strategic marketing presentation on gokul refoils
DESCRIPTION
The company is mainly engaged in the business of refining vegetable oil including seed procurement, processing, solvent extraction and marketing of edible oil.TRANSCRIPT
Apr 8, 2023 1
Presentation on Gokul Refoils &
Solvent Ltd.
Presented by : Group 5
Apr 8, 2023 2www.wondershare.com
Apr 8, 2023 3
Introduction The company started in the year 1993. The company is mainly engaged in the
business of refining vegetable oil including seed procurement, processing, solvent extraction and marketing of edible oil.
The present operation of the company is broadly categorized under three heads. Trading Manufacturing Marketing
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Cont…
GRSL has been awarded as the “ FASTEST GROWING BRAND 2011” by Globe oil India for its brand GOKUL.
GRSL has achieved its 3rd position in the Food & Agri-Products in India in the Fortune 500 list of Indian Companies published by Fortune India Magazine
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Vision
To become the most preferred and admired brand globally, through quality products and advanced technologies & processes, aimed at bringing immense delight to all the stakeholders.
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Mission
To reach every kitchen of Indian family by
delivering best quality products with delicious
taste.
To become a true Indian MNC with Pan India
presence and operations across the globe.
To develop most preferred and admired edible oil
brands in India.
To create best value proposition to investors,
vendors & society.
To uphold the principles of Corporate
Governance.
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Strategic Intent
Customer Orientation Excellence (high quality standards) Integrity (transparency in business) Leadership Innovation
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Industry Overview
India is world’s third largest edible oil economy, after China and US
India’s annual consumption is around 10 million tones and China’s 14.5 million tones.
India is also a leading producer of oilseeds, contributing 7-8% of world oilseed production.
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Brands
“Gokul” is the Parent Brand of the Company.
“Zaika” is a popular brand of Vanaspati in Northern India.
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Portfolio Analysis
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Strengths
Storage Facilities for Seeds and Oil. Extensive investment for seed
holding in house quality control. Export Capability as Kandla and
Mundra port are nearby. Strategic locations of Kandla and
Haldia helps in reducing import freight cost and also ensures timely reach of the products.
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Opportunities & Threats
Opportunities
Increasing share in retail sales.
THREATS
Competitors.
Price Fluctuation of raw material.
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Distribution channel
The distribution channel of GRSL is wide spread in around 20 states with international presence in many foreign countries.
It has 4 production plants all over India.
It transport its products through roadways, railways & sea routes.
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Operations of the products are achieved through company depots, agents, distributors, retailers.
The products are distributed to around 2,00,000 retailers all over the country.
Cont…
Apr 8, 2023
Loose oil in tankers Packed oil in tins, pouches & plastic
bottles.
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Global Presence
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Market Trends and Implications
Demand for edible oil in India has shown a compounded growth of 4.5% over last ten years.
India’s annual per capita consumption has shown a steadily increasing trend from 4 kgs in 1970s to 10.2 kgs in late 1990s to current level of 14 kgs.
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Cont…
India is highly reliable on imports of Edible oil.
So, domestic edible oil prices have largely been linked to international edible oil prices.
The Indian edible oil industry is highly fragmented, with the presence of a large number of participants in the organized and unorganized sectors.
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Measures of Capabilities
There was an increase of 34.8% sales at the end of March,2012 versus 2011.
Sales have increased since last 5 consecutive years.
Since 2007, total sales have increased by 310%.
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Demand Drivers Macroeconomic factors : Population growth,
per capita income, purchasing power, oilseeds crop
Influence of branded products - `health’ message
Growing preference for convenience foods.
With steady growth in population and personal income, Indian per capita consumption of edible oil has been growing steadily.
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BCG Matrix
MARKET SHARE
MARKETGROWTH
HIGH
LOW
HIGH LOW
Mustard Oil
STAR
CASH COWS DOGS
•Palmoline Oil•Vanaspati Ghee•Refined Soyabean Oil
Cotton Seed Oil
QUESTION MARK
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Target Market
Targeting health conscious cooking oil consumers.
Capturing export market through its 100% dedicated unit “Global Overseas”
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Corporate Social Responsibility
Gokul Foundation :
1) Educational Facilities2) Hospital Facilities3) Health Camps, Children Medical
Camp, Eye Camp and tournaments
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Key risk factors
Foreign exchange fluctuation as the company is into exports of edible oil
Rise in key raw material costs (cotton seed etc) could adversely affect the margins.
Intense competition from the unorganised sector
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Industry Life Cycle
Gokul Refoils & Solvent
ltd.
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Competitors
COMPANIES Adani wilmar Ruchi soya
Parekh food Bunge N K proteins Amrit Bansal Paras Industries Cargill
BRANDS Fortune Soyam Gemini Chambal Tirupati Ginni Mahakosh Nature fresh
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Core Competencies
• Quality – Purity, Freshness, Consistent & Top quality
• Time – Delivery speed, On time delivery
• Flexibility – Variety of products
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Porter’s Five Forces Model
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New Entrants
The proliferation of regional brands could be one of the key threats to the national players in the branded edible oil market.
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Competition & Rivalry
Ruchi Soya.
New global entrants.
Technological advancement of
competitors.
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Bargaining Power of Buyers In edible oil market, bargaining power of
the buyers is likely to be high because of the following reasons.
Customers buy a large volume, so there is a concentration of buyers.
Customers are price sensitive and can switch to other substitutes.
Substitutes are available in numbers.
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Bargaining Power of Suppliers
Domestic oil seed market is dominated by many (fragmented) suppliers rather than few large suppliers.
Customers’ suppliers are not too many, so buyers’ bargaining power is moderate.
Switching cost from one supplier to another is easy.
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Threat of Substitutes
Threat of Substitute in Edible oil market is significantly high.
Huge portion of customer is not still Brand Loyal
Customers are highly price sensitive.
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Conclusion
The expansion strategy would lead them to market their products all over India. For Eg: New Plant in Haldia.
Use of advanced technology would give them competitive advantage.
Use of R & D for the product development