Introduction

Ghari Detergent powder is manufactured by Rohit Surfactants Private Limited (RSPL),

a Kanpur based 3000 crore diversified conglomerate in India. The detergent brand was
founded by Muralidhar and Bimal Kumar Gyanchandani in 1987.

It came to limelight in late 2012 when it beat HUL's Wheel detergent and grabbed the top
spot in terms of market share. After 25 years of its inception, it took the top spot in the
detergent market. In November 2012, Ghari was the market leader with a 17.4% share
compared with Wheel's 16.9% and Tide’s 13.5%.

The product was low priced and targeted at the rural customers, middle class and lower-
middle class customers. A 1 kg pack of Ghari detergent is priced at Rs 35 and a 2.5 kg pack is
priced Rs 85 only.

Two years ago, RSPL flagged off the 'Ghari Detergent Express', a train whose exteriors are
painted with Ghari branding that ran between Lucknow and Guwahati for two months.

Ghari has spread its distribution network to more states now and directly reaches rural
markets, which is its biggest audience. It has 21 manufacturing units, 15 of which were
added since 2006.

The tagline “Pehle istemaalkarein fir vishwaaskarein” (Use it and then believe it) which
encourages trial and prompts repeat purchase.
Promotions are done through roadside shows, magic shows and exhibitions in smaller towns
and cities.

Ghari is for common man and usually it targets household wives. To live in that spirit Ghari
brand has avoided using any celebrity to endorse it unlike wheel (endorsed by Salman Khan),
Rin (Kajol), and Ariel Oxybin (KiranBedi).

RESEARCH METHODOLOGY

Research methodology is an essential part of every report.The field study was conducted to
analyze the market share and understand the Brand image of Ghari detergent. Research
methodology is the scientific way to solve research problem

Scope
 Ghari detergent was launched in India in 1987 and was able to appeal to
lower-income consumers seeking aspirational purchases that are affordable.

 Slowly Ghari was able to attract the attention of consumers in its home region
of Uttar Pradesh as well as the neighbouring Bihar, Madhya Pradesh, and
Punjab regions which soon followed.

 Ghari showed that a company does not need to spend a huge budget on
advertising to attract consumer interest. Word of mouth can be just as
powerful for marketing as it helps build trust and expand brands both
organically and economically in the emerging markets.
 OBJECTIVES OF THE STUDY:

The menace of Gharidetergent has been one of the major social problems that come in the
way of many competition. In this investigation attempt has been made to find answers of the
following research questions.
►What is Ghari detergent soap?
►What are the barriers of Ghari detergent soap?
►What is the position of Ghari detergent soap?
Keeping in view the above questions, the objectives of the study are as follows :
To study the several criteria of Ghari detergent soap.
To study the various barriers of Ghari detergent soap.
 Sample data collection

The survey was conducted in the context of the effective advertisement programme of ghari
detergent soap. For 30% of the data is collected by interviews and the rest 70% was collected
by questionnaire method with the help of general public. The study provides a representative
sample of Westside. Questions are related to awareness.

Research design

The research design would be descriptive and cross sectional.

Data collection.

The data would be collected from primary source through questionnaire and interview
method. The sample would be surveyed on the basis of questionnaire and data would be
quantified for the further analysis.

Sample size

The sample would be selected on random basis at the survey itself. A sample of 100
respondents would be used in the research.

Data Sources

Both primary and secondary sources of data will be used.

The major type of information used is primary data. This is done through primary survey and
the rest of the information is used from the secondary data.
 Limitation of the study

 This report based on some selected questionnaires only and only some public
feedback were analysed here.
 This report based on the only 100 of respondents (Mumbai) not
internationally.
 This report may change with Social, Economic, and Political etc.
 This report may also have certain procedural errors.
 This report is based on the perception of the public.
 A tentative information has been used to make this report.
 Introduction to Ghari detergent soap.

Ghari Detergent powder is manufactured by Rohit Surfactants Private

Limited (RSPL), a Kanpur based is more than 5000 crore
diversified conglomerate in India. The detergent brand was founded by
Muralidhar and Bimal Kumar Gyanchandani in 1987. When Ghari was
launched, market was already dominated by big brands like Surf and Nirma.
Over the years since the launch of Ghari detergent powder, till date there have
been introduction of plethora of brands from biggies like HUL and P&G and
many local players. It came to limelight in late 2012 when it surpassed
HUL's wheel detergent and grabbed top spot in terms of market share. It took
almost 25 years for Ghari to be the market leader in detergent market. In
November 2012, Ghari had a 17.4% share compared with Wheel's 16.9%. And
followed by Tide and henko
 History

In 1987, a year before Wheel was launched by HUL, without much attention of
media or public, Muralidhar and Bimal Kumar Gyanchandani launched Ghari
detergent in Kanpur, Uttar Pradesh. In 1988, Muralidhar and Bimal Kumar
incorporated ShriMahadeo Soap Industries Pvt. Ltd. under which they started
manufacturing Ghari detergent. Eventually, ShriMahadeo Soap Industries Pvt.
changed its name to Rohit Surfactants Private Limited (RSPL) in June 2005.
It is said that Ghari was inspired by Nirma, which was launched in 1969 and
evicted HUL's Surf within four years of its launch to become the market leader
in 1987 having a market share of around 30%. Nirma was at its peak when
Ghari was launched in 1987. In 1988, HUL launched Wheel to take on Nirma
which snatched top spot from Nirma in 2000. Ghari had to compete against two
big players Wheel and Nirma since its launch. After 25 years of its inception, it
took the top spot in the detergent market in 2012.
 ADVERTISING IMPACT
 Ghari is using low budget promotional strategy
 In advertising we are going to use both the print media and
the non-print media.
• Television commercials which are going to be run on
drama channels.
• In printed media, the company can also make
advertisements in magazines and billboards. Magazines
will include cooking magazines and women digests.

 Ghari has been showing the same kind of advertisements since

ages which lacks novelty and innovations

 Innovative adverstisements (preferably showing rural set-ups and

people)should be created highlighting more on its quality. Pricing
and market share along with its USP "pehle istemal karein fir
vishwas karein".

 Genuine customer testimonials can be shown (home-makers from

lower and middle segment households with whom rural people can
feel a connection)

 Trains used in the promotions of Ghari (Ghari. Detergent Express,

pushpak Express and Swarna Jayanti Express) can be taken
through new routes for more visibility different states (specially
rural areas)
 Marketing and Branding Strategy

Compared to competitors who provided 5% profit margin, Ghari detergent provided a profit
margin of 6-7% to its dealers. This enabled Ghari to have a stronger dealer base to push sales
while keeping its prices low.

Following Nirma’s success story

• Ghari used Nirma’s bottom of the pyramid approach to cater to a large set of
customers. It was able to achieve market share with the detergent powders which was from
market expansion. Through low cost pricing, it switched users from loose-pack detergents to
branded ones.

Geographical Concentration

• Ghari focussed on Northern India and also setup their production plants in
Uttar Pradesh (U.P.). UP, with population of over 167 million (highest amongst states),
accounted for over 12% of the country’s FMCG sales. The nearby markets of Bihar, Madhya
Pradesh and Punjab along with UP comprised one third of the total consumer products market
in India. Ghari was successful in penetrating and capturing these markets where it currently
has over 3500 dealers.

Lower Profit Margins

• Usually in Indian Detergent industry the manufacturers keep profit margins of

12-13% while RSPL curtailed its margins to just 9%. This sacrificing of margins for market
share helped Ghari in gaining customer base rapidly among price-sensitive mass market.

Word-of –mouth promotion by Dealers

• Incentive to dealers: Ghari provided a profit margin of 9% to dealers

compared to its competitors which shared just 6-7% with their dealers. This incentive
mechanism coupled with a huge dealer base helped Ghari in pushing sales while maintaining
low prices.
 Branding and Promotion

 Ghari has the distinction of not using any celebrity to endorse their products while
other companies have used celebrities like Salman Khan (Wheel), Kajol (Rin) to
promote their products.
 Marketing and promotional expenses just 2% of its sales.
 Some of the promotional activities undertaken by Ghari include:

Ghari Detergent Express

 The Ghari detergent has taken their brand to the trains by starting putting the
advertisements inside the bogies. Consider trains to be a good medium to create brand
awareness by connecting to the rural audience and have selected the trains that run
through 3-4 states.

Roadside Shows and Exhibitions

 The company also used platforms like magic shows and roadside exhibitions to reach
out to its customers in smaller towns and cities. The success of these campaigns gave
the brand good visibility in cities such as Alwar, Indore, Jaipur, Kota, etc.
 Future plan
 Struggling with low-margin pressure in the popular segment, RSPL has
recently launched a mid-premium brand called ‘Uni Wash’
 Through this product they plan to compete with Tide (P&G) and Rin,
which are the current dominant players in this segment. This step will
help in the longer run as the spending power of rural consumers is
increasing, making them look for various options. However, the
increasing penetration of washing machines in rural areas is a threat to
Ghari as it is chiefly used for just bucket-wash.
 The company is also looking forward to take its Ghari brand to South
India and advertise in the trains bound to Trivandrum. However, they will
need to modify their logo as it is currently available only in Hindi. Also,
they may need to move some of their production facilities to South to
reduce logistic expenses and subsequently challenge local southern
brands.
 Marketing Mix (4P’s)

 Product

1. Ghari detergent is a mediocre brand

2. It is formulated in accordance with the well defined parameters of the
industry. To ensure flawlessness and accurate results, it is thoroughly
inspected before dispatching to the customers permisis
3. Variants are:
 Detergent cake – 340Gms, 95 Gms
 Detergent powder – 3kg, 1 kg, 500 Gms, 210 Gms, 90 Gms, 15 Gms.

 Price

1. Pricing is inspired by Nirma’s low cost model. Ghari followed Nirmas strategy
of keeing low price and targeting customers at the bottom of the market.
2. Keeping in mind its target market, i.e. the lower end of economy, the company
has as far as possible, avoided passing on the burden of rising raw material
costs on to the customers

 Place

1. Before going national which would spread its resources very thin RSPL
focused on Uttar Pradesh to begin with,which has a population of 167 million
and accounts for over 12 per cent of the country’s FMCG sales.
2. It focused on developing an intense distribution network to reach the
customers effectively, which is evident from the facts that out of 3000 dealers
 in india, 900 dealers are in UP and 25 of them are in Kanpur alone. It has
almost 50% of its 21 manufacturing units in UP

 Promotion

1. RSPL has attemped to prove that you can be innovative without splurging and
without hiring anyone from the IIMs, either. Ghari spends under 2% of sales
on A&P – as against 12-14% spents by its MNC peers – which helps it sustain
its low margin high volume strategy
2. All advertisement are centered on the tagline ‘Pehle istemaal karein fir
vishwas karein’ (use it and then believe it) which encourage trail and prompts
repeat purchase.
 SWOT ANALYSIS

Strength:
1. Market leader in the tier-3 & tier-4 segment of detergent market in India
2. Strong reach to the rural consumer
3. The tagline ‘Pehle istemaal kare fir wishwaas kare’ has struck a chord amongst the
price-sensitive mass market

4. High push by retailers and high word-of-mouth amongst consumers

5. Good branding through TVCs and print ads

Weaknesses:
1. Limited export market as compared to international brands
2. Unable to completely penetrate in premium segment because of image

Opportunity
1. Entered western & southern India recently where lies a huge market opportunity
2. Further penetrate the rural market by collaborating with various NGOs

Threats
1. Low profit margins in detergent sector
2.Threat from existing and new players in the market
 Porter's five models
1. Rivalry among existing competitors:
The major Competitors are wheel and nirma in the popular segment and surf and tide
in the overall market.
Currently Ghari is a Market leader with the market share of 17.3%
Wheel is at 2 number with the market share of 16.9% and tide is 3rd at a market share
of 13.5% Nirma has Market share of less then 6% now.
HUL gives tough competition in the detergent market as it has one product for each
segment viz (surf premium segment) Rin (mid-scale) and Wheel (Popular)
Ghari competes mainly on its affordable pricing, target market segment, distribution
each (mainly in rural areas)

2.Threats of new entrants:

As ghari is not a very high quality product, entry of detergents with better quality but
affordable pricing can be a serious threats.

3.Threats of substitude products:

In today's fast life every women do not have the time and pateince for manual
washing of clothes.This is the age of highly innovative washing machines.Ghari is a
(bucket-wash detergent) which can be threatened by sophisticated detergents meant
for effective as well as gentle washing of clothes in washing machines.

4.Bargaining power of suppliers:

Suppliers tend to have a low Bargaining power as ghari is not of a very superior
quality, and the basic ingrediants are easily available since,there are numerous
suppliers in the markets, Switching cost for the Raw materials is also not very high.

5.Bargaining power of buyers

Buyers do possess a strong Bargaining power as Ghari is a major contributor to the
turnover of RSPL (it ended fiscal 2011 with net sales of 2,200 crore) mostly, buyers
have full information about the products and market even in rural areas, products are
more or less undifferentiated in terms of features.( Ghari is priced as 10% premium
over Wheel and Nirma at 35akg)
 Data analysis and interpretation

This Survey was conducted online that I request my friends, family member, and other
relatives to provide their feedback by filling this form. In the surveys, interviews and study
conducted below I came across many social factors that influence the public’ awareness.

The age groups were found the most response one because most of ages between 18-38 were
aware of Ghari detergent soap and they usually prefer ghari detergent soap.

It was surprising that the youth were also aware about this power detergent soap.

Respondent were also asked, what type of power soap they are most aware about.

The highest numbers of category of power soap answered by respondents were ghari
detergent soap.
 Survey results

1.Are you aware about "Ghari detergent soap"?

Yes

No

Interpretation- In this questionnaire it was found that 97% of respondents were aware about
ghari detergent soap and only 3% were not aware about it.
2.What type of power detergent soap are you aware about?

Ghari detergent soap

Tide
Surf Excel
Nirma

Interpretation- In this survey it was found that 45% of respondent was aware about ghari
detergent soap , 25% were about Tide soap, 20% were aware about surf excel and rest were
aware about Nirma and other category.
3.Isn’t Ghari detergent soap easily available in most of the retail stores?

Yes
No

Interpretation- 90% of the respondents answered that ghari detergent soap is easily available
in the retail store.
4.How you got to know about ghari detergent soap?

Sales

T.v
Newspaper
Magazines
Other

Interpretation- 43% of respondent were aware about ghari detergent through televison while
36% of respondents were aware through newspaper and rest finds it in the magazines and
other mode of advertisement.
5.Isn’t their advertisement attractive?

Yes
No

Interpretation- 52% of respondents finds its advertisement attractive and 48% of

respondents have not found it attractive.
 Conclusion
It has been persistent effort of Ghari to make consumer brand available to
masses at an affordable price. Hence, it takes utmost care to provide finest
products under Ghari Brand at the most affordable prices. To leverage this
effort, Ghari has gone for massive backward integration along with expansion
and modernization of the manufacturing facilities.

The focal objective behind modernization plan is of up gradation with resource-

savvy technology to optimize capabilities. Ghari’s six production facilities,
located at different places, are well equipped with state-of-art technologies. To
ensure regular supply of major raw materials, Ghari had opted for backward
integration strategies. These strategic moves allowed Ghari to manage effective
and efficient supply-chain.

So, Ghari has been the most loving brand of the people. It has faced some
problems but at every time, its extra ordinary efforts have made Ghari a good
brand.

As most of the people were aware about ghari detergent soap.

In one year, much more diversification was done in it.

In this survey greater amount of ghari detergent soap is sold in rural areas.

Marketing executive can increase their sales through better advertisement.

I can conclude that ghari detergent is one of the oldest power detergent soap
which is still stable in the market.
 REFERENCE
BEBLIOGRAPHY

 https://en.wikipedia.org/wiki/Ghari_Detergent

 https://www.scribd.com/doc/30223353/Market-Research-Project-on-Detergents

 https://www.slideshare.net/rajlakshmi2611/ghari-detergent-ppt

 http://timesofindia.indiatimes.com/business/india-business/Ghari-detergent-all-set-to-
enter-Nirmas-home-turf/articleshow/47938452.cms

 Wikihow.com