Swot Analysis Of Godrej

Godrej Consumer Products Ltd.:

Godrej Consumers Products or Godrej Consumer Products Ltd. (GCPL) is one of the leading companies in the Indian FMCG market. More than 350 million people all over India use Godrej products, while there are 30 other counties where GCPL is immensely popular.

Godrej Consumers Products is a wing of the renowned Godrej Group which was initiated in the year 1897 by Ardeshir and Pirojsha Godrej. Initially, the group was a locks manufacturing company, but is now one of the largest diversified commercial firms in India and the most reliable brand. The company also takes pride for being the pioneer to manufacture soaps from vegetable oil.

Wide array of products are manufactured by Godrej Consumers Products. The company

For example, in the male face wash category, Garnier was a relatively late entrant but due to aggressive marketing campaigns, managed to gain significant market share.

• Strong Competition: New products like Park Avenue Deo Soap, Vivel Deo Soap and Axe Soap are constantly increasing their presence in the market.

PEST Analysis:

Political Analysis:

With a market penetration of approximately 98% in urban and 70% in rural areas, the soap market accounted for 9800 crores (sales) and 5,50,000 tonnes (volume). By 2011, the soap market in India was dominated (88%) by three major players: HUL, Nirma and Godrej. However, post recession, the soap industry has taken a turn for worse. Owing to inflation and economic slowdown, people are looking for cheaper substitutes for a lot of products, including soaps. The soap market grew just 4%, down from 23% in 2012.

Remediation:

• State governments are being directed to setup new plants for manufacture of soaps.

• Rise in emphasis on promotion of small scale industries to prop-up the small players.

• Trade events and fairs organized in the rural areas benefit the rural consumers - increase their product awareness and thus improve the market penetration of such products including