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A SHOE MAKER WHO COMES TO

YOUR MIND ?

A CASE STUDY ON BATA


BY –AKSHAY HEGDE 18004
LEON VARGHESE 18016
VINAYAK RAJU 18028
JUHI SINGH 18040
KHUSHBOO TIWARI 18052
FOOTWEAR MARKET CONDITIONS IN INDIA
 Major part of the demand is met by the unorganized sector.
 Branded shoe market accounts for only 20% of the entire
market.
 International brands dominate higher end of the market.
 Domestic brands dominate the lower end of the market.

Men’s
footwear 48%.
Women’s footwear
41%.
Children’s footwear 11%
ABOUT BATA

 Bata India, the largest retailer and leading manufacturer of


footwear was incorporated in 1931.
 One of the oldest brand which has more than 50% share in
executive segment.
 First manufacturing facility in Indian shoe industry to receive
the ISO:9001 certification.
 It has a retail network of over 1200 stores.
 It focuses the segment that is price sensitive.
PRODUCT SEGMENTATION
 Bata Lilliput- kids segment- bubblegummers(casual) and school
shoes.
 Bata Macho- Men’s segment-
 Formals- Hush puppies, Comfit, Ambassador for high school
students & working executives.
 Casuals- Mocassino, North Star from lower middle to upper class.
 Bata Damsels-Women’s segment
 Tied up with Marie Claire for formal ,casual shoes and sports
category.
 Accessories offered by Bata includes hand bags, Shoulder bags, and
belts.
COLLABORATIONS

 NIKE -Bata entered into a marketing tie –up with Nike where its
product will be offered from selected Bata outlets.
 ADIDAS- Entered the Indian footwear market in 1989 through a
license agreement with Bata.
 Reebok- Entered into an arrangement with Bata under which
Bata purchased shoes from Reebok as per its requirement and
earned a gross margin of 36% of the retail price.
MAJOR COMPETITORS

 LIBERTY-350 exclusive showrooms and 6000 multi-brand


outlets in 25 countries.
 KHADIMS – Made entry into the market in 1993 with 625 stores
across the country.
 WOODLAND - 350 exclusive stores worldwide and 3000 multi-
brand outlets in a number of countries.
MYOPIA IMPACT TURNED TO MAKEOVER

 Bata maintained monopoly till 1980’s considered as “Family-


Brand”.
 Mass production without knowing the demand.
 Not changing with dynamic consumer environment.
 Competitors seep in and pinched market share.
CHANGEOVER
 BATA ON THE RAMP-In 2004 started to rejuvenate its brand
 Repositioning themselves as market driven , fashion conscious
lifestyle brand.
 Invested to improve their logistics ,distribution system and
information system.
 BATA DIRECT-In end of the year 2008, Bata launched the direct
distribution channels.
 Bata offered a wide range of stylish & trendy footwear for
everyone.
 Bata polishes its image- in 2009 it opened 69 new stores
 Renovated 40 of its existing stores
 Closed 73 cash-drain stores
SWOT ANALYSIS
STRENGTH WEAKNESS
*DISTRIBUTION *INADEQUATE
NETWORK PROMOTION
*QUALITY *LESS CUSTOMER
MANUFACTURING ORIENTATION
*BRAND VALUE
*COST EFFECTIVE

OPPORTUNITIES THREAT
*ONLINE SECTOR *COMPETITION FROM
AND E-COMMERCE DOMESTIC AND
*UNORGANISED FOREIGN BRANDS.
SECTOR
4 P’S ANALYSIS

 PRODUCT- BATA has a wide range of footwear for all the class
 PRICE – Footwear are available at affordable price the price of
Bata has been very nominal and user friendly.
 PLACE – BATA stores exist in almost all cities of India
 PROMOTION – BATA doesn’t promote much by advertising and
gives seasonal offers and discounts .
Has BATA’s efforts for the makeover failed ?

 The net sales of the company grews by 26.8%.


 Bata India was selected as the Powerbrand in the Powerbrands
2010by the Indian council for Marketing Research.
 Bata reported a growth in net income from operation at 9%growth
rate on 408.01 crores.
 Online sales growing at 200%.
 However, due to inadequate promotions, dilemma exists in the
consumer’s mind.
Is BATA right in its efforts to appeal to the youth and
the restless ?

 Yes , up to certain extent,as they have products in all segments


and collaborated with brands like Adidas,Nike etc. But it should
have concentrated more on customer connect and promotions in
uncovered segments
 Their promotion is restricted seasonal offers and the
advertisement part is missing
Is the brand Bata preferred by the “bold and the
bountiful” today? Or is it still perceived as a brand that
sells Hawai slippers?

 Gone are the days, when people considered Bata as a brand that
only sold Hawai slippers and canvas shoes.
 Today ,Bata has wide variety of footwears and it caters needs of
every sectors of the society.
 Apart from their owns product, Bata sells brands like Marie
Claire and Hush Puppies in their stores and also provides wide
variety of footwear in the Men’s segment .
HOW WILL YOU CHANGE THE PERCEPTION OF
LOW IMAGE BRAND?

 Bata has to increase its promotion so that customers get to know


the new products .
 Focusing on the brand ambassadors to reinvigorate the brand for a
new generation.
 Recreating the logo.
Bata’s perception
Bata’s pricing strategy fitting well with its brand
image and positioning?

 Bata has created a unique brand value as a footwear producer by


providing a wide range of products for all income groups.
 Yes ,they have positioned their products differently for every
class, and as per the sales ,it is clear that it is well accepted by the
market. It has positioned itself as a one stop family store for all
footwear and related products.
Which segments should it focus and why?

 Bata should focus on the mass segmentation and the unorganised


sector.
 Women footwear segment in which market is largely untapped
and hence a big opportunity for growth.
 They should also focus on sports segment and invest on R&D for
the same.
THANK YOU

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