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To study the difference between

organizational and consumer selling


in case of Berger paints
INTRODUCTION

• The concept of the company was envisaged by the legendary paint chemist Mr.
Lewis Berger in 1760.The Company was incorporated on 17 December, 1923, in
the state of West Bengal as Hadfields (India) Limited.

• BERGER'S performance is anchored today in a wide variety of Decorative and


Industrial paints which continue to gain an increasing share of the highly
competitive Indian paint market. Being an ISO 9001 company its quality products
have attained instant recognition, worldwide, and continues to meet quality
requirements that are demanded today even in the domestic market.

• Company’s paint business in India consists of decorative, Industrial (Automotive


coating). In 2005-06, these accounted for 79.1% of the group sales.
PRODUCTS
• Decorative(market size Rs 32.5 Bn)
– Interior
– Exterior
– Concrete
– Plaster
– metal and wood
• Industrial
– equipment sector
– powder coatings
– protective coatings.
CHANNEL STRUCTURE
•Head Office 2
•Factory /Plant 14
•Sales Depot 153
•12000+ dealers
COMPETITORS
SWOT Analysis
Strength Opportunities
1. Market leader in decorative segment, 1. Come up with new innovations to
with 44% Market Share. challenge other paint companies
2. Tie up with Herbert-Germany valspar 2. High growth rate, a high percentage of
of US & Teodor NV of Holland. discerning young population.
3. Inherent advantages of water based 3. Consumers becoming conscious in
wood finishes terms of aesthetics and lifestyle.
(environment friendly etc.)
Threats Weakness
1. Non-wood materials like plastic, cane, 1. Low Awareness about wood finishes.
acrylic, wrought iron etc. used for 2. Inherent weaknesses of the product
furniture. (less protection from moisture etc.) 
2. Materials like laminates being
used to coat wooden surfaces.
Objective of selling Berger paints
• B2B communication strategy

– To generate product awareness.


– Give an incentive to influencer to push/suggest product.
– To initiate trial.

• B2C communication strategy

– To increase knowledge about category.


– To involve consumers in the purchase process.
– To convert product from low involvement to high involvement.
Selling Strategies B2B
1. According to secondary data collected from Berger paints- the selection of dealer take place by
following points

• The dealer should have a sound financial background.


• The dealer should have goodwill in the market.
• The dealer should have his own infrastructure and logistics

2. The dealer is educated with the company background, products and service etc.

3. The time to time selling incentive are given by company according to performance of dealer and market
demand

•  In-Store Displays: Point-of-Purchase ,Berger paints Banners, Demonstrations of color on wall, etc are
provided by the company.

• Temporary Price Reduction (TPR): They get margins plus some incentives promotion scheme to
maintain the dealer.

• Contests: Dealer to dealer contest are kept to promote push strategy and best dealer gets the reward.
Berger paints likes to do the same with in same geographic areas.

• Sampling: Allowing the dealer to experience the product or service by providing free samples so as he
can promote word of mouth
Selling Strategies B2B
• According to Primary research, the maximum dealers go for 200 containers for a month , this is done
through average sales of the paints by the dealers.

• Dealers get 10-15% margin which accounts him their profits from Berger. According to this, they
recommend the product accordingly and even place them at right places where the product sales can be
maximized.

• Dealers get 5-10days order cycle time margin which accounts him their profits from Berger. According
to this, it shows that they are about to sell almost 70% of what they have collected 10 days back.

• Dealers get trade discounts which not only attracts dealers to company but it also accounts for extra
added advantage in selling the product to the customers. The word of mouth publicity also forms an
integral part of communication in this area.

• Dealers get Brochures and ads which serve them a purposes of looking and having records of variety of
Berger paints. Trade meetings and personal visit also follow the trend.

• Specialty advertising: Giving Berger paint T-shirt, Caps and other small things to painter for their
advertisement.

• Trade show: Berger paint always open its stall in the Industry trade so that it products would be
promoted globally
Selling Strategies B2C
• Berger paint have large area of Network of distribution. It has almost retail outlets through out the
country situated in the different city of India.All the customer could easily access the product of
Berger paint anywhere and any time.

• First of al Berger paint is bring different low cost product like Utsav group in the rural market.

• To enhance their sales in the market they are spending a huge amount of money in ad campaigns.
Festive seasons inludes price discounts on the items of Berger paints.

• They follow sales demonstration programme where they demonstrate their different product where a
large no. of discount is given on the product, lucky coupons, free gifts are given to the customer.

• Moving vans are being employed to sell their product in different village.

• The customers of Berger vary from a period to a big industry in order to enhance it sales it gives
price discount on bulk amount of purchase. The company give coupons inside the paint pack so that
could be taken by the customer as a gift from the company.

• Berger paint always try to improve the packaging of the product. If the product would be fancy and
stylish then it would increase the sales of the products.
Selling Strategies B2C
• According to Primary research, the maximum people have painted their homes and interiors by
Asian paints. The mind share and even market share of Asian is much ahead than Berger paints.
But Berger paints are struggling to make their place in the mind of customer. As strategies of
the company are discussed above, they are filling gaps in mind of consumer by their innovative
and first mover advantage products.

• The maximum people get attracted as of quality of the product followed by brand image , the
word of mouth caters and influences the people the most rather than any other factor.
Customers want long lasting paints and thus they go for branded

• The maximum people can’t recall the ads and any other promotion by berger. This shows that
the company doesn’t leave the deep impact on the mind of customer. They should be more
effective in terms of promotion techniques and communication

• The maximum people feels good (above satisfactory) for the brand but the company has to
focus on rest of potential market. They have to focus on their strategies for the same.

• The maximum people feel that Advertisements are most effective way to communicate. The
deep impact leaving ads to be used – funny commercials and emotional commercials are
accepted widely.
Conclusion
• Company has reach the field of B2B and B2C very effectively.
• The dealers should be given more incentives and festive season
discounts to promote the push of products.

• Sales representative should reach the dealers on time and supply of


products should never be less.

• The customers don’t recall the brand so well- means that it should
be more effective in terms of communication and promotion.

• The company has good network in terms of dealer and B2B selling
strategy whereas the communication with B2C is still a problem.

• Company has to benchmark the competition by Asian paints


Thank You
• Ruchi Tyagi- B05
• Sachi Gupta-B06
• Sagar Gupta-B18
• Samarth Munish-B27

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