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ABOUT THE COMPANY

Pidilite has been a pioneer in developing innovative products that have become household names. It has strong portfolio of brands like Fevicol, M-Seal, Fevi Kwik, Dr. Fixit, Roff, Fevicryl Hobby Ideas, Ranipal etc., which command top of the mind recall among consumers and business class categories alike. The journey started in 1959, when the Company laid its foundations with innovation in the form of Fevicol path-breaking synthetic white resin adhesive. It meant freedom from cumbersome animal fat glue for binding woodworks. To this day, Fevicol remains the first choice of carpenters and has become synonymous with bonding. The company has introduced several new product brands like Woodlok, Roff, and Smartcare catering to construction, healthcare and hospitality segments in the recent past and continues to focus on introducing variants of its existing brands. The company is growing its international presence and has acquired well established brands like Roff , Motomax and Cyclo. The company believes in constant innovation through new products, packaging to improve the consumer experience in product usage. Its ads are also well known for its creativity and has had very memorable and entertaining communication particularly for FEVICOL - Be it a politician glued to his chair, the hen that laid unbreakable eggs, to the overflowing bus, or the Moochwali advertisement all the commercials have been loved and appreciated by consumers. The ads have won lot of accolades at various prestigious festivals for their creative excellence such as the Golden Abby Award in 1999. The Companys sales have grown at a CAGR of 17.85% over the last five years. For the financial period 2010-11, the Company achieved 22.9% growth in sales, 28.5% increase in PBT and 12.1% increase in Profit after Tax(y-o-y).

ABOUT HOBBY IDEAS

Pidilite has been renowned for bringing innovative products and creating new markets. Continuing the trend forward, Hobby Ideas came into existence as India's first and finest chain of art, craft and hobby stores. This is the first retail chain of its kind in India. But similar concept has been quite a success in US and other countries (Michaels and Hobby Lobby). Art, Craft & Hobby is a highly evolved market internationally with its market estimated at around $ 65 billion across the globe, with $30 billion+ in US alone. There are dedicated Hobby & Craft retail chains like Michaels, Hobby Lobby, Hobby Craft which have a cumulative turnover of around $ 16 billion. People in US believe in productive usage of leisure time. They want their kids to involve in activities which help improving the creative skills of their Creative Flicker kids. It is also a perfect leisure time activity for women and adults. In India the Hobby Craft market estimated at around Rs. 100 cr. & is growing rapidly. The major concern with the Indian market is that unorganized players constitute the major chunk of the market and hence there is no authenticated product supply. In the past 5-6 years Hobby Ideas has grown like a promising baby of Pidilite Industries. Hobby Ideas offers a range of more than 2500 products across various categories from different countries all over the world. The products are complemented with books, videos, finished articles, projects and workshops that make Hobby Ideas a unique and

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Symbiosis Centre for Management & HRD administration in order to add some fun aspect to learning, the segment of believers in this approach seems to be small. The overall effectiveness of the approach also depends on the parents of these kids, who currently do not see much value in art and craft. The urban population has been exposed enough to recreational activities and options to spend their free time on. The cities are now flooded with hang out joints, multiplexes, restaurants and parks and hence an upper class or an upper middle class family finds enough options to choose from for their weekend outings. These outings costs them heavily and most of the money is spent on nonvalue add items like junk food. Hobby Ideas intends to bring in a shift in pattern of expenditure in terms of time and money among the households. Success of the concept lies in acceptance of the Indian population for importance of hobby activities in regular day to day life. It has to break the shackles of the Indian mindset and a reordering of priorities and reallocation of resources will go a long way in achieving this goal. Six years into the market, Hobby Ideas team wants to realign its strategy to position its products, in order to win the hearts of Indians. They want their audience should be able to see as much value in recreational activities like arts and crafts, as currently seen in facebook, twitter and texting on the go. This hobby revolution should encourage the target group (aged 8-18 years) as well as influencer group to spend time on hobbies to add quality to their lives. The concept, so far has exploited the retail channel to promote and sell its products in addition to a few multi-level initiatives for marketing of products. With an intent to decrease dependency on current investment- intensive channels, there is a realization to exploit new and unexplored means and channels to promote the concept and hence the products. The range of do-it-yourself products often require experiential trigger to convert to

complete experience for art, craft and hobby enthusiasts in India. At present it has set up their Hobby Ideas stores in Mumbai, Pune, Nagpur, Ahmedabad, Surat, Kolkata and also sells through Staples at Bangalore and Noida (pictures in exhibit 5). These stores not only sell their own products but also other companies products similar to concept followed by Hobby retail stores abroad. The store in addition to providing materials, also strives to educate consumers about hobbies and crafts that are prevalent globally through extensive in-store activities including workshops, demonstrations, training etc. Workshop program is a very important aspect of hobby ideas. It not only targets new users to try and learn the hobby and craft but it also retains the existing customers with new craft category demonstration. It gives the experiential touch to the store and a creative and productive junction for the kids TARGET GROUP FOR HOBBY IDEAS The primary target segment for Hobby Ideas is women in the age of 25-44 years belonging to SEC -A/B and children in the age group of 4-18 years who they believe would trigger purchases and influence buying intentions as they would need material for craft work. Pidilite also noticed that the store witnessed frequent visits by people who were using these hobbies in their profession or even for small scale home based employment. The psychographic profile of the target group is given in Exhibit 4.

PROBLEM STATEMENT
Unlike the western part of the world, where art and craft is promoted as a part of school curriculum and is considered an indispensable activity during kids early developmental years, Indian population lies on the other end of the spectrum. In India, even though hobbies like arts and crafts are increasingly being adopted by school Creative Flicker

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Symbiosis Centre for Management & HRD and performance of a retail chain is considered proportional to the retail space acquired by the chain and its spread within a region and the country. How can a business model be made for hobby ideas where the retail space is not a necessity for the sales of its products? Can we leverage any other medium for sales through which people can know easily about the product usage and demonstration so as to be regular users or new users for hobby ideas products and stay with the company .Hobby ideas needs to generate more leads and sales without proportionate increase in retail space. If you think any one of the above stated idea or a combination of ideas or all over a new idea can help hobby ideas achieve its required goal of fostering hobbies as household activity and increase its business by reaching its target audience, and thus give a structured, feasible and implementable plan for the same. The vision of Hobby Ideas is to facts and opportunities suggest: What model it should follow? What will be the goal of the model? A brief synopsis about the working of the model and its implementation.

sales, which calls for a multi-pronged approach and communication strategy. Hobby Ideas is a mix of product and concept, therefore its advertising alone wont serve the purpose until there is no culture at large for hobby and crafts. And training people for hobby also will be of lesser use until the product categorys usage and familiarity is developed. The challenge with the company is how to make hobbies a household activity in India? The first opportunity that Hobby Ideas sees is a MLM(Multi Level Marketing) strategy, where Hobby ideas can train people in various hobbies say glass painting and make them opinion leaders for hobby and crafts. They in turn will train others and thus create a down-line of trainers. This may help to profuse the spirit of hobby and craft in the country. It can also act as a source of revenues for them. The second possible opportunity which the company sees is the remarkably sizable population of housewives in India. Suggest how hobby ideas can leverage the housewives section who can be a great contributor in building the hobby culture and also find an alternate profession for them. A fraction of a days time by housewives has proved very effective in businesses like papads, pickles, knitwear and handicrafts. The third possible opportunity is related to the retail space of hobby ideas. Generally, the sales

grow 5X in 5

years. Keeping this in mind and the above stated

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ANNEXURE
Exhibit 1:

Exhibit 2: Indulgence in Leisure Activities in 2010 (Insights)

On an average day, nearly everyone age 15 and over engaged in some sort of leisure activity, such as watching TV, socializing, or exercising. Of those who engaged in leisure activities, men spent more time in these activities (5.8 hours) than did women (5.1 hours). Watching TV was the leisure activity that occupied the most time (2.7 hours per day), accounting for about half of leisure time, on average, for those age 15 and over. Socializing, such as visiting with friends or attending or hosting social events, was the next most common leisure activity, accounting for nearly three-quarters of an hour per day. Men were more likely than women to participate in sports, exercise, or recreation on any

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given day--22 percent compared with 16 percent. On the days that they participated, men also spent more time in these activities than did women--1.9 hours compared with 1.3 hours. On an average day, adults age 75 and over spent 7.7 hours engaged in leisure activities-more than any other age group; 35- to 44-year-olds spent 4.2 hours engaged in leisure and sports activities--less than other age groups. Time spent reading for personal interest and playing games or using a computer for leisure varied greatly by age. Individuals age 75 and over averaged 1.1 hours of reading per weekend day and 18 minutes playing games or using a computer for leisure. Conversely, individuals ages 15 to 19 read for an average of 6 minutes per weekend day while spending 1.1 hours playing games or using a computer for leisure. Employed adults living in households with no children under 18 engaged in leisure activities for 4.5 hours per day, nearly an hour more than employed adults living with a child under age 6.

Exhibit 3: Importance of indulgence in Leisure activities

More leisure time means more health, happiness: Times of India, Aug 14, 2009 A new study has confirmed what many people already knew: the more time spent doing different types of enjoyable activities, the better a person's health tends to be. The study says taking time for leisure activities apart from the demands of work and other responsibilities helps people function better physically and mentally. "People who are engaged in multiple enjoyable activities are better off physically and psychologically," said study co-author Karen Matthews, Ph.D. She is a professor of psychiatry, epidemiology and psychology at the University of Pittsburgh School of Medicine. The study appears online in the journal Psychosomatic Medicine: Journal of Biobehavioral Medicine. To reach the conclusion, 1,400 adults reported how often they participated in a variety of leisure activities, including spending time unwinding, visiting friends or family, going on vacation, going to clubs or religious activities or playing sports. Adults with higher scores indicating the most time spent in different leisure activities had lower blood pressure, waist circumference, body mass index and cortisol measurements, all markers of good health. "When one is under stress, the usual thing is to cut back on enjoyable activities because you're feeling uncomfortable and you need more time to deal with the stress. But these data suggest that is the wrong thing to do and that continuing enjoyable activities you do can be helpful," Matthews said. People who spent more time doing diverse leisure activities also reported stronger and more diverse social networks, more feelings of satisfaction and engagement in their lives and lower levels of depression. Those who logged the most leisure time also slept better and exercised more consistently, the authors say.

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Exhibit 4: Psychographic profile of target consumers Kavita is a 14 year old student of 9 standard at St. Marks School, Delhi She has a deep interest in art but with the pressure of studies increasing on her she has stopped pursuing her hobby She spends the first half of her day at school, comes back, rests and goes and tuitions in the evening When asked what she does for her spare time, she says she has to study a lot but watches TV and goes with her family to watch a movie in her spare time She says art and craft used to be a subject in her school till class 6 but after that her time spent on these activities has reduced Kavita really likes handmade gifts and cards and has also tried out hand made rakhi for her brother
th

Sonal is a 35 year old housewife living in the suburbs of Mumbai. She has a son who studies th in 4 standard Sonal spends most of her time doing household chores and when her child is at school, she often does stitching and knitting in her spare time She had once learnt painting and had thought of teaching the same to a few neighborhood girls and earn some additional income for her family Having tried craft work once, she felt that it takes a lot of time and dropped the idea later Though she often helps her son in his art and craft work but wants him to pursue sports and computers as a hobby which she feels will be better for her son

Sourabh is a student at an engineering college. As a part of extracurricular activities, he is also a member of the Art& Photography Club and Rotaract Club in his college Sourabh joined Art & Photography Club but soon lost interest in the activities as he started focusing more on his engineering studies He started doing photography in his spare time but perceived art to be for girls In his college festival, he appreciated the way other students prepared hand made cards for their friends in a competition and decided to make one himself However, in the middle of peer pressure he dropped the idea of spending time on craft work even when he personally enjoyed it

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For further details on the categories, visit www.hobbyideas.net

Rules and Regulations

Elimination Round 1: Submission of an extract in not more than 1000 words on your understanding of the issue and the questions involved.

Each team will comprise of 2 members from the same institute. A student cannot be part of more than one team. One team can submit only one entry. Only students of full time MBA can register. There is no restriction on the number of teams from an institute. The participants should submit the abstract in pdf format.

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Each entry should have a cover page mentioning team name, participants, email ids and mobile nos. of the team member(s) and the name of the institute they belong to. The format for the same has been mentioned under.

Font Details: Times New Roman, 12 point, 1.5 line spacing Word Limit: 1000 Words The case deliverables have to be mailed at creativeflicker.neev11@gmail.com. Participants shall receive an acknowledgement within 24 hours of mailing their entries. Last date to submit the abstract is 2nd December 2011, 23:59:59 HRS. All the files mailed should follow the format Creative Flicker_<Team Name>_<College Name> The subject of the mail should be of the format Creative Flicker _<Team Name>_<College Name> The mail should contain the following details of the team members
Sr. No Participant Name E-Mail ID Phone No

The name of the participants, college name etc. should be mentioned only on the cover page and nowhere else in the entire document. Failure to adhere to this clause will result in automatic disqualification.

The shortlisted teams will be invited on campus for subsequent rounds.

For any queries regarding the case write to us on creativeflicker.neev11@gmail.com Or Contact Avijit Kumar Singh Prashant Nandakumar +91 7709407813 +91 8975767568

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