HI FASHIONS CO.

Group No- 5

FT13105 FT 13118 FT 13130 FT 13142 FT 13156 FT 13168 FT 13180 FT 13193

Amit Nakra Chandana Gowri Madhan Babu Preeti Singh Shaileja Verma Sushree Panda Vimal OT

PROBLEM STATEMENT
* Hi Fashions is a merchant exporter and plans to venture in domestic apparel knitwear market. Geography Delhi, Punjab, Haryana, Rajasthan
-Target

* It needs a rollout plan keeping in mind

- Target Market Share - Capacity Constraints - Region-wise Retail outlets

OBJECTIVES
* To capture 2% of the total market and 5% of the T-shirt market in 6 months ranging from Sep 2011 Mar 2012. To capture 6% of the total market and 10% of the Tshirt market in 12 months ranging from Apr 2012 Mar 2013.

To make sure that the following capacity constraints are taken care of
Only T-shirts and Vests 50,000 Dozens/month Only Briefs 40,000 Dozens/month To target market in Delhi, Punjab, Haryana and Rajasthan.

OPTIONS AVAILABLE IN PRODUCT MIX

Product Unisex Gents T-shirts Vests Brand Teens COMFI ( 3 style) Sizes XL,L,M,S 80,85,90,95,100,110 Colors B,G,R,Y,BL, W W,G,Y,B

Gents
Ladies

Briefs
Briefs

MACHO ( 2 styles )
NAUGHTY ( 2 styles )

XL,L,M,S
XL,L,M,S

W,C,BL,BR
P,BL,R,GR, Y,C

GROSS CONTRIBUTIONS
BRAND Teens T-shirt SIZES S,M L , XL CONT. 50% 35% TOWN RATE Rs 300/Rs 350/MRP Rs 390/Rs 440/-

Comfi Vests

80, 85 90, 95

50% 40%

Rs 64/Rs 68/-

Rs 79.95/Rs 84.95/-

100, 110

35%

Rs 72/-

Rs 89.95/-

Macho/Naughty Briefs

S, M

40%

Rs 75/-

Rs 94.95/-

L, XL

35%

Rs 78/-

Rs 99.95/-

RECOMMENDING PRODUCT MIX WITH MARKET SHARE OBJECTIVE

We are selecting the variants with maximum contribution as they will generate the maximum revenue. BRAND Teens T-shirt SIZES S,M CONT. 50% TOWN RATE Rs 300/MRP Rs 390/-

Comfi Vests

80, 85

50%

Rs 64/-

Rs 79.95/Rs 94.95/-

Macho/Naugh ty Briefs

S, M

40%

Rs 75/-

Market Share Objective

Product Est. Size ( Sep11 Mar12) Million Units 20 112 88 42 262 2% of Market Size = 5 5% of Market Size = 1.1 5- 1= 4 Est. Size ( Apr12 Mar13) Million Units 22. 117 92 42 273 6% of Market Size = 17 10% of Market Size = 2.2 17 2 = 15

T-Shirts Vests Briefs( Gents ) Briefs (Ladies) Total Market Size Total Target T-Shirt Target Target for Vests and Briefs

Note -Detailed calculations are in the attached excel sheet

SALES PLAN
Period Product Region
Delhi

No. Of outlets
5600
1706 3988 4032 5600 1706 3988 4032 5600 1706 3988 4032

Sales/ Outlet
73
129 79 26 63 284 131 139 131 262 157 105

T- Shirts

Haryana Punjab Rajasthan

Sep 11 Mar 12

Delhi

Vests

Haryana Punjab Rajasthan Delhi

Briefs Gents and Ladies

Haryana Punjab Rajasthan

SALES PLAN ( CONT..)

Period Product Region
Delhi

No. Of outlets
5600
1706 3988 4032 5600 1706 3988 4032 5600 1706 3988 4032

Sales/ Outlet
155
273 167 55 212 955 441 469 443 880 527 354

T- Shirts

Haryana Punjab Rajasthan

Apr 12 Mar13

Delhi

Vests

Haryana Punjab Rajasthan Delhi

Briefs Gents and Ladies

Haryana Punjab Rajasthan

RECOMMENDED CHANNELS OF DISTRIBUTION

DURING PERIOD SEP 2011 MARCH 2012

* Hi-Fashions should not go for its own retail outlets, rather should sell through established outlets.
Direct channel of distribution should be chosen because - expected sales quantities are not high. - being new brands, the company require more intensive selling , so very few channels are required. * Through already established organized retail ( for towns with population more than 50,000) and also unorganized retail outlets.(for towns with population less than 50,000) .

RECOMMENDED CHANNELS OF DISTRIBUTION ( CONT..) DURING PERIOD APR 12 MAR 13 *

* * * Can consider to open an exclusive outlet for T- shirts. Traditional channel of distributor, retailer and customer as sales must have increased . Aggressive selling through branded retail stores. Can explore the option of e-commerce.

Additional Points
Hi- Fashions should give additional incentive of approximately 5 % for retailers who promote their products among the customers and push their products in the market.

PERMANENT JOURNEY PLAN

* Meeting the dealers and giving Range presentation of product & book the orders from them, and also solving their queries.
* To achieve Distribution potential for the Assigned territory/States. To achieve the sales target set for his territory on a monthly basis. * To plan a Permanent Journey Cycle (PJC) to ensure coverage/service of all the dealers in his territory.

INTEGRATED MARKETING COMMUNICATION

Out of the 4 DRIP ( Differentiate, Reinforce, Inform and Persuade) tasks of marketing communication, our focus would be to Inform and persuade our customers. Further, the marketing plan will have to be divided into two parts * For organized retail outlets ( towns with population more than 50,000 ) * For unorganized retail outlets ( towns with population less than 50,000 )

FOR ORGANIZED RETAIL OUTLETS

* Advertisements through newspaper inserts and magazines like womens era , Society, Grihashobha * Advertisement through radio

* Pamphlets and flyers to be distributed outside malls etc.

FOR UNORGANIZED RETAIL OUTLETS

* Advertisements in local T.V and Radio channels * Posters outside local retail outlets and near weekly markets.

* Persuasive sales by retailers ( for which HiFashions will provide 5% commission)

ORGANIZATIONAL CHART
Purchase

Production Board

Manufacturing

Finance

Retailers

Sales

Distributors Wholesalers

THANK YOU