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here I am getting all


ones with white apply
EVEREADY good theme and font
and format also. If
anything is missing let
me know

http://www.evereadyindia.com/investor-relations/annual-report-16-17.pdf
INTRODUCTION TO EVEREADY LIGHTHING (LED’s)

Introduced a complete range of LED based lighting solutions for home


Consumers in 2015
Focused on a continuous brand building exercise to get improved
acceptance for our LED business in the organised B2C lighting segment
Executed government orders worth ‘46.50 crores
Developed a portfolio of outdoor lighting - low wattage street LED lights
(up to 60 watt lights)
Introduced high wattage LED lights for hotels and large buildings
Built a team of lighting designers and engineers for growing our presence
in the professional lighting space
Put in place key account managers for medium to large projects Basis
‘Brand Asset Value’ (BAV) research, Eveready Lighting seen as the
most well differentiated brand in the Lighting Industry

http://www.evereadyindia.com/investor-relations/annual-report-16-17.pdf
INTRODUCTION TO EVEREADY CONSUMER APPLIANCES

In March 2016, Eveready revealed its objective to endeavour into the consumer-
appliance section

It strengthened product range, ensuring extensive depth in terms of wattage,


price points and features
Strengthened our distribution network across key markets in India
Launched dedicated call centre team in four languages to enhance our customer
service quotient

Created brand recall through regular advertisements in leading newspapers


Organised multiple below the line (BTL) to create awareness

http://www.evereadyindia.com/investor-relations/annual-report-16-17.pdf
KEY FINANCIALS

http://karvyonline.com/viewdocument.aspx?DocumentID=14376
RESEARCH PROCESS

MANAGEMENT DILEMMA
To conduct due diligence both on the onset of investment and on an ongoing basis so as the client can
benefit from the same.

RESEARCH OBJECTIVE
1. To find out key variables that impact sales of Eveready LED’s
2. To understand consumer preferences and analyse their behaviour
3. To find out whether consumers will be willing to make a switch on basis of data collected
4. To conduct a competitor analysis of the market
5. To evaluate brand strength of Eveready
6. To develop mechanisms that will aid in tracking sales and pricing
RESEARCH METHODOLOGY
The research will be conducted in two phases using laddering approach
Phase 1
It will be the more generic phase and will deal with conducting an exploratory research so as to find out all key
variables pertaining to Eveready LED’s, to help in evaluating important metrics. I expect to gain quantitative data
at the end of this stage.

Phase 2
It will be a structured phase in which bulk data will be collected from distributors, sub-dealers and customers so as
to collect data that is more quantitative in nature having a wider scope.

SAMPLING METHOD
For exploratory research I used snowball sampling for conducting interviews, in which I contacted one dealer and
one sub-dealer.
For descriptive research I intend to do a research over the 4 metro cities having a sample size of 15 distributors
and 15 sub dealers each. For the questionnaire on customers I intend to survey 40 customers per metro city.

Krunal Shah : 9830534577 ( Dealer Kolkata)


Vini Bhatia : 9830747242 ( Sub-dealer Kolkata)
RESEARCH SAMPLE
In case of exploratory research sample size limited to 2.
In case of exploratory research sample size is 70 people per city divided as per the professions as given in
sampling method

LIMITATIONS OF RESEARCH

1. Sample size in research was limited. Scope of research needs to be expanded so as to enhance the quality of
information collected
2. Budgetary constraints have to be accounted for
3. Research was conducted only on LED market, consumer appliance market is in nascent stages and hence there
was lack of sufficient data to conduct research
4. Exploratory research was conducted in depth and only questionnaires were formed for descriptive research
PRIMARY RESEARCH

Data was collected on basis of interviews, valuable insights have been shared below

The channel of distribution of Eveready LED’s is a 3 channel distribution process starting from manufacturer and ending
at customer

Manufacturer Distributor Sub-dealer Customer

The sale of the LED lights is dependant on time-period and on usage by specific professionals as well

For example the sale of LED lights sky-rockets in the period of September and October considering it is the festive
season and falls after that around November-December.
Moreover depending upon the demand for Home-décor or by contractor also the demand of LED lights will
fluctuate
INTERVIEW QUESTIONS

TO DEALER

1. What is the margin provided to one as a dealer


2. Any promotion or discount benefits
3. Quantity and number of brands you supply as a dealer in a month
4.. What have sales trend been in the previous quater as compared to this quater of eveready leds
5.. Are prices of led lights increasing or decreasing and is this impacting the demand.
6. Which area in kolkata accounts for doing maximum business
7. Roughly how many distributors are there in Kolkata

TO SUB-DEALER
1. Is there any product placement for led products of eveready
2. What is the margin and promotion offers that you receive as a retailer
3. Which is the most popular eveready led product
4.How much time does it take to clear eveready led inventory on an average
5. How do you collect the eveready products and on what basis do you decide the volume of goods to be
purchased
6. How is the market for electrical lighting at the moment and what expectations do you have from the future
7. Has the environment impacted the market for led lights in any way ( can be positive or negative) ( possible
impact of demonetization or gst on products)
QUESTIONAIRRES

For Dealer :

https://goo.gl/forms/bzusm5Frt7tzRcNt2

For Sub Dealer :

For Customer :
SECONDARY RESEARCH

Stiff pricing in LED segment banks on volume growth: LED volumes clocked
6Mn pieces this quarter which is 3x more than YoY, out of which 3Mn pieces were
supplied to the government. However, the prices have been constrained registering
about 5-10% decline. Although we are conservative on battery segment growth,
price decrease in LEDs have led us to revise our estimates where we now expect
revenues to grow at CAGR of 8.6% during FY16-18E still driven by the LED segment
volumes by accounting for pricing cut by 5.0%. We expect more orders from
government through various infrastructure development schemes than the retail
segment. EBITDA margin is expected to shoot up to 10.2% in FY17E and 10.5%
in FY18E as compared to 9.1% in FY16 due to product mix and better operating
strategies, leading PAT margins to improve to 4.2% in FY17E and 4.9% in FY18E
as compared to 3.8% in FY16.
VOLUME GROWTH

As per sales forecasts provided by the Motilal Oswal report LED sales will subsequently rise over the 18 quarter

Photo-auditing is a technique which I would like to recommend to check the


impact of product placement on sales trends

Whether the product has been placed as per


Requirements of the manufacturer is of utmost
Importance so as to ensure sales

Most of the products are strategically placed


as end-caps or on unique standalone pedestals

http://www.motilaloswal.com/site/rreports/636183399078501414.p
df
PRICING

SUB-DEALERS
PRODUCT WATTS DEALER'S PRICE PRICE CUSTOMER'S PRICE
FLOODLIGHT 30 1111.5 1170
Prices can be tracked on a more
granular level by using CRM FLOODLIGHT 50 1596 1680 SUBJECT TO
software's and new cloud computing STREETLIGHT 25 1666 1700 QUANTITY
systems. STREETLIGHT 45 3528 3600 PURCHASED
LED TUBELIGHT BATTEN T5 145.5 150 MARGINS
Moreover audits on a rather regular
basis about the most popular item in BULB 9 84.575 85 VARY BETWEEN
case of Eveready Bulbs need to be BULB 12 171.14 172 5%-10%
carried out properly
LED DOWNLIGHT 3 257.74 263
LED SPOTLIGHT 2 158.86 169
DECO-LED 2 28.855 29
PANEL LED 4 422.92 436
BRAND STRENGTH

Brand prominence: Our brand recall is built on the firm pedestal of quality
standards, reliability and consistent marketing efforts.

Wider reach: We reach out to the length and breadth of the country through
our exclusive network.

Focused approach: Separate sales and distribution channel has been set up to
specifically cater to electrical outlets and B2B customers.

Customer awareness: We are constantly educating consumers on the


importance of lumens, while choosing LED bulbs.
We regularly participate in exhibitions, organise events and put up
information kiosks as well

http://www.evereadyindia.com/investor-relations/annual-
report-16-17.pdf
COMPETITON

Post demonetization, the inflow of cheap Chinese Lights and batteries should reduce given that most transactions
in the unorganized segment (dominated by Chinese players) are done in cash.
Also, the price gap between unorganized players and Eveready should narrow in the medium term.

As far as competition in Indian Market is concerned from price perspective Crompton is the cheapest
followed by Eveready, Philips, Syska

http://www.motilaloswal.com/site/rreports/636183399078501
414.pdf
ENVIRONMENT

Another important metric identified was Environment, people are switching over to LED to save
electricity inspite of it being expensive than older lighting system.

People even in the Indian Market are recognizing the need for one time investment considering the
guarantee and longetivity the product provides.

.
GOVERNMENT POLICIES

Another new metric that was identified on the basis of exploratory research conducted is the Govt policies.
Post demonization and after G.S.T has been passed there have been changes in the LED market
Even though after G.S.T the tax has reduced from 14.5% to 12% but still the demand for LED’s has not picked
up.

Demonetization and the pressure of G.S.T has killed the market economy has slowed down and so have the
sales. No new projects of the government are going to move the market.
BUDGET

As per the stipulated budget of $5000 dollar provided

The allocation of funds towards Primary Research is $ 1200 dollars

Reasons for the same are since we are looking at finding qualitative data from a rather small chunk of our
population due to limited budgetary constraints

The allocation of funds towards Secondary Research is $3500 dollars

Reasons for the same are so that we can mine the data from a major chunk of the population through
secondary research and establish sales and price trends as well
SOURCES COST DURATION
From the given pool of options the most PRIMARY
optimum choice will be choosing gizmo. SURVEY FROM THIRD PARTY
Costs towards primary research will SURVEY MONKEY $45 1 month
SURVEY GIZMO $84 1 month
account to $1034 dollars
ANALYST $300 1 month
Towards the secondary research most INTERVIEW ( MISCELLANEOUS EXPENSES) $50 1 month
optimum usage of budget will be there PHOTO-AUDITING $600 Annually
when we choose Salesforce and
6wresesearch accounting to a total of
$3460. SECONDARY
CRM SOFTWARE
BITTRIX24 $1200 Annually
Total amount of budget used $4,494
SUGAR CRM $720 Annually
SALESFORCE $1500 Annually
Total amount of budget left $506
DATABASES
KEN RESEARCH $1800 Lifetime
IMARC $1100 Lifetime
6WRESESEARCH $1960 Lifetime