Torg.uz from the 4Ps perspectives and suggesting some enhancements and improvements that should be made by the management of the website to success in the future.
Marketing Management Business Plan_My Sweet Creations
Torg.uz 4P analysis
1. Introduction
The aim of this report is studying Torg.uz from the 4Ps perspectives and suggesting some
enhancements and improvements that should be made by the management of the website to
success in the future.
Company overview.
During the period between 2001 and 2002, Vyacheslav Kan, the future creator of Torg.uz,
became an active internet user. Subsequently, he noted that the electronic notice boards are very
popular in the developed countries and he decided to create a convenient electronic notice board
in Uzbekistan (Kan, 2005). So, Vyacheslav Kan decided to use professionals and hired
Stylemix.net for that purpose. In spite of the belief that the actions and innovations in electronic
sphere should be made quickly and decisively, he insisted on the meticulous deliberation of the
details and gradual development of the website. After 18 months of the projecting, the final
version was ready. The conception of deliberate projecting proved to be successful in this case;
Torg.uz became one of the most popular websites of UzNet immediately after it was officially
open on 25 May, 2004. The popularity of the website was transformed into commercial success
after the registration of “TIRS Diling” company that works as the operator of Torg.uz’s
commercial side. Now, Torg.uz the most popular website in Uzbek segment of internet
according to www.uz (2010).
Methods of collecting data. Scopes and limitations.
There were several methods of collecting data about Torg.uz. Firstly, the own experience of
using Torg.uz was recalled to expose from inside the process of working website and using
additional services. Secondly, Vyacheslav Kan, the owner and administrator of the website was
interviewed via private message service of internet-forum. He shared his own experience and
vision of Torg.uz’s development. Besides, he compared the efficiency of the additional services
and exposed the feedback of certain customers. He turned out to be open-minded and optimistic
entrepreneur. Thirdly, the internet-club at Mirzamakhmud Musakhanov Street was a testing area
for the research on Torg.uz’s customers. The workers of internet-club were very suspicious of
the purposes of research and reluctant to share any information. However, the information they
consequently shared was usable for the report too.
Miraziz Bazarov 2011 4P of torg.uz Миразиз Базаров
2. Product
Of course, the main product of Torg.uz is providing facilities for the publication of notices and
ads on the one hand, and proving high quality services of searching them on the other. So, every
visitor of the website is considered to be as the consumer of Torg.uz’s service. But, the
customers that are actually paying for some additional services or internet-banners are also
important for the website, because their money finance the development of the website. So,
Torg.uz tries to provide high quality of its services for both types of the users, because the
growth of the popularity of the website consequently leads to the increased amount of the users
of additional services and placing internet-banners.
There are two main categories of Torg’s customers that pay for the services. First category is the
users that want to mark out and highlight their advertisements to enhance the efficiency of their
notices or advertisements. The second category is the advertisers that want to purchase placing
for own internet-banners.
So, highlighting ads or notices means that the visitors of the website will see the particular
advertisement first, and it will help to close a deal faster. Now, there are only two ways of
highlighting the ads. First is the promotion of ads to the top of the section. For instance, the
advertisement of laptop sale will be placed at the very beginning of ads’ list. Besides, visitors
will be able to see the photo related to the advertisement and the part of the text. In addition to all
this, such ads will rotate on the main page by turn. Second way is setting the title of ads in bold
face. But, Vycheslav Kan noted in correspondence that according to the feedback of the
premium users the first method is far more efficient.
The examples of highlighting ads:
Miraziz Bazarov 2011 4P of torg.uz Миразиз Базаров
3. Second category of these users is the advertisers that want to promote their goods and services
using the banners on the website. There is a vast mix of possibilities for these customers.
Advertisers are able to place their banners in the specific places, such as top banner, right or left
ones, or “skyscraper”. Besides, they can limit the presentation of banners to a specific section
(for instance, avto.torg.uz or rabota.org.uz).
Beside this, the service of SMS–notification was introduced not long ago. It helps users to be
aware of the latest responses on the users’ ads for one week.
Price
There are two main products for which customers pay for. So, the prices for using additional
services and placing internet-banners are discussed in this part of the report.
The standard unit called “Advertising Bonus” (AB) is used for the paying additional services.
The price for one AB is 1,000 soums. Vyacheslav Kan noted that the he will not alter the price
for AB. Instead, he wants to increase the range of the services that are offered to the customers
and he thinks after that that the amount of AB paid for the most demanded services should be
increased. In addition, there are additional bonuses for some of the services or methods of
payments, for example a user acquires one AB when he or she buys the service of SMS-
notification.
The prices for placing internet-banners range from 30 to 50 Euros for 100 000 of shows
depending on the place of publications (Torg.uz, 2010). Mr. Kan said that the prices for placing
internet-banners are adequate, especially considering the popularity of Torg.uz. He noted that the
popularity of the site assists banner advertisers in promoting their products very effectively,
because the visitors of the site “are already willing to buy or sell something”. Indeed, the
orientation of the site helps internet-banners to be effective, so the price for them is considered to
be fair by both Torg.uz and advertisers, Mr.Kan also notes this fact.
Miraziz Bazarov 2011 4P of torg.uz Миразиз Базаров
4. Promotion
The analysis of Torg.uz’s users in internet-clubs show that the methods of promotion that the
company uses are considered to be effective, especially considering the costs for this methods.
Torg.uz has agreements with many internet-clubs, the details of these agreements are not
exposed, but Mr.Kan says that the cooperation is mutually beneficial for both of the parties. The
booklets that show the advantages of torg.uz, together with the tickets “Torgуй легко” (Trade
easily), on the monitors can be seen in many internet-clubs of Tashkent, including the one at
Mirzamakhmud Musakhanov Street. In general, the distribution of promotional booklets and
stickers was the main method of promotion. For example, one of the actions called “Autosticker”
is still working.
Torg.uz was also being promoted though the systems of banner exchange. But, Mr. Kan notes
that now this method is not used, because of its inefficiency.
Various actions, events are also used to promote and increase the loyalty of the users. For
instance, the array of the events, called “BeerDrinGking” (пЫвопитие), is used for the informal
meeting of the oldest and prominent users of Togr.uz and its forum. The actions with one of the
Tashkent providers can also be considered as an example of this was of promotion.
Vyacheslav Kan in the interview exposed his opinion that now the main method of promotion
are users’ recommendations to their friends and successful experience of the first acquaintance
with the website.
Miraziz Bazarov 2011 4P of torg.uz Миразиз Базаров
The prices for placing internet-
banners varies depending on the
place and section of publication
5. Place
This part of the marketing mix has been researched from two sides. First was the locations and
capacity of the web-servers, while the second was the locations and convenience of the methods
of payment for the services.
Initially the website was located on the servers outside the country, but now website is situated in
placed the in Tas-IX (Tashkent Internet Exchange), so the traffic of the website is free of charge
for many users, including the users of "Jet Unlim" or Sarkor Tas-IX. Also, the capacities of the
servers used for hosting do not give any rise to complaints, especially after the transition of the
server on 22 February, 2010.
The methods of payment include paying though SMS-messages and paying in cash though
special partners. Many users of the website noted on the web-forum that the system of payment
should be improved.
Recommendations
Because of the fact that all the Ps of Torg.uz are related to the web-sphere, the majority of the
changes should be made there.
The division on the basis of novelty should be introduced. Recently, many stores started to use
Torg.uz as a convenient platform for the promotion of their services and goods. Their ads
confuse the visitors, because the majority of them use this website for buying used goods. That’s
why there should be clear, well-defined division on new and used goods.
The introduction of search via filters in all the sections will be beneficial for both visitors and
advertisers. Now, there is a lump of complaints related to the problems of searching needed
information. The search itself is not a solution, there should be special filters. And of course,
there should be different types of filtrations. For example, there should be filtration according to
the brand, model, manufacturing year and the possible price at avto.torg.uz. Another example is
the section of the real estate, which should be firstly segregated into its own sub-domain, and
then the filters on the district, amount of rooms, floor, material and possible prices should be
created. So, these possible examples show that the introduction of filters would be difficult,
though prolific of Torg.uz and its users. The development of this introduction should be made on
the basis of the desires of users, their feedback, together with common sense.
One of the problems that arise because of the popularity of the website is the readability and
grammatical correctness of the ads. On the one hand, the form of notice can give a reader some
Miraziz Bazarov 2011 4P of torg.uz Миразиз Базаров
6. additional information about the background and reliability of advertiser. One the other hand,
some notices are so poorly organized and bad-written that it is hard to understand their content.
Despite the seriousness of the situation it is a good opportunity for introducing the new service.
The users that want to organize their notices in a way that would help them to find the
purchaser/customer for their goods or services would be glad to use such a service. As
copywriters are used for creation good texts, the specialists of making high-quality ads at
Torg.uz will help to write an advertisement that will attract the attention of prospective buyers.
However, to make this suggestion more realistic, there should be a well-organized planning and
promotion for the introduction of this service. In addition, introducing such a service means the
further promotion of existing ones, because the customers that use this service can be easily
persuaded to use the additional services (highlighting, SMS-notification, etc).
Although there is a special system that protects the website from the rush of spam and bots, it is
a weak point of Torg.uz still. For example, torg.uz is facing the problem with the rush of the
notices that are placed one after another, the essence of these notices is similar, but they have
some little differences. One example is the computers section, where many dealers create a bulk
of notices that include “different” descriptions of the good traded. The solution of this problem
will require a large amount of means and well-developed technological improvements.
Torg.uz should also start actively using promotion in media. Despite of the costs the following
branding will benefit in better image of the site. Although, the promotions should be made
considering the legal aspects simultaneously (for example, there are legal problems with
“sticker” action)
The introduction of the payment via PayNet system, or at least one of the similar systems would
be an outstanding achievement for Torg.uz because it would resolve the majority of the problems
related to Place factor. Though, it should be noted that the process negotiations would be
difficult, as many examples suggest.
Conclusion
Torg.uz is one of the several successful projects that show that electronic commerce and
maintain website particularly can be profitable for the owner. The implementation of the
suggested recommendations will undoubtedly strengthen the top-position of the website and
increase the profit of TIRS Diling Company.
Miraziz Bazarov 2011 4P of torg.uz Миразиз Базаров
7. Bibliography.
Astakhova.Y., 2008.Interview with Vyachalsav Kan. [Online]. Available at:
http://www.businessmen.uz/page/guest/29 [Accessed 30 March 2010].
infoCOM.UZ, 2005.New Year’s blitz-interviews with the people of UzNet. [Online]. Available at:
http://ru.infocom.uz/2005/12/18/novogodnie-blits-intervyu-s-deyatelyami-uzneta/ [Accessed 30
March 2010].
Kan.V., 2005. Free ads in the internet. [Online]. Available at:
http://ru.infocom.uz/2005/02/01/besplatnyie-obyavleniya-v-internete/ [Accessed 30 March
2010].
Kan.V., 2005.Torg.uz is the leader of web-services in Uzbekistan [Online]. Available at:
http://ru.infocom.uz/2005/10/14/wwwtorguz-llider-v-oblasti-setevyih-servisov-uzbekistana/
[Accessed 30 March 2010].
Kan.V., 2005.Torg.uz is the leader of web-services in Uzbekistan [Online]. Available at:
http://ru.infocom.uz/2005/10/14/wwwtorguz-llider-v-oblasti-setevyih-servisov-uzbekistana/
[Accessed 30 March 2010].
Torg.uz, 2010. The placement of banners. [Online]. Available at: http://www.torg.uz/service-
banners.htm [Accessed 30 March 2010].
Torg.uz, 2010. Stickers from Torg.uz. [Online]. Available at: http://www.torg.uz/stickeravto.htm
[Accessed 30 March 2010].
Www.uz, 2010.WWW.uz Top-rating. [Online]. Available at:
http://www.uz/ru/catalogue/toprating/ [Accessed 30 March 2010].
Miraziz Bazarov 2011 4P of torg.uz Миразиз Базаров