Marketing Plan of Pipe Industries

Description
The marketing plan of pipe industries including swot analysis, TOWS matrix, analysis using porter's framework, pricing strategy, promotion plan and distribution plan

marketing PLAN

Sunrise Pipe Industries Limited

Index
About the Company Situation Analysis SWOT Analysis TOWS Matrix Analysis on Porter’s Framework Summary of Marketing Action Product Description Pricing Strategy Promotion Plan Distribution Plan Corporate Social Responsibility

About the Company

History
Started in 1987 by Late Govindrai Kamath. Located in Koteshwara (25 km from Manipal). Unlisted Private Company

Very good brand image for PVC pipes in the coastal region of Karnataka
Sold to new partners in 2003, due to labour problems. Renamed to L.G. Industries. Distributor for Finolex

Organization Structure

Mr. K. Ramaraya Kamath and Mr. Suresh Kamath Managing partners

Production Division

Accounts division

Sales and Marketing

Production Manager

Quality Supervisor

Order Gathering

Dispatch

Sales Representative

Recovery

Invoice

Situation Analysis

4C Framework
Customers Competitors Company Context

•23 Year old company •Leader in the territorial market •Construction, Agricultural, Industrial •Reached through hardware stores

•Numerous small players in the area

•Family owned, managed and promoted

•No accurate demand projection •Expected migration from GI Pipes

•Easily imitable and often abused technology
•Broader Competition: GI Pipes (for high pressure)

•Experiential learning
•Best (known) practices •Largest unit in the area

•New Product as PoD

SWOT Analysis
Strength
1.Largest Unit in the area 2.Existing network and reputation.

Weakness
1.Less control over the factors of production. 2.New technology 3. Complacence ??

3.High entry barriers due to the cost of technology.

Opportunity
1. Real Estate Boom 2.Virgin Market

Threat
1.Large national players 2.High initial investment. So, risk is high

TOWS Matrix
Opportunity
Become a large player with the first-mover’s advantage to capitalize on market even before imitation takes place.

Threat
Leverage on existing relationship with hardware dealers to ensure shelf space and push selling over larger National players Introduce at a lower price point than Finolex’s national rates and avoid a frontal price war

Strength

Weakness

Aim at penetrating the new market so that costeffectiveness is achieved through scale

Porter’s 5 Forces Framework
Threat power Buyers of Substitutes Barriers Power Supplier to Entry The company can reduce the Threat of Substitutes is ABS buyer power PVC pipes,to Compared have high supplier ABS pipes’ to compared high for ABS pipes as is a PVC pipes high itmaterials pipes haveowingentry power as the rawto it being relatively new players one of as controlled in barriers arethe cost of by in in Indiathe fewtechnologythe the few players like Reliance market to manufacture technology is high and it will verymarket and it has toABS compete pipes. with established be very the prices who setdifficult for the other products like hard buyer For PVC the tothe PVC and GI local playersbargaining power Hence, pipes, enter into Pipes. power is high this market the company. is minimal for as the distributors sell only pipes of companies which give them higher profitability margins.

Ansoff’s Matrix

Summary of Marketing Action

Segmentation, Targeting and Positioning
Segmentation
• Construction (plumbers) • Farmers • Local Industries

Targeting

• All three segments can be targeted as the PoS, the Product and the Price remains the same

Positioning

• For plumbers - Profitable • For Farmers – Their own thing • For Industries – Latest Tech and Improved Quality

The Product

Heat Extruded ABS pipes New Product in an existing Market Stronger, more durable Replacement for GI and PVC pipes

The Pricing Strategy
•As ABS pipes are being positioned at the similar or better levels of quality than GI pipes and hard PVC pipes, the price should not exceed them by a very high amount. This pricing can be changed depending on the market assessment of the product after the product is launched. •As ABS pipes are being positioned at the similar or better levels of quality than GI pipes and hard PVC pipes, the price should not exceed them by a very high amount. •This pricing can be changed depending on the market assessment of the product after the product is launched

The Promotion Plan
•Radio •Existing advertising channel of the company. •Increase the advertising expenses. •Road shows •Educate the agricultural customers. •Increase the general recall of the product. •Word of Mouth & Promotional Leaflets •Targeting plumbers.

Cognitive

Affective

Behavioral

The Distribution Strategy
•The company is not keen on developing or maintaining any sales force •Leverage existing dealer network •Provide higher profitability to initially let the dealers ‘push’ the product into the market (Trade Promotion)
•PVC manf. companies •14 competitors along the 140 kilometer coast line. •ABS Manf. Companies in India •13 companies •2 in South India •Majority in Maharashtra – Pune, Mumbai, Thane •Target other markets in South India.

Corporate Social Responsibility

Helping the People
• Hand out pamphlets during Road Show about safety in the fields, snake-bite first aid, problems from over-use of fertilizers, etc.

Farmers

Plumbers

• PoS posters advising safety during construction at heights – use of PPE (helmets, nose masks, etc.)

Thank You



doc_816464177.pptx
 

Attachments

Back
Top