Marico Profile

Marico Profile

Introduction:
Marico Industries ltd. started as the consumer products division of Bombay Oil Industries Ltd. In 1990 the division was spun off as a separate company Marico Industries ltd. under Mr. Harsh V. Mariwalla who had spearheaded the formation of the consumer products division in Bombay Oil Industries Ltd with the launch of “Parachute” brand of coconut oil and “Saffola” brand of Kardi oil. The company went public in 1994 through an IPO and offer for dsle of existing equity.

Marico has two business groups: Nature Care group which consists of the “Parachute” range of products contributing to over 30% of the company’s turnover. The nature care group also has a range of fabric care products under the “Revive”brand. The company recently acquired the “Mediker” anti-lice shampoo brand from Procter & Gamble. The other business group is Health Care which accounted for around 40% of the company’s FY99 sales. This includes the Saffola range of cooking oil and branded atta , Sweekar range and variants of edible oils and “Sil” range of jams . The company alos has an international business division which is mainly involved in sourcing of raw oils and exports. Parachute has a 53% market share in the branded coconut oil market and is growing at around 20% per annum. Marico’s Saffola and Sweekar range of products enjoy a 16% share of the refined oils in consumer pack market. In 1999 , oil prices have been low so the brands have been showing de-growth in value terms. The company enterd the basic foods segment in 1999 with the launch of Saffola mineral enriched salt and Saffola Atta. These products are positioned under the health platform .

The company has a healthy marketing and distribution business. It distributes the “Top-Ramen” range of Noodles for Indo Nissin and the Clearsil, Pampers, Old Spice , Ariel Detergent Bar and Camay brands for Procter & Gamble in India , on a commission basis. The company has four factories and reaches 425,000 retail outlets through 3000 distributers and 27 depots.

Major line of Business:

Edible OIls & Hair Oils.

Select Products and Services:

Hair Care: Parachute hair oil including extensions, Mediker acquired from P&G
Edible Oils: Saffola kardi oil for heart patients, Sweekar range
Fabric Care: Revive starch and color fix
Saffola Atta and Salt

Key Differentiating Factors:

Every single brand of the company is either number one or number two in its category.
Company follows EVA concept in reporting its financial numbers and for reviewing performance details . Known for launching innovative products like Saffola for heart patients and Revive instant starch.

Financial Statistics:

March 1999 : Turnover Rs. 5531 million a growth of 13%
March 1999 : Profit Rs. 375 million a growth of 25%.

Personnel Highlights:

Not Available

Opportunities:

Sales & Marketing

Contact:

Rang Sharda, 5th Floor , Bandra Reclamation
K.C. Marg, Bandra West
Mumbai 400050
Telephone : 022-6443711/ 14/17
Fax:022-6414032
Email : harsh@maricon.rpgmsems.vsnl.net.in
CEO : MR. Harsh Mariwalla