Patanjali despite being a corporate entity adheres to Baba Ramdev’s consumer-centric ideologies to touch every life through Patanjali, which will help the consumers and be present in all the segments where the consumer feel they can get a better product at a better price. The focus being revenue and not profitability.
Over FY12-15, Patanjali registered a revenue of 64.7%. The company has aggressive plans to enter every consumer category, at the present scenario its presence in many categories is not big enough to impact other consumer companies except in GHEE, (which is expected to be INR 12bn in FY16) (edelweiss data). Over time gaining palpable distribution channel could pose a serious threat to competition. To improve its reach, it is…show more content… Patanjali has changed the entire scenario for FMCG companies with one product extracting enormous sales.
The one segment that instead of pulling the sales down of other FMCGs has proved, as a boon to them is GHEE. The companies in dairy segment have witnessed a tremendous growth and numbers are only increasing. This has been made possible by the initiatives taken by Patanjali in generating awareness about the benefits of ghee among the general population, who in turn embraced the product in large and ever-growing numbers.
The results, the market of leading players like Amul ghee grew by about 30% in the 2016 fiscal year, while Parag Milk Foods grew at 27%, according to a TOI report. The cow ghee segment, which constitutes 10% of the total market, is growing at double the pace of the non-cow ghee segment, which is growing at 8%. The consumption of ghee is taking on a rapid pace in Urban India where 90% households consume ghee on a daily basis. North India is the highest consumer of ghee followed by south, west and east…show more content… In the case of Cow’s Ghee the company highlighted the positives and benefits of consumption of ghee, which not only helped the sale of Patanjali Ghee but also of other players in the same segment. For the consumers, Baba Ramdev remains the face of Patanjali and its products. Baba Ramdev is expected to reach 200mn people through his yoga camps, this highlights the potential reach that the brand can have without much mainstream advertising. His association also helps in creating a better perception among consumers that being Ayurvedic Patanjali products are healthy and safe to