Patanjali

Executive Summary
Patanjali, founded in 2007 by Baba Ramdev and his aide Swami Acharya Balakrishan has
growninto a 5000 crore company in 2015. It has disrupted the entire FMCG market with its
unconventional growth story. The credit goes to Baba Ramdev who has very meticulously
decided the timeline for each action and delivered unprecedented success. Patanjali’s vision is to
provide herbal/ayurvedic/natural solutions to all the problems and in this pursuit it is also
elevating the livelihoods of local farmers. It has leveraged the emotional route by bringing in the
‘Swadeshi’ angle to market its products. The drivers for Patanjali purchase are lower price points
which induces sampling and when they find no noticeable difference with the pricey brands, they
tend to stick to Patanjali. The key differentiators for Patanjali are its herbal or ayurvedic
offerings and the free consultation it provides to the customers at Arogya Kendras/ Chikitsalayas
through its certified Ayurvedic doctors. Besides it has also increased its distribution channels
through franchise stores, retail chains and kirana stores. However the supply is not proportional
to demand and a lot of customers are not able to find the desired products. To solve this, they
have invested in food parks and have outsourced manufacturing to other SMEs while conducting
stringent checks to ensure consistent quality.
The strategy followed by Patanjali is unconventional in that they have not made any significant
investment in marketing and promotion and have relied on word of mouth publicity. Baba
Ramdev has done minimal promotion by endorsing the brand in his yoga sessions televised on
national channels. The FMCG giants cannot rely on such a strategy because they cannot sell the
products at such low prices or provide free doctor consultations and other activities on a
continuous basis. Thus it is not feasible for other companies to follow this model.
The FMCG industry has a lot of big players with dominant market leaders in each category.
Patanjali is in direct rivalry with most of them and with time has been able to take away market
share from the best-selling brands. In retaliation, the market leaders are bringing out newer
herbal products at lower price points or putting into action other strategies. However Patanjali
has the advantage of being the forerunner and have gained sufficient traction that it will be
difficult to displace them. The entrance of Patanjali has not just marked its increased share of the
pie but it has also managed to increase the size of the pie itself.
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The purpose of this study was to check the effect of brand image on brand loyalty and the role of
customer perception in it. Quantitative study was conducted in Jammu. Sample of 59 local
people from different regions were selected and surveyed through questionnaires. Pearson
Correlation and t-tests were run to analyze the data. Finding reveals that positive and significant
relation exists between Brand Image and Brand loyalty and Customer perception also has a
positive moderating effect on this relation. The sample size was too short.
This study can be replicated with a large sample size in similar sector or context. The impact of
marketing communications and consumers’ knowledge on brand loyalty can also be studied to
enhance the study. Organizations ought to pay special attention to the building of brand image,
achieving customer satisfaction. And through this they would also be successful in achieving
brand loyalty. The study was carried on to observe the brand image of products of Patanjali
Yogpeeth in Jammu. Nowadays there is witnessed a heavy change in the FMCG sector, people
are getting more inclined towards the ayurvedic and herbal products as well as they are more
cautious towards their health issues. More of yoga and consumption of herbal product is creating
revolution in the society. It was found that in small cities people have heavy faith on Patanjali
products as a medicine.
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Industry Overview
Basic Overview of the Industry
The FMCG market in India is worth $49 billion USD as of January, 2016 and is expected to
grow to $103.7 billion USD by 2020.5 It is the India’s fourth largest industry. The growing
awareness, rising disposable income of the masses and easier access are the key drivers of
demand growth. There is also an increased demand for premium products because of the
growing youth population. Besides the penetration into rural areas is increasing and thus newer
geographies are made into playgrounds for the myriad FMCG companies. The FMCG industry
has three main segments: Food and beverages (18%), Health care (32%) and Household and
personal care (50%).
The FMCG sector has witnessed a CAGR of 11.9% between 2007 and 2016. The urban sector
account for 65% of the revenues, while the semi-urban and rural make up the rest 35%.6 The
current trends in FMCG are product innovation (e.g. Honitus: non-drowsy), product
customization/mass customization, premiumization, backward integration, outsourcing,
increasing rural penetration, outsourcing, expanding distribution networks, smaller sized SKUs,
increasing private label penetration and reducing carbon footprint.
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Bargaining power of Buyers (dealers, whole sellers)/ customers: HIGH The switching cost is
very low in case of FMCG products. FMCG market is extremely competitive and hence every
company fights to get the largest shelf space at the most strategic locations to have greater
visibility. On the contrary, the products are low involvement products and are not highly
differentiated. Thus they ask for higher margins to stock the products. For the customer, he/she
has a wide array of choices. The Indian customer is price-sensitive as well. So unless he/she sees
value in the products or are given discounts it would be difficult to persuade him/her to purchase.
In such a setup, the dealer/ whole seller/ distributor/customer has higher bargaining power.
Bargaining power of Sellers: LOW They have typically low bargaining power, Big FMCG
companies have more power in deciding the pricing structure when they source from local
farmers or fragmented commodity supplier groups. The FMCG companies are also moving
towards backward integration with farmers so as to capture a larger part of the value chain. They
provide the expertise to these farmers and in return are able to source raw materials at cheaper
prices. Finally the big FMCG companies are also signing MOUs with local government to source
items at fair prices from the farmers.
Threat of substitutes: HIGH There are a lot of brands and hence an equal number of offerings
from each brand. The product differentiation is not superb and thus commoditization is not
uncommon. Thus threat of substitutes is quite high since there is a huge number of products in
the same category. Besides the switching cost is nil. The only concern is the availability of
products in particular channels.
Threat of new entrants: MEDIUM Barriers to entry is quite high since it requires significant
capital investment in setting up distribution networks and brand promotion.7 The existing
distribution channels are already being used by the current players. The economies of scale can
be leveraged by only a few with expertise. The established brands do a lot of marketing to build
brand equity and thus it will be difficult to beat them in their game. Unsustainable prices cannot
be offered as the newer companies do not have so much money to spare on promotion.
Competitive Rivalry: HIGH The competitive rivalry is very high as the private label brands give
heavy discounts compared to the established brands. Thus the weak players are ousted from the
market. There are a huge number of players as the market is highly fragmented. More MNCs are
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also coming to join the competition. The established brands do a lot of branding to demand
higher prices. So it is difficult to gain market share in any category.
Thus the overall industry is only mildly attractive for new entrants because of the huge
investment and marketing costs. However Porters five forces have a weakness as it undermines
the core competencies of the company which it may utilize to earn profits.
Market Size
The retail market in India is estimated to reach US$ 1.1 trillion by 2020 from US$ 840 billion in
2017, with modern trade expected to grow at 20-25 per cent per annum, which is likely to boost
revenue of FMCG companies. Revenue of FMCG sector reached Rs 3.4 lakh crore (US$ 52.75
billion) in FY18 and is estimated to reach US$ 103.7 billion in 2020. FMCG market is expected
to grow at 9-10 per cent in 2020.
Rise in rural consumption will drive the FMCG market. It contributes around 36 per cent to the
overall FMCG spending. FMCG urban segment witnessed growth rate of 8 per cent, whereas,
rural segment grew at 5 per cent in the quarter ended September 2019.
Investments/ Developments
The Government has allowed 100 per cent Foreign Direct Investment (FDI) in food processing
and single-brand retail and 51 per cent in multi-brand retail. This would bolster employment,
supply chain and high visibility for FMCG brands across organised retail markets thereby
bolstering consumer spending and encouraging more product launches. The sector witnessed
healthy FDI inflow of US$ 16.28 billion during April 2000-March 2020.
Some of the recent developments in the FMCG sector are as follows:
 In May 2020, Tata Consumer Products Limited (TCPL) acquired PepsiCo’s stake in
NourishCo Beverages Limited.
 In March 2020, Hindustan Unilever Limited (HUL) signed an agreement with Glenmark
Pharmaceuticals Ltd to acquire its intimate hygiene brand VWash.
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 In March 2020, Venture Catalysts made an investment in OM Bhakti, an organised brand
in the puja cotton-wicks market during its seed-funding round.
 In November 2019, ITC Ltd acquired 33.42 per cent stake in Delectable Technologies,
which is a vending machine start-up.
 Nestle plans to invest Rs 700 crore (US$ 100.16 million) to open a new plant in Sanand
for Maggi.
 ITC to invest Rs 700 crore (US$ 100 million) in food park in Madhya Pradesh.
 Patanjali will spend US$743.72 million in various food parks in Maharashtra, Madhya
Pradesh, Assam, Andhra Pradesh and Uttar Pradesh.
Government Initiatives
Some of the major initiatives taken by the Government to promote the FMCG sector in India are
as follows:
 The Government of India has approved 100 per cent FDI in the cash and carry segment
and in single-brand retail along with 51 per cent FDI in multi-brand retail.
 The Government has drafted a new Consumer Protection Bill with special emphasis on
setting up an extensive mechanism to ensure simple, speedy, accessible, affordable and
timely delivery of justice to consumers.
 The Goods and Services Tax (GST) is beneficial for the FMCG industry as many of the
FMCG products such as soap, toothpaste and hair oil now come under the 18 per cent tax
bracket against the previous rate of 23-24 per cent. Also, GST on food products and
hygiene products have been reduced to 0-5 per cent and 12-18 per cent respectively.
 GST is expected to transform logistics in the FMCG sector into a modern and efficient
model as all major corporations are remodelling their operations into larger logistics and
warehousing.
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Road Ahead
Rural consumption has increased, led by a combination of increasing income and higher
aspiration levels. There is an increased demand for branded products in rural India. The rural
FMCG market in India is expected to grow to US$ 220 billion by 2025 from US$ 23.6 billion in
FY18.
On the other hand, with the share of unorganised market in the FMCG sector falling, the
organised sector growth is expected to rise with increased level of brand consciousness,
augmented by the growth in modern retail.
Another major factor propelling the demand for food services in India is the growing youth
population, primarily in urban regions. India has a large base of young consumers who form
majority of the workforce, and due to time constraints, barely get time for cooking.
Online portals are expected to play a key role for companies trying to enter the hinterlands.
Internet has contributed in a big way, facilitating a cheaper and more convenient mode to
increase a company’s reach. It is estimated that 40 per cent of all FMCG consumption in India
will be made online by 2020. The online FMCG market is forecast to reach US$ 45 billion in
2020 from US$ 20 billion in 2017.
It is estimated that India will gain US$ 15 billion a year by implementing GST. GST and
demonetisation are expected to drive demand, both in the rural and urban areas, and economic
growth in a structured manner in the long term and improved performance of companies within
the sector.
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Major Players
List of Top 5 FMCG Companies in India
1. Hindustan Unilever Ltd
Hindustan Unilever Limited is India’s largest fast moving consumer goods FMCG) company
with a Historical presence in India of over 80 years. It is the largest in the list of top 5 FMCG
companies in India.
Nine Out of ten Indian households use one or more of HUL Brands. Divisions – Home Care,
Beauty & Personal Care and Foods and Refreshment – includes a portfolio of brands that serve
consumers across the length and breadth of India.
 Revenue: Rs 40,511 Cr
 Employees: 5,645
 Market Cap: 451,666 Cr.
 Dividend Yield: 1.05 %
 ROE: 81.95 %
 Sales Growth (3Yrs): 6.89 %
 Promoter holding: 67.18 %
 Debt to equity: 0.01
2. ITC Ltd
Established in 1910, ITC Limited is a diversified conglomerate with businesses spanning Fast
Moving Consumer Goods comprising Foods, Personal Care, Cigarettes and Cigars, Branded
Apparel, Education & Stationery Products, Incense Sticks and Safety Matches; Hotels,
Paperboards, and Packaging, Agri-Business and Information Technology.
 Revenue: Rs 51,321 Cr
 Employees:
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 ROE: 22.69 %
 Price to book value: 5.47
3. Nestle India Ltd

Nestlé is the world’s largest food and beverage company. The company has more than 2000
brands ranging from global icons to local favorites, and are present in 191 countries around the
world. After more than a century-old association with the country, today, NESTLÉ India has a
presence across India with 8 manufacturing facilities and 4 branch offices. It is the third Largest
in Top FMCG Companies in India
 Revenue: 12,117 Cr
 Employees:
 ROE: 45.30 %
4. Britannia Industries Ltd
Britannia Industries is one of India’s leading Top FMCG Companies with a 100-year legacy.
Britannia is among the most trusted food brands and manufactures India’s favorite brands like
Good Day, Tiger, NutriChoice, Milk Bikis and Marie Gold which are household names in India.
Britannia’s product portfolio includes Biscuits, Bread, Cakes, Rusk, and Dairy products
including Cheese, Beverages, Milk, and Yoghurt.
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 Employees:
 ROE: 30.25 %
5. Godrej Consumer Products Ltd

Godrej Consumer Products is a leading emerging markets company. As part of the over 122-year
young Godrej Group. Godrej Consumer Products Ltd enjoys the patronage of 1.15 billion
consumers globally, across different businesses. It is fifth in the list of top 5 FMCG companies in
India.
In line with the 3 by 3 approach to international expansion at Godrej Consumer Products,

building a presence in three emerging markets (Asia, Africa, and Latin America) across three
categories (home care, personal care, and hair care). The Company is Among the Top FMCG
Companies in India
 ROE: 31.55 %
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Company Overview
History
Starting at 2007 with a humble range of products, Patanjali had quickly diversified into a vast
range of offerings: around 800 products13 including 250 medicinal products, 45 cosmetic
products and 30 food products.14 Broadly, the product category of Patanjali can be classified as
follows: Ayurveda Medicinal products, Organic natural juices, Groceries, Oral/ dental care, Hair
care, Skin care. It is interesting to analyze how Patanjali has rolled out its product portfolio and
where it is heading towards in the near future. It started its products with chawanprash, honey,
organic natural juice and Ayurveda medicinal products, which directly resonates with what
Ayurveda stands for. But slowly it started to copy the product portfolio of everything that a
typical FMCG company should have. With the launch of toothpaste, shampoo, beauty products,
noodles etc., it surely is expanding to become one of the FMCG power houses with a differential
offering of Ayurvedic range by the sheer number of products in each of the categories.
Product Strategy & Development Unlike most of the typical FMCG company practices, Patanjali
has never been into any formal market research to find out what product should they come up
with or what market they should enter. Rather they believe in the strategy of making the products
first and then taking it to the market. Many a times, there has been instances where they entered
into a new product category which some other company has been doing it for years. Low price,
purity and innovation are the three main drivers of the product development strategy of Patanjali.
A good example of this can be of the Patanjali Amla Candy. Before it was launched, there were
numerous amla products in the market, hence the market can be said to be existing. But this
particular amla product in the form of candy was unheard of before, which is a truly innovative
move from the company. As for the low price and purity aspects, this product qualifies them too.
The amla farmers were facing loss at a point of time since the market was very small, though
amla has many health benefits. Ramdev took a risk and started promoting the health benefits of
amla leveraging his huge following. This promotion was shortly followed by the product launch
of amla juice and amla candy, which was a hit product in the market. Another example where
Patanjali delivered in the lines of purity can be the Desi Ghee. There has been always an inherent
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concern among the consumers about the availability of pure ghee. This need of the customers did
not require an extensive market research to develop a product based on this line since Patanjali
always worked form the base of the pyramid and had a connect with the consumers and hence
came up with this product which became their best-selling product and accounted for a 37% of
their sales in 2015 which amounted to Rs 442 crore of sales revenue. Hence, it is clear that
Patanjali is using Product Development strategy i.e. developing new products (here in this case,
making Ayurveda variants of products) in an existing market. Their yoga sessions & camps is an
existing service in an existing market, but since it is vital for Patanjali, they will be looking for
Market Penetration by this. By targeting the youth, they want to enter into a new market with
their existing products & service. This strategy can be a part of their Market Development plan.
Finally, they are Diversifying by bringing in new products in new market like cosmetics, health
drinks etc.
Product Life Cycle
Patanjali has now a huge product portfolio under its brand. But scrutinizing deeply, not all
products were launched at the same time. Rather, they started with few products and since then
has been constantly innovating to come up regularly with new products. Also, in comparison
with other FMCGs, Patanjali is a fairly young company dating back to 2007. Hence all of its
products will be either in introductory or in the growth phase and has still a long way to go
before it reaches maturity.
Introductory Stage
Ayurveda means life-knowledge, which was a system of medicine practiced in India since ages.
Ramdev was the one who materialized and commoditized that knowledge and broke the barrier
of using Ayurveda not only in medicine but in consumable products too. With this vision,
Patanjali was started in 2007. Few products which are in the introductory stage are fertilizers and
floor cleaners. Clearly, the innovators and early adopters are those who are followers of Ramdev
and middle age to old people who are health conscious and believes in the Ayurveda.
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Growth Stage
The meteoric rise of Patanjali started from 2012. From 2012 to 2015, it posted CAGR of 64.7%
of revenue growth and sales worth Rs. 2000 crore. Patanjali is already past the gap between early
adopter & early majority. Many of its best-selling products like ghee and Dant Kanti have
reached the growth stage.
Adoption & Diffusion
Adoption is when an individual makes the full use of an innovation as the best option available.
In the case of Patanjali, this adoption is done by the innovators and early adopters who are the
earnest followers of Ramdev, follows his yoga sessions regularly, either in-person or over media,
middle to old age and believes in the purity & health benefits of Ayurveda products. On the other
hand, diffusion is when the innovation is communicated through channels to mass members of
the social system over time and is accepted. In the case of Patanjali, this is done by a strong and
positive word of mouth communication from the early users to the early majority. Other media
channels also play a significant role in this process.
Innovation Strategy
A product or service can be innovative, but whether it will be successfully adopted by the
consumers depends on the degree of product change and the degree of behavioral change that the
innovation brings. From market visits and interviews, it has been found out that Patanjali
products are low in the degree of product change and also low in the degree of behavioral change
should the consumers start using it. This makes the products of Patanjali an Easy Sell. For
example, let us take Dant Kanti, which is an Ayurveda tooth paste. By keeping it in paste form
like the existing Colgate and not powder form, it is ensuring that there is minimal behavioral
change. Also by adding a few key Ayurveda ingredients, they are making a minimal change in
the product. This innovation strategy contributes to the easy adoption and hence easy sell of
these products.
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Vision
Keeping Nationalism, Ayurveda and Yog as our pillars, we are committed to create a
healthier society and country. To raise the pride and glory of the world, we are geared up
to serve people by bringing the blessings of nature into their lives. With sheer dedication,
scientific approach , astute planning and realism, we are poised to write a new success
story for the world.
Mission
Making India an ideal place for the growth and development of Ayurveda and a prototype
for the rest of the world.
Management
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Products
PRODUCT LINE AND PORTFOLIO OF PATANJALI YOGPEETH
Products of patanjali ypgpeeth are as follows:

 Divya Amla Churna for Eyes, Digestion and General Health
 Divya Arogyavardhani Vati
 Divya Arshakalp Vati for Piles
 Divya Ashmarihar Ras for Kidney Stones
 Divya Ashwagandha Churna for Stress, Fatigue and General Health
 Divya Chandraprabha Vati for Urinary Disease
 Divya Churna for Constipation
 Divya Dant Manjan Tooth Powder
 Divya Gashar Churna for Removal of Gas
 Divya Giloy Sat for Swine flu, Bird flu, Pyrexia of unknown origin (fever)
 Divya Hridayamrita Vati for Heart Disease
 Divya Kanti Lep for Increasing Skin Splendour
 Divya Kayakalp Tail Oil for Skin Problems, Cracks and Burns
 Divya Kayakalp Vati for Skin Disease, Acne and Pimples
 Divya Kesh Tail Hair Oil for Hair Loss, Dandruff and Headache
 Divya Madhu Nashini Vati for Diabetes
 Divya Madhukalp Vati for Diabetes
 Divya Medha Kwath for Headache and Memory Enhancement
 Divya Medha Vati for Memory Loss and Improving Intelligence
 Divya Medohar Vati for Weight Loss
 Divya Mukta Vati for High Blood Pressure
 Divya Peya Herbal Tea
 Divya Pidantak Ras for Joint Pain and Arthritis
 Divya Pidantak Tail Massage Oil for Joint Pain and Arthritis
 Divya Punarnavadi Mandur for Kidney Problems and Anemia
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 Divya Sanjivani Vati for Cold, Fever and Flu
 Divya Shilajeet Rasayan Vati for Impotency
 Divya Shilajeet Sat for Gout and Weak Immune System
 Divya Singhnaad Guggulu for Rheumatism
 Divya Stri Rasayan Vati for Menstruation
 Divya Swasari Ras for Lung Problems, Bronchitis and Asthma
 Divya Triphala Churna for Rejuvination and Detoxification
 Divya Triphala Guggulu for Joint Pain, Piles and Weight Loss
 Divya Udaramrita Vati for Digestion and Stomache Problems
 Divya Udarkalp Churna for Indigestion and Constipation
 Divya Vatari Churna for Arthritis
 Divya Yauvanamrita Vati for Weak Bodies and Impotency
 Divya Yograj Guggulu for Joint Pain
Swami Ramdev's Divya Medicines are 100% natural, made from potent herbs such as the
ashtavarga healing plants of the Himalayas. They have proven extremely effective for
combating all forms of sickness and disease. Along with these medicines, Swamiji
recommends patients to also adopt the practice of Pranayama, which will strengthen the
immune system and quicken the healing process
.  Abhrak Bhasm – Divya
 Ajamodadi Choorna - Divya
 Aloevera Gel
 Aloe Vera Juice - Patanjali 1 Lt. or Aloe Vera 30 Capsules
 Amla Churna - Divya (for Eyes, Digestion and General Health)
 Amlki Rasayan - Divya
 Amrit Rasayan - Divya(for Brain, Eyes, Strength and over all nourishment)
 Anti Wrinkle Cream - Patanjali Tejus
 Arjuna Kvath - Divya(for Coronary Artery Disease)
 Arshakalp Vati - Divya(for Piles)40 grams
 Arshkalp Vati - Divya(for Piles) 20 Grams
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 Ashmarihar Kvath - Divya / Vrikkdosh Har Kwath - Divya
 Ashmarihar Ras – Divya
 Ashvagandha Capsule – Patanjali
 Ashvagandha Churna - Divya (for Stress, Fatigue and General Health)
 Ashvashila Capsule - Patanjali
 Avipattikar Choorna - Divya
 Awala Choorna - Divya
 Amla / Awala Juice 1 Liter - Patanjali (Juice of Emblica Officinalis) / Divya Amalki
 Rasayana 100 gm
 Awala - Divya (Amla) Murabba - Divya(Dry Spicy)
 Awala - Divya (Amla) Murabba - Divya (Dry Sweetened)
 Awala / Amla Murabba Wet - Divya
 Badam Pak – Divya
 Badam Rogan – Divya
 Bael Candy - Divya
 Bael Murabba – Divya
 Balm – Patanjali
 Bang Bhasma 5gm – Divya
 Bavaci Choorna - Divya(for Leucoderma)
 Beauty Cream 50 gm - Patanjali Tejus
 Bilwadi Churna – Divya
 Body Lotion - Patanjali Tejus  Body Massage Oil 100ml - Patanjali
 Chatpata Choorna
 Chandraprabha Vati - Divya (for Urinary Disease & diabetes)
 Churna - Divya (for Constipation)
 Chyawanprash - Divya with Ashtavarga Healing Plants (1 Kilogram)
 Crack Heal Cream – Patanjali
 Daliya : Patanjali Arogya Daliya
 Dant Manjan - Divya (Tooth Powder)
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 Dant Kanti - Patanjali (Tooth Paste)
 Divya Dhara
 Drishti Eye Drop - Patanjali
 Gangadhar Choorna - Divya (for Diarrhoea , Sprue Syndrome, Ama)
 Gashar Churna - Divya (for Removal of Gas)
 Giloy Ghan Vati - Patanjali 40gm
 Godanti Bhasm - Divya (for Migraine, Chronic Headache, Depression & Hernia)
 Gokshuradi Guggulu - Divya (for Chronic Renal Failure)
 Gulab Jal - Divya
 Honey - Divya (Pure Himalayan Honey)
 Hridayamrita Vati - Divya (for Heart Disease) 20 Grams
 Hridayamrita Vati - Divya (for Heart Disease) 40 Grams
 Kachanar Guggulu - Divya
 Kaisara Guggulu - Divya (Psoriasis & Eczema)
 Kanti Lep - Divya (for Increasing Skin Splendour)
 Kayakalp Kwath - Divya (for Skin Problems)
 Kayakalp Tail - Divya (for Skin Problems, Cracks and Burns)
 Kayakalp Vati - Divya (for Skin Disease, Acne and Pimples) 20 Grams
 Kayakalp Vati - Divya (for Skin Disease, Acne and Pimples) 40 Grams
 Kesh Tail - Divya (Hair Oil for Hair Loss, Dandruff and Headache)
 Lavan Bhaskar Churna – Divya
 Lauki Juice – Patanjali
 Lauki - Amla Juice – Patanjali
 Madhu Nashini Vati - Divya (for Diabeties)
 Madhukalp Vati - Divya (for Diabetes)
 MahaYograja Guggulu - Divya (for Osteoporosis)
 Medha Kwath - Divya(for Headache and Memory Enhancement)
 Medha Vati - Divya (for Memory Loss and Improving Intelligence) 40 grams
 Medohar Vati - Divya (for Weight Loss)
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 Mukta Pishti – Divya
 Mukta Vati - Divya (for High Blood Pressure)
 Mukta-shukti Bhasm – Divya
 Ojas Multani Mitti - Patanjali
 Nimb Ghan Vati - Patanjali 60 Gr.
 Panchakol Choorna – Divya
 Peedantak Cream 50 gm – Patanjali
 Peya (Herbal Tea) - Divya 100 Grams

 Peya (Herbal Tea) - Divya 300 Grams
 Pidantak Kwath - Divya (for Joint Pain and Arthritis)
 Pidantak Ras - Divya (for for Joint Pain and Arthritis)
 Pidantak Tail - Divya (Massage Oil for Joint Pain and Arthritis)
 Praval (branch) Pisthi- Divya  Praval Panchamrit- Divya
 Punarnavadi Mandur - Divya (for Kidney Problems and Anemia)
 Sanjivani Vati - Divya (for Cold, Fever and Flu)
 Saptavimshati Guggulu – Divya
 Sarvakalp Kwath - Divya (for Liver Problems and Jaundice)
 Shadbindu Tail - Divya
 Shatavar Choorna – Patanjali
 Shampoo - Patanjali
 Shankh Bhasm - Divya
 Shilajit Capsule - Patanjali
 Shilajeet Rasayan Vati - Divya (for Impotency)
 Shilajeet Sat - Divya (for Gout and Weak Immune System)
 Shilajeet Sat - Divya (for Gout and Weak Immune System) 50 gm
 Singhnad Guggulu – Divya
 Sitopaladi Choorna – Divya
 Soap Kanti Aloevera Body Cleanser – Patanjali
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 Soap Gomutra Kanti - Body Cleanser – Patanjali
 Soap Somya - Body Cleanser - Patanjali
 Soap Ojas Aquafresh - Body Cleanser - Patanjali
 Soap Ojas Aquafresh - Mogra Body Cleanser - Patanjali
 Soap Patanjali Somya Haldi Chandan Body Cleanser - Patanjali
 Stri Rasayan Vati – Divya
 Swasari Ras - Divya (for Lung Problems, Bronchitis and Asthma)
 Tejus Tailum For Women
 (Tooth Powder) Divya Dant Manjan
 (Tooth Paste) Dant Kanti Patanjali
 Trayodashang Guggulu Divya
 Trikuta Choorna Divya
 Triphala Churna Divya (for Rejuvination and Detoxification)
 Triphala Guggulu Divya (for Joint Pain, Piles and Weight Loss)
 Tulsi Ghan Vati Patanjali 40 Gr.
 Udaramrita Vati Divya (for Digestion and Stomache Problems)
 Udarkalp Churna Divya (for Indigestion and Constipation)
 Vatari Churna Divya (for Arthritis)
 Yauvanamrita Vati Divya (for Weak Bodies and Impotency)
 Yograj Guggulu Divya (for Joint Pain) 20 Grams
 Yograj Guggulu Divya (for Joint Pain) 40 grams
 Wheat Grass Powder Organic 1 Month Doses
 Chatpata Choorna
 For Gastric troubles and taste
 Divya Jeera Goli
 Divya Anardaana Goli
 Divya Chatpata Chuara
 Divya Nimbu Vati
Overview of Different Departments

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Strength
Patanjali sources most of the raw materials from local farmers and thus can offer products
at lower prices. All the products have some ayurvedic touch to it. This appeals to the
masses. Besides there are no chemicals used for manufacture of the products. Having
Baba Ramdev as the brand ambassador leads to a transfer of credibility from Ramdev to
the brand itself. Thus it does not have to work hard to build trust among its customers.
Finally Patanjali has a very good distribution channel. It has 1200 Patanjali Chikitsalayas,
2500 Arogya Kendras, 7000 open stores in villages and 5600 marketing vehicles8 apart
from tie-ups with hypermarkets like Big bazaar, Reliance retail, Hypercity, Star
Bazaar(Tata), D-mart, Spencer retail, More(ABG retail). It has also recently tied up with
Apollo pharmacy and thus had license to use its 22009 stores in India for distribution of
its products. Baba Ramdev has strong political affiliations which he can utilize to get
benefits from the government. He has already helped Patanjali secure loans at lower
interest rates and is also being offered subsidized land as food parks. These are the
strengths of Baba Ramdev but it is not sustainable if he deserts the company.
Weaknesses
The sourcing of the raw materials is done from local farmers and is therefore dependent
on the produce of these farmers. Thus the supply is not steady and therefore they are not
able to cater to the demand of the customers. It does not have any definite strategy on
scaling and thus might leave a trail of unsatisfied customers behind since it would not be
able to cater to their demand. Secondly, the positioning is done to attract people above
age group of 35 years of age and it does not appeal to younger generations. This can
seriously impact growth of the company after a certain point if it cannot reposition its
appeal towards the younger generations. Thirdly, the packaging is not good or up to the
standard of the current big players. This might impact adoption of the products. They
have been trying to manufacture products in a lot of categories but only a select few have
been successful. They should try to build those into bigger brands rather than investing
their resources in a lot of products so as to gain market share. They are not focused as of
now. Despite having a wide distribution network, Patanjali does not sell their products
through kirana stores as extensively as other FMCG giants. This is crucial as one of the
21 | P a g e
insights regarding consumers’ purchase of FMCG products is that they purchase them
almost 90% of the time through kirana stores. Besides since they price their products very
low, therefore they are not able to give higher margins to sellers which might lead to
strained relations.
Threats
The differentiation that Patanjali has created is in terms of ayurvedic knowledge and use
of herbal and natural ingredients in the products. Secondly, Patanjali products are
generally available at lower price points compared to other branded products. However,
the competitors can easily make their foray into the herbal space and they can spend big
bucks on marketing their products as well. Besides they have stronger distribution
channels. Secondly the bigger companies can always create newer brands to start a price
war with Patanjali (e.g. Colgate created Cibaca Vedshakti and is selling at lower price
than Patanjali)10. This might drain Patanjali’s resources in the long run compared to the
bigger companies who can burn more cash. Another strong point of Patanjali is the
backward integration with local farmers to source their products. However other FMCG
companies are also doing that to some extent. If they begin to extend their backward
integration, then it might create sourcing problems for Patanjali.
Opportunities
The targeting can be changed to appeal to younger generations as it is yet to capture that
segment. For this they need to build a good brand which they can do by working on
advertising and packaging that appeals to broader segments. They are trying to acquire
more food parks in India so as to solve the problem of sourcing. This will create stability
in the availability of products and they can cater to the increased demand. They can scale
up even more through franchise model or tie-ups with more supermarkets/hypermarket
chains. Finally, it can price its products a bit higher, especially the best-selling ones as
people have become loyal and are willing to pay a premium. This benefit can be passed
on to the sellers in the form of higher margins which would lead to better sales.
Collaborators
22 | P a g e
Patanjali Ayurved does not have the capacity to produce everything they sell as it is
difficult to source such huge quantities of different items. So they outsource the
manufacturing to other manufacturers and then pack them using the Patanjali tag. This is
done across most of the items Other than that, for the distribution, they have their own
Arogya Kendras and Chikitsalayas but those are not enough. So they have many
franchises all over India to widen their reach. Apart from that, Patanjali has also signed
up with a lot of big retail chains like Future group’s Big Bazaar, Reliance among others.
This makes it available even to the upscale people who go for shopping at these chains
contrary to the lower middle class people who generally go to Kirana stores. It has also
made its products available in about 2 lakh kirana stores all over India.
Competitors
Patanjali had made a string of enemies amongst the FMCG giants. With its aggressive
stance, it is giving each of its competitors a tough time. Some of the notable mentions are
Colgate, Dabur and HUL. Colgate had lost around 5% of market share to Patanjali since
it launched its Dant Kanti. Dabur also lost a significant market share in Chawanprash and
honey. The bigger FMCG companies like HUL, P&G, ITC, etc. are not affected to a great
extent but Patanjali has competing products in a lot of health and personal care, beauty
products and food and beverage products. It would not be long before they recognize
Patanjali as a threat and take counter measures. A few companies have already taken
steps. Colgate has launched a new herbal toothpaste at a lower price point than Patanjali.
HUL is creating a new arm to produce herbal products and include them in their product
portfolio. They have also acquired ‘Ayush’11 recently to increase their expertise in
ayurvedic offerings. starting from biscuits to rice and other personal care products. So
they outsource and have a lot of dealings with manufacturers.
Production plant
Patanjali has its main production plant or rather the headquarters in Haridwar. It has
world class state-of-the-art facility where all the products are manufactured. This is
valuable because most of the products are produced here. The value comes not from just
producing but from producing natural and herbal products. In a sense, it is rare as well, as
23 | P a g e
the scale of production of ayurvedic or herbal products is unprecedented. However, this is
neither costly nor inimitable. But it is non-substitutable since the production cannot take
place at such a scale without the plant. Thus it is a source of competitive advantage for
Patanjali.
Arogya Kendras and chikitsalayas

These are the distinguishing factors for Patanjali. While all FMCG brands have good
packaging and good marketing, Patanjali has its own ways to build credibility. It has
provided certified ayurvedic doctors which has helped increase the trust of the Patanjali
brand. They have led to positive word of mouth publicity and are thus valuable, rare and
non-substitutable. It is not possible for other FMCG giants to go for this strategy as they
cannot hire ayurvedic doctors to recommend their cosmetics and other products, neither
is it possible to hire doctors with MBBS degrees as it would be a costly value
proposition. Thus it is inimitable as well.
Branding
Ramdev is the face and the man behind the whole brand of Patanjali Ayurveda. The
story started even before the idea of Patanjali was conceptualized. Ramdev started as a
yoga guru offering a healthy life style choice and quickly escalated to fame by TV and
live yoga sessions, which had a huge reach and created a big impact on the Indian people.
One of his erstwhile disciple & friend, Acharya Balakrishna who also happens to be an
Ayurveda expert, used this opportunity to launch a range of Ayurveda & herbal products
under brand Patanjali. Combining these products with the yoga of Ramdev was a good
move as they were complementary to each other and helped each other as a sort of
unwritten co-branding. Patanjali products started to get promoted by Ramdev via the TV
channel (Aastha) and also in his yoga sessions. This association of Patanjali with the
popular and mass accepted yoga guru Ramdev has been a strong and favorable one.
Hence salience or awareness of the brand is high, significantly more in North India and
parts of Western India than other regions, the reason behind can be due to usage of Hindi
as its prime language of communication and promotion. The brand recall is also quite
high. The imagery that Patanjali carries is quite a positive one, which is seen as a pure,
24 | P a g e
good quality indigenous product and a healthier alternative than other FMCG products
typically found in market. In terms of performance, by our market research and
interviews, the customers are satisfied with it. Most of the consumers feel that Patanjali is
a brand that can be trusted and hence advices each other to use these products. Since it is
lifestyle choice of choosing the healthier alternative among the existing brands, there is a
resonance among the consumers which results in strong brand loyalty. It is observed that
once a consumer starts using a particular Patanjali product, he or she starts using other
products too of the same brand since all are aligned with Ayurveda. From its inception,
Patanjali has been following ‘Branded House’ strategy that is keeping everything under
one umbrella brand, unlike most of the other FMCG companies like HUL, P&G etc.
which uses ‘House of Brands’ strategy i.e. there is a standalone brand for each product
line offering. This gives Patanjali a significant advantage in building a unified brand for
itself, its current range of products and new products which are going to be launched
since it can leverage on the already established brand of Patanjali.
25 | P a g e
Review of Literature
This chapter provides the relevant literature and theoretical framework for the present
study.
This paper carries out a study on what factors PATANJALI. “Patanjali “- a brand set up
by PATANJALI AYURVEDA LTD is backed by robust preaching and promotion of
World renowned Guru Swami Ramdevji and an international authority on Ayurveda and
Traditional Herbs. The company is set up with an objective to provide superior quality of
products at fair price and to get their customers rid off the chronic diseases by providing
products which are organic and natural. This concept of Herbal and Pure has gained
momentum in India and across the world since people now a days are more centered
towards keeping themselves near to Nature due to their commercialized routines.
PATANJALI AYURVEDA LTD has more than 100 different products in the catalogue
for Skin, Hair, Heart, Eyes and Kidney diseases. Patanjali’s recent tie up with Future
Group to enter into FMCG segment through Big Bazaar Retail stores is another big
advantage towards the availability of Patanjali Products near to their consumers.
The Patanjali Products have rightly been placed at advantage by the very concept of
“Marketing through Spirituality”. 3. Effect of Brand Image on Brand Loyalty and Role of
Customer Satisfaction in it: World Applied Sciences Journal 26 (10): 1364-1370, 2013,
ISSN 1818-4952, © IDOSI Publications, 2013, DOI:
10.5829/idosi.wasj.2013.26.10.1343, Published on Nov 30, 2013 AUTHORS: Rashid
Saeed, Rab Nawaz Lodhi, Amna Mehmood, Urooj Ishfaque, Fareha Dustgeer, Amna
Sami, Zahid Mahmood and Moeed Ahmad.
The purpose of this study was to check the effect of brand image on brand loyalty and
the moderating role of customer satisfaction in it. Brand attributes and Brand benefits
were studied as dimensions of Brand Image. Quantitative study was conducted in
wireless Telecommunication sector of Pakistan. Sample of 150 students and teachers,
from different colleges and universities of Sahiwal, were selected and surveyed through
questionnaires. Pearson Correlation and Regression were run to analyze the data. Finding
reveals that positive and significant relation exists between Brand Image and Brand
26 | P a g e
loyalty and Customer Satisfaction also has a positive moderating effect on this relation.
The sample size was too short. This study can be replicated with a large sample size in
similar sector or context. The impact of marketing communications and consumers’
knowledge on brand loyalty can also is studied to enhance the study. Organizations ought
to pay special attention to the building of brand image, achieving customer satisfaction.
And through this they would also be successful in achieving brand loyalty.
4. The Impact of Brand Image on Consumer Behavior: A Literature Review: Open

Journal of Business and Management, 2015, 3, 58-62. Published Online, January 2015 in
SciRes. AUTHOR: Yi Zhang, Department of Marketing, Management School, Jinan
University, Guangzhou, China The concept “brand image” has drawn significant
attention from academics and practitioners since it was put forward, because it played an
important role in marketing activities. Although brand image was recognized as the
driving force of brand asset and brand performance, few studies have elaborated on the
relationship between brand image and brand equity. Based on the brand image theories,
this study reviewed extant studies about the impact of brand image on consumer from
perspective of customer equity. It also presented the shortcomings of current research and
pointed out the trends for future study.
27 | P a g e
HYPOTHESIS FORMATION
BRAND IMAGE AND BRAND LOYALTY
Keller‘s (1993, 2001) conceptual research suggested a strong connection between a

positive brand image and brand loyalty. Keller (1993) explained that consumers’ repeated
buying behavior represents brand loyalty, which reflects a favorable attitude towards a
brand. Esch et al.‘s (2006) empirical research supported Keller‘s proposition by showing
a statistically significant effect of positive brand image on current/future purchases. Thus,
the present research posits: H1. Brand image will not be positively associated with brand
loyalty.
28 | P a g e
BRAND IMAGE AND CONSUMER PERCEPTION
Past literature revealed that a successful brand image enables consumers to identify their desired
need which ultimately helps a company from its competitors Hsieh et al., (2004). On the other
hand Tarofder and Haque (2007) had given importance on supplier selection based on their brand
image. In fact the findings of Jiang et al. (2011) revealed that apart from brand image price
discount and complementary products may have positive impact on customer loyalty.
Furthermore, Linder and Seidenstricker (2010) agreed that brand image is one of the company’s
core competencies. Mishra and Datta (2011) revealed that brand name has strong influence on
customer based brand equity. Kotler (2001) defined brand image as a set of beliefs, ideas and
impression that a person holds regarding an object. On the other hand, Keller (1993) considered
brand image as a set of perceptions about a brand on consumer’s memory. Na et al. (1999)
connected brand image with customer’s perception as they mentioned that image cannot be
measured by attribute measurements alone but must include measurements of consumers'
perceptions of the value and benefits attainable from using the brand. Thus, it posits:
H2. Brand image will not be positively associated with consumer perception.
CONSUMER PERCEPTION AND BRAND LOYALTY
Humans unlike machines can have the ability to Perceive. It is a feeling which is based on the
conclusion formed with the given information around and the mindset of the consumer which is
responsible of processing the information. Perception gives humans the right to make important
29 | P a g e
decisions or can reflect their important decisions. It all leads to the most important decision of
purchasing. Purchasing means to invest in a brand, for making it a greater brand. Underlying
research will focus on concluding the fact that how much is the impact of brand perception on
brand awareness and brand loyalty of these brands. Several conclusions can be drawn if
consumer perception plays any role and there is a relation among the consumer perception, brand
awareness and brand loyalty of these brands. The project is intended to fulfill the needs of
marketing research which is quite important for present marketing trend. Total sales turnover of
the brand depends on the consumer purchase decision. If the consumers perceive positive about
the brand, it means he carriers more loyalty and will remain potential customer, until he keeps on
getting the right value for his money. Thus, it posits:
H3. Consumer perception will not be positively associated with Brand loyalty.
GENDER AND LOYALTY INTENTIONS Customer loyalty has been the object of intense
interest in both the business and academic worlds (Oliver 1999; Reichheld 2001). At the same
time, academic research has discovered important differences in cognitive processes and
behavior of male and female consumers (Fisher and Dubé 2005; Meyers-Levy 1988, 1989;
Meyers-Levy and Maheswaran 1991; Meyers-Levy and Sternthal 1991). These differences are
reflected in the widespread use of gender as a segmentation variable in marketing practice.
Despite the importance of customer loyalty on the one hand, and gender differences on the other
hand, little is known about the existence and nature of gender differences in customer loyalty.
This is surprising because if male and female loyalties differ, men and women might require a
different selling approach, has different levels of customer value, and may respond differently to
loyalty programs and other actions aimed at enhancing customer loyalty. Common stereotypes,
perhaps based on widely publicized findings showing that males exhibit lower levels of loyalty
than females (e.g., Blumstein and Schwartz 1983; Hansen 1987), suggest that females are more
loyal customers than males. Thus, it posits: H4. Gender will not be positively associated with
loyalty intentions.
GENDER AND CONSUMER PERCEPTION
Self-congruency theorists suggest that consumers tend to purchase products and brands
consistent with their self-images (Rosenburg, 1979; Ross, 1971; Sirgy, 1982/1986). Perhaps the
most important and central part of self-image is one’s gender identity (Kates, 2002; Palan, 2001),
and this gender-self generates strong congruency effects with regard to one’s brand perceptions
and choices (Sirgy, 1982/1986). The gender-self is solicited across a wide variety of marketing
practices. Marketers not only use sex as an important segmentation variable but also develop
implicit meanings by factoring gender-related cues into a brand. Furthermore, consumers’ gender
identity and sexual orientation have been used to target consumers in emerging gender-market
segmentations such as “Metrosexual:” males who are heterosexual, hip, concerned with their
appearance, and in touch with their feminine side. However, the marketing literature is replete
with studies that only report biological sex and treat this as the sole determinant of gender-
30 | P a g e
related behavior. Gender is often used interchangeably with sex because such a dichotomous
variable provides a comfort zone for researchers when measuring and interpreting the
consumerist implications of gender. This approach overlooks the important differences between
sex and gender and leads to biased research and distorted representations of complex gender-
related marketing phenomena (Hirchman, 1993; Palan, 2001). Since the 1960s some researchers
have begun to investigate how gender identity (which includes a combination of sex,
psychological gender, and gender attitudes) would contribute to a consumer’s product- and
brand-consumption (Gould and Stern, 1989; Fischer and Arnold, 1990/1994; Palan, 2001).
However, research results have been mixed. For example, individuals with a higher masculine-
gender identity exhibit stronger information processing (Kempf, Palan, and Laczniak, 1997;
Palan, 2001), while individuals with a higher feminine-gender identity develop more positive
attitudes toward and get more personally engaged with products and brands (Gainer, 1993; Jaffe
and Berger, 1988; Worth, Smith, and Mackie, 1992). As such, a critical question becomes
whether or not gender identity can consistently predict any of the many facets of consumer-based
brand equity. It has been suggested that consumer involvement may be an important link
between gender and consumer perception (Fischer and Arnold, 1994; McCabe, 2001; Sirgy,
1982), so this study addresses the research gap between gender identity and brand loyalty
through the lens of a consumer’s level of product involvement. Thus, it posits: H5. Gender will
not be positively associated with consumer perception.
GENDER AND BRAND IMAGE
The perception of consumers towards a certain brand can cover a variety of measures, including
attitude towards a brand (Monga & John, 2007; Shen & Chen, 2007); attitude towards an
advertisement or communication of the brand ( Shen & Chen, 2006; Lee & Labroo, 2004);
perceived quality of the brand (Keller & Lehmann,2006; Essoussi & Merunka, 2007);
memorability (Volckner & Sattler, 2007); brand value or equity (Buchanan et. al. 1999); brand
image (Lee & Labroo, 2004; Essoussi & Merunka, 2007); brand personality (Aaker, 1997);
purchase intentions (Lee & Labroo, 2004) and choice (Shiv et. al., 1997). Brand image is the first
word or image that comes to mind when a certain brand is mentioned. It is fragile and can be
altered by new information or damaged by media commentators (O’Shaughnessy, 2003). Brand
image is the representation of the brand in the mind of the consumer. In western cultures, brand
image can be like a human being with unique characteristics. In collectivistic culture like
Malaysia, it can be quality and the representation of trust in a firm. Consumers will attribute to
the brand characteristics that fit their own mental maps and from there develop a brand image
(De Mooij, 2005). Thus, it posits: H6. Gender will not be positively associated with brand image.
BRAND IMAGE, CONSUMER PERCEPTION AND LOYALTY INTENTIONS
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The ever changing marketing scenario and competition over the globe has amplified the role of
brand at unparalleled level. Every person is a consumer of different brands at the same time. The
choice and usage of a particular brand by the consumer over the time is affected by the quality
benefits offered by the brand especially when it comes to brand of eatables and cosmetics.
Consumer satisfaction is derived when he compares the actual performance of the product with
the performance he expected out of the usage. Philip Kotler (2008) observed that satisfaction is a
person's feelings of pressure or disappointment resulting from product's perceived performance
(outcome) in relation to his or her expectations. If the perceived benefits turned out to be almost
same as expected, customer is highly satisfied and that is how the company achieves loyalty of
the customer towards the products. Thus, it posits: H7. There will not be positive relationship
between brand image, consumer perception and loyalty intentions. 2.2. RESEARCH
BACKGROUND This survey research has utilized both primary and secondary data and
information from different sources including Patanjali Ayurveda ltd., text books, magazines,
journals and websites about different variables of the study. Various studies were consulted for
collecting data. A study on Patanjali is also available of consumer perception toward the brand.
These studies include: 1. A study of consumer perception of herbal products in Bhopal:
International Journal of Management Studies ISSN (Print) 2249-0302 ISSN (Online)2231-2528
AUTHORS: Md. Irshad Ali, Research Scholar, FPM, Indian Institute of Forest Management,
India and Manmohan Yadav, Professor, Indian Institute of Forest Management, India The Indian
herbal market is flooded with numerous well-known and recognised herbal brands. Vindhya
Herbal is an initiative of Madhya Pradesh government to provide unadulterated ayurvedic
products to the people and for generating gainful employment for the vulnerable and
downtrodden section of the society. The study is to examine existing state of Vindhya Herbal in
Bhopal, its birthplace. Besides, this study talks about other parameters like benefits/attributes
consumer acquaintances with herbal products, awareness, preferential, source of knowledge,
usage and attitude related to herbal products. The research design consisted of an exploratory
phase followed by a descriptive crosssectional, close-ended questionnaire-based survey in
Bhopal. As the study has been conducted in a Hindi belt, the questionnaire was kept bilingual;
Hindi and English. Sampling was done on the basis of two criteria; 1) such regions were selected
where almost major herbal brands are available and 2) Respondents have used at-least one of the
herbal brands. Only 23 percent consumers responded to have used Vindhya herbal. Those who
have used Vindhya herbal have preference it, if available in a nearby store. Most of the
respondents mentioned that herbal products are prepared from the natural ingredient, as a result
faced no side effect. Purchase of herbal products primarily takes place on a monthly basis and
use on a daily basis. Doctors, family members and mass media were reliable sources and the
respondents trust on their recommendations for buying fresh herbal products. Desirability for
further information was high among consumers related to herbal products.
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Introduction to the Topic
Given a much broader array of product choices offered in the current market and ubiquitous
marketing efforts, consumers often turn to a favorite brand to facilitate their purchase decisions.
A brand includes a name, symbol, design, or experience that help consumers identify products,
services, or differentiate offerings among competitors (Aaker, 1991; Keller, 2008; Neumeier,
2006). Brand identity, which is a group of associations developed by firms, communicates with
consumers what a brand provides (Aaker, 2007; Keller, 2008). Academic literature clearly
addressed the importance of building a strong emotional relationship between consumers and
brands (Carroll & Ahuvia, 2006; Keller, 2001, 2008; Taylor, Cluch, & Godwin, 2004).
According to Keller‘s (2001) more recent conceptual framework, consumers‘ positive brand
33 | P a g e
feelings lead to favorable responses towards a brand, such as attitudinal attachment and
behavioral loyalty. Similarly, recent literature on branding has argued that an emotional brand
experience is important to foster brand loyalty and purchase intentions (Albert, Merunka, &
Valette-Florence, 2008; Carroll & Ahuvia, 2006; Chaudhuri & Holbrook, 2001; Esch et al.,
2006; Nowak, Thach, & Olsen, 2006; Pawle & Cooper, 2006; Taylor, Celuch, & Goodwin,
2004; Thomson, MacInnis, & Park, 2005). Moreover, brand consulting and advertising industry
literature (Gobé, 2001; Lindstrom, 2005; Neumeier, 2006; Riesenbeck & Perrey, 2007; Roberts,
2004, 2006) has illustrated the importance of building deep emotional connections with
consumers to augment brand loyalty.
Research Methodology
Introduction
For collecting primary data, a survey approach was used and for this purpose research
questionnaire consisting of a set of questions was presented to the respondents to know their
perception toward Patanjali ayurvedic products
Rational for the Study

The purpose of this study was to check the effect of brand image on brand loyalty and the
moderating role of customer satisfaction in it. Brand attributes and Brand benefits were studied
34 | P a g e
as dimensions of Brand Image. Quantitative study was conducted in wireless Telecommunication
sector of Pakistan. Sample of 150 students and teachers, from different colleges and universities
of Sahiwal, were selected and surveyed through questionnaires. Pearson Correlation and
Regression were run to analyze the data. Finding reveals that positive and significant relation
exists between Brand Image and Brand loyalty and Customer Satisfaction also has a positive
moderating effect on this relation. The sample size was too short. This study can be replicated
with a large sample size in similar sector or context. The impact of marketing communications
and consumers’ knowledge on brand loyalty can also is studied to enhance the study.
Organizations ought to pay special attention to the building of brand image, achieving customer
satisfaction. And through this they would also be successful in achieving brand loyalty.
Statement of Problem
The entire world is disillusioned with the harmful side effects of all packaged products be it food
or personal care products. Everyone wants to return to nature and live a healthier lifestyle. This
provided Baba Ramdev an opportunity to give back to society. He started Patanjali Ayurved, a
company that would bring the goodness of nature with each of its products, which would be
natural and would make everyone healthier. He shot to fame because of the yoga lessons he gave
to the masses through television channels and other workshops all across India. And people
adopted Yoga, they found it useful and easy. Thus he had a huge mass following. So when he
started the company, a lot of people immediately sought after his products. He branded all of the
products as natural and containing the secrets of Ayurveda. Thus Patanjali, which is fully aligned
with the trend of healthy lifestyle was conceived as merely an extension from healthy exercise to
healthy natural products.
Significance of the Problem

Currently Patanjali is competing in all FMCG categories catering to the whole population, which
is otherwise called Total Market Coverage Targeting Strategy. They have diversified into almost
all categories like oral care, hair care, skin care, groceries, health drinks & supplementary,
packaged food etc. Also since they have no differential products within the same product
35 | P a g e
portfolio, this substantiates the fact that they are not targeting any particular segment, rather
serving the whole population with their offering. To reach to the maximum number of potential
customers, it has to target specifically though. The house wives and the elderly of the house are
the influencers and decision makers in the purchase process of Ayurveda products. By just
producing packages with South Indian languages, the south market can be targeted. At present
Patanjali is contending in all FMCG categories obliging the entire populace, which is generally
called Total Market Coverage Targeting Strategy. They have expanded into all categories like
oral care, hair care, healthy skin, basic needs, health drinks and packaged beverages and so on.
Additionally since they have no differential items inside the same item portfolio, this
substantiates the fact that they are not focusing on a specific section, rather serving the entire
populace with their advertising. To reach to the greatest number of potential customers, it needs
to be more specific in its targeting though. The housewives and the elderly of the house are the
influencers and chiefs in the buy procedure of Ayurveda items. By simply producing packaging
with South Indian dialects, the market in the south can be focused on.
Research Objectives
This Project work has certain objectives behind it. Without any proper objective one cannot plan
its implementation. If the objective of the study is not proper then the whole research is of no
use.
In India there are many sectors where the different companies or Frganization functions within,
we have chosen the Patanjali, ayurvedic and herbal sector which directly deals with people
issues.
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Basically our main objective was to see that the bend of the Indian people towards Patanjali is
because of it being a swadeshi brand, herbal and ayurvedic brand or some of the other factors.
Along with this there are some objectives of this study:
 To study Patanjali as a brand and its product mix.
 To analyze consumer perception about Patanjali as a brand and its products.
 To analyze impact of brand image on loyalty intentions.
 To analyze and identify important factors influencing Patanjali as a brand.
Scope of the Study

This research focused on respondents of Indian Citizen. The research provided fruitful
information about Patanjali’s product line users and brand perception they have about Patanjali.
Research Design
A single cross-sectional research design was used for the survey and quantitative analysis was
used for the obtained dataset. The answering scale for the questions related to brand image and
brand loyalty is a 7-item Likert scale.
Data Sources
Data collection was done through the online website using an online-based questionnaire. MS
Excel was used for analyzing the information in the obtained dataset. The types of analysis that
were performed are t-test analysis, ANOVA and Pearson Correlation. By doing it, the main
factors that influence brand loyalty were examined.
Sampling Design
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Sample of local people from different regions were selected and surveyed through
questionnaires. Pearson Correlation and t-tests were run to analyze the data. Finding reveals that
positive and significant relation exists between Brand Image and Brand loyalty and Customer
perception also has a positive moderating effect on this relation. The sample size was too short.
This study can be replicated with a large sample size in similar sector or context. The impact of
marketing communications and consumers’ knowledge on brand loyalty can also be studied to
enhance the study.
Sampling Method
For the purpose of collecting data random sampling has been done.
Limitations of the Project

In this research, we examined factors responsible for brand loyalty of the product to brand image
of the Patanjali. The study focuses on only the consumers in Jammu. The Jammu region was
chosen due to easy accessibility and profound understanding of the market. Another reason is
that we had a thorough understanding of the background information necessary to do the survey
and could easily use networking to obtain the sample.
Data Analysis & Interpretation
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Findings & Suggestions
Patanjali Ayurveda Ltd. (P.A.L.) now crosses revenues of Rs. 10,000 Crores. With this, Acharya
Balkrishna enters Forbes Rich List with $2.5 billion.
 P.A.L has a strong export portfolio which has helped the company to enter foreign markets like
United States of America, Canada, Russia, Dubai and European markets.
 P.A.L. offers widest range of products which no company (even listed companies) in India
offers. It caters to different market segments ranging from health to medicines, and from
cosmetics to clothing. It will soon enter other sectors also.
 Ayurveda, Yog and nationalism are the three pillars of Patanjali, and aims to have a healthier
India, with the use of natural and herbal ingredients in their merchandise.
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 With the growth rate of 130%, Patanjali is expanding like never before capturing local,
national and international markets, and shall officially surpass even the strongest FMCG giants.
This is mainly due to ethical conduct of its founder. Use of Ayurveda and technological
migrations into its R&D cell has enabled it to gain trustworthiness, support and loyalty from its
customers.
 P.A.L. is not in any way left behind when it comes to discharging social and environmental
responsibility. In fact, following ethics and CSR culture is its core business practice. It has major
thrust areas like education (through Gurukul) and health care (through Chikitsalayas and
Arogyakendras). P.A.L. discharges its obligations according to the provisions of the Indian
Companies Act 2013 (clause 135) and CSR rules. Profits are for philanthropy, the founders say.
 Patanjali products are catching attention of younger generations. Almost 50% of the chosen
sample are below the age of 24 years.
Patanjali products are bought and consumed by both the gender of consumers Also, these
products are popular among people of low income group with earnings per month of Rs. 25,000/-
and less.
 Patanjali company and its products have a very wide popularity. It can be said that P.A.L. has
been very successful in their consumer awareness programmes reaching wide target audience.
 Patanjali is able to capture more than 70% of the market in general.
 From the widest range of Patanjali, its dental care products are the most popular and frequently
purchased products by customers.
 Television is the most widely used source to educate consumers; newspapers and Internet are
used in reasonable amounts. Radio media is not used by P.A.L. for consumer awareness
programmes.
 Patanjali Ayurved Limited has been reasonably pricing their product range to suit the pockets
of customers.
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 Larger part of the customers is faithfuland devoted to Patanjali Ayurvedic limited, and very
few may shiftthemselves to competitors’ products in case there is any price hike.
 Patanjali Ayurved Limited has been successful in developing and promoting quality in their
products which have successfully managed to meet the health needs of the customers.
 Credibilityand reliability of Patanjali products and their good quality becomes major buying
motives among customers.
 Customers expect an increase in quantity of content per unit of product sold by Patanjali.
Similarly, sufficient number of customers suggests improvement in quality.
 The Findings here show that there aremany significant factors that together make up thebuying
decision of the product. Advertisements play an important role in influencing customer’s buying
behaviour and attractive display is the least factor influencing customer behaviour.
 The ‘quality’ ratings given for Patanjali range of products by customers is ‘good’ and
‘average’. Very few customers consider them ‘excellent’ or ‘very poor’.
 Patanjali Ayurved Limited is objectively successful in gathering and maintaining loyalty and
allegiance from their customers towards their product and organisation.Only few confess to go
for Patanjali’s substitutes, and more do not wish to purchase its standby products.
 Almost all customers of P.A.L. shall recommend their products to others.
 Almost 99% of the existing customers taken from the sample are pleased and gratified or
satisfied about P.A.L.’s product line. Overall satisfaction of 66 customers is ‘good’ and 33
customers is ‘satisfactory’.
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Conclusion
Customers’ perception towards a brand is built largely on the satisfactory value the user receives
after paying for the product and the benefits the user looks for. In the above study, a large portion
of the user is satisfied from Patanjali products. It may be because of reasonable price of the
product. It may be due to ability of the product to cure their health problem. The satisfaction
brings in the retention of customer. Patanjali is enjoying the advantageous position in market
through spirituality element involved in its products. However, it should not ignore the
competitors like Naturals, pure roots, Vindhya herbals. Patanjali in order to retain more
customers and satisfy them,must fulfill the claims made by the company before any other brand
may start up and take away the benefits ofmarketing through spirituality.
Baba Ramdev’s Patanjali has made disruptive progress in the FMCG sector. Within a span of
less than 10 years, it has displaced ayurvedic market leaders like Emami and Himalaya. Patanjali
has become synonymous with ayurvedic products. While the total demand is not being satisfied
as of now, efforts are on to increase sourcing so as to maintain steady supply of raw materials.
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The fill rate is 45-50% and can only increase from now on. They have increased their margins
for franchise stores as well as retail chains to around 10% and thus are getting better placement
on the shelves. They are focused on serving the masses and thus cut corners in packaging and
advertising. This is changing as they are spending on advertising recently. The radio campaign is
the first proof of that. Ramdev Baba’s charisma has pushed Patanjali to grow over 10 times in a
span of less than 10 years. The FMCG giants are also taking steps to check the advancements of
Patanjali. However now that it has gained traction in the market and there is overwhelming
demand for its products, it will be difficult for them to win back their lost market shares.
Bibliography
 Mamoria, C. B., Suri, R. K., Mamoria, Satish. (2006). Marketing Management. Allahabad:
Kitab Mahal. Seventh Edition.
 Saxena, Rajan. (2006). Marketing Management. New Delhi: Tata Mc Graw- Hill Publishing
Co. Ltd.
 Kotler, P., Kellar K. L. Marketing Management. Published: Dorling Kinderley India Pvt. Ltd.
Licensed: Pearson Education in South Asia.
 Sontakki C. N., Marketing Management. New Delhi 110002: Kalyani Publishers by Mr. Usha
Raj Kumar.  Ramaswamy, V. S., Namakumari, S. (2010). Marketing Management. New Delhi:
Macmillan Publishers India Ltd., 4th Edition.
 Hyperlinked web pages on official websites of Patanjali and others at following URLs:
http://www.patanjaliayurved.net http://www. patanjaliayurved.org
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http://patanjaliayurved.org/csr-policy.html http://en.wikipedia.org/wiki/Bajaj_Auto
https://www.google.co.in/amp/www.thehindu. com/news/cities/mumbai/business/fastmoving
-ayurvedic-goods/article8187124.ece/amp/ https://en.m.wikipedia.org/wiki/Patanjali
http://stellarix.com/fusce/a-report-onpatanjali-ayurveda/
https://www.google.co.in/amp/s/m.economicti mes.com/industry/consproducts/fmcg/unilever-
admits-to-newcompetition-inpatanjali/amp_articleshow/54926013
http://www.divyayoga.com/about-us/visionand-objectives/Objectives
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Patanjali

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Executive Summary

Basic Overview of the Industry

Some of the recent developments in the FMCG sector are as follows:

List of Top 5 FMCG Companies in India

1. Hindustan Unilever Ltd

3. Nestle India Ltd

5. Godrej Consumer Products Ltd

In line with the 3 by 3 approach to international expansion at Godrej Consumer Products,

Product Life Cycle

Adoption & Diffusion

Products of patanjali ypgpeeth are as follows:

 Peya (Herbal Tea) - Divya 100 Grams

Overview of Different Departments

Arogya Kendras and chikitsalayas

4. The Impact of Brand Image on Consumer Behavior: A Literature Review: Open

Keller‘s (1993, 2001) conceptual research suggested a strong connection between a

CONSUMER PERCEPTION AND BRAND LOYALTY

GENDER AND CONSUMER PERCEPTION

GENDER AND BRAND IMAGE

BRAND IMAGE, CONSUMER PERCEPTION AND LOYALTY INTENTIONS

Rational for the Study

Significance of the Problem

 To study Patanjali as a brand and its product mix.

 To analyze consumer perception about Patanjali as a brand and its products.

 To analyze impact of brand image on loyalty intentions.

 To analyze and identify important factors influencing Patanjali as a brand.

Scope of the Study

Limitations of the Project

Data Analysis & Interpretation

 Patanjali is able to capture more than 70% of the market in general.

 Almost all customers of P.A.L. shall recommend their products to others.

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