Introduction

Ability to retain the core values and purpose of the company with time makes a strong

brand. Manifestation of these might change from time to time depending on internal and

external factors. Asian Paints is a shining example of this truth. The brand Asian Paints

has stood for different things at various points of time without ever compromising on its

core values and core purpose.

Asian paints is the largest paints company in India and one among the top ten decorative

paint companies in the world. From its humble beginnings, the company has moved on to

become the largest paints company in India with a market share of 30 per cent.

Asian Paints is India's largest paint company and the third largest paint company in Asia

today, with a turnover of Rs. 30.2 billion. The company has an enviable reputation in the

corporate world for professionalism, fast track growth, and building shareholder equity.

Asian Paints operates in 21 countries and has 29 paint manufacturing facilities in the

world servicing consumers in over 65 countries.

Asian Paints Colour World is the brand name for the one-stop colour shop of Asian

Paints, which are unique paint shops where shades are generated with the help of a

computer with software to choose and select 1,511 shade combinations, designed to reach

consumers in a direct `dil se' style.

Asian Paints has the largest range of colours in the market (e.g. Over 127 shades of

green, 206 shades of blue, 118 shades of yellow and many others) and the outlet allows

the consumer to choose any among a vast range of colours with the help of a computer.

One of the country's leading business magazines "Business Today" in Feb 2001 ranked

Asian Paints as the Ninth Best Employer in India. A survey carried out by 'Economic

Times' in January 2000, ranked Asian Paints as the Fourth most admired company across

industries in India

The company has come a long way since its small beginnings in 1942. Four friends who

were willing to take on the world’s biggest, most famous paint companies operating in

India at that time set it up as a partnership firm. Over the course of 25 years Asian Paints

became a corporate force and India's leading paints company. Driven by its strong

consumer-focus and innovative spirit, the company has been the market leader in paints

since 1968. Today it is double the size of any other paint company in India. Asian Paints

manufactures a wide range of paints for Decorative and Industrial use.

Vertical integration has seen it diversify into products such as Phthalic Anhydride and

Pentaerythritol, which are used in the paint manufacturing process. Asian Paints along

with PPG Inc, USA, one of the largest automotive coatings manufacturers in the world

has begun a 50:50 joint venture, Asian PPG Industries to service the increasing

requirements of the Indian automotive coatings market. Another wholly owned

subsidiary, Asian Paints Industrial Coatings Limited has been set up to cater to the

powder coatings market which is one of the fastest growing segments in the industrial

coatings market. This wholly owned subsidiary of Asian Paints has entered into a tie-up

with Canada-based Protech Chemicals which is one of the top ten powder coatings

companies in the world for technological know-how in the area of powder coatings.

Board directors

Mr. Ashwin C. Choksi, Chairman

Mr. Ashwin S. Dani, Vice-Chairman and MD

Mr. Abhay A. Vakil, Managing Director

Members

Mr. Mahendra C. Choksi

Mr. Amar A. Vakil

Ms. Tarjani Vakil

Mr. Deepak M. Satwalekar

Mr. Dipankar Basu

History

The history of Asian Paints dates back to 1942. It was started by four entrepreneurs,

Champaklal Choksey, Chimanlal Choksi, Suryakant Dani and Arvind Vakil, as a

partnership firm for manufacturing paints, in a garage rented for Rs. 75 a month. In 1945,

the partnership firm was turned into a private limited company named Asian Oil & Paint

Co. Pvt. Ltd. And in the same year, its turnover touched Rs 0.35 million.

In the 1940s, it was largely multinational companies such as British Paints and Jenson &

Nicholson that dominated the Indian paints market. In order to increase revenue, Asian

Paints concentrated on the smaller towns ignored by multinationals. In 1954, Asian Paints

asked the famous cartoonist R.K. Laxman to create a mascot for the company, and from

his pen was born – Gattu – which emerged as one of India’s most memorable mascots.

However, AP’s market research found out that in rural India, farmers who wished to paint

the horns of their bullocks preferred to buy paint in small packs. Soon AP came out with

50-ml packs, which became very popular.

1st February, 1942

Armed with little knowledge and great determination, Champaklal H. Choksey,

Chimanlal N. Choksi, Suryakant C. Dani and Arvind R. Vakil got together to

manufacture paint in a garage on Foras Road, Bombay. They named their company 'The

Asian Oil & Paint Company', a name that they picked randomly from a telephone

directory.

1945

Asian Paints touched a turnover of Rs. 3,50,000, with an innovative marketing strategy

"to reach consumers in the remotest corners of the country with small packs."

1954

Asian Paints mascot, Gattu, the mischievous kid, is born.

1957-66

The family-owned company made the transition to a professionally managed

organization. British company Balmer Lawrie rejected the products of a giant British

paint company in favour of Asian Paints. Asian Paints embarked on an ambitious

grassroots marketing campaign, partnering with thousands of dealers in small towns all

over India.

1967

Asian Paints emerged as India's leading paint company ahead of any international

competition. Asian Paints became the 10th largest decorative paint company in the world.

Asian Paints is more than twice the size of its nearest competitor. It is recognized as one

of the most admired companies in India. It is present in 22 countries with 27

manufacturing locations, over 2500 SKU's.

On the recommendations of Booz, Allen and Hamilton, Asian Paints restructured itself

into Growth, Decorative and International business units and adopted SCM and ERP

technology. Asian Paints aims to become the 5th largest decorative paint company in the

world.

Vision "Asian Paints aims to become one of the top five Decorative coatings companies world-

wide by leveraging its expertise in the higher growth emerging markets. Simultaneously,

the company intends to build long term value in the Industrial coatings business through

alliances with established global partners."

Mission

Asian Paints aims to become the largest decorative paint company in the world and to

rank among the top 5 paint manufacturing companies of the world.

Core Values

• Commitment and Integrity in dealing with internal and external customers

• A strong belief in individual ability and creating an environment in which

entrepreneurial spirit is encouraged

• Ownership and Responsibility

Core Purpose

To continuously rejuvenate every living and working space of people and bring joy to their lives.

Core thought

• Asian paints is about people who invest emotional energy in creating their homes

• Asian Paints is about homes which reflect the taste and love of their owners/residents

Brand Leadership

The Brand Leadership model is based on various actions taken over a period of time.

a) 1942-1967: Evolution Phase

b) 1967-1982: Extension and Consolidation Phase

c) 1982-1986: The years of Excellence

d) 1987-1997: Moving Closer to the Consumer

e) 1997-1999: Changing rules of the game

f) 1999- 2007: The new Asian Paints

The Evolution phase

• Stiff competition from MNC’s

• Product innovations

• Reaching rural

• Seeding relationships

• Quality Products

• Ensuring service to network

All this leading to leadership status in 1967

The Excellence Years

• Launch of new technology in terms of tinting which gave a huge fillip to shade

selling

• Product innovation

• Connectivity with the sales set up

• It was the largest manufacturer of paints in Asia and the sixth largest in the world.

However, this was not perceived by the consumer.

• Asian Paints also seen to be a company that made paints such as distemper, ordinary

enamel and emulsion paints, for the masses.

• In 1983, the first corporate communication

Objectives

(i) Establishing Asian Paints as the leader in the paint category

(ii) Presenting it as a manufacturer of premium paints

(iii) Establishing high salience for Asian Paints in what was inherently a low interest

category

1997-99 Changing rules of the game

• There was a revamp of various Management processes through a re-structuring

exercise

• This helped in bringing more focus to the corporate brand and aided the process of

innovation in products and services

• A series of initiatives launched bringing the brand more closer to the user

• The initiatives included:

1. Launch of an Asian Paints Helpline, a service to fulfill the information needs of

any person planning to paint

2. Launch of retail shops offering a series of decision making tools and shade

options along with a communication campaign to create the excitement

3. Investing in technology to improve supply chain efficiencies and giving a

platform to enter into some CRM initiatives.

Moving Closer

• Consumer research showed “Paints are seen to rejuvenate and brighten up a gloomy

place, and give a room a more spacious look. Painting signifies festivity, life and

plenitude”

– Celebrate with Asian Paints - thus evolved.

– It ventured to help people think of the joy that follows painting rather than the tedium

of the process.

– It established Asian Paints as a paint for all surfaces, a paint that delivers “lasting

beauty” through its durability and good quality

– It also created advertising that related to specific festive occasions in each part of the

country delivering regional empathy

• Asian Paints associated with festive events across the country

– By the end of this period, the brand ‘Asian Paints’ achieved very high salience as

well as a highly favorable disposition

– Above , there was a warmth which people felt for Asian Paints

• Established Asian Paints top of mind with a huge competitive edge.

• During this phase the process of product innovation continued

• Two launches one in rural and the other in Exteriors gave a fillip to the overall

image of the brand

• A series of brand building efforts were undertaken in lower market share

geographies

• A lot of excitement was created by investing into communication for other brands

International Operations

Asian Paints operates in 22 countries across the world. It has manufacturing facilities in

each of these countries and is the largest paint company in ten overseas markets. Asian

Paints operates in five regions across the world viz. South Asia, South East Asia, South

Pacific, Middle East and Caribbean region through the five corporate brands viz. Asian

Paints, Berger International, SCIB Paints, Apco Coatings and Taubmans. In ten markets,

it operates through its subsidiary, Berger International Limited; in Egypt through SCIB

Paints; in five markets in the South Pacific it operates through Apco Coatings and in Fiji

and Samoa it also operates through Taubmans.

The countries that Asian Paints has presence are as follows:

South Asia : Bangladesh, Nepal, and Sri Lanka

South East Asia : China, Malaysia, Myanmar, Singapore and Thailand

Caribbean Islands : Barbados, Jamaica, Trinidad and Tobago

Middle East : Bahrain, Egypt, Oman and United Arab Emirates

South Pacific : Australia, Fiji, Solomon Islands, Samoa Islands, Tonga

Advertising of Asian Paints

Advertising Objective

Position Asian Paints Colour World as the ‘one stop paint shop’ with all the colours one

could want. The advertising should create enough interest in potential consumers to

ensure that they come to the Asian Paints Colour World outlet or at least call the Asian

Paints helpline.

The Asian Paints Advertising Strategy

As can be seen from the Creative Brief, the ad is strategic in nature, being a part of the

Asian Paints campaign promoting Asian Paints as the brand with the largest range of

colours and one that will satisfy the consumer and is able to give him precisely what he

wants. The advertising through the campaign is single-minded and focused in its

proposition, communication and target audience. The campaign included TVCs and other

print advertisements as part of the same communication.

At the time, Asian Paints had 13 brands with over 1,100 shades, targeting different

niches. They were beginning to realize that though some brands like Apex emulsions,

Royale interior emulsion, Apcolite and Touch Wood had high recall; none except Tractor

distemper were almost generic. Therefore, they decided to promote the corporate image

and the various brands under their umbrella brand ‘Asian Paints’ through their

communication, pushing the generic Asian Paints brand instead of pumping in investment

on individual brands. This leveraged on the advantage that Asian Paints was the one

company in this low-involvement segment where people actually asked for the paint by

brand, breaking away from the earlier tradition where consumers were not known to be

very brand-conscious in this low-involvement segment and, more often than not, relied

on what the painter bought for them within the budget allocated, being more specific

about the colour than its source.

Critical Appreciation of Asian Paints Ads

Layout and style

Asian Paints makes excellent use of layout and colours, including camera techniques

(focus and aperture in the image) that ensure that the viewer’s eye moves just as desired

from image to headline to the sub-headline and finally to the body copy. AP makes good

use of space to do justice to all the elements of the ad in order that it not look cluttered or

messy and promotes recall by reaching out in a way that makes one smile.

Ad objective

The advertisements of Asian Paints successfully incorporates the objective of reaching

out and touching the consumer by the use of the insight of how persons in the phase of

searching for the right shade of interior paint are prone to bringing samples to show their

painter visually exactly what they can’t otherwise express verbally.

Headline

The use of Hindu as a language in the headline and sub-headline of the Asian Paints ads,

even though the ad in question is published in the Reader’s Digest (March 2000 issue)

Indian edition, is judicious in that a large majority of the reader’s would not only

understand the language but perhaps even find it more appealing, even as it goes with the

corporate image of the ‘Indian-ness’ of the brand, right down to Gattu, the mascot.

Media channel

Asian Paints is very strategic and selects media channels keeping in mind the target

audience. The use of the particular media channel of Reader’s Digest also reaches out to

the target consumers in terms of their potential as possible converts from low

involvement purchasers. The ad itself shows the image of a man who the readers would

find it easy to identify with. (Note – 57% of reader’s of the publication are between the

ages of 35-54)

The time of publication of the advertisement (March 2000) also coincides with the

purchase occasions of the product. Demand for paints is seasonal in nature - low during

monsoon, high during festivals. The growth in the construction activity leads to first-time

demand for the new structures coming up. The re-painting, or replacement, demand arises

usually during festivals, when people paint their homes. The ads are published at the time

of various festivals for eg. Once AP published their advertisement just before the Holi,

which incidentally, is also a festival of colours.

Key Consumer Benefits of Advertisements

Proposition

The outlet allows the consumer to get ‘just the right shade’

Support

Asian Paints has the largest range of colours in the market (e.g. Over 127 shades of

green, 206 shades of blue, 118 shades of yellow and many others) and the outlet allows

the consumer to choose any among a vast range of colours with the help of a computer.

Tone and Manner

The tone of the advertising should be educative yet appealing. It should touch a chord in

the reader’s heart so that he identifies with the communication and sees it as speaking

directly to him.

Other Considerations

· Use the colours, logo and symbol of Asian Paints and Colour World, which are a

pneumonic essential to all brand communication.

· Asian Paints keeps in mind that the advertisement should be in line with the overall

communication strategy of the brand and primarily should support the proposition

advertised in the television commercials.

· During primary research it is seen that persons during the phase of getting their house

painted look for just the right shade and are prone to collecting samples to visually show

their painter exactly what they had in mind and could not always express verbally. This

insight is incorporated in advertising of Asian Paints.

''Cutting'' ad - 'Har ghar kuchh kehta hai' By: Ashishpruthi | Sep 14, 2005 03:55 PM

Member's Rating of this Product:

Member's Recommendation of this Product: Yes

Jingle:

This advertisement is one of the examples of brilliant execution, communicating the

brand message through kids without the use of any professional models/adults in the ad.

The colours speak for themselves, is a well chosen theme for one of the well executed ad

on TV. It shows children (a boy and a girl) doing all kinds of mischief’s cutting papers,

clothes, etc. and pasting on walls painted with different colours. Another good ad by

Asian Paints after the whopping success of the ’Sunil Babu’ campaign and still

reinforcing on the umbrella brand punchline ’Har ghar kuchh kehta hai’. The entire

feelings and emotions connected to colours which actually correlates different moods

with corresponding colours. Overall, an excellent concept which reinforces the punchline

and clearly communicates the brand message using a emotional platform. Would not be

called ’Pester power’ though considering the fact that the kids are not the decision makers

in the category, the ad communicates a message to the parents through the kids.

Awards

Awarded the “Sword of Honor” by the British Safety Council for all the paint plants

in India. This award is considered as the pinnacle of achievement in safety across the

world.

Forbes Global magazine, USA ranked Asian Paints among the 200 'Best Small

Companies of the world' in 2002 and 2003 and among the top 200 'Under a Billion

Firms' of Asia in 2005.  

Received the Ernst & Young “Entrepreneur of the Year – Manufacturing” award in

2003.

‘Asia money’ - one of Asia's leading financial magazine ranked Asian Paints as the

“Best Small Company in India for 2002” (Small company implies companies with

market capitalization of below USD 500 million).

Environment, Health and Safety Policy of Asian Paints

We shall focus on resource optimisation and waste minimisation. We believe that these

measures will help in sustainable development. We are committed to Continual

Improvement in the area of EHS. We will give priority and attention to health & safety of

employees. We will impart training to all employees to institutionalize EHS values

throughout the company. We will encourage sharing of information & communication of

our EHS management system with the stakeholders. We will educate customers and the

public on safe use of our products.

"Water is precious. Every drop counts. “Fresh water is a limited and scarce resource

that’s often taken for granted. Ever imagined a time in the future when there won’t be

water for even drinking, leave alone wasting?  That time is nearer than you think.  And

more than anything else, our mindless wastage of water is prime reason.  Today we are

on the brink of water scarcity. We, at Asian Paints, understand this and it’s our endeavour

to create awareness on this alarming issue.

So Save Water today. Water will save you tomorrow.

Asian Paint’s main effort is to help conserve water. Asian Paints has built a Total Water

Management (TWM) Centre, at its Bhandup manufacturing facility, which is a first of its

kind in the entire country. The TWM centre showcases live working models on water

conservation and rainwater harvesting. Asian Paints provides expertise to citizens free of

charge to implement Rainwater harvesting and total water management concepts.

The water management schemes could be designed in phases, so investments are not

significant.  Also a payback period can be determined for investments.

So if you are interested in implementing rain-water harvesting and total water

management solutions in your society, institution on your organization, do let us know.

We would be glad to prove you all expertise at no cost.  You can also visit the TWM

centre to understand the various concepts of total water management.

Conclusion

Asian Paints is the undisputed leader in the paints industry. There have not always been

good times for the industry, but the company has done well to retain its top position. It

has been ruling the decorative paints market for over 40 years and till date has been

successful in catering its consumers in this segment.

The main aim of Asian Paints is to stick to the core values of the company, ensuring

product quality and improving on the same. It constantly emphasizes on the innovation of

products and services in anticipation of MNC entry. Asian Paints has always been

introducing high technology products in line with the desired Brand Personality and

continuously investing in advertising so as to keep pace with times.

Asian Paints has attained excellence in the execution of various initiatives and there has

been a shift towards the ultimate consumer with a range of services. This brand has

always kept in mind that shifting the brand to a higher moral ground ensures connect with

the customer at the emotional level.

The company has also been strengthening its already extensive network with over 15,000

dealers spread over all its market. This is the fast growth segment where Asian Paints is

the market leader in this segment. Asian Paints has a presence in the form of Asian PPG,

a joint venture with PPG, a world leader in industrial paints.

The future for Asian Paints is certainly bright. In terms of earnings, the performance over

the third and fourth quarters of 2002 and later has been better than before. The Company

is not likely to face any major problems in the near term.