Asian Paints: Royale Luxury Emulsion

4 P‟s Of Marketing
By: Manish Shivani ITM Business School Mumbai

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Introduction
• Vision:
"Asian

Paints aims to become one of the top five Decorative coatings companies world-wide by leveraging its expertise in the higher growth emerging markets. Simultaneously, the company intends to build long term value in the Industrial coatings business through alliances with established global partners."

Mission
Asian Paints aims to become the largest decorative paint company in the world and to rank among the top 5 paint manufacturing companies of the world.

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Introduction

• •

• •

Asian Paints was established on 1Feb 1942, with name “Asian Oil & Paint Company”, with great determination of Mr. C. H. Choksey. Asian Paints is India's largest paint company and the third largest paint company in Asia today It‟s a 3000 crore Indian MNC and is amongst top 10 decorative paint companies in India. Asian Paints operates in 22 countries and has 30 paint manufacturing facilities in the world-servicing consumers in over 65 countries. Forbes Global magazine USA ranked Asian Paints among the 200 Best Small Companies in the World for 2002 and 2003 and presented the 'Best under a Billion' award, to the company. Asian Paints has a 50:50 joint venture with Pittsburgh Paints and Glass Industries (PPG) of USA, the world leader in automotive coatings, to meet the increasing demand of the Indian automotive industry - www.asianppg.com.

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Asian Paints

PRODUCT MIX

16 July 2009

Manish Shivani – ITM Business School, Mumbai

PRODUCT
Asian Paints

Decorative

Industrial

Fresh Coat

New Wall Finishes

Automotive

Powder Coatings

Protective Coatings

16 July 2009

Manish Shivani – ITM Business School, Mumbai

PRODUCT MIX
ASIAN PAINTS

ANCILLARIES 8

INTERIOR 9

EXTERIOR 6

METAL FINISHES 6

WOOD FINISHES 4

1.DECOPRIME SYNTHETIC CEMENT PRIMER-ST 2.DECOPROME SYNTHETIC CEMENT PRIMER – WT 3.TRACTOR OIL PRIMER 4.METAL PRIMER CORRSION RESISTANT 5.AP ACRYLIC WALL PUTTY 6.APCOLITE KNIFING PASTE FILLER 7.ASIAN NC CLEAR WOOD FILLER 8.APCOLITE UNIVERSAL STAINER 9.APCOLITE WOOD STAINS

1.ROYALE LUXURY EMULSION 2. PREMIUM EMULSION 3.TRACTOR EMULSION 4.INTERIOR WALL FINISH MATT 5.INTERIOR WALL FINISH LUSTURE 6.TRACTOR ACRYLIC DISTEMPOR 7.AP TRACTOR SYNTHETIC DISTEMPOR 8.UTSAV ACRYLIC DISTEMPOR

1. APEX EXTERIOR EMULSION 2.APEX TEXTURED EXTREIOR EMULSION 3.APEX ULTIMA EXTERIOR EMULSION 4.ACE EXTERIOR EMULSION 5. EXTERIOR WALL PRIMER 6. EXTERIOR SEALER

1.APCOILITE PREMIUM GLOSS ENAMEL 2.APCOLITE PREMIUM SATIN ENAMEL 3.GATTU ENAMEL 4.UTSAV ENAMEL 5.APCOLITE HAMMERTONE 6.3 MANGOES ALUMINIUM PAINT

1.PU WOOD FINISH 2.AP MELAMYNE 3.TOUCHWOOD 4.APCOLITE CLEAR SYNTHETIC

Market Share: Paint Industry
OVERALL MARKET SHARE
18 Asian Paints Kansai Nerolac Berger Paints ICI Paints Jenson & Nicholsan Shalimar Paints Other

7 6
9 9 18

33

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Market Share: Decorative Segments

DECORATIVE SEGMENT
Others 19% Shalimar 6% Asian Paints 38%

Jenson and Nicholson 5%
ICI 9% Berger paints 9%
Source: Asit C Mehta, Company Report, 15 April 2008
16 July 2009 Manish Shivani – ITM Business School, Mumbai

Kansai Nerolac 14%

Asian Paints: Royale Luxury Emulsion 4 P‟s of Marketing

PRODUCT

16 July 2009

Manish Shivani – ITM Business School, Mumbai

PRODUCT
• • • • • Asian Paints Royale Luxury Sheen Emulsion is a water-based, 100% acrylic, interior wall finish. Royale provides a silky sheen finish which lends a soft regal glow to the interiors of the room. Royale has excellent flow giving a near brush mark free finish. Royale also offers high stain resistance - walls painted with Royale are easy to clean and maintain that new look for years. Royale also offers good anti-fungal properties.

Attribute Coverage Drying time Gloss Shelf Life Stability of Thinned Paint

Asian Paints Royale 325-350 Sq. ft/Lt 15-20 min Soft Sheen 3 Yrs Use within 24 Hrs.

PRODUCT
Market Share
6% 9% 8% 42% Asian Paints Royale ICI Velvet Touch Nerolac Impressions Berger Luxol Silk Others

35%

Source: Business Standard, August 2007
16 July 2009 Manish Shivani – ITM Business School, Mumbai

PRODUCT
• Line Stretching:
– Up Market Stretch: Royale Play
(Rs. 505/lt.)

– Down Market Stretch: Royale Shyne (Rs. 305/lt.)

Enhanced Durability

Smoother Finish

Anti-Fungal Shield

Enhanced Stain Resistance

Product Level

PRODUCT
PRODUCT LEVEL
• Basic Product: The basic need for a paint is to protect the wall from cracks, leaks, make it look clean, make an proper ambience etc. Expected Product: Decorative or Industrial paints, further more like multi choice colors, oil based, mat finish, distemper, primer, wall paint, floor paint, metal paint, wood finish, powder coating, protective coating, fresh coats etc. This level fulfills customer‟s requirement and their needs. Augmented Product: Paint should be of acrylic type, washable, sunlight protected, leaks proof, long lasting, chemical base so it dries fast, polished etc. Potential Product: Here the customer future requirement is judged and tries to give any such kind of product so we can say a kind of „mass customization‟ product. Some example can be like getting paints which are pearl kind shining, reflective, mirror view color etc.
16 July 2009 Manish Shivani – ITM Business School, Mumbai

Asian Paints, 4 P‟s of Marketing

PRICE
Royale Luxury Emulsion

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Pricing
• Royale luxury Emulsion is placed as a luxury emulsion. • Pricing strategy adopted is value based pricing. • Price range 315-345 for 1Lts.

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Pricing
Attribute Comparison
Attribute Asian Paints Royale ICI Velvet Touch Nerolac 24 carat Impression

Coverage Drying Time
Shelf Life Value Addition

320-350 sq. ft/Lt 15-20 min
3 Yrs. BEST
16 July 2009

300-325 sq. ft/Lt 20-25 min
2 Yrs. GOOD

220-240 sq. ft/Lt 30 min
1 Yrs. AVERAGE

Manish Shivani – ITM Business School, Mumbai

Asian Paints, 4 P‟s of Marketing

PLACE
Royale Luxury Emulsion

16 July 2009

Manish Shivani – ITM Business School, Mumbai

PLACE
• Extensive distribution network of:
– – – – – 4 Manufacturing units 6 Regional distribution centers 55 Depots 15,000 Dealers(Urban + Rural) 90,000 Sub Dealers

• Exclusive 3000 Asian Paints Store. • 4500 Color World Stores.
16 July 2009 Manish Shivani – ITM Business School, Mumbai

PLACE
AP bypassed the bulk buyer segment and went to individual consumers of paints. AP went slow on urban areas and concentrated on semi-urban and rural areas. AP went retail. AP went in for an open-door dealer policy. AP voted for nationwide marketing / distribution.
16 July 2009 Manish Shivani – ITM Business School, Mumbai

Asian Paints, 4 P‟s of Marketing

Promotion
Royale Luxury Emulsion

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Promotion Mix
• • • • • Advertising Public Relations Sales Promotion External Communication Events and Exhibitions

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Promotion Mix
Advertising: Electronic Ad’s
• The promotional strategy adopted by Asian is quite unique. The company is using high profile brand ambassadors like Akshay Khanna, Saif Ali khan & Soha Ali Khan” to promote Royale Luxury Emulsion.

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Promotion Mix
Advertising: Electronic Ad’s

• Some other Ad includes:

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Promotion Mix
Advertising: Print Ad’s

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Promotion Mix
Public Relation
• The Public Relations of the Asian Paints is divided mainly in two parts. They are: Marketing Public Relations
– – – Dealers Meeting Painters Meeting New Product Launch

Corporate Public Relations
– – – – Communication Investors CSR Media

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Promotion Mix
Sales Promotion

• Dealers Meeting (quarterly). • Painters Meeting (annually). • Incentives to Painters(Token Exchange, Cash in the Bucket). • Privilege Club Members. • Distributing merchandise to painters such as T-shirts, caps etc.
16 July 2009 Manish Shivani – ITM Business School, Mumbai

Promotion Mix
External Communication

Home Solutions Colour World Online Consultancy

Helpline
Estimate Calculator Paint Selector

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Promotion Mix
External Communication

Promotion Mix
EVENTS

• Asian Paints Sharad Shamman • Sponsored Star Screen Awards from year 2000-2004.

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Refrences
• Primary Data: – Mr. Manpreet Kohli (TSI), A.P., • Secondary Data: – www.asianpaints.com – www.moneycontrol.com – www.businessstandard.com – www.financialexpress.com – Asit C. Mehta Company report
16 July 2009 Manish Shivani – ITM Business School, Mumbai

Thank You

16 July 2009

Manish Shivani – ITM Business School, Mumbai

Sign up to vote on this title
UsefulNot useful