TECHNOLOGY, NAGPUR
PGDM CORE
SECTION A
Submitted by
Group 10
GEETIKA AGARWAL 201911011
4. Others:
Livpure Pep Pro++ 7 L RO + UV +UF Water
Purifier: Livpure is a brand of SAR Group company. Livpure
Pep Pro water purifier gears RO, UV and UF technologies in
purifying the water. The fact that it is rated 4+ Stars by more
than 500 real buyers at Amazon also signifies the popularity it
has gained. The company expects the industry to double every
five years or so and hope the market to reach about $1.12-1.41
billion USD by 2021
Pureit Mineral Classic RO+UV Water Purifier: It is
considered as one of the best budget water purifiers in 2018. It
has the Storage capacity of the 6 litres. The purifier includes a
six-stage purification process including pp melt down, pre-
sediment filter, Pre-Ro carbon filter, post-carbon sediment
filter. The post-carbon sediment filter removes all the suspended
dust, impurities, chlorine and thus improving the taste of water.
It comes under the Hindustan Unilever Limited (HUL) which is
an Indian consumer
goods company based in Mumbai, Maharashtra. It is a
subsidiary of Unilever, a British-Dutch company. The company
had a revenue of US$4.8 billion in 2016-2017.
MARKET SHARE
18%
AQUAGUARD
36% KENT RO
6% BLUE STAR
OTHERS
40%
Water Purifier
UV Water Purifiers
UF Purifiers gravity-based
Integrated RO Purifier with Chiller
RO Water Purifier- Under the Counter
Kent Tap Guard
Water Softener
Kent RO offers its customers premium products that are made with help of
latest technology RO and hence its production costs tend to become a bit higher
than its competitor’s prices. Kent has adopted a premium pricing strategy for its
products and the company has been able to maintain it successfully because
consumers are now more techno-friendly and comprehend the importance and
value of high-quality products even if its base price is a bit higher.
Initially company adopted the strategy of direct selling and now it has become
Asia’s largest direct selling company with 5000 direct selling agents covering
up to 1.25 million Indian households. From the start, the push strategy of
Aquaguard was very strong & the sales strategy that it employed of
sending sales people from door to door was detrimental to create a strong brand.
Later the company moved to digital medium of marketing and newspaper ads,
helpline numbers and TV ads were started. Aquaguard still relies on direct
selling agents as their core strength.
Blue star
Blue Star forays into the residential water purifiers business with a stylish and
differentiated range; launches India's first RO+UV Hot & Cold water purifier.
Water purifiers have RO, UV, RO+UV and its variants. Blue Star has launched
a range of 13 models, including colour variants, perhaps the largest by any new
entrant in the category. It has chosen to stay away from the low cost gravity
water purifier for now and will focus on electric purifiers initially. Out of the 13
models, 11 of them offer a double layered RO+UV protection to ensure that the
water is absolutely safe and pure. The offering comprises four series called the
Stella, Prisma, Edge and Majesto.
Price points varying from ₹14,900 to ₹44,900 for many variants of water
purifiers with Stella and Prisma for premium set of buyers prices at Rs 44,900
and 24,900 respectively. Edge and Magesta are priced at 21,900 and 14,900 for
budget friendly segment.
Kent RO- Water purifier major Kent RO Systems is looking to increase exports
by 50 percent each year, targeting neighbouring countries like Sri Lanka, Nepal
and Bangladesh besides the Middle East. They already do export of Rs 40 crore
every year which contributes 10% the revenue and they are planning to increase
it to 60 crore this year. Water purifier maker Kent RO Systems, is aiming to
cross revenue of Rs 950 crore in the current financial year and it has plans to set
up its third manufacturing plant in Noida over the next four to five years.
1. KENT RO- In 2005, Kent roped in Hema Malini, which helped it gain
consumer attention. She was ideal for endorsing our brand as she was a
housewife, popular, and appealed to the ladies. Apart from expanding its
presence in India, Kent has managed to establish its foothold in
neighbouring countries such as Nepal, Bangladesh, and Sri Lanka with
exports contributing 10% to its revenue. They are doing business with 12
countries and looking to double their exports in next two years.
Manufacturing Facility & Capacity: Overseeing the setting up of their
new manufacturing facility in Noida, the company is preparing for future.
The company already has a facility in Roorkee to make 5,00,000 RO
units annually and 5,00,000 gravity based water purifiers running on a
single shift, yet it has chosen to invest in another Greenfield facility near
Noida, when a scale up in production could have been affected by simply
extending the shift at the existing plant. It has taken them 18 years to
grow the overall market to 3500 crore but the penetration levels are still
at 2-3percent. Once they cross 4%, the growth will be exponential.
Investment in the new facility, which is expected to be operational by
next year 2018, is expected to cost the company about Rs.100 crore.
To showcase its wide product range, Kent has set up its Experience
Centers in Noida's DLF mall and Lajpat Nagar this year. The center will
allow consumers to experience Kent's products and its features through
live demonstrations.
2. BLUE STAR - Blue Star forays into the residential water purifiers
business with a stylish and differentiated range; launches India's first
RO+UV Hot & Cold water purifier. has announced its entry into the
residential water purifier business with the launch of a range of stylish,
differentiated and premium products. The Company will initially offer
residential water purifiers, and will gradually enhance its range to cover
commercial water purification systems as well. This initiative is part of
the Company's aggressive growth plans to expand its presence in related
new product categories. lue Star has been in the water cooler business for
nearly seven decades and is also amongst the largest suppliers of bottled
water dispensers in the country. Given its long association of water,
coupled with the fact that it is perceived as a premium and modern brand
and has a distribution network in nearly 4000 retail points across the
country for its room air conditioners, the Company believes that it will be
able to make deep inroads into the water purifier business.
The ability to cleanse water and somehow put it in its pure state.
Making it taste better.
Help prevent diseases which could kill you.
1. Reverse Osmosis(RO)
2. Ultraviolet(UV)
3. UltraFiltration(UF)
4. Activated Carbon
5. Sediment filter
MARKET DRIVERS:
Existing water pollution: In India, the pure, clean and safe drinking
water is not easily accessible and is often contaminated. Even tap water
contains more than 2100 toxins. The overpopulation, the industrialization,
and environmental degradation may result in impurity. It is seen that only
about less than 30% of industrial wastewater is treated before their release
into the environment thereby polluting water resources. Thus, different water
purifiers are on demands to ensure the quality of drinking water [16].
Governmental initiatives: According to the data by the World Bank,
water-related communicable disease account to about over 75 % to address
the issue, the Indian government is focused on investing the good amount of
support in creating good infrastructure for the water market and raise
awareness regarding drinking untreated water and its related health hazards.
This campaign is expected to have a positive impact on the overall market
demand for water purifier in India[17]. Likewise, the demand for commercial
water purifier technologies and solutions will enable the several small shops,
cafés, and public places in India to comply by the government initiatives of
creating availability of purified water across the country [18].
Competitiveness: The water purifier market has advanced into
innovative and cost friendly approach whereby the quality of products are
not compromised and are aimed to meet the international standards as well.
The competitiveness with respect to the non-electronic product has brought
about the shared revenue in offering its user with after sales services and
replacement filters as well.
MARKET RESTRAINTS:
Although the awareness programs, utility, and popularity of water purifier has
increased, yet some restraints remain to limit this market:
1. AQUAGUARD-
LOGO:
SLOGAN/ TAGLINE: “Paani ka doctor”. As they used the word
“Doctor” in the tagline, it immediately built trust on them. This tagline is
one of the best ones till date.
POSITIONING: Due to its long time presence in the market and
excellen products, Aquaguard clearly has top of the mind positioning in
the mind of consumers. It is almost a generic brand, with most people
calling a purifier “Aquaguard” irrespective of the brand they are going to
buy.
AD COPY:
2. KENT RO-
LOGO:
3. BLUE STAR-
LOGO:
AD COPY:
References
Newspapers
Websites
moneycontrol.com
eurekaforbes.com
kent.co.in
bluestarindia.com