INTRODUCTION

The topic chosen by me for my project is marketing strategy in reference to ACC CEMENTS
especially in the cement industry. At present Acc cement is market leader in the Indian market.
Today there are various companies coming in Indian and these certainly will exist a cutthroat
competition in these field. I have chosen an Acc as a topic essence of my project.
A normal customer is quit puzzled and faces for an uneven some time huge problems in deciding
which vehicle to buy. I realized the problem and decide to take these up as the challenge and
provide answer to as the requirement of the Acc cements.
Today Nagpur is changing very fast. Every corner of Nagpur is having some construction work
which will be finished within 2 years. In this construction work cement is the main ingredient
and it is consumed on mass level. Every major player is looking to grasp the Nagpurs cement
market. It is estimated that the present market potential of Nagpur is near about 60000 metric
tons in the private as well as in government sector. This project was carried out in the market of
Nagpur of Maharashtra state. There are five market players in cement industry. They are
Ultratech, ACC, K C super, Lafarge, Birlagold, apart from these there are few local brands
selling in the market.
The information about the market was gathered by visiting sites in the different location in
Nagpur. Interview of sites manager was taken depending upon their accessibility.
While doing the project, attempt was made to collect maximum information about the market. To
get actual and correct information, it was not told site managers that the survey is conducted by
ACC Cement for the obvious reasons. Number of sites was visited to get the actual picture of the
market. The sites of each grade (according to the performance) were visited, to get each and
every detail about the market.

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Most of the time was spent in traveling from one site to other. And every time it is not necessary
that we get the response from them. They were reluctant to give the information, as they do not
want to disclose their business details. They were not ready to give the detail about the price at
which they were purchase the cement. Visits to such sites were loss of time, money and energy.
After collecting the detailed information about the market, analysis is done. In the analysis, the
observations recorded during the project were carefully analyzed and the results are prepared.
The findings and result of the project work are given at the later stage in the report.

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INDUSTRY PROFILE
OVERVIEW OF THE CEMENT INDUSTRY
The Indian Cement industry is the second largest cement producer in the world, with an installed
capacity of 144 million tonnes. The industry has undergone rapid technological Adilabad
gradation and vibrant growth during the last two decades, and some of the plants can be
compared in every respect with the best operating plants in the world. The industry is highly
energy intensive and the energy bill in some of the plants is as high as 60% of cement
manufacturing cost. Although the newer plants are equipped with the latest state-of-the-art
equipment, there exists substantial scope for reduction in energy consumption in many of the
older plants adopting various energy conservation measures.
The Indian cement industry is a mixture of mini and large capacity cement plants, ranging in unit
capacity per kiln as low as 10 tpd to as high as 7500 tpd. Majority of the production of cement in
the country (94% ) is by large plants, which are defined as plants having capacity of more than
600 tpd. At present there are 124 large rotary kiln plants in the country. The Ordinary Portland
Cement (OPC) enjoys the major share (56%) of the total cement production in India followed by
Portland Pozzolana Cement (PPC) and Portland Slag Cement (PSC). A positive trend towards the
increased use of blended cement can be seen with the share of blended cement increasing to
43%. There is regional imbalance in cement production in India due to the limitations posed by
raw material and fuel sources. Most of the cements plants in India are located in proximity to the
raw material sources, exploiting the natural resources to the full extent. The southern region is
the most cement rich region while other regions have almost same cement production capacity.
The Indian cement industry is about 90 years old and its main sources of energy are thermal and
electrical energy. The thermal energy is generally obtained from coal, and the electrical energy is
obtained either from grid or captive power plants of the individual manufacturing units.

2. Salient features of Indian cement industry

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Indian cement industry is the second largest in the world with an installed capacity of 135
MTPA. It accounts for nearly 6% of the world production. There are 124 large plants and around
365 mini plants. The industry presents a mixed picture with many new plants that employ stateof-the-art dry process technology and a few old wet process plants having wet process kilns.
Production from large plants (with capacity above 1 MTPA) account for 85% of the total
production.
The cement industry has achieved significant progress in terms of reducing the overall energy
intensity. Dry process plants that the weighted average thermal energy consumption was 734
kCal/kg clinker, and weighted average electrical energy consumption was 89 kWh/tonne of
cement. The best energy consumption are 692 kCal/kg. clinker and 66 kWh/ton of cement.
3. Quantitative details:
The energy intensity of the all the dry process plants (cost of energy as percentage of total
production cost of packed cement) varies from 29 to 61%. This is observed to vary with the
vintage of the plant, the technology employed by the plants and the type of cement produced.
Specific thermal and electrical energy consumption for the plants ranges between 692
879kCal/kg. of clinker and 66 127 kWh/ton of cement produced (product mix) respectively.
The specific electrical energy also includes the energy consumed in packing, plant utilities and
plant lighting. The reasons for wide range in specific energy consumption can be mainly
attributed to the differing equipment configuration employed in different sections of the plants .
Total Production
The cement industry comprises of 125 large cement plants with an installed capacity of 148.28
million tonnes and more than 300 mini cement plants with an estimated capacity of 11.10 million
tonnes per annum. The Cement Corporation of India, which is a Central Public Sector
Undertaking, has 10 units. There are 10 large cement plants owned by various State
Governments. The total installed capacity in the country as a whole is 159.38 million tonnes.
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Actual cement production in 2002-03 was 116.35 million tonnes as against a production of
106.90 million tonnes in 2001-02, registering a growth rate of 8.84%. Major players in cement
production are Acc cement, Aditya Cement, J K Cement and L & T cement.
Apart from meeting the entire domestic demand, the industry is also exporting cement and
clinker. The export of cement during 2001-02 and 2003-04 was 5.14 million tonnes and 6.92
million tonnes respectively. Export during April-May, 2003 was 1.35 million tonnes. Major
exporters were Gujarat Acc Cements Ltd. and L&T Ltd.
The Planning Commission for the formulation of X Five Year Plan constituted a 'Working Group
on Cement Industry' for the development of cement industry. The Working Group has identified
following thrust areas for improving demand for cement;
i. Further push to housing development programmes;
ii. Promotion of concrete Highways and roads; and
iii. Use of ready-mix concrete in large infrastructure projects.
Further, in order to improve global competitiveness of the Indian Cement Industry, the
Department of Industrial Policy & Promotion commissioned a study on the global
competitiveness of the Indian Industry through an organization of international repute, viz.
Table given here is representing the cement industry growth through five year plans
Five years plan
Pre plan
2nd plan
3rd plan
4rth plan
5th plan
6th plan
7th plan
8th plan
9th plan
10th pl

Years
1950-51
1951-56
1956-61
1961-66
1969-74
1974-79
1980-85
1985-90
1992-97
1997-02

Capacity (mt)
3.28
5.02
9.3
12
19.76
22.58
42.4
61.31
105.26
146.13

Production (mt)
2.2
4.6
7.97
10.97
14.66
19.42
30.13
45.41
76.22
108.4

Cement industry has been decontrolled from price and distribution on 1st March 1989 and delicensed on 25th July 1991. However, the performance of the industry and prices of cement are
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monitored regularly. Being a key infrastructure industry, the constraints faced by the industry are
reviewed in the Infrastructure Coordination Committee meetings held in the Cabinet Secretariat
under the Chairmanship of Secretary (Coordination). The Committee on Infrastructure also
reviews its performance.
Technological change
Continuous technological Adilabad grading and assimilation of latest technology has been going
on in the cement industry. Presently 93 per cent of the total capacity in the industry is based on
modern and environment-friendly dry process technology and only 7 per cent of the capacity is
based on old wet and semi-dry process technology. There is tremendous scope for waste heat
recovery in cement plants and thereby reduction in emission level. One project for cogeneration
of power utilizing waste heat in an Indian cement plant is being implemented with Japanese
assistance under Green Aid Plan. The induction of advanced technology has helped the industry
immensely to conserve energy and fuel and to save materials substantially. India is also
producing different varieties of cement like Ordinary Portland Cement (OPC), Portland
Pozzolana Cement (PPC), Portland Blast Furnace Slag Cement (PBFS), Oil Well Cement, Rapid
Hardening Portland Cement, Sulphate Resisting Portland Cement, White Cement etc. Production
of these varieties of cement conform to the BIS Specifications. Also, some cement plants have
setAdilabad dedicated jetties for promoting bulk transportation and export.

State- wise major cement plants

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State
Andhra Pradesh
Assam
Bihar
Chhatisgarh
Delhi
Gujrat
Haryana
Himachal Pradesh
J and k
Jharkhand
Karnatka
Kerala
Madhya Pradesh
Maharashtra
Meghyalaya
Orrisa
Punjab
Rajasthan
Tamil nadu
Uttar Pradesh
West Bengal
Total

No.of plants
24
1
1
9
1
12
1
4
1
5
9
1
12
8
1
3
3
14
13
7
4
134

Capacity mt
23.96
0.2
1
10.36
0.5
17.12
0.17
4.06
0.2
4.57
10.07
0.42
16.39
10.95
0.2
2.76
2.84
17.95
14.79
5.07
3.13
146.71

Current status of Indian cement industry

The Indian cement industry has grown remarkably in the last two decades to emerge as the
second largest in the world after china. In terms of technology, quality and productivity, India
cement industry is remarkably is undeniably at the top. Today, the country has 134 major plants
with an installed capacity of 146.71 million tones. There are also 60 surviving mini and tiny units
with a capacity of 6.3 million tones The combined capacity of the cement industry is 153.01
million tones. in recent years , the production of blended cement has increased in India as more
and more companies shifting their emphasis from opc to blended cement. With increased cement
production, the cement supplies have increased substantially resulting into depressed prices, with
producers are getting inadequate returns on their investment, affecting the bottom lines of several

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companies. Today, the Indian cement industry is passing through are alignment and
consolidation.
Multi nationals have a strong entry in the cement market and are trying to get their presence by
acquisitions and mergers. The per capita consumption of cement in India, which currently is very
low at 99 kg, has huge scope of growth. According to industry sources with the intiative taken by
the government on the infrastructure, particularly the north and south corridor particularly known
as golden qualidateral the working group on the cement industry constituted by the planning
commission.

COMPANY PROFILE
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ACC (ACC Limited) is India's foremost manufacturer of cement and concrete. ACC's operations
are spread throughout the country with 14 modern cement factories, 19 Ready mix concrete
plants, 19 sales offices, and several zonal offices. It has a workforce of about 9000 persons and a
countrywide distribution network of over 9,000 dealers. ACC's research and development facility
has a unique track record of innovative research, product development and specialized
consultancy services. Since its inception in 1936, the company has been a trendsetter and
important benchmark for the cement industry in respect of its production, marketing and
personnel management processes. Its commitment to environment-friendliness, its high ethical
standards in business dealings and its on-going efforts in community welfare programs have won
it acclaim as a responsible corporate citizen. ACC has made significant contributions to the
nation building process by way of quality products, services and sharing its expertise.
In the 70 years of its existence, ACC has been a pioneer in the manufacture of cement and
concrete and a trendsetter in many areas of cement and concrete technology including
improvements in raw material utilization, process improvement, energy conservation and
development of high performance concretes.
ACCs brand name is synonymous with cement and enjoys a high level of equity in the Indian
market. It is the only cement company that figures in the list of Consumer Super Brands of India.
The company's various businesses are supported by a powerful, in house research and technology
backup facility - the only one of its kind in the Indian cement industry. This ensures not just
consistency in product quality but also continuous improvements in products, processes, and
application areas.

ACC has rich experience in mining, being the largest user of limestone, and it is also one of the
principal users of coal. As the largest cement producer in India, it is one of the biggest customers
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of the Indian Railways, and the foremost user of the road transport network services for inward
and outward movement of materials and products.
ACC has also extended its services overseas to the Middle East, Africa, and South America,
where it has provided technical and managerial consultancy to a variety of consumers, and also
helps in the operation and maintenance of cement plants abroad.
ACC is among the first companies in India to include commitment to environmental protection
as one of its corporate objectives, long before pollution control laws came into existence. The
company installed pollution control equipment and high efficiency sophisticated electrostatic
precipitators for cement kilns, raw mills, coal mills, power plants and coolers as far back as
1966. Every factory has stateof- the art pollution control equipment and devices.
ACC demonstrates the practices of being a good corporate citizen undertaking a wide range of
activities to improve the living conditions of the under-privileged classes living near its factories.
History & Profile of ACC Cement Works
ACC was formed in 1936 when ten existing cement companies came together under one
umbrella in a historic merger the countrys first notable merger at a time when the term
mergers and acquisitions was not even coined. The history of ACC spans a wide canvas
beginning with the lonely struggle of its pioneer F E Din Shaw and other Indian entrepreneurs
like him who founded the Indian cement industry. Their efforts to face competition for survival
in a small but aggressive market mingled with the stirring of a countrys nationalist pride that
touched all walks of life including trade, commerce and business.
The first success came in a move towards cooperation in the countrys young cement industry
and culminated in the historic merger of ten companies to form a cement giant. These companies
belonged to four prominent business groups Tatas, Khataus, Killick Nixon and F E Din Shaw
groups. ACC was formally established on August 1, 1936. Sadly, F E Din Shaw, the man
recognized as the founder of ACC, died in January 1936. Just months before his dream could be
realized.
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ACC stands out as the most unique and successful merger in Indian business history, in which
the distinct identities of the constituent companies were melded into a new cohesive organization
one that has survived and retained its position of leadership in industry. In a sense, the
formation of ACC represents a quest for the synergy of good business practices, values and
shared objectives. The use of the plural in ACCs full name, The Associated Cement Companies
Limited, itself indicates the companys origins from a merger. Many years later, some
stockbrokers in the countrys leading stock exchanges still refer to this company simply as The
Merger The ACC Board comprises of 13 persons. These include executive, non-executive, and
nominee directors. This group is responsible for determining the objectives and broad policies of
the Company - consistent with the primary objective of enhancing long-term shareholder value.
The Board meets once a month. Two other small groups of directors - comprising
Shareholders'/Investors' Grievance Committee and Audit Committee of the Board of Directors also meet once a month on matters pertaining to the finance and share disciplines. During the last
decade, there has been a streamlining of the senior management structure that is more responsive
to the needs of the Company's prime business. A Managing Committee - comprising, in addition
to the
Managing Director and the two executive directors, the presidents representing multifarious
disciplines: finance, production, marketing, research and consultancy, engineering and human
resources meets once a week. Besides these bodies, there are senior executives and other
regional managers - based at the Company's corporate office and at its marketing offices and
manufacturing units -who contribute to the development and operation of the various functions.
While these groups form the core management team that frames and guides corporate policy,
ACC is proud of its manpower strength of about 9,000 people, who comprise experts in various
disciplines assisted by a dedicated workforce of skilled persons. Quite a number of them have
logged many years of service with the organization. They come from all parts of the country and
belong to a variety of ethnic, cultural and religious backgrounds. Because of such a cosmopolitan
make-up, ACC can rightly be said to embrace within its fold a family that forms a 'mini-India'
Plants & Their Capacity:
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S.
No.
1
2
3
4
5
6
7
8
9
10
11
12
13

Units

State

Capacity (MTPA)

Bargarh
Chaibasa
Chanda
Damodhar
Gagal
Jamul
Kymore
Lakheri
Madukkarai
Sindri
Wadi
New Wadi Plant
Tikaria

Bargarh Cement Works

Chaibasa Cement Works
Chanda Cement Works
Damodar Cement Works
Gagal Cement Works
Jamul Cement Works
Kymore Cement Works
Lakheri Cement Works
Madukkarai Cement Works
Sindri Cement Works
Wadi Cement Works
Wadi Cement Works
Tikaria Cement Grinding and Packing Plant

0.96
0.87
1.00
0.53
4.4 (Gagal I and II)
1.58
2.20
1.50
0.96
0.91
2.59
2.60
2.31

Mission of ACC

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Leadership

Maintain our leadership of the Indian cement industry through the

continuous modernization and expansion of our manufacturing
facilities and activities, and through the establishment of a wide
and efficient marketing network.

Profitability

Achieve a fair and reasonable return on capital by promoting

productivity throughout the company.

Growth

Ensure a steady growth of business by strengthening our position

in the cement sector.

Quality

Maintain the high quality of our products and services and ensure
their supply at fair prices.

Equity

Promote and maintain fair industrial relations and an environment

for the effective involvement, welfare and development of staff at
all levels.

Pioneering

Promote research and development efforts in the areas of product

development and energy, and fuel conservation, and to innovate
and optimize productivity.

Responsibility

Fulfill our obligations to society, specifically in the areas of

integrated rural development and in safeguarding the environment
and natural ecological balance.

Achievement of ACC Limited:

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Milestones of

1936 The Associated Cement Companies Limited incorporated on

August 1
1947 India's first entirely indigenous cement plant installed at Chaibasa.
1955 ACC Sindri uses waste material - calcium carbonate sludge -from fertilizer factory at Sindri
to make cement.
1956 Bulk Cement Depot established at Okhla, Delhi
1961 Blast furnace slag, (a waste by-product from steel) from TISCO used at ACC Chaibasa to
manufacture Portland Slag Cement.
1961 Oilwell Cement manufactured at ACC Shahabad for cementation of oil wells up to adepth
of 6,000 feet.
1961 Manufacture of Hydrophobic (waterproof) cement at ACC Khalari.
1965 Manufacture of Portland Pozzolana Cement using naturally available materials. An Ecofriendly cements using an eco-friendly process.
1966 ACC inducts use of pollution control equipment and high efficiency sophisticated
electrostatic precipitators for its cement plants and captive power plants decades before it
becomes mandatory to do so.
1978 Introduction of the energy efficient pre-calcination technology for the first time in India.
1982 Commissioning of the first 1 MTPA (million tonne per annum) plant in the country at Wadi,
Karnataka.
1984 ACC achieves a breakthrough in import substitution by developing and supplying a special
G type of oil well cement to ONGC.
1987 ACC develops a new binder, working at sub-zero temperature, which is successfully used
in the Indian expedition to Antarctica.
1992 Incorporation of Bulk Cement Corporation of India, a JV with the Government of India.
1993 Commercial manufacture of ready-mixed concrete at Mumbai.

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R
r

ACC Cement Industry at one glance.

THEORETICAL BACKGROUND
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MARKETING STRATEGY OF ACC CEMENTS LIMITED

1. SEGMENTATION:The company has segmented the market geographically. It sells its products all over India with
major presence in northern region
2. PRICING STRATEGY
Before deciding the price of the cement company has considered the following points:--

Cost factor:Manufacturing cost

Transporting cost
Storing and material handling
Other cost
Officer expenses
Other expenses
Tax and interest
Competitors price and offering

MARKETING STARTEGY
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Company conducts market surveys to identify market trends and customers response, company
position in the market etc. There is R and D department which continuously trying to improve
the quality of the product at the minimum cost and trying to meet the demand of the customer.

MARKETRING STRATEGY FOR COMPETITORS

Company always keeps an eye over its competitors activities and its offerings like different
promotional schemes, product price etc. It also takes proper action according to competitors
strategy.
DISTRIBUTION STRATEGY
The company is distributing cement by following ways:Direct to consumer
Depot
1.whole seller
2.retailer
Director General of sales and disposal
1. Tender sales
2. Government department
Non trading sales
1. wagon load
2. Institutional sales

Method of developing dealers:17 | P a g e

Company conducts the market survey also to motivate the sub dealer and advertise the
programmer. The company takes profile of the dealers and gives dealership only to those in a
particular area where the company is not having already existing dealer.
Key factor of marketing strategy
Segmentation of acc cements: Geographical Segmentation
Geographic Segmentation calls for division of the market into different geographical units such
as nations, states, regions, countries, cities, or neighborhoods. In the South Asian context,
geographic segmentation assumes importance due to variations in consumer preferences and
purchase habits across different regions, across different countries, and across different states in
these countries.
Demographic Segmentation
In Demographic Segmentation, we divide the market into groups on the basis of variables such
as age, family size, family life cycle, income, occupation, education, religion, race, generation,
nationality and social class. One reason demographic variables are so popular with marketers in
that theyre often associated with consumer needs and wants. Another is that theyre easy to
measure. Even when we describe the target market in non demographic terms (say, by
personality type), we may need the link back to demographic characteristics in order to estimate
the size of the market and the media we should use to reach it efficiently.
Psychographic Segmentation
Psychographics is the science of using psychology and demographics to better understand
consumers. In psychographic segmentation, buyers are divided into different groups on the basis
of psychological/personality traits, lifestyle, or values. People within the same demographic
group can exhibit very different psychographic profiles. Values and lifestyles significantly affect
product and brand choice of consumers. Religion has a significant influence on values and
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lifestyles. The strict norms that consumers follow with respect to food, habits or even dress codes
are representative examples in this regard.

Innovators

High Resources
Primary
Motivation

Thinkers

Believers

High Innovation

Achievers

Strivers

experiencers

Makers

Low Recourses
Survivors

The four groups with higher resources are:

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Low Innovation

1. Innovators: - successful, sophisticated, active, take- charge people with high self-esteem.
Purchases often reflect cultivated tastes for relatively upscale, niche-oriented products and
services.
2. Thinkers- mature, satisfied, and reflective people who are motivated by ideals and who value
order, knowledge and responsibility. They seed durability, functionality, and value in products.
3. Achievers- successful, goal-oriented people who focus on career and family. they favor
premium products that demonstrate success to their peers
4. Experiences- Young, enthusiastic, impulsive people who seek variety and excitement.
They spend a comparatively high proportion of income on fashion, entertainment and
socializing.
The four groups with lower resources are:
1. Believers- conservative, conventional, and traditional people with concrete beliefs. They
prefer familiar products and are loyal to established brands.
2. Strivers- trendy and fun-loving people who are resource constrained. They favor stylish
products that emulate the purchases of those with greater material wealth.
3. Makers- Practical, down-to-earth, self-sufficient people who like to work with the hands.
They seek products with a practical or functional purpose.
4. Survivors- Elderly, passive people who are concerned about change. They are loyal to their
favorite brands.
Behavior Segmentation: In behavioral segmentation, marketers divide buyers into groups on the basis of their knowledge
of, attitude toward, use of, or response to a product.

Decision Roles:
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People play five roles in a buying decision: Initiator, Influencer, Decider, Buyer and User.
Recognition of the different buying roles and specification of the people who play these roles for
specific products and services are vital for marketers. This is especially useful for designing the
communication strategy.
Behavioral Variables:
Many marketers believe behavioral variables-occasions, benefits, user status, usage rate, buyer
readiness stage, loyalty status, and attitude-are the best starting points for constructing market
segments.
Market Targeting: Effective Segmentation Criteria
To be useful, market segments must rate favorably on five key criteria:
Measurable, the size, purchasing power and characteristics of the segments can be measured.
Substantial, The segments are large and profitable enough to serve. A segment should be the
largest possible homogenous group worth going after with a tailored marketing program. It
would not pay, for example, for an automobile manufacture to develop cars for people who are
less four feet tall.
Accessible, The segments can be effectively reached and served.
Differentiable, The segments are conceptually distinguishable and respond differently to
different marketing-mix elements and programs. If married and unmarried women respond
similarly to a sale on perfume, they do not constitute separate segments.
Actionable, Effective programs can be formulated for attracting and serving the segments.

MARKET POTENTIAL:
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Decisions related to products and services - where to offer them, how to set revenue targets for
them, how much to spend in support of them - all start with a realistic, accurate and confident
understanding of Market Potential.A Market Potential is an estimate of the maximum possible
sales opportunities present in a particular market segment and open to all sellers of a good or
service during a stated future period.
A market potential indicates how much of a particular product can be sold to a particular market
segment over some future period assuming the application of appropriate marketing methods.
Market Potential data measures the likely demand for a product or service in a county, ZIP Code,
or any other defined trade area. Businesses and other organizations use Market Potential data to
make decisions about where to offer products and services.
A Market Potential is an estimate of the maximum possible sales opportunities present in a
particular market segment and open to all sellers of goods or services during a stated future
period.
Thus, a market potential indicates how much of a particular product can be sold to a particular
market segment over some future period, assuming the application of appropriate marketing
methods.
Sales potential:
A sales potential is an estimate of the maximum possible sales opportunities present in a
particular market segment and open to a specified company selling a good or service during a
stated future period. Thus, sales potential represents sales opportunities available to a particular
manufacturer, while market potential indicates sales opportunities available to entire industry.
With Market Potential Data One Can Optimize organization merchandise mix
Develop successful advertising and marketing plans
Decide which expansions are most profitable
Increasing Share of Wallet/Untapped Potential
Increasing market share requires an understanding of "Untapped Potential," which is different
than simply taking the difference between Total Potential and your current market share.
Maximize Marketing Budgets & Efficiencies
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With a realistic picture of Market Potential you can focus resources intelligently, maintaining a
presence where you're strong and investing heavily where opportunity is greatest i.e., investing
marketing budget more effectively.
Set Aggressive & Attainable Revenue Targets
The best way to establish revenue goals and sales quotas for products, territories or
stores/branches is to base them on the true consumer demand/market potential within the area.
Sales Forecast:A sales forecasting is an estimate of sales in physical units in a future period under a particular
marketing program and assumed set of economic and other factors outside the unit for an entire
product line. It may be for a manufacturers entire marketing area or for any subdivision of it.
Such forecasts are short term or operating it is important to the sales executive.
ANALYZING THE MARKET POTENTIAL
Market Identification:The first step in analyzing a products market potential is to identify its market. Market
identification required finding out
Who buys the product?
Who use it?
Who are the prospective buyers and users?
Some companies find answer to these questions in their internal records but most of the
companies especially those that use long marketing channels, in consumer- good marketing,
Buyers, user, and prospectus are identified and classified according to such characteristics as age,
sex, income, and social class. In Industrial goods marketing, buyers, users, and prospectus are
identified and classified by size of firm, geographical location, type of industry and the like.
Market identification studies reveal the characteristics that differentiate the market segments
making up the products market potential. market identification studies provides, as a side result,
23 | P a g e

customer data on such factors as purchase frequency, searching time expended unit of purchase,
and seasonal buying habits. When assembled and analyzed, these data help in estimating market
potential.
Market Motivation:The second step in analyzing market potential is to detect the reasons why customers buy the
product and the reasons why potential customers might buy it. Market motivation studies answer
twin questions: why do people buy? & why dont buy?
The answer helps not only in estimating market potential but assist the sales executive to
increase the effectiveness of promotional programs.
Motivation research techniques vary, but the most widely used are the projective techniques, in
which respondents projects themselves, their attitudes interests and opinions into interpretation
of special materials presented by the researcher. Analysis of results by trained specialist lays bare
what goes on in buyers minds, including, importantly, the real reasons for buying or not buying
the product. Most motivation studies are directed towards explaining the buying behaviour of
ultimate consumers rather than industrial users. Information from motivation studies helps not
only in estimating a products market potential but also assists in deciding
1. How best to present the product in sales talks
2. The relative effectiveness of different selling appeals
3. The relative appropriateness of various promotional methods

Analysis of Market Potential:Third Step is to analyze the market potential. Market potential cannot be analyze directly, so
analysis make use of market factors (Market factor is a market feature or characteristics related
to the products demand) using market factor for analyzing market potential is a two step process
1. Select the market factor associated with the products demand
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2. Eliminate those market segments that do not contain prospective buyers of the product
Why Use Market Potential Data
Market Potential data helps companies to understand, predict, and influence consumer behavior
by providing insight into areas with the highest growth potential. This allows you to make
informed decisions about products and services based on the latest trends and consumer demand.

SCOPE OF THE STUDY

This study includes direct interaction with the customers and this helps us to know the A
STUDY OF STRATERGIES AND MARKETING TRENDS OF ACC CEMENT to great
accuracy. This study is of great importance to the company which will know about the customer
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preference to buy a particular brand. The company will gain information about customers
preference depending on the following factors:1. Price factor
2. Fineness of the cement
3. Setting time
4. Attractive packaging
5. Brand imageone of the important factor
6. Quick delivery time
7. Wide availability
So, scope of this study is to achieve customer satisfaction because customer satisfaction and
quality maintenance is companys primary objective

OBJECTIVE OF THE STUDY

1. To increase sales in high realization
2. To develop stockiest network consisting of retailer or final outlet which directly sells?
26 | P a g e

3. Increasing sales of branded cement ie Acc white cements

4. Marketing distribution network more efficient and cost effective.
The company has a dedicated team of highly skilled professionals and experienced application
engineering. They are functioning in an advisory capacity. Besides handling their constructional
problem the cell offering all kind of assistance in the selection of the right cement for different
application to ensure cost effective, durable and safe construction.

} To know the customers expectations towards Acc cements

} to find out the customer opinion regarding various aspect of the cements.
} To give the appropriate suggestion to the company regarding he performances.

HYPOTHESIS

Related to the study undertaken, following statements can be the statements for hypothesis,
1) ACC Cement has well in marketing strategies.
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2) ACC Cement has not well in marketing strategies.

HYPOTHESIS TESTING

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It is the blue print of the detail procedure of testing the hypothesis and analysis they obtained
data. The research design in a way tell us what observations to make and how to analysis the
quantitative representations of the observation.

Testing the above hypothesis using below methods:

1.
2.
3.
4.
5.
6.

Survey and Observation Method

Questionnaire
Personal Interview
Telephonic Interview
Graphical Representation
Interpretations

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RESEARCH METHODOLOGY
Data collection method
I have selected around 50 persons for the interview.
I have taken help of the questionnaire, personal and Telephonic interview.
I have collected the data through focus interviews. I have concentrated on taking interview
mainly from the following group of people.
1. Masons20%
2. Architects/ engineers--- 10%
3. Retail stockiest---- 2
4. Wholesale---- 10%
5. Industrial bulk consumer10%
6. General consumer---- 30%
The survey was descriptive and sample chosen was mainly on the judgment of the researcher
with the help and proper consultation of project guide..
In this kind of sampling method, the population elements are based on the judgment of the
researcher. The researcher exercises judgment or expertise, chooses the elements to be included
in the sample, because he or she believes that they are representative of the population of interest
or are otherwise appropriate.
In this survey, I visited the dealers of cement also to know the strategy of the companies ,
especially Acc cements to satisfy the customer as they buy the cement of any particular
company.
The main purpose of the descriptive research is description of the state of affairs as they exist at
present.

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DATA ANALYSIS & INTERPETATION

DATA ANALYSIS:
In this section, we will analyze the data which was obtained through different means of data
analysis like questionnaire, personal interviews. Since this survey was related to the cement
industry, so people related to it like masons, bulk consumer , retailer and Above all general
consumer were interviewed.
The whole data analysis section is done with help of different charts, bars and other techniques
available. The interview was mostly done on selected persons of selected category. I have done
survey mainly on the basis of following structure..
1. Masons20%
2. Arch/ Engineers10%
3. Retail stockiest--- 20%
4. Wholesalers--- 10%
5. Bulk consumers10%
6. General consumer30%
For doing the survey, a questionnaire was designed as a scientific tool so as to know the
customers attitude towards the Acc Nagpur cement works limited. The main purpose of this
survey was to know the customer satisfaction level
. This survey was done partially Nagpur land some parts of NCR also. Some other parts of the
country like the neighboring Amravati were also touched for the survey.

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This page and onwards will contain step by step analysis of different questions
1 How important is price for you while buying the cement?
1. MASONS

Choices / options
1. Extremely
important
2. Rarely important
3. Not at all important

No of
respondents
3
2
0

2. Arch / engineers

Choices / options
1. Extremely
important
2. Rarely important
3. Not at all important

No of
respondents
2
1
0

3
3
2.5

2
1.5

MASONS
Arch / engineers

0.5
0

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INTERPRETATION:
The above table shows that majority of respondents consider price is more important while
purchasing.

2 Do you consider colour of cement as an important factor for buying of the cement?
1. Masons

Choices / options
1.Definitely
important
2.Not so important
3.Sometimes
important
4..Not sure

No of
respondents
2
1
1
1

2. Retail stockiest.

Choices / options
1.Definitely
important
2.Not so important
3.Sometimes
important
4..Not sure

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No of
respondents
1
2
1
1

3. General consumer

Choices / options
1.Definitely
important
2.Not so important
3.Sometimes
important
4..Not sure

No of
respondents
1
4
1
1

4
4
3.5
3
2.5

2
1.5

1 1

1
0.5

1 1 1

1 1 1

Masons
Retail stockists
General consumer

INTERPRETATION:
Above interpretation indicates that colour of the cement is not an important factor. From survey
done on different group of people, it is evident that masons, retail stockists and general
consumer, all of them do not give too much attention to colour of the cement.
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3 Is early setting time an important factor in buying of the cement?

1 Architects / engineers

Parameters
1.Important
2.Not important
3.Extremely
important
4.Not sure

No of
respondents
1
0
2
0

2 Retail stockiest

Parameters
1.Important
2.Not important
3.Extremely
important
4.Not sure

No of
respondents
1
0
3
1

3 General consumers

Parameters
1.Important
2.Not important
3.Extremely
important
4.Not sure

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No of
respondents
2
1
4
0

4
4
3.5

3
2.5

2
1.5

1 1

Architects / engineers
Retail stockiest
General consumers

1
0.5
0

0 0

INTERPRETATION:
The above interpretation clearly indicates that early setting time is one of the important factor
with all group of people giving more weightage to it.

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4 Do you think that attractive packaging is an important factor while buying cement?
1. Retail stockiest.

Parameters
No of respondents
1. Very much
2
2. Not so much
2
3. Cant say
1
2. Whole salers

Parameters
No of respondents
1. Very much
1
2. Not so much
1
3. Cant say
1
3. General consumer

Parameters
No of respondents
1. Very much
2
2. Not so much
4
3. Cant say
1

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4
4
3.5
3
2.5

2
1.5

Retail stockiest
Whole salers
General consumer

1
0.5
0

1. Very much

2. Not so much

3. Cant say

INTERPRETATION:
The response to this question clearly indicates that people do not tend to buy those cement which
have good and attractive packaging as after all quality matters.

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5. Rate the following on the scale of 1 to 5!!

Brand name
Brand image
Ambuja
4
GUJ ACC
3
ACC
NAGPUR
3

Parameters
Delivery time
Price
3
3
3
3
2
3

Packaging
4
3
2

CEMENTS

LAFARGE

4
3.5

3 3

3 3

3 3 3 3

3
2.5

2
1.5

Ambuja
GUJ ACC
ACC MANCHERIAL
CEMENTS
LAFARGE

1
0.5
0

Brand image Delivery time

Price

Packaging

INTERPRETATION:
Table given here is determining the customers preference of different brands depending on
different parameters. It is evident from the table that ACC and LAFARGE excel on every
parameter i.e. brand image, delivery time, price and packaging etc. Brand image and price are
one of the important factors in the selection of any Cement.
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6. Do you prefer the cement which is very fine (i.e. fineness of the cement)?
1. Masons

Parameters
1.
Sometimes
2. Always
3. Never
4.Cant
decide

No of
respondents
1
2
1
1

2. Retail stockiest

Parameters
1.
Sometimes
2. Always
3. Never
4.Cant
decide

No of
respondents
1
3
1
0

3. General customer
Parameters
1. Sometimes
2. Always

No of respondents
3
3

3. Never
1
4.Cant decide 0

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3 3

3
2.5
2
2
1.5
1 1

1 1 1

Masons
Retail stockiest
General customer

1
0.5
0
1. Sometimes

2. Always

3. Never

0
4.Cant0decide

INTERPRETATION:
We can interpret from the response received that fineness of the cement is one of the Important
factor that consumer takes into account while buying a cement.

7. How many retailers of Acc Cement do you find in your city?

1. Masons
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No. of
retailers
1 . 1-5
2. 5-7
3. 7-10
4. More than
ten

Response
2
3
0
0

2. Wholesalers

Options
1 . 1-5
2. 5-7
3. 7-10
4. More than
ten

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Respons
e
1
2
0
0

3
2.5
2

Masons
Wholesaler

1.5
1
0.5
0

1 . 1-5

2. 5-7

3. 7-10

4. More than ten

INTERPRETATION:
The response received from the customers indicates that there are enough cement retailers in
their city.

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8. If you were a dealer which type of schemes and incentives do you except from the
company?
No of
respondents
1
2

Options
1. Gift items given
2. Award for best retailing
3.Promoting certain incentive
schemes
4.Educate about the companys
policy
5. Foreign tours

0
0
2

2
2
1.8
1.6
1.4
1.2
1
0.8
0.6
0.4
0.2
0

No of respondents

INTERPRETATION: It is evident that the retailers want awards, tours and gifts on
equal basis.

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9. Do you find your desired cement easily in your city?

1. Masons

Options
1.sometim
es
2.Always
3.Never

Respons
es
2
2
1

2. Industrial bulk consumer

Options
1.sometim
es
2.Always
3.Never

Respons
es
1
2
0

3. General customer

Options
1.sometim
es
2.Always
3.Never

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Respons
es
2
1
4

4
4
3.5
3
2.5

1.sometimes
2.Always
3.Never

2
1.5

1
0.5
0
Masons

0
Industrial bulk consumer
General customer

INTERPRETATION: The above table shows that most of the customers always find their
desired cement easily in the town.

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10. Which medium of information made you aware about Acc Nagpur cements?

1. General customer

Options
1. Newspapers
2.Hoardings
3. TV ads
4. Meeting with
dealers

Level of
responses
2
3
1
1

2. Industrial bulk consumer

Options
1. Newspapers
2.Hoardings
3. TV ads
4. Meeting with
dealers

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Level of
responses
0
1
0
2

3
3
2.5

2
1.5

General customer
Industrial bulk consumer

0.5
0

INTERPRETATION:
Analysis of this question reveals that hoardings are the best means of the communication as any
illiterate person can also read the various signs which could be there on the hoardings and also
there should be regular dealer meeting to know the customer aware of the cement.

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11. Do you find compressive strength of the cement as a major factor while buying any
cement?
1. Masons.

Options
Very much
Not Much
Cant decide

Level of responses
3
2
0

Options
Very much
Not Much
Cant decide

Level of responses
5
1
1

2. General customer

5
5
4.5
4
3.5

Masons
General customer

2.5
2

1.5

1
0.5
0
Very much

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Not Much

Cant0 decide

INTERPRETATION:
Analysis of this question reveals that customers dont comprise on the matter of quality.
12. Is the response time of the company to the complaints satisfactory?
1. Wholesalers
Parameters
1. Satisfactory
2.Good
3. Not so good
4. Not sure

Response level
1
1
1
0

2. General customer
Parameters
1. Satisfactory
2.Good
3. Not so good
4. Not sure

Response level
3
2
1
1

3
3
2.5
2
2
1.5
1

1
0.5
0
1. Satisfactory

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2.Good

3. Not so good

0 sure
4. Not

Wholesalers
General customer

INTERPRETATION:
Hence, we analyze that response time of the company to the complaints is overall satisfactory.

CONCLUSIONS & SUGGETIONS

On the basis of analysis of the questionnaire and data analysis, we find that: ---1. Market potential of the Acc cement limited is very good in the northern parts despite the
presence of so many branded cement companies like Acc, GUJRAT ACC etc.
2. Customer satisfaction with respect to the ACC cement is satisfactory.
3. Despite the increasing cost of the raw material the company is able to bring down the cost of
manufacturing through procurement of raw materials by the mines which are located nearby.
3. Customers come to know about ACC cements mainly from hoardings as many people are
illiterate.
4. Customers want more prizes and dealers want more incentives, gifts and tours. Dealers also
want more meeting with officials of the cement companies.
5. Bulk consumers want more and more cash discount.

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SUGGESTIONS
1. The company should concentrate on more aggressive advertisement to promote their products.
2. The company should launch more and more promotional schemes like two for the price of
one or more discount coupons.
3 Company should do more to promote their brand as customer prefers good brand while buying
any cement.
4. Customer prefer price as an important factor while buying any cement so the company should
fix the price accordingly.
5. Company should concentrate on direct meeting with the customer as they are the most vital
element in deciding the growth or decline of any company.
6. Company should decrease the response time to the complaint received.
7. The company should fix certain amount of cement especially for the dealers and give them
free of cost as incentives.
8. The company should appoint more and more persons for the promotions of the brand.
9. The company should expand its market and concentrate in deep penetration in northern part of
India.
10. Company should decrease delivery time of the cement.
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BIBLIOGRAPHY
1. www.acccement.com
2. www.accindia.com
3. www.acccement.com\nagpur
4. Labour and Industrial chronicle-- Survey of major cement plants
5. Marketing researchNaresh kumar Malhotra , Pearson education
6. Marketing ManagementPhillip Kotler

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ANEXURE
QUESTIONNAIRES
Q 1. How important is price for you while buying the cement?
1. Extremely important

2. Rarely important

3. Not at all important

Q2. Do you consider colour of cement as an important factor for buying of the cement?
1. Definitely important

2.Not so important

3. Sometimes important

4.Not sure

Q3. Is early setting time an important factor in buying of the cement?

1. Important

2.Not important

3. Extremely important

4.Not sure

Q4. Do you think that attractive packaging is an important factor while buying cement?
1. Very much

2. Not so much

3. Cant say

Q5. Do you prefer the cement which is very fine (i.e. fineness of the cement)?
1. Sometimes
54 | P a g e

2. Always

3. Never

4.Cant decide

Q6. How many retailers of Acc Cement do you find in your city?
1. 1-5

2. 5-7

3.7-10

4. More than 10

Q7. If you were a dealer which type of schemes and incentives do you except from the company?
1. Gift items given

2. Award for best retailing

3. Promoting certain incentive schemes

4.Educate about the companys policy

5. Foreign tours

Q8. Do you find your desired cement easily in your city?

1. Sometimes

2.Always

3.Never

Q9. Which medium of information made you aware about Acc Nagpur cements?
1. Newspapers

2.Hoardings

3. TV ads

4. Meeting with dealers

Q10. Do you find compressive strength of the cement as a major factor while buying any
cement?
1. Very much
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2. Not much

3. Cant decide

Q11. Is the response time of the company to the complaints satisfactory?

1. Satisfactory

2.Good

3. Not so good

4. Not sure

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