The three major Indian pencil manufacturers are Hindustan Pencils, Kokuyo Camlin and Domus. Hindustan Pencils is India's largest pencil manufacturer with a market share of around 45%. Kokuyo Camlin is the second largest manufacturer, with a market share of about 25%. Doms is the third largest manufacturer with approximately 15% market share.
The Indian pencil market is highly competitive. The three major manufacturers are constantly competing to d
evelop new products and increase market share. In recent years, the Indian pencil market has seen a trend of innovation. Manufacturers are developing new types of pencils with properties such as erasability, water resistance, and lead hardness.
The Indian pencil market is also fragmented. There is a growing demand not only for quality pencils, but also for pencils specifically designed for arts and crafts purposes. Manufacturers are responding to this demand by developing new products that address the needs of these specific segments.
A new company called DOMS is starting to make headlines. DOMS was able to challenge incumbent players by introducing a number of innovative strategies.
History of DOMS
DOMS was founded by Santosh Raveshia in 1996. Lavecia's father was a pencil maker, and Lavecia grew up around the pencil business. He saw an opportunity to revolutionize the Indian pencil market by offering high quality pencils at low prices.
DOMS began selling pencils directly to retailers. The company quickly earned a reputation for its high quality pencils and sales began to grow. In 2003 DOMS opened its first production facility. This factory allowed him to produce two million pencils per day, allowing DOMS to meet the growing demand for its products.
DOMS Key Strategy
DOMS has adopted a number
of innovative strategies to challenge established players in the Indian pencil
market. These strategies include:
1. Focus on quality and innovation.
DOMS is committed to
manufacturing high quality pencils. The company uses only the finest raw
materials and their pens are manufactured according to strict quality
standards. DOMS innovative products include:
-In 2014 DOMS launched
the Groove Pencil. The Groove Pen features a unique grooved grip that provides
users with a more comfortable and secure grip. The knurled grip also prevents
the pen from rolling, a common problem with traditional pens.
The Groove pen was a big
hit with consumers. It quickly became one of DOMS' best-selling products. The
Groove Pen was praised for its innovative design and comfortable grip. It was
also seen as a cheaper alternative to high-end pencils from brands such as
Faber-Castell and Staedtler.
The Groove Pencil is a
great example of how DOMS has challenged the incumbent players in the Indian
pencil market through innovative products. The Groove Pen is a unique and
innovative product that resonates with a wide range of consumers. It is a
product that has attracted a lot of attention in the Indian pencil market.
Below are some examples of other products that DOMS has put on the market that
are different.
-DOMS Neon Pen:
These pens are easy to
find as they have bright neon colors. It also has a soft core for smooth
writing.
-DOMS mechanical pencil:
These pencils have a
built-in sharpener so you don't have to worry about sharpening your pencils.
Also available in a variety of colors and lead sizes.
2.
Aggressive pricing.
DOMS offered pens at a
lower price than existing pens. As a result, the product became more affordable
to consumers and DOMS gained market share.
3.
Full Backwards Integration –
Unlike many other brands,
DOMS has full backwards integration. All the requirements of a pencil are met
internally, which gives it its edge.
4.
Expansion of product range.
DOMS is expanding its
product range with a variety of pencils including HB pencils, 2B pencils,
colored pencils and art pencils. This allowed the company to appeal to a wider
range of consumers.
While trying to revolutionize the Indian pencil market, DOMS faced many challenges. These challenges include:
• Compete with
established players. The Indian pencil market is dominated by a few
established players such as Hindustan Pencils and Kokuyo Camlin. These
companies have a long history in the market and enjoy strong brand presence and
loyalty among consumers.
• Changing consumer
preferences. Digital writing has become a trend in recent years. This
reduced demand for pencils and created challenges for DOMS.
• Difficult access to
finance. DOMS was a relatively young company and had difficulty raising
capital. This made it difficult for the company to expand its business and
invest in new technologies.
How DOMS met these
challenges
DOMS overcame the challenges it faced by adopting a number of strategies. These strategies include:
•
Focus on innovation. DOMS has continuously
developed its products and marketing strategies. This allowed the company to
stay ahead of its competitors and appeal to a wider range of consumers.
·
Expansion of sales network. DOMS expanded
its distribution network to reach more retailers and consumers. This allowed
the company to grow sales and gain market share.
•
Retail Transparency – Another challenge
was the lack of retail transparency due to excessive wholesale and product
penetration. At the time, companies were less vigilant about how their
distribution networks worked.
DOMS
wanted to change this and allow the entire distribution base to remain
completely transparent with each other. Therefore, DOMS treats channel members
as family members. This ensures that products do not percolate from one state
to another or from one region to another.
Future Prospects
of DOMS
The future prospects for
DOMS are bright. The Indian pencil market is still growing and there is still
room for innovation. DOMS is well positioned to take advantage of these trends.
The company has strong brands, a wide range of products and a growing sales
network. DOMS is coming to Mumbai next year with hobbies, art products, writing
instruments and experience cafes. The future is certainly bright for brands
that value their products above all else.
DOMS' success is a
testament to India's entrepreneurial spirit. The company has shown that it can
challenge incumbent players in a mature market. DOMS' success also reflects the
growing demand for high quality pencils in India.
