The Company History page lists out the major events in

chronological order for UltraTech Cement Ltd.

Company History - UltraTech Cement Ltd.
1983 -Awarpur Cement Works Plant I

1987 Awarpur Cement Works Plant II

1993 -Jharsuguda grinding unit

1994 -Hirmi Cement Works

1996 -Gujarat Cement Works Plant I

1998 -Andhra Pradesh Cement Works -Gujarat Cement Works

Plant II

1999 -Narmada Cement Company Limited acquired

-Ratnagiri Cement Works

2000 Bulk cement terminals at Mangalore, Navi Mumbai and

Colombo

2001 -Grasim acquires 10 per cent stake in L&T. Subsequently

increases stake to 15.3 per cent by October 2002 -Durgapur
grinding unit

2002 -Grasim increases its stake in L&T to 14.15 per cent

-Arakkonam grinding unit

-The Grasim Board approves an open offer for purchase of up to

20 per cent of the equity shares of Larsen & Toubro Ltd (L&T),
in accordance with the provisions and guidelines issued by the
Securities & Exchange Board of India (SEBI) Regulations, 1997.

2003 The board of Larsen & Toubro Ltd (L&T) decides to

demerge its cement business into a separate cement company
(CemCo). Grasim decides to acquire an 8.5 per cent equity
stake from L&T and then make an open offer for 30 per cent of
the equity of CemCo, to acquire management control of the
company

2004 Completion of the implementation process to demerge

the cement business of L&T and completion of open offer by
Grasim, with the latter acquiring controlling stake in the newly
formed company UltraTech

2006 -Narmada Cement Company Limited amalgamated with

UltraTech pursuant to a Scheme of Amalgamation being
approved by the Board for Industrial & Financial Reconstruction
(BIFR) in terms of the provision of Sick Industrial Companies Act
(Special Provisions) - Formerly known as UltratechCemco
Limited. The Group's principal activities are to manufacture and
market clinker and cement in India

- Ultratech Cement Ltd has inducted Mr. SaurabhMisra into the

Board as an Additional Director and appointed Managing
Director of the Company.

- Ultratech Cement receives order from BIFR.

- Ultratech Cement Ltd has appointed Mr Girish M Dave as a

Director on the Board of the Company.

2009

-UltraTech to absorb Samruddhi to form India's biggest cement

firm

-Ultratech to be the lead sponsors of Rajasthan Royals

-UltraTech to consider Grasim merger proposal

2010

- Ultratech Cement Ltd has appointed Mr. O P Puranmalka as

Additional Director with immediate effect.

2011

-UltraTech Cement Ltd has recommended a final dividend of Rs.

6/-

2012

-UltraTech Cement Ltd has acquired 100 per cent equity shares
of Gotan Limestone KhanijUdyog Pvt Ltd (GKUPL), Rajasthan.

OVERVIEW
UltraTech Cement Ltd. is the largest manufacturer of grey
cement, Ready Mix Concrete (RMC) and white cement in India.
It is also one of the leading cement producers globally.
UltraTech as a brand embodies 'strength', 'reliability' and
'innovation'. Together, these attributes inspire engineers to
stretch the limits of their imagination to create homes,
buildings and structures that define the new India.
The company has an installed capacity of 62 Million Tonnes Per
Annum (MTPA) of grey cement. UltraTech Cement has 12
integrated plants, 1 clinkerisation plant, 16 grinding units and 6
bulk terminals. Its operations span across India, UAE, Bahrain,
Bangladesh and Sri Lanka. UltraTech Cement is also India's
largest exporter of cement reaching out to meet the demand in
countries around the Indian Ocean and the Middle East.
In the white cement segment, UltraTech goes to market under
the brand name of Birla White. It has a white cement plant with
a capacity of 0.56 MTPA and 2 WallCare putty plants with a
combined capacity of 0.8 MTPA.
With more than 100 Ready Mix Concrete (RMC) plants in 35
cities, UltraTech is the largest manufacturer of concrete in India.
It also has a slew of speciality concretes that meet specific
needs of discerning customers.

Our Building Products business is an innovation hub that offers

an array of scientifically engineered products to cater to newage constructions. Aerated Autoclaved Concrete (AAC) blocks
are economical, light-weight blocks ideal for high-rise buildings,
while Dry Mix Products include waterproofing, grouting and
plastering solutions designed for faster completion of projects.
The retail format of UltraTech Building Solutions offers a wide
range of construction products to the end customers under one
roof.
With its significant presence in grey and white cement,
concrete, building products and building solutions, UltraTech is
a one-stop shop for all primary construction needs. Its meteoric
rise as the largest cement brand in India reflects the
organisation's focus on cutting edge technology, research and
technical services.
UltraTech Cement provides a range of products that cater to the
needs of various aspects of construction, starting from
foundation to finish. These include:
Ordinary Portland Cement, Portland Blast Furnace Slag Cement
and Portland Pozzalana Cement under grey cement
White cement, WallCare putty and white cement based
products under Birla White
Ready Mix Concrete and a range of specialty concretes with
specific functional properties under UltraTech Concrete
AAC blocks, waterproofing solutions, grouting solutions and
plastering solutions under UltraTech Building Products
UltraTechs subsidiaries are Dakshin Cements Limited, Harish
Cement Limited, Gotan Limestone KhaujUdyog Private Limited,
Bhagwati Limestone Company Private Limited, UltraTech
Cement Lanka (Pvt.) (Ltd.), UltraTech Cement Middle East
Investments Limited, PT UltraTech Mining Indonesia and PT
UltraTech Investments Indonesia.

UltraTechs parent company, the Aditya Birla Group, is in the

league of Fortune 500 companies. It employs a diverse
workforce comprising of 120,000 employees, belonging to 42
different nationalities across 36 countries. The Group has been
ranked number 4 in the global 'Top Companies for Leaders'
survey and ranked number 1 in Asia Pacific for 2011. 'Top
Companies for Leaders' is the most comprehensive study of
organisational leadership in the world conducted by Aon Hewitt,
Fortune Magazine and RBL (a strategic HR and Leadership
Advisory firm). The Group has topped the Nielsen's Corporate
Image Monitor 2012-13 and emerged as the number 1
corporate, the 'Best in Class'.

Growth:-

BUSINESSES

UltraTech Cement Limited is the largest cement company in

India and among the leading producers of cement globally.
UltraTech is also the largest manufacturer of white cement and
ready mix concrete in India.
UltraTech Cement provides a range of products that cater to the
needs of various aspects of construction, ranging from
foundation to finish. This includes Ordinary Portland Cement,
Portland Blast Furnace Slag Cement, Portland Pozzalana
Cement, White Cement, Ready Mix Concrete, building products
and a host of other building solutions. Cement is sold under the
brands UltraTech, UltraTech Premium and Birla Super. White
cement is manufactured under the brand name of Birla White,
ready mix concretes under the name of UltraTech Concrete
and new age building products under the names of Xtralite,
Fixoblock, Seal & Dry and Readiplast. UltraTech Building
Solutions is a retail format that caters to the end consumer
providing a variety of primary construction materials under one
roof.
UltraTech Cement has 12 integrated plants, 1 clinkerisation
unit, 16 grinding units, 6 bulk terminals, 1 white cement plant,
2 WallCare putty plants and 101 RMC plants spanning India,
UAE, Bahrain, Bangladesh and Sri Lanka. UltraTech Cement is
also India's largest exporter of cement and clinker reaching out
to meet demand in countries around the Indian Ocean, Africa,
Europe and the Middle East.
The company's subsidiaries are Dakshin Cements Limited,
Harish Cements Limited, UltraTech Cement Lanka (Pvt.) Ltd and
UltraTech Cement Middle East Investments Limited.
LOGISTICS
Over the years, UltraTech has achieved market leadership by
providing benchmark services to customers by adopting
customer oriented processes at every stage, right from
planning to delivery.
Through a robust logistics network of 30 plants, 500 plus
warehouses and 150 plus railheads, UltraTech serves 14000

orders per day by using a mix of various logistics modes

including rail, road and sea. These orders originate from 50000
plus dealers, retailers and institutional customers with lot size
varying from of 1 MT to 40 MT. The key to managing such scale
and complexity is the use of robust processes for planning,
distribution, network design, order execution, visibility and
optimal resource utilization.
UltraTech has been one of the leaders in the Indian Cement
Industry in using technology to provide real time visibility
across all stake holders. From our channel partners (dealers,
institutional customers), service partners (handling and
transporting agents, railways) and even internal functional
teams, this visibility enables optimal business decisions on a
daily basis.
With an eye on the future, UltraTech has implemented an RFID
based Vehicle Movement System at one of its plants to monitor
real-time, in-plant movement of vehicles, improve overall
safety inside the plant and reduce the overall time taken within
the plant for road loading.
SOME OF THE BEST-IN-CLASS SCM
PROCESSES ADOPTED BY ULTRATECH INCLUDE:

Network optimization

Web and mobile based order management system

with real time visibility of order status
Customer service level measurement on real time

basis
GPS based vehicle tracking system for dedicated

fleet
Automation at secondary service points like

railheads and godowns

RFID based vehicle movement system to reduce inplant time of vehicles

Sea Logistics
Sea transport is the most economic

mode of transport, especially where plants are situated near

ports. UltraTech is focused on sea mode as it is safe,
environment
friendly
&
pollution
free.
UltraTech has its operation on the Indian west coast with the
loading terminals situated at Pipavav and Jafarabad, Gujarat.
The supplies goes to Magdalla, JNPT-Mumbai, Ratnagiri, New
Mangalore, Cochin and export to Sri Lanka, Persian Gulf, African
continent and Far Eastern regions.
The state of the art system includes the cargo conveying and
handling system as a part of the cement plant. This captive
jetty handles about 5 million tonnes of captive cargoes of
cement and clinker, with more than 80% berth occupancy rate.
BRAND ACHIEVEMENTS
UltraTech Cement has been honoured with the title of the
consumer validated award - 'SUPERBRAND' for the years 2011,
2012, 2013 and 2014 by the Superbrands Council. It has also
been bestowed with the title of the customer selected
'POWERBRAND' for the year 2012 and 2014 by Powerbrands
India.
Superbrands is a global organisation that recognizes,
showcases and pays tribute to the best brands in each country.
It is a prestigious award and recognizes the brand custodian's
persevering efforts to build a brand that is strong on consumer
perceptions, thereby making it resilient to fluctuating economic
conditions.

For the fourth edition of Consumer Superbrands, UltraTech was

a part of an exclusive group of winners selected first by the
consumer and then by an independent Superbrands Council
comprising of the most eminent professionals from India's
corporate sector. This is an important recognition of our efforts
and serves our objective of getting closer to the consumer. In a
market comprising of several highly regarded competitors, this
is certainly an outstanding achievement.
Birla White, the white cement brand of UltraTech, too has
earned the distinction of 'SUPERBRAND' for the fourth
consecutive time and is also a 'POWERBRAND'.
We have been recognised as the largest cement company in
2011 and 2012 by Construction World and the Business World
has ranked us as one of the fastest growing companies in 2014.
ENVIRONMENT
UltraTech strives to adopt an eco-

friendly approach across all areas of its business operations. We

are one of the earliest proponents of alternative fuel usage,
waste heat recovery and other environment friendly practices
in the country.
OUR FOCUS AREAS
UltraTech's social projects are designed with the long-term goal
of creating sustainability and self-reliance. Hence, the projects
focus on factors that will lead to empowerment and capacity
building. Though UltraTech operates in five focus areas, its
major emphasis has been on providing quality education and
healthcare facilities. Importance is also given to building
infrastructure, as ultimately it is the tool that fuels growth. The
results of these projects will not only benefit their respective
communities
but
also
the
nation
at
large.

The company's CSR activities are concentrated in 407 villages,

in proximity to its 22 plants, across the country.
HEALTHCARE AND FAMILY WELFARE
Through our medical camps, we reached out to 48,398 villagers
for general health check-ups. Those afflicted with serious
ailments were taken to our company's hospitals for treatment.
Over 42,000 patients were treated in the Out Patient
Department. Additionally, we organized medical camps to treat
orthopaedic, cardiac, skin and ENT related ailments. We treated
9,749 patients at these camps.
At the eye camps organized by us 11,474 patients were under
our care. Of these 4,058 patients were operated for cataract
and were provided with intraocular lens. Alongside 850 persons
were given spectacles for better sight. These eye camps have
been conducted at Khor, Sambhupura, Hirmi, Kotputli, Rawan,
Arakkonam and KhariaKhangar.
At Malkhed, we held cleft lip plastic surgery camps where 25
patients were operated upon. At the medical camp organized
for the physically challenged at Hirmi, 50 patients were
provided with artificial limbs that enabled them to reduce their
dependency on others.
Additionally, 3,400 people were sensitized on HIV/AIDS at
educative programmes held in Reddipalyam, Khor, Hirmi,
Awarpur, Tadipatri, Jharsuguda, Kovaya, Malkhed and Jafrabad.
Sessions on tuberculosis and its related problems held at Hirmi,
Awarpur and Jharsuguda were attended by 2,811 persons.
MOTHER AND CHILD HEALTH CARE:
Over 1,62,843 children were immunized against polio and
2,019 children against tuberculosis, diphtheria, tetanus and
measles.
Around 5,000 expectant mothers took advantage of the antinatal, post-natal, mass immunization, nutrition and escort
services for institutional delivery. These form part of our
Reproductive and Child Health Care programmes.
At sessions on adolescent health care and nutrition awareness,
over 2,068 girls and mothers were actively engaged. As a result
of our intensive motivation drive towards responsible family

raising, 2,254 villagers opted for planned families. These

programmes spanned Awarpur, Hirmi, Jafrabad, Khor,
KhariaKhangar, Jharsuguda, Tadipatri, Malkhed, Sambhupura,
Rawan and Kovaya.
SAFE DRINKING WATER AND SANITATION:
Through our Safe Drinking Water Programmes at Sambhupura,
Khor, Malkhed, Reddipalyam, Tadipatri, Hirmi, Awarpur, Kovaya,
Ratnagiri, Durgapur and Jafrabad 40,000 people access clean
drinking water.
More than 1,000 families have benefited from improved
sanitation
facilities
at
Malkhed,
Reddipalyam,
Khor,
Sambhupura, Kovaya, KhariaKhangar, Jharsuguda, Tadipatri and
Awarpur.

EDUCATION
To foster the girl child, our units support the cause of Girl Child
education through their engagement with the Kasturba Gandhi
BalikaVidhyalayas (KGBV) residential schools for girls. So far,
532 girls who had dropped out from their schools in the villages
were re-enrolled in schools in Awarpur, Hirmi, Malkhed and
KhariaKhangar.
Uniforms, books and bags have been distributed to 14,546
children in the rural areas. Visual educational aids and lab
equipment were given to the schools in Awarpur, Hirmi, Kovaya,
Tadipatri, Jharsuguda, Jafrabad, Khor, Rawan, Durgapur,
Ratnagiri, Sambhupura, Arakkonam and Magdalla.
The school enrollment programmes covering 1,735 beginners
at Hirmi, Kovaya, Jharsuguda, Jaffrabad and Awarpur have been
a great help to students. At our balwadis, 520 children learn the
basics of pre-primary education.

Our talent search programs and PratibhaProtshahanSamaroha

drew 963 students from Reddipalyam, Rawan, Malkhed, Hirmi,
Tadipatri, Awarpur and Kovaya.
Free coaching classes at Rawan, Kotputli, Hirmi, Tadipatri,
Kovaya, Sambhura and Awarpur proved a boon to 1,849
students.
We also provided career counseling services to 841 students in
Jafrabad, Hirmi, Awarpur and Kovaya.
Our
computer
education
programmes
attracted
341
participants at Khor, KhariaKhangar, Awarpur and Arakkonam.
Our support to sports in schools encouraged 9,107 students to
participate in sporting events at Rawan, Tadipatri, Hirmi and
Kovaya.
At Malkhed, we also began yoga classes which were attended
by 2,498 students.

Infrastructure, Watershed
Management & Environment
To conserve water for agriculture and domestic uses, 12 ponds
and 19 check dams were repaired/built at Jafrabad, Awarpur,
Hirmi, Malkhed, Kovaya, Rawan, Khor and KhariaKhangar.
Approach roads were built in three villages at Tadipatri and
repaired in 12 villages at other locations. At Malkhed,Tadipatri,

Khor, Sambhupura, Reddipalyam, Hirmi and Awarpur 12 School

buildings were repaired and boundary walls constructed. A
community hall was instituted in Awarpur.
A plantation drive for enlarging the green belt cover has been
taken up at Reddipalyam, Sambhupura, Kovaya, Jaffrabad,
Awarpur, Khor, Hirmi, Rawan, Jharsuguda, Ratnagiri, Kotputli,
Tadipatri and KhariaKhangar.

SUSTAINABLE LIVELIHOOD
At the skill development centres at Hirmi, Sambhupura,
KhariaKhangar, Khor, Rawan, Awarpur and Malkhed 1112
youngsters received training in electrical repair, photography,
videography, motor driving, food processing, sewing and
dressmaking.
A training course on basic tailoring was imparted to 2,032
women at Tadipatri, Hirmi, Reddipalyam, Khor, Sambhupura,
Malkhed, Arakkonam and Rawan. Alongside, 19 widows were
rehabilitated at Awarpur through training in tailoring and
provision of sewing machines.
To promote sustainable agriculture, organic farming units have
been set up by 115 farmers from Ratnagiri and Jaffrabad.
At Hirmi, Khor, Sambhupura, Malkhed, Awarpur, Jafrabad,
Kovaya and Ratnagiri 1,770 farmers have been trained in the
latest agricultural techniques of grafting, soil health, crop
protection and post harvesting techniques. This was done in
collaboration
with
the
local
agricultural
technology
management centres. Exposure visits to Centres of Agricultural
Technology were organized for 314 farmer club members of
Jafrabad, Hirmi and Kovaya, besides conducting the
KrishakKhetPathsala programme.

As part of our endeavour towards renewable energy, 27 bio-gas

units have been set up in Rawan and Khor.
We immunized 32,760 animals at animal husbandry and other
veterinary camps at all our units. The NavjeevanGaushala at
KhariaKhangar houses 740 cows and oxen. Additionally, our
dairy programme at Reddipalyam and Sambhupura caters to
the health of 1,068 farm animals.
The integrated fodder management programme at Kovaya and
Hirmi supplies abundant nutrition to 2644 milch cattle.
SELF HELP GROUPS AND INCOME GENERATION:
Our 293 self-help groups empower 3,626 women financially and
socially.
The Kagina Industrial Trade centre at Malkhed is a centre of
excellence and self-reliance. Up until now the 440 students who
have been trained here have well placed jobs.

SOCIAL WELFARE
Under the mass marriage programme, 721 couples at Jafrabad,
Kovaya and Khor were married.
Our street plays (nukkadnatak) espousing the fostering of the
girl child, anti-alcoholism and responsible families have been
well received by village communities.

Marketing Mix Price Place Product

Promotion
1. Price

 Price of Cement includes the transportation cost also

so there is a little difference in the prices of cement
In Gujarat, for the bag of 25 kg of cement the price of
cement is around Rs. 320 which cost to Rs. 12 - 13 per kg
Discounts are given on the bulk orders or as per the
contract
Allowances are given to the customers for their
purchases direct from the manufacturing units
Credit Facilities are given to the customers
2. Product
Ordinary Portland Cement
Ordinary portland cement is the most commonly used
cement for a wide range
of applications.
Portland blast-furnace slag Cement
UltraTech Premium is a concrete special cement, produced in
UltraTech's state-of-the-art
manufacturing facilities.
Portland Pozzolana Cement
Portland Pozzolana cement is ordinary Portland cement
intimately blended or interground with pozzolanic materials
such as fly ash, calcined clay, rice husk ash etc.
Portland cement clinker is either interground or intimately
blended with specified quantities of gypsum and pozzolanic
materials to produce Portland Pozzolana cement. Pozzolanas by
themselves do not have cementitious properties but reacts with
calcium hydroxide in the presence of moisture at normal
temperature to form compounds having cementitious
properties. The concrete produced by using Portland Pozzolana
cement has high ultimate strength, is more durable, resists wet

cracking, thermal cracking and has a high degree of cohesion

and workability in concrete and mortar.
Cement complying with European and Sri Lankan
standard specifications
UltraTech's bulk cement terminal is located at Colombo in
Sri Lanka.

3. Place
Focus more on rural areas as an emerging sector
No need to have a vast distribution network to
increase outreach
23 cement plants located all over India (4 New under
construction)
4. Promotion
Cashing in on the brand name of L&T Cement
Establishing Franchisee network
Through IPL team sponsorship of Rajasthan Royals
Banners and hoardings on public transport vehicles
and bus stops

Competitors For UltraTech Cement Ltd.

Company

Current
Price

Book
Value

P/E
Ratio

Market
Cap
(Rs. Cr.)

OCL India Ltd.

307.75

195.06

17.89

1,751.10

Prism Cement Ltd.

75.70

20.03

0.00

3,810.41

Sagar Cements Ltd. 310.50

138.52

0.00

539.90

ACC Ltd.

1,463.05

416.33

25.09

27,498.0
3

Ambuja Cements
Ltd.

222.15

61.24

26.58

34,411.0
5

J K Lakshmi Cement
382.05
Ltd.

110.75

48.34

4,495.58

J K Cement Ltd.

251.47

46.93

4,553.66

Heidelberg Cement
88.65
India Ltd.

36.77

0.00

2,008.93

Gujarat Sidhee
Cement Ltd.

30.70

34.25

0.00

130.19

Orient Cement Ltd.

141.15

40.45

28.63

2,891.72

651.20

MARKETING OF ULTRATECH CEMENT

Marketing is the process of communicating the value of a
product or service to customers. Marketing might
sometimes be interpreted as the art of selling products
,but sales is only one part of marketing. As the term

"Marketing" may replace "Advertising" it is the overall

strategy and function of promoting a product or service to
the customer. From a societal point of view, marketing is
the link between a societys material requirements and its
economic patterns of response. Marketing satisfies these
needs and wants through exchange processes and
building long term relationships. The process of
communicating the value of a product or service through
positioning to customers. Marketing can be looked at as an
organizational function and a set of processes for creating,
delivering and communicating value tocustomers, and
managing customer relationships in ways that benefit
theorganization and its shareholders. Marketing is the
science of choosing targetmarkets through market
analysis and market segmentation, as well
asunderstanding consumer buying behavior and providing
superior customer value. Products related to marketing
Ultratech Cement
Ultratech Concrete
Ultratech Building Products
Ultratech Building Solutions
Birla White
Star Cement
Marketing Orientation Production Concept
The Production Concept is one of the oldest concepts in
business. Production Concepts say that, consumer will
prefer that product which is economical in nature and
which is easily available in the market. According to this
concept company should concentrate on achieving high
production efficiency, low cost and mass distribution.
Product Concept Product concept says that a product
which is having unique and distinguishes features than its
competitors is preferred by the customers. It means that

product concept holds that consumer will favour those

products that offer the most quality performance or
innovative features. Selling Concept Selling concept says
that a market should aggressively promote its product or
market or should put an effort to promote its product.
Otherwise it will not be purchased by the customers. In
other words if your product is good inquality and features
than also aggressive marketing should be done. The
purpose of such companies is to sell more for earning
more profits.Advertising with celebrities and various
schemes can be helpful.Marketing Concept The Marketing
concept emerged in the mod of 1950s. The
marketingconcept says that marketer should undertake
aggressive marketing strategyto understand the needs of
the customers. The marketing concept says thatthe key to
achieving organizational goals consists of the company
beingmore effective than competitors in creating,
delivering and communicatingsuperior value to its
customers.

Societal Marketing
This concept suggests that every marketer should provide
the qualitative goods at a reasonable price to fulfil his
service towards the society. Holistic Marketing This
concept is based on the development, design and
implementation of marketing programs, processes and
activities that recognize their breadth and
interdependence. Holistic marketing recognize that
everything matters with marketing. It integrates all the
aspect of the business like internal marketing, relationship
marketing, integrated marketing and social
responsibility.About Company: In the Company there is a
use of Product concept as it gives the different types of
cement to the customers and consumers. There is a
frequent use of Marketing concept and Holistic concept as
in todays world customer or consumer satisfaction is

mainly seen to retain the customer and to make them a

hardcore loyal towards the company.
Branding Efforts towards BrandingBrand UltraTech enjoys
a niche space in the minds of its customers. It
representsexpertise, strength and modernity, all
interwoven with the help of a strongemotional connect.
The company doesnt just sell a product or a service, it
sells solutions. These solutions help people build their lives
and sustain them forgenerations. UltraTech is often known
as the expert who cares. The title, whilereinforcing the
values that UltraTech stands for, also signifies the strong
bond thatexists between the brand and its customers,
which has been forged over the years. The UltraTech
brand not only helps build cities and homes, it helps build
trust andultimately, builds lives. The name inspires trust
among all the stakeholders engineers, builders,
contractors, individual house owners, governments,
investors, shareholders and the society at large. The brand
has consistently justified this trust. The brands positioning
of being the expert translates into advertising imagery
that depicts progress, cutting-edge technology and
modernity. UltraTechs famous tagline The Engineers
Choice reflects its brand promise of being the expert.
Excellent product quality and customer care are the
hallmarks of UltraTechcement.The name UltraTech with
the signature line, The Engineers Choice, admirably
captures the premium nature of the brand and its
salience."Mr. O.P. Puranmalka, Business Director, UltraTech
Cement Limited, and Director,Aditya Birla Management
Corporation Private Limited. 36

Branding ScopeThe UltraTech brand bears a strong association with

popular Indian sports namelycricket and hockey. The infilm branding with Chak De India and the IPLconnect with
the Rajasthan Royals (Season 2, 3 & 5) and Deccan

Chargers (Season4) has made UltraTech a youthful brand

to reckon with. Birla Whites homegrownYuvaratna
Awards recognise architectural and engineering
excellence. UltraTechis also associated with the Business
India exhibition - A Celebration ofArchitecture. All these
affiliations have strengthened Brand UltraTech
sassociation with the fraternity of students, engineers,
architects, builders and the construction community at
large.
Related to PriceThe regional variation in the Indian market
has resulted in the cement prices acrossregions witnessing
movement within a band, with no appreciable increase in
anyregion. Differences in regional demand supply situation
have translated into pricedifferences across regions. Prices
are lower in Southern regions where there isnormally a
supply surplus. However, prices are higher in Eastern and
Westernregions where shortages exist. The surplus
position had resulted in significantpressure on price
realizations in recent years.In the field of marketing
management process, it basically consists of four steps:1.
Analyzing marketing opportunities .2. Selecting target
markets3. Developing the marketing mix4. Managing the
marketing effortAbout Company: Price of Cement differs as
per the Geographical Area. Price of Cement includes the
transportation cost also so there is a little difference in the
prices of cement In Gujarat, for the bag of 25kg of cement
the price of cement is around 320 Rs which cost to 1213Rs per kg. Discounts are given on the bulk orders or as
per the contract. Allowances are given to the customers
for their purchases direct from the manufacturing units.
Credit Facilities are given to the customers.

Related to PlaceDistribution ChannelCompanies invariably

hire agents or transport cements to own or
governmentwarehouses either via roadway or railways. In
case of exports, cement reaches thenearest port via
roadways or railways and is then transferred to the

importingcountry. Domestically, from agents or

warehouses the cement is transported to
thedealers/distributors and in turn to sub dealers who
finally sell it to the end users.There may or may not be
physical ownership of goods. In the second case,
dealersand sub dealers take order from buyers and place
it to the companies, co ordinateand monitor the timely
dispatch of said orders. There is a use of 3 levels of
channelling. Manufacturer to Agents to Wholesaler to
Retailer to End User.
Supply Chain
The team orders and maintains the inventory of stock
keeping units so that unitdoes not run out of critical
supplies at any point. The team also ensures that allstock
keeping units of items used in the unit are received at
stores from vendorsand distributed to the different outlets
on time. Other functions include: Distribution Function
Configuration Number, location and network missions of
suppliers, production facilities,distribution centers,
warehouses, cross-docks and customers. Distribution
Strategy Includes functions of operating control
(centralized, decentralized or shared),delivery scheme
(e.g., direct shipment, pool point shipping, Cross Docking,
DSD(direct store delivery). Information Integration of and
other processes through the supply chain to share
valuable information, including demand signals, forecasts,
inventory, transportation, and potential collaboration etc.
Inventory Management:Quantity and location of inventory
including raw materials, work-in-process andfinished
goods.

Related to Promotion -Promotion is one of the four

elements of marketing mix (product, price,
promotion,distribution). It is the communication link
between sellers and buyers for thepurpose of influencing,
informing, or persuading a potential buyers

purchasingdecision.There are seven main aspects of a

promotional mix these are - Advertising - Any paid
presentation and promotion of ideas, goods, or services by
an identified sponsor.Examples: Print ads, radio, television,
billboard, direct mail, brochures andcatalogue, signs, instore displays, posters, motion pictures, Web pages,
bannerads, and emails. Personal Selling - A process of
helping and persuading one or more prospects to
purchase a good or service or to act on any idea through
the use of an oral presentation.Examples: Sales
presentations, sales meetings, sales training and
incentiveprograms for intermediary salespeople, samples,
and telemarketing. Can be face-to-face or via telephone.
Sales promotion - Media and non-media marketing
communication are employed for a pre-determined,
limited time to increase consumer demand, stimulate
market demand or improve product availability.Examples:
Coupons, sweepstakes, contests, product samples,
rebates, tie-ins, self-liquidating premiums, trade shows,
trade-ins, and exhibitions. Public relations - Paid intimate
stimulation of supply for a product, service, or business
unit by planting significant news about it or a favourable
presentation of it in the media.Examples: Newspaper and
magazine articles/reports, TVs and radio
presentations,charitable contributions, speeches, issue
advertising and seminars.

Corporate image The Image of an organization is a crucial point in

marketing. If the reputation of a company is bad,
consumers are less willing to buy a product from this
company as they would have been, if the company had a
good image. Direct Marketing - is often listed as a the fifth
part of the marketing mix Exhibitions - are try-outs. You
make your product, and let potential buyers try the
product, these way, you know directly what people see in
your product. The downside, your competitor can see

exactly what you are doing.How to Establish a Promotional

MixYou drive sales by promoting the benefits of your
companys goods or services topools of potential buyers.
The ways you promote your organization will
largelydetermine whether you successfully plant the right
messages in the minds of yourtarget audience. This
module explains how you can establish a promotional
mixbest suited to your companys needs and resources.
Determine Your Target Market Determine Your Objectives
Design Your Message Select Your Promotional Channels
Determine Your Budget Determine Your Promotional Mix
Measure the Results and Adjust.

Promotion through the Product life cycle As products

move through the four stages of the product lifecycle
differentpromotional strategies should be employed at
these stages to ensure the healthysuccess and life of the
product. Stages and promotion strategies
employed.IntroductionWhen a product is new the
organizations objective will be to inform the
targetaudience of its entry. Television, radio, magazine,
coupons etc may be used to pushthe product through the
introduction stage of the lifecycle. Push and Pull
Strategieswill be used at this crucial stage.Growth As the
product becomes accepted by the target market the
organization at thisstage of the lifecycle the organization
works on the strategy of further increasingbrand
awareness to encourage loyalty.Maturity At this stage with
increased competition the organization take persuasive
tactics toencourage the consumers to purchase their
product over their rivals. Anydifferential advantage will be
clearly communicated to the target audience toinform of
their benefit over their competitors.Decline As the product
reaches the decline stage the organization will use the
strategy ofreminding people of the product to slow the
inevitable

Segmentation -Market segmentation consists of a group

of customers who share a similar set ofneeds and wants.
Segmentation refers to divide the customers into groups
on thebasis of some common needs or characteristic.Basis
of Segmentation Geographical Segmentation It refers
dividing the customers on the basis of the place where
they are living various geographic areas consists of region,
city, rural and semi rural area. The purpose of the
company for such segmentation is to understand the
needs of people living in different geography. Geographic
segmentation is very useful because needs of the
customers are influenced by the geography. Demographic
Segmentation In Demographic segmentation the market
is divided into the groups on the basis of variables such as
age, family size, family life cycle, gender, income,
occupation, education, religion, etc. There are two reasons
for using the demographic segmentation one is that it is
easier to measure them while second reason is that
customers need and wants are different as per the
demographic variable. Psychographic segmentation
Psychographic segmentation refers to be the division of
the customers on the basis of their life style, status,
personality and values.
Behavioral Segmentation
In behavioral segmentation buyers are divided into the
groups on the basis of their knowledge and attitude
toward the product. Occasion, benefits, usage rate, buyer
readiness stage, loyalty status and attitude are various
behavioral segmentation elements. About Company:
Ultratech is doing market segmentation on the basis of
Geographical Segmentation where the segment is done on
basis of rural areas, city areas, semi rural areas and
region.
Targeting

Once the firm has decided its market segmentation

opportunities it has to decide how many and which once
to target. Marketers are increasingly combining several
variables in efforts to identify smaller, better defined
target groups. Steps of Targeting Evaluation of Target
Market Selection of Target Market 1. Evaluation of Target
Market In evaluation of target market segments a firm
must look at the following 3 factors: Segment Size and
Growth Segment Structural attractiveness Company
Objective
Selection of Target Market After evaluating different
segments the company must decide which and how many
segments to serve in target market. Target market is a set
of buyers sharing common needs or characteristic that the
company decides to serve. Undifferentiated Target Market
(Mass Market) Differentiated Target Market (Strategic
Market) Concentrated Target Market (Niche Market)
Individual Market (Micro Market)About Company Ultratech
cement is targeting on the basis of Differentiated Market
so that the new varieties of cement can be given to the
customers. This step can get success only if segmentation
is done properly.
Positioning
Positioning can be defined as the way by which a product
has occupied a place inthe minds of customers related to
the competitors.Positioning is the act of designing the
companys offering and image to occupy adistinctive place
in the minds of the target market.To make the buying
decisions easy customers are categorizing the products as
pertheir position in the minds. A products positioning is a
complex set of perceptions,impressions and feelings that
consumer holds for the product.Basis of Positioning 1.
Product Differentiation 2. Service Differentiation 3. People
Differentiation 4. Image DifferentiationAbout
CompanyUltratech uses Product Differentiation and Image

Differentiation as its Brand nameAditya Birla Group itself

has a great reputation in the minds of the people.

Marketing Research at Ultratech CementMarketing

research is a systematic gathering recording and analysis
of data aboutthe problems relating to the marketers of
goods and services. Thus it includesinvestigation of
market, segments, and products. The market research
answers thequestions in respect of different markets. The
areas of market research are: Determining the size of both
current and also potential market. Assessing the market
brands. Ascertaining the strength and weakness of
competitors. The current contemplated legislations of the
government towards the particular product, including
taxation policy Demand and sales forecast
Research & Development Department
Research & Development Department is the back-bone of
an organization. It helpsthe organizations in developing
new products and means to meet the need ofcustomers in
an effective way. It also shows how open is an organization
towardsthe change. In Ultratech following functions are
done by the R & D department: Able to meet customers
enhanced requirements above R & D Able to meet shorter
turnaround times demanded by customer Automated tools
helped to meet extra volume of production and new
customer requirements Maintaining leadership as a
technologically advanced supplier Customized Production
& Project Management tools development for customers
Able to acquire new projects which involves project
management Providing value added services to the
customers and bringing-in additional projects. Introducing
new workflow and systems as per customers
requirements

Strategies Adopted by UltraTechPromise- Excellent

product quality and customer care are the hallmark

ofUltraTech.Capitalizing the opportunity of the geometric

growth in the housing sectorand the governments thrust
on infrastructure.Right decision at right timeHaving
excellent Product in handConstantly striving to improve
and capture more number of market shareTraining to
StaffPromotion through moviesSponsorship Opinion
towards MarketingIncrease frequency of advertisements
on T.V., radio, internet and printmedia.Increase Strategic
AllianceIncrease visibility by campaign and other
modes.Increase number of distributors and agentsIncrease
number of warehouseHaving micro-planning in
placeCement Limited

PERFORMANCE
UltraTech Cement Limited is engaged in the business of cement
and cement related products. The Company provides a range
of products that cater to all the needs from laying the
foundation to delivering the final touches. The Company
manufactures and provides ordinary Portland and Portland
Pozzolana Cement, Ready-Mix Concrete, and White Cement.
White cement is manufactured
under
Birla
White
brand, ready mix concretes under
UltraTech
Concrete
brand and new age building
products
under
UltraTech
Building
Products
Division. The retail
outlets of the Company operate under UltraTech Building
Solutions. The Company is also an exporter of cement clinker
spanning export markets in countries across the Indian Ocean,
Africa, Europe and the Middle East. The Company conducts
business activity in United Arab Emirates, Sri Lanka, Bahrain,
and Bangladesh.

Prices of most of the input materials increased substantially

due to increase in basic prices and transportation cost. The
price of raw material & packaging material increased by
around 14 & 15% respectively and prices of other additives
increased by 20-50%.
Despite increase in input cost, the EBITDA margin remained
equal to the previous year by using price efficient fuel petcoke
(34% of total) and passing some of the cost to the customers.

Gross interest and finance charges were higher on account of

increased borrowings for on-going capex for capacity
expansion. However, the net finance cost fell due to higher
capitalization and thereby, increased the profit margins.

The consolidated sales of the company during FY13 rose by

11% to Rs 21319 crore, while the operating profit rose by
nearly 13% to 5143 crore. The consolidated net profit for FY13
was Rs 2677.73, 11% higher as compared to the previous year.
The increase in overall domestic revenue was mainly due to
improved demand in the first half of the year in the market.
The sales volume remained as previous year but increase in
price in the early quarters of the year resulted in the increase
in revenue by 11%.
The overall export volume fell by 28% but depreciation of the
rupee helped in improving realization by 5%.