Patanjali Ayurved Ltd.

Introduction
• It is an Indian FMCG company. Manufacturing units and
headquarters are located in the industrial area
of Haridwar while the registered office is located
at Delhi.
• The company manufactures mineral and herbal products.
It also has manufacturing units in Nepal under the
trademark Nepal Gramudhyog and imports majority of
herbs in India from Himalayas of Nepal.

• According to CLSA and HSBC, Patanjali is the fastest

growing FMCG company in India. Ramdev baba has
stated in his interview with CNN-News18 that profit from
Patanjali Products goes to charity.
 Timeline
• 1997: In 1997, Patanjali Ayurved Limited
(PAL) started as a small pharmacy in
Haridwar, by P.P. Swami Ramdev Ji Maharaj.
• 2006 : Established as a Pvt Ltd. company .
Acharya Balkrishna established Patanjali
Ayurved Limited as a formal private
company on 13th January 2006 along with
Baba Ramdev.
 Timeline
• 2010: The world’s largest food park opened On
5 January 2010, the world’s largest food park
opened 20km from the holy city of Haridwar,
Uttarakhand, India. The INR 500 cr Patanjali
Food and Herbal Park is spread across ~95
acres in first phase; and has generated direct
employment for 7,000 people. The construction
started in February 2009 and was completed in a
record time of less than a year
• 2012 : Hit revenues of Rs. 450 cr, 450 stores
MARKETING MIX MODEL
• PRODUCT
All Existing Products and herbal products for
different diseases.
• PRICE
Value Based Pricing ,Alignment of cost customers
& competitors.
• PLACE
Franchise Stores, Super/Hyper markets & Online
marketplace
• PROMOTION
Yoga Shivir, Youtube, Social media ,Free media
promotions
SEGMENTATION
• Demographic basis –Age groups from 15-64
• Psychographic basis –Personality, lifestyle and
class
TARGETING
• 75% of the world’s population uses herbal care
products
• 65% of India’s rural population uses Ayurveda
remedies
• Trend shift towards natural herbal products
POSITIONING
• Ayurvedic products are positioned as products
who can treat diseases with zero side effects
• Juices and food products are portrayed as a
healthy way of life
 PRODUCT LINE
NUTRITION & PERSONAL BOOKS & HEALTH
SUPPLIMENTS
GROCERY MEDICINES HOME CARE
CARE MEDIA CARE

CANDY BODy
BADAM ASAVA
LOTION AUDIO
PAK GRAM CASSETTE
BHASMA AGARBATTI
FLOUR TOOTH
BRUSH DIGESTIVE
CHYAWAN ,TOOTH PASTE AUDIO
PRASH CORN GUGGUL
CDS/MP3
FLAKES
GHEE PARPATI DISH EYE CARE
ELECTRONIC
HERBAL TEA WASH ITEMS
HONEY SYRUP BAR FACE CREAM
MUSTARD ,AGING
OIL VATI CREAM DVDS & HEALTH
HEALTH
DRINK
VCDS &
RICE WELLNE
PISHTA HERBAL HAIR OIL,
SALT, GULAL SHAMPOO, SS
FRUIT JUICE
CONDITIONER BOOKS
CHURNA
SPICES
MARKETING AND
BRAND BUILDING
1. ONLINE & OFFLINE SHOPPING EXPERIENCE
• Authentic and trained sales consultants
• Customers problems solved on 1:1 interaction
• Easy to navigate website UI with full details
• HD resolution photos and videos of products

2. YOGA SHOWS
• Pan India Yoga Shows
• Broadcasted in 170 countries
• 3 books and 2 video CDs
PERSONAL BRANDING
• Cult personality and charisma of Baba Ramdev
• 535 branches of Patanjali Yog Ashram

ADVERTISEMENTS
• Commercials on Star TV and ZEE TV
• Simple ads to disseminate info –INFOMERICALS
• No false promises
• Spending is only 1 –1.5 % of revenues turnover

SOCIAL MEDIA
• 500kfollowers on twitter
• 6 million Facebook page likes
• 50k subscribers for YouTube channel
• 11 million views on YouTube channel
• Language –Hindi and English
• Regular updates and replies
 DISTRIBUTION AND SUPPLY
CHAIN

• Patanjali tied up with Future Group in

2015
• Products to be sold in 245 Future Group
stores pan India
• Expected sales are 8 crores per month via
these stores
 Supplier

• Collect RM from rural

households
• Some money given to villages
for building roads, schools etc.
 Producer

•Demand for different item is placed at

Haridwar
•Items delivered to distribution centers
through Patanjali’s own transport
 Consumer

•Products available at
distribution centers/retail outlets
•Certified doctors also available
at Chikitsalyas
BRANDING
STRATEGY
Patanjali says: “Pick our product - it is the
same product with no harmful chemicals. Plus
by buying our products, you are ensuring the
money you spend stays in India”. And
that additional value proposition is true for all
their products and that is the reason they have
branded every product as a “Patanjali
product”. , Patanjali can simply offer a “no
chemicals & swadeshi alternative” to the
people who have got used to this new product
Loyal Community

While one might be tempted to believe that

Patanjali has grown exponentially within
such a short span of time, the fact is that it
is a result of around 20 years of relentless
work around Yoga and Ayurveda by
Ramdev. In those 20 years Ramdev has
built a extremely loyal community of
followers.
Smart pricing

Yet another reason for Patanjali's success is the thrift it

practices. "Our profit margins are miniscule because the
main aim is not to make profit," said Ramdev. "Profiting
from patients is against the philosophy of Ayurveda, so we
aim at minimum profit from our health products. Our
input costs are low because we source directly from
farmers, avoiding middlemen." Salaries are also modest.
"Humare yahaan crore ki salary paane waala koi vyakti
nahee hai.
Company Analysis
 STRENGTHS

• 100% natural products .

• Brand image of the trust
• Considered socially responsible for
health of the society
• Established distribution network in
urban areas
 WEAKNESS

• Low export levels

• Strong competitors and availability of
substitute products
• Less expenditure on marketing and
promotional activities
• Less distribution network in rural areas
 THREATS

• Political Interference
• Removal of import restrictions
• Controversies
 OPPURTUNITIES

• Changing lifestyle and rising income

levels
• Change in trend of becoming more health
conscious and using more organic
products
• Large domestic market
• Rural market to be tapped
Patanjali’s Key To
Success
1. Increasing number of health-conscious
people: In recent times, people have become
more health conscious which is evident from
the fact that many companies are investing
money in organic and Ayurvedic products.

2. Less price: Patanjali products are available at

an attractive discount as compared to
their competition. The company sources
products directly from farmers and cuts on
middlemen to boost profits
3. Word-of-mouth promotion: Advertising and
promotions typically account for 12-20% of
revenue expenditure by consumer goods
companies. When a new company gets into the
business, this spending is significantly higher.
During the introduction stage, Patanjali followed
a unique word-of-mouth publicity modeland the
entire revenue was without any advertising. It
was because of the brand loyalty of its
customers that the word-of-mouth promotion
proved so successful for the company.
 Conclusion
Swadeshi factor Patanjali is happy to co-exist
with indigenous companies, multinational ones
are a different matter. "Humara ek simple funda
hai: MNCs ko replace karna (We have a simple
principle: we want to replace MNCs)," said
Ramdev.
"We don't want to put anyone down, but we
would like to instil swadeshi pride so that Indian
money does not go out of the country.
THANK YOU