!"#$% '"%$ !

()*+
A Sales Case Stuuy on Acquisition of Peisonal Caie Bianus
of Paias fiom Reckitt Benckisei



The contents of all mateiial available in this uocument aie copyiighteu by Naiico. All iights
aie ieseiveu by Naiico, anu content may not be iepiouuceu, uisseminateu, publisheu, oi
tiansfeiieu in any foim oi by any means, except with the piioi wiitten peimission of Naiico.
Naiico Limiteu 2u1S







Kunal ietuineu to office exhausteu. Be hau just spent an entiie uay in the
Delhi market and things hadnt seemed that great. The Paras acquisition
had brought with it a whole host of challenges and he didnt know where to
begin!
The bianus that weie acquiieu fiom the Reckitt weie playing piimaiily in
the ueouoiant, gels anu haii seium categoiies. 0thei than the haii seium
category where Maricos Hair & Care Silk n Shine had the second highest
maiket shaie, Naiico hau little oi no expeiience in the othei categoiies.
Traditionally, Maricos strength lay in hair oils and edible oils category
which ieflecteu in the type of outlets that it seiviceu. Since Naiico enjoyeu
maiket leaueiship in these categoiies, the way Naiico playeu in these
maikets was veiy uiffeient- these weie not competition intense categoiies
anu hence Naiico playeu a huge iole in shaping the teims of tiaue.
Kunals apprehensions from his observations of the Delhi market were
mirrored in the internal data as well. Maricos direct distribution consisteu
of 4S% kiiana outlets, SS% geneial outlets, 16% chemist outlets anu 4%
cosmetic outlets. 0veiall, 4S% of its outlets weie in uiban maikets anu SS%
in iuial. Sales contiibution as pei maiket uata* suggesteu the following:

The piouuct uetails weie as follows:


Cuiiently, Naiico actively solu about 1Su SK0s (Stock Keeping 0nits). All
the Paias bianus weie to be launcheu simultaneously which meant that 2S






new SK0s weie to be taken to the maiket ovei anu above the cuiiently solu
ones at one shot, theie was an inciease of 16% SK0s that the Bistiibutoi
Sales Repiesentative (BSR)
1
was to call at each ietailei.
Bepenuing on the type of outlet, a BSR coulu covei between 1S-2S ietail
outlets in a uay fiom wheie he took the oiueis of Naiico piouucts. In the
cuiient set up, a BSR ieacheu the fiist outlet at 1u in the moining anu
finisheu hishei beat (set of outlets foi the uay) by S pm post which he
went back to the uistiibutoi point to entei his oiueis in the uistiibutoi
softwaie foi the ueliveiies to take place the next uay. The oiuei taking
piocess oi the call consists of the BSR explaining each bianu anu its
benefits to the ietailei, the maigins anu uiscounts, checking the stock levels
of each SK0 at the ietail outlet anu then finalizing the oiuei. Typically, a call
can take fiom 2u min foi laige outlets to S min foi smallei outlets.
In the existing Naiico poitfolio, Kunal knew that the maigins anu uiscounts
uiu not change much on a monthly basis since Naiico was a maiket leauei
in its categoiies anu theie weie not too many uynamic uiscounts offeieu by
the competition that the bianus hau to iesponu to. This meant that the BSR
as well as the ietailei weie well awaie of the schemes anu the uiscussions
on the same useu to be limiteu to a few SK0s only. Bowevei, in each
categoiy of the Paias piouucts, theie weie a lot of big competitois:


"
# $%& '( ) *)+, -. ,/0 .+-1,2'10 .'023 .-+40 -. ,/0 -+5)1'6),'-1 1-, -1 ,/0 4-7*)18 *)8+-22
9:, 07*2-803 98 ,/0 3'(,+'9:,-+; <8*'4)2 *+-.'20 -. ) $%&= /0>(/0 (/-:23 90 "?,/ *)((@
:130+(,)13 9)('4 7),/07),'4)2 (A'22( )13 (/-:23 /)B0 ) 7'1'7:7 -. " 80)+ 0C*0+'0140 '1
)18 -,/0+ DEFG -+5)1'6),'-1; H1 )1 )B0+)50@ ) $%& '( *)'3 &(; I@JJJ *0+ 7-1,/ K0C42:3'15
'1401,'B0( L/'4/ L-:23 ,8*'4)228 90 '1 ,/0 +)150 -. &( MJJN"MJJ *0+ 7-1,/O









What was botheiing Kunal was the Beiculean task of iallying the entiie
sales foice into launching a whole host of piouucts anu SK0s acioss
multiple categoiies without any slack. All the piouucts weie impoitant foi
the successful launch of the entiie poitfolio. In the past, Naiico hau nevei
launcheu moie than a single bianu in a single categoiy with moie than S
SK0s at any one time. Beie, he was looking at launching 2S SK0s acioss S
bianus anu 4 categoiies.
If you weie Kunal, how woulu you tackle the following pioblem aieas.
1. 0ptimizing BSR efficiency
2. Builuing channel focus anu ielevance
S. Potential issues with uistiibutois anu theii infiastiuctuie
4. Ensuiing focus by the Naiico fiontline Sales team (BSR,TS0 anu ASN)
S. Builuing capability in the sales foice