Description
The research also revealed that the sale of alkaline batteries is very low as compared to ordinary zinc carbon batteries due to the high price of alkaline batteries. The rechargeable branded batteries currently facing competition from low price batteries imported from China and duplicate product of branded batteries is also a concern for the reputed brands
A
PROJECT REPORT
ON
PLACEMENT AND MARKET SIZE
OF
ALKALINE & RECHARGEABLE
BATTERY
SUBMITTED BY
A Project Report to Study ?Placement and Market Size of Alkaline &
Rechargeable Battery?
Submitted To
Regional College of Management (Autonomous), Bhubaneswar
For The Partial Fulfillment As Per Course Requirement For The Award
Of Post Graduate Diploma in Management (PGDM)
Submitted By
Name: Arindam Garai
Registration No: 1201247015
Stream: PGDM
Academic Year: 2012 - 2014
Regional College of Management (Autonomous), Bhubaneswar
DECLARATION
I, Arindam Garai, declared that the Project work entitled
?Placement and Market Size of Alkaline & Rechargeable Battery? is
my own work and has been conducted under the guidance of Mr. Qaiser
Warsi
I further declared that to the best of my knowledge the
Project entitled ?Placement and Market Size of Alkaline &
Rechargeable Battery? does not contain any part of my work which has
been submitted for the award of any Degree / Diploma either in this
college or any - where else.
Date: Signature
------------------------------
ACKNOWLEDGEMENT
Some works are so typical that are impossible for a person to complete it
alone. This Project is one of them. I would not be able to complete my
work without the help of my respected Faculty Guide, The Staffs of
Eveready Industries and My colleagues. So it is my obligation to thank
all of them.
I would like to specially thank Mr. Qaiser Warsi
of Eveready Industries for all the help and the facilities extended in
completing the work and also thank to my project Guide Mr.
Buddhaditya Padhi of Regional College of Management, Bhubaneswar
for his help, guidance and constructive suggestion throughout this
project work.
As a final point, I would like to thank, ?Eveready
Industries Ltd.? and ?Regional College of Management (Autonomous),
Bhubaneswar for providing me the pedestal for this project.
Thank You.
Yours sincerely,
-------------------------------
CONTENTS
? Executive Summary
? Introduction
? Company Profile
? History of Eveready
? Current Products Offering
? Key Competitors
? Objective of The Study
? Research Methodology
? Data Analysis & Findings
? SWOT Analysis
? Recommendation
? Conclusion
? Questionnaire
? References
EXECUTIVE SUMMARY
This project aims to find out the total placement of alkaline and
rechargeable batteries in North & Central Kolkata and at the same time
determine the market share of leading alkaline and rechargeable batteries
brands. In order to find out the above I have surveyed more than 250
outlets of alkaline seller which includes Kirana Shop, Electric &
Electronic Store, Departmental Store, Photo Studio, General Shop,
Cosmetic and Medicine Outlets, etc. with a standard questionnaire. The
findings are like that:
In Alkaline Battery categories, P&G’s Duracell
dominates the market with a market share of 58% and followed by
Eveready Ultima with a share of 40%. In rechargeable segment
Eveready Recharge (Rechargeable Batteries) lead the market with a
market share of 54 %.
The research also revealed that the sale of alkaline
batteries is very low as compared to ordinary zinc carbon batteries due
to the high price of alkaline batteries. The rechargeable branded batteries
currently facing competition from low price batteries imported from
China and duplicate product of branded batteries is also a concern for
the reputed brands.
INTRODUCTION
Market share is the percentage of a market (defined in terms of either
units or revenue) accounted for by a specific entity. Marketers need to be
able to translate sales targets into market share because this will
demonstrate whether forecasts are to be attained by growing with the
market or by capturing share from competitors. The latter will almost
always be more difficult to achieve. Market share is closely monitored
for signs of change in the competitive landscape, and it frequently drives
strategic or tactical action.
Increasing market share is one of the most
important objectives of business. The main advantage of using market
share as a measure of business performance is that it is less dependent
upon macro-environmental variables such as the state of the economy or
changes in tax policy.
Market share is a key indicator of market competitiveness—that is, how
well a firm is doing against its competitors. "This metric, supplemented
by changes in sales revenue, helps managers evaluate both primary and
selective demand in their market. That is, it enables them to judge not
only total market growth or decline but also trends in customers’
selections among competitors. Generally, sales growth resulting from
primary demand (total market growth) is less costly and more profitable
than that achieved by capturing share from competitors. Conversely,
losses in market share can signal serious long-term problems that require
strategic adjustments. Firms with market shares below a certain level
may not be viable. Similarly, within a firm’s product line, market share
trends for individual products are considered early indicators of future
opportunities or problems
Research has also shown that market share is a desired asset among
competing firms. Experts, however, discourage making market share an
objective and criterion upon which to base economic policies. The
aforementioned usage of market share as a basis for gauging the
performance of competing firms has fostered a system in which firms
make decisions with regard to their operation with careful consideration
of the impact of each decision on the market share of their competitors
It is generally necessary to commission a market research to determine
the placement and market share of products. Generally one can
use primary research to estimate the total market size and a company's
market share.
COMPANY PROFILE
Company History:
Eveready Industries India Ltd. (EIL) is a
leading player in Indian dry cell batteries market. Incorporated in 1934
the company was - formerly a subsidiary of Union Carbide Corporation,
US and was subsequently taken over by B M Khaitan and the
Williamson Magor group of companies. The name of the company was
changed to Eveready Industries LTD eleven years after its Bhopal plant
was involved in one of the world's worst industrial disasters. Eveready
Industries manufactures and markets Carbon Zinc Batteries,
Rechargeable Batteries, Alkaline Batteries, Flashlights & Packet Tea.
The Company was the first to introduce batteries in India in 1905. The
Company has completed 100 years of its services and leads the market,
in the segment of Dry Cell Batteries and Flashlights. EIL is the world's
third largest producer of Carbon Zinc Batteries and selling more than a
billion units a year. The company is the owner of popular dry cell brand
'Eveready' and markets Carbon Zinc Batteries, Rechargeable Batteries,
Alkaline Batteries & full range of brass, aluminum and plastic
flashlights under this brand name in India.
The packet tea is marketed under the brand name like Premium Gold,
Tez, and Jaago. EIL entered alkaline batteries segment in 2001-02 by
launching alkaline batteries under its own umbrella brand 'Eveready'.
But before that in 1995 the company through Energizer India Pvt. Ltd, a
50:50 JV between EIL and Ralston Purina Overseas Battery Company of
US, manufactures renowned Energizer brand of alkaline batteries in
India. In 1995, a MoU was signed with Gold Peak Industries, Hong
Kong, to develop rechargeable Ni-Cd and Ni-Mg batteries in India.
During 1999-2000, the company commissioned a new poly sleeve
jacketed battery line at Camperdown Works at Kolkata. EIL battery
plant and metal processing plant at Kolkata, as well as the electrolytic
manganese dioxide plant at Mumbai have received the ISO 9002
certification. Since 1996-97 the company under goes series of mergers
and demergers. In 1996-97, McLeod Russel India (MRIL) and Faith
Investments were amalgamated with the company. The business of
MRIL is being carried on by the company as its tea division in the
trading name of Mcleod Russel. Later Bishnauth Tea Company was
amalgamated with Eveready Industries India Ltd.
Today Ask any Indian consumer to name a
Battery and the first brand that comes to mind is Eveready. Not just
among batteries, Eveready is a powerful brand across categories.
Eveready has a portfolio comprising dry cell batteries (carbon zinc
batteries, rechargeable batteries and alkaline batteries), flashlights
(torches), CFLs (Compact Fluorescent Lamps) and packet tea.
Current Products Offering:
Batteries
It is certainly not an overstatement that battery and Eveready have been
synonymous with each other in India since time immemorial. After all,
this is the only battery that has been with the people— in their good and
bad times, in light as well as in darkness- through generations, for over a
century.
Technological advancement of recent times has been nothing but
phenomenal making room for large-scale up gradation and innovation in
portable energy sources. And in keeping with these developments,
Eveready has diversified the portfolio to suit everyone’s needs.
Eveready offers a wide range of batteries to fulfill the diverse portable
energy requirements of progressive India.
? Alkaline Batteries: Eveready Ultima Alkaline battery is the
ultimate energy solution to the power-hungry electronic gadgets of
modern times. It is undoubtedly a new benchmark of quality &
performance in the category of alkaline batteries. The promise of
performance comes with an affordable price tag, making it truly an
ultimate choice. Eveready Ultima Alkaline Batteries are best suited
for power-hungry new age gadgets like Digital cameras, Remote-
controlled toys, Certain MP3 players, High-end portable audio-
recording systems etc.
Zinc Carbon Batteries: Eveready is one of the world’s largest
producers of Zinc Carbon batteries, selling more than 1 billion batteries
every year. The Indian market for dry cell batteries is estimated at 2.2
billion pieces by volume and Rs.14 billion by value, and Eveready is the
undisputed market leader with more than half of the share of the market.
Eveready offers the entire range of zinc carbon batteries required for
various devices. The Zinc Carbon batteries are ideal for:
? Flashlights
? Remote Controls
? Toys
? Penlights
? Cameras
? Clocks
? Medical Equipment
? Electrical Equipment
? Walkman / Discmans
? FM Radios / MP3 / MP4 players
? Transistors, etc.
Rechargeable Batteries: There is a surfeit of power-hungry
electronic gadgets in the market today. With every passing day, the list
of such gadgets only gets longer. As an answer to the changing portable
energy needs, Eveready has come up with Eveready Recharge, world
class range of rechargeable batteries. Eveready was among the foremost
players to foray into the Rechargeable Batteries segment with our
Eveready Recharge brand of rechargeable batteries and chargers.
Eveready Recharge took the rechargeable battery market in India by
storm with its world-class, value-for-money product range becoming an
instant hit. Since today's high-tech devices demand more powerful
batteries, Eveready rechargeable batteries are designed to deliver
optimal performance.
Flashlights
Eveready has been the pioneer in the field of portable lighting for many
a decades. Eveready, with a huge variety of products, is the largest
manufacturer and marketer of torches in South Asia. Well known for its
quality, range, color options and value for money models. Eveready
caters to all the lighting needs of both – the urban and rural consumers.
Ultra-LED Torches: Torches with powerful beams which reach
amazing distances, stronger light with enhanced efficiency, coupled with
superior advantages of the original digi LED torches. The range offers
the user wide choice in shapes, sizes & new metallic colors.
Brass Torches: True to its name, the Jeevan Sathi brass torchlight
has been a trustworthy, constant companion for the discerning Indians
through generations. It is reliable, durable and repairable, making it a
must-have evening companion especially in the villages. It is one of the
most trusted brands in rural India across all product categories.
Aluminum & Plastic Torches: Eveready has always gone for
innovation to bring out new models which suit the diverse requirements
of all its customers. These torches have strong durable bodies, slide
switches for easy handling and come in a wide range of models and
colors.
Rechargeable Torches: Eveready also provides rechargeable
torches to its customers. These have an in-built battery and a plug, for
easy recharge. These torches are true value-for-money and are targeted
at the urban and semi-urban households.
Lighting Solutions
Eveready offers a wide variety of lighting solutions to suit the
requirements of people in both urban and rural areas. Mixing experience
with innovation, Eveready has stable products that match international
standards in terms of energy-saving, longevity and safety. Looking
ahead, Eveready sees its business growing in the following fields:
Compact Fluorescent Lamps (CFL): In 2007, Eveready
forayed into the lighting business with the launch of a range of Compact
Fluorescent Lamps (CFL). In comparison to the general incandescent
lamps, CFLs use lesser power to give out the same amount of light and
save about 80% of the energy. Besides, CFLs also have a longer rated
life of 6,000 hours as per IS: 15111 part 1 & 2.
General lighting service/incandescent lamps (GLS):
Eveready offers a vast range of incandescent bulbs in different sizes,
voltages and colors. Our products from this category are used widely in
household and commercial lighting, apart from portable, decorative and
advertising lighting. These lamps adhere to the best quality standards
and come in a unique packaging.
Halogen Lamps: Halogen Lamps provide greater light and longer
life than conventional incandescent lamps. They are high-pressure lamps
containing halogen gases such as iodine and bromine. The lamps are so
designed that they produce more light per units of energy, thus saving
energy, and last longer. Halogen lamps are used in a variety of
applications. Eveready has on offer halogen lamps that suit every
possible requirement for outdoor lighting and video-shooting purposes.
CFL Halogen Lamp
Packet Tea
Eveready, the group Company of the largest bulk tea producer in the
world, McLeod Russel India Limited, a member of The Williamson
Magor Group, markets and distributes packaged tea across the nation.
Eveready today has offerings worthy of the name of Williamson and
Magor as well as Eveready Industries India Ltd. - Eveready Premium
Gold, Eveready Tez Premium, Eveready Tez Red and Eveready
Jaago Brands, which satisfy the diverse moods of the tea drinker
Eveready Premium Gold:
A premium tea with full bodied flavor and aroma
Eveready Premium Gold for the perfect tea
connoisseur, blend is a delicate, aromatic,
fragrant and refreshing. Premium Gold teas
have become synonymous with the
relaxation and unhurriedness of tea drinking
in the markets where it’s available. The
superior quality of Premium Gold is the
result of meticulous processes that involve
skilled plucking of tea leaves and tea tasting.
A "fine plucking" of the best teas, for Premium Gold, removes only the
greenest, freshest, topmost tender leaves.
Eveready Tez Premium:
Eveready brings the finest brew from
Eastern India - Assam tea, known
worldwide for its body, briskness and
malty flavor. It is strong in taste and
bright in color. Eveready Tez Premium-
the 100% Assam tea is sure to brighten up
the mood at any time of the day.
Eveready Jaago:
Eveready Jaago is a offering to those who take
challenges head on and are always on the move,
which is why they prefer a strong cup of tea. A
cup of Eveready Jaago promises a punch of
strong flavor and rich color made from the finest
leaves from Assam Valley and the Eastern
Himalayan foothills of the Dooars region.
Eveready Ultima Mobile Power
Eveready Ultima Mobile power is designed specifically for use with
tablets and smartphones. With 5200 mAh of power, it can easily
recharge most smartphones twice once and give one full charge to tablet.
It can also charge two devices
simultaneously, with its intelligent
charging sensor detecting which device
needs to be charged first.
This universal portable power pack comes
equipped with multiple charging tips for
all popular phones and models like Nokia,
Sony, Apple, Motorola, Micromax,
Blackberry, etc. The power pack doesn’t
just charge phones and tabs but a host of
other gadgets like handheld gaming devices, Bluetooth and PDAs.
COMPETITORS OF EVEREADY
Major Competitors in Alkaline Segment
Duracell: Duracell is an American brand product line of batteries and
smart power systems manufactured by Procter & Gamble. It is the key
competitor of Eveready in this segment. Duracell’s strong advertising
campaign and quality offering makes it world top selling alkaline battery
brand. Duracell manufactures alkaline batteries in many common sizes,
such as AAA, AA, C, D, and 9V. Duracell is well known for its
durability in India.
Panasonic: Panasonic Industrial Alkalines are designed with a power
density that enables them to last longer. High current and large capacity
is standard, which means high performance for customers. Panasonic’s
Alkaline Power battery is a value for money power solution for those
everyday appliances requiring more power. Standard alkaline range
formulated to provide reliable and dependable power and excellent price
versus quality ratio.
Varta: VARTA AG (Vertrieb, Aufladung, Reparatur Transportabler
Akkumulatoren; Distribution, charging, repair of transportable
accumulators) is a company based in Germany manufacturing batteries
for global automotive, industrial and consumer markets. Varta is another
player in alkaline segment. It offers a wide range of alkaline batteries
which meets the needs of consumers. Varta High Energy Alkaline, Varta
professional Alkaline Series are some of the current popular offering of
alkaline batteries of Varta.
Major Competitor in Rechargeable Battery Segment
Godrej GP: Godrej GP is the major competitor of Eveready
Rechargeable. Godrej presents the international range of consumer
batteries & allied products in partnership with GP Batteries, one of the
world's largest manufacturers of consumer batteries. The Godrej GP has
a strong market presence in the current market. Godrej Batteries is a
business unit of Godrej & Boyce Mfg. Co. Ltd.
Others Competitors Includes:
Kodak Rechareable
Sony Rechargeable
Energizer Rechargeable
OBJECTIVE OF THE STUDY
The main objectives of this study include:
Determine the total placement of Alkaline &
Rechargeable Batteries in the surveyed market area
Identify the key competitor of Eveready in both
segments- Alkaline & Rechargeable
Determine the market share of key players in
Alkaline & Rechargeable segment.
RESEARCH METHODOLOGY
In order to collect the data a primary research were conducted in the
bellow mentioned market area with a standard questionnaire. These
market areas cover Central & North Kolkata.
Markets Name:
APC Road Market, Bagbazar Market, Amherst Street Area, MG Road
Market, DC Mitra Market, Hati Bagan, Nimtala Market, Manicktala
Market, College Street Market, Bow Bazar Market, Central Avenue
Area, Tiretta Market, Bentick Street Area, Dharmatala, Chetla Market
Area, DPS Road.
DATA ANALYSIS
Chart 1: Represent the placement of Alkaline Batteries in
term of outlet type in percentage (%)
Chart 2: Data related to placement of Alkaline Batteries in
numbers
71%
10%
4%
7%
4%
4%
OUTLET TYPE
Kirana
Electric
Electronic
Stationary
General
Others
Total No of Outlet Visited: 251
Total Sale/Month of Alkaline Batteries: 4149
Placement of Duracell: 2871
Placement of Eveready: 1974
Placement of others Brands: 70
Chart 3: Represent the market share of Alkaline Batteries
Chart4: Represent placement of Rechargeable Batteries out
of total 251 surveyed outlets
58%
40%
2%
Market Share
Duracell
Eveready
Others
88%
12%
Rechageable Outlet Out of Total Outlet Surveyed
Do Not Have rechargeable Rechageable
Chart 5: Represent placement of Rechargeable Batteries on
monthly basis
Chart 6: Represent Market Share of High Capacity
Rechargeable Batteries
54%
23%
23%
High Cap Market Share
Eveready
GP
Others
Total High Cap Sold/ Month: 385
Eveready: 206
GP: 90
Others: 89
Total Low Cap Sold /Month: 339
Eveready: 182
GP: 73
Others: 79
Chart 7: Represent Market Share of Low Capacity
Rechargeable Batteries
Chart 8: Represent the Market Share of Key players in
Rechargeable Segment (High Cap+ Low Cap)
54%
22%
24%
Low Cap Market Share
Eveready
GP
Others
54%
23%
23%
Market Share of Rechageable Batteries
Eveready
GP
Others
SWOT ANALYSIS
Strength
? Brand value of Eveready in battery industry
? Market leader in Rechargeable & other battery segment (except
Alkaline)
? Strong understanding of Indian consumer’s preference
? Strong market presence in Alkaline & Rechargeable segment
Weakness
? Cost of Alkaline & Rechargeable battery is quite high as
compared to other competitors
? Quality mismatch in Alkaline segment
? Lack of promotional activity in both the categories
Opportunity
? Proper marketing communication can help to gain more market
share
? Improvement in the quality of Alkaline will create brand loyal
customer base
Threats
? Low cost imported product from China is a big threat
? Entrance of other new players in this segment
? Strong competition among the existing players
RECOMMENDATIONS
? Though Eveready is synonymous with battery but in case of
Alkaline battery, Eveready has a long way to go. Eveready requires
a strong marketing and promotional activity in various media
channels like TV, News Paper, Online, etc.
? As the cost Eveready Alkaline is quite high as compared to other
brand specially market leader Duracell, Eveready needs to reduce
its cost in this price sensitive market.
? Most of the buyers are not fully aware of the benefit of Alkaline
batteries, that is why they are unwilling pay more and prefer Zinc
carbon batteries. In such situation Eveready should take initiative
to make buyers aware about the benefit of Alkaline batteries.
? Eveready needs to create a strong brand value in Alkaline segment
by offering quality product at a reasonable price.
? Offering Alkaline batteries along with other Eveready’s product in
a combo form can help to gain more market share.
? In case of Rechargeable Batteries, in which Eveready is the market
leader with more than 54% share needs to take proper steps in
order to protect the brand from low cost imported batteries.
CONCLUSION
So we finally saw that though battery means Eveready to most of the
people in India but in case of alkaline the story is quite different. The
market size of alkaline is very low as compared to Zinc Carbon batteries.
The cost per unit seems to be the main factor. For instance, an alkaline
battery costs more than twice the zinc battery, though it will last longer.
The higher pricing is because of the higher cost of production and the
opportunity cost for the greater level of efficiency given by the product.
For instance, if a zinc battery will last around eight hours in a gadget, the
alkaline battery is likely to have life three times that.
This, no doubt, justifies the higher price. But the
user is likely to feel the need for alkaline batteries only for high-drain
products such as portable cassette players and cameras. In other
products, say, a television remote-control, the zinc battery is likely to
last six months, and the need for an alkaline battery is not felt.
But still Duracell with its strong marketing skill snatch most of the share
of alkaline batteries. Eveready needs make some move to be the market
leader in this segment in recent future.
As long as rechargeable is concerned the market is in
saturation to decline stage. Use of more advance technology like
Lithium-ion batteries are taking place of rechargeable batteries day by
day.
QUESTIONAIRE
QUESTIONAIRE FOR RETAILERS
1. What is the name of your Store?
…………………………………………………
2. What is the category of your outlet?
a) Retail b) Wholesale
3. Your store falls under which type of outlet?
a) Kirana b) Electronic c) Electric d) Studio e) Stationary
f) Other
4. Do you an Alkaline Battery Seller?
a) Yes b) No
5. Can you tell me avg. monthly sale of Alkaline Batteries in your
store?
……………………..………….. (Units)
6. Which brands of Alkaline Battery are available in your store?
Please mention the units.
a) Duracell b) Eveready c) Other
7. Are you a rechargeable battery seller?
a) Yes b) No
8. Can you tell me the avg. sale of rechargeable battery on a
particular month?
………………………. (Units)
9. Please mention avg. sale of the bellow mention rechargeable
batteries:
High Capacity Rechargeable (Sold/ Month)
Eveready ……… (Units)
Godrej GP ………. (Units)
Others ………… (Units)
Low Capacity Rechargeable (Sold/ Month)
Eveready ……….. (Units)
Godrej GP ……….. (Units)
Others …………….. (Units)
REFERENCES
List of References:
http://www.evereadyindustries.com/
http://www.evereadyindustries.com/about-us/current.asp
http://www.evereadyindustries.com/business/batteries.asp
http://www.evereadyindustries.com/business/flashlights.asp
http://www.evereadyindustries.com/business/lighting-solutions.asp
http://en.wikipedia.org/wiki/Eveready_Industries_India
http://www.godrejbatteries.com/
http://www.duracell.com/procell/en-US/index.jspx
“Understanding The Marketing management” 12
th
Edition by Philip Kotler Page: 52
The Hindu Newspaper Article ?Alkaline batteries: A case to think of?
doc_669028193.pdf
The research also revealed that the sale of alkaline batteries is very low as compared to ordinary zinc carbon batteries due to the high price of alkaline batteries. The rechargeable branded batteries currently facing competition from low price batteries imported from China and duplicate product of branded batteries is also a concern for the reputed brands
A
PROJECT REPORT
ON
PLACEMENT AND MARKET SIZE
OF
ALKALINE & RECHARGEABLE
BATTERY
SUBMITTED BY
A Project Report to Study ?Placement and Market Size of Alkaline &
Rechargeable Battery?
Submitted To
Regional College of Management (Autonomous), Bhubaneswar
For The Partial Fulfillment As Per Course Requirement For The Award
Of Post Graduate Diploma in Management (PGDM)
Submitted By
Name: Arindam Garai
Registration No: 1201247015
Stream: PGDM
Academic Year: 2012 - 2014
Regional College of Management (Autonomous), Bhubaneswar
DECLARATION
I, Arindam Garai, declared that the Project work entitled
?Placement and Market Size of Alkaline & Rechargeable Battery? is
my own work and has been conducted under the guidance of Mr. Qaiser
Warsi
I further declared that to the best of my knowledge the
Project entitled ?Placement and Market Size of Alkaline &
Rechargeable Battery? does not contain any part of my work which has
been submitted for the award of any Degree / Diploma either in this
college or any - where else.
Date: Signature
------------------------------
ACKNOWLEDGEMENT
Some works are so typical that are impossible for a person to complete it
alone. This Project is one of them. I would not be able to complete my
work without the help of my respected Faculty Guide, The Staffs of
Eveready Industries and My colleagues. So it is my obligation to thank
all of them.
I would like to specially thank Mr. Qaiser Warsi
of Eveready Industries for all the help and the facilities extended in
completing the work and also thank to my project Guide Mr.
Buddhaditya Padhi of Regional College of Management, Bhubaneswar
for his help, guidance and constructive suggestion throughout this
project work.
As a final point, I would like to thank, ?Eveready
Industries Ltd.? and ?Regional College of Management (Autonomous),
Bhubaneswar for providing me the pedestal for this project.
Thank You.
Yours sincerely,
-------------------------------
CONTENTS
? Executive Summary
? Introduction
? Company Profile
? History of Eveready
? Current Products Offering
? Key Competitors
? Objective of The Study
? Research Methodology
? Data Analysis & Findings
? SWOT Analysis
? Recommendation
? Conclusion
? Questionnaire
? References
EXECUTIVE SUMMARY
This project aims to find out the total placement of alkaline and
rechargeable batteries in North & Central Kolkata and at the same time
determine the market share of leading alkaline and rechargeable batteries
brands. In order to find out the above I have surveyed more than 250
outlets of alkaline seller which includes Kirana Shop, Electric &
Electronic Store, Departmental Store, Photo Studio, General Shop,
Cosmetic and Medicine Outlets, etc. with a standard questionnaire. The
findings are like that:
In Alkaline Battery categories, P&G’s Duracell
dominates the market with a market share of 58% and followed by
Eveready Ultima with a share of 40%. In rechargeable segment
Eveready Recharge (Rechargeable Batteries) lead the market with a
market share of 54 %.
The research also revealed that the sale of alkaline
batteries is very low as compared to ordinary zinc carbon batteries due
to the high price of alkaline batteries. The rechargeable branded batteries
currently facing competition from low price batteries imported from
China and duplicate product of branded batteries is also a concern for
the reputed brands.
INTRODUCTION
Market share is the percentage of a market (defined in terms of either
units or revenue) accounted for by a specific entity. Marketers need to be
able to translate sales targets into market share because this will
demonstrate whether forecasts are to be attained by growing with the
market or by capturing share from competitors. The latter will almost
always be more difficult to achieve. Market share is closely monitored
for signs of change in the competitive landscape, and it frequently drives
strategic or tactical action.
Increasing market share is one of the most
important objectives of business. The main advantage of using market
share as a measure of business performance is that it is less dependent
upon macro-environmental variables such as the state of the economy or
changes in tax policy.
Market share is a key indicator of market competitiveness—that is, how
well a firm is doing against its competitors. "This metric, supplemented
by changes in sales revenue, helps managers evaluate both primary and
selective demand in their market. That is, it enables them to judge not
only total market growth or decline but also trends in customers’
selections among competitors. Generally, sales growth resulting from
primary demand (total market growth) is less costly and more profitable
than that achieved by capturing share from competitors. Conversely,
losses in market share can signal serious long-term problems that require
strategic adjustments. Firms with market shares below a certain level
may not be viable. Similarly, within a firm’s product line, market share
trends for individual products are considered early indicators of future
opportunities or problems
Research has also shown that market share is a desired asset among
competing firms. Experts, however, discourage making market share an
objective and criterion upon which to base economic policies. The
aforementioned usage of market share as a basis for gauging the
performance of competing firms has fostered a system in which firms
make decisions with regard to their operation with careful consideration
of the impact of each decision on the market share of their competitors
It is generally necessary to commission a market research to determine
the placement and market share of products. Generally one can
use primary research to estimate the total market size and a company's
market share.
COMPANY PROFILE
Company History:
Eveready Industries India Ltd. (EIL) is a
leading player in Indian dry cell batteries market. Incorporated in 1934
the company was - formerly a subsidiary of Union Carbide Corporation,
US and was subsequently taken over by B M Khaitan and the
Williamson Magor group of companies. The name of the company was
changed to Eveready Industries LTD eleven years after its Bhopal plant
was involved in one of the world's worst industrial disasters. Eveready
Industries manufactures and markets Carbon Zinc Batteries,
Rechargeable Batteries, Alkaline Batteries, Flashlights & Packet Tea.
The Company was the first to introduce batteries in India in 1905. The
Company has completed 100 years of its services and leads the market,
in the segment of Dry Cell Batteries and Flashlights. EIL is the world's
third largest producer of Carbon Zinc Batteries and selling more than a
billion units a year. The company is the owner of popular dry cell brand
'Eveready' and markets Carbon Zinc Batteries, Rechargeable Batteries,
Alkaline Batteries & full range of brass, aluminum and plastic
flashlights under this brand name in India.
The packet tea is marketed under the brand name like Premium Gold,
Tez, and Jaago. EIL entered alkaline batteries segment in 2001-02 by
launching alkaline batteries under its own umbrella brand 'Eveready'.
But before that in 1995 the company through Energizer India Pvt. Ltd, a
50:50 JV between EIL and Ralston Purina Overseas Battery Company of
US, manufactures renowned Energizer brand of alkaline batteries in
India. In 1995, a MoU was signed with Gold Peak Industries, Hong
Kong, to develop rechargeable Ni-Cd and Ni-Mg batteries in India.
During 1999-2000, the company commissioned a new poly sleeve
jacketed battery line at Camperdown Works at Kolkata. EIL battery
plant and metal processing plant at Kolkata, as well as the electrolytic
manganese dioxide plant at Mumbai have received the ISO 9002
certification. Since 1996-97 the company under goes series of mergers
and demergers. In 1996-97, McLeod Russel India (MRIL) and Faith
Investments were amalgamated with the company. The business of
MRIL is being carried on by the company as its tea division in the
trading name of Mcleod Russel. Later Bishnauth Tea Company was
amalgamated with Eveready Industries India Ltd.
Today Ask any Indian consumer to name a
Battery and the first brand that comes to mind is Eveready. Not just
among batteries, Eveready is a powerful brand across categories.
Eveready has a portfolio comprising dry cell batteries (carbon zinc
batteries, rechargeable batteries and alkaline batteries), flashlights
(torches), CFLs (Compact Fluorescent Lamps) and packet tea.
Current Products Offering:
Batteries
It is certainly not an overstatement that battery and Eveready have been
synonymous with each other in India since time immemorial. After all,
this is the only battery that has been with the people— in their good and
bad times, in light as well as in darkness- through generations, for over a
century.
Technological advancement of recent times has been nothing but
phenomenal making room for large-scale up gradation and innovation in
portable energy sources. And in keeping with these developments,
Eveready has diversified the portfolio to suit everyone’s needs.
Eveready offers a wide range of batteries to fulfill the diverse portable
energy requirements of progressive India.
? Alkaline Batteries: Eveready Ultima Alkaline battery is the
ultimate energy solution to the power-hungry electronic gadgets of
modern times. It is undoubtedly a new benchmark of quality &
performance in the category of alkaline batteries. The promise of
performance comes with an affordable price tag, making it truly an
ultimate choice. Eveready Ultima Alkaline Batteries are best suited
for power-hungry new age gadgets like Digital cameras, Remote-
controlled toys, Certain MP3 players, High-end portable audio-
recording systems etc.
Zinc Carbon Batteries: Eveready is one of the world’s largest
producers of Zinc Carbon batteries, selling more than 1 billion batteries
every year. The Indian market for dry cell batteries is estimated at 2.2
billion pieces by volume and Rs.14 billion by value, and Eveready is the
undisputed market leader with more than half of the share of the market.
Eveready offers the entire range of zinc carbon batteries required for
various devices. The Zinc Carbon batteries are ideal for:
? Flashlights
? Remote Controls
? Toys
? Penlights
? Cameras
? Clocks
? Medical Equipment
? Electrical Equipment
? Walkman / Discmans
? FM Radios / MP3 / MP4 players
? Transistors, etc.
Rechargeable Batteries: There is a surfeit of power-hungry
electronic gadgets in the market today. With every passing day, the list
of such gadgets only gets longer. As an answer to the changing portable
energy needs, Eveready has come up with Eveready Recharge, world
class range of rechargeable batteries. Eveready was among the foremost
players to foray into the Rechargeable Batteries segment with our
Eveready Recharge brand of rechargeable batteries and chargers.
Eveready Recharge took the rechargeable battery market in India by
storm with its world-class, value-for-money product range becoming an
instant hit. Since today's high-tech devices demand more powerful
batteries, Eveready rechargeable batteries are designed to deliver
optimal performance.
Flashlights
Eveready has been the pioneer in the field of portable lighting for many
a decades. Eveready, with a huge variety of products, is the largest
manufacturer and marketer of torches in South Asia. Well known for its
quality, range, color options and value for money models. Eveready
caters to all the lighting needs of both – the urban and rural consumers.
Ultra-LED Torches: Torches with powerful beams which reach
amazing distances, stronger light with enhanced efficiency, coupled with
superior advantages of the original digi LED torches. The range offers
the user wide choice in shapes, sizes & new metallic colors.
Brass Torches: True to its name, the Jeevan Sathi brass torchlight
has been a trustworthy, constant companion for the discerning Indians
through generations. It is reliable, durable and repairable, making it a
must-have evening companion especially in the villages. It is one of the
most trusted brands in rural India across all product categories.
Aluminum & Plastic Torches: Eveready has always gone for
innovation to bring out new models which suit the diverse requirements
of all its customers. These torches have strong durable bodies, slide
switches for easy handling and come in a wide range of models and
colors.
Rechargeable Torches: Eveready also provides rechargeable
torches to its customers. These have an in-built battery and a plug, for
easy recharge. These torches are true value-for-money and are targeted
at the urban and semi-urban households.
Lighting Solutions
Eveready offers a wide variety of lighting solutions to suit the
requirements of people in both urban and rural areas. Mixing experience
with innovation, Eveready has stable products that match international
standards in terms of energy-saving, longevity and safety. Looking
ahead, Eveready sees its business growing in the following fields:
Compact Fluorescent Lamps (CFL): In 2007, Eveready
forayed into the lighting business with the launch of a range of Compact
Fluorescent Lamps (CFL). In comparison to the general incandescent
lamps, CFLs use lesser power to give out the same amount of light and
save about 80% of the energy. Besides, CFLs also have a longer rated
life of 6,000 hours as per IS: 15111 part 1 & 2.
General lighting service/incandescent lamps (GLS):
Eveready offers a vast range of incandescent bulbs in different sizes,
voltages and colors. Our products from this category are used widely in
household and commercial lighting, apart from portable, decorative and
advertising lighting. These lamps adhere to the best quality standards
and come in a unique packaging.
Halogen Lamps: Halogen Lamps provide greater light and longer
life than conventional incandescent lamps. They are high-pressure lamps
containing halogen gases such as iodine and bromine. The lamps are so
designed that they produce more light per units of energy, thus saving
energy, and last longer. Halogen lamps are used in a variety of
applications. Eveready has on offer halogen lamps that suit every
possible requirement for outdoor lighting and video-shooting purposes.
CFL Halogen Lamp
Packet Tea
Eveready, the group Company of the largest bulk tea producer in the
world, McLeod Russel India Limited, a member of The Williamson
Magor Group, markets and distributes packaged tea across the nation.
Eveready today has offerings worthy of the name of Williamson and
Magor as well as Eveready Industries India Ltd. - Eveready Premium
Gold, Eveready Tez Premium, Eveready Tez Red and Eveready
Jaago Brands, which satisfy the diverse moods of the tea drinker
Eveready Premium Gold:
A premium tea with full bodied flavor and aroma
Eveready Premium Gold for the perfect tea
connoisseur, blend is a delicate, aromatic,
fragrant and refreshing. Premium Gold teas
have become synonymous with the
relaxation and unhurriedness of tea drinking
in the markets where it’s available. The
superior quality of Premium Gold is the
result of meticulous processes that involve
skilled plucking of tea leaves and tea tasting.
A "fine plucking" of the best teas, for Premium Gold, removes only the
greenest, freshest, topmost tender leaves.
Eveready Tez Premium:
Eveready brings the finest brew from
Eastern India - Assam tea, known
worldwide for its body, briskness and
malty flavor. It is strong in taste and
bright in color. Eveready Tez Premium-
the 100% Assam tea is sure to brighten up
the mood at any time of the day.
Eveready Jaago:
Eveready Jaago is a offering to those who take
challenges head on and are always on the move,
which is why they prefer a strong cup of tea. A
cup of Eveready Jaago promises a punch of
strong flavor and rich color made from the finest
leaves from Assam Valley and the Eastern
Himalayan foothills of the Dooars region.
Eveready Ultima Mobile Power
Eveready Ultima Mobile power is designed specifically for use with
tablets and smartphones. With 5200 mAh of power, it can easily
recharge most smartphones twice once and give one full charge to tablet.
It can also charge two devices
simultaneously, with its intelligent
charging sensor detecting which device
needs to be charged first.
This universal portable power pack comes
equipped with multiple charging tips for
all popular phones and models like Nokia,
Sony, Apple, Motorola, Micromax,
Blackberry, etc. The power pack doesn’t
just charge phones and tabs but a host of
other gadgets like handheld gaming devices, Bluetooth and PDAs.
COMPETITORS OF EVEREADY
Major Competitors in Alkaline Segment
Duracell: Duracell is an American brand product line of batteries and
smart power systems manufactured by Procter & Gamble. It is the key
competitor of Eveready in this segment. Duracell’s strong advertising
campaign and quality offering makes it world top selling alkaline battery
brand. Duracell manufactures alkaline batteries in many common sizes,
such as AAA, AA, C, D, and 9V. Duracell is well known for its
durability in India.
Panasonic: Panasonic Industrial Alkalines are designed with a power
density that enables them to last longer. High current and large capacity
is standard, which means high performance for customers. Panasonic’s
Alkaline Power battery is a value for money power solution for those
everyday appliances requiring more power. Standard alkaline range
formulated to provide reliable and dependable power and excellent price
versus quality ratio.
Varta: VARTA AG (Vertrieb, Aufladung, Reparatur Transportabler
Akkumulatoren; Distribution, charging, repair of transportable
accumulators) is a company based in Germany manufacturing batteries
for global automotive, industrial and consumer markets. Varta is another
player in alkaline segment. It offers a wide range of alkaline batteries
which meets the needs of consumers. Varta High Energy Alkaline, Varta
professional Alkaline Series are some of the current popular offering of
alkaline batteries of Varta.
Major Competitor in Rechargeable Battery Segment
Godrej GP: Godrej GP is the major competitor of Eveready
Rechargeable. Godrej presents the international range of consumer
batteries & allied products in partnership with GP Batteries, one of the
world's largest manufacturers of consumer batteries. The Godrej GP has
a strong market presence in the current market. Godrej Batteries is a
business unit of Godrej & Boyce Mfg. Co. Ltd.
Others Competitors Includes:
Kodak Rechareable
Sony Rechargeable
Energizer Rechargeable
OBJECTIVE OF THE STUDY
The main objectives of this study include:
Determine the total placement of Alkaline &
Rechargeable Batteries in the surveyed market area
Identify the key competitor of Eveready in both
segments- Alkaline & Rechargeable
Determine the market share of key players in
Alkaline & Rechargeable segment.
RESEARCH METHODOLOGY
In order to collect the data a primary research were conducted in the
bellow mentioned market area with a standard questionnaire. These
market areas cover Central & North Kolkata.
Markets Name:
APC Road Market, Bagbazar Market, Amherst Street Area, MG Road
Market, DC Mitra Market, Hati Bagan, Nimtala Market, Manicktala
Market, College Street Market, Bow Bazar Market, Central Avenue
Area, Tiretta Market, Bentick Street Area, Dharmatala, Chetla Market
Area, DPS Road.
DATA ANALYSIS
Chart 1: Represent the placement of Alkaline Batteries in
term of outlet type in percentage (%)
Chart 2: Data related to placement of Alkaline Batteries in
numbers
71%
10%
4%
7%
4%
4%
OUTLET TYPE
Kirana
Electric
Electronic
Stationary
General
Others
Total No of Outlet Visited: 251
Total Sale/Month of Alkaline Batteries: 4149
Placement of Duracell: 2871
Placement of Eveready: 1974
Placement of others Brands: 70
Chart 3: Represent the market share of Alkaline Batteries
Chart4: Represent placement of Rechargeable Batteries out
of total 251 surveyed outlets
58%
40%
2%
Market Share
Duracell
Eveready
Others
88%
12%
Rechageable Outlet Out of Total Outlet Surveyed
Do Not Have rechargeable Rechageable
Chart 5: Represent placement of Rechargeable Batteries on
monthly basis
Chart 6: Represent Market Share of High Capacity
Rechargeable Batteries
54%
23%
23%
High Cap Market Share
Eveready
GP
Others
Total High Cap Sold/ Month: 385
Eveready: 206
GP: 90
Others: 89
Total Low Cap Sold /Month: 339
Eveready: 182
GP: 73
Others: 79
Chart 7: Represent Market Share of Low Capacity
Rechargeable Batteries
Chart 8: Represent the Market Share of Key players in
Rechargeable Segment (High Cap+ Low Cap)
54%
22%
24%
Low Cap Market Share
Eveready
GP
Others
54%
23%
23%
Market Share of Rechageable Batteries
Eveready
GP
Others
SWOT ANALYSIS
Strength
? Brand value of Eveready in battery industry
? Market leader in Rechargeable & other battery segment (except
Alkaline)
? Strong understanding of Indian consumer’s preference
? Strong market presence in Alkaline & Rechargeable segment
Weakness
? Cost of Alkaline & Rechargeable battery is quite high as
compared to other competitors
? Quality mismatch in Alkaline segment
? Lack of promotional activity in both the categories
Opportunity
? Proper marketing communication can help to gain more market
share
? Improvement in the quality of Alkaline will create brand loyal
customer base
Threats
? Low cost imported product from China is a big threat
? Entrance of other new players in this segment
? Strong competition among the existing players
RECOMMENDATIONS
? Though Eveready is synonymous with battery but in case of
Alkaline battery, Eveready has a long way to go. Eveready requires
a strong marketing and promotional activity in various media
channels like TV, News Paper, Online, etc.
? As the cost Eveready Alkaline is quite high as compared to other
brand specially market leader Duracell, Eveready needs to reduce
its cost in this price sensitive market.
? Most of the buyers are not fully aware of the benefit of Alkaline
batteries, that is why they are unwilling pay more and prefer Zinc
carbon batteries. In such situation Eveready should take initiative
to make buyers aware about the benefit of Alkaline batteries.
? Eveready needs to create a strong brand value in Alkaline segment
by offering quality product at a reasonable price.
? Offering Alkaline batteries along with other Eveready’s product in
a combo form can help to gain more market share.
? In case of Rechargeable Batteries, in which Eveready is the market
leader with more than 54% share needs to take proper steps in
order to protect the brand from low cost imported batteries.
CONCLUSION
So we finally saw that though battery means Eveready to most of the
people in India but in case of alkaline the story is quite different. The
market size of alkaline is very low as compared to Zinc Carbon batteries.
The cost per unit seems to be the main factor. For instance, an alkaline
battery costs more than twice the zinc battery, though it will last longer.
The higher pricing is because of the higher cost of production and the
opportunity cost for the greater level of efficiency given by the product.
For instance, if a zinc battery will last around eight hours in a gadget, the
alkaline battery is likely to have life three times that.
This, no doubt, justifies the higher price. But the
user is likely to feel the need for alkaline batteries only for high-drain
products such as portable cassette players and cameras. In other
products, say, a television remote-control, the zinc battery is likely to
last six months, and the need for an alkaline battery is not felt.
But still Duracell with its strong marketing skill snatch most of the share
of alkaline batteries. Eveready needs make some move to be the market
leader in this segment in recent future.
As long as rechargeable is concerned the market is in
saturation to decline stage. Use of more advance technology like
Lithium-ion batteries are taking place of rechargeable batteries day by
day.
QUESTIONAIRE
QUESTIONAIRE FOR RETAILERS
1. What is the name of your Store?
…………………………………………………
2. What is the category of your outlet?
a) Retail b) Wholesale
3. Your store falls under which type of outlet?
a) Kirana b) Electronic c) Electric d) Studio e) Stationary
f) Other
4. Do you an Alkaline Battery Seller?
a) Yes b) No
5. Can you tell me avg. monthly sale of Alkaline Batteries in your
store?
……………………..………….. (Units)
6. Which brands of Alkaline Battery are available in your store?
Please mention the units.
a) Duracell b) Eveready c) Other
7. Are you a rechargeable battery seller?
a) Yes b) No
8. Can you tell me the avg. sale of rechargeable battery on a
particular month?
………………………. (Units)
9. Please mention avg. sale of the bellow mention rechargeable
batteries:
High Capacity Rechargeable (Sold/ Month)
Eveready ……… (Units)
Godrej GP ………. (Units)
Others ………… (Units)
Low Capacity Rechargeable (Sold/ Month)
Eveready ……….. (Units)
Godrej GP ……….. (Units)
Others …………….. (Units)
REFERENCES
List of References:
http://www.evereadyindustries.com/
http://www.evereadyindustries.com/about-us/current.asp
http://www.evereadyindustries.com/business/batteries.asp
http://www.evereadyindustries.com/business/flashlights.asp
http://www.evereadyindustries.com/business/lighting-solutions.asp
http://en.wikipedia.org/wiki/Eveready_Industries_India
http://www.godrejbatteries.com/
http://www.duracell.com/procell/en-US/index.jspx
“Understanding The Marketing management” 12
th
Edition by Philip Kotler Page: 52
The Hindu Newspaper Article ?Alkaline batteries: A case to think of?
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