September 24, 2011<br />1<br />During the first millennium AD, merchants referred<br />to India as the Bird of Gold, due t...
Godrej AADHAR<br />SUBMITTED TO :-                                                                          	 SUBMITTED BY...
SNAPSHOT<br />Established in 1897, Its founder, Ardeshir Godrej<br />Godrej Group Companies:<br />Godrej & Boyce Mfg. Co. ...
Godrej AADHAR<br />FORMAT OF GODREJ ADHAR<br /> FMCG products, fertilizers, animal feed, etc. Services like banking, insur...
Some facts about agricultural retail<br />India’s large consumer base along with export potential and reforms in agricultu...
Facts about Agricultural retail<br />FieldFresh, planning to become India's first large-scale exporter of produce, will an...
Factors that lead to rural market boom <br /><ul><li> 72% of All India consumers live in the Rural areas (Source - Census ...
 Rural growth outpacing urban growth i.e. Rural markets are growing 5-12% higher than urban market (the trend to continue)...
 Massive increase in budgetary allocations (2009-10 budget)
 Huge waivers for farmers (to benefit rural economy)
 Strengthening Rural Employment Guarantee scheme (hiked the allocation for the National Rural Employment Guarantee Act (NR...
 Rural – Huge market with untapped potential (Source – NCAER)</li></li></ul><li>Factors that lead to rural market boom <br...
 Increase in literacy and educational level and resultant inclination to sophisticated lives by the rural folks.<br />Infl...
REGULATION & POLICIES IN RURALAREASREGULATIONS AND POLICIES  IN RURAL RETAIL <br /> 1. Essential commodity act: The fertil...
CONTD…<br />4 Non Agricultural Use Clearance--<br />5. Under PN4/2006   --100% FDI is allowed through the automatic route ...
OTHER PROJECTS<br />Focused channel programs by FMCG players to address the needs of the channel<br />HUL – “Project Shakt...
Godrej Aadhaar - Khushiyon Ka, Khushhali Ka'<br />Godrej Aadhaar is the India’s first agri service cum rural retail ventur...
Godrej Aadhaar - Khushiyon Ka, Khushhali Ka<br />These centers provide valuable technical guidance, soil & water testing s...
Collaborations <br />2006<br />2007<br />2008<br />
SERVICES PROVIDED BY AADHAR <br /> <br />Soil & water testing.<br /> <br />Selling branded Org. & Inorganic Chemical Ferti...
Product mix<br />BASIC FOOD<br />GROCERY<br />APPAREL<br />FOOTWEAR TO FURNITURE<br />KITCHENWARE <br />HOME APPLIANCES<br...
Aadhaar’s Structure<br /> <br />Store In-Charge (S I)<br /> <br /> Technical Service In charge (T S I)<br /> <br /> Field ...
Working model <br />It is a complete solution provider for the Indian farmers and provides professional guidance with an o...
Future planning <br />It is planning to set up at least 1,000 stores across rural India in the next five years.<br />The c...
OPERATIONS<br />24 outlets in eight rural locations across the country and each outlet services 20  villages in its vicini...
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  1. 1. September 24, 2011<br />1<br />During the first millennium AD, merchants referred<br />to India as the Bird of Gold, due to the glittering<br />dynamism of its market. Over the next few years, the<br />Bird of Gold is poised to take flight once again with RURAL development<br />
  2. 2. Godrej AADHAR<br />SUBMITTED TO :- SUBMITTED BY :-<br />PROF. PRSHANT GUPTA SHAILESH PATEL<br />
  3. 3. SNAPSHOT<br />Established in 1897, Its founder, Ardeshir Godrej<br />Godrej Group Companies:<br />Godrej & Boyce Mfg. Co. Lt<br />Godrej Consumer Products Ltd (GCPL)<br />Godrej Industries Ltd<br />Geometric Software Solutions<br />Godrej Infotech<br />Godrej Agrovet<br />Godrej Sara Lee<br />Godrej Efacec<br />Godrej Properties and Investments Limited (G.P.I.L)<br />
  4. 4. Godrej AADHAR<br />FORMAT OF GODREJ ADHAR<br /> FMCG products, fertilizers, animal feed, etc. Services like banking, insurance, pharmacy, postal services and petrol pumps<br />September 24, 2011<br />4<br />
  5. 5. Some facts about agricultural retail<br />India’s large consumer base along with export potential and reforms in agriculture (such as opening up of many agriculture sectors for 100 per cent FDI, allowing farmers to sell their produce directly to buyers) have attracted a large number of corporate into the agricultural retail segment. <br />For its e-Choupal scheme, ITC built internet kiosks in villages to provide farmers access to latest information on weather, market prices and foods in demand among other things. <br />With a US$ 5.6 billion, multi-year investment in agriculture and retail, Reliance Retail will establish links with farms on several thousand acres in Punjab, West Bengal and Maharashtra. <br />
  6. 6. Facts about Agricultural retail<br />FieldFresh, planning to become India's first large-scale exporter of produce, will annually pay farmers over US$ 30,000 to lease land for vegetables, to hire tractors and to pay their workers. <br />PepsiCo, with agriculture exports worth US$ 40 million, has launched a five-year program with the Punjab Government to provide several hundred farmers with four million sweet-orange trees for its Tropicana juices by 2008. It has also introduced farmers to high-yielding basmati rice, mangoes, potatoes, chilies, peanuts and barley for its Frito-Lay snacks. <br />Fresh@, a food and grocery retail initiative of Heritage Foods (India) Ltd, is in the process of developing a 5,000-acre cluster farming complex to feed the retail network that will have 100 stores in the next few months. <br />
  7. 7. Factors that lead to rural market boom <br /><ul><li> 72% of All India consumers live in the Rural areas (Source - Census of India – 2001)
  8. 8. Rural growth outpacing urban growth i.e. Rural markets are growing 5-12% higher than urban market (the trend to continue) – (Source – NCAER)
  9. 9. Massive increase in budgetary allocations (2009-10 budget)
  10. 10. Huge waivers for farmers (to benefit rural economy)
  11. 11. Strengthening Rural Employment Guarantee scheme (hiked the allocation for the National Rural Employment Guarantee Act (NREGA) to US$ 8.03 billion, giving a further boost to the rural economy)
  12. 12. Rural – Huge market with untapped potential (Source – NCAER)</li></li></ul><li>Factors that lead to rural market boom <br />The Rs 140,000 crore rural retail market is expected to cross Rs 180,000 crore mark by 2010, And up to Rs 240, 000 crore by 2015 (CII).<br /> A marked increase in the rural income due to agrarian prosperity.<br />Standard of living is also increasing in rural areas.<br />Consumer market grew 25 per cent in 2008, is expected to reach US$ 425 billion in 2010-11 with 720-790 million customers, according to a white paper prepared by Confederation of Indian Industries (CII)<br />Large inflow of investment for rural development programmes from government and other sources.<br /> Increased contact of rural people with their urban counterparts due to development of transport and wide communication network.<br />
  13. 13. Increase in literacy and educational level and resultant inclination to sophisticated lives by the rural folks.<br />Inflow of foreign remittances and foreign made goods into rural areas.<br />Change in the land tenure systems causing a structural change in the ownership patterns and consequent changes in the buying behavior.<br /> Rural markets are laggards in picking up new products. This will help the companies to phase their marketing efforts. This will also help to sell inventories of products out dated in urban markets.<br />Factors that lead to rural market boom <br />
  14. 14. REGULATION & POLICIES IN RURALAREASREGULATIONS AND POLICIES IN RURAL RETAIL <br /> 1. Essential commodity act: The fertilizer industry is centrally regulated by the government through an administered pricing mechanism & sales allocation under Essential Commodities Act (ECA). In the year 2002-03, the government announced a long term Pricing policy for urea.<br />2. Indian Land Acquisition Act 1894<br />3. Agricultural Produce (Grading & Marking) ACT, 1937 <br />(ACT No. 1 of 1937)(as amended up to 1986)<br />September 24, 2011<br />10<br />
  15. 15. CONTD…<br />4 Non Agricultural Use Clearance--<br />5. Under PN4/2006 --100% FDI is allowed through the automatic route in -Floriculture, Horticulture, Development of Seeds, Animal Husbandry Pisciculture, aqua-culture, cultivation of vegetables, mushrooms, under controlled conditions and services related to agro and allied Sectors.<br />6. Intra state agricultural land taxes -- vary, prompting the current finance-minister to moot for a common GST (Goods and services tax) which would help in bringing all the various state taxes under a common fold including the agricultural income taxes levied individually state to state.<br />September 24, 2011<br />11<br />
  16. 16. OTHER PROJECTS<br />Focused channel programs by FMCG players to address the needs of the channel<br />HUL – “Project Shakti”<br />ITC – “E-Chaupal”<br />Coca-Cola – Project “Parivartan”<br />Tata Tea – Project “GaonChalo” <br />Dabur – ASTRA (Advanced Sales Training for Retail Ascendence)<br />Non-FMCG also targeting rural to drive growth<br />SBI – Project Tiny Account<br />Indian Postal department – Offering more services via its strong 150000 office strong network<br />
  17. 17. Godrej Aadhaar - Khushiyon Ka, Khushhali Ka'<br />Godrej Aadhaar is the India’s first agri service cum rural retail venture of Godrej Agrovet, an initiative started to strengthen its age old relations with the Indian farmers.<br />The first Godrej Aadhaar Centre was started in December 2003 in Manchar, Pune District. <br />Since then Godrej Aadhaar Centers have been set up across the country in the states of Maharashtra, Gujarat, Punjab, Haryana, Andhra Pradesh, Tamil Nadu, Orissa and West Bengal.<br />
  18. 18. Godrej Aadhaar - Khushiyon Ka, Khushhali Ka<br />These centers provide valuable technical guidance, soil & water testing services.<br />They also retail quality products of leading companies.<br /> Insurance Services.<br />Aadhaar centers also a facilitate credit to farmers and provide a platform to sell their produce. To farmers, it’s a complete solution under one roof.<br />
  19. 19. Collaborations <br />2006<br />2007<br />2008<br />
  20. 20. SERVICES PROVIDED BY AADHAR <br /> <br />Soil & water testing.<br /> <br />Selling branded Org. & Inorganic Chemical Fertilizers.<br /> <br />Provided Agricultural Library, Audio &video C.D.<br /> <br />Sell of Branded Seeds, Pesticides and Animal Feeds.<br /> <br />Provided Advanced Agri. Implements & Seedlings of Tomato & Cabbage.<br /> <br />
  21. 21. Product mix<br />BASIC FOOD<br />GROCERY<br />APPAREL<br />FOOTWEAR TO FURNITURE<br />KITCHENWARE <br />HOME APPLIANCES<br />VALUE-ADDED SERVICES INCLUDING <br />BANKING,<br />POSTAL SERVICES<br />PHARMACY <br />
  22. 22. Aadhaar’s Structure<br /> <br />Store In-Charge (S I)<br /> <br /> Technical Service In charge (T S I)<br /> <br /> Field Service Assistance (F S A)<br /> <br />Farmer (Target Customer)<br />  <br />Store in charge <br />Technical in charge ( TSI)<br />Field service assistance <br />Farmer target customer <br />
  23. 23. Working model <br />It is a complete solution provider for the Indian farmers and provides professional guidance with an objective to improve productivity, higher returns and improved cost benefit ratio. <br />Each Aadhar outlet services around 20 villages in its radius. <br />Every Aadhar has a team of qualified Agronomists who interacts with farmers on a daily basis and travels to the villages in the interior to educate them on farm practices. <br />They ask and advice the farmer on the site and help them for better productivity.<br />
  24. 24. Future planning <br />It is planning to set up at least 1,000 stores across rural India in the next five years.<br />The company will invest an estimated Rs 750 crore to roll out the retail venture across the country and is in the process of roping in corporate to partner in the venture.<br />The mini petrol pumps for diesel supply<br />Godrej Aadhar, the rural services and retail initiative of Godrej Agro vet Ltd, has signed an agreement with Apollo Pharmacy to offer medicine support across Godrej Aadhar outlets in rural India.<br />The agreement includes setting up of Apollo Pharmacies at Aadhar outlets called Apollo Aadhar Pharmacy, offering `genuine' medicines and life saving drugs.<br />
  25. 25. OPERATIONS<br />24 outlets in eight rural locations across the country and each outlet services 20 villages in its vicinity<br /><ul><li>Godrej Aadhar has already forged JVs with Apollo Pharmacy, Tata Agrico, Bajaj Allianz Life Insurance and HPCL for value added services at the outlets.
  26. 26. The company plans to set up more than 1,000 stores by 2010.</li></ul>September 24, 2011<br />21<br />
  27. 27. Challenges faced <br />Large and Scattered market<br />Major income from agriculture<br />Low standard of living<br />Traditional Outlook<br />Diverse socio-economic backwardness<br />Infrastructure Facilities<br />Lack of Proper Physical Communication<br />Facilities<br />Many Languages and Dialects<br />Dispersed Market<br />Low Per Capita Income<br />Low Levels of Literacy<br />Prevalence of spurious brands and seasonal<br />Demand<br />Different way of thinking<br />
  28. 28. LEARNING<br />A huge untapped market is available.<br />Have to work more on communication.<br />It can seen that aadhar retail Getting good response from farmers.<br /> <br />Aadhar retail provides agriculture and non agriculture product in one roof.<br /> <br />Availability of product is less than rural competitor.<br /> <br />Aadhar having great scope to capture maximum market in rural retail sector.<br /> <br />
  29. 29. LEARNING<br />Increase product availability, Wide range of product availability can increase the customer interest.<br /> <br />Increase marketing channel and advertising.<br /> <br />Promotion and campaigns to attract customers.<br />Building loyalty by identifying regular farmers and offering benefit to them.<br />Monitoring customer needs constantly<br />Factors that have a impact on rural market.<br />Though having many advantages in favor of Aadhar it has to work hard for increasing the coverage to have an upper hand over the competitors.<br />
  30. 30. Impact of Entrepreneurial Initiativeson Rural India<br /><ul><li>Farmers get agri-inputs at competitive rates and have range of products to choose from
  31. 31. Increasing rural bank aid (loans) helps improve the purchasing capability of farmers
  32. 32. Farmers avail of the services of agronomists to improve their farming practices, thereby impacting on their final produce
  33. 33. Farmers get a better price for their products and avoid middlemen</li></ul>September 24, 2011<br />25<br />

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