Advertising & Sales Management

Assignment
On
Emami Group
{Marketing mix with focus on Promotion (P)}

Submitted to Prof. Shalini Srivastava

Submitted by:
Ajay Chadha
(MBA IIIrd Sem.)
 ACKNOWLEDGEMENT

No task is a single man’s effort Co-operation and Co-ordination

of various people at various places go into the successful
implementation. It is a great pleasure to have opportunity to
extend my heart-felt thanks to everybody who helped me
through the successful completion of this project.

It would be prudent to commence this term paper with a

sincere tribute to all those who played an indispensable role in
the accomplishment of this work and obliged whenever and
wherever their able guidance was required.

I would like to thanks our Dean Ms. Latika Sahni and our
college for their support.
Finally, I would like to express my deep sense of gratitude to
Prof. Shalini Srivastava for providing me regular guidance,
full cooperation, support and encouragement throughout the
project. Under her experienced teaching and guidance, my
knowledge has increased resulting in achieving better results.
 Index
Sr. no. Topic Page no.
1. History
2. Brands
History
The inception of Emami Group took place way back in mid seventies when two childhood
friends, Mr. R.S. Agarwal and Mr. R.S. Goenka left their high profile jobs with the Birla Group to
set up Kemco Chemicals, an Ayurvedic medicine and cosmetic manufacturing unit in Kolkata in
1974.

It was an extremely bold step in the early seventies when the Indian FMCG market was still
dominated by multinationals. Several such companies headquartered in Kolkata were
considering shifting out of West Bengal due to labor unrest and political problems.

But against all odds with a vision of combining the age old wisdom of Ayurveda with modern
manufacturing techniques for creating winning brands the company was started with a meager
amount of Rs. 20,000.

Emami Talcum, Emami Vanishing Cream and Emami Cold Cream were great favorite brands
with the quality conscious consumers in the mid-seventies. The company soon became adept in
selling beautiful dreams to Indian women interested in finding their own identity. The signature
tune of Emami played over radio and TV became a household favorite.

In 1978, Himani Ltd (incorporated as a Private Limited Company in 1949) had become sick unit
and was up for sale. Himani, almost a 100 year old company with good brand equity in Eastern
India and a well laid out factory in Kolkata, was producing a number of cosmetics. Mr. Agarwal
realized the opportunity and acquired Himani though for their young organization it was a
tough task to mobilize resources for buying a sick unit and even tougher to turn it around to a
profitable venture. The degree of financial risk involved was enormous considering the small
capital base of the company in those days. However Mr. Agarwal, supported by Mr. Goenka
decided to go ahead with the deal which later on proved to be the turning point for the
organization.

Nineties was very eventful for Emami. The next flagship brand of the company Navratna Cool
Oil came in the nineties under the Himani Umbrella and the second factory was opened at
Pondicherry to expand production. Navratna over the years has become market leader in the
cool oil category.

The introduction of new brands continued and the distribution network of the company was
extended to South India with Navratna spear heading the process. In 1995, Kemco Chemicals,
the partnership firm was converted into a Public Limited Company under the name and style of
Emami Ltd. In 1998, Emami Ltd was merged with Himani Ltd and its name was changed to
Emami Ltd as per fresh certificate of incorporation dated September1, 1998.
In 2000, with a view to concentrate on its core FMCG business, Emami's investment
undertaking was demerged and Pan Emami Cosmed Ltd. issued its fully paid up shares to
shareholders of Emami in the ratio of 1:1. In 2003 a new factory unit was set up at Amingaon,
Guwahati. A Public Issue of 50 lacs Equity Shares of Rs2/- each at a price of Rs. 70 followed in
2005. The issue was oversubscribed within few seconds of its opening with an overall over
subscription of 36 times of the issue size. The share price sold at Rs. 70 today is quoted in the
stock market as Rs. 210.

In 2005 Emami created a marketing history in India by launching Fair and Handsome, the first
fairness cream for men.

In 2006 the company decided to introduce a Health Care Division and a number of new brands
of Ayurvedic OTC medicines. The company has taken up the challenge of growing this new
division with a dedicated and enthusiastic team working on this project.

Among the brands created by the company, today Navratna brand is Rs.300 crore followed by
Boroplus brand standing at Rs.250 crore and Fairness family standing at Rs.100 crore. Sona
Chandi Chyawanprash, Menthoplus and Fast Relief also among the top brands in their
respective categories.

In 2006, J B Marketing & Finance Ltd., the erstwhile marketing company of the Emami Group
merged with Emami Ltd. and the total turnover of Emami including sales in domestic and export
market stood at Rs 516 crores at the end of the fiscal year 2006-07.

Emami Limited with an investment of Rs 700 crore has acquired major stake in Zandu
Pharmaceuticals Works Ltd on the basis of huge business synergy between Zandu and Emami.
Post the acquisition of Zandu Pharmaceuticals a century old household name in India, some of
its prominent brands like Zandu Balm, Zandu Chyawanprash, Zandu Kesri Jeevan, Zandu
Pancharishta, Sudarshan and Nityam Churna are also under Emami’s basket of brands.

Within three decades, the company has grown into a huge Rs. 1000 crore Emami Ltd under the
flagship company of the Rs.3000 crore Emami Group.

Today, Emami Limited is led by Mr. R S Agarwal and Mr. R S Goenka with the help of the second
generation Promoter Directors from the two families. Qualified and dedicated set of
professionals run the day to day operations of the company. Recently a new corporate office
“Emami Tower” has been added to the history of the company which houses Emami Limited as
well as all the other Group companies in Kolkata.
BRANDS

Navratna Oil Navratna Lite Navratna Extra Thanda Navratna Cool Talc

Boroplus Antiseptic Cream Boroplus Prickly Heat Powder Fair & Handsome

Himani Fast Relief Mentho Plus Hairlife Baby Massage Oil

Sonachandi Chyawanprash Malai Kesar Cold Cream Sonachandi Amritprash

Companies under Emami Group are:- 

- Emami Paper Mills Limited

- Emami Chisel Art
- CRI Limited
- South City Projects (Kolkata) Ltd
- Advanced Medicare & Research Institute Ltd (AMRI)
- Frank Ross Limited 
- Emami Infrastructure Limited
- Emami Retail Pvt Limited (Starmark) 
- Emami Biotech Limited
- Emami Cement Ltd

National Spread
 SWOT
STRENGTH OPPORTUNITY

  Powerful brands  Lots of opportunity as it is a aayurvedic

with no side effect
 Pan-India presence
 Untapped rural market
 Young and dynamic team
 People now a days more concerned for
 Efficient operations
health
 Celebrity brand ambassadors

 Innovative research

 Strong financials

WEAKNESS THREATS

 Only weakness is that consumer perception  Biggest threat is Dabur

of the brand that realy it contains sona and
 Other are Zandu which is now owned by
chandi
parent firm and baidyanath
INDUSTRY AND COMPANY GROWTH
 India’s FMCG industry grew 14.8% in 2008-09,

 Emami grew 29.1% in 2008-09

 Industry overview

 India’s FMCG sector is the fourth largest sector with a USD 25-billion size in 2008.

 It is a key component of India’s GDP and is a significant (direct and indirect) employer employing
three million individuals in downstream activities across small towns and rural India.

 The FMCG industry in India witnessed strong double digit growth over the last three years

Strategy
Creating niche categories:

Emami is established in categories like antiseptic creams, cooling oils, fairness and cold creams, talcums
and prickly heat powders, chyawanprash, balms and rubificients, among others. We expect to sustain
our momentum through low unit packs, deeper rural penetration and entry into nascent segments that
could become large categories.

Strong R&D delivering innovative products:

Emami’s strong R&D is working relentlessly to come out with innovative and effective ayurvedic
products based on age-old ayurvedic wisdom using modern laboratory practices. Emami expects to
‘invent’ new ayurvedic healthcare categories like we did with men’s fairness cream, responding to
emerging lifestyles.

International reach:
Emami’s exports to 60 countries grew 60% in 2008-09, accounting for 13.6% of revenues. We engaged
distributors with modern retail formats, strong supply chain and distribution linkages in the GCC (Gulf
Co-operation Council) countries. Mentho Plus Balm emerged as the number two brand in its category in
Kenya; Boroplus Antiseptic Cream
remained number one in Russia, Commonwealth of Independent States and SAARC countries. Fair &
Handsomeemerged as the numero uno brand in men’s face care category in the UAE. We entered into
alliances with private,government and semi-government organisations to reach customers in urban and
even remote markets. Emami’s international footprint is expected to further expand agressively.
Penetrative marketing and distribution:
Emami redefined sales and distribution in consultation with Ernst & Young under project ‘Navodaya’. It
targeted consumers in shopping malls and lifestyle outlets. It tied up with ITC Limited to distribute
products through rural e-choupals, commencing in Uttar Pradesh and extending to Maharashtra,
Madhya Pradesh and Rajasthan. It appointed 11,000 rural individuals as direct-toconsumer distributors,
carrying products to rural households in exchange for
performance-based incentives.

Our strategy will be to pursue growth, adopting both organic and inorganic routes,
reinforcing our position as a rapidly growing corporate

Future Expansion & New Product Development

 Emami’s strong R&D and aggressive marketing capabilities enable it to identify emerging needs
and aspirations of consumers and convert them into opportunities.

 Company is in the process of commissioning another state-of-the-art factory in north-east India,

enjoying economic benefits.

Media vehicles:

 TV Commercial ads
 Outdoor advertising
 Newspaper
 Radio
 Bus shelter
 Danglers (In malls)
 Backlit display (In malls)
Television commercials
   

   
Navratna cool talc Boroplus Prickly Heat Powder
Navratna cool talc All is well
   

   
Sona Chandi Chyawanprash Navratna cool oil
SRK Parmanandam
   

   
Boroplus winter lotion Fair and Handsome
Unhe banade bawra World's no 1 fairness cream for men
   

   
Emami Malai Kesar soap Zandu balm
100% moisturising soap Desh ka balm-Ek balm teen kaam
   

   
Boroplus Antiseptic Cream Himani Sardija
Amitabh Bachchan- Pujari School children
   
   
Fair and Handsome Navratna Oil
Shahrukh Khan-Hi Handsome Farmer
   

   
Navratna Cool Talc Mentho Plus Balm
Shahrukh Kan-lift Ravana
   

   
Boroplus Winter Lotion Himani Fast Relief
Kareena Kapoor Human Machine
   

   
Emami PureSkin Glycerine bar Himani Lalima
English commercial. 30 seconds. Hindi commercial. 30 seconds.

Print Ads
         

 
Milestones:
Emami enters Indian kitchens with ‘Healthy and Tasty’ oil
o Plans to log in Rs 300-crore of business in the first year of launch
o Targets the top two spots of the Rs 10,000-crore edible oil industry with a 10% market share by
2015
o Product uniqueness to be ‘health’ and ‘taste’ through retention of ingredient purity using 7 stage
European
Refining Technology
o Emami plans to produce 2000 tonnes of edible oil per day from its Haldia factory in W. Bengal in a
phased
manner and also intends to set up two more edible oil refineries in east and south coasts

Globeoil award for Emami

Kolkata, October 2009- The Rs 2200 crore Emami Group has added a new feather in its cap. The
Emami Group of Companies has been conferred the EMERGING COMPANY OF THE YEAR 2009 by
Globeoil. The recognition is given to companies for their pioneering concepts and activities in the
edible oil industry.

Emami Biotech plans Rs 400 crore investment in Ethiopia

Kolkata, August 2009: Emami Biotech Ltd, a group company of the Rs 2200 crore Emami Group, has
embarked on a Rs 400 crore plantation project in the State of Oromia in Ethiopia.

Emami Biotech Limited signs MoU with Calcutta Tramways Corporation

- Moving towards a greener and healthy Kolkata -
Kolkata, February, 2009: Emami Biotech Limited (EBL) has signed up Calcutta Tramways Company
(CTC) as their first
prestigious client for the supply of 250 Kilo Litre of bio diesel per month to CTC. A Memorandum of
Understanding was signed
between Emami and CTC, today at Emami Towers. (Feb 2009)

Emami’s Bio diesel Gets SGS Stamp, Bonds with Global best
Kolkata, January 2009: The bio-diesel sample of Emami Biotech Ltd has now been adjudged as
among the best in the world by the globally renowned SGS Group. The company has obtained a
certification from SGS Singapore which has branded its bio-diesel sample as among the finest and
pure of its kind produced globally. The certification is the seal for best quality product.