Study and understand the commercial market of LPG in BPCL in Bangalore territory: Study and understand the existing and potential customers of commercial LPG in Bangalore territory to improve the commercial sale of LPG in Bangalore territory; Bharat Petroleum Corporation Limited

Abstract

The project was a Market Research Project to understand the Commercial Market of LPG in Bangalore Territory. As the project progressed the additional objective to study the existing and potential customer was added in order to improve the commercial sales of LPG in Bangalore territory. The LPG market is basically divided into two different markets; 1) Domestic Market 2} Commercial Market. The project study was focused on the commercial market. There are three basic products of commercial LPG; 19k9 cylinder, 35kg cylinder and 47.5kg cylinder. Initially these LPG were used for cooking purpose only but now it is used in many ways, where there is need of heating. So company came up with some new concepts for new requirements such as BMCG and LOT. BMCG (Bharat Metal Cutting Gas) is used for cutting the metals and LOT (liquid Off-Take) is used to satisfy the high requirements of gas. Bharatgas has been doing very well in term of sales volume growth; it is consistent throughout since last three decades. But now the major competitors Indane from IOCL (Indian Oil Corporation ltd.) and HP Gas from HPCL (Hindustan Petroleum Corporation Ltd.) have started their intense marketing strategy to increase their volume and Indane is appearing to be the major threat. Bharatgas is concern about maintaining future growth at the same level or more. In order to achieve that it is important to understand the current market scenario from a different prospective and this project was designed exactly for this purpose. Bharatgas has been successfully tackling the competition and sustaining in the market because of the new innovative marketing strategies and new innovative technologies such as BMCG and LOT at the right time. The price of the LPG is revised at the beginning of each month so it can be said that there cannot be any price competition but there is price competition in the form of discount. Since Bharatgas is successful in marketing Initiatives Company's performance has been good.