Linc Pens Case Study
The writing instruments industry in India is estimated to be around ` 2100 crores with organized players accounting for huge chunk of market share of ` 1600 crores. 2.
Linc is growing at rate of 20% against the industry average of 9% and is the second company from Kolkata after Emami to appoint Shah Rukh Khan as its Brand Ambassador will be soon rolling out campaigns and merchandise. 3.
Linc commands 25% of the market share in Eastern India, 11% of the market share in Northern India, and less than 5 % in West & southern India. 4.
Currently 22% of the Company’s turnover comes from exports to hosts of the countries. In U.K. Linc makes pens for OEMs like Tesco, Esada (Walmart) & W.H.Smith. It also sells pens in its own brand name. 5.
Linc exports grew at 44.9% last year. To support & focus on exports, they have now acquired a small facility at Falta SEZ, near Kolkata, which is on stream. 6.
Linc’s Managing Director Deepak Jalan has now moved towards better brand building besides improving Linc’s distribution Network vy penetrating into modern retail formats & setting up ‘Just Linc’ & ‘Office Linc’ stores in malls & high streets. There are 19 such stores in Kolkata, Mumbai, Noida, Ahmedabad, Uttar Pradesh etc… 7.
As Shah Rukh Khan (Celebrity People) Have influence over large number of people, even brands like Reynolds and Parker has roped Celebrities like Sachin Tendulkar & Amitabh Bachchan respectively to successfully capture large number of market share. Now Linc has also come in a row of having a brand Ambassador Shah Rukh Khan. 8.
To reduce cost of Pens, Linc has shut-down its factory in Goa and relocated it to Kolkata and also has a unit in Noida. Linc sales has reached around 2 million pens per day moreover Jalan says that freight factor is not high in case of pens. 9.
On domestic turf, to maximize the leverage Linc has 2,282 distribution Network & stockists across the country, Jalan has started looking for the other range...
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