTD),
HIMALAYA HERBAL HEALTHCARE.
USES ONLY AYURVEDIC BASES TO PRODUCE SWADESHI
PRODUCTS
CREATING SELF RELIANCE IN INDIA

4. GROWING TURNOVER OF PATANJALI IN
INDIA:
 IN FINANCIAL YEAR 2014, REVENUE OF PATANJALI WAS 1200 CR.
 IN FINANCIAL YEAR 2015, REVENUE OF PATANJALI WAS 1500 CR.
 IN FINANCIAL YEAR 2016 ,REVENUE OF PATANJALI WAS 5000 CR.
 IN FINANCIAL YEAR 2017, REVENUE OF PATANJALI WAS 10000 CR.
 IN FINANCIAL YEAR 2018 , REVENUE OF PATANJALI FALLS BY 10%
TO RS 8135 CR.

5. PATANJALI & INDIAN FMCG DYNAMICS
Patanjali was formed in 1997 as a small pharmacy called ‘Divya
Pharmacy’ in Haridwar , India, by Ramdev and his collaborator, ayurved
expert Acharya Balkrishna, to manufacture ayurvedic medicines. It was
later established as Patanjali Ayurved Limited in 2006.
• On 5 November 2016 announced to set up manufacturing plant
Patanjali Herbals and Mega Food park in Bilapara, Assam.
• 13th in the list of India's most trusted brands (The Brand Trust
Report) as of 2018, and ranks first in FMCG category.
• Started its FMCG expansion in form of dealership and distributorship
channels.

6. Patanjali’s reasons for success and key
takeaways:
• Low pricing and cost dynamics
• Focus on product quality
• Extensive sales and distribution network
• Hiring the right talent
• Baba as brand ambassador
• Product experimentation and innovation
• Cultural appeal

7. PATANJALI v/s COMPETITORS
PATANJALI
• Patanjali has carved a fresh
market for Ayurvedic products
• Patanjali, doubled its revenue
from Rs 5,000 crore in FY16 by
Rs 10,561 crore in FY17, 9.83%
rise in revenue by Rs 11,600
crore in FY18.
• leading over its competitors
due to innovation, pricing,
brand marketing
HINDUSTAN UNILEVER
LTD.
• HUL’s revenue stood at Rs 35,218
crore in FY18
• HUL share fell 80bps by 16.4% in
oral category
• HUL has carved out 15 teams for
each category with separate
targets in sales and innovations
• To counter Patanjali’s
ascendancy, relaunch of the
Ayush master brand in the mass
segment across categories like
toothpaste, face wash,
antidandruff neem shampoo

8. PATANJALI
• Patanjali Dant Kanti
toothpaste, grew share by
150 bps that is by 8.6%
COLGATE PALMOLIVE
• Colgate’s overall share fell 210 basis
points by 49.4%.
• Colgate launched the Cibaca
Vedshakti in 2016 & Colgate Neem
Active Salt

9. Reasons for failure
• Ignoring Competition
• Lack of innovation
• Lack of advertising
• Poor Management

10. LEARNINGS FROM SUCCESS OF
PATANJALI:-
• Cultural Mass Appeal:-
The products are marketed as historically and culturally
indigenous products. It advertises its products as being all-natural,
meaning they do not have any synthetic ingredients.
● Pricing Appeal:-
Patanjali priced its products at almost half the rate of comparable
products of other FMCG brands.
● Product Placement and Distribution:-
The company wants to open several stores in transport hubs such
as bus terminals and railway stations, particularly in smaller cities.

11. LEARNINGS FROM PATANJALI'S FAILURE
IN 2019:-
● Brand fatigue setting in due
to lack of renovation.
● Inability to crack general
trade distribution.
● Dilution of the ayurvedic
credentials on an excessive
extension.
● Strong competitive response
from large companies with their
own ayurvedic offerings.
● A sharp drop in advertising
spends.

12. Patanjali bid for Ruchi Soya
•Packaged foods maker Ruchi Soya, saddled with an overall debt
of close to Rs 12,000 crore
•At the end of 2017, the debt-laden company was referred to the
National Company Law Tribunal (NCLT) following petitions from
creditors Standard Chartered Bank and DBS Bank.
•In Aug- Sept’18 Adani Group submitted Lenders Approve Plan
•Patanjali moved NCLT against Adani Wilmar’s 6,000 CR takeover.
•In Jan 2019 Adani Wilmar Withdraws
•In March 2019 Patanjali makes revised bid of 4,350 CR
Patanjali will become 2nd biggest edible oil company with 14%
share

13. Dabur vs Patanjali: Veda wars
After surviving the Patanjali storm
in the cities, Dabur dons an
aggressive avatar to defend its
rural turf. It's a battle between
ayurveda based on science versus
healing hinged on faith

19. PATANJALI AND VENTURE FUNDING
 Patanjali is planning to lend some loan from UBS and IDFC
without giving any stock, any share and low rate of interest.
 LVMH(Louis Vuitton Moet Hennessy), which is in the process of
investing around Rs 5,000 crore investment in Indian rupees.
 Loans and funding which is been lend by Patanjali is for setting
plants in Greater Noida, Assam, Telangana, Chhattisgarh,
Andhra Pradesh, Nagpur, Haryana and Rajasthan. They are also
planning to cultivate aromatic and herbal plants in Arunachal
Pradesh.

20. Patanjali Jeans
•The $1.3b company is rolling out the
concept of swadesi jeans.
•Dubbed as sanskari jeans.
•Launched their clothing store in Netaji
Subhash Place as “Patanjali Paridhan”.
•The apparel sector will be the new
venture to dive.
•

21. • More women centric and culture centric
• Starting price of these jeans will be Rs.500
• Inspired from the Indian trends not western
• Textile portfolio would have around 3,000 products
including kids wear, yoga wear, sportswear, caps, shoes,
towels, bed sheets and accessories.

22. SOLAR PV PANEL
• A Solar PV Panel typically consists a number of
solar cells to provide the required output power
and voltage.
• Patanjali Renewable Solar PV Panels are one of the
best solar panels in India.
• made of 90% Indian raw materials to withstand
extreme weather conditions in different parts of
India.

23. SOLAR STREET LIGHT
• The Solar Street Light is a standalone solar energy
system comprising a pole, PV module, a battery
bank, and LEDs
• Patanjali Renewable Solar Street Light is also a part
of the MAKE IN INDIA initiative to help the rural
population get easy access to street light during
night time.
• As on date, we’re one of the most reliable Solar
Street Light manufacturers in India.

24. Notable features of Patanjali
Renewable Solar Street Light:
• Innovative and robust design
• Highly reliable
• Excellent efficiency
• Compact and easy to install
• Maintenance free
• Battery can be charged even on cloudy days
• Remote monitoring unit
• Panel adjustment based on location
• Available in integrated and semi-integrated
design

25. Food park
• Policy : 2008 was the date when proposal was benched
• The park : Sh. Akhilesh yadav laid the foundation stone
• 6000 cr was the costing of the park
• Constructed in 455 acre (430 acre for industrial use and 25 acre for
institutional purposes)
• Expected production of goods will be of worth Rs. 25000cr
• The dispute came up because of the clearance from state govt.
• Main dispute was because of the naming issue for ‘Patanjali foods’.
• June 20 2018 the Yogi govt approved the project under the name of
Patanjali foods and allotted extra 95 acres.

26. Conclusion
•Since people have high expectations from them now. If their goal is
very high then they Should focus on Quality of products.
•Baba Ramdev promised that they maintain the utmost level of quality
in their manufacturing plants. So, in order to succeed, Patanjali should
ensure to maintain (if not improve) the same level of quality in future as
well.
• If they will fail then this whole empire will prove to be a water bubble,
with this being a temporary phase for Patanjali and strong players
eventually coming up with strategies to recapture the lost market share.
•Patanjali should invest in research and innovation to delighSt their
customer base with unique choices. They should also ensure that their
product will available everywhere without any hassle.