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JULY 2009



I express my sincere gratitude to my industry guide Mr. Gurvinder Singh for his able
guidance. I would like to thank the entire team of International Tractors Ltd. for their
continuous support and co-operation throughout my project, without which the present
project would not have been possible.

Also, I am thankful to faculty members and my teachers for their kind

support, guidance and invaluable encouragement, which has always been a great source
of inspiration to me.

Prince Sharda

The project report is the result of working on a live project with International Tractors
Ltd., which served as an integral part of my curriculum. It provided me the experience of
the Tractor industry before coming into the corporate world. It helped me to view the
world of business closely.

I was really fortunate for getting an opportunity to work on a live project in a reputed,
well established, fast growing and professionally managed organization like International
Tractors Ltd.

The project which I handled was, “MARKETING STRATEGIES AND ADVERTISING

EFFECTIVENESS. The project gave me a great deal of exposure and I found the
practical work totally different from the theoretical one.



 About The Company

 Business Portfolio

 Government Policy

 Advertisement and Sale Policy

 Promotion policy


 Marketing Strategy

 Marketing Concept

 Sales Organization




 Research

 Sample

 Tool
 Administration of the tool







India being a predominantly agricultural country where agriculture is

the life blood of the economy has been a traditional manufacture of different type of farm
machinery and implements. However is the use of advanced agricultural techniques in
India started only in early sixties. Modernization and tractorization in Indian agriculture
is only post independence phenomenon. One of the achievements of green revolution has
been that the farmers increasingly realized the advantage of tractorization for obtaining
the timeliness of operations. This would happen only because of aware of new farm
technologies among the farmers, rise in the level of their income and education.
The biological source of energy especially bullocks, could not cope
with the requirements of the changed situation. Therefore, introduction of tractors got
accelerated in several agriculturally advanced states of country like Punjab, Haryana,
Maharashtra, etc. Tractors where introduced to Indian agriculture in early twenties.
Jogindera Singh was the first farmer to use a tractor called a steam plough then on the
12000 acres estate he had inherited in the remote kheri district of Uttar Pradesh. But the
demands of tractors rose sharply in last two decades. However the rate of adaptation of
tractors is different in different parts of the country. Punjab occupies number one rank in
this regard. Punjab possesses only 1.5% of the geographical area of the country the
density of the tractors in Punjab is the highest (85 tractors per hectare) as compared to
national average f 10.5 tractors per hectare.
India is primarily as agrarian nation, with more than 50 percent of our
GDP being contributed directly or indirectly by agriculture .No wonder, India is
considered the largest tractors market in the world .If that sound great, let us face hard
facts. In terms of total tractors in use in the country, we are ranked a distant eighth. In
terms of penetration, India has a tractor density of 10.5 tractors per thousands hectares of
Gross Cropped Area (GCA) as compared to the international average close to 30 tractors
per thousands hectares of Gross Cropped Area (GCA).

Figuratively speaking India’s large Gross Cropped Area (GCA) is

next only to the big two - USA and Russia. And that the highly fragmented land holdings
India have helped our country to become the largest tractor market in the world. Thus the
Indian tractor market, per se, has to be viewed only after considering its position in the

Punjab, breadbasket of India, the land of 50376 sq. kms is situated in the northern part of
India and is agriculturally India’s most advanced and most prosperous state. To ensure
rapid industrialization, the Punjab government set up the Punjab State Industrial
Development Corporation (PSIDC) in 1966, for promoting new projects. PSIDC firstly
promoted Punjab Tractors Ltd. in 1970’s.After that there took a revolution of launch of
new tractor companies (All these I have discussed earlier).

International Tractors Limited was incorporated on October 17, 1995 for

the manufacture of Tractors and has since then built a distinct position for itself in the
Tractor industry. ITL is manufacturing various Tractors of Sonalika brand between 30
H.P. to 75 H.P, and CERES brand between 60HP to 90HP. The Tractors manufactured by
the company have secured a reputation of performance, quality and reliability in the
market because of their maximum pulling power, minimum fuel consumption and
Emission. All this makes ITL the fifth largest tractor selling company in India and the
number one company in Nepal. We can see it is a very new player in the market, but then
also it has not made its identity not only in India but also in various other countries and
today recognized throughout the world.

These tractors are also exported to various other countries also including
France, South Africa, Australia, Zimbabwe, Sri Lanka, Canada, Nepal, and Bangladesh
etc. The network of 600 Dealers, 400 Sub dealers, promotes the company’s marketing
efforts and 50Stockiest supervised by various regional sales offices. Such a networking
has enabled the company to grow like a well-knit family whose roots lie in its customers,
who have been providing constant feedback and support to allow the company to turn
their dreams into products.

It is a matter of pride and honor for us that our Manufacturing Process,

Quality Control Systems and Research & Development facilities are ISO- 9001:2000
Certified by the Joint Accreditation System of Australia and New Zealand. We are the
first Tractor manufacturing company in the country to be accredited with ISO-14001. It
bears testimony to the fact that company is having world-class R&D facilities,
maintaining controls and systems of International Standards and Environmental norms.

It is also the first Tractor manufacturers in the country producing 50 & 60

HP Tractors fitted with diesel engines manufactured In-House, meeting Bharat II norms
of Smoke & Mass Emission. These engines have been tested and certified by ARAI,
Pune. United States Environmental Norms Agency, Washington DC has also certified our
Engines. These certifications enabled SONALIKA Tractors to enter into World Market.
All the models of Tractors and Combines Harvesters manufactured by it are tested &
approved by Central Farm Machinery and Tractors Training & Testing Institute, Budni
(MP) India, (the Government of India institute authorized for issuing test reports).
Recently SONALIKA Tractors have been awarded "The Best Quality Award (2002-03)"
by the Govt of India. Sonalika International Tractors have also been approved for subsidy
under various schemes by Ministry of Agriculture, Govt. of INDIA. A number of banks
have approved Sonalika Tractor for financing and entering into a tie Up for easy

The ‘Sonalika International' after the great success of its

740 model and improved Double Clutch model continued its efforts in manufacturing yet
another models with increased Horse Power with foreign technology in the shape of DI
60 and Dl-55. These high range tractors have also caught the fancy of the farmers
especially with bigger holdings. The company has shown a record growth rate of 124%
which has not been registered by any other brand so far and that too within a short
duration. It is creditable indeed and speaks of company" spreading its wings at a very fast
speed. Keeping in view, the requirements of farmers with small holdings, Sonalika has
come out with 3 more small range 725,730 and 732 models a demand of these tractors is
catching up day by day. In addition 45 and 50 HP tractors have also been developed to
meet with the requirements of middle class farmers.
Sonalika has not stopped. It believes in improving upon its performance and accelerating
pace of progress further. Its has yet another feather in its cap when it signed MOU with
the world Automobile giant Renault Agriculture France on 30th April 1999. Now
Sonalika International will be able to produce tractors with top international technology
under the guidance of French and Indian experts at reasonable rates. This will also
facilitate India to earn much needed sizeable amount of foreign exchange by exporting
tractors made in India to foreign and covering Southeast Asia, Africa and Europe.
The credit for this success goes to Sh. L.D.Mittal, the soft spoken Chairman under whose
leadership the company has flourished and is destined to reach still greater heights.
Sh. Mittal however attributes this to ever energetic Sh. A,S. Mittal Managing Director
and Sh. Deepak Mittal Joint Managing Director who have been engineering the activities
of the company successfully since inception. He has also all praise for the workers,
engineers and officers whose dedication and team work has helped the company to reach
this enviable position.


1. Customer delight:
Producing world-class tractors in term of quality and reliability; Creating a culture of
excellent after sale service.

2. Identify one’s own landmark of excellence:

Each employee to identify one’s weak & strong areas through feedback from training &
build on strong areas. e.g. (Team building, Customers Supplier Focus, Problem Solving

3. Achieve that landmark:

Strive to overcome the shortcomings/weak areas through continuous training & build on
strong areas.

4. Sustain the excellence:

Making continuous personal & professional up gradation through training and
development as way of life & creating a culture of learning.

5. Associates:

Create and sustain bonds with business associates, evoking a strong sense of loyalty for
the enterprise.

6. Shareholders:

Strive for consistently superior returns to shareholders and other financial stakeholders.

7. Society:

Conduct business with highest standards of corporate behavior, transparency Unyielding

integrity and social ethics.
8. International Marketing (Distribution Network):]

The Company has distribution network in 22 countries for Tractors and Agricultural
implements. The countries like Western Europe, North America, South Africa, Srilanka,
Bangladesh, South East Asia and many others.

9. Human Excellence:

The Company has established an Excellency Center with a view to develop human
excellence. The center focuses on three types of training and development activities.

10. Programme for New Entrants:

Every new entrant is supposed to induction/orientation training from two to four days. It
includes detailed plant visit and CD on manufacturing processes.

11. Programme for old employees:

Apart from functional programs, old employees are exposed to program like:

• Lead with the vision

• Leadership skills

• Team Building

• Communication and presentation skills

12. Self Development Programs:

Employees are encouraged to focus on their personal development through programs

• Art of living (Basic course)

• Art of living (Advance cours

Group Turnover and Projection

1999-00 2000-01 2001-02 2002-03 03-04 04-05

Tractor (Nos.) 396 2770 6211 8773 13496 17002
Agriculture 5000 7500 1200 18000 24000 32000
Machinery (Nos.)

Sales of Tractors

1999- 2000- 2001- 2002- 4-Mar 5-Apr
00 01 02 03

The sales of the sonalika tractor went on increasing as it is shown in the graph. The sales

in the year 1999-00 was 2770 it increased to 6211 in year 1999-00 and then in 2000-2001

–recorded sales were 8773 .In the year 2001-02 the sale increased to 13516 much

showing the name and the better quality ,customer satisfaction . The increased technology

of Sonalika
Tractors proved to be the most like tractor for every farmer .the recorded sales in year

2002-2003 was 17113.Sales for the year 2003-2004 were 21002 . The latest figures

received for the year 2004-05may not be accurate as due to some secrets of the

company.The sales for the year 2004-05 is 23211.

Nos. of Agriculture Machinery



1999- 2000- 2001- 2002- 4-Mar 5-Apr
00 01 02 03

The number of agriculture machinery used by the farmers in 1998-99 was 4500 then after

due to the coming modern stage many of the farmers adopted the machinery and the

number was increased to 7400 in the year 1999-00. Better machinery used resulted in the

good crops and henced the number of farmers using machinery went to 12500 then after

it went on increasing to 17500 in the yr 2000-2002 .In the year 2002-03 the number of

machinery used was 24316 .In the year 2003-04 the number of machinery used in bye the

farmers was 33000 .Then almost all the farmers were using the modern technology for

cultivating their crops in the year 2004-05 the figure recorded was 46000.



J.M.D Marketing

Production R&D Quality Gear Division Engine DGM

Division Division

Sr. Manager DGM AGM DGM Sr.Manager DGM


Manager Sr. Manager Manager AGM Sr.Manager Asst.


Asst. Manager Manager Asst. Manager Deputy Asst. Manager


Deputy Territory
Manager Manager

Asst. Manager Sales &



Tractor Consumer


Chairman: Sh. L.D. Mittal Gear division

Managing Director : Sh. A.S. Mittal Engine Division


Joint Managing Director : Sh. D.K. Mitta

Awards & Success Stories

1. Pride of Country awarded to Sh. L.D. Mittal, Chairman

2. Gold Medal Awarded to Sh. A.S. Mittal Vice


3. Udyog Bhushan Awarded to Sh. Deepak Mittal MD

Yet another feather was added to the cap of Sonalika when company's chairman, Vice
Chairman, and Managing Director were publicly honored in hotel Taj Man Singh in
recognition of their rich contribution to the tractor industry. Sh L.D. Mittal Chairman was
given Pride of Country award at the gracious hands of Chaudhary Prem Singh Speaker
Delhi Vidhan Sabha.

Shri Deepak Mittal, Managing Director, International Tractors Limited received

this coveted award at the hands of Shri Shanta Kumar, Honorable Minister for Rural
Development, and Govt Of India on the occasion of the Second National Seminar on
Quality Consciousness on 24th December 2002 at New Delhi.

ITL has got ISO-9001 quality system certified by ICL

(International Certification Limited).


It is used for conformance to specify requirement is to be assured by suppliers during the

several stages which may include design, development, production, installation and


Sonalika has arranged collaboration with French Renaults for technical know how and

marketing, with the help of this collaboration Sonalika will develop its own Dl-740

tractor engine which will help to reduce its cost. After the collaboration, Sonalika will be

able to make 100 tractors per day.

French Company will have 20% shares in Sonalika International Tractors Ltd. And will

also have one director in Board of Directors and 90% share part manufactured by the


ISO 14001 certification

ITL is an environment friendly plant. In order to achieve international slandered

environmental management system ITI has been awarded ISO 14001 certifications.

CMERI Govt. of India Transfers Design and Technology to Sonalika under the
stewardship to Shri L.D. Mittal, Chairman, International Tractors Ltd., has made rapid
strides within a short span of 6 years. It has not only made its presence felt in the Tractor
Industry but has made in-roads into the market share of popular brands. Its valued and
satisfied customers are multiplying and have crossed 63,000 marks.

According to Shri Mittal, this phenomenal growth is the result of hard work coupled with
dedication at all levels. On the top of it, company has never compromised on quality.
This is precisely the secret of success of the company.

Shri Mittal further states "We have been after a class technology so that Indian farmers
get the best value for their hard earned money."

CMERI (Central Mechanical Engineering Research Institute) Govt. of India, which has
many firet to its credit in many fields, has been helping Sonalika a lot in enriching the
Company with technological advancements based on their strenuous efforts and Research
a function was held at the Vigayan Bhavan in New Delhi and Shri Mittal was applauded
for his great contribution in farm mechanization. Shri R.A. Masheikar F.R.S. Director
General, CSIR & Secretary-Govt. of India, Deptt. Of Scientific & Industrial Research
stated that if there were a few more “Mr. L.D. Mittal " the country's face would be
different. Shri Mittal in his short speech thanked the CMERI for the good words attribute
to him and suggested that CMERI should come forward for facilitating air spraying of
inaecticide, improved combine Harvester and mini Tractor. These suggestions are
receiving the attention of scientists across Durgapur and Ludhiana under the supervision
of CMERI. On this occasion, CMERI transferred technology for Sonalika Tractors for all
models ranging from 32 HP to 60.

Prime Minster Refers to Sonalika Tractor in Diamond Jubilee Celebrations of CSIR,

Govt. of India.

Sonalika Tractor is marching ahead on the path of success in which CSIR's contribution
is very crucial. Sonalika is the only Tractor in which technology of CSIR, Govt. of India
has been used and which is produced at the ultra-modern plant of global Tractor
Company Sonalika. Resultantly, Sonalika has become the first choice of Indian farmers.
On close observation of the features of Sonalika, one will find that at one hand it is fuel-
efficient; on other hand it has got special position in pulling power. The number of
satisfied and proud customers is increasing day by day and has crossed the figure of
63,000. After all, there is something exclusive and unique so much of prestige in just 7

Sonalika Tractors Lauded by European Farmers in SIMA Fair-France

Recently, Shri L.D. Mittal, Chairman-International Tractors Ltd. was invited to the
world's biggest farm equipment and tractors exhibition arranged in SIMA fair, France.
This helped the Chairman of Indian Tractor Co. to know and understand about the new
innovations & developments in farm mechanization, which have taken place in the most
advanced countries of Europe. Shri Mittal had also the opportunity to meet and interact
with Experts on farm equipments which facilitated to exchange views and knowledge for
mutual benefits. The new changes and developments which have come off in the Europe
will help technological advancements in Sonalika Tractors in a phased manner.

In this exhibition, sonalika and its global partners Renault Agriculture jointly participated
and put up a grand show by displaying tractors and farm equipment with world-class
features. There was visible enthusiasm in European farmers who developed fancy for
Sonalika as quality product from India with open heart. There were a number of business
be followed up by Sonalika and Renault Agriculture later on.
Kumari Savitri Kunadi H.H. Ambassador of India in France visited the Sonalika- Renault
stall and expressed her happiness with the progress made by the Indian company
Sonalika both in domestic and foreign markets and wished its joint venture with Renault
Agriculture, France a grand success.

The SIMA fair was held in Paris and was part of International Agriculture Week. The
unique thing about SIMA fair is that it highlights all types of farm equipments all types of
farm equipments including Tractors, which are useful for European farmers with latest
technological advancements. SIMA fair has been able to bring together Tractor and
Agriculture Machinery Manufacturing Union and Union of International Agriculture
Machinery Training companies.

This was one of the biggest show and as many as 1500 companies participated from more
than 30 different countries representing 2500 brands. It is expected that more than 2,
00,000 entrepreneurs visited this fair.

On this occasion, India Day was celebrated with all fun and frolic and a programme
highlighting the achievements of India was arranged. This function was presided over by
Kumari Savitri Kunadi HH Ambassador of India was arranged. This function was
arranged. This function was presided over by kumari Savitri kunadi HH Ambassador of
India in France. Shri L.D. Mittal, Chairmen addressed the audience and won repeated
applause from the select people from all around the globe representing agriuclute field.
Shri Mittal said that Sonalika has made name and fame in domestic market of India
within short span of 6 Years and now we are concentrating on world market. He thanked
the authorities for giving him an opportunity to interact with European farmers and
opinion builders.

Others, who were present on the occasion, were Shri G. Povie, President Renault
Agriculture France, Sh. P. Faguer, M.D., RSI and other officials from France and India
including Dy. Director Engg. Export Promotion Council, govt. of India.

Sonalika, the Indian company is destined to do fairly well globally and enquiries/orders
for export have started pouring in.

All the agriculture related industries in India have been highly controlled by the

government and the tractors are not an exception to this. The important government

policies affecting the tractor industry are discussed as below.

Excise duty

In the past, government has used excise duty as effective tool for controlling the demand

for various types of tractors. The main objective has been to keep the price of small

tractors purchased by marginal/small farmers, at affordable level. But this seems to have

changed now.

The indirect subsidy for less

than 1800 cc tractors was recovered from higher from higher horsepower segments by

levy of higher excise duty. The lower HP tractors (uptol800cc) and components for them

were totally exempt from excise duty till 1994-95 the introduction of duty on components

and subsequent change in several of MODVAT credit for lower HP tractors adversely

affected the market of the segment in FY96. But this anomaly has been overcome in

1997-98 budget by increasing the excise duty on higher HP tractors from 10% to 13%.

In 1998-99 budget, less than 1800 cc tractor were charged an 8% excise duty so as to

address the industry's long standing demand to claim MODVAT credit on inputted. The
rationalization of excise duty structure in 1999-2000 budge led to an increase, in excise

duty on above 1800 cc tractors (above 30 HP) from 13% to 16%. However,

the 2000-2001 budget has raised the excise duty on the less than 1800 cc tractors from

8% to 16%.


The liberalization process started in 1991 has brought relief to the tractor industry, by

providing free hand in setting up of additional capacities to the existing players and

allowing new players to set up plants. This has resulted in entry of few new players who

were given to commence their operations by mid 1999 with their manufacturing base in


The tractor implements sector, which is very important for effective usage of tractors,

was reserved for Small Scale Industries (SSI). The sector was deserved from SSI list in

1998-99 budget so that the implements can be produced with better design and

technology that can help in farm mechanization. This will help in enhancement of

agricultural productivity in the country.


Bank lending for acquiring tractors is part of the priority sector lending. Any change in

limits for priority sector lending from the current minimum requirement of 40% and 32%

of the net bank credit for domestic and foreign banks respectively will effect the demand

for tractors as nearly 95% of the tractor sales is through credit taken from banks.

The loans given, for tractors by banks is refinanced by NABARD under the head "farm

mechanization". This includes power tillers, harvesters, engines, pumps etc. besides
tractors. But, tractor credit constitutes a major components of the total refinance provided

for farm mechanization. The refinancing policy of NABARD is' laid down on a you

basis and the credit support to tractors is based on the total availability of resources and

agricultural priority in a particular year.


The industry is controlled by six major players. The major players are M&F TAFE,

Punjab Tractors, Escorts, Eicher and HMT. The supply of tractors was in tune with

demand leading to a capacity utilization of above 95% in the second half of eighties and

early nineties.

The capacity of tractors industry has increased from 150,300 tractors in FY92 to 337,000

tractors in FY99. The increase in capacity in nineties was brought about by expansion

projects of M&M, PTL and TAFE, which together accounted for 73% of the expanded

capacity of 183, 700 tractors.

In the past few years, the tractor market has moved from sellers market to a buyers

market as competition, from both existing and new manufactures intensified and fresh

capacity was created. This has created a scenario where dealers have been maintaining

higher inventories so as to provide wider choice and immediate delivery to the farmer.

Tractor prices in India are about a quarter of the similar powered tractors, in international

markets. In the 1990s, the retail prices of the tractors have

Increased at a pace lower than procurement price of major crops like wheat paddy. For

the corresponding period, farmers are also benefited from improvement in yield per

Due to sharp jump in tractor demand in last few years, almost all the players have been

expanding their capacities. The industry is also witnessing entry of international majors

like New Holland Ford and L & T John Deere.

The industry entry barriers like high capital cost, extensive rural distribution network,

suitable tractor technology to meet local conditions, brand awareness and familiarity of

technology to local technicians will provide cushioning to domestic manufacturers fro

international majors at least for the next three years. For example, the capital cost of a

Greenfield unit with capacity of 20,000tractors per annum is about Rs.2.5 bn. This is

more than twice the capital cost of Rs. 6.2 bn for expanding the capacity by 18,000

tractors per annum by Punjab Tractors Ltd.

New Holland tractors, a 100% subsidiary of New Holland Trqactors started sales of 70

HP tractors imported in CKD form in the country from mid-198. It launched a 50 HP

tractor in March 1999, from it recently started plant at greater Noida. The company plans

to release 35HP tractor 1999 .all these models's come with superior technology like oil

immersed disc brakes, synchromesh transmission, support through hydraulic system etc.

the company plans to control costs by increasing indigestions levels from 50%to90%by

end of 1999.

To tackle over capacity problem and to keep the pace of growth, major players are

implementing key management and marketing strategic, for example: M&M is

implementing BPR to control processes and cost of production, PTL is expanding into

south India appointing new dealers, Eicher is entering higher HP segment through a

collaboration etc.

Advertisement pre-disposals a person favourably for the product / service idea. Making

him to its purchase. Sales promotion takes over at this point. It makes customer take a

favourable purchase discussion by providing one of another kind direct inducement e.g.

discount, price, gift and coupon etc. mostly advertisement is directly concern with sale. It

either inform a pursuit remind about the product service most of time, it is indirect in its

approach has long term perspective for e.g. building -company image, brand image.

Sales promotion is short term product direct approach to an expert and imitates response

in term of sales. Sales promotion is an important and adjustment to selling advertisement

more frequent and reporting then sales promotion. Sales promotion is non-recurrent

selling effort. These supplement the advertisement and personal selling display are

effective method of sales promotion.

Objectives of Advertisement

 Positioning the company and the product.

 Increasing use of the product.

 Increasing the no. of order

 Finding new customer.

 Generating sales leads

 Reaching another decision making.

Broadly speaking, promotion means to push-forward or to advance an idea in such a way

as to gain its acceptance and approval. Promotion is any communicative activity where

main object is to more forward a products, service or idea in a channel of distribution. It

is an effort by a marketer to inform and persuade buyer to accept, recall, recommend or

use the article, service or idea which is being promoted.

Promotion is the process of marketing communication involving information persuasion

and influence. Essentially promotion is persuasive communication to inform potential

customers of the existence of products have all satisfying capabilities.

Hence promotion message has two basic purposes:

1. Persuasive communication.

2. Tools of competition.


1. Advertising

2. Publicity

3. Personal selling and

4. All forms of ore-motion like consumer-aid and Dealer-aid.



ITL use following media’s and methods for the purpose of advertising and publicity of its



Short advertisements, film-prints in all regional language are available with the company.

These can be' borrowed by the dealers (free of cost) for a specific period of time and

screened in theatres at their own cost. The cost of print (if damaged or lost) will be

debited to the dealers' account.


Publicity tapes incorporating the message with popular regional film songs, are available

with ITL. If the dealer wants to buy the tapes, the cost will be debited on the cost basis.


The company puts up hoardings on behalf of the dealers, every year for which 50%

amount is recovered from the dealers. However, if any dealer want additional hoardings

to be installed, full amount of the hoarding will be debited to the dealers. The dealer gets

the benefit of name and address on the hoardings.


The company gets specific number of walls painted for each dealer ever year and 50%

amount is recovered for the dealer. However, for any additional requirement, full amount
of the hoarding will be debited to the dealers. The dealer gets the benefit of name and

address on the hoardings.

The company puts up panels on buses on certain routes according to the requirements, the

full cost of these panels is paid by the company.


ITL participates regularly in International and National level exhibitions. The company

bears the full cost of these participations for which indirect benefit occurs to the dealers,

however, for participation at regional level exhibition, the dealer has to take sanction

from the Head Marketing, who also sets the upper sanction from the Head Marketing,

who also sets the upper limit of extent of expense. 50% of the total amount (upto the

upper limit) contributed by ITL. Any extra expenditure beyond the upper limit is borne

by the dealers.

10 Nos. each models, colour posters will be supplied to the dealer at the time of his

appointment, free of cost. For any further requirement, the amour will be debited on cost


200 Nos. coloured leaflets of each model are given to the dealer, free of cost at the time

of appointment. Also 50 Nos. coloured leaflets in each models are given free of cost once
a year. Additional quantity as per requirement will be on chargeable basis. Black and

white leaflets are given free of cost.


5 Nos. Flags, 50 Nos. Buntings, 1 -No. Block in each model, 10 Nos each. in Tin-plates.,

2. Nos. Banners are given free of cost, at the time of appointment of dealers. Additional

quantity shall be supplied on cost basis.

At the time of appointment of dealer, ITL gives the following items, free of cost:

Posters All Models 10 Nos

Leaflets Coloured 100 Nos.
Flags 05 Nos.
Banners 02 Nos
Spare Part Order Pad 01 Nos
P.D.I Pad 01 Nos
Monthly Service Report 01 Nos
Tractor comparative study booklet 01 Nos.
Sample of Cardex Card 01 Nos.
Monthly market Report 01 Nos.
Parts Catalogue 01 Nos.
Price List (Parts) 01 Nos.
Service record register 01 Nos.
Block of all models 01 Nos.

Marketing department of the company has been divided into four zones Every is being

looked after by a Marketing Manager and every zone has its separate selling staff which

includes senior Marketing Officers and sates men.The organisation of each zone of the

Marketing Deptt. is as follows:

1. ZONE “A”

Marketing Manager

Assistant Manager



M.O. M.O.

Sales Man Sales Man

From the above diagram, we can see that Zone “A” has one Marketing Manager, one

Asst. Marketing Manager, four Senior Marketing Officers. Every SMO has two

Marketing Officers (MO) and every MO has some sales men working under him.
2. ZONE "B"

Marketing Manager

Assistant Manager



A.M.O. A.M.O


M.O. M.O. M.O.

S.M. S.M. S.M. S.M. S.M. S.M.

3. Zone “C” & SONE “D”

Marketing Manager

Assistant Manager


S.M. S.M. S.M. S.M.

We see that Zone "C" & "D" have same organisation. One Marketing Manager, two Asst.

Marketing Managers, four Senior Marketing Officers Every SMO has two Marketing

Officers and every MO has a few sales men working under him.

 To help customers in getting loan from the banks for buying the tractor.

 To collect payments from the customers.

 Arrangement for demonstrating the product to the consumer.

 To keep liaison with old & prospective customer.



In setting season, when dealers are asked to launch sales promotion schemes, if he sells

more than his fixed quota, he is given Rs.500/- as an incentive or award for selling every

marginal unit.


Servicing Camps are organized where old and new tractors are serviced at very nominal

charges by the company's servicing staff. Customers are taught how to keep the tractor in

perfect conditions.

This project aims at studying of the marketing habits of the rural people (farmers) to own

tractors (Customer of tractors). It also aims and analyzing the effect of this media habits

on the sonalika tractor industry.


Marketing is a social and managerial process by which individuals and group obtain what

they need and want through creating and exchanging products and value with others.

Marketing concept, which provides an orientation for conducting business of thinking

and basic approach to the business problems. Marketing itself is of course a specific

function in the enterprise as far as finances and accounting but the marketing concept is a

fundamental to the overall rationale and conduct of the enterprise. Marketing as a

management involves several activities including environmental scanning market

opportunity analysis.

Market strategy programming, implementation and control. The organization mission

programming and implementation and control scanning the Broader environment and

identifying analyzing market opportunity understanding and changing marketing

environment and the organization market in turn, provide a basic for developing effective

marketing strategies. The specified target markets are defined, marketing objectives

delineated for each target market and the numerous marketing programmes decision

made.Together these activities make up a marketing strategy, which is then implemented

and controlled. Marketing is being applied in all type of manufacturing and non-
manufacturing organization. On the ground that all organization have marketing

problems that can be solved by application of market theory and practice. Marketing is

designed to render to specify benefits to its implement first, marketing place and great

emphasizes on measuring the needs and desires to target market. Second marketing

emphasizes the scientific formulation and handling of activities involving product

development, pricing, communication distribution etc.

Marketing becomes functionally more important as the country becomes more

industrialized. Since person specializes in.

Marketing becomes functionally more important as the country becomes more

industrialized. Since person specializes in producing a particular item he does not supply

directly to himself with many other goods and services that he needs to sustain life.

This is the point where marketing functions enters the economic process. As the

production efficiency increases it may also indicate that marketing is urgently need to

find ways efficiently and effectively for distribution and selling the output.


Marketing strategy defines the broad principals by which the business units expect to

achieve its marketing objective in a target market. It consists of basic decisions on total

marketing expenditure. Marketing mix and marketing allocation. The development and

use of marketing strategy can be relevant for non profitable organizations as well. For

them the objective may be to increase influence, prestige or popularity. The story of the
two universities outlined in the accompanying box is an example of how marketing

strategy can be used by such organizations.

Marketing management must decide what level of marketing expenditure is necessary to

achieve its marketing objectives. Companies typically established their marketing budget

at some conventional percentage of sales goals. Companies entering a market try to learn

what the market budget to sales ration is for competitors.

Ultimately the company should be analyze the work required to attain a given sales

volume or market share and then cost out this work, the result is the required marketing


Marketing mix is one of the key concepts in modern market theory. It is the set of

marketing tool that the firm uses to pursuer its marketing objectives in the target market.

The most popularized four factor classification of marketing mix tool called the four ps:

product, price, place and promotion.

These four elements are assumed to be controllable variables that are the marketer

decides what they should be. Such things as budget limitation, industry customs and

leadership by competitors greatly influence how much discretion an organization has in

designing its marketing mix.

Market efforts apart of marketing strategy, has been defined as "the total amount of

company input into the marketing process to suitable sales". A rupee value can be

assigned to this effort by determining the investment made in each of four factors of the

marketing mix. The combined rupee value represents the level of marketing effort at a

given time. The effectiveness of that part is harder to measure usually, it is judged by the
comparison with competitors negatively, by the success of a similar program that spent

less money.

The state of Punjab has the unique distinction of having maximum number of tractors in

the country. Almost all the large Manufacturer of tractor in the state, which results in

tough competition. It is therefore in the fitness of things to study various Aspects of the

tractors marketing in the state.,

There is a mad sample among the companies to increase capacities. Tafe raced ahead it

35 hp category increasing Production from 11000 machines to 15000. Escorts, which

were churning out 4100 tractors almost, doubled its production in on year. Pti, which was

producing a measly 1800 25 hp tractors in 1985 - 1986, touched 3900 marks next year.

And above all competition has also been accompanied by aggressive marketing.

The tractor industry, down in the dumps only four years ago has patiently moved ahead

and come on top during the Financial year 1990 - 1991 with a growth in sales of 15%.

The dozen old tractors manufacturers have successfully churned out Increased profit

despites the bloating costs of lyres and steels, adding to the overall price of tractor, which

has been rising.

At the rate of 20% per annum. The most important factor in the growth of the tractor

industry has been the money disbursed by banks towards purchase of tractor.

The marketing concept

The marketing concept holds that the way to achieving organization goods consist in

determining the needs and wants to target markets and delivering the desired satisfaction

more effectively and efficiently than competitors. The market has been expressed in

many colourful ways :

 Find wants and fill them.

 Make what you can sell instead of trying to sell what you can make.

 We have to learn the customer and not the product.

 You are the boss.

 To do all with in our power to pack the customer’s dollar full to value, quality and


4 .5

3 .5
3 S ales
M anag ement
2 .5
C us to mer
1 .5 O rientatio n
S ales
1 O rientatio n
P ro d uc t
0 .5
O rientat io n

Marketing Concept

Marketing System Customer Dual

Information Approach Orientation Objective
Functions Of Sales Management
Following are the general functions of sale management:
1. Sale planning and sale policies.
2. Pricing policies and price fixing.
3. Advertising and sales promotion.
4. Scientific salesmanship, management and control of sales force.
5. Marketing research
6. Planning and control of sales operation and control of sales costs.
7. Selection and management of channels of distribution.
8. Branding, packing and labeling.
9. After sale service, if necessary.
10. Integration and co-ordination of each functions.


The outstanding development in sales management since 1960 are enumerated as
follows :
1. Acceptance of marketing concept i.e. customer needs and wants given top
2. Recognition of importance of planning, and programming of sales.
3. Greater dependence on marketing research.
4. Emphasis on profit performance and not merely on sales volume.
5. More attention on channel choice and channel relations.
6. Special stress on increasing productivity of sales personnel.
7. Decentralisation of sales management.
8. Improved motivation and relation of salesman.
9. Adaptation of managerial approach in selling or marketing.

General sales manager

Assistant sales manager

Publicity Sales Distribution Sales Office
Manager Personnel Manager Manager

1 2 3 4 5
Advertising Merchandising Storage & Despatch Transport
through Aids (Sales Packing
various media Promotion)

1 2
Orders Sales
Correspondence records
filling etc. & statistics

Exhibitions Dealers promotion Consumer promotion

and showrooms e.g. display material e.g. sample distribution
special discount premium offers contents
sales contest etc. coupon, gift scheme etc.
Importance of sales organization
A sales organization is like a power station sending out energy which is devoted to the
advertising and selling a particular lines and there is tremendous loss of energy between
the power station and points where it reaches the great necessity of planning, organizing
and controlling all sales efforts through a sound sales organization to prevent wastage in
Basic functions of sales organization

Administrative Operating Staff functions

Functions Functions Specialist acting
As guides and

Sales policies Recruitment Marketing Research

Sales planning Selection Advertising

Sales programme Training Sales promotion

Evaluation of Routing Merchandising and

performance product development

Controlling cost Controlling sales analysis

Direction and Equipment Dealer relations


Dealer relations Supervising Sales personnel

Co-ordination of

Evaluating sale Transportation and


Sales territories Sale planning and


Physical distribution
Review of literature

The review of literature comprises various studies conducted in the field to marketing in

general and tractor marketing in particular. A few of these have been reviewed here


Brown (1974) said that the good manufacturing companies, which tried to integrate

promotional expenditure and advertising expenditure without understanding what

segments of their market they were affecting, would continue to Ineffectively allocate

and spend their budgets. Money spend on promotions always yielded higher results for a

period extending.

Beyond the length of the promotion.

Kapoor and Singh (1975) conducted a pilot study of the marketing planning practices of

Indian companies it was found the marketing concept had not only gained recognition but

were also being practiced in a sophisticated manner. Be old and new concepts and

techniques of marking were in use currently for solving their marketing problems.

Godrej (1976) in his article, marketing of consumer durables has emphasized that

consumer durable marketing is a subject that has not received the attention it deserves.

The article focuses at the various aspects of marketing mix with the respect to consumer

pricing, distribution, personal selling, R & D etc.

Hanan (1976) suggested that large organizations should be learn from small organization

the small business strategy. He emphasized that marketing consultative selling and

constant appraisal of commercial potential of small business.

Should be of great help in formulating the strategy for large organizations.

Singh (1983) conducted a survey on the marketing practices of tractors and come to

conclusion that vertical. Diversification helped the tractors manufactures the design the

tractor model according to the customer preferences about the Color, modal and type etc,

as also to segments their market depending on the end use of tractors into two distinct

classed farmers and industry buyers. The manufactures started the low horsepower tractor

to meet the requirement of marginal Farmers and medium horse power tractors to meet

the requirement of medium to large farmer.

Buckingham (1984) says that the electronic control of diesel fuel injection has become a

hot topic for the tractor Engines and many within the diesel industry predict it will show

up vehicles from tractors to cars. Engineers manufacturers are currently testing electronic

injection systems and research into such system is going on in the companies and


Kumar and Sweety (1985) in a rural marketing management perspective survey

concludes that, in general.

The market potential depends on population characteristics and economic conditions. The

grouping of these two parameters into permutation and combination results in different

market segments which Could be more meaningful than the traditional method of market

segmentation in rural areas.

Scott (1986) says that the marketing of equipment like tractors should also emphasize

salvage. The two are related. This is an arena that may not appeal to many dealers, but he

feels that it is very important And can yield positive results for the farmers as well as for

the firm it is a marketing strategy that has worked well for certain organization.
Singh (1986) conducted a survey on nonprime marketing strategies. He maintains that

owing to intensive competition parallelism has emergent in the competitive actions.

With increasing availability of similar and non differentiable products at similar slightly

differentiated prices, an otherwise trusted variable like price is Losing its importance to

other elements in the marketing mix.

Forgarty (1989) conducted a survey of tractor imports and came to the conclusion that

Non - multinational companies are picking up steam. South Korea for instance moved for

supplying A few dozen units in 1979 to over a thousand till 1988 and Yugoslavia went

from zero to 1600 in the same period. It is said that in the marketing strategy for the

tractors the old tractors never die, but in may he that the cost of keeping some of them

running has become expensive enough that the alternative of a competitively priced new

unit provided by an independent importer is compelling. Many of the dealers were taking

about have a major franchise, but they are also looking up for a back to basics type that

can satisfy certain customers.

Bayard (1991) says that tractor manufacturers jealously guard their development

machines and with good reasons. Any major break though in tractor machine assures a

corresponding Leap in market share so it is in their own interest to play their cards close

lo their chests while marketing and Manufacturing processes.

Gilletal (1993) reported that the annual use of tractor in the state of Punjab is less than

four hundred Hours by a study by Singh and Dhawan (1992). With the expectations of

paddy, and wheat for other crops the tractor use is less than 20 hours per year. This can

be attributed among other factor to non-availability of suitable farm equipment for many

operations for crops production and horticulture. It will therefore, be in the fitness of the
things to accelerate the pace of research of development as well as manufacture an

introduction of need based farm equipment. Important promising farm machine from

overseas countries can help to expedite the pace of research of development.

Dhawan and Singh (1994) reported that the tractor on an average in India did not find

adequate work fro its rational use and was hardly covering the costs. In spite of it. An

important economy consideration for the purchase of tractor by the farmer was that of the

even increasing price of tractor. The cost of operation was influenced by tractor make,

Horse power, type of operation, now a days people want good spares, brand name, high

power, so many adjustments.

The above research studies basically to market strategies and practices, researches in the

area of tractor use, especially relating to the opinion survey of the tractor users are few

and far between. This indicates the existing Research gap in this important area. Hence

the need of present research.


The purpose of research is to throw the answers to questions through the application of

scientific procedure. The main aim of research is to find out the truth which is hidden and

which has not yet been discovered as yet. Through each research study has its own

specific purpose. We may think of research objectives as falling into a number of

following broad groupings:

1. To gain familiarity with a phenomenon or to achieve new insight into it.

2. To study the marketing ( promotional) strategies of sonalika

3. To study the media habits of the people.

4. To study the ad-effectiveness of different media used by sonalika for advertising.

5. To study the public view of the effective ad and various medias.


Research Methodology is a way to systematically solve the research problem. The

Research Methodology includes the various method and techniques for conducting a

Research. "Research is the systematic design, collection, analysis and reporting of data

and finding relevant solution to a specific marketing situation or problem". D. Slesinge

and M.Stephenson in the encyclopedia of Social Sciences define Research as "the

manipulation of things, concepts or symbols to the purpose of generalizing to extend,

correct or verify knowledge, whether that knowledge aids in construction of theory or in

the practice of an art".

Research is, thus, an original contribution to the existing stock of knowledge making for

its advancement. The purpose of Research is to discover answers to the Questions

through the application of scientific procedures. The project must have a specified

framework for collecting data in an effective manner. Such framework is called

"Research Design". The research process followed by us consists of following steps:

Sample Plan

Sampling can be defined as the section of some part of an aggregate or totality on the

basis which judgment or an inference about aggregate or totality is made.

Data Collection

Information will be collected from both Primary and Secondary Data.

Primary sources

Primary data are those, which are collected afresh and for the first time, and thus happen

to be original in character. Man collected by conducting survey through Questionnaire,

which include both open ended and close-ended Questions.

Secondary sources

Secondary Data are those which have already been collected by someone else and which

already had been passed through the statistical process. The data collected is secondary

data through Magazines, Web sites. Newspaper and Journals.

The Research Method

This project involved study of various media used for advertisement directly linked with

customer. Step in process was preparation of questionnaire which consists of question of

mainly multiple choice and closed ended with few open ended questions forgetting

maximum information about tractor owner and media, habits and then the satisfaction

level. The sample size was 50 customers. After the collection of data the second step was

analysis of the data. To drop proper influences. The sample chosen by the study of farmer

from Hoshiarpur Distt.


A sample is a small proportion of a population selected for observation and analyses. It is

a collection consisting of part or subject of the objects or individuals of population which

is selected for the purpose of representing the population by observing the characteristics

of the sample one can make certain inferences about the characteristics of the population

from which it is drawn.

The sample of this study was 50 farmers (customers of tractors). The survey was

conducted in villages of Hoshiarpur district.


A self made questionnaire is consisting of multiple choice, close ended and open ended


Administration of the tool

The tool was personally administered to randomly selected 50 farmers who own tractors.

Q 1. How many acres of land do you have for farming?

Area No. of respondents Percentage

0 Acres ( Lease ) 02 04

0-10 15 30

10-20 20 40

20-30 11 22
Total 50 100

0 Acres 0-10 20-Oct 20-30


Land owned by the people with max hold over 20-30 acres were 22%, 40% of the people

hold 10-20 acres. 30% of the respondents hold 1 to 10 acres 4% used the land hired by


Q 2. Do you have your own tractor?

Reponses No. of respondents Percentage
Yes 45 90

No 5 10
Total 50 100



Out of the same of 50, 90% of the respondents owned the tractor while 10% were not the

owner of the tractors.

Q 2. A) Are you interested to buy tractor in near future?

Response No. of Respondents Percentage

Yes 4 80

No 1 20
Total 5 100



Out of 5 non-owner of the tractor 4 of them were planning to buy a tractor while others

did not show any response for the purchase of tractors in near future.
Q 2. B). Which tractor brand you have owned?

Brands No. of Respondents Percentage

HMT 2 4.44

ESCORT 4 8.9

TAFE 5 11.11

EICHER 2 4.4


TOTAL 45 100









Out of the 45 respondents who owned the max 51% showed the preference for Sonalika

tractors. HMT was by 4.44% while 8.9% preferred Escort tractor. TAFE was owned by

5 % farmers while 4.4% were having EICHER. Another 20% showed preference or had

farmtec tractor.

Q 2. C. Which factor affects your tractor buying decisions?

Factors No. of Respondents Percentage
Quality/ Power 22 44

Ad. 11 22

Price 7 14

All 10 20
Total 50 100


Quality/Power of the tractor was attributed as the strength factor for influencing product

contributed a lot the factor of the buy decision according to the sample study. As 44% of

the respondents are affected by the quality of the product. 22 % are affected by

Advertisement alone. 14 % were those whose buying behavior was affected by price and

20 % are those who were affected by all above factors.

Q. 3. Are you aware of the advertisement of Sonalika tractors?

Response No. of Respondents Percentage

Yes 44 88

No 6 12
Total 50 100



Out of the sample of 50 respondents, 88% have seen the ad. of Sonalika tractors medias

and there are only 12% who have not seen ad. of Sonalika tractor.
Q 3. A)Through which source are you aware of sonalika’s tractor?

Source No. of Percentage

Advertisement ( Mass Media ) 20 40

Hoardings 8 16

Dealers 10 20

Friends / Relatives ( Word of Mouth ) 12 24

Total 50 100

Advertisement Hoardings Dealers Friends /
(Mass Media) Relatives (Word
of Mouth)


According to the sample study, maximum number i.e. 40% of the respondents came to

know about Sonalika. Tractor through mass media and 24% from the relatives and friends

20% of them were by the dealers and 16% through hoardings . So advertisements on

mass media proved to be effective fro the concern.

Q. 3 B) Through which advertisement media you came to know about

Sonalika’s tractors?
Media No. of Respondents Percentage
T.V 14 28

Magazine 2 4

Newspaper 22 44

Outside (Other source) 12 24

Total 50 100





T.V Magazine Newspaper Outside


This is the multiple answer question. One had seen the advertisement of Sonalika of the

recollection was from the newspaper i.e. 44% which produced to be the most effective

one. Outside hoarding, banners, tinplates, fairs or melas, advertisement on wheels were

viewed by 24 5 of the respondents. The ads on T.E were viewed by 28% while magazine

readers were only 4%.

Q. 3 C) On which T.V. channel you have seen sonalika’s tractor ads?

Channels No. of Respondents Percentage

DD-I 8 57

DD Metro 2 14.29
LASHKARA 2 14.29

ETC (Punjab) 2 14.29

Total 14 100



The survey revealed that 57% of the respondents matched advertisement on DD-I and a

very small percentage of respondents are using other channels i.e. DD Metro, Lashkara,

ETC (Punjabi) for the purpose of advertising.

Q. 3 D) In which magazine you have seen sonalika’s tractor ads?

Magazine No. of Respondents Percentage

Kisan Patrika 1 50

Desh 1 50

Sarita 0 0

A&M 0 0

India Today 0 0
Total 2 100

Kisan Desh Sarita A&M India
Patrika Today


This was revealed during the survey that 50% of the respondents source of knowledge for

advertisement regarding tractors in the magazine is Kisan Patrika; 50% respondents

gathered it from the Desh Advertisements of appearing in A & M and Auto India were

not available with the respondents.

Q. 3 E) In which newspaper you have seen sonalika’s tractor ads?

Newspaper No. of Respondents Percentage
Punjab Kesri 11 45.83
Danik Jagran 4 18
Tribune 1 4.16
Times of India 0 0
Ajit 6 27.8
Total 22 100

Punjab Danik Tribune Times of Ajit
Kesri Jagran India


Newspaper as a source for advertising tractors is widely used in Punjab. It was revealed
during the study that out of the 22 newspaper reader 11 of them has seen the Ad. in
Punjab Kesri, 18% in Danik Jagran, 27.80% of them had seen in Ajit . Only 4.16% of the
reader has seen the advertisement in Tribune. The survey has also revealed that
advertisement regarding tractors appearing in the Newspapers such as Punjab Kesir,
Danik Jagran and Ajit has widely reached and influenced the tractor customer.
Newspaper a advertising media is an important source of advertising for the customer of
tractor in Punjab.

Q. 4. Which characteristic of an advertisement attracts you most towards the

ad ?
Attributes No. of Respondents Percentage
Picturisation 12 24
Slogan 7 14
Models 6 12
Clarity of message 5 10
Truth fullness 10 20
Personality 3 6
Image building 2 6
Total 50 100






Picturisation Slogan M odels Clarity of Truth fullness Personality Image
message building


Out of 7 attributes and out of the respondents, 24% of the responses was for picturisation

which was the highest response. Than is for the truth fullness i.e. 20. The response for the

clarity of message is 10% and slogon for 14%. The attribute of models and clarity of

message were closely followed. Models got 12% of the total response. Personality image

building got 6% of the response.

Q. 5. How much do you like the any ad of sonalika?

Responses Percentage No. of Respondents

Good 46 23

Average 46 23

Below average 8 4




Good Average Below average


46 percent of the respondents rated their liking for advertisement regarding tractors as

good. Similar percentage of respondents rated its average. But 4% of the respondents

rated it below average.

Q. 6. What are your media habits?

Media Habits No. of Respondents Percentage
T.V 14 28

Magazine 2 4

Newspaper 22 44

Radio 12 24
Total 50 100





T.V Magazine Newspaper Radio


The survey has revealed that 28 percent of the respondents devoted their maximum time

for watching television, 44 percent of the respondents have maximum taste for

newspaper, and 4 percent of the respondents devoted most of their time for reading

magazine and 24 percent of the respondents devote maximum time for radio.

Findings, Suggestions and Conclusions


1) On the basis of survey it was found that most of the farmers have their on land for
farming. Most of them fall in the range of 10-20 acres of their own land i.e. 40 %
of farmers.

2) It was found that maximum no. of farmers have their own tractors i.e.

90 %.

3) And out of these 51 % has owned sonalika’s tractor that shows the good customer
base of sonalika.

4) It was observed that Tractors’ quality and advertisement has a lot of affect on the
buying decision of farmers.

5) Most of farmers were aware of the sonalika tractors and mass media act as a main
source for this i.e. 40 % of respondents got aware of tractors through mass media.

6) Newspaper acts as a main source of awareness for farmers in a mass media

category type.

7) It was found that the picturisation and truthfulness of the ads that attracts people
to see the ads. And sonalika’s ads are effective on this basis that 46 % of
respondents liked it.

8) On the basis of survey it was found that sonalika’s ads are effective to attract
customers but not up to that extent.
9) On the basis of survey it was found that Newspaper, T.V., and radio are the
sources that represent media habits of the farmers.


 Organization of full service camps and demos will be more effective other

media's. Direct contact program will yield more promising results the co should

make these as regular feature.

 Participation in rural prestigious & famous fairs & melas would be the best media

to convey messages.

 Along with this one important program can be through sponsorship of rural

sports. The organization of tournaments like cricket, will be very effective in

conveying company's message and attract more customers distribution of free

gifts will be helpful in mating HMT more popular in future.

 Keeping in view the increasing competition, the company should increase its

warranty period from one year to two years at least. This would attract more


 iTL's tractors are generally used in Punjab only and to little extent in Haryana,

Rajasthan, Himachal. It should make every possible effort to improve its sales in

other states also like Andhra Pradesh. Gujarat, Madhya Pradesh, J & K. U.P., etc..

This can be achieved by:

• Conducting demonstration by organizing exhibition of the different

models of the tractors.

• Giving dealer high Incentive, particularly in these States.

 Computerization in Company is one of the most important needs for further

progress of the company. For the market needs for further progress of the

company. For the market division, the importance of the computer is even greater

since it can perform all the function? Given below:

i) Monitor sales performance, through comparison of actual sales and

collection with the budgets and past performance.

ii) Individual sales staff performance would be measured in each territory

and aggregates.

iii) Sales tax returns and product vise income, contribution analysis by

price value etc. would also be recorded.

iv) With the help of computer, time wastage will be less. The management

would be able to take decision in the shortest possible time with more efficiency.

v) Power staff will be beaded to keep the record so that expenditure will

be less. Computerization of the company will prove more economical.


It was observed that sonalika has used various marketing strategies (or promotional
strategies) like films, Publicity tapes, hoardings, wall paintings, bus panels, posters,
leaflets, mass media, etc. Though all the promotional strategies of sonalika are effective
to some extent but lot of work yet to be done to attract a large customer base.
Presently media source like newspaper, T.V., radio, magazine, etc. attracts consumers but
to attract large consumer base sonalika requires more competitive efforts. As sonalika’s
consumers are mainly farmers or villagers those are not much literate company needs that
much efforts to attracts these by its strong personal interaction. For this fairs, exhibitions,
personal dealings, etc can be effective.
To check the Advertisement-effectiveness of Sonalika Tractors
Name : __________________________________
Address : ________________________________
Age : ___________________________________
Education :  Below matric
 Matric
 Graduate
Income  Rs. 0-60,000
 Rs. 60,000-150,000
 Rs. 150.000 and above
Ques.1. How many acres of land do you have for farming?
 0 Acres (on lease)  0-10  10-20
 20-30
(2) Do you have your own tractor?
 Yes  No
(a) Are you interested to buy tractor in near future?
 Yes  No
(b) Which tractor brand you have owned?
(c) Which factor affects your tractor buying decisions?

 Quality/ Power  Ad

 Price  All
Q3. . Are you aware of the advertisement of Sonalika tractors?

 Yes  No
(a) lf yes. Through which source are you aware of sonalika’s tractor?

 Advertisement (Mass media)  Hoardings

 Dealers  Friends/ Relatives (Word of mouth)
b) Through which ad media you came to know about sonalika’s tractors?

 TV  Magazines

 Newspapers  Outside
(c) On which TV channels have you seen the Ad?

 DDI  DD Metro


(d) In which magazines have you seen the Sonalika’s tractors Ad?

 Kisanpatrika  Desh

 Sarita  Advertisement and marketing

 Auto India  India Today

(e) In which newspaper have you seen the Ad?

 Punjab Kesri  DanikJagran

 Tribune  Times of India

Q 4. . Which characteristic of an advertisement attracts you most towards the

ad ?

 Picturisation  Slogan

 Model  Clarity of message

 Truthfulness  Personality

 Image building.

Q5. How much do you like the any sonalika’s Ad?

 Good  Average

 Below Avg.
Q6. What are your media Habits

 Television  Magazine  Newspaper

 Radio

Q7. What are the suggestions regarding advertisement for improving the
product / company's Images?

 References:

1. Gupta, S.P., Statistical Methods, 2005, Himalaya Publishing House, Delhi

2. Kotler Philip, Keith Kohn Cox, Marketing Management & Strategy, Prentice Hall,
Delhi, 1980.

3. Parry. Mark Edward, Strategic Marketing Management, McGraw Hills, US, 2001

4. Dolan. Robert J, Strategic Marketing Management, Harvard Business School, US,


5. Sutton. Dave, Klein. Tom, Enterprise Marketing Management-The New Science,

Zyman Marketing Group, US, 2003

6. William. John, Curtis. Tony, Marketing Management In Practice, BH Publishing

House, US, 2003.
 Magazines Referred:
1. Business Week.
2. Business Outlook.
3. Business Today.

 Web sites visited: