The anatomy of the Asian

Paints Brand
 About Asian
paints
• The Company was incorporated as a private
limited company under the name of Asian Oil
and Paint Company Pvt. Ltd. It was converted
into a public limited company in 1973. The
Company manufacture a wide range of surface
coatings catering to different end-uses. It also
manufactures vinyl pyridine latex used in the
manufacture of rubber tires.
• The company expanded its products range
developed its own technology set up a
distribution network penetrating (enter into) in
smaller towns and ploughed back a large part of
earnings into creation of new facilities.
 CONTD.
• - The name was changed from Asian Oil and Paint
Company Pvt. Ltd. To Asian Paints (India) Pvt. Ltd.
• 1974
• - A major modernisation programme was undertaken to
streamline the paint production facilities by improving the
layout of machines addition to balancing equipment and
replacement of old machinery. The Company embarked
on phased modernisation of resin manufacturing facilities
as well.
• - The Bhandup plant of the Company is reportedly the
largest single paint factory in the country and one of the
most up-to-date with sophisticated machinery and
equipment for manufacturing a wide range of paints and
other products besides adequate resin manufacturing
capacity to meet its entire requirements
 Financial Position (In Lacs.)
Particulars Mar ' 09 Mar ' 08 Mar ' 07 Mar ' 06 Mar ' 05

Income

Operating income 4,510.12 3,595.53 2,953.38 2,447.78 2,052.28

Expenses

Material consumed 2,640.48 1,969.47 1,661.78 1,365.30 1,125.40

Manufacturing expenses 86.23 75.12 64.82 53.05 49.34
Personnel expenses 239.77 195.54 155.60 129.43 118.35
Selling expenses 779.34 646.58 508.88 423.76 352.83
Administrative expenses 170.37 139.33 126.00 110.20 101.62
Cost of sales 3,916.19 3,026.04 2,517.09 2,081.74 1,747.55
Operating profit 593.93 569.49 436.29 366.04 304.73
Financial expenses 15.91 13.46 15.34 8.16 6.58
Reported net profit 362.36 375.20 272.05 186.78 173.48
Equity dividend 167.86 163.06 124.70 119.90 91.13
Dividend tax 28.53 27.72 17.77 16.82 12.54
Retained earnings 365.97 334.42 239.58 150.06 151.82
 Core Values
• Commitment and Integrity in dealing with
internal and external customers

• A strong belief in individual ability and

creating an environment in which
entrepreneurial spirit is encouraged

• Ownership and Responsibility

 Core Purpose
 To continuously rejuvenate (refresh)
every living and working space of people
and bring joy to their lives
 Brand Leadership
The Brand Leadership model is based on
various actions taken over a period of time
 Brand Leadership
a)1942-1967 Evolution Phase

b)1967-1982 Extension and Consolidation Phase

c)1982-1986 The years of Excellence

d)1987-1997 Moving Closer to the Consumer

e)1997-1999 Changing rules of the game

f)1999- The new Asian Paints

 Media Environment
• Cost of brand building very high in current
environment
– Esp. in category like paints, where contact
with brand is once every 3 or 4 years
• Need to have an optimum number of
brands to maximize effectiveness in
media.
 Core thought

• Asian paints is about people who invest

emotional energy in creating their homes
• Asian Paints is about homes which
reflect the taste and love of their
owners/residents
 Vision of Asian Paints
“AsianPaints aims to
become one of the top
five Decorative coatings
companies world-wide by
leveraging(invest) its
expertise in the higher
growth emerging markets.
Simultaneously, the
company intends to build
 Promotion Strategy

• Glow-signs and other promotional

material at large hardware stores.
• Conventions/Workshops for
Architects and Interior Decorators
• Workshop for carpenters
– To build awareness and product
demonstration and offer incentives
to promote usage
 Current and Potential Competition

• Current Competitors:
Sheenlac ,Pidilite , Sirca , Linea Coats,
ICA, MRF Tyres

• Potential Competitors:
Goodlass Nerolac, ICI Paints, Berger
Paints
 Tie Ups
• Tie-up with Builders:
Hiranandanis, Ansals, DLF- to promote product
usage in their fully furnished flats on sale.

• Tie-up with Corporates and Hotels:

To initiate talks for getting contracts for revamp
and maintenance of their office furniture.

• Tie-Up with major furniture

manufacturers/retailers to use the product
SWOT Analysis
 Strengths
• Brand Image of Asian Paints

• Market Leadership (44 %)

• Distribution Network

• Inherent advantages of water based

wood finishes
(environment friendly etc.)
 Weaknesses

• Low Awareness about wood finishes.

• Inherent weaknesses of the product

(less protection from moisture etc.)
 Opportunities

• Boom in Construction Sector,

especially international styles of living

• Consumers becoming conscious in

terms of aesthetics and lifestyle.
 Threats
• Aggression from existing players

• The external environment saw an entry of

a lot of multinationals trying to attack us on
various segments
 Current and Potential Competition

• Current Competition:
Sheenlac ,Pidilite , Sirca , Linea Coats,
ICA, MRF Tyres

• Potential Competition:
Goodlass Nerolac, ICI Paints, Berger
Paints
Consumer Survey
 Consumer Survey Objectives

• How Consumers perceive the product on the

involvement and thinking/feeling dimensions ?

• Who is the influencer / decider ?

• Consumers perception of Factors like Durability ,

Safety , Health, Environment and the price they
are willing to pay for it.
 Analysis of Consumer Survey
• Influencers: Carpenter, Polisher, Contractor
• Low frequency of painting / recoating the
house
• Low awareness about wood finishes
• Very low awareness for Water-based wood
finishes
 Analysis (Contd.)
• Awareness about real impact of cost not clear.

• Matt finish preferred over gloss finish.

• Majority have concerns over safety , health &

environment but are ambivalent on the investment
they are willing to make for the same.

Note: Derived out of the open ended question

in the questionnaire
 Media Selection for Advertising
• Magazines
Special interest magazines like Inside
Outside, Design and Interior as well as
inflight magazines.

• Direct Mail
Mailers to customer database already
available with the company.
 Contd.
• Internet
– Website: Separate link on the company
website.
– Banners: On related websites like
www.mumbaiconstructions.com
• Outdoor
– POP displays.
– Posters and sign-boards outside furniture
markets.
 Premium Brushable Water Based PU
Has your wood Wood Finish Touch ?
got Nature’s
•Environmentally safe.
•Brushable and easy to apply.
•Provides durability.
•Gives the furniture an exquisite and
elegant look i.e the look it
deserves.
•Doesn’t yellow over time.
•Doesn’t emit harmful odour.

For dealership and more details:

Call on Toll free no.: 1 - 600 - 22- 5678
Website: http://www.asianpaints.com
Dealers: - Sehgal Enterprises(2508116), Jain Iron Store(220488);-Jain Trading
Co(2216753), Jainsons Traders(203104), Goyal Paints & H.W(2210072), Garg Paint & H.W
Store(2221327), Garg Paint & H.W Store(2221327), Goyal Iron Store(2216001),
N.K.Traders(2353144), Delhi Paint And Hardware Store(2214446), Jainson Paint & Hw
Store(2221831), Punjab Building Store(2211843)
 Give your furniture Nature’s Touch…
Call Asian Paints Home Solutions at
1 - 600 - 22- 5678
Premium Water Based PU