LAUNCHING OF A NEW PRODUCT IN THE

MARKET
t h e p o o j a s h o p ...… i n a b
ox
NEED

 Poojas classified into festival and occasion

based.
 Common as well as specific Pooja Samagri.
 Search and buying process for Pooja
Samagri.
 Problems related to quality and availability
at one shop
 Consumer purchases the best quality
irrespective of price.
 Need for convenience and assurance of
the quality of Pooja items.
 BUSINESS CONCEPT

 Pooja Shop in a Box

 Product:
Branded Pooja Kits available at Supermarkets

 Target Market
 Hindu Households visiting Super Markets/ Malls / Hyper Markets
 Corporates, Home and Car Loans companies, Real Estate

Developers
 NRIs

 Business:
Assembling, Packaging, Marketing & Distribution of the Pooja Kits
CURRENT MARKET SCENARIO
• Unorganized market
• 2 major national brands – MANGALDEEP and CYCLE
agarbatti brands.
• Locally assembled kits available for some poojas
• Nightangle company has recently launched Meditation
Kit under a brand ‘ Vedic Cosmos’
• Decorated Pooja Thalis available online
 MARKET SIZE ESTIMATION

28 Urban Cities =
10 Cr
Hindus (80%), Households
= 2 Cr
Visit Supermarkets (25%) =
50 lacs
Target Households (50%) =
25 lacs

Converted 1st Yr (5%) =

1.25 lacs
Our projections for corporates from the first year
operations are

(Lacs)

Home Loans 0.5

Car Loans 0.15

Corporate gifts 0.6

Total 1.25
MARKETING PLAN-PRODUCT

 10 Pooja Kits classified into Festival based and

Occasion based Kits.
 Customized packaging for different regions
 Booklet of Pooja rituals and significance to be include

Our Products would not include Examples

Flowers, Mango
Perishable Items Leaf
Expensive Metallic Items Gold, Silver
Disproportionately large volume
items 1 Kg of rice
Food Coconut
PRODUCT

Ganpati Pooja
Diwali Pooja
Karva Chouth
Satyanarayan Pooja
Griha Pravesh Pooja
Vaastu Shanti Pooja
Thread Ceremony Pooja
Naming Ceremony
New Pooja Ghar
Shop opening Pooja
 PRODUCT – ‘SHUBH DIWALI ‘
List of Items
2. Deepak
3. Idols (Lakshmiji and Ganeshji)
4. Ganga Jal
5. Honey
6. Ittar
7. Moli
8. Brass vessel
9. Miniature Coconut
10. Dhoop
11. Sindoor
12. Mishri
13. Maachis
14. Kapoor
15. Loung-Elaichi
16. Akshat Roli
17. Kesar
18. Rui Batti
19. Haldi
20. Supari
21. Agarbatti
22. Hawan Powder
23. Pooja Booklets
24. Red cloth
MARKETING PLAN

 Price
 Price range from Rs 180 – 400
 Satyanarayan Pooja, Ganpati Pooja –Lower End
 New Shop Opening, Griha Pravesh –Upper End
MARKETING PLAN

 Place
 Supermarket/Dept Stores would be the main
selling points
 Distributed by existing distribution channels
 Pundits would be alternate channels of
distribution
 ISKCON , Art Of Living
 Selling points in places like West Vrindavan
(US)
 MARKETING PLAN

• Promotion
– Known Sales Period – Boon for promotion
– Shop-N-Shop concept during the festival time
– Pandit religious meet – Mythology Quiz, Knowledge
Exchange

– Sponsoring Bhajan Nights

– Promotion in Channels like Aastha and Sanskaar.
– Advertisements in community directories – Marwari,
Gujarati, Punjabi
– Corporate Gifts
– Cross promotion through Pooja Kits
EXPORT POTENTIAL
 1.1 million Hindus in US
 0.7 million Hindus in UK
Estimates of Financials
Sales Projections
Target Households 5,000,000.00
Reached Households 2,500,000.00
Year Conversion Packets S.P. to Distributor Amt(Rs)
1 10% 250,000.00 160 40,000,000.00
2 20% 500,000.00 160 80,000,000.00
3 30% 750,000.00 160 120,000,000.00
Total 240,000,000.00

Cost of the Packet

Cost of Pooja material 50
Accessories 15
Packaging 25
Transportation 10
Total 100

Over Heads
Office rent 250,000
Godown & Factory rent 200,000
Admin Cost 5,399,000
Advertisement Budget 3,200,000
Total 9,049,000

Administration cost
Telephone 60000
Electricity 36000
Salesman Traveling 250000
Courier 24000
Misc 24000
Stationary 12000
Directors Traveling 40000
Total 446,000
Salary 4953000
Total 5,399,000
 Preliminary Cost
ROC 10000
IT 10000
Other Registration Charges 30000
Legal Expenses 25000
Total 75000
IT investment
Computer 100000
Printer cum fax 20000
Total 120,000
Furniture
Table/Chair 15000
war drobe 30000
AC 15000
Total 60000
Machinery
Sachet Packing 500000
Shrink Wrap 60000
Total 560,000

Salary Per month sal Total

CEO 1 40000 40000
Sales Head 1 30000 30000
Ops/Fin Head 1 30000 30000
Export Head 1 15000 15000
Zonal Manager 4 15000 60000
Salesperson 11 8000 88000
Supervisor 1 10000 10000
Computer Operator(s) 1 36000 36000
Worker 5 6000 30000
Labour(Machine) 4 3000 12000
Labour(Loading) 2 3000 6000
Women Worker 12 2000 24000

TOTAL 44 Monthly Total 381,000

Yearly Total 4,572,000

Bonus (1 Mth) 381,000

Total Salary 4,953,000

 Depreciation Closing Balances
Op Bal Dep Rate-WDV Year1 Year2 Year3
Furniture 60000 13.91% 51654 44469 38283
IT 120000 40% 72000 43200 25920
Machinery 560000 40% 336000 201600 120960
740000 Clos Balance 459654 289269 185163
DepTotal 280346 170385 104106
Projected Profit & Loss account
Year Year1 Year2 Year3
Income

Income From Operations 40,000,000 80,000,000 120,000,000

Expenditure

Materials consumed 25,000,000 50000000 75000000

Office rent 250,000 250,000 250,000

Godown/Factory rent 200,000 200,000 200,000

Administrative cost 5,399,000 5,902,600 6,406,200

Advertisement budget (8, 7,
6%) 3,200,000 5,600,000 7,200,000

Prelim Exp (write off in 3 yrs) 25,000 25,000 25,000

Cost of Sales 34,049,000 61,952,600 89,056,200

Operating Profit/PBDIT 5,951,000 18,047,400 30,943,800

Depreciation 280,346 170,385 104,106

PBIT 5,670,654 17,877,015 30,839,694

Interest 518,542 544,748 568,150

PBT 5,152,112 17,332,267 30,271,544

Provision For Taxation-35.7% 1,839,304 6,187,619 10,806,941

PAT 3,312,808 11,144,648 19,464,603

 Projected Balance sheet
Assets Year1 Year2 Year3
Fixed Assets 740,000 740,000 740,000
Less: Depreciation 280,346 450,731 554,837
Net Fixed Assets 459,654 289,269 185,163
Cash & Bank Balances 3,593,154 11,595,379 20,019,440
Inventory 5,208,333 7,812,500 18,229,167
Debtors 3,333,333 6,666,667 10,000,000
Investments 500,000 500,000 500,000
Preliminary Expenses 50,000 25,000 -

TOTAL 13144475 26888815 48933770

Liabilities Year1 Year2 Year3
Capital 3,000,000 3,000,000 3,000,000
Add: Net Profit 3,312,808 11,144,648 19,464,603
Reserves & Surpluses - 3,312,808 14,457,456
Creditors 2,083,333 4,166,667 6,250,000
Wkng Capital Loan 1,748,333 2,264,692 2,761,711
Term Loan 3,000,000 3,000,000 3,000,000

TOTAL 13144475 26888815 48933770

 Key Ratios
Salary Costs/ Sales 12.38% 6.19% 4.13%
OPM 14.88% 22.56% 25.79%
NPM 8.28% 13.93% 16.22%

Liquidity Ratio 3.30 4.13 5.41

Quick Ratio 1.94 2.92 3.39
Cash Ratio 0.94 1.80 2.22
D/E 0.48 0.17 0.08
Inventory TO 7.68 10.24 6.58
ROA 25% 41% 40%
ROCE 36% 54% 49%
ROE 52% 64% 53%

Projected Cash Flow Statement

Year1 Year2 Year3
Opening Cash Balance 3,593,154 11,595,379
Operating Activities
PAT 11144648 19464603
Increase in Inventory (2,604,167) (10,416,667)
Increase in Debtors (3,333,333) (3,333,333)
Depreciation 170,385 104,106
Increase in Creditors 2,083,333 2,083,333
Prepaid Prelim Exp 25,000 25,000
Financing Activities
Increase in Wkng Cap 516,358 497,019
Investing Activities
Increase in Investments - -

Closing Cash Balance 11,595,379 20,019,440

 RISKS

• Risks
– Pundits perceiving Kits as a threat to their
profession.
– Fluctuating Sales period with even 1 month of no
sales during the month of Shravan .

• Addressing risk
– Making Pooja easier for Pundits.
– Scope for additional income by selling Pooja Kits
– Concentrated Sales Effort in the festival season and
auspicious days.
Parting Thought
THANK YOU…..