Paint Industry…. By: Mansi Bagalkotkar. Ankur Shrivastav.
Paint Industry
Product Industrial 30%
Sector Decorative 70%
Coil Coatings
Enamels
Powder Coatings
Distempers
Automotive Coil Coatings Paints
CoilEmulsions Coatings
Marine Paints
Exterior Coating
High Performance
Wood Finishes
Organized 70%
Unorganized 30%
INDUSTRY PLAYERS DECORATIVE SEGMENT Others 19% Shalimar 6%
Asian Paints 37%
Jenson and Nicholson 6% ICI 8% Berger paints 11%
Kansai Nerolac 13%
MARKET FEASIBILITY The Indian paint industry is a Rs 49 billion
sector.
GDP growth is higher, the paint sector will
benefit and vice versa
Highly price sensitive & cyclical Demand arises in Festive Season. Change in demand patterns over the years.
•Berger
has a series of tie-ups for various purposes.
•Joint venture with Becker Industrifag. •Berger allied with the Japanese major Nippon Paints to boost its OEM turnover •Agreement with Orica Australia Pvt. Ltd. to produce new generation protective coatings. •Tie-ups with Valspar Corp and Teodur BV for manufacturing heavy duty and powder coatings.
MARKET RESEARCH & TREND ANALYSIS Involvement of the consumer. Shift from Commodity to FMCG – brand building. Communication or lack of it can make or break
your brand. Changed brand identity, online services, Inc R&D spend. Newest Trends – New textures, use of bold shades, Disney e.g. Kansai Nerolac site: personality V/s rational
INCREASING 5% MARKET SHARE Strengthen communications Multi v/s sole dealer Training to dealers Increase awareness (networking) amongst
interior decorators, architects, consumers, contractors Feedback mechanisms
Future Scope Repositioning of existing Brands in Rural Market. Broadening of Distribution Network. Adding more choices for shades and effects. Enhancing Better Quality Demand will be generated through the new
constructions coming in housing and industries.
SWOT ANALYSIS Strengths Imp of brand image as barriers to new entrants Good technology backup.
Weakness Raw materials – scarcity Requirement of high working capital Real estate in a depression phase.
Opportunities Fiscal incentives provided by Government. Commodity to fmcg Rise in disposable income
Threats Foreign companies entering as sole players