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NIRMA PRICING STRATEGY

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by

jyoti mishra

on 31 August 2015

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Transcript of NIRMA PRICING STRATEGY

Started as a one-product one-man outfit in 1969 by a chemist
karasanbhai patel,
at Ahmedabad.
VALUE FOR MONEY CONCEPT
Introduced the same at an astonishing Rs.3 per kg
Leading brand (surf) was then priced Rs.13 per kg

Initially, Nirma was targeting the rural area in 1970-1990's.
Later on they shifted their focus to lower and middle urban areas.
Value proposition for money.
Acceptability of credit term.
NIRMA PRICING STRATEGY
GUIDE:
DR.VIJAY PRAKASH ANAND



DR.KARSANBHAI PATEL

INTRODUCTION
"it all started to earn side income, and at the stage,i had never imagined this kind of success."
- karsanbhai patel, CMD, Nirma Ltd
The company's mission to provide, "Better products Better value, Better living" contributed a great deal to its success.
STORY OF SUCCESS
At the starting of the company Dr.Karsanbhai patel was making Detergents in the 100 sq.ft. back yard of his home, a village in Gujarat.
Using bare hands and bucket once the mixture is ready, he used to pack them in polythene bag and use to sell door to door.
Followed Simple Steps...
- Rural area focus
- Flat, efficient, robust distribution network
-Aggressive media strategy
Now a company has 15000 employee and yearly turn over 25000 cr. approximately
Consideration While Making The Price
BUSINESS STRATEGY
Backward integration of operations.
Investment in capacities.
Cost control at every stage.
All distribution and channeling activities in conjunction with other operations.
Market creation.
LEARNING TEAM : 03
MEGHA
JYOTI
SAURABH
UJJWAL
SIDDHARTH
MOHSIN
Full transcript