Berger Paints plans retail expansion to grow in south, west India markets: CEO
Mint.Berger intends to expand its retail network in Tamil Nadu, Telangana, Karnataka and Andhra Pradesh in the south and in Maharashtra, Gujarat, Madhya Pradesh, Chhattisgarh and Rajasthan in central and west India.“We used to install about 4,000-odd Colorman printing machines (used to expand the dealer network) per year. We accelerated and you know we installed 7,300 last year.
This year, we are planning to cross 8,000, and next year we may go to 9,000," Abhijit Roy, chief executive officer of Berger Paints India, told Mint in an interview.Also read | Can Berger Paints sustain market share, margins amid growing competition?The company plans to install 65% of the planned 8,000 new Colorman printing machines in new areas and the rest to fill gaps in existing places of operation, said Roy.“Strengthening the team in these locations, improving our ground presence, and not only the dealers but you also need to align the painters, architects, builders. In three to four years, we should be fairly represented in all of these places as well," said Roy.Berger’s expansion comes after Grasim Industries launched its brand Birla Opus in February.
Birla Opus aims to ‘disrupt’ the industry with a target of ₹10,000 crore in revenue in three years, according to a company statement.Analysts said Berger’s strategy to enter new markets is set to yield results.“Berger Paints is a strong No. 2 player that is capturing market by market.
Fifteen years back, Berger was more of a low-end player. Then they focused on more mid- and top-end and now they are doing more markets," said Abneesh Roy, executive director of research at Nuvama Institutional Equities.Expansion has to be done piece by piece; a pan-India blockbuster approach has never worked,
. Read more on livemint.com
