TABLE OF CONTENTSCHAPTERSUBJECTPAGE NO.
Chapter 01PREFACE
Chapter 02EXECUTIVE SUMMARY
Chapter 03OBJECTIVE OF THE STUDY
Chapter 04METHODOLOGY
Chapter 06OVERVIEW OF PAINT IDUSTRY IN INDIA
Chapter07COMPANY PROFILE
Chapter08PRODUCT PROFILE
Chapter12MARKET SURVEY
Chapter13OBSERVATIONS AND FINDINGS
Chapter14SWOT ANALYSIS
Chapter15RECOMMENDATIONS AND FINDINGS
Chapter16LIMITATIONS
Chapter17CONCLUSION
Chapter18BIBLIOGRAPHY
Chapter19APPENDIX
EXECUTIVE SUMMARY
EXECUTIVE SUMMARY
In the project the nature of research is exploratory research
whereby the efforts have been made by executing the research in
HUBLI town. A systematic as well as well-designed approach has been
adopted while conducting research about market characteristics.The
problem is that the company seems to have less market share in
comparison to its competitors. So the project given to me was to
find out the cause behind this and to find out the probable
techniques to be applied to overcome the problems. Moreover I had
to study the marketing and the promotional activities of the
company in the various institutions and convey the schemes and the
benefits provided to them by the company. First of all the
objective of the study was defined clearly. It is followed by the
research methodology adopted which has been defined with the help
of collected data. A detailed interpretation of the Indian Paint
Industry has been given. The companys history along with its
profile is described. The product profile is defined covering the
different types of products the company is having. The major
players of the industry and their profile are described. The next
step was defining the sampling design where by the sample size of
50 was taken for the different institutions viz. Projects and Homes
and the target area was HUBLI To facilitate the research work
questionnaire method was adopted for the collection of the data as
a primary research whereas the secondary data was collected from
different books, company library and the other trade / business
websites.
Questionnaire contains both open ended questions and close ended
questions, on the basis of the feedback the analysis was done with
the help of the clear graphical representation by using pie charts,
bar graphs and other graphs. The next step was the most important
step for looking at the actual findings of the project and
recommend to the company what can be incorporated for further
improvement.
INDUSTRY OVERVIEW
CHAPTER 1OVERVIEW OF PAINT INDUSTRYHISTORY OF PAINTS:-Colour has
fascinated culture throughout history, every age and every region
has produced dyes and pigment depending on the available resources.
Colour has been with us for more than 20,000 years. Evidence
survives in early cave paintings and the ancient Chinese are
considered to have brought its manufacture and use to a state of
perfection tens of thousands of years ago. Colour was widely used
by the ancient Egyptians and was considered to have magical and
healing properties and around this time, 1500 BC, paint making as
an art became quite widely established in Crete and Greece with the
Egyptians passing their skills to the Romans. It was between 600
BC-AD 400 that the Greeks and Romans then introduced varnishes. For
the Aztec Indians red dye was considered more valuable than gold
and both the Indians and Chinese practiced Colour Healing. A 2000
year old, Chinese chronicle, The Nei/ching, records colour
diagnoses. Yet for all this it was discovered that none of the
worlds civilizations has named many colours. In the 1960s two
anthropologists conducted a worldwide study of colour naming. Many
languages only contained two colour terms, equivalent to white
(light) and black (dark). Of 98 languages studied, the highest
number of basic colour terms was to be found in English - where we
have eleven: black, white, red, orange, yellow, green, blue,
purple, pink, grey and brown. The other millions of colours have
'borrowed' names, based on examples of them, such as avocado,
grape, peach, tan, gold, etc.One of the earliest recorded colour
discoveries was made by Plato who discovered that by mixing two
colours, a third is produced, therefore changing the,
'manufacture', of colour forever.Prior to that the earliest cave
paintings were made by using iron oxides, it was the ancient
Egyptians who developed other paints from pigments in the soil
(yellow, orange, and red). It was the Romans who gave us purple, a
pound of royal purple dye, required the crushing of four million
mollusks. Cochineal red, discovered by the Aztecs, was made using
the female cochineal beetle. A pound of water-soluble extract
required about a million insects and it was the Spaniards who
introduced the crimson colour to Europe in the 1500's. Later
genuine Indian Yellow was produced from concentrated cows urine
which was mixed with mud and transported to London for purifying,
Sap Green from the Blackthorn berry and Sepia Brown from the dried
ink sac of squid. Paint is made up of a pigment, a binder to hold
it together and appropriate thinners to make it easy to apply. 5000
years ago Blue Frit was the first synthetic pigment being produced
by the Egyptians from ground down blue glass. Before the nineteenth
century the word 'paint' was only applied to oil-bound types; those
bound with glue were called 'distemper'. By 1000 B.C. development
of paints and varnishes based on the gum of the acacia tree (better
known today as gum arabic) had been developed. At this time umbers,
ocher's and blacks were readily obtainable, new colours were also
discovered - the first was 'Egyptian Blue'; 'Naples Yellow' dates
from around 500 BC and 'red lead' was discovered by accident in
about 2500. White lead occurred naturally
but demand encouraged production of manmade versions. Vitruvius
describes production of white lead in the 2nd century AD.Before the
16th century, pigment colour was largely dependant on dyestuffs
which could be grown in, or were indigenous to Europe and similar
temperate regions. Between 1550 and 1850 only the so-called natural
dyestuffs were available but the range was greatly extended with
tropical dyestuffs from Central America and India and elsewhere.In
the 17th century the Dutch greatly increased availability of white
lead and lowered cost by invention of the Stack Process. All white
lead paints included chalk in their undercoats, reserving purer
white lead for finish coats. In1856 the first real synthetic dye,
'Mauveine', was discovered by Henry Perkins. It was then realized
that a great many dyes could be made synthetically and cheaply.It
was then that Linseed Oil began being mass produced. They also had
pigment grade zinc oxide - we call it white paint. Using cast-iron
paint mills and zinc-based pigments, industrialists produced the
first washable paint marketed as 'Charlton White' in the 1870's
(the first ready mixed paint was patented by one D.R. Averill of
Ohio in 1867, but it never caught on).The Sherwin-Williams company
spent ten years trying to perfect the formula where fine paint
particles would stay suspended in Linseed oil. In 1880 they
succeeded in developing a formula that far exceeded the quality of
all paints available at the time. It was then that emulsions based
on similar formulae, were produced and marketed as 'oil bound
distempers'. By 1880 the new paints were readily available in tins,
in a wide range of colours, and came to be exported all over the
World.
INTRODUCTION TO PAINTS INDUSTRY IN INDIAThe Indian paint
industry is over 100 years old. Its beginning can be traced back to
the setting up of a factory by Shalimar Paints in Calcutta (now
Kolkata) in 1902. Until World War II, the industry consisted of
small producers and two foreign companies. After the war, the
imports stopped, which led to the setting up of manufacturing
facilities by local entrepreneurs. Still, the foreign companies
continued to dominate the market. Initially British paint companies
such as Goodlass Walls (now Kansai Nerolac), ICI, British Paints
(now Berger Paints), Jenson Nicholson and Blundell & Eomite
dominated the market.Paint Companies in India bring to you a wide
range of paints, varnishes, pigments and coatings for the perfect
finishes for the home interior and exteriors dcor and
beautification. The paints industry in India has flourished into a
full-fledged manufacturing and sale market catering to the
international standards being demanded for the painting jobs.
Painting is a vital ingredient in any dcor. Different surfaces
require different kinds of products. The surfaces may vary from
walls - interior, exterior and textured to wood and glass surfaces,
metals, faux finishes, doors and handles to cars and special
decorative paints for bedrooms and kids rooms and many
such special requirements. The India paints companies have given
many products to suit each individual need. You can get all
varieties of plastic paint, acrylic paint, primers, emulsions,
latex paints etc. in a wide spectrum of colors to choose
from.Selection of home and office paint goes far beyond just the
matching or desired color. The texture and quality of the paint
applied is what matters the most for the perfect finish you are
looking for. Some of the common problems one might face with the
painting jobs done on their surrounding surfaces are blistering,
cracking or flaking, blocking, sagging, yellowing, fading or
surfactant leaching.The Indian Paints industry is worth more than
Rs. 110 billion. The demand for paints is price-elastic but it is
linked to industrial and economic growth. In India the organized
sector controls 70 percent of the total market with the remaining
30 percent being in the hands of nearly 2000 small-scale units. The
industrial paint segment accounts for 30 percent of the paint
market while the decorative paint segment accounts for 70 per cent
of paints sold in India. In most developed countries, the ratio of
decorative paints vis-a-vis industrial paints is around 50:50.
Indian paints industry offers lucrative scope for stable revenue
streams to manufacturers of both decorative and industrial
paints.
The types of paints available in the market and their utility
are: Acoustic Paint: It is specially designed for acoustic tiles
Alkyd Resin Paint: Best suitable for trim, doors, faux finishes and
other maximized use areas. Dripless Paint: This paint is thicker
and is most suitable for application on ceilings Latex Paint: The
applicability of this paint is easier than most other and it dries
much quickly. It is also easier to be washed. One-Coat Paint: It is
the more expensive version of the latex and alkyd paints and is
mostly chosen for surfaces that require flawlessness in color.
Primers: This paint is the initiation for all interior paint works.
Rubber-Base Paint: This is best for concrete and bricks. Textured
Paint: If need is to cover any flawed surface in your house get
this paint. It works well on ceilings.Besides these home decorating
and improvement paints and office paint you can also get industrial
paints, aircraft paint, airplane paint, aviation paint and many
other paint products with the paint shops in India. The paint
companies in India house a wide range of paint products that cater
to all your needs. A whole spectrum of colors with your own
textured options and application patterns are available with the
paint companies. Each company has its own specialized product and
some also offer home paint services. The cost of a painting job may
vary with the paint chosen - acrylic, emulsion, primer etc., the
paint tools being used and the painting company hired. The industry
has also witnessed increased activity in the industrial variety of
paints with the entry of MNCs in auto, consumer durables etc, which
has been gaining steadily over decorative paints in the last one
decade. The typical characteristics of the Indian
paints industry have been discussed in depth covering the
typical features of the Indian industry viz., raw material
intensiveness, working capital intensiveness, seasonality of
demand, price elasticity of demand and low entry barriers. The
current global scenario with reference to the paint industry has
been covered in the report with special focus on auto-coats market,
which is a key growth area in the International market.
While talking about the post independent development of the
Paint industry in India, mention must be made of Asian Paints, a
completely Indian unit which started on a very small scale, grew so
big and so beyond recognition over the years that it is today not
only the largest unit in India but way ahead of the second largest,
Kansai (Goodlass) Nerolac Paints Ltd., formerly a unit of Goodlass
Wall (UK).Besides Asian Paints, numerous factories, wholly Indian
in ownership and with rare exceptions in technology as well, were
set up in Kolkata, Kanpur and Mumbai. The British units, though a
few in number, were technically strong and financially sound and,
with the active support and patronage of the Government, controlled
a vastly higher share of the market. The post independence period
witnessed a steady growth in the paint industry. From a mere Rs.200
million turnover in 1950, the paint industry crossed the Rs.14000
million mark in 1990-91. But even in this period, paints were
considered a luxury item. Only people with high incomes were
expected to decorate their houses with the use of paints. Paints,
as a protective element, were totally unheard of. The industrial
segment, which was traditionally a low user of paints, vis--vis its
counterparts in the decorative segment, too contributed to this
notion. In line with this misconceived notion, the government
drastically increased duties on paints in the early nineties with
an aim to bolster exchequer revenues. The result was obvious. This
inevitably brought about a downturn in the fortunes of the
industry. The products, which are highly price elastic, saw a
negative growth rate of 20 % in 1991-92. The next year was also not
good, registering a growth of only 2%, bringing it back to the
1990-91 level, thus corroborating the fact that the industry needed
lower excise levels to grow. The industrial slowdown during that
period also did not help matters. In line with the liberalized
policies and the realization that paints are not necessarily a
luxury item, duties were progressively reduced from 1993-94. This
squared growth as most companies passed on duty reductions.
Further, the entry of world majors in the automobile and white
goods market in India since 1993 helped the market to expand.
Demand for auto paints shot up suddenly. Form a modest 8% growth
rate in 1993-94, paint demand touched 12% in 1995-96.Rapid
industrialization and improvements in the infrastructure such as
transport, energy and communication during the last decade gave a
further fillip to the growth of the paint industry. Aided by
Governments liberal policy of technology import, the automotive and
consumer durable segments expanded phenomenally, with a flurry of
foreign collaboration. Increased demand for decorative,
.
SWOT ANALYSIS OF INDUSTRY:- Strengths Imp of brand image as
barriers to new entrants Good technology backup. Weakness Raw
materials scarcity Requirement of high working capital Real estate
in a depression phase. Opportunities Fiscal incentives provided by
Government. Commodity to FMCG. Rise in disposable income Threats
Foreign companies entering as sole players
COMPANY OVERVIEW
CHAPTER 2 INTRODUCTION OF COMPANYHISTORY OF THE ORGANIZATIONWe
embarked our journey in 1920 as Gahagan Paints and Varnish Co. Ltd.
At Lower Parel in Bombay. In 1930, three British companies merged
to formulate Lead Industries Group Ltd. In 1933, Lead Industries
Group Ltd. acquired entire share capital of Gahagan Paints in 1933
and thus, Goodlass Wall (India) Ltd. Was born.Subsequently, by
1946, Goodlass Wall (India) Ltd. was known as Goodlass Wall Pvt.
Ltd. In 1957, Goodlass Wall Pvt. Ltd. grew popular as Goodlass
Nerolac Paints (Pvt.) Ltd. Also, it went public in the same year
and established itself as Goodlass Nerolac Paints Ltd.In 1976,
Goodlass Nerolac Paints Ltd. became a part of the Tata Forbes Group
on acquisition of a part of the foreign shareholdings by Forbes
Gokak.In 1983, Goodlass Nerolac Paints Ltd. strengthened itself by
entering in technical collaboration agreements with Kansai Paint
Co. Ltd., Japan and Nihon Tokushu Toryo Co. Ltd., Japan.In 1986,
Goodlass Nerolac Paints Ltd. turned into a joint venture of the
Tata Forbes and the Kansai Paint Co. Ltd., with the latter
acquiring 36% of its share capital.In 1999, Kansai Paint Company
Ltd., Japan took over the entire stake of Tata Forbes group and
thus KNP became a wholly owned subsidiary of Kansai Paint Company
Ltd.In 2006, on the 11th of July, Goodlass Nerolac Paints Ltd. name
has been changed toKansai Nerolac Paintss Ltd.During the journey of
continuous performance excellence, we have entered in to many
technical collaborations with other industry leaders such as E.I.
Du-Pont de Nemours & Company Inc., USA and Oshima Kogya Company
Ltd., Japan for our different products.Our incessant journey of
successes will go on backed by our present human asset of over 2000
professionals and a sales turnover of Rs. 1484 crores.We are
esteemed to be a subsidiary of Kansai Paint Company Limited, which
is the largest paint manufacturing company in Japan and among the
top ten coating companies of the world.We are the second largest
coating company in India with a market share of over 20%.We are the
market leader in industrial / automotive segment supplying over 90%
of the OEM requirements. We are the leader in powder coatings.
VISION VALUES AND CULTUREIn todays dynamic business environment,
no organization can afford to survive without a well-articulated
and carefully thought vision stating the overall strategic
direction and long-term future of its business.We have been at the
forefront of paint manufacturing over eight decades pioneering a
wide spectrum of quality products that change the face of economy
and lifestyles of people at large.It is our vision to leverage
global technology, for serving our customers with superior coating
systems built on innovative and superior products and world class
solutions, to strengthen our leadership in Industrial coatings and
propel for leadership in Architectural coatings, all to the delight
of our stakeholders.We firmly believe that it is not only the
vision of where we wish to go which will form a cornerstone of all
our further growth, but also our conviction to the fact that the
values based proposition has to be ultimate foundation of our
business. To this end we consciously have internalized and been
practicing these values inall our business transactions though
human beings: Innovation Entrepreneurial Responsive Simplicity Team
Orientation
OBJECTIVE OF COMPANY:The management of kansai nerolac decided
some objectives to become topper in the market. And the objectives
are: Better quality then other company. Fair returns to share
holders. A higher productivity to cover maximum market. Maximum
customer satisfaction. Clean & healthy Environment for
employees growth. Try to lower pollution to fulfillment of social
responsibilities
THE QUALITY POLICYIt is the philosophy of Kansai Nerolac Paintss
Ltd., and its associates to achieve complete customer satisfaction
by providing products and services that consistently meet or exceed
the customer needs and expectations, pursuant to agreed
specifications, delivery schedules and competitive prices. It is
the philosophy of the company to systematically operate its
manufacturing facilities by inculcating commitment to total quality
management at all levels and on a continuous basis with a view to
achieving First Time Right results in manufacture, services and
other operations.It is the companys aim to constantly reduce waste
of material and effort, increase efficiencies and ensure safety of
plant and people and protection of the environment
OPEN DOOR POLICYWorking together requires that we have a
friendly atmosphere based on trust and respect amongst all of us.At
Nerolac we follow an Open Door policy. Any person is free and
welcomed to share good idea, suggestion, doubt, problem about job
or work place, or uncertainties about ones future in the
organization. An open and transparent communication is
appreciated.
SOCIAL RESPONSIBILITYThe company continues to make its due
contribution to community relief and development activities and has
donated both in cash and kind for the beautification of some public
places in Mumbai and elsewhere. The company continued its
activities directly or indirectly through trusts/agencies in
community Development and Social Welfare including contributions
towards national defense, medical help, education, improvement of
environment etc.
ORGANIZATIONAL STRENGTHSAn organization is not set on pillars of
brick and concrete but is set on strong inherent characteristics
that make it strong for years!Nerolac is carrying on strong since
1920. Following are its strengths that have kept this company in
good faith.STRONG VISION AND VALUESNerolac is a company with very
clear and well-defined vision and very strong values. Clarity of
vision and strong foundation of cultural values have always kept
this company in good stead. Its ethical conduct has always guarded
it against any possible traps and pit falls.We have made sure that
the distribution hurdles and the climatic vagrancies do not affect
the quality of our services. This same commitment will ensure that
Kansai Nerolac will march towards its centennial year, fully
dedicated and invigorated, in step with the exciting wave of
industrialization and modernization pervading through the new
India
ORGANIZATIONAL STRUCTUREA sale organization is both an orienting
point for co-operative endeavor and a structure of human
relationships. It is a group of individuals striving jointly to
reach qualitative and bearing formal and informal relations to one
another.Existence of a sales organization implies the existence of
patterns of relationships among subgroups and individuals
established for purposes of facilitating accomplishment of the
group's aims.A good and efficient sales organization is the
foundation for execution of sales policy and sales program me.The
concept of organizational structure is somewhat abstract and
illusive. However it is real and effects everyone in the
organization.
According to March and Siman, "Organizational structure consists
of those aspects of pattern of behaviour in the organization that
are relatively stable and change only slowly."
It facilitates the growth of the organization. It stimulates
creative thinking and initiative by proving well defined are of
work with provisions for development of new and improved ways of
working.
Organizational Structure:-
TSS TSO TSE ASE ASM DSM GM Sales GM MarketingVP FinanceVP
Operation VP Marketing & Sales MD
PRODUCT PROFILE OF KANSAI NEROLAC PAINTS LTD.
PRODUCTS
INDUSTRIAL PAINTSDECORATIVE PAINTS
Decorative Paints(1) WallsInterior Water Based Paints
EMULSIONNEROLAC IMPRESSION 24 CARAT PREMIUM LUXURY EMULSIONProduct
DescriptionNerolac Impression 24 Carat Premium Luxury Emulsion is a
premium quality Architectural coating specially formulated by using
pure acrylic latex, and high opacity micronised pigments so as to
impart smooth velvet finish, with excellent wash
ability.Performance Features & Benefits Smooth Velvety Finish
with Sheen Excellent Flow & Brushability Excellent Washability
& Stain Resistance Very good Antifungal Resistance Ease of
application Low odour.
NEROLAC IMPRESSION METALLICProduct DescriptionNerolac Impression
Metallic is a premium quality water base special effect designer
series range that creats a variety of special effects and textures
on interior walls and is based on pure acrylic emulsionPerformance
Features & Benefits Smooth Velvety Finish with Sheen Excellent
Flow & Brushability Excellent Washability & Stain
Resistance Very good Antifungal Resistance Ease of application Low
odour. Good aesthetic look Can make various designs with different
application tools
NEROLAC DISNEY EMULSIONDescription:Nerolac Disney Emulsion is a
water-based, premium super luxury interior wall finish. It provides
a distinctly rich, velvety smooth with exquisite satin finish.
Ideal base coat for Disney stencil application and for superior
results.Properties:It offers excellent washability and superior
stain resistance. No added lead, mercury or chromium
compounds.Designs:Nerolac Disney Emulsion has beautiful designs of
Micky & family, Pooh and Princess.Packaging:Nerolac Disney
Emulsion is available in 1lt attractive pack. Along with this one
set each of stencil kit and tool kit is required for one complete
design.
DISTEMPER
NEROLAC BEAUTY PREMIUM ACRYLIC DISTEMPERProduct
DescriptionNerolac Beauty Premium Acrylic Distemper is supplied in
paste form, and it can be used for the decoration of fully matured
plasterwork, concrete, brickwork and asbestos surfaces. The paste
is bound with a stable acrylic medium.Performance Features &
Benefits Premium Acrylic Distemper Ease of application Good
washability Eye soothing matt finish.
NEROLAC BEAUTY ACRYLIC DISTEMPERProduct DescriptionNerolac
Beauty Acrylic Distemper is supplied in paste form, and it can be
used for the decoration of fully matured plasterwork, concrete,
brickwork and asbestos surfaces. The paste is bound with a stable
acrylic medium.Performance Features & Benefits Economical
Distemper Ease of application Good washability Eye soothing matt
finish.
NEROLAC BEAUTY OIL BOUND DISTEMPERProduct DescriptionNerolac
Beauty Oil Bound Distemper is supplied in paste form and it can be
used for the protection and decoration of fully matured
plasterwork, concrete, rickwork and asbestos surfaces. The paste is
bound with a stable oil emulsion medium.Performance Features &
Benefits Ease of application. Good wash ability Eye soothing matt
finish.
Solvent Based Paints(I) Nerolac Pearls Lustre Finish
NEROLAC PEARLS LUSTRE FINISHBrand NameNerolac Pearls Lustre
finish is a Special Interior Wall paint that captures the magic
glow of pearls and the intrinsic resilience of the shell. Thus,
this paint very rightly stands for "Ornamentation for walls". This
is a special product for interior use, developed by incorporating
selected pacifying pigments dispersed in a specially formulated
medium.Performance Features & Benefits Silky finish with pearly
sheen Excellent stain resistance Very good washability Good
applicability Tough and hard film.
ENAMEL
NEROLAC SYNTHETIC ENAMELProduct DescriptionNerolac Synthetic
Enamel is a time tested and proven, high quality alkyd based enamel
incorporated with best quality opacifying and light fast pigments.
Performance Features & Benefits Excellent Water Repellency Good
Stain Resistance Excellent flow characteristics to form smooth and
uniform finish Excellent Hardness and Durability Excellent
Gloss.
NEROLAC SATIN ENAMELProduct DescriptionNerolac Satin Enamel is
specially formulated to give an excellent smooth finish resembling
the smoothness of satin to masonry, wood and metal surfaces. It can
be easily cleaned to give new look to the surface.Performance
Features & Benefits Very smooth satin like appearance Good wash
ability Very good flow and brush ability Hard durable film.
NEROLAC IMPRESSION HI-PERFORMANCE ENAMELProduct
DescriptionNerolac Impression Hi-Performance Enamel is a specially
designed coating havinga judicious blend of high quality resin
& light fast pigments. It is recommended forsuitably primed
interior & exterior wooden, masonry and metal
surfaces.Performance Features & Benefits Super sleek and shiny
finish with special anti-fungal formula to Provide protection from
fungus. Excellent gloss and gloss retention. Excellent colour and
colour retention Excellent flow characteristics to form smooth and
uniform finish Excellent durability Up to 30% more coverage than
popular enamels.
NEROLAC IMPRESSIONS EXCEL TOTAL ALL IN ONE ACRYLIC EXTERIOR
EMULSIONProduct DescriptionNerolac Impressions Excel Total All In
One Acrylic Exterior Emulsion is high performance premium water
based, long lasting exterior paint, with UPF (Ultimate Paint
Formula). It is formulated to suit the extreme tropical conditions
of high rainfall, humidity and heat. The product is based on 100%
Acrylic resin and hence it forms a tough and flexible protective
film, with an excellent bonding to the substrate, which prevents
peeling off or cracking for years together. It contains special
type of emulsion which gives Excellent Dirtpickup Resistance and
Excellent Sheen. 1`All In One Acrylic Exterior Emulsion contains a
unique combination of surface protectants, which arereleased slowly
over a long period of time. This actively helps not only to prevent
the fungal and algae growth, but also, ensures constant surface
activity against these irritants for a long period. It also offers
a 7 year warranty*
Performance Features & Benefits Excellent Dirt Pick up
Resistance Excellent resistance to fungal and algae growth 7 year
warranty* Excellent out-door durability Very good colour retention
Smooth & High Sheen finish Easy to apply and maintain
NEROLAC SURAKSHA ADVANCED PLASTIC EXTERIOR PAINTProduct
DescriptionNerolac Suraksha Advanced Plastic Exterior Paint is an
economical water thinnable coatings, specially designed for
application on exterior walls in dry or moderatey humid climatic
conditons. It has good Washability, Anti-Algal & Anti Fungal
properties.Performance Features & Benefits Economical water
thinnable coating Better outdoor durability Smooth and pleasing
finish with Sheen Performance much superior to cement paint No need
of curing.
NEROLAC SURAKSHA PLASTIC EXTERIOR PAINTProduct
DescriptionNerolac Suraksha Plastic Exterior Paint is an economical
water thinnable coatings, specially designed for application on
exterior walls in dry or moderately humid climatic conditons.
Nerolac 'Suraksha' is much superior to normal cement paint coatings
in respect to exterior durability, finish, washability and
resistance to fungus / algae.Performance Features & Benefits
Economical water thinnable coating Better outdoor durability Smooth
and pleasing finish.
NEROLAC SATIN ENAMELProduct DescriptionNerolac Satin Enamel is
specially formulated to give an excellent smooth finish resembling
the smoothness of satin to masonry, wood and metal surfaces. It can
be easily cleaned to give new look to the surface.Performance
Features & Benefits Very smooth satin like appearance Good
washability Very good flow and brushability Hard durable
film.NEROLAC SYNTHETIC ENAMELProduct DescriptionNerolac Synthetic
Enamel is a time tested and proven, high quality alkyd based enamel
incorporated with best quality opacifying and light fast
pigments.
Performance Features & Benefits Excellent Water Repellency
Good Stain Resistance Excellent flow characteristics to form smooth
and uniform finish Excellent Hardness and Durability Excellent
Gloss.
DISTRIBUTION NETWORKKansai Naerloc paint in 24 State in India
and 68 sales Depots.The distribution system is taken care by area
sales managers and executives. The executives keep canvassing the
market and meeting the dealers to get the orders. Asian paints has
around 12000 dealers who are catered to by the sales xecutives. The
orders are collected by the sales executives and passed on to the
nearest depot. The depots are fed by regional warehouses. These
depots maintain a minimum order quantity which is arrived at from
the monthly demand forecast. The material is dispatched from the
depot in the name of the dealer. Generally some orders of the same
region are clubbed together and dispatched in trucks. Finally the
truck is unloaded and the small orders of the dealers are
dispatched to them. The The sales executives are also responsible
for the collection of outstandings. Generally paint companies allow
a maximum outstanding of 2-3 lakhs for 45 days. Other jobs of the
sales team consist of grievance redressal and customer
feedback.
SWOT ANALYSISSTRENGTH:Well Establish Brand: Nerolac Paints is 90
year old brand. Kansai Nerolac is at third Position in the world.
Quality driven:While its competitors concentrate more on variety
and mass production and a lot of other different strategies, the
company is essentially a quality centric company. This has helped
the company grow and sustain its brandsFirst Mover Advantage
Nerolac was started in 1920. So company has first mover advantage.
Company was started LEAD free products.Innovation in Research and
Develpoment"Compete through Innovation"The keystone of kansai
Nerolac's success has been its investment in technology and the
importance given to Research and Development. The company has, over
the years, set up excellent facilities for developmental research,
improving its manufacturing processes and continuously innovating
on its products.
People:-Nerolac is a company, which considers its people as one
of its strengths. Nerolac has always valued its employees.
Recruitment thus becomes very important activity at Nerolac.
Employees that add value to the organization are suitably awarded
& rewarded to keep the fire live & going.
WEAKNESS:
Weak DistributionCompany has less dealer network in compare to
competitor . Company has around 12000 dealer in India.
Products Awareness Kansai Nerolac products Brand awareness is
very less.
OPPORTUNITY:Greater PenetrationOne of the biggest opportunities
KNP has in India is to become the positioned leader in all parts of
the country. At present, there is very less penetration of KNP
brands in the rural market. KNP could reap great profits coming
from the rural areas as well. Real Estate BoomThe real estate boom
which is gaining momentum by the day, is a great boon to the entire
paint industry. This would actually be a good opportunity for all
of the industry to cash in on their profits.
THREAT:Loss Of Loyal CustomersBecause KNP is one of the oldest
and one of the most bankable brands in the market today, it has a
lot of demand as well as appeal among consumers. With a lot of
innovations and a lot of movement in the market, the loyal consumer
might just get inquisitive and opt or a competitor brand. A study
shows that most loyal brand users opt for new brands because
boredom sets in and change seems to be a great option.
INFLUENCER PERCEPTION
Today, customer is the King of the market. He is the one, who is
to decide what should be served to him, whether it may be a product
or service. To survive in todays competitive market, one has to
improve its service quality and also specialize its services
according to the changing needs of the customer. Thats why many
companies, nowadays, are setting up grievance cells,feedback
mechanism. Problem resolutiondepartments, customer care services
and againsome are also hiring agencies for conducting market survey
to know Consumers perceptionabout the company, companys products
and services. One has to devise its products and/or services
according to the costumers needs and desires.
Today, marketing sector is crowded with too many big player.
They are consistently working on improving their service quality
and also observing the market & consumer behavior to specialize
their service accordingly. It is said that when a company knows the
customers varying needs & desires and having a mechanism to
study the changes, half a work is done. Then it can very well
formulate his strategy to spread into the market.Again, when he is
up to date, he is obviously in an advantageous position than his
competitors.
keep pace with the change, one has to work consistently and
continuously
Advantages are that it is free of classification error, and it
requires minimum advance knowledge of the population. best suits
situations where not much information is available about the
population and data collection can be efficientl conducted on
randomly distributeditems. If these conditions are neither false
nortrue, stratified sampling or cluster
sampling may be a better choi66
RESEARCH METHODOLOGY
CHAPTER-4RESEARCH METHODOLOGYResearch methodology is used to
search answers of the research questions. An attempt has been made
to describe the nature of the builders of Hubli city by the study
of the samples.SAMPLE PLAN To know the position & perception of
NEROLAC PAINTS in the Hubli region regarding sales and brand equity
in comparison with the other brands on the basis of attributes of
paint has been done. For this purpose, opinion of contractors and
builders has been taken. This might be helpful to draw the right
picture about the market scenario. This was convenient in nature
because I would have to account only those people who actually
require or purchase paint. The survey is conducted with the help of
questionnaire method and survey is conducted in the Hubli region.
Survey of BUILDERS and Painters and Archeticts. has been done for
the analysis. Sample size: 50Data Collection Every type of research
requires two types of data to be collected to reach up to any
conclusion. Primary Data are those data, which are directly
obtained from people by approaching them individually; primary data
are generated when the researcher employing mail questionnaire,
telephone surveys, personal interviews, observations and
investigates a particular problem at hand. For this project primary
data was collected from contractors and builders and Painter by
using survey method. Data collection from respondents was carried
out with the help of a structured interview schedule. In this
method data was collected from respondents through questionnaires.
I made a survey based on the questionnaire. The mode of survey was
directly contacting the people and recording their response based
on well-defined questions and also through telephone. Secondary
Data, on the other hand, includes those data, which are collected
in the past for other research work and are being used in current
project work. Secondary Data, such as procedures of marketing for
paint, marketing conditions, brief details of NEROLAC paint and
other competitors, price, quality, and other strategy and planning,
specification in relation to other paint companies, all other
information which can be useful to complete this project, was
collected from different resources.
SOURCES OF DATA
Primary Data Secondary Data
Questionnaire Newsletter ObservationJournals Interviews
MagazinesNewspapersBooks
SCOPE OF THE STUDYThe research had been conducted in Hubli in
the month june_Augest 2013 . We contacted builders and contractors
in different areas of Hubli city for fieldwork.The research not
only partially fulfilled the requirement of MBA degree program but
also learned a lot in the field of marketing research. This project
gives an opportunity of implementing his theoretical knowledge of
management curriculum in practical life and will learn a lot from
practical experiences during this research.
Type of Research exploratoryType of Data PrimaryMethod of Data
collection SurveyResearch Instrument - Structured ScheduleSampling
Method non parametricSample Size 50Sampling Unit Builders and
contractors
LIMITATIONS OF THE STUDY:The successes of any research work
depend on the response of the respondent.But sometime the response
is not sufficient due to these following reasons Respondents
generally have less time to respond. Sometimes they are confusing
in their response due to lack of knowledge. Some persons are not
willing to disclose the truth. Their attitude towards people
representing a company. The time constraint faced in the project
might have affected the comprehensiveness of its findings.
OBJECTIVE OF STUDY
1) To determine the preference level of Nerolac paints in
comparison to the other companies paint in the different in
projects
2) To know the awarenes level of Nerolac paint in a construction
stream 3) To Identify the requirements of builder and arechites and
painter in the paints 4 ) To analysis perception regarding the
preference of Nerolac Paints 5) To promote the Nerolac company
products into the projects
OBSERVATION & ANALYSIS
How long have you been in this profession ?
FrequencyPercentValid PercentCumulative Percent
Valid2- 5 Year s816.016.016.0
Above 5 Year s4284.084.0100.0
Total50100.0100.0
INFERENCE: In the study Area It is found that only 16% of
builers and archetict have entred the business in the business in
the last 5 year and 84% people are entered more than 5 yeareOn
Among various constructioin needs where do you serve ?
FrequencyPercentValid PercentCumulative Percent
ValidResidential3672.072.072.0
commercial1428.028.0100.0
Total50100.0100.0
INFERENCE:In the study Area it is found that 72% respondents are
in stream of Residential and in the commercial 28% respondents are
serving in stream of commercial
Kindly priortize the below mentioned parameters which you will
consider while buying any materials for your project ?
FrequencyPercentValid PercentCumulative Percent
ValidQuality1428.028.028.0
Brand name1632.032.060.0
Product performance2040.040.0100.0
Total50100.0100.0
INFERENCE:
In the study area it is found that only 28% respondents are more
constrate on quality and 32% are respondents are brand Name and 40%
respondents are constrate on more Product Performance .
Do advertisements influence you to make buying decisions ?
FrequencyPercentValid PercentCumulative Percent
ValidYes4692.092.092.0
No48.08.0100.0
Total50100.0100.0
__INFERENCE:In the study Area it is found that 98% resondens are
advertisement is the most effective media To aware of product and
2% respondents are not agree to the advertisement is effective
Which media of advertisement do you consider are more effective
?
FrequencyPercentValid PercentCumulative Percent
ValidNews paper/ magazine48.08.08.0
Television3978.078.086.0
Other sources714.014.0100.0
Total50100.0100.0
__INFERENCE:In the study area it is found that78% respondents
are give Television is more efficative and 14% respondents give
other source is efficative and News paper is it takes 8 % is
efficative in the advervtisement
Which paint brand are you useing in your projects ?
FrequencyPercentValid PercentCumulative Percent
ValidNerolac1122.022.022.0
Asain Paints2448.048.070.0
Berger12.02.072.0
Ici1428.028.0100.0
Total50100.0100.0
__INFERENCE: In the study area it is found that the 48%
respondents are using Asain paints and 28% respondents are using
Ici and 22% respondents Nerolac and 2% respondents are using berger
paints
Are you aware of Kansai Nerolac Paints Ltd ?
FrequencyPercentValid PercentCumulative Percent
ValidYes4998.098.098.0
NO12.02.0100.0
Total50100.0100.0
INTERPRETATION: In the study area it is found that 98%
respondents are aware of Nerolac company and they have good
feedback about nerolac and rest of 2% respondents are not aware of
Nerolac
Did you know KNP is the 2nd largest paint company of India ?
FrequencyPercentValid PercentCumulative Percent
ValidYes1836.036.036.0
No3264.064.0100.0
Total50100.0100.0
INTERPRETATION: In the study Area it is found that 64%
respondents are not aware of Nerolac is 2 largest company In the
paint line of production 36% respondents are aware Nerolac is 2
largest company
If answer for above question is yes then how did you come to
know about Nerolac Paints ?
FrequencyPercentValid PercentCumulative Percent
ValidAdvertisement4590.090.090.0
Others510.010.0100.0
Total50100.0100.0
INTERPRETATION:: In the study Area it is found that 95%
respondents are aware through advertisement and Rest 2% of other
respondents are aware through Other source Company has to strong in
the media line then it shows the impact of products__
According to you compared to other paints Nerolac Paint is ?
FrequencyPercentValid PercentCumulative Percent
ValidExcellent1836.036.036.0
Good2856.056.092.0
Average48.08.0100.0
Total50100.0100.0
INTERPRETATION:
From the above table we can conclude that the major numbers of
56% respondents felt the paint from Kansai Nerolac are good when
compared to others and 36% respondents are have excellent opinion
and 8% respondents are opnion is Average
What is the source of Procurement ?
FrequencyPercentValid PercentCumulative Percent
ValidDealers4998.098.098.0
other12.02.0100.0
Total50100.0100.0
INTERPRETATION: In the study area it is found that 98%
respondents procurement is Dealer and Other are 2% respondents are
procured other source
What kind of Paints do you prefer for your Projet ?
FrequencyPercentValid PercentCumulative Percent
ValidPremium2856.056.056.0
Medium24.04.060.0
Economy2040.040.0100.0
Total50100.0100.0
INTERPRETATION: From the study it is observed that 56% of
respondents are prefer premium paints, 04% of respondents are
prefer for medium paints,40%of respondents are economy paints. from
the above table it is clear that premium is 56% it is a first
preference is the first and another medium paints is a second
preference. Economy is a not better than to premium and medium.
Quality ?
FrequencyPercentValid PercentCumulative Percent
ValidHigh satisfied3468.068.068.0
Satified1632.032.0100.0
Total50100.0100.0
INFERENCE:In the study area it is found 68% respondents high
satisdied with Nerolac products and 32% respondents satisfied with
quality of paint
__
Price ?
FrequencyPercentValid PercentCumulative Percent
ValidHigh Satisfied1734.034.034.0
Satisfied2856.056.090.0
Dissatisfied510.010.0100.0
Total50100.0100.0
_INTERPRETATION: In the study area it is found that 56%
respondents satisfied with price and 34% respondents are high
satisfied with price and 10 % respondents dissatisfied with price
.
Availability ?
FrequencyPercentValid PercentCumulative Percent
ValidHigh satisfied612.012.012.0
Satisfied2244.044.056.0
Highly dissatisfied2142.042.098.0
512.02.0100.0
Total50100.0100.0
INTERPRETATION: From the above table we can conclude that the
major numbers of respondents are satisfied with the availability of
the company paints, 44% and 42% highly dissatisfied with
availability and 12 % respondents are highly satisfied with
availability
Company Response ?
FrequencyPercentValid PercentCumulative Percent
ValidHigh satisfied36.06.06.0
Satisfied36.06.012.0
Dissatisfied3366.066.078.0
Highly Dissatisfied1122.022.0100.0
Total50100.0100.0
INTERPRETATION: In the study area it is found 6 % respondens are
high satisfied with company response And 6% respondents are
satisfied the response 66% respondents are dissatisfied with
company response 22% respondents are highly dissatisfied
Range of Products ?
FrequencyPercentValid PercentCumulative Percent
ValidHigh satisfied3264.064.064.0
Satisfied1734.034.098.0
Dissatisfied12.02.0100.0
Total50100.0100.0
INTERPRETATION: In the study Area it is found that 64% are High
satisfied with range of products and 34% respondents are satisfied
with products and only 2% respondents are dissatisfied with range
of product
__
Rank of following companies on the basics of brand name of their
products ?
FrequencyPercentValid PercentCumulative Percent
ValidAsain Paints2652.052.052.0
Nerolac816.016.068.0
Ici1632.032.0100.0
Total50100.0100.0
__INFERENCE:The interpretation drawn from the above Bar chart
states that 52% of the customers preferred Asian Paints when they
choose paints according to brand name. While 32% of the customers
preferred Ici Paints. And 16% of the customers choose nerolac
Paints for painting. 10% of the customers preferred
Findings AND SUGGESTIONS
Findings 1) This Company has a Wide range of Product line
In the Study Area Nerolac company having wide range products
line example 8 Interior product and 5 exterior product are
available in the market
2) Good Feed back In the Quality of Product
In the 50 respondents most of all are happy with quality of
product and they dont have Less complaint about Nerolac Product
3) It is very difficult to mention loyal customer
In the field of paint mention loyal customer very difficult
because customer areUsing all kind of company products .
4) Promoters hardly Prefer Nerolac paints In study area the
respondts are I found that are hardly using nerolac paints they are
using Competative brands 5) Promoter dont have knowledge about
Nerolac product futures
The respondents are aware about Nerolac company products but
they not aware product line
6) Nerolac doesnt give demo advertisement to promoters
In the study area respondents want demo to the big projects but
company couldt give this facility
7) In the study Area less Distribution Network of Nerolac
Product
In the study area Hubli less dis titribution network in Area of
study only 30 counter are there 8) Less Promotion in the local
market In the local studyof area less promotion in the market like
there is no Nerolac company Hoardings
9) Nerolac least tried to meet the Promoters
In the study area the company least tried attract the
promoters
CONCLUSION AND SUGGESTIONS Conclusions followed by
recommendations form the basis of the report more solid. The
conclusion proves the analysis that is carried out in the report
and on the basis of these conclusions, recommendations are given.In
the report under study, it was found through the survey that Kansai
Nerolac Paints, is lacking popularity due to the less cons traction
on the advertising policy..In the survey and analysis it was found
that the Buying Behavior of the customers depends on variety of
factors like Cost, Quality, Durability, Color Varity and some other
factors. Awards Company has start in awards to the Promoters like
good Painter and good engineer like in the teritary level
Motivate to UnionIn the study area there is no support to the
Promoters company has to support and motivate Promoters
Human ResourceThe Company Has to appoiont human Resources. For
particular Projects and they need to meet the Promoters .
Realationship In the teritary level company has to mention good
relationship the union And company has to offer something and wish
them while festivals time
Motivation
Company has to set points to promoters it will be impact of
sales In the study Area Ici company give points to the painter but
ici fail to attract the painter So Nerolac has to comeup with
innovative tool to attract
The company has to conduct workshop to Promoters Company has to
conduct workshop to the Painter it will help to promote the
products and mainly they also suggest to other to buy
Advertisements The company has to give Demo advertisement to
give to big Projects Then only the promoters will suggest and
purchase the Paint
Kansai Nerolac has less dealer network in comparison to Asian
Paints. So increasing the dealer network or market presence
increase the availability of the product in the market that will
increase market share also.
ProductCompany should focus on their product company has to set
brand image to promoters like Asain
PriceCompany should focus on their Price. Because company need
to think about Price
Questionnaire I Parvatagouda Patil the student of Chetan
Business School Hubli, I am undertaking a project on consumer
perception about KANSAI NEROLAC PAINTS LIMITED. It is a part of MBA
Curriculum. I request you to spare your valuable time and provide
the information. I ensure that information furnished by you is used
for academic purpose only.
NAME
NAME OF PROJECT
CONTACT NO.
LOCATION
PROFESSION
1. How long have you been in this profession a. 0-1 year b. 1-2
years c. 2-5 years d. above 5 years
2. Among various construction needs where do you servea)
Commercial, b) Indsturial c) New construction d) family
Resedinal
3. How Many Project have you undertaken this year? ....
4. Do you prefer Local Brands or International Brands? .
5.Do Ranking of following parameters for your choice of paint (1
to 5).(a)Quality (b)Brand Name (c) Competitive Rates (d)Product
Performance (e) coverage1) 2)3)4)
6. Do advertisements influence you to make buying
decisions?a)Yesb)No
7. Which media of advertisement do you consider are more
effective?a)News paper/magazineb)Televisionc)Hoardingd)Other
sources
8. Which paint brand are you using in your projects?(a) Nerolac
(b) Asian paints (c) Berger (d) ICI(e) Other(Please specify)..
9. Are you aware of Nerolac Paints a) yes b) No
10.Do you know KNP is the 2nd largest paint company of
India?a)Yesb)No11..How did you come to know about Nerolac Paints a.
Advertisement b. News Papers c. Hoardings d. Others
12. According to you, compared to other paints, Neorolac Paints
is a. Excellent b. Good c. Average d. Poor
13. What is the source of Procurement? a. Dealers b. Others
14. Which kind of paints do you prefer? a. Premium b. Medium c.
Economy
15. What is your opinion on the NEROLAC PAINTS?A) Quality 1.
High Satisfied 2. Satisfied 3. Neither Satisfied nor dissatisfied4.
Dissatisfied 5. Highly Dissatisfied
B) Price 1. High Satisfied 2. Satisfied 3. Neither Satisfied nor
dissatisfied4. Dissatisfied 5. Highly Dissatisfied
C) Availability 1. High Satisfied 2. Satisfied 3. Neither
Satisfied nor dissatisfied4. Dissatisfied 5. Highly
Dissatisfied
D) Company Response 1. High Satisfied 2. Satisfied 3. Neither
Satisfied nor dissatisfied4. Dissatisfied 5. Highly
Dissatisfied
E) Range of Products 1. High Satisfied 2. Satisfied 3. Neither
Satisfied nor dissatisfied4. Dissatisfied 5. Highly
Dissatisfied
16. What is your Satisfaction level before you purchase NEROLAC
PAINTS? 1. Highly Satisfied 2. Satisfied 3. Neither Satisfied nor
dissatisfied4. Dissatisfied 5. Highly Dissatisfied
16. Ranking of following companies on the basis of Brand Name of
their products?(a) Asian paint (b) Nerolac (c) Berger (d) ICI (e)
other1)2)3)4)5)
17.Do you have any complaints about Nerolac Products? Mention
the top
two...........................................................................................................................
.........................................................................................................................18.
Any suggestions for Nerolac Paint products so that they are more
customer friendly?Thank you for your kind cooperation, valuable
inputs and time. `
BIBLIOGRAPHY:
www.nerolacpaints.com