Title: Marketing Stratergies of Godrej and

Whirlpool.

Subject: SMBG

Level/Semester: M.B.A-II

Programme: M.B.A. (GPBL)

Subject tutor: Prof: S.K KUMAR

Name of the Students: V.G. ARUN PRAKASH & PRAJESH.R

Date of Submission: APRIL, 5, 2010

Word count: 2091 WORDS

Word Limit: 2000 WORDS

TABLE OF CONTENT

1
 DESCRIPTION Pg:No

     

Cover page : 1

     

Table of Content : 2

     

Introduction : 3

     

Product mix of godrej and whirlpool : 3,4

     

Marketing mix of godrej and whirlpool : 5,6,7

     

Marketing Mix Which we like most : 7,8

     

Conclusion : 8

     

References : 9

     

     

INTRODUCTION:

Current Scenario of Indian Electronic Industry:

In recent years the electronic industry is growing at a brisk pace. It is currently

worth $10 Billion but according to estimates, has the potential to reach $ 40 billion by

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 2010. The largest segment is the consumer electronics segment. While is largest export
segment is of components. Now, Electronics in India constitutes 0.7% of the global
electronic industry.

Introduction to Whirlpool & Godrej:

Whirlpool is the world’s no.1 manufacturer and marketer of home appliances

which has set industry milestones and bench marks. In India it started its operation in
1980’s with a joint venture with TVS group. Its headquarters is at Michigan in USA with
a global presence over 170 countries and manufacturing operation in 13 countries and
with 11 major brand names. In India, whirlpool holds a market share of 25%. Its annual
turnover in the year ending March 2009 was Rs.1719 crores.

Godrej is one of the India’s most trusted brands which enjoy the patronage and
trust of over 400 million Indian’s every single day. Godrej & Boyce Mfg co Ltd
established at Lalbaug Mumbai on 7th may 1897. 20% of godrej businesses are done
overseas which has it presence more than 60 countries. Market share of godrej in 2009
is 28%. Godrej Appliances turnover is Rs. 2000 crores by December 2009.

PRODUCT MIXES OF GODREJ AND WHIRLPOOL:

GODREJ & BOYCE

Mfg.Co.Ltd

HOME Furniture’s Security equipment Material Handling

Equipment
Appliances Goods Division

Refrigerators Cup board Physical security

Product
Air conditioners Chairs
Electronic security
Washing Machine Beds system

Micro oven Carpet Doors

Godrej has diversified his business in electronics in to many units’ i.e. Home appliances,
DVDs Furniture’s goods, security equipment and Material handling equipment. It also
Interior decoration
diversified is businesses to Fmcg and real estate business. In home appliances more
than 70% of revenue is achieved through Refrigerator. Godrej Mission is to operate in
existing and new businesses which capitalize on the Godrej brand and corporate image

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of reliability and integrity. Its vision is “Godrej in every home and work place”. Godrej
objective is to delight its customer both in India and abroad. Godrej shall strive for
excellence by nurturing, developing and empowering its employees and suppliers. It
motto is “We care the quality of your life”. Having a wide range of product line is an
added on advantage to this company. Recent expansion of godrej real estate business
has a greater advantage since their home appliances, furniture and Security equipment
can be used in their business, and because of their real estate business they earn more
profit to their own company.

Whirlpool’s Product Mix

Refrigerators Washing Microwave UPS

Machine

Direct Cool Semi Automatic Solo Sin Wave HUPS

Frost Control Fully Automatic (top Grill Sin Wave Platinum

load)
Frost Free Convection Silver Series
Fully Automatic
Fusion 24 Premier (front load) Magic Cook 22c Elanta-HUPS Gold
Series
Professional 410 Jetchef
White Magic 800H
liter

Whirlpool product mixes is not that much diversified as godrej. They have only
diversified his businesses in only electronic goods that are home appliances,
accessories, built-inn and UPS. But they have many varities in their products which is
more than godrej. In home appliance they create more and new innovative idea and add
more value to its product which attracts more modern age people who loves new
changes.

MARKETING MIX OF GODREJ AND WHIRLPOOL:

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 Mostly people or businesses will focus on Price, Place,
Promotion and Product as their elements of marketing mix. But now the marketing mix
is increased with Five P’s and also to Seven P’s. Regarding Godrej and whirlpool we
are going to mostly concentrate with Four P’s i.e. Price, Place, Promotion and Product.

MARKETING MIX OF GODREJ:

PRODUCT: Godrej product is there in much kind of businesses namely Home appliance
(Refrigerators, Air-conditioners, Washing machine, Microwave and DVD’s), FMCG
(Cinthol, Hershey’s chocolate syrup, Good knight, Hair colour and hair dye), Agri
(Animal feeds, Oil palms, Plantation, Agro chemical and poultry), Furniture (Cup board,
chairs, beds, Carpets and interior decoration), Real estate (Residential, Commercial
and township) Security solution (Safety lockers, Banking automation product and
electronic security system). Their product is very much trusted by people. It had created
good brand loyalty over the periods. It has been form the late 1897. In home appliances
more than 70% of his revenue comes from Refrigerators. In Fmcg they achieve most of
their revenue through hair colour and dye. Almost many of the companies and firms and
banks use godrej security system because it is a trusted one also same in the case of
doors and locks which is used in houses also.

PRICE: There are many ways to price a product, they are Premium pricing, Penetration
pricing, Economy pricing, Price skimming, Psychological pricing, Product line pricing,
Optional product pricing, Captive product pricing, Product bundling price, Geographical
pricing and Value pricing but Godrej philosophy had all been to deliver value for money
to its customers despite being priced economically, Godrej maintained his product
quality, so that is the reason many of the people do not consider about the price when
they go for brand godrej.

PLACE: It is also known as channel, distribution, or intermediary. It is the mechanism

through which goods/services are moved from the manufacturer to the consumer.
Godrej home appliances are sold in retail outlets like Vivek&co, Vasanth&co. and Girias
etc… In the case of Fmcg product it is given to the small store to big retail store like Big
Bazaar through theirs distributors allocated in each state or city. In the case of security

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system and doors it is available in hardware stores and security system and banking
automation services is fitted directly by Godrej. Godrej & Boyce Mfg.Co.Ltd has a
network of 38 companies-owned showrooms and more than 2200 Wholesale dealers
and more than 18,000 Retail Outlets.

PROMOTION: This includes all of the tools available to the marketer for ‘marketing
communication’. Promotions are done in four ways Advertising, Public relations,
Personal selling and sales promotion. Godrej has a unique way of advertising their
product. For example their DVD’s advertisement is considered has funny advertising
amongst the people. They advertise their Fmcg and home appliances product through
outlets, through big banners in important cities, through television and internet
advertisement and they have their own company websites through which people can
get to know about all the products of godrej and also about their companies.

MARKETING MIX OF WHIRLPOOL:

PRODUCT: In India, refrigerators and other home appliances were long known before
the 1990s; but Whirlpool’s products stand out for innovative approaches to specific
Indian contexts, and for a focus on customer relevant technology. One of its earliest
product-innovations specifically addressed the sizeable segment of customers who
bought smaller sized refrigerators. Whirlpool realized that a customer who bought a
small capacity refrigerator would probably require greater flexibility and options in
storage. Therefore, it introduced the Flexigerator, a refrigerator with adjustable and
‘drop-down’ shelves that gave unprecedented space options to customers. Again,
Whirlpool realized that Indians have a propensity to store much larger amounts of
water than most other cultures. Therefore, Whirlpool introduced shelves that could
take 1.5 liter bottles, on specially strengthened doors. Subsequently, Whirlpool
introduced its Ice magic refrigerators which made ice faster than other brands.In
washer products, Whirlpool was again the first to come out with a Combimatic – a
single tub semi-automatic washing machine that did away with the hassle of shifting
clothes from one tub to another. Whirlpool has a wide product portfolio ranging from
air-conditioners to microwaves.
Whirlpool’s future products will be designed as an environmental friendly product in
accordance to customer expectations

PROMOTION: Whirlpool's promotion strategy has introduced unique values in the

home appliance market. As recently as the early 1990s, most consumer durables were
promoted just as desirable accessories, and the purchase decision crystallized
through the male breadwinner in the Indian family. Whirlpool’s promotions broke new
ground with reference to each of these longstanding premises in the Indian consumer
market. Whirlpool created its marketing position around the tagline, ‘You and Whirlpool
– the world’s best homemakers’. Based upon this premise, Whirlpool’s promotions
encouraged and helped women to consciously identify themselves as the real
homemakers in the family. This strategy also took Whirlpool to the core of every home,

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as envisaged in the mindset of customers, thereby enabling instant connection with
the brand. In the process of establishing such an emotional connects with the
customer. Whirlpool’s strategy of reaching out to its customers in unique ways was
followed even in media .It changed the media trend for consumer durables advertising
in India, which hitherto was heavily skewed towards print. Whirlpool was the first home
appliances brand to orient its promotions towards television advertising.
PRICE: Whirlpool India Ltd. has changed its strategy from being a premium-player to a
mass-player. Whirlpool has been concentrating on becoming a brand for the mass-
market and hence has introduced its products in all price categories. In order to
increase their profit, they try to reduce their cost. Some of their actions are they closed
several plants and streamlined organization in several group.Knowing the market well,
structuring the elasticity’s and keeping an eye on competitors by whirlpool has
implemented a customer-centric strategy that focuses on making sure their products are
appropriate for the Indian consumers. Different versions of their products are priced
differently, but not according to differences in their costs.
Whirlpool’s bigger success has been in the full in the fully automatic segment.

PLACE: Whirlpool aims at globalization to obtain more market share in home

appliance industry by expanding globally. In Asia, where considerable perceived profit
is locate. Asia is a promising market with great potentiality, where the population is
huge while the labor is cheap compared with Europe and North America. Whirlpool
put more efforts on its major markets (Europe, North America) to ensure its market
position and profit, meanwhile, the investment in new market to support the
globalization strategy should be undertaken cautiously and strategically according to
the economy and resource condition and related cultural issues. 
Asia, Europe, Latin America and North America are the most profitable market for
where Whirlpool is operating. Whirlpool India is also one of the largest exporters of
home appliances from India. Godrej have three World class factories manufacturing a
wide range of Refrigerators and Washing Machines .Their appliances are exported all
over the globe from Australia & New Zealand in the East right up to Central America
and the Caribbean islands in the West. Apart from World Class factories, Whirlpool
has also set up its Global Product Development Centers in India where hundreds of
engineers and technicians are working round the clock, developing product designs for
the entire Whirlpool world.

MARKETING MIX ELEMENT WHICH I LIKE MOST:

GODREJ: Marketing mix element which i like most in godrej is Promotion because they
have unique way of promoting their product. In line with Godrej Masterbrand’s promise
of ‘Brighter Living’, the godrej group has launched GoJiyo.com – India’s first online
virtual world. GoJiyo will be platform for the godrej brand & it’s portfolio to engage with
the restless, upwardly mobile Indian youth in powerful, experimental manner. They also
advertise their product in very funny way that is advertising of its DVD’s product and
they advertise their product in such a way which is accepted by most of the people.

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Godrej is an Umbrella branding, so they have got a greater advantage because good
promotion of one product will carry forward to other product also which create more
brand loyalty to its entire product amongst the people.

WHIRLPOOL: In the process of establishing such an emotional connects with the

customer, Whirlpool’s promotions have also generated memorable campaigns.
Foremost among these is the ‘Whirlpool, Whirlpool….’ audio refrain, which is the
hallmark of all audio-visual communications for this brand. Whirlpool has also created
many memorable taglines for specific products, such as ‘Ice, ice baby’ for refrigerators,
and ‘Mummy ka magic chalega kya?’ for washing machines which have become part of
the colloquial ‘market-speak’ in the country.

CONCLUSION:

Since Godrej is very trusted brand in India and because it came to India well before
Whirlpool Godrej enjoys more advantage than whirlpool. Since godrej product
diversification in Fmcg and also in real estate apart from electronic goods it enjoys
growth in all the fields because of its expansion of businesses where as whirlpool dose
not see that much growth because it has diversification business only in electronic
goods. Because Godrej uses umbrella branding for its entire diversified product it
creates huge brand loyalty amongst the people than whirlpool. The Godrej name yields
powerful influence today’s rapidly transforming social and economic environment.

REFRENCES:

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www.elcina.com

www.ndtv.com

www.whirlpool.com

www.godrej.com

www.cengage.co.in

Strategic marketing - Farrell.Hartline – 2008