IFB Marketing Management Report

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N V Jagadeesh Kumar
T
IFB
Washing Machines
Marketing analysis

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15DM016
Introduction
IFB (Indian Fine Blanking Industries Limited) Industries Limited is India’s leading home
appliances and fine blanks producer. The company was known as Indian Fine Blanks Ltd. It started
operations in 1974 in collaboration with HienrichSchmid AG of Switzerland. The company got listed
on the BSE in 2000. Today, the company manufactures fine Blank components such as strengtheners,
Decoilers and strip loaders as well as other engineering components, and home appliances such as
washing machines, dishwashers, microwaves, hobs, Chimneys and other cooking appliances. Its
manufacturing plants are located at Kolkata and Gangarampur (West Bengal), Selcete and IIhas (Goa),
Bhopal (Madhya Pradesh) and Bangalore. Its registered and corporate office is located at Kolkata.
Scope of the study
 Learning is the best human activity Marketers want to learn about their company and
its customers and competitors to sustain in market
 My study is about the IFB which is market leader for Washing Machines
 it focuses mainly on Washing Machines market(sector analysis),company & customer
analysis, competitive strategies, and external environment factors effecting on IFB
Sector analysis
Washing Machines market is the one of the fast growing market under home
appliances. Washing Machine market and then goes on to segment the
market based on various fronts, including regional markets. Each of these
segments is studied in detail on the basis of volume or revenue to present a
clear picture of the projected performance of each of these segments.
Products
 Front loaded Washing Machines
 Top loaded Washing Machines
 100% Clothes Dryers
Company Analysis

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Vision
 To be customers first choice
Mission
 To be the best in the eyes of our customers, Employees, Business Partners &
Shareholders
 For Customers – the best product to buy, an innovative product that consistently
outperforms peers and outstanding service that smiles every customer smile.
 For people – An environment where individuals can constantly learn,
grow and prosper.
 For business partners – IFB should be the first choice for their products and services.
 For Investors- The company should be acknowledged as one with the highest
standards of corporate transparency that delivers on promises given to share holders.
Over two decades, we have grown in strength to become a word synonymous with
home solutions. Through a constant evolution of the very best washing Machines, 100%
Clothes Dryers. We have helped usher in a lifestyle of convenience and freedom. Today,
millions of Indian households use IFB products, making us one of the most trusted home
appliances brands in the country. Our service network of 650+ franchises and 2,832+ service
engineers ensures we deliver exceptional service across the country.
Customer Analysis
IFB is the market leader in front loader washing machine in India and we are putting all
our efforts and hard work to become the first choice when it comes to being an integral part
of your household. We always keep customers’ convenience on top priority. Our washing
machine and cloth dryer is ready to resolve your problem.
Customer Decision Making Processes
Traditionally, consumer researchers have approached decision making process from a
rational perspective. This dominant school of thought views customers as being cognitive (i.e.,
problem-solving) and, to some but a lesser degree, emotional. Such a view is reflected in the
stage model of a typical buying process (often called the customer information processing
model) depicted in Figure.

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Competitor Analysis
 LG Corp is South Korea's second largest company that produces electronics, chemicals,
and telecommunications products. The Home Appliances division makes products like
refrigerators and washing machines. Its 2007 sales totaled KRW 11.8 trillion, accounting
for 29% of the company's total revenue. The division's profit was KRW 717.1 billion.
About 35% of the company's home appliance revenue comes from the North American
market. It also produces Mobile phones, Vacuum cleaners.
 Samsung Electronics is the world's largest electronics company with 2009 revenue of
$117.4 billion, Samsung Town, Seoul, South Korea. Samsung Electronics has achieved
significant market share in recent years.
 Whirlpool is a fortune 500 company and a global manufacturer and marketer of major
home appliances with it’s headquarter in Benton charter township, Michigan, United
States, near Benton harbor. The company has annual sales of approximately $20 billion
more than 700000 employees and more than 70 manufacturing and technology research
centre around the world.
Major Competitors
 Whirlpool
 LG
 Electrolux
 Samsung
 Panasonic
 Godrej

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 Onida
 Videoco
Strategies
Porter’s Five Force Model:
Threat of New Entrance (Moderate)
 Most current players are global players
 New entrants will need to invest in brand, technology, distribution
Power of Suppliers (Low)
 Indigenous supply base limited – most raw materials are imported
Power of Buyers (High)
 Multitude of brands across price points – wide variety of choice for customers
Availability of Substitutes (High)
 Unbranded products and cheaper imports could enter the market
Competitive Rivalry (High)

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 Number of well established players; several new players entering
 Good technological capability
 Many untapped potential markets
Overall, the sector is a dynamic one, with significant growth opportunities.
BCG Matrix:
IFB has high market growth rate as well as high relative market share. Therefore it is a star.
Now being a star it leads to large amount of cash consumption and cash generation. It also requires
heavy investment to maintain its market share. In the product life cycle it is at the growth stage.
Therefore the company has a nice opportunity for growth in Indian market.
Product life cycle:
BCG positions throughout the product life cycle

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Ansoff Matrix:
Market Penetration
Market penetration is the name given to a growth strategy where the business
focuses on selling existing products into existing markets
It is been clear from the above definition that market penetration is the strategy
were company try to maintain its share in the existing market with its existing product. Having
wide range of product in market IFB is already following this strategy of market penetration
Market Development
Market development is the name given to a growth strategy where the business
seeks to sell its existing products into new markets. IFB is now almost covered all states with its
existing products. As far as rural market is concerned, It cannot capture it with its existing product
due to high price.
Product Development

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Product development is the name given to growth strategy where a business aims to
intoduce new products into existing markets. Now the company is ready to launch some new
products.
Diversification
It is the name given to the growth strategy where a business market new products in
new markets. The new products which are there in the pipe line can cover the new market also
with its unique features and reasonable price
SWOT Analysis
Strength
 Brand image in Home Appliances Division
 Innovative Product
 Compatible workforce
 Strong after sales service
 Healthy financial banking
 4 Years 100% Warranty & 10 years spears part support
Weakness
 Less brand awareness
 Less number of dealers so eventually less availability of IFB’s products.
 Less promotional activities
Opportunity
 Scope for growth in the rural market
 Scope in semi-automatic washing machine segment
 Trust by valued and existing customers
 IFB has opportunities because expense on white goods is increasing day to day by
common people.
 The trust in company’s product by valued customers
Threats
 Aggressive and effective promotional market in initiatives used by competitors like TV
ads, hoardings etc.
 Preference of customers and dealers of other brands like LG, SAMSUNG etc. over IFB
machine etc.

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PEST Analysis
Political Factor
 High import duty
 Plants in tax-incentive areas
 Export promotions schemes of the Indian government like EPCG & EOQ status
Economical Factor
 Increase in per capita income
 Growing GDP high disposable income
 Increase in spending power
Socio-cultural Factor
 Manufacturing eco-friendly product
 Increasing life style & comfort
Technological Factor
 Improvement in technology made the electronic product more featured
 Quality of product has been increased
Conclusion
 IFB needs to create public awareness in the market &
 Should spend heavily on promotional activities.

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 Need to increase number of dealers at Patna, search for
 New dealers in this every region.
 IFB try to come up with special customize shop only for IFB products.
 Give much concern to exhibition on different locations
 Dealer’s discounts and schemes should be maintained to satisfy dealers.
References
 http://www.ifbappliances.com/company-profile.html
 http://www.moneyworks4me.com/indianstocks/small-cap/consumer-
durables/consumer-durables-domestic-appliances/ifb-industries/company-info
 http://www.slideshare.net/nahid786khan/a-summer-internship-report-on-ifb
Thanking You

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