KUMUD

Somesh Gautam | 2021MBA086

 Our Initiative : Kumud
Spreading fragrances and smiles
Problem at Hand Need to solve the problem
With an ever-increasing demand for clean & hygienic water from the ever-
1% of the World’s water is fresh water growing population, there is the requirement of cleaning our water bodies.

Factory waste, Industrial pollutants are the major cause of

Water pollution. 80% of the Indian population is dependent on 14 major rivers for food &
livelihood

16% of the river pollution is caused by religious Less than 50% of the population has access to safely managed drinking water.
offerings ,its often ignored.

80% of the religious offerings consist of flowers and A lot of people have religious sentiments attached to River water bodies

coconuts.

Impact of Pollution Our Target

Fresh water unavailability
87.5% of Child mortality in India and Bangladesh is
due to drinking water pollution.
River Mahanadi: India’s one of largest River, the lifeline of Odisha.
❖ Sambalpur, Puri, Jharsuguda are religious places and dumps million kg of flowers
daily

80% of stomach ailments in India happen due to ❖ The three cities are hub for temple , mosque , Amarkantak being the origin of rivers
polluted water.
 Our Idea : Kumud

❖ Kumud means “ Flower” , flower with fragrance and which brings smile.
❖ Our idea is to collect the religious offerings like flowers , coconuts from the religious places along the river.
❖ Separating the flowers and drying and converting to make Incense sticks, Coconuts into baskets and selling the products through
various Selling Channels.
❖ Mission: To be the market leader in Incense sticks and provide employment opportunity to hundreds of women, improving
standards.
❖ Vision: To create a sustainable shared valued Business and Improving ecosystem and quality of life.

Our Products Social Impact

❖ Incense Sticks ❖ At “ Kumud”, we aim to reduce, recycle and reimagine the flowers to
❖ Incense Cones attain our “ Kumud’s” meaning.
❖ Decorative Items (Baskets, stands etc.) ❖ We aim to provide employment to the cities women and collaborate with
❖ Aroma Therapy Oils & Fragrances the self-help groups to uplift their status.
❖ Herbal Colours ❖ Our initiative can evolve to clean India’s holy rivers and alongside
uplifting status through employment.
 Market Assessment
Future Scope Growth Indicators

Indian incense is exported to over 160 Domestic incense market is highly

countries including US, Nigeria, Malaysia unorganized and the players currently lack
1 Venturing in the markets of natural the presence in premium stores.
Natural Essential and UK.
essential oils and Aromatherapic
oils oils Indian incense stick market share in global
From religious uses, incense sticks are business has reduced and the share is currently
increasingly seeing usage in newer niches – being taken up by China & Vietnam
medicinal values & fragrance purposes.
Smokeless Incense With better R&D developing The rise of Indian culture in newer Reduction in global exports has been
2
sticks smokeless organic incense sticks, demographics like North Africa & because of reduction of quality from Indian
reducing health problems Scandinavian countries has opened new Manufacturers.
export markets.
The incense sticks manufacturing is
Coconut shell 3 In future we can venture into Market size by volume to be more than increasingly shifting towards machines as
coconuts shell related products 34000 sticks in 2022-23 compared to the manual labour earlier.
products
Agarbatti has shown a growth of above
10% CAGR in the last couple of years People are being more socially
4 Organic color dyes , Gulaal are the and is expected to grow at 8% CAGR in responsible & are switching to
Gulaal, Color Dyes the next couple of years. sustainable & organic products.
few different categories to venture
into
Graph indicating growing demand
The water and the residue can
Vermicompost, 5 further be used as a fertilizer or a
Fertilizer medium to enhance soil
productivity.

Collaborations with brands

6 working in organic sectors like
Collaborations
Patanjali, Himalyas etc.

High-quality products, sourced in an ethical
way
Natural scents for multi-use such as - enhanced
sleep, reduced anxiety & increased focus
Preserve River Ganga by upcycling
temple waste
Revive the lifeline of 420 million –
the Ganga
2.4 tons of flower waste collected
daily and upcycled
Direct Livelihood income increased
by a minimum of 6 times
Our USP
Focus on development in the local community
Multi-purpose product line focused on exports
Competitors
Convert temple-waste into Utilize Nirmala keeping
biodegradable packaging and bio- environmental concerns and
leathers conservation of natural resources in
mind.
Mission is to preserve River Ganga
Aims to create a dye palette that is
100% based on recycled temple
11,060 tons flower recycled, 11 ton
waste.
pesticide Ofsted
Focus on textiles materials & exports
19 schools for children
 Business Model
Flowers are collected Flowers are washed to
The flowers are Petals are
remove off any
1 from temples and
transported via trucks
2 segregated from other 3
chemical residue from
4 broken and
things like plastic/ sundried
to the factory outlet. chemicals / paper / idols the flowers

Flowers are washed and the

Social Impact water is stored to be used for
Employment Generation vermicompost
Environmental Impact for Women in
Reduction of waste in the Uttarakhand & Social
form of flowers from Upliftment
temples

Incense Sticks Vermicompost

Holi Colours Fertilizer

Other Environmental Benefits

❖ At “ Kumud” , we aim to reduce, upcycle and reimagine the flowers to attain our “ Kumud’s” meaning.
❖ We aim to provide employment to the cities women and collaborate with the self help groups to uplift their status

❖ Our initiative can evolve to clean India’s holy rivers and along side uplifting status through employment
 Revenue Model Sales &Distribution Channel
❖ Tie-up with stalls selling religious offering goods inside or near the temple
premises.
❖ Convenience, Departmental, Retail, Organic stores in and around the city for
Bundling of
Products
regular home use.
Cross Selling ❖ Gradual expansion to e-commerce platforms such as Amazon, Nykaa.
Having packages of
goods and Recommend ❖ Expansion of markets through exports to Bangladesh and Nepal in later stages.
providing options another item or ❖ Regain lost market share.
of buying products discount when
together at the customer is at The distribution channel would be
subsidized rates checkout focused on delivering products to
local & departmental stores &
Complimentary sustainable & organic store outlets.
Products
Transactional Revenue Upselling This will act as an The Channel focuses on reducing
A direct channel, it will Adding aroma oils incentive to continue intermediaries and pass on the
T because
attract customers in addition to shopping if benefits to the end customer with
of its simplicity and incense sticks and complimentary products
or dyes. (Add ons) are delivered with each the cost saved.
comprehensiveness purchase. It remains an
element of surprise. Holistically creating synergies
between the distribution channel &
ordering mechanism by focus on
Hidden Revenue mediums such as – Website, Apps,
Model Collaborations & Tieups etc.
Web Sales, Direct
Sales, Channel Revenue is earned
Sales, via advertising Warehousing will ensure a
money spent on steady & consistent supply of
Retail Sales
bidding for stock to meet normal & sudden
keywords demands
E-Commerce Partner with courier companies for an
Platforms excellent shipping experience. This
will also give a boost to outside
Direct Sales country sales.
 Spendings

Particulars Amount (Rs) per month

Collection of waste
Land Rent (5000 sq. ft.)
Processing Materials(sieve, bamboo
sticks, drying mats)
Free(tie ups with temples) 80 lakh tonnes of floral waste is dumped into the
river and such other water bodies of India annually.
10,00,000 These wastes can be used to make a variety of
10,0000 products such as dyes, incense sticks, holi colours,
extraction of essential oils and so on.

Wages
(200 per employee for 4 hours)
• Unskilled women labourers (150 23,80,000 Revenue Stream
women) 120000
• Supervisor 80000 Particulars Amount (Rs)
• Helper
Sales of normal incense stick 50 pack of 20

Marketing & Advertising (Social media, 6,00,000 Sales of scented incense sticks 70 pack of 20
digital and offline) Holi Colours 40 per pct

Transportation (Logistics) 8,00,000 for 30 tonnes Aroma Oils 185 per bottle

Miscellaneous 2,50,000 Coconut Baskets 85 per pc

Dyes 75 per pct
 Selling Procedure Marketing

Tie-ups with established stores The product would try to build great digital visibility in India and Abroad. We would
try to focus on Instagram, Facebook and Twitter majorly to communicate the benefits
•Collaborations with established nation wide stores like FabIndia of the product to the target market.

Direct to customers We would also try to communicate the impact Kumud would have in terms of social
and environmental to the audience over digital mediums.
•Direct to customer sales via the website as well

B2B sales & Exports

•Focusing on B2B sales in India as well as exports

Retail Outlets
•Collaboration with high-end retail outlets

Flea Markets & Kiosks

•Establishing pop-up stores in Flea-Markets and Kiosks

Open-Air Markets
•Sales in locations like Delhi Haat which have high footfall

Exports
With growing influence of Ayurveda, yoga, khadi, Indian culture, and more demand for
Indian agarbattis is increasing around the world.
✔ Bangladesh
✔ UAE
✔ Sri-Lanka
✔ Indonesia
✔ Bhutan