Core products

I. NATURAL HEALTH CARE:

1. Digestives: give a healthy and strengthen digestive system. Cure
the problems like gas, acidity, constipation, etc.
2. Health and wellness: This includes weight loss, reduced
cholesterol, lower blood sugar levels and improved symptoms of
diabetes. (vinegar); This eradicates sexual weakness, joint pains
or Rheumatoid, diseases related to Asthma and allergy, semen
deficiency, urine and bone- weakness, diabetes etc. problems both
in men and women and beneficial for providing vigorous energy.
Increases body immunity and overall body strength. (shilajeet
capsule); instant energizer; increasing memory and brain
power(Ashvagandha); hair glow, cools eyes (Amrit Rasayan);
3. Chyawanprash: it acts as a immunity booster and also avoids
diabetics
4. Badam pak: it will improves mental as well as physical endurance
5. Ghee : it will increases memory and also used for weight gain.
6. Honey: pure honey for sweetness
7. Health drinks and fruit beverages: for the nutrient content,
vitamins, minerals, for the purpose of the instant energy and taste.
8. Diet food: these are the healthy and nutritious snacks which has
zero percent fat and zero percent cholesterol
II. NATURAL FOOD PRODUCTS:
1. Biscuits and cookies: easy to digest and used as snack items which also
provide fiber. Some are also beneficial in constipation and stomach
diseases especially in children (Namkeen Biscuit)
2. Spices: these are added in the food to get some flavor, taste and good
aroma which are processed (masala powder) from the natural spices.
 Makhana which has strong nutritional value which are consumed during
fasting.
3. Tea: it will relax and refreshes body and mind and also boosts
immunity.
4. Flours: these are used to make many food products like chapati ragi
products and many other snacks.
5. Sauces and pickles: these are the products which adds some extra taste
to many snacks and other food items.
6. Noodles, oats: these are the food items which will replaces some heavy
breakfast and dinner and acts even as a dietary products.
7. Edible oils: these are pure oils obtained from different agricultural
products which are used in the preparation of the food.
8. Salt and sugar: these will add required taste to that particular food item.

Tangible products

1. Warranty: the products of the Patanjali even though they are natural but they
are offering the warranty period of the product which is equal to the product
offered by their competitor. This will create a great advantage and also attracts
the customers.
2. Quality: the quality of the ingredients they use are natural and fresh and also
they mention the ingredients which are all used in the manufacturing of the
final product. they also have created from there advertisements in the minds of
the customers that as Ram dev baba is spiritual and completely involved in the
yoga so, they will definitely use more quality products and produce 100
percent natural product.
3. Packing: now a days most of the people are giving importance to the
packaging and gets attracted to buy that product. Most of the Patanjali
products are in the bottles or given with the zip packets which are reusable for
 other purposes. They are also mentioned with the images of the natural
products which will make them to feel that this products are natural.
4. Brand name: Patanjali has already created their brand with ayurvedic and
natural products. They also has named their every product name which can
describe the product for example in the category of digestives they named the
product as Pachak which means in English it is digestive from this many of the
Indians who are more familiar with Hindi can directly communicate with any
shopkeeper for the product.

Augmented products

1. Product delivery: Patanjali has made easy availability of all its products even
in some of the rural places. Their products are available in every local
supermarkets and all they have their own store where all of there products can
be made available and from there products are also supplied to many other
retailers.
2. Official website: from their website customers can buy any Patanjali product
and get it delivered to home. Customers can also get more information of
every product and get awareness of that product and also the usage of that
particular product. customers can also give there feedback and also check
others reviews for every products.
3. Services: the official Patanjali store people will take the complaints and try to
resolve them or can replace the product people can also return their products
brought through online by raising the refund request on the ticket panel in my
account. Online customers can also check their status and time of the delivery
through the application.
 COMMENTS

When the Patanjali has started there is no big market for the natural and Ayurvedic
products but Patanjali has created a very big market which is a surprise for the many
huge MNC companies such as HUL, Dabur, etc. but now that surprise has gone and
Patanjali has becoming old. So, they has to come up with new strategies like opening
more stores near colleges and companies with mostly selling of the energy drinks and
immunity boosters.

COMPETITIVE ANALYSIS OF PATANJALI:

Patanjali is leading over its competitors due to following reasons-

Innovation – Patanjali being a major competitor, FMCG companies are expected to introduce
innovative Herbal and Ayurvedic products over the forecast period.

Pricing – Patanjali sells its product at a lower price to meet consumer demands. Patanjali is able to
sell its best quality product at a price which is 10% to 30% less than its competitors who spend
12% to 18% on advertising and promotion.

Brand Marketing – Patanjali has given a tough competition to some of the FMCG majors in the
area of hair care, oral care and OTC products across its brand portfolio through impressive brand
marketing by Baba Ramdev.

Revenue Market Share – According to IIFL, Patanjali could attain a net turnover of Rs 20,000
crore by FY20.

PATANJALI SUCCESS STRATEGY

1. Targeted Marketing Strategy

Every product runs with a targeted marketing strategy that later acts as the major reason behind a
product’s success. Brands like Baidyanath made quality products that attracted consumers but
could never find a successful targeted marketing strategy way to expand. Patanjali with its brilliant
marketing strategy yet high-quality products was able to expand while generating amazing demand
from its successful marketing strategy. As a result, it earned a profit of more than INR 9000 crores
in 2019, whereas Baidya Nath’s turnover is only INR 700 crore in the same year.
2. Face Value
The second vital reason is “Face value”. With the growing media and face value, brand
ambassadors act as a trust stamp. Ramdev Baba is known for his yoga and ayurvedic knowledge for
years added to the success of Patanjali’s marketing strategy. His face in various advertisement
campaigns created trust amongst the consumers which acted as a vital reason for it to be a hit in the
market. These two factors are the core pillars of Patanjali’s success strategy. With a brilliant
marketing campaign and branding strategy, they outmanoeuvred well-established companies like
Dabur and Baidyanath.

Digital Marketing Strategy of Patanjali

Patanjali has a very holistic approach to its digital marketing efforts. It has several digital
campaigns that revolve around showcasing its products and reiterating how healthy and natural the
products are. With its amazing effort’s it has reached a massive following on Instagram.

Patanjali’s approach is two thronged. It boasts such a massive array of products that all its posts
revolve around showcasing these products. Their posts try to showcase the health benefits and ways
to use these products in ordinary day cooking. With such a massive following, Patanjali has
focused a lot of its marketing efforts on converting youngsters to appreciate it’s products.
Secondly, Patanjali uses Baba Ramdev as its brand ambassador on their posts, very frequently.
They have successfully married their healthy products with the brand image of a yoga guru, known
for curing the country of daily ailments through healthy living. With digital marketing efforts, they
have made sure this image sticks and the customers are heavily swayed by this stratagem. Now let
us look at the advertisement campaign strategy of Patanjali and understand the versatile way they
have evolved into a health-conscious FMCG company and carved a massive market.
Patanjali Advertisement and Campaign Strategy
A marketing campaign means using different types of media and online platforms for promoting a
product. The specific pieces of promotion they create constitute their advertisement strategy. They
have to be carefully planned as marketing campaign plays a major role in any brand’s success or
failure.
 Patanjali Ayurveda has done great research on their target audience and understands the
message they should put across through their advertisements and which campaign medium
is most effective for their strategy.
SWOT ANALYSIS OF PATANJALI
To understand Patanjali as a Brand, we require to do a SWOT Analysis. SWOT or Strength,
Weakness, Opportunities and Threats Analysis is a management tool that looks at the company’s
prospects, both positive and negative.
Patanjali is a unique company with many strengths as it showcases, yet it does suffer from threats
and problems of its own. Without further ado, let us know more:

STRENGTH:

1.Brand Ambassador:

Baba Ramdev as the brand ambassador makes the appeal of the company extremely high due to his
charisma and image as a health and yoga expert across the world.

2.Right Time, Right Product:

Capitalising on the trend of healthy eating and natural products, Patanjali’s product was well suited
for the demands of the mass consumers

3.Pricing Strategy:

Patanjali Products are found to be 5-to-10% below the average price of its competitor products.
This gives them a massive edge, especially in a price-conscious market such as India.

WEAKNESS:

1.Logistics:

Since Patanjali don’t have any long-term deals with transporters the company’s planning got
complicated and their cost got increased too.

2.Declining Revenue:

The company’s standalone consumer goods revenue declined more than 10 per cent in the year
ended March 2018 for the first time since 2013. Their strategy of high volume and low pricing has
started to hurt them.

3.Lack of International Clientele

Patanjali products dominate the local markets but it does not have clients in ASEAN and European
markets like its competitor Dabur does. Patanjali only enjoys an audience in India due to its low
pricing and Baba Ramdev’s influence. They need to expand to other countries to diversify their
business.
OPPORTUNITIES:

1.International Markets:

Patanjali can capitalise on India’s massive ex-pat audience. According to one case studies, Patanjali
enjoys its second-biggest market in the USA, where the NRI audience are attracted to its nationalist
and heritage driven brand image. They can extend this into a proper international marketing and
sales strategy.

2.Targeting the luxury market:

Patanjali till now has only focused on low priced and mass-consumed products. It can capitalise on
it’s natural and heritage driven brand to market more expensive and higher quality products to
appeal to and compete against better products.

THREATS:

1.Political Instability:

Due to the high politicisation of the brand, the company is bound to suffer political winds of
change. Investors tend to not support such organisations due to high politicisation, a change in
government and a fall of graces that can affect its performance.

2.Whistle-Blowers:

There have been reports of degrading quality of the Patanjali products. Though not sustainable in
evidence, such rumours can over time erode even the best of brand images.

3.ncreasing competition

With all the existing brands such as HUL and Dabur adjusting to the new Ayurveda market of
consumers, they have all adopted new strategies to compete with Patanjali, with its element of
surprise gone, it will face old and tested companies.

Patanjali Ayurved Limited is a leading manufacturer and exporter of Herbal & Natural products
including Health Supplements, Cosmetics, Food, Processed Food, Beverages, and Personal &
Home Care products. The company products are today available in many overseas markets, helping
people move towards a more healthy and natural lifestyle.
Backed by one of the largest manufacturing facilities in the world with ISO9001:2008,
ISO14001:2004, BS OHSAS 18001:2007, GMP, FSSAI & Halal Certification, and state of art
laboratories to ascertain and maintain highest quality, Patanjali’s overseas business today spans
across key countries in all continents of the world.Our organization is registered with US FDA and
is an active member of many government and semi-government trade promotion organizations.

Markit matrix

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 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.
 Product Life Cycle for Patanjali products

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.

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.

Positive review of products

The products are quite effective and good results are noticed after consumption or usage.
At least to the common man’s perception, the products are of high purity. The prices of
all the products are significantly less that even some people who does not believe in
Ayurveda or is turned off by the poor packaging, actually makes the purchase.

Negative review of products

The packaging is of extremely bad quality. Even the colors used and the imagery as well
as the packaging material is of low standard. (Though according to in depth consumer
interaction, this is perceived as a symbol of honesty, purity and hard work unlike the
MNCs who roll out any product with an attractive packaging)

The package size of most of the products is limited. Hence customers do not have the
option to purchase according to his/ her usage requirements. Also the supply of the
products is irregular at times which often causes stock outs or unavailability of the
products or size.

Management Strategies of Patanjali Group

Promotional Strategies
 Baba Ramdev himself as the brand ambassador of PAL highly affects the advertisement
sector as he has huge following in all sectors of media.
 Yoga shows all over the country helps in promoting patanjali products.