1. ““ALL OUT”ALL OUT”
Marketing a Mosquito Repellent
By: Hemant Vyas (MBA)

2. Background
• Karamchand Appliances Pvt. Ltd. (KAPL)
• KAPL’s Brand ‘All Out’ is a liquid vaporizers.
• Liquid Mosquito Vaporizers is a 4 bn Segment in
India with ‘All Out’ having 69% market share in
1999.
• KAPL managed to wrest market share amidst stiff
competition from corporate giants like Godrej Sara
Lee Ltd (GSLL) and Hindustan Lever Ltd (HLL).

3. The growth of ‘All Out’:
• KAPL’s promoters: Arya brothers.
• KAPL’s technical collaboration with Japanese manufacturers.
(Earth Chemical Co. Ltd.: A part of the $8 billion Otsuka
Group).
• Earth’s refusal to transfer the technology for the
manufacture of the vaporizer.
• Product development began (with certain imports) at Baddi
in Himachal Pradesh in 1989.
• Brand Name Decision: ‘Freedom’ / ‘Choo Mantar’
• Commissioning of well-known packaging unit in Hyderabad.
After a delay of 6 months ‘All Out’ was finally launched in
April,1990 in Mumbai.

4. Contd..
• Advertising
Avenues- ‘All Out for modern mosquitos’
HTA- series of six ads using humor to promote the
product.
• KAPL decided to take the ads on its own
Animated Japanese man eating mosquitoes. (costed
Rs.50000)
• Ads on Videocassettes of Hindi Movies- criticism of
‘down-market’.

5. Contd…
• Cost Effective Ads :
Evening news program on FM Radio
Test cricket commentary
• Concept of sponsoring song/dance and fight
sequences in movies
• The above strategy resulted in the brand attaining
a very high mind-share amongst consumers.
Share of Voice (SOV) for All Out = 31% ,
Whereas SOV for Good Knight = 5%.

6. Indian market profile:
• With 255 species of mosquitoes believed to be responsible
for spreading diseases like malaria & dengue fever; India has
a large and growing market for mosquito repellents.
• Common methods: traditional methods, Creams, Coils, Mats,
Sprays, Vaporizers.
• Anyhow the use of mosquito repellents in India was fairly
low.
Table 1:
Table 2:
Urban Areas Metros Rural Areas
% of households 16.4% 22.6% 6.9%
Segments Mats Coils Vaporizers
Market Value 51% 21% 7%

7. MAJOR COMPETITORS

8. MAIN COMPETITORS
• Godrej Sara Lee Ltd (GSLL).
Launched a no. of brands all coils-
Jet Fighter (1997), GoodKnight Jumbo (1999) and GoodKnight
Instant, GoodKnight Smokeless and Jet Jumbo (2000).
• Hindustan Lever Ltd (HLL).
Raid and Attack
• Reckitt Benckiser (R&B).
Mortein, Mortein King and Mortein Red

9. OTHER COMPETITORS
• Bombay Chemicals Ltd. (BCL)
Tortoise (Coils)
• Bayer
Baygon Spray, Baygon Power Mats and Baygon Knockout
(Sprays and Mats)
• Balsara Hygiene
Odomos (Creams)
• Tainwala Chemicals
Casper (Mats and Coils)

10. Company Brand 1998 1999 July 2000
GSLL GoodKnight 45 43 51
GSLL Jet 13 18 14
GSLL Banish 4 3 2
R&C Mortein 9 12 15
HLL Raid 4 7 4
- Others 25 17 14
Total 100 100 100
Company Brand 1998 1999 July 2000
GSLL GoodKnight 0 0 12
GSLL Jet 18 20 17
R&C Mortein 30 33 33
HLL Tortoise 37 28 20
- Others 15 19 18
Total 100 100 100
COILS - MARKET SHARE (VOLUMES)
MATS - MARKET SHARE (VOLUMES)

11. Category Market Share (in %)
Year 1996 1999
Mats 63 38
Coils 27 46
Creams 5 3
Vaporizers 5 13
Total 100 100
Category Market Share (in %)
Year 1996 1999
All Out 55 69
GoodKnight 40 21
Baygon 0 9
Jet 5 1
Total 100 100
MOSQUITO REPELLANT MARKET :
VAPORIZER MARKET SHARES :

12. Points to be noticed
• Entrants like GSLL and R&C emerged as market leaders in mat
segment very soon (heavy advertising and aggressive sales
promotion).
• KAPL was focused on the promotion of vaporizers.
• By mid 1990’s, vaporizers attained a market share of 5% dominated
by KAPL whose sales reached Rs.153 mn.
• GSLL couldn't ignore this and launched GoodKnight vaporizer in 1996-
97.
• GoodKnight soon acquired a 40% as it expanded the vaporizer
market.
• But GoodKnight couldn't sustain its success and by 1999, the brand’s
market share went down to 21%- a major portion of the 19% taken
up by All Out.

13. Our target market: Myanmar

14. REASONS OF EXPANDING “ALL OUT” BUSINESS IN
MYANMAR
•India & Burma being part of BIMSTEC (Bay of
Bengal Initiative for Multi-Sectoral Technical and
Economic Cooperation
•India being 2nd
largest export partner of
Myanmar (Thailand 52%, India 12.3%, China
8.8%, Japan 4.3% (2008)) and 5th
largest import
partner with Myanmar.

15. Myanmar

16. • 42.9% of Myanmar economy is depended on
agriculture and rice being the main crop of the
country.
• USA, Canada & EU has put trade sanction with
Burma.
• Only 7% of the total population is working in
industry sector (Few local brands).
• Burma's health care system is one of the worst in
the world (190th, the worst performing of all
countries, WHO)

17. BURMA
• Republic of the Union of Myanmar is a country
in Southeast Asia.
• Burma is bordered by China on the northeast,
Laos on the east, Thailand on the southeast,
Bangladesh on the west, India on the
northwest, the Bay of Bengal to the
southwest, and the Andaman Sea on the
south.
• Total coastline is 1,930 kilometers.

18. Contd..
• Burma is the 40th largest country in the world
and the 2nd largest country in Southeast Asia.
Burma is also the 24th most populous country
in the world with over 58.8 million people.
• From 1962 to 2011, the country was under
military rule and in the process has become
one of the least developed nations in the
world.
• The military junta was dissolved in 2011
following a general election in 2010 and a
civilian government installed.

19. Contd..
• Burma lies in the monsoon region of Asia,
with its coastal regions receiving over
5,000 mm of rain annually. Annual rainfall in
the delta region is approximately 2,500 mm
with average temperatures of 21 °C.

20. GOVERNMENT & POLITICS
• The legislature is made up of two houses upper
house and the lower house.
• The upper house consists of 224 members of
whom 168 are directly elected and 56 are
appointed by the Burmese Armed Forces while
the lower house consists of 440 members of
which 330 are directly elected and 110 are
appointed by the armed forces.
• Burma has a high level of corruption, and ranks
176th out of 180 countries worldwide on the
Corruption Perceptions Index with a rating of 1.4
out of 10 (10 being least corrupt and 0 being
highly corrupt) as of 2010

21. FORIGN RELATIOS & MILITARY
• Close relations with neighboring India and
China with several Indian and Chinese
companies operating in the country.
• More than US$200 million in military aid from
India Under India's Look East policy.
• Fields of cooperation between India and
Burma include remote sensing, oil and gas
exploration, information technology, hydro
power and construction of ports and
buildings.

22. Contd..
• Burma has been a member of ASEAN since
1997. The country imports most of its
weapons from Russia, Ukraine, China and
India
• Western isolation as USA, Canada & EU has
put trade sanction with Burma on the human
right issues.

23. ECONOMY
• Foreign investment has so far met with only moderate
success.
• The fraction of the population employed in different
sectors is as below:
 Agriculture:70%
 Industry:7%
 Services: 23% (2001)
• GDP by sector
 Agriculture: 42.9%,
 Industry: 19.8%,
 Services: 37.3% (2009 EST.)

24. Contd..
• Burma’s GDP stands at $42.953 billion and grows
at an average rate of 2.9% annually only.
• In 2011, when new President Then Sein's
government comes to power, Burma has
embarked major policy reforms including
 Anti-corruption,
 Currency exchange rate,
 Foreign investment laws and taxation.
• Foreign investments increased from US$300
million in 2009-10 to a US$20 billion in 2010-11
by about 667 percent

25. Contd..
• The government has relaxed import
restrictions and abolishes export taxes.
• After the completion Dawei deep seaport,
Burma is expected be at the hub of trade
connecting Southeast Asia and the South
China Sea, via the Andaman Sea, to the Indian
Ocean receiving goods from countries in the
Middle East, Europe and Africa, and spurring
growth in the ASEAN region

26. Industries & Infrastructure
• Main industries in Mayanar are:
 Oil and gas
 Gemstones
Tourism
• Infrastructure
lack of an educated & skilled workforce so lack of
modern technology.
lacks adequate infrastructure
Railroads are old and rudimentary.
Highways are normally unpaved & energy
shortages except in the major cities.

27. SEGMENTATION
Attributes of segmentation are :
 Urbanization
 Availability of electricity
• Urbanization:
 Urban population: 34% of total population (2010)
 Rate of urbanization: 2.9% annual rate of change (2010-15
EST.)
• Electricity
 Electricity - production: 5.961 billion kWh (2006 EST.)
 Electricity - consumption: 4.298 billion kWh (2006 EST.)
Most of total electricity is consumed in urban areas where
most of the people residing in rural areas rely on solar cells

28. Targeting
We will be targeting urban population which
consists of 34% of total population. Reasons are:
Availability of electricity
Rural is migrating @ 2.9% every year which is
expected to rise due to:
Civil government
 anti-corruption
currency exchange rate
Fewer than 750,000 tourists enter the country
annually which is expected to rise due to friendly
tourism policies.

29. PESTEL ANALYSIS
 POLITICAL:
• Government Type : Nominal civilian parliamentary government
(took power in March 2011)
• Government Stability : Democracy has achieved after long period
of military rule.(49 yrs.)
• Corruption: Ranks 176th out of 180 countries worldwide on the
Corruption Perceptions Index.
• Tariffs: FTA with India.
• The US does not import anything from Myanmar. Australia and the
European Union have also imposed sanctions on the country,
restricting the import of certain products. Myanmar is a member of
the WTO, ASEAN and BIMSTEC.
• It shares healthy trade relations with its neighbouring countries,
including India, Thailand and China.

30.  ECONOMIC:
• GDP (purchasing power parity): $76.47 billion (2010 est.)
• GDP - real growth rate: 5.3% (2010 est.)
• GDP - per capita (PPP): $1,400 (2010 est.)
• Household income or consumption by percentage share:
lowest 10% : 2.8%
highest 10% : 32.4% (1998)
• Electricity - production:
6.426 billion kWh (2008 est.)
• Electricity - consumption:
4.63 billion kWh (2008 est.)

31.  SOCIAL:
• Population:
-> Urban:34% of total population (2010)
-> Rate of urbanization: 2.9% annual rate of change (2010-15 est.)
• Average age: 26.9 years
• Literacy: 89.9%
• Health: Second highest malaria prevalence rate in south-east Asia. (after
India).

32.  TECHNOLOGICAL:
• Broadcast media:
-> 2 state-controlled television stations with 1 of
the stations controlled by the armed forces.
-> a third TV channel, a pay-TV station, is a joint
state-private venture; access to satellite TV is
limited.
-> 1 state-controlled domestic radio station and 6
FM stations that are joint state-private ventures;
transmissions of several international
broadcasters are available in parts of Burma.
• Internet users: 110,000 (2009)

33. ENVIORNMENT:
• Much of the country lies between the Tropic
of Cancer and the Equator.
• It lies in the monsoon region of Asia, with its
coastal regions receiving over 5,000 mm
(196.9 in) of rain annually.
• Coastal and delta regions have an average
maximum temperature of 32 °C (89.6 °F).

34.  LEGAL:
Allowed business structures in Myanmar:
• 100% Foreign Equity
• Joint Venture
• 100% Local Equity.
• Investment can be done under either foreign investment law or Myanmar
companies act.
• Permit to trade or “CA permit” from Government is essential to do business in
the country. CA permit is valid for two years from date of issue and is
renewable.
Capital Requirements for companies:
• Ks 1,000,000 (approx. US$170,000) for an industrial company;
• Ks 500,000 (approx. US$84,000) for a trading company; and
• Ks 300,000 (approx. US$50,000) for a services company.

35. • Taxation: (Prior to 2011)
Corporation tax: Resident companies (including Foreign Companies
incorporated in Myanmar and companies operating under an FIL
Permit) are taxed at the rate of 30% on worldwide income
.Myanmar income of Non-Resident companies is taxed at the
greater of 35% and progressive rates from 5% to 40%.
Capital gains tax: Gains on the sale of fixed assets of the business in
excess of Ks 50,000 in any year are taxable as capital gains at the
rate of 10% for Residents (including Foreign Companies
incorporated in Myanmar and companies operating under an FIL
Permit) and 40% for Non-Residents. Capital losses cannot be carried
forward to offset future capital gains.
• But with democratic government in power and FTAs in place, the
taxation structure has changed and free trade is allowed between
India and Myanmar.

36. THE 4 P’s

37. The 1st
P: Product
 Product features:
• Technically Sound: Dependable Japanese
Technology.
• Smoke Free, no residue, almost odorless.
• Long lasting.
• Ease of Use.
• Electricity dependent.
• No product modification, standard product
will be launched with machine and a refill.

38. The 2nd
P: Price
• Premium Pricing, creating an impression of a
premier product.
• Price will be kept at competitive cost of
$1.96(Rs.99)/pack of machine and refill,
against other market products.

39. The 3rd
P: Place
• Product will be exported from India to Myanmar.
• Distribution channels that are already present in
urban and sub urban areas like: Yangon (Rangoon),
Mandalay, Naypyidaw, Mawlamyaing, Bago, etc. will
be used.

40. The 4th
P: Promotion
• Extensive market campaign through : ads in
1. FM Radio
2. Print media
3. T.V.
4. Ads on public transports like buses, trains, or
others.
5. Hoardings.
• Adaptation of ads will be done according to the local market
and necessary changes will be made in present Indian ads;
that are to be used in Myanmar.
• Free refill pack as promotional strategy will be given to attract
customers.

41. Thank You.