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ANALYSIS OF COMPETITOR
CONTRACTORS AND
ANALYSIS OF EXISTING
CONTRACTORS ENGAGED IN
LOYALTY PROGRAM OF
BERGER PAINTS
Md. Eusuf Sheikh
Institute of Engineering and Management
ANALYSIS OF COMPETITOR CONTRACTORS

AND ANALYSIS OF EXISTING CONTRACTORS
ENGAGED IN LOYALTY PROGRAM OF BERGER
PAINTS
SUMMER INTERNSHIP PROJECT REPORT
SUBMITTED TOWARDS PARTIAL FULFILLMENT OF
MASTER OF BUSINESS ADMINISTRATION
IN
MARKEING AND FINANCE
(Approved by AICTE, Govt. of India)
ACADEMIC SESSION
2012-2014
Submitted By:
MD. EUSUF SHEIKH
Roll No.: MBA/12/038
University Roll No.: 10400912019
University Registration No.:121040710019
Company Guide
Name: Mainak Ghosh
Designation: Divisional Sales Manager
Name of Company: Berger Paints India Ltd.
II
Faculty Guide
Name: Shamik Pal

DECLARATION
I hereby declare that the project work entitled Analysis of Competitor
Contractors and Analysis of Existing Contractors Engaged in Loyalty
Program of Berger Paints submitted to as a part of the MBA curriculum, is a
record of an original work done by me under the guidance of Prof Shamik Pal
(Faculty Guide, Institute Of Engineering and Management) and Mr. Mainak
Ghosh (Company Guide, Berger Paints India Ltd) and this project work is
submitted in the partial fulfillment of requirement for the award of the degree of
Masters of Business Administration. The results embodied in this project have
not been submitted to any other university or company for the award of any
degree or diploma.
__________________
Md. Eusuf Sheikh
III

ACKNOWLEDGEMENT
With immense pleasure, I would like to present this project report for
Berger Paints India Ltd. It has been an enriching experience for me to undergo
my summer training at Berger Paints India Ltd, which would not have been
possible without the goodwill and support of the people around.
As a student of Institute Of Engineering And Management, Kolkata I would
like to extend my sincere gratitude and thanks to Mr. Mainak Ghosh (Divisional
Sales Manager, Berger Paints India Ltd.) and Prof. Shamik Pal (Faculty Of
Management, IEM College Of Management) to shape my understanding
towards the project. It was because of their immense help and support that this
project has been duly completed.
However, I accept the sole responsibility for any possible error and would
be extremely grateful to the readers of this project report if they bring such
mistakes to my notice.
Md. Eusuf Sheikh
IV
Executive Summary

Title: Analysis of Competitor Contractors and Analysis of Existing Contractors Engaged in
Loyalty Program of Berger Paints.
Organization: Berger Paints India Ltd.

Objective: In the current scenario of paint industry the game changers are the contractors.
The company which has the maximum number of contractor will lead the market. The aim of
the project was to conduct a dealer survey competitor to Berger in Rajarhat and Salt Lake
region and collect contact information of competition contractors so as to determine the
potential contactors and immediately try to convince them to work with Berger Paints.
The second objective of the project was to aware the existing Berger Paints contractors about
Lift and Win scheme- a loyalty program and make them understand the benefits of scheme.
Research Methodology: The research conducted was a descriptive one. The data have
been collected with the help of questionnaires contractors. The questionnaire mainly had
open ended question.
Findings:
Asian Paints is the market leader followed by Berger Paints and ICI Dulux.
Contractors are more satisfied with products, loyalty programs and communication
level of Asian Paints.
Bergers new product range is satisfactory. With lucrative schemes and better
communication competitor contractors can be converted in Berger.
There is communication gap with dealers sometime and mostly with contractors.
Schemes and benefits are not well communicated to contactors. Contractors are
unsatisfied with delay in getting their reward. Demand generators mostly failed in
communicating with contactors. Due to all this reasons Bergers existing contractors
are working less with Berger paints.
Berger Paints new call centre where reward points can be uploaded is mostly accepted
and appreciated among the contactors but the contactors are unable to know any data
regarding their point tally from anywhere.
Recommendations:
Aggressive marketing for promotion of Berger Paints.

Lucrative and effective loyalty schemes for new and existing contractors.
Better communication with dealers and contractors.
Timely payments of rewards.
Effective and fast reward collection mechanism.
VI
TABLE OF CONTENT
Chapter
No.
Contents
Page No.
1.
Introduction
1-2
2.
Industry Overview
3-8
3.
Company overview
9-15
4.
Research Methodology
16-19
5.
Data Analysis , Results and Interpretation
20-31
6.
Observations and Findings
32-33
7.
Limitations & Scope of Study
34-35
8.
Recommendations
36-37
9.
Bibliography
38-39
10.
Appendix
40-42
VII
Chapter-1
Introduction

1.1 Background:
In paint industry there is always neck to neck fight of branded companies. This project which
was undertaken as a part of the MBA curriculum was aimed at analyzing the competitor
contractors and also communicating a loyalty program scheme to the existing contractors of
Berger Paints.
1.2 Purpose:
The purpose of this project is to provide suggestions and recommendations to the company
Berger Paints to groom its strategy for existing and competitor contractors.
1.3 Scope:
The various scope of the study is listed below:

It gives us information about the various categories of the contractors on the basis of their
total purchase.
It gives us information about the proportion of dedicated Berger Paints contractors.
It gives the information regarding the preference and choices of the different contractors.
It gives the information regarding the simplicity and easy accessibility loyalty program.
It gives us information that how much effective the loyalty scheme of Berger Paints are as
a promotional strategy to retain their existing contractors.
1.4 Salient Contributions:
Increase the awareness or necessary information to gain the competitive advantage over
the competitor brands.
Increase the sales volume to due to effective loyalty program execution.
Chapter-2
Overview of the Paint Industry

in India

2.1 Brief Description
The Indian Paint industry, estimated to be a Rs.21,000 Cr. industry, has been growing at a
rate of above 15% for the past few years. The organized players of the industry cater to about
65% of the overall demand, whereas the unorganized players take care of the remaining 35%,
in value terms. The unorganized players mainly dominate the distemper segment.
The industry consists of two segments, namely
Decorative segment caters to the housing sector and
Industrial segment - consists of powder coatings, floor coatings and other protective
coatings catering to the automobile, marine and other industries.
In the domestic market, Decorative segment accounts for 70% of the total demand for paints
whereas the industrial segment accounts for the remaining 30%. Globally, the demand for
paints is almost equally distributed, where both the segments account for close to 50% of
demand.
The paint industry volume in India has been growing at 15% per annum for quite
some years now. As far as the future growth prospects are concerned, the industry is expected
to grow at 12-13% annually over the next five years. FY11 was a challenging year for the
industry as a whole due to subdued demand across key sectors and rising inflation.

2.2 Industry Structure
Indian Paint Industry is over 100 years old. Its beginning can be traced back to the setting up
of a factory by Shalimar paints in Calcutta back in 1902. Till the Second World War the
industry consisted of small producers and two foreign companies. After the war, the imports
stopped which led to the setting up of manufacturing facilities by local entrepreneurs. Still the
foreign companies continued to dominate the market, which in a way is the current scenario
as well. The initial decades saw the complete dominance of British Paint companies such as
Goodlass Walls (now Goodlass Nerolac), ICI, British Paints (now Berger Paints), Jenson &
Nicholson and Blundell & Eomite. The Indian Paints sector is valued at Rs 6,800 crores in
value terms and is very fragmented. The current demand is estimated to be around 650,000
tonnes per annum and is seasonal in nature. The per capita consumption of paints in India
stands at 1.0-kg p.a. as compared to 1.6 kg in China and 22 kg in the developed economies.
India's share in the world paint market is just 0.6%.
The Indian Paint industry can be divided as:
The organized sector comprising of large and medium size units
The unorganized or the small scale sector.
There are now twelve players in the organized sector with a market share of 70%. This is in
contrast to the 55% share that the sector commanded a few years back. Major companies in
this segment include Asian Paints (44% market share), Berger Paints (17% market share), ICI
(12% market share), Goodlass Nerolac (15% market share), Jenson Nicholson (6% market
share), Shalimar Paints and Rajdoot Paints. The organized sector has grown at a CAGR of
11.5% in the last five years. The unorganized sector comprising of over 2000 units has a
combined market share of around 30%. The major players are Asian Paints, Goodlass
Nerolac, Berger, ICI and Shalimar. Recently, world leaders like Akzo Noble, PPG, Dupont
and BASF have set up base in India with product ranges such as auto refinishes powders and
industrial coatings. Kansai Paints of Japan, which entered into collaboration with Goodlass
Nerolac in 1984, is now the holding company for Goodlass Nerolac with 64.52 % equity
holding. PPG has a joint venture with Asian Paints to manufacture industrial coatings. Jenson
& Nicholson and
Snowcem India are no longer active players because of dwindling sales in recent years. In the
1990s, helped by a growing economy, the paint industry had recorded a healthy growth of 1213 % annually. This was mainly due to a drastic reduction in excise from a staggering 40% to
16%. However, the growth was restricted in 2000-03 to single digits. There was a revival in
2003-2004 with a robust growth of 13%.8.The per capita consumption of paint in India is 700
grams against 19 kg in the U.S., and 2.7 kg and 5.8 kg in other developing countries like
China and Brazil. As the consumption goes with affordability, the low Indian figure is not a
surprise. High excise duties, low technology and low capital costs for production led to the
incidence of a high number of units in the small scale sector. However, since 1992 the
5

government has been consistently lowering duties from 40.5% in 1992 to around 16%
currently. This has led to lowering of price differential between the organized and
unorganized sector. Moreover the paints sector was also allowed to claim MODVAT credit
on petro-based products, thus lowering the excise incidence further.
2.3 Drivers to the growth of the Paint Industry

1. Increasing level of income and education
2. Increasing Urbanization
3. Increasing share of organized sector
4. Development of the Realty, Automobile and Infrastructure sector
5. Availability of financing options
6. Increasing Penetration in the Rural Markets
2.4 Main Concerns of the Paint Industry

Cost of raw materials
MNCs entering the Indian Paint Market
2.5 Paint Industry Prospects

The market for paints in India is expected to grow at 1.5 times to 2 times GDP in the next
five years. With GDP growth expected to be over 7% levels, the top three players are likely
to clock above industry growth rates, especially given the fact that protection that was
available to unorganised players has come down significantly.
Decorative paints segment is expected to witness higher growth going forward. The fiscal
incentives given by the government to the housing sector have benefited the housing sector
immensely. This will benefit key players in the long term.
Although the demand for industrial paints is lukewarm it is expected to increase going
forward. This is on account of increasing investments in infrastructure. Domestic and global
auto majors have long term plans for the Indian market.

2.6 Top Paint Brands in India
2.6.1 Kansai Nerolac: The history of Nerolac Paints dates back to
1920. Nerolac Paints was established as Gahagan Paints and Varnish
Co. Ltd. in Mumbai. In 1933, it was renamed to Goodlass Wall India
Ltd. and later became GoodlassNerolac Paints Pvt. Ltd in 1957. And
recently in 2006, it acquired the present name Kansai Nerolac Paints Ltd. Kansai Nerolac
Paints is a subsidiary of Japan based Kansai Paint Company Limited that is one of the top ten
coating companies in the world. Nerolac is the second largest in India with a leading position
in industrial and automotive paints and also in powder coatings.
2.6.2 Berger Paints: Berger Paints was the creation of Mr. Lewis
Berger, who in 1760, through his shades had offered people a chance to
transform their homes through the power of imagination. Berger Paints
India Limited has been in India since 1923. In 1991, the stake of the
Company was purchased, by Mr. K S Dhingra, Mr. G S Dhingra and
their associates.
2.6.3 ICI: ICI is a major paints, adhesive and specialty products

business with products and ingredients developed for a wide range of
markets. ICI is present in Asia Pacific, Europe and the Americas.
However, in the beginning of 2008 ICI became a part of Akzo Nobel,
the worlds largest coatings manufacturer, the number one in decorative
paints and performance coatings, and a leading supplier of specialty chemicals.
2.6.4 Asian Paints: Asian Paints Ltd. was established in 1942.

More than half a century down the lane, Asian Paints is Indias largest
and Asias third largest paint company today. Asian Paints operates in
22 countries and has 29 paint manufacturing facilities in the
World. Besides Asian Paints, the group operates around the world
through its subsidiaries, Berger International Limited, Apco Coatings, SCIB Paints and
Taubmans. Asian Paints along with PPG Inc, USA is one of the leading manufacturers of
automotive coatings in the world. Asian Paints Industrial Coatings Limited caters to the
Industrial coatings market and has tied-up with Protech Chemicals, a world leader in powder
coatings.

2.7 Other Best Selling And Leading Paint Companies
Artilin Paints India Limited

Agsar Paints Pvt. Ltd
Brilliant Coatings (P) Ltd
Classic Paints
FCL Technologies & Products Ltd,
Grand Polycoats Company Pvt. Ltd
Indolac paints
JayantColor& Chemical Industries
Jenson & Nicholson,
Metcon Coatings & Chemicals (India) Pvt. Ltd
2.8 Future of Paint Industry in India

The Indian paint Industry has a wide potential for growth which is demonstrated by the fact
that the per capita consumption of paint in India is merely around 1 kg as compared to about
20 kg in the developed countries or a global average of about 15 kg. So, the absolute
consumption of paint in India is definitely expected to rise.
The market share of the organized sector is on an increasing trend. Also, the contribution of
industrial segment will increase with the continuing economic development of the country.
With India moving towards becoming a developed economy, the decorative to industrial
paint ratio of 70:50 is expected to move towards the global average of 50:50. Thus the Indian
paint industry is in its growth phase and is expected to grow at a rate faster than that of GDP.
The future prospects of the industry are strong.
Chapter-3
Company Overview

3.1 Profile
Established in 17th December, 1923, the company then known as Hadfiled's (India) Limited;
was a small paint company based in Kolkata having its only manufacturing facility at
Howrah, West Bengal to produce ready mixed stiff paints, varnishes and distempers. Post
independence, towards the end of 1947, British Paints (Holdings) Limited, U.K acquired
Hadfield's (India) Limited and thus British Paints (India) Limited was incorporated. From a
production capacity of 150 tonnes and sales turnover of around Rs. 25 lakhs in 1947, the
company has come a long way to become at one point of time; a part of the worldwide
BERGER group in 1983 and thereby acquiring its present name Berger Paints India Limited
to having subsequently gone through further ups & downs as well as ownership changes to
gain its present status wherein the majority stake is with Delhi based Dhingra brothers and
business revenue close to Rs.2000 crs.
Today Berger Paints India Limited, having solely used and developed the name and
trademark BERGER and all its variants in India, is a household name in paint. With Head
Office in Kolkata the company manufactures and markets a range of decorative & industrial
paint products under various product brands and has it operations spread throughout the
length & breath of the country; with seven manufacturing facilities in India and more than 82
depots, several regional & area offices, besides four facilities overseas. It has a workforce of
over 2300 employees and a countrywide distribution network of 12000 plus dealers.
Berger Paints has clearly demonstrated its commitment to Indian consumers for over 85
years, by offering its varied range of high performing quality products backed by highest
level of customer service. Company's high ethical standards in business dealings and its ongoing efforts in community welfare make Berger Paints India Limited a responsible corporate
citizen. While the company's decorative and Industrial paints continue to gain an increasing
market share, Berger as an organization has managed to achieve sustainable competitive
advantage through innovations in all spear of business, desire to excel and by creating a
winning culture & abiding faith in its values & philosophy among all its stakeholders.
With Berger Paints you can now see your imagination of colour unfurl in front of your eyes
and watch your home come alive telling a thousand tales.
Transform you home with the POWER OF IMAGINATION.
10

3.2 Philosophy
3.4 History and Milestones

The name Berger or Lewis Berger is today synonymous with colour worldwide. But actually
the origin of the name dates back to over two & a half centuries in England in 1760, when a
young colour chemist named Lewis Berger, started manufacturing in Europe, 'Prussian blue'
using a secret process that every designer and householder coveted. Mr. Berger perfected this
process & art of the blue colour, which was the colour of most military uniform of that time.
Enriched by the imagination of Lewis Berger, the unending quest for creation and innovation
in the world of colour & paints still continues.
The history of Berger Paints India Limited as a company started in 1923 as Hadfield's (India)
Limited which was a small colonial venture producing ready- mixed stiff paints, varnishes
and distempers setup on a 2 acres of land in one of India's first industrial towns close to
Kolkata in Howrah, Bengal. Subsequently in 1947, British Paints (Holdings) Limited, an
international consortium of paint manufacturing companies bought over Hadfield's (India)
Limited and thus the name changed to British Paints (India) Ltd. The gentleman who took
over, as its first managing director was Mr. Alexender Vernon Niblet, an Englishman who
was later on followed by Mr. Alfred Godwin in 1962.
Further in the year 1965, the share capital of British Paints (Holdings) Limited was acquired
by Celanese Corporation, USA and the controlling interest of British Paints (India) Ltd was
acquired by CELEURO NV, Holland, a Celanese subsidiary.
11

Subsequently in 1969, the Celanese Corporation sold its Indian interests to Berger, Jenson &
Nicholson, U.K. Then onwards the company British Paints (India) Ltd became a member of
the worldwide BERGER group having its operations across oceans in numerous geographies
and this marked the beginning of Lewis Berger's legacy in India which the company would
later take forward to enviable heights. From 1973 the company entered into one of its
dynamic phases of business with introduction of new generation products in the industrial,
marine and decorative segments under the able leadership of it first Indian Managing Director
Mr. Dongargaokar Madhukar.
Year 1976 was another turning point in the history of the company when the foreign holding
in the company was diluted to below 40% by sale of a portion of the shares to the UB Group
controlled by Mr. Vittal Mallya. The reins of the company were taken over by Mr. Biji K
Kurien as its Chief Executive & Managing Director in the year 1980. Finally in the year
1983, the British Paints (India) Limited, changed its name to Berger Paints India Limited.
The entire 80s & 90s saw the lunch of many new products from company's stable such as
premium emulsions and high quality acrylic distempers. The COLOUR BANK tinting system
was launched through which the consumer could select from a range of over 5000 shades.
Again the fortunes of the company changed hands in 1991 with UB Group's stake in the
company bought over by the Delhi based Dhingra brothers, Mr. K.S.Dhingra & Mr.
G.S.Dhingra and their associates of the UK Paints Group. Presently Dhingras' control a
majority stake of almost 73% in Berger Paints India Limited, which is a professionally
managed organization, headquartered in Kolkata, with the stewardship resting since 1994
with the current Managing Director Mr. Subir Bose.
James Wilfred Adamson, founder of the British Paints Organization, embarked on his career
as a traveling salesman. Adamson bought his first Oil and Colour business in 1909. By 1917
Adamson owned paint manufacturing companies in Rhodesia, Canada and the Caribbean.
Elsewhere an Englishman, Mr. Hadfield, set up Hadfield's (India) Limited on 17 December,
1923, a small paint company in Calcutta. Towards the end of 1947 British Paints acquired
Hadfield's (India) Limited and thus British Paints (India) Limited was incorporated in the
State of West Bengal. What British Paints, (Holding), UK acquired was a company which at
that time produced 150 tonnes of ready mixed stiff paints, varnishes and distempers. Our
1947 sales were a princely RS.25 lakhs, with total employee strength of 100. The first
Managing Director of British Paints was Mr. A. V. Niblett.
12

3.5 Board of Directors
Mr. Kuldip Singh Dhingra (Chairman)
Mr. Gurbachan Singh Dhingra (Vice-Chairman)
Mr. Abhijit Roy (Managing Director)
Mr. Subir Bose (member in the Board of the Company.)
Mr. Anil Bhalla
Mr. Gerald Kenneth Adams
Mr. Gurcharan Das
Mr. Kamal Ranjan Das
Mr. Pulak Chandan Prasad
Mr. Srijit Dasgupta
Mrs. Rishma Kaur
Mr. Kanwardeep Singh Dhingra
3.6 Bergers Presence in India
13

3.7 Bergers Presence All over the World
3.8 Berger Performance
Berger Paints India Ltd.(BPIL) is the 2nd largest paint company in India
15000 plus paint retailers, 85 stock points, 6 RCDs, 7 production units
Total consolidate gross turnover of 3500 crs in 2012-13
Recorded the fastest growth in the decorative paint segment in India growing @ 20%
14

3.9 Product Range:
Category
INTERIOR
WALL
COATING
EXTERIOR
WALL PAINT
METAL AND
WOOD PAINTS
Products
Interior Emulsion
Silk, Breathe Easy, Rangoli Easy

Clean, Rangoli Super Acrylic
Emulsion, Bison Acrylic Emulsion
Designer Finishes
Illusions, Illusions Imagine, Metallica,

Marble
Distemper
Bison Distemper, Jadoo Acrylic

Distemper
Primer
Weathercoat Biowash, Weathercoat

Exterior Wall Primer
Exterior Emulsion
Weathercoat Allguard, Weathercoat

Smooth, Weathercoat Longlife,
Weathercoat Tile Protector
Enamel
Breathe Easy Enamel, Luxol Satin

Enamel, Luxol Highgloss Enamel
Clear Wood
Woodpecker PU Legend, 3 Pack

Polyester Coating, 2 Pack PU System
CONSTRUCTION CHEMICAL
15
Cement Mix Plus
Chapter-4
Research Methodology
16
4.1 Research objective:

The prime objective of this study was to analyze the taste and preference of the
competition contractors of Berger Paints, their contribution to the sales volume and
their expectations from the company.
Second objective of the project was to aware the existing Berger Paints contractors
about Lift and Win scheme- a loyalty program and make them understand the
benefits of scheme and its effect on market share.
4.2 Research plan:

4.2.1 Competitor contractor analysis:
The flowchart of my research plan is as follows:
Dealer
Contractors
Call by phone
Wrong number
Noted down
not interested
reported
interested or available
Questionnaire filled up
and complain taken
17
out of station
queued
busy
queued
4.2.2 Existing contractor analysis:

contractors
Contractors
Not interested
Interested
Fixation of appointment
Feedback taken
Enrollment in scheme
4.3 Research design:

Competitor contractor analysis: Descriptive research design
4.4 Data type:
Primary data
Secondary data
4.5 Data Collection tools:

1. Primary data:
Questionnaire method: A questionnaire was prepared to get required information for
analysis.
Interviews- structured and unstructured
2. Secondary data: Secondary data collected from various websites mentioned in
References.
4.6 Data Collection Method:

4.6.1 Competitor contractor analysis:
Primary Data: interview, direct interaction and survey different contractors.
Secondary data: internet, departmental records.
4.6.2 Existing contractor analysis:
Primary data: direct interaction
18
4.7 Sampling Plan:

Sampling frame:
Unit : competitor contractor, existing contractor
Size : Competitor contractor-147
Existing contractor-30
Method: Convenient sampling.
4.8 Data analysis techniques to be used:
Bar Chart
Pie Chart
19
Chapter-5
Data Analysis, Results and

Interpretation
20

5.1 Competitor contractor analysis:
The questionnaire that has been used in the survey is as given below. It has been prepared
under the guidance of my industry mentor.
Q.1) Which Product do you deal with?
Product dealt with

6%
39%
55%
Asian Paints
ICI
Nerolac
Interpretation:
Most competition i.e. 50% of the contractors work with Asian Paints followed by ICI
used by 39% contractors and Nerolac used by 6%.
ICI emerging as a great threat to Berger.
21

Q. 2) Purchase of paints p.a.?
Category Distribution of Contractors

D
C
B
Category Distribution of
Contractors
A
A+
0
10
20
30
40
50
60
The contractors have been divided into categories on the basis of their total annual purchase
of different types of paints. There are mainly five categories:Category D below Rs 1,20,000
Category C between Rs 1,20,000 and Rs 2,50,000
Category B between Rs 2,50,000 and Rs 5,00,000
Category A between Rs 5,00,000 and Rs 10,00.000
Category A+ - Above 10,00,000
Interpretation:
According to the analysis 29%, 34%, 23%, 11% and 3% of the contractors fall in the
categories A+, A, B, C and D respectively.
Major section of the contractors have an annual purchase of above Rs 5,00,000.
22

Q. 3) Are you enrolled with any loyalty program?
Enrolled with Loyalty Program

8%
23%
Enrolled
Not Enrolled
69%
Unknown
Interpretation:
69% of the competitor contractors are enrolled in some loyalty program.

23% contractors are not enrolled in any scheme and 8% of contractors are unaware of
loyalty program. So Berger Paints can convert these competitor contractors into
Berger painter with lucrative loyalty scheme.
23

Q. 4) Contractors enrolled in various brand loyalty program?
Various Brand Loyalty Program

6%
32%
Master Stroke
62%
Color Merchant
Others
Interpretation:
Among the enrolled various contractors majority of the contractors enrolled are in
Asian Paints Master Stroke with a majority of 62% from its rivals.
Next followed by ICI Color Merchant with a majority of 32%.
The remaining 6% of the contractors are enrolled with others brand.
24

Q. 5) Manpower associated under contractors?
Manpower Associated under Contractors

8%
16%
33%
Below 5
5 to 15
15 to 25
43%
Above 25
Interpretation:
40% contractors have 5 to 15 painters working under them so these contractors take 2
or 3 individual house project at a time.
32% contractors have 15 to 25 painters working under them. These contractors have
capacity of taking medium projects like stand alone flats.
20% contractors have 5 or less painters working under them. These contractors take
very small projects.
8% contractors have 25 or more painters working under them. These contractors have
capacity of taking big projects like housing complex, housing society etc.
25

Q.6) perception about Berger Paints:
Perception about Berger Paints

2%
20%
31%
Not interested
Used to work with Bereger
Use Berger as secondary product
47%
Willing to work with Beger
Interpretation:
45% of the competitor painters are using Berger Paints as their secondary product.
They may increase uses of Berger Paints according to their needs and satisfaction.
2% of contractors are not interest at all in Berger products. They are using their
respecting brands with great satisfaction.
20% of the contractors used work with Berger Paints but for some dissatisfying
reasons they are not using Berger paints anymore.
31% of the contractors want to use Berger paints for their new and improved product
rand if they get some lucrative offers.
26

Q. 7) Reason behind not using Berger paints.
Reason behind not using Berger paints

18%
44%
Product Quality
21%
Dealer Behavior
Non-availability
Not interested
17%
Interpretation:
18% of the competitor contractors do not use Berger paints due to product quality.
21% of the competitor contractors do not use Berger paints due to Berger dealer
behaviour.
17% of the competitor contractors do not use Berger paints due to availability of
product in their area.
44% of the competitor contractors do not use Berger paints because they are not
interested at all in Berger paints they are happy with their respective brand.
27

5.2 Existing Contractors analysis:
In the loyalty program scheme Berger Paints take a great initiative to open a call centre where
contractors can upload their points by themselves by calling at call centre and inform about
their product lifting. The questionnaire is based on that.
Q. 1) Whats your preferable mode of uploading point?
Point Uploading Mode
By Dealer
Point Uploading Mode

24
By Self
10
15
20
25
30
Interpretation:
Maximum no of contractors prefer to upload their point by themselves as they do not

want leave their benefits on dealers hand.
20% of the contractors depend on their respective dealers as they believe their dealers
or they think it is a complicated process.
28

Q. 2) How frequent do you upload your points?
Uploading of Points
3%
20%
frequently
Rarely
Not Interested
77%
Interpretation:
77% of the contractors engage themselves in uploading their points rarely.

Only 20% of the contractors upload their point regularly
Around 3% of the contractors are not interested in uploading points.
29

Q.3) Difficulties faced in uploading points at call centre.
Problem faced at call centre
13%
30%
57%
Language
Product Details
Necessary Information
Interpretation:
13 % of contractors are facing language barrier i.e. the operators at call centre greets
them in language which is uncomfortable for them.
30 % of the contractors fail to give the exact product details at the time of uploading
points.
57 % of contractors dont get the information about their rewards point.
30

Q.4) Which benefit you prefer most?
Most prefer benefits

17%
23%
60%
Quantity discount
Price discount
Assured gifts
Interpretation:
17 % of the contractors want quantity discount.

23% of the contractors want price discount.
60% of the contractors want assured gift in the loyalty program.
31
Chapter-6
Observations and Findings
32

6.1 Competitor Contractors:
Majority of the competitor contractors lift product of value more than 5 lakhs
annually.
Majority of competitor contractor are working with Asian Paints as they are satisfied
with the product quality and loyalty scheme of Asian Paints.
Few dissatisfy contractors had a complaint that the coverage of paints of Berger is less
as compared to what it had been previously. This has led to the loss of many
dedicated contractors of Berger who are now shifting towards Asian Paints and ICI.
ICI is growing very fast which is a threat to Berger Paints.
According to the survey most of the competitors contractors don not use Berger
because they are unsatisfied with the behavior of their local area Berger dealers.
Survey shows that another section of competitor contractors do not use Berger Paints
due to non availability of Berger Paints dealer in their area.
Brands like Nerolac and Shalimar are hardly preferred.
6.2 Existing Contractors:
The contractors have a complaint that there is a communication gap between the
representatives or executives of Berger and the contractors. Many contractors left
Berger for the communication gap.
Most of the contractors have complaint that they dont get their loyalty scheme
rewards in time.
Major section of existing contractors is happy about the process of uploading points in
call centre as they dont have to depend on dealers.
As most of the contractors are not used to call centre process they feel uncomfortable
uploading points at call centre.
On the basis of the survey conducted its found that major section of the revenue of
Berger Paints comes from Interior and Exterior paints.
Shade cards i.e., those cards which contains all the different shades of colors, are not
easily available to the contractors.
Most of the contractors are satisfied with the paint quality of Berger, mostly the
primer.
Most of the contractors are less educated and they do not show their interest towards
scheme as they feel it is a complicated process.
Lack of trust between dealer and contractors regarding point upload.
Few painter meet takes place so problem encountered by the contractors on regular
basis remain unattendent.
33
Chapter-7
Limitations & Scope of Study
34

7.1 Limitations:
Only 65 contractors and 35 interior decorators have been visited, which comprises a
very small sample.
Survey area was confined to south Rajarhat, Salt Lake and B.T. Road.
Survey was totally confined within small level contractors, but a huge sale which is
contributed by the real estates, builders etc are not investigated.
Time span was limited to 2 months.
Questions were mostly open ended.
Some of the painters were reluctant in providing the information due to lack of trust
and familiarity with me.
Some of the painters were inflating their monthly usage volumes.
7.2 Future Scopes:
This study can be used by the company to convert more contractors into dedicated
Berger paints customers.
Analyze the requirements of the competitor contractors and devise strategies of new
market penetration.
Make a quantitative research and analysis of the effectiveness of the advertisements of

Berger Paints.
35
Chapter-8
Recommendations
36

Berger Paints is a preferred brand in India but on the basis of the survey there are some fields
that are yet to be more emphasized which can improve the sales volume in the near future are
stated as follows : Berger Paints should maintain the quality of the paint to satisfy the existing and new
customers. Versatility of the designs should be increased and lucrative schemes
should be offered to attract new customers.
Sales promotion committee should be formed to formulate and implement new market
strategies to compete with competitors and to extent the market share.
Company must increase their dealership network so that desirable contractor and
consumers who wants to buy or use Berger paints can be reached easily.
Both Dealers and Contractors who have been interviewed have a common complain
that there is not much interactions from the company. So Sales Officers and Demand
Generators should be in a regular touch with their customers. Regular interactions are
necessary as a part of after sales service which can bring more sales later.
Painters need should be identified and schemes framing should be like that the
painters get motivated to satisfy their needs.
Efforts should be made so that the applicators are made aware of the various new
schemes and new product launches and these must be completely entertained by the
company by the help of personal meeting as most of the contractors are less educated
to understand the procedure.
Painters meet should take place on regular interval to help the painters as it helps to
promote brand as well as it maintain company goodwill.
Berger Paints should introduce card system for uploading points as it is easy and most
preferred medium among the contractors.
Effective and fast reward collection mechanism should be there to keep the
contractors engage in the loyalty programs.
37
Chapter-9
Bibliography and Reference
38

9.1 Bibliography
1. Marketing Management: A South Asian Perspective by Philip Kotler, Abraham Koshy,
Kevin Lane Keller, Mithileswar Jha
2. Marketing Research: An Applied Orientation by Naresh K. Malhotra, Satyabhushan Dash
3. Advertising and Promotion by Keyoor Purani, George E Belch, Michael A Belch
9.2 Reference
1. http://en.wikipedia.org/
3. http://www.scribd.com/
4. http://www.slideshare.net/
5. http://www.bergerpaints.com/
6. http://www.monwyworks4me.com/
39
Chapter-10
Appendix
40

10.1 APPENDIX I
NAME: ..
ADDRESS: ...........
MOBILE NO: ...
DEALER: TERR: DEPOT:
1) WHICH PRODUCT DO YOU DEAL WITH?

i) Asian Paints
ii) Nerolac
iii) ICI
iv) Shalimar
2) PURCHASE OF PAINTS P.A.? ...
3) ARE YOU ENROLLED WITH ANY LOYALTY PROGRAM?

i) Yes
ii) No
4) WHICH LOYALTY PROGRAM YOU ARE ENROLLED WITH?

i) Master Stroke
ii) Color Merchant
iii) Other
5) NO OF PERMANENT APPLICATORS WORKING UNDER YOU: ...
6) YOUR PERCEPTION ABOUT BERGER PAINTS.
7) WHAT ARE THE REASON BEHIND NOT USING BERGER PAINTS?

a) .
b) .
c) .
d) .
41

10.2 APPENDIX-II
NAME: ..
ADDRESS: ............
MOBILE NO: ...
DEALER: TERR: DEPOT:
1) WHATS YOUR PREFERABLE MODE OF UPLOADING POINT?

i) By Self
ii) By dealer
2) HOW FREQUENT DO YOU UPLOAD YOUR POINTS?
3) WHAT DIFFICULTIES FACED IN UPLOADING POINTS AT CALL CENTRE.

I.
................
II.
III.
....
4) WHICH BENEFIT YOU PREFER MOST IN LOYALTY PROGRAM?

i) Quantity discount
ii) Price discount
iii) Assured gifts
5) YOUR PERCEPTION ABOUT BERGER PAINTS LOYALTY PROGRAM.
42

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ANALYSIS OF COMPETITOR

Md. Eusuf Sheikh

Institute of Engineering and Management

ANALYSIS OF COMPETITOR CONTRACTORS

Institute of Engineering and Management

Institute of Engineering and Management

Md. Eusuf Sheikh

Institute of Engineering and Management

Institute of Engineering and Management

Organization: Berger Paints India Ltd.

Aggressive marketing for promotion of Berger Paints.

Effective and fast reward collection mechanism.

Institute of Engineering and Management

Data Analysis , Results and Interpretation

Observations and Findings

Limitations & Scope of Study

Institute of Engineering and Management

Institute of Engineering and Management

The various scope of the study is listed below:

1.4 Salient Contributions:

Institute of Engineering and Management

Overview of the Paint Industry

Institute of Engineering and Management

Decorative segment caters to the housing sector and

Institute of Engineering and Management

The organized sector comprising of large and medium size units

The unorganized or the small scale sector.

Institute of Engineering and Management

2.3 Drivers to the growth of the Paint Industry

2.4 Main Concerns of the Paint Industry

2.5 Paint Industry Prospects

Institute of Engineering and Management

2.6.3 ICI: ICI is a major paints, adhesive and specialty products

2.6.4 Asian Paints: Asian Paints Ltd. was established in 1942.

Institute of Engineering and Management

Artilin Paints India Limited

2.8 Future of Paint Industry in India

Institute of Engineering and Management

Institute of Engineering and Management

Institute of Engineering and Management

3.4 History and Milestones

Institute of Engineering and Management

Institute of Engineering and Management

Mr. Kuldip Singh Dhingra (Chairman)

Mr. Gurbachan Singh Dhingra (Vice-Chairman)

Mr. Abhijit Roy (Managing Director)

Mr. Subir Bose (member in the Board of the Company.)

Mr. Anil Bhalla

Mr. Gerald Kenneth Adams

Mr. Gurcharan Das

Mr. Kamal Ranjan Das

Mr. Pulak Chandan Prasad

Mr. Srijit Dasgupta

Mrs. Rishma Kaur

Mr. Kanwardeep Singh Dhingra

3.6 Bergers Presence in India

Institute of Engineering and Management

3.8 Berger Performance

Institute of Engineering and Management

Silk, Breathe Easy, Rangoli Easy

Illusions, Illusions Imagine, Metallica,

Bison Distemper, Jadoo Acrylic

Weathercoat Biowash, Weathercoat