INDIAN PAI NT INDU STRY

Paint Industry

Product Sector

Industrial Decorative Organized Unorganized

30% 70% 70% 30%
Coil Coatings Enamels
Powder Coatings Distempers

Automotive
Coil Coatings
Paints CoilEmulsions
Coatings

Marine Paints Exterior Coating

High Performance Wood Finishes

 INDUSTRY PLAYERS

DECORATIVE SEGMENT

Others 19% Asian Paints

Shalimar 6% 37%

Jenson and
Nicholson
6%
Kansai
ICI 8%
Nerolac 13%
Berger paints
11%
 MARKET FEASIBILITY
The Indian paint industry is a Rs 49 billion
sector.

GDP growth is higher, the paint sector will

benefit and vice versa

Highly price sensitive & cyclical

Demand arises in Festive Season.

Change in demand patterns over the years.

 TECHNOLOGY IMPACT: BERGER
•Berger has a series of tie-ups for various purposes.

•Joint venture with Becker Industrifag.

•Berger allied with the Japanese major Nippon
Paints to boost its OEM turnover
•Agreement with Orica Australia Pvt. Ltd. to
produce new generation protective coatings.
•Tie-ups with Valspar Corp and Teodur BV for
manufacturing heavy duty and powder coatings.
 ADVERTISING IMPACT: ASIAN
PAINTS V/S KANSAI NEROLAC
•Waah Sunil Babu •Aapko banaye style
•Soha & Saif Ali Khan ad ikon
•Rang soche nahin, •Show your true color
dekhe jaate hain •Jab ghar ki raunak
•Har Rang Kuch kehta badhani ho…
hai
•Har Ghar Kuch Kehta
hai
•Bangla toh abhi bhi
chamak raha hai
 MARKET RESEARCH & TREND
ANALYSIS
Involvement of the consumer.
Shift from Commodity to FMCG – brand building.
Communication or lack of it can make or break
your brand.
Changed brand identity, online services, Inc R&D
spend.
Newest Trends – New textures, use of bold
shades, Disney
e.g. Kansai Nerolac site: personality V/s rational
 INCREASING 5% MARKET SHARE
Strengthen communications
Multi v/s sole dealer
Training to dealers
Increase awareness (networking) amongst
interior decorators, architects, consumers,
contractors
Feedback mechanisms
-E.g. Nerolac impressions
 NEXT YEAR PROJECTIONS
Introducing Water – based Paints.
Repositioning of existing Brands in Rural Market.
Broadening of Distribution Network.
Adding more choices for shades and effects.
Enhancing Better Quality
Demand will be generated through the new
constructions coming in housing and industries.
 SWOT ANALYSIS
 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