Pidilite Industries' Success Story | The manufacturer of the Iconic Fevicol Brand

Shalini Rath Shalini Rath
Nov 30, 2022 9 min read
Pidilite Industries' Success Story | The manufacturer of the Iconic Fevicol Brand

Company Profile is an initiative by StartupTalky to publish verified information on different startups and organizations. The content in this post has been approved by Pidilite Industries.

Times have changed, and it has the power to change everything in the coming future. In the modern day, as technology and innovation go hand-in-hand, consumers are becoming more educated and aware of their choices than ever before. With more options available in the market, for customers, or industrial uses, there is a wide range of options to select from. For instance, we have unlimited opportunities in garments, textiles, construction materials, paint chemicals, arts and crafts, etc.

'Fevicol', is the glue product, that most of us have been using for a long time. It was established by one of the leading adhesive companies in India, Pidilite Industries Ltd. Pidilite Industries is known for making a variety of adhesives, sealants, construction and paint chemicals, automotive chemicals, and such.

Pidilite Industries Ltd. was founded in 1959 and had its headquarters situated in Andheri, Mumbai.

Check out the successful journey of Pidilite Industries in this article.

Pidilite Industries - Company Highlights

Headquarters Mumbai, India
Sector Manufacturing, Chemicals
Type Public
Founder Balvant Parekh
Founded 1959
Valuation Rs 1.34 trillion
Revenue Rs 8570.54 crores (2022)
Website www.pidilite.com

Pidilite Industries - About
Pidilite Industries' CSR Initiatives
Pidilite Industries - Industry Details
Pidilite Industries - Founder and Team
Pidilite Industries - Startup Story | The Journey
Pidilite Industries - Mission and Vision
Pidilite Industries - Name, Tagline, Logo
Pidilite Industries - Business & Revenue Model
Pidilite Industries - Revenue Growth
Pidilite Industries - Investments
Pidilite Industries - Mergers and Acquisitions
Pidilite Industries - Subsidiaries
Pidilite Industries - Advertisements and Social Media Campaigns
Pidilite Industries - Awards and Achievements
Pidilite Industries - Competitors
Pidilite Industries - Future Plans

Pidilite Industries - About

Pidilite Industries is a consume centric company or more precisely, an adhesives manufacturer located in one of the prime areas of Mumbai, Andheri. The company has been dominating the adhesive market since its inception. With many options available in the adhesive range, Pidilite also produces goods in various industries, including art materials and stationery, food and fabric care, automotive products, and sealants, and specialty industrial products such as pigments, textile resins, leather chemicals, and construction chemicals.

The top brands from the house of Pidilite Industries are;

  • Fevicol
  • Dr. Fixit
  • Fevikwik
  • Fevicol MR
  • M-Seal
  • Fevistik
  • Hobby Ideas
  • Fevicryl
  • Others - include brands like; Rangeela, Roff, Terminator, Fevi Gum, Motomax, Steelgrip, and Wudfin.

Pidilite Industries has over eight manufacturing facilities and is present in 71 countries, including Sri Lanka, Nepal, Bangladesh, Qatar, Oman, Madagascar, Thailand, Egypt, Kenya, Ethiopia, UAE, Brazil, Singapore, the United States, and many more. In India, Pidilite Industries' manufacturing facilities are located throughout India, including Mahad (Maharashtra), Vapi (Gujarat), Baddi, and Kala Amb (both in Himachal Pradesh).

Pidilite Industries' CSR Initiatives

Pidilite Industries is very particular when it comes to taking care of the surrounding communities and initiating corporate social responsibility. Pidilite Industries have created many such initiatives which are spread across India in states like Gujarat, Maharashtra, Himachal Pradesh, and Rajasthan.

Pidilite goes with their tagline of CSR, "Improving the quality of Life"

The company provided its support to Hanumant Hospital, which was the first hospital in Bhavnagar that started COVID treatment at the taluka level. With Pidilite's support, the hospital had more than 19,170 patients screened for COVID symptoms, and more than 1,723 critical COVID patients have been treated. So far, 5,700 beneficiaries have been vaccinated through Hanumant Hospital and other centers.

'Chalo School First Pukare' was established by the company to encourage pupils to return to school. It has collaborated with the Gujarat Elementary and Secondary Education Department to digitize 40,000 primary schools.

Pidilite Industries - Industry Details

Belonging to the adhesive and sealant manufacturing industry, Pidilite Industries comes from one of the booming industries today.

As per reports, the global market size of this particular industry has anticipated a CAGR of 5.9% from 2022 to 2030.

Pidilite Industries - Founder and Team

Pidilite Industries was founded by Balvant Parekh in 1959.

Balvant Parekh
Balvant Parekh

Balvant Parekh

To many, Balvant Parekh was fondly known as 'BKP' and Balubhai. He was born in a Jain family in 1925 and completed his primary and secondary schooling in Mahuva before attending Government Law College in Mumbai. However, Balvant never practiced law and instead worked at a Mumbai dyeing and printing factory. He changed jobs as a peon at a wood trader's office, where he used to live with his wife in the warehouse. Balvant decided to establish his own firm with the assistance of investor Mohan and began importing cycle, areca nut, and paper dyes from western nations. Balvant went to Sion, Mumbai, with his wife, kid, and brother Sushil after launching his firm.

Balvant Parekh was regarded as a very caring and warm person by many. He was a philanthropist, who donated much of his money to noble causes. In Mahuva, he established two schools, a college, and a hospital. He founded the Darshak Foundation for research in Gujarati and Indian cultural heritage and made substantial contributions to Bhavnagar's scientific city project. Balvant Parekh established the Balvant Parekh Centre for General Semantics and Other Human Sciences in Baroda, Gujarat, India, in 2009.

Forbes India ranked Balvant Parekh 45th on its yearly wealthy list. Balvant has two sons, Madhukar Parekh and Ajay Parekh, both of whom worked for the family firm, Pidilite Industries, as well as one daughter, Kalpana Parekh. Balvant Parekh died on the 25th of January 2013 at age 88.

Madhukar Balvantray Parekh

Madhukar Balvantray Parekh is the present Chairman of Pidilite Industries. As of 2019, Madhukar Parekh is the 16th richest Indian, with a net worth of $7.5 billion. He started his journey with Pidilite Industries in 1972 after working at Abbot Laboratories in the US. Madhukar Parekh has a Master's degree in Chemical Engineering from the University of Wisconsin.

He is a natural scholar, who got placed fourth in the IIT admission exam but opted to pursue chemical technology instead because he wanted to build a niche in the chemical industry. Madhukar Parekh is a Gold medalist alumni of India's foremost chemical technology research center, the Institute of Chemical Technology (ICT), previously the University Department of Chemical Technology (UDCT).

Pidilite Industries - Startup Story | The Journey

Pidilite began with the manufacture of one product only, and it was none other than Fevicol in 1959. It was a white synthetic resin glue, which was created to ease the lives of carpenters and woodworkers. By 1963, the company launched its first modern manufacturing plant in Kondivita Village, Mumbai. Today, the same building is the Corporate Head office.

In 1990, 'Pidilite Industries Private Limited' was formed as its legal name, marking the first step toward brand awareness. After three years, the company went public and was listed on the Bombay Stock Exchange.

As the company grew, it launched products such as M-Seal and Dr. Fixit. Pidilite Industries' Fevicol was already considered one of the most preferred products by most Indians. The company not only did create affordable adhesives but made a lasting impression when it came to running advertisements. In 2002, the renowned Fevicol 'Bus commercial' not only captivated the hearts of Indians but also the hearts of the rest of the globe, winning the Silver Lion award at the Cannes Lions International Festival of Creativity 2002.

By 2006, Pidilite Industries had more international expansion by acquiring companies in the US, and other parts of the world. At present time, the company has a presence in almost 71 countries.

Pidilite Industries - Mission and Vision

The vision statement of Pidilite Industries is, "To Be The Most Innovative Research and Technical Competence Center for Sustaining β€œInnovation-Driven” Growths for Pidilite Group of Companies globally."

As a manufacturer of many products, Pidilite Industries has a dedicated tagline for each of its brands. However, Pidilite Industries as a whole company goes with the tagline, "Building Bonds" as its overall brand slogan.

Pidilite Industries - Business & Revenue Model

Pidilite Industries works on two business modes: the first one is Consumer and Bazaar Segment (B2C), and the other is Industrial Segment (B2B).

As mentioned earlier, Pidilite Industries manufactures consumer goods like adhesives, materials and stationery, food and fabric care, and care products for the consumer market. The other products are for the industrial market like textile resins, construction chemicals, and leather chemicals.

To have a deeper knowledge, let's understand how Pidilite operates its business activities.

1. Consumer and Bazaar Segment: The consumer segment means products that are manufactured in small packages, and the bazaar segment includes items that come in big packages like mechanics or carpenters. About 84% of Pidilite Industries' revenue comes from this segment.

The consumer segment is further divided into three categories:

a) Adhesives and Sealants - this group contributes about 55% of its revenue with brands like Fevicol, Fewikwik, and M-seal.

b) Construction and Paint chemicals contribute around 20% of its revenue. Brands like Dr. Fixit and Roff are the two main products belonging to this category.

c) Arts and Crafts - this is Pidilite Industries' smallest group in the consumer segment. It is reported, that this group donates around 9% of its revenue.

2. Industrial Products: With various products like textiles, paints, printing inks, paper, packaging, etc. Pidilite industries' industrial products category contributes about 15% to their income. To break down their industrial products' revenue contribution:

  • Industrial adhesives contribute 4% to their revenue.
  • Industrial resins contribute 5% to their revenue.
  • Pigments and preparations donate about 6% of its total revenue.
  • Other products like Specialty Acetate, contribute just about 1%.

Pidilite Industries - Revenue Growth

Pidilite Industries was reported to have made a Net Sale of Rs 8,298 crores. The company has also reported that its Consolidated Net Sales grew by 36.3% (2021-22). Furthermore, its Profit Before Tax and Exceptional Items (PBT) grew by 5.7%, and Profit After Tax (PAT) grew by 7.2%

Its B2C business generated 79.6% of the company's revenues and expanded by 30.5%, with excellent volume and mix growth of 20.2%. On the other hand, its B2B division provided 19.7% of the company's revenues and expanded by 45.3%, with volume and mix growth of 20.2%.

Pidilite Industries - Investments

Until now, Pidilite Industries have made six investments. The details of their investments are as follows:

Date Company Name Amount Invested
August 23, 2022 Servify $65 million
July 7, 2022 BuildNext $3.5 million
April 21, 2022 Ply $1.7 million
September 9, 2021 HomeLane $3.7 billion
February 10, 2020 Pepperfry $40 million
December 23, 2019 HomeLane $30 million

Pidilite Industries - Mergers and Acquisitions

Pidilite Industries Limited has acquired three organizations. The details of their acquisitions are:

Date Acquiree Name Price
October 30, 2020 Huntsman Advanced Materials $21 billion
January 5, 2018 CIPY Polyurethanes Pvt. Ltd. $15.2 million
June 16, 2016 Nebula East Africa Private Ltd. -

Pidilite Industries - Subsidiaries

Pidilite Industries has many subsidiaries that make the company one of the leading companies in the market. Some of its subsidiaries are:

  • ICA Pidilite
  • Nina – Percept
  • Building Envelope Systems India (BESI)

Pidilite Industries - Advertisements and Social Media Campaigns

Pidilite Industries has always continued bringing new campaigns and advertisements that deeply connect with its audience. While it's too hard to list down all the campaigns done by Pidilite Industries, here are some of the popular ones below.

In 2020, Pidilite Industries unveiled a new campaign with legendary actor Amitabh Bachchan. The campaign is about their product Dr. Fixit's waterproof ability. Amitabh Bachchan's hilarious yet clever tone has made Dr. Fixit advertisements so popular with the audience in this release of this latest TVC.

Check out what, Vivek Sharma, Chief Marketing Officer of Pidilite Industries said, β€œProper and complete water-proofing remains a vexing issue in Indian homes. Through this campaign, Dr. Fixit continues to educate consumers about the need to do complete waterproofing and makes it more accessible to consumers, contractors, and dealers alike in easy ways across all touch-points.”

Another campaign was also launched in 2020 known as the Fevicol Marine the 'Asli Waterproof Adhesive'. The campaign represents the durability of the Fevicol adhesive even under water.

Its Fevicol brand has also been associated with one of the biggest Indian movies of the year - β€˜83-The Movie’ in 2021 to reinforce brand leadership.

Pidilite Industries - Awards and Achievements

The list of awards won by Pidilite Industries in recent years are:

  • Abby Awards 2016 Silver In Events And Experiential Public Relations
  • CNBC TV 18 11th IBL Awards Most Promising Company Of The Year Pidilite
  • Fevikwik β€˜Pyaun Pyaun’ radio campaign won a Bronze at the Golden Mikes 2016 in Best Use of Branded Content/ Sponsorship on Radio in the Effectiveness category
  • Pidilite won the Acetech 2015 Gold Award At Design Wall Dr. Fixit
  • Pidilite won the Consumer Products Awards EY Entrepreneur Of The Year Award in 2014
  • Pidilite has achieved the Great Place to Work 2021-22

Pidilite Industries - Competitors

Here are some of the competitors or alternatives of Pidlilite:

  1. UltraTech Cement
  2. Godrej Industries Ltd.
  3. HP Adhesives
  4. Vishnu Chemical
  5. Adani Enterprises Ltd.
  6. Bombay Dyeing & Manufacturing Company Ltd.
  7. Future Enterprises Ltd.
  8. Piramal Enterprises Ltd.
  9. Reliance Industries Ltd.

Pidilite Industries - Future Plans

As far as plans for the upcoming future are concerned, Pidilite is now concentrating on expanding its core category, which includes Fevicol, Fevikwik, Dr. Fixit, and M-Seal, through innovation, premiumization, and regional development.

FAQs

Who is the CEO of Pidilite?

Bharat Puri is the CEO of Pidilite.

Where is the head office of Pidilite?

The head office of Pidilite is in Mumbai.

How many products does Pidilite own?

Pidilite has more than 1000 products in its portfolio.

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