The case study examines the success of the `All Out' mosquito repellant brand launched by a small Indian company, Karamchand Appliances Pvt. Ltd. (KAPL). KAPL was responsible for introducing `vaporizers' in the Indian mosquito repellant market, which had, till its entry, been dominated by mosquito coils and mats. The marketing strategies that helped the company to become a leader in the segment, even while competing against financially stronger players, are examined in detail. Specifically, the company's product development, promotion, distribution and pricing strategies are studied. The case also discusses the brand's future prospects, in the light of the allegations that it contains certain harmful chemicals.
With
over 255 species of mosquitoesbelieved to be responsible
for spreading diseases such as malaria and dengue
fever(see Exhibit I) India has a large and growing
market for mosquito repellants. Many methods are used in
households for dealing with the mosquito menace. Table I
lists some of the more common ones.
In
spite of the pervasiveness of the mosquito problem, the
use of repellants in India is fairly low. It is
estimated that only 16.4% of the households in all urban
areas and 22.6% in the metros use mosquito repellants.
The figure for the rural areas is even lower, at only
6.9%. In terms of value, the mat segment was the largest
(51%), followed by coils (21%) and vaporizers (7%).
Coils
were the first mosquito repellants to be introduced in
the Indian market. The first brand of coils was
Tortoise, launched by Bombay Chemicals Ltd. (BCL) in the
1970s. Until 1994, Tortoise remained the market leader
in its segment, with a 67% market share. |