ASIAN PAINTS (BANGLADESH) LIMITED

Asian paints (Bangladesh) Limited is one of the leading paint companies in Bangladesh. It has a joint venture with Confidence Cement Ltd, a leading & reputed producer of cement in Bangladesh to produce top class range of paints for the consumers of Bangladesh. The company is engaged in manufacturing & marketing a wide variety of products to satisfy all the painting needs of consumers. Asian Paints (Bangladesh) Ltd (APBL) started its journey in Bangladesh in the year 2002. Beginning with selling imported paint, it quickly ramped up through its own plant in Gazipur, Dhaka with a capacity to manufacture over 12000 kl of paints annually. Today APBL has come a long way from that humble beginning, becoming the 2nd largest paint company in Bangladesh. With a presence across all 64 districts, APBL are present in every major and minor population areas in the country. As this moment APBL service its customers through a network of 5 strategically located depots in Dhaka, Chittagong, Sylhet, Khulna & Comilla.

VISION & MISSION:

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:
To provide paints as per market demand, ensuring desired level and quality of customer (dealer) service, continued availability of the right product mix of right quality at the right time.

MARKET SEGMENTATION
Market segmentation is the categorizing the market according to some effective features. The segmentation variables that APBL used are:

Demographic variables:
Occupation: APBL has segmented their market on the basis of occupations such as
Architecture, Interior design, Real estate companies and individuals who have the ability and willingness to paint their own houses.

Geographic variables:
Country regions:
APBL has divided its market into 5 regions in Bangladesh. These regions are Dhaka Chittagong Sylhet Khulna Comilla

From these 5 regions they operate their distribution channel that covers all their sellings in Bangladesh.

Psychographic variables:
Social class:
In Bangladesh as there are mainly 3 social classes (upper class, middle class and working class), APBL focuses on only upper class and some extent of middle class based on their life style. But in most case, upper class is APBLs main segment as they lead luxurious lives.

Behavioral variables:
Attitudes toward the product:

In Bangladesh the attitude towards the products of Asian paints is positive as the brand image of APBL is good in Bangladesh because of their 2nd position in the paint market of Bangladesh. Since it is a multinational company so people consider its products are of world class quality.

TARGET MARKET OF APBL

APBL has divided their market into three categories: For decoration For industry and For marine But APBL emphasizes mostly on the decorative paints segment. The main target markets of APBL are: Airports (Dhaka, Chittagong, Jessore, Coxs Bazar, Sylhet) Hotels (Sonargaon, Sheraton, Radission, Peninsula, Seagul) Real Estate Company (Concord, ANZ, Asset, Rangs Properties, Amin Mohammed) Hospitals (Square, United, Apollo, Labaid) Caffe (Khazana Mithai, Coffee World, Diamond World) Fashion Gallery Beauty Parlors Aarong Charukala Bibhag, Dhaka University Architects and Interior Designers Supar Stores (Agora)

MARKET POSITIONING OF APBL

The main competitors of APBL are: Elite Paints Berger Paints Moonstar Paints Shalimar Paints Berger Paints is the 1st market leader & APBL is the 2nd market leader in Bangladesh. Quality (High)

BERGER

APBL

MOONSTAR

SHALIMAR

Quality (Low)

Price (Low)

Price (High)

MARKETING MIX: PRODUCT

Anything that can be offered to market for attention, acquisition or consumption that might satisfy a want or need. The production of APBL is mainly order basis. Their field officers collect orders from companies. APBL produces paints according to their choices, colors and specifications from some few years back. They have some traditional products. In spite of the invention of new products they cannot eliminate those old products considering the buying capacity of the common people. Modern paints are so costly that common people cannot afford .From time to time they modify their existing products. APBL Company operates in three broad segments of the paint industry. 1. Decorative Paint 2. Industrial 3. Marine

DECORATIVE PAINT:
Decorative paints are only used for decoration. It is used in different field such as household, office, restaurant etc. It is the main product which APBL produces at a large scale.

Variety: Interior Exterior Features:

Gives an attractive smooth finish that is resistance to blooming.
Excellent coverage, good application and flow properties.

High gloss and color retention properties. Good hiding power provides tough and hard film.

 Washable.

INDUSTRIAL PAINT:
APBL produces industrial paint at a very small range. Features: Protective paints for equipment and building.

MARINE:
As we have two sea ports and a good number of river ports APBL has introduced Marine paints. But the production of this sector is least. Features: Suitable to withstand rigorous marine weather both at sea and also at river and river port. There are some other varieties:-

APBL Special Paints:

Variety: Road Marking Paint

Swimming Pool Paint Rust Removing Solution

APBL Paint Thinner: Variety: General Purpose Thinner

Cleaning Solvent Washing Thinner

Brand Value for Product of APBL:

1. APBL ensures safe and high quality products for customers by maintaining world-class

standards.

2. APBL has trained sales team that is committed to offer superior services to their valued

customers and business partners across the country. 3. The focus of the sales team is to ensure improved visibility and availability of APBL paint.
4. APBL Company ensures that its distributors, wholesalers and retailers also deliver valuable

services to customers.

Packaging: APBL has four production plants and each has four distinct packaging pattern so
that the work of the go down in charge becomes easier in recognizing the containers. The packaging is as follows: Enamels Distemper 18; 3.64; .910; .455 liters 18; 3.64; .910 liters

PRICE
Emulsions 18; 3.64; .910 liters Asian Paints (BD) Ltd. Follows cost based pricing method. They calculate the total manufacturing cost and adds 20% GP(Gross Profit) to get the price of the product.but this is not thumb rule in pricing APBLs product. Competitor based pricing policy is also as followed as well because of the increased competition in the paint market. APBL has a price list describing product name and retail price. With respect to APBL there are two price lists: Dealers Price List Maximum Price List

Dealers Price List:

It is applicable to dealers price list Discount of 3% Additional trade discount of 3% Cash discount of 5 %

Maximum Price List:

MPL=consists of dealers price list - trade discount 10% - additional trade discount 2% - cash discount 3 % Cash discount: Those dealers who have regular payment are benefitted largely by cash discount and those dealers whose payment is not regular getting no cash discount. Credit terms: The Company operates at a very low trade overdue outstanding rate. Thus it can be said that the company has very strict rules regarding the credit given to the dealers.

PLACEMENT OR DISTRIBUTION SYSTEM OF ASIAN PAINTS (BD) LTD

One of the major elements of marketing mix is placement or distribution. It would be worthless if the product or service dont reach to the targeted segment of consumers. Distribution channel plays a vital role in conveying the product or service to the end users. An effective placement of product can sell more in the market and provide satisfaction to the user.

Like in any other manufacturing organization, Distribution Channel Decision is amongst the most critical decision taken by ASIAN PAINTS (BD) LTD management. Asian Paints, has a huge distribution channel for paints all over the country as it sales reaches more than 150 cr a year. The company has 5 sales depots, one in each division of Bangladesh. Where the products goes after they are manufactured in Gazipur factory. Today Asian Paints is the 2nd largest paint manufacturer company in Bangladesh. With a presence across all 64 districts, a 600 plus supportive dealer network covering every major and minor population areas in the country. As of this moment APBL service its customers through a network of 5 strategically located depots in Dhaka, Chittagong, Sylhet, Khulna & Comilla.

The distribution channel of Asian Paints covers:

The distribution channel

Factor y
District sales deports

Dealer s

End users

Overall Asian Paints has a good distribution or placement system. According to the opinion taken from all its dealers, 60% are satisfied by the distribution. Most dealers want availability of product according to demand. So if Asian Paints (BD) LTD can ensure the availability of their product according to the dealers demand, they can establish a major improved distribution system resulting into a higher percentage of satisfied dealers.

Promotion
Product promotion is very much important for a company to introduce the product to the targeted consumers. Now a day most of the companies promoted their products by using various promotional tools to let the consumers know about their product. Asian Paints (BD) LTD has a variety of product. As Asian Paints is a leading multinational company and it has a very good brand image, Asian Paints (BD) LTD is making the consumers aware about their product through product campaigning in different media, promotional tools. Right now the company is using Television ads as well as billboards, product leaflets, brochures to reach their product to the consumers. Moreover, the company is also doing various trade promotional tools to promote their dealers. Not only that, Asian Paints (BD) LTD takes part in different fairs, maintaining sponsorship, arranging different creativity competitions to increase their public relation and publicity.

Advertising:
Any paid form of non-personal presentation is called advertising. Asian Paints (BD) LTD generally follows the following media for its advertising.

Electronic media:
Asian Paints have many ads on Television but particularly none of them are made in Bangladesh. This means that Asian Paints (BD) LTD does not have any advertisement for its newly launched product such as Apex Ultima, Royale Luxury Silk Emulsion, Exterior Sealer, and Auto Surface in Bangladesh. But since cable channels are available in many houses of Bangladesh, people by seeing ads on the cable channels are aware about the products of Asian Paints. Right now Asian Paints are trying to promote their newly launched product such as Royale Luxury Silk Emulsion to make it a successful individual brand through TV ads.

Print media:
During day time mostly in the office market, potentials have little opportunity to go through the electronic media. Rather, they are used to go through newspapers, magazines and other periodical publications. So, Asian Paints (BD) LTD has taken the initiatives to attract peoples attention through print media to some extent. Moreover, brochures, shade cards and other paint related information in printed form are delivered to the dealers, potential customers, painters and other targeted potentials to make them interested/ more interested toward companys products.

Billboard:
Asian Paints (BD) LTD efforts are also moved to grasp the potentials attention and to increase the frequency of exposure toward Asian Paints products while they are on the way to their destinations. To promote Weather Coat Long Life as a successful brand towards consumer Asian Paints is now using billboard.

Leaflet:
Asian Paints (BD) LTD publishes leaflets of various products to let the consumers know about the products characteristics as well as the products uses.

Along with advertising some of the other promotional tools used by Asian Paints (BD) LTD are: Relationship marketing:
Relationship tool is one of the important tools for promoting a product because word of mouth has a great effect in market. That is making a good relation with consumer and considering them as family member.

Corporate offer:
Sometimes price is reducing for high volume of sales. In Asian Paints, when buyer pays his/her amount at the time of the purchase then company gives him/her 10% discount.

Fair arrangement:
Fair is another important tool for promoting products because huge number of potential buyers comes for enjoying the fair.

Premiums (Gifts):

Merchandise offered at relatively low cost or free as an incentive to purchase a particular product. With pack premium accompanies the product inside or on the package. A free in the mail premium is mailed to consumers who send I a proof of purchase, such as a box top or UPC code.

Prizes:
Prizes are offers of the chance to win cash, trips or merchandise as a result of purchasing something. A contest calls for consumers to submit an entry to be examined by a panel of judges who will select the best entries.

Sales promotion:
In decorative business category Asian Paints (BD) LTD offers the dealers 14% discounts on MRP of all products along with 30days credit facility, direct delivery of product to the dealers by company vehicles and many more.

Public relations:
Public relation is building a good relation with the companys various publics by obtaining favorable publicity, building up a good corporate image and handling or heading off to unfavorable rumors, stories and events. One of the functions of public relation department is to arrange painters workshop.

So overall, these are some of the promotional tools use by Asian Paints (BD) LTD to promote the products of the company and make more n more dealers and consumers interested in buying paints of Asian Paints (BD) LTD for reselling(dealers) and painting houses(customers).

Asian Paints (BD) LTD has come a long way to reach the position in which the company is today. Though having tough competition from its competitors such as Berger, the company has developed a good image of the brand on the eyes of the consumers. As the time is passing the market is becoming more competitive and new kinds of paints are needed in the market. Consumers taste, need, wants are changing frequently so to cope up with these changes new strategies, marketing mix is needed. So APBL needs to make changes in its marketing tool according to the current

market taste. So far they have done it will and hopefully in future they will do it too and keep providing good products to it consumers.