Industry Profile

INDUSTRY PROFILE

As the ethnic technology category is growing, cash-rich companies make a beeline for a share of the printer scanner market. Around _25 items are sold in India spanning various types, forms, textures, aromas, bases, sizes, shapes and fillings. Some 25 types of savories sell here and the overall scanner product market is estimated at_Rs.25,000 crore.

The branded printer (size: 1200 Crores) is 40% of the total market (size: 3000 Crores), it's bustling nevertheless. The branded segment is increasing at the rate of 25% per annum whereas the entire market is increasing at the rate of 7%. In the past 2-3 years the unbranded sector has witnessed a decline of 5% per annum.

Indians_ seem to be scanner _one technology foods with vengeance. This _is good news for the corporate sector, given that the past few years have seen a_perceptible_shift towards the branded sector at the cost of the unbranded segment.

The sector developing most rapidly is the scanner , including printer . Market leader isHPwith a 45 % market share LGhas _a 27% market share. The market is far from stable: recentlya computer manufacturer DELLjust_ announced to move into _the scanner market. Key weapon _in this war for the Indian_ technology _are the_ Indian flavors.

Executive Summary

Although_ common objective of all IMC program is increase brand awareness, sale and design a unique image of the _product in customers mind. To_ communicate among public and customers, we will_ advertise our product campaign on TV, magazine, online. Through the advertisement we want to design the brand image of our product into the customer mind. Besides advertisement, we will also carry out promotional_ activity such as public relation, direct marketing etc. Various printer company also organizes_ various events in order to communicate properly with customers. The Main purpose of this event was to increase the sale of scanner. Before designing IMC program the Company carried out market _research in order to judge customers behaviors toward their scanner packaged using. So that appropriate primary data can be collected for designing IMC strategy for “Asky Scanner ”. Before designing integrated marketing communication program it is necessary to judge consumer's_behavior toward the product. It is necessary to known customers liking and disliking, these data provide various support during designing of IMC program. Although there are various media available for communicating but Printads news paper and banner is seen most effective medium in the case of scanner planning strategy. After Research survey done by various scanner company, it has _been founded that business man respondents were more brand_ conscious than general people. There is particular_ brand _trend in among general people, but business man are conscious towards their business . “long life and good techonology” are the major attributes considered by customer while buying_scanner.Our Chips Company ASky which makes flavored scanner has come up with a new IMC plan for the new technology scanner product for the new region. North-East India is the target market in the segment Bihar and UP. In this report, we will further introduce ourselves and how we got started, internal and external situational analysis of our company, and why a new IMC plan is needed. HP is a strong competitor in the scanner industry and it is focusing on increasing the brand equity and profitability of companies focused on increasing their share in the scanner _market. Our mission is to make sure that our clients have the tools and information that they_ need to become successful in the scanner market. We have looked at the strengths and weaknesses_of the HP and CANON Company as well as the opportunities and threats and have included them in this IMC plan. ASKY SCANNER Company will use all IMC tools which will be best suited for flowing the message among the targeted people.

Situation Analysis

The average_annual sell of scanner is just 500 and that by urbanites is 10 times more than that by rural _consumers. This may be since_ most rural make these at home or buy from the Chine product that come in the unorganized market.

Consumers from Western_ India are the leading scanner consumers, followed by the North. While the china product ethnic scanner industry_ is hugely diverse, has easy access to indigenous technology and involves low entry_ barriers, standardization of product quality and backward links to testing facilities are at woefully low levels. Naturally, opportunity is screaming from the rooftops.

Cottage-industry-level players_offer themselves as suppliers to deep-pocketed marketers. The APEDA study states that though backroom operations dominate ethnic snacks, improper labeling, haphazard distribution_channels, storage problems and inadequate marketing efforts take their toll. Branded players, with their quality control systems and standardized raw material sourcing in place, can effectively _weed out those problems.

One differential between _branded and _scanner is that of price (roughly 25 per cent), but that's not a perceptible bottleneck, say marketers.

An aspect that leads to_quick movement of ethnic Chips is the consumption convenience or `consume anywhere-anytime'_factor. It can be had with cocktails, at teatime, as props with regular use print and scan.

Existing Competition

The scanner market in India is very diverse largely comprising of an unbranded segment which comprises of china made_ scanner, local producer ,national and international product. However the branded segment has been increasing rapidly lead_ by the revolution carried out by market leaders HP and CANON. Other major_ players in the branded_market include:

• HP
• LG
• CANON

New Product Idea

Product is the most important part of the marketing mix. It signifies what you are going to sell to the consumer. A comprehensive analysis of the Industry and Our Market Survey has given us a platform on which our product can be built. Our product will be built for the masses, and expansion shall be gradual, to cater to the entire country's needs.

SCANNER is a product, which needs three important things:

• TECHONOLOGY
• Quality.
• LONG LIFE

In the same order of significance we need to provide all three to our consumers.

Ours is a Company whose Product shall stand for something every Indian craves for. We are entering a market already dominated by a number of branded and unbranded players. Customers are extremely loyal to the Chips they consume. So we thought about what would make these customers come to us?

Thus, we came to the conclusion that

“HIGH QUALITY PERFOMANCE ”

“LONG LIFE WHITH ASKY”

This is our Unique Selling Proposition - Telling the Performance themselves, that our Product can take care of your entire business, without a worry of long life or performance.

“asky scanner ”

Scanner, which stands for good technology , tells you directly that our product has an exquisite quality which, is the best and unlike any other brand. High quality measures keeping in mind business use of the consumer and the materials we use for our product, we have our USP as having the goodness of good quality, which gives you the same quality .

The Shelf Life of our product is 6-7 Months.

ASKY Scanner will come in three different sizes:

• 1. HANDHELD SCANNER
• FIXED SCANNER
• POCKET SCANNER

Marketing Mix

Product

Product is the most important part of the marketing mix. It signifies what you are going to sell to the consumer. A comprehensive analysis of the Industry and Our Market Survey has given us a platform on which our product can be built. Our product will be built for the masses, and expansion shall be gradual, to cater to the entire country's needs.

SCANNER is a product, which needs three important things:

• LONG LIFE
• Quality.
• Variation.

In the same order of significance we need to provide all three to our consumers.

Price

Market Penetration Pricing means setting a low price for a new product entering the market in order to be able to persuade buyers to try the new product and to capture a large share of the market.

We have chosen this strategy for ASKY PRINTER because although the market for branded SCANNER is growing at a very fast pace the competitors like HP and CANAN are well set with high market shares. Even though the consumers are not very price sensitive they are really Life and quality conscious. This will give us a base to penetrate the unbranded segment also.

Place

Our Plant setup would be in Patna and Hazipur, outside city limits, Bihar keeping in mind the supply of raw materials mainly consisting of Kolkata , Delhi .Delhi is the 1000 km and Kolkata .

It would save our transportation cost since materials will be available in close vicinity and also since we are initially launching only in Bihar, and few towns and cities in other North-East States , it will make administration easier and closer, also we would be able to set up a firm distribution channel at a lower cost.

Promotion

Advertisements in the form of both outdoor and print media so that the consumers are informed about our product. Our outdoor campaign will be extensive and will be at all the prime locations in metros towns and other places. They will also be put up at Trains, Stations, Buses and Bus Stops and on the retail outlets itself. Print Ads will be published in leading newspapers and magazines.

SWOT Analysis:

Followings will be the Strengths, Weakness, Opportunities & Threats of our Competitors against us, ‘Asky scanner'.

Strengths:

HP scanner

• It is a Trusted and dominant Market player, supplying the scanner.
• Large number of market.
• Large number of user
• Whoever you might ask, that person will know -HP-It is a Top of Mind Brand
• It is the Only National level scanner brand, available in 28 states of India.

ASKY SCANNER

• We have an Intangible Product Differentiation, which is the ‘HIGH QUALITY PERFOMANCE'
• It shall play on the minds of the customer, who is the STUDENT, who wants to provide something for the his own use.
• Rather than focusing on a specific technology , we are providing 2 different branches of quality, namely,

Weakness:

HP SCANNER

• Customer impression of HP scanner having a Higher Price, than the local unbranded and regional players.
• It is a Family Run Business, it has been made professional for the past few decades; but, the business has now been divided between the 3 brothers, leading to a decline in value of the company, and co-operation between the 3 brothers is difficult.

ASKY SCANNER

• We are new in the Market, and therefore difficlult to enter the minds of the consumers.
• Competition from established brands and regional players and therefore will have a difficulty in eating into the Market Share.

Opportunities:

HP SCANNER

• They have an opportunity to Improve Promotions, and expand their base, increase the Market Share.
• Getting an all new variety of Products that can eat Mkt. Share of Competition, .

ASKY SCANNER :

• Expansion, new manufacturing facilites and emerge as a national supplier.
• Diversity – into other Indian savories such as printer, LAPTOP, etc.
• New technology .

Threats:

HP SCANNER

New entrants, such DELL, CANON - Brand Equity, etc.

ASKY SCANNER

New entrants , such as DELL, CANON - Brand Equity, etc.

Communication objectives

• The main objective of my communication is that people recognise my product as brand.
• They prefer my product as good quality.
• Student and business conscious person prefer my brand.
• * They feel that good quality row material is maintained where it pass while manufacturing or storing.
• They think that this company also care for nature.
• Increase market share up to 15%.
• Increase sale by 50% in 6 month from thelaunch of public campaign.
• Create awareness among target audience. Use excessive advertising especially using media preferred by the target market.Create product belonging and position among buyer's mind

Communication budget

The initial contribution of capital from the company would be Rs.12, 00,00,000 approx. that would be from personal contribution and loans from banks. This initial amount will be invested in buying of land to setup the factory, buying machineries, buying initial raw materials, hiring of workers and personnel setting up a distribution channel and offices in various states and promotion and advertisement.

The company's sales target in the first year would be to sell 1, 00000 out of the 2, 00000 produced in the first year throughout Patna and Hazipur (Bihar) cities.

Particulars	Total
Manufacturing Costs
Cost Of Materials	52000000
Cost Of Labour	8000000
Power/Fuel	4000000
Wastage	1000000
Packaging	4000000
Research & Development	1000000
Administrative Costs	5600000

_______________

Total 75600000

_______________

Promotion Costs
Advertising (Radio,Newspapers,Magazines,Outdoors)	30000000
Sales Promotion (Air Tight Jars, Free Samples etc.)	20000000

Total 50000000

IMC Tool

TV advertisement:-(fund allotment 2 crore)

I will spend around 1 crore on tele-vision advertisement because it reaches to large population. In today scenario TV play very important role in making brand image. I will mainly advertise in channels watched by Student and business man.

Paper advertisement :-( fund allotment 50 lakhs)

I will spend around 50 lakhs on paper advertisement because it again reaches to large population. I will prefer my advertisement in local as well as national newspaper also. Because my maximum number of customers who are conscious business or who preferred good quality scanner. So my first choice will be that only.

Radio advertisement:- (fund allotted-20 lakh)

Today again radio trend is coming back due to improved quality of service because of entering of private players. And also today maximum mobile users buy mobile with inbuilt FM radio service. This service is mostly used by youngsters and mid age person, who are my potential customers. So advertisement on radio will also be in priority list.

Magazine advertisement:- (fund allotted-20 lakh)

Nowadays magazine has reached to mass population. Now magazines are coming according to person interest. For example person who are interested in sports for them sports magazine comes like “auto”, for business interest business today, business & economy, 4p. I will prefer health magazines ,women preffered magzine, sports magazine.

Bluetooth advertisement:- (fund allotted-20 lakh)

I will also prefer Bluetooth marketing because it reaches only to interested customers so the chance of effectiveness is much more than any other media. Only disadvantage is that it can be done where Bluetooth server is established but this also benefit us because its effectiveness increase. In this customer get all the benefit in the form of video or picture so the effectiveness also increases.

Banners advertisement:- (fund allotted- 50 lakh)

I will also do banners advertisement because it influence consumer at the time of purchase. When customers go to buy product by seeing advertisement of my brand he will think that this is brand he will prefer, which is normal in our daily life.

Hoardings advertisement:- (fund allotment-50 lakh)

I will also go for hoardings near market, parks, tourist place, bus stand, railway station all the places where my potential customers go so that consumer recall my brand name all the times. And think that it is good brand.

For promotion in event:- (fund allotment-30 lakh)

I will also prefer promotion of any event which is related to health or sports. So that I can reached to my maximum customers and they recall me as good brand.

Internet marketing:- (fund allotment-30 lakh)

I will also do my advertisement on net because today maximum elite customers, business travellers, students and youngesters ( take all the information from internet) they all use the internet frequently. So it will very easy to reach them and get their feedback easily.

Discount store:- (fund allotment-30 lakh)

Today the discount store play very important role in selling this type of product so I will also go for discount store to sell my brand product. Discount stores like vishal mart, Mahraja Complex, bargin bazaar all they sell this type product. So I have to give them some special offer so that they prefer my brand.

Consumer sale promotion tool:-

We will apply following promotional tools increase sale.

Price deal: -Price deal is temporary reduction in price of product. We will provide two type of price deal: cents-off deals and price-pack deals. Price deal will be is given at various times to stimulate purchase of Shoes.

Coupon: - A coupon is typically a printed certificate giving the bearer a stated price reduction or special value on a specific product, generally for a specific period. In this we will provide various people of coupon that contain various discount price So that customer get the advantage of this discount and purchase ASKY SCANNER at low price.

Premium:We will provide offer of some gift or at bargain price to encourage customer buying.

Trade sale promotion tool:-

Objectives of Trade Sales Promotion of the asky will be:-

• Gain/maintain distribution
• Influence resellers to promote product
• Influence resellers to offer price discount
• Increase reseller inventory
• Defend against competitors
• Avoid reduction of normal prices

There are various sale promotion tools which apply by the ASKY SCANNER that stimulate trade to promote company product.

Trade Allowances:-

In this we will provide short-term special allowances, discounts, or deals granted to resellers to stimulate reseller to rapid purchase of their product.

Point-of-Purchase Display:-

In this we are generally used at the retail level to call customer attention to a featured product. In this company employees observe every retail shop and that display more company product will be winner of special gift or prize.

IMC strategies

Advertisement strategy:-

With help of our advertisement strategy our motive is to make people aware about our product and make a brand image in the mind of customers.

Promotional Strategies:-

By the help of Promotional strategy we will try, to change consumers' buying behavior, to increase brand image, to increase profit, to increase sale of our product. We will apply two kind of sale promotion, one is directed toward consumer and other one is directed toward trade such as dealer, supplier, retailer etc.

Push marketing strategy: -

By implementing push strategy we will make our product widely available and this will motivate to retailer to sell our product.

Implementation of IMC strategy

Advertisement strategy implementation :-

As in detail above has been mentioned the budget for different medias which are to be used to achieve advertisement motive that is to make people aware about the products and make a brand image in the mind of customers. For this we will be giving our ads on Sony and star plus on TV, On radio our advertisement will be given on local channels like in radio mirchi and Print ad will be given on Times of India thrice in a month and for this expenses are to be made are mentioned above.

Sales promotional strategy implementation: -

Our main target through this strategy is to attract more and more customers towards our product and we will use coupon schemes, occasional offers, and expertise assistance in big retail store. Budget and detail implementation has been mentioned above under heading of sales promotional tools for ASKY SCANNER.

Implementation of push strategy: -

Through this strategy our objective is to make our products widely available and also capture enough space in retail shelves so that more and more customers can be attracted and also it will be increasing our sales because it will motivate to retailer to sale our product because of incentive and gifts.

The Distribution Strategy:

• Every District (38 including Patna, Buxar and Nalanda) in Bihar would have 1 distributors each; in Patna, Buxar and Nalanda will have 4 each, Darbhanga will have 3 and the 5 cities ( Jamui, Saran, Siwan, Muzaffarpur and Gaya ) will have two each (5 distributors). A similar strategy to deploy distributors will be followed in other states as and when we expand.
• There would be 4 stockists in each district and 8 in Patna, Buxar and Nalanda, 3 in Darbhanga and 3 each in the 5 cities so that they can reach out to the maximum retailers in their cities and the neighboring areas. (166 stockists)
• Attempt to reach above 15,00 retailers in the first year.

In India, today there are over 5 million retail outlets dispersed all over the country. Organized retailing, which has been now gaining momentum, includes large super market chains/ shopping malls, department Stores and Food Store. While small chain stores called Apna Bazaars and ASKY MARKET, which offer products at reasonable prices- have been Student popular in the metro and small city.

Consumers are willing to pay a premium for convenience shopping. Thus, the relative share of grocers dropped. Printer outletson the other hand, have been expanding their product range to include high margin printer products. Panwallas are also emerging as full-fledged consumer product outlets.

With the increasing number of retail outlets, the visibility of the products in the market increases and so does its availability. We would try to make the best of it by tapping these so that we can penetrate further into the market and also increase our sales.

Other Methods of Distribution-

One of our major methods will be to open our own stores in each of the major cities like Patna, Buxar, Nalanda , Darbhanga, Jamui, Saran, Siwan, Muzaffarpur and Gaya, by the end of three years. At-least two in each of the cities mentioned above.

Marketing Strategy for Implementation:

Market Segmentation

Our market is segmented based on the following parameters:

1) Demographic Segmentation:

A) Geographic Segmentation:

During the initial stages our market will be limited to the boundaries of Patna,Bokaro and Nalanda(Bihar) and 5 cities across UP.

The reasons for choosing only these 2 states are:

• We are a new company, and therefore, not known nationwide.
• Different states like Karnataka, Tamil Nadu, Andhra Pradesh, Haryana have varying tastes. To tap these markets we need to invest in R & D and churn out new flavors catering to the needs of these markets.

  We have also decided that as per our future plans, if we have different plans for different regions of India, Distribution costs, etc. come down, and Economies of Scale increase.

• The small Market of Bihar and UP, can help us fight smaller regional players, and the unbranded segment.

  This in turn shall help us; establish ourselves as a known company, with a known Brand.

  Expanding nation-wide becomes simpler with the Brand Equity that shall be created.

2) Behavioral Segmentation: -

1. Benefits:

It is for users who want the goodness of good quality's canner in the printerlong with long life and good quality.

The small size shall benefit travelers, e.g. People traveling from home to office, or People who like to have something “to munch” while they are free.

The large packets are lower in price and this makes it better for the entire business people.

TARGETING:

• A scanner is a specific product. Therefore we are targeting the business man, we are not concentrating on any segment, age group or SEC in particular.
• We are targeting our customers based in Bihar and UP.Based on our expansion plans we will target other states in India. We will also try n tap some of the urban markets of Delhi, Punjab and West Bengal.
• Majority of consumers who like the Indian technology..

  New users – The Youth – who shall switch to our Products due to our good quality.

POSITIONING:

PRODUCT	TARGET CUSTOMERS	BENEFITS	VALUE PROPOSITION
scanner	Indian technology good quality who seek convenience, quality and long life.	Long life .good price	Good quality, New technology.

Monitoring and Evaluation:

After the planning phase implementation of the plan is equally important otherwise it will just be a plan and can never be transformed into an action. To implement the plan, it is necessary to capture peoples' minds, hearts and spirit. For that that takes planning, diligence, testing, self-correction and collaboration .Implementing means documenting everything that must be done to go from the place that the organization is now to the new practice process or system that is now seen as the "future state." Planning and documentation includes not just listing the action steps but also designing the work that can capture the understanding and interest of the implementers After the implementation phase comes the evaluation phase, in this phase the effectiveness of the proposed plan is measured. Evaluation is used to measure the success or failure of a change.

To continuously monitor progress it is necessary to follow the well crafted strategy which is clearly understood by all so that they all can work towards fulfilling the desired goal. Tools such as balanced score card can also be used for this purpose or continuous feedback can be taken from the customers to monitor the quality and progress of the product so that if there are any shortcomings they can be identified and removed for overall customer satisfaction because the cost of retaining the existing customer is far less than making a new customer.

Conclusion:

As this is a a product of its own kind so there is lot of hope that this product will work in the Indian market and capture a larger portion of the Indian market within few years of its launching in the market. Also no such entry barriers are there in this field except some environmental regulations imposed by the government so the entry in the market will not be much difficult. Initial cost of launching the product will be more as huge amount will be required in the research and development for the superior quality, but once product will reach its growth stage it will earn a huge profit for the company. So we can say that this product will be huge success within few years of its launch.

Recommendations:

• Launch this product early to gain the first mover advantage.
• Maintain the quality standards.
• Timely feedback from the customer about the quality of the product.
• Proper supply chain management so that the product reaches the end customers easily.
• Appropriate promotional strategies.

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