92
A PROJECT REPORT ON SALES AND DISTRIBUTIN AT ORACLE GRANITO MANUFACTURING LTD. (MARBITO VITRIFIED TILES) IN PARTIAL FULFILLMENT OF MASTERS IN MARKETING MANAGEMENT UNIVERCITY OF PUNE SUBMITTED BY MR. MAULIK PATEL INSTITUTE OF MANAGEMENT BUSINESS AND RESEARCH, CHINCHWAD PUNE -: 411019 2007 – 2009

Maulik Old Sip Report

Embed Size (px)

Citation preview

Page 1: Maulik Old Sip Report

A PROJECT REPORT

ON

SALES AND DISTRIBUTIN ATORACLE GRANITO MANUFACTURING LTD.

(MARBITO VITRIFIED TILES)

IN PARTIAL FULFILLMENT OFMASTERS IN MARKETING MANAGEMENT

UNIVERCITY OF PUNE

SUBMITTED BYMR. MAULIK PATEL

INSTITUTE OF MANAGEMENT BUSINESS AND RESEARCH, CHINCHWADPUNE -: 411019

2007 – 2009

Page 2: Maulik Old Sip Report

ACKNOWLEDGEMENT

I am grateful towards Marbito vitrified tiles management for allowing me to undertake my

Summer Project at your esteemed organization. I am also thankful to all the staff of the

organization for supporting me and guiding me in this endeavor. My special thanks to chief

among them is the Director of my Institute Prof. Dr (Mrs) Asha Pachpandey. Who has

arranged the summer training for the student? I also thank Mrs. Archana Borde Director

MMM Program.

It is a matter to immense pleasure and pride for me to express my sincere thanks and regard to

my project guide Resp. Prof.Dr.C.Anbalagan, Mr. Manimama Patel General Manager in

Marbito vitrified tiles from the core of my heart, which with his relentless efforts and

continuous support provided me the necessary knowledge and procedure toward this project

report, otherwise this project would have been a distant dream for me.

Yours Sincerely,

Sandip Patel.

2

Page 3: Maulik Old Sip Report

DECLARATION

I, Mr. Maulik Patel hereby declare that this project is the record of authentic work carried out

by me, in well reputed ceramic company Marbito Vitrified Tiles during the academic year

2010-2012, under the guidance of Prof. Dr.C. Anbalagan, SABAR Institute Management.

This is my real work and has not been submitted to any other university or institute towards the

award of any degree.

Date: -

Place: - MAULIK PATEL

3

Page 4: Maulik Old Sip Report

PREFACE

I have pleasure to bring out this document incorporating my views on Marketing

Management, especially highlighting the Sales and Distribution base of Marketing Management.

During the last decade vast changes have taken place in economic conditions of India. The New

Economic Policy has used in an era of foreign collaboration, acquisition & mergers. This

changed environment, new concepts of management are being introduced.

Marketing has now become a subject of study in almost all universities besides the

management institution worldwide. The project consists of comprehensive discussion of the

elements that go to make up the “Marketing Management”. This project report is prepared

pursing my second year of ‘MMM” at the Institute of Business Management and Research. The

project is a part of my academic curriculum. By this document reader will be able to get a gist of

the subject Marketing + Sales + Distribution, according to my point of view.

The information provided in this project is derived with reference from various books,

internet sites & professional guidance from people related to this field.

I confirm that this particular project is true to best of my knowledge.

4

Page 5: Maulik Old Sip Report

CONTENTS

Chapter Title Page

No.

1. INTRODUCTIN 6

2. EXECUTIVE SUMMARY 8

3. OBJECTIVES AND SCOPE OF PROJECT 11

4. COMPANY PROFILE 13

5. PRODUCT PROFILE 21

6. RESEARCH METHODOLY 44

7. DATA ANALYSIS 48

8. FINDINGS 55

9. LIMITATIONS 58

10. SUGGESTIONS 60

11. CONCLUSION 62

12. BIBLIOGRAPHY 64

13. ANNEXURE 66

5

Page 6: Maulik Old Sip Report

INTRODUCTION

6

Page 7: Maulik Old Sip Report

INTRODUCTION

Company Training is an integral part of the MMM programmed which commences in the first

week of June and extends to about two months. For a young managements student the two

months of summer training is the most wonderful experience. The objective of this exercise is to

get a first hand exposure to the realties of business world and gain an insight into the working of

the corporate world and develop our managerial skills. The summer training gives us

opportunity.

To apply management theory in to practical life.

To understand the complexities of organization life.

To become aware of our strengths and weakness as required for potential managers.

To necessary skills of complete leader.

To understand coordination process.

There are certain things which are not too secret to be disclosed but disclosure of those things

prove successful.

The summer trainees are being fresh and unbiased to the organization, thus the origination

expects some unbiased suggestions and opinions from them because we will come to know about

extant and would be remarked.

We are required to compile the projects to the fullest satisfaction of organization concerned and

submit detailed report to the top management. I personally feel that company training is very

7

Page 8: Maulik Old Sip Report

important aspect for a complete MMM graduate and the two months of company training have

been a quality experience of mine. On the whole, it has been a challenging job.

EXECUTIVE

SUMMARY

8

Page 9: Maulik Old Sip Report

EXECUTIVE SUMMARY

The project report on : To study the effect of sales and distribution.

The project carried by Himmatnagar: Oracle Granito Ltd.

The project guide by : Mr. Manimama Patel (General Manager)

Oracle Granito Ltd.

The project undertaken by : Mr. Sandip Patel

Course- MMM

IBMR, Chinch wad

Pune- 411019

The project ‘to study on sales and distribution how the company can manage the sales and

distribution department’ and this department can handle all the states because goods are supply

in all the states of India.

The data collection sources include both primary data sources and secondary data sources. For

primary data source I choose personal observation, personal interview, questionnaire, schedules,

etc. for secondary can be collected from catalogues, books, magazines, and newspapers, journals

and other records which provide by company.

9

Page 10: Maulik Old Sip Report

MAJOR FINDINGS

Marbito vitrified tiles is having great brand equity as compared to competitors.

Ceramic market can be divided in to two broad area:

(a) Premium segment: in this segment high price in the high quality perceived brand exists

i.e. varmora, marbito, and sogo.

(b) Economic segment: This segment consists of average price and quality ceramic, which

are Regent, century.

SUGGESTION

Company should frequently check its price and price fluctuation should be

controlled.

It is clear that, while purchasing a ceramic of any company, customer first prefer

its quality so marbito should maintain its quality in future.

10

Page 11: Maulik Old Sip Report

OBJECTIVES OF

THE STUDY

11

Page 12: Maulik Old Sip Report

OBJECTIVES OF THE STUDY

To study the Sales and Distribution procedure of Marbito vitrified tiles

To collect the information about the Methods and Sources of Sales and

Distribution.

To Study the need & importance of system of Sales and Distribution as a Marketing

function.

To suggest measures for improvement of system of Sales and Distribution in the

organization.

To know leadership in market of Marbito vitrified tiles

To know the market share of ceramic.

12

Page 13: Maulik Old Sip Report

COMPANY PROFILE

13

Page 14: Maulik Old Sip Report

Company

Marb

ito situated at Himatnagar, 70Km. from Ahmadabad, for manufacturing high quality vitrified

tiles under the brand name of Marbito. It is a young company established recently. Marbito drive

an excellence and an insatiable apatite for quality and customer satisfaction was accredited with

ISO 9001:2000.

Marbito has edified a sophisticated imported state-of-art manufacturing plant at Himatnagar

having installed capacity of 12,000 sq. mt. /day. Marbito is a leading manufacturer of vitrified

tiles and produces 605x605 mm, 807x807 mm & 1000x1000 mm (first time in India).

Marbito procure sophisticated technology from world leaders in vitrified technology such as

Sacmi, Barbieri, and Itaca, Italy. Marbito also have latest R & D laboratory with constantly

trained workforce.

Marbito has been providing fascinating shades of marbles, plain colors, anti skid, multi prints &

double charge excelling international technical specifications to provide better floor solutions for

our valued customers.

14

Page 15: Maulik Old Sip Report

Marbito has opted for a long term policy which means to produce quality product to keep its

client satisfied.

Excellent Technology

Marbito has perfected the techniques that make its vitrified tiles the most durable and appealing

in the market. Sophisticated Italian equipment and innovative processes ensure excellent color

consistency, guaranteeing vibrant hues and low maintenance year after years. Stringent controls

at each stage of the manufacturing process guarantee that tiles leaves the factory complies with

the highest international and ISO standards. Meeting even the biggest delivery commitments on

time is no problem, thanks to the company’s one-roof, fully computerized system. This allows

the company to the maximize efficiency and cost-effectivenes addingrealvalueforthcustomer.

The unique features of the vitrified tiles plant are…

Longest kiln in India.

48 Head Polishing Machine, largest in India.

India’s largest 16 MW in-house power plant (among the tile manufacturers)

Machinery from the industry pioneer: Nassetti Italy

5000 Metric Tone Press, the largest in the country

The largest tile formats (1mx1m & above) in India.

15

Page 16: Maulik Old Sip Report

These are the ideal settings for vitrified tiles to qualify most stringent European norms.

The technical property given bellow reflects the technical properties of Marbito brand vitrified

tiles.

Technical Parameters         

Sr. No.

PropertyInternational Std.

ISO 13006/EN 176 Group Bla

MARBITO Granitile Value

Method of Testing

1 Deviation in Lenth ± 0.6% ± 0.1% EN 98

2 Deviation in Thickness ± 0.5% ± 1% EN 98

3 Straightness of Sides ± 0.5% ± 0.1% EN 98

4 Rectangularity ± 0.6% ± 0.2% EN 98

5 Surface Flatness ± 0.5% ± 0.2% EN 98

6 Water Absorption* <0.5% <0.05% EN 99

7 Mohs Hardness* >0.6 >0.8 EN 101

8 Flexural Straightness* > 27 N/mm2 > 44 N/mm2 EN 100

9 Abrasion Resistance < 204 mm2 < 144 mm2 EN 102

10Skid Resistance (Friction Coefficient)

> 0.4 > 0.6 ASTM C-1028

11 Breaking Strength* 1113 N 2800 N ASTM C-648

12 Density (g/cc) > 2 2.4 DIN 51082

13 Frost Resistance Frost Proof Frost Proof EN 202

14 Chemical Resistance No Damage No Damage EN 106

15 Thermal Shock Resistance No Damage No Damage EN 104

16 Colour Resistance No Damage No Damage DIN 51094

17 Thermal Expansion < 9 x 10-6 < 6 x 10-6 EN 103

18 Stain Resistance Resistant Resistant ISO 10545-14

19 Moisture Expansion Nil Nil ISO 10545-10

20 Glossiness - Min. 60% reflection Glossmeter

16

Page 17: Maulik Old Sip Report

17

Page 18: Maulik Old Sip Report

Excellent Blend

Marbito unique blend of international expertise yields vitrified tiles of outstanding beauty and

resilience. The flair of the best designers is combined with state-of-the-art Italian technology and

skilled craftsmanship. This fascinating merge of cultures results in a dazzling array of the

designs, both classic and modern, presented in a range of vibrant, long-lasting colors. With a

complete range of products, Marbito tiles are an unbeatable choice for both commercial and

domestic use.

Excellent Sales Network

Marbito tiles features high quality, original pattern and diversified varieties. Since launching into

the market, the products have earned high popularity from the domestic

Consumers and distributors. The sales network of the company covers throughout India currently

has developed over 350 dealer’s network and exclusive stores in India. Besides focusing on the

development at home, Marbito tiles opened his hands to international market. Pay attention to the

market trend, Marbito has accumulated rich experience, and has transferred the pressure into

promotion.

Excellent Professional Team

Professionalism is the key to the Marbito reputation as a leading producer of vitrified tile. With a

truly qualified & devoted team, we work hard to maintain efficient communication flows,

making sure we keep to our commitments. And a holistic approach to human resource

development within the company allows personnel to upgrade and refine their skills and

expertise while gaining an understanding of the company’s operations as a whole. Such insights

enhance the teamwork that enables us not only to fulfill, but also to exceed customer

expectations.

18

Page 19: Maulik Old Sip Report

ABOUT TILESABOUT TILES

Types of Tiles

The word ‘ceramic tiles’ is a generic word which includes: Ceramic tiles; ceramic

vitrified tiles; and porcelain tiles; Ceramic tiles may be classified as glazed ceramic tiles and

unglazed ceramic tiles. Glazed ceramic tiles may be plain or decorated and are generally used as

both wall tiles and floor tiles. Unglazed ceramic floor tiles are more suited to commercial and

industrial settings.

Floor tiles are generally thicker, larger and more porous when compared to wall tiles.

Floor tiles are generally of three kinds:

Ceramic tiles

Porcelain tiles

Fully vitrified tiles (Granito).

19

Page 20: Maulik Old Sip Report

Manufacturing of Tiles

The manufacturing process for wall tiles differs from that of floor tiles. Wall tiles are

manufactured through the Bicottura process whereas floor tiles are manufactured through the

Monocottura process.

Porcelain tiles / vitrified tiles are essentially ceramic tiles; however, they have very

low water absorbency. They are usually made from kaolin clays, feldspar, silica and coloring

oxides and are fired at about 1,200 degree Celsius. Porcelain and vitrified tiles, unlike porous

bodied tiles, shrink in the firing process and hence certain allowances are made for dimensional

accuracy during the manufacturing process. These tiles can be used as both wall and floors tiles.

However, the current industry trend is towards using them as wall tiles.

20

Page 21: Maulik Old Sip Report

PRODUCT SEGMENT

The main product segments are the Wall tile, Floor tile, Vitrified tile and Porcelain tile

segments. The market shares are 35%, 53% and 12% respectively for Wall, Floor &

Vitrified/Porcelain tiles. The tiles are available in a wide variety of designs, textures and surface

effects. They cater to tastes as varied from rustics to contemporary marble designs in super

glossy mirror finishes.

21

Page 22: Maulik Old Sip Report

PRODUCTPROFILE

22

Page 23: Maulik Old Sip Report

PRODUCT

VITRIFIED

ROCK SLAB

THE GRAND ROCK

MULTICHARGE

VITRIFIED RUSTIC

AQUART

STEPS

ELEVATION

RISERS

23

Page 24: Maulik Old Sip Report

PRODUCT ANALYSIS

Design consistency

Compared to natural stones like marble, Oracle Granito has far more consistency in

design for greater aesthetic appeal.

Polish retention

Unlike marble, Oracle Granito retains its polish for long.

Durable colour

Unlike marble which turns yellowish with passage of time, Oracle Granito exhibits nil

discoloration.

Stronger than granite and abrasion-resistant

Oracle Granito tiles look good year after year and makes for a long-term investment.

Full-body-design

As the design pattern runs through the body of Oracle Granito tile, surface wear over a

period of time does no expose different patterns.

Water absorption lower than 0.05%:

Make Oracle Granito stain-resistant, cleaner, and more hygienic and maintenance-friendly

Chemical-resistance

Chemicals like light acids, can be used to remove the most stubborn of stains.

Flatter joints

Less dirt collects at the joints.

Skid-resistance when dry

Safe for the young and the aged.

Pre-polished and pre-sized tiles

Ready-to-use Oracle Granito tiles saves time in laying.

ISO 9001:2000 accredited company

Customer can rest assured on product quality.

24

Page 25: Maulik Old Sip Report

PROPERTIES OF VITRIFIED TILES

Hardness

Hardness is the resistance of a material to an indentation by any other material. Vitrified tiles

have hardness of 7 to 8 MOH.

Strength

It is a measure of the load a material can beer with out formation of a crack or permanent

deformation. Vitrified tiles have strength greater than 300kg/square cm.

Zero water absorption property

Since vitrified tiles have high percentage of vitrification, they are less porous and hence they

have zero percentage of water absorption. Water absorption is conducted by socking a tile in the

water. The percentage increase of mass of tile is the percentage of water absorption. In case of

vitrified tiles water absorption is less than 0.50%.

Abrasion Resistance

Since vitrified tiles have MOH’S hardness value of 7 to 8, it is very difficult to abrade it in

normal conditions. Although any harder materials such as topaz or diamond can abrade it.

Acid resistance

Vitrified tiles have got resistance against wide range of chemicals including acids and alkalies

except hydrofluoric acid.

25

Page 26: Maulik Old Sip Report

PRODUCTION CAPACITY

26

Page 27: Maulik Old Sip Report

BRANCH OFFICES

MUMBAI

DELHI

AHMEDABAD

BANGALORE

CHENNAI

KOCHI

HIMATNAGAR

27

Page 28: Maulik Old Sip Report

Introduction

Definition

Marketing is the process of planning and executing the conception, pricing,

promotion, and distribution (4 Ps) of ideas, goods and services to create exchanges (with

customers) that satisfy individual and organizational objectives.

Need for Marketing of Ceramic

Some of the factors like competition create awareness of product to customer,

market penetration, to achieve goal for selling in particular segment, to establish good image

of brand of product to customer, etc are driving force behind marketing task.

As additional companies are coming up in the southern and eastern region,

there is stiff competition among ceramic producing companies. This companies need to

adjust themselves to changing situation by upgrading the technology, widening product

range, developing new market segments, improving existing, channel of distributions etc.

Essentials of Tiles Marketing

1. Focus on brand name

2. Effective Differentiation

3. Effective public relations

4. Price differentiation

5. Strong distribution network

Marbito Ceramic has created marketing department in Gujarat,

Maharashtra, Rajasthan, mp, Jharkhand etc, states of country as well as in foreign

28

Page 29: Maulik Old Sip Report

countries too. The head office of marketing department is at Gujarat, which looks after

the marketing of all regions centrally.

Marbito ceramic has created its own office at Ahmadabad, Delhi, and

Mumbai etc.

ORGANIZATIONAL STUCTUREORGANIZATIONAL STUCTURE

Management Structure

29

Page 30: Maulik Old Sip Report

MARKET SEGMENTATION

A company, which decides to operate from some part of market normally,

can not serve all the customers in market. To maximum utilization of available market &

resources to the sales the company adopts the market segmentation policy.

Chairman, Managing Director, Board of Directors, Marketing President, Marketing

Vice President

Deputy General Manager, Regional Manager, Area Regional Manager, Finance

Manager, Production Manager

Regional Sales Manager,Sales Executives, Production Executives

Top Management

Middle Management

Lower Management

30

Page 31: Maulik Old Sip Report

Marbito adopts market segmentation on following basis

1. Trade segment

It is the biggest segment, which covers 50% of Marbito market. It is the segment

of the retailers where brand identification, quality of product and market penetration play very

important role.

2. Builder

It is the second largest segment and very effective segment in ceramic marketing

of builders. Builders generally purchase in large quality so price and credit policy plays vital role

for this segment.

3. Government Segment

Govt. & Semi govt. agencies are the largest consumer contribution about 25-30%

of all India ceramic consumption. Special quality ceramic is asked at times for railways, ONGC,

and irrigation dep. etc.

4. Institutional

This segment covers industrial units and public trust. So relationship plays big

role for this segment.

PRICE MIX

Price is the only element of marketing mix that produces revenue. So we can say

that price is one of the most important element determining company’s market share and

profitability.

When it comes to setting up the price, it is the most crucial decision. Price decides

the market share and profitability. So any mistake in deciding price will affect too much to unit.

Marbito follows two types of pricing policies.

31

Page 32: Maulik Old Sip Report

(a) Cost Oriented Pricing

It is the simplest method for price. It also says as cost plus & target

pricing. Generally retailers are using this method. Marbito keeps the following point in mind

while deciding on cost base.

1. Sales Production cost

2. Distribution cost

3. Advertising cost

4. Promotion cost

5. Other marketing expenditure

(b) Competition Oriented Pricing

In this policy the price is set in accordance with the competition prevailing in the

market. This method is applied when there is higher competition.

In ceramic market the price of the ceramic product charges time by time. As the

owner of ceramic manufacturing units associated themselves in a group there avails high product

of price charge, the association fixed up price as per cost of products on, transportation cost,

excise duty, 10% profit etc hence it plays a vital role in pricing policy.

No w a days, government has no any control over the ceramic

prices as a result of this each organization adopts its own pricing policies. In Marbito pricing

decision are taken by consideration following aspects.

32

Page 33: Maulik Old Sip Report

Cost of product

Add expenses

Distribution cost

Market conditions

Sales production cost

This is a combination of demand and competition oriented pricing policy. The present

price of Marbito is Rs. 800 per box.

This method is applied where there is high competition in the market.

Credit Facility

Marbito follows 0 days of credit policy and this is the major positive strength of

the company.

Discount

Marbito itself a known brand tells the market about good economic rate so market

never needs any discount.

CHANNEL MANAGEMENT

According to Bucklin, “A channel of distribution shall be considered to comprise

a set of institution which performs all of the activities utilized to move a product and its title

from production to consumption.”

When producer relinquishes some control over how and to when products are sold

to marketing intermediaries, it is said to be the channel of distribution. At this time producer

appears to be placing the firm’s destiny in the hands of intermediaries.

33

Page 34: Maulik Old Sip Report

For marketing, Marbito has assigned the task to Distributor who is private channel

partner and perform all distribution activities on behalf of Marbito. This part directly collects

orders from the dealers/customers and prepares a chart accordingly type of tiles, quantity of

tiles, date of booking order, etc. this chart is send to site after receiving such chart at site.

They will prepare transport wise dispatch programmers from site; products would be

distributed as per the requirements of the distributors through concern transporters.

Generally, Marbito has appointed three type of transport facility for transporting the goods by

roads.

(a) By Road

(b) By Sea

(c) By Rail

PROCEDURE FOR DISPATCHES

D

D

34

Procedure

Receipt of order from Marketing

Order processing

Co- ordination

Booking office

Dispatch order

Page 35: Maulik Old Sip Report

Marbito has developed well- balance of distribution in all state, there is one sales officer

is there and under him distributors and dealers are there.

An example of the distribution network of Marbito in south region is as follow.

35

Back to booking for Invoices

Dispatch program

Transporters

Collection Memo to truck

Weigh bridge weight

Packing house loading

Weigh bridge weightiest

Security

Page 36: Maulik Old Sip Report

DISTIBUTION AREA

1. North Zone

Delhi

Punjab

Haryana

D

D

36

Direct consumers

Regional Sales office

Distributor

Dealer

Sub dealer

Page 37: Maulik Old Sip Report

Uttarpradesh

Uttaranchal

Himachal

Jammu and Kashmir

Chandigarh

2. East Zone

West Bengal

Jharkhand

Bihar

Assam

Tripura

3. West Zone

Maharashtra

Goa

Gujarat

Rajasthan

4. Central Zone

Madhya Pradesh

Chhattisgarh

37

Page 38: Maulik Old Sip Report

Orissa

5. South Indian

Andhra Pradesh

Tamil Nadu

Karnataka

Kerala

MMarketing Structure (Personnel)

38

Marketing Vice President

Deputy General Manager

Regional Manager

Area Regional Manager

Regional Sales Manager

Sales Executives

Marketing Director

Marketing President

Page 39: Maulik Old Sip Report

PRODUCT MIX

Elements of Product mix of Marbito

(A) Product Item

(B) A single product. Here vitrified is only a product

Marbella series

Platinum series

Super series

39

Page 40: Maulik Old Sip Report

Satin Matt series

Stono series

Arizona series

Pioneer series

Granite series

Mega slab series

(B) Product Line:

1) 600×600mm size

2) 605×605mm size

3) 807×807mm size

4)1000×1000 mm size

(c) Product mix

Vitrified Tiles

Quality Standard

40

Page 41: Maulik Old Sip Report

Company produces vitrified as per the requirement of quality standard

specified in ISO 9001 the quality strength of the Marbito ceramic is regularly tested.

Quality of Tiles per bag

Only Two kind of quality packing is done, 15.5 & 25sqr ft per box of

Tiles.

SIZE (m.m) Sq.ft.

600×600 15.5

605×605 15.76

807 × 807 21

1000 × 1000 25

41

Page 42: Maulik Old Sip Report

PROMOTION MIX

Marbito’s promotion is combination of two strategies i.e.

1. Sales Promotion

2. Advertisement

(1) Sales Promotion

Definition

To communicate with individuals, groups or organizations to directly or

indirectly facilitate exchanges by informing and persuading one or more audiences to accept

an organization's products.

With the indent of open market ceramic as commodity is now shifting towards

being new ways to convince the customer to purchase their brand. They are positioning their

products stressing on specific attribute which customer consider e.g. strength, reliability,

water requirement etc. and are formulating their promotional strategies accordingly.

Objectives to be achieved by the Marbito through sales promotion are

1. To stimulate the buyer for purchasing the product.

2. To consider the type of market, competitive condition of market.

3. To give extra incentive to consumers.

Marbito adopts various types of sales promotion tools like discounts, gifts,

and some other incentives and sometimes company send their dealers and distributors on

tour.

Marbito has adopted 3 levels of sales promotion:

A. At a Dealer level

B. At a Salesman level

C. At a Consumer level

42

Page 43: Maulik Old Sip Report

I at a Dealer Level

Company prefers dealer who deals with Marbito only. Dealer being the

direct link between the customer and company, sales promotion applied on them provides

fruit full results.

Marbito provides following schemes.

- Depending up on sales turnover of a particular dealer, certain incentive is provided.

- Company arranges parties and functions at different places.

- Foreign tour is also arranged for the dealers.

- Picnics are arranged for all dealers of a particular region

- Calendars, diaries, etc., are provided to dealers.

II. at a Salesmen Level

Different attractive incentives are provided by Marbito to its salesmen for

increase in sales volume to their target. The target is fixed for each and every salesman and

he is able to achieve it, he will be awarded some gifts or monetary rewards and thus

motivated.

III. at a Consumer Level

Marbito explain its consumer about different types of ceramic tiles. They

explain that what are the other tiles and what is the Marbito vitrified. Consumers are ensured

with number of benefits when they use marbito tiles and cash discount also in certain

situation many a time; consumer also gets different gifts like diaries, ball pens, calendars, etc.

Marbito occasionally arranges consumer camp so that they can get information

about the company and its product. Marbito also arranges training camps masons,

architecture, builders, etc.

Thus, we can say that sales promotion is not expenditure; it is an investment

which provides a lot of rich dividend. Thus it is integral part of manufacture in efforts.

43

Page 44: Maulik Old Sip Report

3. Advertising

In the present period of business management, advertising is the most important

media to stay in the market. To earn profitability in business it is very necessary to advertise

our product of doing its publicity. Through advertisement one can differentiate its product

from the product of the other company.

With the indent of open market, tiles as commodity are now shifting towards

being new ways to convince the customer to purchase their brand. They are positioning their

products stressing on specific attributes which customer consider. E.g. strength, reliability,

water requirement, etc and are formulating their promotional strategies accordingly.

Advertising is primarily a private enterprise marketing tool; it is used in all

countries of world including socialists. Advertising is the cost effective way to disseminate

messages, whether it is to build brand preference for all over the world to motivate

developing nation. There are various advertising media like magazine, newspaper, radio,

television, outdoor display, direct mail, cards, catalogs, aerators, etc.

The unit has adopted the competitive advertisement policy for advertisement

purpose. The final budget is fixed every year. They are not having different advertisement

targets for different regions. They have got a controlled advertisement target of different

regions.

Printed Media

Marbito gives advertisement in newspaper, magazine and periodicals. The company also

distributes printed calendars to distributors, dealers, customer & workers every year.

Outdoor Media

Marbito also gives advertisement through outdoor media. For outdoor media they

use wall printing, poster and hoardings, bus, panels, railway bogies, etc.

Audio Visual Media

Marbito also uses media for advertisement like television, radio, theatre, etc.

44

Page 45: Maulik Old Sip Report

MARKETING RESEARCH

Marketing research is one of the powerful and intelligent media for those

who wish to be stable in market. It is the study of what, who, where, why, and how.

In Marbito there is no any department for conducting market research.

They are doing research at fixed intervals with the help of professionals. The corporate office is

looking after the marketing research activities.

Following method have been adopted by Marbito, for marketing research.

1> Survey Method: By taking Personal Interview.

2> Experimental Method:

To check the distribution channel, advertising strategy.

By this way they make their ideal efforts to increase their sales and improve the quality of the

product.

But in one of the year due to sudden fall in the price by notable extent, the

company is suffering from over production. But compared to other ceramic Industries,

Marbito is quite on safe line. .

Today Marbito’s exports of vitrified in India are 50% and Marbito has ranked no.

1 exporter of tiles for last three years.

45

Page 46: Maulik Old Sip Report

RESEARCH METHODOLOGY

46

Page 47: Maulik Old Sip Report

INTRODUCTION

Research is a “search for knowledge”. Methodology is the process of collecting the information,

which helps to find out the solution to the topic selected by the researcher. It is a systematic way

of presenting information.

METHOD OF DATA COLLECTION

The study is based on facts and figures collected by conducting a survey in MARBITO

tiles. Respondents are surveyed for the study. The respondents taken for the survey are those

workmen workers who are actually engaged in Manufacturing / Operating systems. To get the

respondents view, a questionnaire was prepared and the personal interview method is adopted.

SOURCES OF DATA COLLECTION

Data and information collected for the purpose of the study has been obtain from the

following sources

Primary Data

Secondary Data

PRIMARY DATA

Primary data is obtained by a study specifically designed to fulfill the data need. Such

data are original in character and are generated by large number of surveys conducted.

A primary source is one that itself collects the data by following methods:

a) Direct personal Interviews

In this method of data collection, there is a face-to-face contact with the

persons from whom the information is to be obtained. The questions are ask to the

47

Page 48: Maulik Old Sip Report

respondents pertaining to the survey and collect the desired information. The information

obtained by this method is likely to be more accurate.

b) Questionnaire method

In this method, a list of questions pertaining to the survey is prepared and

given to the respondents. The questionnaire contains questions and provides space for

answers. A request is made to the informants to fill up the questionnaire. This method is very

helpful when the field of investigation is very vast. The workmen workers were given the

questionnaire form to be filled giving the details about the process of recruitment &

selection.

SECONDARY DATA

Secondary source of data is one the is already available. Which is been collected

by some one else. The secondary data mainly comprise of theoretical background. Material

collected from various Books, Magazines, Text Books and Company broachers, & records.

Secondary data is obtained by:

a) Published Data

b) Unpublished Data

The web site of Marbito vitrified i.e. www.Marbito vitrified tiles.com is available on

the Internet, which helped us to gather all detail information for the project.

LIBRARY WORKS

For preparing the project report, various books were referred which were

available in both, collage library as well as company’s library, which proved to be of

great help to me.

48

Page 49: Maulik Old Sip Report

SAMPLING

Sampling may be defined as the selection of some part of an aggregate or totality on the basis

of which a judgment is made.

In other words it is the process of obtaining information about a part of it. The items so

selected constitute what is technically called a sample.

Generally speaking sampling selection is a skillful task, which should take into account

various aspects. In order to collect the reliable information for the study I have selected

questionnaire-sampling method. Under the questionnaire sampling method out of 500

workmen’s I decided to contact 100 workmen’s who are actually involved in the

manufacturing / operating. Accordingly I approached the randomly selected respondents and

took the personal interview of those respondents who were willing to assist in conducting the

research.

49

Page 50: Maulik Old Sip Report

DATAANALYSIS

50

Page 51: Maulik Old Sip Report

ANALYSIS

1. Dealers generally look for profit margin to sale any particular brand of Vitrified.

According to them they can sale any brand it depends on profit margin.

2. As far quality is concerned Johnson & Johnson is on first position

3. As far as After sales service is concerned Vitrified is in 1st position and Marbito ceramic

is on better position

4. Marbella series is the 1st choice and Color is last choice of all type of customer.

5. Pricing positioning of Johnson & Johnson is first rest has 2nd position including Marbito

Vitrified tiles ltd.

6. In market share according to volume Johnson & Johnson come at the best and Marbito is

not so well.

7. In regard of market potential Marbito Vitrified has better position.

8. Delivery position, Strength, Marbito has got third position.

9. In communication Marbito Vitrified is on the good position.

10. As regarding Brand perception and Buyer’s choice Marbito is on third rank.

51

Page 52: Maulik Old Sip Report

11. In Promotion Scheme Marbito is on forth rank.

GRAPHICAL ANALYSIS

Which brand of Ceramic you prefer?

BRAND % OF RESPONDENTSVarmora 27Marbito 16Asian 24J & J 15sogo 8city 10

52

Page 53: Maulik Old Sip Report

Interpretation

Various major plant brands available in ceramic at Himmatnagar and nearby

region.

On major part wholesaler and retailer preferring Varmora as their first preference with

27% followed by Marbito with 16% than j&j with 15%, City with 10% and then Sogo with

8%.

What are motivating factors for consumers?

Interpretations

Survey revel that, customers are much “Quality” continuous while purchasing

any ceramic. So far customer, as whole sellers and retailers perceive, quality is a major

FACTORS% of

RESPONDENTSprice 10

quality 61image 29

53

Page 54: Maulik Old Sip Report

motivational factor for buying decision with 61%, where as brand image with 29% and

price with 10% stood second and third position as a motivational factors for customer.

54

Page 55: Maulik Old Sip Report

When 100 customers comes to you what is the percentage of demand?

BRAND % OF DEMAND

varmora 28marbito 24Asian 18J & J 17sogo 8city 5

Interpretation

On major part of the customer preferring Varmora as their first preference with 28%

and it nearest competitor is Asian 18% followed by Marbito with 24% than J&J with

17%, Sogo with 8% and then City tiles 5%.

55

Page 56: Maulik Old Sip Report

Which media is most effective for sale?

MEDIA PERCENTAGENewspaper 11Magazine 3Television 41

wall Painting 27Hording 13

Glow signboard 5

Intrepretation

In the glamorous world of advertisement different type of media was use for different

product . Through ceramic is a commodity product; hence its market segment is different

from any other product.

By the survey it was concluded that above 41% of retailer think that “ Telivision” is

the best media to attact customer . “ Wall prenting” is other best media of attrection

followed by “Hoarding”.

By survey it was concluded that only 3% of retailer think that Magazine is effective

media . which shows that magazine is not an effwctive media for sale promotion activity.

56

Page 57: Maulik Old Sip Report

What are the reasons preferences of any brand?

FACTORS PERCENTAGEBRAND

QUALITY 50BRAND IMAGE 30

MARGIN 10GIFT 5

OTHERS 5

Interpretation

By survey it was observed that retailer suggest the specific brand on the basis of brand

quality followed brand image on their margin than at last on the basis of gift.

It was observed that retailer and wholesaler prefer first to suggest the specific brand on

the basis of brand quality which is 50% , than followed by brand image 30% followed by

margin with 10% than gift and other factor by 5%.(here other factor includes

service ,relation .)

57

Page 58: Maulik Old Sip Report

FINDINGSAND ANALYSIS

58

Page 59: Maulik Old Sip Report

FINDINGS FROM THE DATA

Most of the whole sellers and retailers told that product is very good. Quality of the

product is up to the mark.

MRP of the product must be increased. The whole salers and retailers were not happy

with the MRP.

Product complaint is very less. As per the retailers product carried very less complaints.

Marbito vitrified tiles is having great brand equity as compared to its competitor.

Advertising frequency of marbito vitrified tile is relatively high than its compititors.

Consumer perceived clear differentiation between different brands of vitrified tiles.

Strength is most important factor. Which affect the vitrified tiles buying decision?

On brand preference marbito vitrified tiles is most preferred brand in the market.

Marbito vitrified tiles is most available brand in the market.

Marbito vitrified tiles having a good position in the market.

59

Page 60: Maulik Old Sip Report

SWOT ANALYSIS

Strength

1. Lower energy cost due to imported calorific value coal and use of non-conventional fuels.

2. Lower transportation cost due to increased transport through sea router fro bulk shipping.

3. Very high brand identity.

4. Excellent innovation engineering and technological skill useful for operating excellence.

5. Very less dependent on government for coal and power.

6. Favorable location having raw material site at a distance of the production line.

7. High distribution efficiency and sound to cope up with economic situation.

8. Excellent management team to cope with changing environment.

Weakness

1. No national geographic coverage as in case of competition.

2. Very limited fragmentation of plant, which avoid is presence in very sub regional

markets.

Opportunity

1. Higher agriculture production may result into higher purchasing power, which will

increase demand.

2. Stability of Government may result into higher FDI inflow, which will give rise to Mac’s

entry in India, which would require operations in India. Thus large infrastructure projects

and related requirements of housing and accommodation will boost ceramic sales.

3. New product usage of RMC (Ready Mix Concrete) would the demand.

Threats

1. Threats from the economic cycles. I.e. Recession or growth.

2. Change in Government policies in term of coal, diesel, raw material and transport.

3. Exchange rate fluctuation having direct effect on bottom line as well as on export.

60

Page 61: Maulik Old Sip Report

4. Capacity expansion by the competition, which will lead to the surplus of the ceramic.

LIMITATION

61

Page 62: Maulik Old Sip Report

LIMITATION

Bearing an Employee in a company, time constant is a major limitation for the study of

projects, preparation of questionnaire, follow up for filling up feedback from, collection

and compilation of data

Also candidate, while taking personnel interview, do not open themselves easily or they

feel that the person doing position to justify the things than only understand or collecting

the queries.

Hence it is very difficult to convince candidate to give proper answer of questionnaire.

Due to bad weather condition during survey period the monthly sales not accurately

respondent.

62

Page 63: Maulik Old Sip Report

SUGGESTIONS

63

Page 64: Maulik Old Sip Report

SUGGESTIONS

Company should frequently check its price and price fluctuation should be controlled.

It is clear that while purchasing vitrified tiles of any company, customer first prefer its

quality. So Marbito vitrified tiles should maintain its quality in future.

Though advertisement of Marbito vitrified tiles is very good. But it does not get position

in preference rating of consumer of Marbito vitrified tiles where as it has preferred by the

customer of varmora and sogo, While purchasing. So Marbito should make advertising

which should be heart catching and emotional to convenience more people.

Current price of Marbito vitrified tiles seems quite competitive, so company should

maintain its price according to circumstance and competitors strategy.

Company should start a scheme of giving gift to customers for purchasing of vitrified

tiles in bulk quantity.

The advertising should focus on the reasonable price with high quality and strong image

in comparison with the other brand of image.

Oracle granite ltd should try to establish its relationship marketing with key parties like

distributors, suppliers, retailers, and customer in order to earn retail long term preference

and business.

64

Page 65: Maulik Old Sip Report

CONCLUSION

65

Page 66: Maulik Old Sip Report

CONCLUSION

I underwent a two months training at Oracle manufacturing Ltd. Before coming to Oracle

manufacturing Ltd I had just studied Marketing Management as apart of my curriculum. But

coming to Oracle manufacturing Ltd I learnt the need & importance of system of Sales and

Distribution as a Marketing function.

In conclusion, I can say that,

Oracle manufacturing Ltd is a well-managed organization where all the personnel have a sense

of belongingness and responsibility towards the organization.

Oracle manufacturing Ltd is an example of outstanding performance and dedicated organization.

The members of the organization work like a close-knit family so member of Oracle

manufacturing Ltd called this organization as ORACLE PARIVAR.

The major area of concern for Oracle manufacturing Ltd is “Quality” and the quality and only

the quality.

The Organization has never compromised on quality it is the major reason for Oracle’s success.

Sales and Distribution procedures differ from the proto call of other organizations and its

uniqueness is appreciable.

With my study on Sales and Distribution process, I come to know that most of the customers of

Oracle manufacturing Ltd are satisfied with these processes.

66

Page 67: Maulik Old Sip Report

BIBLIOGRAPHY

67

Page 68: Maulik Old Sip Report

BIBLIOGRAPHY

Marketing Management -: Philip Kotler

Research Methodology -: Kothari C.R.

Sales Management -: E.W.Cundiff, R.R. Still

1. Website Visited -: www.Marbito.co .in

2. Annual Report of Oracle Granito Ltd

3. www.google.com

68

Page 69: Maulik Old Sip Report

ANNEXURE

69

Page 70: Maulik Old Sip Report

ANNEXURE

QUESTIONNAIRE______________________________________________________________________________

Research Research Guide

Sandip Patel Prof, Dr.C.ANBALAGAN,

Course MMM M.Com, M.Ed., PhD (Com) PhD(Edn)

Roll No 73197 IBMR

______________________________________________________________________________

Name: ____________________________________________________

Address:___________________________________________________ Phone no.:__________________________________

Age:_______________________________________

E-mail I.D.:_________________________________

70

Page 71: Maulik Old Sip Report

Q.1.Which brand of ceramic you prefer most (according to you)?

a. Varmorab. Marbitoc. Asiand. J&Je. Sogof. City

Q.2.What is motivating factor of customers?

1. Price 2. Quality 3. Brand 4. Other

Q.3.Which brand of company customer prefer?

a. Varmora b. Marbito c. Asian d. J&J e. Sogo f. City

Q.4.Media most effective for sales promotion?

a. News paper b. Magazine c. Television d. Wall printing e. Hoarding f. others

Q.7.Importance factors that people buy vitrified tiles from marbito?

Price

Brand Name

71

Page 72: Maulik Old Sip Report

Quality

Scheme

Demand

Delivery Time

Packaging

Advertising

Q.8.How do you evaluate the quality of vitrified tiles of Marbito as compare to Other producer?

Good Very Good Satisfied Poor Very Poor

Q.9Do you get vitrified tiles as per your order and delivery schedule?

Most of Time

Some Time

Always

Rarely

Never

Q.10In which area Marbito need to improve its strategy to get better remark

(Areas given below)?

Processing System

Quality of Product

Promotional Areas

Packaging of the Product

Discount Facilities

After Sales Services

72

Page 73: Maulik Old Sip Report

Better Feedback

73