Air Purifiers – Feasibility Study

Need of Feasibility Study

A fesibility study is needed to assess the viability of a project or business idea before committing
resources. It helps in determining if the project is economically, technically and operationally
feasible. This study helps stakeholders make informed decisions and mitigate risks by evaluating
potential challenges and benefits.

MARKET ANALYSIS
Product/service
Product – Air Purifiers
An air purifier or air cleaner is a device which removes contaminants from the air in a room to
improve indoor air quality. These devices are commonly marketed as being beneficial to allergy
sufferers and asthmetics, and at reducing or eliminating second hand tobacco smoke. The
commercially graded air purifiers are manufactured as either small stand – alone units or larger
units that can be affixed to an air handler unit or to an HVAC unit found in the medical ,
industrial and commercial industries.

Target Market
The target market for air purifiers primarily consists of people who suffer from allergies or
asthma. This segment of the air purifier target market is the most likely to need air purifiers.
People with allergies or asthma often have sensitivities to airborne particles like dust, pollen, and
pet dander. Another segment of people who need this are the people who live in large polluted
cities, because large cities often have high levels of air pollution. Other than this the people who
have pets are also in danger of allergy. In schools also the air purifiers are needed to improve the
air quality for the students. In addition to this many offices will install air purifiers in their office
buildings. Offices are often located in urban areas with high air pollution levels and not all
offices will have closed ventilation systems or air conditioners, by installing air purifiers
businesses can improve the air quality for their employees which can lead to increased
productivity and fewer sick days. Factories can often be the source of air pollution. Installing air
purifiers in factories can help reduce the amount of air pollution that is emitted from the factory
and create a healthier environment in a factory.
Product Benefits and Positioning
Benefits of Air Purifiers
There is an increasing concern about air pollution levels both outdoors and indoors. Air purifiers
can refresh stale air, reducing the chances of health issues caused by indoor pollutants, which can
trigger respiratory infections, neurological problems, or aggravate symptoms in asthma sufferers.
Quality air purifiers eliminate several types of indoor air pollutants, keeping the people
healthy.so the first and the foremost benefit of air purifiers is that it relieves symptoms of
asthma. An efficient air purifier continues to keep the indoor air free of pollutants, reducing the
chances of breathing difficulties caused by asthma. Another benefit is that it neutralizes
unpleasant odors, some chemicals such as gasoline, benzene etc break down at room temperature
causing an off gassing odor and the odor from VOCs can cause nausea, breathlessness, and even
affect the cognitive functions, no matter what, the air purifiers absorb all the smell, making the
room fresh and clean.it also reduces the chances of airborne diseases. Helps in better sleep, to
avoid sleep disruptions it is best to use air purifiers. It can increase life expectancy.

Product Positioning
The air purifiers are strategically positioned as an innovative technique to fight against the air
pollution such as it is very helpful for the persons are suffering from any kind of allergy whether
dust or any other. They are symbolically linked to the future, emphasizing cutting edge
technology and sustainability. Their primary positioning revolves around environmental
responsibility, offering customers an solution to free themselves from allergy etc. moreover it is
positioned as ideal choices for urban people who live in a highly air polluted environment.

Industry/Market
Growth Rates and Importance of Customer
Growth Rates in the Air Purifiers Industry:
The growth rate of the air purifiers industry is steadily increasing due to rising of air pollution,
advancements of technology to deal with the issues like asthma, urbanization and more
awareness towards the health issues like respiratory diseases.

Importance of Customers in the Air Purifiers Industry:

Customers play a pivotal role in the air purifiers industry. Their importance cannot be overstated
as they drive demand, influence innovation. Firstly customer preferences and choices validate the
market for air purifiers. This feedback loop helps manufacturers refine products to better meet
customer needs and expectations. Secondly customer demand fuels innovation in the air purifier
sindustry. As customers seek greater efficiency and more features, manufacturers are motivated
to develop cutting edge technologies to fulfill those demands. Thirdly, satisfied customers can
become brand advocates, positively impacting word of mouth marketing and building brand
loyalty. Their support not only leads to repeat purchases but also fosters long term profitability
for manufacturers.

Position in Product Life Cycle

In the product life cycle (PLC) the air purifiers currently find themselves in the growth rate.
During this phase, they have transitioned from their initial introduction to a state of expanding
acceptance and adoption. Market awareness of there innovative technologies is growing, leading
to an increasing customer base. The COVID-19 pandemic had a detrimental effect on the market.
However the market has now reached pre pandemic levels. Factors such as increasing inborne
dieseses and growing health consciousness among consumers are driving the market. Despite the
various technological developments, air purifiers have been perceived as a luxury item in both
underdeveloped and emerging economies, particularly in the commercial and residential
segments. Due to its critical applications in semiconductor, pharmaceutical, food and beverage
manufacturing, medical and other industrial facilities is expected to dominate the market.

Operating Margins
The operating margins for air purifiers can vary depending on a multitude of factors. Key
determinants include production costs, the efficiency o technology, pricing strategies,
maintenance, brand strength, marketing efforts and market competition, the cost of producing the
air purifier, material, labour, manufacturing and research and development is a central factor.
Achieving economies of scale through mass production can significantly reduce the costs,
thereby positively impacting margins.

Furthermore the pricing strategy plays a crucial role in tetermining operating margins.
Manufacturers must consider market demand, consumer willingness to pay. A strong brand and
effective marketing strategies can justify premium pricing and attract consumers who value the
perceived quality. Market competition can also affects margins, as intense competition may lead
to price wars and while a niche market with limited competition may support higher margins.

Timeliness
The air purifiers can make a sense because these are very helpful in fighting the major diseases
like breathing and respiratory problems. Plus it eliminates harmful chemicals from indoor
environments. It also improves the sleep of a person.

Organization
Experience and passion
Experience and passion are essential elements in the development and promotion of air purifiers.

1. Experience : Building air purifiers requires a deep understanding of types of air pollution
and how to overcome them and engineering. Experience in designing, manufacturing and
testing air purifiers is crucial for overcoming technical challenges and ensuring they
perform reliably and efficiently. Experienced teams are to be hired to design the air
purifiers.
2. Passion: Passion drives innovation and commitment in the field of air purifiers.
Passionate individuals and teams are more likely to push the boundaries of what’s
possible, investing the time and effort needed to improve efficiency and performance.
Passion for fresh air and reducing air pollution fuels the development of air purifiers .
 Marketing Questions

1. Market: The residential segment dominates the market due to the

increasing adoption of air purifiers in homes and apartments, where people
spend most of their time. India’s home air purifier market is growing due
to several factors, such as the increasing prevalence of airborne diseases
and pollution in metropolitan areas.

2. Competitors: key air purifier manufacturers are competing with one

another by focusing primarily on R & D for the development of cutting
edge services and products. Brand recognition and competitive marketing
are obstacles for new entrants into this marketplace.

3. Target Audience: The target audience for air purifiers are mostly the
people living in cities with high air pollution, people with asthma and
respiratory diseases. Moms and babies etc.

4. Custmer need: Customers believe that people who are allergic to pollen
and have seasonal allergies can get relief with the help of an air purifier,
they not just remove dust and smoke from the air, but help to remove
allergenic substances like animal dander and pollen.

5. USP: 425 to 1,69,000 price ranges of air purifiers. The type of air
purifiers, the kind of air filters, and the purifiers capacity influence the
unit’s price overall.

6. Customers thought what you offer: Customers perceive air purifiers

manufacturers as offering them fresh air indoor environment responsible.
They expect the air purifiers to reduce the air pollution. They also
anticipate innovative technology, advanced features.
 Financial Analysis

Start up cash

Starting a air purifiers business requires significant initial capital, which can vary widely
depending on the scale and objectives of the venture. Key expenses include research and
development, manufacturing facilities and equipment, staffing, marketing, compliance with
regulations, prototyping and testing, administrative costs, working capital and contingency funds.
The total capital needed can range from hundreds of thousands to several million dollars,
securing funding through investors, loans, grants or partnerships is often necessary to cover these
costs. A well structured business plan is crucial for attracting financial support and
demonstrating the feasibility of the air purifiers startup.

Performance

The global air purifiers market reached a value of nearly 1,610.5 million in 2020. The financial
performance of air purifiers depends on various factors. The cost of manufacturing, including
materials and technology development, impacts profitability. Demand from customers, pricing
strategies, competition and government incentives all play significant roles. Ultimately the
financial success of air purifiers hinges on effectively managing costs, pricing and market
dynamics in a competitive and evolving industry.

Market analysis
 ASSIGNMENT OF PROJECT
MANAGEMENT

SUBMITTED TO : SUBMITTED BY :
Prof. Shivani Bector Charanjeet kaur
MBA 2nd year
Roll no. 237783