Professional Documents
Culture Documents
org/article/paint-coatings-industry-age-digitalization/
Consumers today now turn to digital interfaces first when looking for a
product or a service. “The engagement of consumers with digitalization and e-
commerce in the paint industry is stronger than ever and will only increase,”
asserts Jonathan Sullivan, digital business officer and global director of Digital
Experience & Commerce with PPG. “While the majority of consumers just are
not ready to buy paint online yet
There is business urgency for any company in any industry to digitalize and
somehow reinvent its business models,” she says. AkzoNobel began its
digitalization journey by exploring its application to customer-facing activities
and how digital technologies can be used to solve customer problems and
enhance customer service. “Retailers have been challenged because
consumers are buying more online; while paint purchases still mostly take
place in the store (only approximately three percent of sales in the home
decoration market occur online), that situation is changing rapidly due in part
to the growth of e-commerce channels, changes in culture, and the ability to
provide better service,” Avelines adds.
https://www.app.paintsquare.com/
https://cio.economictimes.indiatimes.com/news/strategy-and-management/revealed-how-
asian-paints-leveraged-digital-innovations-to-become-customer-centric/60053105
It’s a matter of finding out what can ease the pain points of customers. The
company has created unique color visualizer apps that allow customers to
experience color and décor. These are also used to offer color consultancy
services which offer a unique value proposition in the market.
https://www.wundermanthompsoncommerce.com/en/what-we-think/case-
studies/asianpaints/
https://www.lek.com/sites/default/files/insights/pdf-attachments/2022_Ecom-Home-Improvement-
2018.pdf
https://www.linkedin.com/pulse/how-being-leveraged-paint-industry-interior-decoration-
ashok-jade
E-Commerce:: Although trend of buying paint online in India is not seen much… Consumer
prefer to visit shop and buy from outlets… However; all paint companies are slowly investing on
e-Commerce and making their product available for purchase online to their customers…
Everyone want to take competitive advantage and so IT is playing big role here…
Another major change Paint companies are doing is - bringing their dealers and distributors on
B2B platforms wherein Orders from Dealers / Distributors, their payments, collections, schemes,
order tracking and delivery confirmation everything are getting done on this platform…
Other than online purchase, paint companies are using e-Commerce for procurement of Raw
Material and their biding procurement process… Raw Material contributes to 60% of product
cost so this is one of the major area of cost optimization for all paint companies…
Companies are adding more and more supplier in their business thru various e-Procurement
solution… these platforms are helping them to get connected to international vendors and import
the material…
Getting connected to international vendors are also benefiting to them to bring and learn new
paint technologies in India…
Influence the Influencer:: Painters and contractors are major influencer in paint
industries… Most of the consumers consider their opinion in their buying decision… Paint
companies cannot ignore this community… connecting them regular, updating them regularly on
product information and features, rewarding them for sale and use of painters and contractors for
building brand image is key factor…
IT solution like Influencer Management are being used to track campaigns of painters and
contractors like Painter and Contractor Meet, Chowk Meet, Architect Talk, Loyalty Program for
Painters so on…
It has become easy due to Information Technology to directly reward / Incentive them in the
form of money which earlier was being done thru dealers and contractors and was seen low
success rate…
Mobility solution for Sales force application is one of the high demand in paint companies… low
acceptance of e-Commerce platform by consumers for paints making necessity for sales force to
travel B, C and D class cities to meet dealers and distributors for selling paints… Mobility
solution are helping them to take order online, and get connected to central warehouse or head
office for various reports and data like material availability, payments, statements, order tracking
so on…
Analytics is being used very effectively by paint companies for various dashboard, trend
analysis, projections and other day to day decision making analysis… Paint companies are
digging out more and more data to analyses and take competitive advantages and increase their
market share
http://www.businessindiagroup.com/download/BI%201018.pdf
Below is something on Paints industry market size by geography: Might be useful for
quoting numbers in the same proposal:
https://assets.kpmg/content/dam/kpmg/xx/pdf/2018/02/Reaction-25-magazine-V2.pdf
https://www.pcimag.com/topics/2631-paint-and-coating-market-reports
https://www.pcimag.com/articles/103419-the-paint-and-coatings-industry-vs-
commoditization
Our outcome-based economy has significantly shifted the paint and coatings business landscape.
Traditional product offerings – such as paint color and variation – are now considered table
stakes in today’s marketplace. Now, the only remaining sources for differentiation are services
and pricing, making business models based on value-added services bundled with products a
premium for escaping price and margin pressures.
While digital transformation isn’t an easy process by any means, its value lies in helping a
business transition to a value-added service model, which opens new, profitable revenue streams.
For example, businesses whose core business operations are digitalized can generate real-time
insights that deliver targeted products and promotions to individual customers based on their
own unique preferences.
Case in point, India-based Asian Paints, whose customers receive recommendations and
expertise that are relevant and helpful in making informed purchasing decisions. The result is a
win-win: customers receive recommendations and expertise that help them make informed
purchasing decisions, and Asian Paints gains better insight into sales patterns and customer
behavior to adjust business decisions in real time.
Shifting the focus to an outcome-based business model establishes the foundation to initiate
market differentiation and drive brand value. Successful players like Asian Paints have
recognized that targeted product recommendations are only the starting point to drive brand
loyalty and customer retention.
Rather than exist as a mere paint supplier, Nippon Paint, an industry giant in China and one of
the oldest paint manufacturers in the world, has invested in transforming its distribution process
to enable an optimized end-to-end customer experience. Nippon Paint operates hundreds of its
service centers across China and uses advanced data analytics and real-time analysis to provide
customers with top-of-the-line paint solutions and design schemes.
In 2011, Nippon Paint launched iColor, its multipurpose platform that allows designers to
publish their customized color schemes and aesthetic styles for other users to browse for
inspiration. As an added feature, iColor provides referral services that build upon Nippon
Paint’s unique customer experience that goes beyond simple point-of-sale interactions.
Businesses will continue shifting toward service offerings, and traditional supply-chain boundary lines
will blur. Today’s paint and coatings companies may not be paint and coatings companies tomorrow;
businesses will integrate toward a servicing-brand image and away from simply being paint suppliers.
Companies that fail to develop and implement such disruptive business models and processes run a high
risk of being disrupted by their competitors and the market.