INTRODUCTION:

The marketing mix7 Ps of the marketing mix……a framework for complete marketing

Why is a framework for marketing important?When you are developing your marketing plan, there are many factors that need tobe considered. So many, that it could be easy to miss an important element. Andsince all these elements are interlinked, overlooking one factor could mean that thedecisions you make about the others are not fully informed.

So why 7 Ps?Traditionally, the marketing mix was developed for the fast moving consumer goodssector, and there were 4 Ps: Product, Price, Promotion, and Place (or distribution).As service sectors have become more aware of marketing, this marketing mix hasbeen developed to also include: People, Process and Physical Evidence.

Even if you think you only sell a product, so the original 4 Ps will suffice, it can beuseful to think how much of a service element there is to your business. Indeed, thegoods-service continuum demonstrates that very few products are purely goods andvery few purely service.Most of us sell either products with a surrounding service element (for example, acustomer care help-line for a software retailer) or services with a tangible element(the skill of a hair stylist is a service but tangible products are required to deliver it).So it could be wise, even for product manufacturers, to consider all 7 Ps in theirmarketing mix.

The 7 Ps of the marketing mix

ProductAs seen in the goods-service continuum, your product can have both tangible andintangible aspects, and is the thing you offer to satisfy your customers’ wants andneeds.Within this element, you need to consider such things as your product range; itsquality and design; its features and the benefits it offers; sizing and packaging; andany add-on guarantees and customer service offerings.

PriceSound pricing decisions are crucial to a successful business and should beconsidered at both long-term strategic and short-term tactical levels.Within this element of the mix you should consider list price and discount price; termsand conditions of payment; and the price sensitivity of your market. Worthremembering is the connection of price to your position in the marketing – specificallythat only one operator in any market can be the cheapest. Jostling betweencompetitors for this position is rarely wise.

PromotionThis is the element of the marketing mix that most people mean when they talk about‘marketing’. But jumping straight into decisions about what promotional tools to usewithout considering their relationship to the rest of the mix can be a sure-fire way towaste money.There are many different promotional techniques, each with their own strengths butessentially they can be broken down into four broad categories: Advertising; PublicRelations; Sales Promotions; and Direct Selling. Theses techniques are used tocommunicate the specific benefits of your product to your customers.

PlaceMarketers love models that explain the way they work; they love it even more whenelements of each model begin with the same letter – hence the use of the word‘Place’ to describe distribution channels.Your choice of such channels is important, as is the variety of channels you use. Forexample, a common issue for businesses beginning to trade on-line is how that willaffect their off-line business, for example selling directly through the web couldalienate retail outlets that have been the mainstay of your business in the past.

PeopleThe impact that your people can have on your marketing cannot be underestimated.At its most obvious, this element covers your front line sales and customer servicestaff who will have a direct impact on how your product is perceived.You need to consider the knowledge and skills of your staff; their motivation andinvestment in supporting your brand. Any element of the marketing mix will alsohave its impact on other elements of your business, but the people element is onewhere the importance of regarding marketing as an integral part of the way you dobusiness is crystal clear.

Process

The process part of the mix is about being ‘easy to do business with’. If you’ve everbecome frustrated at call centres that can’t answer your questions, or annoyed whenyou can’t buy something in a shop because the computerised till doesn’t recognisethat it exists, even when you can see it on the shelves, you’ll know how important thiselement can be.The more ‘high contact’ your product, and the more intangible, the more important itis to get your processes right. Remember to look at this from your customers’ pointof view. The process problems that are most annoying to a customer are those thatare designed for the provider’s convenience, not the customer.

Physical EvidenceWhen you sell tangible goods, you can offer your customer the chance to ‘try beforethey buy’, or at least see, touch or smell. With services, unless you offer a free trial,your customer will often be buying on trust. And to help them do so you need toprovide as much evidence of the quality you will be providing as possible.So physical evidence refers to all the tangible, visible touchpoints that your customerwill encounter before they buy, from your reception area and signage, to your staff’sclothing and they images you include in you corporate brochure.

Think about how all the elements of your marketing mix hang together. Does yourpricing reflect the quality of your product? Does your choice of promotional toolsreinforce your choice of distribution channel?

1)TELECOM INDUSTRY:

Marketing Mix adopted by Vodafone:

Vodafone:

Vodafone is the world's largest mobile telecommunications community, employing over 65,000 staff and with over 130 million customers. The business operates in 26 countries worldwide. Vodafone is a public limited company with listings on the London and New York stock exchanges.

Global recognition of the Vodafone brand is growing as the company rolls out its identity into new markets. However, it retains local names and imagery in markets where this is essential to maintaining the trust of customers.

To help promote its image worldwide, Vodafone uses leading sports stars from high profile global sports, including David Beckham and Michael Schumacher. This Case Study concentrates on how such promotion can help to keep a leading brand at the forefront of public awareness.

Vodafone's marketing mix

A longer term marketing strategy is underpinned by careful planning and a successful marketing mix. The marketing mix is a combination of many features that can be represented by the four Ps.

product - features and benefits of a good or service

place - where the good or service can be bought

price - the cost of a good or service

promotion - how customers are made aware of a good or service.

Product

A product with many different features provides customers with opportunities to chat, play games, send and receive pictures, change ring tones, receive information about travel and sporting events, obtain billing information - and soon view video clips and send video messages.

Vodafone live! provides on-the-move information services.

Place

Vodafone UK operates over 300 of its own stores.

It also sells through independent retailers e.g. Carphone Warehouse.

Customers are able to see and handle products they are considering buying.

People are on hand to ensure customers' needs are matched with the right product and to explain the different options available.

Price

Vodafone wants to make its services accessible to as many people as possible: from the young, through apprentices and high powered business executives, to the more mature users.

It offers various pricing structures to suit different customer groups.

Monthly price plans are available as well as prepay options. Phone users can top up their phone on line.

Vodafone UK gives NECTAR reward points for every £1 spent on calls, text messages, picture messages and ring tones.

Promotion

Vodafone works with icons such as David Beckham to communicate its brand values.

Above the line

Advertising on TV, on billboards, in magazines and in other media outlets reaches large audiences and spreads the brand image and the message very effectively. This is known as above the line promotion.

Below the line

Stores have special offers, promotions and point of sale posters to attract those inside the stores to buy.

Vodafone's stores, its products and its staff all project the brand image.

Vodafone actively develops good public relations by sending press releases to national newspapers and magazines to explain new products and ideas.

2}Cold-Drinks:

A Study on Marketing mix of Pepsi Company.

Pepsi Co., one of today's leading soft drink companies, has not only revolutionized the soft drink industry with its creative marketing techniques and unforgettable taste, but for years has dominated the snack food and juice industry as well. PepsiCo. is amongst the most successful consumer product companies in the world. The company consists of the Pepsi-Cola which is the world's second largest beverage company, Frito-Lay Company which is the world's largest manufacturer and distributor of snack

chips, and Tropicana Products, Inc. which is the world's largest marketer and producer of branded juices. Pepsi Co. is proud to declare that its overall mission statement is: "To increase the value of our shareholder's investment through sales growth, cost controls, and wise investments of resources. PepsiCo believes that commercial success depends upon offering quality and value to consumers and customers; providing products that our safe, wholesome, economically efficient, and environmentally sound while adhering to the highest standards of integrity." Market positioning is one of the most important aspects of PepsiCo success. It has been a leader and gaining market share in each of its core businesses and strives to continue in recognizing under-marketed target regions throughout the world to continually gain market share from its competitors. The second aspect of PepsiCo's objectives deals with continuing is strong well- recognized consumer brand name domestically and internationally. Third the company strives to recognize good growth prospects and opportunities for new and alternative product development within each of its core businesses. PepsiCo's fourth objective is to globally diversify its portfolio. Pepsi Cola brand beverages are now available in over 160 different countries, Frito-Lay operates in over 42 countries, and Tropicana has a presence in over fifty countries spanning over Europe, Asia, and South America. Finally, the last objective of PepsiCo is to be more productive and efficient through the competitive advantages of its product innovation

capabilities, the company's streamlined patented manufacturing process, and the vast scale of the manufacturing and distribution system.

Through its promotions, advertising, and sponsorships Pepsi has created one of the largest and most opportunistic and unique companies around. Through its use of integrated marketing communications it has created a brand name and product that is unique to all others. It strives to globalize is business abroad with its Frito-Lay product line, Tropicana juices, and Pepsi beverages. It continues to find different and un-tapped target markets around the world to gain market share from its competitors. It also continues its innovation of products to adapt to a changing global economy which has been a key to its success in the past and will be key to its success in the future.

The fact that PepsiCo has many different product lines and business ventures that incorporate its name creates many different target markets for each of its products. In focusing on the Pepsi-Cola beverage product, PepsiCo. has retained a long history of concentrating on youth as its main target market-"Generation Next!" It has spent billions of dollars in trying to woo the young and nearly young, implying that Coca-Cola is for the older generation. The reason Pepsi-Cola has fiercely targeted this market is because it is the largest amongst its users. Market segment profiles have shown that the majority of

carbonated beverage drinkers are youth and middle age people. Also, Pepsi continually targets the college market in which they spend huge amounts of money to compete with Coca Cola in acquiring contracts with universities (ie: CSUF) to have sole representation of their products distribution. Pepsi's use this behavioristic segmentation has been a key to the company's success.

Pepsi it's frequently the last few inches that count. It's the emotional link to a product that causes our consumers to reach to the right instead of the left. They must feel a tie to the product in some emotional way, created by advertising. Pricing is unquestionably a great influencer, but they won't reach for the product-no matter how low the price-if she doesn't have a basic feeling for it.

3}Cars. A Study On Marketing mix of Maruti Suzuki Swift:

4P’s OF MARUTI SUZUKI SWIFT

Ø PRODUCT

Ø PRICE

Ø PROMOTION

Ø PLACE

Ø PRODUCT

Features:The all-new Maruti Suzuki Swift is fully loaded with a range of exciting new features. It’s a perfect complement to your evolved tastes and lifestyle. And the best way to take your driving pleasure to a brand-new high.

European Styling. Japanese Engineering. Dream-Like Handling.

The new Swift is a generation different from Suzuki design. Styled with a clear sense of muscularity, its one-and-a-half box, aggressive form makes for a look of stability, a sense that it is packed with energy and ready to deliver a dynamic drive.

Its solid look is complemented by an equally rooted road presence and  class-defining ride quality. New chassis systems allow for the front suspension lower arms, steering, gearbox and rear engine mounting to be attached to a suspension frame. You get lower road noise, and a greater feeling of stability as you sail over our roads with feather-touch ease.

There are three variants of Maruti Suzuki Swift :

Ø Swift LXi

Ø Swift VXi

Ø Swift ZXi

3 assist grips, 3 spoke urethane steering wheel, antenna, cabin light (3 position), console box (lower), cup holders (front 2, rear1), front door trim pockets, green tinted glass window, halogen headlamps, headlamp leveling device, heater and manual Air conditioning, OVRM

(internally adjusted), rear fog lamps, wind screen wiper 2 speed plus 1 speed intermittent, tailgate opener key type, trip meter (digital display), sun visors (both sides), brake assist , child lock (rear door), high mounted stop lamp, power steering, rear seat belts etc. are the features available in this model.

Ø Swift VXi

Apart from the features found in other model, striking features of this model are black colored A & B pillars, 12v accessory socket in center console, day and night rear view mirror, door ajar warming lamp, driver’s seatbelt warning lamp, tachometer, driver’s seat belt warning lamp, vanity mirrors (sun visor co-driver side), rear seat head restraints, fabric accented door trims, central door locking (4 door), front and rear electronic windows, front fog lamps, light off/ key reminder, manual air-conditioning, key not removed warning buzzer, etc.

Ø Swift ZXi

Special features that have made this model more market friendly are rear window demister, rear parcel shelf, rear window wiper, room lamp and luggage room, keyless entry,dual front airbags, colored outside door mirror cowls, colored outside door handles, 12v accessory socket in luggage room, driver seat height adjuster, central door locking (5 doors), seat belts 3-point ELR with shoulder adjusters, seat belts front 3-point ELR with pretensioning,tailgate opener electromagnetic type etc.

Ø PRICE

Maruti is expected to take Hyundai heads on with the pricing of their upcoming Maruti Suzuki Swift car. After

launching cars for the masses since so many years, India’s largest automobile manufacturer is now targeting the premium segment with their latest model from the Suzuki’s stable. The analysts predict the pricing of this premium hatchback to start from Rs. 4 lakh.

This price range would practically rip apart Hyundai’s offering in Getz, which is priced at a much higher tag of Rs. 4.5 lakh. Both the companies are known for their value based offerings and Maruti with their extensive service network and brand reputation for making reliable cars should get the customer’s nod over their competition.

The official pricing however is still not out. However, the company is said to be studying the prospects of launching the base model at the 4-lakh price tag. There is another advantage in doing so considering in the capital city of Delhi NCR road tax on the sub 4 lakh priced cars is comparatively lower at 2%. Cars at a price higher than 4 lakh have to pay a 4% road tax.

Delhi NCR is one of the major targeted markets and it might get the benefit of this policy. And if they indeed do take the chance of pricing Suzuki Swift at a considerable lower price than Hyundai Getz, they would quite likely force the competition to rethink their strategy

PRICES OF MARUTI SUZUKI SWIFT

Variant

Non Metallic Price

Metallic  Price

Swift LXi

416485

416485

Swift 44392 443924

VXi 4Swift VXi (ABS)

464962 464962

Swift ZXi

528096

528096

Ø PROMOTION

When Maruti Udyog launched the Swift in May last year, the automotive industry was agog with expectation that the car had the makings of a real winner. Three versions were launched with the base variant carrying a retail tag of Rs 3.85 lakh, ex-showroom, New Delhi, and this aggressive pricing only reinforced this feeling.A year later, the company says the Swift is now the most-sold car in the first year of any car in the history of the Indian automobile industry, having totted up sales of 61,200 units.This is higher than what Maruti had initially planned to sell. The car recorded an estimated 4,000 bookings at the time of its launch, and the initial output of 200 units a day on a two-shift basis, wasn’t enough to cope with demand. In October, the company increased capacity for the Swift which helped cut down on the waiting time from an estimated three months. The company currently makes over 300 units every day.The Swift has made a real impact in the small hatchback segment leaving its closet rival, the Getz far behind. Between April 2005 and April 2006, Hyundai sold 16,872 units of the Getz. Maruti is now gearing upfor the diesel version of the Swift which is expected to debut by October. The diesel version will benefit from the excise sops in this year’s buget, and it remains to be seen how the models fares in the marketplace.

Ø PLACE

The  car manufacturing company, called Maruti Suzuki Automobiles India Limited, is a joint venture between Maruti Udyog and Suzuki Motor Corporation holding a 70 per cent and 30 per cent stake respectively.

The Rs1,524.2 crore plant has a capacity to roll out 1 lakh cars per year with a capacity to scale up to 2.5 lakh units per annum. The  car manufacturing plant will begin commercial production by the end of 2006.

The engine and the transmission plant has owned by Suzuki Powertrain India Limited in which Suzuki Motor Corporation would hold 51 per cent stake and Maruti Udyog holding the balance.

The ultimate total plant capacity is three lakh diesel engines. However, the initial production is 1 lakh diesel engines, 20,000 petrol engines and 1.4 lakh transmission assemblies.

MUMBAI – Showrooms

Ø AUTOMOTIVE MANUFACTURERS LTD

MIDC,TTC INDL.AREA, PLOT

NO.D-234,SHIRVANE VILLAGE

BOMBAY PUNE ROAD

Ø Autovista

257,S.V. ROAD, BANDRA (W)

MUMBAI

MAHARASHTRA

Ø M/S SK WHEELS PVT LTD

SITE NO. D-267

TTC INDUSTRIAL AREA, MIDC

TURBHE, NAVI MUMBAI

Ø NAVNIT MOTORS PVT LTD

GOKUL NAGAR

MUMBAI-AGRA ROAD,

THANE-400 061

Ø RATAN MOTORS

23/24 BEZZOLA COMPLEX

SION-TROMBAY ROAD

CHEMBUR

Ø SAH and SANGHI AUTO AGENCIES (P) LTD

GIRI KUNJ, 11-C N S PATKAR MARG

KEMPS CORNER

4}Game Companies: A study on Marketing Mix Of EA Sports Corporation:

Intoduction : –

EA Sports is a brand name used by Electronic Arts since 1993 to distribute games based on sports. Formerly a gimmick inside Electronic Arts sports games, that tried to mimic real-life sports networks, calling themselves “EA Sports Network” (EASN) with pictures or endorsements of real commentators such as John Madden, it soon grew up to become a sub-label on its own, releasing game series such as FIFA, NHL, Madden NFL, and NASCAR.

EA Sports’ early motto, If it’s in the game, it’s in the game, (later abbreviated to just It’s in the game.) reflects the aim of the early games to portray reality as best as the technology would allow. Unlike some other companies, EA Sports has no special ties to a single platform, which means that all games are released for the best-selling active platforms, sometimes long after most other companies abandon them.

After establishing with some highly regarded titles from 1987-1992, most notably Earl Weaver Baseball 1987, John Madden Football 1990 and NHL Hockey 1991, EA decided in 1992 to launch a sports-only label and EASN was born. ESPN took note of the similarities, and forced EA to come up with a new label to put their sports label under for the 1994 season.

Product : –

Most EA Sports games are distinguished by year, as most games are released on a yearly basis. However, as EA Sports is the leading purchaser of official licenses, it’s not uncommon that in a short span several games of the same sport but with different licenses are released: FIFA 98 was shortly followed by World Cup 98 (as EA has the license for the FIFA World Cup and the European Football Championship, it happens regularly in two-year intervals) and college football or basketball games based on both NBA Live and Madden NFL. The earlier titles released until 1996 are referred by fans as the classic series.

There are several other series, including F1 Championship (discontinued after Sony acquired the exclusive license for the Formula 1 championship), Super bike and others with a limited distribution such as AFL

Product Line & Product Mix is detailed below:-

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Place : –

Original HQ in San Mateo, California – moved to Redwood City in 1998

Origin Systems in Austin, Texas – acquired in 1992, closed in 2004

Bullfrog Productions in Surrey, England – acquired in 1995, effectively closed in 2001

EA Baltimore in Baltimore, Maryland – established in 1996 as part of Origin, closed in 2000

EA Seattle in Seattle, Washington – formerly Manley & Associates, acquired in 1996, closed in 2002

Maxis in Walnut Creek, California – acquired in 1997, closed in 2004 (moved to Redwood City location)

Westwood Studios in Las Vegas, Nevada – acquired in 1998, shut down in 2003

EA Pacific (known for a time as Westwood Pacific) in Irvine, California – formerly part of Virgin Interactive, acquired with Westwood in 1998, closed in 2003

Kesmai (known also as Game Storm); acquired in 1999, closed in 2001.

DICE Canada in London, Ontario (created Battlefield 2: Special Forces expansion, Battlefield Vietnam, and all BF2 patches). Acquired DICE fully October 2, 2006; closed DICE Canada studio hours later.

EA Japan in Tokyo, Japan – closed due to consolidation; moved under EA Partners model

EA is currently headquartered in Redwood City, California.

Price : –

Price is the one element of the marketing mix that produces revenue, the other elements produce cost. Prices are the easiest marketing mix element to adjust; product feature, channel and even promotion take more time price also communicates to the market the company intended value positioning of its product or brand.

Hawkins was determined to sell directly to buyers. Combined with the fact that Hawkins was pioneering new game brands, this made sales growth more challenging. Retailers wanted to buy known brands from existing distribution partners. Despite this, revenue was $5 million in the first year and $11 million the next. [Former CEO Larry Probst arrived as VP of Sales in late 1984 and helped the company sustain growth into $18 million in its third full year. Teaming with the existing sales staff that included Nancy Smith, David Klein, and David Gardner, Probst built the largest sales force of any American game publisher. This policy of dealing directly with retailers gave EA higher margins and better market awareness, key advantages the company would leverage to leapfrog its early competitors.

Net revenue was $3 billion – up 19 percent. Gross margin was at an all time high of 62.7 percent. Operating income was up 70 percent to $776 million while operating margin reached 26 percent. Their operating cash flow was $669 million and their return on invested capital was a record 70 percent yet as successful as EA is today, the biggest opportunities are still ahead…

Promotion : –

EA has adopted a strategy of platform-agnostic development and the creation of strong multi-year franchises for promotion.

EA was the first publisher to release yearly updates of its sports franchises- Madden, FIFA, NHL, NBA Live, Tiger Woods, etc. – with updated player rosters and small graphical and game play tweaks. Recognizing the risk of franchise fatigue among consumers, EA announced in

2006 that it would concentrate more of its effort on creating new original Intellectual Property

EA originally decided against allowing their games on Microsoft’s Xbox Live online service due to arguments between Microsoft and EA about the distribution of revenue from online play. EA finally agreed to release games on Xbox Live on the condition that Microsoft allows the games to connect to the EA servers in order to play them online.

Some of the techniques used by EA in marketing its products have been adopted from other entertainment companies such as record producers, video distributors and magazine publishers. In order to provide realistic gaming experiences, the designersof the company work in tandem with celebrities and sports organizations through contracts.

Marketing Mix Involved In Various Services:1}Airline Industry:

Services are Deeds, Processes, and Performances….Services are distinguished from products mainly because they aregenerally produced at the same time as they are consumed, and cannot be stored away or taken. An enhanced marketing mix needs to be deployed.

Its Not About Simply Reaching Out to Customers With the Right Service. But, Its Also About Creating That Right Desire to Possess The Service.

PRODUCT MIXGiving a Feel For The “Product” Inside a Service Wrapper . • Consumers are demanding not products, or features

of products but the benefits they will be offered. • The airline product includes of two types of services:

1. On the Ground Services.2. In-Flight Services.

PRICE MIX

PLACE MIX

• Online 24-hour reservation Systems.• Consolidation.• Tour Operator/ Travel Agent.

Affiliated with companies

PROMOTION MIX

1} Advertising:

Airlines Advertisement Needs to Keep in Mind the Image of Country, The Scenic Beauty, Tourist Attractions, Rich Cultural Heritages or Which Would Attract Number of Tourists.

2} Publicity:

The PRO, Receptionist, Travel Agents, Media People Are Very Important People in Publicizing The Business.

3}Sales Promotion:

The Travel Agents, Tour Operators, Frontline Staffs Contribute a Lot to The Promotion of Airlines Business

4}Word Of Mouth:

Customer Loyalty Ladder

PEOPLE MIX

• Competence.

• Reliability.

• caring Attitude.

• Responsiveness.

• Initiative.

• Problem Solving Ability.

Goodwill.

PROCESS MIX

• Reservation.

• Flight Information.

• Facilities at The Airport.

• Baggage Handling.

• Meal Service.

• Flight Entertainment.

Deliver Quality Service

PHYSICAL EVIDENCE

1}On the ground:

• Booking offices or ticket counters.

• Paperwork.

• Brand Logo.

• Tickets.

2}In-flight:

• Aircraft.

• Seating Configuration.

• Good Inner-exteriors.

• Cleanliness.

• Uniforms.

• Ambience.

• Baggage.

• Labels or Tag.

2}Banking Industry:

Study On Marketing Mix of ICICI Bank:

ICICI Bank is India’s second-largest bank with total assets of Rs. 3,663.74 billion (US$ 76 billion) at September 30, 2009 and profit after tax Rs. 19.18 billion (US$ 398.8 million) for the half year ended September 30, 2009. The Bank has a network of 1,588 branches and about 4,883 ATMs in India and presence in 18 countries. ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its specialised subsidiaries and affiliates in the areas of investment banking, life and non-life insurance, venture capital and

asset management. The Bank currently has subsidiaries in the United Kingdom, Russia and Canada, branches in United States, Singapore, Bahrain, Hong Kong, Sri Lanka, Qatar and Dubai International Finance Centre and representative offices in United Arab Emirates, China, South Africa, Bangladesh, Thailand, Malaysia and Indonesia. Our UK subsidiary has established branches in Belgium and Germany.

ICICI Bank’s equity shares are listed in India on Bombay Stock Exchange and the National Stock Exchange of India Limited and its American Depositary Receipts (ADRs) are listed on the New York Stock Exchange (NYSE).

History:

ICICI Bank was originally promoted in 1994 by ICICI Limited, an Indian financial institution, and was its wholly-owned subsidiary. ICICI’s shareholding in ICICI Bank was reduced to 46% through a public offering of shares in India in fiscal 1998, an equity offering in the form of ADRs listed on the NYSE in fiscal 2000, ICICI Bank’s acquisition of Bank of Madura Limited in an all-stock amalgamation in fiscal 2001, and secondary market sales by ICICI to institutional investors in fiscal 2001 and fiscal 2002. ICICI was formed in 1955 at the initiative of the World Bank, the Government of India and representatives of Indian industry. The principal objective was to create a development financial institution for providing medium-term and long-term project financing to Indian businesses. In the 1990s, ICICI transformed its business from a development financial institution offering only project finance to a diversified financial services group offering a wide variety of products and services, both directly and through a number of subsidiaries and

affiliates like ICICI Bank. In 1999, ICICI become the first Indian company and the first bank or financial institution from non-Japan Asia to be listed on the NYSE.

After consideration of various corporate structuring alternatives in the context of the emerging competitive scenario in the Indian banking industry, and the move towards universal banking, the managements of ICICI and ICICI Bank formed the view that the merger of ICICI with ICICI Bank would be the optimal strategic alternative for both entities, and would create the optimal legal structure for the ICICI group’s universal banking strategy. The merger would enhance value for ICICI shareholders through the merged entity’s access to low-cost deposits, greater opportunities for earning fee-based income and the ability to participate in the payments system and provide transaction-banking services. The merger would enhance value for ICICI Bank shareholders through a large capital base and scale of operations, seamless access to ICICI’s strong corporate relationships built up over five decades, entry into new business segments, higher market share in various business segments, particularly fee-based services, and access to the vast talent pool of ICICI and its subsidiaries. In October 2001, the Boards of Directors of ICICI and ICICI Bank approved the merger of ICICI and two of its wholly-owned retail finance subsidiaries, ICICI Personal Financial Services Limited and ICICI Capital Services Limited, with ICICI Bank. The merger was approved by shareholders of ICICI and ICICI Bank in January 2002, by the High Court of Gujarat at Ahmedabad in March 2002, and by the High Court of Judicature at Mumbai and the Reserve Bank of India in April 2002. Consequent to the merger, the ICICI

group’s financing and banking operations, both wholesale and retail, have been integrated in a single entity.

7P’s of   Marketing of   ICICI   Bank :

PRODUCT MIX:

1. DEPOSITS:

ICICI Bank offers wide variety of Deposit Products to suit our requirements. Coupled with convenience of networked branches/ over 1800 ATMs and facility of E-channels like Internet and Mobile Banking, ICICI Bank brings banking at your doorstep.

Savings Account: ICICI Bank offers a power packed Savings Account with a host of convenient features and banking channels to transact through.

Senior Citizen Services: The Senior Citizen Services from ICICI Bank has several advantages that are tailored to bring more convenience and enjoyment in your life.

Young Stars: It’s really important to help children learn the value of finances and money management at an early age. Banking is a serious business, but we make banking a pleasure and at the same time children learn how to manage their personal finances.

Fixed Deposits: Safety, Flexibility, Liquidity and Returns!!!! A combination of unbeatable features of the Fixed Deposit from ICICI Bank.

Recurring Deposits: Through ICICI Bank Recurring Deposit you can invest small amounts of money every month that ends up with a large saving on maturity. So

you enjoy twin advantages- affordability and higher earnings.

Roaming Current Account: Only Roaming Current Account from ICICI Bank travels the distance with your business. You can access your accounts at over 500 networked branches across the country.

Bank @ Campus: Thanks to bank@campus, child can now surf the Net and access all the details of his / her account at the click of a mouse! No need to visit the bank branch at all.

ICICI Bank Salary Account: is a benefit-rich payroll account for Employers and Employees. As an organization, you can opt for our Salary Accounts to enable easy disbursements of salaries and enjoy numerous other benefits too.

2. INVESTMENTS

Along with Deposit products and Loan offerings, ICICI Bank assists you to manage your finances by providing various investment options such as:

ICICI Bank Tax Saving Bonds Government of India Bonds

Investment in Mutual Funds

Initial Public Offers by Corporate

Investment in “Pure Gold”

Foreign Exchange Services

Senior Citizens Savings Scheme, 2004

3. ANYWHERE BANKING

ICICI Bank is the second largest bank in the country. It services a customer base of more than 5 million customer accounts through a multi-channel access network. This includes more than 500 branches and extension counters, over 1800 ATMs, Call Centre and Internet Banking.

Thus, one can access the various services ICICI Bank has to offer at anytime, anywhere and from anyplace.

4. LOAN

a)   Home Loans

b)   Personal Loans

c)   Car Loans

d)   Two Wheeler Loans

e)   Commercial Vehicle Loans

f)   Loans against Securities

g)   Farm Equipment Loans

h)   Construction Equipment Loans

i)   Office Equipment Loans

j)   Medical Equipment Loans

5. CARDS

a)   Credit Card

b)   Debit cum ATM Card

c)   Travel Card

6. DEMAT SERVICES

ICICI Bank Demat Services boasts of an ever-growing customer base of over 7 lacs account holders. In their continuous endeavor to offer best of the class services to our customers we offer the following features:

Digitally signed transaction statement by e-mail. Corporate benefit tracking.

e-Instruction facility – facility to transfer securities 24 hours a day, 7 days a week through Internet  Interactive Voice Response (IVR) at a lower cost.

Dedicated specially trained customer care executives at their call centre, to handle all queries.

7. MOBILE BANKING

With ICICI Bank, banking is no longer what it used to be. ICICI Bank offers Mobile Banking facility to all its Bank, Credit Card and Demat customers. ICICI Bank Mobile Banking enables you to bank while being on the move.

8. NRI SERVICES

ONLINE MONEY TRANSFER facility available to NRIs worldwide through www.money2India.com at the click of a button!

Benefits:

FREE Money transfers into accounts with over 30 banks in India

Demand Drafts issued and payable at over 1250 locations in India

ONLINE Tracking of the status of your funds

SUPERIOR Exchange rates

OFFLINE MONEY TRANSFER facility is also available across geographies through

Local branches and in association with partner banks/ exchange houses.

PRICING MIX:

The pricing decisions or the decisions related to interest and fee or commission charged by banks are found instrumental in motivating or influencing the target market.

The RBI and the IBA are concerned with regulations. The rate of interest is regulated by the RBI and other charges are controlled by IBA.

The pricing policy of a bank is considered important for raising the number of customers’ vis-à-vis the accretion of deposits. Also the quality of service provided has direct relationship with the fees charged. Thus while deciding the price mix customer services rank the top position.

The banking organizations are required to frame two- fold strategies. First, the strategy is concerned with interest and fee charged and the second strategy is related to the interest paid. Since both the strategies throw a vice- versa impact, it is important that banks attempt to establish a correlation between two. It is essential that

both the buyers as well as the sellers have feeling of winning.

Pricing Bank Products Starts With Three Basic Questions.

1. What rate does the bank need to meet its financial objectives?

The answer is, “it depends.”

Some considerations for loan and deposit pricing are:

Related income taxes Earning assets to total assets

Equity-to-asset ratio

Pricing for the activities and risks associated with the product

Asset and liability mix

Another element to consider in the pricing of earning assets is the risk of loss. Most notably, this is relevant in loan pricing.  Many banks assign a risk weighting to individual loans over a certain size or based on loan type and assign a credit risk charge based on those ratings.

Customer relationships are difficult to assign a value to in the pricing process.  Customers will generally press for some price concessions in consideration of other relationships they have with the bank.

Asset and liability mix also impacts pricing results. Generally speaking, banks operating with higher loan-to-asset ratios are able to afford to pay more for deposits.  Likewise, banks can afford to be more competitive on

certain deposit products if they have fewer maturities in a particular timeframe or less total outstanding balances in a product line.

2. What is the market rate for the core product?

Customers have more distribution channels available to them today than at any other point in history.  In the past 10 years, the number of bank locations has increased 20%. Of course, there are the mortgage bankers, the Internet, and a host of other financial service providers competing for your customer’s loan and deposit business.

The point is, the competitive marketplace always ensures that if a financial institution is charging too much for loans or paying too little for deposits, its share of the market will likely dwindle as existing and prospective customers find alternative providers.  You can do all the math you want to determine required pricing points, but if your pricing is uncompetitive, your market share will shrink.

3. What would the bank have to do to sales and operations to make its rates the most competitive in its market?

Pricing is a key issue for the associates who sell bank products to your customers.  The fact is, lenders want the lowest rates, and people dealing with depositors want to pay the highest rates.  You need the right balance of fee income, strategies to reduce operating costs, and a healthy asset and liability mix to change your required pricing.

PLACE

This component of marketing mix is related to the offering of services. The services are sold through the branches.

The 2 important decision making areas are: making available the promised services to the ultimate users and selecting a suitable place for bank branches.

The number of branches OF ICICI: 1900 in India and 33 in Mumbai.

LOCATION OF BRANCH:

Shivam Shopping Centre, S.V.Road,

Opp. New Era Cinema, Malad (W), Mumbai.

MUMBAI , 400064.

LOCATION OF ATMS:

Malad subway With branch

Mindspace

Orlem

Raheja township

Why they select this place as branch?

The selection of a suitable place for the establishment of a branch is significant with the view point of making place accessible.

The safety and security provisions

Convenient to both the parties, such as the users and the bankers

Infrastructure facility

Near to station and located on s. v. road well crowded area.

Market coverage

PROMOTION MIX

Advertising: Television, radio, movies, theatres Print media: hoardings, newspaper, magazines

Publicity: road shows, campus visits, sandwich man, Sponsorship

Sales promotion: gifts, discount and commission, incentives,etc.

Personal selling: Cross-sale (selling at competitors place),personalized service.

Telemarketing: ICICI one source Call center (mind space)

PEOPLE:

All people directly or indirectly involved in the consumption of banking services are an important part of the extended marketing mix. Knowledge Workers, Employees, Management and other Consumers often add significant value to the total product or service offering. It is the employees of a bank which represent the organisation to its customers.

In a bank organization, employees are essentially the contact personnel with customer. Therefore, an employee plays an important role in the marketing operations of a service organisation.

To realize its potential in bank marketing, ICICI become conscious in its potential in internal marketing – the attraction, development, motivation and retention of qualified employee-customers through need meeting job-products. Internal marketing paves way for external marketing of services. In internal marketing a variety of activities are used internally in an active, marketing like manner and in a coordinated way.

The starting point in internal marketing is that the employees are the first internal market for the organization.

The basic objective of internal marketing is to develop motivated and customer conscious employees.

A service company can be only as good as its people. A service is a performance and it is usually difficult to separate the performance from the people.

If the people don’t meet customers’ expectations, then neither does the service. Therefore, investing in people quality in service business means investing in product quality.

PROCESS:

Flow of activities:  All the major activities of ICICI banks follow RBI guidelines.  There has to be adherence to certain rules and principles in the banking operations.  The activities have been segregated into various departments accordingly.

Standardization: ICICI bank has got standardized procedures got typical transactions. In fact not only all the branches of a single-bank, but all the banks have

some standardization in them. This is because of the rules they are subject to.  Besides this, each of the banks has its standard forms, documentations etc.  Standardization saves a lot of time behind individual transaction.

Customization: There are specialty counters at each branch to deal with customers of a particular scheme.  Besides this the customers can select their deposit period among the available alternatives.

Number of steps: Numbers of steps are usually specified and a specific pattern is followed to minimize time taken.

Simplicity: In ICICI banks various functions are segregated.  Separate counters exist with clear indication.  Thus a customer wanting to deposit money goes to ‘deposits’ counter and does not mingle elsewhere. This makes procedures not only simple but consume less time.  Besides instruction boards in national boards in national and regional language help the customers further.

Customer involvement: ATM does not involve any bank employees. Besides, during usual bank transactions, there is definite customer involvement at some or the other place because of the money matters and signature requires.

PHYSICAL EVIDENCE:

Physical evidence is the material part of a service. Strictly speaking there are no physical attributes to a service, so a consumer tends to rely on material cues. There are

many examples of physical evidence, including some of the following:

Internet/web pages Paperwork

Brochures

Furnishings

Business cards

The building itself (such as prestigious offices or scenic headquarters)

The physical evidences also include signage, reports, punch lines, other tangibles, employee’s dress code etc.

Signage: Each and every bank has its logo by which a person can identify the company.  Thus such signages are significant for creating visualization and corporate identity.

Financial reports: The Company’s financial reports are issued to the customers to emphasis or credibility.

Tangibles: Bank gives pens, writing pads to the internal customers. Even the passbooks, chequebooks, etc reduce the inherent intangibility of services.

Punch lines: Punch lines or the corporate statement depict the philosophy and attitude of the bank.  Banks have influential punch lines to attract the customers.

Employee’s dress code: ICICI bank follows a dress code for their internal customers.  This helps the customers to feel the ease and comfort.

3}Insurance Industry:

Marketing Mix Adopted by Bajaj Allianz General Insurance Company:

Bajaj Allianz General Insurance Company Limited is a joint venture between Bajaj Finserv Limited (recently demerged from Bajaj Auto Limited) and Allianz SE. Both enjoy a reputation of expertise, stability and strength.

Bajaj Allianz General Insurance received the Insurance Regulatory and Development Authority (IRDA) certificate of Registration on 2nd May, 2001 to conduct General Insurance business (including Health Insurance business) in India. The Company has an authorized and paid up capital of Rs 110 crores. Bajaj Finserv Limited holds 74% and the remaining 26% is held by Allianz, SE.

As on 31st March 2009, Bajaj Allianz General Insurance maintained its premier position in the industry by achieving growth as well as profitability. The company garnered a premium income of Rs. 2866 crore, achieving a growth of 11 % over the last year. Bajaj Allianz has made a profit before tax of Rs. 149.8 crore and has become the only private insurer to cross the Rs.100 crore mark in profit before tax in the last three years. The profit after tax was Rs.95 crores, which is also the highest by any private insurer.

Bajaj Allianz today has a countrywide network connected through the latest technology for quick communication and response in over 200 towns spread across the length and breadth of the country. From Surat to Siliguri and Jammu to Thiruvananthapuram, all the offices are interconnected with the Head Office at Pune.

Vision: To be the first choice insurer for customers To be the preferred employer for staff in the

insurance industry.

To be the number one insurer for creating shareholder value

Mission:

As a responsible, customer focused market leader, we will strive to understand the insurance needs of the consumers and translate it into affordable products that deliver value for money.Bajaj Allianz General Insurance offers technical excellence in all areas of General and Health Insurance as well as Risk Management. This partnership successfully combines Bajaj Finserv’s in-depth understanding of the local market and extensive distribution network with the global experience and technical expertise of the Allianz Group. As a registered Indian Insurance Company and a capital base of Rs. 110 crores, the company is fully licensed to underwrite all lines of general insurance business including health insurance.

Achievements:Bajaj Allianz has received “iAAA rating, from ICRA Limited, an associate of Moody’s Investors Services, for Claims Paying Ability.This rating indicates highest claims paying ability and a fundamentally strong position.

Bajaj Allianz General Insurance has received the prestigious “Business Leader in General Insurance”, awarded by NDTV Profit Business Leadership Awards 2008. The company was one of the top three finalists for the year 2007 and 2008 in the General Insurance

Company of the Year award by Asia Insurance Review.

7 P’s of marketing of  Bajaj Allianz :

1. Products and Services:

Bajaj Allianz General Insurance Company Ltd. offers a range of insurance products to its clients. The following insurances are offered by the company:

Motor Insurance Asset Insurance

o Home Insurance

o Shop / Showroom: Protection against all risks

Health Insurance

o Health Guard

o Personal Guard

o Hospital Cash

o Critical Illness

o Silver Health

o E-Opinion

o Star Package

o Health Ensure

o Insta Insure

o Sankat Mochan

o Family Floater HG

o Tax Gain

Travel Insurance

o Travel Companion

o Student Companion

o Pravasi Bharati Bima Yojana

o Travel Asia

o Travel Elite

o Travel Assist

o Swades Yatra

Corporate Insurance

o Specialty Lines

Aviation

Marine Hull Insurance

Project Insurance

Sports & Entertainment Insurance

o Your Employees

Group Personal Accident

Group Health Guard

Group Critical Illness

Workmen’s Compensation

Group Travel

o Office

Office Package

Burglary

Plate Glass

Public Liability

Fire

Money

D & O Liability

Fidelity Guarantee

o Manufacturing Unit

Fire

Business Interruption

Industrial All Risk

Workmen’s Compensation

Engineering

Public Liability

Product Liability

Composite Public & Product Liability

Fidelity Guarantee

Marine Insurance

o Credit Insurance

2. Price:

The price structure is based on the type of policies. The price variation has to be kept due to intense

competition among private players. Pricing element is very important for Bajaj Allianz as they want to increase market share. The price of Bajaj Allianz policies are made as per keeping the customer in mind.

3. Place:

3rd Floor, 349 Business Point,

Western Express Highway Road,

Andheri(E).

The locations of every corporate offices of Bajaj Allianz is magnificent. They locate themselves in a  very professional manner. This indicates their corporate approach towards their work. Work culture is also conducive to such environment.

4. Promotion:

Huge advertisements on Television and radios.

Tele-marketing

Promotion in front of corporate offices

Internet Marketing

Hoardings and brochures

5. People:

People are the main assets of financial organization because of service factor attached to it. Here in this case of insurance business, talented and experienced

personnel are required. Bajaj Allianz recruits highly intellectual persons with good market knowledge. They also provide training to brief them up about Bajaj Allianz to its new staff members. This is the reason they are No.1 position in General Insurance among private players. They create an emotional commitment and strong two-way relationship between the employees and the Company.

To have clear performance expectations and a clear return from the Company (working environment, development, reward, career opportunities etc), which helps employees to make a connection between their contribution and the progress made by the Company.

To inspire and empower people to achieve their best and reward them competitively for their contribution and provide attractive career opportunities.To build a learning culture which fosters personal development and professional mobility and upholds values of professionalism,innovation, pragmatism, team spirit, integrity.To respect and value individuals, their diversity and support them in their need to balance professional and personal lives.

6. Process:

The prestigious awards itself speaks the smooth functioning of the insurance activities. They have the highest claims paying ability and a fundamentally strong position. They want to be the first choice for insurers in the country. So, they understand the insurance needs of the customers and translate it into affordable products that deliver value for money. Below case study is a clear evidence of proof:

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7. Physical Evidence:

Physical evidence is the material part of a service. Strictly speaking there are no physical attributes to a service, so a consumer tends to rely on material cues. There are many examples of physical evidence, including some of the following:

a) Business cards

b) Internet / Websites

c) Furnishings

d) Bajaj Allianz Building in Pune

e) Internal Infrastructure

4}Radio Stations:

Marketing Mix Adopted By Red 93.5 Fm:

RADIO INDUSTRY Radio has been the most cost effective source of entertainment in India for a long time. For a long time, the radio industry was dominated by the state broadcaster- All India Radio. However, the radio sector has been gradually liberalized and has been opened for private and foreign investment. Radio industry recorded an impressive performance in 2007, having recorded a growth of 24 per cent over the previous year and is estimated at Rs. 6.2 billion in 2007, up from Rs. 5 billion in 2006. In the last four years 2004-07, the radio industry recorded the second highest cumulative growth of 37 per cent on an overall basis after online advertising. The radio industry is projected to grow to Rs. 17 billion by 2011, implying a 28% CAGR over the next five years.

ENIL currently operates radio stations under the brand name ‘Radio Mirchi’ in 25 cities.

MARKETING PLAN This Marketing Plan is developed for the brand RADIO MIRCHI 98.3FM. it is owned by the company ENTERTAINMENT NETWORK INDIA LTD.(ENIL) ENIL is promoted by Bennett, Coleman & Co. Limited (BCCL) which is one of the largest media and entertainment companies in India, operating in various media segments such as print media and television broadcasting. Before we begin, let’s know a little about Radio Mirchi. The original avatar of Radio Mirchi was Times FM, which is probably the most famous radio in India which began its operation in 1993. Until 1993, AIR, a government undertaking, was the only radio broadcaster in India. The government then took the initiative to privatize the radio broadcasting sector. It sold airtime blocks on its FM channels to private operators, who developed their own program content. The Times Group operated its brand, Times FM, till June 1998. After that, the government decided not to renew contracts given to private operators. In 2000, the government announced the auction of 108 FM frequencies across India. ENIL won the largest number of frequencies, thereby acquiring a national footprint, and becoming the only commercial FM broadcaster present in all 4 Metros, with an exclusive presence in 7 cities. Earlier available in the seven cities of Mumbai, Delhi, Kolkata, Chennai, Pune, Indore and Ahmedabad, now it is also available in key markets of Bangalore, Hyderabad, Jaipur, Patna & Jalandhar thereby taking the tally to 12 stations across India. It's the largest private FM Radio operator in the country in terms of number of operational stations and revenue. 6 Though Radio Mirchi FM radio stations are located in diverse regions in India it's been successful in

attracting local audiences in each of these markets. This is largely due to a superior understanding of audience preferences, which enables it to provide content customized to the taste, language and culture of the local audience.

The punch line of Radio Mirchi (Mirchi sunnewale always khush) focuses on its customer and the quality of music provided by them. They try to come up with new innovative ideas thereby making their radio the most preferred station with largest listenership. There latest innovation is in the style of radio jockeys. Generally, radio jockeys speak non-stop quite fast entertaining the masses. But there is new RJ named Sudh who talks at a slower pace but in a weird tone. His way of telling jokes attracts people to him. Price & Place are the two factors which has no impact on the customer’s( .i.e. radio listeners) of Radio Mirchi since they don’t pay for listening radio and it is available everywhere(rather in pockets of every person in the form of mobile) Promotion: Radio Mirchi promotes its radio station in different cities in their local language. Following are few examples:

98.3 FM Tagline "Radio Mirchi - It's hot"...

98.3 FM Tagline "Mirchi Sunne Wale Always Khush" Started On 23 July 2007.

98.3 FM - It uses the tagline "Sakat hot maga!" in Bangalore. 18

5}Marketing Mix In Hotel Industry:

The Product Mix

In any organization, we find product the focal point. The hotel services also require a fair combination of core arid peripheral services. It is right to mention that in almost all the hotels of same category by and large the core services are found identical and therefore the peripheral services divert a close attention where the hotel personnel need professional excellence. More innovative the peripheral services, more attractions is the product mix. This makes it essential that hotels and hotel companies assign due weightage to the formulation of an optimal product mix in which peripheral services prove to be a point of attraction.

The emerging trends in the socio-economic parlance necessitate an analogous change in the product mix. With the passage of time, it is quite natural that some of the services become outdated and therefore, we need to eliminate them. At the same time, it is essential that we keep our minds open and come to know the latest developments in the likes and dislikes of the customers, and while including new services in the product mix, assign due weightage to their preferences. While formulating the product mix it is pertinent that we make the ways for frequent innovation. It is also right to mention that frequency in innovation is found essential and at the same time easier in the context of peripheral services. The hotel professionals are required to formulate a package that helps in attracting the customers.

Modifications in the existing services by adding a few outstanding properties is found to be a suitable strategy for the development of product. The generation of idea, the formulation of concept, the analysis of product cost and the testing of services before their final commercial launch become significant in the very context. This necessitates an in-depth study of product life cycle. A hotel manager bears the responsibility of adding attractions to the product mix and this is possible when they have world class professional excellence.

While formulating the product mix for the hotel services, it is essential that catering management, restaurant and cafeteria management, management of bedrooms, management of convention halls are given due weightage. The boarding services are considered to be an important part of product mix. In addition, the lodging services also become significant. Here it is essential that facilities like light, water, electricity, ventilation, entertainment, sanitation arrangement of bed etc. are available to the guests. While formulating the product mix, the hotel organizations are required to make possible a fair mix of core and peripheral services.

The Product Mix for a Hotel will typically include:

Reception: – Welcome, Enquiry and sign posts.

Boarding: – Catering, restaurants and cafeterias.

Lodging: – Bed, room, light, water, sanitation, ventilation and view.

Entertainment: – TV, Dance, music, cultural shows and radio.

Shopping: – shopping arcade, fairs and exhibitions.

Personal Care: – Beauty parlour, hair cutting, gymnasium and jogging.

Communication and transport: – Telephone, news, papers, magazines, reservations   asasand car rentals.

Medicals: – first aid / ambulance.

The product mix of the Regent Mumbai include:

Room:

1. Deluxe room: 400 sq. ft, large, well appointed rooms, with executive desk and chair and sofa. Rooms feature luxurious marble bathrooms.

2. Executive room: 450 sq ft, spacious bedroom with king bed and large marble bathroom with separate walk-in shower. Roomy living room area with a sofa, coffee table, desk and chair.

3. The Regent Suite: located on the top floor. Two bedrooms, each with its own private bathroom, dining area, office and private living room, and lounge opening onto a private pool deck overlooking Mahim Bay towards the city.

4. The Presidential Suite: located on the top floor. Two bedrooms each with its own private bathroom, dining area, and large living and entertainment area, overlooking the Arabian Sea towards the north.

5. Executive Suite: 700 sq ft, two room suite. Separate bedrooms with king bed and suite bathroom and living room.

Services:

1. 508 luxurious, executive-sized rooms.2. The spectacular lobby is destined to become

Mumbai’s most popular meeting point.

3. Five enticing restaurants serving Indian, Chinese and European cuisine.

4. Fully equipped health club, fitness centre and squash courts.

5. Extensive, indoor and outdoor meeting and function space.

Promotion mix

For successful marketing, it is only not sufficient to concentrate on the quality of services but it is also impact generating that we promote our business in such a way that the prospects come to know about the quality to be offered to them as hotel customers. This focuses the attention on innovative promotional measures. The components like advertisement, publicity, sales promotion, personal selling, word-of-mouth promotion and telemarketing need due attention of hotel professionals.

Advertisement

Advertisement is a paid form of communication that helps in informing, sensing and persuading the prospects or users. While advertising, it is significant that the hotel professionals make possible a productive use of print media, broadcast media and telecast media. In the face of potentials, requirements and the intensity of

competition, there is a need to select media for promoting our messages and slogans.

Of late, there is a significant development in the print media since sophistication in the printing technologies has made ways for offset printing, screen- printing and laser printing. These devices are found efficacious in attracting the prospects. There are a number of plus points in the print media. It is possible to be descriptive while advertising. We are in a position to attract the attention of prospects by displaying attractive scenes, events, landscape, comforts, costs etc. To be more specific when we have advanced print devices we find enough scope for using print media for advertising. In this context, it is pertinent that the hotel professionals advertise sensibly, intelligently and for that seek the co-operation of advertising professionals who can simplify and sensitize the process. Another plus point that we find in the print media is related to economy. We find it economic and therefore the promotion budget is not to be non-optimal.

The services of advertising professionals would make possible creativity in the advertisement messages and appeals. While selecting the media for advertisement, it is significant that we keep in our minds the magazines, newspapers preferred by the target audience. The magazines, newspapers preferred by women and teens should be given due weightage since in a majority of the cases, the decisions regarding a particular tour hotel are taken by them.

Of late, the telecast media is considered to be the most sensitive but expensive media of advertisement. In the world of marketing communication, top position is

assigned to the telecast media because scope for audio-visual exposure makes ways for sensitising the prospects in a right fashion. It is against this ground that we find hotels advertising through TV.

In view of the above, it is right to observe that out of all the media, print media is found to be the most effective media for hotel advertisements. It is due mainly to fact that in the print media, the advertisers get an opportunity to display facts and figures which may be very much instrumental in convincing and persuading the prospects. The fact cannot be denied that while using print media, the materials used for advertising are found of world class, such as quality papers, quality print, quality photographs, attractive scenes or so. The use of quality materials paves avenues for attractions.

Publicity

Another dimension of promotion known as an unpaid form of persuasive communication also plays an incremental role in promoting the hotel business. While publicizing, the hotel professionals play a significant role by managing the media personnel for publishing news items related to the hotel. Public relations activities thus become instrumental in the process of publicizing. The British Institute of Public Relations has defined it as the deliberate, planned and sustained effort to establish and maintain mutual understanding between an organization and the public.

The vast majority of hoteliers welcome publicity not only because it is free but because they know that most people buy a magazine or a newspaper to read the articles, news and editorials, rather than the

advertisements unless they are looking for a product or are interested in booking a holiday or a restaurant or a convention hall or a wedding hall.

In the hotel business, there are a number of events which should be transmitted to the local press, such as the appointment of a new chef, list of cocktails, menus for certain functions held at hotel, particulars of certain important conferences or exhibitions to be held, menus for special days of the year, photographs of staff dressed up for special days and well-known people staying in the hotel. There are a number of hotels doing a lot of charitable work and helping in organizing charitable fund-raising events too.

In the public relations, the activities range from a press release to newspaper and magazines, especially to create the interest of prospects in a holiday age in a good resort of a country. The holiday package tours and trips on familiarity with a tour spot, organized by tour operators for the travel agents to help them in enriching their knowledge and making the travelling decisions. The  “wine and cheese parties” organized by the British Airways to launch not required Seychelles as a new resort or other such functions with the motto of enriching the knowledge of the prospects. There are a number of media sources available for publicity.

Illustration, copy and the spoken word are the primary publicity to media, which are grouped into the following heads:

Printed Publicity Advertising Publicity

Projected Publicity

Structural Publicity

Personal Publicity

Thus it is right to say that public relations activities occupy a significant place in the promotion mix of hotel companies. In the hotel companies, the tour operators, travel agents explore opportunities for educating the masses. In this context, it is important that hotel companies are getting the best co-operation from media and for which the Public Relations Officers or the marketers or the contact personnel bear the responsibility of developing rapport with them, organizing for them lunch or dinner, offering to them small gifts and influencing them to write in favour. You spend nominal amount but get big coverage, which help you substantially, if not at present of course in future.

Sales Promotion

In almost all the organizations, we feel the need of offering incentives for promoting the business. Like other organizations, the hotels and hotel companies also offer incentives to the users vis-à-vis to the personnel and organizations evincing interest in promoting the business. Sales promotion is considered as a temporary device to increase the business with certain objectives. It is a short term activity seeking to boost sales during peak demand periods to make it sure that the firm obtains its market share and helps launch a new product or support an ailing or modified services. These facts make it clear that sales promotion is complementary to advertising. Sales promotion and advertising objectives do not conflict but reinforce one another.

The tools of sales promotion are directed at the hotel staff, tour operator and travel agents and guests or clients. There is a three-tier arrangement for sales promotion in the hotel business. There are a number of incentives offered to them. In addition, some of the hotels also offer concessional travelling and accommodation facilities, especially to their staff. Besides, there are also cases of organizing sales contests.

Tools of sales promotion.

The tour operators and travel agents are also given the incentives. There are give-away and concessional accommodation facilities for them. Besides, the guests or clients are also offered incentives. They are allowed off-season discount and a number of small gifts, specially the habitual guests for the purpose of keeping on the business. The following tools of sales promotion are used for all the three heads instrumental in promoting the hotel business.

1.1. Brochure: It is a device to stimulate customers

and motivate them to visit a hotel and avail of the benefits offered by the management of the hotel. It is a detailed publication helping hotel companies in promoting their business. It is also called as a pamphlet bound in the form of a booklet. It describes and illustrates the services made available by hotels. We find brochure different to folder in size and contents as well. It requires careful planning of the layout, colour and paper used for publishing the contents. The brochures are supposed to focus on the theme and messages of promotion areas. The guests,

clients get detailed in information from the brochure.

2.   Folder: Folders are the most commonly used sales promotion tools. In this       respect, it is essential that folders have an impressive appearance in totality. The particulars are required to be in brief but clear. It is a single piece of illustrated paper that is found less voluminous than the brochure. The folders are usually printed on a single sheet of paper and then folded. The quality of paper and printing used for publication are found significant to make folders more attractive. The hotels can use folders for promoting the business.

3.   Packaging: it is known as an attractive wrapper of product. When we talk about packaging in the hotel industry, our emphasis is on the outer cover and internal layout of brochures and leaflets. It is a final persuasive move on the part of hotels and hotel companies. The materials used for packaging are required to be attractive.

4.  Attraction leaflets: This is exclusively meant for presenting a view of the different theme parks, museums, amusement parks, outstanding points of attraction in the hotels or so.

5.   Merchandising: It is found helpful in promoting mass-market. This tool is found significant to restaurants and bars. The merchandising involves displaying of foodstuffs and drinks in the right location. The restaurants and bars are required to place their important items at such point where the guest and clients get an opportunity to have a close view of special drinks or special menu.

6.  Direct Mail Materials: The sales letters are found to be a direct mail material that can either be used alone or in combination with brochures and folders.

7.  Display Materials: In the materials to be displayed at sensitive points are posters, dispensers, exhibits etc. We can use these materials in the offices of the travel agents, tour operators or at the places where tourists come, such as tourists’ spots, resorts, airports, and railway and bus stations.

8. Competition and Exhibition: There are organization of competition and exhibition for promoting the business.

9. Special Officer: There is also a provision for special offer for all, such as users, travel agents, tour operators, hotel personnel.

The aforesaid tools of sales promotion help hotels and hotel companies in increasing the business. The hotel personnel need professional excellence to make the tools of sales promotion productive.

THE REGENT, Mumbai, has a sales promotion strategy such as THE REGENT ADVANTAGE CARD system. Under this scheme, card owner is entitled to a free meal on the purchase of a meal from any of the hotel’s restaurant. The card owner also gets various discounts such as 10% discounts in the THE REGENT’s Beauty Parlour, 30% discount on the suite room. This discounts are maximum for 10 persons on the food and beverage items also.

Word-of-mouth Promotion

Word-of-mouth promotion is very much instrumental in sensitising the prospects. In the hotel industry, it is much

more significant that the satisfaction of users is give top priority. Of course, there are a number of components to promote sale but it is right to mention that other constituents may be ineffective but the word-of-mouth can’t. The word-of-mouth promoters are those who are satisfied with the services of hotels or are motivated to motivate the prospects. We can’t deny the fact that one bad meal would often do more damage by word- of-mouth than fifty good meals. The hotel guests take a good meal for granted but don’t forget to narrate to their friends and relatives about a bad meal or the bitter experiences of menu-fatigue. This speaks of the fact that word-of-mouth promotion can show more negative effects and therefore the hotels and hotel companies need to assign due weightage to this component of the promotion mix. Of course, the dissatisfied group of users is free to complain to the hotel management but often they don’t act. We find them close-mouthed and stiff-lipped till they make a good-bye and after going back they try their best to think twice before coming to that hotel again. Moreover they start narrating to their friends and relatives their bitter experiences of menu fatigue even without taking a rest. It is against this background that high-level functions, refined behaviour and world-class services by the hotel personnel carry some meaning. These services pave the ways for oral communication and recommendation. The persons acting as word-of-mouth promoters are also called the hidden salesforce.

Price Mix

Pricing decisions are found critical, challenging and chaotic. Of course, no marketing mix is found so much critical as pricing. Pricing is not only the outcome of the

marketing forces. It conveys something to customers even about the quality of a product. There are a number of variables influencing the pricing decisions of an organization.

The pricing decisions are beset with many problems. No doubt in it that fixing the hotel tariffs is just like pricing other goods and services. At the same time, it is also right to mention that the hotel professionals need more excellence while fixing the hotel tariffs since the services are found of perishable nature. In addition, the seasonal fluctuation in demand and increasing intensity of competition also complicate the task of professionals. They need world-class excellence while making strategical and tactical pricing decisions.

Pricing decisions are found important in both strategic and tactical sense. In the tactical sense, it plays an outstanding role. This is due to the inseparability and perishability of the hotel products. This is also due to the inability of the service engineering organizations to carry over unsold stocks as a buffer to cope with future demand as found in the goods manufacturing organizations. Also known as price deregulation, tactical pricing is found instrumental in promoting the hotel business. Experiences show that in the hotel industry, it is found to be a major selling tool. There are a number of ways for practicing and benefiting from this tool:

Seasonal Discounts Found applicable in the hotel industry. Customary to charge lower prices, specially during the off-season.

Trade Discounts Found applicable in the hotel industry as tour operators and travel agents are offered discounts.

Special Discounts In the hotel industry, we find special function room rates for overnight convention.

Pricing for Room Tariffs

Here, we go through the guidelines for fixing reasonable room tariffs. While fixing room tariffs, it is essential that we assign due weightage to the price structure to be adopted. The average room rate should not be much higher than the competitive hotels otherwise the market will not welcome it. A hotel may also adopt a policy to give high pay roll to provide a higher standard of services that the customers are ready to pay. There are some common factors considered by the hotel management and the public:

Current charges prior to a review the established inflationary effect on cost

the general economic situation

the emerging trends in currency exchange and

the intensity of competition.

Right averages and average room rates are the two important aspects to be taken into consideration while fixing hotel tariffs. The following are the economic criteria on room tariffs:

The total amount of net operating costs (after contribution from the food and beverage departments). Net operating costs, net operating cost plus rent (if payable) net operating cost plus interest and net operating cost plus a target return on capital.

This helps in calculating the total room sales and to achieve various levels of profits with the assumption that room department cost ratios, staff numbers and staff standards are known

On the basis of the above, a schedule should be produced as per the average room rates required in order to break even and/or to achieve the profit targets at various occupancy levels.

Budgets on room sales are to be planned based on sales mix taking into account the different sources of business.

After this, based on the current quoted tariffs, it is possible to calculate the different sources of business, must/not be exceeded if the average rate required is to be achieved.

The most expensive suite of THE REGENT, Mumbai, i.e. ‘king suite’ is for Rs. 45000 + 20% taxes and the ‘Normal Suite’ is for Rs. 15000 + 20% taxes. In each room they are providing facilities such as T.V., computers, telephones, etc. the major difference behind this price variation is the different quality of services provided by the hotel such as better quality shampoo, bed sheets, and the décor of the room.

Pricing for Food and Beverage

In a majority of the hotels, there are three or four types of rooms but so far as the menus are concerned we can have dozen of dishes. There are some of the important points to be considered in the process:

Do you find that your guests are eating in the hotel restaurant or coffee shop where the competitive

restaurants are very close to the hotel. Generally a proportion does eat in but a significant proportion goes out.

Where a hotel has two or more restaurants, they compete with each other and help splitting the market down the middle rather than offering a true price.

The business in the function room.

Pricing for Function

Restaurants can get more business because the food, services or atmosphere is unique or just a little better than the competitors. But this aspect is found more complicated for function room services. Most of the functions are fairly routines that make it difficult to produce a gastronomic experience. In addition, this aspect is found more competitive specially on the price front. Payroll is found to be a major cost on functions. Unless we move to the self-service (buffet style) functions, the payroll would remain an important dimension. A number of hotels are found fixing a staff standard for functions based on their style of hotel or one waiter to a table of ten people or one waiter to two tables. Yet, we find payroll more expensive.

Place Mix

The problems hotels experience in reaching new customers lead them to use third parties as intermediaries. This costs money in the form of commissions, of course, but then so does advertising.

Let us consider the various means by which hotels and their customers can be brought together .

Direct individual sales

This is the simplest method. The would-be guest chooses a hotel and then contacts it by letter, telephone or some other medium. The only parties involved are the hotel and the customer. Of course, the customer has to find out about the hotel first. This involves some kind of advertising or promotion. Typical methods include mentions in guidebooks, local accommodation brochures or directories such as the motoring organization handbooks.

One of the main problems with direct contact is that the customer is usually located a considerable distance from the hotel. This means that he has to place a long distance telephone call in order to make a booking, and might have to repeat this several times In order to obtain a room at a particularly busy period. This costs money and (what is often worse) often takes a good deal of time.

However, not all travellers bother or are able to arrange accommodation in advance, and a hotel can always appeal directly to these. Roadside advertisements are examples of this approach.

Direct group sales

Many direct bookings are actually made on behalf of groups of one sort or another. Some of these are relatively small, such as sports clubs outings, overnight functions and the like, but others can be very large, such as major conferences. These are sometimes arranged by specialist agencies, but quite often the organizer prefers to deal with the hotel directly.

Groups are so important as a source of business that they are an exception to the usual rule that it is not worth the hotel’s while to try to contact the customer directly for some face-to- face selling.

Travel agents

There are two main types:

1 Retail agents These are the common and familiar high Street agents who sell direct to the public. Their main business is to arrange holidays for their customers, including hotel accommodation.

2 Company agents Some city centre agencies specialize in business house travel, while organizations such as major multinational companies are so big that it is worth their while to have their own travel agency to handle all their business. Sometimes they buy one outright, sometimes they simply invite a small agency to specialize in their business. Either way, the agency is likely to handle a lot of valuable bookings. It receives the usual commission, though some of its profits are likely to be passed on to its parent company or major client.

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Travel agents make their money from commissions received on the sale of tickets and bookings. Since tickets are fixed in price, the mechanism is simple. The agency carries a stock of blank tickets and simply remits the money less the commission to the carrier after it sells one.

Group Tour Operators

These include the familiar names whose brochures you will find in any retail travel agent. Many of the larger ones have their own retail out lets. In all, they sell an enormous number of holiday ‘packages’ and book a comparable amount of space at hotels.

This category also includes a vast number of smaller operators of various sorts. Some undertake ‘speciality’ work, arranging battlefield or birdwatching tours, safaris, ski trips and the like. Others specialize in arranging conferences. One of the fastest growing sectors is that of incentive travel, usually arranged by a company for its clients or its successful sales staff. This is a specialized field, and it has attracted its own full-time companies that provide a range of consultancy and administrative services.

Group tour operators do not receive commission because they are not introducing clients but rather booking the space themselves. They make their money from the difference between the cost of the separate elements of the ‘package’ (transport, food, accommodation, entertainment, etc.) and the price they are able to charge for it as a whole.

Airlines

The major airlines are in a special position, since they are large and commercially very powerful.

They are important to hotels because:

The nature of their operations means that they are constantly having to send their flight crews to ‘overnight’ in hotels all over the world, and this in

itself means that they create a considerable amount of business.

They deal with an enormous number of travellers. Such travellers often find it convenient to arrange other services, such as car hire and hotel accommodation, at their destinations as part of the booking process. This puts the airlines in much the same position as the nineteenth-century railway companies, who also used to make hotel bookings for their passengers, and who even found it profitable to own and operate their own hotels.

They frequently have to make arrangements for travellers ‘grounded’ through no fault of their own. Arranging overnight accommodation for a planeload of passengers held up by fog or some other operational problem is a common task for airline staff, and can be a useful source of business for hotels in the vicinity of major airports.

Hotel representatives

Hotel representatives were originally an American idea, developed because the USA is a large country with widely dispersed centres of population, yet a lot of ‘ business travel. Hotel representatives’ base themselves in one such area (some now have worldwide representation) and act as sales and reservation agents on behalf of a number of non-competing hotels from other regions. Local travel agents are able to make bookings for the clients quickly and cheaply, rather than incurring the expense involved in long distance telephone calls. Representatives will also distribute your brochures and other promotional mater locally. They are usually paid an

annual fee plus commission on the reservations they generate.

Hotel booking agencies

Some areas are short of hotel space and it is particularly difficult to find accommodation in them at busy times of the year. This is fine for the local hotels, but not much fun for those trying to make bookings there. This has led to the development of specialized hotel booking agencies.

Some of these offer this service to individuals. Other hotel reservation agencies deal mainly with travel agents or conference organizers and offer a national, continental or ever worldwide service. Such agencies earn their living from commissions in the usual way, though there is usually also a ‘systems’ charge to cover the installation of any specialized equipment.

Group reservation systems

These are designed to help customers to book accommodation at any of the hotels within a group, usually with one local telephone call. They offer a valuable service to travel agents, who may have to make a number of bookings at different locations at the same time. However, the facilities can also be useful to the individual traveler, who is able to make a booking at a distant hotel with one local call. An incidental advantage is that the systems make it easier for the group to monitor overall booking trends.

Tourist Information Centres

The idea behind the Tourist Information Centre is quite different to that of the group reservation system. The

latter aims to help customers to book at group hotels anywhere in the world. A Tourist Information Centre aims (among other things) to help customers’ to book accommodation at any hotel within its own local area. It resembles the hotel booking service, except that it is not a commercial enterprise but a local government service.

The Tourist Information Centre also differs from most of the other intermediaries in terms of the type of customer it deals with. Group reservation systems tend to be set up by the big international hotel chains and used by agencies specializing in business travel services. Tourist Information Centre booking services tend to be used by private individuals interested in much cheaper accommodation, often of the bed and breakfast type.

The Internet

Group reservation systems restrict the customer to Just one company or consortium’s hotels. The Tourist Information Centre system is not limited in this way, but it suffers from resource problems that reduce its usefulness. In any case, it still puts an intermediary between the customer and the hotel.

The Internet does away with these limitations, as more and more customers are discovering. Any would-be guest equipped with a computer and a modem can now call up a hotel database covering his proposed destination and select an establishment on the basis of its location, price and facilities. He can use the built-in e-mail facility to check its room availability, make a booking and even pay a deposit by quoting his credit card number, all without having to leave the comfort of his home or office. With a fax connection as well, he can have a confirmation slip

printed off. In short, it allows him to select a hotel anywhere in the world and offers him instant connection at minimum cost, with all the advantages of immediate response and a permanent record.

The People

In an age of sophisticated information technologies when we have been making superhighway for communications, there is a basic change in the expectations of users. The personnel serving the hotel companies no doubt depend substantially on the instrumentality of information technologies but here it is also important that hotels and hotel companies assign due weightage to the development of personnel. Sky is the limit for perfection. This phrase is meaningful not only for the technologies but even for the people who manage them. It is against this background that the marketing experts the world over has been found making a strong advocacy in favour of an ongoing training programme for the personnel servicing the hotel companies.

The prime focus is on the front-line-personnel working in hotels in different capacities. The receptionists, the porters, the housekeepers, the waiters and waitresses and even the doormen play an incremental role in promoting the business. The sales executives, the marketing managers, the senior executives bear the responsibility of managing the front-line-personnel in such a way that the promised services reach to the ultimate users without making any distortion.

Of course, they are supposed to have proper education and knowledge regarding the services they need to offer but here, it is also important that the hotel organizes for

them an ongoing training programme, refresher courses, capsule courses, lecture programme, specially related to the behavioral profile. There are several cases to quote that even the five star hotels where the users stay with high expectations, a minor mistake committed by the receptionists or the housekeepers has resulted in a big loss. The frontline- staff in particular needs to identify the changing levels of expectations of users and in a majority of the cases they virtually fail in doing such.

A gap is generated between the quality promised and the quality-offered. If the hotel personnel prove to be high-performers, personally committed, professionally sound, value-oriented, aware of the behavioral management; familiar with the aesthetic management; they can satisfy the users even if the sophisticated technologies develop a fault. This makes it essential that the hotel personnel are made available an ongoing training facility efficacious in enriching their professional excellence.

The cases of menu fatigue, power interruption, mismanaged bedrooms, function rooms and restaurants, indecent behaviour of doormen, poor information to the receptionists and enquires can be minimized considerably if due weightage to performance-orientation is assigned.

THE REGENT, Mumbai, has recruited only those employees who have completed their diploma or PGDBA in Hotel & Catering Management. They have 700 permanent staff and 200 trainees. Their whole staff is well educated and well mannered because they are from the Hotel Management field only. These employees have western formal dress code. Slang is not allowed by the staff. This is how THE REGENT is maintaining and improving their quality of service. Training is also given to

these employees. For this training they are appointing a well-known personalities from the field of hospitality industry.

6)Marketing Mix of Beer Products:

Marketing Mix Analysis & Brand Extension for major National & International Beer Brand : Kingfisher & Fosters

Written By: Yogin Vora on May 22, 2009 No Comment

Alcoholic beverages market, especially beer market in India is growing with leaps and bounds. The beer market in India is estimated to be over Rupees 3000 corers. Annual consumption of beer is over hundred 10 million cases. CAGR of beer industry in the year 2008 is 14.3%, much higher than most of the countries. Rising income the Indian consumer, change in age profile and lifestyle as well as a reduction in beer prices are major factors pushing this growth. Traditional beer markets like Europe and USA are either flat or in a state of decline whereas consumption in the BRIC

countries increased by almost 50% during 2002-2007. In India, beer sales grew at nearly 90% compared to, less than 60% growth for other alcoholic drinks and according to industry sources Indian beer market is expected to nearly double itself to 23.3 million hL by 2012 from 12.5 million hL at present. Another interesting fact is among non-Islamic countries India has the lowest per-capita consumption of beer.

For these reasons international beer companies are coming to India almost every quarter. Three big international brands Budweiser, Carlsberg and Heineken entered India in last 12-15 months. In February this year, Anheuser-Busch, makers of the legendary Budweiser, that calls itself the king of beers, announced its India entry through a 50:50 joint venture with the Hyderabad-based Crown Beers. Three months before that, Carlsberg, the beer brand for soccer fans, announced operations in India through its venture, South Asian Breweries. Last year, the Singapore-based Asia Pacific Breweries picked up a 76 per cent stake in Aurangabad Breweries, paving the way for the launch of Heineken into India. There are others like NRI entrepreneur Karan Bilimoria, who created waves in UK’s Indian restaurants by marketing Cobra, a less-gassy beer, also eyeing the market. Even the big

three brands have siblings. Apart from Heineken, Asia Pacific Breweries (APB) sells Canon, Baron’s and Tiger; Crown Beers India unveiled Armstrong; while South Asia Breweries has introduced Pallone.But Indian beer market is highly saturated and difficult to break into. More than 80% ofthe market is controlled by the two players, UB and SAB Miller. While UB with brands like Kingfisher, Zingaro and Kalyani Black has a 48% market share, SAB’s bouquetof acquired brands- Haywards, Royal challenge, Knock Out and Foster’s deliver a combined market share of 37%. According to market analysts international brands excepting Foster’s have made little impression in India till date but according to these new entrants Indian beer market just started to evolve and has a huge growth potential. Till now the new entrants are looking at encashing equity with a premium pricing strategy and they cater to only 30% ofthe market - the mild beer segment. For remaining 70% market this players launched multiple new brands that are competitively priced. However some of the consultants are not confident about the success of this marketing mix since Indian scenario is widely different from other growing markets because of its immense and diversified geography, huge variety of social and cultural setup, differential tax regime across states, are to name a few.

Taxes imposed on alcoholic beverages are very high which make the competition tougher for new entrants. Currently spirit manufacturers trying to push forward a policy change which will exempt beer (especially mild variety) from high alcoholic tax regime and accept it as normal refreshment beverage but in Indian socio-cultural and political scenario this proposal has only a few takers.

Classification of beer: Lager: It is stored for a specified period before being bottled or canned. Pilsner: A type of lager beer, it is light with 3.0 – 3.8% alcohol and has a medium hop flavor. Ale: Top fermented, this kind of beer has distinct hop aroma. The alcohol content is around 4 – 5%. Stout: Dark with burnt flavor and strong malt aroma; it is heavily hopped and contains 5 – 6.5% alcohol. Porter: This is less dark than stout, even less hopped and is somewhat sweet. Alcohol content is around 5%. Creamy Ale: A highly carbonated beer that is produced by a combination of Ale and Lager. Malt: A strong flavored, high alcohol content beer that ranges in flavor and colors.

Classification of Beer : –

1. Lager: It is stored for a specified period before being bottled or canned.

2. Pilsner: A type of lager beer, it is light with 3.0 – 3.8% alcohol and has a medium hop flavor.

3. Ale: Top fermented, this kind of beer has distinct hop aroma. The alcohol content is around 4 – 5%.

4. Stout: Dark with burnt flavor and strong malt aroma; it is heavily hopped and contains 5 – 6.5% alcohol.

5. Porter: This is less dark than stout, even less hopped and is somewhat sweet. Alcohol content is around 5%.

6. Creamy Ale: A highly carbonated beer that is produced by a combination of Ale and Lager.

7. Malt: A strong flavored, high alcohol content beer that ranges in flavor and colors.

Methodology: Due to lack of time and resources collection of primary data has not been done and the entire project depends on the secondary data’s collected from different web pages, online research papers, etc.Analysis and others parts are done on the basis of these secondary data and knowledge collected from the marketing lectures and text books.

Analysis:

Marketing Mix Analysis:

Kingfisher History: Parent company of Kingfisher, United breweries was established in 1857 with the name Castle breweries. It was renamed to United Breweries in 1915 and started manufacturing beer from the year 1944 under the label Exports Beer. UB group started exporting beer to Middle-East from 1974 and in the year 1978 it launchedKingfisher brand.

Market Position: It is the largest selling brand in India and commands more than 30% share in the beer market. In 2005-2006 it recorded 28% growth.

Target markets: Kingfisher has two different products for different market segments.

Product : –

1. No. 1 selling product in its segment.2. Good quality raw material is used to maintain the

quality standards.

3. Consistency of product quality is high.

4. Always tastes fresh due to good quality and well developed distribution network.

5. Hangover due to heavy consumption is very mild.

Place : –

1. It is available throughout India, and is dominant particularly in South and West India.

2. UB has 16 company-owned breweries apart from nine contract breweries in 20 different locations across the country.

3. Kingfisher also has a presence in 60 countries.

4. Kingfisher also has an online marketing system. Any consumer can go to www.Kingfishernetshop.com and get their beer- a mini mum of six bottles home delivered. This move has been a big draw with info tech professionals and district women drinkers.

5. It also has some sixteen hundred shops apart from pubs and bars. Better retailing outlets are also to be opened under the Kingfisher Brand.

6. Kingfisher also has tie-ups with large department stores like ‘Foodworld’ for retailing its Beers.

7. Kingfisher also has association with number of Very Classy, Up-market & Stylish bars & lounges which goes hand in hand with its brand image.

Price : –

In both mild and strong beer segment Kingfisher uses competitive pricing strategy.

Promotion : –

1. Kingfisher tagline ‘King of good times’ is one of the most popular and most successful tagline in India.

2. Since advertising of liquor is banned in India, Kingfisher uses surrogate advertising methods like using mineral water and sodas.

3. Aggressive advertising at Outlets & Pubs.

4. Recently it also started merchandizing sports goods and trendy clothing and accessories under Kingfisher brand name.

5. Each year Kingfisher brings out new calendars featuring top models in swimwear.

6. Kingfisher also promotes itself by sponsoring events like fashion shows, sportspersons like Narain

Karthikeyan, East Bengal soccer team. UB promoter also acquired a Formula- One team (Force India).

7. Kingfisher also deals in sports merchandising starting with an ad featuring Sourav Ganguly and Ajay Jadeja in 1997.

8. With the launch of Kingfisher airlines combined promotion is possible which helps the brand promotion a lot. Kingfisher also ventured into other businesses with same brand name making the brand more visible and publicity easier.

9. Kingfisher recently tied up with NDTV for their new lifestyle channel NDTV Good Times for five years

10. And finally the Sultan himself, Dr. Vijay Mallya, the Big Daddy of all brands, the flamboyant Czar of the liquor industry who is the youth icon of a million hearts. His sole presence outweighs all other competitors taken together.

Foster’s

History: Foster’s was established by two brothers W M and R R Foster’s in the year 1986. SAB Miller is the parent company which runs Foster’s group, a premium global multi-beverage company delivering a total portfolio of beer, wine, spirits, and cider non-alcohol beverages. In the 70s Foster’s started exporting to USA and UK and entered the Indian market in a 1998. Foster’s is considered as a consumer driven brand.

Market Position: Foster’s belongs to the SAB Miller stable which is the second largest beer company in India, in terms of market share. Till now it is the only

international beer brand which successfully captured a significant share in the Indian market.

Target markets: The main target markets of Foster’s in India youth. But targeting strategy of Foster’s can be presented as

Product : –

1. Premium Lager beer2. Fresh taste

3. Among the two sizes (330ml and 650ml) pint size (330ml) is more aggressively promoted and

4. 70% of Foster’s sales today come from the pint-sized market

5. The product is a light beer – highly carbonated with low bitterness and no aftertaste. It has fewer calories and lower alcohol content.

Price : –

Foster’s unlike Kingfisher follows a premium pricing strategy for its products. The prices of widely available Foster’s product are

Place : –

1. SAB Miller has 10 breweries in nine

states and contract manufacturers in two other states.

2. Foster’s has 24 distributors serving over5,000 outlets, including over 2,300outlets in Mumbai.

General distribution structure of Foster’s is shown here-

Promotion : -

1. ‘Australianness’ is the essence of Foster’s brand image is promoted in every market in the world. All Foster’s lager theme advertising is consistent with an Australian positioning

2. The overseas advertising of the product often focuses upon the Australian connotations of the beer, e.g. with reference to stereotypical Australian imagery such as kangaroos, exaggerated accents, and hats with corks on strings

3. Since direct promotion is banned in India Foster’s use surrogate advertising method using mineral water of the same brand name

4. Fosters promoted its brand by sponsoring various sports like cricket, to enter the Indian market. Afterwards it withdrew from cricket and started promoting sports like football, rugby, motorsport etc.

5. Foster’s is deeply committed to promoting responsible consumption.

6. While Foster’s does not provide medical advice, nor attempt to advise individuals on important and complex medical issues, the Company is committed to ensuring that consumers access the best available information regarding alcohol and their health.

7. Steeping into Men’s Fashion apparels collections for better brand visibility.

Brand repositioning of Indian brand in presence of international brand:

The term “positioning” is widely used within the marketing and advertising communities today. Positioning is often used nowadays as a broad synonym for marketing strategy. Positioning should be thought of as an element of strategy, a component of strategy, not as the strategy itself. The term “positioning” is, and should be, intimately connected to the concept of “target market.” That is, a brand’s positioning defines the target audience. The correct positioning of a brand is basic and fundamental to its success; an incorrect or suboptimal positioning can doom a brand to underperformance or failure.

Kingfisher, since its origin proved to be the marketing savvy brand. Even though it was the largest selling beer brand, but when Fosters entered the Indian market, Kingfisher sniffed possible competition and invested heavily in brand visibility and positioning. During 2003-04 Kingfisher again repositioned itself by changing the logo.

Instead of the sitting kingfisher bird, the picture of a flying kingfisher was used during creation of new logo because the company wanted to promote itself as an aspirational brand which always wants to go high. This change was made mainly to maintain the distinctive positioning and to create a stronger emotional bond with the aspiring Indian youth.

This repositioning was so successful that even today Kingfisher uses this logo. After the entry of international brand Fosters, Kingfisher repositioned itself into a lifestyle brand adopting jingles like ‘Oola la le lo’ and tagline ‘King of good times’. Kingfisher tried to position itself as a brand for the successful and professional individuals who are always ready to take a break, have a party or just chill out. This positioning was promoted using Indian cricketers such as Ajay Jadeja and Sourav Ganguly, West Indies cricket team (At that time Kingfisher was the official sponsor of WI cricket team) and various other means. The notable thing during this repositioning process is that during this process Kingfisher kept the original message of the brand intact while adopting strategies (including advertising, logo designing, etc.) to communicate better with the consumers and to create a stronger emotional bond with them.The strategies of Kingfisher paid off well and as a result Kingfisher maintained the leadership position and added more dimensions into the brand making it stronger than before.

Brand Extension : –

Kingfisher is one of the most recognized brand in India and SAB Miller’s foster’s has also positioned itself as a unique brand so extension of both brands is possible without much hassle.

Kingfisher : -

Kingfisher is widely known among large number of consumers and its brand presence increased after diversification into airlines business. Kingfisher brand can be extended in following ways-

Line Extension:

Ultra Premium Beer: Though Kingfisher has a huge presence in both light and strong beer segment but from the beginning it followed strategic pricing policy and that made the brand very popular. But with the increasing income level of the Indian youth and the entry of international spirit majors like Carlsberg, Budweiser, etc. Kingfisher should introduce a high-priced premium beer that would compete against these brands effectively. In this way the company could extend its customer base and their strategy would also help the company to tap the high income aspiration group and since company could apply ‘skimming the cream’ policy for this segment, it could be assumed that revenue generation would be high enough to maintain profitability. This move may also help the company if it wants to transform itself into a legendary brand not only in India but also across the globe.

Category extension:

Energy drinks: Kingfisher always maintained itself as a lifestyle brand and associated the brand image with the youth. With the increasing per-capita income and westernisation of the Indian society, people are getting ready to spend more and more. On the other hand they are more conscious about health issues. Energy drinks are very popular in Western countries and some of them also entered into the Indian market but they failed to make an impact. If a company like Kingfisher with huge brand popularity and strong self and distribution network introduce energy drinks it could be a success. It will also go hand in hand with the current image of the brand.

Film production and distribution: Every year Indian film industry release a lot of movies and it is the largest film industry in the world considering the number of release per year. Still in India same production and distribution has not reached professional level. Only a few companies at present do things in a methodical way. But international production majors are entering in the Indian cinema space and Indian multinationals are also taking interest in this field. Kingfisher as a lifestyle brand always maintained a close relationship with the film fraternity and also has a presence in the television space in a joint venture with NDTV. So it would be a natural extension for the brand to start a movie and television production house. With this move Kingfisher would bring in its corporate expertise and financial muscle. This will also help the brand to increase the brand visibility. And just like Adlabs Kingfisher will have the opportunity to create its own multiplex chain and it will also help the current lifestyle apparels and accessories business a lot.

Apparels and accessories retailing: Even though Kingfisher is already present in the apparel and accessories space but its presence is very limited. According to industry estimates organised retailing is the next big thing. In this scenario Kingfisher could easily use its huge brand presence and popularity by investing more into theapparel and accessories retailing. In this way Kingfisher could transform itself into a complete lifestyle brand and that would open new horizons for the brand.

Fosters

Fosters always maintained its Australian identity throughout the ups and downs of the spirit industry. It is

the only well-known international spirit brand in India and Foster’s can use this very easily to extend the brand

Line extension:

Low-price beer: From the beginning Foster’s maintained high pricing strategy and that helped the brand to grow. Now since the brand is already popular they could introduce a localised version of the brand in lower price. That would help Fosters (SAB Miller) to strengthen its market presence and to compete against Kingfisher. This new brand will be a unique mixture of Australian characteristics of Foster’s and local characteristics and the target segment will be the Indian youth with low disposable income. Using the current infrastructure and distribution network, SAB Miller would make the process easy and less costly and that would increase the profitability of success.

Category extension:

Sports merchandising: Foster’s always maintained its position as the Australian brand and Australia is a multisport country where most of the sports are very popular and as the country Australia is very successful in these sports. Fosters previously maintained its relationship with cricket and other sports and is now also responsible for different sporting events. So they could use this to enter sports merchandising business in India using cricket as the entry point and then extending into other sports. They could also use the Australian image to relate the sporting fraternity of India and Australia and by this way they could popularise the currently unpopular sports like boxing, shooting, etc. If this strategy could be

implemented properly it would make Foster’s unique and give the brand a head-start.

Limitations:

Our study is based on secondary data, mainly from newspapers and websites and we had no access to primary data. As a result the report may not contain the latest data about the present market scenario which could otherwise have made it far better and relevant.

Findings:

Traditional beer markets in Europe and USA are either flat or are in a state of decline, whereas India still has a huge untapped market. For these reasons international beer companies are coming to India almost every quarter. Kingfisher, since its origin proved to be the marketing savvy brand and even though it was the largest selling beer brand but when Fosters entered the Indian market Kingfisher sniffed possible competition and invested heavily in brand visibility and positioning. Kingfisher changed its logo and adopted a new logo and tagline, sponsored the West Indian cricket team and also used the Indian cricketers to sponsor its product. It went into airlines, lifestyle and even started a television channel with NDTV. From our study we have also suggested some brand extension methods under, line extension and process extension.

Conclusions:

India is a growing economy and its market is opening up. The per capita income of the people of the country is rising daily and so is the beer consumption rate. The stigma associated with the consumption of alcoholic

drinks has also gone down; as a result the beer companies are trying to get more associated with everyone’s life.

7}Marketing Mix Of Travel Industry:

The Travel and Tourism industry is still one of the largest single businesses in world commerce and its importance is widely recognized.

The tourism industry is now one of the largest sectors earning foreign exchange. In the face of many benefits, many countries have started assigning due weightage to the tourism industry in their national development agenda.

Tourism statistics:

i. The tourism industry as a whole is presently estimated to earn over US$ 3.5 trillion worldwide.

ii. The travel and tourism industry generates about 11% of world GDP and 200 million jobs across the global economy.

TOURISM INDUSTRY IN INDIA

Indian Tourism industry is one of the most important export industries of the country. Although the international tourist inflow is relatively low, India has found tourism emerging as an important sector of its economy.

Recent statistics have revealed that during the first quarter of 2006, the performance of the tourism industry

has been very encouraging which has registered an 11% increase in foreign tourist arrivals.

India Tourism office at Tokyo won two International Awards in Tour Expo held at Daegu in Korea for excellent tourism promotion. Indian Pavilion won the Best Booth Design Award as well as Best Folklore Performance Award competing with major players in tourism such as China, Japan, Thailand, Malaysia and Canada.

About the company

The Kuoni Travel Group, India, is the country’s largest travel and Tourism Company and a 100% subsidiary Kuoni Travel Holding.

Kuoni India’s vision focuses on providing all travel and travel-related services to travellers from, within and to India.

Kuoni Travel Group, India was formed when Kuoni Travel Holding, Switzerland acquired 100% equity in SOTC on May 22nd, 1997. The Company was renamed Kuoni Travel (India) Ltd. SOTC World Famous Tours became a valued brand.

Kuoni Travel (India) Ltd. became India’s largest travel company with the acquisition of SITA World Travel a forerunner in Destination Management, incentive and business travel market.

Today, Kuoni-India is active across virtually every travel segment and operates a number of highly successful brands in India as also controls strategic markets around the world

Organization Chart

Board of directors:-

1) Armin Meier, CEO, Kuoni Group.

2) Max E. Katz, Chief Financial Officer, Kuoni Group.

3) Zubin Karkaria, CEO and Managing Director, Kuoni India & south Asia.

4) Reto Wilhelm, EVP – Leisure Travel Europe, Asia and Destination Management Kuoni Group.

About the competitors

Cox & Kings is the longest established travel company in the world.

At present, the COX & KINGS group has offices in UK (2 offices), USA, Japan, Germany Italy, Turkey, Pakistan and Nepal. In India, Cox & Kings has offices in Mumbai, New Delhi, Chennai, Bangalore, Calcutta, Ahmedabad, Cochin, Hyderabad, Pune, Goa and Jaipur and one satellite office in Andheri in Mumbai and Gurgaon in Delhi.

At present, the COX & KINGS group has offices in UK (2 offices), USA, Japan, Germany Italy, Turkey, Pakistan and Nepal. In India, Cox & Kings has offices in Mumbai, New Delhi, Chennai, Bangalore, Calcutta, Ahmedabad, Cochin, Hyderabad, Pune, Goa and Jaipur and one satellite office in Andheri in Mumbai and Gurgaon in Delhi.

homas Cook is one of the world’s leading international travel and financial services groups and serves over 20 million customers a year. They provide services to customers at 4,500 locations in more than 100 countries and employee over 20,000 people.

The Thomas Cook Holiday comes with a 150-year-old guarantee of eternally sunlit memories. They couldn’t expect any less from the people who invented travel for leisure. They offer the world’s most enjoyable holidays, to exotic destinations in India and abroad where everything is taken care of from beginning to end.

Established in 1984, Kesari Tours is a premium travel company, which offers world-class holidays in India and around the world. Kesari have perfected their tour itineraries to meet the special needs of the Indian tourist abroad. The motto of organization is ‘No compromise on quality’.

At Kesari Tours, they have made a motto that if they make a promise to their customers, they honor it. They believe in honest, transparent deals. No hidden costs and no compromise on sightseeing. They strive for 100% satisfaction of tourists. The company enjoys an immense goodwill. That’s what they earned out of their beliefs.

A passion for Travel & a vision for creating innovative travel packages were the two driving forces saw the beginning of a Travel Company in a very modest way in Mumbai’s Masjid Bunder.

The tremendous success & satisfaction of their tours paved way for Raj to hold its banner high & it continues to do so till date. They are proud to say that year after year they have improved on the product, adding new destinations, new attractions, pro-active marketing, & building customer confidence

Quality measurement

Kuoni has been granted ISO: 14001, environmental certification in autumn, becoming the first tour operator to earn this Destination.

Awards & Accolades

2005 – Galileo India Express Award for ‘Best Outbound Tour Operator’

2005 – Business Super brand

2004 – Galileo India Express Award for ‘Best Outbound Tour Operator’

2004 – Malaysia Tourism Award for ‘Best Foreign Tour Operator’

2004 – Singapore Tourism Board Award for ‘Best Travel Experience in India’

2004 – Star Cruises The Top Agents Award for 2004

Comparative Service Marketing Mix of SOTC and Cox and Kings

ü PRODUCT

Tourism service is the combination of tangible and

intangible elements. The tourism product, which is

mainly the destination, can only be experienced. The

views of the location travel to the destination, the

accommodation and facility as well as the

entertainment at the destination all form the tourism

product

Components of Tours as a Product.

Sr.No. BENEFIT MEANING

WITH RESPECT TO THE TRAVEL

AND TOURISM INDUSTRY

1 CORE BENEFIT

The fundamental benefit or service that

the customer is buying.

Traveling.

2BASIC

PRODUCTBasic, functional

attributes.

Ticketing, hotel

reservation.

3 EXPECTED PRODUCT

Set of attributes/conditions the buyer normally

expects.

Customer friendliness, good food.

4AUGMENTED

PRODUCT

That meets the customer’s desires

beyond expectations.

Prompt services,

comfortable and

convenient trip,

spectacular sights, and

music.

5 POTENTIAL PRODUCT

The possible evolution to distinguish the

offer.

Totally customized

tour

packages, A grade service

at every stage.

SOTC

SOTC offers a variety of tours which includes tours for families with kids, tours for senior citizens, theme vacations like beaches and also special packages for pure vegetarian and jains.

COX AND KINGS

COX AND KINGS also offers a variety of tours which include tours for families with kids, tours for senior citizens, tours for Marathi people, and tours for Gujarati people.

ü PRICE

Pricing in tourism is a complex process. Pricing includes the prices of other services like Air travel, Bus, Railways, Hotels, etc. All are included in tourism package. Pricing also depends on the Geographic location of the destination.

Pricing also depends on Seasonality. Seasonality is the most important factor in pricing. To match demand and supply tourist managers try to get either discount

SOTC

SOTC offers price sensitive tours like cost saver and premium tours which can be afforded by all classes.

COX AND KINGS

COX AND KINGS does not believe that the customer should pay a premium for excellent service and outstanding holidays. It is their policy to keep the prices as low as possible that is they follow “Low Price Policy”.

ü PLACE

Different distribution strategies are selected to reflect

the company’s overall objectives. Tours as a product is

distributed as a travel. Internet is also used widely. The

middleman may be tour operators, who buy tours in

bulk and make them available to travel agents who are

retailers.

SOTC

Different distribution strategies are selected for Tours marketing by SOTC. There are also small agents (who have taken franchise of SOTC) spread all over the town/country who also play a role of place. SOTC act as wholesalers and also act as a retailer. The latest mode of reaching the customers is through Internet that is SOTC has its own website from where information on the tours can be procured, direct booking can be done for which

the payment can be made through the credit card. SOTC also has its own offices from where booking can be done.

COX AND KINGS

Almost same distribution strategies are used by COX AND KINGS also. They too have wide spread offices all over the country and their own website from where direct booking can be done.

ü PROMOTION

Advertising and sales promotion in Tourism is very effective when supplemented by publicity and personal selling. Public or PR (Public Relation) plays an important role in tourism. It is also through recommendation of friends and relatives which is itself a biggest promotion.

Word-of-mouth is a very important tool of promotion in tourism. Research shows that about 80% of the tourist visited different places on the persuasion of their friends and relatives and also their own judgments.

SOTC

SOTC uses electronic, print and all sorts of media as tourism is a highly promoted industry. SOTC gives printed ads in “The Times of India” mentioning the special tours in it with the special prices offered by them. Brochures are another form of communication provided by SOTC to stimulate customers and motivate them to buy. They are used to demonstrate in pictures and words the images and positioning of the product and the organizations.

COX AND KINGS

COX AND KINGS also advertises in newspapers. It also has a tie up with leading publications for features on travel, which appear once a week.

ü PEOPLE

It plays a most important part in tourism. In people, local people are very important, that how they treat tourist. The travel agents, guides, staff, sales staff, etc of company they are the people. Travel Company also like Railways, Air, etc. is included in people.

SOTC

Kuoni group (India) employs 2900 employees through its 347 offices and caters to 3 million customers. SITA alone enjoys loyalty of its 2, 00,000 Indian customers.

COX AND KINGS

COX AND KINGS employs 2600 employees it has 13 offices in India and a network of over 500 GSAs across the country (general sales agent).

ü PROCESS

. The operation process of the SOTC and COX AND KINGS is given in the form of sequential steps involved in the delivery of the tours as a product.

Provision of travel information — The information regarding the travel is provided at a convenient location where the potential tourist seeks clarification about their proposed tour.

SOTC

SOTC provides information through its website, newspaper ads and in SOTC branches in the form of pamphlets.

COX AND KINGS

COX AND KINGS also provides information through its website, newspaper ads and in SOTC branches in the form of pamphlets.

Preparation of itineraries — It is a composition of series of operations that are required to plan a tour.

SOTC

The itineraries in SOTC are customized that is if the customer doesn’t wish to visit a particular place that place can be replaced with a place the customer wants to visit.

COX AND KINGS

COX AND KINGS has fixed itineraries the customer can cancel the visit but it will not be replaced by any other place.

Liaison with providers of services— Before any form of travel is sold over the counter to a customer; contracts have to be entered with the providers of various services including transportation companies, hotel accommodation, coaches for local sightseeing etc.

SOTC

SOTC has its contracts with many of the Indian companies like Hilton, etc.

COX AND KINGS

COX AND KINGS also has tie-ups with various 5-star hotels across the country.

Planning and costing tours— Once the contracts and arrangements are entered into, then the task of planning and costing the tour, this will depend on the tour selected as well as individual requirements.

SOTC

In SOTC the tours are customized that is if customer can’t afford the premium holiday he will be given the same tour but the cost will be reduced by offering him a deluxe hotel instead of a five star hotel or by offering him a non ac bus instead of a ac coach.

COX AND KINGS

COX AND KINGS follows a low price policy that is they fix the tour price as low as possible.

Ticketing— The computerized reservation system has in recent years revolutionized the reservation system for both rail and air travel.

SOTC

In SOTC the tours, air and rail tickets are booked online.

COX AND KINGS

COX AND KINGS also book tours, air and rail tickets through their online access system.

Provision of foreign currency and insurance—In case of foreign travel the final task provide foreign currency as well as insurance.

SOTC

SOTC provides its customers with foreign currency and visa services.

COX AND KINGS

COX AND KINGS provides its customers with foreign currency and travel insurance.

ü PHYSICAL EVIDENCE

ü The tourist attraction, which is an expensive for the customer must be tangibilized with the help of tangible items like, comfortable seats while traveling, layout, and design of the resort, natural service, etc. the sign posts that indicate directions, route maps, information regarding rules and regulations of the tourist spot and the sign regarding the public utilities like toilets, telephone booth also form a part of the physical evidence. Printed matters such as brochures also play an important role in the development of tourism. As the product, in tourism is intangible.

ü SOTC

ü SOTC provides its customers with a detailed brochure of the tour they have selected, a list of things to be done before going for a holiday e.g. cooking gas switch to be turned off etc and if the customer is going for foreign tour then a list of basic words like hello, water etc in the foreign country’s language which will make it easy for the customer, this establishes value for money, product image and status, which must be matched when the product is delivered.

ü COX AND KINGS

ü COX AND KINGS also provides its customers with a detailed brochure of the tour.

ü To conclude, the above facts and figures draw a clear picture that SOTC is the best company in comparison with COX and KINGS.SOTC is reasonable in price, offers best customer service which results into customer satisfaction. SOTC is the market leader in outbound tourism as COX and KINGS is the market follower.