PAINT INDUSTRY – OVERVIEW
In 1902, the paint industry came into existence in India with the setting up of a small factory by Shalimar Paints in Kolkata. The industry is a Rs. 7750 crore sector in India. Based on products paints are classified into two broad categories: Decorative or Architectural paints: Industrial Paints: Caters primarily to the Caters mostly to the housing sector. automobile sector
On February 1st, 1942 the company was incorporated as a private limited company under the name of “Asian Oil And Paint Company Ltd.”.In 1965, the company changed its name to “Asian Paints (India) Pvt Ltd.”. According to the current figures, the company is leading the decorative paint segment with a 38% market share whereas in the industrial paints segment it ranks at the 2nd place with a market share of 15%, trailing behind Nerolac Paints. Asian Paints is the 10th largest decorative paint industry in the world. TRANSITION FROM PRODUCT TO CONSUMER ORIENTATION
The story of evolution of Asian Paints is fascinating. In the initial years the company mainly focused on “product innovation” trying to improve the quality of its product and by targeting to achieve mass segmentation through increase in volumes. The company then realized that the involvement of people is low in the industry. In order to involve people the company shifted to consumer orientation. CONSUMER ORIENTATION: Consumer Orientation means identifying what the consumer needs and then coming out with product that meets their needs and satisfies their wants. “It is the business seen from the point of view of its final results, that is from the customers’ point of view.” By Peter F. Drucker. TARGET SEGMENT
Product orientation:-Initially it focused on the “bulk buyer” segment as it was the major chunk of the market. It primarily targeted the urban region for greater margins. Consumer...