### **Overview** Kansai Nerolac Paints Limited (KNPL), established in 1920, is a subsidiary of **Kansai Paint Co., Ltd., Japan**, and one of the **largest paint and coating manufacturers in India**. With a strong presence across **India, Nepal, Sri Lanka, and Bangladesh**, KNPL holds a **leadership position in industrial coatings**, particularly in **automotive and powder coatings**, and ranks **third in the decorative paints segment**. The company combines Japanese technology, innovation, and R&D excellence to deliver sustainable, high-performance coating solutions tailored to Indian and regional markets. --- ### **Strategic Pillars & Business Segments** #### **1. Decorative Coatings** KNPL’s decorative business strategy is centered around **Paint+**, a differentiated product line offering **value-added, function-led features** such as durability, self-cleaning, waterproofing, and environmental safety. - **Paint+ Portfolio**: Over **28 differentiated products**, including **10 launched in FY 2024–25**, contribute approximately **10% of decorative sales**. The range accounts for **double-digit brand salience** with a **190 basis point improvement in the last year**. - **Recent Launches (2025)**: - *Nerolac Perma No Heat*: Superior whiteness, dirt pickup resistance, and **>15°C surface temperature reduction** — claimed best-in-class. - *Soldier Rain Raksha White Emulsion*: Offers **300% elongation**, weather resistance, and comes with a **waterproofing performance warranty**. - *Wow White Range*: Provides **15% higher coverage**, exceptional whiteness, and durability — now expanded nationwide. - *Kansai Select Shikisai*: A premium decorative finish inspired by **natural stone textures and Japanese design**, offering a **luxury matte finish**. - *Nerolac Wonderwood Gloria NXT*: High-gloss, scratch- and stain-resistant PU wood finish. - **Innovation Focus**: Emphasis on **low-VOC, heavy-metal-free, and sustainable** products; expansion into **construction chemicals, waterproofing, adhesives, and wood finishes**. #### **2. Industrial Coatings** KNPL is a **market leader in automotive and powder coatings** and is rapidly growing in **high-performance** and **auto refinish** segments. - **Automotive Coatings**: - Leading technology supplier to **4-wheeler OEMs**, with strong presence in **2W, 3W (especially EVs), and commercial vehicles**. - **60% market share in India’s electric vehicle (EV) coatings** segment. - **New Launches (2025)**: - *High Gloss Clear Coat* for enhanced workability and gloss in 4-wheelers. - *Low-Bake 2K PU System* for commercial vehicles — improved energy efficiency. - *Matt Clear Coats* for passenger vehicles and *PU Monocoat* for two-wheelers. - *Compact 3C-1B Roof Paint System*: Reduces energy and paint usage by eliminating one bake cycle. - **Technology Leadership**: Partnership with Kansai Paint Japan enables **tin-free CED coatings**, reduced VOCs, and **eco-friendly paint systems**. - **Performance Coatings**: - Includes **coil, general industrial, high-performance (liquid & powder), and auto refinish**. - **High-growth applications**: Bridges (Atal Setu), metros (Vande Bharat), oil & gas, infrastructure. - **Innovations**: - *Fluoropolymer-based coatings* with 15–30 year lifespan. - *High-build coil coatings* for airports and high-rises. - *Anti-static and corrosion-resistant coatings* for alloy wheels and rebar. - **Powder Coatings**: - **Market leader** with **twice the size of nearest competitor**. - Growing in **premium segments** like **alloy wheels, functional rebar, and heat-resistant** applications. - Products like *Exotica Clear Powder* offer aesthetic sparkle for OEMs in fan and electronics sectors. #### **3. New Business Segments** KNPL has aggressively expanded into adjacent markets: - **Construction Chemicals & Waterproofing**: Products like *Nerolac Perma No Damp+*, *Crystal Seal* (self-healing waterproofing), and *Neroshield* for raft waterproofing. - **Wood Finishes**: Strategic **partnership with ICRO (Italy)** to offer premium PU finishes. The *Wonderwood* and *Gloria NXT* lines are gaining strong market traction. - **Adhesives**: Through **Nerofix (joint venture with Polygel)**, offering B2B and B2C solutions. --- ### **Growth Enablers & Innovation** #### **1. R&D & Technology Leadership** - **State-of-the-art R&D Center** in **Vashi, Navi Mumbai**, with **five satellite R&D units** at manufacturing plants. - **24 patents filed in FY 2024–25**, focusing on formulation, process, and sustainability innovations. - Key R&D highlights: - Heavy metal-free automotive coatings. - High-performance coatings for **semi high-speed railway coaches**. - **AI-powered color systems** and **digital spectrophotometers (Nix)**. - Development of **waterborne and low-VOC technologies** (e.g., *RETAN WB EV* for auto refinish). #### **2. “One Kansai” Global Advantage** - Deep integration with **Kansai Paint Japan** and group companies (e.g., **Kansai Helios**, **Oshima Kogyo**, **Cashew Co.**, **Protech Chemicals**, **Kluthe**). - Access to **global color trends, advanced technologies, and technical support**. - Strategic **acquisitions in Europe** to expand offerings in **railway and premium coatings**. #### **3. Manufacturing & Supply Chain** - **Nine owned manufacturing plants** across India (Hosur, Bawal, Lote, Sayakha, Jainpur, Marpol, Goindwal Sahib, Sarigam, Vizag). - **Decorative**: Hosur, Jainpur, Lote, Goindwal, Sarigam, Atchutapuram. - **Industrial**: Bawal, Sayakha, Lote, Hosur, Jainpur, Marpol. - **Backward integration** in **resin and emulsion production** for cost efficiency. - **616,000 kiloliters annual coating production capacity**. - **Supply chain resilience**, supported by **114 depots and 7 regional distribution centers (RDCs)**. --- ### **Go-to-Market & Customer Engagement** #### **1. NxtGen Ecosystem** - **NxtGen Painting Services**: Fully digital, end-to-end **home painting service** now active in **>250 cities**, serving **>25,000 customers**. - Offers **5-day dust-free painting**, AI-driven color matching, and online tools (Budget Calculator, Colour Visualiser). - **NxtGen Shoppe & Shop-in-Shop**: Over **350 retail touchpoints** (100+ NextGen Shoppes, 200+ Shop-in-Shops) offering immersive brand experiences with **AI-based color recommendations**. - **Digital Tools**: - *Paint Budget Calculator*, *Colour Picker*, *Colour Visualiser*, and *AI-powered spectrophotometer “Mix”*. #### **2. Influencer & Loyalty Programs** - **Pragati Painter Loyalty Program**: Trained **over 1 lakh painters** through app-based learning and incentives. Drives secondary sales and brand advocacy. - **Illuminati Programme**: Engages **8,000+ architects and interior designers** with **color consultancy, lunch-and-learn sessions, and integration into 3D design software**. - **Contractor Service Program**: Partners with local contractors for **reliable, cost-effective project execution**. #### **3. Project & B2B Business** - **Projects segment** active in **>80 towns**, serving **builders, CHS, and government sectors**. - Notable projects: **Yashobhoomi (Delhi IICC)**, **Varanasi Airport Flyover**, **National Rail Museum (Delhi)**. - Strong pipeline in infrastructure and government projects, supported by approvals (e.g., **Mumbai Metro**). --- ### **Sustainability & ESG** - **Eco-friendly Technologies**: Low-VOC, solvent-free, low-bake, high-solids, and monocoat systems. - **Energy Efficiency**: - **5.75 MW solar power** via group captive and open-access PPA, saving **₹19 crore annually**. - Developed **non-yellowing, recyclable, and bio-based coatings** (e.g., *Bio Coatings* from vegetable resins). - **Green Manufacturing**: Digital factories, energy-optimized processes, and reduced carbon footprint via **value engineering (VAVE)**. --- ### **Brand & Communication** - **Nerolac brand ranks #2 in top-of-mind awareness** despite aggressive competition. - **Iconic brand jingle** remains a key differentiator. - Campaigns emphasize **Japanese heritage, innovation, and premiumization** — e.g., **Ranveer Singh** as brand ambassador for *Impressions Kashmir* campaign. - **Digital spending** increased to strengthen brand recall and engagement. ---