COMPANY INFORMATION

Company Name: Poshaaki

Company Address: IIMJ incubation centre
Company Website: www.poshaaki.iimj.ac.in
Company Email: poshaaki@iimj.ac.in
 MARKETING PLAN/ MARKET STRATEGY

A. Executive summary

We are merchandising untapped GI tag Bhagalpuri silk also known as Tassar silk.
Bhagalpur silk is a silk sari made in Bhagalpur, India. In Bhagalpur, where the
Tussar silk weaving industry is more than a century old, approximately 30,000
handloom weavers operate approximately 25,000 handlooms. The total value of
annual trade is approximately Rs. 100 crores (one billion), with exports accounting
for approximately 50 per cent. Bhagalpuri Silk is a combination of royal designs
and extreme softness and lightness, which is why it is known as the Queen of
fabrics. They have a sophisticated and cosy appearance and are made of vibrant
and varied hues. Natural dyes are used to create Bhagalpuri silk, which is
completely eco-friendly and kills a few worms in the process. It has become so
popular that it has been worn in international fashion shows in countries such as
London, which is considered the fashion capital of every citizen, thereby
increasing the demand for this embroidered fabric. Due to the variety of products
and styles available, Bhagalpuri silk dresses can be worn for casual, formal, and
ethnic occasions.

B. Environmental analysis

Marketing Environmental Analysis is a strategic analysis tool to understand the

external local, national or international forces that might affect our business. This
process helps to identify those internal and external factors of the environment in
detail which will affect our organization’s ability to work properly. In the
environmental analysis, we assess the business's external environment to find out
threats and opportunities. We need to build the company's culture, structure and
policies in such a way that it deals with the external environment that affects and
further lead to the success of the business. The current business market change is
very rapid and it's almost impossible to control each factor so our marketing
strategies should be in such a manner that it reduces the associated risk.
In Environmental analysis we are doing the following analysis:

1. PESTEL Analysis
Political Factors
Political factors are a set of government regulations that provide guidelines for
business operations. As we are involved in exports both national politics as well as
International politics affect our business environment.
● We are targeting to export our products to unexplored East Asian markets
which can come under Government’s look east policy.
● Our Government is focussed on increasing export and for that government is
coming up with PLI schemes subsidy, these policies will also help us to set
up our business.
● The government provide tax exemption under LUT schemes for the export
of goods.
● The government is also providing tax exemptions for earlier stages of
Start-up.

Economic Factors

Economic factors include all the important data of both the market and the
economy. While doing marketing environment analysis we don't need to consider
all economic factors but those which can affect negatively and positively. It will
also help us to plan business financial strategies and save time and resources.

● Credit availability: Indian government is now helping aspiring Entrepreneurs

to set up their own business initiative and for that government came up with
a mudra scheme.
● Labor cost: In India, there is the availability of cheap labour due to which
our manufacturing cost will be low.
● Fiscal and monetary policy: The government’s policy is towards making
India an export economy.
● Exchange rate: Currency depreciation will favour Exports and it will lead to
an increase in our revenue.
Social Factors

While planning business strategy we need to consider societal changes over time,
what is the mindset of communities nationally and internationally?

● Income level: Our target market is the upper middle class, upper class and
bureaucrats.
● Buying behaviour: After the pandemic now people are more focussed on the
enhancement of their lifestyle, as well as east Asian people like to purchase
clothes whatever they like.
● Disposable income level: Due to low-interest rates on saving accounts and
increased minimum token of investment people have good money in hand to
spend.

Technological Factors

Over the years traditional businesses are disappearing and new businesses taking
over due to adopting innovative technologies. We are using an omnichannel
approach for sell of goods and digital marketing, and influencer marketing for its
promotion.

Legal factors

Legal factors affect businesses if not comply with all current and impending
regulations and legislation. Regulatory bodies are responsible to regulate the
business environment in a country. we must comply with these regulations
otherwise these regulations will affect businesses negatively. We need to follow
Consumer Protection laws, Employees Protection laws, Laws of Health and Safety
at the Workplace, and Product Regulations, Patent infringement.

Environmental Factors

Our products are purely organic in nature and we use organic processes for
finishing our products. For packaging, we are using jute bags in this way we are
targeting environmentally conscious customers.
2. Industry Analysis / Overview

Industry analysis is a market assessment tool used to understand the competitive

dynamics of an industry. It helps us to get a sense of what is happening in an
industry, e.g., demand-supply statistics, degree of competition within the industry,
state of competition of the industry with other emerging industries, and future
prospects of the industry.

One of the most famous models ever developed for industry analysis, famously
known as Porter’s 5 Forces, was introduced by Michael Porter. According to
Porter, analysis of the five forces gives an accurate impression of the industry and
makes analysis easier.

1. Intensity of industry rivalry: Too high.

2. Threat of potential entrants: High
3. Bargaining power of suppliers: Low
4. Bargaining power of buyers: Low
5. The threat of substitute goods/services: Low
3. Company Background / SWOT ANALYSIS

Our company is a new firm focussed on sale of handcrafted and organic painted
Madhubani print shawls.

Strength:
● Products are of organic origin.
● Our products can be customised on customer request.
● Identified target market.
● GI products.

Weakness:
● Lack of exposure and experience,
● High cost compared to artificial fabrics.
● Labour-intensive work as it needs handcraft embroidery.

Opportunity
● Increase in popularity of Indian culture, festivals and yoga which also
promote our product as it is related to it.
● Support from Government.
● Handcrafted and embroidered products demand are increasing with time as
the disposable income of the middle class is increasing.

Threats
● Currency exchange rate.
● Export regulations.
● Rise in K-Pop culture.

4. Current marketing objectives and performance:

Our marketing strategy is focused towards both increasing the popularity of Indian
culture as well as converting this popularity into our successful Business model to
sell our products.
5. Competitor Analysis :

There are both famous traditional brands in the market like fab India, Biba, W and
local sellers. Traditional brands are too costly to afford and they don't provide
customisation whereas there is no assurance of quality local sellers. So we are
focussed on fulfilling this gap. Placing our products as customisable as per demand
but at a cheaper rate than traditional brands.

C. Market research:

1. Need analysis of the product / service

According to Statista, the ethnicwear market in India was worth approximately Rs.
925 billion in 2018 and is expected to grow to a whopping Rs. 1.7 trillion by 2023.
This is primarily due to India's recession-proof wedding industry, special
occasions, traditional festivals, and office clothing/workwear.Ethnicwear is the
most popular outfit among women aged 16 to 50.

According to reports, organized ethnicwear penetration is expected to reach 33%

by 2020, driven by brands such as Biba, W, Soch, and Fabindia, among many other
established and emerging labels.

People from Tier 2 and Tier 3 cities have long traveled to metro retail hubs to shop,
especially during the holiday and wedding seasons. As social media influence
grows, the demand for higher-quality products and current fashion trends grows,
and it is clear that there is great potential in these markets.
2. Demand estimation of the product
D. Competitive marketing strategy for market penetration

1. Description of Company Mission and Vision

MISSION

The mission of Poshaki is to empower women from less privileged backgrounds to

gain new skills, provide them self-confidence and self-esteem necessary to earn
money through their own hard work and initiative, and the ability to take these
newly discovered skills and confidence out into the wider world. Poshaki is aware
of the diverse cultural practises and customs in which these rural communities are
engaged. The company converts this legacy into products by integrating traditional
artwork with contemporary designs and current manufacturing techniques.

VISION

Poshaki continues to progress toward realizing its vision of becoming a brand that
empowers women living in rural and semi-urban areas while recognising and
boosting local handicraft techniques that are at risk of being lost as a result of
increasing industrial development and rapid urbanization.

Through its one-of-a-kind designs and Madhubani prints, Poshaki aims to

familiarize clients worldwide with India’s cultural tenets and practices. It not only
assists its artisans in becoming wage earners, but it also raises awareness about the
traditional crafts of the region, so assisting in the preservation of a significant
portion of India's national cultural heritage.
2. Segmentation

Product End User-Women with ethnic taste in fashion

Geographical Segmentation:

● East Asian countries (Japan, Macau, Hong Kong, Mongolia, North Korea,
South Korea)

Demographic Segmentation:

● Income- Upper class and Upper-middle class

● Age-18 to 50 years

Behavioral Segmentation:

● Attendees of Cultural events

● Classical Dancers

Psychographic Segmentation:

● Early adopters of fashion

● Influenced by ISKCON culture