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Pentaerythritol: It is used for the manufacture of synthetic resins. Availability of penta is not a problem as there are a few players including Asian Paints, which manufacture the product.
Production Process:
Paint production involves mixing of various raw materials in a balanced proportion. Based on a predetermined formula, pigments, extenders, resins and additives are ground together in a dispersion or grinding mill. The ground mixture is then dispersed in a medium, which could be based on oil or water depending on the paint produced. The final volume and shade are obtained by adding resins, driers, solvents and some additives to the concentrated dispersion.
EMERGING TRENDS AND OPPORTUNITIES
Technology
The introduction of tinting machine has significantly changed marketing technology. These machines each costing approximately Rs60mn are installed at dealer outlets and enable the customer to choose between any of several hundred shades. These are then generated by mixing dyes with the base paint, and delivered almost instantly. The two major implications of this machine are:
- Differentiation on color range is reduced: Prior to this technology, a major competitive advantage of a company was the range of colors it offered. For instance, Asian Paints offered almost 150 shades in its synthetic enamel range, unmatched in the industry. This now stands changed as almost 2000 shades can be created in seven minutes through these machines.
- Simplified logistics management: With the machines generating shades instantly, dealers can now stock only the base material and thus save almost 20-25% in the working capital cycle.
Expansion of Product Profile:
The lowering of excise has opened the high volume but low value market in the semi urban and rural areas, which is currently dominated by the unorganized sector.
Increased Thrust on Brand Creation and Distribution
The increased share of organized sector implies that brand awareness will be a thrust area. Also, strong brands are emerging as the most important entry barrier. The opening up of rural markets has also necessitated the expansion of distribution reach.
*Source:indiainfoline.com
Industry Consolidation
The small-scale industry is expected to witness a shake out as the share of organized sector increases. Also, outsourcing requirements are likely to be reduced as new capacities go onstream in the organized sector.
New Segments Opening Up
With increased industrialization, new segments like auto refinishing market are likely to expand rapidly. Already companies like ICI have launched specialized brands for this segment.
Outlook
The industry is expected to grow at 10% CAGR for the next five years driven by increasing industrialization and increasing disposable incomes. The per capita consumption is a low 0.55 kg per annum, as compared to around 4 kg in SE Asian economies and more than 20 kg in the developed countries. This outlines the untapped potential.
The emerging trends in technology and marketing imply that the industry is likely to consolidate over the next few years with the marginal players being wiped out and industry leaders gaining market share. Thus, critical success factors will shift from manufacturing to marketing and distribution.
Large international players are likely to either enter India or enhance their presence in India in view of the growing market. Thus joint ventures and strategic alliances will be the order of the day. Indian companies will also need to tie up with international majors to have access to the latest technology.
The industrial paints segment due to specialized technology and high capital expenditure attracts fewer players. Most Indian companies have tied up with or are in the process of tying up with international paint majors to have access to the latest technology. A tie-up with a global paint manufacturer also enables the domestic company to supply to local customers of its partner. For example, Goodlass Nerolac is a major supplier to Maruti Suzuki because of Kansai, its Japanese collaborator and Suzuki relations. It is for the same reason that Asian Paints (tie-up with PPG Industries, USA) is a major supplier of paints to Opel Astra.
Following are the major tie-ups & purpose of collaboration of major market players:
*Source: equitymaster.com
FIVE FORCE ANALYSIS OF PAINT INDUSTRY
- THREAT OF NEW ENTRY:
Threat of new entry in paint industry is very low due to high entry barriers posed by the paint industry. Following are the major entry barriers which hampers new entry in the industry:
- Huge investment is required for capacity creation as also to maintain the strong distribution network, which is a critical success factor.
- With the reduction in excise duties, the price advantage of the unorganized sector is being eroded. This has meant a reduction in the market share of the unorganized sector.
- The reputed paint companies have invariably collaborated with foreign companies for technology support. Such as, Asian Paints have collaborated with Devoe Marine ( USA ) and Nippon ( Japan ), Berger Paints with Valspar Corporation (USA ), Shalimar Paints with Sigma Holland (UK ), and Goodlass Nerolac with Kansai Paints (Japan )
- The unutilised capacity f the unorganized sector may deter new players entering this market despite opportunities.
- High technological upgradation is required which also act as a hurdle for new entrants.
- BARGAINING POWER OF BUYERS:
Bargaining power of buyers in the paint industry is very high due to availability of wide choice. Owing to a large proportion of retail sales, the demand for decorative paints is price sensitive. Highly competitive market due to presence of unorganized sector which held around 40% of the total market share. Moreover, the all pervading influence of Information and Technology has influenced the emerging trends in paint sector also. Today, consumers have wide variety of choices from various big companies in the organized sector and also from numerous small-unorganized sector firms. Consumers now don’t have to depend on one company for any product because all the big companies are providing wide range of shades through tinting machines.
- BARGAINING POWER OF SUPPLIERS :
Bargaining power of supplier in paint industry is very high. The paint industry overall is raw material intensive both by value and by the number of raw materials that are used to manufacture paints. Raw material cost account for 70% of total production cost. So the supplier’s product is an important input to the buyer’s business. Such an input is important to the success of the buyer’s manufacturing process or product quality. Raw material of paint is basically made from petroleum and price of it is increasing day by day. Due to increase in prices of the raw materials, the manufacturing companies have to enter in long term contracts with the supplier of the raw materials.
- THREAT OF SUBSTITUTES :
Threat of substitute products in the paint industry is low. Substitute products to paint are Lime wash, wooden mica, decorative paper, wallpaper, ceramic etc. These all are also cheap compare to paint but still there is not wide acceptability of all these substitutes. They are also less known among the people. Moreover results of all there are not upto mark like paint.
- RIVALRY AMONG EXISTING FIRMS :
Rivalry among existing firms is very intense. There is an intense competition prevailing in the existing market. Reduction in excise duty has made the competition very keen. In both categories, companies in the organized sector focus on brand building. Higher prices through product differentiation are also followed as a competitive strategy. Moreover, most of the organized player has a high strategic stakes in the paint industry due to healthy growth rate of the market.
The market is very price sensitive so far as decorative segment is concern. So the organized sector has a big challenge of competing the unorganized sector.
Asian paint is a market leader in decorative segment and Goodlass Nerolac is market leader in industrial paint segment.
IMPACT OF BUDGET 2003-04 ON INDIAN PAINT INDUSTRY
Budget measures
- Interest rates for all administered interest rates have been lowered by 50 basis points.
- Peak customs duty has been slashed from 35% to 30%.
- The Finance Minister expects the housing industry to grow at 35% in the next fiscal. Besides, he has initiated some measures to rationalize stamp duty and modify the land-ceiling act.
- Corporates are now exempt from paying dividend tax.
Budget Impact
- One of the big positives for the paint industry is the reduction in customs duty. Titanium dioxide prices, which account for 60% of raw material costs for paint companies, will fall significantly. Operating margins, as a result, might increase notably thus enabling the companies to post better profits. However, lowering of customs duty might also result in higher imports in the coming years.
- Housing demand might increase in the coming fiscal as a result of lower interest rate. This will benefit paint companies in a large way, as their prospects are closely linked with housing demand.
Industry wishes list
Mr. Ashwin Dani, Vice Chairman and Managing Director, Asian Paints (India) Limited
- Presently the basic customs duty on raw materials is levied at the highest rate of 35%. This has an adverse effect on the cost structure of paint production given the fact that the import basket forms 60% of the total consumption. Further, the import duty on finished paints is also 35%. This is not justified as both finished goods and raw materials attract the same import duty. Hence the import duty on all organic and inorganic chemicals should be brought substantially below the duty of finished paints.
- The construction industry generates numerous employment opportunities, particularly labor workforce. The Finance Minister has taken steps in the last 2 budgets particularly by raising the exemption limit on interest on housing loans. The Finance minister should further increase this limit as it will not only help the housing industry but will also help the paint industry.
- For the construction sector to grow at a faster rate, following measure should be taken.
- Resolve unclear real-estate titles by setting up fast track courts to settle disputes, computerizing land records, freeing all property from constraints on sale, and removing limits on property ownership.
- Reform tenancy laws to allow rent to move to market levels.
- Property taxes stamp duties and user charges should be rationalized.
Key Positives
- Very low consumption levels compared to other developing economies.
- The impending boom in the housing sector is likely to boost demand in the decorative segment. Auto sector also seems to be on the path to recovery.
- Higher agricultural output in the current fiscal would result in higher paint demand consequently benefiting key players.
- The industry has been a beneficiary of reduced excise duties over the last three budgets. This has helped the organized sector to match the price of the unorganized sector. With WTO coming in, organized sector would continue to benefit.
Key Negatives
- Industrial sector continues to remain sluggish in absence of investments.
- The fiscal state of the economy is a cause of concern. Slower progress of reforms is also limiting growth prospects of the economy.
- As customs duty is lowered to come in line with Asian levels, imports could pose challenges to domestic paint majors.
MAJOR MARKET PLAYERS
- MAJOR PLAYERS AND MARKET SHARE
- PROFILE OF MAJOR PLAYERS:
- HISTORY AND BACKGROUND
- MARKETING MIX
- STRENGTHS & WEAKNESSE ANALYSIS
MAJOR PLAYERS AND MARKET SHARE
Today, in Indian paint industry there are mainly four major players. Their name and market shares are as follows:
- ASIAN PAINTS INDIA LTD.
- GOODLASS NEROLAC PAINTS
- BERGER PAINTS IND. LTD.
- ICI IND. LTD.
PROFILE OF MAJOR PLAYERS
ASIAN PAINTS INDIA LTD.
Asian Paints is India's largest paint company and ranks among the top ten decorative coatings companies in the world today, with a turnover of Rs 16.56 billion (USD 340 million) and an enviable reputation in the Indian corporate world for Professionalism, Fast Track Growth, and Building Shareholder Equity.
The October' 2002 issue of Forbes Global magazine USA ranked Asian Paints among the 200 Best Small Companies in the World for 2002 and presented the 'Best under a Billion' award, to the company. One of the country's leading business magazines "Business Today" in Feb 2001 ranked Asian Paints as the Ninth Best Employer in India. A survey carried out by 'Economic Times' in January 2000, ranked Asian Paints as the Fourth most admired company across industries in India. Among its various other achievements, Asian Paints is the only company in India to have won the prestigious Economic Times - Harvard Business School Association of India award on two separate occasions, once in the category of "Mini-Giants" and the other in "Private sector Giants"
The company has come a long way since its small beginnings in 1942. Four friends who were willing to take on one of the world's biggest, most famous paint companies operating in India at that time set it up as a partnership firm.
Over the course of 25 years Asian Paints became a corporate force and India's leading paints company. Driven by its strong consumer-focus and innovative spirit, the company has been the market leader in paints since 1968. Today it is double the size of any other paint company in India.
Asian Paints manufactures a wide range of paints for Decorative and Industrial use. Vertical integration has seen it diversify into Specialty products such as Ophthalmic Anhydride and Pentaerythritol. Not only does Asian Paints offer customers a wide range of Decorative and Industrial paints, it even Custom-creates products to meet specific requirements.
To keep abreast of world technology and to protect its competitive edge, Asian Paints has from time to time entered into technology alliances with world leaders in the paint industry. It has a 50:50 joint venture with PPG Industries, the world leader in Automotive coatings to meet the increasing demand of the Indian automotive industry. It has also drawn on the world's latest technology for its manufacturing capabilities in areas like powder coatings and high-tech resins - thus ensuring that its product quality lives up to exacting international standards, even in the most sophisticated product categories.
The company places strong emphasis on its own in-house R&D, creating new opportunities by effectively harnessing indigenous creativity. The Asian Paints Research & Development Center in Mumbai has acquired the reputation of being one of the finest in South Asia. With its team of over 125 qualified scientists, it has been responsible for pioneering a number of new products and creating new categories of paints. The R&D team has developed the entire decorative range of the company.
The company boasts of state-of-the-art manufacturing plants at Bhandup in the state of Maharashtra; at Ankleshwar in the state of Gujarat; at Patancheru in the state of Andhra Pradesh; and at Kasna in the state of Uttar Pradesh. All the company's plants have been certified for ISO 9001 - the quality accreditation. All the company's plants have also received the ISO 14001 certificate for Environment Management Standard. The Phthalic Anhydride plant has been certified for ISO 9002 and ISO 14001 whereas the Penta plant has been certified for ISO 14001. The Penta plant will shortly receive its ISO 9002 certification.
In June 2002, Asian Paints plant in Patancheru was conferred "The Golden Peacock" award by the World Environment Foundation and the award for 'Excellence in Environment Management' by the Government of Andhra Pradesh.
Asian Paints was one of the first companies in India to extensively computerize its operations. In addition to computerized manufacturing, computers are used widely in the areas of distribution, inventory control and sophisticated MIS to derive benefits of faster market analysis for better decision making. It is continuously evolving companies deriving its cutting edge from the use of innovative IT solutions. All the locations of the company are integrated through the ERP solution.
INTERNATIONAL OPERATIONS
Asian Paints operates in 23 countries across the world. It has manufacturing facilities in each of these countries and is the largest Paint Company in nine overseas markets. It is also India's largest exporter of paints, exporting to over 15 markets in the Asia-Pacific region, the Middle East and Africa. In 12 markets it operates through its subsidiary, Berger International Limited and in Egypt through SCIB Chemical SAE.
The countries that Asian Paints has presence in, are as follows:
Asia
Bangladesh, China, Malaysia, Myanmar, Nepal, Philippines, Singapore, Sri Lanka and Thailand.
Africa
Egypt & Mauritius
CaribbeanIslands
Barbados, Jamaica, Trinidad & Tobago
Europe
Malta
MiddleEast
Bahrain, Dubai and Oman
SouthPacific
Australia, Fiji, Solomon Islands, Tonga and Vanuatu
MARKETING MIX OF ASIAN PAINTS IND. LTD.
- PRODUCT :
DOOR & WINDOW PAINTS
Luxury Enamel Water Based
PU Wood Finish
Apcolite Premium Gloss Enamel
Melamyne
Apcolite Silkwood
Touchwood
3 Mangoes Enamel
Asian NC Lacquer
Gattu Synthetic Enamel
Apcolite Clear Synthetic Varnish
Utsav Enamel
EXTERIOR WALL PAINT
Elastomeric Hi- Performance Exterior Paint
Apex Weather Proof Exterior Emulsion
Ace Exterior Emulsion
Gattucem Cement Paint
FURNITURE PAINTS
Luxury Enamel Water Based
PU Wood Finish
Apcolite Premium Gloss Enamel
Melamyne
Apcolite Silkwood
Touchwood
3 Mangoes Enamel
Asian NC Lacquer
Gattu Synthetic Enamel
Apcolite Clear Synthetic Varnish
Utsav Enamel
INTERIOR WALL PAINTS
Royale Luxury Emulsion
Premium Emulsion
Tractor Emulsion Smooth Wall Finish
Super Decoplast Plastic Emulsion
Interior Wall Finish Lustre
Interior Wall Finish Matt
Tractor Acrylic Distemper Washable
Tractor Synthetic Distemper Washable
Utsav Acrylic Distemper
Utsav Synthetic Distemper
METAL PAINT
Apcolite Premium Gloss Enamel
3 Mangoes Enamel
Gattu Synthetic Enamel
Utsav Enamel
3 Mangoes Aluminum Paint
Apcolite Hammertone Finish
ANCILLIARIES
Primers and Sealers
Decoprime Wall Primer (Solvent Thinnable)
Decoprime Wall Primer (Water Thinnable)
Tractor Red Oxide Primer
Metal Primer Corrosion Resistant
Wood Primer
Apcolite Synthetic Primer Surfacer (Brushing Filler)
Exterior Sealer
Water Based Primer Sealer
Asian NC Sanding Sealer
FILLERS
Knifing Paste Filler
Apcolite Wood Filler
Asian NC Wood Filler
Acrylic Wall Putty
STAINERS
Apcolite Universal Stainers
Apcolite Wood Stain
3 Mangoes Aluminium Paint
Apcolite Hammertone Finish
- PRICE:
Asian Paints India Limited follows cost plus pricing approach. The company’s products are perceived to be quality products. So the company can command premium prices. Branded paints were perceived to be out of reach by the ordinary consumers. The company realized that the only option it has was to reduce margins and relentlessly chase volumes.
- PLACE:
Asian Paints India Ltd. has the widest distribution network in India in Paint sector. Asian Paints currently has the dealer network of around 14,500 dealers in India.
The distribution channel adopted by Asian Paints is as follows:
SUPPLIERS
PLANT &BONDAGE STORE ROOM
GODOWNS & WAREHOUSES
DEALERS
CONSUMERS
- PROMOTION:
As Asian Paint is known for its aggressive marketing tactics, promotion is considered to be the most important tool for promoting its products worldwide. Asian Paint is mainly using mass media such as -Broadcast media for advertising its products throughout the country. Promotion tools like consumer promotion and trade promotion are also used frequently by the company. Various consumer promotion tools includes various schemes for end consumers and also for the painters also.
Asian Paints is the highest spender in advertising in Paint industry in India today. Asian Paint is also involved in sponsoring events like “Asian Paints- Screen Awards” which is considered to be one of the prestigious awards in film industry today.
SWOT ANALYSIS OF ASIAN PAINTS
STRENGTHS:
- High degree of awareness about the company among the target consumers and strong brand equity of the Asian paints is its key strength.
- Presence in all type of paint segments
- Wide product-mix and product varieties.
- Wide and large distribution network is one of the main key strengths. Asian Paints has India’s largest dealer network in paint industry.
- Extensive Research and Development makes it possible for the company to introduce new brands and improved products overtime.
- Aggressive marketing efforts.
- Strong capital base to compete in the market.
WEAKNESSES:
- Industrial paints never treated as separate activity that require different organizational focus and due to this fact, competitors like Goodlass Nerolac has gained the advantage and became the market leader in this segment.
- Weak in technology development especially in the industrial-paint segment.
GOODLASS NEROLAC PAINTS LTD.
Nerolac Paints embarked its journey in 1920 as Gahagan Paints and Varnish Co. Ltd. at Lower Parel in Bombay. In 1930, three British companies merged to formulate Lead Industries Group Ltd. In 1933, Lead Industries Group Ltd. acquired entire share capital of Gahagan Paints in 1933 and thus, Goodlass Wall (India) Ltd. was born.
Subsequently, by 1946, Goodlass Wall (India) Ltd. was known as Goodlass Wall Pvt. Ltd. In 1957, Goodlass Wall Pvt. Ltd. grew popular as Goodlass Nerolac Paints (Pvt.) Ltd. Also, it went public in the same year and established itself as Goodlass Nerolac Paints Ltd.
In 1976, Goodlass Nerolac Paints Ltd. became a part of the Tata Forbes Group on acquisition of a part of the foreign shareholdings by Forbes Gokak.
In 1983, Goodlass Nerolac Paints Ltd. strengthened itself by entering in technical collaboration agreements with Kansai Paints Co. Ltd., Japan and Nihon Tokushu Toryo Co. Ltd., Japan.
In 1986, Goodlass Nerolac Paints Ltd. turned into a joint venture of the Tata Forbes and the Kansai Paints with the latter acquiring 36% of its share capital.
In 1999, Kansai Paints Company Ltd., Japan took over the entire stake of Tata Forbes group and thus GNP became a wholly owned subsidiary of Kansai Paints Company Ltd.During the journey of continuous performance excellence, they have entered in to many technical collaborations with other industry leaders such as E.I. Duly1 Pont de Nemours & Company Inc., USA and Oshima Kogya Company Ltd., Japan for its different products. Its incessant journey of successes will go on backed by its present human asset of over 2400 professionals and a sales turnover of Rs. 680 crores. Nerolac Paints is esteemed to be a subsidiary of Kansai Paint Company Limited, which is the largest paint manufacturing company in Japan and among the top ten coating companies of the world. Nerolac Paints is the second largest coating company in India with a market share of around 19%.They are the market leader in industrial / automotive segment supplying over 90% of the OEM requirements.
Nerolac Paints is the leader in powder coatings.
MARKETING MIX OF NEROLAC PAINTS LTD.
- PRODUCT
DECORATIVE PAINTS
- Interiors:
- Water-based Interiors:
Emulsions: Allscapes 24 carat emulsion, Nerolac Acrylic Emulsion, Goody Gold Emulsion
Distemper: Nerolac Acrylic Distemper, Nerolac Oil Bound Distemper
- Solvent-based Interiors:
Pearl Lustre fininsh
Flat Oil Paint
- Exteriors: 100% Acrylic, Plastic paint, Textured Paint, Cement Paint, Excel Everlast Paint
- Wood: Polyrethane Clear Wood Finish, Melamine Finish, Wood Stains
- Metal: Enamels: Nerolac Synthetic Enamel, Goody Synthetic Enamel
INDUSTRIAL PAINT
- Auto Paint
- Industrial Coatings
- High Performance Coatings
- Powder Coatings
- PRICING
Like all other players in the organized paint sector, Nerolac also follows cost plus pricing approach. Prices set by Nerolac Paint is very competitive in nature. The company revise its prices during peak season and also during slack seasons. As paint industry is raw material intensive, due to instability of oil prices, company has to frequently adjust its prices according to the prices of the petroleum products.
3. PLACE
Distribution network is one of the strengths of the company. The company currently has 10,760 dealers across the country. Nerolac Paint follows simple distribution channel, which is as follows:
SUPPLIERS
MANUFACTURING UNITS
GODOWNS & WAREHOUSES (BRANCH OFFICES)
WHOLESALERS & RETAILERS
CONSUMERS
4. PROMOTION
Innovative marketing is one of the key features of Goodlass Nerolac Paints. The company is very good at marketing of its products across the country. Promotion is considered to be one of the most important strategies of the company and company gives first priority to it. As paint market in India is very competitive and competition is mainly based on differentiation. Differentiation can be achieved through innovative advertising. The jingle used in advertisement of Nerolac Paints is become very much familiar and popular in every household in India. The company has recently introduced many consumer promotion schemes like “Har Din Diwali” which was a runaway success as it gave the competition a tough run for their money. Another first from Goodlass Nerolac Paints is the innovative effort in terms of its new corporate advertising campaigns in Tamil for the southern markets. In fact, India being a multitude of sub cultures, Nerolac has been among the earliest companies to acknowledge this and communicate with people in their language. Identifying and building its mandate around the needs, tastes and preferences of the customers in a specific area has been the strategy behind this campaign. Goodlass Nerolac Paints is one the first company that uses celebrity endorsement for promoting its products. Using a celebrity like Mohanlal merges with the core values of the Nerolac brand and it is an effective way to connect with the consumer.
STRENGTHS:
Nerolac is a company with very clear and well-defined vision and very strong values. Clarity of vision and strong foundation of cultural values have always kept this company in good stead.
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Innovation in Research & Development "Compete through Innovation"
80 years of experience provides a strong backbone to all kinds of decisions taken in this company. 80 years of learning in trade and market has given enough expertise to innovate and develop products and services according to the changing needs and desires of customers.
Nerolac is a company, which considers its people as one of its strengths.
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Strong distribution network
Nerolac’s strength of wide spread distribution network is its right arm in generating sales revenue from all parts of India. Nerolac has a wide distribution network of 10760 dealers across India.
BERGER PAINTS INDIA LID.
Complete presence in all segments.
Over 75 years ago, when Berger Paints began operating in Calcutta, paint making was a very different enterprise as indeed was India, a very different society. Since then the transformations in India’s economy and society have been nothing less than epochal and it is a matter of great pride in Berger Paints that in every sphere of this change, in industry and habitat, where paint has been called upon to play a role, Berger Paints has made its contribution and almost always as technology leader.
Today, as the Indian economy readies to compete globally, and the Indian people aspire to greater heights, Berger Paints continues to show the way in every segment of the paint industry - decorative, industrial, automotive and powder coatings - not only by offering the best indigenous and international technology, but by creating innovative institutions of customer support, the hallmark of modern business practice.
Innovative customer services.
At the centre of Berger Paints business operations is the very special relationship that has evolved between the Company and millions of customers across India. From the housewife to the industrial user customer satisfaction is Berger’s uppermost concern. With this objective in mind, Berger has created highly responsive customer services.
Colorbank facilitates instant customized shade mixing at over 1300 retail outlets across the country. Décor Service Color Consultancy helps people to paint their homes easily and attractively. Prolinks is Berger reaching out to architects, designers and builders to develop personalised requirements and choices. Protecton’s service is a specialised painting resource valued across Indian industry, a powerful ally in the battle against loss prevention.
Countrywide network. National manufacturing base.
Berger’s 4 factories and 81 stock points covering every state are the vital engines of the Company’s delivery to a national customer base traversing all segments and reaching every pocket of the market. All sales offices, depots and manufacturing facilities are linked by computer to create a seamless interface between all functions and departments. This enables continuous analysis of the market and quick response to customers.
Berger Paints’ production facilities are strategically located in the east, west and south of India. With an installed capacity of 52,000 MT between them, the factories at Howrah, (West Bengal), Vallabh Vidyanagar (Gujarat), Goa and Pondicherry deploy the best contemporary paint technology. The flagship unit at Howrah and the plant at Pondicherry are ISO-9001certified. Strict quality control and testing are built into every operation. All major resins for captive use are made in-house in state-of-the-art resin facilities and dedicated plants.
The Berger family - a committed team.
The Berger family consists of a total employee strength of 1410 and a managerial pool of 325. It is the fundamental conviction of each member that while growth and profitability are key indices of corporatie’s enterprise, technological ability and the pursuit of excellence are the prime forces.
A fine blend of experience, expertise, and qualifications, people at Berger are constantly upgrading their skills and knowledge, keeping abreast of the latest technological developments and managerial practices – a key reason for Berger Paints being the fastest growing paint company in the country.
Quality Assurance, R&D and Strategic Alliances - pivotal resources.
All Berger customers know that by staying with Berger, they get the benefits of the latest technology and impeccable quality. From raw material to final production, at each stage the product is put through a series of strict quality controls and tests. Sophisticated testing and analytical instruments, colour computers and accelerated weathering equipment are used for developing and standardising products to maintain optimum quality. The Howrah and Pondicherry factories, Berger Head Office and several depots are ISO-9001 certified by RWTUV of Germany.
One of the most advanced facilities of its kind in the country, Berger’s R&D Laboratory was the first to be recognised as a Centre for Basic & Applied Research in Paint & Resin Technology by the Department of Scientific & Industrial Research, Ministry of Science & Technology, Government of India. Excellently equipped and housed in exclusive premises at the Howrah manufacturing facility, the R&D Lab conducts research and undertakes testing in a variety of directions. Its activities comprise basic and applied chemical research, quality assurance, new product development and technical support to production, customers and suppliers. A well designed gamut with the objective of assuring users optimised technology, consistent high quality and access to new generation products. From Luxol Silk, India’s first silk emulsion to the first indigenous cathode electro-deposition primers for automobiles, Berger R&D has brought consumers a continuing stream of new technology.
The torch-bearers of this commitment are the R&D team are the 35 qualified and experienced chemists and engineers (several with PhDs), who, besides initiating new projects, also continuously widen their technological expertise by interning with Berger’s overseas collaborators.
Apart from its substantive investments in R&D and Quality Assurance, Berger brings to its customers the latest in international paint technology through its technology sharing arrangements with world leaders: Orica Australia Pty Ltd. for the Protection range of heavy-duty anti-corrosive industrial coatings, DuPont Performance Coatings., Germany and Nippon Paints, Japan for Automotive Coatings . To tap the fast emerging coil coatings market, Berger Paints has entered into a joint venture with Becker Industrifarg A.B., Sweden.
A complete paint company, active in all market and product segments, decorative and industrial, including powder coatings and automotive.
Turnover in 2000-2001
Rs.5622 million
(US$ 126 million approx.)
An ISO 9001-certified company with 4 manufacturing plants with a collective installed capacity of 52,000 MT, strategically located in the east, south and west of India.
Howrah : 11,200 MT
Vallabh Vidyanagar : 17,000 MT
Pondicherry : 18,000 MT
Goa: 6,000 MT
With 81 stock points across India - and all sales offices, depots and manufacturing facilities linked by computer.
Total employee strength of 1410, a managerial pool of 325 and an R&D team of 35 experienced chemists and engineers.
Customer services that cover every market segment :
Colorbank for instant computerised colour tinting.
Decor Service Paint & Colour Consultancy.
Prolinks for architects, builders & specifiers.
Protecton for the industrial loss prevention.
The Berger R&D Lab is a recognised Centre for Basic & Applied Research in Paint & Resin Technology.
Strategic Alliances with major world leaders :
Orica Australia Pty. Ltd for the Protecton range of heavy-duty anti-corrosive industrial coatings.
DuPont Performance Coatings, Germany and Nippon Paints, Japan for Automotive Coatings.
Becker Instrifarg AB, Sweden for Coil Coatings.
CHRONOLOGY
1923: An Englishman, one Mr. Hadfield starts a small colonial venture in Calcutta, manufacturing paints under the name Hadfield’s Paints. Over the next two decades it came to produce 150 tonnes of ready-mixed stiff paints, varnishes and distempers, non-sophisticated products, made with little mechanisation, in temporary structures on a two-acre plot in Howrah. 75% of raw materials were imported. The Head Office was in the factory, the Sales Office on Wellesley Street in Calcutta.
1947: British Paints, an international group, acquires Hadfield’s, to expand its business base. In its first year, British Paints (India) had 100 people on its rolls. Turnover was Rs. 2.5 million.
1952: The company had won a wider market, with Sales Divisions across the country. Sales rose to Rs. 20 million. The company declared its first dividend, and shifted its Head Office to 32 Chowringhee Road, where it was to remain for nearly four decades.
1969: Berger Paints of U.K. acquired British Paints.
1970: Berger Paints is itself acquired by Hoechst of Germany.
1976: Foreign holding diluted to below 40% by the sale of a portion of equity to the UB Group.
1983: British Paints (India) Limited became Berger Paints India Limited.
1991: UB Group's shareholding purchased by the U.K. Paints Group- the present majority shareholders. Subsequently, Mr Kuldip Singh Dhingra takes over as Chairman.
1999: Rajdoot Paints Limited amalgamated with Berger Paints India Limited
MARKETING MIX OF BERGER PAINTS LTD.
PRODUCT
EXTERIOR WALL PAINTS
Anti-fungal Exterior Coating (100% Acrylic Emulsion)
Anti-fungal Exterior Coating (Fine Textured Exterior Emulsion)
Exterior Emulsion
Waterproof Cement Paint
INTERIOR WALL PAINTS
Luxury Premium Emulsion
Super Acrylic Emulsion
Plastic Emulsion Paint
Acrylic Distemper
Dry Distemper
SYNTHETIC ENAMELS
Premium Enamel
Rich Matt Enamel
General Purpose Enamel
WOOD FINISHES
Melamine Finish
Polyurethane Clear Wood Finish
Wood Keeper Wood Protektor Clear
(anti-termite treatment)
SPECIAL APPLICATIONS
Aluminium Paint
(for the interiors of drinking water tanks)
Chlorinated Rubber Paint (for swimming pools, etc)
Acrylic Polyurethane Enamel (for chemical and saline coastal climates)
Bituminous Paint (for car chassis, railings, etc)
Bituminous Paint (for boilers)
Boiler Compound
Acid Alkali Heat Resisting Black
PRIMERS
(available in solvent and water thinnable versions)
Red Oxide
(available in Pink & White)
(for non-ferrous metal surfaces)
(for steel surfaces in highly corrosive conditions)
THINNERS
GP Thinner 800
Thinner 850
(for Ferrotol No.1 & Apexior No.3)
Thinner 844
(for Epilux 4/5 Enamel)
Wood Keeper Melamine Thinner
PUTTIES
Happy Walls
Acrylic Putty
Luxol Knifing Putty
2. PRICE:
Like most of the organized players, Berger Paints India Limited also follows cost plus pricing approach. The company’s products are high quality products. The prices set by the company is competitive in nature and according to the company officials, the company will change the prices of its products as competitors change their prices.
3. PLACE:
Berger Paint has India’s third largest distribution network in paint industry today. Berger Paint has 5500 dealers counrtywide. The company is concentrating on expanding its dealer network in India and gives it first priority before all goals.
Distribution Network of Berger Paint is as follows:
SUPPLIERS
MANUFACTURING PLANTS
GODOWNS & WAREHOUSES (BRANCH OFFICES)
DEALERS
CONSUMERS
4. PROMOTION:
Recently, Berger Paint is also involved in aggressive marketing of its product by using various promotion tools. Earlier, company believes that quality of its products speaks for itself. But due to aggressive marketing of other competitors and cutthroat competition in the market, the company realizes that it will also have to do aggressive marketing of its products. Berger Paint uses Broadcast media as a major promotion tool for promoting its products. The company had also changed its advertising agency to create good advertisements. The company, earlier uses various consumer promotion schemes for painters but now company is targeting directly end consumers rather than painters. Berger Paints also frequently uses various trade promotion tools for motivating dealers.
SWOT ANALYSIS OF BERGER PAINTS INDIA LIMITED
STRENGTHS:
-
Berger Paint has the strong manufacturing base in India with 4 manufacturing plants across the country located at Howrah : 11,200 MT, Vallabh Vidyanagar : 17,000 MT, Pondicherry : 18,000 MT, Goa: 6,000 MT which gives company economies of scale and also reduces the transportation cost across the country.
- Strong Product Mix
- Brand Popularity
- Strong Capital Base
- Established Dealer Network
- Quality Products
- Technological collaborations with world’s leading players.
WEAKNESSES:
- Weak in marketing of its products
- Although the company has strong presence in decorative segment, it fails to understand the needs of the consumers.
- The company has failed to target the end consumers correctly.
- Berger Paint does not have strong presence in rural market in India.
ICI INDIA LTD.
ICI India manufactures and markets paints, speciality chemicals, catalysts, nitrocellulose, rubber chemicals and adhesives & industrial starch. The company, through its joint ventures, also manufactures and markets industrial explosives & accessories and fragrances & flavours. ICI India also has a robust and diversified trading portfolio.
With an employee strength of over 2,500 (including its JVs), ICI India's manufacturing sites, business and sales offices and distribution network spans the length and breadth of the country.
The Beginning
The ICI India story began way back in 1911 when Brunner Mond & Co, one of the four companies that combined in 1926 to form ICI in UK, opened a trading office in Calcutta to sell alkalis and dyes. In 1923, it became Brunner Mond & Co (India) and in 1929 the name was changed to Imperial Chemical Industries (India) Ltd. This was followed by a period of sustained expansion, diversification and growth.
ICI's manufacturing activities commenced in 1939 after the setting up of Alkali and Chemical Corporation of India Ltd (AICI) in Rishra, West Bengal which went on to add rubber chemicals and paints to its portfolio.
Indian Explosives Ltd (IEL) was set up in Gomia in 1954, the result of an agreement with the government of India.
Chemical and Fibres of India Ltd (CAFI) came up in Thane in 1963, manufacturing polyester staple fibre.
When fertilizer manufacturing operations began in Panki near Kanpur in 1969 it was the largest private sector investment in fertilizers in India. On completion of the 3rd stream, the plant had a capacity to manufacture 675,000 tpa of urea fertilizer.
The ICI Research and Technology Centre was established in Thane in 1976 and a Crop Protection Chemicals and Pharmaceuticals unit came up in Ennore, near Chennai in 1978.
Consolidation and restructuring
In 1984 all these companies were merged in what was the one of corporate India's largest mergers.
Nalco Chemicals India Ltd was formed in 1987 with Nalco Chemical Company USA and ICI India Ltd, each holding 40% of the equity.
The first phase of ICI India's restructuring was completed in 1993 with the disinvestment of the fibres, fertilizers and seeds businesses while the agrochemicals business was transferred to a joint venture with Zeneca Limited of UK in 1995.
1996 saw the establishement of a joint venture, Initiating Explosives Systems India Ltd., with The Ensign-Bickford Company of the USA for the manufacture of Explosives Initiating Systems.
While the new paints plant and polyurethanes systems house were commissioned at Thane in 1997, another paints plant was commissioned at Mohali near Chandigarh and the Uniqema Innovation Centre opened at Thane the following year.
In 1998 itself, ICI exited from its joint ventures with Nalco Chemical Company, USA and Zeneca, UK, as part of its continuing restructuring exercise.
As part of the process the explosives business was transferred to Indian Explosives Limited, a joint venture between the Company and Orica Investments Pty Ltd., Australia in 1999.
Trading in National Starch Adhesives products commenced in 1999, followed by the commissioning of a plant at Thane in 2000.
In line with ICI India's strategic objective, the Polyurethanes business was sold to a wholly owned subsidiary of Huntsman Corporation of USA in 2001. The Motors and Industrial Paints business was transferred to a Joint Venture with Berger Paints India Limited also in 2001.
ICI India completed the acquisition of a majority stake in Quest International India Limited, a joint venture between ICI India, Quest International BV and Hindustan Lever Limited.
INTERNATIONAL OPERATION :
The ICI brand is synonymous with product innovation, superb marketing, quality people, commercial science and operational excellence.
One of the world's largest producers of speciality products and paints, the key to ICI's growth has been a deep understanding of consumer needs as well as the ability to meet these needs with creative ideas and innovative products.
ICI creates, develops and markets ingredients for foods and personal care, specialty polymers, electronic materials, fragrances and flavours, and has some of the world's top paint and decorative product brands. In fact, ICI's products touch the lives of almost everyone in the world everyday.
Today ICI has more than 200 manufacturing sites and offices in over 55 countries, a staff strength of around 45,000 personnel worldwide and a portfolio of over 50,000 products with total sales in 2000 of UK £6,415 million.
ICI is a global leader in:
- Paints
- Adhesives
- Food & Industrial Starches
- Synthetic Polymers
- Electronic & Engineering Materials
- Fragrances
- Flavours
- Food Ingredients
- Personal Care Ingredients
- Natural & Synthetic Lubricants
- Polymers
- Catalysts
The company has won respect for its performance in safety, health and environmental issues, and operational performance is markedly improved, with increased margins in most sectors during 2000.
MARKETING MIX OF ICI INDIA LTD.
1. PRODUCT
DECORATIVE PAINTS
DULUX:
Dulux Paints are available in following brands :
MAXILITE:
Maxilite Paints are available in Following Brands:
SUPERCOTE:
Spercote Interior Acrylic Emulsion
Supercotr Exterior Acrylic Emulsion
Supercote Texturised (Exterior Walls)
FARCO:
ANCILLARIES:
ICI Cement Primer, both water-based and solvent-based
Farco White Primer
ICI Wood Primer (White)
ICI Wood Primer (Pink)
ICI Red Oxide Metal Primer
AUTOMOTIVE PAINTS
TOPCOATS
ICI Autocolor Topcoats are available in the following Brands :
2K
Ducosuper acrylic
Duco
Permobel
Duco Regent
Necol
ANCILLARIES:
Primers
Putties
Thinners
Polishes
- PRICING
ICI Paints Ltd. Follows cost plus pricing approach. The company’s products are perceived to be quality products. As the company has international operations, its products are of international quality and standard. The prices of the company are also same as other competitors in the market.
- PLACE
ICI Paints has strong distribution network in India. It has the dealer network of around 4500 dealers in India and still expanding. ICI Paints has a strong market presence in South and North India.
Following is the distribution channel of ICI Paints Ltd.
SUPPLIERS
MANUFACTURING PLANT
GODOWNS & WAREHOUSES ACROSS COUNTRY
DEALERS
CONSUMERS
4. PROMOTION:
ICI Paints is also an aggressive marketer like other players in the market. Promotion is considered to be an important tool for making its products well-known amongst the consumers. The main tool of promotion which is used by the company is Advertising. The company had recently run a very good advertising campaign during Football World Cup,2003. The company is also using trade promotion and consumer promotion schemes to induce the customers to purchase its products. Print media is not considered as a major promotion tool by the company.
SWOT ANALYSIS OF ICI PAINTS
STRENGTHS:
- Strong Capital Base
- Good managerial capability
- International quality products
- Market driven innovation which gives it the competitive edge in the marketplace.
- Use of Information Technology such as successful implementation of Ramco Marshall ERP in Uniqema and Nitrocellulose business & office operations streamlined using LotusNotes backbone.
WEAKNESSES
- The company has strong presence in Industrial paint segment but does not have strong foothold in decorative segment.
- Low brand awareness among consumers
- Fails to utilize its capital base in expanding its dealer and consumer base although the company is the leader in paints worldwide.
RESEARCH METHODOLOGY
The first and most important stage in research is formulating the research problem. As a clearly defined problem is half solved, we as a student of management have decided to study the both retailers preference regarding paint companies and also consumer’s preference regarding paint companies with special focus on decorative paints. The major reason behind conducting this survey is to know the preference, perception, and attitude of retailers and consumers regarding decorative paints. The marketing research process involves a number of interrelated activities, which overlap, and do not rigidly follow a particular sequence. A researcher is often required to think a few steps ahead. For example, if a researcher has formulated a research problem and is considering the sampling plan, he is supposed to consider the amount and category of data to be collected as also the detailed tabulation. This is because the various steps are interwoven into each other and each step will have some influence over the other steps. The steps involved in the marketing research process are as follows.
Formulating the Research Problem
The first step is formulating a research problem. It is the most important stage in applied research, as poorly defined problem will not yield useful results. Poorly defined problems cause confusion and do not allow the researcher to develop a good research design. It is difficult to lay down any concise prescription for recognizing problems. We as a student of management have decided to carry out two surveys:
1. “ RETAILER STUDY REGARDING PAINT COMPANIES WITH SPECIAL FOCUS ON DECORATIVE PAINTS.”
2. “CONSUMER STUDY REGARDING PAINT COMPANIES WITH SPECIAL FOCUS ON DECORATIVE PAINTS ”. The main reason behind conducting these surveys is to know the preference, perception and attitude of the consumers & retailers during the purchase of paint, so we have conducted this survey to find out this problem and to suggest ways to over come these problems.
Research Design
Research Design can be grouped into three category i.e. exploratory research, descriptive research and causal research.
Both the research carried out in this project was ‘exploratory’ as well as ‘descriptive’ in nature. The study was aimed at exploring & describing the existing phenomenon. For that matter we consulted various magazines, newspapers, books, company visits, and reference materials. Using the primary as well as secondary data to study and find out what could be the possible explanations does it.
Sources of Data
The next and most important step is to determine the sources of data to be used. The marketing researcher has to decide whether he has to collect primary data or depend exclusively on secondary data. Sometimes, the research study is based on both secondary and primary data. The research work done by us is based on the primary as well as the secondary data we have taken the due care while using the secondary data in my study that the data is recent and is available from the reliable source. The purpose behind selecting primary data i.e. by market research as the source of our project work is that the data required for our study are not readily available. Such data can be obtained only by expert interviewing.
Data collection forms
The primary data can be collected through two modes. The two methods available are observational method, and survey method. The observational method suggests that data be collected through one’s observation. Where as in marketing research, field surveys are commonly used to collect primary data from the respondents and so we have opted for the survey method. Survey can be personal, telephonic, and by mail. Of these we have opted the method of personal survey to collect the data as we feel that it is the most suitable and convenient way to study such problem as the one we have identified. This method is also advantageous to get the correct data on time.
Collection of primary data
As we have already mentioned that we have used the survey method to collect the primary data. A survey can be done in many ways such as personal interview, questionnaire method, focus group interview, experimental method, etc., we have decided to conduct our research process by using questionnaire method along with personal interview method.
In questionnaire method, the questions may be open-ended questions, dichotomous questions and multiple-choice questions. We have used all this three type of questions in our questionnaire. We have taken proper care while preparing the questionnaire such as we have tried to avoid the difficult words which might be not understood by everyone. We have not used any lengthy questions and it is possible that lengthy questions confuse the respondents.
Proper ordering of the questions is one of the most important aspects. If the questions are improperly ordered it might be possible that the respondent give the incorrect answers. So we have taken this matter into consideration while preparing the questionnaire.
Sampling Design and Sampling Size
The survey can be done either for the population as a whole or for a selected sample. Due to constraints of time we were not able to select the population survey. Hence we have decided to undertake the sample survey.
Nature of Sampling:
- For retailer’s survey, the universe was defined as all the paint shops in Ahmedabad.
- For consumer’s survey, the universe was defined as all the households and office in Ahmedabad.
Sampling Unit:
For consumers, whether they are, men or women, working or non-working, educated or non-educated, businessmen or professionals.
Sampling Size:
- For retailer’s survey, the sample size was 50 retailers across Ahmedabad City.
- For consumer’s survey, the sample size was 150 respondents across Ahmedabad City.
Sampling Method:
For both surveys, a convenience sampling method was adopted. The Ahmedabad City was divided into mainly 5 zones. For retailer’s survey, 10 retailers were randomly selected from each zone. For consumer survey, 10 localities are selected randomly from each zone and from each locality, 3 respondents are randomly selected.
Organizing and Carrying out the Fieldwork
Having prepared the questionnaire and selected the sample design and size of the sample, the next step was to organize and conduct the field survey. This was the most difficult task for the research because the respondents are generally hesitant in giving information and non-respondents have to be probed to change them into respondents. Again, maximum of the time of the survey is to be allocated to this stage, and then too the survey sometimes seems unsatisfactory.
The use of personal interview was made in the survey. This was done by meeting the respondents personally, who are purchasers. They were given the questionnaire, which was prepared earlier, and they gave the answers orally which was filled by me in other copy of the questionnaire myself. The respondents were made aware about every question in the regional languages if they preferred either Hindi or Gujarati. Also the respondents were asked to give their views on the questionnaire and on other matters related to the survey if they wished. These have been noted down behind the questionnaire. The personal interview of the respondents made it easier to probe the respondents and also to know their exact feelings and attitude. The quality of the information received in the personal interview method is better and more reliable. Moreover, the informal talks with the respondents gave many facts that they had resisted to reveal in the beginning. But this method has the greatest limitation that the busy executives were contacted and it took more time waiting for their free time and getting the questionnaire filled during their busy schedule of the office work.
Analyzing the Collected Data and reporting the Findings
Once the field survey was over and the questionnaires have been received, the next task was aggregate the data in a meaningful manner. In consumer survey, a number of tables were prepared and all the open-ended questions were enlisted on Microsoft Excel-sheets. In retailer’s survey, the analysis was done through frequency tables. Many different types of responses were received and an attempt was made to cover all the aspects and give due justice to all the responses.
The task of analyzing the information begins with the data processing. The data processing is done in the following steps:
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Editing: Examination of the errors and omissions in the collected data was done and corrections were made in the same. The answers which had been partially written or the answers had been given in the form abbreviations were converted into full forms. Where the answers had been inconsistent with each other, change in one most justifiable was made. Where two answers were marked, the selection of more appropriate answers was done. As most of the questionnaires were filled up by the oral responses of people by myself, the editing was not much required. During editing the use of red colored pen was made so that the editing can be precisely detected. All the questionnaires were examined in terms of completeness and accuracy of data.
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Coding: Coding is a procedure of classifying the answers to the questions into meaningful categories. Symbols or numbers may be used to indicate categories. The coding became necessary, as there were a number of questions of dichotomous and multiple-choice types. The coding facilitated easy tabulation and interpretation.
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Tabulation: The data collected through questionnaire was tabulated for each aspect covered in the questionnaire in order and under clear major headings so as the interpretation of the data could be done easily. Percentage, Pie Chart and Bar diagram was used for analysis and interpretation of data to convey a visual interpretation of results and findings. The use of tally method was made to form answer categories in the dichotomous and multiple-choice questions.
- After the data processing along with the calculation of the percentages of the tables prepared were completed, the analysis and interpretation of the data received was done. The analysis of all the questionnaires received along with the interpretations is discussed in the subsequent chapter.
The last but not the least, the most important phase of the research study was the preparation of the report. The report may be presented in oral communication through spoken words but such a practice is rarely seen on account of lack of visualization and absence of record maintaining facility. Most of the reports are presented in the form of written communication. The report for this study was prepared in detail by covering every aspect of the study and formal structure maintaining standards of presentation of the marketing research reports. The purpose of the objectivity and clarity of the report were given due care. We have tried to maintain the essence of the report by presenting the view and the ideas of every respondent in the subsequent chapters.
ANALYSIS OF RETAILER’S QUESTIONNAIR
Q.1 FROM WHERE DO YOU PURCHASE PAINT FOR YOUR SHOP?
Based on the responses received, we have found out that out of 50 retailers, all of them are directly purchasing from the companies. The reason given for that is that most of the companies has their warehouses in Ahmedabad so the retailers can directly purchase from the company itself rather than from the distributors.
Q 2. WHICH OF THE FOLLOWING BRANDS DO YOU STOCK?
According to the responses received from the retailers, out of total 50 retailers that we have surveyed, there are hardly very few retailers who carry only one company. Most of the retailers carry more than one brand. Out of 50 retailers, 32 retailers carry Asian Paints, 20 retailers carry Goodlass Nerolac, 17 retailers carry Berger Paints, 14 retailers carry ICI Paints, 8 retailers carry J & N, only 7 retailers carry Shalimar Paints and 28 retailers carry brands of local companies.
Q.3 YOU STOCK A PARTICULAR BRAND BECAUSE…
As per the responses received, there are mainly three motivational factors behind carrying a particular brand such as consumer demand, good margins, and both of them. As per our analysis, 78% of the total retailers carry a particular brand because of both consumer demand and good margines. Only 15% of the total retailers carry particular brands only for good margins and only 7% of the total retailers carry a particular brand due to consumer demand.
Q.4 WHICH OF THE FOLLOWING PRODUCT DO YOU USUALLY STOCK?
Based on our analysis, almost all retailers carry most of the brands of the companies. Out of total 50 retailers, all of them are carrying oil paint, distemper, interior emulsions and primers of the companies which they carries. But the picture is somewhat different in two products such as wood finish and exterior finishes. Only 90% and 75% of the retailers carry products like exterior emulsions and wood finishes respectively due to low sales of these products.
Q. 5, WHICH TYPE OF PRODUCTS ARE PREFERRED MORE BY CUSTOMERS?
As per responses given by retailers, 85% of the total retailers said that the customers prefer branded products more to unbranded products. Only 15% of the total retailers said that unbranded products are preferred more by customers.
Q.6 WHICH OF THE FOLLOWING ATTRIBUTES INFLUENCE THE CONSUMER’S PREFERENCE FOR A PARTICULAR BRAND?
As per 28 of the retailers, factors like quality, price and brand are more influential on consumer’s preference for a particular product. 16 of the retailers said that schemes, availability of product, variety of shades and word of mouth are somewhat influential on the consumer’s preference for a particular brand. But only 6 of the retailers believe that advertisement influence the consumer’s preference for a particular brand.
Q.7 RANK THE FOLLOWING BRANDS ACCORDING TO THEIR VOLUME OF SALES?
Out of total 50 retailers, 20 replied that sales of Asian Paint is highest, 14 replied that sales of Goodlass Nerolac Paint is highest, 10 and 6 retailers replied that sales of Berger Paint and ICI Paint is highest respectively.
Q.8 RANK THE FOLLWING PRODUCTS ACCORDING TO THEIR VOLUME OF SALES?
Highest selling product chart
Average Selling Product Chart
Lowest Selling Product Chart
Based on the responses received from the retailers, out of total 50 retailers 86% of them have replied that oil paint is the highest selling product and 14% of them said that oil paint is average selling product. One of the most interesting fact is that no single retailer have said that oil paint is lowest selling product.
Out of total 50 retailers, 36% of them have replied that Distemper, Interior emulsions and primer are the highest selling products and 60% of them have said that they are average selling products but only 4% of the retailers said that these products are lowest selling products.
According to the responses received, only 4% of the respondents replied that exterior emulsions and wood finishes are the highest selling products, and 34% of them have said that these products are average selling products but many of them that is 62% of them said that it is lowest selling products.
Q. 9 WHICH COMPANIES’ PROMOTIONAL SCHEMES ARE PREFERRED MORE BY CUSTOMERS?
As per our analysis, out of total 50 retailers- 35 retailers said that Asian Paints’ promotion schemes are preferred more by customers. Only 13,12 & 10 of the retailers said that promotion schemes of Nerolac Paints, Berger Paints and ICI Paints are preferred more by customers respectively.
Q 10. IN WHICH MONTHS THE SALE OF PAINT IS HIGHER?
As per our analysis, we found out that peak months for selling paint are October, November and December for all the retailers. But only 6 and 4 retailers said that months such as Jan-Mar. and Jul-Sep. is a peak period for selling paint. But none of the retailers said that April, May and June is the peak period for selling paint.
Q 11. HOW LONG CREDIT PERIOD NORMALLY ALLOWED TO YOU BY FOLLOWING COMPANIES?(IN DAYS)
From the total responses, 33.33% respondents said that local companies allow more than 60 days credit to them for the payment of purchases. Nearly 16.67% respondents had answered for 10-20 days, 21-30 days and 31-45 days. In case of Branded Companies the scene is different, from the retailers surveyed 41.10% of the retailers said that they get no credit period for payment and they have to go for cash purchases. Only 23.53% of the retailers said that they get credit for 21-30 days.
Q 12. WHICH OF THE FOLLOWING FACILITIES ARE PROVIDED BY THE COMPANIES?
From the responses received from the retailers, all of them said that transportation facilities are provided by all the companies whether they are branded or unbranded. But in case of a marketing assistance, only 4 out of total 50 retailers said that they are getting the marketing assistance from companies. Out of 4 retailers who agreed that companies provides marketing assistance, 3 of them said that Asian Paint is providing marketing assistance and only one said that Berger Paint is providing marketing assistance. But any branded or unbranded companies do not provide personnel training.
Q 13. ARE YOU SATISFIED WITH COMPANIES’ PRODUCTS, WHICH YOU STOCK?
Out of total 50 retailers, as many as 48 retailers are satisfied with the companies which they carry, only 2 retailers are not satisfied with the companies which they stock.
Q 14. WHAT IS THE RESPONSE OF COMPANIES TOWARDS COMPLAINTS?
As per the responses given to us, 28 of the total retailers said that there is a very good response of the companies towards complaints. Only 17 said that there is a good response of the companies towards complaints, 4 said that there is bad response from the companies towards complaints and only 1 said that the response of the companies is very bad towards complaints.
Q 15. DO YOU SELL YOUR PRODUCTS ON CREDIT?
According to the responses received, most of the retailers that is 34 out of 50 sell their products on credit. Only 16 are selling products on cash basis. The credit period allowed by the retailers vary from retailer to retailer and also from customer to customer. The credit period so allowed ranges from 15 days to 180 days also depending upon the relation with the customer.
Q 16. IS THERE ANY COMPULSION REGARDING MEETING THE QUOTAS BY ANY COMPANY ?
As per our analysis, out of total 50 retailers 38 of them replied that there are compulsion regarding meeting the quotas by various branded companies but only 12 said that there is no compulsion regarding meeting quotas. According to retailers, most of the branded companies sometimes forces the products of the company to fulfil the targets given to them.
ANALYSIS OF CONSUMER’S QUESTIONNAIR
Q 1. DO YOU USE PAINT IN YOUR HOUSE/ OFFICE? IF YES, WHERE?
From the responses received from the consumers, out of total 150 consumers, all of them are using paint in their house or offfices. As per the analysis, we find out that 82% of the consumers uses the paint on both walls and also on doors/windows/metals, 12% consumers uses paint only on doors/windows and metals. Only 6% of them are using paint on walls only.
Q 2. DON’T YOU THINK THAT A SHADE CAN AFFECT YOUR MOOD?
According to the responses received, 144 respondents out of total 150 consumers, believe that a particular shade can affect their mood. Only 6% of them said that a shade don’t affect their mood. As per the analysis, this is the main reason behind demanding more variety of shades by the consumers.
3. WHO MAKES THE DECISION FOR BUYING PAINT IN YOUR FAMILY?
According to our analysis, we find that in most of the households, family members together ( in 83 houses out of total 150 ) makes the decision about buying paint. According to 35 respondents, selective person like children and wife makes the decision about buying paint. But 32 respondents replied that an elder member of the family makes the buying decision regarding paint.
4. WHICH KIND OF PRODUCT DO YOU GENERALLY PREFER?
On the basis of our analysis, we find out that most of the people ( out of total 150 –135 respondents,90%) are using branded products. But very small portion of respondents (around 10%) are using unbranded products.
Q.5 WHICH OF THE FOLLOWING ATTRIBUTES INFLUENCE YOUR PREFERENCE FOR A PARTICULAR PRODUCT?
(1- more influential, 2-somewhat influential, 3- less influential)
85 respondents out of total 150 respondents replied that factors like Brand name, Quality of product and Advertisement influence the most their preference for a particular brand. Somewhat influential factors includes Price of the Product, Variety of Shades and Schemes offered by companies, followed by less influential factors such as Availability of product and Word-of-mouth with 13.33% .
Q 6. HOW MANY COMPANIES’ PRODUCTS ARE YOU AWARE OF AND YOU GENERALLY PREFER?
Brand awareness level of Berger Paints and Shalimar Paint is highest with 85 and 82 respondents respectively, followed by Nerolac paints and Asian Paints with 77 and 62 respondents respectively. These respondents are only aware of the brands but not prefer these companies products.
Brand preference is highest of Asian Paints with 77 respondents prefer and also aware of brand. It is followed by Nerolac Paints and Berger paints with 67 and 36 respondents respectively.
Q 7. WHEN DO YOU GENERALLY REPAINT YOUR HOUSE?
About on which occasion consumers repaint their house, most of the respondents that is 36 replied that they repaint their house on marriage followed by festivals with 33 responses. 81 respondents does not reply in occasion category. About time, 55 respondents replied that they repaint their house after 3-4 years followed by 5 and above years category with 41 responses.
Q 8. WHICH KIND OF PRODUCT DO YOU PREFER FOR YOUR HOUSE/ OFFICE?
From the responses collected, oil paint and distemper is preferred by most of the customers with around 54.66% and 52%. Exterior emulsion is less preferred product with only 6.67% of respondents prefer it.
Q 9. HOW DO YOU COME TO KNOW ABOUT PARTICULAR “BRAND”?
Most of the consumers came to know about particular brand through T.V. Advertisements only. It is followed by both Advertisements and Publicity with 34 responses. Very less number of consumers that is only 9 respondents came to know about brand through friends and relatives.
Q.10 DO YOU REMEMBER ANY ADVERTISEMENT OF A PARTICULAR COMPANY?
Majority of the consumers that is around 71.33% of the respondents remembers the advertisement of a particular company. Only 28.67% of respondents do not remember any advertisement of any company. Among 107 respondents who remembers the advertisement of a company, 45 respondents remember advertisement of Asian Paints, 36 respondents remember advertisement of Nerolac Paints, followed by Berger Paints , ICI Paints and Shalimar Paints with 17, 4, 3 responses respectively.
Q.11 WHICH COMPANY’S ADVERTISEMENT DO YOU FIND MOST INTERESTING AND WHICH ASPECTS OF THAT ADVERTISEMENT DO YOU LIKE THE MOST?
Respondents who remember advertisements of Asian Paints, aspects like concept, color-combination, jingle and background music are more liked by respondents. Among Nerolac Paints advertisement, respondents like jingle, concept, model and color-combination. In Berger Paints’ advertisements, respondents like concept, color-combination and background music. In ICI Paints’ advertisements, respondents like color-combination and concept of the ad. In Shalimar Paints’ ads, respondents like only concept of the ad.
Q12. DOES THE ADVERTISEMENT OF THE PRODUCT HELPS IN DECISION MAKING ABOUT WHICH PRODUCT TO BUY?
Around 72.67% of the total respondents believe that advertisement of different companies helps them in making decision about which product to buy. Only 27.33% that is 41 respondents replied that advertisement of product does not help in decision making about which product to buy.
Q.13 HOW DO YOU FIND THE PRICE OF YOUR PREFERRED COMPANY’S PRODUCTS?
Majority of the respondents that is 66% of respondents finds the price of their preferred companies’ product fair. But 46 respondents finds the price very high and only 3.33% of respondents finds the price of the product low.
Q 14. ARE YOU MOTIVATED TO PURCHASE A PRODUCT BY VARIOUS PROMOTION SCHEMES OFFERED BY THAT COMPANY?
Around 51.33% of total respondents replied that they are motivated to purchase a product by various promotion schemes offered by companies. But also good number of respondents that is around 49% of respondents said that they are not motivated to purchase a product by promotion schemes.
Q15. ARE THE VARIETY OF SHADES OF THE PREFERRED COMPANY’S PRODUCTS SUFFICIENT FOR YOU?
Around 84% of respondents replied that the variety of shades of their preferred companies are sufficient for them. Only 17% of respondents thinks that variety of shades of their preferred companies are not sufficient for them.
Q16. HAVE YOU AVAILED ANY COLOUR-RELATED SERVICES PROVIDED BY VARIOUS COMPANIES?
Most of the respondents (149 customers out of total 150 customers, 99.3%) have not availed any colour-related service provided by various companies. Only 1 respondent has availed colour-related service from one company.
Q17. IF A PARTICULAR BRAND IS NOT AVAILABLE, WHAT WILL YOU DO ?
Most of the respondents that is 97 respondents out of total 150 respondents are ready to search for the product elsewhere if product is not available nearby. 47 respondents are ready to wait for the product to arrive, 33 respondent are willing to switch to other brands if product is not available nearby.
Q 18. DO YOU USE THE SAME BRAND EACH TIME YOU REPAINT YOUR HOUSE ?
About using the same brand each time, 63.33% of respondents replied that they are using the same brand but remaining 37.67% of respondents are not using the same brand each time they repaint their house.
Q19. IF ONE UNBRANDED PRODUCT IS MADE AVAILABLE AT CHEAPER PRICE, DO YOU BUY THAT PRODUCT?
Around 84.67% of respondents are not willing to buy an un-branded product if it made available at cheaper price but 15.33% of respondents are willing to change the brand if un-branded product is made available at cheaper price.
Q 20. WHENEVER YOU GO FOR PAINT PURCHASING, HAVE YOU FOUND THE PRODUCT IN THE RIGHT LOT SIZE ?
141 respondents out of total 150 respondents find the product in the right lot size whenever they went for purchasing paint. Only 9 respondents have not find the product in the right lot size.
Q21. OVERALL, HOW SATISFIED WOULD YOU SAY, YOU ARE WITH YOUR PREFERRED COMPANY ?
About satisfaction level, 46% of people are highly satisfied with their preferred companies’ products, followed by 36.67% of respondents who are somewhat satisfied with the products. Only 3.33% and 1.33% of respondents are somewhat dis-satisfied and highly dis-satisfied with their preferred companies’ products respectively. Around 10.67% of respondents are indifferent about their satisfaction level.
PERSONAL DETAILS
EDUCATION :
Among total 150 respondents that we have surveyed, 88 respondents are graduate persons, 19 are post graduates, 8 respondents having the degree of Ph.D. or Doctorate. 35 of the respondents are undergraduates.
MONTHLY INCOME:
The mode of the income of the respondents is Rs. 10,531.25.
Out of total 150 respondents, 8% are having the income upto Rs.5000, 27.33% of respondents are having the income level of Rs.6000-10000, 25.33% having the income of Rs. 11000-15000, only 11.33% of respondents have the income level of Rs.25000 and above.
OCCUPATION
Among the total 150 respondents that we have surveyed, 43.33% of them are housewives, 30% are students, and 4% are professionals.
FINDINGS
RETAILERS’ SURVEY
- All the companies have their branch offices and warehouses in Ahmedabd city, so all the retailers in the city are purchasing directly from the company itself rather than going for intermediaries. Due to this fact, all the retailers in the city gets the goods quickly and in the right quantity.
- Most of the retailers are carrying well known brands like Asian Paints, Nerolac Paints and Berger Paints. Another most interesting finding is that large number of retailers are also stocking unbranded products.
- Most of the retailers are stocking a particular brand mainly due to two reasons namely consumer demand and good margins.
- All the retailers are carrying all the brands of the companies which they stock in decorative paints.
- From the responses received, we find out that consumers are demanding branded products over unbranded products.
- According to retailers, quality, brand and price are the more influential factors which affects the consumer’ preference for a particular product.
- Retailers rank Asian Paint highest among all the companies in volume of sales.
- Oil paint, Distemper and Interior emulsion are the highest selling products among all the products offered by different companies in decorative paints.
- Based on the responses received, Asian paints’ promotion schemes are preferred more by most of the consumes.
- During the months of festivals and marriages that is during Oct-Dec., the sale of paint is higher for retailers. The main reason behind that is that the paint business is a seasonal business.
- Most of the retailers that we have surveyed agreed that they buy on cash basis from most of the branded companies. Only very few retailer gets credit period of around 15-20 days from the companies. But local unbranded companies provide heavy credit to retailer ranges from 1 month to 3 months.
- All the companies whether branded or unbranded are providing transportation facilities to retailers. But very few companies provide marketing assistance to very few retailers. None of the companies provide personal training to retailers.
- Majority of the retailers are satisfied with the companies that they stock. Very few retailer dissatisfied with the companies which they stock. One most important finding is that the retailer who are dissatisfied with the companies are carrying mostly the unbranded products.
- The nature of the paint business is such that when consumer paint or repaint his/her house, they will makes the full payment only after the work is fully completed. The painting work can take long time to complete. Because of this fact, the retailers have to give credit to the consumers. But the credit period varies depending on the relationship with the consumer.
- There are compulsion regarding meeting quotas by the branded companies. But there is no strict penalties regarding not meeting the quotas.
FINDINGS OF THE CONSUMERS’ SURVEY
- All the consumers are using paint in their house or office on walls or doors/windows/metals or on both. The consumers who are using paint either on walls or on doors/windows & furnitures/metals are living in rented houses.
- Almost all the consumers agreed that a shade affects their mood.
- In more than half of the households, family as a whole makes the decision for buying paint. In very few households any elder person of the family or selective persons like wife or children makes the decision for buying paint.
- It is obvious that branded products are preferred more by customers.
- Most of the consumers ranked brand, quality and advertising as more influential factors which affects the preference for a particular product. Availability and word-of-mouth are ranked as less influential factors.
- Brand awareness of the companies like, Berger Paints, Shalimar Paints and Nerolac Paints is ranked highest by the consumers. But when it comes to brand preference, the picture is somewhat different. Asian Paints, Nerolac Paints and Berger Paints is ranked highest by consumers respectively.
- Based on the responses received, we find out that most of the consumers repaint their houses on either festivals or marriages and generally after 3- years.
- The kind of products preferred by customers is also in line with the sales of the retailers. The highly preferred products are oil paint, distemper and interior emulsions while the least preferred products are exterior emulsion and cement paint.
- Most of the consumers came to know about particular brand through advertising and publicity.
- Almost all the consumers remember the advertising of either one or more companies. The advertisements of companies such as Asian Paints, Nerolac Paints and Berger Paints are remembered highly by consumers among all other companies.
- According to consumers, Asian Paints’ advertisements are most interesting and they like the concept, color-combination and background music most in the advertisements.
- Advertisement does play an important role in persuading consumers. That is the reason why most of the consumers agreed that advertisements of the products does helps in making decision regarding which product to buy.
- Prices charged by the most of the branded companies are relatively fair and consumers also agreed to this fact. Only small proportion of respondents believe that prices charged by branded companies are high.
- Promotion schemes are intended to promote short-term sales of the product. Consumers are also motivated to purchase the product by various promotion schemes offered by customers.
- Varieties of shades offered by companies are sufficient for consumers to make a choice. But preference of consumers also changes overtime and due to that companies also have to continuously innovate new shades.
- Almost none of the respondents have availed any color-related services provided by various companies. The main reason behind this fact is that most of the consumers are not aware of such services.
- Repeat purchased can be increased only if consumers are brand loyal. In paint market, most of the consumers are brand loyal. They use the same brand each time they repaint their houses. They are also not ready to purchase unbranded product although it is made available at cheaper price.
- The lot size offered by most of the companies is right for all the consumers. Most of the respondents find the product in the right lot size whenever they went for purchasing paint for their houses or offices.
- Satisfaction of consumers is very important for companies to induce repeat sales. Satisfaction level of consumers in the paint market is higher and most of the consumers satisfied with their preferred companies.
- The mode of the income of the consumers is Rs.10,531.25 and
LIMITATIONS OF THE PROJECT
Nobody is perfect in this world. There is always a little room for improvement. Any project assignment , even if it is done with best intentions and inputs may be constrained through certain assumptions , hunch or resource limitations and even limitations of the survey.
The following are the aspects which need to be considered while analyzing the suggestions of the project :
- Time Constraint probably :
The most glaring of any constraints is the short time frame within which a certain objective has to be achieved. We conducted two surveys namely retailers survey and consumers survey. We have to complete these two surveys in a limited time frame.
2. Limited Region Coverage:
Since the area covered in the project is only Ahmedabad City, it is likely that the conclusions drawn from both surveys do not apply as a whole.
3. Limited Respondents:
Since the Samples analyzed are only 50 in case of Retailers survey & 150 in case of Consumers survey, hence we cannot draw the inferences as correctly as possible.
4. Length of the Questionnaire:
A number of respondents found the questionnaire too lengthy for their liking to hold their interest long enough to satisfactorily complete the interview proved to be a challenging task.
SUGGESTIONS AND RECOMMENDATIONS
Suggestions made from findings of the Retailers’ survey.
- There should be price standardization of the product of the companies. There are retailers in the city that sells the product below the prices set for retailers by the companies. This will lead to price-cutting among retailers and they have to sell products at a loss.
- The shade cards provided by the companies are insufficient. Dealers suggested that shade cards of the products should be provided in sufficient numbers and also quickly.
- All the companies provide replacement of their damaged/defected products. But sometimes it takes long time to replace the product. This long time should be reduced.
- Most of the branded companies when announce dealer schemes, it is mainly for the big dealers. The schemes are such that small dealers can not fulfill the targets set by the companies and due to that small dealers can not get the discounts provided by the companies. The companies should try to design separate schemes for small retailers.
- Marketing assistance and personnel training should be provided by major paint companies so that it can be made easy for the retailers to convince the consumers about product and schemes.
Suggestions made from the findings of the Consumers’ survey:
- Promotion schemes should be targeted to the end consumers rather than painters.
- Celebrity endorsement should be used in the advertisements of the Asian Paints and Berger Paints to increase effectiveness of the advertisements.
- Training should be given to painters about how to effectively use the paint.
- Prices of the products should be reduced and more discounts should be offered during ‘Diwali Time’
- Most of the consumers are not aware of the various color-related services provided by major companies. The companies should try to increase awareness of the services through advertisements and events.
- Various companies should carry out more and more events like demonstrations of the products and sponsoring of social events which in turn creates the image of socially responsible company.
- Most of the consumers suggest that many a times paint used for walls is not effective against dumpness. Special products should be developed to protect paint against the dumpness of the walls.
APPENDIX-I
QUESTIONNAIR FOR RETAILERS
Dear Sir / Madam,
We are the students of MBA II, Sem-IV of Shri Chimanbhai Patel Institute of Management & Research (CPIMR), conducting this survey on retailer’s perception about different paint companies in Ahmedabad. Information collected is solely for the academic purpose and will be kept confidential.
Note: Tick wherever applicable.
==========================================================
1. From where do you purchase paint for your shop?
Wholesaler/ Distributor: Direct from Company:
2. Which of the following brands do you stock?
Asian Paints: Nerolac Paints:
Berger Paints: ICI Dulux :
Jenson & Nicholson: Shalimar Paints:
Others (specify):_________________
3. You stock a particular brand because….
Consumer demands it :_______ Good Margins:_______
Both:________
4. Which of the following products do you usually stock?
Oil paints: _____ Distemper: _____
InteriorEmulsion: _____ Exterior Emulsion: _____
Wood finish: _____ Primers: _____
5. Which type of product are preferred more by customers?
Branded _____
Un-branded _____
6. Which of the following attributes influences the consumer’s preference for a particular product ?( Rank - 1-more influential, 2- somewhat influential, 3- less influential )
Price _____ Availability _____
Quality _____ Advertisement _____
Brand _____ Variety of shades _____
Schemes _____ Word of mouth _____
7. Rank the following brands according to their volume of sales?
(1-highest,9-lowest)
Rank
Asian paints ______
Nerolac paints ______
Berger paints ______
ICI Dulux paints ______
J & N Paints ______
Shalimar Paints ______
Other(specify) :__________ ______
8. Rank the following product according to their volume of sales?
(1-highest,2-Average, 3-lowest)
Oil paints ______
Distemper ______
Interior Emulsion ______
Exterior Emulsion ______
Wood finish ______
Primers ______
9. Which companies’ promotional schemes are preferred more by customers?
Asian Paints: Nerolac Paints:
Berger Paints: ICI Dulux :
Jenson & Nicholson: Shalimar Paints:
Others (specify):_________________
10. In which months the sale of paint is higher?
Jan-Mar _____ Apr-Jun _____
Jul-Sep _____ Oct-Dec _____
11. How long credit period do you normally get from following companies?( in days)
Asian paints __________
Nerolac paints __________
Berger paints __________
ICI Dulux: __________
Jenson & Nicholson: __________
Shalimar paints: __________
Others (specify):_________ __________
12. Which of the following facilities provided by the companies?
Company
Transportation : __________ _____________
Marketing Assistance: __________ _____________
Personnel Training: __________ _____________
13. Are you satisfied with companies’ product which you stock?
Yes: _____ No: _____
If no, what are the complaints along with company name,
1 _______________________________________
2 _______________________________________
3 _______________________________________
14. What is the response of companies towards complaints?
Very good: ______ Good: ______
Very Bad: ______ Bad: ______
15. Do you sell your product on credit?
Yes: _____ No: _____
If yes, what is the credit period so allowed? __________
16. Is there any compulsion regarding meeting the quotas by any company ?
Yes: _____ No: _____
If yes, company: _________ __________ ___________ ____________
17. Your suggestions to any company (if any)
1 ________ _______________________________________________________
2 ________ _______________________________________________________
3 ________ _______________________________________________________
=============================================================
PERSONAL DETAILS
Name of the shop:
_____________________________________
Address: _____________________________________
Telephone No: _____________
Thank You.
APPENDIX-II
QUESTIONNAIR FOR CONSUMERS
Dear Sir / Madam,
We are the students of Shri Chimanbhai Patel Institute of Management & Research (SCPIMR); MBA II Semester IV, conducting this survey on consumer’s perception about paint in Ahmedabad. Information collected is solely used for the academic purpose and will be kept confidential.
Note: Tick wherever applicable.
_____________________________________________________________________
1. Do you use paint in your house/ office?
Yes: No:
If yes, where of the following?
Wall: _____
Door/windows/metals:______
Both:______
2. Don’t you think that a shade can affect your mood?
Yes: No:
3. Who makes the decision for buying paint in your family?
Elder Person: Whole Family:
Any Selective Person:_______________
4. Which kind of product do you generally prefer? Why?
Branded:
Un-branded:
5. Which of the following attributes influence your preference for a particular product?
( Rank - 1-more influential, 2- somewhat influential, 3- less influential )
Price _____ Availability _____
Quality _____ Advertisement _____
Brand _____ Variety of shades _____
Schemes _____ Word of mouth _____
6. How many companies’ products are you aware of and you generally prefer?
Aware Prefer
Asian Paints:
Nerolac Paints:
Berger Paints:
ICI Paints:
Jenson & Nicholson Paints:
Shalimar Paints:
Others (specify): ____________________________________________
7. When do you generally repaint your house?
Occasion: ___________________
Year(s): ( 1-2 )______ ( 3-4 )______ ( 5 & more )______
8. Which kind of product do you prefer for your house/ office ?
Oil Paint: Distemper:
Interior Emulsion: Exterior Emulsion:
Wood finish: Primers:
Cement Paint:
9. How do you come to know about particular “Brand” ?
Advertisement: Publicity:
Painter: Friends & Relatives:
10. Do you remember any advertisement of a particular company ?
Yes: No:
Which:_________________ Media:_______________
Where:_________________ When:_______________
11. Which company’s advertisement do you find most interesting and which aspects of
that advertisement do you like the most ?
Company: ___________________
Model Used: Concept:
Jingle: Background Music:
Color combination:
12. Does the advertisement of the product helps in decision making about which product to buy?
Yes: No:
13. How do you find the price of your preferred company’s products ?
High Fair Low
14. Are you motivated to purchase a product by various promotion schemes offered by that company?
Yes: No:
15. Are the variety of shades of the preferred company’s products sufficient for you ?
Yes: No:
16. Have you availed any color-related services provided by various companies ?
Yes: No:
If yes, company:_______________ Service:______________________
17. If a particular brand is not available, what will you do ?
Yes No
Wait for the product:
Search for the product:
Switch to other brand:
18. Do you use the same brand each time you repaint your house ?
Yes: No:
19. If one unbranded product is made available at cheaper price, do you buy that product ?
Yes: No:
20. Whenever you go for paint purchasing, have you found the product in the right lot size ?
Yes: No:
If no, which company:__________________
21. Overall, how satisfied would you say, you are with your preferred company ?
Highly Satisfied: Somewhat Satisfied:
Highly Dissatisfied: Somewhat Dis- satisfied:
Indifferent:
21. Your suggestions to the company ( if any )
Company Suggestion
1.____________ __________________________________________________
2.____________ __________________________________________________
3.____________ __________________________________________________
PERSONAL DETAILS:
NAME : ____________________________________________
ADDRESS: ____________________________________________
___________________________________________
OCCUPATION: ____________________________________________
EDUCATION: _______________________________
MONTHLY INCOME : (HOUSEHOLD INCOME)
Below 5000 5000-10,000
11000-15000 16000-20,000
21000-25000 Above 25000
Thank You.
BIBLIOGRAPHY
BOOKS:
-
Cooper, ”Business Research Methodology”, 6TH Edition, Tata Mc Graw Hill
- Luck and Rubin, “Marketing Research”, Seventh Edition, Prentice Hall India, 1999
- Philip Kotler., “Marketing Management”, Tenth Edition, Prentice Hall India, 2001
- “Product Management in India” by Majmudar
MAGAZINES:
- Paint India – Issue Aug. 2002.
- Paint India – Issue Jun. 2002.
- Paint India – Golden Jubilee Special Issue, 2001.
- Paint India – Issue Aug. 2001.
- Paint India – Issue Oct.1999.
- Paint India – Issue Dec.1999.
- Saket – Issue Aug. 2002.
WEBSITES: