1
A REPORT ON
A Study on Market Potential of UltraTech Building Product
Division in Delhi NCR
A report submitted in partial fulfilment of the requirements of
Post Graduate Diploma in Management (2014-16)
By
Abhinav Nandy
Roll No. 14DM075
PGDM (2014-16)
IDCO Plot No.2, Gothapatna, Bhubaneswar 751003
Industry Guide:
Mr. DeepakPruthy
Designation:NorthMarketingHeadof
BPD
Full Postal Address: Pacific Business
Park, site 4 Sahibabad, Ghaziabad-
201010
Faculty Guide
Prof./ Dr. SandeepKumarMohanty
Designation:AssistantProfessor
Department:Marketing
BIMTECH, Bhubaneswar
2
ACKNOWLEDGEMENT
This project bears the imprint of many people who have assistedme in the successfulcompletion
of this report. I gratefully acknowledge the contribution of all the people who took active part and
provided valuable support to me during the course of this project.
To begin with, I would like to offer my sincere thanks to UltraTech for giving me an opportunity
to do my summer internship with the esteemed organization.
With due reverence, I acknowledge the valuable support of “Mr Deepak Pruthy, Marketing
HeadNorth”,for giving me the opportunity to do my summerinternship under his / her guidance.
‘Without his/her guidance, support and valuable suggestions during the research, the project
would not have been accomplished.
My heartfelt gratitude also goes to the entire UltraTech Building Product Division for their co-
operation and willingness to answer all my queries, and provide valuable assistance.
I also sincerely thank Prof Sandeep Kumar Mohanty my faculty mentor at BIMTECH, who provided
valuable suggestions,shared his rich corporate experience, and helped me scriptthe exact requisites.
Last, but not least, I would like to thank all Dealers for sharing their experience and giving their
valuable time to me during the course of my project.
Abhinav Nandy
PGDM (2014-16)
Roll No. 14DM075
BIMTECH, Bhubaneswar
3
Declaration
I, Abhinav Nandy, a student of Birla Institute of Management Technology (BIMTECH), hereby
declare that I have worked on a project titled “Market Potential of UltraTech Building Product
Division” during my summer internship at UltraTech in partial fulfillment of the requirement
for the Post Graduate Diploma in Management program.
I guarantee/underwrite my research work to be authentic and original to the best of
my knowledge in all respects of the process carried out during the project tenure.
My learning experience at Company Name, under the guidance of Industry Mentor Name,
Designation, and Faculty guide Name, Designation, has been truly enriching.
______________
(Abhinav Nandy)
Roll No. 14DM075
PGDM (2014-16)
Date: 20,6,2015.
4
Letter of Transmittal
Date: 20/06/2014
Mr. Deepak Pruthy,
Pacific Business Park, Block A, 4th floor, 37/1, site 4 Sahibabad, Ghaziabad-201010
Dear Sir,
Re: Summer Project Report
Thank you very much for giving me this opportunity to associate with your company as an
Internee.
Attached / Enclosed is a copy of my summer-project report “Market Potential Of UltraTech
Building Product Division” which I am submitting in order to mark the completion of an Eight-
week summer internship at you organization. I prepared this report using the best of
practices. It summarizes the work performed on the project and is being submitted in partial
fulfillment of the requirements for award of diploma.
I take this opportunity to mention that the overall experience with the organization was very
good, and helped me to know how work is carried out in real practice with the help of your
esteemed organization. I feel honored that I got an opportunity to work with UltraTech a
company of great repute.
I hope I did justice to the project and added some value to the organization.
Suggestions/comments would be appreciated.
Yours truly,
Abhinav Nandy
PGDM (2014-16)
Roll No.14DM075
5
Table of Contents
I Title Page Page No.
II Acknowledgement 2
III Declaration 3
IV Letterof Transmittal 4
V Letterof Authorization
VI Table of Contents 5
XI. Executive Summary 6
1. Introductiontothe company 7-8
2. 2.1 Aboutthe products 9-13
2.2 Salesvolume throughoutthe nation 14
3. Literature Review 15-16
4. SWOT Analysis 17
5. Typesof Distribution 18
6 Objectives 19
7. 7.1 ResearchMethodology 20
7.2 ResearchDesign 20
7.3 SamplingTechnique 20
8. Data Analysis 21
8.1 Price Analysis 21-26
8.2 Interpretation 21
8.3 TargetedCustomerAnalysis 27
8.4 Interpretation 28
9. 9.1 SalesVolume Analysischart 29
9.2 Interpretation andTable 29
10. 10.1 Market share by comparingthe competitors 30
10.2 Competitorstable 30
11. Limitation 31
12. Conclusion 32
13. Recommendations 33-34
13. Reference 35
15. Appendix 36-37
6
EXECUTIVE SUMMARY
The topic for this project is “Market Potential of Building Product Division of Ultra Tech Cement
through Dealers’ network in various parts of Noida and Ghaziabad”, assigned to me by Ultra Tech
Cement which has a new department named Ultra Tech Building Product Division.
The market potential of Building Product Division is based upon primary and secondary research.
This report shows the data which is collected from UltraTech Cement dealers only. The whole project
is done on potential of this division catering the UltraTech Cement Dealers. The project starts where
I have provided a brief introduction where I have discussed about the company and about the six
new different products of Building Product Division. Then I have gone on to briefly what kind of work
was carried out and what kind of data was collected. Basically, all the Ultra Tech Cement Dealers
were visited and was made them aware of the products and the targeted customer for this kind of
product was to be determined from the dealers and take feedback on how to pitch the product.
My report started with preparing questionnaire for dealers which carters all the aspect of the
Building Product. This report also shows what is the dealer’s opinion on what should be the price of
the products? This project has tried to show this with the help of pie chart. The main problem which
was discovered while visiting the dealers was lack of awareness and the products high pricing.
While going ahead with this report one can get the idea who are the competitors of this product.
Though among this six product only 3 products have competitors i.e. PowerGrout, Xtralite and
Fixoblock. Moreover Xtralite is yet to launch in the market. Then in the statement of problem section
I have discussed the nature of my problem and the various objectives that were entrusted to me by
the organization. All of it has later been dealt with in the analysis section.
This report also shows what kind of distribution should be taken up by the company in order to
increase the market share of the division and sales data volume of Delhi NCR is also shown and
analyzed and finding out the market potential by analyzing the competitors sales data of Seal & Dry.
In the analysis section,Ihave worked on whatever data I had collected. The report start by the nature
of the cement market in India which is then followed by the distribution pattern that is followed in
Delhi. Finally this report brings a set of recommendations and conclusions which help in bringing
forward the main essence of the work that has been done. Point Of Display is what all the dealers
suggested and price and lack of man power is the main drawback which the project came across.
7
ABOUT THE COMPANY
The AdityaBirlaGroup enjoyspride of place amongFortune 500 corporationsworldwide.The Groupmarkits
dominatingpresence acrossmanyindustrieswhichincludestextiles,chemicals,cement,metals,agribusiness,
carbon black, insulators, telecommunications,and financial services. Aditya Birla Group has stepped into 36
countries including Australia, Bahrain, Bangladesh, France, Germany, Hungary, India, Indonesia, Italy, Ivory
Coast, Korea, Laos, Poland, Russia, Singapore, Spain, South Africa, Turkey and etc. It is of no wonder that
Group’s overseas operations account for over 53 percent of its total revenue.
Ultra Tech Cement is the largest exporter of cement in the worldwide and clinker with exports to countries
aroundthe IndianOcean,Africa,Europe,andthe MiddleEast.UltraTechisa360 buildingmaterialdestination
providingahostof productsfromfoundationtofinish.UltraTechhassegregateditsbusinesstocaterall type
of customers. It’s product starts from grey cement (Ultra Tech Cement) to building solutions( Ultra Tech
Building Solutions) and an assortment to ready mix concretesand specialty concretes(Ultra Tech Concrete)
catering to varied needs and applications of the construction industry.
UltraTech Cement Ltd. is the largest manufacturer of grey cement, Ready Mix Concrete (RMC) and white
cement in India. It is also one of the leading cement producers globally with 21,000cr annual turnover.
With its significant presence in grey and white cement, concrete, building products and building solutions,
UltraTech isa one-stopshopforall primaryconstructionneeds.Itsmeteoricrise asthe largestcementbrand
in India reflects the organization’s focus on cutting edge technology, research and technical services.
UltraTech’s subsidiaries are Dakshin Cements Limited, Harish Cement Limited, Gotan Limestone Khauj
UdyogPrivate Limited,Bhagwati Limestone CompanyPrivate Limited,UltraTechCementLanka(Pvt.) (Ltd.),
UltraTech Cement Middle East Investments Limited, PT UltraTech Mining Indonesia and PT UltraTech
Investments Indonesia.
UltraTech parent company, the Aditya Birla Group, is in the league of Fortune 500 companies. It employs a
diverse workforce comprising of 120,000 employees, belonging to 42 different nationalities across 36
countries.The Grouphasbeen rankednumber4inthe global 'TopCompaniesforLeaders' surveyandranked
number 1 in Asia Pacific for 2011. 'Top Companies for Leaders' is the most comprehensive study of
organizational leadershipinthe world conductedby Aon Hewitt,Fortune Magazine and RBL (a strategic HR
and Leadership Advisory firm). The Group has topped the Nielsen's Corporate Image Monitor three years
in a row -- 2012-13, 2013-14 and 2014-15 as the number 1 corporate, the 'Best in Class'.
UltraTechCement:UltraTechisIndia'slargestexporterof cementspanningexportmarketsincountriesacross
the IndianOceanand the Middle East. UltraTech and its subsidiarieshave a presence in5 countriesthrough
12 composite plants, 1 white cement plant, 1 Wall Care putty plant, 1 clinkerisation plant in the UAE, 16
grindingunits(12inIndia,2inUAE and 1 eachin BahrainandBangladesh) and6bulkterminals(5inIndiaand
1 inSri Lanka) and97 RMC plants.Mostof the plantshave ISO9001,ISO14001 andOHSAS18001 certification.
In addition, two plants have received ISO 27001 certification and four have received SA 8000 certification.
8
UltraTechproductsinclude OrdinaryPortlandcement,PortlandPozzolanacementandPortlandblast-furnace
slag cement.
UltraTech Concrete: UltraTech's Specialty Concrete is concrete speciallydesigned to achieve one or more
properties, behavior, composition or performance. It is usually superior when compared to conventional
concrete.Specialtyconcrete hasmultiple applications.Itis designedspecificallyfora typical endapplication
ina project.Specialtyconcrete needsspecialcapabilityintermsof resourcesandqualityassurancetoachieve
the desired end results. All products bearing the UltraTech Concrete tag are manufactured in 101 state-of-
the-art plants spread across 35 locations in India. More plants are being planned across India.
UltraTechBuildingSolutions:UltraTechBuildingSolutions(UBS) isanovel conceptinthe IndianConstruction
Industry. It is a one-stop shop designed on the "plan, build and support" philosophy, which offers home
building solutions right from planning to completion. UBS is based on a franchise model that caters to the
building and construction needs of the individual home builders as well as the building and construction
fraternity.
UBS retail outlets offer a wide range of rudimentary construction products and value-addedservices that
include technical advice during construction, construction cost calculator, vaastu consultancy, product
training in all categories and technical meets for customers.
Birla White:BirlaWhite,the leadingwhite cementbrandinIndia,haspositioneditself asthe "WhitestWhite
Cement". Birla White commenced production of white cement in 1988. Since then, the consumer has been
exposed to the endless possibilities of applications with white cement. Birla White was also quick to gauge
and understand the customer pulse and his growing aspirational requirements. In the process,it developed
and introduced a slew of innovative, white cement-based surface finishing products.
The current portfolio includes:
 WallCare Putty,
 Levelplast
 GRC and Textura. Among them, they facilitate care for walls and augment interior appeal
With a view and a vision to become India’s first ever building materials destination. Ultra Tech Cement has
launched Ultra Tech Building Product Division. This division provides a complete portfolio of end to end
solutions, covering the complete spectrum of constructions, vis-a-vis
1) Ultra Tech SEAL & DRY (Total Waterproofing Solution)
2) Ultra Tech SUPER STUCCO (Polymer Modified Mortar)
3) Ultra Tech XTRALITE (Lightweight Autoclaved Aerated Concrete Blocks)
4) Ultra Tech FIXOBLOCK (Thin Layer Jointing Mortar)
5) Ultra Tech READIPLAST (Plaster)
6) Ultra Tech POWERGROUT (Quick & Strong Anchoring Solution)
9
UltraTech SEAL & DRY
UltraTech- SEAL & DRY is a cement based water proofing coating for concrete and masonry surfaces. It is a
single component, polymer modified coating that offers an incrediblyhigh withstanding capacity of 7 bar
waterpressure onpositiveside.Itisavailableasadry powderandbefore use itismixedwithwaterinproper
proportion. Before the use preparation of the surface of the substrate is
essential.
FEATURES
 Afterthe applicationitimmediatelyformsaflexiblelayeronthe surface.
 The level of effectivenessis very high for positive sides of hydrostatic
pressure.
 The capacity of crack bridging is 0.5mm.
 Highly resistance to UV and Infrared Rays.
 Suitable for all portable water tanks since it is non-toxic in nature.
BENEFITS
 No water curing is required post application.
 After proper surface preparation Seal & Dry can be applied on old and new surfaces.
 No additional dead load is required on structures after the application of the product.
 Surface gets ready for any kind subsequent application after 48 hours.
UltraTech FIXOBLOCK
UltraTech FixoBlock isa versatile thinjointingmaterial forjoiningAACblocks,
flyash bricks,concrete blocksetc. Thismortar is speciallydesignedtoprovide
stronger, much more durable bonding between the blocks with superior
adhesive strength. It replaces conventional cement and sand mix mortar.
FEATURES
• Itismade fromauniquecombinationof cement,gradedsandandproprietary
additives.
• The unique chemical combination enables this mortar to be more compact, thinner and stronger.
• At only 3 mm thick, it is far thinner than the conventional mortar which is between 12-18 mm.
FIG 1.1
FIG 1.2
10
• Beingpre-mixeditiseasy to use and also ensuresthe compactionof interlockingbricksmakingthe bonds
tougher and more durable.
BENEFITS
• Thinner jointing material with very high adhesion strength. Improves overall masonry strength.
• Pre-mixed and ready to use. Only water is to be mixed at site.
• Eliminates lengthy process of site mixing, transport and storage of all individual materials.
• No water curing is required after application.
• Easy to mix. Much faster to apply due to its superior flow ability and water retention properties.
• Thinner layer of application for lesser shrinkage and seamless structure.
• Economical - quantity of mortar is far less than conventional mortar.
• Seepage/waterpercolationthroughjointsisnegligible due tobetterbindingof mortarwithmasonryunits.
• Ready for subsequent application like plastering just after 24 hours of application.
• Raking of joints is not required before plastering.
UltraTech SUPER STUCCO
UltraTechSuperStuccoisa versatile facingmaterial thatcanbe appliedtoanyflator
undulating surface and can be used as a base coat for interiors or as final finish for
exteriors. UltraTech SuperStucco can be applied directly over smooth concrete
surfaces without hacking and generally requires no curing after application.
FEATURES
SuperStucco is used as a coating for walls and ceilings.
• Application can be manual or sprayed by machine.
• It can be applied directly on a concrete surface. No hacking is required.
• SuperStucco can be used as a base coat on plasters for interiors that can be painted after 24 hrs.
• Only water needs to be added, easy to mix and application is much faster.
• SuperStucco has a very high tensile adhesion strength and hence higher bonding with the base
material.
• Does not require any water curing.
FIG 1.3
11
• SuperStucco is pre-mixed and hence hassle-free, involving no cumbersome mixing of cement and
sand at site.
• Mixing is easier and application is much faster.
• The applicationcanbe as thinas 2-3 mmor as thickas 8-10 mm, dependinguponthe requirement.
• UltraTech SuperStucco can be used as a crack filler for external walls, in repairing old plastered
surfaces,inrepairof shrinkage cracksin parapetwalls,inrepairsafterplumbing/electricalworksetc.
BENEFITS
• Highlyeconomical.Eliminatesthelengthy,cumbersomeprocessoftransportingindividualmaterials
and mixing on site.
• Saves time and labor as it is pre-mixed, requiring only water to be mixed at site.
• Consistent and assured quality, as it is pre-mixed.
• No water curing required.
• No crack formation during drilling or plumbing work.
• Does not flake when in contact with moisture.
• Cement based, ensures better bonding with the substrate.
• Allows subsequent application of putty or paint just 24 hours after application.
• Provides better breathability for walls.
• Can be applied over moist surfaces.
• Highly durable.
• Excellent crack-filling properties.
UltraTech READIPLAST
UltraTech READIPLAST is a ready mix cement plaster/render with high quality polymer additives. It can be
used on inner and outer walls. READIPLAST can also be used efficientlyon brick,
block, stone walls as well as concrete surfaces. It provides an even surface on
which tiling can be done faster and efficiently.
FEATURES
 READIPLASTis usedinplace of traditional plastering
 It isa convenientandeasy-to-use plasterthatisstronger,looksnice and
bindsbettertoitsbase
 Preparedwithamix of special bindersandadditives,READIPLASTis
waterresistantwithhighqualityandsustainability
 WallswithREADIPLASThave lesschancesof developingcracks
 READIPLASTisa plastermade bythe rightcompositionof raw materials
 It passesthroughstringentqualitycontrolsandmade withgradedsandwhichenhancesthe
durability
BENEFITS
FIG 1.4
12
 Smooth plaster
 Less curing
 Time saving and least rebound
 Light-coloured plaster walls with uniform quality
 In most places, sand contains silt or mud which deteriorates plaster quality. Since UltraTech
READIPLAST doesn`t have sand or silt, the quality of plaster is not affected.
UltraTech POWERGROUT
POWERGROUT isa cementbasedmaterial consistingof OPCcement,additivesandgradedsand.Itisa ready-
to-use drypowder,greyincolor,free flowing.The productisdesignedtoprovide
high-early strength in very short span of time by mixing optimum quantity of
water.
FEATURES
 Ready-to-use with moisture proof packing
 Gives non-bleeding homogeneous mass
 Enhanced workability (Pot life) gives more time for application
 No expansion/shrinkage in grout ensuring reliability
 Develops high early strength within 24 hours
 Requires less curing
 Better consistency, durability and high ultimate strength ensuring superior quality
 Self compacting eliminates the need of vibration
UltraTech XTRALITE
UltraTech XTRALITE is a Lightweight Aerated Autoclaved Concrete (AAC) Block.It is suitable for multistoried
structuresas it islighterinweightthan standard size bricksand blocks.UltraTech XTRALITE is manufactured
througha reactionof aluminumonaproportionate blendof lime,cement andflyash.Duringthisprocess,the
hydrogengasthatescapescreatesmillionsof tinyaircells,rendering
UltraTech XTRALITE with a strong cellular structure. This is further
strengthened by high pressure steam curing in autoclaves. The
product thus formed is not only lightweight but also has higher
compressive strength. The state-of-the-art plant is installed with
latesttechnologythatensures dimensional accuracy to maximum.
FEATURES
• Weather&Earthquake Resistant - The impactof earthquake
forces on a structure is proportional to the weight of the
structure.
FIG 1.5
FIG 1.6
13
• Long Lasting - UltraTech XtraLite blocks are not vulnerable to water damage as compared to other
construction materials.
• Acoustically Absorbent - UltraTech XtraLite blocks provide excellent sound absorption with a STC
(Sound Transmission Class) rating of 44. It is a cellular structure which provides superior sound
insulation.
• Economical - UltraTech XtraLite blocks are lighter than standard bricks and blocks, therefore they
reduce the deadweightof the building.Thiswillbringaboutsignificantsavingsinsteel andconcrete
used.
• Fire Resistant - The melting point of UltraTech XtraLite is over 1600 degree Celsius. Therefore it is
more fire resistant, with a fire rating of 4 hours.
• Energy Efficient - UltraTech XtraLite blocks give superior thermal insulation because of low thermal
conductivity and low air infiltration. Moreover, lesser joints and better compacted (thin) jointing
mortar add to the soundand thermal insulation.Thisalsoleadsto coolerinteriorsandsavingsin air
conditioningload and consequently enhancedenergy efficiency. Since they are made of flyash, the
embodied energy is very less.
• These qualities make UltraTech Xtralite perfect for modern constructions and high rise buildings.
BENEFITS
• The use of UltraTech XtraLite in constructions significantly reduces the dead load and also ensures
less usage of steel and concrete.
• XtraLite requires lesser number of joints, which result in saving jointing material, time and labor.
• XtraLite ensures a smooth and accurate masonry profile and is also useful for renovation and
alteration purposes.
• The automatic manufacturing process givesUltraTech XtraLite an exceptional dimensional accuracy
and smooth surface, allowing less thickness of plaster.
• UltraTech Xtralite also imparts thermal and sound insulation characteristics to construction. It also
imparts fire and earthquake resistant properties.
Ultra Tech Building Product Division is currently present in
 West side i.e. Mumbai, Rest Of Mumbai, and Gujarat
 East side i.e. West Bengal, Chhattisgarh and Odisha
 South side i.e. Kerala, Goa, Andhra Pradesh, Karnataka and Tamil Nadu &
 North side i.e. Madhya Pradesh and Delhi NCR.
14
Table 1
Location
Fixoblock Readiplast
Seal &
Dry
Stucco
Power
Grout
Total Ach
%
BUD ACT BUD ACT
BU
D
ACT BUD ACT
BU
D
ACT BUD ACT
Mumbai 600 450
130
0
1558 7 6 25 43 75 46 2007 2103 105%
ROM 400 281 420 614 5 1 15 3 80 38 920 937 102%
Gujarat 750 482 10 3 3 1 13 10 35 32 811 528 65%
West Total 1750
121
4
173
0
2175 15 7 53 55
19
0
116 3738 3567 95%
Andra
Pradesh
200 260 0 27 5 1 12 2 35 23 252 312 124%
Karnataka 150 132 0 59 6 2 10 8 20 21 186 223 120%
Tamil Nadu 10 11 0 0 4 2 3 3 10 0 27 16 59%
Goa 0 0 0 0 0 0 0 0 0 0 0 0 0%
Kerala 5 10 0 0 1 0 5 1 7 0 18 11 63%
South Total 365 413 0 86 16 5 30 15 72 44 483 562 116%
Delhi 16 87 0 0 3 3 5 2 10 32 34 124 366%
MP 0 0 0 0 0 0 0 0 0 0 0 0 0%
North Total 16 87 0 0 3 3 5 2 10 32 34 124 366%
West Bengal 74 103 0 0 3 3 8 24 5 7 90 137 153%
Chhattisgar
h
3 17 0 0 2 1 4 1 12 0 21 19 91%
Orissa 0 0 0 0 0 0 0 0 0 0 0 0 0%
East Total 77 120 0 0 5 4 12 25 17 7 111 157 141%
Total 2208
183
5
173
0
2261 39 19 100 96
28
9
200 4366 4411 101%
The division just got introduced in 2011 in Delhi NCR region. After establishing its market in East region and
southregionthe buildingproductof UltraTech has steppedhere totap the Delhi NCR. The market share of
BPD productsare verylessinDelhi,Gurgaon,GhaziabadandNoidamarket thoughit’sisgraduallyincreasing.
The market is yet to bloom for this kind of product. Moreover, there hasn’t been any advertisement about
this new division which comprises of such supreme products. Mostly Since there is no plant of Ultra Tech
XTRALITE inthese regionsosupplyof thisproductisnotpossible whichisabiglaidbackto all the productsas
all other product are used on ACC block except POWERGROUT. The only product which is being sold by
continuous push strategy is FIXOBLOCK and POWERGROUT.
Source:company
15
LITERATURE REVIEW
The Indianconstructionopportunityissettoalmostdoubleoverthe nextfive years.While ononehand,there
is an ever growing demandfor appropriate, innovative protective coatings and safe construction chemicals,
on the other, the absence of proper waterproofing standards has led to ineffectual products and, worse,
disasters.
Ascustomerneedsevolve,thereisgrowingdemandforaone-stopsolutionratherthandealingwithmultiple
agencies. Increasing customer preference for ready-to-use products coupled with increasing shortage of
skilled manpower and faster pace of construction will be the driving force behind the growth of the
construction chemicals market.
Ultratech’s dry mix technology allows benefits such as consistent quality, faster work, ease of application,
water tightness, water resistance, and negligible wastage during application, no curing with water post
applicationandhigheroutput,whichwouldotherwise notbe possible.The additivespresenthelptoenhance
finishedproduct properties such as setting time, tensile adhesion strength,compressive strength, flexural
strength,verylowshrinkage,waterimpermeability,waterretention,surfacefinish,workabilityandenhanced
durability.
They have launched various dry mix products like Fixoblock, Seal & Dry, Power Grout, Super Stucco and
Readiplast to keep pace with modern construction needs and are committed to expand the market for the
dry mix mortar segment. These products provide higher coverage, enable faster work and increased
manpower productivity,and are ready-to-use, self-curing, of high and uniform qualityand, most important,
made of environment-friendly material.
So the companybasicallywantsto findout the marketpotential of the divisionsothat it can know whether
there isanybenefitof hiringnewhumanmanpowerandif there isamarketpotential thenwhatisthe size of
the market and how to cover the market available to them. The market potential can be studied by finding
out the competitor’ssales volume orthroughthe dealersandretailerssalesdata.By analyzingthe data.The
market potential can be determined.
Institutional site visitisone of the most importantfactor to determine andanalyze the marketpotential.By
visiting contractor and knowing the sq. ft. of blocks used can determine the market potential.
The range broadly comprises two categories:
'Xtralite'AeratedAutoclavedConcrete (AAC) blocks:Commonlyknownaslightweightconcrete blocks,these
are lighter than standard size bricks and are suitable for multi-storied structures.
Dry mix products: These are ready-to-use,value-addedproductsforapplicationssuchas plastering,jointing,
grouting and waterproofing. For this, one needs to just add water at the site.
16
Waterproofing in India is defined as a 'barrier against water penetration'. Havinggeneralizedthe definition,
the subject is complicated and generally misunderstood. In developed countries, specifications for
waterproofing have been in place for decades, laying the foundation for proper and durable work. The
specifications, as laid down in EN and DIN standards, categories products as 'waterproofing' only if they
conformto nil waterpenetrationat1.5 bar pressure inwater impermeabilitytestas stated in EN 14891 and
DIN 1048 part 5. Similar categorization can be found in ETAG and IBH guidelines.
However,lackof similarcriteriainIndialeadsto the use of products withoutdesiredeffectswithsometimes
disastrousresults.Awarenessatall levelsneedstobe increasedto get the desiredresults,whichwouldhelp
raise construction quality and durability.
The dry mix mortar market is at a nascent stage in India and is primarily restrictedto the metros. Ultratech
has been able to establish the new products in terms of quality and value addition to customers. In these
markets, product application and promotion have helped benchmark the products in terms of quality.
The focus on a technically correct product should be an important parameter in decision-making. Despite
providingthe bestof quality,mostof the productsare alsovalue for money.The costof the material maybe
higher but the 'per sq ft cost' of the finished application with the product is lower or equal to conventional
application, owing to higher coverage and other benefits. Some of these benefits are not quantitative at
presentbutmake ahuge difference intermsof higheroutputof applicators,whichresultsinfasterwork,ease
of mixingandapplication,apartfromproducts beingself-curing,resultinginhuge savingof water and labor.
Ultratech has a state-of-the-art manufacturing facility from M-Tec, Germany, which is consideredto be the
best in the field, in Wada, near Mumbai. Apart from offering excellent product quality, the dry mix mortar
plant technology allows homogenous formulation of high-performance products by precise dosing of
additives.They are in the process of stabilizing the products in the market after which we will look intothe
expansion of both product line and multiple manufacturing facilities.
UltraTechCementhaslaunchedvariousvalue-addedproductslike Xtralite,Fixoblock,Seal&Dry,PowerGrout,
SuperStuccoandReadiplast,whichare notonlybestinclassbutalsomatchsustainabilityrequirements.Right
from raw materials to production and transport, major emphasis is laid on preserving the environment.
The customer is not aware about what a product can and should deliver. Any manufacturer of a quality
product would be able to demonstrate and show the performance of a 'best-in-class' product. Once the
customerknowsthis,he wouldnotgoinforanyinferiorproduct.Therefore,there isnocompetitionfromfly-
by-night operators or, cheap products as long as Ultratech is able to deliver. High level of brand awareness
with demonstration of the products at sites of influencers and end users along with continuous training of
applicators will help us establish the benefits and would be the main differentiating factor vis-a-vis non-
standard products. Value for money needs to be established with lifecycle cost analysis.
17
TYPES OF DISTRIBUTION
For a companysellingproductstodifferentsegmentof customer’sdistributionisaveryimportantand crucial
part inordertocapture the market.There are manytypesof distributionthatcanbe takenupbythe company
such as.
 Business to Customer- Company can directly go to the customers such as individual household
customer and provide the products directly to them involving no indirect agent. Visiting sites and
explaining them about the product is a form of distribution.
 SelectiveDistribution –Selective distributioninvolvesaproducerusingalimitednumberof outletsin
a geographical area to sell products. An advantage of this approach is that the producer can choose
the most appropriate or best-performing outlets and focus effort (e.g., training) on them. Selective
distributionworksbestwhenconsumersare preparedto“shoparound” – inotherwords– theyhave
a preference for a particular brand or price and will search out the outlets that supply.
So the company can make UltraTech dealers of cement and birla white as the dealer of BPD.
 Intensive Distribution - Intensive distribution aims to provide saturation coverage of the market by
usingall available outlets.Intensivedistributionisusuallyrequiredwhere customershave a range of
acceptable brandstochoose from.Inotherwords,if onebrandisnotavailable,acustomerwillsimply
choose another. This alternative involves all the possible outlets that can be used to distribute the
product.
 Makingthe productavailable ineachUltraTechretail anddealersoutlet.The productscanbe available
at every UltraTech Cement dealers and retailers, UltraTech Birla white dealers and retailers and
UltraTech Building Product Solution.
18
STRENGTH
•Governmentapproved green
product.
•Harmless to environment.
•Minimum use of labor. So less labor
cost.
•No water curring required.
•Unique product. Oneof it's kind
product.
•Existing distribution networks.
•Brand name associated with it.
•Customers loyalty already available.
•Less wastage
•Readymade.
WEAKNESS
High price of the product
Lack of awareness
No advertisementyet.
Less manpower in the market.
Poor management in getting work
done.
OPPORTUNITIES
New upcoming projects.
Ban on red bricks
Less competition
Governments notice to useeco
friendly products.
Growing economy
New Products.
THREATS
•technological problems.
•Alreadypresent competitors of
Xtralite, Fixoblockand
PwerGrout
•tax changes
•high competition
•No awareness
•Unavailabiltyofsales
representative.
SWOT
ANALYSIS
19
OBJECTIVES
 Gettingthe listof all UltraTech cementof dealersof GhaziabadandNoida.
 Findingoutwhatshouldbe the price range of the productswiththe helpof questionnaire.
 Findingoutthe marketshare of the competitors.
 Aftergettingthe competitors salesvolume,analyzingthe BPDproductmarket.
 Analyzingwhoshouldbe the targetedcustomerandtowhomshouldthe companyinfluence in
orderto increase the market.
 Determiningthe salesdistributionpatternandrecommendingit.
 Afteranalyzingthe collecteddatathenrecommendingwhatstepshouldbe takenfurtherinfuture.
20
REASEARCH METHODOLOGY
Both primary and secondary data was used in order to complete this project study. Primary data
collection is done through self-administered questionnaire distribution among the UltraTech dealers.
The questionnaire is handed out personally visiting the dealers of UltraTech Cement. The
respondents consist of dealers of UltraTech Cement Dealers of Ghaziabad and Noida.
The study is done by convenient non-probability random sampling and snowballing method, where
respondents were visited personally to fill up the form. In this research, questionnaires were
prepared and distributed. Questionnaire distribution is controlled, so that it is bias. For secondary
research, data are collected from the valid source for analyzing the sales volume of the Building
Product Division of UltraTech.
Information is obtained from various sources such as Google, Wikipedia & UltraTech sites.
SAMPLING TECHNIQUE
Snowballing sampling:
Snowball sampling,ingeneral application,isatype of conveniencesample.If youare tryingto recruitpeople
whoare difficulttoidentifyorhave tomeetcertaincriteriatoparticipate,thensnowballsamplingcanbe used
to ease data collection. Find one person who qualifies to participate, ask him or her to recommend several
other people who have the knowledge/traits you are looking for, and participant list can grow from there.
This use of snowballing is a type of purposive sampling.
Convenient Sampling:
Convenience samplingisa type of non-probabilitysamplingtechnique.Non-probabilitysamplingfocuseson
sampling techniques that are based on the judgment of the researcher.A convenience sample is one of the
main types of non-probability sampling methods. A convenience sample is made up of people whoare easy
to reach.
RESEARCH DESIGN
 The research started with the literature review and finding out the problem statement.
 After the problem is identified, what should be the objective of the project is decided.
 Based on the objectives, questionnaire for dealer was prepared.
 The list of dealers of Ghaziabad and Noida was collected from the sales representative of UltraTech
Cement.
 Visiting each Dealers and collecting data by filling up the questionnaires prepared.
 The data collected was then analyzed with the help of frequency and charts.
 Later on the analyzed data was interpreted.
21
DATA ANALYSIS
PRICE RANGE
Thisis the analysistriestofindoutwhatshouldbe the price at whichthe productshouldbe sold.
Sample size (Dealers):42
Fixoblock
Actual Market Price:Rs 750
Bag size:40kg
a. Rs600-650- 14
b. Rs650-670- 20
c. Rs670-700- 7
d. Rs700-750 - 1
Fig 2.1
600-650
33%
650-670
48%
670-700
17%
700-750
2%
Price Range
600-650 650-670 670-700 700-750
22
Readiplast
Actual Market Price- Rs480
Sample Size (Dealers) –42
a. Rs 350-370 - 14
b. Rs 370-400- 18
c. Rs 400-420 – 10
d. Rs 420- 450 – 2
Fig 2.2
Rs 350- 370
32%
Rs 370 - 400
41%
Rs 400 - 420
23%
RS 420 -450
4%
Price
Rs 350- 370 Rs 370 - 400 Rs 400 - 420 RS 420 -450
23
Seal & Dry
Actual Market Price- Rs2400
Bag size – 25kg
Persq. ft.rate- Rs 15
Competitors’DrFixitURP- Rs8
Sample Size (Dealer) - 42
a. Rs 1800- Rs 2000 – 2
b. Rs 2000- Rs 2100 – 8
c. Rs 2100- Rs 2300 – 16
d. Rs 2300 – Rs 2500 – 16
Fig 2.3
Rs 1800-2000
5%
Rs 2000-2100
19%
Rs 2100-2300
38%
Rs 2300-2500
38%
Price
Rs 1800-2000 Rs 2000-2100 Rs 2100-2300 Rs 2300-2500
24
SuperStucco
Actual Market Price – Rs 430
Bag size – 40kg
Sample Size (Dealer) - 42
Options-
a. Rs 350- Rs 370 – 14
b. Rs 370 –Rs 400 – 10
c. Rs 400 – Rs 430 – 18
d. Rs 430 – Rs 450 – 2
Fig 2.4
Rs 350- 370
21%
Rs 370- 400
24%
Rs 400- 430
43%
Rs 430- 450
12%
Sales
Rs 350- 370 Rs 370- 400 Rs 400- 430 Rs 430- 450
25
Xtralite
Actual Market Price:Rs 40 perpiece
Sample Size (Dealers) –42
Options-
a. Rs 36- Rs 38- 12
b. Rs 38 – Rs 40- 22
c. Rs 40 – Rs 42 – 8
d. Rs 42 – Rs 44 – 0
Fig 2.5
Rs 36- 38
29%
Rs 38 - 40
52%
Rs 40 - 42
19%
Rs 42 - 44
0%
Price
Rs 36- 38 Rs 38 - 40 Rs 40 - 42 Rs 42 - 44
26
PowerGrout
Actual Market Price – Rs 700
Sample Size (Dealers) –42
Options-
a. Rs 650- 670 - 8
b. Rs 670 – 690 - 10
c. Rs 690 – 710 - 18
d. Rs 710 – 730 – 6
Fig 2.6
Rs 650 - 670
19%
Rs 670 - 690
24%
Rs 690 - 710
43%
Rs 710 - 730
14%
Price
Rs 650 - 670 Rs 670 - 690 Rs 690 - 710 Rs 710 - 730
27
INTERPRETATION
Afteranalyzingthe datacollectedall the followingwasobserved:
• The price at which Fixoblock is being sold in the market is Rs 750 including all taxesafter consulting
the dealers and analyzing the data, the price if Fixoblock is needed to be compensated as the
competitors prices are very less if compared to our price.
And most of the dealersrecommendedthatthe pricesneededto be reducedand it gave weightage
to.
 Rs 600 to Rs 650 is 33% and
 Rs 650 to Rs 670 is 48%
• Readiplast is sold at Rs 400 in c form and dealers gave weightage to prices in the questionnaire
prepared.
 Rs 350 to Rs 370 is 32%
 Rs 370 to Rs 400 is 41%
 Rs 400 to Rs 420 is 23%
 Rs 420 to Rs 450 is 4%
 Seal & Dry market price is Rs 2300 and the price is in c form and the data showsthat the price need
not to be compensated. Since 76 % of dealers thinks that price is needed to be changed.
 Rs 2000 to Rs 2100 is 19%
 Rs 2100 to Rs 2300 is 38%
 Rs 2300 to Rs 2400 is 38 %
 SuperStuccoispricedat Rs 430 includingtaxes.Average weightagegivenbythe dealerstothe prices
are.
 Rs 350 to Rs 370 is 21%
 Rs 370 to Rs 400 is 24%
 Rs 400 to Rs 420 is 43%
 Rs 420 to Rs 450 is 12%
So the price of SuperStucco doesn’t require any change.
 There is also no need of changing the price of Xtralite. The price is at its best.
 Even PowerGrout is at its best price and majority of the dealers do not feel that the price of
PowerGrout is needed to be compensated.
 Rs 650 to Rs 670 is 19%
 Rs 670 to Rs 690 is 24%
 Rs 690 to Rs 710 is 43%
 Rs 710 to Rs 730 is 14%
28
TARGETED CUSTOMER
Thissectiondetailsinwhatkindof customershouldbe targetedtoincrease the marketpotential of the BPD.
We triedtofindout whoisthe mostinfluencerforthiskindof productinthe marketandwe focuson selling
the productsto whichsectionof customer.
Sample Size (Dealers) –42
Options-
a. Individual HouseholdCustomer- 14
b. Contractors – 30
c. Architects/Engineers –5
d. HouseholdKiranas –10
Fig 3
So the companyshouldfocusoncontractors more for sellingof these products.Moreover,theseproducts
can be usedforrepairworkand renovationsince itcreateslesswastage anddebrisanditwill alsomakes
lessdirt.Andthe use of waterisverynegligible asthere isnoneedof watercuringin mostof the product.
Andtheyare readymade sononeedof mixingraw material resultsincleanliness.Onthe otherhandit
doesn’trequire space forpreparation.
Individual Household
Customer
20%
Contractors
43%
Engineers/Architects
22%
HouseholdKiranas
15%
Individual Household Customer Contractors Engineers/ Architects Household Kiranas
29
SALES VOLUME DATA
These are the salesvolume of UltraTechBuildingProductDivisionin2015intonnes.Itcanbe clearlyseenthat
the salesvolume is increasingandwitha goodmargin in January2015 the salesvolume was8 tonnesandin
may it is 164 tonnes so it has indeed increased drastically.
Table 2.
Delhi On Apr 30, 2015 Up to Apr 30, 2015
Drymix UOM
Budg
et
Apr
'15
Prorata
Budget for
the day
Sale for
the day
% Ach. for
the day
Prorata
Budget
Apr '15
Actual
Sale to
date
%
Achievement
Seal & Dry MT 3 0 0.00 0% 3 2.50 83%
Fixoblock MT 16 1 27.00 5063% 16 87.40 546%
Stucco MT 5 0 2.00 1200% 5 2.00 40%
PowerGrout MT 10 0 0.00 0% 10 32.40 324%
Total 34 1 29.00 2559% 34 124.30 366%
Readiplast MT 0 0 0.00 0% 0 0.00 0%
Total 34 1 29 2559% 34 124 366%
The data shows that every target is being achieved and that to more than 100 %.
8
68
48
124
164
0
20
40
60
80
100
120
140
160
180
1-Jan 1-Feb 1-Mar 1-Apr 1-May
SALESINTONNES
Source:Company
30
MARKET SHARE BY ANALYZING THE COMPETITORS
Number of Dealers visited – 42
Number dealers keeping Dr Fixit URP which a competitor of Seal and Dry- 3
Noida Cement Ltd- 100 to 200 bags of 10 kg per month 100 * 50= Rs 50000
Laxmi Cement Agency- 80 bags off 10 kg per month = 800 * 50=Rs 40000
Vijay Building Material – 50 of 10 kg bags per month= 50 * 50= Rs 25000.
Total = Rs 1,25,000 approximately market of Dr fixit URP is there in a month.
Seal and Dry price per square feet= Rs 15
Dr Fixit URP price per square feet= Rs 8
TABLE 3 (COMPETITORS)
AAC Block Dry mix
Company
Name
Blockunit
Location
Drymix unit
Location Jobworker-Dry mix
Magicrete Jhajjar Behror, Rajasthan ACPL(Alive CeramicsPvtLtd)
J K Lakshmi Jhajjar Behror, Rajasthan ACPL(Alive CeramicsPvtLtd)
Aerocon (HIL) Jhajjar Behror, Rajasthan ACPL(Alive CeramicsPvtLtd)
Indo-Bhutan Panipat -
Saint Gobain - bhiwadi,wada
Ecocrete Panipat Faridabad KonstuctionChemie
Finecrete Panipat -
shree cement Bulundshahar -
richa Babal Behror, Rajasthan ACPL(Alive CeramicsPvtLtd)
Biltech Palwal -
Kannav Dadri UP
WHITE BRICK Aligarh -
Ferrouscrete - Faridabad Sercon
Ecolite -
Laticrete -
AeroTuff Jaipur -
Source:Dealers
31
LIMITATION
 Lack of humanresource inthe department whichleadstonoawarenessinthe market.
 Lack of transportationfacilitytotravel all around GhaziabadandNoidaandcarter all the dealers.
 Unable to locate the addresssince onlyDealersname listwasbeingprovided.
 Andscorchingheat of Delhi wasthe mainfactor behindthe trouble incompetingmyinternship.
32
CONCLUSION
Afterworkingasa summerinternfortwo monthsandvisitingall the UltraTechdealersof cementthe report
wouldlike toconclude that strategywhichisbeingfollowedbythe companyis perfectlycorrect.The
UltraTech isthe leadingcementmanufacturerinIndiaanditis backedbythe huge brandnamedAdityaBirla
so the customerare of no doubtof its qualityof the productso the highprice of the productwon’tbe a
probleminorderto capture the market.
Evenif the salesvolume won’tbe asgreat as the competitorsbutthe price at whichthe productsare being
offeredwouldmarginallybe asprofitable asthe competitors.Thoughforfirstfew yearsitwon’tgive the
desiredprofitbutlaterincomingyearthe marketwill speedup.One more factorisinthe comingyearthe
redbricks will be bannedforenvironmental purposesothe use of blockswill increase drastically.Sothe use
of these productswill alsobe increasing. Moreover, all theirproductshave beenclassifiedandincludedin
the listof sustainable productsascategorizedbyCIIIGBC initsproduct directory.
The company needtocarry on itsoperationandshouldn’tbe baffledif the divisionincurlosesasitispart of
UltraTech cementanditalreadymakesa profitwhichcan incurthe small losesforfew years.
33
RECOMMENDATION
These are the recommendation which I thought to be implemented after meeting the dealers and site
workers. After taking the feedback and analyzing and observing the comments of the dealers these are the
recommendation which seems within the boundary and which can be achieved.
 The first and vital recommendation which the report wouldlike to raise is Government approval of
this product in government projects.
 Since governmentprojectneedtobe done as quicklyas possible toserve the publicand
the mainpropertiesof thisproductisgivingoptimumstrengthwithinthelesstimesothe
Building Product can come handy in this kind of project.
 For construction of divider and footpath Powergrout can be used. As we know the road
constructioncannotgoaheadformanydays.If itdoesthenthe roadswill be blockedand
it will cause to hindrance to public so to avoid these problem Powergrout is the best
ultimatum as within 24 hours it gives 40 mph of strength.
 Evenfor the constructiondamPowergroutcancome handysince itsstrengthis100 mph
throughout life time. So it won’t be too difficult to get government approved.
 Moreover, all these are green product so it won’t harm the environment and it doesn’t
violetanyenvironmental act. All theirproducts have beenclassifiedandincludedinthe
list of sustainable products as categorized by CII IGBC in its product directory.
 Thisrecommendationwasmostlysuggestedbyall the dealers.PointOf Displayiswhatall the dealers
suggested. Making a rack in every dealers shop and displaying the products so that the customers’
attentioncango on themand theycan enquire aboutthem.Thisisalsogoodwayof advertisement.
 Postersandbannersnearthe constructionsites andinthe areawheredevelopmentishappeningand
lot of construction project is happening.
 Taking help of other companies and asking them to pitch our project and in return we will do the
same.Like in UltraTech doesn’thave Xrtalite productin the Delhi NCR so we can ask the competitor
of this product ask them to pitch and recommend Fixoblock and return we will recommend their
block.
 Trainingof the salesrepresentative isamusttoknow the technical know-how of thiskindof product.
While dealing with the customer, the customer can ask any kind of question so in order to answer
them they should be fully trained.
 Advertisementisthe mostcrucial thingwhichneedtobe adoptedtoincreasethe marketshare of the
division.
• Banners and posters near construction sites.
• Posters on every UltraTech dealers and retailers outlets.
• Posters behind the transport vehicles.
• Using the help of metros for advertisement to promote the product.
34
 Make a listof the dealerof UltraTechbuildingproductdivisionandpublishitinthe newspapersothat
the retailers and customers knows where the products are available and who deals with it.
 Arranginga meetingorconference andcallingeachUltraTechdealersandmakingthemaware about
the products and taking their queries and feedback to how to increase the market share of the
division.
 Registering itself in the site trademark.com and displaying the product features and benefits.
 The most concern thing about the product is about the price. After taking a survey I found that the
products are too costly and the price need to be compensated in order to all kind of customers.
 Arranging a meeting with the retailers of UltraTech and making them aware about the products
benefit and features.
 In order to carter the village construction area like in Ghaziabad most people are illiterate and they
need to get better understanding about the features of the product.
 Customershouldbe made understandthatthough theyare payinghigh price for the product in lieu
they are also cutting the labor cost, water cost and etc.
 Sales representative should be asked to visit more sites in order to get more orders.
 These productscanbe segmentedasrepairandrenovationproductssince itcreateslesswastage and
debris and it will also makes less dirt. And the use of water is very negligible as there is no need of
water curing in most of the product. And they are readymade so no need of mixing raw material
results in cleanliness. On the other hand it doesn’t require space for preparation.
35
REFERENCE
 WIKIPEDIA
 GOOGLE
 PHILIP KOTLERBOOK
 ULTRATECHSITE
 MONEYCONTROL.COM
36
APPENDIX
DEALER’S QUESTIONNAIRE
1) Firm’s Name :___________________________________________________________
2) Proprietor/ Owner Name :___________________________________________________________
3) Address
:_________________________________________________________________________________
4) Type of Outlet:
a) Wholesale b) Retailer c) Building Material Supplier d) UltraTech Building Solutions
5) Competitor’s Activities:
Company Product Monthly Sale
6) What are the UltraTech Products soldin the store?
a) Grey Cement b) BirlaWhite Putty
7) Sales Volume ofUltra Tech Product
PRODUCT PACKAGESIZE PRICE SALES VOLUME
Birla White Putty
Greycement
8) In which customer segmentdoesthe store deal with?
37
a)Individual household Customer b) Contractor c)Architect d)Engineers
9) Are you interestedinsellingthe product?
a) YES b) NO
10) What are the most preferredproduct among these sixproducts? (Can be more than 1)
a) XtraLite b) FixoBlock c) SuperStucco d) ReadiPlast e) Seal and Dry f) PowerGrout
10) Whoaccording to you isthe most important influencerforthese type of product?
a) Architect b) ApartmentBuilders c) Engineers d) Contractors
11) What isyour opinionabout the products and how it shouldbe pitchedin the market?
Ans)

Report

  • 1.
    1 A REPORT ON AStudy on Market Potential of UltraTech Building Product Division in Delhi NCR A report submitted in partial fulfilment of the requirements of Post Graduate Diploma in Management (2014-16) By Abhinav Nandy Roll No. 14DM075 PGDM (2014-16) IDCO Plot No.2, Gothapatna, Bhubaneswar 751003 Industry Guide: Mr. DeepakPruthy Designation:NorthMarketingHeadof BPD Full Postal Address: Pacific Business Park, site 4 Sahibabad, Ghaziabad- 201010 Faculty Guide Prof./ Dr. SandeepKumarMohanty Designation:AssistantProfessor Department:Marketing BIMTECH, Bhubaneswar
  • 2.
    2 ACKNOWLEDGEMENT This project bearsthe imprint of many people who have assistedme in the successfulcompletion of this report. I gratefully acknowledge the contribution of all the people who took active part and provided valuable support to me during the course of this project. To begin with, I would like to offer my sincere thanks to UltraTech for giving me an opportunity to do my summer internship with the esteemed organization. With due reverence, I acknowledge the valuable support of “Mr Deepak Pruthy, Marketing HeadNorth”,for giving me the opportunity to do my summerinternship under his / her guidance. ‘Without his/her guidance, support and valuable suggestions during the research, the project would not have been accomplished. My heartfelt gratitude also goes to the entire UltraTech Building Product Division for their co- operation and willingness to answer all my queries, and provide valuable assistance. I also sincerely thank Prof Sandeep Kumar Mohanty my faculty mentor at BIMTECH, who provided valuable suggestions,shared his rich corporate experience, and helped me scriptthe exact requisites. Last, but not least, I would like to thank all Dealers for sharing their experience and giving their valuable time to me during the course of my project. Abhinav Nandy PGDM (2014-16) Roll No. 14DM075 BIMTECH, Bhubaneswar
  • 3.
    3 Declaration I, Abhinav Nandy,a student of Birla Institute of Management Technology (BIMTECH), hereby declare that I have worked on a project titled “Market Potential of UltraTech Building Product Division” during my summer internship at UltraTech in partial fulfillment of the requirement for the Post Graduate Diploma in Management program. I guarantee/underwrite my research work to be authentic and original to the best of my knowledge in all respects of the process carried out during the project tenure. My learning experience at Company Name, under the guidance of Industry Mentor Name, Designation, and Faculty guide Name, Designation, has been truly enriching. ______________ (Abhinav Nandy) Roll No. 14DM075 PGDM (2014-16) Date: 20,6,2015.
  • 4.
    4 Letter of Transmittal Date:20/06/2014 Mr. Deepak Pruthy, Pacific Business Park, Block A, 4th floor, 37/1, site 4 Sahibabad, Ghaziabad-201010 Dear Sir, Re: Summer Project Report Thank you very much for giving me this opportunity to associate with your company as an Internee. Attached / Enclosed is a copy of my summer-project report “Market Potential Of UltraTech Building Product Division” which I am submitting in order to mark the completion of an Eight- week summer internship at you organization. I prepared this report using the best of practices. It summarizes the work performed on the project and is being submitted in partial fulfillment of the requirements for award of diploma. I take this opportunity to mention that the overall experience with the organization was very good, and helped me to know how work is carried out in real practice with the help of your esteemed organization. I feel honored that I got an opportunity to work with UltraTech a company of great repute. I hope I did justice to the project and added some value to the organization. Suggestions/comments would be appreciated. Yours truly, Abhinav Nandy PGDM (2014-16) Roll No.14DM075
  • 5.
    5 Table of Contents ITitle Page Page No. II Acknowledgement 2 III Declaration 3 IV Letterof Transmittal 4 V Letterof Authorization VI Table of Contents 5 XI. Executive Summary 6 1. Introductiontothe company 7-8 2. 2.1 Aboutthe products 9-13 2.2 Salesvolume throughoutthe nation 14 3. Literature Review 15-16 4. SWOT Analysis 17 5. Typesof Distribution 18 6 Objectives 19 7. 7.1 ResearchMethodology 20 7.2 ResearchDesign 20 7.3 SamplingTechnique 20 8. Data Analysis 21 8.1 Price Analysis 21-26 8.2 Interpretation 21 8.3 TargetedCustomerAnalysis 27 8.4 Interpretation 28 9. 9.1 SalesVolume Analysischart 29 9.2 Interpretation andTable 29 10. 10.1 Market share by comparingthe competitors 30 10.2 Competitorstable 30 11. Limitation 31 12. Conclusion 32 13. Recommendations 33-34 13. Reference 35 15. Appendix 36-37
  • 6.
    6 EXECUTIVE SUMMARY The topicfor this project is “Market Potential of Building Product Division of Ultra Tech Cement through Dealers’ network in various parts of Noida and Ghaziabad”, assigned to me by Ultra Tech Cement which has a new department named Ultra Tech Building Product Division. The market potential of Building Product Division is based upon primary and secondary research. This report shows the data which is collected from UltraTech Cement dealers only. The whole project is done on potential of this division catering the UltraTech Cement Dealers. The project starts where I have provided a brief introduction where I have discussed about the company and about the six new different products of Building Product Division. Then I have gone on to briefly what kind of work was carried out and what kind of data was collected. Basically, all the Ultra Tech Cement Dealers were visited and was made them aware of the products and the targeted customer for this kind of product was to be determined from the dealers and take feedback on how to pitch the product. My report started with preparing questionnaire for dealers which carters all the aspect of the Building Product. This report also shows what is the dealer’s opinion on what should be the price of the products? This project has tried to show this with the help of pie chart. The main problem which was discovered while visiting the dealers was lack of awareness and the products high pricing. While going ahead with this report one can get the idea who are the competitors of this product. Though among this six product only 3 products have competitors i.e. PowerGrout, Xtralite and Fixoblock. Moreover Xtralite is yet to launch in the market. Then in the statement of problem section I have discussed the nature of my problem and the various objectives that were entrusted to me by the organization. All of it has later been dealt with in the analysis section. This report also shows what kind of distribution should be taken up by the company in order to increase the market share of the division and sales data volume of Delhi NCR is also shown and analyzed and finding out the market potential by analyzing the competitors sales data of Seal & Dry. In the analysis section,Ihave worked on whatever data I had collected. The report start by the nature of the cement market in India which is then followed by the distribution pattern that is followed in Delhi. Finally this report brings a set of recommendations and conclusions which help in bringing forward the main essence of the work that has been done. Point Of Display is what all the dealers suggested and price and lack of man power is the main drawback which the project came across.
  • 7.
    7 ABOUT THE COMPANY TheAdityaBirlaGroup enjoyspride of place amongFortune 500 corporationsworldwide.The Groupmarkits dominatingpresence acrossmanyindustrieswhichincludestextiles,chemicals,cement,metals,agribusiness, carbon black, insulators, telecommunications,and financial services. Aditya Birla Group has stepped into 36 countries including Australia, Bahrain, Bangladesh, France, Germany, Hungary, India, Indonesia, Italy, Ivory Coast, Korea, Laos, Poland, Russia, Singapore, Spain, South Africa, Turkey and etc. It is of no wonder that Group’s overseas operations account for over 53 percent of its total revenue. Ultra Tech Cement is the largest exporter of cement in the worldwide and clinker with exports to countries aroundthe IndianOcean,Africa,Europe,andthe MiddleEast.UltraTechisa360 buildingmaterialdestination providingahostof productsfromfoundationtofinish.UltraTechhassegregateditsbusinesstocaterall type of customers. It’s product starts from grey cement (Ultra Tech Cement) to building solutions( Ultra Tech Building Solutions) and an assortment to ready mix concretesand specialty concretes(Ultra Tech Concrete) catering to varied needs and applications of the construction industry. UltraTech Cement Ltd. is the largest manufacturer of grey cement, Ready Mix Concrete (RMC) and white cement in India. It is also one of the leading cement producers globally with 21,000cr annual turnover. With its significant presence in grey and white cement, concrete, building products and building solutions, UltraTech isa one-stopshopforall primaryconstructionneeds.Itsmeteoricrise asthe largestcementbrand in India reflects the organization’s focus on cutting edge technology, research and technical services. UltraTech’s subsidiaries are Dakshin Cements Limited, Harish Cement Limited, Gotan Limestone Khauj UdyogPrivate Limited,Bhagwati Limestone CompanyPrivate Limited,UltraTechCementLanka(Pvt.) (Ltd.), UltraTech Cement Middle East Investments Limited, PT UltraTech Mining Indonesia and PT UltraTech Investments Indonesia. UltraTech parent company, the Aditya Birla Group, is in the league of Fortune 500 companies. It employs a diverse workforce comprising of 120,000 employees, belonging to 42 different nationalities across 36 countries.The Grouphasbeen rankednumber4inthe global 'TopCompaniesforLeaders' surveyandranked number 1 in Asia Pacific for 2011. 'Top Companies for Leaders' is the most comprehensive study of organizational leadershipinthe world conductedby Aon Hewitt,Fortune Magazine and RBL (a strategic HR and Leadership Advisory firm). The Group has topped the Nielsen's Corporate Image Monitor three years in a row -- 2012-13, 2013-14 and 2014-15 as the number 1 corporate, the 'Best in Class'. UltraTechCement:UltraTechisIndia'slargestexporterof cementspanningexportmarketsincountriesacross the IndianOceanand the Middle East. UltraTech and its subsidiarieshave a presence in5 countriesthrough 12 composite plants, 1 white cement plant, 1 Wall Care putty plant, 1 clinkerisation plant in the UAE, 16 grindingunits(12inIndia,2inUAE and 1 eachin BahrainandBangladesh) and6bulkterminals(5inIndiaand 1 inSri Lanka) and97 RMC plants.Mostof the plantshave ISO9001,ISO14001 andOHSAS18001 certification. In addition, two plants have received ISO 27001 certification and four have received SA 8000 certification.
  • 8.
    8 UltraTechproductsinclude OrdinaryPortlandcement,PortlandPozzolanacementandPortlandblast-furnace slag cement. UltraTechConcrete: UltraTech's Specialty Concrete is concrete speciallydesigned to achieve one or more properties, behavior, composition or performance. It is usually superior when compared to conventional concrete.Specialtyconcrete hasmultiple applications.Itis designedspecificallyfora typical endapplication ina project.Specialtyconcrete needsspecialcapabilityintermsof resourcesandqualityassurancetoachieve the desired end results. All products bearing the UltraTech Concrete tag are manufactured in 101 state-of- the-art plants spread across 35 locations in India. More plants are being planned across India. UltraTechBuildingSolutions:UltraTechBuildingSolutions(UBS) isanovel conceptinthe IndianConstruction Industry. It is a one-stop shop designed on the "plan, build and support" philosophy, which offers home building solutions right from planning to completion. UBS is based on a franchise model that caters to the building and construction needs of the individual home builders as well as the building and construction fraternity. UBS retail outlets offer a wide range of rudimentary construction products and value-addedservices that include technical advice during construction, construction cost calculator, vaastu consultancy, product training in all categories and technical meets for customers. Birla White:BirlaWhite,the leadingwhite cementbrandinIndia,haspositioneditself asthe "WhitestWhite Cement". Birla White commenced production of white cement in 1988. Since then, the consumer has been exposed to the endless possibilities of applications with white cement. Birla White was also quick to gauge and understand the customer pulse and his growing aspirational requirements. In the process,it developed and introduced a slew of innovative, white cement-based surface finishing products. The current portfolio includes:  WallCare Putty,  Levelplast  GRC and Textura. Among them, they facilitate care for walls and augment interior appeal With a view and a vision to become India’s first ever building materials destination. Ultra Tech Cement has launched Ultra Tech Building Product Division. This division provides a complete portfolio of end to end solutions, covering the complete spectrum of constructions, vis-a-vis 1) Ultra Tech SEAL & DRY (Total Waterproofing Solution) 2) Ultra Tech SUPER STUCCO (Polymer Modified Mortar) 3) Ultra Tech XTRALITE (Lightweight Autoclaved Aerated Concrete Blocks) 4) Ultra Tech FIXOBLOCK (Thin Layer Jointing Mortar) 5) Ultra Tech READIPLAST (Plaster) 6) Ultra Tech POWERGROUT (Quick & Strong Anchoring Solution)
  • 9.
    9 UltraTech SEAL &DRY UltraTech- SEAL & DRY is a cement based water proofing coating for concrete and masonry surfaces. It is a single component, polymer modified coating that offers an incrediblyhigh withstanding capacity of 7 bar waterpressure onpositiveside.Itisavailableasadry powderandbefore use itismixedwithwaterinproper proportion. Before the use preparation of the surface of the substrate is essential. FEATURES  Afterthe applicationitimmediatelyformsaflexiblelayeronthe surface.  The level of effectivenessis very high for positive sides of hydrostatic pressure.  The capacity of crack bridging is 0.5mm.  Highly resistance to UV and Infrared Rays.  Suitable for all portable water tanks since it is non-toxic in nature. BENEFITS  No water curing is required post application.  After proper surface preparation Seal & Dry can be applied on old and new surfaces.  No additional dead load is required on structures after the application of the product.  Surface gets ready for any kind subsequent application after 48 hours. UltraTech FIXOBLOCK UltraTech FixoBlock isa versatile thinjointingmaterial forjoiningAACblocks, flyash bricks,concrete blocksetc. Thismortar is speciallydesignedtoprovide stronger, much more durable bonding between the blocks with superior adhesive strength. It replaces conventional cement and sand mix mortar. FEATURES • Itismade fromauniquecombinationof cement,gradedsandandproprietary additives. • The unique chemical combination enables this mortar to be more compact, thinner and stronger. • At only 3 mm thick, it is far thinner than the conventional mortar which is between 12-18 mm. FIG 1.1 FIG 1.2
  • 10.
    10 • Beingpre-mixeditiseasy touse and also ensuresthe compactionof interlockingbricksmakingthe bonds tougher and more durable. BENEFITS • Thinner jointing material with very high adhesion strength. Improves overall masonry strength. • Pre-mixed and ready to use. Only water is to be mixed at site. • Eliminates lengthy process of site mixing, transport and storage of all individual materials. • No water curing is required after application. • Easy to mix. Much faster to apply due to its superior flow ability and water retention properties. • Thinner layer of application for lesser shrinkage and seamless structure. • Economical - quantity of mortar is far less than conventional mortar. • Seepage/waterpercolationthroughjointsisnegligible due tobetterbindingof mortarwithmasonryunits. • Ready for subsequent application like plastering just after 24 hours of application. • Raking of joints is not required before plastering. UltraTech SUPER STUCCO UltraTechSuperStuccoisa versatile facingmaterial thatcanbe appliedtoanyflator undulating surface and can be used as a base coat for interiors or as final finish for exteriors. UltraTech SuperStucco can be applied directly over smooth concrete surfaces without hacking and generally requires no curing after application. FEATURES SuperStucco is used as a coating for walls and ceilings. • Application can be manual or sprayed by machine. • It can be applied directly on a concrete surface. No hacking is required. • SuperStucco can be used as a base coat on plasters for interiors that can be painted after 24 hrs. • Only water needs to be added, easy to mix and application is much faster. • SuperStucco has a very high tensile adhesion strength and hence higher bonding with the base material. • Does not require any water curing. FIG 1.3
  • 11.
    11 • SuperStucco ispre-mixed and hence hassle-free, involving no cumbersome mixing of cement and sand at site. • Mixing is easier and application is much faster. • The applicationcanbe as thinas 2-3 mmor as thickas 8-10 mm, dependinguponthe requirement. • UltraTech SuperStucco can be used as a crack filler for external walls, in repairing old plastered surfaces,inrepairof shrinkage cracksin parapetwalls,inrepairsafterplumbing/electricalworksetc. BENEFITS • Highlyeconomical.Eliminatesthelengthy,cumbersomeprocessoftransportingindividualmaterials and mixing on site. • Saves time and labor as it is pre-mixed, requiring only water to be mixed at site. • Consistent and assured quality, as it is pre-mixed. • No water curing required. • No crack formation during drilling or plumbing work. • Does not flake when in contact with moisture. • Cement based, ensures better bonding with the substrate. • Allows subsequent application of putty or paint just 24 hours after application. • Provides better breathability for walls. • Can be applied over moist surfaces. • Highly durable. • Excellent crack-filling properties. UltraTech READIPLAST UltraTech READIPLAST is a ready mix cement plaster/render with high quality polymer additives. It can be used on inner and outer walls. READIPLAST can also be used efficientlyon brick, block, stone walls as well as concrete surfaces. It provides an even surface on which tiling can be done faster and efficiently. FEATURES  READIPLASTis usedinplace of traditional plastering  It isa convenientandeasy-to-use plasterthatisstronger,looksnice and bindsbettertoitsbase  Preparedwithamix of special bindersandadditives,READIPLASTis waterresistantwithhighqualityandsustainability  WallswithREADIPLASThave lesschancesof developingcracks  READIPLASTisa plastermade bythe rightcompositionof raw materials  It passesthroughstringentqualitycontrolsandmade withgradedsandwhichenhancesthe durability BENEFITS FIG 1.4
  • 12.
    12  Smooth plaster Less curing  Time saving and least rebound  Light-coloured plaster walls with uniform quality  In most places, sand contains silt or mud which deteriorates plaster quality. Since UltraTech READIPLAST doesn`t have sand or silt, the quality of plaster is not affected. UltraTech POWERGROUT POWERGROUT isa cementbasedmaterial consistingof OPCcement,additivesandgradedsand.Itisa ready- to-use drypowder,greyincolor,free flowing.The productisdesignedtoprovide high-early strength in very short span of time by mixing optimum quantity of water. FEATURES  Ready-to-use with moisture proof packing  Gives non-bleeding homogeneous mass  Enhanced workability (Pot life) gives more time for application  No expansion/shrinkage in grout ensuring reliability  Develops high early strength within 24 hours  Requires less curing  Better consistency, durability and high ultimate strength ensuring superior quality  Self compacting eliminates the need of vibration UltraTech XTRALITE UltraTech XTRALITE is a Lightweight Aerated Autoclaved Concrete (AAC) Block.It is suitable for multistoried structuresas it islighterinweightthan standard size bricksand blocks.UltraTech XTRALITE is manufactured througha reactionof aluminumonaproportionate blendof lime,cement andflyash.Duringthisprocess,the hydrogengasthatescapescreatesmillionsof tinyaircells,rendering UltraTech XTRALITE with a strong cellular structure. This is further strengthened by high pressure steam curing in autoclaves. The product thus formed is not only lightweight but also has higher compressive strength. The state-of-the-art plant is installed with latesttechnologythatensures dimensional accuracy to maximum. FEATURES • Weather&Earthquake Resistant - The impactof earthquake forces on a structure is proportional to the weight of the structure. FIG 1.5 FIG 1.6
  • 13.
    13 • Long Lasting- UltraTech XtraLite blocks are not vulnerable to water damage as compared to other construction materials. • Acoustically Absorbent - UltraTech XtraLite blocks provide excellent sound absorption with a STC (Sound Transmission Class) rating of 44. It is a cellular structure which provides superior sound insulation. • Economical - UltraTech XtraLite blocks are lighter than standard bricks and blocks, therefore they reduce the deadweightof the building.Thiswillbringaboutsignificantsavingsinsteel andconcrete used. • Fire Resistant - The melting point of UltraTech XtraLite is over 1600 degree Celsius. Therefore it is more fire resistant, with a fire rating of 4 hours. • Energy Efficient - UltraTech XtraLite blocks give superior thermal insulation because of low thermal conductivity and low air infiltration. Moreover, lesser joints and better compacted (thin) jointing mortar add to the soundand thermal insulation.Thisalsoleadsto coolerinteriorsandsavingsin air conditioningload and consequently enhancedenergy efficiency. Since they are made of flyash, the embodied energy is very less. • These qualities make UltraTech Xtralite perfect for modern constructions and high rise buildings. BENEFITS • The use of UltraTech XtraLite in constructions significantly reduces the dead load and also ensures less usage of steel and concrete. • XtraLite requires lesser number of joints, which result in saving jointing material, time and labor. • XtraLite ensures a smooth and accurate masonry profile and is also useful for renovation and alteration purposes. • The automatic manufacturing process givesUltraTech XtraLite an exceptional dimensional accuracy and smooth surface, allowing less thickness of plaster. • UltraTech Xtralite also imparts thermal and sound insulation characteristics to construction. It also imparts fire and earthquake resistant properties. Ultra Tech Building Product Division is currently present in  West side i.e. Mumbai, Rest Of Mumbai, and Gujarat  East side i.e. West Bengal, Chhattisgarh and Odisha  South side i.e. Kerala, Goa, Andhra Pradesh, Karnataka and Tamil Nadu &  North side i.e. Madhya Pradesh and Delhi NCR.
  • 14.
    14 Table 1 Location Fixoblock Readiplast Seal& Dry Stucco Power Grout Total Ach % BUD ACT BUD ACT BU D ACT BUD ACT BU D ACT BUD ACT Mumbai 600 450 130 0 1558 7 6 25 43 75 46 2007 2103 105% ROM 400 281 420 614 5 1 15 3 80 38 920 937 102% Gujarat 750 482 10 3 3 1 13 10 35 32 811 528 65% West Total 1750 121 4 173 0 2175 15 7 53 55 19 0 116 3738 3567 95% Andra Pradesh 200 260 0 27 5 1 12 2 35 23 252 312 124% Karnataka 150 132 0 59 6 2 10 8 20 21 186 223 120% Tamil Nadu 10 11 0 0 4 2 3 3 10 0 27 16 59% Goa 0 0 0 0 0 0 0 0 0 0 0 0 0% Kerala 5 10 0 0 1 0 5 1 7 0 18 11 63% South Total 365 413 0 86 16 5 30 15 72 44 483 562 116% Delhi 16 87 0 0 3 3 5 2 10 32 34 124 366% MP 0 0 0 0 0 0 0 0 0 0 0 0 0% North Total 16 87 0 0 3 3 5 2 10 32 34 124 366% West Bengal 74 103 0 0 3 3 8 24 5 7 90 137 153% Chhattisgar h 3 17 0 0 2 1 4 1 12 0 21 19 91% Orissa 0 0 0 0 0 0 0 0 0 0 0 0 0% East Total 77 120 0 0 5 4 12 25 17 7 111 157 141% Total 2208 183 5 173 0 2261 39 19 100 96 28 9 200 4366 4411 101% The division just got introduced in 2011 in Delhi NCR region. After establishing its market in East region and southregionthe buildingproductof UltraTech has steppedhere totap the Delhi NCR. The market share of BPD productsare verylessinDelhi,Gurgaon,GhaziabadandNoidamarket thoughit’sisgraduallyincreasing. The market is yet to bloom for this kind of product. Moreover, there hasn’t been any advertisement about this new division which comprises of such supreme products. Mostly Since there is no plant of Ultra Tech XTRALITE inthese regionsosupplyof thisproductisnotpossible whichisabiglaidbackto all the productsas all other product are used on ACC block except POWERGROUT. The only product which is being sold by continuous push strategy is FIXOBLOCK and POWERGROUT. Source:company
  • 15.
    15 LITERATURE REVIEW The Indianconstructionopportunityissettoalmostdoubleoverthenextfive years.While ononehand,there is an ever growing demandfor appropriate, innovative protective coatings and safe construction chemicals, on the other, the absence of proper waterproofing standards has led to ineffectual products and, worse, disasters. Ascustomerneedsevolve,thereisgrowingdemandforaone-stopsolutionratherthandealingwithmultiple agencies. Increasing customer preference for ready-to-use products coupled with increasing shortage of skilled manpower and faster pace of construction will be the driving force behind the growth of the construction chemicals market. Ultratech’s dry mix technology allows benefits such as consistent quality, faster work, ease of application, water tightness, water resistance, and negligible wastage during application, no curing with water post applicationandhigheroutput,whichwouldotherwise notbe possible.The additivespresenthelptoenhance finishedproduct properties such as setting time, tensile adhesion strength,compressive strength, flexural strength,verylowshrinkage,waterimpermeability,waterretention,surfacefinish,workabilityandenhanced durability. They have launched various dry mix products like Fixoblock, Seal & Dry, Power Grout, Super Stucco and Readiplast to keep pace with modern construction needs and are committed to expand the market for the dry mix mortar segment. These products provide higher coverage, enable faster work and increased manpower productivity,and are ready-to-use, self-curing, of high and uniform qualityand, most important, made of environment-friendly material. So the companybasicallywantsto findout the marketpotential of the divisionsothat it can know whether there isanybenefitof hiringnewhumanmanpowerandif there isamarketpotential thenwhatisthe size of the market and how to cover the market available to them. The market potential can be studied by finding out the competitor’ssales volume orthroughthe dealersandretailerssalesdata.By analyzingthe data.The market potential can be determined. Institutional site visitisone of the most importantfactor to determine andanalyze the marketpotential.By visiting contractor and knowing the sq. ft. of blocks used can determine the market potential. The range broadly comprises two categories: 'Xtralite'AeratedAutoclavedConcrete (AAC) blocks:Commonlyknownaslightweightconcrete blocks,these are lighter than standard size bricks and are suitable for multi-storied structures. Dry mix products: These are ready-to-use,value-addedproductsforapplicationssuchas plastering,jointing, grouting and waterproofing. For this, one needs to just add water at the site.
  • 16.
    16 Waterproofing in Indiais defined as a 'barrier against water penetration'. Havinggeneralizedthe definition, the subject is complicated and generally misunderstood. In developed countries, specifications for waterproofing have been in place for decades, laying the foundation for proper and durable work. The specifications, as laid down in EN and DIN standards, categories products as 'waterproofing' only if they conformto nil waterpenetrationat1.5 bar pressure inwater impermeabilitytestas stated in EN 14891 and DIN 1048 part 5. Similar categorization can be found in ETAG and IBH guidelines. However,lackof similarcriteriainIndialeadsto the use of products withoutdesiredeffectswithsometimes disastrousresults.Awarenessatall levelsneedstobe increasedto get the desiredresults,whichwouldhelp raise construction quality and durability. The dry mix mortar market is at a nascent stage in India and is primarily restrictedto the metros. Ultratech has been able to establish the new products in terms of quality and value addition to customers. In these markets, product application and promotion have helped benchmark the products in terms of quality. The focus on a technically correct product should be an important parameter in decision-making. Despite providingthe bestof quality,mostof the productsare alsovalue for money.The costof the material maybe higher but the 'per sq ft cost' of the finished application with the product is lower or equal to conventional application, owing to higher coverage and other benefits. Some of these benefits are not quantitative at presentbutmake ahuge difference intermsof higheroutputof applicators,whichresultsinfasterwork,ease of mixingandapplication,apartfromproducts beingself-curing,resultinginhuge savingof water and labor. Ultratech has a state-of-the-art manufacturing facility from M-Tec, Germany, which is consideredto be the best in the field, in Wada, near Mumbai. Apart from offering excellent product quality, the dry mix mortar plant technology allows homogenous formulation of high-performance products by precise dosing of additives.They are in the process of stabilizing the products in the market after which we will look intothe expansion of both product line and multiple manufacturing facilities. UltraTechCementhaslaunchedvariousvalue-addedproductslike Xtralite,Fixoblock,Seal&Dry,PowerGrout, SuperStuccoandReadiplast,whichare notonlybestinclassbutalsomatchsustainabilityrequirements.Right from raw materials to production and transport, major emphasis is laid on preserving the environment. The customer is not aware about what a product can and should deliver. Any manufacturer of a quality product would be able to demonstrate and show the performance of a 'best-in-class' product. Once the customerknowsthis,he wouldnotgoinforanyinferiorproduct.Therefore,there isnocompetitionfromfly- by-night operators or, cheap products as long as Ultratech is able to deliver. High level of brand awareness with demonstration of the products at sites of influencers and end users along with continuous training of applicators will help us establish the benefits and would be the main differentiating factor vis-a-vis non- standard products. Value for money needs to be established with lifecycle cost analysis.
  • 17.
    17 TYPES OF DISTRIBUTION Fora companysellingproductstodifferentsegmentof customer’sdistributionisaveryimportantand crucial part inordertocapture the market.There are manytypesof distributionthatcanbe takenupbythe company such as.  Business to Customer- Company can directly go to the customers such as individual household customer and provide the products directly to them involving no indirect agent. Visiting sites and explaining them about the product is a form of distribution.  SelectiveDistribution –Selective distributioninvolvesaproducerusingalimitednumberof outletsin a geographical area to sell products. An advantage of this approach is that the producer can choose the most appropriate or best-performing outlets and focus effort (e.g., training) on them. Selective distributionworksbestwhenconsumersare preparedto“shoparound” – inotherwords– theyhave a preference for a particular brand or price and will search out the outlets that supply. So the company can make UltraTech dealers of cement and birla white as the dealer of BPD.  Intensive Distribution - Intensive distribution aims to provide saturation coverage of the market by usingall available outlets.Intensivedistributionisusuallyrequiredwhere customershave a range of acceptable brandstochoose from.Inotherwords,if onebrandisnotavailable,acustomerwillsimply choose another. This alternative involves all the possible outlets that can be used to distribute the product.  Makingthe productavailable ineachUltraTechretail anddealersoutlet.The productscanbe available at every UltraTech Cement dealers and retailers, UltraTech Birla white dealers and retailers and UltraTech Building Product Solution.
  • 18.
    18 STRENGTH •Governmentapproved green product. •Harmless toenvironment. •Minimum use of labor. So less labor cost. •No water curring required. •Unique product. Oneof it's kind product. •Existing distribution networks. •Brand name associated with it. •Customers loyalty already available. •Less wastage •Readymade. WEAKNESS High price of the product Lack of awareness No advertisementyet. Less manpower in the market. Poor management in getting work done. OPPORTUNITIES New upcoming projects. Ban on red bricks Less competition Governments notice to useeco friendly products. Growing economy New Products. THREATS •technological problems. •Alreadypresent competitors of Xtralite, Fixoblockand PwerGrout •tax changes •high competition •No awareness •Unavailabiltyofsales representative. SWOT ANALYSIS
  • 19.
    19 OBJECTIVES  Gettingthe listofall UltraTech cementof dealersof GhaziabadandNoida.  Findingoutwhatshouldbe the price range of the productswiththe helpof questionnaire.  Findingoutthe marketshare of the competitors.  Aftergettingthe competitors salesvolume,analyzingthe BPDproductmarket.  Analyzingwhoshouldbe the targetedcustomerandtowhomshouldthe companyinfluence in orderto increase the market.  Determiningthe salesdistributionpatternandrecommendingit.  Afteranalyzingthe collecteddatathenrecommendingwhatstepshouldbe takenfurtherinfuture.
  • 20.
    20 REASEARCH METHODOLOGY Both primaryand secondary data was used in order to complete this project study. Primary data collection is done through self-administered questionnaire distribution among the UltraTech dealers. The questionnaire is handed out personally visiting the dealers of UltraTech Cement. The respondents consist of dealers of UltraTech Cement Dealers of Ghaziabad and Noida. The study is done by convenient non-probability random sampling and snowballing method, where respondents were visited personally to fill up the form. In this research, questionnaires were prepared and distributed. Questionnaire distribution is controlled, so that it is bias. For secondary research, data are collected from the valid source for analyzing the sales volume of the Building Product Division of UltraTech. Information is obtained from various sources such as Google, Wikipedia & UltraTech sites. SAMPLING TECHNIQUE Snowballing sampling: Snowball sampling,ingeneral application,isatype of conveniencesample.If youare tryingto recruitpeople whoare difficulttoidentifyorhave tomeetcertaincriteriatoparticipate,thensnowballsamplingcanbe used to ease data collection. Find one person who qualifies to participate, ask him or her to recommend several other people who have the knowledge/traits you are looking for, and participant list can grow from there. This use of snowballing is a type of purposive sampling. Convenient Sampling: Convenience samplingisa type of non-probabilitysamplingtechnique.Non-probabilitysamplingfocuseson sampling techniques that are based on the judgment of the researcher.A convenience sample is one of the main types of non-probability sampling methods. A convenience sample is made up of people whoare easy to reach. RESEARCH DESIGN  The research started with the literature review and finding out the problem statement.  After the problem is identified, what should be the objective of the project is decided.  Based on the objectives, questionnaire for dealer was prepared.  The list of dealers of Ghaziabad and Noida was collected from the sales representative of UltraTech Cement.  Visiting each Dealers and collecting data by filling up the questionnaires prepared.  The data collected was then analyzed with the help of frequency and charts.  Later on the analyzed data was interpreted.
  • 21.
    21 DATA ANALYSIS PRICE RANGE Thisisthe analysistriestofindoutwhatshouldbe the price at whichthe productshouldbe sold. Sample size (Dealers):42 Fixoblock Actual Market Price:Rs 750 Bag size:40kg a. Rs600-650- 14 b. Rs650-670- 20 c. Rs670-700- 7 d. Rs700-750 - 1 Fig 2.1 600-650 33% 650-670 48% 670-700 17% 700-750 2% Price Range 600-650 650-670 670-700 700-750
  • 22.
    22 Readiplast Actual Market Price-Rs480 Sample Size (Dealers) –42 a. Rs 350-370 - 14 b. Rs 370-400- 18 c. Rs 400-420 – 10 d. Rs 420- 450 – 2 Fig 2.2 Rs 350- 370 32% Rs 370 - 400 41% Rs 400 - 420 23% RS 420 -450 4% Price Rs 350- 370 Rs 370 - 400 Rs 400 - 420 RS 420 -450
  • 23.
    23 Seal & Dry ActualMarket Price- Rs2400 Bag size – 25kg Persq. ft.rate- Rs 15 Competitors’DrFixitURP- Rs8 Sample Size (Dealer) - 42 a. Rs 1800- Rs 2000 – 2 b. Rs 2000- Rs 2100 – 8 c. Rs 2100- Rs 2300 – 16 d. Rs 2300 – Rs 2500 – 16 Fig 2.3 Rs 1800-2000 5% Rs 2000-2100 19% Rs 2100-2300 38% Rs 2300-2500 38% Price Rs 1800-2000 Rs 2000-2100 Rs 2100-2300 Rs 2300-2500
  • 24.
    24 SuperStucco Actual Market Price– Rs 430 Bag size – 40kg Sample Size (Dealer) - 42 Options- a. Rs 350- Rs 370 – 14 b. Rs 370 –Rs 400 – 10 c. Rs 400 – Rs 430 – 18 d. Rs 430 – Rs 450 – 2 Fig 2.4 Rs 350- 370 21% Rs 370- 400 24% Rs 400- 430 43% Rs 430- 450 12% Sales Rs 350- 370 Rs 370- 400 Rs 400- 430 Rs 430- 450
  • 25.
    25 Xtralite Actual Market Price:Rs40 perpiece Sample Size (Dealers) –42 Options- a. Rs 36- Rs 38- 12 b. Rs 38 – Rs 40- 22 c. Rs 40 – Rs 42 – 8 d. Rs 42 – Rs 44 – 0 Fig 2.5 Rs 36- 38 29% Rs 38 - 40 52% Rs 40 - 42 19% Rs 42 - 44 0% Price Rs 36- 38 Rs 38 - 40 Rs 40 - 42 Rs 42 - 44
  • 26.
    26 PowerGrout Actual Market Price– Rs 700 Sample Size (Dealers) –42 Options- a. Rs 650- 670 - 8 b. Rs 670 – 690 - 10 c. Rs 690 – 710 - 18 d. Rs 710 – 730 – 6 Fig 2.6 Rs 650 - 670 19% Rs 670 - 690 24% Rs 690 - 710 43% Rs 710 - 730 14% Price Rs 650 - 670 Rs 670 - 690 Rs 690 - 710 Rs 710 - 730
  • 27.
    27 INTERPRETATION Afteranalyzingthe datacollectedall thefollowingwasobserved: • The price at which Fixoblock is being sold in the market is Rs 750 including all taxesafter consulting the dealers and analyzing the data, the price if Fixoblock is needed to be compensated as the competitors prices are very less if compared to our price. And most of the dealersrecommendedthatthe pricesneededto be reducedand it gave weightage to.  Rs 600 to Rs 650 is 33% and  Rs 650 to Rs 670 is 48% • Readiplast is sold at Rs 400 in c form and dealers gave weightage to prices in the questionnaire prepared.  Rs 350 to Rs 370 is 32%  Rs 370 to Rs 400 is 41%  Rs 400 to Rs 420 is 23%  Rs 420 to Rs 450 is 4%  Seal & Dry market price is Rs 2300 and the price is in c form and the data showsthat the price need not to be compensated. Since 76 % of dealers thinks that price is needed to be changed.  Rs 2000 to Rs 2100 is 19%  Rs 2100 to Rs 2300 is 38%  Rs 2300 to Rs 2400 is 38 %  SuperStuccoispricedat Rs 430 includingtaxes.Average weightagegivenbythe dealerstothe prices are.  Rs 350 to Rs 370 is 21%  Rs 370 to Rs 400 is 24%  Rs 400 to Rs 420 is 43%  Rs 420 to Rs 450 is 12% So the price of SuperStucco doesn’t require any change.  There is also no need of changing the price of Xtralite. The price is at its best.  Even PowerGrout is at its best price and majority of the dealers do not feel that the price of PowerGrout is needed to be compensated.  Rs 650 to Rs 670 is 19%  Rs 670 to Rs 690 is 24%  Rs 690 to Rs 710 is 43%  Rs 710 to Rs 730 is 14%
  • 28.
    28 TARGETED CUSTOMER Thissectiondetailsinwhatkindof customershouldbetargetedtoincrease the marketpotential of the BPD. We triedtofindout whoisthe mostinfluencerforthiskindof productinthe marketandwe focuson selling the productsto whichsectionof customer. Sample Size (Dealers) –42 Options- a. Individual HouseholdCustomer- 14 b. Contractors – 30 c. Architects/Engineers –5 d. HouseholdKiranas –10 Fig 3 So the companyshouldfocusoncontractors more for sellingof these products.Moreover,theseproducts can be usedforrepairworkand renovationsince itcreateslesswastage anddebrisanditwill alsomakes lessdirt.Andthe use of waterisverynegligible asthere isnoneedof watercuringin mostof the product. Andtheyare readymade sononeedof mixingraw material resultsincleanliness.Onthe otherhandit doesn’trequire space forpreparation. Individual Household Customer 20% Contractors 43% Engineers/Architects 22% HouseholdKiranas 15% Individual Household Customer Contractors Engineers/ Architects Household Kiranas
  • 29.
    29 SALES VOLUME DATA Theseare the salesvolume of UltraTechBuildingProductDivisionin2015intonnes.Itcanbe clearlyseenthat the salesvolume is increasingandwitha goodmargin in January2015 the salesvolume was8 tonnesandin may it is 164 tonnes so it has indeed increased drastically. Table 2. Delhi On Apr 30, 2015 Up to Apr 30, 2015 Drymix UOM Budg et Apr '15 Prorata Budget for the day Sale for the day % Ach. for the day Prorata Budget Apr '15 Actual Sale to date % Achievement Seal & Dry MT 3 0 0.00 0% 3 2.50 83% Fixoblock MT 16 1 27.00 5063% 16 87.40 546% Stucco MT 5 0 2.00 1200% 5 2.00 40% PowerGrout MT 10 0 0.00 0% 10 32.40 324% Total 34 1 29.00 2559% 34 124.30 366% Readiplast MT 0 0 0.00 0% 0 0.00 0% Total 34 1 29 2559% 34 124 366% The data shows that every target is being achieved and that to more than 100 %. 8 68 48 124 164 0 20 40 60 80 100 120 140 160 180 1-Jan 1-Feb 1-Mar 1-Apr 1-May SALESINTONNES Source:Company
  • 30.
    30 MARKET SHARE BYANALYZING THE COMPETITORS Number of Dealers visited – 42 Number dealers keeping Dr Fixit URP which a competitor of Seal and Dry- 3 Noida Cement Ltd- 100 to 200 bags of 10 kg per month 100 * 50= Rs 50000 Laxmi Cement Agency- 80 bags off 10 kg per month = 800 * 50=Rs 40000 Vijay Building Material – 50 of 10 kg bags per month= 50 * 50= Rs 25000. Total = Rs 1,25,000 approximately market of Dr fixit URP is there in a month. Seal and Dry price per square feet= Rs 15 Dr Fixit URP price per square feet= Rs 8 TABLE 3 (COMPETITORS) AAC Block Dry mix Company Name Blockunit Location Drymix unit Location Jobworker-Dry mix Magicrete Jhajjar Behror, Rajasthan ACPL(Alive CeramicsPvtLtd) J K Lakshmi Jhajjar Behror, Rajasthan ACPL(Alive CeramicsPvtLtd) Aerocon (HIL) Jhajjar Behror, Rajasthan ACPL(Alive CeramicsPvtLtd) Indo-Bhutan Panipat - Saint Gobain - bhiwadi,wada Ecocrete Panipat Faridabad KonstuctionChemie Finecrete Panipat - shree cement Bulundshahar - richa Babal Behror, Rajasthan ACPL(Alive CeramicsPvtLtd) Biltech Palwal - Kannav Dadri UP WHITE BRICK Aligarh - Ferrouscrete - Faridabad Sercon Ecolite - Laticrete - AeroTuff Jaipur - Source:Dealers
  • 31.
    31 LIMITATION  Lack ofhumanresource inthe department whichleadstonoawarenessinthe market.  Lack of transportationfacilitytotravel all around GhaziabadandNoidaandcarter all the dealers.  Unable to locate the addresssince onlyDealersname listwasbeingprovided.  Andscorchingheat of Delhi wasthe mainfactor behindthe trouble incompetingmyinternship.
  • 32.
    32 CONCLUSION Afterworkingasa summerinternfortwo monthsandvisitingallthe UltraTechdealersof cementthe report wouldlike toconclude that strategywhichisbeingfollowedbythe companyis perfectlycorrect.The UltraTech isthe leadingcementmanufacturerinIndiaanditis backedbythe huge brandnamedAdityaBirla so the customerare of no doubtof its qualityof the productso the highprice of the productwon’tbe a probleminorderto capture the market. Evenif the salesvolume won’tbe asgreat as the competitorsbutthe price at whichthe productsare being offeredwouldmarginallybe asprofitable asthe competitors.Thoughforfirstfew yearsitwon’tgive the desiredprofitbutlaterincomingyearthe marketwill speedup.One more factorisinthe comingyearthe redbricks will be bannedforenvironmental purposesothe use of blockswill increase drastically.Sothe use of these productswill alsobe increasing. Moreover, all theirproductshave beenclassifiedandincludedin the listof sustainable productsascategorizedbyCIIIGBC initsproduct directory. The company needtocarry on itsoperationandshouldn’tbe baffledif the divisionincurlosesasitispart of UltraTech cementanditalreadymakesa profitwhichcan incurthe small losesforfew years.
  • 33.
    33 RECOMMENDATION These are therecommendation which I thought to be implemented after meeting the dealers and site workers. After taking the feedback and analyzing and observing the comments of the dealers these are the recommendation which seems within the boundary and which can be achieved.  The first and vital recommendation which the report wouldlike to raise is Government approval of this product in government projects.  Since governmentprojectneedtobe done as quicklyas possible toserve the publicand the mainpropertiesof thisproductisgivingoptimumstrengthwithinthelesstimesothe Building Product can come handy in this kind of project.  For construction of divider and footpath Powergrout can be used. As we know the road constructioncannotgoaheadformanydays.If itdoesthenthe roadswill be blockedand it will cause to hindrance to public so to avoid these problem Powergrout is the best ultimatum as within 24 hours it gives 40 mph of strength.  Evenfor the constructiondamPowergroutcancome handysince itsstrengthis100 mph throughout life time. So it won’t be too difficult to get government approved.  Moreover, all these are green product so it won’t harm the environment and it doesn’t violetanyenvironmental act. All theirproducts have beenclassifiedandincludedinthe list of sustainable products as categorized by CII IGBC in its product directory.  Thisrecommendationwasmostlysuggestedbyall the dealers.PointOf Displayiswhatall the dealers suggested. Making a rack in every dealers shop and displaying the products so that the customers’ attentioncango on themand theycan enquire aboutthem.Thisisalsogoodwayof advertisement.  Postersandbannersnearthe constructionsites andinthe areawheredevelopmentishappeningand lot of construction project is happening.  Taking help of other companies and asking them to pitch our project and in return we will do the same.Like in UltraTech doesn’thave Xrtalite productin the Delhi NCR so we can ask the competitor of this product ask them to pitch and recommend Fixoblock and return we will recommend their block.  Trainingof the salesrepresentative isamusttoknow the technical know-how of thiskindof product. While dealing with the customer, the customer can ask any kind of question so in order to answer them they should be fully trained.  Advertisementisthe mostcrucial thingwhichneedtobe adoptedtoincreasethe marketshare of the division. • Banners and posters near construction sites. • Posters on every UltraTech dealers and retailers outlets. • Posters behind the transport vehicles. • Using the help of metros for advertisement to promote the product.
  • 34.
    34  Make alistof the dealerof UltraTechbuildingproductdivisionandpublishitinthe newspapersothat the retailers and customers knows where the products are available and who deals with it.  Arranginga meetingorconference andcallingeachUltraTechdealersandmakingthemaware about the products and taking their queries and feedback to how to increase the market share of the division.  Registering itself in the site trademark.com and displaying the product features and benefits.  The most concern thing about the product is about the price. After taking a survey I found that the products are too costly and the price need to be compensated in order to all kind of customers.  Arranging a meeting with the retailers of UltraTech and making them aware about the products benefit and features.  In order to carter the village construction area like in Ghaziabad most people are illiterate and they need to get better understanding about the features of the product.  Customershouldbe made understandthatthough theyare payinghigh price for the product in lieu they are also cutting the labor cost, water cost and etc.  Sales representative should be asked to visit more sites in order to get more orders.  These productscanbe segmentedasrepairandrenovationproductssince itcreateslesswastage and debris and it will also makes less dirt. And the use of water is very negligible as there is no need of water curing in most of the product. And they are readymade so no need of mixing raw material results in cleanliness. On the other hand it doesn’t require space for preparation.
  • 35.
    35 REFERENCE  WIKIPEDIA  GOOGLE PHILIP KOTLERBOOK  ULTRATECHSITE  MONEYCONTROL.COM
  • 36.
    36 APPENDIX DEALER’S QUESTIONNAIRE 1) Firm’sName :___________________________________________________________ 2) Proprietor/ Owner Name :___________________________________________________________ 3) Address :_________________________________________________________________________________ 4) Type of Outlet: a) Wholesale b) Retailer c) Building Material Supplier d) UltraTech Building Solutions 5) Competitor’s Activities: Company Product Monthly Sale 6) What are the UltraTech Products soldin the store? a) Grey Cement b) BirlaWhite Putty 7) Sales Volume ofUltra Tech Product PRODUCT PACKAGESIZE PRICE SALES VOLUME Birla White Putty Greycement 8) In which customer segmentdoesthe store deal with?
  • 37.
    37 a)Individual household Customerb) Contractor c)Architect d)Engineers 9) Are you interestedinsellingthe product? a) YES b) NO 10) What are the most preferredproduct among these sixproducts? (Can be more than 1) a) XtraLite b) FixoBlock c) SuperStucco d) ReadiPlast e) Seal and Dry f) PowerGrout 10) Whoaccording to you isthe most important influencerforthese type of product? a) Architect b) ApartmentBuilders c) Engineers d) Contractors 11) What isyour opinionabout the products and how it shouldbe pitchedin the market? Ans)