Loading...

Marketing Research & Innovative Product Launch in Indian Sanitation Industry

Project Report 2014 33 Pages

Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media

Excerpt

TABLE OF CONTENTS

Chapter-1: Aims & Objectives with Background Context
1.1. Background Context
1.2. Aims & Objectives
1.3. Motivation
1.4. Method

Chapter-2: Literature Review
2.1. Current Situation
2.2. Industry Analysis
2.2.1. Porter Five Forces
2.2.1.1. Intensity of Competition
2.2.1.2. Threat of New Entrant
2.2.1.3. Intensity of Substitutes
2.2.1.4. Bargaining Power of Suppliers
2.2.1.5. Bagaining Power of buyers
2.2.2. PEstle analysis
2.2.2.1. Political Environment
2.2.2.2. Economical Environment
2.2.2.3. Sociological Environment
2.2.2.4. Technological Environment
2.2.2.5. Legislative Environment
2.2.2.6. Environmental Environment
2.3. Competitor Analysis
2.4. Customer Analysis
2.5. Marketing Strategy
2.5.1. Business Strategy
2.5.2. Segmentation
2.5.3. Targeting
2.5.4. Positioning
2.6. Marketing Mix Strategy
2.6.1. Product Strategy
2.6.2. Pricing Strategy
2.6.3. Promotion Strategy
2.6.4. Placement (Distribution) Strategy
2.7. Product Life cycle
2.7.1. Introduction Stage
2.7.2. Growth Stage
2.7.3. Maturity Stage
2.7.4. Decline Stage

Chapter-3: Case Study
3.1. Case Study on DG Corporation
3.1.1. Vision
3.1.2. Bbjectives
3.1.3. SWOT Analysis
3.1.3.1. Strengths
3.1.3.2. Weaknesses
3.1.3.3. Opportunities
3.1.3.4. Threats
3.1.4. Competitive Advantage
3.1.5. Marketing Strategy
3.1.5.1. Business Strategy
3.1.5.2. Segmentation
3.1.5.3. Targeting
3.1.5.4. Positioning
3.1.6. Marketing Mix Strategy
3.1.6.1. Product Strategy
3.1.6.2. Pricing Strategy
3.1.6.3. Promotion Strategy
3.1.6.4. Placement (Distribution) Strategy
3.1.7. Stages of Growth
3.1.7.1. Introduction Stage
3.1.7.2. Growth Stage
3.1.7.3. Maturity Stage
3.1.8. Implementation & Control
3.1.8.1. Implementation
3.1.8.2. Control

Chapter-4: Discussion & Conclusion
4.1. Discussion
4.2. Conclusion
4.3. Recommendations

Chapter-5: References

EXECUTIVE SUMMARY

This report on the topic of launch of Innovative Product within Indian Sanitation Industry. The scope of this report is broad. It has been discovered that innovation in marketing offering (products or services) managed to command top attention from the majority of CEOs. Innovation in product is considered as major opportunities for the purpose of making customers loyal to the specified brand. There is no doubt in saying that Indian Sanitation industry has been growing on consistent basis and also promising great potential for future prospect as well. By analysing, all forces of Porter Five Forces model, it has been inclined that Indian Sanitation industry is attractive and has potential for growth in the long term. It has been discovered with the help of PESTLE analysis that there are two aspects (Sociological & Environmental) that could pose threat to the Indian Sanitation industry while the other four aspects (Political, Economical, Technological and Legislative) would be seen as great opportunities for the Indian Sanitation industry. DG Corporation (Entrepreneur Business Idea) is Indian based company and is thinking of entering Indian Sanitation industry with its innovative product named as DG Solar Glass Sanitizer. The core objective of DG Corporation is to successfully execute the launching plan for its Solar Glass Sanitizer. The company's main competitive is that the company is going to successfully launch its innovative product. As the company's DG Solar Glass Sanitizer is based upon innovative idea so that the company is planning to adopt Differentiation strategy. For the targeting purpose, DG Corporation is considering strongly to target middle class and high class social classes of urban areas. In regard to Positioning, DG Corporation is aiming to position its Glass Sanitizer on Point of Difference basis. For the marketing mix strategies: the company has formulated four aspects (DG Solar Glass Sanitizer would use UV technology and boiling & steaming method for removing germs from the glasses, the skimming pricing structure would be adopted, the company would utilized all available promotion methods and for placement the company would make relationships with few wholesalers). It has been recommended that trend of launching innovative marketing offerings (products or services) has been getting prominent these days and also incorporates more potential for success within almost all industries.

CHAPTER-1: BACKGROUND CONTEXT WITH AIMS & OBJECTIVES

1.1. BACKGROUND CONTEXT

We are now in the era of innovation and is also emerge as pervasive aspect. It has been disclosed that innovation in marketing offering (products or services) managed to command top attention from the majority of CEOs. Innovation in product is considered as major opportunities for the purpose of making customers loyal to the specified brand “IBM Global Business Services, 2006”. According to one study, product innovation enables companies in maintaining 1.2% higher operating margin over their competitors “Davis, 2000”. Outperforming current market through the innovative product is also based on the concept of exploiting current offerings with the efficient and effective use of electronic channels “IBM Corporation, 2006”. Generally, the ideal launch of innovative product requires the managing of development and support activities throughout the given product's value chain process (from product designing to the after sales services). But the marketing plan is considered as most significant aspect in the surge of innovative product launch as this aspect is more concerned with the approach of creating awareness about the company's potential products. And it has been observed that the companies that have been managed to implicate this aspect according to the projections have been able to outperform their competitors and are regarded more profitable and sustainable than others “Hyde, 2003”.

By analysing the current trend in Indian consumer products, it has been found out that the demand for hygienic care products are creeping up and has also resulted in creating major opportunities for the product line expansion for the companies within Indian Sanitation industry “Berman et al., 2009”. Media coverage on HINI influenza pandemic is regarded as the main reason because of which major players within the given industry have experienced sudden increase in sales. And such increase has been outcome in grabbing the attention of other consumer product MNCs[1] (Multination Corporations) participating in India. Additionally by observing over the sustainability of profits aspect within the given industry, there are certain factors (advancement in medication, winter colds & flues and the increasing awareness among masses in regard to hygienic problems) that assure high probability for the long term success of given industry. However, it has been predicted that there would be a high likelihood that the maturity stage of Glass Sanitizers would not be lasted for a long period and as a matter of fact Indian Sanitation companies came up with the approach (marketing strategy) of reminding public through the advertisements that these viruses and bacteria are spreading on constant basis throughout the year. Correspondingly, these companies are creating the awareness about their Glass sanitizers by publicising that how different companies (including commercial & public offices, schools and hospitals) have been successful in decreasing their amount of sick days with the help of urging their employees and students to use specified Glass sanitizer within the given workplace.

1.2. AIMS & OBJECTIVES

The main aim of this report is to assist the Entrepreneur Business Idea consumer product company named as DG Corporation to successfully launch its Innovative Glass Sanitizer within the Indian Sanitation industry. Moreover, there are certain objectives of this Theory into Practice report that are listed below:

- To analyse that either the Indian Sanitation industry is attractive especially from the perspective of new firm.
- To identify certain opportunities and threats that would create problem or positive situation for relatively newer company in the Indian Sanitation industry.
- To examine that to how much extent the company's segmentation, targeting and positioning strategies are relation with its marketing mix strategy.
- To discover certain factors that would enable DG Corporation to remain competitive and sustainable in the long run.

1.3. MOTIVATION

For the purpose of writing theory into practice research report, I found it better to go with the topic of launching innovating product in the Indian Sanitation industry. The main reason behind choosing Sanitation sector is my aspiration towards working within the industry which would not only compel me to use management knowledge but also urge me to use some sort of engineering techniques in order to satisfy the demand of health conscious customers. The second reason is the sudden increase in the demand for the healthcare products which is creating opportunities for the companies to capitalise upon it so that they would not only able to offer high quality health solution to Indian customers but also would allow them to generate more revenue from their existing customer base.

1.4. METHOD

This research report will follow the case study method and the case study which will included in this report is based on the (Entrepreneur Business Idea ) company which is planning to enter Indian Sanitation industry with the help of innovative Glass sanitizer. However, the important findings drawn from the Literature Review and Case Study chapters will be outlined in the Discussion & Conclusion. So in this way, this report will accomplish its objectives that have been discussed before.

CHAPTER-2: LITERATURE REVIEW

2.1. CURRENT SITUATION

It has been determined that recent increment in the demand for hygienic care products has been resulted in creating much scope for the expansion with the market of Indian Sanitation. However, huge media coverage on HINI influenza is regarded as main aspect behind the sudden increase in the sales of Sanitation products. Certain factors (medical advancement, profits sustainability, increased awareness about the benefits of hygiene and winter colds & flues) have reflected towards the high probability of success in relation to the Sanitation industry in the long run. By overviewing the profile of all major players in the Indian Sanitation industry, it has been discovered that the brand name used to play major role in regard to meet three important factors (affordability, reliability and safety). Both parties (medical researchers and consumers) agreed upon the aspect that products produced under specified brand name of major players are of significant quality. Correspondingly consumers show strong brand loyalty and also acknowledged the fact of these brands' positioning strategy. Moreover, all companies are seemed to targeting three significant segments: Business Corporations, Medical Facilities and Education Institutions. And the Placement strategy is only focusing on the bulk distribution which is also determined as the optimal way of doing business in the Indian Sanitation industry.

2.2. INDUSTRY ANALYSIS

There is no doubt in saying that Indian Sanitation industry has been growing on consistent basis and also promising great potential for future prospect as well. While past trends as well as recent sales figure shows that there are a lot of opportunities existing in the given industry that could be exploited by the companies in order to increase their pace of revenue generation. The companies are managed to make their customers habitual in regard to buying hygiene products and the rapid advancement in the medical technology is also considers as the useful aspect for spreading the awareness for hygienic safety among masses and urged them to purchase personal Glass sanitizer on regular interval.

Generally, there are two frameworks that have been used on broad basis for determining the specified industry's attractiveness as well as certain opportunities and threats faced by companies. These frameworks are: Port Five Forces and PESTLE Analysis. The description and the implication of these models with the respect to the Indian Glass Sanitization industry are outlined below:

2.2.1. PORTER FIVE FORCES

This model used to provide basis for the development of significant business strategies. This model was formulated by Michael E. Porter and hence it focuses more on the determination of two aspects: intensity of competition and the competitive attractiveness of given industry “Pecotich et al., 2004”. In relation to this model, the attractiveness signifies the industry's overall profitability and if there would be a case that the specified industry then it meant that all of the associated forces are making negative influence on industry's profitability “RENKO et al., 2006”. Therefore, thus framework is composed of forces that are strongly related with company's capability of meeting its customers' demands and also to generate adequate profit for the company “Rice, 2008”. This model is made up of two forces 1) Horizontal Forces (Threat of New Entrants, Threat of Substitutes and the Intensity of Competition) and Vertical Forces (Bargaining Power of Suppliers and Bargaining Power of Buyers). These five forces are briefly evaluated from the perspective of Indian Sanitation industry.

2.2.1.1. INTENSITY OF COMPETITION

This force is heavily focused upon the number of companies operating in the given industry and also take into consideration the resources owned by these companies “Munir et al., 2011”. In relation to Indian Sanitation industry, it has been inclined that there are few major players within the given industry and the size of these companies are relatively larger than other sectors. So, it meant that the competition is intense.

2.2.1.2. THREAT OF NEW ENTRANT

This force usually consider two factors: entry and exit barrier of given industry “Cafferky, 2005”. It has been analysed Indian Sanitation industry has high entry and exit barriers which meant that the fixed Ocosts is seemed to be higher and all in all it depicts that threat of new entrant is very low.

2.2.1.3. INTENSITY OF SUBSTITUTES

This aspect examine the potential sources that could have bad impact on the given industry's profitability “Porter, 1991”. In relation to Indian Sanitation industry, it has been determined that the presence of numerous soaps and Glass wash brands seem to pose high threats on the given industry.

2.2.1.4. BARGAINING POWER OF SUPPLIERS

This force relies more on two things that the products' characteristics & nature and the suppliers' capabilities for imposing forward integration threat “Porter, 1980”. In relation to Indian Sanitation industry, it has been discovered that the bargaining power of supplier is weak as the product is not much different differentiated and also the switching cost is relatively low. So, it means that the companies can procure raw material from multiple sources at the same time.

2.2.1.5. BAGAINING POWER OF BUYERS

This force emphasised more on the products' nature and also take account of buyers' capabilities with approach of imposing threat of backward integration “Lenz & Engledow, 1986”. In regard to Indian Sanitation industry, it has been concluded that the bargaining power of buyers is weaker in the case of individual customers but with respect to retailer it seems to be moderate.

By analysing, all above forces, it has been inclined that Indian Sanitation industry is attractive and has potential for growth in the long term. So, the new companies should enter the given industry with the motive of capitalising and exploiting the opportunities of given industry.

[...]


[1] Reckitt Benckiser, SC Johnson and Amway Corporation.

Details

Pages
33
Year
2014
ISBN (eBook)
9783656748854
ISBN (Book)
9783656748007
File size
517 KB
Language
English
Catalog Number
v280854
Institution / College
University of Bedfordshire
Grade
B
Tags
marketing research innovative product launch indian sanitation industry

Author

Share

Previous

Title: Marketing Research & Innovative Product Launch in Indian Sanitation Industry