Word Report

DUSTO
MARKETING PLAN

Amna Saeed

Eishma Haroon

Ayesha Malik

Ali Ahmad Saeed

Abdul Nafay Rasheed

Shahzaib Shahjahan

Lahore School of Economics

Principles of Marketing

Ms. Namra Nadeem

December 2nd, 2021

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TABLE OF CONTENTS

EXECUTIVE SUMMARY..............................................................................................................2
BUSINESS IDEA............................................................................................................................3
MARKETING ENVIRONMENT ANALYSIS...............................................................................4
MARKETING STRATEGY...........................................................................................................10
MARKETING MIX.......................................................................................................................12
SWOT ANALYSIS........................................................................................................................19
REFERENCES...............................................................................................................................21

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EXECUTIVE SUMMARY
Dusto is a robot operated vacuum cleaner, carefully designed to help the customers in

keeping their place clean and tidy. It is a fully automated system, that will ensure a

hassle-free life for our customers, wherein allowing them to divert their focus on other

vital tasks. In addition to this, Dusto has an instant charging system as well as its own

self-dumping system. Also, it is easily adaptable to different surfaces. Moreover, it is

portable, and voice operated, therefore making it easier for the customer to efficiently use

the machine for house chores.

Through the marketing environment analysis, it was identified that there are

several mass known brands, such as Samsung, LG, Philips etc., and niche brands, such as

iRobot, ECOVACS, Neato, Shark etc., all of which are the potential competitors of

Dusto. With the help of positioning map, the consumer’s perception of all these brands

was displayed, indicating that majority of the brands are offering limited features of the

product at low price, or many features with high price. This is how we tend to

differentiate Dusto from its competitors, for we are offering a great number of features at

a considerably low price.

The market will be segmented based on geographic, demographic, and

psychographic factors. Initially, we aim to target the regions of Lahore, Karachi, and

Islamabad. Our targeted population is those belong to the upper class and upper middle

class. Concentrated marketing strategy will be adopted, as Dusto will focus on a small

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segment of the large consumer market. Moreover, we aim to differentiate Dusto through

product, service, and channel differentiation.

BUSINESS IDEA
“A super advantageous vacuum that completes the work for you. It’s amazing
features trap residue and irritants, and lets you relax.”

The product we are offering in the market of Pakistan is a robotic vacuum cleaner with

the brand name “Dusto”. Dusto is basically a round tire shaped robot which will work by

itself without needing anyone to control it. Now we all that know that cleaning can be

done by anyone themselves but with time, lives of the people are becoming busier, and

they have less time. Therefore, Dusto will fulfill the demand of our customers by doing

all the household cleaning for them so that they can focus on more important tasks. Dusto

will roam around and clean the room and then return to its charging dock by itself. Also,

one of the key features to note is that its portable size will allow it to go to the spots

which are difficult to reach otherwise, such as under the furniture. Along with the

minimalistic design, Dusto will also be produced from good quality materials in order to

make sure that the product is tough enough to stand any fall or collision with anything.

The materials used will be recycled to protect the environment as there are rising

concerns of global warming. Dusto is not just a normal vacuum cleaner which will only

pick up the dust from the surface it roams on. In fact, our robotic cleaner will also be able

to clean off any stains from the floor, as there will be a half liter water tank installed in

the vacuum, and with the help of its high-tech sensors, Dusto will be able to detect any

stains and will spray some water and wipe it with the sweepers before moving on.

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Moreover, we will also launch an app on the Apple App Store and Google Play Store for

Dusto, through which the robot’s owner will be able to choose from and select multiple

options as per the requirement, such as which mode to use, auto start and stop, and check

battery levels. Along with all this, they will even get an alert when the vacuum is filled

up. The app will be user friendly and easy to use for the convenience of the user.

Objectives:

 To save people’s time and energy, that they would have to spend otherwise doing

household chores.

 To reduce everyday costs of cleaning supplies

 To ensure a user-friendly operating system that would make cleaning easier and

more convenient.

The industry that Dusto will be introduced in is the household appliances industry and

the competition will be mainly the vacuum cleaners’ brands. Some notable vacuum

cleaner brands in Pakistan include Dyson, Samsung, LG, FMart and Xiaomi. However,

Dusto will be the first ever Pakistan’s own produced robotic vacuum cleaner and this will

open a new segment in the vacuum cleaner industry as till now the robotic vacuums were

being imported.

MARKETING ENVIRONMENT ANALYSIS

Mass known brands:

Premium priced:

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Samsung:

Samsung, a South Korean multinational company, is one of the worlds largest producer

of electronics- both consumer and industrial. In its consumer electronics category it offers

mobile, TV, home appliances etc. in Pakistan. Samsung Powerbot is equipped with

visionary mapping, fullview sensors, suction power of 5.9W, and dust holding capacity of

0.7L. A variety of models are available in this series with prices ranging from PKR

134,000 to 240,000.

LG:

LG corporation is a South Korean brand that manufactures a wide range of consumer

electronics such as home appliances, mobiles, tablets, televisions etc. LG HOM-BOT

Turbo+ Robotic vacuum cleaner offers multiple cleaning modes, a runtime of about 100

minutes, and is equipped with a dual eye 2.0 mapping system. Additionally, it can be

operated through either voice control or remote and is designed to automatically return to

its charging station when required. It is available in Pakistan for around PKR 199,400.

Mid-to-low priced:

Philips:

Philips, headquartered in the Netherlands, is a technology company operating in the

healthcare, lighting, and consumer lifestyle markets. Philips SmartPro Easy Robot

vacuum cleaner features a slim design with multiple cleaning modes for both hardfloor

and carpeted areas, a maximum suction power of 600 Pa, 0.4L dust holding capacity, and

a runtime of about 105 minutes. It is available in Pakistan for around PKR 60,000.

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TCL:

Telephone communication limited (TCL) is a Chinese electronics company that offers a

wide range of electrical appliances such as television sets, washing machines, mobile

phones, small appliances etc. The company recently launched its autonomous smart

vacuum cleaner ‘Sweeva 2000’ in Pakistan. The product is equipped with 4 cleaning

modes, a suction power of 2000Pa, and a runtime of more than 150 minutes. Sweeva

2000 is priced at around PKR 33,000.

Niche Brands:

iRobot:

iRobot, based in the United States of America, is a manufacturer of consumer robots. Its

robot vacuum series ‘Roomba’ offers a wide variety of models with distinctive features.

Roomba features Imprint® smart mapping, PrecisionVision navigation, as well as self-

emptying and auto-charging functions. iRobot vacuum cleaners are available at a price

range of PKR 74,000 – 420,000.

ECOVACS:

The Chinese company, ECOVACS, manufactures domestic robot appliances. ECOVACS

‘Deebot’ offers a range of options in robot vacuum and mopping. Its features include

self-charging, smart navigation, app-controlled, 520ml dust holding capacity, and a

runtime of around 110 minutes. Deebot is available in Pakistan at a price range of PKR

70,700 – 192,000.

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Neato:

Neato Robotics, based in California (USA), is known for its line of robotic vacuum

cleaners. Neato Botvac models use LaserSmart Mapping and Navigation, offer four

cleaning modes, has a dust holding capacity of 0.7 litres, and a runtime of 120 minutes.

The Botvac range is available in Pakistan at a price range of PKR 105,600 – 183,000.

Shark:

Based in the USA, Shark® is a pioneer in small appliances and cleaning solutions

industry. Its robot vacuum cleaner range features a self-emptying base, app and voice

control, WiFi connectivity, and home mapping. It is available in Pakistan at a price range

of PKR 92,400 – 160,700.

Dyson:

Dyson Limited is a UK-based household appliances manufacturing company. Dyson

robot vacuum offers a 360° navigation system, three power modes, app control, and a

runtime of about 75 minutes. Dyson 360 Heurist robot vacuum is available in Pakistan

for PKR 240,199.

Wyze Labs:

Wyze Labs Inc., based in Washington (USA), specializes in smart home products and

wireless cameras. Wyze lidar robot vacuum offers efficient room mapping using LIDAR

sensor, 7 sensor groups to avoid obstacles, and is self-charging. It is available in Pakistan

for PKR 71,399.

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Ingco:

Ingco company is based in China and is a manufacturer of tools. Its robot vacuums

feature a scheduled cleaning route and a runtime of 50-70 minutes. Ingco vacuum

cleaners and available in Pakistan at a price of PKR 25,500 (random style) and PKR

40,000 (gyroscope style).

Xiaomi:

Xiaomi Inc. is a Chinese manufacturer of consumer electronics. Its robot vacuum offers

vacuum, mopping, and scrubbing functions as well as a suction power of 2200Pa, WiFi

connectivity, app and remote control, and a runtime of around 90 minutes. Xiaomi Mi

robot vacuum is available in Pakistan for PKR 30,000.

Fmart:

Fmart robot vacuum features a self-charging function and is suitable for both carpeted

and hard floors. Fmart R770 is available in Pakistan for around PKR 17,000.

PEST Analysis:

 Price of components subject to exchange rate and international price volatility.

 Custom Duties on imported components increase manufacturing costs.

 Freight costs (for imported components) have increased nearly 6 times post

pandemic.

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 Rupee devaluation and supply chain disruptions post pandemic have also

contributed to this significant increase in transportation costs.

 Purchasing power has significantly decreased post pandemic, especially in third-

world countries such as Pakistan, due to worldwide inflation.

 Local manufacturing subject to availability of parts.

 Changing social lifestyle has prioritized convenience in everyday tasks.

Perceptual (Positioning) Map:

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MARKETING STRATEGY
Market Segmentation

The market is being segmented based on the following factors:

 Geographic

The consumer market of Pakistan is being divided based on the major cities of the

countries. These major cities are Lahore, Islamabad, Karachi, Faisalabad, Multan, and

Peshawar.

 Demographic

The consumer market is also being segmented on the basis of demographic factors. The

first factor is age. The age divisions are 21-40yrs, 41-60yrsand 60-100yrs. The next factor

used for the segmentation is the monthly income level. The segments are Rs.10,000–

50,000, Rs.50,001-100,000, Rs.100,001-300,000, 300,000 and above. Another factor

used for the segmentation is the lifecycle. The segments are working adults, married

adults (one spouse is working), married adults (both spouses are working).

 Psychographic

The consumer market is being segmented on the basis of social class levels as well. The

segments are upper class, upper-middle class, lower-middle class, and lower class.

Target Market

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Dusto is going to target the regions of Lahore, Islamabad, and Karachi. Moreover, the age

range is going to be 21-40, the income bracket is going to be Rs. 100,000 – Rs. 300,000.

The targeted social class for Dusto is upper class and upper middle class whereas the

targeted life cycle stage is married adults (both spouses are working).

Marketing Strategy

Since Dusto is a unique product of its kind being introduced in Pakistan for the very first

time, the concentrated marketing strategy will be therefore adopted. Dusto will be

primarily focusing on a small segment of the large consumer market. Dusto will be

focusing on the young working couples who prefer convenient and hassle-free life

without worrying about cleaning their place.

Value Proposition

The value proposition for Dusto is “Effortless cleaning of your place”. The type being

followed is ‘More benefits for less Price’.

Differentiation Strategy

Dusto is going to adopt the following differentiation strategies:

 Product Differentiation

The differentiation is going to be done by providing more features/ benefits to the

customer at a lower price than the competitors.

 Service Differentiation

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Dusto is also going to differentiate itself by providing after-sales services like warranty,

installation of scanners.

 Channel Differentiation

Dusto will also be pursuing the Channel Differentiation i.e. collaborating with retail

companies like Carrefour, Imtiaz Super Store, and Al-Fatah for the widespread

distribution.

MARKETING MIX

The marketing mix includes all the variables that go into marketing a product or service.

These variables are summarized as the four P’s.

Product

Our product which is known as Dusto, has a limited vacuum floor cleaning system

combined with sensors and robotic drives with programmable controllers and cleaning

routines. It is operated via a remote control. But it also has a self-driven mode which

allows the machine to clean surfaces without any human control. Our product has

incredible new features and award-winning technologies. The first thing that the

consumers will notice is the eye-catching design. From its huge size and strong

materials used, to its sleek shape and bold display, Dusto delivers radical change with

a magical feel. The tough quality of Dusto allows it to survive huge drops in order to

protect its hardware and the digital display. In addition, we will be using the best

quality of packaging for our product. We will be using the secondary packaging and in

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that we will be using the best quality of cardboard for the box of our product. In

addition to this, we will also be using the Selective distribution. In this, a few people

will be responsible for making a product available on a regional basis. It will be useful

to us as our product is expensive and not everybody can get a hand on it.

Price

Our price range for the product will be 50,000-60,000 PKR. There were various factors

in mind while deciding the price for our product. We used the Skimming pricing

strategy. In this pricing strategy, we set a high price for the product as there are a very

few companies that are selling a similar product as ours. So, we can set the price that is

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at our advantage and get the maximum profit out of it at the start. And later, when

there will be a good competition in the market, we can adjust the price accordingly.

Place

We will be introducing our product in the 3 most developed cities of Pakistan which

are Lahore, Karachi and Islamabad. After the recognition process of our product is

done, then we will introduce Dusto in other cities as well such as Peshawar, Multan,

Faisalabad, Sargodha etc. Since our initial investment in not very high, we will not be

opening a separate outlet for the product at the start but we might open outlets in the

future. We will be using the single level channel of distribution as in this method, the

product is passed down from the manufacturer to the retailer who then displays them in

the retail outlets and sells them to the final consumers. We will also be placing our

products at the most famous departmental stores such as Al-Fatah, Carrefour and

Imtiaz.

Promotion

Promotion refers to how the product will be advertised and promoted. We will be

using above the line promotion method. We will be creating a TVC in order to

promote our product. Along with this, we will also be running ads on radios and

putting up our product on billboards at the most famous spots in the respective city.

Logo:

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The logo of our brand is given below. It shows a house that has a pretty neat look

which indicates how our product will help you to keep your houses neat and clean and

then there is the name of our brand ‘Dusto’.

Print and Social Media advertisements

Our print advertisements are shown below:

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For social media advertisements, we created our official Instagram and Facebook page

which will help our customers to interact with us easily and to stay tuned.

The links to our pages are below:

Instagram: https://www.instagram.com/official.dusto/

Facebook: https://www.facebook.com/dustoofficiall/

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Instagram page:

Facebook page:

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Digital Marketing plans

For digital marketing, we will make proper video advertisements which will not only

attract more buyers, but it will also help customers to know more about the product

and its feature. We will pay TV channels to run our advertisements on their channels.

We will sponsor social influencers to promote our product on their platforms. We will

boost our Instagram and Facebook posts to get more audience. We will also do email

marketing by sending promotional content to our clients through emails.

SWOT ANALYSIS
We shall also conduct a SWOT analysis, by which we will be able to evaluate our

product’s overall strengths (S), weaknesses (W), opportunities (O), and threats (T),

wherein strengths and weaknesses are the internal aspects, and opportunities and threats

are external.

STRENGTHS WEAKNESSES
 Physical assets –  Very expensive
advanced  Low budget
technology  Quality issue
 Automated  Harmful
 Voice operated
 Competitive edge
 Small size
 Fast charging

OPPORTUNITIES THREATS
 New innovations  Hindrance while

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 Behavioral importing
segmentation -  Uncertain
benefits sought consumer
 Market behavior
penetration easier  Competitors

SWOT

 STRENGTHS

Our strengths include physical assets, that is, in terms of new technological advancement

in the cleaning equipment. Moreover, our product is fully automated, and voice operated

– it can clean automatically without the need of us doing it, and it can be directed by us to

do all the household cleaning. We also have a competitive edge in the market because

there are no other household supplies’ companies that offer robotic vacuums that could

potentially offer the same level of features that our product has to offer. It has a small

size, thus making it easier to store it anywhere, unlike the typical huge size vacuum

cleaner. Also it has a fast charging system which makes its usage more convenient and

accessible.

 WEAKNESSES

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This product will be quite expensive, also considering how we are planning to use price

skimming strategy, so not everyone will be able to afford it. Also, low budget will be an

issue. Due to lack of resources, we may not be able to live up to our value proposition.

Customer may become disappointed after purchasing our product. Quality could be an

issue considering that we have to import these robot vacuums. Moreover, it may harm

small things such as babies and pets, or even cause damage to delicate items in the house.

 OPPORTUNITIES

With the introduction of innovative technology in our product, it will be a great source of

attraction for people who are busy in their lives and do not get time to maintain their

homes well. Also, since we have targeted over behavioral segmentation, we have fully

recognized the benefits sought by the consumers in the market, and attempted to fulfill all

their demands and needs. With this new era of tech savvies in our society our product

will instantly replace the age-old vacuum cleaners in the market.

 THREATS

As we are importing these products, there may be disruption in the communication

channel and damage to the product since it is fragile. Also, we are not sure, yet, that

whether our product will be a big hit in the market for cleaning supplies. This is because

the demand for vacuum is already very low in the market, so there is no guarantee if

customers would like to purchase our product. Another major threat is from the

competitors in the market.

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REFERENCES
Robotic Vacuum Cleaners Price in Pakistan | iShopping.pk

https://www.tejar.pk/home-office/vacuum-parts/robotic-vacuums

https://www.daraz.pk/vacuum-cleaners/?q=ingco+vacuum&from=input

Xiaomi Mi Robot Vacuum Cleaner - Xiaomi Store Pakistan

Vacuum Cleaner Sweeva (tclpakistan.com)

PowerPoint Presentation (pacra.com)

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