Chapter No: 01.

Introduction of Patanjali

 Introduction of FMCG Industry

 World outlook of FMCG sector
 Introduction of FMCG industry in India
 History of Patanjali
 General information of Patanjali

Patanjali ayurveda 1
 Introduction of FMCG Industry
FMCG industry, alternatively called as CPG (Consumer
packaged goods) industry primarily deals with the production,
distribution and marketing of consumer packaged goods. The Fast
Moving Consumer Goods (FMCG) are those consumables which are
normally consumed by the consumers at a regular interval. Some of
the prime activities of FMCG industry are selling, marketing,
financing, purchasing, etc. The industry also engaged in operations,
supply chain, production and general management.
It means Fast Moving Consumer Goods and covers everything
from food and drink products to household goods such as toothpaste,
washing powder and over-the-counter medicine. They also tend to be
high volume, low cost items.

Categories include food and dairy products, glassware, paper

products, pharmaceuticals, consumer electronics, packaged food
products, plastic goods, printing and stationery, household products,
photography, drinks etc. in FMCG industry.

Patanjali ayurveda 2
 World outlook of FMCG sector
According to the Institute of Grocery Distribution, revenue
from the UK grocery sector will grow to £184bn per year by 2016 (up
17% from 2012) Tesco, Asda, Sainsbury's and Morrison have all been
expanding recently. The Food and Drink Federation forecast that it
will need 45,000 new management and professional workers by 2017.
FMCG industry provides a wide range of consumables and
accordingly the amount of money circulated against FMCG products
is also very high. The competition among FMCG manufacturers is
also growing and as a result of this, investment in FMCG industry is
also increasing, specifically in India, where FMCG industry is
regarded as the fourth largest sector with total market size of US$13.1
billion. FMCG Sector in India is estimated to grow 60% by 2010.
FMCG industry is regarded as the largest sector in New Zealand
which accounts for 5% of Gross Domestic Product (GDP).
Big trends affecting the industry globally are mass
urbanisation, ageing populations, growth of the middle classes,
consumer-driven markets and sustainability. Since the 2008 downturn
consumers are extremely price conscious and looking for value.
FMCG players have had to respond to that by launching more value-
priced products Innovation has been key to success, but now it's
needed just to maintain position. Workplace initiatives and
collaborative partnerships are growing as part of a need to innovate
harder and smarter.

Patanjali ayurveda 3
 Introduction of FMCG industry in India
Fast Moving Consumer Goods (FMCG) Industry in India is
one of the fastest developing sectors in the Indian economy. At
present the FMCG Industry is worth US$ 13.1 billion and it is the 4th
largest in the Indian Economy. These products have very fast
turnaround rate, i.e. the time from production to the revenue from the
sell of the product is very less. In the present economic scenario, time
is regarded as money, so the FMCG companies have to be very fast in
manufacturing and supplying these goods.

The Fast Moving Consumer Goods (FMCG) Industry in India

include segments like cosmetics, toiletries, glassware, batteries, bulbs,
pharmaceuticals, packaged food products, white goods, house care
products, plastic goods, consumer non durables, etc. The FMCG
market is highly concentrated in the urban areas as the rise in the
income of the middle-income group is one of the major factors for the
growth of the Indian FMCG market.

The penetration in the rural areas in India is not high as yet

and the opportunity of growth in these areas is huge by means of
enhanced penetration in to the rural market and conducting awareness
programs in these areas. The scopes for the growth of the FMCG
industry are high as the per capita consumption of the FMCG
products in India is low in comparison to the other developed
countries. The manufacturing of the FMCG goods is concentrated in
the western and southern belt of the country. There are other pockets
of FMCG manufacturing hubs.

Patanjali ayurveda 4
 Fast Moving Consumer Goods (FMCG) Industry in India - Major
Players

 Britannia India ltd

 Dabur India ltd.

 Nirma ltd.

 Cadbury India ltd

 Nestle

 Patanjali

 Coca-cola

 Colgate-Palmolive India

 Unilever

 Nestle

 Pepsi co.

Patanjali ayurveda 5
 History of Patanjali
Baba Ramdev established the Patanjali Ayurved Limited in
2006 along with Acharya Balkrishna with the objective of
establishing science of Ayurveda in accordance and coordination with
the latest technology and ancient wisdom.
Patanjali Yogpeeth in Haridwar, Uttarakhand is one of the
largest Yoga institutes in India and named after the ancient Yog Guru
Patanjali. The institute is flagship project of Swami Ramdevji
Maharaj and Acharya Balkrishnaji Maharaj and has been set up not
only for treatment, research and development in Yoga and Ayurveda,
but also for the manufacturing of ayurvedic medicines. It has been
constructed in almost 100 acres and designed to have buildings, car
parks, and a landscape to rival the best of Delhi's housing projects. A
team of over 200 qualified doctors have been trained and are already
attending to over 2500 patients daily. Free consultation is being done
for all patients as well as medicines are made available to
economically weaker persons at concessional rates.
Patanjali Yogpeeth has already brought a health revolution in
the country with the integrated approach of Yoga and Ayurveda.
Besides this, the boundaries of the organization have also crossed the
national boundaries in USA, UK, Canada, Nepal, etc. All these Trusts
are devoted day and night to propagate and implement the noble and
sublime aspects of Indian culture the philosophy and teachings of
Vedas, Upanisads, etc. along with Yoga and Ayurveda.

Patanjali ayurveda 6
 General information of Patanjali

Type Public
Industry Consumer goods
Founder Ramdev
Acharya Balkrishna
Headquarters Haridwar, India
Area served South Asia and Middle East
Products Foods, beverages, cleaning
agents, personal care
products& Ayurvedic
medicine
Revenue ₹5,000 Cr
(US$740 million) (2015-16)
Number of 200,000 (2011–12)
employees
Website www.patanjaliayurved.net

Patanjali ayurveda 7
 patanjaliayurved.org

Chapter No: 02.

Marketing department of Patanjali

 Introduction of Marketing department of

Patanjali
 4 P’s of marketing mix for Patanjali
 SWOT analysis of Patanjali
 Environment analysis of Patanjali


Patanjali ayurveda 8
 Introduction of Marketing department of
Patanjali
Marketing department for all the companies is one of the most
important department. Patanjali have large number of employees in
marketing department. To survive in market, to increase market share,
give maximum fight to competitors and provide maximum level of
satisfaction to customer are the most important elements for the
marketing department of Patanjali
Marketing is all about marketing to company’s managers and
employees. It is important to make sure everyone within the
organization is on board with the new marketing plan. The marketing
team can’t implement the marketing plan alone. Many different
departments are involved, and they all must work together to make
the marketing plan a reality. Through internal newsletters, Web
pages, training, and marketing meetings, we will ensure every
employee understands the objectives and goals of our marketing plan.

Patanjali ayurveda 9
 4 P’s of marketing mix for Patanjali
4 P’s is one of the essential elements for any company. 4 P’s for
Patanjali are as follows.

Product Price

Place Promotion

Product: Product is the first important element of 4 P’s of

marketing mix and patanjali have perfect product element in market.
Patanjali ayurveda produce purely natural and ayurvedic product.
Most Indian people follow and trust in products belong to ayurveda
more than other products because it is not harmful for human body.

Price: Price is second most important element of 4 P’s if company

have good product but not effective price so that product cannot be
survive in market for long term. provide products 30%

Patanjali ayurveda 10
cheaper than products of competitors. It is most strong and positive
point about Patanjali ayurveda.

Promotion: After price element of product promotion element

became important for company and; Patanjali have great advantage in
promotion because baba Ramdev is brand ambassador for Patanjali
who is very popular not just in India but world-wide.

Place: Place is last but not least element for Patanjali. Products of
Patanjali available at every ayurvedic pharmacies, franchisee, tie up
with future group, tie up with online retailer and virtual stores.

Patanjali ayurveda 11
 SWOT analysis of Patanjali
Strength
1.Natural products without
any kind of side effects
2. Innovative use of
spirituality
3. Presence of established
distribution networks in
urban areas
4. Solid base and image of
the trust
5. Social Responsibility to
make people healthy
Opportunity
1. Large domestic market
over a billion populations
2. Changing lifestyles and
rising income levels
3. Export potential and tax
and duty benefits for
setting exports units
4. Untapped rural market
Patanjali ayurveda
Weakness
1. Strong competitors and
availability of substitute
products
2. Low exports levels
3. Very less promotional
activities
4. Absence of established
distribution networks in
rural areas
Trash
1. Controversy created by
other groups regarding
Patanjali products
2. Removal of import
restrictions resulting in
replacing of domestic brands
3. Temporary Slowdown in
Economy can have an impact
on FMCG Industry
12
 Environment analysis of Patanjali
An organization's environment comprise of both macro and micro
environmental forces which shape its future course of action. A
thorough knowledge of these environmental forces helps an
organization to analyze its strengths and weaknesses in the present
environment context and strategize accordingly. PAL is deeply
impacted by both macro and micro environment forces and it is
imperative for it to understand and then formulate their goals and
strategy based on the same. Macro Environment forces impacting
Patanjali Ayurved are as follows:

Political

Econo
Legal
mic

Environ
ment
Analysis

Environ
mental Social

Technol
ogical

Patanjali ayurveda 13
1. Political: The present political environment is conducive to the
growth of Patanjali Ayurved in the country. Baba Ramdev is friendly
to the present government. He is a big supporter of Shri Narendra
Modi, Hon'ble PM of India.

A. Stability: The present central government has majority in the

parliament. A stable government augurs well for the organizations
like Patanjali who want to move on a fast growth track by investing
heavily in the factors of production and marketing.

B. Taxation Policy: Governments taxation policies impact on the

cost of the input products and hence impacting on the final price of
the products. PAL input costs increases or decreases based on the
taxation policies of the government

C. Government Support: Central Government is promoting

Ayurved and Yoga. Government of India has a separate “Ayush –
Ministry” to promote Yoga, Ayurved and other traditional and
complementary medicines.

D. Challenges faced from State Government: PAL is expanding its

operations but outside its home state, Uttarakhand, because of the lack
of cooperation from the present state government.

2. Economic: The following economic factors are impacting

Patanjali Ayurved Ltd and other organizations in its segment:

A. Inflation rate: Moderate inflation rate, an important factor in the

mind of customer to look out for value for money products.

B. Tax Rates and Interest Rates: Higher tax rates and interest rates
impact upon the cost of capital adversely and hence the

Patanjali ayurveda 14
manufacturing cost increases, making the products costly in the
market.

C. GST: Implementation of Goods and Services Tax will also help

organizations like PAL.

D. Since Patanjali Ayurved procures its raw materials locally and

thrust on exports is minimal, the factors like currency exchange rates
etc have no significant impact.

3. Social:

A. Health consciousness: People are becoming more health

conscious and there is an increasing trend to spend on health and
awareness programs and products.

B. Rise in life style diseases: Lifestyle diseases like heart attacks,

cancer, BP, Diabetes are on rise in the Indian society. The main cause
for this is chemicals in the food we eat and the products we use apart
from the lifestyle of an individual. People are more inclined towards
natural products

4. Technological:

A. Research & Development: Government has created a favorable

environment for R&D in India. Patanjali through Patanjali Yogpeeth
Trust at Haridwar is involved in R&D of ayurvedic and herbal
products. Baba Ramdev has claimed that their R&D has created
ayurvedic products which can cure deadly diseases like cancer.

b. Automation: Automation in drug production helps in mass

production of ayurvedic drugs without losing their effectiveness and
efficacy.

Patanjali ayurveda 15
C. Better means of communication, resulting in fast information
disbursal and penetration.

5. Environmental:

A. The science of ayurved is free of any hazardous chemicals. It has

a direct advantage over allopathic medicines as it has no side effects.

B. India is a rich source of certain herbs which may not be available

anywhere else in the world.

C. The residues produced in ayurvedic product manufacturing is far

less harmful compared to that of an allopathic manufacturing.

D. Ayurvedic products are more environment friendly compared to

other chemical based products.

6. Legal: Ayurved is a vast field. There are government acts

applicable to Ayurved: The medicine central council act-1970, the
drugs and cosmetics act 1940 and rules made there under, the drugs
and magic remedies act 1954 and the rules made there under.

Patanjali ayurveda 16
 Marketing strategy of Patanjali
For every company it is most important to develop marketing
strategy to survive in market and to fight against competitors.
Patanjali follows marketing strategy not by focusing on negative
points of rivals but by focusing on positive points of own products.
Patanjali follows marketing strategy traditional method according to

1 Targeting Masses through Pranayam and Yoga

No one can help admiring the simplicity of the techniques for
practicing the different pranayam (controlled breathing) which His
Holiness Swami Ramdev Ji Maharaj has evolved and has been
teaching to the common mass in India. One finds the methods taught
by Swamiji very simple for any lay person to pick up and follow. It is
the simplicity in the technique that is making Pranayam a part of life
to common man. Pranayam were there in text books for long time but,
no one from the common mass in India did have access to it for the
techniques of practicing them were very complex.
There were also some words of caution attached to such
instructions that any deviation from the practicing techniques would
cause immense harm to a person. This gave birth to an idea that
Pranayam should never be attempted to be practiced individually and
should only be practiced in the guidance and vigil of a trained Yoga
teacher (Guru). Such rigid rules, complexity in practicing techniques
and above all the caution that, any deviation in the practicing
techniques would cause immense harm to the person, took Pranayam
far away from common mass and was finally lost and buried. No one
dared to practice such an art which would cause harm to them if there
is even a slightest of deviation in the technique.
Swamiji has done a tremendous job in breaking this concept of
fear in common mass about the harm caused by Pranayam. His
Holiness has devised very simple techniques for practicing the

Patanjali ayurveda 17
Pranayam. Which are very easily picked up by any common man just
by watching the T.V. His Holiness Swamiji has also assured the
common mass that Pranayam can never cause harm to any person
attempting to practice individually. Swamiji has exhumed the Indian
ancestral science of Pranayam from the grave of darkness, fear and
monopoly of a few and presented it in its simplest form for the
welfare of the mankind. Swamiji has removed the veil of darkness
and the mystery of Pranayam is unfolding itself to the common mass
in India.

2 Positioning of Patanjali Yogpeeth

The activities, through which Patanjali Yogpeeth wants to project
its image in the minds of people, are categorized into following four
categories:

2.1 Ascetic Lifestyle (Sadhna)

Sadhna is the main aim of any spiritual organization. Baba
Ramdev is influenced by the ideology of Maharshi Dayanand
Saraswati, who laid great importance on yoga and pranayam. To
promote Sadhna, great emphasis is laid down on yoga and pranayam.
Various methods, like organizing Yog Shivirs (camps), broadcasting
through TV channels, making CDs and DVDs of yoga, etc., are
adopted to promote yoga and pranayam. Holistic approach to yoga is
adopted which includes Gnanyog, Dhyanyog, Bhaktiyog and Rajyog.
Swamiji wants to see country becoming Yogic India.

2.2 Education (Shiksha)

Patanjali Yogpeeth is trying to establish traditional system of
teaching which incorporates education with Indian culture that will
take care of nation’s economic, social and spiritual needs, and to work
in tandem with such institutions already existing. The main motive
behind all the activities is character building, moral boosting and

Patanjali ayurveda 18
knowledge of culture, awakening of national pride, equitable society,
arrangement of study and teaching of Veda, Upanishad, etc., for the
welfare of world. Various initiatives taken in this regard include
establishment of Patanjali Ayurved College, University of Patanjali,
Gurukul at Rewari and many other institutes. All the initiatives work
towards integration of knowledge and wisdom.

2.3 Health (Swasthya)

Health Revolution is one of the founding objectives of Patanjali
family. Patanjali is trying to promote Ayurveda system of Medicine
and practice ancient Indian Treatment system which includes
Panchkarma, Naturopathy, Yajna therapy etc. To achieve this, various
medicines are prepared by Patanjali under Patanjali Ayurved, Divya
Pharmacy etc. Patanjali Food and Herbal Park is established to
provide pure and herbal products to people. Patanjali Chikitsalayas
and Patanjali Arogya Kendra are established in various cities across
the country to make Ayurvedic medicines available to the people.

2.4 Entrepreneurship (Swawlamban)

Patanjali aims at promoting indigenous entrepreneurship among
the people of the country and to reduce the dependence on the west.
Patanjali Food and Herbal Park is established to bring about
agricultural revolution in the country which gives farmers best price
for their produce. Various self help groups are also constituted to
promote indigenous entrepreneurship. All these activities combined
leads to Spiritual entrepreneurship.

3. Product strategy

3.1 Pranayam and Yoga: A Package for Various Diseases Swami

Ramdev's Divya Medicines are claimed to be one hundred percent
natural, made from potent herbs available in the Himalayas,

Patanjali ayurveda 19
with no or very little side effects. They have proven extremely
effective for combating all forms of sickness and disease. Along with
these medicines, Swamiji recommends patients to also adopt the
practice of pranayam, which will strengthen the immune system and
quicken the healing process. Ramdev Baba opines that pranayam and
yoga are the complete Ancient Indian Therapy, which is a Medical
Science in itself that cures any physical or mental medical condition
completely, without any side effects. Swami Ramdev has proved and
declared on Indian and International TV Channels, pranayam and
yoga is the complete natural cure for all physical and mental ailments.
But if medicines are required they are also available and these
packages of medicines are available at a very low cost. The medicines
can cure all the diseases from a simple cold to cancer. In a bid to
promote ayurveda, Swami Ramdev's Trust has tied up with 600
qualified ayurvedic practitioners who are offering treatment to masses
for a variety of diseases, some of them termed incurable by the
modern system

3.2 FMCG Products:

Patanjali has also introduced FMCG products to diversify in the

market. Indian FMCG market is a market which has a very wide
range of customers. There are many competitors in all the categories
and although they all have similar products available at almost similar
prices, Patanjali is trying to prove it different through their marketing
strategies. However, entry to this business is easy (low entry barriers)
and this fact has been utilized very efficiently to result in combined
benefit for both Patanjali and the consumers.

Overall, product/market strategy of the Patanjali group can be

understood through Ansoff’s Matrix (Ansoff, 1957) as shown in
Figure-1 below. Ansoff’s matrix, despite of being more than fifty year

Patanjali ayurveda 20
old marketing tool, still has a great contributor to understand the
diversification strategy of the organization (Richardson and Evans,
2007). It can be clearly understood from the matrix that Patanjali
Yogpeeth is diversifying itself from ayurvedic medicine to FMCG
products.

Market Product
Penetration Development

Market
Divirsification
Development

Patanjali ayurveda 21
 Pricing Strategy
Developing an effective pricing strategy remains the most
important and difficult part of the marketing process. As far as the
pricing of FMCG products is concerned, the pricing strategy is a mix
of skimming and penetration. Some products are costly than other
competitive brands and some are cheap. But, in case of pranayam and
yoga, Baba Ramdev's uses a penetration strategy and cost is very less.

Patanjali‟s relatively newer production line has state of the art

manufacturing and packaging facilities which allow it to be highly
competitive in terms of production costs. Further, it works on low
margin, high volume model and keeps advertisement costs to bare
minimum.

From revenue trend of Patanjali pricing strategy for different

different product line we can understand easily.

Revenue Trend

21 Food and
beverage
40
Home care

Health care
39

Patanjali ayurveda 22
From revenue trend it is very easy to understand that patanjali have
different pricing strategy for every product. For food and beverage
lower price of product compare to competitor minimum 14.1% and
maximum 36.6% while in home care patanjali provides
minimum19.0% discount and maximum32.8% discount compare to
competitors. In health care product patanjali provides product much
cheaper than competitors; patanjali provides minimum 25.0%
discount and maximum 37.5% discount which shows very attractive
pricing policy from consumer’s point of view.
Because of babaji provide qualitative and quantitative product
which is naturally and followed by ayurveda so it is not harmful for
the consumer while rivals use chemicals and other unfair cosmetics
which are harmful for the human body.
So, cheaper price compare to others and better quality and quantity
of product helps in pricing strategy to patanjali. Comparison between
products of patanjali and other companies are as follows which
clearly indicate a very healthy pricing strategy of patanjali.

Patanjali ayurveda 23
 Product Qty Product Comparable Price Discount
Name Price Company

Chywan- 500 115 Dabur Chywan- 160 28.1%

prash gm prash
Fruit juices 1 ltr 85 Dabur real juice 99 14.1%

Cow 1 ltr 450 Ghee 710 36.6%

Ghee
Honey 500 135 Dabur Honey 199 32.2%
gm
Face 60 60 Pears Face 80 25.0%
wash gm wash
Shampoo 200 110 Head and 159 30.7%
gm sholder
Shampoo
Tooth 200 68 Pepsodent 84 19.0%
Paste gm Tooth Paste
Bathing 75 15 Himalaya 24 37.5%
Soap gm Bathing Soap
Dish wash 175 10 Vim dish wash 15 32.8%
bar gm bar
Corn flex 500 145 Kellogs Corn 182 20.2%
mix gm flex mix
Detergent 250 13 Rin Detergent 19 31.6%
Powder gm

Patanjali ayurveda 24
 Distribution channel of Patanjali
Distribution channel is most important for marketing department
of Patanjali to reach at the customer of bottom level. To provide
products at the time customer want it becomes important to have wide
range of distribution channel.
Because of large number of competitors available in market for
Patanjali it is important to maintain market share in competitive
environment. If any company become fail in developing proper
distribution channel so company cannot reach at the every customer.
Distribution channels of Patanjali helps to provide maximum
satisfaction to consumers by providing right quality, quantity and at
the right time when consumer wants it.
In distribution channel of Patanjali beginning from company when
production department pack the final product then they forward to
central stock holding centre to store. After receiving stock at central
stock holding centre they forward to state stock holding centre
according to their need and state stockholding centre provide stock to
district or zonal agent and agent distribute to wholesaler according to
need. Wholesaler provides stock to retailers who are directly
connected with end users means consumer. So, Patanjali have widely
spread distribution channel to cover every corner of country. Model of
distribution channel is as follows.

Patanjali ayurveda 25
 Company

Central stock holding centre

State stock holding centre

District or Zonal agent

Wholesaler

Retailer

Consumer

Patanjali ayurveda 26
 Supply Chain Management (SCM)
Supply chain management means a network facilities and
distribution options that performs the functions of procurement of
materials, transformation of these materials into intermediates and
finished products, and the distribution of these finished products to
consumers.
Patanjali follows a very smooth Supply chain management. The
three parts of supply chain which are as follows.

Product Cash Informati

Flow Flow on Flow

In supply chain of Patanjali all these are maintained very

smoothly. Supply Chain of Patanjali can be well understood with the
help of some examples. First we will take the example of sale of
Patanjali products. They sell their products only through their own
outlets opened in almost every district/city of India. Each outlet sends
its demand to central office at Haridwar. Then based on
demand,different products are gathered from various units of Patanjali

Patanjali ayurveda 27
viz. Divya Pharmacy, Patanjali Ayurved, Patanjali Foods etc. Then
the items are delivered to the respective outlets mainly through
Patanjali transport. This shows a good example of Supply chain
management. Next we can take the case of Patanjali Gram at
Uttarkashi.
Here Swami Haridasji has presented a very good example of
SCM. They collect cow urine from rural households. After initial
filtration, it is sent to Patanjali Food and Herbal Park where it is
processed and is sent to various Patanjali outlets for distribution. The
part of money received from the sale of cow urine is kept by Patanjali
Food and Herbal Park Limited as processing cost and the rest is sent
to the village. Some amount is distributed to the people as a price of
cows urine, rest is used for the development of the village like
establishing necessary infrastructure, building schools etc.

Farmer

Producer

Consumer

Patanjali ayurveda 28
 The Patanjali Mega Food Park (PMFP) has been envisaged to
help in creation of enabling infrastructure for food processing and a
comprehensive ‘farm-to-plate’ supply chain system. The initiative
aims to seek maximum value addition by backward as well as forward
integration between the farmers, factory and the market. It can be said
that the supply chain doesn’t have any intermediary in between but
rather it’s a direct from supplier to producer to consumer. This also
helps in reducing the cost because it avoids the unnecessary
commission cost and other related charges of the intermediaries.

Producer

Consumer

Patanjali ayurveda 29
 Customer value, Satisfaction and loyalty of
Patanjali
Companies who believe the customer is the company’s only true
“Profit centre” consider the traditional organization chart which
include the president at the top management in the middle and front
line people and customers had at the bottom obsolete while patanjali
inverted the chart and the top are customers. Charts of traditional
organization and Patanjali customer oriented organization charts are
as follows which indicates customer value, Satisfaction and loyalty by
position in patanjali.

Top
management

Middle
management

Front line people

Customers

Patanjali ayurveda 30
 In Patanjali organizational chart the top are customers next
importance are front line people who meet serve and satisfy
customers under them are middle managers whose job is to support
the front line people so they can surve customers well; and at the base
is the top management, whose job is to hire and support good middle
managers. Patanjali organization chart is as follow.

Customers

Front line people

Middle
management

Top
management

Patanjali ayurveda 31
 It indicates the managers at every level must be personally involved
in knowing, meeting and surving customers.

Customer
deliverd value

Total Total customer

customer
value cost

Product Monetary
Value cost

Services Time
value cost

Personal Energy
value cost

Image Psychic
value cost

Patanjali ayurveda 32
Customer value of Patanjali:
Customer value is the difference between the prospective
customer’s evaluation of all the benefits and all the costs of an
offering and the perceived alternatives. Total customer value for
patanjali is the perceived monetary value of the bundle of economic,
functional and, Psychological benefits customers expect from a given
market offering.
Total customer cost is the bundle of costs customers expect to incur
in evaluating, obtaining, using, and disposing of the given market
offering, including monetary, time, energy and Psychic cost.
Customer Satisfaction of Patanjali:
Mainly any company have two kinds of customers in market such
as satisfied customer and unsatisfied customer. Satisfied customers
are valuable asset of company while unsatisfied consumers may very
harmful for the company. It is most important to have large number of
satisfied customer if any company wants to survive smoothly in
market. Company can get satisfied customers by providing good
product and services at good quality, quantity and cheaper price.
Patanjali have very large number of satisfied customers in market
compare to competitors because of wide product range much better
quality, quantity at very lower cost. Each and every product is hurbal
and ayurvedic which is not hazardous for human body while
competitors of Patanjali may produce products which are hazardous
for human body in long time for Ex; in hair oil of other companies
they use mineral oil which is may the cause of censer and may other
companies produce food products such as noodles which have excess
of harmful ingredients while patanjali makes only aata noodles which
have superior quality compare to others. By these kinds benefit
providing to customer satisfaction of customers toward patanjali

Patanjali ayurveda 33
increase and moral of customers also increase. So, customer
satisfaction is one of the healthy positive point of patanjali.
Customer loyalty of Patanjali:
Most important for any company is to maintain customer loyalty
towards the product and service of company. Any company can
maintain customer loyalty through providing high level of satisfaction
to customer. No one company can survive smoothly and for long time
of period in market. If company become fail to provide high level of
satisfaction continuously to customers at that time customer shift to
product of other company which is much better.
Customer loyalty means to maintain or increase market share
continuously toward the products of company.
Customer loyalty towards Patanjali is very good because patanjali
have large number of satisfied customers and higher customer value
compare to competitors because Patanjali provide high quality and
quantity product which is hurbal and ayrvedic and not harmful for the
human body; it helps to build high customer loyalty towards the
Patanjali.

Patanjali ayurveda 34
 Consumer behaviour towards Patanjali
Consumer behaviour is the process whereby individuals decide
whether, what when how & from whom to purchase goods and
services.
For Patanjali behaviour of final consumers is most important.
Consumer behaviour depends upon satisfaction level from product to
individual. If product provides maximum level of satisfaction to
consumers then behaviour and attitude of consumer positive toward it.
Patanjali have large number of satisfied consumer and consumer
behaviour towards Patanjali is very optimistic because every product
of patanjali provides high level quality, quantity at attractive price.
If consumer behaviour towards any company is not fair towards
any company is not fair. So, company will suffer in market. Negative
behaviour toward company become harmful one unsatisfied customer
is dangerous for company because that customers will stop to
purchase products of that company and suggest to others also about
not to purchase any product of that company which affect adversity to
company because of it patanjali always try to satisfy customer; if
customer complaint about any product company takes action
regarding to it and convert negative consumer behaviour into positive
and optimistic behaviour toward the company.

Patanjali ayurveda 35
 Dissatisfaction
among the
customers

Customers Coustumer do
react not react

React React
openly privately

Direct Stops
complaint to Purchasing the
company product

Complaint to Warns his

assosiation or friends against
Institute the company

Patanjali ayurveda 36
 Advertising media usage by Patanjali
Advertising is any paid form of non personal presentation and
promotion of ideas, goods or services by an identified sponsor. Ads
can be a cost effective way to disseminate message, whether to build a
brand preference or to educate people.

Advertising is important factor to make aware customers about the

product and services of company available in the market and provide
information regarding to price, quality, quantity and, features of the
product to the customers.

An advertising goal of Patanjali is a specific communications tasks

and achievement level to be accomplished with a specific audience in
a specific period of time. Patanjali decide advertising with the
fundamental step of marketing by the five Ms. Chart flow of five Ms
are as follows.

Patanjali ayurveda 37
 Mission Money
Sales goals Market share
Advertising objective Competition
Product sustainibility

Message Media
Message generation Reach
Message evaluation and
selection Frequency
Message execution impact

Measurement
Communication
impact
sales impact

Patanjali mainly doing informative advertising with aims to create

awareness and knowledge of new products or new features of existing
product in market. Such as advertising of Hair oil without mineral oil,
pure honey, herbal soap, wheat muddles.

Patanjali ayurveda 38
 Patanjali using media for marketing and advertising such as TV,
news papers, Social media such as facebook, linked in, you tube,
twitter, banners or holdings and through sponsoring games or social
activities by company reach to customers and aware them about
products of company. From the above data which media is maximum
useful to target large size of customer is understandable and inform
about advertising policy of patanjali.

Media Usage
T.V 45%
News Paper & magazines 23%
Social media 22%
Other media 10%

Advertising media usage

T.V News Paper Social media Other media

10%

22% 45%

23%

Patanjali ayurveda 39
 From above information and data it is clear that Patanjali reached
to customer by advertising in T.V. Through T.V company reached up
to 45% number of customers and make them aware and provide
information regarding to their products. Advertising through T.V is
costly compare to other media of advertising but it is one of the best
way to target large size of population. At the one time of advertising
in T.V company invest 50,00,000rs and inform to 1,00,00,000
customers about the products of their company then average price per
person is just 0.5rs; and T.V is that medium of advertising through
company can target maximum customers because it has combination
of two features visualisation and hearing about it. In country like
India large population should be easily target through advertising in
T.V
Second largest media which is targeting maximum number of
customers by advertisement is news paper and magazines in respect
of 23% it is less costly compare to T.V but with the advantage of it
has disadvantages also such as it is just for short time of period and
useful for the literate persons only still it is dominating at second
position in advertising media.
Social media such as facebook, twitter, you tube, linked in etc also
as an important media to informe about product availability in market.
This media is very cheap compare to other media of advertising and
this media target 22% of customers. Especially through social media
company can target large number of youth population.
Patanjali target 10% of customers by other media such as
holdings, banner and sponsor-ship to social activity.

Patanjali ayurveda 40
 E-commerce Patanjali
E-business describes the use of electronic means and platforms to
conduct a company’s business. E-commerce means that the company
or site offers to transect or facilitates the selling products and services
online. E-commerce has given rise in turn to e-purchasing and e-
marketing.
E-Marketing describes company efforts to inform buyers,
communicate, promote, and sell its products and services over the
internet.
In modern era it is essential and important to follow e-commerce
for increase market share and fight against competitors. For e-
commerce practise Patanjali provide facility to purchase products
from their official web site by just one click on product which
consumer want. After purchasing customer can pay online amount of
product by use of credit and debit card of bank and cash on delivery
facility also provided by Patanjali. Especially Patanjali provide
special discount on purchase of product up to 5-10% if customer pay
through debit and credit card of specific banks for the objective of
sales promotion. It is beneficial for the both parties for customer it is
beneficial to pay less price and for company it reduce commission to
middlemen and other costs also.
Patanjali follows e-commerce mainly in two ways which are as
follows.
1. B2B (Business to Business)
2. B2C (Business to Customer)

Patanjali ayurveda 41
1. B2B (Business to Business):
In business to business E-commerce practise Patanjali provide
products to other business man such as to Flipkart, Amazone, Snap
deal. Patanjali provides product to these E-marketers who sales their
product to consumer. It is known as B2B concept of E-Commerce.

2. B2C (Business to Customer):

Patanjali sales their product directly to customers by their official
web site of Patanjali. It is known as Business to customer E-
commerce. Patanjali provides all their products on their website such
as herbal products, ayurvedic products, foods and home care products
etc.

Patanjali ayurveda 42