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JYOTHY LABORATORIES LTD

STRATEGY
PRESENTATION
Chairman says
“At Jyothy, our principal contribution has been an
entry into niche spaces occupied by the
unorganised sector, introducing the discipline of
the organised sector around the costs of the
former, enhancing the consumer experience,
widening the market and accounting for its
significant share.”

- Mr. M.P
RAMACHANDRAN
INTRODUCTION
JYOTHY LABORATORIES
• Started in the year 1983.
• Its currently a 500 crore mid size FMCG company,
founded by Mr.M.P. Ramachandran.
• Single product proprietary firm into a multi-brand
company.
• Opted for IPO on 28th June 1996 with price band of 620-
690.
• It issued 44,30,260 equity shares at Rs.5 each
• It was ranked 55th by ECONOMIC TIMES MOST TRUSTED
BRAND
Present Product Range
Diversification

A Huge business potential for organized


laundry care in India.

Fabric Care
Fabric Service
Care Segment

JYOTHY FABRIC SERVICES LTD


SERVICE LIFE CYCLE

LAUNDRY
SERVICE
SECTOR
SALE
S

200
9

TIME
Market Summary

• Current demand of outsourcing is 5200 Cr

• 1300 to 2600 Cr worth laundry is done by households.

• Crude, Unhygienic washing methods.

• Improper drainage systems

• Huge markets are mainly based at Metros.


JYOTHY FABRIC SERVICES LTD

18 months long research

Initial Investment 40Cr

Chosen BANGLORE for venture.

Set up a plant with a capacity of


serving 40,000 garments a day
Target audience

Double income families


People working at IT sector
Corporate audience (aviation,
hotel, etc.,)
JFSL BUSINESS MODEL
Strategy followed
• Acquisition: They entered the market by acquiring
Snoways which already had 16 retailer outlets at
BANGLORE serving the same.
At entrance itself they cut the competition of an organized
retail chain and gained advantage of competitor.

• Growth Strategy: Ujala as a product itself cant be


innovated to a larger extent. So as a growth for JLL entered,
into service segment.

• Forward Integration: From selling washing products to


washing clothes.
Contd..
• Straddling the Pyramid:
• Successful in reaching different SEGs.
• Super Premium – Premium – Economic class.
• Economies of scale.

• Test Marketing:
• Test marketing was done at BANGLORE, IT hub.

• Solution Marketing:
• Providing product was just not enough, so they
entered in providing solutions.
MARKETING MIX STRATEGY (4P’S)
SWOT ANALYSIS

Opportuni
ties
Future Plans
• Increasing service awareness among people.

• Expanding their services at Hyderabad, Pune and Chennai.

• Mobilizing the services by adding mobile van’s.

• By mid 2010, they will serve all kinds of customers.

• In 2years they will reach the break even and in next 5 years they
are hoping to have a pan-india presence
Achievements
• Company is already sourcing for institutional
businesses such as airline, hotels, restaurants
etc.,

• Currently it has 48 corporate clients.

• 1 main service station with 5 quick service


stations and 25 collection and delivering stations
are inaugurated.
Thank You!!!!!!!!!!