PowerPoint Presentation

Seminar On Patanjali Ayurveda

Hemant karwalm.b.a. gen a16101036

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The Brand PatanjaliPatanjali Ayurved Ltd. established in 2006 with the vision of bringing together ancient wisdom of Ayurveda and latest technologyWhat included only aloe vera gel, Patanjalis product portfolio now includes other cosmetic products, packaged food, etc.Prakriti ka Ashirvaad The brand stands for ayurvedic benefits, organic ingredients, and nationalist sentiment

Key Success FactorsBrand Image Created a perception that products are better because of no harmful chemicalsPricing Priced 15-20% lower, which helps brands initial entry into a categoryDistribution Leveraged existing channels, tie up with Future group for distribution and visibility

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Patanjali Products: 100% Natural & HerbalPatanjali products is one of the leading Ayurveda selling products in India. It is 100% Natural & Herbal products which is prepared by the mixture of different natural ingredients and there is no side effects.

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Key Success FactorsCreating willing customers - Ramdevs 20 crore yoga practitioners are a logical captive market Products are attractively priced, 20% to 30% lower than the market pricesStrong distribution channels retail outlets and ayurvedic clinicsModern machineries and production processes ensure superior qualityLocal sourcing and a lack-of-profit motive allows for reinvestment of gains

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MARKETING MIXPRODUCTStarted with an Aloe vera gelOperates in four major categories:Ayurvedic health productsFood products & JuicesSkin-care productsHome-care productsLargest selling products are cow ghee, Dant Kanti toothpaste and Kesh KantiHas premium personal-care products: Soundarya labelMore than 400 SKUs

PRICINGProducts are competitively priced at 15-20 percent lower than industry leadersEliminates intermediaries and their margins by sourcing raw materials directly from farmersEnsures better profitability along with lower cost for consumersUses mass customization to achieve economies of scale leading to lower prices of products

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MARKETING MIXPLACEUses franchise model to sell its productsOutlets classified as:Patanjali ChikitsalayaPatanjali Arogya KendraSwadesi KendraProducts available at 5000 franchise stores, 17000 retail stores, Patanjali website and online platforms like BigBasket and ZopNowPartnered with Future Group to sell products at Big Bazaar and EasyDayAlso has Patanjali Mega stores targeted at A-class citiesPROMOTIONFocusses on content marketing: educating consumers about productsRelies heavily on Ramdevs endorsement and promotions at his yoga campsWOM plays a major roleStarted investing in mass media marketing, television commercialsPartnered with Future Group to increase visibility of its productsWorked with reputed creative agencies such as DDB, Mudra and McCann and roped in Sushil Kumar and Hema Malini for advertisements

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Growth and Expansion StrategiesStrategic AlliancesStrategic distribution tie-ups with Future Group and Reliance Retail = Instant reachTie-ups with DRDO for transfer of technology in herbal supplements and food products used at high altitudeLoyal consumer base and competitive pricing (low pricing strategy)Appeal to rural-urban aspiration and conservatism-driven consumers Anti foreign campaignsIndian madeApproached retailers and portrayed advertisements stating that Patanjalis goods are in line with Mahatma Gandhis dream of promoting Indian made goodsNo financial burden and minimal advertising budget

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Expansion StrategiesPatanjali attacked the Market leader in each category

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Growth and Expansion StrategiesTo cater to ever growing market, Patanjali allocated Rs. 3 Billion to advertising while working with reputed advertising agenciesThe company further is in talks toraise around Rs. 1000 crore in project loans so as to set up four new manufacturing plantsAs mentioned previously, they have tied up with well-known retail chains and plan to grow to 1,00,000 outlets in the next few yearsCompany focus moving towards increasing its exports to Canada, USA, Mauritius, UK among other countries and also improve online presencePatanjali will soon be launching its mobile app, which will allow:consumers to locate nearby outlets that are selling Patanjali productsFacilitate online orderingTo reach our growth target, we will venture into new categories such as dairy, animal feed and khadi garments for yoga. We will enter dairy segment this year with the launch of milk, cheese, butter milk and paneer,

- Baba Ramdev

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REVENUE 11

YearRevenues (In crore Rs)

2009-10 1632010-11 317 2011-12 4462012-13 8502013-14 1,2002014-15 2,0062015-16 5,0002016-17 10,000 (Target)

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Digital Marketing Strategy - PatanjaliDirection for Digital StrategyOvercoming existing roadblocks FDA issues, Hypocrisy, ShortsightednessContent Marketing (Yoga and Herbal Alternatives)Mobile PresenceBaba Ramdev - Influencer Marketing

Current Digital Strategy handled by Vermillion Communications and DDB Mudra

Current Digital footprint:

5,41,000 followers5.7 million likes

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Digital Media ActivitiesSocial Media Marketing YouTube, Facebook, TwitterE-commerce (Website, ZopNow, BigBasket)M-Commerce (Pluss Healthcare)

Digital Marketing Strategy - Patanjali

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WAY FORWARDTo sustain in the industry the company has to reinvent itself at every step

Strengthen Inbound logistics like raw material handling & warehousingIncrease its operational efficiency to keep costs in controlIncrease capacity of manufacturing facilities to cater to increasing consumer demand for its productsStrengthen its distribution channel to penetrate to rural marketsEstablish its brands so that consumers make repeat purchases and not one time purchaseReinventing the brands based on consumer acceptanceIncrease its presence in digital space to suit to the current era

Inbound logisticsOperationsOutbound logisticsSales & MarketingService

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THANK YOU20