Marketing Plan For
Launching Of
Buildstrong
Cement
By :-
Abhishek
Deepanshi
Sachin
TABLE OF CONTENT
1 2 3
BACKGROUND ASSUMPTIONS ANALYSIS
4 5 6
SWOT PRODUCT STP
TABLE OF CONTENT
7 8 9
DISTRIBUTION PROMOTION MARKETING
STRATEGY BUDGET
BACKGROUND OF THE COMPANY
This is an established company that has been in the cement industry for over 50 years
- They started operations in 1970s with a cement plant in central India
- Over the decades, they have expanded capacity and today have 5 integrated cement plants
across different states
- Current total installed capacity is around 15 million tonnes per annum
- The company went public in the 1990s and is now listed on the major stock exchanges
- It has diversified into related building materials like ready-mix .
- The core cement business operates in the value-for-money segment under brands like
"Buildwell", "Koncrete" etc.
These economy brands are priced affordably and aimed at retail consumers, rural housing etc.
- The company has a pan-India presence with around 25% market share in the value segment
It has a wide network of over 5000 dealers and distributors nationwide.
- The corporate headquarters are located in Delhi and regional offices in major metro cities.
-The current leadership comprises of professional managers along with some members from
the founding promoter family.
ASSUMPTIONS
• Premium segment growth:
- Rising incomes and urbanization is driving demand for quality products
- Government infrastructure projects require high quality inputs
- Increasing adoption of global standards and technologies
• Premium customer priorities:
- Engineers/architects stake their reputation on quality of construction
- Contractors prefer strong and durable materials to avoid rework
- Homebuyers willing to pay more for branded products as sign of quality
• Target audience:
- Influencers like architects and engineers drive cement choice for projects
- Educated audience will appreciate technology and quality messaging
• Distribution strategy:
- Existing network has strong presence in metro/Tier 1 markets
- Higher margins for dealers will incentivize promotions and push
- Dedicated outlets reinforce positioning and brand experience
• Pricing premium:
- Existing brands are priced low due to focus on volumes and cost leadership
- Significant headroom exists to charge premium vs. competition
- Higher pricing can signal superior product attributes
ASSUMPTIONS JUSTIFICATION
• Premium segment growth:
- Premium cement grew at 15% CAGR over last 5
years versus 7% for value segment (Source: CMA)
- Housing demand in top 8 cities expected to grow at
20%+ driven by urbanization (Source: JLL)
• Premium pricing:
- Existing player UltraTech Premium is priced 40%
higher than regular UltraTech cement (MRP data)
- ACC Gold is priced at ₹20 more per bag versus
regular ACC cement (Company website)
• Target audience:
- 70% of cement purchase decisions driven by architects, engineers, project managers (Survey
by Cement Manufacturers' Association)
- 62% contractors say strength and durability most important cement features (Survey by
Construction World)
Distribution strategy:
- Modern retail share in cement is expected to grow from 3% to 12% by 2025 (Technopak)
- Dealer margins range from 2-5% for regular cement versus 6-8% for premium brands (Dealer
interviews)
Promotion budgets:
- Ultratech spent ₹2209 crores on advertising in 2020-21 with major focus on premium
category (Annual report)
INDUSTRY ANALYSIS
Market Size and Growth
- India is the 2nd largest cement market globally with installed capacity of 550 MTPA
- Estimated market size of around $25 billion with consumption around 330 MTPA
- Has been growing steadily at 6-7% CAGR in the value segment in past few year
Drivers of Growth
- Rapid urbanization driving housing demand especially in Tier 1 and 2 cities
- Government infrastructure projects like roads, metros, airports fueling cement demand
- Growth of commercial real estate and industrial construction
Trends
- Increasing focus on sustainability and green/eco-friendly cements
- Quality and durability becoming key purchasing criteria
- Premium and specialty cements growing faster than value segment
Competitive Landscape
- Fragmented industry with top 5 players having around 50% market share
- Major players include Ultratech, ACC, Ambuja, Ramco Cements
- Presence of regional and small players catering to local demand
Outlook
- Cement demand expected to reach 500 MTPA by 2025 driven by urban housing and
infrastructure
- Industry profitability affected by power, fuel and logistics costs
- Consolidation expected as environmental norms become stringent
COMPETITOR ANALYSIS
UltraTech Premium:
- Market leader with around 30% share in premium segment
- Leverages parent Ultratech's brand equity and distribution muscle
- Positions on technology and quality credentials
ACC Gold:
- Second largest player with 25% premium cement share
- Strong brand name provides trust and assurance
- Focuses on durability, strength and sustainability
Ambuja Plus:
- Significant regional presence in Western markets
- Competes on consistent quality and product range
- Limited pan-India presence is a weakness
Birla Shakti Premium:
- Leading premium cement brand in Eastern India
- Focus on purity and reliability of products
- Limited marketing investment and awareness
Ramco Supercrete:
- Strong in South India where it has 10% market share
- Growing through investments in brand and capacity
- Yet to expand nationally in a big way
Key Insights:
- Ultratech and ACC lead with over 50% share nationally
- Regional players like Ambuja, Ramco strong in select geographies
- Our brand can differentiate with technology, service focus
SWOT Analysis
Strong Financial
Health, Distribution
Strengths Infra., Technical and
Manufac. Expertise
No exp. In premium
Weaknesses segment, High Cost,
Brand Perception
SWOT
analysis Favorable Growth
Opportunitie Trends, Govt. Infra &
Housing demand,
s Adoption for Global
standards
Intense Competition,
Rising Cost pressure –
Threats Raw material, Power,
Logistics
SWOT Analysis
Strengths:
1. Strong parent company reputation and brand equity
2. Existing distribution infrastructure and channel
partnerships
3. Technical and manufacturing expertise
4. Pan-India operational presence
5. Healthy financial position and profitability
Weaknesses:
6. No prior experience in premium segment
7. Brand perceptions rooted in affordable pricing
8. Higher costs vs. multinational competitors
9. Limiting existing value-brand equity
Opportunities:
1. Favorable growth trends in premium/specialty
cements
2. Government infrastructure and housing demand
3. Growing adoption of global standards in metro cities
4. Increased marketing potential through influencer tie-
ups
Threats:
5. Intense competition from established premium brands
6. Price wars eroding premium category advantage
7. Rising cost pressures - raw materials, power, logistics
8. Availability of cheap imported cement
PRODUCT DETAILS
Brand Name: BuildStrong
Tagline: The Strength Within
Product Attributes:
- High early strength - 80% higher than regular cement
- Excellent durability with low permeability
- Superior finish resulting in smooth texture
Technical Specifications:
- 43 Grade Ordinary Portland Cement
- Conforms to IS 8112 and IS 12269 standards
- Fineness of 3250 cm2/gm
- Initial and final setting times of 90 mins and 600 mins
- Compressive strength of 60 MPa for 28 days
Packaging:
- 50 kg durable bags with bright red color and premium design
- Sturdy stitching and moisture barrier properties
- Tamper-proof seal to prevent refilling
Certifications:
- ISO 9001 and 14001 certified
- LEED certification in progress
- ISI mark
Endorsements:
- Recommended by Indian Institute of Architects
- Approved for public infrastructure projects
- Used by leading builders like ABC Constructions
STP
Premium Cement Product Segmentation:
1. 1. White Cement
2. 2. Colored Cement
3. 3. Rapid Hardening
4. 4. Sulphate Resisting
Target Audience:
5. Demographic: Men and women aged 30-60 years
6. Geographic: Urban centers and Tier 1 towns
7. Psychographic: Quality conscious, status seeking, decision makers
8. Behavioral: Seek durability, finish, strength, service
9. Real Estate Developers
10. Government Agencies
Positioning:
1. Purity - Made from the highest-grade limestone and cutting-edge refining
for unparalleled quality. Reinforce through lab testing reports.
2. Sustainability - Eco-friendly manufacturing processes, green certifications
and recyclable packaging.
3. Reliability - Stringent quality control and on-time delivery you can count on.
4. Finest Finish: Smooth and even finish for beautiful structures
5. Technical Excellence: Cutting-edge R&D for unmatched quality
DISTRIBUTION STRATEGY
Urban Markets:
- Leverage existing dealer network in metro cities for launch phase
- Appoint new dealers specializing in premium segment catering to
architects/contractors
- Set up modern trade outlets, exclusive brand stores at high visibility locations
- Deploy small delivery vans for timely supply directly to construction sites
Semi-Urban Markets:
- Partner with dealers having reach in Tier 2/3 towns with real estate growth
- Incentivize dealers with higher margins and promotions to push new brand
- Supply in bulk to local ready-mix plants and builders in smaller towns
Rural Markets:
- Tap into government projects and infrastructure in villages
- Expand availability through authorized distributors appointed for clusters
- Promote smaller affordable pack sizes like 10-20kg for rural housing
- Educate local masons and contractors on brand benefits through demonstrations
and give them incentives
Logistics Plan:
- Ensure adequate stocking at regional warehouses for just-in-time delivery
- Operate dedicated trucks to avoid contamination during transit
PROMOTION MIX
Advertising:
- Allocate 67% of marketing budget to ATL activities
- Produce high quality TV commercials highlighting product superiority in aesthetics,
strength and sustainability. Cement ads get over 80% recall according to Nielsen.
- Place ads in prime slots in business channels like CNBC, ET Now to target
professionals.
Digital Marketing:
- Devote 20% budget to digital initiatives
- Launch influencer campaign with architects, YouTubers from construction domain
- Display ads on popular real estate portals targeting buyers and developers
- key words search for "construction", "interiors", “Best cement”, “premium” etc.
Public Relations:
- Conduct product launch events in 5 major cities with trade interactions (10% budget)
- Organize factory visits for press, key dealers and influencers
- Publish content in trade journals on cement quality, durability parameters
Sales Promotions:
- Offer volume discounts and loyalty rewards for major contractors (15% budget)
- Run dealer incentive schemes like foreign trips for meeting sales targets
- Participate in exhibitions like BuildEx, RE India to connect with prospects
MARKETING BUDGET
Assumptions:
- Parent company revenue is 40,000 Cr.
- Marketing budget is 2% of revenue in Year 1, rising to 3-4% for next 2 years
- Product is priced at 20% premium vs market leader UltraTech
MARKETING BUDGET
Year 1
Marketing Budget: 800 Cr.
Objectives:
- Achieve 3-4% volume share in key metro cities
- Build awareness among builders, architects, engineers
ATL Advertising:
- Television - 278 Cr (Primetime metro channels)
- Print (Trade/business publications) – 100 Cr
- Digital (Google, YouTube) – 180 Cr.
- Radio – 2 Cr (Morning drives in metro cities)
BTL Activities:
- Launch events in 5 cities – 40 Cr
- PR agency engagement – 60 Cr
- Direct marketing – 100 Cr
- Architect/contractor meets – 40 Cr.
Year 2
Marketing Budget: 1200 Cr.
Objectives:
- Expand to Tier 2 towns
- Gain 5-7% share in metros/Tier 1 cities
ATL Advertising:
- TV – 374 Cr (National channels)
- Print – 160 Cr. (National newspapers)
- Digital – 240 Cr. (Google, FB, Social media)
- Radio – 6 Cr.
BTL Activities:
- Dealer training – 40 Cr
- Sponsorships – 160 Cr.
- Promotions/Incentives – 140 Cr
- Field promotions – 80 Cr
Year 3
Marketing Budget: 1600 Cr.
Objectives:
- Venture into Tier 3 towns
- Capture 8-10% share in metros/Tier 1 towns
ATL Advertising:
- TV – 540 Cr. (National + Regional channels)
- Print – 240 Cr. (Local languages)
- Digital – 300 Cr. (YouTube, Influencers)
- Radio – 10 Cr
BTL Activities:
- Rural marketing – 120 Cr
- Loyalty programs – 120 Cr.
- Events & engagement – 190 Cr.
- Premium brand shops – 160 Cr.
