CCASE
A Study on sales channel satisfaction and ways to increase market penetration and create brand awareness through sales
promotion activities.
Submitted by-SHEKHAR ANAND
VIKAS KUMAR
Reporting Officer-Mr. ALOK SRIVASTAVA
Mr. TAMAL CHATTERJEE
Faculty Guide-PROF. AJITH P
CASE STUDY RESEARCH SEGMENT
NIRYAS FOOD PRODUCTS PVT. LTD
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ACKNOWLEDGMENT
I wish to express my sincere gratitude to my guide Prof. Dr Ajith P, KIIT School of Rural Management, for his valuable guidance and support which helped me in successfully completing the project.
I also thank Mr. Tamal Chatterjee, DGM Marketing, & Mr Alok Srivastava DGM, Sales, Niryas Food Product Pvt Ltd for permitting and giving me an opportunity to do such project. I thank him for his encouragement and for extending his valuable advice which helped me throughout. I would like to extend my gratitude to NIRYAS FOODS PVT LTD. for their constant support and cooperation.
Shekhar Anand (15201023)
Vikas Kumar (15201032)
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DECLARATION
I hereby declare that this report of Case Study Segment (CSS) submitted to the KIIT School of Rural
Management (KSRM) of KIIT University, Bhubaneswar for the partial fulfilment of the requirement for
the Master in Business Administration – Rural Management is of my own and has not at any time been
previously submitted to this University or any other Universities/Institutions for award of any degree or
diploma.
Shekhar Anand
Vikas Kumar
Place: Bhubaneswar
Date:
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CERTIFICATE
This to certify that the report of the project submitted is the outcome of the project work entitled “Sales Channel satisfaction, ways to increase market penetration& create brand awareness through sales promotion activities carried out by Mr Shekhar Anand & Mr Vikas Kumar under my guidance and supervision for the Partial Fulfilment of The Degree in Master of Business Administration in Rural Management from School of Rural Management, KIIT University, Bhubaneswar, Odisha.
To the best of my knowledge the report embodies the work of the candidate himself. It has duly been completed and fulfils the requirement of the ordinance relating to the MBA degree of the University. It is up to the desired standard for the purpose of which is submitted.
_______________________
(Signature of the Project Guide)
PROF. AJITH P
KIIT School of Rural Management.
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CONTENTS1. INDIAN DAIRY INDUSTRY........................................................................................................................11
2. ORGANISATION PROFILE........................................................................................................................12
2.1 4C’S OF MARKETTING............................................................................................................................12
2.2 ORGANISATION MANAGEMENT STRCTURE...................................................................................13
2.3CORE VALUES OF NIRYAS......................................................................................................................13
2.3.2 TRUST........................................................................................................................................................14
2.3.3 CIVIL RENSPOSIBILITY.......................................................................................................................14
2.3.4 CUSTOMER DELIGHT...........................................................................................................................15
2.3.5 INNOVATIONS.........................................................................................................................................15
2.3.6 Services........................................................................................................................................................15
2.3.7.CATTLEFEED..........................................................................................................................................15
2.3.8 VETERINARY SERVICES......................................................................................................................16
2.3.9 CREDIT SUPPLY/ LOYALTY SCHEME.............................................................................................17
2.3.10 FARMER ORIENTATION AND TRAINING.....................................................................................17
2.3.11 DISTRIBUTION NETWORK OF NIRYAS.........................................................................................17
3.1 OBJECTIVES...............................................................................................................................................18
4. LOCATION OF THE PROJECT- WEST DELHI.................................................................................19
4.1 DEMOGRAPHICS OF WEST DELHI......................................................................................................19
5. METHODOLOGY OF OUR STUDY..........................................................................................................20
6. SURVEY FINDINGS ANALYSIS OF RETAILERS..................................................................................21
6.1 MARGIN OF VARIOUS BRANDS FOR RETAILERS..........................................................................21
6.2 SCHEME PROVIDED BY VARIOUS BRANDS TO RETAILERS.......................................................22
6.3 REASON FOR ASSOCIATION WITH PARTICULAR BRAND OF RETAILERS............................23
6.3.1. PROPER RESPONSE OF QUERRIES SOLVED BY BRAND.........................................................24
6.3.2. EXECUTIVE VISIT AND REALSTIONSHIP OF BRAND................................................................25
6.4TEA VENDORS ANALYSIS........................................................................................................................28
6.4.1. TYPES OF MILK USED BY TEA VENDORS.....................................................................................28
6.4.2. LOOSE MILK BRAND PREFFERED BY TEA VENDORS..............................................................29
6.4 3. SUPPLY POLICY OF MILK FOR TEA VENDORS..........................................................................30
6.4.4 EXCHANGE POLICY FOR TEA VENDORS.......................................................................................31
7. SALES PROMOTION AND BRAND AWERNESS...................................................................................32
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7.1 PROCESS OF LAUNCHING NIRYAS MILK-........................................................................................32
7.2 WORK DONE DURING SALES PROMOTION.....................................................................................33
7.3 DRIVING FORCES BEHIND CONSUMERS ACCEPTANCE.............................................................34
7.4 IMPACT AFTER SALES PROMOTION..................................................................................................35
8. OBERVATIONS.............................................................................................................................................36
8.1 CHALLENGES DURING SALES PROMOTION...................................................................................36
9 .LEARNINGS FROM SALES PROMOTIONS...........................................................................................37
10. SWOT ANALYSIS OF NIRYAS................................................................................................................38
11. RECOMMENDATIONS FOR NIRYAS....................................................................................................39
11.1 SHORT TERM............................................................................................................................................39
11.2 LONG TERM..............................................................................................................................................40
12 SUCCESS STORY OF DISTRIBUTOR CUM RETAILERS...................................................................41
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EXECUTIVE SUMMARY
Organization- Niryas Foods Pvt Ltd , NEW DELHI.
Location- New Delhi (West Delhi & Central Delhi)
Project Title- A Study on sales channel and ways to increase market penetration and create brand awareness through sales promotion activities.
INTRODUCTION OF INDIAN DAIRY INDUSTRY
• India is accredited with being the largest producer as well as biggest consumer of milk in the world. It also has the world’s largest dairy herd (comprised of cows, buffalos, etc. – collectively called MILCH ANIMALS).
• A budgetary outlay of INR 31,500 Crore is recommended by the working group of 12th 5 year plan of Planning Commission of India for animal husbandry and dairy sector to achieve the growth rate of 6%.
• In the past 20 years milk production in India has doubled and has reached 116.2 million tons a year, becoming India’s No 1 farm commodity.
• Per day procurement of milk in India is 30 crore liters/day in which Amul’s Procurement is 1 crore liter per day
INTRODUCTION OF NIRYAS
• In Sanskrit, ‘Niryasa’ means ‘Milk’ and nothing else could capture our brand’s essence so succinctly
• Mother company of Niryas is Satin Credit Care Network Ltd., New Delhi
• Niryas Food Products Pvt. Ltd. is a premier dairy organization that has come into being to provide end-to-end solutions to all the dairy farmers as well as end consumers.
• Niryas offers a complete dairy product value chain which includes procurement, processing and selling of milk and milk consumables.
• Last but surely not the least, it ensures availability of most hygienic, purest and quality milk and milk products to its end consumer
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OBJECTIVES OF OUR STUDY-
1 -Distributorship sales channel satisfaction
Increase the width of the distribution Recording of various offers and schemes offered by various other brands. Increase sales volume. Diversify the product portfolio.
2- Brand awareness through sales promotion activities
Sales analysis study Brand awareness through sales promotion activities
METHODOLOGY
A Total of 200 respondents (as shown in the table) by us of different intermediaries.
PARTICULARS NO OF RESPONDENTSRETAILERS 100TEA VENDORS 50LASSI VENDORS 50
Sampling Technique - Purposive Sampling
Primary Data
Primary data has been collected by conducting field survey with help of structured questionnaire and market observations.
Secondary Data For secondary data we took reference from different brand website of dairy product and Niryas
website, NDDB website.
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FINDINGS FROM SALES PROMOTIONS ACTIVITY
Consumer are more faithful towards Amul, Mother Dairy, and DMS. Consumers stick to their acquired taste over many years so they are unable to switch brands. Retailers want good margin, schemes, good representative behavior, quality of product &
timely service. Consumers are more attracted towards Advertisements. After issue of discount coupon and sales promotion there was huge hike in the sale of Niryas
milk.
FINDINGS FROM SURVEY OF RETAILERS
Retailers are ready to stock milk brands if there is consumer demand in market followed by the margin provided.
Mostly the retailers are not associated with new milk brands due to lack of consumer preference. According to our observation we found that Mother Dairy resolves the problem timely as well
as there is regular visit of company’s executive for relationship. According to the survey it is being shown that maximum retailers expect consumer demand for a
new brand to be sold in the market. Quality and executive relationship also matters a lot for them.
Our observation in the field says that Mother Dairy is good in merchandising as it provides fridge, banners, poster, wall painting etc.
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RECOMMENDATIONS
SHORT TERM
According to consumers they are all habituated with reconstituted milk, so they want a milk which is pure & without powder.
According to the consumers the taste of the milk should be without any smell, little sweet, thickness should be more & pure directly from the cattle
Timely Delivery of product to the distributor & retailers. Maintain quality to capture market. Niryas Foods Products Pvt. Ltd. Should educate customers about the benefits of tri pack
technology & 100% vaccinated cattle .
Arrange meeting with retailers and discuss the problems. Consumer feedback dairy at productive outlet. Supply of milk of in 40 to 50 litter cans to hotel, institutions, organized canteen at
consentional rate. Media promotion through:-email, online chat, telemarketing, , web pages. Public access to plant . Provide cycle for delivery at productive
LONG TERM PLANS Tie up with education institutes and other Tie up with commercial industry where milk consumption is more. Plan to open own milk parlor and scooping parlor. Expand our products other cities and small cities also. Diversify more product portfolio Tie up with Malt Food Products
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1. INDIAN DAIRY INDUSTRY
The diary product have lot of demand in today’s market .These belongs to VFMCG sector product which are usually perishable in nature therefore companies producing these should be in complete sync distribution and sales
• India is accredited with being the largest producer as well as biggest consumer of milk in the world. It also has the world’s largest dairy herd (comprised of cows, buffalos, etc. – collectively called MILCH ANIMALS).
• A budgetary outlay of INR 31,500 Crore is recommended by the working group of 12th 5 year plan of Planning Commission of India for animal husbandry and dairy sector to achieve the growth rate of 6%.
• In the past 20 years milk production in India has doubled and has reached 116.2 million tons a year, becoming India’s No 1 farm commodity.
• Per day procurement of milk in India is 30 crore liters/day in which Amul’s Procurement is 1 crore liter per day.
• In India dairy has been practiced as a rural cottage industry over the years .Semi commercial dairy industry stated with establishment of military dairy farmers and co-operative Milk unions in 19th century.
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SUCESS OF INDIAN DAIRY
INDUSTRY
ANIMALS/BREEDS
NATIONAL POLICIES
PROCESSING AND VALUE
ADDING
MARKETING
MANAGEMENT
COPERATIVE SOCIETY
MOVEMENT
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2. ORGANISATION PROFILE
In Sanskrit, ‘Niryasa’ means ‘Milk’ and nothing else could capture our brand’s essence so succinctly! Niryas Food Products Pvt. Ltd. is a premier dairy organization that has come into being to provide end-to-end solutions to all the dairy farmers as well as end consumers. Niryas offers a complete dairy product value chain which includes procurement, processing and selling of milk and milk consumables. It aims to offer credit facility to the village dairy farmers and entrepreneurs for a nurtured business atmosphere. Last but surely not the least, it ensures availability of most hygienic, purest and quality milk and milk products to its end consumers. Moreover, research in the milk procurement arena has revealed that there is a clear demand for cattle credit, quality veterinary and cattle feed services among the dairy farmers and milk pourers. Thus, Niryas is best suited to become not only a procurer of milk, but also a provider of cheap and structured credit facility, quality cattle feed and periodic veterinary services to the farmers. It is through this disruptive approach that Niryas aims to save all the farmers, who are often stuck in a credit-commodity vicious cycle with the local ‘doodhiya’ that commonly becomes exploitative. And needless to mention, Niryas’ wishes to be with its end consumers at all times, who are invariably assured of purest and quality milk and milk products.
2.1 4C’S OF MARKETTING
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COMPETITOR
(AMUL, MOTHERDAIRY)
COMPANY (NIRYAS) CONTEXT (DELHI)
CONSUMER
(WEST DELHI)
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2.2 ORGANISATION MANAGEMENT STRCTURE
2.3CORE VALUES OF NIRYAS2.3.1 QUALITY
Milk being a highly nutritious food product fulfills the rudimentary nourishment of the human beings, right from their birth. It ought to be quality, hygienic, pure, fresh and tasty. Therefore, our vision is to create a valuable dairy product chain starting from our dairy farmers in remote villages, who would pour fresh milk in a clean and covered steel can at our village level centers. This milk is then transported through insulated vehicles to our nearby chilling centers and well-equipped and state-of-the-art plant for pasteurization. After undergoing rigorous quality checking, it is packaged in edible food grade poly
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CHAIRMAN
GENERAL MANAGER
DGM SALES
CHIEF MARKETTING OFFICER
DGM MARKETTING
AREA SALES MANAGER(ASM)
SALES EXECUTIVE
COMMUNICATION HEAD
MARKETTING EXECUTIVE
ADMIN PRODUCTION
FINANCE AND ACCOUNTS
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films and transported to the market in a hygienic, insulated/refrigerated milk van maintaining the cold chain process. This finally reaches our end consumers with the milk’s freshness, quality and taste intact. Hence, it speaks volumes about our transparent and highly streamlined method of procuring milk from our farmers and supplying it to our end consumers.
2.3.2 TRUSTBy following a lucid modus operandi of procuring milk from the farmers after fulfilling their basic as well as advanced requirements, we wish to build an unbreakable bond of trust with our employees. This will in turn help us accomplish our ultimate dream of providing purest and tasty milk to our customers. We are always on our toes to facilitate our rural employees in every possible way, so that we can be with our end consumers till the cows come home.
2.3.3 CIVIL RENSPOSIBILITY FOR OUR FARMERS
Our business model ascertains complete co-operation with our farmers from our end. Right from providing them with the credit facility for their start-up, cattle insurance including its fodder to veterinary services, we promise them a worry-free life by protecting them from the hoax of middlemen and money-lenders. We also wish to empower the rural dairy farmers with extensive dairy training via our state-of-the-art technology. Fair price for quality milk is our motto, and our farmers are assured of it, invariably
FOR OUR CONSUMERS
Our business model ascertains complete co-operation with our farmers from our end. Right from providing them with the credit facility for their start-up, cattle insurance including its fodder to veterinary services, we promise them a worry-free life by protecting them from the hoax of middlemen and money-lenders. We also wish to empower the rural dairy farmers with extensive dairy training via our state-of-the-art technology. Fair price for quality milk is our motto, and our farmers are assured of it, invariably.
FOR OUR COMMUNITY
With a progressive ideology to serve the youth of our nation to the best of our ability, we strive to render free of cost milk to the underprivileged orphans of our society at large. Moreover, we have our unwavering focus on encouraging rural women entrepreneurship. We aim to invite them for activities such as quality milk collection, synergistic and rigorous sessions shedding light on the gravity of hygiene in households and community, and the many benefits of thrift savings. To make a small difference in the lives of fellow humans is Niryas’ underlying force for its establishment.
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2.3.4 CUSTOMER DELIGHTWe duly focus on the demands and requirements of our end customers by creating a customer-centric environment that enhances the buyers experience and ensures customer loyalty. The supply of most hygienic, purest, tasty and quality milk to our consumers is our prime aim, and we efficiently work towards it.
2.3.5 INNOVATIONSTranscending the conventional, setting new trends and benchmarks, thinking out-of-the-box; these are certain key elements that Niryas works in accordance with. We believe in perpetual innovations. Be it implementing a small idea within the office premises to going out of our way to serve our customers outside the office-Niryas aspires to stand out in every activity it undertakes.
2.3.6 Services
Niryas has created its own space by focusing on offering extension services and loyalty programme to farmers, so as to make a robust milk procurement system in the long run. Niryas has focused on the following services:-
2.3.7. CATTLEFEED
Cattle feed is a major concern amongst farmers due to its continuous rising prices. Niryas makes superior quality cattle feed available to its members on credit.
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2.3.8 VETERINARY SERVICES
Niryas has recruited its own team of vet and para – vets with a prospective ratio of 1 vet and 10 para vets for around 1000 animal. There are regular routine visits by these vets and para- vets to each member house. Besides, they are just a call away at a very reasonable price
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2.3.9 CREDIT SUPPLY/ LOYALTY SCHEME
Niryas provides cattle financing to all eligible farmers under its loyalty programme. A farmer regularly pouring milk to Niryas for 6 months or 750 litres is benefitted with this scheme. It also offers one 36 inches LCD to its loyal borrowers, who pour a minimum of 10000 litter
2.3.10 FARMER ORIENTATION AND TRAINING
Farmers are being offered extensive trainings in animal care and other practices which lead to good health of the animal and increased milk.
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2.3.11 DISTRIBUTION NETWORK OF NIRYAS
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MILK FROM VILLAGE
PROCESSING AND PACKAGING
DISTRIBUTORS
DEALERS
RETAILERS
CUSTOMERS
RETAIL OUTLETS
CUSTOMERS
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3. TITLE & OBJECTIVES OF THE STUDY
Project Title- A Study on sales channel distributorship and ways to increase market penetration and create brand awareness through sales promotion activities.
3.1 OBJECTIVES 1 -Distributorship sales channel satisfaction
Increase the width of the distribution Recording of various offers and schemes offered by various other brands. Increase the sale volume. Diversify the product portfolio.
2- Brand awareness through sales promotion activities
Sales analysis study Brand awareness through sales promotion activities.
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4. LOCATION OF THE PROJECT- WEST DELHI
DEMOGRAPHICS- DEMOGRAPHICS OF DELHI
Current Population of Delhi in 2016 18,686,902
Population of Delhi in 2015 18,248,290
Population of Delhi in 2014 17,862,461
Total Male Population 8,976,410 (2011)
Total Female Population 7,776,825 (2011)
Sex Ratio in Delhi 866 females per 1000 males
Literacy Rate in Delhi 86%
4.1 DEMOGRAPHICS OF WEST DELHI
Demographics. According to the 2011 census West Delhi has a population of 2,531,583, roughly equal to the nation of Kuwait or the US state of Nevada. This gives it a ranking of 169th in India (out of a total of 640). The district has a population density of 19,625 inhabitants per square kilometer (50,830/sq. mi)
West Delhi has an area of 129 km², with a population density of nearly 14,000 persons per km². The population of 1,743,980 consists of 949,750 males and 794,230 females. Children between 0–6 years are 203,528 consisting of 109,526 boys and 94,002 girls. The literacy rate is above 70% at a total of 1,301,252 of which 739,572 are males and 561,680 females.
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5. METHODOLOGY OF OUR STUDY A Total of 200 Survey done (as shown in the table) by us of different intermediaries.
PARTICULARS NO. OF RESPONDENTSRETAILERS 100TEA VENDORS 50LASSI VENDORS 50
Sampling Technique - A purposive sample is a non-probability sample that is selected based on characteristics of a population and the objective of the study. Purposive sampling is also known as judgmental, selective, or subjective sampling
Primary Data
Primary data has been collected by conducting field survey with help of structured questionnaire and market observations.
Secondary Data For secondary data we took reference from different brand website of dairy product and Niryas
websites, NDDB website.
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6. SURVEY FINDINGS ANALYSIS OF RETAILERS
ALL Activity involved in giving a product in the shop is called retailing and done by retailers. Retailers are the key players in the market especially for dairy products so, it is important to know the view point and perception towards consumer. So, it is necessary to know retailers satisfaction and do the survey work and we also find out the retailers expectation for new milk brand. We recorded margins and various schemes provided by various brands
6.1 MARGIN OF VARIOUS BRANDS FOR RETAILERS
BRANDS MILK(l) Curd( 1Kg Matka) CHANCH(l)
AMUL RS 1.20 RS 3.00 RS 2.00
MOTHER DAIRY RS 1.20 RS 3.00 RS 2.00
MADHUSUDHAN RS 2.00 RS 5-10 RS 3.00
PARAS RS 1.60 RS 5-10 RS 3.00
GOPALJEE RS 1.60 RS 5-10 RS 3.00
DAIRY BEST RS 1.50 RS 5-10 RS 3.00
NIRYAS RS 1.50 RS 5-10 Rs 3.00
6.2 SCHEME PROVIDED BY VARIOUS BRANDS TO RETAILERS
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BRANDS SCHEME
AMUL NO SCHEME
MOTHER DAIRY ½ liter /Crate & Discount Coupon(In Selected Area)
MADHUSUDHAN ½ L/C
DAIRY BEST ½ liter per crate
PARAS Discount Rs 5-10 Per Crate to productive outlets and Sometimes ½ liter per Crate
GOPALJEE ½ liter for 15 days for new outlets/new market
NIRYAS ½ liter/c & Discount Coupon
6.3 REASON FOR ASSOCIATION WITH PARTICULAR BRAND OF RETAILERS
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50%
24%
20%
6%
CONSUMER DEMANDMARGINRELATIONSHIPPROMOTIONAL SCHEME
This figure represents that retailers are ready to stock milk brands if there is consumer demand in market followed by the margin provided. As there is a consumer demand in the market retailers can market the product easily and sale the product.
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6.3.1. PROPER RESPONSE OF QUERRIES SOLVED BY BRAND
Mother Dairy Paras Madhusudan DB Amul DMS
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2015 15
106
proper response
As the graph shows that Mother Dairy resolves problem instantly followed by Paras. We recommended to Niryas to resolve the problem instantly which will help them to market its product.as the queries of the consumers should be resolve within the stipulated time.
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6.3.2. EXECUTIVE VISIT AND REALSTIONSHIP OF BRAND.
Mother Dairy
MadhusudhanParas
AMUL
DAIRY BESTDMS
05
10152025303540
35
20
10 106 4
EXECUTIVE VISIT
According to our observation we found that Mother Dairy resolves the problem timely as well as there is regular visit of company’s executive for relationship.
As it influences the retailer for keeping stock of Niryas milk and take further demand.
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6.3.3. RETAILER EXPECTATIONS FROM NEW BRAND
Demand
Quality
Margin
RELATIO
NSHIP
Servi
ce
Credit Facil
ity
OTHERS0
5
10
15
20
25
30
3533
20 20
10 106
1
EXPECTATIONS FROM NEW BRAND
According to the survey it is being shown that maximum retailers expect consumer demand for a new brand to be sold in the market.
Quality and executive relationship also matters a lot for them.so, we can see here it is same as in case of retailer exception towards particular brand for consumer demand.
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6.3.4. MERCHANDISED OUTLETS AS PER BARND RANKING
Mother Dairy Amul Madhusudhan Niryas Paras DB
40
25
1510
6 4
Our observation in the field says that Mother Dairy is the leading merchandiser as it provides fridge, banners, poster, wall painting etc.
And we can see here Niryas is providing less merchandising compare to other so, here Niryas should provide proper merchandising at retail outlet.
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6.4TEA VENDORS ANALYSIS
6.4.1. TYPES OF MILK USED BY TEA VENDORS
76%
16%
8%
Loose MilkPackaged MilkBoth
Loose milk demand is more because of tea vendors need milk as per their requirement. They require milk according to the demand of tea in the shop. They use normally Mother dairy Double
Toned milk for tea and because of easily availability Mother dairy loose milk they prefer to use it.so, here Niryas should provide loose milk and some infrastructure for tea vendors.
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6.4.2. LOOSE MILK BRAND PREFFERED BY TEA VENDORS
12%
80%
8%
MILK MANMOTHER DAIRYOTHERS
According to the survey it is being shown that 80% of responses came that Tea vendors prefer milkman for milk.
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6.4 3. SUPPLY POLICY OF MILK FOR TEA VENDORS
60%30%
10%
DISCOUNTCREDIT POLICYUNINTERRUPTED SUPPLY
In this pie chart we see the 60% tea vendors get milk at discount. So, Here Niryas should scheme for tea vendors.
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6.4.4 EXCHANGE POLICY FOR TEA VENDORS
10%
70%
20%
REFUNDSEXCHANGE OF PRODUCTSOTHERS
In this Pie chart we can see the exchange policy tea milk vendor is 70 % . Normally tea vendor
use Loose milk of Mother dairy and exchange policy Mother dairy is good. So, here Niryas should
also
Improve the exchange policy the product for tea vendors.
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7. SALES PROMOTION AND BRAND AWERNESS LOCATION- WEST DELHI
7.1 PROCESS OF LAUNCHING NIRYAS MILK- Market Analysis - Understand the milk market of Delhi and know what is the consumption
pattern of milk and which variants is more consumed, potential outlets etc.
Knowing Expectation from New Brand- What does the consumer expect from the new brand, what qualities and benefits they expect from a new brand.
Retailers, Distributor & Consumer Expectations- Benefits Retailers expect from a new brand.
Schemes & Discount they expect- What offers and schemes retailers expect from new brand for a particular retailer to market it.
Distributor and Retailer meet- Creating a relationship between Retailer, distributor and the brand for motivational approach
Launched Milk – Milk was launched after sample test at internal market (office) by various members of Niryas and after it, milk was launched at three locations West, North and Central Delhi.
Sales promotion- Creating awareness among consumer , retailers about the benefits and difference from other brands
Provided schemes & gifts to retailers, discount coupon & free sample to potential consumers- For brand promotion Niryas provided schemes of ½ kg for 12 kg to retailers and Rs 2 discount for 1 litter for regular customer and free sample of milk for test.
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7.2 WORK DONE DURING SALES PROMOTION Creating visibility of brand name in market.- Conducted free sampling activities through
Canopy, standee at different retail outlets which created curiosity among customer to know about it.
Creating awareness of Niryas Milk at 10 retail outlets and providing it as a sample product to the retailers- Created awareness about the core benefits of the products by providing sample to consumers as well as retailers.
Sampling of Niryas milk for taste among interested consumers- Live test at the outlets for the consumers who shown keen interest in the new brand/product
Interaction with various consumers and knowing their view point and expectations from new brand- What fault is there in the product for a new brand to improve it.
Knowing consumer response towards our product- Consumer feedback about the product
Educating the sales people of productive outlets about Niryas product- Motivating and educating retailers and support staff about the Niryas product for increase the sale.
SAMPLING OF NIRYAS MILK BRAND NAME VISIBLITY 0F NIRYAS MILK
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7.3 DRIVING FORCES BEHIND CONSUMERS ACCEPTANCE
Consumer and retailers awareness regarding Niryas products- consumer accept Niryas milk because brand visibility and availability in market through the sales promotion activity at different outlet in the market.
Free Sampling – sampling of milk for consumer and live testing .When a new product come in market consumers want a free sampling of milk as they want to use the brand initially.
Issue of Discount Coupons- Issued discount coupons for potential customer so, customer get discount of RS 2/- liter and get the benefit.
Publicity and visibility of our products in market- Niryas brand name is visible in market , sales promotion in front of retail outlet, RAW activity , media advertisement etc. so, that consumer are aware about Niryas brand name.
Product quality improved gradually – Quality of milk is improved and better so, that consumer are ready to use Niryas milk and have acceptability for the product.
100% vaccinated- Niryas provide 100 % cattle milk to there so, that consumer are ready to use fresh and hygiene milk and milk from disease free cattle.
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7.4 IMPACT AFTER SALES PROMOTION
BEFORE SP AFTER SP02468
101214
CRATES SOLD
NO
OF
CRAT
ES S
OLD
BEFORER SP AFTER SP0
1
2
3
4
5
6 CRATES SOLD
NO
OF
CRAT
ES S
OLD
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SHASHI GENERAL STORE- INCREASE IN SALE OF MILK AFTER SALES PROMOTION IN MARKET. HERE EARLIER DEMAND IS 2 CARRET AND AFTER SALES PROMOTION & DISCOUNT COUPON DISTRIBUTION DEMAND INCREASE UPTO 12 CARRET.
JAI SHIV DAIRY
INCREASE IN SALE OF MILK AFTER SALES PROMOTION IN MARKET. HERE EARLIER DEMAND IS 2 CARRET AND AFTER SALES PROMOTION & DISCOUNT COUPON DISTRIBUTION DEMAND INCREASE UPTO 5 CARRET
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8. OBERVATIONS Consumers stick to their acquired taste over many years so they are unable to switch brands- Retailers want good margin, schemes, good representative behavior, quality of product & timely
service. Consumer are more faithful towards Amul, Mother Dairy, Delhi Milk Scheme(DMS) Consumers are more attracted towards Advertisements. After issue of discount coupon and sales promotion there was huge hike in the sale of Niryas
milk.
8.1 CHALLENGES DURING SALES PROMOTION.
Competition with established player in the market. As there was a issue of spoilage in Toned milk, and we handled the situation and convinced
customers to consume Niryas milk. Big Market size Acceptability by retailer and consumers Convincing other brand consumer Unsupportive Retailer Resistance to change among consumers. Excessively demanding channel Resistance to accept Tri Pack among consumers & retailers
CONVINCING CUSTOMER FOR NIRYAS MILK
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9 .LEARNINGS FROM SALES PROMOTIONS
Competition with established player in the market-Strong market capture by the existing brand in the market and strong belief of people on using that particular brand.
As there was an issue of spoilage in Toned milk, and we handled the situation and convinced customers to consume Niryas milk- During the sale promotion time there is complain for spoilage in toned milk, its challenging for us to convince the retailers, faced lots of problem from consumer during sampling time.
Big Market size- Its challenging for us to cover whole market of west Delhi, because size of market is too long and big, still we did placement at whole outlet of dairy products retailers.
Acceptability by retailer and consumers- During we do sales promotion for Niryas consumer and retailers are not accepting our brand because new brand .its difficult us to motivate them and accepting them for Niryas product.
Convincing other brand consumer- During sampling time we interact with consumers and convince them to customer of Niryas brand.
Unsupportive Retailer- when we did sales promotion, sampling and placement of Milk some of retailer are not supportive.
Resistance to change among consumers- This was a big challenge for us as people were hesitated and resisted to change or switch over to new product and use it regularly.
Excessively demanding channel-There was rising demand of milk in the market and the consumers continuously used milk .
Resistance to accept Tri Pack among consumers & retailers –We are able to resistance to accept Niryas Milk among consumer and retailers. We make regular customer and retailers of Niryas Milk because of our relationship.
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10. SWOT ANALYSIS OF NIRYAS
Strengths Excellent quality management. Quality employees. The company is not only looking into
only milk but it has large portfolio of products like curd, ghee, cheese, butter.
Tri-pack Technology 100% vaccinated cattle Eco friendly Package
Weakness Limited Advertisement Difficult to maintain competitive
pricing. New Brand (lack of awareness) Inadequate transportation.
Opportunity’s Continuous demand of milk and other
dairy products by consumers. The brand can reach out to the untapped
market of Delhi . Creating the own captive farm and
promote farm tourism. Create paneer with higher shelf life. There is an opportunity for Niryas Food
Products Pvt. Ltd. for packaged curd.
Threats Strong marketing muscle of the
competitors. High margin paid to retailers by other
brands. Strong door delivery system of loose
milk vendors.
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11. RECOMMENDATIONS FOR NIRYAS 11.1 SHORT TERM
NFPL should educate the customers about the benefits &advantages of tri pack technology &100% vaccinated cattle- Niryas food product pvt ltd should aware its advantages of milk and packaging among retailers and consumer.
FSSAI logo should be printed clearly- Logo of FSSAI is not printed on Niryas milk packet so, niryas should print fssai logo on milk packet.
Timely Delivery of product to the distributor & retailers- Timely delivery of product is key factor for Niryas sale, almost other brand delivery late in week so, that Niryas should do delivery on time to retailers.
Maintain quality to capture market- freshness Niryas should maintain quality, hygiene, to capture the market.
Arrange meeting with retailers and discuss the problems- Niryas top level management should arrange meeting with retailers for discuss the problems and motivate them increase the sale .
Public access to plant- Niryas should access the production plant for public and school children and arrange some event and activity which attract consumer towards niryas brand.
Provide cycle for delivery at productive outlet- The company should start home delivery where a particular household will order range of products required by it over a time . For this company could provide a deliveryman with cycle to reach the different houses in society and locality.
Media promotion through :-Email, online chat, telemarketing, webpages ,social media.,local news cannel.
Print media promotion-Niryas should do Advertisement in local news paper .
Suggestion box at productive outlet for improving – Niryas should put suggestion box at every productive outlet to getting feedback of retailers and consumers for improving their quality and services.
Moblie lab test- Niryas should mobile lab that tests milk in residential colonies and productive outlet.
Infrastructure facilitation –Niryas should facilitates the potential retailers to buy freezers and fridges to store niryas milk .
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11.2 LONG TERM
Supply of 40- 50 liters to hotels, institutes, organized canteen at concessional rate- Niryas should tie up collages , hotel, organized canteen, hospital etc. to supply milk at concessional rate.
Plan to open own milk parlor and scooping parlor- Niryas should start ice cream scooping parlors across prime location of city and also should go in for exclusive outlets in at least all the shopping malls coming up these days and location where footfalls are large in number. The advantages of this channel will be: - full range display, easier to promote new product, brand building will be facilitated.
Expand our products other cities and small cities also- Niryas should expand product to nearest cities and small cities for increase there sale.
Diversify more product portfolio –Niryas should launch more other dairy product to capture the market and brand visibility.
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12 SUCCESS STORY OF DISTRIBUTOR CUM RETAILERS Name- Mr. Netrapal
Age- 44 yrs.
Store Name- Jai Shiv Dairy
Area- West Delhi (Vikaspuri)
Earlier- Amul Distributor
Amul Supply Earlier- In early stage he was the highest distributor of Amul of1100 crates per day. But due to some financial and some family issues the relationship between Amul & Mr. Netrapal got negative impact which resulted that Amul snatched the distributorship with him
Joined Niryas - 2015 with the help of her daughter as she has a export business.
Started Distributorship with 2-3 Crates of milk in April 2016
Presently selling about 40 crates of milk per day
Mr Netrapal with DGM Sales (Mr. Alok Srivastava)
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