ANNUAL

BUSINESS
PLAN
2022-23
 TOPIC OF DISCUSSION

Bangladesh Landcape 01

Lubricant Industry Update 02

Vision 2025 03

Strategies & Enablers 04

Volume & Budget 2022 05

 BANGLADESH –STORY OF RESILIENCE
Despite Pandemic and lockdowns, the economy grew @ one of the highest rate in South Asia

, the economy is

expected to grow further

COINED AS ONE OF THE TOP

COVID RESILIENT COUNTRY
(With regards to economic growth)
 THE FUTURE LOOK STRONG FOR THE ECONOMY
BY 2036, THE COUNTRY IS EXPECTED TO BE WITHIN THE TOP 25 ECONOMIES OF THE WORLD

THE PILLARS OF GROWTH

Self Sufficient in 2nd Largest in 3rd Largest Affordable

Food RMG Exports Remittance Flow access to
Production in South Asia information
RIDING ON THE MOMENTUM, RKPL ALSO REGISTERED
UNMATCHED GROWTH

165%
Business Has Grown
9.4

7.6
5.7
4.2

1.5 1.85
Total B2C B2B

2020 2021
Sales out
AS A RESULT, WE HAVE MADE A BIG LEAP ON
NATIONAL SCALE

2020 2021
3 rd
biggest
lubricant
supplier
 EVEN WITH THE HIGH SPREAD OF OMICRON, THERE IS A SLIM POSSIBILITY OF
LOCKDOWNS
7000 6%
5%
6000
Covid cases spiked 5%
5000
4%
due to the spread 4000
3%
of Omicron in the 3000 2% 2% 5743
2%
2000
last two weeks 1% 1% 1% 1% 1% 1% 3213
1%
1000 1696 1882 1758 2170
1273 1587 1659
0 0%
2021-W45 2021-W46 2021-W47 2021-W48 2021-W49 2021-W50 2021-W51 2021-W52 2022-W1
Confirmed case Test positivity rate

35 3%
31
30 27
2%
25 2%
25
23 22
However, with lowering
21 20
2%
20 2% 2%
17 death rate, it is
15 1% 1%
12 1%
10
1% regarded less harmful,
1%
5 1% 1% 0.4%
so hygiene precautions
0 0%
2021-W45 2021-W46 2021-W47 2021-W48 2021-W49 2021-W50 2021-W51 2021-W52 2022-W1 are focused
Death Death Rate
INDUSTRY UPDATE
 132 ML
*source NBR

industry
12%
▪ Local Manufacturing & Assembling
16% 3% 53% 28% ▪ Tax Relaxation till 2032
▪ Growing Middle Class with Purchasing
Power
▪ Accessible Commuting Solution

21.7 4 69.7 36.7 YoY Growth 2016-2021

source BRTA
Numbers in ML
-3% -6%
▪ Major Projects ▪ Higher Taxation on JDM
▪ Covid Impacts ▪ Traffic Congestion

72%
95.4 ml automotive

36.7 ml 28%
industrial
 TOP BRANDS IN ALL SEGMENTS
2020 2021
17.3 3.4

Base OIL 4.3 3.4

Finished goods
3.1 4.5

5.2 4.7

4.2 4.9

5.6 9.4

7.2 11.2

9.8 19.6 25.9 11.3

37.2
 VISION 2025
Be the preferred
choice of customer 15ml Be agile, flexible &
unconventional
STRATEGY
MARKET DRIVEN
01 PRODUCT MIX

02
EFFEICIENT
MARKETING

EFFECTIVE
REACH

03
MARKET DRIVEN PRODUCT MIX
FOCUS AREAS

B2C B2B

HDDO NGEO

MCO HYDRAULIC & GEAR OIL

HTO
HDDO
INDUSTRY DENTED DUE TO COVID, HOWEVER MONO GRADE IS
INCREASING

2017 2018 2019 2020 2021

Base Oil 88.4 ML 81.4 ML 87 ML 89.0 ML 90.0 ML

Lube Oil (FG) 60.9 ML 66.1 ML 65 ML 45.0 ML 42.0 ML

Total 149.2 ML 147.5 ML 153 ML 134 ML 132 ML

* Source NBR Import Data

ASSUMPTION OF HDDO MONO GRADE IS OF BASE OIL MARKET

IN HDDO PORTFOLIO, THERE IS A GAP THAT NEEDS ADDRESSING

6% mS
Premium
& OEM

14ML

1.7% mS
Entry grade
20ML Introduction of APDO

No
Mono Grade Market 36 ML products
mono vs Toll
Special
multi blending
Support
research
MCO
Advance has a full Range of Products for Consumers
However, we don’t have any OEM brands

21% of OEM brands

105k New Market

With a potential volume of
1.05ml
If these two brands are unlocked
Motorcycle Market of Bangladesh
B2B
PROTECT & GROW KEY SEGMENTS

CONTINUTES TO OF NON-POWER PORTFOLIO

IMPORT NOT FEASIBLE AS

LOOK FOR I.E. BLENDING

OPTIONS OR DISCOUNTS TO MATCH THE COMPETITION
EFFECTIVE REACH
FOCUS AREAS

B2C

B2B NON-POWER

B2B POWER
B2C
RETAIL LANDSCAPE

95Million industry RKPLs overall coverage has shrunk in

2021, post COVID lockdowns

13K Retail Outlets 123

2018 census
129
OUTLETS 2017
Fragmented universe
1,500
OUTLETS 2018

Unstructured retail
2,334
OUTLETS 2019

Retail Landscape change

post COVID 3,498 2020
OUTLETS

Highly price sensitive 2450

OUTLETS 2021

Need to re-look at the distribution strategy and enabling passive distribution network
RETAIL COVERAGE
Most badly affected during COVID lockdowns

Large number of outlets are relocated (lower rent), shut down, while
new outlets opened where covid restrictions were more relaxed

IDENTIFYING THE OUTLETS AND BRINGING THE RIGHT OUTLETS UNDER COVERAGE IS THE FOUNDATION

TRIGGERING NATIONWIDE OUTLET CENSUS

SCOPE ALL OVER Bangladesh ( except Hill tracks- Govt. Restrictions)

Any outlet over 20L monthly volume or consumption will be under the scope

70% volume contributory outlets under direct distribution

 ENABLERS FOR OPTIMUM DISTRIBUTION

RIGHT DISTRIBUTOR
- Bigger market
01 02 RIGHT RETAIL
- Vision to cover 100% retail
- Capacity to invest - 70% VC retail through own FF
- Intent for passive distribution - 30% VC through passive
- Right frequency

EFFECTIVE ENGAMENT ORGANOGRAM

- Tools to intrigue trade and WS
04 03
- Right people at the right place
- Visibility Drive
-KPI & evaluation
Q4, A PERIOD OF TRIALS TO FIND THE RIGHT DISTRIBUTOR
123 DISTRIBUTORS
STRETCHED TARGET TO TEST
THE CAPABILITY OF THE RKPL INVESTING ON
60 DEALERS DISTRIBUTOR CAPABILITY,
SELECTED DISTRIBUTOR
LOGISTICS AND FIELD
FORCE

DISTRIBUTOR DEMARCATION
RATIONALIZING RESTRUCTURE
TARGET SETTING HIGHER REWARD Capability building

GIVEN GREATER BACK MARGIN WAS

DEMARCATION TO ALL 60 REDESIGNED, PRO-RATA
DISTRIBUTOR BASED AND EXTRA MAX

BDT 20 mn extra
INVESTMENT B2C in Q4 alone
FROM Q1’2022, ONWARDS APPLY THE LEARNINGS OF Q4

Working capital
Logistics requirement
Field force Quarterly Business
Primary sales target Review
Secondary sales target
CPT target

Business Plan
Implementation

Dashboard
PLAN FOR EXPANSION

universe Passive distribution

HOS
through Dealer FF, Sub-
distributor

DDM
2.5
Direct control
AM (1:4)
through our own
70% weighted
sales team

TSO -27

Coverage Penetration Throughput 18 DEALER FF

(SUBSIDIZED by RKPL )

5000 2500 66 L
OUTLETS
SFA 2.0
2021 Features of SFA
MANDATORY PICTURE WHILE ORDER CAPTURE & OUTLET VISIT

FF WISE SALES & VISIT EVALUATION DASHBOARD

Outlet visit map integrated with Google Maps with

color coding & information of sales call
 2021 Features of SFA

AUTOMATED SMS TO RETAILER DEALER DASHBOARD CONTAINING STOCK & SALES INFORMATION

AUTOMATED TA/DA GENERATION

2022 Features in SFA 2.0

Competition Information Integrated Performance

Update monitoring App
TSO will capture competition Separate performance App
sales & campaign information for real time automated
dashboard & follow-up

SFA
Real time Customer Suggestive Ideal order
navigation in App quantity
App will show direction for Based on historical data, App
optimum market coverage will suggest minimum order
quantity for an outlet
NON-IPP
Current Status of 2021 (Customer Base)

17.1 ML

Customer 6,047

643 Existing customers

New Acquisition 137 : clients

NEW CUSTOMER
ADD VOLUME IN KL - 262 KL
Construction, 3
Food & Bev, 10 General Steel
Manufacturing 5%

Textile, 51 11%
Food&Bev.
3%

General Others
Manufacturing, 14%
52
Textile
67%
Steel, 3

Others, 18
TARGETING ANOTHER 981 OUTLETS ACROSS DIFFERENT INDUSTRIES

Cement, 0.60
24 Accounts

Steel, 0.40
45 Accounts

Construction, 0.40
31 Accounts 4.2 MNL

Pharmaceuticals, 0.40
981 accounts 150 accounts
36 Accounts
400 KL
F&B, 0.40
29 Accounts

General Manufacturing, 0.90

335 Accounts

Textile, 2.80
481 Accounts
MANPOWER & Pipeline Management Tool

Capturing Attendance
PMT at a glance

Check-in and Check-out at customer GM-01

premises base on geo-tagging
DGM-01
Call planning through POPSA
Manager-01 (to
manage the PMT)
Pipeline Management through
SPANCOP DFLTS-01

DSR visit monitoring, report, TA/DA DSR-10

and customer insights
981 Pipeline
Customers
Performance Analysis – Sales &
Pipeline 643 Existing
Customers
BI and Dashboard *click to play the video
POWER
BANGLADESH POWER REVOLUTION
POWER BUSINESS BOOMED AS THE ENTIRE POPULATION WAS BROUGHT UNDER
ELECTRICITY

99.5% population under

electricity coverage
POWER SECTOR IN BANGLADESH (26 Oct 2021)

MW % Pricing (IPP)

COAL 1,768 8.19%

N.A. (Govt.)
GAS (GOVT. + IPP) 11,430 52.93%
BDT 2.00 - 3.00
HFO (GOVT. + IPP) 5,587 25.87%
BDT 8.00 - 11.00
148 HSD (GOVT. + IPP) 1,290 5.97%
BDT 18.00 - 20.00
Power plants
HYDRO (GOVT.) 230 1.07%
N.A. (Govt.)
IMPORTED (INDIA) 1,160 5.37%
N.A. (Govt.)
SOLAR 129 0.60%
N.A. (Govt.)

TOTAL 21,594 100.00%

 Shell in IPP Segment
(Govt. segment not yet accessed) IN MW
% SCOPE
Shell TOTAL Shell %

Other , 21% GAS 1,109 439 39.59%

GAS
Shell, 36%
HFO
CAT, 4% 5,587 2,141 38.32%

Petronas,
10%
1,000 200 20.00%

Mobil , 29%
7,696 2,780 36.9%
POWER & GOVT PIPELINE

• BR Powergen Limited (N) 150 MW Govt. Power Plant – 350KL

• RPCL (E) 105 MW Govt. Power Plant – 90KL
• RPCL (E) 52 MW Govt. Power Plant – 40KL
• Shikalbaha (E) Power Plant Limited 115 MW – 240KL

• Bangladesh Railway – 200KL

FOCUS AREAS

B2C B2B

Trade activations NON-power

Driving brands
TRADE ACTIVATIONS

Dealer Attractive volume based

incentive model

Retail Join & Win Prgram , Slab

based offtake promotion

Incentive model for B2C

B2C Team team. Focus KPI are
secondary sales ,CPT &
local initiatives.
 DRIVING BRANDS
Advance , Helix & Rimula are the 3 drive Brands for Bangladesh

01 Drive Consumer Loyalty

▪ Identify Consumer Segments & Needs
▪ Use Both Digital and BTL tools to reach consumers
▪ Tailored offers / value additions

04
Adapt & React on Real Time
Studies
▪ Half yearly review of brand parameters
through research and studies, and act or
change accordingly 02
Develop Alternate Channels
▪ OEM recommendation- Honda & Suzuki
▪ Add frequently visited mediums of our consumers
Continue to Focus on Trade Initiatives 03 as a source of information and value additions

▪ In a changed retail landscape, refresh the

loyalty program for more effective output
 BANGLADESH MCO
MARKET LANDSCAPE
Market Overview

2.6MN active motorcyclist From 12% segment share in 2020

to 16% Segment share in 2021
21.7 ML annual volume
Fastest growing

Despite the dent due to Covid, Govt initiatives have helped grow the MCO in 2021,
and will continue to grow
Motorcycle Manufacturers & Assemblers
sought for BDT 2,600cr. under Govt’s
30,000cr. Stimulus Package
Advance Consumer Program

Brand Building Ultra Ultimate SMS & WhatsApp BP Moto GP Mineral_Win

for Ultra Protection Camp Ultra & BP Motorcycle
Emotional brand Workshop Oil drain reminder Match MOTOGP By scanning QR
building through recommendation & avail % discount letters by ordering code with dummy
OVC & for Ultra user from on repeat from e-store & key, 1 lucky
#Campaign Shell e-store purchase lucky winners will customer will win
get ticket for motorcycle every
MOTOGP. month.

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Advance Consumer Program

Influencer
Alternate Channel OEM Brands Endorsement
Guerrilla Activation

Strategic alliance Primary discussion Sponsor Rides

Emotional brand under the banner
building through with channels to has taken place
make the access of “OUTRIDE
OVC & ANYTHING”
#Campaign easier for bikers

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Advance Trade Loyalty Program

Trade
Masterclass Bondhu
Visibility

1 2 3
300 ws who have kept Masterclass Bondhu
WS 650 Participants
a stable business over participants Outlets
1000+
last 2 years

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Q1 Q2 Q3 Q4
PCO
INDUSTRY SCENARIO GVT. Shifting towards EV

18% Dhaka
Last 3 years car imports in Bangladesh Outside
Dhaka
82%

30,000 25,926 26,103

25,000
19,920
20,000
22,117 21,878
15,000
16,260
10,000
3,809 3,660 4,225
5,000
14% Market share 16% Market share

-
2019 2020 2021
Brand New Reconditioned Total

Additional benefits for

GVT. officials

Entrance of Chinese Opening of local

brands manufacturing
Helix Consumer

Chauffeurs Avik Anwar The Engine Destination

acquisition program sponsorship Oil Show Brand

350k registered chauffeurs One of the most effective Celebrity endorsement Sponsoring Avik Anwar on
as per BRTA. 70% car channel to promote our Engine oil comparison show Sepang 1000km
chauffeur driven. We will premium segment. Real-time consumer endurance race.
connect them through IVR Sponsoring his YouTube experience video OVC & Brand campaign
with special offers channel & international for Shell helix Ultra.
races

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
IWS ACQUISITION - INSIDE DHAKA

Insights of IWS owners Way forwards

01
Customized

01
Wealthy business man &
serves most of the trade offers
premium cars in Dhaka

02 02
Very transactional & Full
business benefit driven workshop
branding

03 03
Hard to crack because Mechanic
of their superior business tools &
mindset. apparel
support
Our Targets to acquire
Multibrand , Autoexpress, Vehicle
solution, I-works, Speedcare

05
Introducing
barrel/drum

Q1 Q2 Q3 Q4 Budget $21,893
HDDO
PERFORMANCE OF 2021
INDUSTRY SCENARIO

60k
1,417 k
46k 57k 1,223 k
30k
19.5k
2018

16% growth
29%

-4%
2017

2019

2021
-47%
2020

2020
2021
-35%
LAST 5 YEARS REGISTRATION
*source BRTA
PERFORMANCE

Covid IMPACTED the HDDO Segment 1

Mega projects about to end 2

RIMULA

Rimula Seasonal Offer

Seasonal utility gifts for 475 KL
consumers for securing offtake

Rimula Care
Driver & mechanic 5 KL
welfare program

Shathi
সাথী A slab based promotional 180 KL
campaign for mechanics
SUPPORT FOR FLEET FLEET
OWNERS

Supporting fleet partners as per their need

Customized Diary & Introducing barrel Utility support

Calendar

Q1 Q2 Q3 Q4
NON-IPP
 GOOD PRACTICES IN 2021 & STRATEGY WAY FORWARD FOR NON-IPP

• We have achieved 19% GROWTH in 2021 over last year.

• Due to COVID-19 restrictions in 2021, we got only 08 (Eight) months effective Customer
Engagement
visit time. However, we have managed it through quality visits.

• Capturing the GROWTH in Textile & Construction sectors. New Inclusion

(Textile: 154 KL from 45 new accounts, Construction: 34 KL from 10 new Winning BIG
accounts) Accounts

• Innovation / Out of the box thinking

e.g. Tailored Made Offer for “Samuda Group”, “Interstoff Spinning” etc. Innovation / Out of
the box thinking

Customer Education
& Technical Support

Quality Visits using

PMT
MARKETING STRATEGY FOR NON-IPP

Package solution by managing

the entire portfolio

Periodic customer
engagements

Competitive pricing

Highest Growth in 2021

Demonstrated Value Selling
through Technical Support Effectively in 8 months

Biggest Growth in RMG ever

MARKETING ACTIVITIES IN NON-IPP
CONSUMER ENGAGEMENT

DIGITAL MARKETING THROUGH LINKEDIN, FACEBOOK ETC.

TOKEN GIFTS IN FESTIVES

PROMOTIONAL GIFT FOR “FIRST MEET”

‘HEALTH INSURANCE” SUPPORT FOR TECHNICIANS

SHELL PLANT VISIT BY 10 CLIENTS

OEM Seminar

4 MAJOR OEMs’

TECHNICAL SEMINARS

4 GEOGRAPHICAL CLIENT MEETS

4 TECHNICAL WEBINARS

20 SEMINARS AT CUSTOMER SITE

TECHNICAL SUPPORT

2 Domestic
References -
DVR

4 Local
Testimonial
Generation

Capability
buildup of Tech
Support Team
VOLUME & BUDGET
FACTORS CRITICAL TO VOLUME

POWER DEMAND

of 2021 volume was from power

PRICING

of crude oil price due to Omicron

PORTFOLIO GAP

Uncertainty of

availibility

product supply
 VOLUME OUTLOOK 2022
OTHERS 0

Rimula within touching distance of two million mark

HE I 00
Advance is expected to cross half million mark
AD AN E 0

RI U A 00
6000

2800
2200
volume

projection in 2022

NON-POWER B2C POWER

 BUDGET PLAN
SGEMENT BRAND BUDGET

TRADE $1,058K
MARKETING EXP.

ADVANCE $445K
B2C HELIX $133K

RIMULA $202K

ALL BRANDS $47K

B2B B2B $88K

$1.9M

SUPPORT REQUIRED 37% [USD703k]

THANK YOU