Bio-Diesel Marketing and Way Forward Marketing Management I Mini Project Group 07

Made By: 20121015 20121032 20121035 20121039 20121058 20121063

Bhargav Dave Mit Gandhi G. S. Narsimha Murthy Pankhil Shikha Tushar Shah Vivek Tripathi

Road Map
Biofuels: Product Advantages and Applications Biodiesel Importance and Viability in Indian & World Market Segmentation, Targeting, Differentiation and Positioning Potential Markets

Indian Scenario
Marketing Mix : 4Ps Indias Bio-Diesel Policy and the Current Turmoil

Future Strategies for Marketing of Bio-Diesel

Mini-Project Marketing Management Bio Diesel Marketing and Way Forward

Biofuels: Product Advantages and Applications

Product Biodiesel: Advantages Clean burning alternate fuel Simple to use and bio-degradable Non-toxic and essentially free of sulphur and aromatics, High energy Yield Doesnt require separate Infrastructure Applications: On-road, Off-road Vehicles Marine, Hybrid Vehicles Agriculture Additives Fuel Additives, Lubricants

Mini-Project Marketing Management Bio Diesel Marketing and Way Forward

Biodiesel Importance and Viability in Indian & World Market

Could contribute to satisfying two of Indias greatest needs: Need for energy and Need for rural development Private farmers and entrepreneurs - Hesitant to take up biodiesel production: o Not yet economically viable in Indian market o Long gestation period (At least three years) Export A Lucrative Option
Challenges

Price Mechanism

Lack of awareness among Consumers, Farmers

Availability of adequate land

Compulsory blending policies in Europe and the United States Demand for biodiesel on the world market has increased significantly.
Since TBO- based biodiesel from India would be about US$200/t cheaper than biodiesel produced in Europe, and has a better carbon balance, the world market is a relevant option for Indian biodiesel.

Long Gestation Period

Non-availability of standardized good seeds Lack of co-ordination among various government bodies

Mini-Project Marketing Management Bio Diesel Marketing and Way Forward

SEGMENTATION

TARGETING

DIFFERENTIATION & POSITIONING

Consumer Market
Business Market International Market

Evaluation

Cost

Quality Selection EcoFriendly

Mini-Project Marketing Management Bio Diesel Marketing and Way Forward

Potential Markets
Countries around the world, led primarily by the EU members and joined by the USA, are promoting increased production and use of bio-fuels, mainly biodiesel.

The global biodiesel market is estimated to reach 37 billion gallons (140 billion liters) by 2016, growing at an average annual rate of over 30%. Europe is expected to continue being the major biodiesel market for the next decade, followed by the USA market.
Mini-Project Marketing Management Bio Diesel Marketing and Way Forward

Indian Scenario
Some development works are carried out at Indian Institute of Science, Bangalore and Tamil Nadu. Indian Oil Corporation (IOC) has taken up research and development work in Faridabad Indian Railways is poised to set up four bio-diesel plants costing about Rs. 120 crore Each plant, estimated to cost around Rs 30 crore, will produce 30 tons bio-diesel per day, which means more than 9,000 tons a year.

Mini-Project Marketing Management Bio Diesel Marketing and Way Forward

Marketing Mix :

Product

Place

4Ps

Price

Promotion

Mini-Project Marketing Management Bio Diesel Marketing and Way Forward

Indias Bio-Diesel Policy and the Current Turmoil

The Turmoil
Approach Distribution and Marketing

Policy

Processing Ray of Hope

Financing

Mini-Project Marketing Management Bio Diesel Marketing and Way Forward

Future Strategies for Marketing of Bio-Diesel

Identification of target market and focus on target segment Position biodiesel as high quality fuel by emphasizing on inherent qualities of biodiesel Offer biodiesel price at the level of the conventional fuel

Build public private partnership

Practicing Customer Relationship Management Strategic Alliances Suggestions

Mini-Project Marketing Management Bio Diesel Marketing and Way Forward

Mini-Project Marketing Management Bio Diesel Marketing and Way Forward