Presentation On Marketing Of Asian Paints

1. Presented by-
Siddhartha Ghose
PGDM
PIBM
Roll No- DM17MA63
Final Sem- 2 Presentation

2. Sector Information
5%
5%
6
3
Organized
market
Unorganize
d market
Decorative
Paints
Industrial
Paints
75% 25%
India is the 2nd largest paint market in Asia
Size of paint sector is approx. $2 billion
Industry has grown at a CAGR of 12-13%.
Indian Paint Industry estimated at Rs. 170
Billion

3.  Increasing level of income and education
 Increasing Urbanization
 Increasing share of organized sector
 Development of the Realty, Automobile &
Infrastructure sector
 Development of the Automobile
 Development of the Infrastructure sector
 Availability of financing options
 Increasing Penetration in the Rural Markets
REASONS FOR GROWTH Contribution to the GDP
3.70%
96.30%
Paint Industry Others

4. Porter’s Five Forces
 Raw Material intensive industry
 Shortage of Titanium Dioxide pigment
 Customers are more price sensitive
 Alternative substitutes for decorative
walls is wallpaper
 Competition will keep on increasing
Threat of new
entrants: Low
Threat of rivalry:
High
Bargaining power
of customer:
Medium
Bargaining power
of supplier: Low
Threat of
Substitutes: Low

5. Paint Industry Process

6. Company Information
 Founded 1942, in Maharashtra (Mumbai) by four
friends Champaklal Choksey, Chimanlal Choksi,
Suryakant Dani and Arvind Vakil
 Asian Paint’s is the Asia's fourth largest paint
company.
 Asian paints involve in the manufacturing,
distribution & selling of paints, primer, home
decoratives, coating and bath related service
 It operates in India through 100+ depots and
34,000+ dealers.
LARGEST
Paint
company in
India
3rd LARGEST
Paint company
in the world
Brand present
in 65+
Countries
Forbes has
ranked “Best
under a billion
companies” in
Asia

7. 1942 Begin paint
manufacturing in a
garage in Mumbai
1945 Formation of
Asian Oil and Paint
Co. (India) Ltd.
1967 Market Leader
Emerges as India’s
leading paint company.
1973 Asian Paints becomes
Public Ltd company. 2002 Asian Paints was a
market leader of Indian
Decorative Paints.
2009 The research division was
recognized with the Gordon Award
for their work on Self-Cleaning Paints 2014 Achieved an all-time high
of 16 new products, the key one
being ‘UltimaProtek’.
2017 Asian Paints enters into
adhesives with its super
adhesive, TruGrip Ultra.
Company Snapshot

8.  The largest paint
company in Asia
 They have over 30% of
market share and are
clear leaders’ decorative
paints
 Asian paints has strong
international presence
with its four 4
subsidiaries
 They have maintained
their brand name and
increased awareness by
unique ways of
advertising
 Limited market share
in industrial paints
segment with Kansai
Nerolac and
Akzonobel giving stiff
competition.
 In decorative paints
Industry Customer
tastes and perceptions
change very fast and
products may become
obsolete with change
in trends
 Big an international
standard paint
company it should
look for more
opportunities abroad
 Needs to have more
focus on Automobile
industry in industrial
paints segment
 There is a good scope
for growth especially
in industrial paints
category
 Raw material scarcity
and volatlility in
prices.
 Stringent Government
rules and regulations
regarding the quality
of products and
manufacturing
facilities as
Environment policies
are given more
emphasis

9. Product offered
Ancillaries
Primer
Wall Putty
Redoxide oil Primer (Rust
protector)
Thinner Melamyne
Brushing
Wood Stains
Floor color
Wood Filler
Industrial Paints
Protective Coatings
Floor Coatings
Powder Coating
Road Marking
Phthalic
Road Makings
Decorative Paints
Exterior Walls
Ace.apex
Interior Walls
Royal
Emulsion
Enamels
Utsav
Metal Finish
Wooden Finish
Automotive Paints
Deltron
Delfleet
2K Nexa
Auto color
Asian Paints Product Line

10. Competitor Analysis
11% 16% 32% 9% 31%

11. Cont..
37%
13%
11%
8%
6%
19%
Decorative Segment
Asian Paints Kansai Nerolac Berger Paints
Dulux Paints Shalimar Paints Others
14%
43%
14%
8%
8%
5%
Industrial Segment
Asian Paints Kansai Nerolac Berger
Dulux Shalimar Others

12. Strength
 Protect exterior furniture and prevent possible damage to the wood
 It gives Mirror finish
 Extremely Durable (High)
 Quick drying compared to others
 Scratch proof, stain proof and heat resistance
 Highly variable
 Large variety of products available for different conditions
 Easy to use, economical and long lasting
SWOT Analysis of the Product
Weakness
 Average quality product
 Fading after few months
 Cracks Shown after few months of use
 Not water resistant

13. Threats
 Stringent Government rules and regulations regarding the quality of
products and manufacturing facilities as Environment policies are given
more emphasis
 Raw material scarcity and volatility in prices.
Opportunity
 Product quality can be improved
 Big an international standard paint company it should look for more
opportunities abroad
 Competitors are going for Hi-tech process and Asian paints with good
financial and intellectual capital can go for hi-tech.
 The wood paneling requires maintenance at regular intervals.

14. Product mix of Asian Paints wood
finish4P’s of wood finish
Product & Price
Product Attributes Available packs Price/Liter
Woodtect Emporio pu
 Mirror finilesh
 Glosy
 Extremely Durable
1L, 4L, 10, 20L
Rs- 620 / lit
Woodtech PU Interior
 Quick drying
 acrylic based clear coating
 Tough And natural beauty
200ml, 1L, 4L, 20L Rs- 270 / lit
Melamyne
 High gloss finish
 High durability
 Resistance
1L, 4L, 10L, 20L Rs- 250 / lit
Woodtech Polyster
 Zero maintenance
 High Gloss finish
 Scratch proof
 Hardness
0.5L, 1L, 4L, 10L, 20L Rs- 220 / lit

15. Place & Promotions
Through its large distribution system, the product reaches all parts of the world. From its manufacturing plants it reaches
to the customers through many intermediaries. Its distribution system ensures its availability. There are manufacturing and
production facilities operational in every country in each of the 19 countries it has expanded its reach. It has also set up a
Research and Technology division where over 200 qualified scientists are working on the paint development.
 Advertising through TV, radio, etc.
 Social media promotion.
 Promotion through company websites.
 Promotion by brand ambassadors Deepika Padukone
 Organizing events.
 Warranty.
Promotions
Place

16. Segmenting, Targeting and Positioning
Segmenting
• Satisfies all segments its Royal aimed at upper segment
and rest all at mass market (middle class segment)
Targeting
• House-Owner, Industries-Hotels, Education, Health-
care, Manufacturing equipment's and automobiles
Positioning
• A complete collection of products to caters to everyone

17. Product Life Cycle

18. Particulars Year ended
31st March
2017
Year ended
30th JUNE
2017
Year ended
30th
September
2017
Year ended
31st
December
2017
Year ended
2017
Sale of products (including
excise duty)
3,762 3,594 3,602 3,587 14,546
Growth over last month (%) - -4.47% 0.23% -0.41%
Paints 3,719 3,565 3,560 3,544 14,388
CHANGE IN Paints SALES % - -4.14% -0.14% -0.45%
CONTRIBUTION TO TOTAL
SALES
98.86% 99.19% 98.83% 98.79% 98.92%
Sales Forecast

19. Particulars Year
ended
31st
March
2018
Year
ended
30th JUNE
2018
Year ended
30th
September
2018
Year ended
31st
December
2018
Year ended
2018
Sale of products (including
excise duty) 3,587 3,462 3,538 3,662 14,249
Assumed Growth % -3.50% 2.20% 3.50% 4.00%
Paints
4,090 4,278 4,128 4,219 16,716
CHANGE IN PAINT SALES % 4.60% -0.04 0.02 0.04
CONTRIBUTION TO TOTAL
SALES
114.01% 123.58% 116.69% 115.22% 117.31%
 Considering average increase in sales -3.5%, 2.20%, 3.50%, 4.00%

20. Distribution Process
Manufacturer Wholesaler Retailer Customer
Types of Distribution Channels
 B2B Distribution
 B2C Distribution
 Direct Distribution
 Indirect Distribution
Marketing Channels
 Own Website (Online color consultancy)
 Experience Retail Outlets

21. TRADE OPPORTUNITIES
Commercial- Hotels, Shopping Malls,
Offices, Restaurants
Industrial- Manufacturing, Warehousing
Others- Hospital, Educational Institutions,
Government & Amenities

22. INFLUENCING CONSUMER BUYING BEHAVIOR
Factor Analysis Outcomes
Communalities
Initial Extraction
Brand_name 1.000 .687
Durability 1.000 .781
Price 1.000 .741
Quality 1.000 .668
Quantity 1.000 .579
Packeging 1.000 .791
Availibility 1.000 .845
Affordability 1.000 .627
Satisfaction 1.000 .909
Discounts_offers 1.000 .746
Product_variety 1.000 .479
Color_combination 1.000 .793
Extraction Method: Principal Component Analysis.
Group Name
Value for
money
Price
Sensitivity
Customer
Requirement
Quality .668 Discounts_of
fers
.746 Packaging .791
Quantity .579 Price .741 Availability .845
Durability .781 Affordability .627 Brand Name .687
Satisfaction
level
.909 Color_combin
ation
.793
Variety .479

23. Digital Marketing
Social Media MarketingOwn Application
Online Contest