nirma bpsm
TRANSCRIPT
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History of detergents
First companies to begin manufacturing detergent in
India was a local private sector firm, named Swastik and
HLL.
Swastik produced a powder called Det while HLL test
marketed Surf, a blue powder.
Det, a white powder was successful in eastern India.
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Facts and History ( Nirma )
It was launched in 1969 by Karsanbhai Patel
Named after his daughter Nirupama
The company focuses on the customer
Priority of the company is better product, better
value, and better living.
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Cont..
2000 retail outlets and with over 200 large and small
soap manufacturers
Nirma was inferior to Surf and other premium powders
on all characteristic normally measured. Yet sales of
Nirma were higher.
Indian mentality affected as people were concerned
about price.
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Facts and history ( HLL )
HLL came into the market in 1960
The company was launched in 1933 I Mumbai.
Founded by Harish Manwadi and Nitin Paranje.
Turnover of 25206 crore.
Have 6.4 million retail outlets.
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Problem faced
Low financial support.
Staff strength was very low.
Faced stiff market competition as market was fully
dominated by HLL .
8%8%
15%
65%
4%
MARKET SHARE ONTOILET SOAP(1999-00)
OTHERS
GODREJ
NIRMA
HLL
WIPRO
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Alternative solutions ( by Nirma )
Sold at half price
Product availability in different size.
They adopted backward integration strategy.
It gave importance to modernization ,up gradation,
expansion of product facility.
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Alternative solution ( by HLL )
Gave importance to product innovation and processinnovation.
Modified business model to target rural customers.
Implemented IT enabled system for managing supply
and distribution.
Innovative methods like Indirect coverage, operation
harvest, cinema van operations used.
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Strengths ( Nirma )
Ability to provide product at low cost without
compromising on quality.
Direct distribution channels
Offer product to both economy and premium segments.
The brand name NIRMA ,recall a low cost detergent
powder.
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Weakness
Low cost detergent powder caused many people feel
ashamed to use Nirma.
Conflict of NIRMA and NIMA.
Sustainibility in premium segment.
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Opportunities
Diversify to other consumer product like (liquid hand
wash, bleaching powder).
Export to Foreign countries.
Increasing Indian population.
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Threats
From international market.
NIRMA continuous focus on mass production ,made aproblem to them .
Broad attack from HUL and P&G.
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5 forces model
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BCG Matrix
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Recommendations
Nirma should focus on premium segment.
Concentrate on International Market.
Force more sales in rural market.