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6/28/2013

PRESENTED BY
ADITI SHARMA 183

ADITYA SURESH 186

AKASH GUPTA 188

ALANKAR DAS 190

AMIT ROY - 192

DEEPAK BAJAJ 202

GOURAB BANERJEE 206

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Product Life Cycle - Competitive Marketing

CONTENTS

1 INTRODUCTION 2 GROWTH 3 MATURITY 4 DECLINE

1 INTRODUCTION 2 GROWTH 3 MATURITY 4 DECLINE

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Product Life Cycle - Competitive Marketing

PRODUCT LIFE CYCLE

INTRODUCTION

GROWTH

MATURITY

DECLINE

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COMPANY PROFILE

TYPE :
FOUNDED :

PUBLIC COMPANY
1981

HEADQUARTERS : NEW DELHI, INDIA

KEY PEOPLE :RC BHARGAVA ( CHAIRMAN ), KENICHI AYUKAVA ( CEO )


REVENUE : $369.34 BILLION

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SCENARIO INTRODUCTION STAGE ( 1983 1986 )


Took 2 years for Maruti & Suzuki to sign the dotted line

First car imported, assembled and sold in 1983


Cheapest car in the market

Huge gap between demand and supply


Waiting list often took upto 3 years to clear Targeted urban areas, Consumers who desire for a car Based on SS80, Suzuki fronte
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PRODUCTS
MARUTI 800

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PRODUCT SPECIFICATION
Engine Power Car weight Mileage Capacity
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796cc 39bhp 600kg 18.2 kmpl 4 person

PRICE

Pricing strategy
ExShowroom On Road

SLOW SKIMMING

47500

52500

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Product Life Cycle - Competitive Marketing

PROMOTION
1. Keys handed over to the first owner Harpal Singh by the then PM Mrs. Indira Gandhi 2. Peoples Car : Sanjay Gandhi

SMALL IS BEAUTIFUL
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NEWSPAPER ADS

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TV COMMERCIAL

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DISTRIBUTION

Assembly Unit (Gurgaon)


Dealers/Distributors Consumers

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GROWTH STAGE ( 1987 1996 )


Expectations from people matched product promise Production of 65% components in India by 1991 Liberalization of Indian economy New opportunities opened Objective to increase the market shares A lot of 500 units exported to Hungary

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Product Life Cycle - Competitive Marketing

SALES
Unit sold
1996 1989 1987 1983 0 Unit sold 50000 1983 852 100000 1987 20,269 150000 1989 63736 200000 1996 189061

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PRODUCT VARIANTS
MARUTI 800 AC UNIQ

MARUTI- BASIC MODEL

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PRODUCT SPECIFICATION
Air-Conditioning variant

Music System

Maruti 1000, the first contemporary sedan unleashed


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PRICE

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PROMOTION

CHANGE YOUR LIFE

Occasional discounts given by the dealers

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PRINT MEDIA ADS

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TV COMMERCIAL
Video\Maruti Suzuki 800-Change Your Life Commercial - YouTube_2.FLV

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DISTRIBUTION

Assembly Unit (Gurgaon)

Dealers/Distributors

Consumers

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MATURITY STAGE ( 1997 2002 )


Sales touched 200,000 mark in 1999 Entry of competitors like General motors, Ford, Tata 40 million two wheeler owners targeted

Repositioning of Maruti Products


New soft edged jelly bean shape introduced in 1997

Maruti 800s carburetor with fuel injection


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PRODUCT VARIANTS
MARUTI 800 EX MARUTI 800 DUO

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MARUTI 800 EX

Shock Absorbers Suspension

Gas charged Coil Spring based

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Product Life Cycle - Competitive Marketing

MARUTI 800 DUO

1. Air conditioned 2. Green tinted glass 3. Front bucket seats with larger armrests 4. Vanity mirror for co-driver

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PROMOTION

1.Slashed its prices


2.Insurance offered for Re. 1 only 3.Service network of Maruti covered 1314 cities
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SERVICE
1. 250 customer service outlets along 20 highway routes

2. Pick and drop service facility for servicing 3. Express Service to ensure minimum time consumption

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MARUTI SERVICE STATION

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ADVERTISEMENT

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PRODUCT WEBSITE

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TVC

Video\Maruti 800 DUO LPG TV Commercial (2008) YouTube.FLV

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DISTRIBUTION

Assembly Unit (Gurgaon) Dealers/Distributors Consumers

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DECLINE STAGE ( 2003 UPTO NOW)


1. Heavy Competition from Alto, i10, Spark etc. 2. Drastic decrease in sales 3. Just 1288 units sold in 2008-2009.

4. Withdrawn from 13 cities including metros


5. Repositioned to Alto 800
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SALES
SALES
250000 200000 150000 100000 50000 0 YEAR 2000 YEAR 2001 YEAR 2002 YEAR 2004 SALES

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PRODUCT VARIANTS
A response to increasing market of Matiz

LPG & CNG variable Face-lift to grille


Halogen headlamps
Stylish tail-lamps

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MARUTI SUZUKI ALTO


1. A response to Hyundai Santro

2. Outsold by Maruti 800 itself initially 3. Forced roll back of Maruti800 EX to 4-speed gearbox

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PRICE

RS 1,93,000+TAX

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PHASE OUT,APRIL 2010

New technology/engine not to be infused to meet BS IV norms Sale stopped in 13 cities including the 4 metros Selling continued in semi-urban and rural areas

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PROMOTION OF MARUTI ALTO


1.2599 Offer Consumers can buy Maruti by paying EMIs of 2599 for 7 year
2.Dealers offered exchange/loyalty bonus upto Rs. 10000/-

3.Cash discount upto Rs. 25000/offered


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MARUTI TRUE VALUE

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ADVERTISEMENT

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DISTRIBUTION

Assembly Unit (Gurgaon) Dealers/Distributors Consumers

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CONTACT

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COMPANY PROFILE
Nokia Corporation is a Finland based multinational company
Headquarter -- Espoo, Finnland CEO Stephen Elop Founder Fredrik Idestam 1865

Nokia started as a pulp, rubber and cable manufacturer


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MARKETING STRATEGIES OF NOKIA


1.Focused on handset manufacture only 2.Enhanced product portfolio 3.Large distribution channels

4.Adjust preferences for specific markets


5.Customer satisfaction 6.Focused on replacement 7.Increase commitment to emerging market

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Product Life Cycle - Competitive Marketing

PRODUCT LIFE CYCLE OF NOKIA

Maturity
Nokia Symbian & N- Series Nokia Windows & Symbian phones

Decline

Growth
Nokia E- series

Sales curve

Introduction
The Concept Phones

Time

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Lifecycle
Globally Nokias market is at Decline due to shift from Symbian to Windows phone devices

Globally & in India Placed Here


Rs.

Time

Product life cycle


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INTRODUCTION STAGE ( 1995 2002)

NOKIA 2110

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PRODUCT
1. Entered India in 1995 2. Launched very few models due to lesser demand & innovation 3. Sold both GSM & CDMA phones 4. Launched 1st model Nokia 2110 with Nokia tune 5. 2110 was 1st model capable of sending/receiving sms 6.Competed with the then market leader Motorola
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General 2G Network

GSM 900

Announced

1995

Status Discontinued Weight 236g Display Type Loudspeaker 3.5mm jack - No Phonebook Call records SIM card + 125 entries 10 dialed, 10 received, 10 missed calls Monochrome graphic No

Data

GPRS

No
No Messaging SMS

Bluetooth Features Radio Clock No No

Alarm No

Nokia 2110

Games No GPS No

Java

No

Battery NiMH 550 mAh battery


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Talk time

2 h 40 min

PRICE
1. Followed Price Skimming strategy
2. Launched Nokia 2110 at Rs. 22000 (approx.) 3.Launched phones in the range of Rs. 15000 to 25000
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PROMOTION
1. Rarely followed any discounting policy 2. Offered a good amount of backend profit to retailers 3. Mobility factor of mobiles attracted customers without any promotional scheme

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PLACE
Models imported from China & low-end models manufactured in Chennais plant Manufactured/Imported mobiles stored in Gurgaons mother warehouse HCL India is distributor for Nokia India Pvt. Ltd. for North & East India For West & South India, Nokia has its own distribution channel HCL India supplied these mobiles to state level distributors like BSB marketing, A.G. comm. etc. Many places HCL India directly supplied these phones to retailers
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PLACE

China/Chennai

Gurgaons mother warehouse

HCL India warehouse

Customers

Nokia Priority Dealers/Organ ised retail

Sub-distributors (BSB MarketingSouth Delhi)

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GROWTH STAGE ( 2003 2009 )

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PRODUCT
Launched phones without external antenna
Had better features like games, alarm, ergonomic keypad, display etc.

Models like Nokia 3310/3315 marked beginning of growth stage Launched models like N95 to compete with Apples i-phone

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General 2G Network Announced Display Type 2000

GSM 900 / 1800

Monochrome graphic

Loudspeaker
Phonebook Call records Bluetooth Features

No
SIM only 8 dialed, 8 received, 8 missed calls No Messaging SMS

Clock

Yes

Alarm Yes Games 4 ( Snake II, Pairs II, Space Impact, Bantumi ) GPS Java No No

Colors User exchangeable front and back covers

NOKIA 3310

- Predictive text input - Calculator - Voice Dial - Profiles - Currency converter Battery NiMH 900 mAh battery Talk time 2 h 30 min to 4 h 30

FEW POPULAR N-SERIES MODELS OF NOKIA

Features :
Slider Phone 3G Wi-Fi (WLAN) Radio

MP3 Player
Video Record Loudspeaker/Speakerphone Bluetooth

NOKIA N95 8GB

Camera 5 Mega pixel Video Record.

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Features: Bluetooth

Radio
Camera 3 Mega pixel 3G Video Record Loudspeaker/Speakerphone
NOKIA N73

MP3 Player Navi-key

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Features: Camera 5 Mega pixel Video Record Wi-Fi (WLAN)


Bluetooth Radio.
NOKIA N82

Xenon flash
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Features: 3.5 mm jack Wi-Fi (WLAN) MP3 Player Radio

Loudspeaker/Speakerphone
Bluetooth
NOKIA N91 4/8GB

4/8 Gb hard disk Camera 2 Mega pixel.

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PRICE
1. Followed Price skimming strategy in beginning of growth stage. 2. Launch price of 3310 was approx. Rs. 21000/-. 3. As profits & popularity increased prices were slashed to Rs. 5000/- in 2003 for popular models like 3310. 4. Later-on in coming years, Nokia adopted Price penetration strategy.
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LIST OF PRICE POPULAR MODELS IN 2007


MODEL Nokia N95 8GB Nokia N82 PRICE Rs.33000 Rs.22500

Nokia N78
Nokia N81 8GB Nokia N77 Nokia N76

Rs.20000
Rs.17500 Rs.15000 Rs.18500

Nokia N73 Music Edition


Nokia N73

Rs.16000
Rs.15000

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PROMOTION
1. Post-paid connections were given free with select Nokia models 2. Person owning pager, who purchased Nokia phones were given discount on post-paid tariffs 3.Dealers & retailers got a large amount of backend profit to increase the sales & drive growth
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PLACE

China/Chennai

Gurgaons mother warehouse

HCL India warehouse

Customers

Nokia Priority Dealers/Organ ised retail

Sub-distributors (BSB MarketingSouth Delhi)

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SALES FIGURE ( 2001 2009 )


NOKIA
Net Sales 60000 51058 50000 41121 40000 EURO (million) 34191 31191 30000 30016 40984 50710 Operating Profit Net Profit Linear (Net Sales)

29455

29267

20000 7985 7205

10000

3362 2200 2001

4780 3381

5011 3592

4330 3207 2004

4639 3616

5488 4306

4966 3988

1197 891 2009

0 2002 2003 2005 YEARS 2006 2007 2008

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GRAPHICAL REPRESENTATION NOKIA


Net Sales 60000 Operating Profit Net Profit 51058 50000 41121 40000 EURO (MILLION) 40984 31191 30000 34191 29267

50710

30016

29455

20000

10000 3362 2200 2001 4780 3381 2002 5011 3592 2003 4330 3207 2004 4639 3616 2005 YEARS 5488 4306 2006

7985 7205 4966 3988 2007 2008 1197 891 2009

MATURITY STAGE ( 2009 2011 )

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PRODUCT
Launched a lot of touch screen models Launched 1st Maemo 5 OS phone N-900 Launched Qwerty+touch model N-97 Focussed on E-series phones to compete with Blackberry

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General 2G Network 3G Network

GSM 850 / 900 / 1800 / 1900

HSDPA 850 / 900 / 1700 / 1900 / 2100

Status Available. Released 2010, October Display Type Multitouch Loudspeaker Memory AMOLED capacitive touchscreen, 16M colors Yes Yes Card slot microSD, up to 32 GB

Internal 16 GB storage, 256 MB RAM, 512 MB ROM Speed HSDPA, 10.2 Mbps; HSUPA, 2.0 Mbps WLAN Wi-Fi 802.11 b/g/n, UPnP technology Bluetooth Yes, v3.0 with A2DP

USB

Yes, microUSB v2.0, USB On-the-go


12 MP, 4000x3000 pixels, Carl Zeiss optics, autofocus, Xenon flash,

Camera Primary Video

Yes, 720p@25fps (720p@30fps via an update), check quality VGA videocall camera OS Symbian^3 OS, upgradable to Nokia Belle Refresh

NOKIA N8

Secondary Features CPU

680 MHz ARM 11

Colors Dark Grey, Silver White, Green, Blue, Orange, Pink, Bronze - Anodized aluminium

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Battery

Non-removable Li-Ion 1200 mAh battery

PRICE
Followed Price penetration strategy to sustain growing competition Launched models ranging from Rs. 1000 to Rs. 30000
Frequently reduced prices of popular & low end models to compete with Micromax, Samsung, LG, etc.

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PACKAGING
Packaging is important because it protects products as they make their way from factory to customers

Attractive, Good & Secure packing


1.During 2007, 15,000 ton packaging material has been saved by using smaller packaging 2. Nokia have reduced amount of printed material inside the box 3. In 2007 Nokia began to increase level of recycled content

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PROMOTION
1. Offered combo discount on purchase of Nokia bluetooth stereo headset with N8. 2. Offered Sennheiser music headset free with select models 3. During festive occasions Reebok wrist watches, sunglasses, t-shirts & sling bag were also given as gift with select models 4. Scratch cards were given to customers to make them avail instant discount
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PLACE

China/Chennai

Gurgaons mother warehouse

HCL India warehouse

Customers

Nokia Priority Dealers/Organ ised retail

Sub-distributors (BSB MarketingSouth Delhi)

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DECLINE STAGE ( 2011 Q3 PRESENT )


q

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PRODUCT

Upgraded its Symbian OS with 3 & Belle Shifted focus on Windows as its main OS Launched 1st Windows phone, Lumia 800 Used Symbian only in low end models
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General 2G Network 3G Network


Announced

GSM 850 / 900 / 1800 / 1900

HSDPA 850 / 900 / 1900 / 2100 - RM-819


2011, October

HSDPA 900 / 1900 / 2100 - RM-801 CV


a a

Status Available. Released 2011, November Display Type Size 3.5mm jack AMOLED capacitive touchscreen, 16M colors Yes 480 x 800 pixels, 3.7 inches (~252 ppi pixel density

Memory
Data EDGE GPRS Class 33

Card slot
Class 33

No

Internal 16 GB storage, 512 MB RAM

Speed HSDPA 14.4 Mbps, HSUPA 5.76 Mbps

WLAN Wi-Fi 802.11 b/g/n


Bluetooth Yes, v2.1 with A2DP, EDR USB Yes, microUSB v2.0 No OS Microsoft Windows Phone 7.5 Mango, upgradable to v7.8

NOKIA LUMIA 800

Camera Primary 8 MP, 3264x2448 pixels, Carl Zeiss optics, autofocus, dual-LED flash Secondary Features CPU

Chipset Qualcomm MSM8255 Snapdragon 1.4 GHz Scorpion

PRICE
a

1. Price penetration strategy was continued as companys profits declined due to cut-throat competition from Samsung & local players like Micromax 2. Had phones ranging from Rs. 1000 to Rs. 30000 3. Reduction in price also lead to deterioration in quality

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PROMOTION
1. Companies distributed freebies like wrist watches & t-shirts with Lumia logo engrossed 2. During festive occasions Reebok wrist watches, sunglasses, t-shirts & sling bag were also given as gift with select models 3. Top 3 performing stores from each zone were selected for foreign trip organized by Nokia free of cost 4. Retailers were encouraged to sell Lumia phones by offering them more incentives on sale

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PLACE

China/Chennai

Gurgaons mother warehouse

HCL India warehouse

Customers

Nokia Priority Dealers/Organ ised retail

Sub-distributors (BSB MarketingSouth Delhi)

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SALES FIGURE FROM 2009 TO 2012


NOKIA
Net Sales 50000 42446 38659 Operating Profit/Loss Net Profit/Loss Linear (Net Sales) 40984 40000

30176 30000 EURO (million)

20000

10000

1197
0

891

2070

1850

2009

2010

2011 -1164
-1073

2012
-2303 -3106

-10000

YEARS

NOKIA MOVING TOWARDS GROWTH IN Q4-12


NOKIA
Net sales 12000 10400 10000 9275 8980 8041 8000 7354 7542 7239 10005 Operating profit/loss Linear (Net sales)

EURO (million)

6000

4000

2000 704 0 2011 -2000 Q1 2011 -487 Q2 2011 -71 Q3 2011 Q4 -954 YEARS 2012 Q1 -1340 2012 Q2 -826 2012 Q3 -576 2012 Q4 439

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CONTACT

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MARKETING RESEARCH

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