Welcome Marketing Plan submitted by Francis Pinto17 Shilpa Kulkarni31 Pradnya Morje36 Amol Rane43 Tushar Wadivkar57 Aditya Divadkar58

Asian Paints (I) Ltd.  India’s largest manufacturer of paints  Leader in the paint industry for over three decades, controlling 45% of the Indian paint market.  It out performed industry growth during the year 2002  New product launches and excellent growth in exterior finishes have been the key driver of growth.

Global Reach Asian paint is present in 24 countries across the globe as : Asian PaintsIndiaBangladeshOman Sri LankaNepalMauritius Apco coatingsAustraliaFijiSoloman Island VanuatuTonga BergerBaharinBarbadosChina HongkongJamicaMalaysia MaltaUAETrinidad & Tobago ThailandSingapore SCIB ChemicalsEgypt

Asian Paints Industrial Coating Limited ( APICL ) A wholly owned subsidiary of the company was incorporated on 1st October, 2001 and acquired the powder coatings business of Hawcoplast Chemicals Ltd. The acquisition has been funded from acquits of Rs. 80 million and a loan of Rs. 60 million financed by Asian Paints (I) Ltd. The subsidiary commenced operations with effect from 1st November It sells its products under the Hawcoplast & Apcoshield brand names.

Industrial Paint Market ( ) (Value in crores)

Auto Industrial Coatings (02-03) MS among Top 6 Competitors Non Auto Industrial Coatings (02-03) MS among Top 6 Competitors

Paint Market Low market penetration Worldwide technology not available Huge scope of market development Absence of product hierarchy based on benefits – largely based on price Network driven market, not consumer driven

Powder Coatings

Industrial Coatings (02-03) % Business Share

Global reach of APICL International Market for powder coating : The portfolio of products offered by Apco coatings covers a large spectrum of Architectural, wood, auto, marine and industrial coatings. It has brands that are truly global and sell under the following brands : Apcolite DecotradeDecoraTouch wood Timber care Auto careRoyal Asian Paints has 27 manufacturing units all over the world, which includes Australia, Fiji, Soloman Island, Tonga, Vanuatu, South Asia, Middle EastAfrica, Oman, Mauritius, Sri Lanka Bangladesh Nepal

Powder Coating - Market Size (MT) (Est.) (Proj.) Volume in MT 4.5 % 7.08 % 8.5 %

Powder Coating % Market Share

Powder Coating - APICL Performance (Volume in MT) M.S % M.S % M.S % M.S. 14 %

Powder Coatings Distribution Channel (Top 6) (Volume in MT )

Powder Coatings Industry Consumption (Volume in MT)

Powder Coatings Acquisition of Hawco Plast Acquired Hawcoplast business in  Impact  APICL become no.2 player in the industry (APIL-344 MT + HAWCO-1142 MT)  Acquired a large and loyal dealer base.  Acquired a manufacturing plant at Sarigam with installed capacity of 1500 MT / year.  Acquired a proven sales & marketing team which can handle both brand.

STRENGTHS WEAKENESS  Market Share of 13.6 % with established brand name  Plant in North, West India which are the major market  Wider distribution channel  Capacity increase due to acquisition  Global reach : 24 countries across the globe  Technology tip-up with Oxyplast / Belgum OPPORTUNITIES THREATS  27.6 % market is captured by nichers, which can be acquired APICL Vs. the competitors  Immediate competitor Berger has MS of 12.4 % which is just 1.2 % less than Asian Paint  Poor reach to direct user

Quarter Sale Aprl- June ’03 July- Sept. ’03 Oct.- Dec. ’03 Jan.- March ’04 Total yearly Due to Household industry usage 15%40%20%25%64% Industry usage 15%20%30%35%36% Total Target ( Apportioned ) Projected Sale of Powder Coating (Volume in MT )

Marketing Strategies Product New version of product »offer more choices »expand market New generation products and eco-friendly alternatives like water based enamels and elastomeric paints.

Marketing Strategies contd…. Price Streamlining costs through operational and technological efficiencies. Reduction in import duty form 30% to 25% Application of Supply Chain Management & reduction in the working capital.

Marketing Strategies contd…. Place Markets across the globe are OmanMauritusNepalAustralia Soloman IslandVanatuFijiTonga & Egypt Scope for new markets BahrainChinaJamaicaMalta TrinidadSingaporeBarbadosHongkong MalaysiaMyanmarUAEThailand Sri Lanka&China Last year no new market were developed from India New markets have been penetrated by APICL from its overseas units. New markets can be developed in : Sri Lanka Bangladesh

Marketing Strategies contd…. Place ….contd… Sri Lanka Acquired controlling stake in 2nd largest paint company in Sri Lanka, Delmege Forsyth & Co. (Paints) Ltd. The company has 12% market share and excellent brand name in Sri Lanka. Well developed distribution channel Bangladesh Entered into joint venture agreement with Confidence Cement Ltd. Will manufacture and market a vide variety of products Manufacturing facility is coming up at Gazipur Also efforts can be made for market penetration for full capacity utilization in middle east, Oman, Baharain, Kuwait, Qutar, UAE & Libya.

Marketing Strategies contd…. Promotion What is taking Asian Paints closer to customers : Helpline through telephone Access to website Home solutions These initiatives were taken by Asian Paints to attract customer to paint. Focus is to become a strong player in Industrial coating business

Marketing Strategies contd…. Promotion …. contd… Promotion will include Public Relations Target large number of direct users Special awards / bonus to marketing team. Direct communication to manage image Some sort of a help line, delegated exclusively for industrial selling can be generated 30% reduction in advertising cost and use it for promotion

Monitoring & Controlling The responsibility to achieve the target will be of the Marketing Manager Marketing team along with sales team will review the strategies GM – Marketing will be responsible for deciding and implementing strategies for promotion mix If in a particular quarter, target is not reached, VP – Marketing should be consulted

Industrial Selling Business Module 1 To 1Zero MarketingDefects Develop customerLeast Cost / Base / loyaltyother benefits Focus

Thank you