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Subject- Marketing Mix
Batch- 2014-16
Submitted To: Submitted By:
Prof. Milind Fadnavis Pritam Pandey
Roll No- 2014205
Section D
2
Index
Company Profile……………………………………………………………………..…………………………..3
Product…………………………………...………………………………………………………………………4
Place……………………………………………………………………………………………………………..11
Price……………………………………...……………………………………………………………………...13
Promotion……………………………...………………………………………………………………………..13
Reference……………………………...……………………………………………………………….………..16
3
Company Profile
"Innovation, customer-focus, contemporary and responsible products"
The driving forces of Berger Paints - reflect the very spirit of its founder Lewis Berger - who laid the
foundations of brand Berger way back in 1760 in the UK. With modest beginnings in India in 1923, today,
Berger Paints India Limited is the second largest paint company in the country with a consistent track record of
being one of the fastest growing paint company, quarter on quarter, for the past few years. Undergoing a
number of changes in ownership and nomenclature in its 88 year old history in India, the company has come a
long way. Starting out as Hadfield's (India) Limited, it had just one factory in Howrah, West Bengal. By the
close of 1947, Hadfield's was acquired by British Paints (Holdings) Limited, UK and came to be known as
British Paints (India) Limited. In 1983, the name of the Company was changed to Berger Paints India Limited.
Currently, the majority stake is with the Delhi based Dhingra brothers. Berger Paints has established itself
through a long course of time. From an annual sales turnover of Rs.25 lakhs, business revenues today are in
excess of Rs.3,600 crores on a consolidated basis. Headquartered at Kolkata, with 11 strategically located
manufacturing units and about 170 sales offices( all including those belonging to the Company’s own division
and subsidiaries). The company also has an international presence in 3 countries. With an employee strength of
about 2,500 and a countrywide distribution network of 15,000+ dealers, Berger is acclaimed as a game changer
in the sector with a vibrant portfolio of paints and tailor-made customer services in every paint segment.
Apart from operations in Russia, with a production facility at the Berger manufacturing unit at Krasnodar,
Berger has also expanded its footprint in Nepal by setting up a second unit. Today, Berger's sister company in
Bangladesh is the dominant leader, with over 65% market share. In keeping with the Company's dynamic
growth plan, Berger has also acquired Bolix SA of Poland, a leading provider of External Insulation Finishing
Systems (EIFS) in Eastern Europe. As Berger continues to grow internationally, it also continues to be the
second largest paint company in India.
Berger is the lone supplier to Nuclear Power Plants with its protective coatings. The automotive sector, be it
cars or bikes, is primarily ruled by Berger's automotive coatings. Luxury cars, including Mercedes, make use of
Berger's products. Companies like Nokia use Berger's services as well. Berger has also tied up with Becker of
Sweden to manufacture coil coatings for steel surfaces.
4
Marketing Mix in relation to Berger Paints
Marketing decisions fall into four main controllable categories namely-
 Product
 Place
 Price
 Promotion
Relating these factors with respect to Berger Paints
Product
Berger is committed to offer quality products that satisfy consumers’ ultimate desires from paints with the help
of state-of–art technology. Berger always believes in one step ahead in offering new product to create more
value for customers’ money. Berger outsmarts other competitors of the market through its one step in advance
policy and innovative market offers. Berger is trying to fill up all holes of the market through offering a wide
range of products to meet the needs (Premium to Economy Paints) of different types of users and to solve the
different types of functional requirements (Industrial, Decorative & Marine). Due to shift in market growth
trends Berger is trying to establish itself in the economy segment of the paint market.
Following are the products offering by Lewis Berger Paints.
 Interior Wall Coatings
 Exterior Wall Coatings
 Berger Metal & Wood Paints
 Living Green
 Protective Coating
 Undercoats
 Construction Chemical

1. Interior Wall Coatings
Interior wall coatings is divided into three categories, namely
A. Interior Emulsions
B. Interior Wall Distempers
C. Designer Finishes
5
A. Interior Emulsions
Silk
The very name silk conveys soft to touch & feel, high sheen, aesthetics and
premiumness. Hence to consumers Silk a symbol of refined taste, lifestyle and class .
All of which come alive in Berger Silk - the first luxury emulsion introduced in India.
Silk is considered as a niche brand among the range of Berger products. It represents
premiumness, sheen, smoothness and colour which brings alive both the rich luxurious
smooth feel of silk on the walls as well the premium silk lifestyle.
Breathe Easy
‘Breathe Easy’ is the only paint which leaves no smell after painting. It has been
certified by Green Label Committee of Singapore Environment & Health Safety
Standards as eco-friendly and healthy. Additionally, it is highly cleanable and resistant
to fungus growth. All this and its impeccable sheen, make it a truly innovative product
in premium interior emulsion segment.
Rangoli Easy Clean
Rangoli Easy Clean emulsion consists of special varieties of polymers and colourants.
Its balanced composition and additives provide minimum porosity. As the emulsion is
easy to clean, it maintains its new look for years. Rangoli Easy Clean is the best option
for excellent finish at a reasonable price.
Rangoli Super Acrylic Emulsion
Rangoli Super Acrylic Emulsion is made of unique forms of co-polymers and pigments
available. These ingredients along with exclusive additives provide an optimum
dispersion level. It gives a rich matt effect and gives a superior covering when applied
for interior walls with stain guard technology.
Bison Acrylic Emulsion
Berger’s Bison Acrylic Emulsion has a smooth and stylish matt finish, making it an
ideal choice for the price conscious customer. It has twice the durability of distemper
and is suitable for a wide variety of surfaces. Made up of special colour fast pigments
with excellent anti-fading properties, it comes in a range of 10,000 shades.
6
B. Interior Wall Distempers
Bison Distemper
Bison Acrylic Distemper is a-100% water based acrylic co-polymer emulsion
designed for interior walls. Available in both factory-made ready shades and in a
tintable format, it gives surfaces an elegant and durable mat finish.
Jadoo Acrylic Distemper
Berger Paints Jadoo Acrylic Distemper is a complete water based acrylic emulsion
meant only for interior walls. It comes in a wide range of colours and is India’s most
preferred brand of paints. Jadoo provides excellent finishes to walls at a reasonably
low cost.
C. Designer Finishes
Illusions
Illusions is a unique product in its lifestyle portfolio which is designed to inspire its
customers to paint their imagination. The ultimate in stylish and modern living, the
interior wall paints enliven spaces with their fascinating patterns created with
internationally designed tools and techniques. Illusions includes designer wall
finishes from Imagine, Metallica and Marble.
Illusions Imagine
Imagine includes a range of slow drying emulsions in non-metallic and smooth
textures. The emulsions allow customization and their unique cross linking polymers
make the designs washable and easy to maintain.
Metallica
Besides walls, the Metallica range of luxurious designer finishes which is non-
blackening, is perfect for surfaces in metal and wood. With its two basic colours,
gold and silver, a myriad metallic shades can be created.
Marble
Marble is a range that offers a wide variety of textures and colours in three finishes –
satin, matt and gloss. Being 100% washable walls painted with Illusions Marble
retain their gloss even after being cleaned.
7
2. Exterior Wall Coatings
Exterior Wall Coatings are of two types
A. Exterior Emulsion
B. Primer
A. Exterior Emulsion
WeatherCoat All Guard
Silicon based paint with enhanced water resistance; WeatherCoat All Guard, a
Premium Plus Exterior Wall Paint, is the first paint in the industry to use the Silicon
Technology. Silicon is a powdered chemical which when added to paint imparts
visible water repellency to the paint film and water rolls of it keeping your house
100% rain proof. Moreover, it comes with a 7-year warranty.
WeatherCoat Smooth
WeatherCoat exterior emulsion paint made of unique pigments and additives, can
withstand extreme weather conditions. Further more, it has a unique feature called
“one way barrier” which enables the wall to breathe out moisture. It also comes with
the highest sheen from among its compatriots with Heat Resisting technology that
keeps your house upto 5 degrees cooler.
WeatherCoat Longlife
WeatherCoat Longlife, a premium plus acrylic paint for exterior walls, with its
Elastomeric property, ensures that the paint film stretches to cover hairline cracks
thus ensuring that walls a look new for longer. The paint is suitable for buildings
with hairline crack problems and structures in high rainfall areas where water
seepage occurs through hairline cracks.
WeatherCoat Tile Protektor
WeatherCoat Tile Protektor is a tough, super protective 100% acrylic latex paint
specially formulated for tiles and bricks. It is highly water resistant and protects
tiles/bricks from dampness, algae and fungi caused by lashing/heavy rain. Its unique
latex formulation gives tiles a long lasting new look.
B. Primer
WeatherCoat Biowash
A fast acting anti-fungal pre-treatment to be used prior to painting. Biowash has
been specially formulated with powerful broad spectrum biocides and fungicides
combined with detergent properties to keep exterior surfaces free from a wide
variety of microbial activity. A ready to use solution, the product can be applied on
masonry, brick, plaster and wood. Low in toxicity. Biowash maintains its stability
in high temperatures (upto 100 degrees C) and a pH range of 2 – 12.
8
Weather Coat Exterior Wall Primer
The WeatherCoat is a water based primer which is suitable for exterior surfaces.
Made of special pigments, it ensures longer life of the entire paint system. This
primer seeps through the permeable surface and seals it. Moreover it primer
provides exceptional whiteness and opacity.
3. Berger Metal & Wood Paints
It includes two products
A. Enamels
B. Clear Wood
A. Enamels
Breathe Easy Enamel
Breathe Easy Luxury water based enamel is a gloss enamel developed primarily for
use on wood and metal though it can also be applied on wall surfaces
Luxol Satin Enamel
Berger Paints Luxol Satin Enamel is a solvent based paint that is washable and long
lasting. It can be used in areas like kitchens, balconies, etc. Made out of exclusive
micro fine pigments and extenders, its silky smooth finish gives the surface a
glowing look.
Luxol High Gloss Enamel
Berger Luxol High Gloss Enamel, perfect for all surfaces both interior and exterior,
can withstand any Indian weather condition. Formulated with alkyd and select
colourants, it gives a long lasting glossy finish to every surface it touches.
Berger Butterfly GP Enamel
Butterfly Enamel meant only for interior surfaces can be applied on wooden
surfaces and select mild-steel surfaces. It is a solvent based paint which provides
maximum level of gloss and complete customer satisfaction.
Jadoo Enamel
The value for money Jadoo Enamel is a solvent based paint meant only for interior
surfaces like doors, windows, furniture and mild steel surfaces like grills. It gives
surfaces a glossy look.
9
B. Clear Wood
Woodkeeper PU Legend
Woodkeeper, meant for wooden surfaces, is available in both matt and glossy
finishes. It is an environment friendly paint as its composition is free from heavy
metals like lead. This paint is easy to maintain because of its stain proof feature. It
gives an excellent transparent finish and preserves the natural look of the wooden
surface for years.
Premium Wood Coatings from BeckerAcroma – Italy
The premium wood coatings imported from Becker Acroma, Italy enliven the
aesthetics of your household furniture and woodworks, giving both interiors and
exteriors an international look.
2-Pack (2:1) PU System
Comprising of the complete range of finishes (matt, semi-gloss and gloss), which
renders an appealing look to your furniture and table-tops, the 2:1- PU system is
based on the 'CROMO-4' technology. The technology has a rapid-curing coating
system offering a silky-smooth finish which has a scratch-resistance, a stain-guard-
resistance and toughness-flexibility balance, which gives furniture an evergreen
new look. It is also available in transparent and opaque shades.
3-Pack Polyester Coating
Based on the Italian technology, it offers a mirror-like, high-reflecting artificial
glass-look for your table-tops. It is the toughest available coating, with the best
abrasion and scratch resistance properties. It is a low-cost-maintenance coating,
requiring no additional paint application in the renovation operation.
Interiors: The parquet flooring lacquer for the interior flooring and furniture, offers
the toughest and the highly efficient abrasion-resistant coating in the low-VOC,
heavy-metal-free, child-safe coatings range. In addition to being an 'Eco-friendly'
coating, it is also a user-friendly and can be offered in 16 colours.
Exteriors: These coatings, applicable on exterior woodworks like wooden-chalets,
doors, window-frames, wooden grills, gates, etc. offer highly elastomeric and
flexible coatings, which can expand and contract along with the wood-fibres. The
coatings can withstand shuttle temperature and climatic variations, and thus retain
the evergreen new look for ages.
4. Living Green
Berger has pioneered a range of Green Products which include:
A. Water-based Wall Coatings which conform to the Indian Green Building Council (IGBC) limits of
permissible Volatile Organic Content (VOC).
B. Breathe Easy, an emulsion with very Low VOC (8.4 gm/ltr). The product, certified by the Singapore
Green Labeling Scheme (SGLS), is particularly suitable for hotels and hospitals. It is completely
10
odorless and leaves no lingering smell usually associated with freshly painted rooms. This means, rooms
painted can be used within a couple of hours post painting as no airing-out time is required. Free of
allergens and without carcinogens, it is one of the most eco-friendly wall coatings.
C. Becker Acroma range of Water Borne Wood Coatings are innovative wood coatings from Berger,
with very low VOC. The flexibility of the paint film makes it suitable for exterior applications. Berger
water borne wood coatings are environment friendly and have low VOC which makes the entire
procedure hygienic and environment friendly. Quite unlike typical wood finishes like Melamine and PU
that contain isocyanides which is poisonous and makes the hardener non-eco friendly. Its effect on
children and infants can be fatal.
D. Weather Coat Heat Insulating Paint contains heat reflective additives. These additives help reflect
thermal rays and keep the building cool resulting in energy saved and reduced heating and cooling bills.
In addition, the paint acts like an insulator for the wall providing long lasting protection against UV
degradation and atmospheric pollution.
E. Weather Coat All Guard is the only Organo-Silicone based water repellent emulsion in Indian Market.
It is known for its superior water repellence, exquisite finish and enhanced durability for exteriors.
F. Innovative Designer Textures for Exquisite Exteriors are low VOC textures. The eco friendly
textures are designed to take care of minor wall undulations and add to the aesthetics of the room. The
designer textures include Marble finishes, Metallic finishes, Spatula finish, Rustic finish, Dholpur Stone
finish, Bubble finishes, Spray finishes, Roller finishes besides others.
G. Illusions is a unique product in its lifestyle portfolio which is designed to inspire its customers to paint
their imagination. The ultimate in stylish and modern living, the interior wall paints enliven spaces with
their fascinating patterns created with internationally designed tools and techniques. Illusions includes
designer wall finishes from Imagine, Metallica and Marble.
H. WeatherCoat exterior emulsion paint made of unique pigments and additives, can withstand extreme
weather conditions. Further more, it has a unique feature called “one way barrier” which enables the
wall to breathe out moisture. It also comes with the highest sheen from among its compatriots with Heat
Resisting technology that keeps your house upto 5 degrees cooler.
Lewis Berger has also introduced undercoats and construction chemicals to increase their portfolio. In
undercoats it has different types of primer, putty and sealer to provide best service to consumer. While
11
construction chemical includes home shield latex range and is preferable for waterproofing, providing high
performance to consumer.
Place
Another major component of marketing mix is place. During our visit at BERGER I was able to include
inventory, transportation, coverage, channel, logistics and market and market segments etc. under these
marketing mix components.
Differentiated market segment
Berger’s market segments are differentiated. They use different types of marketing mix for different segments.
Their product quality, advertisement, promotional techniques, price are high for upper class customers. Again
for the people of middle class on the basis of their income, occupation, taste, lifestyle different marketing
policies are applied. We can observe this deviation in TV advertisement.
Inventory
BERGER has divided their products in A,B,C category. For inventorying their products BERGER is following
some storing norms. Depending on this storing norms company decides how long their product will stay in the
market in accordance with the existing sales trend of that particular product. This is how the firm can determine
when to order and how much to order.
Transportation
To ensure customer satisfaction BERGER uses modern and fastest going covered van as transportation carrier
while moving goods from depots to dealers. But when they move goods from factory to depots they uses public
transportation carriers such as truck and railway on rental basis.
Distribution network
With Head Office in Kolkata the company manufactures and markets a range of decorative & industrial paint
products under various product brands and has it operations spread throughout the length & breath of the
country; with seven manufacturing facilities in India and more than 85 depots, several regional & area offices,
besides four facilities overseas. It has a workforce of over 2500 employees and a countrywide distribution
network of 15000 plus dealers. The orders are collected by the sales executives and passed on to the nearest
depot. The depots are fed by regional warehouses. These depots maintain a minimum order quantity which is
arrived at from the monthly demand forecast. The material is dispatched from the depot in the name of the
dealer. Generally some orders of the same region are clubbed together and dispatched in trucks. Finally the
truck is unloaded and the small orders of the dealers are dispatched to them.
12
As the development in technology and changing definition of market Lewis Berger also introduced BERGER’s
hybrid marketing system
BERGER
Depots
Direct dealers
Retail
Wholesale
Customer
Customer
Feedback
Feedback
FeedbackFeedback
kkkkk
ProductProduct
BERGER
Customer
CustomerDirect dealer
Directchannel
Indirect channel
13
Price
In the paints industry price is the used only as a differentiator between the various segments in the same product
line. The prices of different brands in the same segment remain more or less similar, with just a difference of 30
to 40 paise per square feet. Some of the speciality products, which are not produced by all brands, may be
priced at a higher price. Pricing decisions in the paint industry largely depend on the price of the inputs like
petro products, other raw materials, excise duties and taxes and the general operating profits. Generally increase
or decrease of prices is effected across all brands in the market. Most of the paint companies offer a 5% margin
to the dealer. Due to internal competition, the dealers pass on this advantage to the customers by reducing their
own margins to 2-3%. This is a cause of concern for the paint companies because they have to keep a constant
check on the prices offered in the market. The dealers offer more of discounts and the companies are not able to
firm up the prices. Paint companies offer a lot of discounts like cash discounts, volume discounts, seasonal
discounts and allowances. The dealers take advantage of these discounts to gather more business.
Berger also came with the concept of paint calculator helps you calculate the area to be painted and gives you
an estimate of the required amount of paint, along with material and labour cost.
Promotion
The paint industry until 1999 was concentrated mostly on increasing sales by intensive trade promotion wherein
the dealers, contractors and other components of the supply chain. There was little emphasis on theme
advertising directed towards the customer. A recent trend that is emerging in the Indian paint market is that the
major brands have all identified the importance of reaching out to the common man instead of just limiting
themselves to the intermediaries.
Advertising strategy: Berger follows different strategy for developing its strategy. It depends on some
characteristics that is product life time, brand etc.
Media: Berger used different media for advertising like- on-air advertisement, television, newspaper,
magazines. The dealers are educated with the company background, products and service etc The
time to time selling incentive are given by company according to performance of dealer and market
demand.
In-Store Displays: Point-of-Purchase, Berger paints Banners, Demonstrations of color on wall, etc are provided by
the company. Temporary Price Reduction (TPR): They get margins plus some incentives promotion scheme to maintain
the dealer.
Contests: Dealer to dealer contest is kept to promote push strategy and best dealer gets the reward. Berger
paints likes to do the same within same geographic areas.
14
Sampling: Allowing the dealer to experience the product or service by providing free samples so as he can promote word of
mouth. Berger’s sales promotion consists of short-term incentives to encourage the purchase of sale of a product
or services. Berger Paint’s advertising has created brand awareness, highlighted what the brand has to offer and
has consistently brought all of it top-of-the-mind for the customer. But the outreach effort does not end there.
Berger Paints has recognized the importance of communicating to and involving key players who influence the
final brand choice. These include channel partners, contractors and painters, on whom Berger Paints focuses by
initiating and developing innovative activities and promotions. This helps build the Berger Paints family so that
customers get a high degree of personalized service and professional guidance to facilitate their final decision.
Sales Promotion: Sales Promotion is an important component of marketing communications mix. It adds an
extra value to the product and hence prompts the dealer or consumer to buy the product. In a specific sense,
sales promotion includes those sales activities that supplement both personal selling and advertising, and
coordinate them and make them effective, such as displays, shows, demonstrations and other non-recurrent
selling efforts not in the ordinary routine.
Sales promotion can be used:
 For facilitating introduction of new products
 For overcoming unique competitive situation
 For unloading accumulated inventory
 For overcoming seasonal slumps
 For getting new accounts
 For retrieving lost accounts
 As a support and supplement to the advertising effort
 As a support and supplement to the salesmen’s effort
 For persuading salesmen to sell the full line of product
 For persuading the dealer to buy more or increase the size of order
Commonly Used Tools and Techniques of Sales Promotion:
 Demonstrations
 Trade Fairs and Exhibition
 Coupons, Premiums, Free offers, Price-offs, etc
 Free samples
 Joint promotion
 Contests (consumer contests, dealer contests)
 Merchandising or Display
 Sales promotion on the internet
15
The company has been concentrating more on sales promotion than on advertising. On analyzing the customer
survey data it becomes evident that since the customer is returning to the store after an average of about three
years it is better to concentrate more on the dealers who are in the business throughout the year. Keeping this in
mind the company’s decision of doing more sales promotion than advertising stands justified. Sales promotion
can broadly be divided into two categories:
1) Customer promotion: This section includes all the sales promotion activities directed towards the
customers. Scratch cards that are provided with specific size of packages are examples. The company comes
out with many different sales promotion schemes during the festival season, especially the Durga puja festival
in Orissa and West Bengal. There are a number of gifts and schemes on the larger packs. Coupons and free gifts
are offered on packs of more than 10 kgs. The company also offers a large number of services to the customers
to assist them in their buying decisions. These services are offered on the company’s website to make it
accessible to a very wide range of customers.
2) Trade promotion: As part of the company’s policy, huge emphasis is given on trade promotion. The dealers
and contractors who are a part of the distribution chain are given special attention. The company comes up with
several incentive schemes for the dealers. The most popular schemes include cash discounts, foreign trips and
gifts such as refrigerators etc for dealers who succeed in meeting or exceeding pre-determined sales targets. The
company also organizes regional dealer meets regularly. Here the dealers are briefed about the company’s new
products and the technical details and application procedures of these products. The company also aims at
building and retaining dealer loyalty through these meetings.
16
REFERENCE
 http://www.bergerpaints.com
 http://www.tatasecurities.com/Admin/Research/635427716252958880Berger%20Paints_%20Retail%20
Research.pdf
 http://www.thepofmarketing.in/2005/10/lewis-berger-paint-your-imagination.html
 http://www.moneycontrol.com/india/stockpricequote/paintsvarnishes/bergerpaintsindia/BPI02
 http://www.hgsinteractive.com/portfolio-detail-berger.html
 http://www.scribd.com/doc/112536117/Berger-Paints-Project-Report#force_seo
 http://www.socialsamosa.com/2014/08/bergers-reminder-india-seen/
 http://www.allaboutoutdoor.com/news/News_Details.aspx?id=346
 http://www.thehindubusinessline.com/iw/2001/01/14/stories/0514e011.htm
 http://www.jamaicaobserver.com/business/Berger-colours-region-with-export-drive_13406571

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Lewis Berger Paints

  • 1. Subject- Marketing Mix Batch- 2014-16 Submitted To: Submitted By: Prof. Milind Fadnavis Pritam Pandey Roll No- 2014205 Section D
  • 2. 2 Index Company Profile……………………………………………………………………..…………………………..3 Product…………………………………...………………………………………………………………………4 Place……………………………………………………………………………………………………………..11 Price……………………………………...……………………………………………………………………...13 Promotion……………………………...………………………………………………………………………..13 Reference……………………………...……………………………………………………………….………..16
  • 3. 3 Company Profile "Innovation, customer-focus, contemporary and responsible products" The driving forces of Berger Paints - reflect the very spirit of its founder Lewis Berger - who laid the foundations of brand Berger way back in 1760 in the UK. With modest beginnings in India in 1923, today, Berger Paints India Limited is the second largest paint company in the country with a consistent track record of being one of the fastest growing paint company, quarter on quarter, for the past few years. Undergoing a number of changes in ownership and nomenclature in its 88 year old history in India, the company has come a long way. Starting out as Hadfield's (India) Limited, it had just one factory in Howrah, West Bengal. By the close of 1947, Hadfield's was acquired by British Paints (Holdings) Limited, UK and came to be known as British Paints (India) Limited. In 1983, the name of the Company was changed to Berger Paints India Limited. Currently, the majority stake is with the Delhi based Dhingra brothers. Berger Paints has established itself through a long course of time. From an annual sales turnover of Rs.25 lakhs, business revenues today are in excess of Rs.3,600 crores on a consolidated basis. Headquartered at Kolkata, with 11 strategically located manufacturing units and about 170 sales offices( all including those belonging to the Company’s own division and subsidiaries). The company also has an international presence in 3 countries. With an employee strength of about 2,500 and a countrywide distribution network of 15,000+ dealers, Berger is acclaimed as a game changer in the sector with a vibrant portfolio of paints and tailor-made customer services in every paint segment. Apart from operations in Russia, with a production facility at the Berger manufacturing unit at Krasnodar, Berger has also expanded its footprint in Nepal by setting up a second unit. Today, Berger's sister company in Bangladesh is the dominant leader, with over 65% market share. In keeping with the Company's dynamic growth plan, Berger has also acquired Bolix SA of Poland, a leading provider of External Insulation Finishing Systems (EIFS) in Eastern Europe. As Berger continues to grow internationally, it also continues to be the second largest paint company in India. Berger is the lone supplier to Nuclear Power Plants with its protective coatings. The automotive sector, be it cars or bikes, is primarily ruled by Berger's automotive coatings. Luxury cars, including Mercedes, make use of Berger's products. Companies like Nokia use Berger's services as well. Berger has also tied up with Becker of Sweden to manufacture coil coatings for steel surfaces.
  • 4. 4 Marketing Mix in relation to Berger Paints Marketing decisions fall into four main controllable categories namely-  Product  Place  Price  Promotion Relating these factors with respect to Berger Paints Product Berger is committed to offer quality products that satisfy consumers’ ultimate desires from paints with the help of state-of–art technology. Berger always believes in one step ahead in offering new product to create more value for customers’ money. Berger outsmarts other competitors of the market through its one step in advance policy and innovative market offers. Berger is trying to fill up all holes of the market through offering a wide range of products to meet the needs (Premium to Economy Paints) of different types of users and to solve the different types of functional requirements (Industrial, Decorative & Marine). Due to shift in market growth trends Berger is trying to establish itself in the economy segment of the paint market. Following are the products offering by Lewis Berger Paints.  Interior Wall Coatings  Exterior Wall Coatings  Berger Metal & Wood Paints  Living Green  Protective Coating  Undercoats  Construction Chemical  1. Interior Wall Coatings Interior wall coatings is divided into three categories, namely A. Interior Emulsions B. Interior Wall Distempers C. Designer Finishes
  • 5. 5 A. Interior Emulsions Silk The very name silk conveys soft to touch & feel, high sheen, aesthetics and premiumness. Hence to consumers Silk a symbol of refined taste, lifestyle and class . All of which come alive in Berger Silk - the first luxury emulsion introduced in India. Silk is considered as a niche brand among the range of Berger products. It represents premiumness, sheen, smoothness and colour which brings alive both the rich luxurious smooth feel of silk on the walls as well the premium silk lifestyle. Breathe Easy ‘Breathe Easy’ is the only paint which leaves no smell after painting. It has been certified by Green Label Committee of Singapore Environment & Health Safety Standards as eco-friendly and healthy. Additionally, it is highly cleanable and resistant to fungus growth. All this and its impeccable sheen, make it a truly innovative product in premium interior emulsion segment. Rangoli Easy Clean Rangoli Easy Clean emulsion consists of special varieties of polymers and colourants. Its balanced composition and additives provide minimum porosity. As the emulsion is easy to clean, it maintains its new look for years. Rangoli Easy Clean is the best option for excellent finish at a reasonable price. Rangoli Super Acrylic Emulsion Rangoli Super Acrylic Emulsion is made of unique forms of co-polymers and pigments available. These ingredients along with exclusive additives provide an optimum dispersion level. It gives a rich matt effect and gives a superior covering when applied for interior walls with stain guard technology. Bison Acrylic Emulsion Berger’s Bison Acrylic Emulsion has a smooth and stylish matt finish, making it an ideal choice for the price conscious customer. It has twice the durability of distemper and is suitable for a wide variety of surfaces. Made up of special colour fast pigments with excellent anti-fading properties, it comes in a range of 10,000 shades.
  • 6. 6 B. Interior Wall Distempers Bison Distemper Bison Acrylic Distemper is a-100% water based acrylic co-polymer emulsion designed for interior walls. Available in both factory-made ready shades and in a tintable format, it gives surfaces an elegant and durable mat finish. Jadoo Acrylic Distemper Berger Paints Jadoo Acrylic Distemper is a complete water based acrylic emulsion meant only for interior walls. It comes in a wide range of colours and is India’s most preferred brand of paints. Jadoo provides excellent finishes to walls at a reasonably low cost. C. Designer Finishes Illusions Illusions is a unique product in its lifestyle portfolio which is designed to inspire its customers to paint their imagination. The ultimate in stylish and modern living, the interior wall paints enliven spaces with their fascinating patterns created with internationally designed tools and techniques. Illusions includes designer wall finishes from Imagine, Metallica and Marble. Illusions Imagine Imagine includes a range of slow drying emulsions in non-metallic and smooth textures. The emulsions allow customization and their unique cross linking polymers make the designs washable and easy to maintain. Metallica Besides walls, the Metallica range of luxurious designer finishes which is non- blackening, is perfect for surfaces in metal and wood. With its two basic colours, gold and silver, a myriad metallic shades can be created. Marble Marble is a range that offers a wide variety of textures and colours in three finishes – satin, matt and gloss. Being 100% washable walls painted with Illusions Marble retain their gloss even after being cleaned.
  • 7. 7 2. Exterior Wall Coatings Exterior Wall Coatings are of two types A. Exterior Emulsion B. Primer A. Exterior Emulsion WeatherCoat All Guard Silicon based paint with enhanced water resistance; WeatherCoat All Guard, a Premium Plus Exterior Wall Paint, is the first paint in the industry to use the Silicon Technology. Silicon is a powdered chemical which when added to paint imparts visible water repellency to the paint film and water rolls of it keeping your house 100% rain proof. Moreover, it comes with a 7-year warranty. WeatherCoat Smooth WeatherCoat exterior emulsion paint made of unique pigments and additives, can withstand extreme weather conditions. Further more, it has a unique feature called “one way barrier” which enables the wall to breathe out moisture. It also comes with the highest sheen from among its compatriots with Heat Resisting technology that keeps your house upto 5 degrees cooler. WeatherCoat Longlife WeatherCoat Longlife, a premium plus acrylic paint for exterior walls, with its Elastomeric property, ensures that the paint film stretches to cover hairline cracks thus ensuring that walls a look new for longer. The paint is suitable for buildings with hairline crack problems and structures in high rainfall areas where water seepage occurs through hairline cracks. WeatherCoat Tile Protektor WeatherCoat Tile Protektor is a tough, super protective 100% acrylic latex paint specially formulated for tiles and bricks. It is highly water resistant and protects tiles/bricks from dampness, algae and fungi caused by lashing/heavy rain. Its unique latex formulation gives tiles a long lasting new look. B. Primer WeatherCoat Biowash A fast acting anti-fungal pre-treatment to be used prior to painting. Biowash has been specially formulated with powerful broad spectrum biocides and fungicides combined with detergent properties to keep exterior surfaces free from a wide variety of microbial activity. A ready to use solution, the product can be applied on masonry, brick, plaster and wood. Low in toxicity. Biowash maintains its stability in high temperatures (upto 100 degrees C) and a pH range of 2 – 12.
  • 8. 8 Weather Coat Exterior Wall Primer The WeatherCoat is a water based primer which is suitable for exterior surfaces. Made of special pigments, it ensures longer life of the entire paint system. This primer seeps through the permeable surface and seals it. Moreover it primer provides exceptional whiteness and opacity. 3. Berger Metal & Wood Paints It includes two products A. Enamels B. Clear Wood A. Enamels Breathe Easy Enamel Breathe Easy Luxury water based enamel is a gloss enamel developed primarily for use on wood and metal though it can also be applied on wall surfaces Luxol Satin Enamel Berger Paints Luxol Satin Enamel is a solvent based paint that is washable and long lasting. It can be used in areas like kitchens, balconies, etc. Made out of exclusive micro fine pigments and extenders, its silky smooth finish gives the surface a glowing look. Luxol High Gloss Enamel Berger Luxol High Gloss Enamel, perfect for all surfaces both interior and exterior, can withstand any Indian weather condition. Formulated with alkyd and select colourants, it gives a long lasting glossy finish to every surface it touches. Berger Butterfly GP Enamel Butterfly Enamel meant only for interior surfaces can be applied on wooden surfaces and select mild-steel surfaces. It is a solvent based paint which provides maximum level of gloss and complete customer satisfaction. Jadoo Enamel The value for money Jadoo Enamel is a solvent based paint meant only for interior surfaces like doors, windows, furniture and mild steel surfaces like grills. It gives surfaces a glossy look.
  • 9. 9 B. Clear Wood Woodkeeper PU Legend Woodkeeper, meant for wooden surfaces, is available in both matt and glossy finishes. It is an environment friendly paint as its composition is free from heavy metals like lead. This paint is easy to maintain because of its stain proof feature. It gives an excellent transparent finish and preserves the natural look of the wooden surface for years. Premium Wood Coatings from BeckerAcroma – Italy The premium wood coatings imported from Becker Acroma, Italy enliven the aesthetics of your household furniture and woodworks, giving both interiors and exteriors an international look. 2-Pack (2:1) PU System Comprising of the complete range of finishes (matt, semi-gloss and gloss), which renders an appealing look to your furniture and table-tops, the 2:1- PU system is based on the 'CROMO-4' technology. The technology has a rapid-curing coating system offering a silky-smooth finish which has a scratch-resistance, a stain-guard- resistance and toughness-flexibility balance, which gives furniture an evergreen new look. It is also available in transparent and opaque shades. 3-Pack Polyester Coating Based on the Italian technology, it offers a mirror-like, high-reflecting artificial glass-look for your table-tops. It is the toughest available coating, with the best abrasion and scratch resistance properties. It is a low-cost-maintenance coating, requiring no additional paint application in the renovation operation. Interiors: The parquet flooring lacquer for the interior flooring and furniture, offers the toughest and the highly efficient abrasion-resistant coating in the low-VOC, heavy-metal-free, child-safe coatings range. In addition to being an 'Eco-friendly' coating, it is also a user-friendly and can be offered in 16 colours. Exteriors: These coatings, applicable on exterior woodworks like wooden-chalets, doors, window-frames, wooden grills, gates, etc. offer highly elastomeric and flexible coatings, which can expand and contract along with the wood-fibres. The coatings can withstand shuttle temperature and climatic variations, and thus retain the evergreen new look for ages. 4. Living Green Berger has pioneered a range of Green Products which include: A. Water-based Wall Coatings which conform to the Indian Green Building Council (IGBC) limits of permissible Volatile Organic Content (VOC). B. Breathe Easy, an emulsion with very Low VOC (8.4 gm/ltr). The product, certified by the Singapore Green Labeling Scheme (SGLS), is particularly suitable for hotels and hospitals. It is completely
  • 10. 10 odorless and leaves no lingering smell usually associated with freshly painted rooms. This means, rooms painted can be used within a couple of hours post painting as no airing-out time is required. Free of allergens and without carcinogens, it is one of the most eco-friendly wall coatings. C. Becker Acroma range of Water Borne Wood Coatings are innovative wood coatings from Berger, with very low VOC. The flexibility of the paint film makes it suitable for exterior applications. Berger water borne wood coatings are environment friendly and have low VOC which makes the entire procedure hygienic and environment friendly. Quite unlike typical wood finishes like Melamine and PU that contain isocyanides which is poisonous and makes the hardener non-eco friendly. Its effect on children and infants can be fatal. D. Weather Coat Heat Insulating Paint contains heat reflective additives. These additives help reflect thermal rays and keep the building cool resulting in energy saved and reduced heating and cooling bills. In addition, the paint acts like an insulator for the wall providing long lasting protection against UV degradation and atmospheric pollution. E. Weather Coat All Guard is the only Organo-Silicone based water repellent emulsion in Indian Market. It is known for its superior water repellence, exquisite finish and enhanced durability for exteriors. F. Innovative Designer Textures for Exquisite Exteriors are low VOC textures. The eco friendly textures are designed to take care of minor wall undulations and add to the aesthetics of the room. The designer textures include Marble finishes, Metallic finishes, Spatula finish, Rustic finish, Dholpur Stone finish, Bubble finishes, Spray finishes, Roller finishes besides others. G. Illusions is a unique product in its lifestyle portfolio which is designed to inspire its customers to paint their imagination. The ultimate in stylish and modern living, the interior wall paints enliven spaces with their fascinating patterns created with internationally designed tools and techniques. Illusions includes designer wall finishes from Imagine, Metallica and Marble. H. WeatherCoat exterior emulsion paint made of unique pigments and additives, can withstand extreme weather conditions. Further more, it has a unique feature called “one way barrier” which enables the wall to breathe out moisture. It also comes with the highest sheen from among its compatriots with Heat Resisting technology that keeps your house upto 5 degrees cooler. Lewis Berger has also introduced undercoats and construction chemicals to increase their portfolio. In undercoats it has different types of primer, putty and sealer to provide best service to consumer. While
  • 11. 11 construction chemical includes home shield latex range and is preferable for waterproofing, providing high performance to consumer. Place Another major component of marketing mix is place. During our visit at BERGER I was able to include inventory, transportation, coverage, channel, logistics and market and market segments etc. under these marketing mix components. Differentiated market segment Berger’s market segments are differentiated. They use different types of marketing mix for different segments. Their product quality, advertisement, promotional techniques, price are high for upper class customers. Again for the people of middle class on the basis of their income, occupation, taste, lifestyle different marketing policies are applied. We can observe this deviation in TV advertisement. Inventory BERGER has divided their products in A,B,C category. For inventorying their products BERGER is following some storing norms. Depending on this storing norms company decides how long their product will stay in the market in accordance with the existing sales trend of that particular product. This is how the firm can determine when to order and how much to order. Transportation To ensure customer satisfaction BERGER uses modern and fastest going covered van as transportation carrier while moving goods from depots to dealers. But when they move goods from factory to depots they uses public transportation carriers such as truck and railway on rental basis. Distribution network With Head Office in Kolkata the company manufactures and markets a range of decorative & industrial paint products under various product brands and has it operations spread throughout the length & breath of the country; with seven manufacturing facilities in India and more than 85 depots, several regional & area offices, besides four facilities overseas. It has a workforce of over 2500 employees and a countrywide distribution network of 15000 plus dealers. The orders are collected by the sales executives and passed on to the nearest depot. The depots are fed by regional warehouses. These depots maintain a minimum order quantity which is arrived at from the monthly demand forecast. The material is dispatched from the depot in the name of the dealer. Generally some orders of the same region are clubbed together and dispatched in trucks. Finally the truck is unloaded and the small orders of the dealers are dispatched to them.
  • 12. 12 As the development in technology and changing definition of market Lewis Berger also introduced BERGER’s hybrid marketing system BERGER Depots Direct dealers Retail Wholesale Customer Customer Feedback Feedback FeedbackFeedback kkkkk ProductProduct BERGER Customer CustomerDirect dealer Directchannel Indirect channel
  • 13. 13 Price In the paints industry price is the used only as a differentiator between the various segments in the same product line. The prices of different brands in the same segment remain more or less similar, with just a difference of 30 to 40 paise per square feet. Some of the speciality products, which are not produced by all brands, may be priced at a higher price. Pricing decisions in the paint industry largely depend on the price of the inputs like petro products, other raw materials, excise duties and taxes and the general operating profits. Generally increase or decrease of prices is effected across all brands in the market. Most of the paint companies offer a 5% margin to the dealer. Due to internal competition, the dealers pass on this advantage to the customers by reducing their own margins to 2-3%. This is a cause of concern for the paint companies because they have to keep a constant check on the prices offered in the market. The dealers offer more of discounts and the companies are not able to firm up the prices. Paint companies offer a lot of discounts like cash discounts, volume discounts, seasonal discounts and allowances. The dealers take advantage of these discounts to gather more business. Berger also came with the concept of paint calculator helps you calculate the area to be painted and gives you an estimate of the required amount of paint, along with material and labour cost. Promotion The paint industry until 1999 was concentrated mostly on increasing sales by intensive trade promotion wherein the dealers, contractors and other components of the supply chain. There was little emphasis on theme advertising directed towards the customer. A recent trend that is emerging in the Indian paint market is that the major brands have all identified the importance of reaching out to the common man instead of just limiting themselves to the intermediaries. Advertising strategy: Berger follows different strategy for developing its strategy. It depends on some characteristics that is product life time, brand etc. Media: Berger used different media for advertising like- on-air advertisement, television, newspaper, magazines. The dealers are educated with the company background, products and service etc The time to time selling incentive are given by company according to performance of dealer and market demand. In-Store Displays: Point-of-Purchase, Berger paints Banners, Demonstrations of color on wall, etc are provided by the company. Temporary Price Reduction (TPR): They get margins plus some incentives promotion scheme to maintain the dealer. Contests: Dealer to dealer contest is kept to promote push strategy and best dealer gets the reward. Berger paints likes to do the same within same geographic areas.
  • 14. 14 Sampling: Allowing the dealer to experience the product or service by providing free samples so as he can promote word of mouth. Berger’s sales promotion consists of short-term incentives to encourage the purchase of sale of a product or services. Berger Paint’s advertising has created brand awareness, highlighted what the brand has to offer and has consistently brought all of it top-of-the-mind for the customer. But the outreach effort does not end there. Berger Paints has recognized the importance of communicating to and involving key players who influence the final brand choice. These include channel partners, contractors and painters, on whom Berger Paints focuses by initiating and developing innovative activities and promotions. This helps build the Berger Paints family so that customers get a high degree of personalized service and professional guidance to facilitate their final decision. Sales Promotion: Sales Promotion is an important component of marketing communications mix. It adds an extra value to the product and hence prompts the dealer or consumer to buy the product. In a specific sense, sales promotion includes those sales activities that supplement both personal selling and advertising, and coordinate them and make them effective, such as displays, shows, demonstrations and other non-recurrent selling efforts not in the ordinary routine. Sales promotion can be used:  For facilitating introduction of new products  For overcoming unique competitive situation  For unloading accumulated inventory  For overcoming seasonal slumps  For getting new accounts  For retrieving lost accounts  As a support and supplement to the advertising effort  As a support and supplement to the salesmen’s effort  For persuading salesmen to sell the full line of product  For persuading the dealer to buy more or increase the size of order Commonly Used Tools and Techniques of Sales Promotion:  Demonstrations  Trade Fairs and Exhibition  Coupons, Premiums, Free offers, Price-offs, etc  Free samples  Joint promotion  Contests (consumer contests, dealer contests)  Merchandising or Display  Sales promotion on the internet
  • 15. 15 The company has been concentrating more on sales promotion than on advertising. On analyzing the customer survey data it becomes evident that since the customer is returning to the store after an average of about three years it is better to concentrate more on the dealers who are in the business throughout the year. Keeping this in mind the company’s decision of doing more sales promotion than advertising stands justified. Sales promotion can broadly be divided into two categories: 1) Customer promotion: This section includes all the sales promotion activities directed towards the customers. Scratch cards that are provided with specific size of packages are examples. The company comes out with many different sales promotion schemes during the festival season, especially the Durga puja festival in Orissa and West Bengal. There are a number of gifts and schemes on the larger packs. Coupons and free gifts are offered on packs of more than 10 kgs. The company also offers a large number of services to the customers to assist them in their buying decisions. These services are offered on the company’s website to make it accessible to a very wide range of customers. 2) Trade promotion: As part of the company’s policy, huge emphasis is given on trade promotion. The dealers and contractors who are a part of the distribution chain are given special attention. The company comes up with several incentive schemes for the dealers. The most popular schemes include cash discounts, foreign trips and gifts such as refrigerators etc for dealers who succeed in meeting or exceeding pre-determined sales targets. The company also organizes regional dealer meets regularly. Here the dealers are briefed about the company’s new products and the technical details and application procedures of these products. The company also aims at building and retaining dealer loyalty through these meetings.
  • 16. 16 REFERENCE  http://www.bergerpaints.com  http://www.tatasecurities.com/Admin/Research/635427716252958880Berger%20Paints_%20Retail%20 Research.pdf  http://www.thepofmarketing.in/2005/10/lewis-berger-paint-your-imagination.html  http://www.moneycontrol.com/india/stockpricequote/paintsvarnishes/bergerpaintsindia/BPI02  http://www.hgsinteractive.com/portfolio-detail-berger.html  http://www.scribd.com/doc/112536117/Berger-Paints-Project-Report#force_seo  http://www.socialsamosa.com/2014/08/bergers-reminder-india-seen/  http://www.allaboutoutdoor.com/news/News_Details.aspx?id=346  http://www.thehindubusinessline.com/iw/2001/01/14/stories/0514e011.htm  http://www.jamaicaobserver.com/business/Berger-colours-region-with-export-drive_13406571