Asian Paints Home Solutions - Services Marketing Short Case Studies

Details

Case Code : CLSM002
Publication date : 2005
Subject : Services Marketing
Industry : Paint Industry
Length : 04 Pages
Price : Rs. 100

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Key words:

Asian Paints Home Solutions, Paint Service, Decorative Paint Market, Brand Building, Color World Concept, Asian Paints Toll Free Help Line, Target Customers, Sales Associate, Authorized Applicators, Relationship Associate, Pricing

Note

1: This caselet is intended for use only in class discussions.
2: More comprehensive case studies are priced at Rs.200 to Rs.700 (US $5 to US $16) per copy.

Abstract:

During late 1990's, Asian Paints India Ltd faced growth constraints due to a slowdown in the economy and stagnation in the paint market. This prompted the company to explore various avenues to expand and increase its sales volumes. The caselet examines in detail about the Asian Paints service offering: Asian Paints Home Solutions. The caselet also describes the challenges that the company faced in marketing the service and how it overcame those challenges to make the service successful.

Issues:

  » New service development.
  » Diversification of product companies into services sector.
  » Segmentation and target marketing in service industry.
  » Design of the service offering.

Introduction

Asian Paints India Ltd (Asian Paints) is India's leading paint company and one of the world's largest. It has a wide product range, catering to the decorative and industrial paint segments.

Asian Paints recorded revenue of Rs 15.95 bn, with a net profit of Rs 1.42 bn in 2003-2004. Nearly 90% of the revenues came from the decorative paints segment in which it is a market leader. Asian Paints' market share was 46% in the organized paint market and 26% in the overall decorative paint market.

During late 1990's, the company faced growth constraints due to a slowdown in the economy and stagnation in the paint market. This prompted the company to explore various avenues to expand and increase its sales volumes...

Questions for Discussion:

1. Analyze the design of the service offering in the light of its appeal to the target customer segment.

2. Evaluate the Asian Paints selection of target segment SEC A and B group customers in terms of growth potential and structural attractiveness.