The document discusses innovations in India's petroleum retail sector. It notes that consumers are demanding more services like cashless payments, quick refueling, and amenities like restaurants and ATMs at gas stations. It also discusses the government opening the sector to private companies and new marketing strategies used by companies to attract customers and build brand loyalty. The sector is facing pressure to adapt and provide additional services as consumer expectations change.
This analysis is an attempt understand the structure and dynamics of the lubricant industry in Sri Lanka. The author is of the view that the industry could have some growth potential, however, the presence of 13 players would have a negative impacts on the profitability of the industry. In the long run we may see some consolidation in the industry.
This report provides an analysis of China's lubricant industry from 2014-2018. It finds that while China is a major global producer and consumer of lubricants, the market has declined in recent years. State-owned enterprises like Sinopec and PetroChina dominate the market, but privately-owned companies are growing in importance. The report provides an overview of the market size and competitive landscape, as well as profiles of major local and international lubricant companies.
This document summarizes a journal article about the role of non-fuel retailing services in India's petroleum retail industry. It finds that petroleum retailers in India face challenges like low margins and increasing costs, and are offering additional non-fuel services like convenience stores and ATMs to increase customer loyalty and profits. A survey of 100 customers found that strategic location, quality assurance, and infrastructure/amenities were important factors for customers visiting particular gas stations. Most customers still prefer paying in cash, and evenings are a popular time to visit. Non-fuel services like ATMs are attracting some additional customers and sales to gas stations, though not all ATM users purchase other items. Regulations have gradually liberalized fuel pricing in
The document discusses the fast moving consumer goods (FMCG) industry in India. It analyzes the industry using Porter's Five Forces model. The FMCG industry is characterized by high volume and low cost products with short shelf lives that are sold through extensive distribution networks. The industry faces high rivalry among existing players who compete on price, promotions, distribution, and new products. Potential entrants face barriers like requirements for strong distribution networks and brands. Buyers have low bargaining power due to many alternatives. Suppliers also have low bargaining power. Substitutes pose varying levels of threat depending on utility and switching costs.
The document provides an analysis of the Fast Moving Consumer Goods (FMCG) industry in India. Some key points:
- FMCG is a $2 trillion industry representing 2.5% of India's GDP and growing at 17.3% annually. Food and personal care make up two-thirds of revenues.
- Porter's Five Forces analysis indicates barriers to entry are modest while competition and threat of substitution are high.
- Major players include HUL, ITC, Nestle. Trends include focusing on rural markets, smaller pack sizes, and new brand launches.
- The industry is expected to continue growing despite a recent slowdown, fueled by rising incomes and expanding middle class.
This document provides information about Indranil Sutradhar's final presentation on the fast moving consumer goods (FMCG) sector in India. It includes sections on sector information, Emami Limited company information, market strategies, business, finance, and human resources. Some key details are: the FMCG sector is the 4th largest in India and household/personal care accounts for 50% of sales; Emami is a leading FMCG company founded in 1974 with brands like Boroplus and revenues of Rs. 2541 crore in 2017-18; and the presentation provides analyses of Emami's competitors, financial statements, organizational structure, and recruitment/career development practices.
This copy will provide us with the details of petro retailing of India with its current scenario in the national prospect as well as in global preferences.
Castrol India has been operating in India for over 100 years and owns around 22% market share in the Indian lubricant market. It markets automotive lubricants under the Castrol and BP brands, and enjoys leadership in categories like passenger car engine oils. Castrol has 5 manufacturing plants and a network of 270 distributors serving over 70,000 retail outlets. It faces competition from other major players like Shell, Mobil, and domestic brands. Castrol differentiates itself through product innovation, brand building activities like sponsorships, and a focus on trade marketing and consumer needs like insurance schemes.
This analysis is an attempt understand the structure and dynamics of the lubricant industry in Sri Lanka. The author is of the view that the industry could have some growth potential, however, the presence of 13 players would have a negative impacts on the profitability of the industry. In the long run we may see some consolidation in the industry.
This report provides an analysis of China's lubricant industry from 2014-2018. It finds that while China is a major global producer and consumer of lubricants, the market has declined in recent years. State-owned enterprises like Sinopec and PetroChina dominate the market, but privately-owned companies are growing in importance. The report provides an overview of the market size and competitive landscape, as well as profiles of major local and international lubricant companies.
This document summarizes a journal article about the role of non-fuel retailing services in India's petroleum retail industry. It finds that petroleum retailers in India face challenges like low margins and increasing costs, and are offering additional non-fuel services like convenience stores and ATMs to increase customer loyalty and profits. A survey of 100 customers found that strategic location, quality assurance, and infrastructure/amenities were important factors for customers visiting particular gas stations. Most customers still prefer paying in cash, and evenings are a popular time to visit. Non-fuel services like ATMs are attracting some additional customers and sales to gas stations, though not all ATM users purchase other items. Regulations have gradually liberalized fuel pricing in
The document discusses the fast moving consumer goods (FMCG) industry in India. It analyzes the industry using Porter's Five Forces model. The FMCG industry is characterized by high volume and low cost products with short shelf lives that are sold through extensive distribution networks. The industry faces high rivalry among existing players who compete on price, promotions, distribution, and new products. Potential entrants face barriers like requirements for strong distribution networks and brands. Buyers have low bargaining power due to many alternatives. Suppliers also have low bargaining power. Substitutes pose varying levels of threat depending on utility and switching costs.
The document provides an analysis of the Fast Moving Consumer Goods (FMCG) industry in India. Some key points:
- FMCG is a $2 trillion industry representing 2.5% of India's GDP and growing at 17.3% annually. Food and personal care make up two-thirds of revenues.
- Porter's Five Forces analysis indicates barriers to entry are modest while competition and threat of substitution are high.
- Major players include HUL, ITC, Nestle. Trends include focusing on rural markets, smaller pack sizes, and new brand launches.
- The industry is expected to continue growing despite a recent slowdown, fueled by rising incomes and expanding middle class.
This document provides information about Indranil Sutradhar's final presentation on the fast moving consumer goods (FMCG) sector in India. It includes sections on sector information, Emami Limited company information, market strategies, business, finance, and human resources. Some key details are: the FMCG sector is the 4th largest in India and household/personal care accounts for 50% of sales; Emami is a leading FMCG company founded in 1974 with brands like Boroplus and revenues of Rs. 2541 crore in 2017-18; and the presentation provides analyses of Emami's competitors, financial statements, organizational structure, and recruitment/career development practices.
This copy will provide us with the details of petro retailing of India with its current scenario in the national prospect as well as in global preferences.
Castrol India has been operating in India for over 100 years and owns around 22% market share in the Indian lubricant market. It markets automotive lubricants under the Castrol and BP brands, and enjoys leadership in categories like passenger car engine oils. Castrol has 5 manufacturing plants and a network of 270 distributors serving over 70,000 retail outlets. It faces competition from other major players like Shell, Mobil, and domestic brands. Castrol differentiates itself through product innovation, brand building activities like sponsorships, and a focus on trade marketing and consumer needs like insurance schemes.
The document discusses the fast moving consumer goods (FMCG) industry in India. It notes that while the Indian FMCG market grew by 33% in 2003, growth was uneven across sectors. The document also discusses opportunities and challenges in the Indian FMCG market, including demographic shifts that are increasing consumer spending power, and the fragmented nature of the market between organized and unorganized sectors. Key challenges for FMCG companies include expanding distribution and converting consumers to branded products.
Emami Limited is an Indian FMCG company headquartered in Kolkata, West Bengal that owns popular brands such as Boroplus, Navratna, Fair and Handsome, Zandu Balm, Mentho Plus Balm, Fast Relief and Kesh King. The document provides details about Emami's vision, mission, brands, financial performance, and analysis of the FMCG industry and Emami's position within it. Key information includes Emami's founding in 1974, its acquisition of Himani Ltd in 1978, market share and growth of its brands, and contribution of the FMCG sector to India's GDP.
The quick service restaurant (QSR) market in India has grown significantly due to Indians' increasing appetite for convenience and international foods. The organized QSR market is currently worth INR 5,500 crore and is projected to reach INR 16,785 crore by 2018, growing at a CAGR of 25%. Major players include both Indian brands focusing on vegetarian options and international brands offering mixes of cuisines. While the market has potential for further growth, challenges include high real estate and labor costs, supply chain issues, and complex licensing and tax regulations.
- The document discusses a marketing strategy for Balmer Lawrie & Co. Ltd's BALMEROL range of lubricants to target the retail lubricant market and obtain a 10% market share by 2010.
- It analyzes the competition and suggests co-branding with fuel stations, pushing products through distributors to service stations and retailers, and differentiating on quality and price to attract customers.
- Key elements of the strategy include expanding the distribution network, offering attractive margins and promotions, and monitoring sales volumes, margins, inventory levels and quality controls.
Whole Foods Market was founded in 1980 and has since expanded to over 399 stores across the United States, Canada, and the United Kingdom. The company aims to provide the highest quality organic and local foods. Whole Foods has seen increasing revenues in recent years, driven by health-conscious consumers. The company maintains a strong financial position with low debt levels, allowing it to self-finance new store growth. Peer companies compared to Whole Foods include Kroger, Super Valu, and The Fresh Market. Whole Foods has a lower debt-to-equity ratio and higher operating profit margins than its peers, demonstrating effective cost control.
This document provides an overview of strategies for market entry into emerging markets, specifically for fast moving consumer goods (FMCG) companies. It examines theories of market entry and internalization, as well as characteristics of the FMCG industry and emerging markets. The document then analyzes Carlsberg's entry strategies in India, China, and Russia - evaluating their approaches using the OLI framework and discussing reasons for success or failure in each market.
Fast Moving Consumer Goods (FMCG) are low-cost, non-durable products that are sold in large quantities and have high turnover rates. Examples include toiletries, soap, detergents, and other household items. While profits on individual FMCG items are small, the cumulative profits can be large due to high sales volumes. FMCG products are meant to be fully used or replaced within one year.
The FMCG sector in India grew rapidly in the 1980s and 1990s but then lost momentum due to a lack of innovation by companies and the introduction of new product types. However, consumer willingness to upgrade to better products helped revive the FMCG sector in the 2010s. The FMCG sector is the 4th largest in India and includes household care, personal care, and food and beverage products. Hindustan Unilever Ltd., Procter & Gamble, and ITC are the top three FMCG companies in India. The sector has significant growth opportunities due to India's large population and vast rural markets.
The document provides an overview of the Fast Moving Consumer Goods (FMCG) sector in India. It discusses that FMCG goods include daily consumable items like household products, personal care products, and food and beverages. The FMCG sector in India is the fourth largest sector worth over $13 billion currently and expected to grow substantially over the next decade. Key drivers of growth include rising incomes, urbanization, and penetration into rural markets. The sector faces some challenges from rising costs and inflation as well.
- The retail industry in India is the largest industry and accounts for over 10% of India's GDP, however it has been mostly unorganized.
- The Indian retail market is poised to reach $1.3 trillion by 2020, providing tremendous growth opportunities for retail and FMCG players.
- With foreign multinationals entering India, there will be an explosion of jobs in the retail sector.
This document discusses vertical coordination in the Indian food supply chain. It notes that the Indian food market is highly fragmented with many intermediaries, increasing costs for farmers. Consolidation of the chain is suggested to reduce intermediaries and lower the gap between what farmers receive versus consumer prices. The document examines mechanisms for vertical coordination, including open markets, contract production, and vertical integration. It argues that transaction costs are lower through coordination mechanisms like contracts and integration, compared to spot markets. Specifically for India, constraints like land ownership laws limit vertical integration options for most commodities except poultry and dairy. Developing rural markets can help increase coordination in the food chain.
MAPPING RETAIL REACH AND PENETRATION OF HINDWARE –ATLANTIC WATER HEATER IN DE...Shashi Bhushan
The report “Mapping Retail reach and Penetration of hindware-atlantic water heater in Delhi & NCR Market” contains present scenario in water heater selling via dealer’s chain and market study of competitor in this segment
SECTORAL INFORMATION, Introduction,
Historical Growth of the sector observed in the last 5 years,
Reasons for the Growth observed in the sector,
Government initiatives,
Porter’s Five Forces Model for the sector,
COMPANY INFORMATION,
Company snapshot,
SWOT analysis of Hindustan Unilever – HUL SWOT analysis,
Product offered by the company,
Competitor Analysis,
News (Last 12 month) incl. corporate announcement,
MARKETING STRATEGY,
DOVE Shampoo,
SWOT analysis of DOVE Shampoo,
Analyze marketing mix 4P’s of DOVE Shampoo,
STP of DOVE Shampoo,
PLC of DOVE Shampoo,
Sales Forecast,
DISTRIBUTION CHANNEL/NETWORK,
Intuitional Selling,
Digital Marketing Strategy,
Survey,
Factor Analysis
The document provides an investor presentation by Hemas Holdings PLC for the third quarter of fiscal year 2018-2019. It summarizes Hemas' business segments and market positions. In the third quarter, Hemas saw strong revenue growth driven by its consumer and healthcare segments, but underlying profitability was challenged by currency fluctuations, start-up losses in new businesses, and increased financing costs. Key highlights included the integration of recent acquisitions, international expansion, and resilient performance despite difficult market conditions in Sri Lanka.
The document provides an external analysis of the alcoholic beverage industry. It discusses that the industry is divided into beer, wine, and spirits. It then outlines the strategic management process and discusses external analysis frameworks like Porter's Five Forces. The document identifies key trends in the industry including increasing mergers and acquisitions, emerging markets consumption, increasing government regulation, and industry consolidation. It provides a competitive factors framework analysis of major companies like Anheuser-Busch, SABMiller, Heineken, and Carlsberg rating them based on how they address these critical success factors. Based on the analysis, Anheuser-Busch receives the highest overall performance rating.
Hemas Holdings PLC is a Sri Lankan conglomerate with revenues of LKR 38 billion across healthcare, consumer goods, leisure and mobility businesses. Healthcare makes up 44% of revenues, followed by consumer at 38%. The presentation provides an overview of each business segment, highlighting recent growth, investments and strategic priorities. These include expanding consumer product ranges and international markets, increasing pharmaceutical manufacturing capacity, growing the hospital network, and securing new logistics and shipping clients. Overall, Hemas aims to be a market leader across its segments while enriching lives in Sri Lanka and beyond.
This document summarizes a blog post analyzing HSIL Ltd, an Indian building products and packaging company. It provides an overview of HSIL's business segments, financial performance, industry drivers, management, and valuation. Key points include that HSIL has leadership in sanitaryware and glass containers, with future potential in new products. The analysis evaluates HSIL's financials, industry growth opportunities, and provides revenue and profit estimates to justify a target share price of Rs. 600.
This document provides an analysis of the FMCG (fast moving consumer goods) industry in India. It discusses key trends in the Indian economy and FMCG sector over the past decade. The FMCG industry in India has grown at 12% annually and is projected to become a Rs. 4,000 billion (Rs. 4 trillion) industry by 2020. The document identifies several mega trends that will shape the FMCG industry in the coming years, including increasing premiumization, evolving product categories, a focus on sustainability, and the growing role of technology. It also provides an overview and SWOT analysis of Dabur India Limited, a leading FMCG company in India.
Marico is one of the successful Indian conglomerates with its interests aligned with manufacturing industry and retailing consumer goods in addition to catering services in the beauty space. The origin of the company takes back us to the year 1948 when a trading business family, Mariwala based in Mumbai started Bombay Oil Industries Ltd. BOIL facility was mainly comprised of a vegetable oil refinery, a chemical plant and a coconut oil extraction plant. BOIL started to diversify into different branded customer products. They incorporated Marico Foods Limited in 1988 and shifted the consumer products division of BOIL into it. In the year 1990, BOIL made an agreement with Marico to share its vegetable oil brand Saffola and Coconut oil brand Parachute. The company successfully accomplished several acquisitions in the later years. The most notable one is the acquisition of P & G's anti-lice treatment brand, Mediker in 1999. Marico acquired the Parachute and Saffola brands in the year 2001 from Bombay Oil Industries Ltd. It also entered into skin care industry in 2003 by acquiring Sundari LLC of the USA, a company catering luxury ayurvedic products. The other popular brand acquired by Marico is Manjal, Kerala based herbal bath soap. In this report, we try to understand different marketing parameters on which Marico’s performance can be evaluated like SWOT analysis, PESTEL analysis and Marketing Mix.
This document provides an overview of the petroleum segment. It begins by defining alkanes, which are saturated hydrocarbons and the main component of petroleum. It then discusses the size and growth of India's petroleum market from 2015-2018 and 2020-2025. The market is expected to grow at a CAGR of over 2.64% during this period. It also profiles the top three players in the Indian market - Indian Oil Corporation, Reliance Petroleum, and Bharat Petroleum - and provides details on their operations and market share. The document concludes with a PESTEL analysis of the industry.
This document provides a case study analysis of Castrol India Limited (CIL). It discusses CIL's history and challenges in managing growth as the lubricant market in India became more competitive. Some key points:
- CIL was established in 1919 and is a subsidiary of British Petroleum (BP). It has faced increasing competition from other players in the lubricant market.
- One of CIL's challenges is transitioning from a growth phase to a sustaining growth phase as demand growth has slowed.
- The case analysis provides potential solutions for CIL such as exploring new products/markets, improving efficiency, and strengthening brand management. Market research methods like surveys and focus groups are recommended to understand brand switching
The document discusses the fast moving consumer goods (FMCG) industry in India. It notes that while the Indian FMCG market grew by 33% in 2003, growth was uneven across sectors. The document also discusses opportunities and challenges in the Indian FMCG market, including demographic shifts that are increasing consumer spending power, and the fragmented nature of the market between organized and unorganized sectors. Key challenges for FMCG companies include expanding distribution and converting consumers to branded products.
Emami Limited is an Indian FMCG company headquartered in Kolkata, West Bengal that owns popular brands such as Boroplus, Navratna, Fair and Handsome, Zandu Balm, Mentho Plus Balm, Fast Relief and Kesh King. The document provides details about Emami's vision, mission, brands, financial performance, and analysis of the FMCG industry and Emami's position within it. Key information includes Emami's founding in 1974, its acquisition of Himani Ltd in 1978, market share and growth of its brands, and contribution of the FMCG sector to India's GDP.
The quick service restaurant (QSR) market in India has grown significantly due to Indians' increasing appetite for convenience and international foods. The organized QSR market is currently worth INR 5,500 crore and is projected to reach INR 16,785 crore by 2018, growing at a CAGR of 25%. Major players include both Indian brands focusing on vegetarian options and international brands offering mixes of cuisines. While the market has potential for further growth, challenges include high real estate and labor costs, supply chain issues, and complex licensing and tax regulations.
- The document discusses a marketing strategy for Balmer Lawrie & Co. Ltd's BALMEROL range of lubricants to target the retail lubricant market and obtain a 10% market share by 2010.
- It analyzes the competition and suggests co-branding with fuel stations, pushing products through distributors to service stations and retailers, and differentiating on quality and price to attract customers.
- Key elements of the strategy include expanding the distribution network, offering attractive margins and promotions, and monitoring sales volumes, margins, inventory levels and quality controls.
Whole Foods Market was founded in 1980 and has since expanded to over 399 stores across the United States, Canada, and the United Kingdom. The company aims to provide the highest quality organic and local foods. Whole Foods has seen increasing revenues in recent years, driven by health-conscious consumers. The company maintains a strong financial position with low debt levels, allowing it to self-finance new store growth. Peer companies compared to Whole Foods include Kroger, Super Valu, and The Fresh Market. Whole Foods has a lower debt-to-equity ratio and higher operating profit margins than its peers, demonstrating effective cost control.
This document provides an overview of strategies for market entry into emerging markets, specifically for fast moving consumer goods (FMCG) companies. It examines theories of market entry and internalization, as well as characteristics of the FMCG industry and emerging markets. The document then analyzes Carlsberg's entry strategies in India, China, and Russia - evaluating their approaches using the OLI framework and discussing reasons for success or failure in each market.
Fast Moving Consumer Goods (FMCG) are low-cost, non-durable products that are sold in large quantities and have high turnover rates. Examples include toiletries, soap, detergents, and other household items. While profits on individual FMCG items are small, the cumulative profits can be large due to high sales volumes. FMCG products are meant to be fully used or replaced within one year.
The FMCG sector in India grew rapidly in the 1980s and 1990s but then lost momentum due to a lack of innovation by companies and the introduction of new product types. However, consumer willingness to upgrade to better products helped revive the FMCG sector in the 2010s. The FMCG sector is the 4th largest in India and includes household care, personal care, and food and beverage products. Hindustan Unilever Ltd., Procter & Gamble, and ITC are the top three FMCG companies in India. The sector has significant growth opportunities due to India's large population and vast rural markets.
The document provides an overview of the Fast Moving Consumer Goods (FMCG) sector in India. It discusses that FMCG goods include daily consumable items like household products, personal care products, and food and beverages. The FMCG sector in India is the fourth largest sector worth over $13 billion currently and expected to grow substantially over the next decade. Key drivers of growth include rising incomes, urbanization, and penetration into rural markets. The sector faces some challenges from rising costs and inflation as well.
- The retail industry in India is the largest industry and accounts for over 10% of India's GDP, however it has been mostly unorganized.
- The Indian retail market is poised to reach $1.3 trillion by 2020, providing tremendous growth opportunities for retail and FMCG players.
- With foreign multinationals entering India, there will be an explosion of jobs in the retail sector.
This document discusses vertical coordination in the Indian food supply chain. It notes that the Indian food market is highly fragmented with many intermediaries, increasing costs for farmers. Consolidation of the chain is suggested to reduce intermediaries and lower the gap between what farmers receive versus consumer prices. The document examines mechanisms for vertical coordination, including open markets, contract production, and vertical integration. It argues that transaction costs are lower through coordination mechanisms like contracts and integration, compared to spot markets. Specifically for India, constraints like land ownership laws limit vertical integration options for most commodities except poultry and dairy. Developing rural markets can help increase coordination in the food chain.
MAPPING RETAIL REACH AND PENETRATION OF HINDWARE –ATLANTIC WATER HEATER IN DE...Shashi Bhushan
The report “Mapping Retail reach and Penetration of hindware-atlantic water heater in Delhi & NCR Market” contains present scenario in water heater selling via dealer’s chain and market study of competitor in this segment
SECTORAL INFORMATION, Introduction,
Historical Growth of the sector observed in the last 5 years,
Reasons for the Growth observed in the sector,
Government initiatives,
Porter’s Five Forces Model for the sector,
COMPANY INFORMATION,
Company snapshot,
SWOT analysis of Hindustan Unilever – HUL SWOT analysis,
Product offered by the company,
Competitor Analysis,
News (Last 12 month) incl. corporate announcement,
MARKETING STRATEGY,
DOVE Shampoo,
SWOT analysis of DOVE Shampoo,
Analyze marketing mix 4P’s of DOVE Shampoo,
STP of DOVE Shampoo,
PLC of DOVE Shampoo,
Sales Forecast,
DISTRIBUTION CHANNEL/NETWORK,
Intuitional Selling,
Digital Marketing Strategy,
Survey,
Factor Analysis
The document provides an investor presentation by Hemas Holdings PLC for the third quarter of fiscal year 2018-2019. It summarizes Hemas' business segments and market positions. In the third quarter, Hemas saw strong revenue growth driven by its consumer and healthcare segments, but underlying profitability was challenged by currency fluctuations, start-up losses in new businesses, and increased financing costs. Key highlights included the integration of recent acquisitions, international expansion, and resilient performance despite difficult market conditions in Sri Lanka.
The document provides an external analysis of the alcoholic beverage industry. It discusses that the industry is divided into beer, wine, and spirits. It then outlines the strategic management process and discusses external analysis frameworks like Porter's Five Forces. The document identifies key trends in the industry including increasing mergers and acquisitions, emerging markets consumption, increasing government regulation, and industry consolidation. It provides a competitive factors framework analysis of major companies like Anheuser-Busch, SABMiller, Heineken, and Carlsberg rating them based on how they address these critical success factors. Based on the analysis, Anheuser-Busch receives the highest overall performance rating.
Hemas Holdings PLC is a Sri Lankan conglomerate with revenues of LKR 38 billion across healthcare, consumer goods, leisure and mobility businesses. Healthcare makes up 44% of revenues, followed by consumer at 38%. The presentation provides an overview of each business segment, highlighting recent growth, investments and strategic priorities. These include expanding consumer product ranges and international markets, increasing pharmaceutical manufacturing capacity, growing the hospital network, and securing new logistics and shipping clients. Overall, Hemas aims to be a market leader across its segments while enriching lives in Sri Lanka and beyond.
This document summarizes a blog post analyzing HSIL Ltd, an Indian building products and packaging company. It provides an overview of HSIL's business segments, financial performance, industry drivers, management, and valuation. Key points include that HSIL has leadership in sanitaryware and glass containers, with future potential in new products. The analysis evaluates HSIL's financials, industry growth opportunities, and provides revenue and profit estimates to justify a target share price of Rs. 600.
This document provides an analysis of the FMCG (fast moving consumer goods) industry in India. It discusses key trends in the Indian economy and FMCG sector over the past decade. The FMCG industry in India has grown at 12% annually and is projected to become a Rs. 4,000 billion (Rs. 4 trillion) industry by 2020. The document identifies several mega trends that will shape the FMCG industry in the coming years, including increasing premiumization, evolving product categories, a focus on sustainability, and the growing role of technology. It also provides an overview and SWOT analysis of Dabur India Limited, a leading FMCG company in India.
Marico is one of the successful Indian conglomerates with its interests aligned with manufacturing industry and retailing consumer goods in addition to catering services in the beauty space. The origin of the company takes back us to the year 1948 when a trading business family, Mariwala based in Mumbai started Bombay Oil Industries Ltd. BOIL facility was mainly comprised of a vegetable oil refinery, a chemical plant and a coconut oil extraction plant. BOIL started to diversify into different branded customer products. They incorporated Marico Foods Limited in 1988 and shifted the consumer products division of BOIL into it. In the year 1990, BOIL made an agreement with Marico to share its vegetable oil brand Saffola and Coconut oil brand Parachute. The company successfully accomplished several acquisitions in the later years. The most notable one is the acquisition of P & G's anti-lice treatment brand, Mediker in 1999. Marico acquired the Parachute and Saffola brands in the year 2001 from Bombay Oil Industries Ltd. It also entered into skin care industry in 2003 by acquiring Sundari LLC of the USA, a company catering luxury ayurvedic products. The other popular brand acquired by Marico is Manjal, Kerala based herbal bath soap. In this report, we try to understand different marketing parameters on which Marico’s performance can be evaluated like SWOT analysis, PESTEL analysis and Marketing Mix.
This document provides an overview of the petroleum segment. It begins by defining alkanes, which are saturated hydrocarbons and the main component of petroleum. It then discusses the size and growth of India's petroleum market from 2015-2018 and 2020-2025. The market is expected to grow at a CAGR of over 2.64% during this period. It also profiles the top three players in the Indian market - Indian Oil Corporation, Reliance Petroleum, and Bharat Petroleum - and provides details on their operations and market share. The document concludes with a PESTEL analysis of the industry.
This document provides a case study analysis of Castrol India Limited (CIL). It discusses CIL's history and challenges in managing growth as the lubricant market in India became more competitive. Some key points:
- CIL was established in 1919 and is a subsidiary of British Petroleum (BP). It has faced increasing competition from other players in the lubricant market.
- One of CIL's challenges is transitioning from a growth phase to a sustaining growth phase as demand growth has slowed.
- The case analysis provides potential solutions for CIL such as exploring new products/markets, improving efficiency, and strengthening brand management. Market research methods like surveys and focus groups are recommended to understand brand switching
highly fragmented Indian specialty chemicals industry currently has revenues of USD 30 Bn and is expected to grow ~14% per annum over the next decade. It is observed that companies who have invested in product development have grown rapidly and have also expanded globally. Hence, these companies become attractive for large global players and equity investors. Recent M&A transactions in the speciality chemicals space show that most speciality chemical companies were able to attract valuations in excess of 10X EBITDA multiples. The pace of deal making activity is expected to continue with attractive valuations as India is the preferred investment destination in Asia
Running Head STRATEGIC MANAGEMENT .docxtoltonkendal
Running Head: STRATEGIC MANAGEMENT 1
STRATEGIC MANAGEMENT 2
ConocoPhillips Company: Strategic
Supply chain
ConocoPhillips Company is a Houston-based gas and oil company. Chima (2011) says that ConocoPhillips has adopted the pull model for it crude oil products. The business model is aimed at matching the customer preference for low-priced oil environment. The aim is to keep operational cost low, so prices of oil products are kept low. Focusing on the demand has led to a production that matches the market's needs. The results have been a lower production, cut on storage cost and improved pricing. The oil supply of the firm is 500,000 barrels per day which can meet the market demands. There are no losses that accrue for all oil is dispatched to the market without having to look for customers. Availability of oil in ConocoPhillips ensures the firm to offer it at best price for they do not have to offer a discount on the case they had to do when they had excess oil in their storage facilities.
Industry Balance of Power: include Sources of Channel Power
ConocoPhillips draws its power from its enormous cash flow, a huge supply of oil and it’s reputation. The firm is known to produce pure products which have earned the firm a large customer base worldwide. ConocoPhillips has a large customer base who are spread globally. The customers are drawn from Europe, American, Asian and African markets. The customers ensure that all 500,000 barrels produced each day are sold. ConocoPhillips can produce huge supplies of crude oil to the global market. According to Pune (2016), the firm produced a 500,000 barrels a day against a global demand of 1.4 million a day. The company holds a 6.25 percentage of the daily production. The firm controls a 35.7 percent of the global market sales from its daily basis. ConocoPhillips has healthy cash flow. The cash flows able to meet its operations needs, pay dividends and meet CapEx requirements. Its average projection of a 50 dpb will earn the firm a revenue of $ 6.5 billion which way above the normal operating cash flows of $1.5 billion.
External Trends
There is a decline in consumption of oil products as countries discover their oil deposits and adoption of green energy (Chima, 2011). Countries like Kenya and Uganda which were customers of ConocoPhillips have stopped consuming oil products from abroad. The countries have started producing their oil products. The countries have started selling globally reducing the market shares of existing companies for they offer a lower entry price.
Green energy is on the rise. Pune (2016) says that geothermal, the wind and solar energies have been adopted globally at an increasing rate. Green energy is renewable as opposed to oil whic ...
Ways to enter the markets, options with pros and cons.
It is a case on how a petroleum lubricant industry wants to enter, the channels. and what problem it can face in India
This document provides details about Ashok Leyland Limited (ALL), an automotive company in India. It discusses ALL's pricing strategies, branding strategies, production capacities and utilization levels. It notes that ALL uses strategies like cost-plus pricing, market-oriented pricing, and penetration pricing. It also discusses ALL's brand communication efforts and joint ventures with companies like Nissan. The document provides production data for ALL and competitors from 2007-2012, showing that ALL's production has increased from 84,006 vehicles in 2007-08 to an estimated 103,267 in 2011-12.
The Proposed New Petroleum Company in the Philippines.pptxReneBernaldez1
This document proposes a new petroleum company in the Philippines. It summarizes the growing Philippine oil market and plans to distribute petroleum products nationwide and build retail networks. The management team has over 30 years of oil industry experience. Plans include building storage terminals, increasing fuel distribution volume annually, establishing a retail network, and potentially building a crude refinery. The proposal seeks to take advantage of opportunities from Philippines' growing economy and energy needs.
1984: Chairman Emeritus,
Paul Stebbins, and CEO,
Michael Kasbar, founded
Trans-Tec, a marine fuel
brokerage company
1986: International Recovery
becomes a publicly-traded
company
1990: Signicant organic
growth prompts expansion with
ofces in key global markets
1995: International Recovery
acquires Trans-Tec and charges
company name to World Fuel
Services Corporation
1999: Bunkerfuels acquisition
enhances market share in
Marine Energy
2000: PAFCO joint venture
expands Aviation services
2001: Marine Energy, Norse
Bunkers, Oil Shipping Group
acquisitions expand Marine
2004: Tramp Oil to expand
Marine business
1998: BaseOps adds
ight-based services
2007: AVCARD expands
Business & General Aviation
transaction processing capabilities
2008: Texor expands branded
distribution
2009: TGS Petroleum expands
branded distribution
2010: Henty Oil expands
Marine and Land presence
in United Kingdom
2010: Lakeside Oil expands
branded gas/diesel distribution
in Midwestern US
2010: Western Petroleum
expands Land and Avitaion
distribution
2011: Hiller and Ascent expand
Business & General Aviation
and add deicing
2011: NCS expands
government Aviation business
2012: Carter Energy expands
branded gas/diesel distribution
in Midwestern United States
2012: Multi Service Technology
Solutions expands paymentprocessing capabilities
2012: MH Aviation and totalFBO
expand Aviation
2013: U.S. Energy Services
adds natural gas, compressed
natural gas and electricity
consulting services
2016: Associated Petroleum
Products (APP) to provide fuel
& related services to agricultural automotive, construction,
and commercial and industrial
customers in the Pacic
Northwest
2016: Acquisition of ExxonMobil aviation fueling operations at
34 airports in Canada and
France
2014: Watson Petroleum
expands fuel and lubricants
distribution in United Kingdom
2016: PAPCO expands fuel and
lubricants distribution in the
Eastern U.S.
2015: Pester Marketing Company
with its Alta Fuels to expand
terminals and distribution of
biofuels and lubricants to wholesale, commercial, and agricultural
customers in the U.S.
2015: BP's former Statoil Fuel
& Retail Aviation business at 4
general & business aviation
airports in Scandinavia to
expand global presence
2015: Bergen Energy grows
energy & sustainability practice
across Europe
2015: KTM expands energy &
sustainability practice in North
America
2014: Colt International and
Avinode expands presence in
Business & General Aviation
2016: Utilities Exchange Ltd. To
expand consultancy & energy
management services to
commercial and industrial
customers across Europe
2017: Orchard Energy, UX
Energy Services, Professional
Utility Board acquired
2018: OnDemand Energy
Solutions acquired
2019: Our land fuels division
and Kinect Energy division to
converge to become World
Kinect Energy Services
2019: UVair further expands
Aviation
2019: WFS joins UN Global
Compact
2020: Our Aviation division
acquires FBO One
2021: Lykins acquisition
2022: Flyers acquisition
2021: Flyers a
Hindustan Petroleum Corporation Limited (HPCL) is an Indian state-owned oil and gas company headquartered in Mumbai. It was incorporated in 1952 and had its name changed multiple times before taking the current name in 1974. HPCL owns and operates refineries in Mumbai, Vishakhapatnam, and Punjab and is one of the largest oil refining and marketing companies in India. Its mission is to enhance productivity, profitability, and quality to be the number one oil company while considering environmental and social responsibilities.
JK Tyre summer internship report on two wheeler tyre segmentVarun Jha
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See the Roland Berger Strategy Consultants (http://www.rolandberger.us/) 2014 study on The Next Challenge Of The US Auto Industry.
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Here are a few key ways the food industry has changed American culture:
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- Big agriculture and food corporations now dominate the system. Mega farms and a small number of huge companies control most of our food supply. This industrialized model prioritizes profits over health and sustainability.
- Nutrition and health have declined. With more processed foods high in sugar, salt, and unhealthy fats being widely available and marketed, Americans' diets have shifted away from whole, minimally processed foods. This is a
- BP operates over 22,000 service stations around the world with a variety of business models. In China, BP has two joint ventures with PetroChina and Sinopec that have grown faster than the market.
- BP focuses on safety, fuel and convenience offerings, brands and customers, and developing talent in its China retail business. It aims to work closely with its JV partners to create sustainable growth and new opportunities in marketing.
- The future of fuels will involve increasing renewable fuels and efficiency to meet environmental challenges, representing great opportunities for BP.
This document discusses the concept of oligopoly across multiple industries. It begins by defining oligopoly as a market with a small number of producers dominating the market. It then provides examples of oligopolies in industries like aviation, soft drinks, telecommunications, and electricity distribution. It examines the characteristics of oligopolies, including interdependence between firms, barriers to entry, and use of non-price competition. Specific case studies are presented on price wars in the Indian aviation industry and the soft drink oligopoly dominated by Coca-Cola and Pepsi.
This document summarizes a research study on the effect of price differentiation strategy on the performance of edible oils manufacturing firms in Kenya. The study used a causal research design and targeted 104 employees from 3 major edible oils firms. The results found that price differentiation strategies like segmented pricing and quantity pricing were commonly used. The study concluded that price differentiation had a positive and significant effect on firm performance measures like sales volume and profits. It recommended that firms adopt price differentiation to improve performance.
1. Introduction
Explanation of economic concepts and theories exhibited
Oligopoly
a) Highlighting the Economic Concepts and Theories
1. Economic Concepts: i) Oligopoly Market
ii) Demand and supply
2. Economics Theories: i) Law of Demand
ii) Law of Supply
Applicability in real world
The Effects to Related Aspects
Lessons Learned
GAIL (India) Ltd is India's largest state-owned natural gas processing and distribution company. It was established in 1984 as a Central Public Sector Undertaking. GAIL engages in several business segments including natural gas, LPG transmission, petrochemicals, city gas distribution and more. In 2013, GAIL was conferred with Maharatna status, providing it greater financial and operational autonomy. It is a pioneer in India's city gas distribution business and aims to achieve excellence across its diverse energy businesses.
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The Indian automotive industry is well-positioned for medium-term growth driven by rising incomes, a growing working-age population, and increasing vehicle affordability. Growth will be led by two-wheelers, which account for the majority of vehicle sales. Factors like fuel economy will also be important as consumers remain price-conscious. While consolidation may occur, the nature of demand differs from global markets, with affordability and alternative fuels influencing trends in India. Overall the outlook is positive based on domestic demand, with four-wheelers expected to gain volumes as more consumers transition to cars.
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Getting more out of indian oil and gas retail sector
1. Getting more out of Indian oil & gas retail sector
Dhanish Ahsen, Sebin K. Joseph, Vaisakh K. V.
Students, MBA, Oil & Gas Management
University of Petroleum & Energy Studies
Abstract
Petroleum retail sector is one of the largest segments of the industry. Petroleum retailing industry in India faces
significant challenges and is forced to adopt new and innovative strategies. Today‟s consumers are demanding, but
tomorrow‟s consumers will be armed and dangerous. So focus is on quality & quantity assurance, rewarding loyalty,
premium fuels, cashless transactions, on-fuel services, quick filling and efficient fore court service. The new look
petrol pumps, apart from dispensing fuels; now offer the best of retail chains providing a value added service to busy
consumers.
Empowered by technology for unprecedented choice, they will demand products and services that meet a constantly
shifting kaleidoscope of expectations, from convenience and affordability to a customized experience and
sustainable sourcing. GOI on April 1, 2002, opened up retail marketing to private and foreign companies. Indian
retail sector gets flooded with innovations of various forms those customers to buy more and spend more. One of the
more visible transformations in the retail business of auto fuels is the recognition by the oil companies that non-fuel
activities could be an important source of revenue at their retail outlets. The retail outlets have the potential to
become a one-stop shop for meeting innumerable needs of the customers on the one hand, and increasing the
revenues of the outlet on the other.
Strong brands drive revenue growth and to drive revenue growth, petroleum retailers may have to either attract new
consumers or increase their share of the existing consumer‟s wallet. Enabling Oil companies to refine its product
offering , improve its brand and enhance customer relationships with targeted promotions. AS companies expand
into nontraditional markets, the barriers between retailers are blurring, creating and exploiting new market dynamics
The expectations of customers have been changing as customer belonging to the trucker community is now
demanding higher levels of product & service delivery. Businesses are putting intense pressure on entire logistics
cost optimization: travel times under scrutiny. Also the urban customer has become more vocal in demanding
services like one Stop Shop, rest & recreation for highway travel, automatic car wash, alliance with automobile
manufacturers to provide service at pumps, allied facilities like ATMs, Cyber cafes, courier services etc.
This paper deals about the innovative marketing strategies used by the National Oil Companies and private players
to attract consumers and build a brand affinity.
2. Introduction
The convergence of several market and consumer trends is fundamentally changing the fuels retail industry in the
world and placing additional pressure on volume and profitability. The growing appeal of alternative fuel sand more
stringent Corporate Average Fuel Economy (CAFÉ) standards are expected to continue for the foreseeable future.
This continuation means that sluggish demand for petroleum will likely be the “new normal” for the industry in the
forthcoming years. Today, more than a dozen alternative fuels are in production and use or are under development,
including compressed natural gas (CNG) ethanol, electricity and hydrogen. As these fuels gain widespread
adoption, they will present a significant competitive threat to traditional motor fuels. This threat is reflected in the
anticipated sales of nontraditional vehicles in the coming years.
A number of trends beyond high oil prices and weak demand are poised to change the downstream competitive
landscape. At one end of the spectrum are structural changes in the refinery business, reflected not only in the
above-average number of spin offs, sales and closures seen but also in the number of recently announced refinery
upgrade projects, which will allow refiners to accommodate new sources and types of crude oil and potentially
increase their capacity. While the effect of these changes on the fuels retail industry is not fully known, it is
anticipated that refinery owners and shareholders will be looking to recoup their upgrade investments and lower
their cost to serve as they try to capture a greater share of a sluggish retail market.
Retailers recognize the crucial role of innovation for the performance of any retail business, but attribute a real range
of meanings to the term. Shortages are seen in relation to technical, leadership as well as project management skills.
The majority of retailers claim to know their markets well and to have little concern that lack of knowledge about
technological possibilities works to prevent innovation. In relation to regulation, the majority of retail firms report
no experience of barriers preventing innovation, although a number of specific issues do emerge. These include: the
availability of allowances for mitigating some of the risks of innovation, as well as a lack of a common agenda
across Government to stimulate investment in sustainable innovation, which often results in conflicting outcomes on
the ground for firms.
The Pricing Mechanism
Under the Administered Pricing Mechanism (APM), product prices were directly administered by the
GoI. The APM was abolished in April 2002. Now the OMCs would be free to set retail product prices
based on an import parity pricing formula. The opening up of domestic refining and retail sector to
private-sector firms, has led to the advent of small private-sector retailing presence in India such as RIL,
ESSAR etc. Per unit subsidies funded from the government‟s budget were maintained on LPG and on a
fixed proportion of supplied kerosene to safeguard the low income population. Now the retail prices for
petroleum products (including prices for domestic kerosene and LPG) are also expected to fluctuate with
changes in the price of India‟s crude basket. The GoI increasingly looked to restrict the ability of OMCs
to increase retail prices in order to protect Indian consumers as the crude prices begin to rise in 2004.
Soon the GoI once again centrally controlling upward price revisions and the post APM model was
dismantled.
The lower product retail prices than crude input prices has been the increasing accumulation of “under-
recoveries” by OMCs. However, the rationalization of petroleum product taxes and duties has been
considerably disturbed and uneven across various levels of administration.
Current policies within India‟s downstream petroleum sector clearly have implications for investment
decisions within this sector, which in turn will determine the way the sector evolves in the medium-term.
As of now, the petroleum product pricing policy seems to be in a situation of inertia.
OMCs & GoI
3. The uniqueness of the relationship of OMC‟s with the GoI has dramatically enhanced the investing
potential of these companies and therefore the dynamic growth of India‟s downstream petroleum sector.
The OMCs will be kept solvent and profitable over time lends was guaranteed by the government
provides OMCs huge advantages when raising capital for investment in financial markets. With OMCs‟
assistance, the Indian government has been able to pursue its official policy of providing affordable
energy for India‟s developmental needs and its significant poor population. At the same time, by
absorbing OMCs losses under this system and explicitly guaranteeing their operations, capital financing
and investments, the government has created an investment climate for OMCs which has resulted in
robust capacity expansion and growth sector wise. The GoI aims to establish India as a global refined
product exporting hub, instructing OMCs to take a more outward-oriented operating posture, and on the
other hand encouraging private-sector refiners to invest in export-oriented refining capacity.
The measure of India‟s refined product export capacity over time will be the build-up of excess refinery
capacity over domestic demand. India‟s actual refined product export volumes are bound to surpass the
aggregate of excess capacity. OMCs look to first supply the Indian market, and then to export the balance
of refined product produced. Private-sector refiners have no operational directive to first supply domestic
markets so they will tend to produce a product schedule which optimizes total refining margins from
period-to-period, and will sell to customers, irrespective of location, to allow this. There is thus the
possibility of a situation in India of large exports of refined products in parallel with product imports to
satisfy domestic demand.
Need for a transition
Over the past several years, many of the Oil Marketing Companies have announced an exit from company
owned and operated businesses. Several forces are driving this shift. First, oil companies have recognized
that they generate far less profit from retail operations than they do from their upstream operations.
Moreover, oil companies have proven less effective as retail-site operators than as fuel suppliers, and their
overhead costs are typically not competitive with those of standalone, non-oil company retailers. In
addition, there is growing pressure for oil companies to improve returns on invested capital—which have
proved more attractive in the upstream sector. The most common point of contact of customers with Oil
Industry is the Petrol Pump. In Oil Industry vernacular, Petrol Pumps are referred to as Retail Outlets
(ROs). As per the existing Government policy, Petrol Pumps can be set up by Public Sector Oil
Companies as well as Private Sector oil Companies dealing in storage and distribution of petroleum
products as per published guidelines. Presently the Oil Companies engaged in retail business of
automotive fuels are IOC, HPC, BPC, NRL, MRPL, ONGC, RIL, Essar and SHELL. These companies
are referred as Oil Marketing Companies (OMCs).
Emergence of new age consumer in the fuel retailing sector
A pivotal area for fuels retailers to consider is product/service innovation or offering something entirely
new that will help attract and retain customers and, at the same time, capture new revenue streams.
Partnerships can potentially help retailers take advantage of such new revenue opportunities. This is
especially true if retailers are able to share and leverage customer information. In fact, at least one major
auto manufacturer leverages customer and telematics system data to generate unique leads and email
marketing campaigns to support the growth of local dealer businesses.
Customer relevance is an increasingly important concept to retailers striving for high performance,
especially given consumers‟ desire for highly personalized offerings and experiences. By developing a
better understanding of the consumer and the marketplace than their peers, fuel retailers can deliver more
4. appealing products and services to their customers across multiple categories. The key to improving the
revenue potential of each customer lies in understanding as much as possible about buyer‟s needs
preferences and purchasing behaviors. Building customer analytics capabilities can pay off in a number of
ways and allow fuel retailers to truly engage with their consumers at the local level.
Incorporating integrated telematics systems
The customers can now locate the nearest gas station from sophisticated integrated telematics systems or
via a smartphone app which are quite common which also helps to compare prices at nearby stations. The
regional players could notify customers about fuel price changes and allow them to purchase fuel in
advance or monitor prices via their smartphones. Smartphone app can help customers to prepare their
shopping lists, download coupons and check their fuel rewards balance. As the demand for fuel declines,
incorporating innovative use of technology to attract, retain and engage customers will become a
determining factor in achieving competitive advantage.
At the other end of the downstream spectrum is the continued expansion of hypermarkets and other
nontraditional fuels retailers. With their combination of forecourt and backcourt offerings, hypermarkets
offer attractive retail alternatives for fuel consumers and will likely continue to build more brand loyalty
and market share. Addressing the challenges and opportunities that will accompany these changes
requires players in the fuels retail space to reexamine and adapt their existing business models,
technologies and business practices. Those players that fail to do so risk losing market share and the
competitive advantage that will reinforce high performance in the years to come.
Partnership with auto manufacturers .
The companies could partner with auto manufacturers to transform existing pricing models. In a potential
partnership scenario, automakers could include the price of the supplier‟s fuel for one, two or three years
into the purchase or lease price of the car. Offering a purchase incentive that significantly reduces the cost
of gasoline at select stations for a period of time. In either case, auto buyers would then be able to fill up
at any of the suppliers‟ stations during the offering period without paying for fuel, or doing so at a steeply
discounted rate. As such the days of searching for the best gasoline prices would be over. Automakers
have already indicated their willingness to use such pricing schemes as a way to attract customers.
Locking in of fuel rates .
For producers and suppliers, volume commitments might help ensure a secure foothold in a market where
overall demand is falling and improve brand loyalty. For wholesalers, the value of pricing transformation
lies in potentially saving money by locking in favorable fuel prices. For retailers, lock-in rates or
partnership agreements might require more flexible onsite payment processing and/or accounting
applications to accommodate the new pricing structures. Costs associated with implementing new systems
and point of sale terminals would likely be offset by the benefits of the new pricing programs, including
increased foot traffic and, presumably, additional sales of other products sold at their locations. Similar
online programs are emerging for individual drivers too. MyGallons.com, for example, allows US
consumers to buy gasoline at current prices and use gallons from their fuel reserve when prices rise. Fuel
credits are stored on prepaid gas cards, which can be redeemed at a number of filling stations across the
country.
Near field communication technologies (NFC) .
Consumers today are starved for time. They want to carry out their purchase transactions as quickly and
easily as possible. In this context, mobile applications that enable multiple transactions via a single device
could simplify the customer experience. NFC or near field communication technologies will be
particularly prominent in the mobile phone market in future which facilitates data exchange and wireless
connections are bound to take customer convenience to a brand new level.. According to market research,
NFC enabled mobile phones will make up more than 53 percent of the mobile market by 2015. At that
time, NFC is expected to also be the most-used solution for mobile payment. What is more, NFC is
5. expected to enable mobile wallets, providing customers the opportunity to combine payment, loyalty,
offers and coupons at the point of sale.
Google Wallet, an Android app that turns shopper‟s smartphones into their wallets, provides an early
example of how NFC enabled smartphones and mobile wallet solutions can potentially change the retail
game. By storing virtual versions of existing plastic cards on a phone, customers can simply tap their
phone on a retailer‟s reader to send payments automatically and, at some merchants, redeem offers and
transmit loyalty account information so they can earn rewards for their purchases.
The emergence of apps as described here may be as valuable to retailers as they are to consumers. This is
because these apps present an opportunity to shift consumers to less expense forms of payment. Each time
a customer uses a mobile wallet or text app rather than a credit card, the retailer may be able to avoid
some of the credit card fees that have historically diminished retailer‟s already thin profit margins.
Additionally, mobile payment technologies are already boosting customer loyalty and enabling the
delivery of advertising that will play a bigger role in driving revenue than the actual payment
functionality. In the future, it is assumed that every mobile wallet will have a loyalty and advertising
scheme included. Fuel retailers have a unique opportunity to achieve first-mover advantage by
incorporating these mobile technologies into their business models.
Importantly, they also can position wholesalers as better, more committed customers to suppliers. In the
past, when demand was high and supply was limited, being a good customer was not a consideration.
Now, as the market for fuels retail is shrinking, refiners can be more selective in choosing their wholesale
customers. Those wholesalers and retailers that can demonstrate a commitment to creating a branded
experience and more meaningful customer relationships are likely to be viewed more favorably.
Social Media
Social media applications can play a big role in learning about customers and ultimately creating a more
dynamic and rewarding interaction. The retailers for example, could post special sales announcements for
their followers on various social networking sites. Launching of mobile coupons that are redeemable only
in their stores enhances brand loyalty further. Further, the retailers could once again combine a global and
local perspective in their use of social media to not only promote branded loyalty programs, but also offer
unique and highly valuable experiences that local consumers want.
Back Office Integration
With the help of information technology a real time system that could be integrated with retail outlet and
marketing company to get data on stock available, sales and even can be used to assure the quality.
6. With this cloud computing and software as a service (SAAS) will turn out to become the industry norm,
retailers will then look forward at how this can be leveraged to reduce Total Cost of Ownership and
enhance flexibility.
Stock reconciliation
In order to make it easy to downsize spend time counting and accurately checking both „wet‟ and „dry‟
stock and inventory. These systems can do this with accurate methods to ensure that data is flawless.
Data upload
This can focus on replenishing the stock at retail outlet and thereby increasing supply chain efficiently
instead of waiting for each retailer to call and make order. This arrangement can use a single tanker to fill
multiple outlet. It is concerned with controlling data, with the consideration of price and quantity. From
this, stock is managed and sent directly to stores from a centralized system.
Point Of Sales
The back office system with the marketing company will then send accurate findings to the point of sale
at retail outlet, illuminating the correct site for specific items.
Quality & quantity based differentiation
Customer are still cynical about Quality & Quantity, Its most important from a customer perspective to
get an assurance that the fuel provided to them is of utmost quality and perfect quantity. A large base of
„trust seeker‟ segment exists who would be loyal to a company for a long time if they are satisfied with
the Quality and quantity provided to them. Challenges are organization wide implementation of checks &
balances and communication of the same to customers. Companies are coming out with various anti-
adulteration measures to give the customers the best quality of fuel.
Customer Evolution
Customers today equipped with superior control over the transactions and the information in hand are
now in a position to demand more from their retailers. The expectation level has also risen with more
Terminal
• Replenishment system linked to stock monitoring at RO
• Product filling by bulk meters and automated process
Transportation
• Comprehensive sealing mechanism
• Vehicle monitoring and tracking system (telematics)
Retail Outlet
• Automated system for tank gauging and wet-stock reconciliation
• Exception reports for online monitoring of stocks
• Remote diagnostics
Customer
• Accurate preset premix deliveries to 2/3 wheelers
• Electronic calibration and tracking of metering assembly of dispensing unit
7. emphasis on tailored and personalized products, integrated shopping experience, accessibility,
convenience than ever before. With high level of price and quality discovery through vast quantities of
information at their disposal consumers now can exercise greater control over transaction than ever
before.
Retailers today have an unprecedented amount of data at their disposal for attracting and retaining
customers, driving pricing strategies and shaping customer offers. The real challenge lies in optimizing
the access, analysis and use of that data to unearth new sources of revenue. Additionally, the proliferation
of personal technologies makes it possible for retailers to not only better understand and reach their
customers, but also keep their attention long enough to influence their purchases. While the technical
solutions that support fuel retailers‟ strategic objectives will certainly vary, we believe investments must
already be made in three areas: mobility, social media and analytics. Investing early in these technologies
will help fuels retail companies distinguish themselves from their peers.
Conclusion
Impending changes in the retail sector, like supply and demand imbalances, the emergence of alternative
fuels and new customer expectations, are going to ultimately alter how fuels retail companies go to
market, attract and retain customers, and achieve profitability. Fuel retail industry focusses mainly to
setback the challenges put forward by supply and demand imbalance. In this decade of market de-
regularization with customers ready to pay for the fuel without any hesitation from administered pricing
mechanism to market pricing mechanism focus will be mainly on the and look for better quality and
service for the customers. National oil companies particularly oil marketing companies will have to
overcome challenges put forward by the emergence of alternative fuels, new players coming up in the
retail segment and new customer expectations. This in turn will have a big impact on the overall value
chain to improvise the existing strategies and set to become truly global and compete in open market with
these changes will fundamentally alter how downstream companies go to market with new plans to attract
and retain customers and ultimately achieve profitability. Examples from other industry sectors suggest
how fuel retailers can thrive while navigating the new fuels landscape. New pricing schemes, new
revenue sources and new ways of interacting with customers are just a few of the strategies poised to play
an important role in defining fuel retailers‟ future success.
A convergence of changing technology, increased regulatory and competitive pressures, disruptive market
dynamics, and emerging consumer trends will bring dramatic change to the fuels retail industry over the
next decade. The pace of change will continue to accelerate, straining legacy processes, systems and
skills. Understanding what the future might look like and having a plan to compete in a new competitive
environment are essential considerations for companies looking to achieve and maintain high
performance in the years ahead.
References
Fragmented
Customers want
tailored and
personalized
products, services
and
experiences.This
means they are
harder to target
InterConnected
Customers expect a
brand experience
across multiple
channels and touch
points. This means
they are harder to
reach and engage.
WellInformed
Customers are more
knowledgeable than
ever before and are
comfortable
integrating
technology into
their lives.This
means they are
harder to impress.
Time-starved
Customers want a
convenient
experience, as well
as the accessibility
and transparency
needed to make
informed
decisions.This
means they are
harder to please.
Conscious
Customers are
concerned about
value and about
their health and the
environment.This
means it is harder to
win their trust.
8. Accenture. (n.d.). Fuels retail.
BPCL. (n.d.). Retrieved 02 05, 2014, from www.bharatpetroleum.in.
IBEF. (n.d.). Oil & Gas Market & Opportunities.
IOCL. (n.d.). Retrieved 02 06, 2014, from www.iocl.com
Kieran Clarke, D. G. (2010). India's downstream petroleum sector. IEA.