INTRODUCTION

Indian Economy is dramatically changing the dramatic changes are the result of hard realities. Too much of protection for too long a time has hindered the economic development rather than facilitating it. The

immediate fallout could be seen in public sector units in the country. Their losses got accumulated and became a drain of the National Exchequer. Too much of regulation for too long time on private sector had also proved to be disastrous. All these regulations, curbs and restrictions has stifled the enterprising spirit and discouraged healthy competition among the in industrialists. The balance of payments position became so unmanageable that even the international lending bodies like International onetary

!und and "orld #ank refuse additional finance for India unless Indian economy is revamped. $ince than a series of economy policies %ere revamped. There %as a greater emphasis on arketing. After liberali&ation the changed in

economic scenario India offers excellent marketing opportunities are created for aspiring Entrepreneurs. Indian markets are no% '#uyers arkets(. Therefore the marketers

has to resign suitable. $trategies to stay successful in the market. Their success depends on their ability to cater.

OBJECTIVES
PRIMARY OBJECTIVES: To find out %hich factors has got influence on customer a%areness in )aints Industry.
To kno% the a%areness level of 'Asian Paints( customers as %ell as

other customers. SECONDARY OBJECTIVES: To identify the customer requirements. To analy&e the customers perception regarding the preference of Asian )aint )roducts.

NEED FOR STUDY

The main ob*ective of the study is to kno% the +ustomer a%areness %ith respect to Asian )aints. The need for this can be explained if one kno%s the importance of understanding the +ustomer a%areness. $o in the follo%ing paragraph the +ustomer a%areness and its role in the success of an organi&ation has been explained. +ustomer a%areness are taken up to boost the sales of a product by the company. A company having production capabilities may produce a product and price is according and sell through the dealers and retailers by its distribution net%ork. +onsidering the fact that consumer according to the time need, %ant and the purchasing po%er, it depends on the product, therefore, the marketers rely on the marketing mix to cater to the customers efficiently and effectively. $o the companies producing the product, pricing and planning them have to care fully look into the minds of the consumers and place the products favorably in the minds of the consumers.

METHODOLOGY
In order to reali&e the study the ob*ectives a considerably volume of both primary and secondary data is needed. It has been therefore found necessary to conduct an Intervie% schedule for gathering relevant data from the users. )rimary ,ata has been collected from the industrial buyer during ay - .une /001 %ith the help of a structured 2uestionnaire %ith stratified sample of 34 respondents have been taken for carrying out the study. $econdary ,ata the information regarding the Indian paint industry has been dra%n from various published sources. )rofessional business .ournals and The data relating to Asian records. This study is necessarily based on the limited kno%ledge and little practical exposure the constraints of resources and time have further imposed limits to the study boundaries. They include

aga&ines, besides the Ne%s papers.

)aints has been collected from company

LIMITATIONS
The respondents of the questionnaire are very busty and could not afford more time to ans%er. The average time to response %as 453 minutes only. A limited sample si&e of 34 customers %as considered because of time constraint. An assumption is made that the sample represents the

%hole population. It %ill not carry the total reflection of the copier market. Total sample si&e is comparatively less to represent the entire population. A time period of only 14 days %as allo%ed for the completion of this product. possible. The data %as of primary nature. $o the degree biases %ere relatively high as the sample %as randomly selected. $tudy restricted to geographical territory of 6isakhapatnam city only. $o considering all the consumers for the study %as not

PAINTS THE COLOUR OF OUR LIFE

(A PROFILE) "hat is )aint7 #asically, )aint is a mixture of four elements. $olvents #inders )igments Additives $olvents "hich give a paint its flo%, and enable it to be brushed on a surface Bin !"s "hich hold the paint together, as %ell bind it to the surface that is painted, thus giving its property of durability. Pi#$!nts "hich give paint its colour and opacity. A iti%!s

"hich give paint special properties such as resistance to fungus, rust ..etc.,

Paints &an '! istin#(is)! as EMULSIONS : These are %ater based paints Acrylic Emulsions are extremely durable and give %all silky and smooth finish. They %ashable and easy to maintain. Eg8 Asian )aints offers three brands to choose. P"!$i($ M! i($ E&*n*$i&a+ Apcolite 9oyal Acrylic Emulsion. Apcolite $uper Acrylic Emulsion. $uper ,ecoplast.

DISTEMPERS: These are also %ater based paints but their binders may be very natural or synthetic. ,istempers are economically priced, they offer good value for money as they are durable. Eg8 Asian )aints has Tractor Acrylic %ashable ,istemper. Tractor %ashable $ynthetic ,istemper.

LUSTER AND MATT FINISHES: These are solvent based paints are extremely durable. The former gives a gloss egg shell finish %hile matt finishes have a dead matt finish. Eg8 Asian )aint has Apcolite luster finish. Apcolite synthetic matt finish. E,TERIOR FINISHES: !or exterior cement paint is mainly used as it is economical. It also has a reasonable life if in areas %here monsoon is not too heavy. Eg8 :attu cem. ENAMELS: It provide the best coating for metals they are tough, durable, glossy in finish. The smooth shiny look lasts for years. Enamels protect from corrosioin. Eg8 Apcolite $ynthetic Enamel. ; mangoes $ynthetic Enamel.

PRIMERS: )rimers are usually the first coat applied on a surface it is meant to prepare the surface for painting. It offers protection to the paint. Eg8 Asian etal )rimer.

"oodorite )rimer. FILLERS - PUTTIES: It is used to fill up the crises or any unevenness to ensure that the finish coat gives a smooth surface. AUTOAC.UER: It is NIT9< +E==>=<$E paint for auto finishing. Eg8 ?rilo Apca Aspa

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PAINT INDUSTRY IN INDIA

!oundation for paint %as laid in the year @A0/ %ith the setting up of $halimar )aints in +alcutta. It %as during the and after the "orld "ar II. That large number of paint manufacturing units %as set up in India. $ince then the Indian paint industry has made substantial progress. The paint industry has come to the recognition as an important sector in the national economy in producing industrial coating and decorative paints. ,ecorative paints available in %ide range of "hile

combination account for B0C of the coatings total production. industrial paints share the balance of D0C.

This rate is diametrically

opposite to the trend in the industriali&ed countries %here industrial paints account for B0C and ,ecorative paints for the balance of D0C. The Indian paint industry is at the crossroads. All most all5ma*or paint companies have expanded or are expanding its capacity substantially. "ith demand rising slo%ly competition is becoming increasingly intense. The decreasing gro%th rate has made the paint companies to %oo customers aggressively. The customer is being offered @0C rebate in most products, >nheard in the industry so far. ost companies have increased

their discounts to their dealers to unimaginable level dealers are offered higher credit levels, flexibility in payment, foreign trips for selling even lo% value products and the like. The increasing competition to offer
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solutions through technology has made all the paint make as offer a large number of shades through computeri&ed colour dispensing system. IMPORTANCE :enerally paints and coatings are applied to products to protect them from Emnvironmental +orrosion. )rotection of !ood and #everages in metal cans. Improve aesthetic appeal. CATEGORIES )aints are classified into t%o broad categories. ,ecorative or Architectural finish paints. Industrial )aints. D!&*"ati%! *" A"&)it!&t("a+ /inis) 0aints: This market can be further segmented on the basis of the follo%ing
C(st*$!" t10!s : Institutional E retail or domestic use P"* (&t /!at("!s - &at!#*"i!s: ,istempers, Enamels, emulsions etc. P"i&!: )remium,

edium, Economy etc.,

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In (st"ia+ Paints: This market can be further divided into the follo%ing four sub segments depending on the end user profile. Automotive paints. arine )aints.

)o%der )aints Figh )erformance coatings <ther general industrial finishes. In India, decorative paints dominate %ith the share of B4C of the total paints consumed %hile in developed countries Industrial paints have a share of 40 - B0C. ,ecorative )aints used in buildings include distempers, emulsions, synthetic Enamels, +ement pains and "ood finishes. Interior )aints

makeup of the segment. The rest is made up of exterior paints mainly cement paints. PLAYERS IN DECORATIVE PAINTS In decorative paints Asian )aints dominates %ith a DBC market share and number t%o player :oodlass Nerolac has a market share of @1C. These paints are by medium technology and hence the unorgani&ed

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sector has a ma*or share. A recent estimate that over /100 companies are in unorgani&ed sector.

INDUSTRIAL PAINTS Industrial paints include automotive paints Goriginal auto

manufactures and refinishesH, )o%der coatings marine paints high performance coatings and special purpose finishes. These are technology intensive and hence the presence of the unorgani&ed sector is very limited. In fact, there is no presence of the unorgani&ed sector in the original paints. This can be explained by the fact that to bag an order from

automobile manufacturer collaboration %ith a %ell kno%n foreign paint company is a must :oodlass Nerolac is an un disputed leader n industrial paint. Till early A0Is paints %ere treated a s luxury items by the governments this resulted in higher excise duty and higher end prices, leading lo% consumption of paints in India. Fo%ever the progressive reduction of the excise duty from 10C in AD5A1 to @JC in A35AB, the companies have passed on the duty reductions as price cuts. Fo%ever the per capita consumption of India is still a merge of .4 kg compared to /3 kg in >.$ and @./ kg in Thailand.

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As already mentioned paints %ere vie%ed as luxury item by many even today. Their productive value is not under stood and repainting is limited and if ever done is once in B - @0 years. The government interest to protect all surfaces is also lo% and the loss due to corrosion is estimated to be over 9s. 4000 crores p.a. #y the central Electro chemical 9esearch institute at ?araikad, Tamilnadu. "ith a vie% to emphasing the importance of protection through painting the Indian paints Association GI)AH had brought slogan in @AA4 ')aint and )rotect(. This slogan is populari&ed through various

communications ho%ever a lot needs to be done to reach the millions of customers effectively. DEVELOPMENTS IN VARIOUS SEGMENTS T%o significant developments took place in the last three years in the decorative paints segment. Advent of +omputeri&ed +olour ,ispenser $udden increase of Exterior C*+*(" Dis0!ns!": Traditionally companies used to supply pre mixed shades to dealers %ho in turn offered to their customers. Asian )aints brought in the manual colour dispensing concept in @AAJ and offered @4@ shades through it. This %as the first salvo in offering
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arket.

in variety of shades. This concept took off and Asian )aints %ent about establishing /000 colour corners %hich %ould stock the @4@ shades. Additional shading requirements %ere catered by providing colours as per the demand after mixing the bases %ith strainers through colour dipencer other companies follo%ed it soon and :oodlass Nerolac introduce ed D0@ shades under the same concept. In @AA4 .henson and Nichelson, the 4th ranking company in the industry, pioneered the concept of ++,. And started installing them at dealer shops %ith the support of TI??>9I=A of !IN=AN,. The concept is similar to that of the manual colour dispenser except that the dispensing is automatic pre decided formula registered in the computer and the shades are offered instantly shops to customers. Today #erger )aints, is the /nd +ompany to enter this system offering 4000 shades a clear indication of the trend. In the year @AAB5AJ has seen the introduction of the concept by the t%o giants. Asian )aints and Nerolac. Today around @000 dealer shops are installed this concept. ++, or it is called 'A>T< +<=<>9 ,I$<EN+E9( have helped the dealers to reduced their inventories offer a large variety of shades instantly, consistently and accurately. +onsumer have also benefited by this concept as the shopping environment has changed dramatically %ith the advent of ++,. E,TERIOR MAR2ET

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The second development is the introduction of the @00C Acrylic Exterior )aints and the focus of ma*or companies on the Exterior )aints market. Traditionally, the exterior paint market %as catered to by

?I==I+? NIK<N and several other small players. The main offered %ere cement paints in India. #ut the real change has be thought by Asian )aint through A)EK - its @00C exterior paint market has started gro%ing exponentially. In @AAA Nerolac introduced EK+E= in the category and offered qualitative product at lo% material cost. #oth Apex and Excel have propelled the exterior paints gro%th by over 30C in /00/ and the trend is expected to continue for at least of three more years. A ma*or development in @AAB5AJ %as the ')ay by scooter E car( concept by companies. As practiced in %estern countries, in India also the concept of taking care of the complete painting *ob has been under taken by paint companies. :oodlass Nerolac has commenced this concept %ith ahindra cars by managing the entire paint shop and being paint on the basis of per painted cars. Asian )aints also follo%ed it up %ith a similar tie up %ith = = for its scooters.

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PO3DER COATINGS The other 'industrolycoat po%ers(, in collaboration %ith 6AI$)A9 +<9)<9ATI<N of >.$. Figher performance coatings is another rapidly gro%ing segment %hich is used at fertili&er E sugar plants, airports, big construction pro*ects, #erger, Asian., Nerolac dominates this segment due to their international collaborations and high quality range of products. PAINTS DEFINED Technically paints can be defined as a homogenous fluid made from our ingredients namely pigments, resins, solvents and additives %hich the ra% materials can be classified into four categories. formation consists of over 400 input materials. Fo%ever the key ra% materials are )igment85 Titanium dioxid 9esins85 )AN,)entaerythrill Together these constitute 10540C of the total ra% material dependent on the category of paints. A typical paint

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To conclude the follo%ing are the critical factors in success in decorative and industrial paints.

DECORATIVE PAINTS anaging logistics anaging input costs

!ocus on rural markets and vie%ers segments $trong marketing and brand equity 2uality and technology INDUSTRIAL PAINTS International technology +onsistent quality +ustomers service +ompetitive price +ontinuous innovation. PAC2AGING Asian )aints has four production plants and each has four distinct packing pattern. $o that the %ork of the godo%n in charge becomes easier in recogni&ing the tins from %hich plant they have come. The packing is as follo%s Anklesh%ar

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#handup )atancheru ?asna And the products are packed as

Enamels

/0, @0, 1, @ liters 400, /00, @00, 40 ml

,istemper Emulsions

/0, @0, 4, /, @ kgs. /0, @0, 1, @ liters.

PLANT IDENTIFICATION )lant identification marks for cartoons, drums, tins are given belo%. B)an (0 0+ant @. All liter number %ill be four digit starting from @00@. /. Alphabets # as label indicate #handup plant D. ,rums %ill not have any brands on the top side 1. +artoons %ill not be #lue in colour. An4+!s)5a" 0+ant All liter number %ill be four digit starting from /00@.

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 Alphabets A as label indicate Anklesh%ar plant ,rums have one brand on the top side +artoons %ill red in colour.

Pata&n&)!"( 0+ant a. a. b. c. 2asna 0+ant @L. /. D. 1. All liter number %ill be four digit starting from100@. Alphabets ? as label indicate ?isna plant ,rums have one brand %ith three dots %ith nine alternatives. +artoons are bro%n in colour. All liter number %ill be four digit starting from D00@. Alphabets p as label indicate )atacncheru plant ,rums have t%o brands on the top, one dotted line. +artoons green in colour.

PRICING In the narro%est sense price is the amount of money charged for a product or service .

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)rice has ben the ma*or factor in affecting buyer choice. This is still true in poorer nations, among poorer groups and %ith commodity products. Fo%ever non price factors have become more important in buyer choice behavior in recent decades. "ith respect to Asian )aints there are t%o price lists. ,ealers price list aximum price list.

D!a+!" 0"i&! +ist: It is applicable to dealers and consists of their trade discount of DC, additional trade discount of DC, cash discount 4C. If %ritten in equation ,)= M trade discount DC N Additional trade discount of DC N +ash discount of 4C. Ma6i$($ P"i&! List: )= M consists of dealers price list - trade discount DC 5 additional trade discount DC 5 cash discount 4C N local tax.

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Those dealers %ho has regular payment of performance are benefited largely by cash discount and those dealers %hose payment is not regular do not get products. The company operates at a very lo% over due outstanding rate. Thus it can be said that the company has very stringent rules regarding the credit given to the dealers. PROMOTION odern marketing call for more than *ust developing a good product pricing attractively and making it available to the target customers companies also must communicate to their customers and %hat they communicate should not be left to chance. Asian )aints promotional activities consists of advertisements, schemes, point of purchase, painters schemes. The advertisement activities are given to <:I=6O AN, ATFE9

%ho has designed the advertisements as sho%n and partly by contract ad agency. TARGET GROUP According to the information provided by the company personnel the target group differs from product to product. Eg8

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>tsav 5 ,istemper 5 9oyal 5

rural Gchunna and distemperH middle income group higher income group

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FACTORS BEHIND SUCCESS OF ASIAN PAINTS Asian paints %as founded in @A1/ as a small Indian partnership firm at a time %hen the paint industry %as fiercely competitive. T%o

marketing breakthroughs propelled the company to leap into the decorative segment. The first %as the introduction of smaller si&ed cans into the market %here the paint %as sold in bulk. The second %as a dealer expansion thrust to reach out to end customers and offering them quality paints %hich %ere hitherto available to them in the urban areas only. These t%o steps meant going beyond selling paints and, in particular responding to the customers unmet need. The result %as that in @A3B, Asian paints captured to the top position in the decorative paint segment. Today the company is not *ust a leader in the paint industry but sells t%ice as much paint as any other company in India. In @AA15A4 the company had a turnover of 9s. 3@1 crores and DJC share of the organi&ed paint market Ma"4!tin# St"at!#i!s The success of Asian )aints is primarily attributed to marketing acumen. The company has made excellent use of the electronic and print media, besides publishing informative brochures for all its products. The companyIs mascot ':attu( created to give an ethnic touch has almost become synonymous %ith the generic product.

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C"iti&a+ S(&&!ss /a&t*"s Dist"i'(ti*n The marketing success of Asian )aints %as based on the reali&ation that the semi5urban %as untapped and the small consumer neglected. To reach those consumers in small to%n, the company built a broad distribution net%ork across the %hole country. !rom small to%ns Asian )aints moved to reach out to the metropolitan market. Today, the

net%ork %ith @B,000 retailers across the country is making the company responsive to a large customer base. Us! */ In/*"$ati*n T!&)n*+*#1 To strengthen the distribution net%ork, the company has gone in for computeri&ation at the branch and the depot level. All branches and 14 depots across the country are connected to the four plants and the )roduct anagement :roup at the Fead <ffice through the 6$AT. The

use of the IT has meant faster flo% of information, more efficient management of supplies, and better inventory control. 3i t) */ P"* (&t Lin! #ased on the surface on %hich they are applied, decorative paints are usually classified as %all, metal, %ood and plastic finishes. The

products could be emulsions, enamels, varnishes, automotives, or undercoats. Their end use could be in the sign board, bus body, industry or household segments.

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Asian )aint has offered brands in all possible applications. !or instance8 $ynthetic E Acrylic "ashable ,istempers 8 Tractors Acrylic Emulsion 8 Apcolite G2uality I,H 9oyale Gpremium categoryH )lastic emulsion )aint GInteriors E ExteriorsH 8 ,ecoplast G2uality IIH, Apex G2uality IH. $ynthetic Enamel 8 Apcolite, :attu )acket ,istemper 8 >tsav "ooden $urfaces 8 Touch "ood, $ilk%ood, Apcolite Natural "ood finish +ement )aint GexternalH 8 :attu In (st"ia+ S!#$!nt :eneral Industrial !inishes 8 Apcolite GFammerton !inishH <ther Industrial )roducts 8 Expory +oatings, +hlorinted 9ubber finishes, viny I P )olyurethane $ystems. A(t*$*ti%!s ?irlo - an Acrlic )aint, Apca - nitro5cellulose based )aint, Aspa - an Allkyd, autocare.

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P"i$!"s Asian etal )rimer 9edoxide etal

Tractor 9edoxide )rimer for "oodrite for "ood $ubstrate ,ecorative - +ement )rimer TECHNOLOGY TIE7UPS

The company has a technical collaboration %ith )I: of the >,$ and Nippon )aint +o, .apan for the manufacture of automotive paints, po%der coatings, and coil coatings. Through this move, Asian )aints remains a step ahead because companies like ,ea%oo and :eneral otors that use

)): paint overseas are likely to source their automobile paint requirements from Asian )aints. Technical inflo%s G !rom $igma +oating of the NetherlandsH have also added to manufacturing capabilities in the areas of heavy5duty marine coatings, anti5corrosion paints and high5tech resinsGthat serve as ra% materialsH, thus ensuring that product quality even in sophisticated items match international standards. P"* (&t +in! E6t!nsi*ns As stated earlier under conceptual issue, line extensions, as a part of marketing strategy is a lo%5cost, loss5risk %ay to meet the needs of

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various customer segments. It can satisfy customersI desires to provide a %ide variety of brands under a single umbrella or family name. Asian )aints strategy to penetrate into the hitherto unexplored distempers market %as a similar move, %hich %as a departure from its earlier strategy of concentrating on higher5end products. N!5 Ma"4!t P!n!t"ati*ns The search of ne% markets and overseas opportunities has led the company to neighboring Nepal and the distant $outh )acific Islands - !i*i, Tonga and the $oloman Islands. The company also exports its to the iddle East, $outh East Asia and Europe. La(n&) */ +*5 0"i&! '"an as #"*5t) st"at!#1 In late @AA/, Asian )aints introduced the brand called 8Utsa%9 as a long term strategy to penetrate the rural market. The overall marketing strategy adopted by Asian )aints for this distemper is no% detailed. Ent"1 int* t)! +*5 !n ist!$0!" $a"4!t

The 9s. /01B paints market has a pyramidal structure. At the very top end are Qpremium emulsions priced at about 9s. @44 to 9s. @B0 per literEkg G%hich comprise brands like 9oyale and 6elvet touchHR next are the synthetic emulsions at the range of 9s. A0 to 9s. @04 per liter G e.g. Apcolite, Nerolac, ,ulux and 9angoliHR and at the base is the distemper segment G%ith Asian )aints TractorH bet%een 9s. DD and 9s. 10. There %as

29

a huge untapped market at the lo%er end %hich no organi&ed player had attempted to tap. This comprised largely packet distempers, dry

distempers and lime ash, ha%ked in a brand band of 9s. D to 9s. /4. R!as*n /*" !nt"1 Around @AA@ a recession in the user industries and hike in the excise rates had slo%ed the industry gro%th rate to /./C. Asian )aints reali&ed, that to overcome this phase of stagnation, it had to penetrate ne% markets and real volumes %ould come only be converting consumers using lime%ash, dry distemper, cement paint or other local painting methods into branded paint uses. This %ould also expand the market base, besides reaping it the 'first mover advantage' among the ma*or producers of the paint industry. All the company need %as ne% paint to penetrate into this segment. Ba""i!"s t* Ent"1 No data on market si&e, consumer buying habits, etc., on the distemper market. 9egional brands, many in number, had an established clientele. >norgani&ed sector brands %ere priced lo% and offered heavy dealer discounts to push their brands. National players E arket leader risked losing premium image and

quality association by entry into this lo% priced segment.

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 +onsumer preferences heavily influenced by regional cultures, lifestyles, hence the market %as fragmented. $ervicing a huge semi5urban and rural market %ould entail huge up5 front investment, %ith returns not assured. ,ominance of packet distemper brands, e.g., ,ilkash and =akmi, %hich filled the aspirational value slot. C*$0an1 s0!&i/i& 0"*'+!$s - Disin&!nti%!s =arge price differential bet%een the company distemper brand Tractor G)rice 9s. 14 H and the unorgani&ed sectorIs products G9s.D5/4 H. ,anger of eroding TractorIs equity if a lo% price variant is introduced. Threat of substitution of the higher period Tractor brand by the cheaper one by the painter, %hich had a poorer finish resulting in customer dissatisfaction. T)! C*$0an1:s C*$0!titi%! a %anta#! Figh degree of a%areness about the company among the target market constituents. +ompany regarded as a quality5produce maker. arket leader, financial and marketing strength to sustain investment pressures

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 +ore competence in paints, %ide variety and %ell5developed 9 P ,. "ide dealer net%ork and good information base about different markets. T)! T*ta+ St"at!#1 /*++*5! (a) St"at!#i& T)in4in# This %as influenced by the follo%ing factors8 B0C of the Indian houses %ere of the non5pucca variety. )ainting of the hose, especially interiors, %as a deeply entrenched habit. "all5)aints usage %as dominated by lime %ash and dry distempers. #randed paints %ere perceived to be out of reach by the ordinary consumers. )enetration of all ma*or paint brands put together %as /1C of the users. The company reali&ed that the only option it had %as to reduce margins and relentlessly chase volumes. #ut to achieve volumes, a high penetration in the rural and semi5urban markets %ould be required. (') P"* (&t an P"i&!

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The company reali&ed that it %ould have to develop a brand that %ould offer '6alue for oney(. Fence in late @AA/, it unveiled its ne%

distemper >tsav, the name denoting seasonal and festival5oriented relevance of the product. It %as position as do5it5yourself, oil5based5

distemper. At 9s. /3 per kg, it greatly narro%ed the price differential and brought, for the first time, a ma*or branded paint %ithin the reach of the price5conscious consumer. The packet si&e %as fixed at @ kg, a small si&e, since the users had smaller5si&ed houses and did not require large pack si&es. Also, the

product %as found to cover more surface area than other products. The product as offered inn eight ne% shades, typically in deep colours, keeping the end5user profile in mind. (&) P+a&! - Dist"i'(ti*n 9egion %ise launch of the brand, to coincide %ith regional festivals. !ocusing on the north Indian arket, the largest, %as scheduled to

incorporate market feedback from the other regions and change the marketing5mix elements if required. +ompany salesman linked up %ith sub dealers and petty dealers, usually grocers, in villages and small to%ns, %ho in turn %ould be serviced by the companyIs established @4,000 strong dealer net%ork.

33

 >ndertook

innovative

promotional

campaigns,

like

arranging

demonstration sessions, besides using the regional media and local print media, and customer education to create strong brand pull that %ould help increase of take and provide the small retailer the incentive to stock >tsav. There %as also the prestige element in stocking Asian )aints products, %hich the company exploited to the hilt. The +ompany funded its GestablishedH dealers transportation

overheads incurred in reaching out to the ne% J0,000 odd outlets. ( ) T)! U+ti$at! >tsav has been a success in the markets %here it has been launched. It has overcome the main hurdle of dealer and consumer resistance. The brand has gained market share at the expense of local packed distemper brands. argins for the product are lo% about /5DC, %hile

the higher end brands fetch /0C. Fo%ever, the product has provided the company a clear advantage. It can no% use its rural net%ork to build its entire economy range comprising the Enamel range :attu and other products like primers. Thus it has a clear head start over its competitors in the volumes game.

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PROFILE OF ASIAN PAINTS

Today Asian paints is the market leader in the paint business of India, commanding a market share of more than D4C in organi&ed sector . ItIs Annual sales turn over us around 9s. //.3 billion. Asian paints - one of the largest among the top @0 decorative paint companies in the %orld. It operates in // countries across the %orld serving consumers in over 34 countries. !orbes global maga&ine >$A ranked Asian )aints among /00 best small companies in the %orld for /00/, and in the year /00D presented the '#est under the #illion( a%ard to the company. It is one and only the company. <ne of the country leading business maga&ine '#usiness =ine( in !eb /00@ranked Asian paints as the ninth best employer in India. A survey carried out by Economic Times in .anuary /000 ranks Asian )aints as the fourth most admired company across industries in India. A talent pool of 1B00 employees employed across /D countries.

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The closest competitors of Asian paints do not have even half of Asian paints turn over in other ma*or performance factors like )rofits, Asian paints is far ahead all it competitors in the industry. The achievement of such an over %helming leader ship position, by a company that is fully Indian in capital management is an industry traditionally dominated by multinationals is certainly a grand feat. Fo% did Asian paints achieve this success7 Naturally, it %as the cumulative result of a package of strategies %ith respect to market targeting, product mix distribution and other aspects .The maximum credits for success should, ho%ever go to its distribution strategy. It %as through its distribution that Asian paints took its marketing endeavor to perfection. Asian paints A./C stack in I+I India =td. It acquired controlling stack in #erger International =td., $ingapore. And it begins #angladesh operations. It makes the company eleventh *oint venture in international. THE COMPANY Asian paints manufacturers and markets a %ide spectrum of coatings and ancillaries, %hich include decoratives, protection paints and heavy duty coatings. The manufacturing facilities of the company for paint products are currently spread over four locations ; #FAN,>) AFA9A$T9A @A44

36

; AN?=E$"A9 ; )ATAN+FE9> ; ?A$NA

:>.9AT A.).

@AJ0 @AJ@

The manufacturing of paints in patancheru started in @AJ4. Asian paints, their modern manufacturing facility offers the %idest range of paints among all the paint companies in India, in terms of products shades as %ell as pack si&es. Asian paints have promoted 4 successful overseas subsidiaries. Asian paints has been turning out consistency good performance over the years. !or more than t%o decades no%, it has continuously been the leader in the industry. #esides being the market leader the company has also respectively provided its excellence in terms of operating performance %hich has earned the company a place among the %orlds leading manufacturers. And Asian paints logo ':ATT>(, the impish boy holding paint tin and brush is one of the most recogni&ed and most prosperous mascots in Indian business. DISTRIBUTION In an industry the availability of stocks is crucial determinant of sale, control of material units assumes great significance especially since Asian paints offer the %idest range of products, shades and packs to the @D000 dealers in the country through the net%ork of over 1B depots.

37

This is achieved through a sophisticated material distribution system %hich optimi&es production and movement from plants and meshes it %ith demand pattern in the market.

The distribution system monitors the dispatch of materials from plants E other processing units to the branches E depots directly or through the %arehouses or regional distribution centre. A bonded store room G#$9H in one %here in material for %hich excise duty has not been paid is stored. Each plant has a bonded store room %here material is sent immediately after production. As and %hen these materials are dispatched it moves out of the bonded store room. Excise duty is livable at applicable rates on actual movementIs basis. ,uring the course of this section and subsequent sections reference %ill often be made to an $?> and $A>. An sku is acronym for stock keeping unit %hich is combination of particular pack, product, shade. Eg. Apcolite synthetic enamel 400ml 400ml bus green is one sku sky blue is one sku

Apcolite synthetic enamel CLASSIFICATION OF S2U

All products can be divided into ba&aar and industrial on the end use. #a&aar and industrial item can further be divided into inventoried and non inventoried items
38

Inventoried sku are those for %hich constant demand for %hich sales forecast %ith a degree of certainty.

FORM7A #a&aar sku inventoried at company E branches E depots. The supply of skuIs is affected through multi plant distribution system. FORM7B #a&aar skuIs %hich shades are under the specific focus of management group ne% products, packs are not inventoried at all branches E depots. FORM7C; 9egular ba&aar s4( inventoried at branch E depotE but not at company level. FORM7C< #a&aar s4( not inventoried at the branch E depotsE company levels. FORM7D Industrial inventoried s4(=

39

FORM7E Industrial not inventoried s4(=

FORM7F All non confirming stocksG This includes damaged stocks defective stocks, old stock -packed before Dyrs for trade products and beyond validity period for the industrial products. CUSTOMER ACCOUNTING PROCEDURES TYPES OF CUSTOMERS @. =ocal dealers /. 9etail sales E cash salesE MODE OF PAYMENT =ocal cheques E pay order =ocal cheques party is kno%n as pay order upcountry dealers or cash location, local cheques if the dealer has local bank account. Industrial customerIs local cheques, ,., payable locally. In case absolutely necessary an upcountry cheques or ,.,Is. +ash E local cheques 55 ,ate of collection memo @. >pcountry cheques 5 Bdays from the date of collection memo as it takes around Bdays for an up country cheques to be cleared.

40

/. ,,E)ay date of ,, as the ordered customer is debited as soon as ,, is purchased by the customer. Although the company may not be creditedGi.e the customer is given the benefit.H

PLANING PROCESS P)as!7I

In the sales function the planning is as follo%s

' arket assessment( It consists of assessment of market and market share for total and ma*or products, gro%th assessment segment %ise for this purpose retail audit is conducted. All the sale representatives collect data form each retailer. P)as!7I I 8<b*ectiove fixation( #ased on the above analysis all units should set ob*ective of achievement of total sales volume E sales gro%th. 6olume sales strategically important products like emuilsions auto refinishes, %ood finishes and collection efficiency. P)as!7I I I In this phase plan for meeting the budget sho%n be dra%n up. These plans involving product E segment focus, to%n focus, dealer focus %ould form the basis of the planning document.

41

P)as!7IV 89esource planning( It consists of A8 'man po%er planning( #8 input plans +8 sales promotion plans

PROFITS Asian )aints during the year /00D - /001 made huge profits.

Though the company has stringent rules and regulations regarding to%ards the credit policies and payment bills, dealers demanding to extend the credit period. In spite of having such stringent policies the company managing such a profit is something %hich has been attained by %ork of great managers and sales staff of the company. It indicated the planning an the performance of the company personnel %hich made the company dominate the decorative paints segment, and the %hole thing is backed up by quality, of the paints. Asian )aints net sales rise by @3.0JC and net profit rise by @D./1C in /00D5/001. And announces dividend to the share holders SD4C. PRODUTION CAPACITY The company has four production centers to cater to the needs of the customers in India they are as follo%s

42

AN?=E$F"A9 #FAN,>) )ATAN+FE9> ?A$NA The production plats are like four pillars to the company and the company is planning to set up a ne% plant by expanding its capacity. The aggregate capacity of the four plants roughly mounts to B000 tones E month in the decorative paints segment. NE3 PRODUCTS DEVELOPMENT Asian paints have got a full fledged research and development function to counter the competition and produce the technologically advanced products to provide a better service to the customers. The research and development and the management has a plan to Bproduce four ne% products every year. And the ne% products added till dates are ; ; ; ; ; A)EK anti fungal exterior paint A+E economy emulsion >tsav Asian %all putty N+ sanding sealer

and in the future the tally is going to be increased by their research and development function. LOGO

43

=ogo is a symbol %hich represents the company by looking at the logo any one %ho has little kno%ledge about the paints %ould say that it is gattu and the company is Asian )aints. A boy standing %ith a brush and a paint tin is famously kno%n and the logo for Asian )aints %hich is a popular one has been designed by 9.?.=AK AN a %ell kno%n cartoonist.

THEORTICAL ASPECTS
INTRODUCTION: TodayIs companies are facing their toughest competition ever. +ompanies can outdo their competition if they can move from a product and sales philosophy to a marketing philosophy. The success of the companies lies in doing a better *ob of meeting and satisfying customer needs. <nly customer5centered companies are adept at building customers, not *ust building products. <ver D4 years ago, )eter ,rucker observed that a companyIs first task is 'to create customers.( #ut todayIs customers face a vast array of product and brand choices, prices, and supplies. No% the customers started estimating %hich offer %ill deliver the most value. +ustomers are value5maximi&ers, %ithin the bounds of search costs and limited kno%ledge, mobility, and income. They form an

44

expectation of value and act on it. "hether or not the offer lives up to the value expectation affects customerIs satisfaction. CUSTOMR A3ARENESS: +ustomers are informed and remaindered about the products and are requested and persuaded to purchase their products. $uch

communication may be made their along the product or %ell in advance of the introduction of product into the market. $uch communication

becomes necessary %hen a ne% product or service is introduced in the market or an old product is improved or it is simply to increase the sales of the products. 'A5a"!n!ss &*$0ass!s a++ t)! t**+s in t)! $a"4!tin# $i6 5)*s! $a>*" "*+! is 0!"s(asi%! &*$$(ni&ati*ns=9 PHILLIP 2OTLER The main features of a%areness are8 @. +ustomers are informed about the product or services of the company. Either at the time of introduction of a ne% product into the market or %hen any change is made in the existing product. /. +ustomers are reminded of the products and services of the company. D. +ustomers are requested or persuaded to purchase the product and services of the company.
45

1. A%areness includes, advertising, personal selling and other sale promotion techniques. +onsumers must have a%areness about the ne% products and their usage. $uch activities are performed by the manufacturer. It is the

responsibility of the producer to get information about the consumers and prospective consumers so that the necessary product may be served to meet their demands. $ub*ect matter companies must do more than make good products they must inform consumers about the product benefits and carefully position products in customers mind. To do this must skillfully use the mass promotion tools like advertising, sales promotion and public relations, personal selling, publicity. ADVERTISING: Advertising is defined as any paid form of non personal presentation and promotion of an idea, goods or services by an identified sponsor. 8T)! '!st a %!"tisin# is *n! '1 satis/i! &(st*$!"s=9

77 PHILLIP 2OTLER Advertising can be traced back to the beginning of the recorded history. Archeologist %orking in the countries around mediterrian sea

46

have dug up signs announcing various events and offers. The roman painted %alls to announce :ladiator fights, and the )hoenician painted pictures promoting their %aves and large locks along parade routes. In @AAD advertisers ran up of bill of more than T @DJ billions

through advertising is used mostly by business firms it is also by a %ide range of non profit organi&ation professionals social agencies that advertiser target to various target publics. Ma>*" D!&isi*n In A %!"tisin#: A %!"tisin# has the impersonal contact and gives message to the receiver. The advertiser uses visual media like ne%spapers, maga&ines, radio, television, posters and pamphlets. There is no feedback to kno% the response from the people. Advertising is directed to%ards consumers. This leads to more expenses and so the things become an costly affair. ;= A %!"tisin# O'>!&ti%!s aH To inform bH To persuade cH To remind <= S!ttin# t)! a %!"tisin# '( #!t After determining the advertising the ob*ectives, the company next sets its adverting.

47

 #udget for each product. The role of advertising is to effect demand for the product. Fo%ever some specific factors are that should be considered %hen the setting the advertising budget. aH $tage in product life cycle. bH arket share cH +ompetition dH Advertising frequency eH )roduct differentiation. ?= M!ssa#! D!&isi*n A large advertisers can spent the same amount on advertising, yet have very different results studies sho% that creative advertising message can be more important to advertising success than the number of dollars spent. @= M!ssa#! St"at!#1 The purpose of advertising is to get consumers to think about or react to the product company in certain %ay. )eople %ill react only if they believe that they %ill benefit form doing o. Effective message consist of customers benefit, creativity, eanings, distinctive in nature.

A= Ma>*" st!0s in $! ia s!+!&ti*n= aH ,eciding on reach, frequency, impact

48

9each is a measure of the percentage of the people in the target market %ho are exposed to the ad campaign during a given period of time. !requency is a measure of ho% many times the average person in the target market exposed to the message. Impact - qualitative value of a message exposure through a given medium.

bH +hoosing various media types8 Ne%spapers aga&ines

Televisions 9adios <utdoors Internet cH edia timing

SALES PROMOTIOIN It includes activities other than advertising, personal selling, publicity and public relations %hich are used in promoting sales of the product or in persuading the customer to purchase the product. ,istribution of samples, premium coupon, point of purchase display, off5 spring etc., are the examples of sales promotion techniques.

49

Sa$0+!s 7 <ffers to consumers of a trail amount of a product. C*(0*ns 7 +ertificate that give buyer a saving %hen they purchase a specified product. R!'at!s (&as) "!/(n *//!"s) It offers to refund part of the purchase

price of the product to consumers %ho send a 'proof of purchase( to the manufacture. P"in&i0+!s 7 It reduce prices that are marked by the producer directly on the label or package. P"!$i($s :oods offered either free or lo% cost and incentive to buy a product. A %!"tisin# s0!&ia+ti!s - useful articles imprinted %ith an advertisers name given as gift to consumers. Pat"*na#! "!5a" - +ash or other re%ards for the regular use of a certain companies products or services. P*int */ 0("&)as!(POP) - It displays and demonstration that takes place at the point of purchase of sale. Dis&*(nt - $traight discount on price on purchase during a period of time. PUBLIC RELATIONS

50

Another ma*or promotion tool ism public relations - building good relations %ith the companies various publics by obtaining favorable publicity, building up a good '+orporate image( and handling off unfavorable rumors, stores and events. The old name for marketing

public relations %as publicity, %hich %as seen simply as activities to promote a company or its products by planting ne%s about it in media not paid for by the sponsor. )ublic relations are much broader concept that includes publicity ass %ell as many other activities. department may perform follo%ing functions. )ublic relations

a) P"!ss "!+ati*ns +reating and placing ne%s %orthy information in the

media to attack attention to a person, product or service.

b) P"* (&! 0('+i&it1 )ublici&ing specific products. c) P('+i& a//ai"s #uilding and maintaining national or local community

relations.
d) L*''1in# #uilding and maintaining national or local community

relations.
e) In%!st*"s "!+ati*ns

aintaining relationship %ith shareholders and

others in the financial community.

f) D!%!+*0$!nt )ublic relations %ith donors or members of non profit

organi&ation to gain financial or volunteer support.

51

PERSONAL SELLING $elling is one of the oldest professions in the %orld. The people %ho do selling go by many names. $ales people, sales representatives, Account executives, $ales consultants, $ales engineers, Agent ,istrict managers, and representatives to name *ust fe%. $ales person, an individual acting for a company by performing one of more follo%ing activities. )rospecting, communicating, $ervicing and information gathering. PUBLICITY )ublicity is a non5personal not paid stimulation of demand of the products or services or business units by planting commercially significant ne%s or editorial comment in the print media or by obtaining a favorable presentation of it upon radio, television or stage. arketing

52

53

E6)i'it :; CUSTOMER PURCHASING PATTERN

O&&(0ati*n #uilders +ontractors Engineer <thers Total G"a0) :;

F"!B(!n&1 44 1 @ 4 34

C*/ R!s0*n !nts J4 3 @.4 B.4 @00

8% 2% 6% Builders Contractors Engineers Others 84%

54

INFERENCE: !rom the above table it is found that J4C of the product purchasers are builders. It is found that 3C of the customers are contractors. @.4C of product purchasers are engineers and B.4C of product bought by others. It is clear from the above data above, that J4C of the customers are builders because they do painting before handing over the houses to the respective o%ner.

55

E6)i'it :< E,PERIENCE IN PAINTING PROCESS

N*= */ R!s0*n !nts

E60!"i!n&! R!s0*n !nts

C*/ R!s0*n !nts @00

34

34

G"a0) : <

0%

100

100%

56

INFERENCE: It is found that all the respondents have experienced in painting process, even though, the buyers are purchasing then products for the @ st time, since it is kno%n that buying of paints can be not only for self but even for other such as relations and friends.

57

E6)i'it :? APPRO,IMATE BUDGET TO3ARDS PAINTING

Va+(! */ t)! B( #!t

F"!B(!n&1

C*/ R!s0*n !nts

#elo% 40,000 40,000 - B4,000 B4,000 - @,00,000 Above @,00,000

@/ 1 /0 /A

@J 3 D@ 14

G"a0):?

Below 50,000 50,000 - 75,000 75,000 - 1,00,000 !o"e 1,00,000

58

INFERENCE: !rom the above table out of 34 respondents it %as found that @JC of the respondents are in budget belo% 9s. 40,000E5 %hich means they are ready to spend for paints. 3C of the respondents are in budget bet%een 9s. 40,000E5 to 9s.B4,000E5. D@C of the respondents are in budget bet%een 9s.B4,000E5 to 9s.@,00,000E5 and the remaining 14C of the respondents are in budget above 9s.@,00,000E5. $o it %as found that maximum numbers of respondents are ready to spend upto 9s.@,00,000E5 and above for paints.

59

E6)i'it :@ USAGE OF DIFFERENT INTEROIOR PRODUCTS Int!"i*" P"* (&ts Enamel ,istemper )olish Emulsion F"!B(!n&1 @1 D1 1 @D C*/ R!s0*n !nts // 4/ 3 /0

G"a0): @

Ena#el $iste#%er &olish E#ulsion

60

INFERENCE: !rom the above table out of 34 respondents, it is found that //C of the respondents are in requirements of enamel paint for their interiors, 4/C of the respondents required the interior paint like distemper, 3C of the respondents are in requirement of Asian )aint polish, %hile the other /0C of the respondent are in requirement of Emulsion. In interior product usage, there is a greater demand for the distemper follo%ed by the enamel.

61

E6)i'it :A USAGE OF DIFFERENT E,TEROIOR PRODUCTS E6t!"i*" P"* (&ts +ement )aint Textured Emulsion )ermanent !inish $no%+em F"!B(!n&1 @/ D /D @ /3 C*/ R!s0*n !nts @J 4 D4 / 10

G"a0): A

Ena#el $iste#%er &olish E#ulsion

62

INFERENCE: !rom the above table out of 34 respondents, it is found that @JC of the respondents are in requirement of cement paint for their exterior purpose, 4C of the respondents are in requirement of textured, %here as D4C of the respondents required the Exterior )aint like emulsion and /C of the respondent are in requirement of permanent finish product, %hile the remaining 10C of the respondents are in requirement of $no%cem. $no%cem had a greater demand, because most of the middle class families are using $no%cem, and next to sno%cem the familiar product is emulsion.

63

E6)i'it :D LIFE E,PECTANCE FOR INTERIOR PAINTS BY CUSTOMERS P!"i* 3 months @ Oear / Oear 4 Oear F"!B(!n&1 5 5 A 43 C*/ R!s0*n !nts 5 5 @1 J3

G"a0) : D

2 'ear 5 'ear

64

INFERENCE: !rom the above table, out of 34 respondents, it is found that @1C of the respondents or customers are expecting the life of interior paint to be / years and the remaining J3C of the customers are expecting more than 4 years of lie, for their interior products. In details, if %e go, 'No customer is expecting life belo% / years(. And most of the customers are expecting their product life above 4 years.

65

E6)i'it :E LIFE E,PECTANCE FOR E,TERIOR PAINTS BY CUSTOMERS P!"i* 3 months @ Oear / Oear 4 Oear F"!B(!n&1 5 D // 10 C*/ R!s0*n !nts 5 45 D1 3@

G"a0) :E

1 'ear 2 'ear 5 'ear

INFERENCE:

66

!rom the above table, out of 34 respondents, %e can find that 3@C of the customers are expecting more than 4 years of life for the exterior paints and D1C of customers are expecting more than a life of / years, %hile the remaining 4C of respondents are expecting more than @ year of life for their exterior paints. No one among respondents are expecting the life of interior paint products for less than @ year.

67

E6)i'it: F TYPE OF FINISH RE.UIRED FOR E,TERIOR PAINTS BY CUSTOMERS

T10! */ Finis) $mooth Textured )ermanent <thers

F"!B(!n&1 11 @/ J @

C*/ R!s0*n !nts 3J.4 @J @/ @.4

G"a0): F

(#ooth )e*tured &er#anent Others

68

INFERENCE: !rom the above table, out of 34 respondents, A smooth type of finish is required by 3J.4C of the respondents %here as @JC of the respondents require a textured type of finish, and @/C of the customers require permanent type of finish, %hile the remaining @.4C of the customers require other type of finishes.

69

E6)i'it :G TYPE OF FINISH RE.UIRED FOR INTERIOR PAINTS BY CUSTOMERS

T10! */ Finis) ,istemper Emulsion

F"!B(!n&1 40 @4

C*/ R!s0*n !nts BB /D

G"a0): G

$iste#%er E#ulsion

70

INFERENCE: !rom the above table, out of 34 respondents, ',istemper finish( is required by BBC of the respondents, %hile the other /DC of the respondents require emulsion finishing for their interiors.

71

E6)i'it :;H 3OOD FINISH PRODUCT PREFERENCE BY CUSTOMERS

T10! */ Finis) EnamelGglassyH EnamelGsatinH elamine )oly >therene G<)A=H

F"!B(!n&1 4B 4 / @

C*/ R!s0*n !nts JB J.4 D @.4

G"a0) : ;H

Ena#el+glass,Ena#el+satin.ela#ine &ol, /therene +O& 0-

72

INFERENCE: !rom the above table, out of 34 respondents, it came to kno% that JBC of the respondents prefer for enamelGglassyH type of %ood finish, %here as J.4C of the respondents prefer for EnamelGsatinH type of %ood finish, and DC of the respondents prefer elamine and the remaining

@.4C of the respondents prefer poly5utherene type of %ood finish. $o it is clear from the above analysis that most of the respondents i.e.,JBC of the respondents are going for enamelGglassyH type of %ood finish.

73

E6)i'it :;; A3ARENESS ABOUT ASIAN PAINTS PRODUCTS A5a"!n!ss Oes No F"!B(!n&1 4A 3 C*/ R!s0*n !nts A0 @0

G"a0) : ;;

'es 1o

74

INFERENCE: !rom the above table, out of 34 respondents, it came to kno% that A0C of the respondents are a%are of Asian )aint )roducts , %hile the other @0C of the respondents are not a%are of Asian )aint )roducts. $o company can go for some more a%areness programme in order to capture the remaining una%are sector.

75

E6)i'it :;< A3ARENESS ABOUT COLOUR 3ORLD CONCEPT

A5a"!n!ss Oes No

F"!B(!n&1 /D 1/

C*/ R!s0*n !nts D4 34

G"a0) : ;<

'es 1o

76

INFERENCE: !rom the above table, out of 34 respondents, D4Cf the respondents are a%are of 8C*+*(" 3*"+ 9tinting machines concept of Asian paints, %hile the other 34C of the respondents are not a%are of this concept. $o, the company need to communicate about the a 8C*+*(" 3*"+ 9 tinting machine concept to the customers by conducting a%areness programme or by advertisement.

77

E6)i'it :;? CUSTOMERS: CHOICE OF COMPANY FOR INTEREIORS

Na$! */ t)! C*$0an1 Asian #erger Nerolac <thers

F"!B(!n&1 DB @3 4 B

C*/ R!s0*n !nts 4B /4 J @0

G"a0) : ;?

sian Berger 1erolac Others

78

INFERENCE: !rom the above table, out of 34 respondents, JBC of the respondents are opting for Asian Int!"i*" Paints, %hile /4C of the respondents are preferring for #erger Interior )aints, and JC of the respondents are opting for Nerolac Interior )ains, %here as the remaining @0C of the respondents are opting for some other companies for the interiors. $o, it is clear that Asian Interior )aint products have more customer preference %hen compared to other brands.

79

E6)i'it :;@ CUSTOMERS: CHOICE OF COMPANY FOR E,TEREIORS Na$! */ t)! C*$0an1 Asian #erger Nerolac <thers G"a0) : ;@ F"!B(!n&1 D/ @4 4J @0 C*/ R!s0*n !nts 40 /D @/ @4

sian Berger 1erolac Others

80

INFERENCE: !rom the above table, out of 34 respondents, JBC of the respondents are opting for Asian E6t!"i*" Paints, %hile /DC of the respondents are preferring for #erger Exterior )aints, and @/C of the respondents are opting for Nerolac Interior )ains, %hereas as the remaining @4C of the respondents are opting for some other companies for the interiors. "hen compared to interior paints, company exterior paints are not preferred by some of the customers %ho %ere preferring Asian paint interior products.

81

E6)i'it :;A TYPE OF GUIDANCE E,PECTED FROM COMPANY BY THE CUSTOMERS

T10! */ G(i an&! )rovide details on recent

F"!B(!n&1 /4

C*/ R!s0*n !nts DJ

development P products Educate on product features Appraise on product suitability ?no%ledge of sales ,iscount #udgeting %hile painting G"a0) : ;A @4 4 @0 @0 /1 J @4 @4

&ro"ide details on recent de"elo%#ent 2 &roducts Educate on %roduct 3eatures %%raise on %roduct susita!ilit, 4nowledge o3 sales $iscount Budgeting while %ainting (lice 6 ting

INFERENCE:

82

!rom the above table, out of 34 respondents, it %as found that DJC of the respondents are in need of guidance regarding the details on recent development and products, %hereas /1C of the respondents are in need of guidance regarding education on product features. "hile JC of the respondents are in need of guidance for appraise on product suitability. @4C of the respondents are in need of guidance regarding the kno%ledge on sales discounts. "hile the remaining @4C of the respondents are in need of guidance regarding the #udgeting %hile )ainting.

83

SUMMARY
)aint industry has sho%n a rapid gro%th in the last year /00D5/001, and since then there has been a decreasing gro%th in the industry. Asian )aints - one of the largest paint companies in India, %hich has sho%n a tremendous gro%th since its establishment, liberali&ation. This is an achievement, achieved by careful planning a follo%ing firm procedures set by the company management. Asian is qualitative company %ith strict rules and regulations. All the planning takes place at the central office umbai.

Each Asian paint production center has a distinguished packing so that by looking at the drum or cartons the plant identification become easy to the godo%n incharge. The company has a excellent distribution net%ork %hich is the prime reason for its success follo%ed by marketing plans. The company has a full fledge research of development function, %hose aim is develop and present ne% products every year. The price and selection of target is also done to protection. +onsidering the promotional part Asian )aints employed <gilvy and ather to attract the customers.

84

Asian )aints has developed many brands and %hich have %ell penetrated in the minds of customers. Ex8 Apcolite, Apex, A+E, etc., And Asian )aints %as the first to enter %ith manual color dispensing concept %hich took off %ith the advent of computers, Asian is not lacking behind in this they have developed '+olour "orld( for the consumers %ith @@40 shades to be selected from. The study of my topic is '+ustomer A%areness( %ith reference to Asian )aints India =imited. And Advertising, sales promotion, personal selling, public relations, and publicity are the customers a%areness programs to be conducted by the company .

85

FINDINGS
As a part of my study, survey on 8C(st*$!" A5a"!n!ss9 %as conducted during ay - .une /000. Important findings are concerning

from the customers, have resulted from the survey. They are summari&ed in follo%ing paragraph. There are 34 respondents in the sample of a study on '+ustomer A%areness(. The !irst and foremost observation that has been made from the study is that 'Asian )aints( is the leader in the industry of paints. It has a very high brand equity in the market. According to observations of the survey, price is the dominating factors, %hich influences the purchasing decision of the respondents follo%ed by quality, company name, coverage and service. +omparing to competitors Asian )aint +ompany )rices is high. !rom the analysis point of vie%, %hen compared to interior paints, company exterior paints are not preferred by some of the customers, %ho are preferring Asian )aints interior product. At last, most of the customers are satisfied %ith Asian )aint products, but at the same time they require guidance regarding the recent development of the products.

86

SUGGESTIONS
$ales promotion committee should be formed to formulate and implement

n!5 $a"4!t st"at!#i!s to compete %ith competitors and to extend the market share.
+ompany sales representatives must maintain "!+ati*ns %ith construction

companies as %ell as %ith painting contractors %ith the help of the dealers.
+ompany should conduct $!!tin#sI at least to make the customers to kno%

about the latest development in the paint industry and their products.
+ompanies should even &*n&!nt"at! on Exterior )aints as its market share is

very lo%.
A %!"tis!$!nt should be increased to update the image of Asian )aints in

the changing environment.

+ompany must look after, there is a &+*s! "!+ati*ns)i0 bet%een sales

representatives and dealers %ith the customers.

+ompany should maintain the &(st*$!" "!&*" s=

87

BIBLIOGRAPHY
)rinciples of anagement Philip Kotler arketing anagement Rama Swamy The Findu :uide aga&ines Business India 3EBSITE: %%%.asianpaints.com

88

CUSTOMER A3ARENESS
(A St( 1 5it) "!/!"!n&! t* Asian Paints In ia Lt =) A Project report submitted to Andhra University, Visakhapatnam in partial fulfillment for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

By

2= SRINIVASA RAO
Under the esteemed guidance of

M"= G= SRINIVASA RAOI M=S&=I M=B=A=IM=P)i+I P=G=D=C=A= H!a */ t)! D!0a"t$!nt

DEPARTMENT OF MANAGEMENT STUDIES SAMATA DEGREE J P=G= COLLEGE

(Affiliated to Andhra University and Approved by A I ! " #$

VISA2HAPATNAM7A?HH;E <HH?7<HHA
89

!#R"I%I!A"#
This is to certify that pro*ect titled UCUSTOMER A3ARENESSU %ith reference to Asian Paints In ia Li$it! I Visa4)a0atna$ submitted by M"= 2= SRINIVASA RAOI to the college of anagement $tudies,

SAMATA DEGREE J P=G= COLLEGE in partial fulfillment for the a%ard of the ,egree of MASTER OF BUSINESS ADMINISTRATION is a record of bonafide %ork carried out by her under my guidance and supervision.

)lace8 6isakhapatnam ,ate8

M"=G=SRINIVASA RAO
M=S&=I M=B=A=IM=P)i+I P=G=D=C=A=

F.<.,.P )ro*ect :uide $amata ,egree P ).:.+ollege, 6isakhapatnam.

90

AC2NO3LEDGEMENT
I express our deep sense of gratitude and indebtedness to M"s=R=VIJAYA RAVINDRA, )rincipal, Sa$ata D!#"!! an P=G= C*++!#!I 6isakhapatnam, for the encouragement given to me to complete the pro*ect and for the facilities provided to me through out the pro*ect. I am thankful to our guide and coordinator M"= G=SRINIVAS RAOI M=S&I MBAI M=P)i+I PGDCAI for his valuable guidance and kind cooperation right from the beginning of the pro*ect report. I am thankful very much for his kind constant encouragement and guidance sho%n during the course of our pro*ect. I also extend my sincere gratitude to the 6isakhapatnam Area anager of Asian )aints India =td., for giving me the opportunity to complete the pro*ect under their able guidance. I express my gratitude to M"= NAGA RAJU (A"!a Mana#!")I

M"= 2RISHNAM RAJU (P"*>!&t Sa+!s In&)a"#!)I for their continuous support and encouragement throughout my pro*ect %ork. =ast but not the least, I %ould like to express my sincere thanks to the respondents and my others not specially mentioned.

2= SRINIVASA RAO

91

CHAPTER I
INTRODUCTION OBJECTIVES OF THE STUDY NEED FOR THE STUDY METHODOLOGY LIMITATIONS OF THE STUDY

92

CHAPTER II
PAINTS THE COLOUR OF OUR LIFE PROFILE OF PAINT INDUSTRY (A P"*/i+!)

PROFILE OF THE COMPANY

93

CHAPTER III

THEORETICAL ASPECTS

94

CHAPTER IV

ANALYSIS J INTERPRETATION

95

CHAPTER V
SUMMARY FINDINGS SUGGESTIONS

96

Anne&ure

97

Bibliography

98

!'("#("S
Page (o CHAPTER I Introduction 'b*ectives of the Study (eed for Study -ethodology /imitations of the Study CHAPTER II Paints 1 "he !olour of our /ife Profile of Paint Industry (A Profile$ Profile of the !ompany CHAPTER III "heoretical Aspects CHAPTER IV Analysis of the Study CHAPTER V Summary %indings Suggestions BIBLIOGRAPHY ANNE,URES 4, 4. 4) 0) .+ 2 )3 ,, ) + , . 0

99

TABLE AND GRAPH INDE,

Ta'+! an G"a0) N*= @ / D 1. 4 3 B J A @0 @@ @/. @D @1 @4

D!s&"i0ti*n +ustomer )urchasing )attern Experience in )ainting )rocess Approximate #udget to%ards )ainting >sage of ,ifferent Interior )roducts >sage of ,ifferent Exterior )roducts =ife Experience for Interior )ains by +ustomers =ife Experience for Exterior )ains by +ustomers Type of !inished required for Exterior )aints by +ustomers Type of !inished required for Interior )aints by +ustomers "ood !inish )roduct )reference +ustomers by

Pa#! N* 4@ 4D 44 4B 4A 3@ 3D 34 3B 3A B@ BD B4 BB BA

A%areness About Asian )aints )roducts A%areness about +olour "orld +oncept +ustomer choice of company for Interiors +ustomer choice of company for Exteriors Type of :uidance expected +ompany by the +ustomers from

100

5#!/ARA"I'(

declare

that

this

pro*ect

report

entitled

'CUSTOMER

A3ARENESS( of Asian Paints In ia Lt =I Visa4)a0atna$ submitted by me to the $A ATA ,E:9EE P ).: +ollege of anagement $tudies, Affiliated to Andhra >niversity, is my o%n and is not submitted to any other >niversity or has been published anytime before.

)lace8 6isakhapatnam ,ate8

(2= SRINIVASA RAO)

101