PRESENTATION BYSHYAM AGARWALLA

AMITY BUSINESS SCHOOL

OBJECTIVE:

“TO STUDY THE MARKET FOR KARA AND DEVELOP STRATEGIES TO PLACE IT IN STORES.”

TERRITORY GIVEN:

GHAZIABAD

AREAS TARGETTED IN GHAZIABAD:

TURAP NAGARKAVI NAGARRAJ NAGARGHANTAGHARBAJERIAASHOK NAGARGANDHI NAGAR

MODERN SALES TARGETTD IN GHAZIABAD:

VISHAL, SILVER CITYSTORE 99, PACIFIC MALL

AN OVERVIEW OF GHAZIABAD MARKET FOR WIPES:

• Unlike other cities of NCR which are recently developed, Ghaziabad is very different in terms of practices in market. It is basically a ‘LALLA’ type market with old established markets.

• For wipes it is a very potential target as it is a city with many specialist stores for cosmetics.

• It is basically a seller driven market where the success of the product depends upon the acceptability of the retailers.

• Here the primary factor which influences the retailers to stock wipes is the margin which they get on the product.

• As KARA is a product for the upper class and upper middle class, the only disappointment lies in the fact that Ghaziabad has only few areas with A+ surroundings and people.

MARKET PLAYERS IN THE FACIAL WIPES SEGMENT IN GHAZIABAD:

KARAL’orealEstoniaFreshiaDoveGodrejFresh onesOther imported wipes

FINDINGS AND ANALYSIS:

• Out of 100 respondents interviewed by me, 71 said that they use skincare wipes which is an encouraging figure for the wipes industry.

• when asked which factors are most important while buying wipes, the customers responded in the following way:

Quality- 5Natural- 4Price- 3 (5 being the highest rank and 1 lowest)FARAGRANCE-2Packaging- 1

• when asked which brand they prefer the most, the response was a mixed one but still the most preferred was freshia .

• Surprisingly almost 48% said that they don’t know whether their wipes are 100% natural and biodegradable.

• almost 53% said that they prefer to buy wipes at specialty stores and 40% preferred super stores.

• when asked whether they have used/tried KARA, 57.75% said yes and 42.25% said no.

•69.01% said that they find KARA a good product.

• when asked what difference they find in KARA and other wipes, 46.48% said quality, 39.44% said variety.

• 61.97% respondents said they don’t think that KARA is a replacement for general bottled products. Only 32.39% said yes.

•66.20% respondents rated the packaging of KARA as good and 23.94% said excellent.

56.34% said they think KARA a expensive product, 43.66% said its affordable.

ANALYSIS BASED ON THE RESPONSE OF THE RETAILERS:

• Retailers preferred ‘high margin low turnover’ over ‘low margin high turnover.’

• when asked which is the most selling wipe at your store, the answer was mostly Freshia, Estonia and other imported wipes.

• When asked why do they keep KARA in their store, the following sequence was mostly preffered:Margin -5Demand -4Price -3Brand -2Variety -1

80% of the retailers said they are satisfied with the policies of the company.

PROBLEMS FACED BY THE PRODUCT:

• A new concept

• Awareness

• Promotion

• Availability

• Margin

• Price factor

• Odd pricing

• Strong fragrance

• Other observations

RECOMMENDATIONS:

• The product needs rigorous advertisement in television, print media and radio.

• Outdoor campaign for high visibility through hoardings, bus shelters and utilities etc.

• Installing KARA skin zones at malls in the form of canopies will help to educate the customers.

• Tie up with automobile industry, pharmaceutical industry, aviation industry, saloons and gyms.

• Use of van operation for promotion of the product.

• In order to target the young girls, free samples of KARA can be distributed at colleges and schools specially girls colleges.

• Kara can target Indian Railways for brand building and promotion. The company can get the product into an customized and eye catching handy package specially made for the railways according to their needs.

• Kara is a brand of Aditya Birla group but the packaging of Kara does not speak much about it. The packaging needs to improve with the inscription of Aditya Birla logo and the name of the group in bigger fonts than the current size used in the packaging.

• Some of the retailers and customers also complained about the opening lid of the packaging. They complained that the opening lid looses its adhesiveness after a number of usage. Some also reported that the lid sometimes completely pills off and does not stick anymore. So there is need to improve the quality of the opening lid and come up with something new which lasts long.

• There is a strong resistance for the high price of Kara sunscreen wipes. The retailers resist to stock this particular variant and even the customers are hesitant to buy it. So the price of sunscreen wipes needs to be decreased to gain more acceptability in the market.

• The company has provided displays in many modern stores but in all those stores where display is not provided, the placing of Kara is not suitable. In such places Kara is stocked in corners where the customers visit rarely thus making the product away from visibility. So there is a need to provide slotting allowances to those modern stores to place Kara in the shelves which catch the eyes of the customers.

• In order to penetrate in the market of Ghaziabad, KARA needs to introduce single sachet of facial wipes as trial packs for the customers.

THANK YOU