CASE STUDY LAUNCHING OF POPCORN MACHINE

GROUP MEMBERS
GAURAV 147

NINAD
SNEHA NIKHIL

103
137 150

SUMMARY OF THE CASE

MR. Sunil Gupta Director of Durable products Pvt.Ltd. Idea of launching Big Pop According to Sunil Gupta Consumers show interest in gadgets leading to convenience and fun Profitable to manufacture and market the product. Wants to take the first mover advantage

COMPANY OVERVIEW
Nearly 30 year old company Started with Auto Ancillaries and Diversified into consumer durables Distribution network in major cities. Loyal and Dedicated sales force of 12 persons Mostly depends on its sales agents

PRODUCT
2 Minutes pop corn maker Modified version of Japanese model Motor & Heat shield to be imported Multipurpose machine Could also be used for roasting & Frying snacks Recommended corn- made available in selected stores

DISTRIBUTION
Through existing distribution channel

Company

Agents

Dealers

Continued
Agents Margin : 5-6% Retailers Margin : 8-10 %

PRICE
Fixed expenses upto Rs. 2,50,000 Keen to recover at least 25% in the first Year Price of the product fixed above Rs.600/-

PROMOTION
Earmarked 50 Lakhs Focus on Kids Ad Press Campaign in leading newspapers for 2 months TV ads in National network about 8-10 times Banners, cut-outs, stickers, name slips at retail point and school exhibition Demonstration in selected areas Participate in Living in Style exhibition

Why does Sunil Want to Launch ?

A Trendsetting Gadget His own kids and family liked it Multipurpose machine Positive response from agents

SWOT Analysis

STRENGHTS
Experiences in Home Appliances Diversified Market

WEAKNESS
Limited Cash Flow No market research

OPPURTUNITIES

First mover Advantage

THREAT
Substitutes Unsure Market Response

 High Cost Target market Market Research Distribution Channel