Through our action plan we expect 'SELCO India to grow 11x in net income and 3x in customer reach. We suggest a 3 tiered strategy of Market Expansion, Market Development, and Product Development as our marketing solution. Our plan will add some 8,40,000 new customers and 60 new ESCs by 2025.

1. SELCO India Expansion Model
SELCO India is a Bangalore-based social enterprise that provides need based Solar Powered Solutions to
the economically impoverished people in India. SELCO’s mission is based on a simple but powerful idea
that the economic conditions of the impoverished can be improved substantially if they are made
productive. One of the biggest hurdles before is their inaccessibility to clean and cost effective sources of
electricity. Most of India’s rural population does not have access to electricity. Instead, they are dependent
on highly polluting and inefficient sources of energy such as kerosene or forest wood. Solar energy is free
from pollution and provide greater illumination. However,given the average income of a rural household,
it becomes an economically unviable alternative. To tackle the situation, SELCO made consistent efforts
to persuade state-owned ruralbanks to lend money to households so that they can make the purchase. They
worked rigorously with these state-owned banks, an arduous task in India, to ensure that the repayment
pattern matched the cash flow that would be generated as a result of the additional income facilitated by the
purchase of solar lights. However after more than 20 years of its establishment, SELCO is looking for an
expansion of its business without compromising on its vision to serve the unprivileged sector of India.
The three main objectives that needs to be addressed here are as follows:
1. Product Line Expansion.
2. Sales Network Expansion.
3. Energy Service Centre Expansion.
As Marketing Head of the Consulting Company to SELCO India, below are my
recommendations and Strategy.
➔ Fundamental Strategies of Expansion
● Penetrate the already existing market by reaching more and more people through already
existing products
● Identify New Geographies and expand in new areas with already existing products
● Expansion of its menu of Energy Services in New and Existing Markets.
➔ Operational Flow Chart for Expansion
● Identify Market
● Creative Awareness
● Shortlist Customers
● Workout Energy Requirement
● Find Financial Leakages
● Do the Installation
● Explain the working

2. ● Provide After sales
➔ Targeting Audience
There are four broad buckets which can be classified as target audience:
● Users- Local Households, Roadside Vendors, Farmers etc.
● Influencers-Religious Head, Local MLA, NGO, Bank Manager, Local Political Parties,
Village heads etc
● Initiators-Self Help Groups, Builders, Realtors etc
● Buyers-Municipal Councils, Hospital Trustees, Local Heads etc.
➔ Promotion Plan
● Create Awareness on the use of Solar Lightning System and generate interest
● Emphasize on the benefits like- Sustainability, Affordability and Reliability
● Promote Trials and Adoption
There are 4 Strategies under the promotion plan:
● Advertising- Leaflets, Banners, NewsLetters, Road shows, Street Plays, Exhibitions,
Samples/Trials, Sales Demonstrations. The language for the same should be both english
and vernacular.
● PR- Interview on TV, Radio, Company Profiling, Accolades and Testimonials
● Personal Influence- Word of Mouth, Influencer Demonstration
● Sales Promotion- Locals of the same village should be hired as sales representatives which
can shorten the time of trust building.
Detailed Execution Strategy
➔ Target Geographies & Expansion Strategy
● Karnataka- Market Expansion & Product Development
● Bihar & Tamil Nadu- Market Development
❖ Bihar

3. Apart from two existing ESC’s in Mungar and Jamui plan to launch 5 more ESC’s at the
following locations (chosen strategically based on total village population and ease of
transportation) Patna, Aurangabad, Gaya and Muzaffarpur and Samastipur. Below are the
details of Market Size and Workforce requirement.
Patna-
➢ 320 Villages (25% of the total number of villages)
➢ ESC Requirement -1 With 30
➢ Business Associates*-320
■ * - Each Business Associate is responsible for one village sales and service
and will accommodate 4-5 Sales representatives for promotion and
conversion. The sales representatives are not the employees of SELCO and
the onus is on the Business Associate to expand the network per village.
■ BA’s will be compensated on commission ( ~`2% of total sales revenue)
method.
■ Business Associate will directly report to the ESC where there will be a
Sales Manager heading 10 or more BA’s as per geography.
Aurangabad
➢ Reach- 435 Villages
➢ ESC Requirement - 1 with 45 People
➢ Business Associates- 435
Gaya
➢ Reach-670 Villages
➢ ESC Requirement - 1 with 70 People
➢ Business Associates*-670
Muzaffarnagar
➢ Reach- 430 Villages
➢ ESC Requirement -45 People
➢ Business Associates*-430
Samastipur
➢ Reach- 280 Villages
➢ ESC Requirement- 1 with 30 People
➢ Business Associates- 280

4. ❖ Tamil Nadu
Apart from four existing ESC’s in we are planning to launch 5 more ESC’s at the following
locations (chosen strategically based on total village population and ease of transportation)
Villupuram, Tiruvannamalai, Kancheepuram, Dharmapuri and Cuddalore
Villupuram
➢ Reach - 350 Villages
➢ ESC Requirement - 35 People
➢ Business Associates*-350
Tiruvannamalai
➢ Reach - 250 Villages
➢ ESC Requirement - 25 People
➢ Business Associates*-250
Kancheepuram
➢ Reach - 250 Villages
➢ ESC Requirement - 25 People
➢ Business Associates*-250
Dharmapuri
➢ Reach - 250 Villages
➢ ESC Requirement - 25 People
➢ Business Associates*-250
Cuddalore
➢ Reach - 200 Villages
➢ ESC Requirement - 20 People
➢ Business Associates*-200
❖ Karnataka- Market Penetration and product development
➢ Product Development- We believe karnataka market would be best to try product
line expansion because already available robust distribution channels and loyal
customers. The product adoption process will be much faster and customers will be
picking up new products at a much later stage of the buying process.

5. ➢ We plan to increase both the depth and width of the existing product lines by
introducing the following products-
■ Solar Boats – Livelihood
■ Solar farm equipment - Livelihood
■ Solar Fans- Household
■ Solar Mobile Charger-Household
■ Solar Cooler- Institutional
We believe that Karnataka still hold immense potential in discovering new areas and as SELCO
has strong brand recall and equity in Karnataka, we expect high conversion rates, more addition to
the consumer base and significantly better ROI.
In Karnataka we are not going to increase the number ESC’s but will rather have an altogether
new sales representatives team with a total count of 100. These sales representatives will be
reporting to their dedicated ESC’s and their sole function will be to bring new households, create
awareness and monetize the existing marketing and promotions.
➔ Revenue Calculation
1. Total Villages Reached Per Year-3200 in all three regions
2. Total Households Reached Per year- 3200*200- 6,40,000 * ( Considering an average 200
households per village)
3. Total New Acquisition in 1st year- 96,000 (~15% Conversion rate)
4. Growth rate in new customer acquisition: 15%
5. Total New acquisition in 6 years = 8,40,000 approx
6. Total Revenue Per House Rs.1133 as of 2018 Selcom P&L- The data is extrapolated bias
the SELCO India P&L sheet.
Marketing MIX Plan
Marketing Mix- Total Budget 2.27 Crore (as stated in Financial projections)
We are going to add 10 more ESCs which will cost us approx. 27 lakhs
The following activities will be carried out to achieve the revenue targets stated earlier.
1. Advertisement- 20%
2. PR-5%
3. Personal Selling- 40%
4. Direct Marketing-20%
5. Sales Promotion-15%
➔ Marketing Mix Breakup

6. ➔ Additional Cash Flow from Marketing Campaign

7. Varun Dave
Head of Marketing
Year 2020 2021 2022 2023 2024 2025
Total Households 96,000 1,10,400 1,26,960 1,46,004 1,67,905 1,93,090
Per Household Revenue 1,133 1,133 1,133 1,133 1,133 1,133
Total 10,87,68,000 12,50,83,200 14,38,45,680 16,54,22,532 19,02,35,912 21,87,71,299
Expense
ESC 2,27,000 2,27,000 2,27,000 2,27,000 2,27,000 2,27,000
Total ESC added 10 10 10 10 10 10
ESC expense 22,70,000 22,70,000 22,70,000 22,70,000 22,70,000 22,70,000
BA Salary (3200*12000) 3,84,00,000 3,84,00,000 3,84,00,000 3,84,00,000 3,84,00,000 3,84,00,000
Total Expense 4,06,70,000 4,06,70,000 4,06,70,000 4,06,70,000 4,06,70,000 4,06,70,000
SG&A 2,00,00,000 2,00,00,000 2,00,00,000 2,00,00,000 2,00,00,000 2,00,00,000
Net Profit 4,80,98,000 6,44,13,200 8,31,75,680 10,47,52,532 12,95,65,912 15,81,01,299
Marketing ROI 44% 51% 58% 63% 68% 72%
Income Statement