JSW Paints is redirecting nearly ₹65 crore annually, previously paid as brand royalty on Dulux products, into dealer outreach, painter engagement and regional expansion as it sharpens its competitive push in India’s decorative paints market. The redeployment follows its full integration of Akzo Nobel India’s decorative portfolio, including the well-known Dulux label. The decision signals a decisive shift towards accelerating market share in a sector closely tied to urban housing demand and renovation cycles.
With the royalty obligation no longer applicable after the acquisition, the company now has additional financial headroom to strengthen its distribution footprint. Industry executives indicate that such funds are typically channelled into trade incentives, retailer margins, painter loyalty programmes and marketing visibility — all of which directly influence purchase decisions in the decorative paints segment.India’s decorative paints market, which accounts for the majority of sector revenues, remains intensely competitive and highly relationship-driven. Success depends not only on brand recall but also on last-mile penetration in fast-growing tier-two and tier-three cities. By reallocating royalty savings, the JSW Paints growth strategy aims to build deeper connections with dealers and contractors who serve expanding urban clusters.
Urban planners note that paint demand tracks new housing completions, rental refurbishments and infrastructure upgrades. As cities expand vertically and peri-urban neighbourhoods densify, decorative coatings become both a functional necessity and a design statement. Strengthening distribution networks in these emerging corridors allows manufacturers to align with India’s broader urbanisation trajectory.Company insiders suggest the current phase is less about immediate margin expansion and more about long-term positioning. The JSW Paints growth strategy appears focused on building brand stickiness among trade partners while leveraging Dulux’s premium recall to capture aspirational urban consumers. Enhanced product segmentation and targeted promotional schemes are expected to support this approach.
The timing is significant. Rising competition has intensified investment in dealer incentives and service-led differentiation across the industry. Companies are increasingly offering colour consultancy, faster delivery systems and digital shade selection tools to support retail partners. Redirecting royalty outflows into these operational levers could help narrow gaps with entrenched incumbents.Beyond competitive dynamics, the shift also reflects evolving domestic ownership patterns in India’s manufacturing landscape. Consolidation and local control of established global brands are creating opportunities to recalibrate cost structures and reinvest capital within the domestic ecosystem.
The coming quarters will reveal how effectively the additional resources translate into distribution gains and sustained volume growth. For a sector intertwined with India’s housing momentum and urban renewal, the outcome will shape not only market rankings but also the competitive fabric of the country’s built environment supply chain.
