What is strategic marketing planning? Explain the strategic marketing process in brief ?

Ans.
Strategic Marketing Planning
Strategic Marketing Planning is the process of developing and maintaining a strategic fit between the
organization's objectives and resources in a changing market.
Strategic Planning Process.
It involves and overall strategy for Long-Run survival & growth, it also contains :
Defining the Company Mission:
What is our business? Who is the customer? What do consumers value? What will our business be? What
should our business be? These simple-sounding questions are among the most difficult the company will
ever have to answer. Successful companies continuously raise these questions and answer them carefully
and completely.
Many organizations develop formal mission statements that answer these questions. A mission statement is a
statement of the organization’s purpose – what it wants to accomplish in the larger environment. A clear
mission statement acts as an “invisible hand” that guides people in the organization so that they can work
independently and yet collectively toward overall organizational goals.
Setting Company Objectives and Goals:
Here it means what exactly the setting or planning the company’ objective and goals. We treat objectives &
goals as synonyms. An objective is simply desired outcome. Effective planning must begin with a set of
objectives that are to be achieved by carrying out plans.
For objective to be effectives it must be
1. Clear and specific.
2. Stated & writing.
3. Ambitious, but realistic.
4. Consistent with one another.
5. Quantitatively measurable where possible.
6. Tied to a particular time period.
For e.g. in any company the objective of increasing sales next year by 40% can be achieved by (i)
Intensify marketing efforts in domestic market and (ii) Expand into foreign markets.
Designing business portfolio:

Guided by the company’s mission statement and objectives, management must plan its business portfolio. A
company’s business portfolio is the collection of businesses and products that make up the company. The
best business portfolio is the one that best fits the company’s strengths and weaknesses to opportunities in
the environment. The company must analyze its current business portfolio and decide which business should
receive more, less, or no investment, and develop growth strategies for adding new products or businesses to
the portfolio.

Planning Functional Strategies:It is important that an organization periodically (at least annually, usually
as part of the medium-term planning process) review all functional strategies to assure that they are:
Consistent with the business strategy
Supportive of the business strategy
Consistent with other functional strategies
Supportive of other functional strategies
Best utilize the organizations strengths
Lead to the level of efficiency and effectiveness desired
Create or maintain functional competitive advantages, if desired
Are within the organization's resource constraints

––––––––––––

Write Short Notes on :

Ans.

(a) Porter's Five Forces

The Porter's 5 Forces tool is a simple but powerful tool for understanding where power lies in a business
situation. This is useful, because it helps you understand both the strength of your current competitive
position, and the strength of a position you're looking to move into.
With a clear understanding of where power lies, you can take fair advantage of a situation of strength,
improve a situation of weakness, and avoid taking wrong steps. This makes it an important part of your
planning.
Conventionally, the tool is used to identify whether new products, services or businesses have the potential
to be profitable. However it can be very illuminating when used to understand the balance of power in other
situations too.

Porter Five Forces Analysis assumes that there are five important forces that determine competitive power in
a situation. These are:

1. Supplier Power: Here you assess how easy it is for suppliers to drive up prices. This is driven by the
number of suppliers of each key input, the uniqueness of their product or service, their strength and
control over you, the cost of switching from one to another, and so on. The fewer the supplier choices
you have, and the more you need suppliers' help, the more powerful your suppliers are.
2. Buyer Power: Here you ask yourself how easy it is for buyers to drive prices down. Again, this is driven
by the number of buyers, the importance of each individual buyer to your business, the cost to them of
 switching from your products and services to those of someone else, and so on. If you deal with few,
powerful buyers, they are often able to dictate terms to you.
3. Competitive Rivalry: What is important here is the number and capability of your competitors – if you
have many competitors, and they offer equally attractive products and services, then you’ll most likely
have little power in the situation. If suppliers and buyers don’t get a good deal from you, they’ll go
elsewhere. On the other hand, if no-one else can do what you do, then you can often have tremendous
strength.
4. Threat of Substitution: This is affected by the ability of your customers to find a different way of doing
what you do – for example, if you supply a unique software product that automates an important process,
people may substitute by doing the process manually or by outsourcing it. If substitution is easy and
substitution is viable, then this weakens your power.
5. Threat of New Entry: Power is also affected by the ability of people to enter your market. If it costs
little in time or money to enter your market and compete effectively, if there are few economies of scale
in place, or if you have little protection for your key technologies, then new competitors can quickly
enter your market and weaken your position. If you have strong and durable barriers to entry, then you
can preserve a favorable position and take fair advantage of it.

Example: Martin Johnson is deciding whether to switch career and become a farmer - he's always loved the
countryside, and wants to switch to a career where he's his own boss. He creates the following Five Forces
Analysis as he thinks the situation through:

This worries him:

 The threat of new entry is quite high: if anyone looks as if they’re making a sustained profit, new
competitors can come into the industry easily, reducing profits;
 Competitive rivalry is extremely high: if someone raises prices, they’ll be quickly undercut. Intense
competition puts strong downward pressure on prices;
 Buyer Power is strong, again implying strong downward pressure on prices; and
 There is some threat of substitution.

Unless he is able to find some way of changing this situation, this looks like a very tough industry to survive
in. Maybe he'll need to specialize in a sector of the market that's protected from some of these forces, or find
a related business that's in a stronger position.

———————
(b) PEST ANALYSIS

PEST analysis stands for "Political, Economic, Social, and Technological analysis" and describes a
framework of macro-environmental factors used in the environmental scanning component of strategic
management. Some analysts added Legal and rearranged the mnemonic to SLEPT; inserting Environmental
factors expanded it to PESTEL or PESTLE, which is popular in the UK. The model has recently been
further extended to STEEPLE and STEEPLED, adding education and demographic factors. It is a part of the
external analysis when conducting a strategic analysis or doing market research, and gives an overview of
the different macro environmental factors that the company has to take into consideration. It is a useful
strategic tool for understanding market growth or decline, business position, potential and direction for
operations.

 Political factors, are how and to what degree a government intervenes in the economy. Specifically,
political factors include areas such as tax policy, labour law, environmental law, trade restrictions,
tariffs, and political stability. Political factors may also include goods and services which the
government wants to provide or be provided (merit goods) and those that the government does not want
to be provided (demerit goods or merit bads). Furthermore, governments have great influence on the
health, education, and infrastructure of a nation.

 Economic factors include economic growth, interest rates, exchange rates and the inflation rate. These
factors have major impacts on how businesses operate and make decisions. For example, interest rates
affect a firm's cost of capital and therefore to what extent a business grows and expands. Exchange rates
affect the costs of exporting goods and the supply and price of imported goods in an economy

 Social factors include the cultural aspects and include health consciousness, population growth rate, age
distribution, career attitudes and emphasis on safety. Trends in social factors affect the demand for a
company's products and how that company operates. For example, an aging population may imply a
smaller and less-willing workforce (thus increasing the cost of labor). Furthermore, companies may
change various management strategies to adapt to these social trends (such as recruiting older workers).

 Technological factors include ecological and environmental aspects, such as R&D activity, automation,
technology incentives and the rate of technological change. They can determine barriers to entry,
minimum efficient production level and influence outsourcing decisions. Furthermore, technological
shifts can affect costs, quality, and lead to innovation.

 Environmental factors include weather, climate, and climate change, which may especially affect
industries such as tourism, farming, and insurance. Furthermore, growing awareness to climate change is
affecting how companies operate and the products they offer--it is both creating new markets and
diminishing or destroying existing ones.

 Legal factors include discrimination law, consumer law, antitrust law, employment law, and health and
safety law. These factors can affect how a company operates, its costs, and the demand for its products.

Group 2:- B2B Marketing

1--What is B2B marketing? How is it different from B2C marketing? Explain various elements of B2B
marketing?
DEFINITION OF INDUSTRIAL MARKETING
The word Industrial Marketing is also treated as Business-to-Business Marketing, or Business Marketing, or
Organizational Marketing. Industrial Marketing/business marketing is to market the products and services
to business Organizations: manufacturing companies, government undertakings, private sector
organizations, educational institutions, hospitals, distributors, and dealers. The business organizations, buy
products and services to satisfy many objectives like production of goods and services, making profits,
reducing costs, and, so on.
 Table 1.1: Differences between Industrial and Consumer Marketing

Sr. Bases Industrial Market Consumer Market

No
1 Market Geographically Geographically

characteristics concentrated, disbursed,

Relatively fewer buyers Mass markets

2 Product Technical complexity, Standardised

characteristics Customised
3 Service Service, timely delivery Service, delivery, and

Characteristics and availability very availability somewhat

important important
4 Buyer behavior Involvement of various Involvement of family

functional areas in both buyer members

and supplier firms, Purchase decisions are

Purchase decisions are mostly made on

mainly made on physiological/social/

rational/performance basis, psychological needs,

Technical expertise, Less technical expertise,

Stable interpersonal Non-personal

relationship between buyers relationship

and sellers
5 Decisionmaking Observable stages, Unobservable,

Distinct Mental stages

6 Channel Shorter, Indirect,

Characteristics More direct, Multiple layers of

Fewer intermediaries

intermediaries/middlemen
7 Promotional Emphasis on personal selling Emphasis on advertising

Characteristics
8 Price Competitive bidding and List prices or maximum

Characteristics negotiated prices, retail price (MRP)

List prices for standard

products

Elements of B2B marketing:-

2--Explain the advantages of B2B marketing? What is the role of E-commerce in B2B marketing?(mis
notes)
a) IT eliminates intermediaries in buying and selling transactions opposed to the traditional commerce
where there were intermediaries who have to be paid thus increased the cost of purchase.
b) IT increase interactive capabilities on the web can be used to increase closer relationship with
customers in marketing and customer support.
c) E-commerce enable many individual to work at home and to do less traveling resulting in less traffic
on the roads and lower air pollution.
d) It allows some merchandise to be sold at lower prices so that less affluent people can buy more and
increase their standard of living.
e) It enables people in 3rd world countries and rural areas to enjoy products and services that otherwise
are not available to them .
f) It facilitates delivery of public services such as government entitlements reducing the cost of
distribution and increasing the quality of the distributing system.

Electronic commerce
It’s a concept that describes the buying and selling of products services and information via computer
network.

Group 3:- FMCG Market

What is FMCG market? What are its characteristics and how will you differentiate it with other market?

ANs: FMCG: It is an acronym for Fast Moving Consumer Goods which is defined as fast selling, low unit
value consumer products normally in universal demand. This includes categories like toiletries, cosmetics
and other non-durables.
FMCGs are inexpensive products that people usually buy on a regular basis, such as supermarket foods or
toiletries. FMCG is an abbreviation for `fast-moving consumer goods'.

FEATURES:
FMCG companies sell their products directly to consumers. Major features that distinguish this sector from
the others include the following: -

I. Design and Manufacturing

Low Capital Intensity - Most product categories in FMCG require relatively minor investment in plan and
machinery and other fixed assets. Also, the business has low working capital intensity as bulk of sales from
manufacturing take place on a cash basis.
Technology - Basic technology for manufacturing is easily available. Also, technology for most products
has been fairly stable. Modifications and improvements rarely change the basic process.
Third-party Manufacturing - Manufacturing of products by third party vendors is quite common. Benefits
associated with third party manufacturing include
 (1) flexibility in production and inventory planning;
(2) flexibility in controlling labor costs; and
(3) logistics - sometimes its essential to get certain products manufactured near the market.

2. Marketing and Distribution

Marketing function is sacrosanct in case of FMCG companies. Major features of the marketing function
include the following: -
High Initial Launch Cost - New products require a large front-ended investment in product development,
market research, test marketing and launch. Creating awareness and develop franchise for a new brand
requires enormous initial expenditure on launch advertisements, free samples and product promotions.
Launch costs are as high as 50-100% of revenue in the first year. For established brands, advertisement
expenditure varies from 5 - 12% depending on the categories.
Limited Mass Media Options - The challenge associated with the launch and/or brand-building initiatives
is that few no mass media options. TV reaches 67% of urban consumers and 35% of rural consumers.
Alternatives like wall paintings, theatres, video vehicles, special packaging and consumer promotions
become an expensive but required activity associated with a successful FMCG.
Huge Distribution Network - India is home to six million retail outlets, including 2 million in 5,160 towns
and four million in 627,000 villages. Super markets virtually do not exist in India. This makes logistics
particularly for new players extremely difficult. It also makes new product launches difficult since retailers
are reluctant to allocate resources and time to slow moving products. Critical factors for success are the
ability to build, develop, and maintain a robust distribution network

Consumer Markets
Consumer markets are the markets for products and services bought by individuals for their own or family
use. Goods bought in consumer markets can be categorised in several ways:

• Fast-moving consumer goods (“FMCG's”)

–These are high volume, low unit value, fast repurchase
– Examples include: Ready meals; Baked Beans; Newspapers

• Consumer durables
– These have low volume but high unit value. Consumer durables are often further divided into:
–White goods (e.g. fridge-freezers; cookers; dishwashers; microwaves)
– Brown goods (e.g. DVD players; games consoles; personal computers)
•Soft goods
– Soft goods are similar to consumer durables, except that they wear out more quickly and therefore have
shorter replacement cycle
– Examples include clothes, shoes
• Services (e.g. hairdressing, dentists, childcare)

Industrial Markets
Industrial markets involve the sale of goods between businesses. These are goods that are not aimed directly
at consumers. Industrial markets include
• Selling finished goods
– Examples include office furniture, computer systems
• Selling raw materials or components
– Examples include steel, coal, gas, timber
• Selling services to businesses
– Examples include waste disposal, security, accounting & legal services
Industrial markets often require a slightly different marketing strategy and mix. In particular, a business may
have to focus on a relatively small number of potential buyers (e.g. the IT Director responsible for ordering
computer equipment in a multinational group). Whereas consumer marketing tends to be aimed at the mass
market (in some cases, many millions of potential customers), industrial marketing tends to be focused.

2. Explain the distribution channel for FMCG market?

SUPPLY CHAIN:

The supply chain of products in the FMCG market in India is one of the longest supply chains an industry
could really have. There are as many as 5 levels of intermediaries involved in the entire supply chain
through which a product passes before reaching the end consumer.

1. The products in this industry are transported from manufacturing units via c & f agencies(c&f means
carrying and forwarding agency...
Manufacturing or marketing companies kept their goods at one place and distribute them when the dealers or
Wholesalers or customers. for eg: hll has c&f in Hyderabad hll having dealers in all places in
andhrapradesh. when ever the dealers place the orders for goods the ordered good will supply from the
hyderabad c&f ... ) or warehouse to distributors who further sell the same to wholesalers or stockiest
who finally sell it to the retailers in the market.

2. These products are transported either via roadways or railways within the domestic markets and normally
don’t take more than a week to reach the retailers.

3. FMCG products are normally a high volume ball game and products have to essentially be available in the
market at all given points of time and at all given points of purchase and therefore the distribution activities
are highly volatile and dynamic.

(The supply of products takes place virtually on a daily basis in fixed quotas or otherwise, to retailers as per
their requisitions and the anticipation of demand and the performance of products in the recent past. All such
criteria are taken into consideration before the quantum of products being dispatched to the next level of
intermediary. Since it’s a volume game, manufacturers make all possible efforts to boost sales and promote
their distributors to earn more and more orders from the retailers and wholesalers. A close check is
maintained on the flow of the products on a daily, weekly, fortnightly and monthly basis to determine the
trend in the business and flow of products and consumption. This activity also helps to find out drawbacks
of the distribution system, if any, and rectify them within time.)

Group 4:- Consumer Durable

Q1--What are consumer durables? Explain Key demand drivers for consumer durables?

Good is defined as a physical (tangible) product, capable of being delivered to a purchaser and involves the
transfer of ownership from seller to customer.
Consumer Durable
Consumer durables are the products whose life expectancy is at least 3 years. These products are hard goods
that cannot be used up at once.
The consumer durables sector can be segmented into consumer electronics, such as, VCD/DVD, home
theatre, music players, color televisions (CTVs), etc. and white goods, such as, dish washers, air
conditioners, water heaters, washing machines, refrigerators, etc.
Demand drivers:
DEMAND/SUPPLY
Supply growth is high across all the segments. But the organized sector has gained substantial market share
from the unorganized segment in recent years. However, there are fewer players in segments like
dishwashers and vacuum cleaners.
Cyclical and seasonal. Demand is high during festive season and is generally dependent on good monsoons.
There are certain factors in the consumer durables industry, which are considered as demand drivers. They
are:
1.      The degree of distribution network in the market.
2.      The advertising and marketing strategy adopted by the players in the industry.
3.      The brand image of the product as perceived by the consumer.
4.      The technology used by the company viz. state-of-art technology or an older version.
5.      The ability of the company to introduce newer products and newer product features
6.      The capability of the company to service its products 'The discount schemes and consumer finance
facility available
7.      The market positioning of the product 
8.      The cost competitiveness and pricing strategy of the company
9. The financial strength of the players

“Accessory to Necessary” Air-conditioners are no longer perceived to be a item of luxury.

      Advancement of technology which gives the company’s ability to introduce new products and new
product features.
      High Growth. Key drivers being Urban and Rural.
Government Policies in favors of Industry includes infrastructure development, reduction in excise duty and
so on are some of the demand drivers for consumer durable industry.

Q2--Explain Buyers decision process & factors affecting buyers decision for consumer durable
products?

The buyer decision process consist of Five Stages-:

-Need recognition,
-Information search,
-Evaluation of alternatives,
-Purchase decision, and
-Post purchase behaviour.

Clearly the buying process starts long before actual purchase and continues long after. Marketer need to
focus on the entire buying process rather than on just the purchase decision.

1. NEED RECOGNITION- The first stage of the buyer decision process in which the consumer recognizes
a problem or need.
2. INFORMATION SEARCH- The stage of the buyer decision process in which the consumer is aroused
to search for more information; the consumer may simply have heightened attention or may go into active
information search.
3. EVALUATION OF ALTERNATIVES - The stage of the buyer decision process in which the consumer
uses information to evaluate alternative brands in the choice set.
4. PURCHASE DECISION- The stage of the buyer decision process in which the consumer actually buys
the product.
5. POST PURCHASE BEHAVIOUR-The stage of the buyer decision process in which the consumer take
further action after purchase based their satisfaction or dissatisfaction.As seen in the above figure and as
explained in the above points consumer buying Behavior is a five step process. This process starts with need
recognition and completes it’s loop with post purchase evaluation feedback to the consumer. It is an on
going process. It never stops even after the
purchase is happened. Consumers feedback may initiate the purchase decision of the other buyer. Hence it
becomes very important for the company to make the entire experience of the buying a memorable one for
the consumer. So, that he/she become self impose Brand ambassador for the product and endorse the product
in the market.

FACTORS AFFECTING CONSUMER BEHAVIOR

Consumer purchases are influenced strongly by cultural, social, personal, and psychological characteristics.
For most marketer cannot control such factors, but they must take them into account.

(a) CULTURAL FACTORS

Cultural factors exert the broadest and deepest influence on the consumer behavior the marketer needs to
understand the role played by the buyer’s culture, subculture, and social class.
-Culture- the set of basic values, perception, wants and behavior learned by the member of the society from
family and other important institutions.
-Subculture- a group of people with shared values system based on common life experiences and situations.
-Social class- relatively permanent and division in a society house members share a similar values,
interests, and behavior.

(b) SOCIAL FACTORS

A consumer’s behavior is influenced by social factors, such as the consumer’s small group, family and
social roles and status
Group- Two or more people who interact to accomplish individual or mutual goals.
Family- The family members (husband, wife, and children) can strongly influence buyer behavior
Role and Status- Role consist of the activities people are expected to perform according to the persons
around them. Status reflects the general esteem given to it by the society. People often choose the products
that show their status in the society.

(c) PERSONAL FACTORs

A buyer decision also are influenced by personal characteristics such as the buyer’s age life style, and life
cycle stage, occupation ,economic situation , lifestyle , and personality and self concept.
- Age and Life cycle stage- People change the goods and services they buy over their lifetime. Tastes of the
people undergo change with their age.
- Family life cycle- the stages through which families might pass as they mature over time.
- Occupation – A person’s occupation also affect the goods and services they bought
- Life Style- A person’s pattern of living as expressed in his/her activities, interest, and opinion.
- Personality-A person’s distinguishing psychological characteristics that lead to relatively consistent and
lasting responses to his or her own environment.

(d) PSYCHOLOGICAL FACTORS

A person’s buying choices are influenced by four major psychological factors: motivation, perception,
learning, and beliefs and attitudes.
(i) Motivation- A need that is sufficiently pressing to direct the person to seek satisfaction of the need.
(ii) Perception- The process by which people select, organize, and interpret information to form a
meaningful picture of the world.
(iii) Learning- Changes in the individual’s behavior arising from experience.
(iv) Beliefs and Attitude- Belief is a descriptive thought a person hold about something. Attitude is a
person’s consistently favorable or unfavorable evaluation, feelings, and tendencies towards an object or idea.

Q3--Define Consumer Durables and explain marketing strategies which you will apply effectively for
any consumer durable product of your choice?

Good is defined as a physical (tangible) product, capable of being delivered to a purchaser and involves the
transfer of ownership from seller to customer.
Consumer Durable
Consumer durables are the products whose life expectancy is at least 3 years. These products are hard goods
that cannot be used up at once. The consumer durables sector can be segmented into consumer electronics,
such as, VCD/DVD, home theatre, music players, color televisions (CTVs), etc. and white goods, such as,
dish washers, air conditioners, water heaters, washing machines, refrigerators, etc.

Marketing Strategy:
More focus will be given on launch of new technologies in consumer electronic and home appliances
through advertising and promotion. Product localization.(advertisement in local language for each state)The
Website link provides the customer the opportunity to view information on the product, as well as complete
any questionnaires, and contact in order to provide feedback. Exhibitions are conducted from time to time.
Hoarding, Posters, banners are used so as to grab the attention of the costumers. Day to day advertisement in
leading newspaper.
Creation of separate brand image.
Distribution:
Divide dealer in gold silver etc. category to know the performance of the dealers. For dealer relationship
arrange dealer meeting at several time in the year. Keep sales persons at various sub dealer store and at
mordent trade store for particularly for the promotion of the product.

Group 7:- Retail Management

Q1--What is retail management? Explain the formats of retailing?

Retail is defined as first point of customer contact. It means selling the finished product to final consumer.
Traditional Formats :Haats ,Melas ,Mandis etc.
Established formats:Kirana shops,Convenience/department storesPDS/ fair price shopsPan/ Beedi shops
EmergingFormats:Exclusive retail outlets,Hypermarket /Specialty Stores, Multiplexes Fast food outlets,
Service galleries

The Indian retail industry accounts for 10% of the GDP and 8% of employment.The sheer size of the
population demands attention from retailers worldwide and the potential for growth in this nascent industry
is tremendous. India is rated ahead of China on the Foreign Direct Investment Confidence Index (FDICI)
making it an attractive retail market among other emerging economies in the world.

Major retail players in India

 K. Raheja Corp. Group of Companies (Shoppers Stop)
 Future Group (Pantaloons, Big Bazaar)
 Tata Group (Westside, Titan, Tanishq, Croma)
 Disney Artist Stores
 Vishal Group

Retailing formats in India

There are two types of retailing formats: -
1) Store form of retailing
2) Non-store Form of Retailing

STORE FORM OF RETAILING

Store retailing is the traditional form of retailing wherein a customer physically goes to the store to buy
goods or services. Some of the types of store retailing are:
a)--MALLS
Most malls give floor space out to individual shops on lease, and these are enticed by the economies
resulting from the sharing of costs. India's largest shopping arcade Spencer Plaza (600,000-sq-ft) in Chennai
is an example. In malls like these, the combined brand pull of all outlets is used to create a pull for the mall.
Spencer Plaza is one of Chennai's finest & largest shopping mall and covers over a million square feet. In
Spencer Plaza complex, leading names like food world, music world, health & glow, vummidiars, van
heusen, proline, arrow, American express, Allen solly besides a lot of retailers dealing with Jewellery,
domestic appliances, leather goods and handicrafts are housed
 
In Spencer Plaza other comforts like central air-conditioning, smooth-moving escalators to the first and
second floors, glass capsule lifts to all the seven floors, well-lit atriums, info-desks are available.
 
The shopping area spreads across ground, first and second floors. Office units are spread between fourth and
seventh floors. An exclusive car park is located partially in the second floor, and fully in the third floor.
 
 
b)--BRANDED STORES
Exclusive showrooms run by premium brands have been the catalysts in pushing up the Indian retail
scenario. This concept is now being used to introduce organized retailing to the second rung towns. Madura
Garments has started setting up exclusive outlets in cities like Trichy and Thanjavur.
 
Madura Garments, IRIL's garments division, is a market leader in branded apparel. It offers a wide range of
ready-to-wear clothes to cater to every market segment. Its power brands are Van Heusen, Louis Philippe
and Allen Solly. Its popular brand is Peter England, and its youth brand is San Frisco.
Madura Garments' key brands include:
  Louis Philippe's range of superbly crafted garments makes an exclusive fashion statement that is accepted
as a status symbol, recognised by its distinctive icon - 'The Upper Crest'.
 
  Van Heusen has redefined corporate attire through continuous product innovation and exclusive
collections. "Van Heusen has redefined the way clothes are looked at in India. They are not just about looks.
Today technology allows scientists to enhance fabric with treatment, microprocessors and sensors; this in
turn opens up a whole world of possibilities. The new fabric development technology is being introduced for
the first time in the country through Van Heusen.
 
  Allen Solly popularised the Friday dressing concept in India. It has won the IFA Images 2001 'Best Brand
Award' in the readymade men's wear apparel category. With the launch of its women's wear in December
2001, Allen Solly has made a successful foray into the growing women's work and casual wear market.
 
Peter England
This mid-segment shirt has effectively penetrated the mini metros. It has won several awards, including
'Shirt of the Year 2000' and 'India's most admired men’s wear brands 2001'.
 
Positioned as the 'bad boy of denim' with a slew of radically different designs and fits, SF Jeans is targeted at
the 18 to 21-year-old youth. SF Jeans are available in multiple styles such as the 'Oil and Grease Collection'
– a line of denim that takes its inspiration from the garage mechanic's overalls – and the 'Permanently
Creased Collection' – which has wrinkles and creases that normally appear after years of wear. These jeans
are available in boot cut, low waist and belt less frayed styles.
 
c)--DEPARTMENTAL STORES
Departmental Stores are expected to take over the apparel business from exclusive brand showrooms.
Among these, the biggest success is K. Raheja's Shoppers Stop, which started in Mumbai and now has more
than seven large stores (over 30,000 sq. ft) across India and even has its own in store brand for clothes called
Stop!
The foundation of Shoppers' Stop was laid on October 27, 1991 by the K. Raheja Corp. group of companies.
Being amongst India's biggest hospitality and real estate players, the Group crossed yet another milestone
with its lifestyle venture - Shoppers' Stop.
 
From its inception, Shoppers' Stop has progressed from being a single brand shop to becoming a Fashion &
Lifestyle store for the family. Today, Shoppers' Stop is a household name, known for its superior quality
products, services and above all, for providing a complete shopping experience.
 
With an immense amount of expertise and credibility, Shoppers’ Stop has become the highest benchmark for
the Indian retail industry. In fact, the company’s continuing expansion plans aim to help Shoppers’ Stop
meet the challenges of the retail industry in an even better manner than it does today.
 
d)--SPECIALITY STORES
Chains such as the Bangalore based Kids Kemp, the Mumbai books retailer Crossword, RPG's Music World
and the Times Group's music chain Planet M, are focusing on specific market segments and have established
themselves strongly in their sectors.
 
Absence of discounting as a dominant format of retailing in India is a glaring peculiarity. The reasons are
two-fold. Unlike most Western countries, Indian retailers have much less bargaining power. They thrive as
small store and don't have the clout to negotiate terms with the manufacturers.
 
The other reason is that the retailers themselves have no economies of scale to offer discounts on their own.
However, the scenario is now changing. Increased investments and the entry of big business houses in
retailing is leading to the emergence of bigger retailers, who can both bargain with the suppliers, as well as,
reap economies of scale. Hence, discounting is becoming an accepted practice.
 
PLANET M
 
  e)--DISCOUNT STORES
A discount store sells products at a lower price by reducing its own margins. This type of stores target high
volumes to ensure profitability.
 
Big bazaar is the company’s foray into the world of hypermarket discount stores, the first of its kind in
India. Price and the wide array of products are the USP’s in Big Bazaar. Close to two lakh products are
available under one roof at prices lower by 2 to 60 per cent over the corresponding market prices.
 
The high quality of service, good ambience, implicit guarantees and continuous discount programmes has
helped in changing the face of the Indian retailing industry. A leading foreign broking house compared the
rush at Big Bazaar to that of a local suburban train.
 
 
f)--SUPERMARKETS
These are similar to department stores but with a focus on food and household maintenance products. This is
more of a self-service operation wherein a customer just goes and picks what he wants.Food Bazaar’s core
concept is to create a blend of a typical Indian Bazaar and International supermarket atmosphere with the
objective of giving the customer all the advantages of Quality, Range and Price associated with large format
stores and also the comfort to See, Touch and Feel the products.
 
The company has recently launched an aggressive private label programme with its own brands of tea, salt,
spices, pulses, jams, ketchups etc. With unbeatable prices and vast variety (there are 42 varieties of rice on
sale), Food Bazaar has proved to be a hit with customers all over the country.
 
NON-STORES KIND OF RETAILING
a)--DIRECT SELLING
This is a scenario in which a sales person goes from door to door or from office to office and meets the
customer directly to close a sale. A very good example is that of vacuum cleaners, wherein a representative
goes to the homes of a customer at their convenience and demonstrates the utility of his products so that the
customer can make a purchase decision based on the performance of the vacuum cleaner.
 
b)-DIRECT MARKETING
This is a scenario in which instead of directly visiting the customer, product information is supplied through
other sources. These include sending mails, providing information over the telephone (also called as
Telemarketing) and other media.
 
c)--TELEVISION SHOPPING
Today, television has become more popular means of selling products. Various channels have teleshopping
programs through which marketers demonstrate the usability of the products. The customer can then order
the product through e-mail, Internet or the telephone.
 
d)--CATALOGUING
In this a booklet enlisting all the products on offer is sent to the customer. Based on the information
provided, the customer can then make his buying decision and order it via the telephone, emails the Internet.
 
e)--NET MARKETING
This is the latest trend in marketing. Here the products are detailed on the website of the retailer and the
customer can order it right way with the help of a few mouse clicks. The other electronic tool that is used is
the email facility. E-Mailers are sent to prospective customers by providing the details of the products. This
medium is also used to provide information about new products to existing customers.

Q2--What is retail mix?

Retail mix—refer ppt

1--Merchandising – means having the right product in the right quantity at the right place in the right time at
the right price.
Factors affecting the merchandising function:
1. Size of the organization.
2. Merchandise to be carried.
3. Types of stores.
4. Organization structure

2--Pricing is one of the factor which is the source of revenue for the retailer.

3--Locating the retail store in the right place is considered adequate for success

4—promotion
 Advertising
 Sales Promotion
 Public Relations
 Personal Selling

5--Visual merchandising can be termed as the orderly, systematic, logical & intelligent way of putting stock
on the floor.
Methods of display:
Color dominance
Co-ordinated presentation
Presentation by price

6--Customers assessment:
Appearance of store
Display
Appearance of sales people
Providing individual attention
Recognizing regular customers
Honoring commitments
Trustworthiness of sales staff
Guarantee/warranty provided
Return policy
Friendliness
Respect
Interest shown
Explanation of services and cost
Communications re: special offers
Assurance re: problem solving
Convenient location
Shopping hours
Access to manager
Knowledge of skills and employees
Returning customer calls
Giving prompt service
Accuracy in billing
Performing service as promised

7--The people who deal with costumer at one-to-one level are consider the face of organization.
This function in retail involves:
1. Identifying various roles in organization.
2. Recruiting people with the right attitude to fit the jobs.
3. Training
4. Motivating employees
5. Evaluating employee performance

Group 8:- Internet marketing

1) What is internet marketing? Explain different types of internet marketing with example? [atleast 3
types]
Internet marketing, also referred to as i-marketing, web-marketing, online-marketing, Search
Engine Marketing (SEM) or e-Marketing, is the marketing of products or services over the
Internet

The Internet has brought media to a global audience. The interactive nature of Internet marketing in
terms of providing instant response and eliciting responses, is a unique quality of the medium.
Internet marketing is sometimes considered to have a broader scope because it not only refers to the
Internet, e-mail, and wireless media, but it includes management of digital customer data and
electronic customer relationship management (ECRM) systems.

Types of IM

1. PPC - Pay Per Click programs allow you to create an ad that is linked to a keyword(s). You can
create as many ads as you want. Google and Yahoo both have pay per click programs. If you aren't
familiar with PPC programs, you choose what you are willing to pay per click. The more you pay per
click the higher in the search engines your ad will appears. The rate per click can be anywhere from
pennies per click to hundreds of dollars per click.

2. SEO - Search engine optimization is a good way to increase the amount of traffic your site gets. In
fact, it's a fundamental internet marketing technique. When you SEO your site you will remove all
the things that stand in the way of traffic reaching your site. This includes excessive code that the
search engines don't like. It also includes having plenty of relevant keywords and then optimize your
site pages around those keywords. Each page can be optimized to different keywords.

3. Banner Ads - These ads contain graphics that are colorful, animated, and catchy that will appear
across the top or bottom of the web page. There are also vertical ads called sky scrapers which
appear either on the right or left side of the page. Whichever type of ad appears on the page these ads
will link to another website. In this case the other website is yours. Avoid animated ads. Statistically
they are not as effective as ads that are just catchy without motion.

4. Google AdSense - With this program you'll have ads of other websites appear on your site. Each
time one of these ads is clicked you'll make money. How much varies depending on the keyword
associated with the ad. You can block out your competitors so they don't appear on your site. The
 flip to this is when you purchase ads which will appear on other websites creating a link back to your
site and improving your search engine ranking. These ads are not annoying like some styles like
popups. In fact, they can be very effective at generating targeted traffic.

5. Online Magazines - You buy ad space for a fee much like you would for a print magazine. The fee
depends on how much traffic the magazine generates. You can do an excellent job of targeting your
ads to your desired market.

2) What are Opportunities and Challenges of Internet Marketing?

ADVANTAGES AND CHALLENGES IN IM:

The term online marketing is one that is simply used to define marketing on the internet. There are
other related terms such as e-marketing and e-commerce that are often used as synonyms, too.

Online marketing is a very dynamic, fast changing field, and there are many advantages and
challenges to marketing on the internet.

One of the great advantages of online marketing involves search engines. Only with search engine
marketing can you promote your product or service directly to people who are actively looking for it!

Another advantage of online marketing is that it allows you to easily track advertising, promotion,
and sales. This means several things. First of all, you can easily moniter your advertising and focus
your efforts on the most effective. Secondly, you can easily identify and target specific markets
individually, resulting in more effective marketing.

Another advantage to companies is that they are capable of offering bonus offers for purchases made
online as they spend less overall on their marketing. They also use e-newsletters to get new
customers and to keep old customers informed and updated on new products and thereby retain their
customer base. E-newsletters are much less expensive that traditional newsletters.

Another important aspect of online marketing is ensuring that the customer is always satisfied. This
can be a great disadvantage in terms of online marketing as there is no in person to person interaction
and this can be a serious disadvantage. It is crucial to keep customers coming back. It is often
difficult to facilitate excellent customer communication via the internet, so often you will need to
utilize offline methods to achieve greater customer satisfaction.

Online marketing is a great opportunity for most businesses. It is possible to start online marketing
with simple search engine advertisements and grow from there to other concepts such as funnel
construction, buzz marketing and cool tools. However, it is important to note that there is a lot of
competition on the internet already and you will have to continue to be up-to-date with your
information, services and products.