Jindal Panther: the creation of a brand

Jindal Steel and Power Limited (JSPL) is one of the leading producers of TMT re-bars in
India. Inspite of being the fourth largest steel manufacturer in India, JSPL had a very low
brand awareness. The market for TMT re-bar was becoming competitive and undergoing a
massive change. TMT re-bar accounts for 35-40% of the finished steel products and is
deemed as the capacity enabler. Massive expansion activities were in line for the major
market players. Paras Sharma, National Brand Manager at JSPL suggested launching an in-
house captive brand dedicated entirely to TMT re-bar. This proposal was received with mixed
results. SK Agrawal, Director Sales and Marketing was open to the idea of a unique brand for
the product.

JSPL has only 2% of the market share whereas its sister company has 12% of the market
share. JSPL should go ahead in crafting a separate brand for the product. This would act as a
differentiator for consumers who are ignorant of the difference between JSPL and its sister
concern JSW Neosteel. As per the world steel association, Indian market for TMT rebar is
expected to grow by 7% in the FY 2013-2014. JSPL’s share in the retail market is only
14%. Brand names were primarily used as a differentiator in the retail market and
customers are heavily attuned to the brand perception. Therefore, coming with a unique brand
would help JSPL capture significant portion of the retail market share.

The rebars formed the backbone of cement concrete framed. Therefore quality of rebars was
crucial for evaluating the overall structural quality. The USP of JSPL TN=MT re-bar were
bond strength, dimensions, bendability, weld-ability, corrosion, earthquake resistance and
other cost saving process. All of these characteristics set JSPL apart from its competitor. Also
none of JSPL’s competitors are talking about the technological advancements in brand
communication. JSPL should leverage this opportunity to create a brand and appropriate
positioning strategies. Most of the TMT rebar consumers are semi-urban and urban home
buyers who are concerned about the safety and integrity of their homes. These distinguishing
features could also pave the way for JSPL to emerge as a premium product in the market.

Easy availability and efficient customer service is one of the factor for sales in retail sector.
JSPL has the support of 40 distributors and 1000 dealers across India. It has also allocated
separate budget to the distributors for promotional materials on highways and billboards. All
of these resources would assist panther brand in competing with major players in Tier-1 and
Tier2 cities.