Industrial30%

Paint Industry

Product Sector

Decorative70%

Organized70%

Unorganized30%

Coil Coatings

Powder Coatings

Coil CoatingsAutomotive Paints

Marine Paints

High Performance

Distempers

Coil CoatingsEmulsions

Exterior Coating

Wood Finishes

Enamels

INDIAN PAINT INDUSTRY

INDUSTRY PLAYERS

DECORATIVE SEGMENT

Asian Paints 37%

Kansai Nerolac 13%

Berger paints 11%

ICI 8%

Jenson and Nicholson

6%

Shalimar 6%

Others 19%

MARKET FEASIBILITYThe Indian paint industry is a Rs 49 billion

sector.

GDP growth is higher, the paint sector will benefit and vice versa

Highly price sensitive & cyclical

Demand arises in Festive Season.

Change in demand patterns over the years.

TECHNOLOGY IMPACT: BERGER

•Berger has a series of tie-ups for various purposes.Berger has a series of tie-ups for various purposes.

•Joint venture with Joint venture with Becker IndustrifagBecker Industrifag. . •Berger allied with the Japanese major Berger allied with the Japanese major Nippon Nippon PaintsPaints to boost its OEM turnover to boost its OEM turnover•Agreement with Agreement with Orica Australia Pvt. Ltd.Orica Australia Pvt. Ltd. to to produce new generation protective coatings. produce new generation protective coatings. •Tie-ups with Tie-ups with Valspar CorpValspar Corp and and Teodur BVTeodur BV for for manufacturing heavy duty and powder coatings.manufacturing heavy duty and powder coatings.

ADVERTISING IMPACT: ASIAN PAINTS V/S KANSAI NEROLAC

•Waah Sunil BabuWaah Sunil Babu•Soha & Saif Ali Khan adSoha & Saif Ali Khan ad•Rang soche nahin, Rang soche nahin, dekhe jaate haindekhe jaate hain•Har Rang Kuch kehta Har Rang Kuch kehta haihai•Har Ghar Kuch Kehta Har Ghar Kuch Kehta haihai•Bangla toh abhi bhi Bangla toh abhi bhi chamak raha haichamak raha hai

•Aapko banaye style Aapko banaye style ikonikon•Show your true colorShow your true color•Jab ghar ki raunak Jab ghar ki raunak badhani ho…badhani ho…

MARKET RESEARCH & TREND ANALYSISInvolvement of the consumer.Shift from Commodity to FMCG – brand building.Communication or lack of it can make or break

your brand. Changed brand identity, online services, Inc R&D

spend.Newest Trends – New textures, use of bold

shades, Disneye.g. Kansai Nerolac site: personality V/s rational

INCREASING 5% MARKET SHARE

Strengthen communicationsMulti v/s sole dealerTraining to dealersIncrease awareness (networking) amongst

interior decorators, architects, consumers, contractors

Feedback mechanisms-E.g. Nerolac impressions

NEXT YEAR PROJECTIONS

Introducing Water – based Paints.Repositioning of existing Brands in Rural Market.Broadening of Distribution Network.Adding more choices for shades and effects.Enhancing Better QualityDemand will be generated through the new

constructions coming in housing and industries.

SWOT ANALYSISStrengths

Imp of brand image as barriers to new entrantsGood technology backup.

WeaknessRaw materials – scarcityRequirement of high working capitalReal estate in a depression phase.

OpportunitiesFiscal incentives provided by Government.Commodity to fmcgRise in disposable income

ThreatsForeign companies entering as sole players