Project Report MDA

Project Title:

Evaluation of Effectiveness of the Existing Market Development Activities at Nitco Ltd.

Submitted by: Sonali Gawde

Geography Covered: Mumbai & Ahmedabad

Index

1. Definition and Purpose of the Project

2. Objective of the Project

3. Outline of the Project Work

4. Observations & Analysis

5. Recommendations

1. Definition and Purpose of the Project

Market Development Activities: The activities undertaken for expansion of the total market of a product or company, constituting effective process for developing overall business and deliver business growth through maximizing sales.

This is achieved in 3 aspects:

New products or services to existing customers.

Existing products or services to new customers.

New products or services to new customers.

The purpose of market development activities at Nitco Ltd. is to showcase the service and support provided by the company towards the influencers and its consumers.

All the major players of building material industry are following a certain trend of organizing Market development activities so as to engage their target customers and achieve maximum sales and growth.

It is necessary to evaluate these activities for the following reasons:

To ensure efficiency and effectiveness of the activities.

Optimum utilization of resources available.

To gain competitive advantage.

Monitor-Review-Improvise on the shortfalls for Market Development.

2. Objective of the Project

To review, prioritize and modify the current market development activities in terms of cost effectiveness and higher returns in terms of sales.

Goals and Action plan

Goal 1: To study the various market development activities currently undertaken by Nitco and Competition.

Plan of Action:-To list the various types of market development activities undertaken by Nitco.- Evaluate & shortlist the relevant target audience of the market development activity.-Record the review and feedback of the target audience (Influencer community).-Bench mark Nitco vis-à-vis the competitors.

Goal 2: To evaluate the efficiency and cost effectiveness of these activities.

Plan of Action:-Study all the activities in terms of resources spend and its relevance.-Understand the various activities undertaken by competition to maximize business growth.-Evaluate and Shortlist the relevant activities for Nitco.

3. Outline of the Project Work

The Target Audience of the Market development Activities i.e. the influencer community was approached and a review of these activities was recorded as to its usefulness, efficiency, practicability and value in terms of returns.

Questionnaire Designed w.r.t. Nitco SOP for these activities and the data received was recorded and tabulated.

Geographies Covered

Particulars Mumbai Ahmedabad

Dealer Sales Boy 15 8

Sub-Dealers 25 10

Architects 10 10

Mason/Contractors 15 0

Competitor Sales Men's 2 0

Total Sample Size 67 28

4. Observations & Analysis - MUMBAIMarket development Activities for Competitor’s

KAJARIASub-Dealer Meet Contractor & Mason Meet Architect Meet

Meet Level Regional & Area Meet Level Area Meet Level Regional & AreaFrequency Twice in a Year Frequency Once in a Year Frequency Twice in a YearVenue 3-4 Star Hotel Venue Hall in 2star Hotel Venue Area 3-4 star Hotel

Regional 5-7 star HotelTime Evening

7-11pmTime Evening

7.30-9pmTime Evening

8pm onwardsMeet Type Dinner Meet Type Tea-Snack Meet Type DinnerFlow of Activity

1) Company Presentation2) Product Display & Knowledge3) Product Launch4) Discussion/Review

Flow of Activity

1) Company Presentation2) Product Technical Knowledge3) Q&A Round

Flow of Activity

1) Company Presentation2) Product Display & Knowledge3) Discussion/Review4) Entertainment

Gift Yes Dairy & PenWall Clock

Gift YesBag

Gift YesDairy & Pen

Highlight On the spot schemes Highlight Schemes from dealers

Highlight Interaction with top management.

Budget Budget BudgetPromotional Activities: Gifts like Wrist-Watch, Bag, Calendar, Sweets on festivals and achievement of huge sales.

Promotional Activities: Gifts like Umbrella in rainy season, Bag occasionally.

Promotional Activities: Gifts like Sweets (Chocolates) on Festivals.

RAKSub-Dealer Meet Contractor & Mason Meet Architect Meet

Meet Level Area Meet Level Area Meet Level RegionalFrequency Twice in a Year Frequency Once in a Year Frequency Once in a YearVenue 3 Star Hotel

RAK StudioVenue Hall in 2star Hotel Venue 5 star Hotel

Time Evening 7-10pm

Time Evening Time Evening 8pm onwards

Meet Type Dinner Meet Type Tea-Snack Meet Type DinnerFlow of Activity


Flow of Activity


Flow of Activity


Gift Yes Gift No Gift YesCoupons

Highlight Review Session Highlight N.A Highlight Interaction with top management.

Budget Budget BudgetPromotional Activities: No Promotional Activities: No Promotional Activities: No

SOMANYSub-Dealer Meet Contractor & Mason Meet Architect Meet

Meet Level Regional Meet Level N.A Meet Level N.AFrequency Once in a Year Frequency N.A Frequency N.AVenue 5 Star Hotel

RenaissanceVenue N.A Venue N.A

Time Evening 7-11pm

Time N.A Time N.A

Meet Type Dinner Meet Type N.A Meet Type N.ASOP of Activities

1) Company Presentation2) Product Display & Knowledge3) Product Launch4) Discussion/Review5) Entertainment

SOP of Activities

N.A SOP of Activities

N.A

Gift No Gift N.A Gift N.A


Highlight N.A Highlight N.A

Budget Budget BudgetPromotional Activities: Gifts like Sweets on festivals.

Promotional Activities: No. Promotional Activities: No

JOHNSONSub-Dealer Meet Contractor & Mason Meet Architect Meet

Meet Level Area Meet Level Area Meet Level RegionalFrequency Once in a Year Frequency Once in 2 Year Frequency 3 Year backVenue House of Johnson

ResortVenue Hall Venue 5-7 star Hotel

Time 1 day stay Time Evening 8-10pm

Time Evening 7pm onwards

Meet Type Dinner Meet Type Dinner (Biryani) Meet Type DinnerSOP of Activities


SOP of Activities


SOP of Activities


Gift No Gift YesMeasuring Tape

Gift YesStationary Kit

Highlight Outdoor Trip Highlight Showcases New Product


Budget Budget BudgetPromotional Activities: No Promotional Activities: No Promotional Activities: No.

VARMORASub-Dealer Meet Contractor & Mason Meet Architect Meet

Meet Level Regional Meet Level N.A Meet Level N.AFrequency Once in a Year Frequency N.A Frequency N.AVenue 5 Star Hotel

ITC GrandVenue N.A Venue N.A

Time Evening 7-11pm

Time N.A Time N.A

Meet Type Dinner Meet Type N.A Meet Type N.ASOP of Activities


SOP of Activities

N.A SOP of Activities

N.A

Gift No Gift N.A Gift N.A


Highlight N.A Highlight N.A

Budget Budget BudgetPromotional Activities: Gifts like Dairy on Occasions.

Promotional Activities: No. Promotional Activities: No

Market Development Activities for Nitco

NITCOSub-Dealer Meet Contractor & Mason Meet Architect Meet

Meet Level Area Meet Level Area Meet Level N.AFrequency Once in a Year Frequency Once in a Year Frequency N.AVenue LS Studio Venue Dealer outlet/Hall Venue N.ATime Afternoon

12-7pmTime Evening

7.30-9pmTime N.A

Meet Type Tea-Snack Meet Type Tea-Snack Meet Type N.ASOP of Activities

1) Product Display & Knowledge2) Sample Booking3) Discussion/Review of products

SOP of Activities

1) Company Presentation2) Product Technical Knowledge3) Q&A Round4) Factory Visit (dealer initiative)

SOP of Activities

N.A

Gift No Gift YesLevel Batli

Gift N.A

Highlight Convenience of visit time.

Highlight Schemes/Commission from dealers

Highlight N.A

Budget Budget Budget N.APromotional Activities: No. Promotional Activities: Gifts like

Umbrella in rainy season, Bag occasionally.

Promotional Activities: Sponsorships for Architect Cricket Match.

Analysis: Kajaria is the most prominent and effective in terms of arranging meets and

it’s also organized on regular bases as compared to others in the Tile Industry.

Kajaria arranges meets to ensure its dealers, sub-dealers & architect are well connected and informed about its new products & studios.

RAK & Johnson stands next to Kajaria in effectiveness of meets, followed by Nitco, Somany and Varmora.

SOP of all the companies is more or less same, what matters is the efficiency achieved in arranging the meets.

Sub-dealers, Mason & Contractors meets have repetitive activities at their respective meets.

Promotional Activities are mainly focused by Kajaria & Nitco.

Dealer-Sales person meets are not in trend as the returns from it is not quantifiable and hence companies have shifted its interest from arranging the same.

Architects are the major influencers and Nitco lacks in arranging meets and promotional activity towards them.

5. Observations & Analysis - AHMEDABADMarket development Activities for Competitor’s

KAJARIASub-Dealer Meet Dealer Sales Boys Meet Architect Meet

Attendees 30-40 Attendees 15-20 Attendees 300-400Meet Level Regional Meet Level Regional Meet Level RegionalFrequency Twice in a Year Frequency Once in a Year Frequency Once in a YearVenue 3-4 Star Hotel

Karnavati ClubVenue Dealer Outlet Venue IIID Event Stall

1st FridayTime Evening

7.30-11pmTime Afternoon

2.30-4pmTime Evening

6-10pmMeet Type Dinner Meet Type Tea-Snack Meet Type Dinner from @ IIIDFlow of Activity


Flow of Activity

1) Company Presentation2) Product Display 3) Product Technical Knowledge4) Q&A Round

Flow of Activity

1) Company Presentation2) Product Display & Knowledge3) Discussion/Review

Gift Yes Gift Hamper

Gift No Gift No

Highlight One of the meet is compiled with dealer

Highlight Quiz among the DSB Highlight Top A+ Architects are taken on trips. (F1Race)

Budget Budget Budget 1-1.5 LacPromotional Activities: Gifts like Bag, Calendar, Sweets on festivals and achievement of huge sales.

Promotional Activities: No Promotional Activities: Sponsorship for IIA Event.

HARMONYSub-Dealer Meet Dealer Sales Boys Training Architect Meet

Attendees 50-60 Attendees 2-5 Attendees N.AMeet Level Regional Meet Level Individual Dealer Meet Level RegionalFrequency Occasional Frequency Once/Twice in a Year Frequency Once in a YearVenue 5 Star Hotel

Courtyard MarriotVenue Dealer Outlet Venue 5 Star Hotel

Courtyard MarriotTime Evening

7.30-11pmTime Afternoon

1hour activityTime Evening

7.30-10.30pmMeet Type Dinner Meet Type Tea-Snack Meet Type DinnerFlow of Activity


Flow of Activity

1) Product Display2) Product Technical Knowledge3) Sales Techniques4) Q&A Round

Flow of Activity


Gift Yes Pen/Dairy

Gift No Gift YesGift Hampers (chocolate)

Highlight Meet is combined with dealer.

Highlight Individual Dealer outlet activity.

Highlight Concept Displays – Mock ups

Budget Budget BudgetPromotional Activities: No Promotional Activities: No Promotional Activities: No

SOMANYSub-Dealer Meet Dealer Sales Boys Training Architect Meet

Attendees 40-50 Attendees 2-4 Attendees 40-50Meet Level Regional Meet Level Individual Dealer Meet Level RegionalFrequency Twice in a Year Frequency Once/Twice in a Year Frequency Once in a YearVenue 3 & 5 Star Hotel

Courtyard MarriotChowkidhani

Venue Dealer Outlet Venue 5 Star HotelCourtyard Marriot

Time Evening 7.30-11pm

Time Between working Hrs Time Evening 7.30-11pm

Meet Type Dinner Meet Type Tea-Snack Meet Type DinnerFlow of Activity


Flow of Activity


Flow of Activity


Gift Yes Gift Hamper(not always)

Gift YesCap/Water-bottle

Gift YesGift Hampers (Dairy Kit)

Highlight 1) Stock Booking2) Get Together

Highlight Individual Dealer outlet activity.

Highlight N.A

Budget Budget BudgetPromotional Activities: Festival sweets @ high sales yielding counters.

Promotional Activities: No Promotional Activities: Also participates in IIA meets but not regular.

AGLSub-Dealer Meet Dealer Sales Boys Meet Architect Meet

Attendees 20-30 Attendees N.A Attendees 40-50Meet Level Regional Meet Level N.A Meet Level RegionalFrequency Once in a Year Frequency N.A Frequency Once in a YearVenue AGL Studio

Village HotelVenue N.A Venue 5 Star Hotel

Four PointsTime Afternoon

12pm onwardsTime N.A Time Evening

7-11pmMeet Type Lunch Meet Type N.A Meet Type DinnerFlow of Activity

1) Company Presentation2) Product Display & Knowledge3) Product Promotion4) Discussion/Review

Flow of Activity

N.A Flow of Activity


Gift No Gift N.A Gift YesGift Hamper (chocolates)

Highlight N.A Highlight N.A Highlight N.ABudget Budget N.A BudgetPromotional Activities: Sub-dealer gives commission to loyal Contractor/mason

Promotional Activities: N.A Promotional Activities: No

Market Development Activities for Nitco

NITCO

Sub-Dealer Meet Dealer Sales Boys Training Architect MeetAttendees 50-60 Attendees 2-4 Attendees 15Meet Level Regional Meet Level Individual Dealer Meet Level Individual ArchitectFrequency Once in a Year Frequency Twice/Thrice in a Yr. Frequency 1st TimeVenue 5 Star Hotel

NovotelVenue Dealer Outlet Venue Architect Office

Time Evening 7pm onwards

Time Between working HrsAfternoon 1hr.

Time Day Time2 Hrs.

Meet Type Dinner Meet Type N.A Meet Type N.AFlow of Activity


Flow of Activity


Flow of Activity


Gift No Gift No Gift No

Highlight Stock Booking Highlight Individual Dealer outlet activity.

Highlight Ensures Sales and provides project lead.

Budget Budget Budget Rs.1000 per officePromotional Activities: No Promotional Activities: No Promotional Activities: No

Analysis:

Somany is the most prominent and effective in terms of arranging meets on frequent intervals.

Kajaria, Nitco & Harmony stands next to Somany in effectiveness of meets, followed by AGL.

Meets are modified as per the objective requirements.

Promotional Activities are mainly focused by Kajaria & Somany.

Architects are the major influencers and Nitco is strongly focused for doing MDA in this segment against competitors.

Commission/Incentives is a major factor for influencing Architect, Masons & Contractors.

6. Brand Preference – MUMBAI

The most preferred brands are Kajaria & RAK the reason being good Services & Support, Organizational Structure, Product & Branding and Competitive Pricing.Nitco stands 3rd and hence needs Improvement in:

Services & Support Branding Market Development Activities

The most preferred brands are Kajaria & RAK the reason being good Design & Sizes, Services & Support, Marketing Activities and Proper Follow up.Nitco stands 3rd and hence needs Improvement in:

Size options Services & Availability Issues Marketing Activities Innovation

7. Brand Preference – AHMEDABAD

The most Preferred brand is Somany the reasons being good Design & Sizes, Branding, Services and Competitive Pricing.Nitco stands 2nd the reasons being good Brand Image, Quality, Field Force Support and Architect Specifications.Kajaria stands 3rd the reasons being effective Marketing Activities, Variety of Product Offered, Organizational Structure and good Services & Support.

The most Preferred brands are Kajaria & Somany the reason being good Design & Sizes, Services & Support, Marketing Activities, Proper Follow up and Competitive Pricing.Nitco stands 3rd and hence needs Improvement in:

Size options Services & Support Marketing Activities Innovation

8. Analysis of Marketing Activities in terms of Meets.

Meets suffices the following: Provides Direct Touch Point Update Influencer Community Build Relation & Trust Product Promotion Product Review Inject Motivation Schemes ensuring Sales Competition Activity Tracking

9. Recommendations

Mason/Contractor Meet SOP – The activity plan should be Dynamic and not repetitive which has

been done earlier. Dedicated Day @ LeStudio in order to suffice the following:

o Training on Producto Query Solutions

Schemes based on Sales to encourage sales and Small rewards should be announced like -

o Movie Ticketso Dinner Voucherso Amusement Park Tickets

Dealer Sales Boy Meet

It better to convert the meet into Dealer Sales Boy Training, which will be cost effective and also efficient in serving the purpose.

It could be held at Individual Dealer Outlet.o 2 – 4 Sales Boys onlyo Focused on Sales techniqueso Offer small gifts occasionally to keep involvement

Sub-Dealer MeetThere can be two ways in which this meet can be arranged:

• At the LeStudio.• Where activities like Product Promotion, Sample Booking can be

focused, it will result in effectiveness and efficiency in terms of results and cost.

• It should be a simple High Tea event.• Proper Follow up of promised activities should be done, i.e. in

terms of Sampling promised or gifts etc. • Sales can be generated only by ensuring company services &

support to the dealers.• At the Hotels.

• It can be held at 3 – 4 Star Hotels, so to ensure a push for sub-dealers to attend.

• A proper SOP needs to be followed for carrying these activities.• Schemes based on Sales w.r.t Foreign Travel should be announce

for sub-dealers also, since they are small players and can be influenced easily for a big R.O.I.

• These activities can be organized in partnership with dealer – in away that both the company & dealer should get benefit.

Architect Meet• These meets should be held at Regional level atleast once in a year.• It should focus on Marketing Activity so as to Nurture Architect

Relations with the company.• There could also be Presentations held at Architect Offices like a

Small meet at Individual - Architect Offices. This will ensure we have no lost touch and contact of architect and there will be Brand recall at time of purchase. The Benefits from the same would be as follows:

Target - Relevant Architects Generate Project leads i.e. On the Spot inquiry for Projects Build Relations with new Architects/Associates Ensures sales For such meets the Selection Criteria should be Architects with

major Project work

Documents

Project Report MDA