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SUBMITTED BY GROUP 13
Arjun Mehra Murugappan O Nipun Goyal Saumya Sinha Siddharth P. Bijlani
Issues Stagnant sales Sales volume had remained at about the same level for 8 years Poor communication Very high number of products Lengthy channel of distribution Confusion reg. benefits Increased products led to confusion at retailer (customer) level regarding the benefits of each product .
Repair tire market Technological advancements (rubber material and highways)± Less tire trouble Increase in no. of vehicles and miles traveled per vehicle ± Increase tire usage .
325301205 2003 19.922711058 overall in value terms y Taking inflation (avg inflation during the period ± 2.871431684 1997 20.680.000 1996 20.990.420.Closer look at last 8 years sales y Sales has been declining Year Sales % change 1995 22.000 -1.000 -4. the volume has been declining year on year y Why has the Company not taken any action apart from introducing more product line in 8 years? .267126663 2002 21.000 -3.750.000 -2.611218569 1998 21.000 2.025.35551142 1999 21.5 %) into account.774042951 2000 20.000 6.564638783 2001 20.945.000 -9.140.290.000 1.040.
Distribution channel Kelsey Manufacturer¶s representatives (Agents) Handled kelsey products exclusively in the past No growth in sales ± Handled other automotive lines ± Decreasing time to communicate Low ROI owing to large product line Wholesale distributors Service stations Little Knowledge about the benefits of Kelsey¶s products .
etc Discontinue junk products from the portfolio Increase territory size of Agents to compensate for stagnant growth Regain the loyalty and make them exclusive dealers in order to promote our products better .Recommendations Makes communication better Reduces confusion among retailers Better ROI for Agents Reduce product range Focus on selected products Increase territory size Focus on high and medium selling products for promotions.
.Thank You .