2. ABOUT ACC
• ACC (ACC LIMITED) IS INDIA'S FOREMOST MANUFACTURER OF CEMENT AND CONCRETE.
• ACC'S OPERATIONS ARE SPREAD THROUGHOUT THE COUNTRY WITH 17 MODERN
CEMENT FACTORIES, MORE THAN 50 READY MIX CONCRETE PLANTS, 21 SALES OFFICES,
AND SEVERAL ZONAL OFFICES.
• IT HAS A WORKFORCE OF ABOUT 9,000 PERSONS AND A COUNTRYWIDE DISTRIBUTION
NETWORK OF OVER 9,000 DEALERS.
• SINCE INCEPTION IN 1936, THE COMPANY HAS BEEN A TRENDSETTER AND IMPORTANT
BENCHMARK FOR THE CEMENT INDUSTRY IN MANY AREAS OF CEMENT AND CONCRETE
TECHNOLOGY.
• ACC HAS A UNIQUE TRACK RECORD OF INNOVATIVE RESEARCH, PRODUCT
DEVELOPMENT AND SPECIALIZED CONSULTANCY SERVICES.
• ACC’S BRAND NAME IS SYNONYMOUS WITH CEMENT AND ENJOYS A HIGH LEVEL OF
EQUITY IN THE INDIAN MARKET. IT WAS THE FIRST CEMENT COMPANY TO FIGURE IN THE
LIST OF CONSUMER SUPER BRANDS OF INDIA.
3. OBJECTIVE OF THE PROJECT
• PRODUCT ANALYSIS –TO UNDERSTAND THE PRODUCT OFFERING BY VARIOUS
COMPANIES AND IDENTIFY THE PRODUCT QUALITY GAP ACROSS VARIOUS BRANDS.
• PRICE ANALYSIS – TO UNDERSTAND THE VARIOUS PRICING STRATEGY OF THE OTHER
CEMENT COMPANIES ESPECIALLY THE ONE LEADING THE MARKET.
• SCHEMES ANALYSIS – OBSERVING THE SCHEMES AND OFFERING OFFERED TO THE
DEALERS BY THE OTHER COMPETITORS IN THE MARKET.
• SLAB STRUCTURE – KEEPING CHECK THAT EQUAL MARGIN GIVEN BY THE COMPANY
WHOLESALERS TO THE RETAILERS.
• CUSTOMER SERVICE – PROVIDING CUSTOMER WITH THE ENGINEERING ASSISTANCE
AND FURTHER IMPROVISING THIS CONNECTIVITY.
• BRAND EQUITY – TO UNDERSTAND THE FOLLOWING GAPS
*BRAND AWARENESS
*BRAND LOYALTY
4. METHODOLOGY
DATA COLLECTION
• BY COLLECTING THE PRIMARY DATA FROM THE RETAILERS AS WELL AS THE
CONSUMERS, BY CARRYING OUT A SURVEY OVER A SPECIFIED PERIOD OF TIME.
DATA ANALYSIS
• ANALYZING THE DATA COLLECTED FROM THE SURVEY ON VARIOUS STRONG
POINTS NECESSARY FOR THE ANALYSIS.
INTERPRETING THE RESULTS
• INTERPRET THE RESULT OF THE SURVEY ON THE BASIS OF THE ANALYSIS AND
SUGGEST WAY FORWARD AND FORMULATE A STRATEGY THAT WOULD HELP
ESTABLISH ACC PRODUCTS AS A STRONG PLAYER IN THE PATNA MARKET.
5. PRODUCT ANALYSIS
• 43GRADE OPC ORDINARY PORTLAND CEMENT
ACC CEMENT IS THE MOST COMMONLY USED CEMENT IN ALL CONSTRUCTIONS INCLUDING PLAIN AND
REINFORCED CEMENT CONCRETE, BRICK AND STONE MASONRY, FLOORS AND PLASTERING. IT’S IS
ALSO USED IN THE FINISHING OF ALL TYPES OF BUILDING , ROADS , BRIDGES , CULVERTS , ROADS ,
WATER RETAINING STRUCTURE ETC.
• 53 GRADE OPC
PRODUCED FROM HIGH STRENGTH AND DURABILITY TO STRUCTURE BECAUSE OF ITS OPTIMUM
PARTICLE SIZE DISTRIBUTION, SUPERIOR CRYSTALLINE STRUCTURE AND BALANCE PHASE
COMPOSITION.
• PPC
FLY ASH BASED PORTLAND POZZOLANA CEMENT .THIS IS A SPECIAL BLENDED CEMENT PRODUCED BY
INTER GRINDING HIGHER STRENGTH OPC CLINKER WITH HIGH QUALITY PROCESSED FLY ASH – BASED
ON NORMS SET BY THE COMPANY R&D.
6. PRODUCT ANALYSIS(CONTD.)
• PSC
THIS IS A SLAG BASED BLENDED CEMENT THAT IMPARTS STRENGTH AND DURABILITY TO ALL
STRUCTURES. IT IS MANUFACTURED BY BLENDING AND INTER - GRINDING OPC CLINKER AND
GRANULATED SLAG IN SUITABLE PROPORTIONS AS PER OUR NORMS OF CONSISTENT QUALITY. PSC HAS
MANY SUPERIOR PERFORMANCE CHARACTERISTICS WHICH GIVE IT CERTAIN EXTRA ADVANTAGE WHEN
COMPARED TO ORDINARY PORTLAND CEMENT.
7. PRODUCTION DEMAND (Y O Y)
0
50
100
150
200
250
300
350
400
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
MILLION TON PER ANNUM DEMAND
MILLION TON PER ANNUM DEMAND
8. DISTRIBUTION OF STATEWISE INSTALLED CAPACITY CEMENT PLANTS IN INDIA
21.33
0.67
0.67
5.33
7.33
1.33
3.33
2
5.33
7.33
6
0.67
2.67
1.33
12
11.33
5.33
1.33
ANDHRA PRADESH
BIHAR
GUJRAT
H.P.
KARNATAKA
MAHARASTRA
ODISHA
RAJASTHAN
UTTAR PRADESH
% STATE SHARE OF PRODUCTION
% STATE SHARE OF PRODUCTION
10. PRICE ANALYSIS
COMPANY /BRAND PRICE of cement per 50kg bag.(Rs.)
ACC F2R/PSC 360-375/350
LAFARGE CONCRETO/ PSC 350-365/280-310
ULTRA TECH SUPER 355
BIRLA GOLD/ BIRLA SAMRATH 270-290
JAYPEE BUNIYAD 270-290
SHREE ULTRA 250-280
K.C SUPER(KONARK CEMENT) 280-310
11. MARKET ANALYSIS ON PRICING
0
1
2
3
4
5
6
7
8
ARE YOU SATISFIED WITH THE HIGH PRICE OF ACC
12. MARKET RESEARCH ON PRICING
0
2
4
6
8
10
REGION1
REGION2
REGION3
REGION4
REGION5
REGION6
HOW WOULD YOU RATE THE QUALITY VS PRICE OF ACC PRODUCTS
QUALITY PRICE
13. SCHEME ANALYSIS
GIFTS AND HAMPERS
CASH AND OTHER DISCOUNTS
FAMILY TOUR
0
2
4
6
LAFARGE ULTRA TECH JAYPEE BIRLA CORPS SHREE
CEMENT
KONARK
CEMENT
Chart Title
GIFTS AND HAMPERS CASH AND OTHER DISCOUNTS FAMILY TOUR
17. MARKET SHARE OF COMPANIES IN THE INDIAN CEMENT INDUSTRY
22%
15%
13%10%
7%
6%
5%
5%
5%
4%
4%
4%
% SHARE
ULTRA TECH
ACC
AMBUJA
JAI PRAKASH
THE INDIA CEMENT
SHREE CEMENT
CENTURY TEXTILES
MADRAS CEMENTS
LAFARGE CEMENT
BIRLA CEMENT
18. MARKET ANALYSIS
0
1
2
3
4
5
6
7
8
HIGH PRICE LACK OF AWARNESS WEAK SALES & DISTRIBUTION
NETWORK
LACK OF SCHEMES AND OFFERS LACK OF ADVERTISING
BARRIER FOR ACC PRODUCT TO BE SOLD
19. MARKET ANALYSIS
• .
0 1 2 3 4 5 6 7 8 9
Individual construction
Roof casting
Repair work
plaster purpose
Primary purpose for the consumption of premium grade cement
20. MARKET ANALYSIS
• .
0
1
2
3
4
5
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7
8
PURCHASE ANOTHER
BRAND
MOVE TO OTHER
RETAILER
WAIT FOR IT TO BE
AVAILABLE
BUY WHAT IS OFFERED BY
THE RETAILER
IF YOUR BRAND IS NOT AVAILABLE IN THE OUTLET,WHAT WOULD YOU
DO?
21. SWOT ANALYSIS
STRENGTH-
• ACC BEING OLDEST BRAND IN THE MARKET APPROX. 8 DECADES OLD, HAVING PAN INDIA PRESENCE.
• TRUST OF OLD GENERATION HAVE INFLUENTIAL ROLE ON THE FOLLOWING GENERATION ABOUT IT
• THERE IS NO MATCH FOR CONSISTENT QUALITY, DURABILITY AND VARIABILITY OF ACC PRODUCT INTO
THE MARKET.
• ACC IS HAVING VERY OLD AND DEDICATED NETWORK OF DEALERS, WHOLESALERS AND DECADE
RELATIONSHIP.
WEAKNESS-
• DUE TO MAXIMUM EVACUATION OF LIME IN LAST FEW DECADES HAS RESULTED INTO LOW QUALITY OF LINE
THUS HAVING COLOR VARIATION IN PRODUCT.
• (QUANTITY DISCOUNTS AND OTHER DISCOUNTS). HOWEVER THE COMMUNICATION OF DISCOUNT BY THE
COMPETITORS IS FASTER THAN ACC.
• HIGH PRICING OF ACC IS ITS MAIN CONCERN.
• MAINTENANCE OF OLD ACC COLONIES .
22. SWOT ANALYSIS(CONTD.)
OPPORTUNITY
• EXIT OF LAFARGE FROM THE EXISTING MARKET ESPECIALLY IN THE EASTER INDIA WHERE IT HAS GOT HUGE
PRESENCE.
• ACC BEING OLDEST BRAND IN THE MARKET APPROX. 8 DECADES OLD, HAVING PAN INDIA PRESENCE. WHICH IS THE
GREAT ADVANTAGE IT HAS TO COMPETE WITH THE NEW PLAYERS COMING IN TO THE MARKET.
THREAT
• IN THE STATE OF BIHAR THE COMPETITORS LIKE SHREE, KALYANPUR HAS ESTABLISHED IT’S
GRINDING UNIT HAVING ADVANTAGE OF EX- FACTORY SALE THROUGH ROAD MOVEMENT.
• NO A DAY’S GAP BETWEEN LAUNCHING PREMIUM PRODUCT HAS NARROWED TO GREAT EXTENT.
• UNFAIR TRADE PRACTICES OF COMPETITORS IN COMPARISON TO ETHICAL APPROACH OF ACC.
• ACC URBAN MARKET SHARE IS DECLINING BECAUSE OF THE FACT THAT TREND OF PEOPLE SHIFTING
FROM RURAL TO URBAN AREA IN WAIT OF EDUCATION ETC.
24. MAJOR RECOMMENDATIONS
• STRENGTHENING THE SALES NETWORK.
• STRATEGIC SPONSORSHIP THAT APPEALS TO THE ASPIRATIONAL NEEDS.
• SPONSORING A CAMPAIGN TO EMOTIONALLY CONNECT WITH THE TARGET MARKET.
• PREMIUM SHOULD BE EXPLAINED TO CUSTOMERS THROUGH CSR ACTIVITIES.
25. OTHER RECOMMENDATIONS
• THE DEMAND AND SUPPLY RATIO NEED TO BE MATCH.
• ACC IS STILL CONSIDERED AS A BRAND OF TRUST BUT SOMEWHERE THE RISING
INFLATION IS DECAYING ITS MARKET SHARE.
• PROPER & STRATEGIC ADVERTISEMENT.
• SUGGESTIONS RECEIVED BY MOST OF THE RETAILERS WAS TO IMPROVE THE SALES
NETWORK BETWEEN THE COMPANY AND THE RETAILERS
26. CONCLUSION
IT IS CLEAR THAT ACC HAS STRATEGIC ADVANTAGE OVER THE OTHER COMPETITORS IN
NAMELY LAFARGE, ULTRA TECH, BIRLA CORPS AND ETC.
ITS PRESENCE IN THE DOMESTIC MARKET FOR MORE THAN 75 YEARS AND THE QUALITY
PREMIUM PRODUCT ALONG WITH THE PRODUCTION CAPACITY OF ITS EFFICIENT
PERFORMING PLANT HAS GIVEN IT A SWEET SECOND SPOT IN THE INDIAN MARKET BEHIND
THE MARKET LEADER ULTRA TECH WHICH IS CONTINUOUSLY FOCUSING ON INCREASING
ITS PRODUCTION CAPACITY
ACC HAS GOT A GREAT OPPORTUNITY TO ACQUIRE THE MARKET SHARE OF LAFARGE
WHICH HAS GOT STRONG MARKET IN THE EASTER PARTS OF INDIA. AS LAFARGE HAPPENS
TO EXIT FROM THE INDIAN MARKET BY THE END OF THE YEAR.
AFTER THE CONTROLLING STAKES OF ACC GOING TO HOLCEM THERE WAS CHANGE IN THE
COMPANY MANAGEMENT STRUCTURE THUS FOCUSING ON MAINTAINING THE QUALITY OF
THE PRODUCT
