Professional Documents
Culture Documents
Marketing Overview
Marketing Overview
Furnishings
Since the dawn of time, Indians have been known for their deep-rooted traditions and their
emphasis on hand craftsmanship. Handcrafted home furnishings have been unearthed from
civilizations that flourished thousands of years ago. Even today, handcrafted Indian home
furnishings lend an unmistakable grandeur to homes worldwide. Home furnishings and
interior decoration is also assuming greater importance in middle class families, as they are
aspiring for a luxurious lifestyle and showing immense interest in decorating their homes.
The home making industry in India has seen a massive makeover in recent years. Once a
play area of thousands of small entities operating in an unorganised sector, it is now a
blooming market opportunity for various multinational companies. Earlier, as the options
were few, the choices were dominated by offered price. But there has been a remarkable
change in the number of options at the behest of customers which has taken the marketing
of these products to a different level.
From a global perspective, the Indian home furnishing manufacturers are heavily geared
towards meeting the international home furnishings demand and have already established a
firm ground in the international arena. If one were to compare other exporters such as China
and Pakistan, India contributes a larger share and is the only major net cotton exporter and
thus has a major cost advantage over this key raw material. India is also a lower wage
operation and is stronger on creative aesthetics as compared to players like China.
Trends for Cotton Sheets exported to USA, similar trend in cotton towels
Source: OTEXA
A fast emerging economy in the world of home textiles, India produces a wide range of
products, including home furnishings, household linen, curtain tapestry and yardage made
with several textures and varying thickness. The home furnishing industry mainly exports
fabrics, bed linen, table linen, toilet and kitchen linen, towels, cushions, curtains, pads,
tapestries and upholstery's, carpets and floor coverings, etc. The industry has adopted
several measures and techniques to offer premium quality and eco-friendly products to the
global industry
The home furnishing products can be broadly categorized into five categories, which
include - bedding, window dressings, bathroom textiles, cushions and covers, and table
linen. Household penetration levels are high, especially in the largest sectors bedding and
window dressings. While replacement due to wear and tear is not inevitably frequent, an
increased consumer interest in home interior products has stimulated buying in what is now
very much a fashion-led industry. The industry also benefits from the growing number of
households, a trend, which is expected to continue at an even faster rate.
The roots of Indian home furnishings industry lie deep in age old traditions. Especially
known for their ethnic, intricate carvings, weaves, pattern themes, motifs, colour schemes
and workmanship, Indian home furnishings have become popular the world across.
Handcrafted ethnic home furnishings are one of the most fascinating art forms in India and
lend an unmistakable grandeur to the decor.
There was a time when every product required for home dcor was bought from
some local vendor. There wasnt much scope of marketing then. But recent advances in
technology has led to exploration of various marketing options such as: Local PR &
Advertising, e-marketing services, website development, search engine optimization, payper-click with free impressions, online media buying, social media marketing, mobile
solutions, e-marketing tools and technologies, travel agency media, online merchandising,
reputation management etc.
Paints
History of Paints
Colours are an integral part of human life, for they add flavour to the whole
surrounding and set the mood for the occasion. Colours around us have influence on various
aspects like health, mood, etc. One of the most important product of home making industry
that brings colours into our lives is the Paint industry.
The earliest evidence of paints were discovered and dated as old as 38000 BC.
These are cave paintings using materials like animal blood and fat, impure carbon/burnt
charcoal and a few earth materials. Ancient Egyptians had used paints during 3150 BC. The
paints found during these periods comprised of materials ranging from animal fat/blood to
semi-precious stones, carbon/lead to ground glass. Around 1500 BC, Greeks and Romans
have picked up painting from the Egyptians. They also introduced a few innovations in the
painting and the notable of them was the introduction of Varnish in paints by 600 400 BC.
The 15th Century witnessed several changes in the painting industry. One of the
major innovations was the introduction of Oil-Paints in Home Paints. This, followed by a
period of total domination of Oil paints and water based paints for next 200 years. In 1638,
Ham House, Surrey, England was decorated with colour paints and it was one of the famous
paint projects of that time. It is said, painters in England formed guilds to protect their trade
secrets.
Company
AkzoNobel
12.9
PPG
11.5
Henkel
10.6
Sherwin-Williams
7.9
Axalta
4.3
Valspar
4.0
Kansai
3.1
Sika
2.8
RPM
2.7
Nippon
2.3
3M
2.3
The above graphs shows the Major Market Players throughout the world and their
Market shares in billion dollars.
Furniture
Furniture includes objects like tables, chairs, beds, cupboards etc. It helps facilitate day to
day activities like eating, sleeping, writing etc.
Furniture can be made of different materials like wood, plastic, stone and metal. The
materials and designs used for furniture have been changing throughout history.
Prehistoric & Middle Ages Furniture
When nomadic life stopped and people started settling down in permanent homes, they felt
the need for furniture. The earliest known furniture is known to be from a stone-age village in
Sara Brae in the Orkney Islands in Scotland in 2,000 BC. The made stone furniture like beds
and cupboards.
Rich people in ancient Egypt lived in large and comfortable houses. Inside, they had wooden
furniture like tables, chairs and chests for storage etc. They used wooden head rests instead
of pillows. While this flamboyance existed, peasants lived in homes made of mud - the
concept of furniture for them, was very basic. They sat on brick benches and used pegs
made of wood for storage.
In Ancient Greece, even the rich had furniture that was extremely low profile. They stored
things in wooden chests or used wooden pegs to hang them. Their couches were made of
wooden frames with rope webbing and rugs or mats laid on the top.
The elite in Rome lived a very luxurious life. Furniture here included wall paintings called
murals. The furniture was usually finely carved and beautiful to look at. They were also one
of the first to use oil lamps for lighting. Here too, peasants used extremely basic furniture.
fire. Rising living standards meant it was possible to furnish all rooms properly not just one.
During the 20th century ordinary people's furniture greatly improved in quality and design. In
the 1920s and 1930s a new style of furniture and architecture called Art Deco was
introduced. It used geometric shapes instead of the flowing lines of the earlier Art Nouveau.
Fixtures
Bathroom Fittings
The Bathroom has evolved along with mankind and has gradually grown in importance from
just a washing pot into a sophisticated, technology intensive, essential area of any home or
building. In ancient times the concept of a separate room for bathroom activities did not
exist, and bathrooms usually meant secluded areas at the outskirts of villages or towns.
The first records for the use of baths date back as far as 3000 B.C. usually at religious
places. Water was considered sacred in many cultures something that would purify the
body of all impurities. It was thus customary to take a bath in common pools before entering
places of worship.
In the nineteenth century, during the brunt of industrialization in Europe and America,
hygiene took the back seat. Diseases spread easily before city councils decided to lay out
sewerage systems. In the US strict sanitation laws were proclaimed to assure that every
house was provided with a toilet and bathing facility.
Attached bathrooms to bedrooms began appearing only in the end of the nineteenth century.
The demand for bathroom equipment augmented and various manufactures started their
business in the US, England and France to meet the demands of the public. Firms such as
JC Mott, Kohler and Shanks began appearing in the United States and in France Ets.
Porcher, Charles Blanc and Jacob Delafon.
Separate showers:
Separate showers werent that popular at the end of the nineteenth century as they are
today. Taking a shower was considerate as therapeutically healthy for the body. Doctors
prescribed showers as a form of massage. Initially it was believed that the delicate bodies of
women were unsuitable for shower jets. This made them a little unpopular. It was a big
luxury that only few could afford. At the beginning of the twentieth century the shower gains
importance. A warm bath was to be followed by a cold shower. This was one of the reasons
that manufacturers started to offer fixtures that were combined with a shower. For the ladies
they offered a special neck shower that was to be hanged around the neck and that avoided
that hair would get wet.
The sink:
Sinks and their designs have changed greatly over time. In the eighteenth and nineteenth
century it used to be a piece of furniture that was used in the bedroom for grooming. It gave
room for hanging out the wigs and for all the powders and brushed that were used for
personal hygiene. Slowly we see the introduction of a built in container for water and a
vessel to contain this water. The container was to be filled by the maid with fresh water every
morning. Sometimes the vessel could swivel to dispose of the used water.
The used water fell in to a bucket and the bucket was emptied at the end of the day. After the
introduction of running water these kinds of cabinets moved from the bedroom to the
bathroom.
The wooden cabinet was soon to be replaced by more modern materials. In the beginning
the porcelain vessel was placed in a frame made from the very modern material cast iron
that could be casted in all kinds of whimsical forms.
Later manufacturers start to offer next to the collection of wooden cabinets and cast iron
frames also sinks made entirely of ceramic. This material was far more hygienic and could
easily be made in series. Clients could choose from a large variety of models: ceramic sinks
on a pedestal, with one or two legs, hanging from the wall on brackets (made out of cast iron
or ceramic), single sinks or double ones.
The development of the toilet:
Early toilets used flowing water to remove the waste found at Skara Brae in Orkney,
Scotland, which was occupied from about 3100 BC until 2500 BC. Some of the houses there
have a drain running directly beneath them, and some of these had a cubicle over the drain.
Around the 18th century BC, toilets started to appear in Minoan Crete, Egypt in the time of
the Pharaohs and ancient Persia. In Roman civilization, toilets using flowing water were
sometimes part of public bath houses.Most people would have squatted over old pots set
into the ground or used open pits. In the middle ages, Chamber pots were invented. Made
out of ceramic or metal, these pots were actually used, and its contents were then randomly
thrown out.
The first toilet with flushing system was invented in 1596 in England by Sir John Harrington.
These systems were very complicated and very expensive. Above all they required for their
well functioning a water-supply to fill and refill the cisterns and drainage for the used water.
With the construction of waterworks and water supply in the houses the boiler was
introduced in the bathroom. With the water supply fresh and clean water for washing
became available and by the construction of a sewerage system the dirty water could be
drained properly. In the beginning these systems were only affordable for the upper classes
but the mass production of boilers and other sanitary ware made these articles also
affordable for the middle classes.
Fixtures
The fixtures that were installed in the first bathrooms were made out of copper that was
finished with a nickel layer. Through the usage these old fixtures look as if they were made
out of copper without a finishing layer, but this is not the case. Around 1900 almost every
manufacturer offers nickel plated fixtures in his catalogue. During the twenties a chrome
finish became fashionable and we can see this change in fashion back in the catalogues of
this period. The first fixtures for the bath were no mixer taps. There was one tap for cold
water and one for warm water.
As the need for better hygiene in everyday life increased, outdoor primitive bathrooms soon
became an indoor fixture, with more and more elaborate form and structure. More than
hygiene, it was the need for privacy that led to bathrooms being included within homes and
this trend, during the early 19 th and 20th century saw the emergence of the modern bathroom
as it were.
During this time bathtubs were ornately designed, with cast iron bodies and gargoyle style
claw legs. The tanks were overhead and typical ceramic bowls were used. Today even
though modern design and contemporary forms have taken over, some of the most elegant
bathrooms still boast of antique bathtubs and washbasins. As the demand for complete
privacy and the growth of self-pampering increased, the bathroom became more and more
elaborate. In modern times, the bathroom is no longer just a space for cleansing and
washing, but it has developed into a complex and sophisticated place for luxurious selfindulgence.
Today a bathroom does not just contain a WC and Bathtub, but it is not uncommon to find
spa style shower enclosures, Jacuzzis, bidets, washbasins etc, each with unique
accessories such as washer mixers and fillers. Each decade has added its own stamp to
bathroom design and led to the highly modern look of today.
The Sanitary-ware and bathroom fittings industry in India together is estimated to be valued
around 60 billion INR. The sanitary-ware segment is estimated to have been worth
approximately 20 billion INR while the bathroom fittings segment is estimated at
approximately 40 billion INR in 2012. The Indian sanitary-ware market accounts for 8% of
the global production and ranks second in terms of volume in the Asia-Pacific region.
The sanitary-ware market has been growing at a CAGR of 12.5% since 2010, and this trend
is expected to continue through 2016. The organised segment currently comprises 60%
(approximately) of the sector. The bathroom fittings market is expected to grow at a CAGR of
15% until 2016. The organised segment makes up almost 45%11 of th
e market, and is
growing faster than the industry average.
While the organised sector focuses mainly on middle class and affluent segments in urban
areas, the unorganised sector has, by and large, targeted the mass end of the urban market
and the rural areas. With relatively strong demand growth in India over the last five years,
various MNCs have entered the market.
Tiles
The Indian tile industry, despite an overall slowdown of the economy continues to grow at a
healthy 15% per annum. Investments in the last 5 years have aggregated over Rs. 5000
crores. The overall size of the Indian ceramic tile industry is approximately Rs 18,000 crore
(FY12). The production during 2011-12 stood at approx. 600 million square meters.
The Indian tile industry is divided into organized and unorganized sector. The organized
sector comprises of approximately 14 players. The current size of the organized sector is
about Rs 7,200 Crores. The unorganized sector accounts for nearly 60% of the total industry
bearing
testimony
of
the
growth
potential
of
this
sector.
India ranks in the top 3 list of countries in terms of tile production in the world. With proper
planning and better quality control our exports (presently insignificant) contribution can
significantly increase.2
emerged as a major competitor. Producers from Spain and Italy have the advantage of lower
transportation costs while exporting to USA and Germany. In India, the per capita
consumption is as low as 0.50 square meters per person compared to China (2.6 square
meters per person), Europe (5 to 6 square meters per person) or Brazil (3.4 square meters
per person). Rising disposable incomes of the growing middle class and 40 million units of
housing
shortage
hold
out
a
great
potential.
A major change that took over the ceramic tiles industry, was the introduction of vitrified and
porcelain tiles. These new entrant product types are said to be the tiles of the future.
Internationally these tiles are already the major sellers. These category of products account
for almost 50% of total tile sales by value in this industry.
The Indian Industry has developed an export market although at the lower end. In volume it
constitutes less than half a percent of the global market. (Presently India does not figure in
the list of major exporting countries). But this reality could change as Indian exports are
rising at an accelerating growth annually. The top-end of the global export market is
presently dominated by China (36.8%) and Italy (15.1%)
History of Ceramic Tiles
It is believed that the first clay tiles were produced seven to eight thousand years ago in the
area now known as the Holy Land. Many sources independently verify that the actual known
history of Tiles (and the known usage of wall and floor tile coverings) can be traced back as
far
as
the
fourth
millennium
BC
(4000
BC)
to
Egypt.
In those days, in Egypt, tiles were used to decorate various houses. Clay bricks were dried
beneath the sun or baked, and the first glazes were blue in colour and were made from
copper,
very
exquisite!
During that period ceramics were also known to be found in Mesopotamia. These ceramics
bore decorations, which were white and blue striped and later possessed more varied
patterns and colours. Later on, in China too, the Great Center of Ceramic Art, a fine, white
stoneware with the earliest Chinese glaze was produced during the Shang-Yin dynasty
(1523-1028
BC).
The usage and the art of making and decorating ceramic tiles had spread and by 900 A.D.,
decorative tiles had become widely used in Persia, Syria, Turkey and across North Africa. As
transport and communication developed, tile usage and its penetration in other territories
increased. Wars and territory take-overs caused this art to spread even faster.
The Romans introduced tile making in Western Europe as they occupied territories. The Low
Countries of Northern Europe somehow acquired the technology from Persia, while the
Moors brought African tiles with them when they invaded Iberia (Spain). It was aboard the
ships of Spanish conquistadors that decorative clay tiles found their way to the New World,
where they were used primarily to decorate the Churches of newly built missions.
By the end of the 12th century, use and manufacture of Ceramic Tiles had spread across
Italy and Spain and into the rest of Europe. Till that time they were mainly used to decorate
the floors of Cathedrals and Churches. The skill had eventually vanished from Europe in the
16th century following the reformation. But the decorative wall tile art had survived in Turkey
and
the Middle
East
and
the
Delft
tiles
art
survived
in Holland.
A form of tile making had also evolved among the natives of North and South America at
some point. The first decorative tiles to appear in Colonial North America were imported from
Northern Europe, mainly England the Brits having hijacked the technology from the Dutch.
The tiles were too expensive for utilitarian purposes in the Colonies and were found almost
exclusively
in
the
homes
of
the
wealthy.
Through the centuries, tile decoration was improved upon, as were methods of tile
manufacture. For example, during the Islamic period, all methods of tile decoration were
brought to perfection in Persia. Throughout the known world, in various countries and cities,
Ceramic tile production and decoration reached great heights. The tile mosaics of Spain and
Portugal, the floor tiles of Renaissance Italy, the faiences of Antwerp, the development of tile
iconography in the Netherlands, and the Ceramic tiles of Germany are all prominent
landmarks
in
the
history
of
Ceramic
tile.
In the early days, the tiles were hand-made, each tile was hand-formed and hand-painted,
and thus each was a work of art in its own right. Ceramic tile was used almost everywhere
on walls, floors, ceilings, fireplaces, in murals, and as an exterior cladding on buildings.
Today Ceramic tile throughout the world is not hand-made or hand-painted for the most part.
Automated manufacturing techniques are used and the human hand does not enter into the
picture until it is time to install the tile. They are used in an almost infinite number of ways
and you dont have to consider yourself wealthy to own them. In commercial buildings,
where both beauty and durability are considerations, ceramic tiles will be found, particularly
in
lobby
areas
and
restrooms.
In fact most modern houses throughout use Ceramic tiles for their bathrooms and kitchens
and in every vital area of the premise. Ceramic tiles are also the choice of industry, where
walls and floors must resist chemicals. And the Space Shuttle never leaves Earth without its
protective jacket of high-tech, heat resistant tiles.
World production:
2.
India's Share:
3.
4.
0.50 sq.mt.
5.
11%
6.
Growth Rate
Market):
15%
7.
National
(India):
(India
Player's
Domestic
Turnover
Rs 7200 crores
20%
23%
50%
7%
8.
Rs 10800 crores
9.
National Sector:
10.
40%
14
Regional Sector:
a). Share of Production:
60%
11.
Job Potential:
12.
Rs 5000 crores
HRJ for H & R Johnson(India) A Division of Prism Cement Ltd., Dewas-MP, KunigalKarnataka, Pen-Maharashtra, Karaikal-Pondicherry, Baddi-HP
OVL for Jaxx Vitrified Pvt. Ltd. (Formerly Ozzy Vitrified Pvt. Ltd.), Morbi,
Gujarat
Country
Tiles
UAE
12.1
SAUDI ARABIA
6.71
IRAN
4.4
VIETNAM
3.76
BRAZIL
3.64
SPAIN
3.14
MALAYSIA
2.82
CHINA
2.61
EGYPT
2.45
10
ITALY
2.35
1916, Nov.
These are some of the examples of different advertisements for furniture. There are
many national and international companies who work in the field of furniture and they
perform in the proper way.
Ikea- Ikea is one of the international brands that is known in the market for its services. It
provides cheap goods with high quality. There are many promotional strategies adopted by
them in order to increase the sales of their product. Some of the market strategies adopted
by them are-
Godrej- Godrej interio is one of the known and top most furniture brands in India. It has
adopted various promotional strategies over the past years and here are some of the
promotional campaigns conducted by them
The Digital influence is the software developed by them in which the query received
is routed to the nearest showroom in order to get it resolved quickly.
They came up with the idea of 3D virtual home planner where an individual can get
the real feel of the furniture and environment and it can make the buying experience
more interesting which will lead to higher sales.
They developed an application on googleplaystore that is called Augmented reality,
which helped people in deciding the furniture.
They asked the general people to upload the picture of the bedroom that they want to
be transformed. Then they will modify it with their products and in this they are
marketing their own product.
Asian Paints had several such promotional campaign. In 1983, the company
launched a campaign Spectrum of Excellence that was aimed at positioning it as premium
brand. But this campaign failed because the market was mainly driven by price factors.
Following this, the company conducted a consumer research to understand the perception of
the product in the consumers mind.
This resulted in the Celebrate with Asian Paints campaign. The campaign was
designed in such a way, that it varied from location to location to capture the mode of the
locality. The result were effective and the brand was able to promote itself in various
markets.
Again in 2004, the company started the Umbrella Brand, because it found that a
few of its products like Apex emulsion, Royale emulsion, Apcolite and Touch wood had good
customer base, while there were totally 20 products the company produced. This lead to the
idea, that instead of promoting each and every product, a corporate promotion would in turn
help promoting each of the products the company produced. This helped the company
promote its various products under its umbrella with a single promotion.
Then in 2012, the company changed its logo to communicate self-expression,
sophistication and technology.
This was followed by one of the most sort out promotional campaign by the company
HarGharKuchKehtaHai (Every Home has a story to tell). This campaign positioned Asian
Paints as brand about people and homes and the lives of people living in it.
Latest promotional activities include using Brand Ambassadors and Social Media to
gain consumer attention. Asian Paints employs Saif Ali Khan to promote Luxury products.
Social Media viz. Facebook, Twitter, etc. post statuses that create interest among the users.
Another major player that is known for its promotions is Kansai Nerolac Paints.
Following a fierce rivalry between Asian Paints, Nerolac also created a mascot in early
1970s called Goody.
They created their promotions in jingles that rhyme and take a space in the mind of
the consumer. One of the famous jingle that still lingers our minds is Jab Khar Ki
RaunakBadhanaho, Deewaroanko jab sajanaho ,Nerolac , Nerolac.
to emulate Asian Paints confused the consumers. There was report during that time, which
said consumers thought Amitabh Bachchan was actually endosing Asian Paints. Later in
2008, the association with Nerolac and Amitabh Bachchan ended and the company tried to
promote without any celebrities.
In 2011, Nerolac promotes itself as Eco-Friendly paint, which is in synch with its
parent company, Kansai Paints. Shah Rukh Khan is now being used to promote the brand.
The line "Kuch Change Karo, Chalo Paint karo" (Change Something, Start Painting) is being
used to promote the brand.
1989
1990
Both TV and print ads retained the tagline of nearly 20 years, "The bold look of
Kohler." GSD&M created 3 three television spots that highlight the products' unique style and
ability to unexpectedly impact people. In one, a rock band trashes a hotel room but becomes
transfixed upon finding a hypnotic Kohler bathtub. Another commercial borders on French
farce, with a married couple racing each other home, stripping along the way. The first one to
arrive home gets to use the Kohler shower.
In the print ad "Black Wedding," gothic princesses wearing designer gowns swoon
before a marbleized sink console and toilet. Another ad depicts a four-armed woman
bathing with a multiheaded shower unit.
Kohler spent about $15 million in 2000 on ads for its kitchen and bath fixtures.
In 2003 Kohler launched a year long "Complete Design Solution" cross country
road show in 4 Kohler truck fully equipped with demostrative whirlpool and faucet
installations and gravity-fed flushing performances to strengthen relationship with customers.
Each of the four trucks had toured a specific region (Kohler's West, South, East and
midwest) to participate in local promotional events and stage on-site demonstrations. The
truck had shown bath fixtures and kitchen sinks made from Vikrell material, stainless steels
sinks,viterous china toilets and lavatories, and shower doors.
Revolutionizing the way homeowners flush their toilets, Kohler Co. introduces the
new Kohler Touchless toilet technology. True to its name, this new technology allows
users to flush the toilet without making contact by using an innovative sensor instead of the
traditional flush lever. "In a recent study of 800 U.S. consumers, we found that 51 percent of
people surveyed are paranoid about germs in the bathroom. When looking at that same
sample group but focusing on moms with children, that number jumps up to 65 percent,"
says Brian Hedlund, marketing manager of Kohler.
more than 350 new designs in 2013 alone. To compete in the highly demanding Indian
market, a wide variety of product choices has become essential.
Another promotion strategy over the last 10 years has been opening show-rooms
throughout the country. Tile companies Asian Granito and Kajaria have already opened
showrooms in big Indian cities.
Kajaria is the first player that has taken this show-room concept to the next level. Its
promotion strategy to attract customers has been to have model bathrooms and kitchens in
its showrooms so as to give the customer the feel of the place they might want to install the
tiles in. The aesthetic appeal of the showroom is the basis of this promotion strategy.
Finally it is the price approach. Most tile companies have competed on the basis of
price and advertise their prices aggressively in print media and on television.
Media Interventions in the Home-Making Industry
Media intervention means changes in promotional techniques as a result of changing media
types over time.
The home-making industry has witnessed significant changes in the way it has been
advertised from print media, throughout the twentieth century to advertising over the
internet in the last decade.
Print Media
Before the advent of other types of media, print-media was the most prominent way of
communicating with the end consumer. Advertising in print media has continued to an extent,
but largely through magazines. Magazines enable home-making companies to target
particular sections of society and ensures that quality of advertisement, through type of
paper and printing is maintained, considering the aesthetic nature of their products.
Television Advertisements
In the 70s, television became a major player in advertising. The home-making industry
focused its attentions from print-media to the more entertaining form of television
advertisements.
Searching for Bathroom Fittings brings up ads to the right and sponsored posts to at the top
3) Social Media This includes facebook, YouTube, Twitter etc. Most large homemaking brands have accounts on all these major social media websites and are
slowly gaining a lot of followers. Customers looking to buy will first visit the facebook
page of the brand before doing any further research.
The Asian Paints mobile app allows the unique feature of colour mixing that helps customers
play with colour combinations and pick and choose their own customized colours.
This Ikea App shows the complete IKEA store catalogue as per store
Consumer Behaviour
Consumer behaviour is the study of individuals, groups and organizations and the tools they
use in making choices regarding products and services they eventually select. It attempts to
analyse
decision
making
processes
using
elements
of
psychology, sociology, social anthropology, marketing and economics. We will look at the
marketing aspect of consumer behaviour.
Furniture
In the field of furniture the outlook of people has changed drastically. There was a time when
people purchased bed, sofa, table etc. for the purpose of usage only. It was just a necessity
and whatever suited their pockets they went with it. Now the time has gone ahead and
people are investing a lot of time and money for choosing the furniture and making the living
better. Look at the experience that Ikea and other brands are providing for choosing the
furniture.
People are not only purchasing the high quality furniture but are making sure to match it with
their interiors. There are interior designers who decide what should be purchased. They
design the whole house based on a particular theme and then the furniture is also
purchased keeping the same thing in mind. As the competition among the market players is
growing, the choice and quality of the goods is increasing. This gives ample of options to the
buyer to purchase and customize their choice.
As per the survey, a small segment of the population is not aware of any brand of furniture.
The most popular brands include Godrej and Durian.
Most people buy furniture based upon cost and not brands. This may be due to the face that
Lucknow is still a growing city with a limited middle class that does not have as much
expendable income.
Advertisement does have an impact on choice of furniture brands, with most people
admitting to be affected by advertisements to the extent of 70-75%.
As we can see, consumer decisions about furniture brand choices are usually based on cost.
Bathroom Fittings
Parryware, Cera and Jaguar seem to be the most popular brands, but people do not prefer
Jaguar too much due to its high cost.
Brands are not as important to most people while choosing bathroom fittings, but they do
have more of a say than in the case of some other home-making items. A third of the people
pay attention to brands while buying.
Most people (about 70%) are influenced by advertisements for bathroom fittings, especially
in the last decade which has seen significant increase in the number of brands and amount
of advertisement for bathroom fittings.
Survey done by Institute for technology & management, Mumbai 2009.
Brand Awareness
Grohe is weak in brand awareness whereas Jaquar, Hindware & Parryware enjoy the
highest brand awareness.
Source Of Information
Hoarding are major source of information for the consumers other than T.V & Newspaper.
Willingness to spend.
People are ready to pay more than 1,50,000/- for new bathroom appliances.
Comparing data from the survey done currently and the past survey, we infer that there has
not been a major shift in the consumer behaviour in various aspects. We see still there is a
gap in creating awareness to brands. The major players still remain the same taking the
majority of the market. Also we see the best channel to reach the consumers is still the Print
media.
Paints
Paint (Decorative) Industry is in a undergoing a major shift, for its consumers behaviour are
changing drastically because of various influencing factors. We have seen earlier, the role of
media and the effect of promotions having influence on the consumers buying decisions.
We see a shift in the mind-set of people, especially people younger and are working. The
other end of the spectrum is also present, where they do not care for the brand and still the
price is the major factor for purchase. But the shift is prominent and the magnitude is higher
resulting more number of consumers becoming brand conscious. This was an industry,
which initially was un-organized and was completely driven by price and dealer/builder
decision.
The reasons of the change can be attributed to marketing efforts put in by the current major
players viz. Asian Paints, Berger Paints, Nerolac, etc.
Following are our findings from the market survey that was conducted at Fun-Mall at
Lucknow to study the consumer behaviour on Paints.
Brands are extremely popular in paints, with people knowing the names of most of the
popular brands. Asian Paints, Berger and Nerolac lead the popularity charts.
As seen from the chart, people go for brands vs. costs for paints. People have started
associating quality with brands and do not want to risk in generic products.
Tiles
Brands are extremely unpopular in tiles. People prefer to go for designs rather than brands.
Cost is more important than brands for tiles. Since designs matter more, people go for the
cheapest rather than popular brands.
There is almost no effect of advertisement for tile brands on the choices of people. As
discussed, designs and cost hold more weightage in peoples choices.
People/CEOs/Ad-men
Furniture
Company: IKEA
Ikea is the company that provides well-designed functional home furnishing products at such
a low cost that maximum people are able to afford it. The major aim of Ikea is to focus on
providing minimum cost product without compromising the quality globally.
The company is able to deliver such efficient price due to innovation and cost-effectiveness.
The founder Ingvar Kamprad gave the concept of low price high quality.
When founder Ingvar Kamprad was just 17 the Ikea story began. It was 1943 in the small
village of Agunnaryd in Sweden. Over six decades, IKEA went from the woods of southern
Sweden to being a major retail experience in 44 countries around the world.
Company: Durian
Sajjan Dokania is the managing director of Durian furnitures and he has brought many
changes in the furniture style in Indian concept. In his presence the company got the high
returns.
Our ambition, purpose and values are the heart of our business. With passion, partnership,
and innovation, they guide and shape our actions and behaviours. We challenge
opportunities with conviction, creativity and passion. By challenging the way we see and do
things, it leads us to new ideas that inspire business innovations for our partners.
Significance: How a brand macot won Asian paints major market share in rural market
Gattu, a creation of R.K. Laxman, was created way back in 1957 and remains among Indias
most popular brand mascots. Asian Paints came up with gattu when it was targeting rural
India. In India, the rural areas had relatively low literacy rates and this aided in increase of
brand recognition of Asian Paints in rural areas. People started referring to Asian Paints as
the ladkewala brand. It created a visual relationship when print was the prominent source
of communication. But once TV came, gattu lost its charm.
In 1996 J&N introduced InstaColor, the revolutionary in-shop tinting system. For the first time
the Indian customer had the possibility to select among 5000+ shades instantaneously and
also create his/her own shade. The concept totally revolutionized the Indian paint industry.
Still InstaColor remains the customers number one choice, whenever they categorically ask
for their unique My Colour.
You may find colour your inspirations in nature or within man-made creations, music or art,
thoughts or emotions; and as you discover and gather inspiration, InstaColor system will
create it for you - 'instantly. It offers you a kaleidoscope of shades from classic and
contemporary to avant garde expressions. You name the colour, they have the colour. It
offers you a stunning range in whatever finish you want, for any surface you want, be it
your walls, furniture, doors, windows or grills.
Bathroom Fittings
Company: Jaquar
Person: NL Mehra
Rajesh Mehra Director & Promoter, Jaquar
The Jaquar saga began in 1960, when Mr NL Mehra decided to start a bath fittings business.
However, this industry was still at a very nascent stage in India and the technology to make
high quality bath fittings did not exist in the country. But he simply followed his instincts and
took the plunge with an entrepreneurial spirit and a passion to excel as his only resources.
Single-minded in his purpose, his sole aim was to manufacture bath fittings of a consistently
high quality. His approach was distinctly customer-centric and he offered unparalleled
customer services.
Company: Kohler
Person: David Kohler President of the Kohler Co.
Advertising Manager Armond Bud Grube, along with Charles Pagnucco and Alfred Ellrodt,
developed the concept of boldy colored products under the tagline THE BOLD LOOK OF
KOHLER
The bold look of Kohler has given a revolutionary change to the brand image of Kohler.
Contribution: He was the person who introduced the ceramic tile manufacturing industry in
India in 1865 in Mangalore by Basel Mission. The missionaries introduced patterns of tiles
being produced in France and Germany at the time. The tiles manufactured by them have
been found to be of immense use to the public and the Government, and the latter, as a
mark of its appreciation, issued order to their Public Works Department to use Mission
35tiles for all public buildings. The Government further evinced their appreciation by giving
as an encouragement to this industry, a considerable quantity of firewood grates from their
forests.
Kajaria has emerged as a super-brand in India over the last few years and it is no
coincidence. Kajaria strives to provide new designs to the budget segment of the country as
well as increases its dealership network year on year.
The company started a new trend in offering sanitary ware along with tiles. They began
producing a wide variety of WCs and basins to enable them to market under a single brand.
MARKETING INNOVATION
BATHROOM:
In 2003 Kohler launched a year long "Complete Design Solution" cross country road show in
4 Kohler truck fully equipped with demostrative whirlpool and faucet installations and gravityfed flushing performances to strengthen relationship with customers. Each of the four trucks
had toured a specific region (Kohler's West, South, East and midwest) to participate in local
promotional events and stage on-site demonstrations. The truck had shown bath fixtures and
kitchen sinks made from Vikrell material, stainless steels sinks,viterous china toilets and
lavatories, and shower doors.
Google ads is an advertisement technique that has blown-up in a big way recently.
Sponsored posts/ads are allowed by google and other search engines and have become
a big part of the way home-making items are advertised.
Searching for Bathroom Fittings brings up ads to the right and sponsored posts to at the top.
Jaquar has also created its official YouTube page updating the consumers with latest launch
and technology innovation.
FURNITURE:
There was a time when the markets used to advertise their products in a
different way but now the competition has risen and the need to market the product in a
different way has become crucial.
Godrej- The innovative idea by Godrej interio known as Upload & Transform that was used
by the company to attract customers. Under this campaign people are given opportunity to
have a house makeover for free.
Consumers have to take a picture of a part of their home that they want to transform. They
will upload the picture on the company with the reason that sounds interesting that why
brand should transform the space. The winners get to have the transformation for free. This
includes innovative and state of the art furniture from Godrej Interio, painting of walls and
accessories to give a transformed look.
PAINTS:
Asian Paints are the market leaders and
they have revolutionized the industry with
various innovative marketing campaign. The
first was the creation of mascot, the Gattu.
This is a move that led the industry to its
current state. The initial state of the
consumer was to decide on the purchase
based on the price of the product. The way
the industry operated, made so that most of
the purchase decisions were made by the
contractors, who build the houses. Hence,
not much of value was given to the brand of
the product. It was more like, which product
would maximize the profit of the contractor. The mascot, by Asian Paints hit the right points
in the consumer minds, creating a personal appeal of colours. This resulted in change in
consumer perspective of paints, after which they started thinking of brand and quality.
Other marketing campaigns like Celebrate with Asian Paints and Har Ghar Kuch Kehta
Hai spur the interest of the people and positioned the Asian Paints in the hearts of the
consumer.
CONCEPTUAL CHANGES
FURNITURE:
Furniture has seen many conceptual changes and in order to categorize it there are 4PsProduct, Price, Promotion, Place
*Product- The furniture has come a long way where it has faced many changes in its form
and structure. There was a time when only bed had the utility and other things were
considered useless or luxury. Now it is the time when people consider bed, sofa, almirah and
everything as necessary item. Not only the products of furniture but also the structure of the
furniture has evolved with time.
Price- Price which is the customer cost has also seen many changes. Earlier furniture was
not considered as basic necessity. People could survive even without bed or without chair.
The presence of these stuff was considered as a luxury.
Promotion- As we are developing the promotional strategies are also getting innovative and
interesting. The companies are trying hard to promote themselves. The example In April
2011, Bedroom makeover facebook contest was organized where 90 seconds were given
to the shoppers to makeover their bedrooms at an exciting crazy shopping event at Kowloon
Bay Store. December 2011, IKEA foundation donates $10 to UNICEF and save the children.
Also provides kids in need with a child-family and quality education. All these CSR works
help them to build a brand image.
Place- The furniture can be found at any place which has customer convenience. The
places are generally malls, shops and now it can be advertised anywhere. The only basic
thing is that it has to be in reach to the customers.
PAINT:
Conceptual changes indicate a paradigm shift/change in the basic underlying of factors
influencing the marketing activities in an industry. In order to identify and analyse the impact
of these changes, we resort to 4Ps-4Cs of Marketing. We try to identify the changes in these
factors and the influence they cast over the marketing activities of the industry.
4Ps-4Cs of Marketing
Product Consumer Value
The product has under gone huge change from quality perspective, design perspective,
packaging perspective. Few innovations like InstaColor by Nerolac, which eases the colour
choosing process easy for the consumers. Also, with the raise of mobile and social usage of
data, new mobile apps to help people choose the colours have also come up resulting in
change in the marketing activities.
Price Cost
Initially, price was the deciding factor for a purchase to happen. The whole industry was
driven by price sensitive customers and contractors, who decided the product to be
purchased based on price and the commissions the contractors get for choosing a product.
Then Asian Paints, current market leader, started with promotions appealing to the personal
side of building and living houses. This changed the whole perspective of the consumer.
Many started buying paints for beauty, quality leading to Brand recognition in the industry.
Place Convenience
Paints stores were the only place, one would get the paints. Now a days, with the advent of
e-Commerce the whole scenario is undergoing a major shift. Online sites have started
selling paints, that consumers can order and get it delivered at home.
Promotion Communication
Earlier, the promotions were more based on print media in newspapers. Gattu, the mascot,
is a classic example of Advertisements that were used by Asian Paints to promote paints.
The promotions at these times were focused on appealing to the personal side of the
consumers. Because the industry was completely dominated by price and there was no
brand recognition. As times progressed and situations improved, promotional strategies also
shifted. The major players all started using celebrities in their promos. Now a days, they
have started applying Holistic Marketing approach. This results in formation of a sphere of
marketing activities, by which all possible channels of promoting a product is implemented
including Social Media.
In 2011, Asian paints launched its campaign Tag a Friend Holi on its Facebook page. It
allowed users to choose a colour and a Cricket World Cup team, through available Asian
Paints colours. Users could then compete with one another to gain points. It got 35,000 page
views with more than 10,000 active visitors a month.
In a cricket crazy nation, such a social media campaign brought success for Asian paints on
the internet like nothing before. It improved Asian Paints brand image on all levels and
paved the way for other such campaigns in the future.
Social Media accounts have become the voice of the company to communicate with their
customers and followers. He are an avenue for companies to share their goals,
achievements and activities. A lot of companies use social media to spread awareness about
their CSR activities to gain reputation with customers, something that was difficult before.
An example of this could be Bergers Easy Clean India campaign that focused on the 7 most
pressing issues that India faces. Users could vote against these issues as well as provide
solutions as to the said problems. It invited users to post messages, pictures and videos on
their facebook page to highlight such issues. This is a new type of marketing campaign that
focuses on social issues to gain popularity at the same time helping improve society.
Apart from just creating social media pages, brands have started finding innovative ways to
communicate to customers through social media. An important aspect of social media
marketing is to encourage customers to like or follow their social media pages.
Competitions that make people use their brand and share this on their social media pages is
an important way to gain popularity.
For example, Benelave, a bathroom fittings manufacturer in India held a competition for the
best bathroom singer. This uses the fun concept of singing in the bathroom that everyone
can relate to, to generate followers on its social media page. Participants were to upload
videos of them singing in bathrooms on to their facebook page. Benelave also awarded a
prize of Rs.1 lakh to the winner as additional incentive.
Sources:
http://markmity.wordpress.com/2012/08/07/painting-it-from-high-involvement-to-fmcg-therise-of-asian-paints/
http://marketingpractice.blogspot.in/2011/04/nerolac-painting-greener-tomorrow.html
http://movingshow.com.hk/popup/showroom49.html
http://www.slideshare.net/prateeksikka/parryware-brand-management
http://transitionmarketing.wordpress.com/2013/03/09/the-bold-look-of-kohler-the-power-ofprint/
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