Sri Sri Ayurveda: Art of Living to Art of Doing Business, the FMCG Way
After Patanjali Ayurved Limited (PAL) re-established the image of Ayurveda in the minds of Indian consumers with its range of products and hard-hitting marketing campaigns, Sri Sri Ayurveda (SSA), which started in 2003, too revved up its marketing and expansion activities to promote its range of ayurvedic products. SSA is a part of Art of Living Foundation (AoLF) – a humanitarian organization that offered self-development courses/programmes for a stress-free living – that manufactures, and sells ayurvedic/herbal/nature-based FMCG products like food and nutritious products, personal care products like candy, ghee, toothpaste, spices, beverages, tea, hair oil, shampoos, gels, creams, soaps, etc. However, they were offered at a premium to PAL’s products and at par with products of other FMCG companies. While it was considered as the new disruptor and a challenger brand in the FMCG space after PAL, few expressed doubt whether it would be able achieve PAL’s success.
Prerequisite Conceptual Understanding (PCU)/Before the Classroom Discussion
The students/participants should be asked to read the following article:
• Michael E. Porter, “What is Strategy?”, http://cfe.unc.edu/pdfs/what_is_strategy.pdf, November–December 1996 – To understand that a company needs to have a differentiating strategy to outperform its rivals
Case Positioning and Setting
This case study can be used in the MBA Program for either of the following courses/modules:
• Corporate Strategy/Competitive Strategy – How a disruptive/challenger FMCG player’s competitive strategy can be designed and executed
• Brand Management – How a personal brand equity can be reshaped into a challenger brand
I. In the light of the business dynamics of the Indian FMCG market, discuss the reasons for the growth of Sri Sri Ayurveda.
II. Discuss the factors that make Sri Sri Ayurveda a challenger brand and analyze its affect on the Indian FMCG market.
Preamble to the Case Study Analysis and Suggested Orchestration
This case study helps understand the reasons behind SSA’s emergence as a new disruptor in the FMCG space. It helps to analyze the factors contributing to its growth and how Sri Sri Ravi Shankar’s (Ravi Shankar) personal brand equity became an influencing factor for SSA’s success. Further, it allows the participants to debate about the possible ways in which SSA could become more profitable in future and continue to be successful. The case study analysis was carried out as presented in Exhibit (TN)-I.............