Energy Resources. ( B. Pharmacy, 1st Year, Sem-II) Natural Resources
Akash
1. Case Study Team members: Akashdeep Saluja (2010IPG_05) Ambati Nanda Kumar (2010IPG_08) Anshuman Srivastava( 2010IPG_17) Team Name: Economists
2. The play started like… All Out : Yamraj of Mosquitoes was launched in 1990 by a small company known to the world as KAPL. Run by the Arya Brothers :Naveen, Anil, Bimal who spotted this Mosquito Repellant Business to be their Golden Goose. Tie up with a Japanese company, Earth Chemicals Co. Ltd. for the technology. The product consisted of a heating unit and small container of chemicals. The product was found to be much more effective than mats.
3. Beginning of success story…. The launch of All Out in 1990, started becoming popular. In the mid 90’s KAPL attained a share of 5% of the total mosquito repellents sold. The reason for the success of KAPL, because the other companies were concentrating on mats and coils. The sales of vaporizers segment reached about 253 million in 1996-97 which was dominated by KAPL.
4. GSLL entered the market GSLL entered the market seeing the future growth of the vaporizer mosquito repellent after mid 90s. Good knight launched by GSLL with a jump in acquired a market share of about 40%. The launch of good knight expanded the market. Even after the initially huge sales of GSLL Good knight, KAPL was successful to clinch back the market again by launching some very lucrative offers to the customers. Solution to Ques 1
5. Comparison GSLL Vs KAPL GSLL had strong market penetration in terms of distributors and percentage of retail outlets selling their product i.e. 54% as compared to 18% The price of liquid refill of good knight was Rs. 1.05/day as compared to Rs 1.2/day for all out. GSLL succeeded to have a major pie of 40% of the vaporizer market in just one year after its launch.
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8. Easy to use: All out was easy to use as it comes with a refill pack which lasts for 45 days whereas it was required in mats to change it daily.
9. Innovative ad campaign: KAPL became famous for its innovative ad campaign which attracted a lot of customers towards it. Also the name of the product “All Out” proved to be lucrative.
14. 4482 cases and 774 deaths by encephalitis.Very less penetration of vaporizers as22.4% in metros, 16.6% in urban areas and 6.9% in rural areas in 2000. In addition to very less penetration, the increasing population at a growth rate of around 9% is also a major promoter of this business. Answer to Q2
15. Hurdles As the liquid contains Allethrin which is proven to be harmful to human, so question arises on its success. Competition from existing competitors like good knight, maxo and mortein. Entry of new player. Competition from substitute products like coils, mats, etc.
18. Company is well settled and its not easy for any new entrant to compete effectively.
19. Also the mosquito repellent market size is expected to grow up to Rs 39 billion by 2014-15, so there is huge scope of growth.
20. For Alltherin, it should be noted that it is said to be harmful only when used in excess.
21. Also the company has given certain guidelines viz., the doors and windows should be kept open while using the vaporizers.
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23. Possible innovations The company has recently launched a pluggy machine model with a controller to adjust the rate at which the liquid vaporizes as per the requirement. We also suggest to launch a vaporizer that can even run on a battery, this will help them to clinch a market segment from coils that is presently about 50% of the total mosquito repellent.
