Nippon Paint India has laid out its comprehensive and India-focused road map for growth, post the appointment of Sharad Malhotra, the new Managing Director of the company. This is the first time a comprehensive strategy for the Indian operations has been articulated post the leadership changeover. The key focus lies in building an overall ‘India first’ business model, pursuing an expanded model for pan-India expansion, and mulling inorganic growth options to further bolster business.
With seven production facilities in India, Nippon Paint is strengthening its “Make in India” base while integrating Japanese technology, governance models, and production acumen. It wants to create a sustainable base in India that focuses on quality, process reliability, and other country-specific delivery.
Expanding beyond strongholds with a unified strategy:
Having traditionally had strong market presence in Southern markets, Nippon Paint India will increase its investments to strengthen its presence in key growing urban and semi-urban areas in India. This will be coupled with enhanced market segmenting, expansion of dealer and distributor coverage, and strengthening of its leadership positions in its key markets.
The newly appointed leadership will ensure that all paint and coatings companies are organized in an integrated fashion. The organizational form will offer the company the benefit of adaptable production, as well as efficient and unified distribution across India.
Decorative and industrial markets are core:
“The company views the long-term prospects in the decorative paints market in India, helped by the ‘premiumisation trend, brand-driven, and increasing engagement with dealers and influencers.’ Alongside its focus on the decorative paints segment, Nippon Paint India will have a ‘balanced business portfolio in Industrial, Automotive OEM, Automotive Refinish, and Wood.’”
Nippon Paint’s more than sixty years of experience in the Asia-Pacific region means that the company’s Indian operations will follow a tech-driven disciplined growth plan. Sustainability, innovation, and good corporate governance are the fundamentals of the company’s plan, and this has been made possible by the company’s “Asset Assembler” business model that focuses on both organic growth and acquisitions for expansion. Nippon Paint India’s plan means that the company will follow a long-term growth plan in the country’s manufacturing and market strength.
