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Marketing Assignment

Made by: Maha H

10/3/2010

Table of Contents

Pg noTopicS.no

3Company Profile1.

5Marketing Research2.

7Marketing Strategy3.

13Marketing Mix (4 Ps)4.

16Marketing tactics5.

19Reference6.

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Mallika jewellers company profile

Mallika jewellers is an esteem gold smith company which is quite well known all over

the world, mainly in the Middle East it is known as the largest jewellery

manufacturer and it commands a top market position in its key domestic market of

Saudi- Arabia which constitutes the single most important market in the region. It has

quite a dominant market share in Saudi Arabia where the volume produced by the

second largest manufacturer is just equal to one-quarter of production done by the

Mallika jewellers.

The Market dominance in Saudi Arabia, achieved by the Mallika jewellers is through

a combination of scale, technological supremacy, cutting-edge design, manufacturing

excellence, differentiated brand values, and sales and marketing superiority. It is one

of the few manufacturers that are able to produce gold jewellery and accessories in

vast array of different karats, colours and studded with diamonds or other precious

gems. Mallika jewellers has reached a top position in the local market today and is

considered as a threat for the competitors as it offers a combination of creative

designs, high quality, reliability and certification and authenticity of the gold content.

Company's objectives:

To increase the company's market share

To gain the competitive edge

Quicker design-to-market times than rivals

Higher product quality than rivals

Broader or more attractive product line than rivals

A stronger reputation with customers than rivals

Superior customer service

High level of customer satisfaction than rivals

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Company's vision:

To establish in developing gold and jewellery fashion to achieve sustained added

value for customers and shareholders.

To offer luxury jewellery at an affordable price

Company's mission:

To create unique trends in the gold and jewellery fashion

To maintain good relationship with our customers

To strengthen our brand equity

To develop our culture through innovation

To enhance employee competency and loyalty

To achieve continuous growth and expand business

To become socially responsible and serve the community

Recognition as a leader in product innovation (jewellery)

To cover wider geographic area than rivals

Lower costs relative to key competitor

The Sales and marketing department of the company mainly focuses

on developing wide variety products that are trendy, unique, exquisite

and luxurious keeping up with the changing fashion and consumer

tastes. It is also involved in the market research to determine its market

and product mix in order to benefit from the opportunities to achieve

growth level surpasses the company's objectives .

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Marketing Research

It is the systematic collection and analysis of data about the prominent attributes of

the market, such as consumer behaviour, competition, identification of marketing

opportunities and threats, necessary reforms etc which are beneficial for the company.

It is a continuous process, wherein the company collects the data and interprets it to

bring about the necessary changes in company policies and strategies which therefore

generates, refines, and evaluates marketing actions, monitors marketing performance

and which helps to improve the understanding of marketing as a process .

Market research allows the company to study the relationship between the company

and the consumer.

Marketing research process which is carried out by Mallika jewellers consists of

certain stages:

Defining the market problem – the problem identified should be clear and

precise

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Problem Definition

Development of an

Approach to the

Problem

Research Design

Formulation

Data Collection

Data Preparation

and Analysis

Report Preparation

and Presentatio

n

Developing an approach – the approach developed or designed should be nearly

flawless and should be able to solve the identified problem.

Developing an actual research design – it should be designed very carefully

with expertise, time and thought as it is the most encompassing step of the

research process.

Data collection – this step involves all the field related work i.e. the information

is gathered. (either through questionnaires, observation ,interviews etc)

Data preparation and analysis – this is the step where all the data has been

collected and systematically organised so that it can easily be interpreted and

analysed by decision makers.

Report preparation and presentation – It is the final step of the marketing

research process, the data findings and information should be reported and

presented in such a way that the decision makers can easily make use of it to make

fruitful decisions.

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Marketing strategy is closely aligned with the overall business strategy, mainly

considered as being the backbone of a successful business. It supports organizations

goals and objectives, uncovers the opportunities to differentiate and emphasize the

unique value of the offering. It also lays at the center of all tactical marketing, sales,

product management and communication activities, ensuring that regular messaging

and branding occurs across the various contact points.

Mallika jeweller's team has partitioned marketing research into four of categories:

Markets

Customers

Competitors

Micro Environment

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Market

A market for an organisation is where they buy and sell the products.

For e.g. Mallika jewellers sells its products through internet, face to face, through

magazines by post etc.

The market should be properly segmented - it is the process of dividing the market

into groups of potential customers with similar needs or characteristics who are likely

to exhibit similar purchase behavior.

The gold smith company can segment the market by following certain steps like:

1. Segment Identification — the segment should be clearly identified i.e. the

similar market segments should be chosen on the basis of a segment's

variables and criteria. Segments should be more like of a justifiable size

customer-focused, distinguishable, accessible, accountable & profitable.

E.g. Mallika jewelers can segment the market by mainly using demographic

(Gender, Age, Income), psychographic (Social Class, Life style) and

behavioral (Benefits, Usage rate, Occasion) segmentation. 

2. Market Target — selecting the groups to target, for

marketing activity i.e. making strategic choices based on customer needs,

competitive opportunities, corporate objectives, and the firm’s financial,

technical and marketing resources.

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E.g. Women (Brides, House wives, working women, teenage girls)

3. Positioning — carving out a market position for your company. It can be

chosen if research is carried out successfully by searching out unique

marketing advantages, by seeking new market segments that competitors are

not cultivating, or by developing new approaches to old problems.

E.g. Shops, internet etc.

Customers

Customers play a major role in the success of every business. The main aim of any

business organization is to create a customer. It is the customers who buy the product

or service that makes the business boom. If few customers only buy the products a

business is more likely to make huge losses and eventually be forced out of the

market. It is very important for a business to know what kind of products the

customers will be ready to buy and pay for. Advertising and other forms of promotion

techniques should be used in order to attract the customers towards the product.

Customers today are highly educated, very demanding and have higher expectations

because of which it has become a challenge for most of the businesses to keep their

customers satisfied, brand loyal and contended. The customers these days also have a

major concern for the quality of the goods; they expect the goods to be of the best

quality, available at reasonable prices.

E.g. Women

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Competitors

Every company faces competition in the market. A company must be aware of its

competitors and their strategies in order to stay ahead in the competition. Though, it

can be a challenge for the businesses at times to survive the competition that exists in

the market. In pursuit of survival and growth, organizations compete with one

another. In a buyer’s market, the competition to win customers is even fiercer.

However, the presence of competitors and rivalry forces allows each organization to

offer quality products at minimum prices. The enlightened management encourages

customers to make decisions on the basis of factual information rather than the

aggressive advertising campaigns or discounting quality of the competitor’s products.

Competition indeed brings out the best in an organization and requires the

management to constantly strive for excellence.

E.g. Other jewellers (in the same market) like Lazurde, damas etc.

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Micro-Environment

Micro Environmental Factors

These are internal factors of the company that have a direct impact on the

organization's strategy. These factors include:

Customers

It can be person, company, or other entity which buys goods and services produced by

other company. Companies survive if the needs and the wants of their customers are

fulfilled. If they fail at building this foundation, then perhaps result will be a failed

business strategy.

Employees

They are the people who are hired to work for the company in return for financial or

other compensation. Hiring the right type of staff and keeping them motivated is an

important part of the strategic planning process.

Suppliers

It is a company or an individual who supplies parts, raw materials or services to

another company or an individual. They are also called vendors. A good relationship

with the supplier means delivery of reasonable and good quality products.

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Shareholders

They are either the individual, group, or organization that holds one or more shares in

a company, and on whose name the share certificates are issued. Each firm has one

share holder legally who are also known as a stockholder. More shareholders there

are, the better it is for your company.

Media

Positive or negative media attention towards an organizations product or services can

sometimes prove to be successful or it can shatter the company. Consumers are very

concerned with media talks, either they like or dislike the organization. Therefore

organizations have to be very careful of giving a positive impact on the media, or else

they would have to re-plan their tactics.

Competitors

 It is a person, business or an entity that exists in the same industry or a similar

industry which offers a similar product or service. In order to keep the consumers

buying from your company, the company must offer something which is unique from

all the other companies so that they are bound to buy it from your company only and

become brand loyal.

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Marketing mix is a combination of marketing tools that are

used to satisfy customers and company's objectives. Consumers often call marketing

mix "the offering." The offer is controlled by the following variables often known as

the four Ps in marketing:

Product

Price

Place (distribution)

Promotion

Product

The product is the tangible, physical products or service offered to the

consumer. It contains the features that attract the consumers to buy the

product.

Product decisions include aspects such as appearance, packaging, service,

warranty, brand name, quality, safety, styling, functionality etc.

Mallika jeweller's product (i.e. jewellery) is divided into various types i.e. into

elegant designs aimed at working women, heavy and fancy designs aimed at

brides, funky design aimed at teenagers etc.

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Price

Price is the amount of money that customers have to pay while purchasing the

product. Pricing decisions should take into consideration the profit margins

and the probable pricing response of competitors.

Pricing not only includes the list price, but it also includes Pricing strategy (skim,

penetration, etc.), discounts, Seasonal pricing, Bundling, Price flexibility, Price

discrimination etc.

Mallika jeweller's prices vary according to the karat size, making charges and designs.

Place (distribution)

Place (distribution) decisions are those related with channels of distribution

that serve as the means for getting the product to the target the right customers

and market. The distribution system performs transactional, logistical, and

facilitating functions.

Distribution decisions might include market coverage, distribution channel

and centers, logistics, warehousing, order processing, transportation, levels of

service etc.

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The Distribution channel that Mallika jewellers use is from the producer to

the customers (direct channel) i.e. through the company's own shops and

also through their website over the internet.

Promotion

Promotion decisions are those various aspects of marketing communication; it

is the communication of information about the product with the goal of

generating a positive customer response. It helps to increase the publicity of

the company, which therefore helps to increase sales.

Promotion decisions involve promotional strategy (push, pull, etc.),

advertising, public relations, media types, sales promotion, etc.

Some examples of the promotion techniques used by Mallika jewelers are:

Advertising – through using media services like on TV, between TV

shows and movies mainly involving women viewers' .Also, advertising on

the radio, on internet, through magazines, or printed leaflets.

Sales promotion –By helping a cause to raise funds, giving away a free

gift after an extravagant purchase, providing promotion packages etc.

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Marketing tactics are the conscious actions which are taken by a person or a

company that are designed and planned to attract consumers to buy their goods and

services. They are the physiological aspects that are involved and are geared so that

you can decide if you actually want to buy their product.

Tactical plan is a short term plan that is made to achieve company's objectives

successfully by means of available resources. It typically demonstrates how strategic

plans will be executed; they are usually developed by the management team.

However, in order to understand the strategic goals, it is very necessary to interpret

these goals systematically so that an effective tactical plan is formulated; the charts

are segregated, so that a course of action may result in the attainment of the strategic

objectives.

The target market of Mallika jewelers is mainly aimed at women (brides, house

wives, working women, teenage girls).They have segmented into demographic

(Gender, Age, Income), psychographic (Social Class, Life style) and behavioral

(Benefits, Usage rate, Occasion) segmentation as they produce luxurious jewellery.

Target segment What Mallika jeweller offers (gold and white gold jewellery)

Brides Luxurious, stylish and classy formal wear jewellery

House wives Elegant and stylish formal/casual wear jewellery

Working women Elegant formal/informal wear jewellery

Teenage girls Funky and stylish formal/casual wear jewellery

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It is very important to keep a close watch on all of our competitors in order to track

their new products and their time of launch into the market. Mallika jewellers have to

keep up with the pace of their competitors so they have come up with some tactical

plans like:

Special Bridal jewellery package- a free voucher of bridal make-up is given

to the customer along with the purchase of bridal jewellery package which

consists of (a formal, classy ,uniquely and luxuriously designed gold/white

gold set).Though the price may be a little high but it will draw customers

(brides) because of the free make-up voucher available with it.

Lower making charges – In order to decrease the price of the jewellery,

Mallika jewellers charges lower making charges, as the price of gold varies

according to current gold rate. Affordable prices for luxurious jewellery might

lead to numerous customers.

Celebrity endorsement – The power of celebrities associated with certain

products, influences consumer-purchasing decisions to a great deal.

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E.g. Mallika jewellers have endorsed Elissa and Nancy (Famous Arabic

singers) to promote their product (i.e. the jewellery) in the Middle East.

Unique variety of designs- Mallika jewellers provides a wide variety of

unique, stylish and trendy designs in the jewellery which are available in

different sizes and prices, from formal wear to the casual wear.

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References:

AS and A Level Economics by Colin Bamford, Keith Brunskill, Gordon Cain,

Sue Grant , Stephen Munday , Stephen Walton

IGCSE Bussiness Studies by Karen Borrington and Peter Stimpson

Business Studies by Dave Hall, Rob Jones, Carlo Raffo

http://www.quickmba.com/marketing/mix/

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