Asian Paints: Royale

Luxury Emulsion
4 P‟s Of Marketing

By:
Manish Shivani
ITM Business School
Mumbai

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Introduction
• Vision:
"Asian Paints aims to become one of the top five Decorative coatings
companies world-wide by leveraging its expertise in the higher
growth emerging markets. Simultaneously, the company intends to
build long term value in the Industrial coatings business through
alliances with established global partners."
• Mission
Asian Paints aims to become the largest decorative paint company
in the world and to rank among the top 5 paint manufacturing
companies of the world.

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Introduction
• Asian Paints was established on 1Feb 1942, with name “Asian Oil &
Paint Company”, with great determination of Mr. C. H. Choksey.
• Asian Paints is India's largest paint company and the third largest
paint company in Asia today
• It‟s a 3000 crore Indian MNC and is amongst top 10 decorative paint
companies in India.
• Asian Paints operates in 22 countries and has 30 paint
manufacturing facilities in the world-servicing consumers in over 65
countries.
• Forbes Global magazine USA ranked Asian Paints among the 200
Best Small Companies in the World for 2002 and 2003 and
presented the 'Best under a Billion' award, to the company.
• Asian Paints has a 50:50 joint venture with Pittsburgh Paints and
Glass Industries (PPG) of USA, the world leader in automotive
coatings, to meet the increasing demand of the Indian automotive
industry - www.asianppg.com.

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Asian Paints

PRODUCT MIX

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 PRODUCT

Asian
Paints

Decorative Industrial

New Wall Powder Protective

Fresh Coat Automotive
Finishes Coatings Coatings

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 PRODUCT MIX
ASIAN PAINTS

METAL FINISHES WOOD

INTERIOR EXTERIOR FINISHES
ANCILLARIES 8
9 6 6
4

1.DECOPRIME SYNTHETIC 1.ROYALE LUXURY 1. APEX EXTERIOR 1.APCOILITE 1.PU WOOD

CEMENT PRIMER-ST EMULSION EMULSION PREMIUM GLOSS FINISH
2.DECOPROME SYNTHETIC 2. PREMIUM 2.APEX TEXTURED ENAMEL 2.AP MELAMYNE
CEMENT PRIMER – WT EMULSION EXTREIOR 2.APCOLITE 3.TOUCHWOOD
3.TRACTOR OIL PRIMER 3.TRACTOR
EMULSION PREMIUM SATIN 4.APCOLITE
4.METAL PRIMER EMULSION
3.APEX ULTIMA ENAMEL CLEAR
CORRSION RESISTANT 4.INTERIOR WALL
5.AP ACRYLIC WALL PUTTY FINISH MATT EXTERIOR 3.GATTU ENAMEL SYNTHETIC
6.APCOLITE KNIFING 5.INTERIOR WALL EMULSION 4.UTSAV ENAMEL
PASTE FILLER FINISH LUSTURE 4.ACE EXTERIOR 5.APCOLITE
7.ASIAN NC CLEAR WOOD 6.TRACTOR ACRYLIC EMULSION HAMMERTONE
FILLER DISTEMPOR 5. EXTERIOR WALL 6.3 MANGOES
8.APCOLITE UNIVERSAL 7.AP TRACTOR PRIMER ALUMINIUM
STAINER SYNTHETIC 6. EXTERIOR PAINT
9.APCOLITE WOOD STAINS DISTEMPOR SEALER
8.UTSAV ACRYLIC
DISTEMPOR
 Market Share: Paint Industry

OVERALL MARKET SHARE

18 Asian Paints
33
7 Kansai Nerolac
6 Berger Paints
ICI Paints
9
18 Jenson & Nicholsan
9
Shalimar Paints
Other

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Market Share: Decorative Segments

DECORATIVE SEGMENT

Others 19% Asian Paints

Shalimar 6% 38%

Jenson and
Nicholson
5%
Kansai
ICI 9%
Nerolac 14%
Berger paints
9%
Source: Asit C Mehta, Company Report, 15 April 2008

16 July 2009 Manish Shivani – ITM Business School, Mumbai

Asian Paints: Royale Luxury
Emulsion
4 P‟s of Marketing

PRODUCT

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 PRODUCT

• Asian Paints Royale Luxury Sheen Emulsion is a water-based, 100%

acrylic, interior wall finish.
• Royale provides a silky sheen finish which lends a soft regal glow to the interiors
of the room.
• Royale has excellent flow giving a near brush mark free finish.
• Royale also offers high stain resistance - walls painted with Royale are easy to
clean and maintain that new look for years.
• Royale also offers good anti-fungal properties.
Attribute Asian Paints Royale
Coverage 325-350 Sq. ft/Lt

Drying time 15-20 min

Gloss Soft Sheen
Shelf Life 3 Yrs
Stability of Thinned Paint Use within 24 Hrs.
 PRODUCT

Market Share

6%
8%
9% 42% Asian Paints Royale
ICI Velvet Touch
Nerolac Impressions
35% Berger Luxol Silk
Others

Source: Business Standard, August 2007

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 PRODUCT

• Line Stretching:
– Up Market Stretch: Royale Play (Rs. 505/lt.)

– Down Market Stretch: Royale Shyne (Rs. 305/lt.)

Enhanced Durability Smoother Finish Anti-Fungal Shield Enhanced

Stain Resistance
Product Level

PRODUCT
PRODUCT LEVEL
• Basic Product: The basic need for a paint is to protect the wall from
cracks, leaks, make it look clean, make an proper ambience etc.

• Expected Product: Decorative or Industrial paints, further more like multi choice
colors, oil based, mat finish, distemper, primer, wall paint, floor paint, metal
paint, wood finish, powder coating, protective coating, fresh coats etc. This level
fulfills customer‟s requirement and their needs.

• Augmented Product: Paint should be of acrylic type, washable, sunlight

protected, leaks proof, long lasting, chemical base so it dries fast, polished etc.

• Potential Product: Here the customer future requirement is judged and tries to
give any such kind of product so we can say a kind of „mass customization‟
product. Some example can be like getting paints which are pearl kind
shining, reflective, mirror view color etc.
16 July 2009 Manish Shivani – ITM Business School, Mumbai
Asian Paints, 4 P‟s of Marketing

PRICE

Royale Luxury Emulsion

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Pricing

• Royale luxury Emulsion is placed as

a luxury emulsion.
• Pricing strategy adopted is value
based pricing.
• Price range 315-345 for 1Lts.

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Pricing
Attribute Comparison
Attribute Asian Paints ICI Velvet Touch Nerolac 24 carat
Royale Impression

Coverage 320-350 sq. ft/Lt 300-325 sq. ft/Lt 220-240 sq. ft/Lt

Drying Time 15-20 min 20-25 min 30 min

Shelf Life 3 Yrs. 2 Yrs. 1 Yrs.

Value Addition BEST GOOD AVERAGE

16 July 2009 Manish Shivani – ITM Business School, Mumbai

Asian Paints, 4 P‟s of Marketing

PLACE

Royale Luxury Emulsion

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 PLACE

• Extensive distribution network of:

– 4 Manufacturing units
– 6 Regional distribution centers
– 55 Depots
– 15,000 Dealers(Urban + Rural)
– 90,000 Sub Dealers
• Exclusive 3000 Asian Paints Store.
• 4500 Color World Stores.
16 July 2009 Manish Shivani – ITM Business School, Mumbai
 PLACE

AP bypassed the bulk buyer segment and

went to individual consumers of paints.
AP went slow on urban areas and
concentrated on semi-urban and rural areas.
AP went retail.
AP went in for an open-door dealer policy.
AP voted for nationwide marketing /
distribution.

16 July 2009 Manish Shivani – ITM Business School, Mumbai

Asian Paints, 4 P‟s of Marketing

Promotion

Royale Luxury Emulsion

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Promotion Mix

• Advertising
• Public Relations
• Sales Promotion
• External Communication
• Events and Exhibitions

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Promotion Mix
Advertising: Electronic Ad’s
• The promotional strategy adopted by Asian is quite unique.
The company is using high profile brand ambassadors like
Akshay Khanna, Saif Ali khan & Soha Ali Khan” to promote
Royale Luxury Emulsion.

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Promotion Mix
Advertising: Electronic Ad’s

• Some other Ad includes:

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Promotion Mix
Advertising: Print Ad’s

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Promotion Mix
Public Relation
• The Public Relations of the Asian Paints is divided mainly in
two parts. They are:

• Marketing Public Relations

– Dealers Meeting
– Painters Meeting
– New Product Launch

• Corporate Public Relations

– Communication
– Investors
– CSR
– Media 16 July 2009 Manish Shivani – ITM Business School, Mumbai
 Promotion Mix
Sales Promotion
• Dealers Meeting (quarterly).
• Painters Meeting (annually).
• Incentives to Painters(Token
Exchange, Cash in the Bucket).
• Privilege Club Members.
• Distributing merchandise to painters
such as T-shirts, caps etc.
16 July 2009 Manish Shivani – ITM Business School, Mumbai
 Promotion Mix
External Communication

Home Solutions

Colour World

Online Consultancy

Helpline

Estimate Calculator

Paint Selector

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Promotion Mix
External Communication
 Promotion Mix
EVENTS

• Asian Paints Sharad Shamman

• Sponsored Star Screen Awards from
year 2000-2004.

16 July 2009 Manish Shivani – ITM Business School, Mumbai

 Refrences

• Primary Data:
– Mr. Manpreet Kohli (TSI), A.P.,
• Secondary Data:
– www.asianpaints.com
– www.moneycontrol.com
– www.businessstandard.com
– www.financialexpress.com
– Asit C. Mehta Company report
16 July 2009 Manish Shivani – ITM Business School, Mumbai
 Thank You

16 July 2009 Manish Shivani – ITM Business School, Mumbai