Business Case Scenario Submission 04 - Vinay Kumar Saini

Announcement

Congratulations!! Team Sky, Team Air & Team Fire Qualified for Semifinal Round.

QUARTER FINAL | BUSINESS CASE - BCS 04

Marketing Manager Submission BCS 04

NMO 2020

Analysis of problems occurring in sales/marketing/delivery of products and take-out solutions of it.

Submission Date & Time : 2020-03-22 00:54:06

Submitted By: Vinay Kumar Saini - Marketing Manager From Team Water

Case Understanding - According to me, the firm is not able to create brand awareness and promises - No proper market segmentation and Lot of absenteeism - The distribution network/channel is not effective. - Consumer behavior is not good for our products. - The communication channel is also not good because they are not clear the query of customers. - The firm is not knowing their target audience and target team - The firm also not decided their sales target and not prepare a budget accordingly - The firm is not able to remove foul smell and bad taste from products because the production/quality control department is not present/available in firm - The firm is not able to create much demand because the sales force or the marketing department is not efficient in their work. So, we must replace the marketing head with an effective one. - The firm are not able to expand its business-like in non-dense areas because they donâ€™t have enough fund to invest or not much-talented workforce and the risk-taking ability of management is less. - Shortage of funds to invest in marketing tactics and to expand its business unit. - The firm is not solved its faults in delivery like false delivery, not deliver the product.

BCS Solution Summary- Firstly, the firm must decide their market segments and their target audience - Provide training and incentives to employees - We are using Just-in-Time(JIT) inventory system of management strategy - Increase profit margin to know/maintain break-even point i.e. operating cost is equal to revenue - By focusing on increasing profit, if we have more funds to invest in marketing, we can create more demand and expand our business - Extension of product line/range line like buttermilk, butter, cheese and creams from the next financial year by which we able to generate more profit and minimize our losses. - Expand to small town/non-dense areas because we get more potential customers because there are fewer sellers are available in those areas and we get the opportunity for expansion. - Increase and focus to reach more and more families/customers through marketing activities to increase our revenue. - We are also focused on updating of App to solve the problem relating to delivery and payments. - Provide compensation and remuneration based on monthly performance. - Must create awareness and educating customers for our products

Solution
   - We can use the reverse mentoring management principle which means a junior team member enters "professional friendship" with someone more senior, and they exchange skills, knowledge, and understanding and it flows from lower to upper management

   - We have also done market research which is done by our delivery partners or salespersons because organizational profile needs to be understood clearly for linking the product with the organization and its brand. In which we can analyze the market by using PESTEL analysis and then use the STP strategy of marketing. Market research helps to understand consumer needs, wants and their problem with our products.

        Methods of consumer/ market research

Start with the existing users

Interview the internal stakeholders

Identify the pains and gaps in the customers buying process

Scanning all interaction touchpoint

Conducting follow the home research

Analysis of your competitors

A Diary study and feedback form

- Firstly, we can increase the profit/margin of the DND firm by increasing the prices of some products like we can increase just Rs 5 in each product price. By increasing the prices, we get enough margin and we will recover our cost also.

      - We can also increase the product portfolio/product range/product line because currently, we are just dealing in three product but there are many more dairy products which we will also provide like butter, cheese, cream and buttermilk and

     - We can use the esprit-de-corps management principle which means unity in strength because we must make a good relationship between all the departments by which we can manage all the things ineffective manner, and we get a better result.

     - Constant communication between supervisors and employees which is helpful in building a good relationship between both of them. (Scalar chain principle)

     - Subordinate of firm interest to general/consumers interest means to modify the product according to the needs and wants of customers

      - Making proper discipline in delivery means making proper delivery or deliver the product on time by which we can create a brand promise and brand loyalty

      - Create brand awareness by using online or offline advertising platforms

      - We are using an Integrated marketing communication technique for marketing because promotion is the main element of marketing-mix which has three broad objectives- (a) information, (b) persuasion, and (c) reminding. The overall objective of promotion is, of course, influencing buyer behavior and his pre-dispositions (needs, attitudes, goals, beliefs, values, and preferences). IMC process includes the company (the advertiser), Advertising agency, Media organizations, and communication specialist.

  - To market our brand or firm we can use marketing mix/4 P’s of marketing and STP strategy

          - In STP strategy, we divide our customers into small numbers of the group based on Geographical, Demographic and socio-economic classes which helps to target them. Then we must set our target audience and target them for buying our product. After that, we make the position of our brand in the mind of the customer. For this, we have to re-launch our brand for creating a good image.

           1. Product- Increase product range from three to seven. We have increased only 4 products because we are suffering from losses and we don’t have enough funds to expand much. So, we can expand our business slowly and minimize the losses.

           2. Price- To gain market share we can use the Penetration pricing strategy and Worth pricing strategy. These pricing strategies affect the psychology of consumers.

          3. Place- Strong distribution channel because the distribution network is the power of any business, so we must focus on it and make it strong.

          4. Promotion- Hardcore advertising of our products because promotion is a very important component of marketing as it can boost brand recognition and sales. We must create awareness among the customers and potential customers. For promotional activities, we use online and offline. We can also use public relations, sales promotion and advertising. But our focus is on online marketing because these three cities are considered as developed cities or metro cities and maximum people are educated in these cities so maximum peoples are using the internet that’s why our focus is on online or internet advertising. In online advertising, we use Social media marketing, application marketing, affiliate marketing, digital marketing, and AdWords advertising.

- We can hire those people who are expert in the marketing of FMCG products with minimum cost and provide maximum result

   - Plan for the next financial year

         1. Increase the product range and risk-taking ability of top management

         2. Increase the durability of product by delivering the products by those vehicles which have inbuilt refrigerator facility to increase the shelf life of the product or provide the refrigerator facility for transportation and delivery

         3. Measure and check the quality standards before delivery of the product which is set by quality manager or FCI

         4. Provide the cashback and promo offers on bulk orders like parties, functions, etc.

         5. Establish the milk vending booth in major places with tie-up

         6. Proper market segmentation and Divide the area between sales force to increase our market reach on those areas

         7. Provide incentives to the most effective and efficient delivery partner

       8. Making a partnership with local seller/retailers and with restaurants

         8.1. Integration with small local food shops

       9. Go to non-dense areas and analyze the areas about how much we can expand our business in those areas and expand in other cities also which helps in the creation of employment opportunities in those areas.

        10. Then check our potential customers in that area and create awareness among them.

      11. Prepare the budget to invest in marketing and sales

      12. Focus on distribution channel

           12.1. Strong our supply chain by recruiting more salesperson which increases the living standards.

        13. Analysis of consumers behavior by doing market research

      13. Doing CSR activity that advertises our products/firm. CSR activity like when we are not able to sell/deliver the product and we know that their shelf life is less then we gift that product to orphanages by this we are able to nullify any wastage of food if any in near future.

        14. We also provide training to less effective salespeople and help them for their development for the future.

        15. We are using Eco-friendly packaging for some products which help in reduction of environmental pollution.

       16. Focusing on to create a recall value

Optional Assignment
Tagline

- Delivered the quality product on time

Conclusion- According to me the overall problem is in distribution, quality, and communication by DND LLP firm and losing the customer base. - The firm hadnâ€™t been done segmentation correctly of its customers and areas. - Firms are also losing their customer base due to dissatisfaction because consumers have also complaints regarding foul smell and bad taste not which is not solved by DND LLP firm. - Improvement Areas ïƒ˜ Modification of App like feedback form, customer care email id, etc. ïƒ˜ Create awareness and educating among customers by marketing activities like promotion of products ïƒ˜ Selection of target audience by doing market research and surveys a ïƒ˜ Making of strong customer base and customer loyalty ïƒ˜ Expansion of product portfolio/range ïƒ˜ Using Just-in-time management strategy ïƒ˜ Using eco-friendly packaging method ïƒ˜ Create recall value ïƒ˜ Making proper discipline at every level ïƒ˜ We hire a quality control manager to check the quality standards of each product before dispatching ïƒ˜ Expansion of business in non-dense areas to create more demand ïƒ˜ Provide training and incentives to salesperson/delivery partners ïƒ˜ Minimize the losses by increasing profit margin ïƒ˜ We can use reverse mentoring and esprit-de-corps management principle on organization ïƒ˜ We can analyze the market by using PESTEL analysis and then use the STP strategy of marketing ïƒ˜ We can also use marketing mix and Integrated marketing communication for marketing ïƒ˜ We are using Penetration pricing strategy and Worth pricing strategy for pricing of our products ïƒ˜ Focus on increasing the sales of the firm day by day by using market tactics. ïƒ˜ We must analyze consumer behaviour toward our products. - By doing this thing in a proper manner we can minimize the losses of the firm and gain profit in the near future and we can also achieve our break-even point.

Attached File Details

Comments

Dr Saroj Kumar Dutta

could have been much better...Keep Trying !

Every organisation has a Hero product that ensures revenue at breakeven, increasing SKU's here may not be a good solutions considering the perishable nature of the product. There are conflict in the solution as increasing price and Worth pricing strategy cannot co exists. The problem of the product, packaging, last mile is not understood here. Cost implication on marketing strategies would have made a better presentation.

Shruti bhargav

Increasing product line is not the solution here, existing products needs to be handled first considering the basic needs of the consumer. Increase in price also wont help, as sustaining the present customer base is the challenge.