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MOSQUITO REPELLENT INDUSTRY- OVERVIEW Its sole reason for existence in the market is the omnipresent mosquito, which makes life excruciatingly difficult for the average Indian during summer and monsoon months. In many ways the primary factor fuelling the explosive growth of this market characterized by low brand loyalty and low product involvement has been the availability of cost-effective, mosquito repellents. The night-long noisy drone of mosquitoes that disturbs our sleep is music to the ears of the Rs1, 100-crore mosquito repellent industry. The various segments in this industry are coils, mats, vaporizers , aerosols and creams. The two new segments are personal sprays and gels. The category-wise market shares: Coils command nearly 50 per cent of the market share, vaporizer refill sat 20 per cent, with mats at 10 per cent followed by aerosols at 9 per cent and the rest shared by creams, heating devices and other products. Segment Wise Market Share The market for insecticides and repellents has grown by 20 per cent in2003-04 and is estimated to grow at about 20%. The rural market for mosquito repellents is reckoned at around Rs. 173 million against a mere Rs 79 million in urban centre. The market leader of the industry is Godrej Sara Lee Ltd. with brands like Good Knight, Jet and Hit enjoying a market share of 40% THE EVOLUTION: Coils were the first mosquito repellants to be introduced in the Indian market. The first brand of coils was Tortoise, launched by Bombay Chemicals Ltd. (BCL) in the 1970s. In the 1980s Good Knight was launched and mats used with electronic mosquito destroyers became extremely effective. In the mid 1990s Karamchand Appliances created anew segment of vaporizers with the launch of All Out. .This segment was almost completely dominated by KAPL. GSLL (Godrej Sara Lee Limited)could no longer ignore this growing segment and launched its own vaporizer under the Good Knight brand in 1996-97. In the latter half of the 1990s, the market became much more competitive, with the entry of GSLL , Reckitt Benckiser and HLL. GSLL launched an array of brands (all coils) like Jet Fighter (1997),Good Knight Jumbo (1999) and Good Knight Instant one after the other The company's other brands included Banish (mats), Hit (aerosols), Hit Lines (chalks), Mosfree (lotion) and Hexit (spray).while Reckitt also launched its range of mats and coils. These new entrants resorted to heavy advertising and aggressive sales promotion tactics. Recently two new categories of personal sprays and gels have emerged.

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MOSQUITO REPELLENT INDUSTRY- OVERVIEW Its sole reason for existence in the market is the omnipresent mosquito, which makes life excruciatingly difficult for the average Indian during summer and

monsoon months. In many ways the primary factor fuelling the explosive growth

of this market – characterized by low brand loyalty and low product involvement –has been the availability of cost-effective, mosquito repellents. The night-long

noisy drone of mosquitoes that disturbs our sleep is music to the ears of the Rs1,

100-crore mosquito repellent industry. The various segments in this industry are coils, mats, vaporizers , aerosols and creams. The two new segments are personal

sprays and gels. The category-wise market shares: Coils command nearly 50 per

cent of the market share, vaporizer refill sat 20 per cent, with mats at 10 per cent followed by aerosols at 9 per cent and the rest shared by creams, heating devices

and other products.

Segment Wise Market Share

The market for insecticides and repellents has grown by 20 per cent in2003-04

and is estimated to grow at about 20%. The rural market for mosquito repellents

is reckoned at around Rs. 173 million against a mere Rs 79 million in urban centre. The market leader of the industry is Godrej Sara Lee Ltd. with brands like

Good Knight, Jet and Hit enjoying a market share of 40%

THE EVOLUTION: Coils were the first mosquito repellants to be introduced in the Indian market. The first brand of coils was Tortoise, launched by Bombay Chemicals Ltd. (BCL)

in the 1970s. In the 1980s Good Knight was launched and mats used with

electronic mosquito destroyers became extremely effective. In the mid 1990s Karamchand Appliances created anew segment of vaporizers with the launch of

All Out. .This segment was almost completely dominated by KAPL. GSLL

(Godrej Sara Lee Limited)could no longer ignore this growing segment and launched its own vaporizer under the Good Knight brand in 1996-97.

In the latter half of the 1990s, the market became much more competitive, with the entry of GSLL , Reckitt Benckiser and HLL. GSLL launched an array of

brands (all coils) like Jet Fighter (1997),Good Knight Jumbo (1999) and Good

Knight Instant one after the other The company's other brands included Banish (mats), Hit (aerosols), Hit Lines (chalks), Mosfree (lotion) and Hexit

(spray).while Reckitt also launched its range of mats and coils. These new

entrants resorted to heavy advertising and aggressive sales promotion tactics. Recently two new categories of personal sprays and gels have emerged.

MAJOR PLAYERS

KARAMCHAND APPLIANCES PRIVATE LTD. – ALL OUT GODREJ SARA LEE LTD- GOOD NIGHT, JET, BANISH, HIT RECKITT BENCKISER-

MORTEIN JYOTHY LABORATORIES- MAXO TAINWALA PERSONAL

CARE PRODUCTS- CASPERBOMBAY CHEMICALS- TORTOISE

COMPANY’S SHARE SEGMENT WISE coil market: Market leader: Mortein (35%) from Reckitt Benckiser

India Ltd Market Challenger: Good Knight with a share of 30%Market Follower:

Maxo from Jyothy Laboratories' is rapidly increasing its share.

refill market: Market leader: All Out brand from Karamchand

Appliances Pvt Ltd.(65%)Market Challenger: Good Knight and Jet from Godrej Sara Lee Ltd.

together account for 24% of the vaporizer segment. Market Follower: Mortein

Vaporizer by Reckitt Benckiser has a market share of about 5-7%.

and aerosol categories: Market leader: Godrej Sara Lee leads the market

with its brands Good Knight Silver mat (68%) in mats and Hit (aerosol).Market

Follower: Mortein‟s share in mats is estimated at roughly15%. KARAMCHAND APPLIANCES PRIVATE LTD.

ALLOUT The name All Out is almost a generic name for Liquid Vaporizers(vaporizers), a

segment of Rs.22O crores in the mosquito repellent industry in India. All out is the market leader in this segment with a 70percent market share in 2001. KAPL

was almost solely responsible for creating this segment. Within a decade of its

launch, All Out had converted a large number of customers into vaporizer users.

Allout‟s sales reached Rs 253 million in 1996-97. GSLL could no longer ignore

this growing segment and launched its own vaporizer under the Good Knight brand in 1996-97. Although the initial success of All Out was largely due to

technological innovation and first-mover advantages, it was widely believed that

what had kept the brand going was strong marketing. KAPL decided to handle the advertising for All Out on its own, surprising many industry watchers and

drawing criticism from some ad agencies. However, the company surprised

everybody with the launch of a campaign featuring an animated, jumping frog (actually an All Out vaporizer) eating mosquitoes, which proved to be immensely

successful. In 1998, KAPL came out with a Rs 99 pack consisting of the Pluggy

and a refill. The deal, called the 'deadly offer' was backed by heavy advertising. . After KAPL's 'deadly exchange scheme,' Good Knight's share decreased by 9.3%

in volume terms between September 1999 and February 2000.KAPL's

distribution network consisted of around 120 distributors across the country. Of the 900,000 outlets across the country, that sold repellants, KAPL was available

in only 18%. As this was significantly lower than the 55% figure for R&C and

54% for GSSL, KAPL is working towards increasing its presence. GODREJ SARA LEE LTD

GOOD KNIGHT

Godrej Sara Lee Ltd. is a 450 crore turnover company with brands like Good

Knight, Jet and Hit. It is the market leader in the mats segment with a share of

68% in May 2000. Good Knight has become the most preferred mosquito

repellent solution in the country. The Good Knight brand was launched by

Transelektra Domestic Products Ltd (TDPL) in 1984. The product was innovative

and perfectly priced. Good Knight worked on a long term strategy that would

capitalize on its long-established equity. In the mid 1990s, Good Knight faced

growing competition from new coil and vaporizer products. To counter this

thrust, Good Knight re-launched its mat first as Super mat and finally as Good

Knight Silver mat in 2003, with contemporary packing, superior technology and

using a high decibel campaign. Today Good Knight Silver mat is a market leader

with 62% market share. By 1999, Good Knight also joined the battle for the coils

by launching its red coil variant. Since Good Knight was seen to be a hi-tech

brand and coils were regarded as an entry-level product, the company made sure

that it did not suffer a downgrade in consumer perception. It branded its version

as a value-added product, which lasted ten hours(compared to eight hours in the

case of most others). The colour red was meant to convey power. . The red coil

category created by Good Knight is growing and has cornered 50% of the coil

market. Good Knight entered the vaporizer segment in 1995 by launching Good

Knight liquidator and Liquid Mosquito Destroyer (LMD)machine, together as a

combo-pack. In a short span of three years, Good Knight liquidator managed a

share of 24% of the vaporizer market and 32% of LMD market based on the

strength of the Good Knight equity. The Good Knight Vaporizer lasted 30-45

days and just had to be plugged in. Good Knight Turbo refill, a technologically

superior product, was launched in 2004. It was the right time for Good Knight to

take the plunge and gun for market leadership. The most important USP for Good

Knight is its brand equity, built over a decade by its products and brand

communication. RECKITT BENCKISER

MORTEIN

Rs 585-crore Reckitt Benckiser in India is high profile particularly because it has a range of popular products. Reckitt launched mosquito repellent coils and mats

under the brand name Mortein in1994.

Mortein is also available in liquid and aerosol spray forms. Mortein is the number two pest-control brand in the country Mortein sales grew by 9.2% in

F12/01, as against market growth of 9%.Mortein Coil sales grew by 14.5%

despite stiff competition in the category. For Mortein the strategy is to increase penetration of coils, enhance brand salience of other variants and tap niche

segments through a stream of innovations. Another target for 2001 is to gather a

legitimate share among vaporizers -- from 1.5 per cent to a double digit figure. Mortein's share in mats is estimated at roughly 15 per cent.

WHY WE CHOSE TO LAUNCH A VAPORIZER?

1) Market Growing: The market for vaporizers has grown from 5% in1999 to 20% in 2004. It is

expected to grow even further since vaporizer sare becoming economical and people are realizing the disadvantages of using coils and mats.

2) Safer And Convenient: Vaporizers are safer than coils since they just have to be switched on. They are

far more convenient as well. Many people complain of breathing problems with

coils which is eliminated through vaporizers.

3) Economical: Vaporizer is considered to be a premium product but if you compare the prices of

the coils and vaporizers today than there is not much difference. Consumers have to bear the initial cost of a machine which is a one time cost and the per day cost

of the refill is even lower than the coils.

people complain of breathing problems with coils which is eliminated through vaporizers.

3) Economical: Vaporizer is considered to be a premium product but if you compare the prices of the coils and vaporizers today than there is not much difference. Consumers have

to bear the initial cost of a machine which is a one time cost and the per day cost

of the refill is even lower than the coils.

PORTERS 5 FORCE MODEL

1) Threat of competitors

The threat of competitors is high because there are a lot of players in the market

and two new segments that is personal sprays and gels have come in which will

increase the existing competition. Also existing players are entering new

segments which increase the competition like Casper entering the vaporizer

segment and Good Knight the personal spray and gel segment.

2) Threat of New Entrants New entrants to an industry can raise the level of competition, which depends mainly on the barriers to entry. In case of mosquito repellent industry the entry

barriers are low since the costs to set up the plant is not very high. The exit

barriers are low and thereby firms can enter and exit easily.

3) Threat of Substitute Products The presence of substitutes can dilute the attractiveness of a particular industry. The threat of substitute products is low. The substitutes for mosquito repellent

would be agarbattis and dhoop that are used in villages. There are not many

substitutes available.

4) Threat of Buyers Bargaining Power The buyer‟s bargaining power is low since they cannot influence the prices to such a great deal. They have to purchase the product at whatever prices available.

5) Threat of Supplier’s Bargaining Power The cost of items bought from suppliers can have a significant impact on the

company‟s profitability. The threat of supplier‟s bargaining is moderate. We can

get our raw materials since they are herbal and can be easily available. But certain oils are not available everywhere which increases the supplier‟s bargaining

power.

FUTURE

According to industry reports, the Indian mosquito repellant market was expected to grow rapidly. Analysts said that with improvement in literacy and health

consciousness in rural areas, the use of mosquito repellants was expected to

increase substantially in these areas. As the per capita usage of repellants was very low in the country, there was considerable scope for the market to expand.

LAUNCH OF A MOSQUITO REPELLENT- FIGHTERABOUT FIGHTER Our product is a mosquito repellent vaporizer machine and its refill. The machine

has an added feature of being operated with AA battery. This battery if used

everyday will work for about 45 days. So it can be use deven without electricity and can be used outdoors as well; for example tents, cars, etc. The refill will be

available in 25ml pack which will last 30nights, 35ml which will last about 45

nights and 45ml lasting 60 nights subject it is used for 8 hours every night. The liquid is light green in color. The vaporizer liquid is herbal. It is very economical.

Some of the benefits of our product are :

1) Effective evacuation of mosquitoes 2) No irritation of eyes

3) No hoarseness of throat,

4) No headaches and 5) No allergies.

Due to complex structure of herbal extracts in our vaporizer liquid, mosquito do not develop immunity/resistance towards it like synthetic toxicants.

USP: The USP of our product is that it is the most effective herbal vaporizer which has

an added feature of being operated with a battery.

INGREDIENTS:

The ingredients of our product are:

•Eucalyptus extract containing 50% p-methane-3 and 8-diol(PMD) •Lemongrass oil

•Citronella oil

•Tulasi oil •Clove extract

•Palmarosa oil

MANUFACTURING PLANT: Our manufacturing plant will be set up in Daman because we will be exempted

for sales tax for a period of 15 yrs as well as it is in the centre which will save our transportation costs.

MARKETING MIX1) PRODUCT:SEGMENTATION Geographic: Initially using the geographic variable Fighter has segmented the

market into the western belt that is the states of Gujarat, Maharashtra, Karnataka,

Kerala and the union territories of Goa and Daman, Diu. Psychographic: It has also segmented on the lifestyle variable, for people who have an adventurous

lifestyle who can carry our vaporizer at their outings. Socio-economic

Classification: SEC A, SEC B and SEC C. We have also included SEC C because vaporizer is considered to be a premium product but we want FIGHTER to be

used by SEC C as well since it is economical compared to the other vaporizers in

the market. Behavioural : Fighter has segmented on the benefit variable by providing the benefit of being protected from mosquitoes. Fighter has also

segmented on the basis of occasion where it can used on occasions like camps,

outings provided used in a closed area.

TARGETING Our target market is SEC A, SEC B and SEC C. Income: Rs. 60,000+ p.a.

We would aim to target our customer which wi ll be a woman

because Fighter is a household product and usually the woman buys it.

POSITIONING STATEMENT

Fighter is primarily positioned as “A battery operated herbal

vaporizer w h i c h i s t h e m o s t e f f e c t i v e t o r e p e l m o s q u i t o e s , a b s o l u t e l y s a f e , convenient and economical which protects you always.”

PRODUCT DIFFERENTIATION

Our product is one of its kinds. Most of the other vaporizers are chemicalb a s e d , w h e r e a s w e a r e t h e f i r s t m o v e r s t o h a v e a

c o m p l e t e h e r b a l vaporizer. We have an added feature of a

battery as well. Most of the other vaporizers become ineffective if there are power cuts but FIGHTER overcomes this problem.

POSITIOINING STRATEGY

Our positioning strategy is benefit positioning since we want to be known as the most effective herbal vaporizer.

2) PRICE

The price of our combi-pack is Rs. 67/-.The price of the 25ml

refi l l isRs.32/- 35ml refill is Rs.42/- and 45ml refill is Rs.52/-.Our pricing strategy is Penetration Pricing because we want to sell high

v o lu m es wh i c h wi l l r e s u l t i n h i g h l o n g -

r u n p r o f i t s . Th e p r i c e o f o u r product is low as compared to our competitors mainly because we are using herbal products and thereby our

manufacturing costs are low.

We w a n t t o p e n e t r a t e i n t o t h e m a r k e t a n d w a n t t o b e k n ow n a s t h e a product which is value for money.

3) PLACE

We have a three-tier distribution system which includes MANUFACTURER-

DISTRIBUTOR- STOCKIST-WHOLESALER-RETAILER The margins are as follows

We will appoint distributors as per the density of population in the state sand the est imated demand. Maharashtra and Goa together being

them o s t p o p u la t ed wi l l h a v e 4 d i s t r i b u t o r s . O n e f o r M u m b a i ,

o n e f o r northern Maharastra, one for central and one for southern Maharashtra and Goa. Gujarat will have three distributors one each for north,

centraland south. Karnataka will have two distributors and even Kerala wi l l have two distributors. These distributors will appoint their stockists

who in turn would appoint the wholesalers.

4) PROMOTION

The means that we have used for promoting our product are as follows:1) Print Ads2) Hoardings3) TV Commercial4) Press Conference We have two print ads

for promoting our product and creating awareness

among the public. These will be published in the leading newspapers. The hoarding will be will be shown in all the major cities. We have one TV

commercial which will be aired for about six months. The message appeal of the

ad is that of benefits and uniqueness of product. On the day of the launch of the product we will call upon a press conference for creating awareness about our

product through the media. The following are our print ads and storyboard: This

is our first print ad wherein we want to show that our product is a herbal product. This is our second print ad which shows that Fighter is battery operated

and can be used outdoors.

Storyboard

Frame1: Sadhu is trying to meditate in a hunt in a jungle. Frame 2: The mosquito are disturbing him and destroying his concentration. He

says “ Hey Hanuman! Ye macchaar Mera dhyan Bhang Kar Rahe Hain!”

Frame 3:He says “Inse Chutkara Kaise Payoon?”He wants to get rid of them as soon as possible.

Frame 4:He says “Yahaan toh bijlee bhi nahin hain…”As he is in a jungle, then is

no electricity and he has no other option ashe is a Sadhu and doesn‟t use chemicals that are harmful to the environment either.

Frame 5:He uses our product “FIGHTER” AS IT IS MOBILE AND HERBAL. He gets rid of the mosquitoes. He is extremely overjoyed and in

his excitement he says “TUSSI GREAT HO FIGHTER”

Frame 6:He continues meditation peacefully…! Our product is shown on the screen.

SALES PROMOTION The three vehicles which we have used for promoting our sales

are:1) DISCOUNT SALES This is to generate trials. We will have

stalls outside about 150 retail stores including departmental

stores, supermarkets in major cities like Mumbai, Pune, Ahmedabad

, Cochin, Panaji, Surat, Vadodra and Bangalore. The customer

buying the product for first time will get a discount offer. The normal

price of our product (machine +refill) is Rs.67but the product will be

given to him at a price of Rs.602) COUPONS Along with getting our

product at a discounted price, the customer also gets coupons. These

coupons will carry a discount scheme where the customer gets a

refill of 45ml (which costs Rs.52) at price of 35ml worthRs.42.3)

MULTIPACKSA multipack would contain 2 refill bottles of 45 ml

and instead of Rs.104(price of both) it will actually cost Rs.96.

All these would boost our sales

NEW PRODUCT DEVELOPMENT PROCESS1)

Idea generation And Screening: Internal sources: through brainstorming we explored the

opportunities of every genre and studied the advantages and

disadvantages of every genre before deciding on one.External sources: studying our competi tors and their

strategies andthrough surveys conducted. The ideas that came up were:1) Personal Body spray – We rejected this idea because when

we took surveys not many people were not comfortable with

spraying themselves with ingredients that were used to repel mosquitoes.

2) Candles: We rejected this idea because mosquito repellent candle shave a lot of disadvantages. They can get blown off very easily and

thereby are not convenient.3) Herbal Vaporizer: We considered this

idea because none of the major players had a herbal vaporizer and we could replace chemicals with herbal products being as effective and

much safer.4) Vaporizer which could also be operated with battery:

We even considered this idea because here we could provide an added feature of the vaporizer being operated with a battery. In small

towns where electricity is not very constant, it could be used. Even

on outdoors like camping it would be very useful. After a lot of discussion we decided we launch a herbal vaporizer which could be

operated with a battery as well. It was technically feasible to make

such a product and it would provide dual benefit to people.

2) Concept development: We have made a product-positioning map to see whether our concept

of “a herbal vaporizer” would compete against other alternatives

already existing in market. After studying our positioning map we decided to come up with a vaporizer which would be economical,

effective and herbal. We also decided to have an additional feature of

a battery socket. This concept was put forward through some of target customers to

get their reactions. And the response we got was good indicating

strong customer appeal towards our product. The following is our product-positioning map.

2) Candles: We rejected this idea because mosquito repellent candle

shave a lot of disadvantages. They can get blown off very easily and

thereby are not convenient.3) Herbal Vaporizer: We considered this idea because none of the major players had a herbal vaporizer and we

could replace chemicals with herbal products being as effective and

much safer.4) Vaporizer which could also be operated with battery: We even considered this idea because here we could provide an

added feature of the vaporizer being operated with a battery. In small

towns where electricity is not very constant, it could be used. Even on outdoors like camping it would be very useful. After a lot of

discussion we decided we launch a herbal vaporizer which could be

operated with a battery as well. It was technically feasible to make such a product and it would provide dual benefit to people.

2) Concept development:

We have made a product-positioning map to see whether our concept

of “a herbal vaporizer” would compete against other alternatives already existing in market. After studying our positioning map we

decided to come up with a vaporizer which would be economical,

effective and herbal. We also decided to have an additional feature of a battery socket. This concept was put forward through some of

target customers to get their reactions. And the response we got was

good indicating strong customer appeal towards our product. The following is our product-positioning map.

3) Marketing strategies: Once the product was finalized, we designed our marketing

strategies to launch our product, which are elaborated previously.

4) Business analysis: Once the product was finalized, we had to est imate our

costs, project sales and profits for the future to find out

whether the objective of our company could be achieved or not. This is further understood in the cost sheet and break-even analysis

attached.

COST SHEET

Initial cost of plant: Rs. 20000000/-

Sales Estimation:- Total Population of target market:- 2414.52 lacs approx.

Assuming only 2% of population approaches us for our product:-

24.14lacs Assuming each family to be of 4 members and some families may

buy two or more units of our product and some may not buy so

number of families who approach us for the product:- 12 lacs

Assuming 40% of families approach us for our refill only and not for

machines then number of machines sold would be 5 lacs appox. And

then some of these families may again buy our products and some

may not and also we can get new customers. Next, assuming major chunk of population go for 45ml refill then

estimated sale of refills:-

45ml refills:- 360000

35ml refills:- 240000

25 ml refills:- 240000

Therefore, sale of 1St year:-

Revenue Estimation:- 1stYear:-Estimated Sales: 65280000Profit (6%) : 3916800

2ndYear:-Estimated Sales: 71808000(sales increase by 10% as

compared to last year)Profit (8%) : 5744640(profit increases by

reducing cost on advertisement)

3rdYear:-Estimated Sales: 82579200(sales increase by 15% as

compared to last year)Profit (13%) : 10735296(profit increases by reducing cost on advertisement)

Break Even Point: after 3 years Total expenditure for three years:

205270464 Total revenue for three years: 219667200

5) PRODUCT DEVELOPMENT: In order to develop the concept into a physical product

and to ensure that the product idea could be turned into a

profitable product we decide to first produce 2000 units ini t ially of which somewhere around 1500units will be

given to our target customers from all western states and

remaining units will be given to our employees and their feedback will betaken.

7)COMMERCIALIZATION:

We have decided to launch our product in first week of

May and more awareness about the product wi ll be created in the month of May to induce the customers to

buy our product. the sole reason to launch the product in

month of May is that the sales of mosquito repellents rise during monsoon.

BRANDINGBRAND NAME- FIGHTER

•It is easy to remember.

•It portrays what the product can do. •Consumers can relate to the name.

•It is easy to pronounce.

TAGLINE- Be protected…. Always!!Fighter has the ability to fight with all the

mosquitoes that affect the consumer. His sole aim is to protect the

consumer. Moreover it is mobile and can be carried anywhere. So the tagline brings out the same. Consumers who use the fighter will be

protected always.

LOGO

Our brand logo is a leaf. The leaf portrays the fact that our vaporizer is herbal. The leaf has the strength to drive away the mosquitoes and

thereby protect you.

BRAND ESSENCE attribute-it is a vaporizer.

attribute-it is a herbal, mobile vaporizer and is effective.

BRAND IDENTITY

Fighter is basically an effective herbal vaporizer. It has an added feature of being operated with a battery. It aims to identify itself as a

unique product considering it is one of its kind. It will protect your

entire family from mosquitoes.

BRAND PERSONALITY Our brand personality is a 24 yr old educated woman. For her, her

family and their well being is very important. She loves nature. Likes adventure and loves traveling outdoors. She likes being one step

ahead and always has a back-up.

BRANDING STRATEGY The branding strategy that our company is following is that of

product branding as the company name is not associated with our

product „Fighter‟. It has an independent identity.

PRODUCT LIFE CYCLE The Introduction Stage: Product:

S i n c e w e a r e i n t h e i n t r o d u c t i o n s t a g e , w e d

e c i d e d t o concentrate only on one product. Thereby we

launched a vaporizer.

Price: Being in the introduction stage, our price will be comparatively lower since we want the upcoming people to

use out product. We would adopt penetration pricing in order to

attract consumers.

Place: In i t i a l l y w e p l a n t o l a u n c h i n t h e f o u r s t a t e s t h a t i s Gu j a r a t , K a r n a t a k a , K e r a l a , M a h a r a s h t r a a n d

G o a . T h i s w i l l h e l p u s t o concentrated only on

these four states and use a l l our resources here and become a strong brand.

Promotion:

Promotion wil l be done on a large scale which includes

a promotional party, hoardings, print ads and a press conference. This will create awareness about our product which will

stimulate our sales. We wi ll having a lot of sa les

promotions such as discounts, coupons and multipacks.

SWOT ANALYSISSTRENGTHS: •A herbal product It is strength of our company as we have the first

mover advantage over an herbal vaporizer and also because people

are shifting their loyalties to herbal products as they have realized the advantages of using herbal products.

•Innovative- Battery operated Our products extra feature, that it can be operated with battery, making it mobile, is a strength as it

provides convenience to customers.

•Economical The price of our product is comparatively lower to the

competitors though we provide the same quality.

WEAKNESS: •It can turn out to be expensive if the vaporizer is extensively used

on battery.

OPPORTUNITY:

•Market is growing at the rate of 21% As the market is growing at a fairly good rate we have a great opportunity to capture the market

share.

•First Mover advantage-First battery operated herbal vaporizer We

have the first mover advantage over being the first herbal vaporizer

in the industry. Being battery operated gives us the advantage to attract different customers.

THREATS :

•Supply of raw materials The raw materials used by us may not be

available at all times keeping in mind the natural calamity that may occur.

•Competition from Existing brands having a large market share

•Increase in competition because of upcoming segments such as

personal sprays and gels.

FUTURE PLANS After concurring the western belt and Gujarat we would shift towards

the south eastern belt then towards central India and consequently

towards eastern Indian and finally towards north. Eventually our product would be available nation wide. We also plan to enter the

rural market. We also plan to diversify into horizontal integration of

mosquito repellent sprays and creams. Company plans to export its product to countries like Afghanistan, Bangladesh, etc.

………………..After making a significant mark in the country we plan to enter into air freshener market where at present Ambipur is

prevalent. Last but not the least company would like to make its

product enter into the unaided segment i.e., at top of the mind.