Nifty50 and Diwali season
Sensex, Nifty50 down nearly 4% since last Diwali.
Markets witnessed such a fall during this period amid weak global cues, a depreciating Indian rupee, and sharp selling by foreign institutional investors.
Even in this downturn, we could have made money if we sharpen our skills to exploit the opportunities presented by the market. It’s time we realize that we are wasting our time in media/social media.
How to profit from the market?
Promoters who have fire in their belly find the gaps in the market to make profits for themselves as well as for their shareholders.
Take for example, the owner of DS group, Satyapal found a gap in the candy market that was dominated by strong foreign brands. He introduced pulse, a masala flavor candy in mid 2015 which clocked Rs 100 crore in revenue within eight months of its launch. Italy’s Perfetti, which has leading brands like Alpenliebe, Chlor-mint, Mentos candies and Happydent chewing gum, is the market leader with more than Rs 2,000 crore in annual sales. Parle, ITC Ltd and Wrigley are the other major players in the segment.
However, the DS group carved out a place for itself by introducing pulse Candy. Priced at ₹1, pulse cracked the market with its unique taste and has now become the masterpiece for the DS Group, which also makes Rajnigandha pan masala, Catch spices and Pass Pass mouth freshener.
Shocked by the success of the pulse the US based Mars inc. backed by Wrigley is making corrective action to lure the Indian customers towards its candy products. Its product, Orbit that commands over 90% Indian market share, has no significant present in the confectionery business. They are ramping up their business to offer more products now to make a significant presence in India markets.
Investors should invest in such companies to amass wealth. Keep reading our blogs to find how some Indian companies are exploiting the gaps in the market. Sign up and attend our regular webinar on these topics.
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