Marketing Management Final2

8/6/2019 Marketing Management Final2

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MARKETINGMANAGEMENT -II

PROJECT REPORT

ON

NEW PRODUCT DEVELOPMENT

SUBMITTED TO-

Mrs. GEETIKA JAIN.

SUBMITTED BY:- AKANKSHA BHANDARI.


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ACKNOWLEDGEMENT

The writing of this project has been successful

with the help of number of people. We would like

to thank Mrs. Geetika jain our report supervisor,for her valuable guidance and kind patronage to

carry out the project successfully.


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INTRODUCTION

WRITE X GOOGLES would function as a high yielding strategic

unit of R.V. Vision Pvt. Ltd.

Customer Delight is their prime requisite via which we

always under promise and over deliver our products andservices.

Our research and development department has been working to

find untapped areas of business and expand accordingly. Showing

good results last year they are expecting their companies to do

much better in the years to come and are looking forward for futuregrowth potential.


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Marketing Research

Methods of Data collection:

Basically there are two methods of data collection:

1) Primary Data

2) Secondary Data

Primary Data Collection: Primary Data is that data which

is collected specifically for the project at hand.

The primary data for our report resulted from the

questionnaires filled by Women and men belonging to a

different age group and income level and some unstructured

interviews were conducted.

Secondary Data Collection: Secondary Data is that data,

which has already been collected for some other purpose but can

be used as reference material.

The secondary data for our report came from the internet,

and magazines.


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ABOUT THE PRODUCT:

Our product WRITE X GOOGLES is a highly innovative product

with various features. It has got certain features which makes it

different or highly superior in terms of other product of its same

category. It is a product which has got a worth due to its different

uses.

It is a highly innovative product in its own class. It has got various

features such as

-It can work both as spectacles

-A sunglass depending upon the situation,

-It can be folded into a shape of a pen

-Can be used for writing once folded,

Even it can be used in solving question as when a person not able

to answer any question in an examination hall or an interview, he

or she can take help of this as explanation will automatically come

in front of his or her eyes.

It has also got one very important feature in it i.e it will also help

us in getting the way, means that it will also work as a navigator,

suppose if we dont know any way to which we are supposed to

reach it will help us in finding our way.


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Mission Statement

We are the followers of the latest trend we strongly believe that

fashion develops, we provide the best and quality is never

compromised. Technological flexibility and innovation are the key

factors that we emphasize on while shaping a solution for our

customers.

Vision statement

Innovation


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CUSTOMER RELATIONSHIP

Earn My Trust: Trust is something that can be earned but

can never be bought. Thus for us to earn the trust of our

consumers will be the first and foremost task for our

company. This is a slow process but with our committed

efforts we will achieve our target.

Inspire Me: Inspiring a customer so that he has a better view

of the company by providing him flawless service and quality

assurance.

Get To Know Me: Without the complete knowledge of the

customers, a company cannot survive. Our stringent effortsregarding the marketing research ensures that we are

following what is actually required by our customers.

Exceed My Expectations: In order to stay ahead of the

competition the principle of 100% customer satisfaction or

Customer Nirvana is necessary. We are trying our level

best to exceed in this particular category.


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Guide Me: This we can achieve by having a committed sales

force and our recruiting policies and selection criteria will

ensure that we are up to this standard.

Segmentation Targeting and Positioning-

Segmentation is a process of dividing a total market into market

groups consisting of people who have relatively similar product needs.

Targeting is a strategy to choose one or more segments to serve.

Factors to be considered before choosing a segment are size, growth,

profitability and economies of scale.

Positioning refers to placing a brand in that part of the market where it

will have a favorable reception compared to competing brands.

Segmentation of the market-the market segment is the upper class of

the society, having good income.

Targeting the correct market segment-the target market is the age

group between 18 years old to 28 years old .Including the young

crowd ie-the collage students and youngsters .

Demographic segmentation:


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Demographics refer to the characteristics of population including such

factors as size, distribution and growth, because people constitute market,

demographics are of special interest to market executives.

Age:

Our product caters to women & men ranging from age 16-28 yrs old.

Moreover, through our advertisements we have portrayed this.

Occupation:WRITE X GOGGLES targets women & men belonging to each and every

type of occupation whether it is a house wife, student and working.

Income:

Our product WRITE X GOGGLES caters to upper class and upper middle

class. Any one lying in the income bracket of Rs 50,000+ can afford this

product.

Psychographic Segmentation

The psychographics of the WRITE X GOGGLES can be analyzed by

reviewing the advertisement. The lifestyle shown in WRITE X GOGGLES

advertisement portrays successful, sophisticated, professional womens who

are active energetic and full of life.

Behavioural Segmentation:

Under this aspect Our Company has based their segmentation on the basis of

customer desired benefits. People would prefer buying our product because


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its the first ever product to be launched by any company with such

facilities which is easy to use, and more over its attractive mix of not only

radio but also as an fashion accessory.

Positioning the product in the market-the product is placed in the high

segment of the society ie-High Income Group. The product is the first

such product in market thus giving a competitive advantage.

Marketing Environments

Political:

The fluctuating political environment in the country can be dangerous. Since

the product being developed is manufactured in another country the support

of the government is required to keep the government conditions in import

and export stable and to strengthen relationships with the other country to

grow the business further.

Economical:

The product that is being launched is an expensive product the economic

conditions will determine the national income or the buying power of the

consumer which indirectly will determine whether the people would be

willing on the products that are not part of their basic needs.

Social:

Since the product is an earring radio which would be fixed in an earring

placed quite close to the ear can be considered as dangerous for the ear.


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Proper awareness about the product and the setting of the frequencies

accordingly so not to affect the ear would have to be justified to the people.

Technological:

India is developing technologically and further awareness and development

will assist in improving the products functionality.

4 Ps of Marketing

Product

It is a tangible object or an intangible service that is mass produced or

manufactured on a large scale with a specific volume of units.

Price

The price is the amount a customer pays for the product. The business

may increase or decrease the price of product as per the market

situations.

Place

Place represents the location where a product can be purchased. It is

often referred to as the distribution channel. It can include any physical

store as well as virtual stores on the Internet.


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Promotion

Promotion represents all of the communications that a marketer may use

in the marketplace. Promotion has four distinct elements: advertising,

public relations, personal selling and sales promotion.


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Product:

The product is a goggles ,designed keeping in mind the looks and the fancy

design.The product has been designed for college people and youngsters.

Features-

The goggles can be wore as both party wear and formal wear.

The company is also offering a huge variety of side frames with the

pair.

The goggles has Russian paint which will reflect different colours in

different modes of light .Eg-if we watch it in sun light, green colour

will reflect whereas if we see it in a dim light it will appear black and

so on.

PRICE:

The total manufacturing cost of the goggles is Rs 4500/- only.

The selling price for the product will be Rs6000/- only.

So there is a profit of Rs 1500/- per pc.

Company uses these two pricing methods:

Cost-plus pricing - Set the price at your production cost, including both cost

of goods and fixed costs at current volume, plus a certain profit margin.


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Competition pricing: Setting a price in comparison with

competitors.

PLACE:

The product will be available on big fashion retail outlets:

Big life

Chun Mun

Blackberrys

Reliance Wear,

And on small retail outlets.

Promotion:

A successful product or service means nothing unless the benefit of such

a service can be communicated clearly to the target market. An

organisations promotional strategy can consist of:

Advertising: Is any non personal paid form of communication using anyform of mass media like advertise in television, news paper, hoardings etc.

Public relations: Involves developing positive relationships with theorganisation media public. The art of good public relations is not only to

obtain favourable publicity within the media, but it is also involves being

able to handle successfully negative attention.


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Sales promotion: Commonly used to obtain an increase in sales shortterm. Could involve using money off coupons or special offers.

Personal selling: Selling a product service one to one.

Integrated Marketing Communication (IMC)

A concept of marketing communications planning that

recognizes the added value of a comprehensive plan that

evaluates the strategic roles of a variety of communication

disciplines and combines these disciplines to provide clarity,

consistency and maximum communications impact.

A concept of marketing communications planning that

recognizes the added value of a comprehensive plan that


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evaluates the strategic roles of a variety of communication

disciplines and combines these disciplines to provide clarity,

consistency and maximum communications impact.

INTEGRATED MARKETING COMMUNICATION MIX:

Advertising-directmarketing-sales promotion-public relation-

publicity-personal selling-internet marketing.

Integrated Marketing Communication:

The Marketing Communications Environment is

Changing:

o Mass markets have fragmented, causing marketers to shift away

from mass marketing to target marketing.

o Improvements in information technology are facilitating

segmentation

o Media fragmentation has occurred with companies doing less

broadcasting and more narrowcasting

The Need for Integrated Marketing

Communications


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Conflicting messages from different sources or promotional

approaches can confuse company or brand images

The problem is particularly prevalent when

functional specialists handle individual forms of marketing

communications independently

The Internet must be integrated into the broader IMC mix

Best bet is to wed traditional branding efforts with the

interactivity and service capabilities of online communications

The company also uses integrated marketing communication in

order to market its product , in order to attract more and more

consumers towards their product so that the company can be

succeeded in building a good image of the product in front of the

customers.

For example:

Company has acquired it brand ambassdor RONIT ROY for electronic

advertisement in order to market its product through integrated marketing

communication. In this he speaks about the product,,,its efficiency,,itsuses,,its remarkeble different sort of features,,its value for money and make

people aware about the product through advertisement by effective

communicating about the product and how is it different from the other same

category of product.


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This helps in building the good brand image in the eyes of the customer and

they will be aware of the product..its uses,,its value for money..and thus

gradually and slowly customer will start getting attracted towards the

project.

STRATERGIES

Differentiating the Form of Competition-

Differentiation is that thing which every design firm has, which makes it

stand out from the competitors in a meaningful way. The unique

proposition of our business is that we are offering the best service in the

current existing scenario at the best possible price.

Maintaining Customer Base and Adding New Customers-

Nothing is more exciting to most businesses then attracting customers,

however we must value the loyal customers, because they are the most


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profitable since they do not consider value of service. They are also a

tremendous source of information, thereby expanding our customer base.

PRODUCT CLASSIFICATION:

WRITE X GOGGLESbroadly classified as consumer product and under this

category we define it as a specialty product because it is a perfect mix of

style and technology. It involves strong brand preference and loyalty, special

purchase efforts by consumers, little comparison of brands and low price

sensitivity.

LEVELS OF PRODUCT


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CORE PRODUCT

WRITE X GOGGLESprovides a solution to its users that connect them to

the global world and at the same time add value to their beauty.

It is smallest in size but greater in quality and style thats what the

consumers want.

ACTUAL PRODUCT

WRITE X GOGGLES, a GOGGLES.

AUGMENTED PRODUCT

Customers are provided with the free demos of the product on computer

system installed at the outlets and for further understanding, instruction

booklet is also provided with WRITE X GOGGLES

Also included 1years money back warranty and a fabulous carrying

box along with the product.

Customers are encouraged to share their views about the buying

experience of the product and after sale experience through surveys

conducted at the outlets.

An exclusive website is designed to cater its customers for solving all

their queries regarding the product. Online purchasing service is also

available.

PRODUCT COMPOSITION


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Product Quality:

WRITE X GOGGLES works great, everywhere in the world, under our

brand name using Japanese microchip.

Product Features:

Provides great view.

Long last Japanese battery included.

1 years (Limited) Warranty.

Weight 1/2 oz is the weight of the glass

Ideal for use in parties, sports, travels, hiking, working, bike riding,

boating, picnics, reading, camping, , gift giving, and vehiclesurveillance, , anywhere, everywhere, in the form of glasses as simple

microchip. .

Product Style and Design:

It comes in many splendid colors with different style for female & male. It is

designed in a way so as to increase portability.

BRANDING


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Brand Equity:

WRITE X GOGGLES will establish it with the passage of time because of

its good quality and better understanding of customer needs.

Brand Name Selection:

WRITE X GOGGLES is selected as the brand name because it defines the

mobility and easy to carry feature of the product and X signifies the extra

factor that we provide to our customers in the form of earrings (fashion

accessory).

Brand Sponsorship:

R.V.vision is manufacturers brand.

Brand Development:

No extension.

Packaging:

WRITE X GOGGLES comes in a square and heart shaped gift box.

Labelling

All the important information is mentioned on the label. The label contains

the name of the product, name of the manufacturer and distributors, warranty

limit, warnings, guidelines on usage.


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Product Support:

A booklet on guidelines regarding the product is provided with WRITE X

GOGGLES Free demo CD is also given.

Product Mix:

Initially WRITE X GOGGLES is introduced in the form of GLASSES but

with the passage of time it will offer in other versions also like in the form of

bracelets, rings, and lockets.

INTERNAL FACTORS

Marketing Objectives:

To create a market share and to stand out as distinct product amongst the

other competitors

Marketing Mix Strategy:

The price has been decided based on the competitors and customer needs

and requirements. The price is aligned with other marketing mix covering

the promotion, placement and product.

Cost:

The organization has tried to achieve economies of scale but not the cost of

quality. The cost is being monitored and is kept to a minimum by choosing

the best deals given by the supplier and managing the cost accordingly.


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Organizational Considerations:

The price set has been influenced by different functions of the organization

including the finance, manufacturer, sales and marketing and the higher

management.

PRODUCT PRICING STRATEGY

Comparing competitors pricing

S.no. Competitor Price

1. RAY BAN Rs.7000

2. MARCUS AND JACOBS Rs.6000

3 PRADA Rs.1200

Competition Based Pricing:

We are following the growing rate pricing according to which we fix our

price after considering all the factors as to Rs.6000

PLACEMENT

The product would be sold through Indirect Marketing Intermediary. The

product will be sold through push strategy that is product would be first

distributed to the wholesalers and then to retailer. The retailers would assist

in creating contact with the other retailers which would expand the network

and add value.


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PROMOTION

WRITE X GOGGLES being a new product in the market would require

intensive advertising. The positioning and the idea behind the brand

selection would be used as a basis for advertisements and the advertisements

would be informative.

ADVERTISING

Radio:

Radio FM channels would be able to attract the major cream who could use

our product and create a positive word of mouth for others. Since they being

the regular radio listeners would be excited to use this product as they could

carry the radio with them.


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Newspaper:

WRITE X GOGGLES is an expensive and new product. There is need to

create awareness amongst people that such a product exists. TOI

newspaper would be a better choice to advertise being one for the most

popular newspapers in India. A full page would be dedicated to advertise the

product providing a detail know how of the features and distinctive

attributes. Apart from TOI the other newspaper that the product would be

advertised in are Hindustan Times and The Telegraph.

Magazines:

WRITE X GOGGLESbeing a technology product it would be advertised in

magazines as India today a leading magazine. Another magazine that is

famous amongst out major target segment the teens is Young Times.

Television

The few major channels as Zee Tv, Star Tv, Sony Tv and MTV India will be

given the task to advertise the product.

Websites:

www.rvvisiontec.co,.in.

Sales Promotion:

One free pair of earring apart from the one already provided in the package

would be given with the product.

Public relations:

Brochures providing details of the safety of using the product would be

distributed in public places. Articles about the working and flexibility in use

would be published in a leading magazine to inform the public about the

safety in using this product.


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Budget

PARTICULARS INR

MACHINERY

10000000

LAND 6000000

R & D 6000000

ADVERTISEMENT

Tv ads 5000000

Newspaper 1500000

Hoardings 700000

Internet 200000


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Radio 100000

7500000

COST OF PRODUCTION (for 10000 pcs.)

Raw material 4000000

Packaging 2000000

Labors 3000000

Electricity 3500000

---------------

12500000


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IMPLEMENTATION AND CONTROL PLAN

Goals:

After the launch we will look out the awareness and recognition ofWRITE X

GOGGLES among the target customer. The targeted sales, profits,

availability and elevated market share are also major parts contributing

towards achieving our goals.

Performance:


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Measure the performance and activities of the outlets, their interactions with

our target customers. We will measure the performance by setting different

tests after the first launch of WRITE X GOGGLES. Tests will be

encompassed of surveys, personal interviews, focus groups and e-mails.

Evaluation:

The results of the surveys, mails and others will be then synchronized for the

evaluations. Evaluation is conducted to identify the gap between the

expected and actual performance.

Corrective Actions:

This is the last control which is set and applied if there is a difference

amongst the expected and actual performance WRITE X GOGGLES and we

then otherwise will take the corrective actions to close the gap.

Contingency Plan

We have launched these GOGGLES under the brand name R.V.VISION

TEC so value and prestige is associated with this product. We have used the

latest Japanese Technology. But the problem can occur in our product is that

at some places user might not find it interesting. To combat with this

problem, we have used the latest Japanese technology as stated before and

will use more advanced technology in our product in future in order to

satisfy our customers


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Strengths

Good selection of raw material at cheap price:

The first and the foremost strength of our company is the raw

material which it uses. The raw material in itself is of high quality and

company (r.v. vision ltd.) is successful in obtaining the high grade raw

material at a cheaper price which not only lowers down the overall

cost of production but also help in reducing the price of the product.

Since the product that will be offered via a brand name,

the customers will not have to worry about the quality:

The product M.J.. googles is offered by a brand name so the

customers will not have to doubt about the quality of the product in

any case because brand in itself speaks about the quality.

Excellent supply chain:

The company has got the superb supply chain from the production of

the product to the ultimate reaching to the customer. It has got a wide

network of distributors and dealers supplying the product.

Eco friendly and recyclable product:


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Company manufactures goggles keeping in mind all the environment

related factors and uses such technology that doesnt harm the

environment i.e uses eco friendly technology and hence produces eco-

friendly and reliable product.

Weaknesses

Will not have the extensive reach that the local supplier has:

The company lacks in extensive reach i.e. the local supplier have more

advantage over the company which is too far away, due to which it has got

the command over the supply of commodity.

Opportunities

The customers are fond of accessories which can help extend our

accessories from earrings to rings, bracelets and necklace

Being a new product creating a new market the competition is minimized

to a great extent

The distinctive attributes will outweigh the element of high price

The opening of the mall culture in India with better electronic outlets will

provide a better location to display the radio

There is an opportunity for line extension

New technology is in its growing stage which helps attract customers

with its distinctive attributes


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The interests of teenagers in acquiring latest technology will further

increase the market share

A survey at the outlet about the buying experience of the product and

after sale experience can help make the product more effective

The smaller size and mobility if appreciated could provide line extension

for the product

Threats

The fluctuating electronic and political conditions of the country can

hinder the sale of the product

Less awareness amongst the public about the electronic items

The training of sales person for the product

Competitors can come up with a similar and better product before our

product is established

The higher price of the product could lead to duplicate products in the

market

The health conscious people could resist the product

The fashion conscious people may not take the initiative to buy the

product

The analytical buyer


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Our consumer survey to evaluate the feasibility and market

responsiveness of our product.

WRITE X GOGGLES SURVEY

Name:

Address:

Phone Number:

Sex:

Occupation:

Age:

Q1. Would you like to buy a WRITE X GOGGLESfacility which would help

the people to ease?

o YES

o NO

Q2. Amount you would like to pay for such WRITE X GOGGLES?

________________________________

Q3. Why do you prefer with this company?

o Economical

o Quality

o Price

o Looks

o All of above


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Q4. Would you like to invest your money in WRITE X GOGGLESof a new

company offering better technology, looks at affordable price?

o Yes

o No

Q5 Do you prefer buying a good looking?

o Yes

o No

Q6. Would you like to buy the WRITE X GOGGLESon its launch?

o Yes

o No

Q7. Is the price of 6,000 suitable?

o YES

o NO

o MAYBE

Q8. If NO, then what price range do you prefer?

_____________________________________________________________

______

Q9. Your Comments about WRITE X GOGGLES?

_____________________________________________________________

______


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Marketing Management Final2

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