Grasim Marketing Mix (4Ps) & Marketing Strategy
Marketing strategy of Grasim through marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion).
Grasim Product Strategy:
Grasim is one of the leading players in the Indian textile industry. Product portfolio of Grasim Industries in its marketing mix includes, Viscose Staple Fibre, Cement, Chemicals, Textiles. VSF is a biodegradable fibre and can be compared to cotton in its characteristics. It produces VSF according to the customer specifications like length, colour and denier. Along with these Grasim produces fibre like Modal, Excel and Solvent Spun fibres, these are second and third grade fibres. It also produces spun dyed speciality fibre. It also produces rayon grade pulp which is a raw material for VSF. It also has many joint ventures for producing VSF in overseas.
Grasim manufactures cement under its subsidiary Ultra Tech cement limited. Star cement is a subsidiary of Ultra Tech which manufactures cement in Bahrain. It sells cement under the brand name Ultra Tech. also it produces white cement under the brand name ‘Birla White’, which is used for floorings and wall finishes. It also manufactures other products like Putty and GRC which are value added products used in architectural applications. Its chemicals department produces Rayon grade caustic soda, Epoxy, stable bleaching powder (SBP) used poly aluminium chloride (PAC) used in effluent treatment; and Chloro sulphuric acid, used in vinyl sulphate. Grasim produces the raw material that are used in dyes and intermediates, saccharin, drugs and pharmaceuticals. Textile division manufactures fabrics and synthetic yarns. Its subsidiary GBTL is a well-known company for producing branded suiting’s, Grasim and Graviera.
Image: company website
This concludes the product strategy in Grasim marketing mix & strategy.
Grasim Price/Pricing Strategy:
Below is the pricing strategy in Grasim marketing mix strategy:
Grasim has a diverse product range and hence a wide pricing range. Prices of its varied products are priced differently in its marketing mix as they are catering to different segments.
Grasim’s VSF is sold at a price of around $2.15/Kg this is a list price and customers get discounts on the volume they purchase. Its cement prices are very dynamic and are dependent on many factors, currently the bag of 50 kg cement is around Rs.370. Mostly Grasim uses competitive pricing strategy to attract consumers in its Cement and VSF products as there are many competitors involved and when it comes to Textile Business Its Grasim and Graviera are branded products which are premium priced.
Grasim Place & Distribution Strategy:
Following is the distribution strategy in the Grasim marketing mix:
Grasim’s different businesses are having manufacturing facilities at different locations. And it has a strong distribution network to reach a maximum number of customers. Its VSF facilities are located in Madhya Pradesh, Gujarat and Karnataka. Also Grasim has joint ventures with various companies in Sweden, Canada, Laos, China. Chemical plants are located at Madhya Pradesh, Jharkhand, U.P. and Karnataka. Grasim textiles are manufactured at Bhiwani in Haryana and Malanpur in Madhya Pradesh. Grasim also has customers in USA and UK and its products are made available in some of the largest retail stores and chains.
Grasim also has a nationwide retail network comprises exclusive showrooms, wholesalers and multi-brand outlets to reach its target consumers.
Grasim Promotion & Advertising Strategy:
The promotional and advertising strategy in the Grasim marketing mix is as follows:
Grasim uses mass media and above the line activities extensively in its marketing mix. It runs its ad campaigns in print media and Television. Grasim uses hoardings and billboards in strategic locations. It ran campaigns for its new products like Birla White and during the change of its cement name to Ultra Tech. It used mass media and digital media in best ways possible. It also does sales promotions and discounts to its B2B customers which are part of negotiations. Grasim uses Celebrity Endorsements for its branded suiting’s like Akshay Kumar, Saif Ali Khan and John Abraham. Grasim uses them for TV, Print, on ground and outdoor promotional activities. Hence, this concludes the Grasim marketing mix.
About Grasim Industries:
Grasim Industries is the subsidiary of Aditya Birla Group which is having an empire of 40 companies in nearly 12 countries. Grasim started in 1948 as a textile manufacturer and over the years it expanded to other businesses like Cement, Chemicals and VSF. Grasim today is world’s largest producer of Viscose Staple Fibre with a global share of about 19%. In Cement it is in the top 5 producers’ list globally. Also Grasim is the largest producer in Asia for its Primary aluminium.
Kumar Mangalam Birla is serving as its chairman currently. Grasim Industries is one of the largest private sector companies with a net revenue of Rs.293 billion.
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