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Rahul final ppt pure elements
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- 2. 4th Largest sector in Indian economy 27.86% CAGR FMCG market inIndia by 2020F 9.7% rise in Rural Consumption 8.6% rise in urban consumption 850 million Online users by 2025 venture capital fund of $ 14.74 mn to invest in FMCG startups. FAST MOVING CONSUMER GOODS (FMCG) 2030F 11% 2018 1.3% E-COMMERCE CONTRIBUTION FDI 100% Single Brand Retail 51% Multi Brand Retail www.ibef.org
- 3. 5Key Trends in FMCGsector Favourable FDIpolicy government initiatives Rising incomes drive purchase Good and Service tax Digital transion evolving trade channels Rise in rural segment 250.00 200.00 150.00 100.00 50.00 0.00 2011 2012 2013 2015 2018 2020F INCOME 12.30 12.10 14.80 18.92 23.63 220.00 Rural FMCG Market (US $ billion) Rural-focused companies at the sweet spot • COLGATE • DABUR • EMAMI • HINDUSTAN UNILEVER • MARICO INDUSTRIES www.ibef.org
- 4. Market Size • TheRetail market in India is estimated to reach US$ 1.1 trillion by 2020 from US$ 672 billion in 2016, with modern trade expected to grow at 20 per cent - 25 per cent per annum, which is likely to boost revenues of FMCG companies. In 2016-17, revenue for FMCG sector have reached US$ 49 billion and is expected to grow at 9-9.5 per cent in FY18 17.3 21.3 24.2 30.2 34.8 36.8 44.9 46.1 47.3 49 103.7 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2020F FMCG Market in India (US$ billion) FMCG Market in India (US$ billion)
- 5. Porter’s 5 forcemodel
- 6. THREAT OF NEWENTRANT : • Brand loyalty • Economies of scale • Switching cost • Access to distribution channels COMPETITIVE RIVALRY: • As more and more brands are entering, this industry is becoming more and more fragmented. • Industry concentration • Quality differences • Diversity of competitors THE BARGAINING POWER OF SUPPLIERS: • Supplier switching costs relative to firm switching costs • Degree of differentiation of inputs • Presence of substitute inputs • Employee solidarity (e.g. labor unions) THE BARGAINING POWER OF BUYERS: • Influence of marketing strategy • Buyers ability to substitute • Buyers information availability • Price sensitivity THREAT OF SUBSITUTION • HIGH because of presence of multiple brands • Narrow product differentiation under many different brands • Pressure of competitive pricing • Buyers propensity to substitute • Perceived level of product differentiation
- 7. Company information PURE ELEMENTS- where the purest elements of nature are handcrafted into wellness products – is a brainchild of a young doctor couple, Dr. Anand Mandhane , M.D.(Ayu Med) & Dr. Suteja, an ayurvedic consultant. • PURE ELEMENTS, believe that the natural and result oriented products need not be exorbitantly priced. they go to the greatest extent to give our customers the best value for their money. • PURE THINKING PURE INGREDIENTS PURE ELEMENTS • Continuous trials and feedback from their spa guests helped the doctors better understand their clients’ preferences.
- 8. • Strategy • Availableon digital platforms • Purity in products • Featured products • Product made with Organic material • Small operations • Low level of awareness in the market • Need to focus on advertising • Pricing • Diversity • Huge operational cost • Increasing Availability of Small and Affordable Products • Introduction of Innovative Products with Multiple Benefits • Rising Women Participation in Workforce • Changing Distribution Strategies • Competition • Organic makeup s wo T
- 9. It comes underSKIN CARE & the ranges are FACE CARE FACE CLEANSER FACE PACKS FACE SCRUBS
- 10. Competitor Analysis THE BODYSHOP- One of the leading healthcare and cosmetic brand, the body shop creates products that don’t just look beautiful but also have a really good impact on the health of facial as well as body skin. The products can be easily found at the many outlets of the brand at malls and shopping complexes. HIMALAYA- Himalaya is one of the oldest and trusted skincare brands in India. Their products are organic and fragrant as well as moderately priced. They are well known for their face cleansers and scrubs that contain some really beneficial ingredients such as apricots and walnuts. LOTUS HERBALS- Lotus Herbals are well known for their lotions and moisturizers as well as other skin care products such as face packs. Their SPF Sunscreen lotion is a very famous and loved product because of its matte effect and visible results. KHADI NATURAL- Khadi Naturals produces some of the best herbal products for skin care. Not only are these products organic but so is their packaging that can be easily reused or recycled. Their products such as bath salts, body and lip scrubs as well as balms are very famous. VLCC- VLCC believes in building and developing skin care. Their facial products also come in a variety of kits such as facial kit as well as clean up kits that contain essential oils, scrubs made out of fruits and other such organic ingredients. 1 2 3 4 5
- 11. MARKETING MIX PRODUCT • FACECARE • HAIR CARE • BODY CARE • KIDS CARE • WELLNESS Retailers Manufacture C/F Customers Wholesalers PLACE DEPARTMENTAL STORES, SUPER MARKET, HYPERMARKET, ONLINE PLATFORM www.bloomberg.com
- 12. • Competition • Performanceof competitors • Advertise more • Increase distribution channel • Introduce more herbal products • To be store in cool and dry place • Melting issue • Add more value in product • Made with natural ingredients • Ayurvedic herbs product • No harm to skin • Free from artificial colors, mineral oil and parabens STRENGTHS WEAKNESS THREATSOPPORTUNITIES
- 13. Plot the PLCof the product These products are in GROWTH STAGE because The growth stage is the period during which the product eventually and increasingly gains acceptance among consumers, the industry, and the wider general public. During this stage, the product or the innovation becomes accepted in the market, and as a result sales and revenues start to increase.
- 14. • Pure elementsfocused on kids from 5 year of age to women up to 50 year • Individual who are concerned about their skin and hair and looking for natural treatment. SEGMENTATION • Target men, women and kids. • Targets upper class and middle class as they are willing to pay Rs. 200 for moisturizer. TARGETING • Pure elements moisturizer is positioned as a personal care beauty product. • It is positioned its products under ayurvedic category POSITIONING
- 15. BUSINESS FINANCE Company performedwell during 2017-18 with steady growth in its revenues and profitability. Sales of the company went up by 8.01% to 84.02 crore Profit After Tax recorded increase of 12.68% to 12.83 crore March 31, 2018 = 1265.83 8,454.02 ∗ 100 = 𝑀𝑎𝑟𝑐ℎ 31, 2017 = 1068.47 7,827.20 ∗ 100 = Gross Profit and Net Profit Margin of the company
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- 18. Skills sets requirein company General skills Multi-Tasking Good marketing tactics Communication skills (listening, verbal, written) Interpersonal skills Problem solving skills Knowledge about natural ingredients Analytical skills
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