JYOTHY LABORATORIES LTD

STRATEGY PRESENTATION

Chairman says

“At Jyothy, our principal contribution has been an entry into niche spaces occupied by the unorganised sector, introducing the discipline of the organised sector around the costs of the former, enhancing the consumer experience, widening the market and accounting for its significant share.”

- Mr. M.P RAMACHANDRAN

INTRODUCTIONINTRODUCTIONJYOTHY LABORATORIESJYOTHY LABORATORIES

• Started in the year 1983.• Its currently a 500 crore mid size FMCG company, founded by

Mr.M.P. Ramachandran.• Single product proprietary firm into a multi-brand company. • Opted for IPO on 28th June 1996 with price band of 620-690.• It issued 44,30,260 equity shares at Rs.5 each• It was ranked 55th by ECONOMIC TIMES MOST TRUSTED BRAND

Present Product Range

Diversification

Fabric Care Fabric Care Service Segment

JYOTHY FABRIC SERVICES LTD

A Huge business potential for organized laundry care in India.

SERVICE LIFE CYCLE

LAUNDRY SERVICESECTOR

SALES

TIME

2009

Market Summary

• Current demand of outsourcing is 5200 Cr

• 1300 to 2600 Cr worth laundry is done by households.

• Crude, Unhygienic washing methods.

• Improper drainage systems

• Huge markets are mainly based at Metros.

JYOTHY FABRIC SERVICES LTD

18 months long research

Initial Investment 40Cr

Chosen BANGLORE for venture.

Set up a plant with a capacity of serving 40,000 garments a day

Target audience

Double income familiesPeople working at IT sectorCorporate audience (aviation, hotel, etc.,)

JFSL BUSINESS MODEL

Strategy followed

• Acquisition: They entered the market by acquiring Snoways which already had 16 retailer outlets at BANGLORE serving the same.At entrance itself they cut the competition of an organized retail chain and gained advantage of competitor.

• Growth Strategy: Ujala as a product itself cant be innovated to a larger extent. So as a growth for JLL entered, into service segment.

• Forward Integration: From selling washing products to washing clothes.

Contd..

• Straddling the Pyramid:• Successful in reaching different SEGs.

• Super Premium – Premium – Economic class.• Economies of scale.

• Test Marketing:• Test marketing was done at BANGLORE, IT hub.

• Solution Marketing:• Providing product was just not enough, so they entered in

providing solutions.

MARKETING MIX STRATEGY (4P’S)

SWOT ANALYSIS

Opportunities

Future Plans

• Increasing service awareness among people.

• Expanding their services at Hyderabad, Pune and Chennai.

• Mobilizing the services by adding mobile van’s.

• By mid 2010, they will serve all kinds of customers.

• In 2years they will reach the break even and in next 5 years they are hoping to have a pan-india presence

Achievements

• Company is already sourcing for institutional businesses such as airline, hotels, restaurants etc.,

• Currently it has 48 corporate clients.

• 1 main service station with 5 quick service stations and 25 collection and delivering stations are inaugurated.

Thank You!!!!!!!!!!