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1. BIGGEST AYURVEDIC COMPANY
PRINCIPLE of MARKETING

2. Introduction
• Patanjali Ayurved, is an Indian multinational consumer packaged goods
company, based in Haridwar, India, that was started by Ramdev and Balkrishna in
2006. Its manufacturing units and headquarters are in the industrial area of
Haridwar, Uttarakhand while the registered office is located at Delhi. The company
manufactures mineral and herbal products. According to a company official, sales
in early March 2016 were ₹45 billion (US$630 million) with monthly sales of ₹5
billion (US$70 million)–₹5.5 billion (US$77 million). Acharya Balkrishna remains the
CEO of Patanjali Ayurved with 96% shareholding and supervising its day-to-day
activities, while Ramdev remains the face of the company and makes most of the
business decisions.
PATANJ
ALI

3. Different
products
Patanjali
deals in:

4. Product Folio of PATANJALI
Patanjali manufactures 444 products currently.
• Nutrition and Supplement- chawanprash, badampak, Ghee, Honey, health drinks, and fruit juice
• Grocery- Biscuits, spices, candy, herbal tea, jam murabba, sonpapadi, natural sugar, broken cereals,
pickles, salt, mustard oil, rice, noodles, oats, papad.
• Medicine- kwath, vati, bhasma, syrup, churna, arishta, asava, guggulu
• Homecare- agarbatti, dish wash bar, herbal gulal, hawan samagri
• Personal care- face packs, face wash, face cream, body lotion, aloe vera gel, Shaving gel, scrub,
toothpaste, toothbrush, tooth powder, shampoo, hair oil, conditioner, hair color, lip balm, detergent
powder
• Books & Media- Mp3, vcd, dvds, books, audio cassettes
• Health care- digestives, health & wellness

5. Where is the Organization now?
In this Segment we are going to talk about:
• Porter’s Five factor
• SWOT Analysis

6. PORTER’S
FIVE FACTORS
• It is a framework for
analyzing a company's
competitive environment.
The number and power of a
company's competitive
rivals, potential new market
entrants, suppliers,
customers, and substitute
products influence a
company's profitability.

7. PORTER’S FIVE
FACTORS

8. PORTER’S FIVE FACTOR
Rivalry among Existing Firms
The Rivalry among existing firms will be low for Patanjali Takes On Industry Giants if;
• There are only a limited number of players in the market
• The industry is growing at a fast rate
• There is a clear market leader
• The products are highly differentiated, and each market player targets different sub-segments
• The economic/psychological switching costs for consumers are high.
• The exit barriers are low, which means firms can easily leave the industry without incurring huge
losses.

9. PORTER’S FIVE FACTORS
BARGAINING POWER OF BUYERS
• Reliable offering from local pharmaceutical industry
• Time factor associated with ayurvedic industry
• It is a long-term process
• Short term users switch to allopathic
• Patanjali need a mix of medicines as well as Yoga to get the best result
• Preference for alternate medicines when it comes to specific disease

10. PORTER’S FIVE FACTORS
BARGAINING POWER OF SUPPLIER
Political conflicts and lack of Govt. support-
• Due to many of Baba Ramdev’s socialist and anti-political activity certain
sect.suppliers were facing pressure at a political level not to provide
regular supplies to the Patanjali. As a result, they had to set up their
own herbal gardens which has over 200 medicinal herbs and plant.
Rare herbs which gives suppliers immense bargaining power
• Certain medicinal herb which can be grown only in certain climate zone
having certain type of soil for that Patanjali rely on external supplier.
This directly hands immense bargaining power to the supplier as they
can inflate the price way beyond the actual market rate.

11. PORTER’S FIVE FACTORS
THREAT OF SUBSTITUTE
Allopathic industry is run in a highly organized way
• It uses multiple strategies to sale their product
• It gives incentives and bonus to prescribe their medicines
• People always listen to highly qualified Doctors
Threat from homeopathic medicines
• Lack of awareness about Ayurveda
• Certain sections completely rely on Homeopathic

12. SWOT Analysis
• SWOT stands for Strengths, Weaknesses, Opportunities, and Threats, and so a SWOT
Analysis is a technique for assessing these four aspects of your business.
• You can use SWOT Analysis to make the most of what you've got, to your organization's best
advantage. And you can reduce the chances of failure, by understanding what you're lacking,
and eliminating hazards that would otherwise catch you unawares.

14. S. no. Company Operating Cost
1 PAL 72,06,071
2 Sun Pharmaceuticals 7,14,70,400
3 Cipla Ltd. 6,16,14,800
4 Dabur Ltd. 5,22,83,000
Patanjali Arogya Kendra >3,790
Patanjali Chikitsalya 1,088
Patanjali Swadeshi Kendra 11,000
OPERATIONAL
COST
DISTRIBUTION
CENTERS OF
PATANJALI

15. Where is the Organization Going?
In this Segment we are going to talk about:
• BCG Matrix
• Ansoff’s Matrix
• Segmentation

16. WHAT IS BCG MATRIX?
• The BCG matrix is basically a graph of growth
rate and market share this is where the
understand the growth rate of the product
and how much it has penetrated the market.
• As we can see it is defined in a graph as star,
question mark, cash cow and dog.
• In star- it means that the product lying in this
one gives you profit as well as it requires
expenses which means it is an operating
good.
• In cash cow- it’s market share is high, but its
growth rate is slow. In this we can withdraw
money to invest in other places. So basically,
the C.C of company helps them investing
money.
• In conclusion we can say that maximum to
maximum product should be in star line and
its backup product should be in cash cow.

17. BCG Matrix of PATANJALI
• Stars– Patanjali toothpaste Dant Kanti
seems to be growing at an increasing
speed and hold a high market share.
Ever since Patanjali launches this, the
other competing brands has seen a
decline. Hence, this fits well in the star
category.
• Cash Cows– With 33% market share in
the slow-growing Ghee industry,
Patanjali Ghee seems to be a cash cow.
Though the industry growth may be
slow, but it gives the company ample
reasons to strengthen its investment in
the product.
• Question Marks- Patanjali Atta noodles
has been marketed with the aim of
competing with some of the top brands
like Maggi. However, even in the high
growth market, it has not been able to
maintain a good market share for its
own product.
• Dogs– This is one such category where
neither the growth rate nor the market
share increases. A face oil product of
Patanjali, Kayakalp Oil, fits well into this
category. It has seemed to be almost
disappeared from the market.

18. ANSOFF’S
MATRIX
• The Ansoff Matrix, also called
the Product/Market Expansion
Grid, is a tool used by firms to
analyze and plan their
strategies for growth. The
matrix shows four strategies
that can be used to help a firm
grow and also analyzes the risk
associated with each strategy

19. Four
strategies
of Ansoff's
Matrix
Market Penetration: This focuses on increasing
sales of existing products to an existing market.
Product Development: Focuses on introducing
new products to an existing market.
Market Development: This strategy focuses on
entering a new market using existing products.
Diversification: Focuses on entering a new
market with the introduction of new products.

20. Market
Penetration • Market penetration is an important growth factor which targets the
existing product in existing market. This strategy brings the growth in
company for long term. Patanjali has penetrated in the Indian market
with its existing products by increasing the sales. The company uses
different promotional and marketing techniques to increase the
number of sales of the products. For example, Ghee, Honey, aloe vera,
Badampak, etc are the great example of this. Patanjali reformulate its
products to attract more consumers. It invested more in its R&D so that
it can take advantage of existing loyal customers. Moreover, Patanjali
introduced loyalty schemes to gain more recognition among existing
markets. This helps the company in gaining more loyal customers and
increase the sales of the company. Patanjali has made its name by
product extension strategy, so that wide range of customers will buy
their required version.

21. Product
Development • Product Development in the Ansoff matrix deals with new product
introduced by the company for the existing market. The development of
new product with new characteristics will bring additional benefits in
the company and for the consumers too. It may involve the product
modification or new presentation of the product. It also involves the
formulation of completely different product which defined consumers
need and wants. Patanjali took this factor seriously and introduced the
new modified product Aloevera with orange and fibers added. This was
the new version of the existing product for the existing market.
Moreover, it extended it range in Amla, Mango Panna, Tulsi, thandai
etc. for the consumers. The company at this point decided to attract
new customers or retain existing customers with the product extension
and reformulation strategy. This help the company and its sales were
increased.

22. Market
development • Market development in the Ansoff model reflects the company’s
search for new markets for the existing products. The company cannot
increase its sales and achieve market growth only by operating in the
existing markets where it started. It needs to identify new markets
where new customers are willing to buy the products of the company.
As being the FMCG company, Patanjali has to operate in different rural
and urban markets to increase the customer base. Patanjali successfully
found a new market and forum for the existing and new consumers,
Internet. The company started to offer online services to its customers
which was a great initiative. Moreover, it started to distribute its
products in different supermarkets. The company also started to do
aggressive endorsement by sponsoring in different events. It distributes
its food items in food parks

23. Diversification
• Ansoff matrix consider diversification as an important strategy
towards growth for the companies. It deals in attracting new markets
with completely new products by the company. This helps in mitigating
the risk of loss and failure for the company. The company will be able to
diversify the risk factor to larger proportion of products. Patanjali adopt
this strategy. It diversified itself into Cosmetic industry, healthy drinks,
and chocolates. It introduced some weight loss products and attract
many new customers. The cosmetic industry is highly profitable, and
many consumers prefer best products in reasonable prices. Hence, the
female consumer base increased because of this. It started to produce
healthy drinks for the better living and attract health conscious market

24. SEGMENTATION
Behavioral segmentation: (Ayurvedic
medicines)
Benefits Sought
• This group likes to try new things and live
a healthy lifestyle but knows they should
make healthier choices than they do. These
shoppers represent all levels of education.
• Target market- Age group above 40 years
• Positioning statement - “Let food be the
medicine and medicine be the food”

25. SEGMENTATION
Behavioral segmentation: (Personal care)
Buyer Readiness Stage
• Group's individuals according to their
readiness to purchase the product. This
segmentation model is particularly useful in
formulating and monitoring the marketing
communication strategies employed to move
consumers towards purchase of a product or
brand.
• We have selected this as we want to move our
customers from the different stages which
constitute under this segment and move
customers from Awareness, Knowledge, liking,
preference, conviction, and finally purchase.
• Target market- Above 25 years
• Positioning statement - “Walk With Us For A
Better Life”

26. How would the Organization get there?
In this Segment we are going to talk about:
• Marketing Mix
• Strategy against Competitors

27. What is
marketing mix?
• A marketing mix includes
multiple areas of focus as part
of a comprehensive marketing
plan. The term often refers to a
common classification that
began as the four Ps: product,
price, placement, and
promotion.

28. Components
of marketing
mix
• Product
This represents an item or service designed to satisfy customer needs and wants. To
effectively market a product or service, it's important to identify what differentiates it from
competing products or services. It's also important to determine if other products or services
can be marketed in conjunction with it.
• Price
The sale price of the product reflects what consumers are willing to pay for it. Marketing
professionals need to consider costs related to research and development, manufacturing,
marketing, and distribution—otherwise known as cost-based pricing. Pricing based primarily
on consumers' perceived quality or value is known as value-based pricing.
• Placement
The type of product sold is important to consider when determining areas of distribution.
Basic consumer products, such as paper goods, often are readily available in many stores.
Premium consumer products, however, typically are available only in select stores. Another
consideration is whether to place a product in a physical store, online, or both.
• Promotion
Joint marketing campaigns also are called a promotional mix. Activities might include
advertising, sales promotion, personal selling, and public relations. A key consideration
should be for the budget assigned to the marketing mix. Marketing professionals carefully
construct a message that often incorporates details from the other three Ps when trying to
reach their target audience. Determination of the best mediums to communicate the
message and decisions about the frequency of the communication also are important.

29. Patanjali Product
Strategy
• The product strategy and mix in Patanjali marketing
strategy can be explained as follows:
Patanjali Ayurved is an Indian FMCG company which
started in 2006. Patanjali has a diverse product offering in
its marketing mix. The product range of Patanjali had more
than 400 types of FMCG goods like cosmetic products,
food items, haircare, skincare, toothcare etc. The company
also has products which focus on baby segment,
healthcare and beauty products for men and women.
Patanjali also produces medicines and as per its sources,
all its products are ayurvedic and free of harmful
chemicals. Patanjali food product range includes biscuits,
noodles, cornflakes etc. Patanjali has 300+ medicines for
treating many ailments and body conditions, from
common cold to paralysis. Textile, jeans, kurta, pyjama etc
is also something which the company is focused on.
Hence, this gives an insight in the product mix of Patanjali.

30. Patanjali Price/Pricing
strategy
• Below is the pricing strategy in Patanjali marketing
strategy:
Patanjali Ayurved has entered in an extremely competitive
segment in the Indian FMCG industry.
The main players in India in this category are the likes of
HUL, P&G, Marico, ITC etc. Patanjali has ventured into
various segments and hence the pricing strategy in its
marketing mix is defined by the competition in that
segment. Patanjali products are priced as per competition
so that it becomes easier for the customers to switch from
their existing brand and adopt their products. Patanjali
noodles competes with Maggi, toothpaste competes with
Colgate, chywanprash competes with Dabur, cornflakes
compete with Kelloggs and hence forth. This clearly shows
that Patanjali has replicated the already successful existing
FMCG model and is focused on giving a healthier and
natural variant to its target audience. Thus the prices of
Patanjali products are driven by segment, geography and
most importantly competition pricing.

31. Patanjali Place &
Distribution Strategy
• Following is the distribution strategy of Patanjali:
Patanjali has managed to reach a wide population in a short
span of time. Patanjali has an excellent distribution network
as it has tied up with the likes of Future group, Reliance
retail, Hypercity etc. This has enabled the Patanjali brand to
ensure that its products are widely available across various
cities and towns in India. Close to 5000 retailers are actively
promoting Patanjali products along with smaller grocery
stores. With the increase in ecommerce in the Indian
segment, Patanjali is also effectively increasing its presence
online. This would enable customers to simply add the
products to their carts and they can buy Patanjali products
via COD, online payment etc which would be delivered to
their doorstep. The brand has also been able to expand
geographically outside India.

32. Patanjali Promotion &
Advertising Strategy
• The promotional and advertising strategy in the Patanjali
marketing strategy is as follows:
Patanjali has considered advertising for its products as a
high priority for driving sales. The promotion and branding
in Patanjali marketing mix utilizes all media channels like
print, TV, online ads, billboards etc. Patanjali's brand
ambassador is yoga guru Ramdev Baba, who has a
staggering fan following, which enabled the brand to
catapult in the big league within a short span. The
advertisements of Patanjali has been aggressive where
they have showcased the importance of using natural and
ayurvedic ways of making products. Their advertisements
have also been under scrutiny as they have alleged that its
competitors have been using harmful products. Patanjali
advertisements showcase their entire product range
targeting the audience who want a healthy lifestyle by
using naturally curated products. The massive advertising
exercise by Patanjali has made it one of the fastest growing
FMCG companies in India, with annual revenues in excess
of INR 5000 crores. Hence this gives an overview on the
marketing mix of Patanjali Ayurved FMCG company.

33. Patanjali's Strategy against their Competitors
• It was not easy to achieve the top
position as there are many big players in
this industry that were ruling this market
for decades. Before launching Patanjali,
Baba Ramdev made sure to make Indians
aware of the Yoga, Vedic culture and
Ayurvedic products He interacted people
with Yoga and now he is helping people
consume ayurvedic products in daily life.
Quality products, reasonable pricing and
aggressive marketing are the pillars of
Patanjali’s success.

34. Strategies Patanjali Use are-
• Single Brand Strategy
Colgate, P&G and Unilever all have many brands to sell different products, but
Patanjali stands out because it sells a wide range of products under a single
brand. In this over-branded world, each brand requires its own marketing and
promotion which is not that easy to manage. Having a single brand has one
big negative that is if one category of products fails to impress buyers it will
affect the sale of other products too.
• Influence of Popular Owner
Unlike all other big players in FMCG market, Patanjali’s co-founder Baba
Ramdev is very popular among Indian people and customers relate to him
easily as compared to the owners of multinational companies.
• Make in India
The Indian government is taking big initiatives to encourage companies to
make their products in India. Customers also feel proud when they contribute
to this by buying things that are made in the country. Patanjali’s profit is
earned and shared in India. The expansion of Indian companies can bring
employment in the country also.

35. Patanjali's Targeting Strategy
• Patanjali follows a ‘Branded House’ strategy whereas
other companies in the consumer goods sector like P&G and
HUL follow a ‘House of Brands’ strategy.
Now what is branded house?
It is a strategy in which the company itself is a brand and the all the products produced will be promoted
under one brand. For example, Apple! Apple has various products like Mac, iPod, iPhone etc. Though all of
them are different and perform different functions but they are all branded as ‘Apple products. Users go
crazy for their products because they want to own a product of that brand. Similarly, Patanjali is following the
branded house strategy and is launching various products under one brand, i.e., ‘Patanjali Ayurveda’. Even if
you look at their advertisements, they don’t promote individual products (say a toothpaste). Instead, they
promote the entire brand which helps them save marketing and advertising costs as well.

36. And what is The House of Brands?
It is a strategy where the company focuses on the
development of sub-brands rather than one parent brand.
This is primarily done to remove the dependency of the
company on one single brand. So, in case if one brand
doesn’t do well, the company can still earn revenues from
other brands and the failure won’t hurt the company badly.
For example, P&G. Under P&G, there are dozens of brands,
including Pampers, Duracell, Gillette, and Tide to name a few.
However, the name P&G gets very little prominence, and
adds no real credibility to any of its products. You will never
see P&G promoting its company in an advertisement. It
rather focuses on the individual products.
Now what made Patanjali succeed?
• Comparatively less price
• Utilizing the increasing health-consciousness of people
• Promotions on any and every media
• Associating brand with health
• Cashing on Baba Ramdev’s success by making him brand
ambassador
• Similar stylish packaging as other brands
• Word-of-mouth promotion

37. Biggest
controversies
of Patanjali
• The government and public reaction to Ramdev’s launch of Coronil and Swasari,
with the claim that it’s a ‘cure’ for Covid-19, is a stark reminder of Patanjali’s launch of
its instant noodles brand in 2015. Before the Patanjali Atta Noodles could hit the
stores, the Food Safety and Regulatory Authority of India (FSSAI) issued a restraining
order, saying the company hadn’t taken product approval.
• Lunched in the wake of the Maggi noodles fiasco, Patanjali’s Atta Noodles displayed
an FSSAI license number on its packets. But FSSAI’s then-chairperson Ashish Bahuguna
was categorical in rejecting it: “How can license be given for a product that has not
been approved? I do not know how the license was procured.” The government later
served a notice on Patanjali for violating food safety norms.
• But such controversies aren’t an exception for Patanjali. In its launch year itself, the
National Aids Control Organization, a division of the Ministry of Health and Family
Welfare, had to release a statement denouncing Ramdev’s claim that yoga can cure
AIDS. Doctors had similarly rejected as “irresponsible” Ramdev’s claim that yoga can
cure cancer. “If he says a cure for cancer and AIDS is available, he might be misleading
patients who may refuse treatment on the basis of his statement and suffer.’’
• In 2015, the company’s product named ‘Divya Putrajeevak Beej’, which claimed to
treat infertility, was being “sold by some (Patanjali) pharmacies as medicine that can
guarantee the birth of a boy.” However, the Ministry of AYUSH had defended the
product, saying the medicine was named after a herb that is used to stabilize the
menstrual cycle in women.
• In 2016, the retailing platform for India’s defense forces, the canteen stores
department (CSD), suspended the sale of Patanjali’s flagship amla juice after it was
deemed unfit for consumption.
• Patanjali was back in the FSSAI’s radar in 2018 for selling a medicinal product with
future manufacturing date. Later that year, Patanjali was forced to shelve the plan to
re-launch its ‘swadeshi’ messaging app Kimbho.

38. Vision of PATANJALI
"Keeping Nationalism, Ayurveda and Yog as our pillars, we are committed to create a healthier
society and country. To raise the pride and glory of the world, we are geared up to serve people by
bringing the blessings of nature into their lives. With sheer dedication, scientific approach, astute
planning and realism, we are poised to write a new success story for the world."
Mission of PATANJALI
"Making India an ideal place for the growth and development of Ayurveda and a
prototype for the rest of the world."

39. Sources
https://www.slideshare.net/LakshmanReddy14/patanjali-case-study
https://www.slideshare.net/swagitapandey/patanjali-71814656
https://www.patanjaliayurved.net/about
https://en.wikipedia.org/wiki/Patanjali

40. Our
Creative
Team
• Om Rana
• Roll no.- 2403216
• Pranav Ghildiyal
• Roll no.- 2403232
• Piyush Srivastava
• Roll no.- 2403414
• Yash Raj
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• Kaushal Kishore
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• Ananya Shrivastav
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41. THANK YOU