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SALES AND SALES PROMOTION ACTIVITIES AT ASRA MARKETING PVT LTD

INTRODUCTION

OVERVIEW OF TEA MARKET

Tea is globally one of the most popular and cheapest beverages with major production centers in

India, China, Kenya, Sri Lanka, Turkey & Vietnam. The tea industry is one of the oldest

organized industries in India with a large network of tea producers, retailers, distributors,

auctioneers, exporters and packers. Total tea production in the world has exceeded 4 billion kgs

with India producing about 1 billion kg of tea. During 2008 to 2013, black tea production in India

increased at a compounded annual growth rate (CAGR) of 1.6% while consumption rose at a

CAGR of 2.3%. India's total annual tea production in 2013 is estimated at 1200 million kgs out of

which 65%, approximately i.e. 850 to 900 million kgs, is produced by the big tea gardens while

about 250 million kgs tea is produced by small tea growers with land area ranging from 2 to 20

hectares. Tea export has remained flat over the years due to increasing competition in the global

market and declining quality of tea produced in India. Thus the prices in the industry are expected

to be stable with domestic consumption expected to be rising steadily.

The Tea Industry in India derives its importance by being one of the major foreign exchange

earners and for playing a vital role towards employment generation as the industry is highly

labour intensive. India is the second largest producer of tea in the world and contributes to around

30% of the global tea production. The market size of tea is estimated to be approx. `10,000 Crore

with a penetration of more than 90% in the domestic market. With an export of approx. 210

million kg of tea, India stands as the second largest exporter of tea in the world with China

ranking at the first position. The tea sector in the country is largely organized since 72% of the

total area under tea cultivation and 74% of the total production comes from the organized sector.

Tea in India is grown over an area of 600000 hectare (ha) which accounts for 16% of the total

area under tea cultivation in the world. The Indian tea industry is having thousands of tea gardens

spread across various states of India such as Darjeeling, Assam, Munnar, Nilgiri Mountain,

Wayand.In West Bengal and Assam there are around 8,500 tea estates, while in the southern

states of Kerala, Karnataka and Tamil Nadu there are another 5,500 tea estates. Assam produces

over half of India’s tea and accounts for over 12% of the annual global tea yield, according to

ASSOCHAM. (Associated Chambers of Commerce and Industry of India)

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In 2003, world tea production was 3.21 million tonnesannually.In 2010, world tea production

reached over 4.52 million tonnes after having increased by 5.7% between 2009 and

2010. Production rose by 3.1% between 2010 and 2011. The largest producers of tea are the

People's Republic of China, India, Kenya, Sri Lanka, and Turkey.

The following table shows the amount of tea production (in tonnes) by leading countries in recent

years. Data are generated by the Food and Agriculture Organization of the United Nations as of

February 2012.

Rank Country 2008 2009 2010 2011

1 China 1,274,984 1,375,780 1,467,467 1,640,310

2 India 987,000 972,700 991,180 1,063,500

3 Kenya 345,800 314,100 399,000 377,912

4 Sri Lanka 318,700 290,000 282,300 327,500

5 Turkey 198,046 198,601 235,000 221,600

6 Vietnam 173,500 185,700 198,466 206,600

7 Iran 165,717 165,717 165,717 162,517

8 Indonesia 150,851 146,440 150,000 142,400

9 Argentina 80,142 71,715 88,574 96,572

10 Japan 96,500 86,000 85,000 82,100

Total World 4,211,397 4,242,280 4,518,060 4,321,011

INDIAN SCENARIO

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http://en.wikipedia.org/wiki/Japan

http://en.wikipedia.org/wiki/Argentina

http://en.wikipedia.org/wiki/Indonesia

http://en.wikipedia.org/wiki/Iran

http://en.wikipedia.org/wiki/Vietnam

http://en.wikipedia.org/wiki/Turkey

http://en.wikipedia.org/wiki/Sri_Lanka

http://en.wikipedia.org/wiki/Kenya

http://en.wikipedia.org/wiki/India

http://en.wikipedia.org/wiki/China

http://en.wikipedia.org/wiki/Sri_Lanka

http://en.wikipedia.org/wiki/Kenya


PRODUCTION (REGION- WISE):(Quantity in Million Kgs.)

Calendar YearYear

North India South India Total

2011 875.57 240.15 1115.722012 886.95 239.38 1126.332013 958.62 241.79 1200.412014 (Jan to July) (E) 398.48 144.54 543.022013 (Jan to July) 420.80 133.09 553.89

TEA AREA as on 31-12-2013 & PRODUCTION IN 2013-14

State / Districts Area under tea ( in Th. Hectares)

Production (Million Kgs)

Assam Valley 270.92 581.03Cachar 33.48 48.02Total Assam 304.40 629.05Darjeeling 17.82 8.91Dooars 72.92 177.85Terai 49.70 125.34Total West Bengal 140.44 312.10Other North Indian States(Includes Tripura, Uttarakhand, Bihar, Manipur, Sikkim, Arunachal Pradesh, Himachal Pradesh, Nagaland, Meghalaya, Mizoram and Orissa)

12.29 23.92

TOTAL NORTH INDIA 457.13 965.07Tamil Nadu 69.62 174.71Kerala 35.01 63.48Karnataka 2.22 5.52TOTAL SOUTH INDIA 106.85 243.71ALL TOTAL 563.98 1208.78

Estimated Apparent Consumption of Tea in India* (Quantity in Million Kgs.)

Year Domestic Consumption

2011-12 8732012-13 8902013-14 911

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Sales And Sales Promotional Activities At Asra Marketing Pvt Ltd

TITLE OF THE STUDY

The title of the study is – “A STUDY ON SALES AND SALES PROMOTION ACTIVITIES

AT ASRA MARKETING

STATEMENT OF THE PROBLEM

The project is mainly undertaken to study the sales and sales promotional strategies at ASRA

Marketing Pvt. Ltd. The intention of the study is to find what attributes need further

improvement in order to make the product more preferable in the market.

The main aim of the study is to uncover new relationships and identify any problem that may

arise in future. In today’s crowed marketplace where products and services are proclaiming

themselves to be the best, it is vital to stand out in the crowd. PRAVIN SINGH study was

undertaken to explore how a company or brand can ensure that a brand that stands out and not

get lost in the crowd.

OBJECTIVES OF THE STUDY

1. To study the various promotional strategies adopted by ASRA Marketing Pvt. Ltd to promote

“Café Chai bar”.

2. To find out the communication linkages in the organization.

3. To study the activities of each and every department of the organization.

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SCOPE OF THE STUDY

This project was undertaken for a period May to June 2014 in ASRA Marketing Pvt. Ltd.,

Andheri Sakinaka,Mumbai. It is an exercise that is well planned into the curriculum giving the

researcher a valuable opportunity to understand the working dynamics of the organization and to

experiment and exhibit recently acquired management and administration skills.

Limitations of the Study

Every study is bound by limitations and as such this project is no exceptions.

1. The analysis and suggestion are given only with respect to marketing aspects as technical

suggestion with respect to the product could not be given.

2. Confidential matters were not disclosed by the company.

3. There were time constraints.

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COMPANY PROFILE

ASRA MARKETING PVT LTD

ASRA Marketing Pvt. Ltd. established under the leadership of Mr. Sudhir Malhotra. ASRA

Marketing today is a leader in the Refreshment Industry and the Fastest Growing Brand such as

T-POT, QMAT, POP-A-CORN and WALLERIUM. ASRA Marketing is Total Refreshment

Company so that – you people can work most efficiently – your customers can buy most

conveniently.

Vision

To be India’s Most Trusted Brand

Mission

Provide Refreshment solutions to satisfy Customer’s needs.

Overview of Organization

ASRA MARKETING is the realization of a dream that was seen by an entrepreneur;

Mr. Sudhir Malhotra. The journey started in 1980 in Mumbai (India) with an aim to build a

brand that provides the Indian consumer Refreshments products at affordable price & and From

last 30 year the company is providing the best services of Tea& coffee in large organization and

also the T-pot machine which caters a number of employees from the (range of 5 to 500). The

company product and services are pan india, such as in Gurgaon, Noida, and Chhattisgarh etc.

These products are sold B2B and the buyer install and use them in malls, hospital, multiplex and

colleges.

Some of its clients are as follow :

- Amway - Pharma Care

- Perrigo India - GMP Tech

- Big Bazar - CMI India

- CineMax - Paras Cadd

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- Phoenix Mall - Meher Distributor

- Yahoo India -NMIMS &Mukesh Patel College

ORGANISATION STRUCTURE

Employee Strength –

A total of 40 personnel including executives and shop floor workers are working for the

company.

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BOARD OF DIRECTORS

MANAGING DIRECTOR

MARKETING MANAGER

PRODUCTION MANAGER FINANCE MANAGER

SALES REPRESENTATIVES

DISTRIBUTORS

SUPERVISOR

MACHINE OPERATORS

WORKERS

ACCOUNTANT

HR MANAGER

HR EXECUTIVE


DEPARTMENTS

Marketing, Finance, Production, Human resource. The basis for departmentalization was

functional.

ACCOUNTS DEPARTMENT

Accounts department is headed by Mr. Madhav. Two executives assist him.

Accounts department is broadly concerned with the acquisition and use of funds by the company.

It also analyze, plan and control the company’s financial affairs. Moreover, the in house

administration of the company is also taken care of. It includes maintenance of factory and a

look into the requirements and problems of day to day administration. It is also concerned with

bank facility availed by the employees. Apart from all these, it also takes into account the

installation part at the customer site after the dispatch of the product. In a nutshell acccounts

department deals with the trouble shooting of any problem.

PRODUCTION DEPARTMENT

Production department is headed by Mr. Prashanth. Four supervisors are in charge of four

different activities such as quality control, product analyzing, production and dispatch.

PRODUCTION HEAD

Supervisor Supervisor Supervisor Supervisor

(Quality Control) (Product Analysis) (Production) (Dispatch)

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Quality Control:

Quality control sub department is mainly concerned with the inspection of raw materials. The

raw materials are supplied mainly by four companies namely. Hitesh Metal, Universal Pipes For

bulk orders, direct purchase is made from the local companies

MARKETING DEPARTMENT

Marketing department deals with the springboard of all activities. Marketing department is

headed by Mr. Sachin. Four marketing executives assist him. Let us discuss the 4P’s of

marketing mix with regard to the company.

1. Product :T-pot, KCM (kadak chai machine), SS Jar, QMAT, Wallerium, pop-a-corn,

Cup warmer, Cup Dispenser’s and converting the product in to services.

2. Place: Located at Mumbai, India’s melting pot of international cultures, the company is

at a strategically advantageous position to offer its clients the best tea coffee services.

3. Price: The products are customized so the price also differs accordingly. The products

offered are basically at a reasonable rate. Each product has a different rate.

T-POT E-25 @ 15940/-

R50 @ 21920/-

L100 @ 28500/-

QMAT rate as per design and blow capacity for e.g. In fabric, stainless steel.

POP-A-CORN Machine rate as per the size, design and kettle size.

4. Promotion: Paperinserts are placed in leading newspapers such as Times of India, Mid-

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Day, and Mumbai Mirror. Telemarketing is also done by in-house staff. Display stalls are

put up near Malls for Outlets.

HR ASPECTS

Though the company does not have a separate HR Department as it is in the embryonic stage but

the HR aspects are taken care of by Mrs. Manjeet.

Leave Facility :

All employees are entitled to 7 days of casual leave and 2 days of sick leave (monthly). In

case of a long leave, say a week or more than that, one needs to inform it before 10- 12 days.

In case of emergency, a prior intimation before 2 days is sufficient. One can also avail the

facility of working on holidays and taking leave on the week days.

Recruitment :

The Company spells out its requirements to the consultancies about the suitable candidates.

Usually, Mr. Sudhir& Mr. Sachin takes the interview of the candidates.

Training :

A selectedcandidateis put on training for about 15 days.

Job Rotation :

Job rotation is adopted by the company so that there is development of multi-faceted skills to

fill in vacancies and to cope with increasing work load. Movement is effected in the same

grade

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DESCRIPTION OF PRODUCTS

The organization is having wide ranges of products which satisfy the organization and customers

for the Refreshments.

The tagline of ASRA MARKETING is “from tea to pi come to me”

T-POT(non-vending tea coffee machine) -The basic need of

people whether working in a one-man office or several thousand

strong-factory. India is a nation of chai drinkers; the gently-

brewed-with-fresh-milk stuff fortified with elaichi, ginger, masala

or just plain and simple.

India is also amongst the largest producers/exporters of tea. All the

more tragic that people have to suffer the second-rate stuff dished

out by automatic vending machines just because it is offered ‘free’

by several companies.

Café TPOT offers a range of products and on-site services which

allow you to make/get tea/coffee just the way you want it and to

meet consumption requirements from as less as 20 to 25 cups per

day to no-limit on maximum quantity.

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PRODUCTS RANGE

T-POT Non Vending Tea Coffee Machine

QMAT POP-A-CORN WALLERIUM


PRICING LIST FOR T-POT

PRICING LIST OF ATTACHMENT PRODUCT WITH T-POT.

Cup Dispensers

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Products: Two. Both in stainless steel- one closed (in pipe), other open (in frame). Models featured: CD-CL and CD-OP Type of Cups: Plastic or Paper. Plastic cups have a flange while the paper has a beading.

Capacity: 100 cups.

Mounting: Generally on Wall or on Side of TPOT. With a Tripod, it can be kept on the Table-Top. Dispensing: Simply grab a cup, firmly but without crushing and pull down. Specification: Dimension w x d x h(mm/in) Weight(kg) CD-CL 85(13) x 100(16) x 380(10) 1.8 CD-OP 85(13) x 95(16) x 334(04) 0.8 Tripod 150(06) x 125(05) x 225(09)Price: CD-CL CD-OP Tripod Rs 2,350/- Rs 1,900/- Rs 370/-


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The Machine: Made entirely in 304 stainless steel; its water tank is 3mm thick. Heavy duty fittings. Standby Switch for power-saving during slack intervals and quick-restart thereafter. The steamer nozzle for making espresso coffee-Indian Ishtyle and for foaming milk.Digital thermostatic temperature and pressure control. The model featured does not require continuous water supply. Usable water capacity is 3.0 litres.

Electrical Rating: 230 VAC, 1-phase, 6.5A.Safety feature: In case of no-water, lo-water, audio-visual alarm plus auto-heater-switch-off. Dead-weight excess pressure safety release. Operation: (See under ‘Making espresso-ii coffee’). To refill water, first let pressure drop to zero. Only then open inlet funnel lever (and keep steam outlet open to allow air to escape) and fill water till it starts coming out from steamer nozzle . Dimensions (w x d x h mm (in)): 102(4) x 248(9.8) x 451(17.8) Weight: approx 6 kg. Price: Rs 13,752/- fob Mumbai plus VAT.

The TrayRack broadly consists of three parts:1. Base Rack (BR): Consists of one ingredients- drawer and two slide-frames with two stainless steel trays. For low capacity, only BR could be OK. You can mount Top Rack or Inter Rack on top.2. Top Rack (TR): This rack has only one fixed- frame with one stainless steel tray. It can be mounted on the Base Rack or Inter Racks but no other rack can be mounted on top of it; it will be always on the top.3. Inter Racks (IR): These can be mounted on top of the Base Rack or other Inter Racks. Each has one slide-frame and one stainless steel tray. Add as many as required/ you are comfortable with. (Mugs etc are to show use of product, not a part of standard supply). Specification: Dimension w x d x h Weight mm(inches) kgBase Rack 330(13) x 406(16) x 260(10.25) 7.5Top Rack 330(13) x 406(16) x 102(04.00) 0.9Inter Rack 330(13) x 406(16) x 133(05.25) 1.2Price: INRs, FOB Mumbai + VAT Base Rack Top Rack Inter Rack Rs 4,420/- Rs 694/- Rs 1,900/-


QMAT-Companies which care for people and profits would recognize the importance which a

clean, hygienic and healthy environment plays in getting the best out of their customers, staff and

workers.

It is this belief which has led us to offer you an essential range of proven Washroom and Toilet

equipment. These products allow users to totally refresh themselves speedily, conveniently,

hygienically and at least (installation, maintenance and operational) costs to the management.

Besides providing total satisfaction, our product range ensures that your washroom or toilet need

never smell "ugh" again even when the user (uses and) neglects them!

Product as: HTIR, HSIR, TWIN BLOWER, AUTO SLEEK, HI-SPEED, JET AIR.

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POP-A-CORN- Suitable for only a few locations like modern Multiplexes, single

screen Theatres, caring Companies,smart Offices, all-night CallCentres, starred Hotels, hi-

profileClubs,rollicking Resorts, busy Restaurants,clever Caterers,concerned Consultants, hug

e Malls, small&smart Shops and maybe a few other places. Energies your people/business,

excite your customers.

Pop-a-corn machines are world class- in looks, performance & reliability at reasonable prices. A

model to suit any location, a scheme to suit every need: buy it, rent it or revenue share.

Product as: Single Kettle, Warmer, Twin Kettle, Twin Warmer.

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WALLERIUM–The Gen Next of state of the art wall mounted aquariums, brightly lit with

sparkling clear water and with virtually zero-maintenance. A whole new concept of dressing up

your walls with living pictures a 24 hour live channel.

The wallerium is ideal for Homes/Restaurants/Offices/Factories, Malls Showrooms Shops, Clubs Resorts, Hospitals/Clinics, School/Colleges etc.

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CAFÉ CHAI BAR

(A Vertical of Asra Marketing Pvt Ltd)

Located on the AndheriKurla Road, Cafe Chai Bar is an in-house tea service that basically serves

Mumbai’s famous Kadak Chai inside a corporate office.

Currently, they offer services to places like Amway, Sodexho Pass, Yahoo.com and NMIMS

among others. The tea is brewed the traditional way, slowly, and is made using high-quality tea

leaves, fresh milk and ginger.

From last one year Café Chai Bar entered into the market as an Indian fast food retail chain store

in Mumbai with continuing the tea as its “USP” & by serving Indian fast food with different

variations.

They prepared a menu which fits in every group of society, from middle to top everyone can

enjoy here.

Currently they are having there 4 outles in Inorbit Mall (Malad), Nandjyot Industrial estate

(Andheri), HeeraPanna Mall (Powai), Thakkar Industrial Estate (Lowerparel)

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PROMOTION ACTIVITY

Participated in Campaign of Best Chai Spot.

The campaign was organized by Mid-day to invite applicant from all over Mumbai to participate

in Mumbai best tea trail chai spot, and café chai bar won the competition and was certified by

mid-day to be the best chai spot in Mumbai.

Promotional activity for café chai bar

Advertising – Advertising is one of the most important part of sales promotion and it is business form of communication. The most of the advertising done by Asra Marketing was through the News paper.

Publicity – To promote through the banners and bill board

Short-term sales promotions – Café chai bar services were using coupons, free sample (chai), Discounts (Buy 2 get 1 free)

Direct marketing - Involves sending, pamphlets and brochures to individual customers, often followed by personal selling.

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SALES PROCESS IN COMPANY

It is difficult prospect effectively without knowing all about your product(s). It is

important to understand the product, in order to sell it. The company use to give proper

training so that we use to come to know the Target customer. The company train staff in

product use & sales. Database marketing is used to make calls and bulk mails to customer

Leads collected in stage 1 are used to make calls. Many salespeople prefer to cold call

over the phone, but you can also call in person, send email or even mail out sales

letters. Where cold calling and mailing produce leads appointment at are set up with

customers usually at the time and place customers usually at the time and place

convenient to them.

The qualification stage usually takes place at the appointment itself, although you can

also qualify briefly during your initial contact. The idea is to confirm that your prospect is

both able and potentially willing to buy your product.

When the meeting was appointed the sales people use to explain about product (how it

works, price, electric supply what it require, Consumption, and find out what exactly the

customer want)

On meeting the prospective customers a product demonstration is made of the customers.

Customers questions are answered to any concerns are dealt with in an attempt to close

the sale.

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http://sales.about.com/od/wheretostart/a/Understanding-The-Product-Creates-Sales-Success.htm


ASRA COMPETITOR IN VENDING MACHINE

1. CAFÉ COFFEE DAY

Café Coffee Day is an Indian café chain owned by

Amalgamated Bean Coffee Trading Company. Café

Coffee Day was started as a retail restaurant arm of

ABCTC in 1996. The first CCD outlet was set up on

July 11, 1996, at Brigade Road, Bangalore,

Karnataka. It rapidly expanded across various cities

in India adding more stores with more than 1000

cafés open across the nation by 2011.

2.

GODREJ VENDING MACHINE

One of India’s leading integrated vending service

providers. They are having range of products

such as Mini cafe, Mini fresh H&C, Excella

Machine

3. GEORGIA

Georgia is the name of a popular brand

of coffeedrinks sold by The Coca-Cola Company.

The brand is named after Coca-Cola's

home state of Georgia. It was launched in 1975 by

Coca-Cola (Japan) Company, a Japanese subsidiary

of the company.

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4. LIPTON

Lipton is a brand of tea and was also a supermarket chain in

the United Kingdom before it was sold off to Argyll Foods, to

allow the company to focus solely on tea. The company is named

after its founder Thomas Lipton. They have entered into vending

machines also.

5. LAVAZZA

It is an Italian manufacturer of coffee products. Founded

in Turin in 1895 by LuigLavazza, it was initially run from

a small grocery store at Via San Tommaso 10. The

business of LavazzaS.p.A. is currently administered by the

third and fourth generation of the Lavazza family.

6. CHAI (BHATT) WALA:

Chaiwalas are mainly people who prepare, sell or serve Indian tea

on streets or small roadside shops. The boil a mixture of water

and milk, add tea leaves and the strain the tea into containers or a

tea kettle. They are the major competitor for many vending

machine and the tea service providers.

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COMPARISION

Primarily for:*Ready Tea.*Instant Coffee.

*Kadak Chai. *Instant Coffee

*T-Bag Tea.*Instant Coffee

Basic Ingredients:

Instant tea(!?), Powder milk. (Basically powder pre-mix)

Regular leaf tea, fressshmilk, masala etc. T-Bag tea, fresssh milk.

Service Time:

Fastest, ready in 10 seconds.

Gently brewed, not boiled, ready in 0-3 minutes.

Ready in 5 -15 seconds,

Personalised Taste No.

One taste per batch. (1-12 cups/batch). 2 or more batches can be made simultaneously.

Each cup can be personalised.

Variety/ Flexibility?

Limited and that also onlyif you buy multi-selectionmachines. 1-pack, 1-taste.

Max variety- ginger, elaichi,dalchini, kali mirchi etc.Flexibility per batch.

Variety limited to severalflavoured T-bags only. Maximum flexibility.

Ingredients Brand

Choice?

No choice. But if machinebought, limited options.

Choose your brands. Choose your brands.

Other items?

Only with multi-selection models. Even then limited to clear soup, and someun-authentic coffees.

even warming

lunch!

None.

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http://www.automatsasra.com/mtc.htm

http://www.automatsasra.com/tpot.htm


Self Service? Yes. Can be. Operator requires minimal time.

Yes.

Hotness Max making temperature:85 degC.

Max making temperature:99 degC.

Max making temperature:95 degC

Hygiene

Automatic flushing only.Doubtful Hygiene since flow is thru plastic pipes,dispensers etc which arenot easily cleanable.

Total Hygiene. User parts, all in stainless steel (no plastic),easily removable for thorough cleaning.

Total Hygiene. User parts,all in stainless steel (noplastic), easily removable for thorough cleaning.

Bottom Line

Ideal for- *Button dabao, chai piyo(Kuch bhi garam chalega).*Low consumption. Eraatic/irregular times.*When you cannot have an Operator, even part-time.

Ideal for- *when satisfaction matters. * When you have a Peon. (Operator), even part-time. *When you want more than tea- great kadak chai.*Investment pay-back within 5 months with just 20 cups per day.

Ideal for those- *Who prefer the light T-Bag tea.*finicky about their (ingredient) proportions; specially important/ foreign visitors.*Confidential closed door meetings - so easy, even the boss can do it!*Seminars, Conferences in 5-star hotels.*Classy showrooms having value customers.

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STP

Segmentation :

There are many ways in which a market can be segmented. A marketer will need to decide which

strategy is best for a given product or service. Approaches to segmentation result from answers

to the following questions: where, who, why and how? Asra Marketing Pvt Ltd has segmented its

market into following groups:

Geographical:

Mumbai Area crowded areas of Mumbai like Malls, Colleges , Offices

Demographical :

We have divided groups on the basis of income as it has options for everyone from a low income

group to high income .

It covers all the age groups .

Psychographic:

We have products for middle class group to high class group i.e. we cover reasonable to

premium category products.

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Target Market: Offices, Colleges and Malls are the current target market for our product.

- People that live stressful lives due to office work tend use caffeine or other hot beverages

to help them accomplish daily tasks.

- People comes to malls to enjoy, to shop they enjoy at our stores in a very reasonable

rates.

Our product provides a quality hot beverage throughout convenient locations at low prices.

Positioning

“Eat fresh without worrying about your pocket”

Café chai bar/T-POT will be positioned in a “The same for less” product category. Although they

have several competitors around allover Mumbai, all of which have certain hours of operation,

they do not offer 24-hour service. They focus on hot beverages only. The quality of hot

beverages will equal that of our competitors while offering the products at a lower price.

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SWOT & FUTURE PLAN

{Strength, Weakness, Opportunity, Threat}

Strength

Customized products

Reasonable price

Quality& Brand Name

Existing from last 30 year in the

market

Range of product in refreshments.

Handdryer, watertaps, urinals, t-pot,

kcm.

Easy to Use the product.

When given a choice, customers are

loyal to T-POT. Instead of targeting

all customers, they target new

customers in order to grow their

business.

They provide good packaging and

while dispatch of product to a new

customer they provide Milk, Tea

Powder, and sugar

Weakness

A new entrant in the market

e.g Lipton, Nestle, M-Café, CCD

No Innovation in Machine.

Lack of brand recognition.

Low Research &Development

Coffee shops such as CCD, MC Cafe

also offer a specialty menu and

customer service, which the vending

machines lack.

With the machines, there are limited

options for customization when

choosing the hot beverage.

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Opportunity

New services helps for better meet

their customer’s needs. To make a

daily follow-up of existing product in

the market with clients. To provide

monthly service without delay. These

services can expand business and

diversify their customer base.

New technology helps for better meet

their customer’s needs with new and

improved products and services. To

make product easy to use and also to

use of the small digital screens on

machine. Technology also builds

competitive barriers against rivals

New products can help to expand their

business and diversity their customer

base.For e.g. Cup warmer, Stainless

steel Cup dispenser, Tea bag racks.

Threats

A lot many players are existing in the market

E.g. Lipton, CCD, Georgia, Lavazza, and local brands.

Competing tea brand

Preference for people having other beverages

Consumer can change their taste very quickly.

Consumers may cut back on Tea &coffee related drinks due to the health risks of too much consumption of the product.

Future Plans:

The company has shown excellent growth since inception and is growing at a rapid pace. All

these contribute for the company’s future expansion plan.

They are opening NewCafé chai bar outlet at Phoenix Mall.

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Planning for the Biggest Chai Party at Wankhade Stadium in year 2015 inviting 60,000

people for the Grand Chai Party.

PORTERS FIVE FORCE MODELS

Since its introduction in 1979, Michael Porter’s Five Forces has become the de facto framework

for industry analysis. The five forces measure the competitiveness of the market deriving its

attractiveness. The analyst uses conclusions derived from the analysis to determine the

company’s risk from in its industry (current or potential).

The five forces are as follow:-

(1) Threat of New Entrants,

(2) Threat of Substitute Products or Services,

(3) Bargaining Power of Buyers

(4) Bargaining Power of Suppliers,

(5) Competitive Rivalry among Existing Firms.

The following is a Five Forces analysis of The Asra Marketing Company in relationship to its

T-Pot brand.

Threat of New Entrants/Potential Competitors: Medium Pressure

Entry barriers are relatively low for the beverage industry: there is no consumer switching

cost and zero capital requirement. There is an increasing amount of new brands appearing in

the market with similar prices.

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http://valuationacademy.com/threat-of-new-entrants/

http://valuationacademy.com/competitive-rivalry-among-existing-firms/

http://valuationacademy.com/bargaining-power-of-suppliers/

http://valuationacademy.com/bargaining-power-of-buyers/

http://valuationacademy.com/threat-of-substitute-products-or-services/

http://valuationacademy.com/threat-of-new-entrants/


T-pot is seen not only as a Nov-vending Machine but also as a brand. It has held a very

significant market share for a long time and loyal customers are not very likely to try a new

brand.

Threat of Substitute Products: Medium to High pressure

There are many kinds of energy drinks/soda/juice/espresso coffee a products in the market.

T-pot doesn’t really have an entirely unique flavor.

The Bargaining Power of Buyers: Low pressure

The individual buyer no pressure.

The Bargaining Power of Suppliers: Low pressure

The main parts which require to make machine is Sensor, Pipes, wires, steel plate, Stainless

steel body, Fabric body.

T-pot is likely a large, customer of any of these suppliers.

Rivalry among Existing Firms : High Pressure

Currently, the main competitor is CCD, Lipton, Georgia, Lavazza and many more which also

has a wide range of beverage products under its brand and many types of machine.

There are other Tea Coffee machine brands in the market that become popular, like Godrej,

Nestle because of their uniqueness in machine. These other brands have failed to reach the

success that T-pot have enjoyed.

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http://valuationacademy.com/competitive-rivalry-among-existing-firms/

http://valuationacademy.com/bargaining-power-of-suppliers/

http://valuationacademy.com/bargaining-power-of-buyers/

http://valuationacademy.com/threat-of-substitute-products-or-services/


SALES PROMOTION TECHNIQUE USED BY ASRA

Personal Selling: Personal selling is a promotional method in which one party (e.g., salesperson)

uses skills and techniques for building personal relationships with another party (e.g., those

involved in a purchase decision) that results in both parties obtaining value.

The company use to make a cold calling to clients and make a data base for mass mailing.

Demonstration: It involves showing by reason or proof, explaining or making clear by use of

examples or experiments. Put more simply, demonstration means to clearly show.

Here the organization use to give demonstration to that clients who were interested for tea coffee

services at their premises and they organization use to charge 500/- for demonstration, and use to

give 50 cups of tea to the office staff for taste of tea and coffee.

Direct Marketing: Involves sending mail direct to the customer, Direct mail can be cheaper

than traditional advertising; add more information and better target your market. Typically Direct

mail advertising should be; personal, creative, informal and selectively directed. The mass

mailing was done only to target customer.

Price Reducing :

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http://en.wikipedia.org/wiki/Experiment

http://en.wikipedia.org/wiki/Proof_(truth)


RESPONSIBLITIES

Marketing executive - handling the sales department and checking the stock of product

which were required for onsite tea services.

Designing brochures, pamphlets for outlets

Coordinating with clients. Business Development Activities like calling companies for

service tie – ups, explaining the Business Proposal and the Terms &Condition.

Organized meetings with clients for negotiation and tie-ups. Follow – up with the clients.

Also handling Operational Activities such as material supply to clients maintain database

and reporting to senior executive, looking after material dispatch.

Inspection of Café chai bar outlets for ensuring Cleanliness, to check the quality of the

food and the method and preparation. We also have to take customers feedback and give

to company PRAVIN SINGH helped in tweaking the product mix.

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To look out the Sales and Sales promotional activities of Café chai bar and Asra

Marketing Pvt Ltd.

LEARNINGS

I have learned a lot of things during my summer internship , I had handled Sales as well as the

promotional activities of the companies , which helped me to understand the importance of

various marketing strategies in different environment .

Following are the activities which I have performed

Sale of Vending Machine :

Selling is not an easy task until and unless you know your product and your customer’s

need very well. During the activity of selling vending machine I had learned following

things:

o Product Knowledge: Most important thing in sales is the full and proper

knowledge about the product.

No one can sell a product until he knows about product.

o Think like a consumer: Instead of categorizing items based on size and price,

items should be defined by texture and taste. Suggest the benefits to them.

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o Maintaining Relations: Maintaining relations with existing customer will help

you to get more customers, through there references.

Sales Promotion Activities for vending machines:

o 14 Days trail scheme:

Under onsite service scheme company use to provide a 14 days trail service of our

vending machine where customer had to pay only 500 Rupees and if they don’t

like the taste or our service they can cancel the order.

The scheme helped our organization to build a level of satisfaction and trust with

the customer.

o Free Products or Combo products:

We have provided free product with our vending machine like karafe and combo

products like auto cut heater attachment.

Organization gets benefit as:-

- Free stuff creates a buzz.

- Encourages people to try your products/service/experience risk free.

- Creates a buying habit:By offering something free, people are more

likely to give your business a try. And once they’ve been – assuming the

experience was positive – they’re more likely to come back

- It’s the hook that gets customers in – so they’ll stick around and

spend more.

- Customers are more forgiving when something is free.

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- Positive Brand Association: People love to get something for free, no

strings attached. It makes them happy and brightens their day. Buy doing

this, you can create a positive association with your brand

o Buy Back Offer:

Buy back offer helps organization to maintain their relationship with the existing

customer.

It helps in creating brand loyalty.

Sales Promotion Activities for Café Chai Bar:

o Making presence in market:

- Participating in marketing campaign:

We participated in the marketing campaign of Mid-Day, where we received the

award for best chai stop in Mumbai by Mid-Day readers.

- Participated in OXFAM TRAILWALKER organized by Mid- Day.

- Participated in Mumbai Best Chai spot, it was organized by Mid-day.

o Coupons:

- Redeemable Coupons: We had provide redeemable coupons, which

customers can redeem from their second visits or purchase at our counter.

- This helped us to increase the sales.

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- Discount coupons and free coupons helped us to increase the footfalls at

our stores.

o Combo offer/ meal offer:

We use combo offers for our food item and it as a meal , which makes thing easy

for customer to select items from the menu as they get ready made menu , where

if they want they can also customize the things according to their taste and

preference.

o Social media promotion:

We also carried out a social media promotional activity during the mid-day best

chai station campaign to create more awareness among the people. Social media

is the best and simplest way to reach out the mass.

RECOMMENDATIONS

1. Quality clubbed with reasonable pricing and quick delivery made the product of the

company stand apart.

2. The strength of the company is its customized products.

E.g. To provide with t-pot the carafe for pouring tea, to provide Fish with walleriums.

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3. As the products are reasonably priced, the ambit of the target consumers should be

stretched so that the big organization and the small enterprises company consumers also

fit into it.

4. The company must stick to a norm while giving discounts on the products and while the

company provide a services in café chai bar, discounts like buy 1 get 1 free, 10% to 20%

discount schemes.

5. In order to have a rapid market access, the company can include more dealers at several

locations. The current dealer is in Pune but as there is an increase in range of product

there should be growth in distributorship place like Metro Cities, Tier II cities. As there

will be growth in distributorship there will be good market share and product recognition

in customers mind.

6. The company should focus on the marketing strategies. The value that company should

offer our target market is the value of convenience. The company should provide an

assortment of hot beverages with the most amount of availability to customers. The trend

in hot beverages will add more customer value to product. Company should work hard to

negotiate with suppliers in order to provide customers with high quality products at low

prices. Company should value consumer inputs to improve the product to adapt to their

taste.

7. The company can introduce incentives/commission reward schemes so that a person is

benefited after the fulfillment and over achievement of the target.

SUGGESTIONS

1. The company should explore all possible ways in order to aggressively sell its products.

2. In today’s crowed market place in order to increase the size of the pie, the Company can

adopt innovative promotional strategies. One of them can be suggested as ‘Tea Time’

road shows. It will help in creating and reinforcing the Company’s identity in the minds

of the consumer.

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3. In order to be extra ordinary, the Company has to walk the extra mile. A method named

‘Experimental Marketing’ should be adopted by the Company wherein the existing

consumers can be invited to visit the outlets.

4. Since the competition is intense, so there should be some value addition so as to make the

Company stand apart in the market. One such way is to improvise the customer service.

Value addition to the T-pot, the company should provide milk, sugar, tea bag for the

customers who is using for the first time; or to add cup dispensers with t-pot so that it will

be easy to take paper cups and take tea very easily from T-pot.

5. Consumer is the king in the market. The fact should be deeply rooted in the minds of the

employees. The Company can adopt some ways to listen to the customer’s feedback

which should be noted in writing so that it will help in continual improvement and make

the company to be in the right track always. Moreover, a sense of involvement will be felt

by the customers which can give the company a cutting edge.

CONCLUSION

“No man has the right to dictate what other men should perceive, create or produce, but all

should be encouraged to reveal themselves, their perceptions and emotions and builds

confidence in their creative spirit!”

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The inspiring thought of Ansell Adams is well appreciated by new style marketing organizations

which understand that “boxes and lines” structures can’t drive value in fast moving

environments. No doubt, ASRA Marketing Pvt. Ltd. is one of them because they believe in

teamwork. Today, the need of the Indian consumer evolves beyond “roti, kapada aurmakaan”.

To capture opportunities continually, the company must have a continual flow of ideas.

Transforming a pipeline full of ideas into a value – generating portfolio of products and services

is difficult. Herein, lays the importance of co-ordination.

In today’s crowded market place, where products and services are claiming themselves to be

the best, it is vital to stand out in the crowd. It is important for ASRA Marketing Pvt. ltd to

establish and reinforce an unmistakable brand and corporate identity in all the channels in order

to gain the attention and convert fickle minded consumers to purchase. Herein, lays the

importance of the Japanese proverb which says – “Thinking without action is a daydream and

action without thinking is a nightmare”.

Bibliography

http://www.indiatea.org/

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http://www.indiatea.org/


http://www.automatsasra.com/


wikipedia.org

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