Asian Paints is looking at expanding the market instead of just gaining market share, said Amit Syngle, managing director (MD) and chief executive officer (CEO) of the company.
“There are lots of strategies in place so that we continue to grow the core business very strongly which is the whole business about bringing joy to people’s lives through paint and décor. The strategies look at expanding the overall market rather than looking at just share from competition. We are looking at growing the per capita consumption by looking at avenues and straddling the markets to create more demand,” Syngle told CNBC-TV18 in an interview.
He said that they are looking at the bottom of the pyramid in a big way.
“One of the big areas which the company is driving is looking at the bottom of the pyramid in a very strong way so that we can get more and more people in the painting cycle and by virtue of this we look at people upgrading and getting into the organized paints brand in a very strong way. This is something which we think can keep on fueling the overall growth for the company for the next 5 years,” he said.
Asian Paints is extremely bullish on waterproofing and construction chemicals segments, said Syngle.
“We look at flanking the whole core business with lots of new things which will come in. So for example, the whole area of waterproofing and construction chemicals is a big story and that is something which we are growing the business very strongly. It is really underpenetrated and we think we can really expand the market very strongly as we go ahead and add onto the core business in a big way,” he said.
Syngle believes that home decor along with the retail and service route will help crack market.
“It has been 5 years we have been into kitchen and bath. We have taken some time, we have really grown, but we are still a very small player in that segment at the moment. But we think that the whole home décor piece which we are taking together along the retail and the service route is something which is going to crack open this in terms of really owning up the consumer. So, I think that is the larger strategy in terms of what we are taking in terms of taking on some of the bigger players and more often than that the large unorganized sector which exists in this area,” he said.
Syngle said that there was good demand in October and November, and the demand after Diwali has sustained. He is also confident about margin being retained.
For full interview, watch the video.