marketing strategy report

MARKETING PLAN
Group Report Submission
j
Submitted to:
Prof. Bibhas Basumatary
Prof. Shushant kumar Nanda
Submitted by :
Sachin Chaudhary PGDM2-1528
Deepshikha Gupta PGDM2-1512
Sakshi Shekhawat PGDM2-1531
Shweta Pareek PGDM2-1540
Neha Kumari PGCM5-1506
Hansika Batla CMBA6-1510

Acknowledgement
Before we get into thick of things, we would like to add a few words of
appreciation for the people who have been a part of this marketing plan right
from its inception. The writing of this marketing plan has been one of the
significant academic challenges. We have faced and without the support,
patience, and guidance of the people involved, this task would not have been
completed. It is to them we owe our deepest gratitude.
It gives us Immense pleasure in presenting this marketing plan report on
“Flateel” It has been our privilege to have a team of project guide who have
assisted us from the commencement of this project. The success of this project
is a result of sheer hard work, and determination put in by us with the help of
my project guide. We hereby take this opportunity to add a special note of
thanks for Prof. BIBHAS, who undertook to act as our mentor despite his
many other academic and professional commitments. His wisdom, knowledge,
and commitment to the highest standards inspired and motivated us. Without
his insight, support, and energy, this project wouldn’t have kick-started and
neither would have reached fruitfulness.
We also feel heartiest sense of obligation to our library staff members &
seniors, who helped us in collection of data & resource material & also in its
processing as well as in drafting manuscript. The project is dedicated to all
those people, who helped us while doing this project

Table of Content
TOPIC Page No.
1 Company Purpose 1
1.1 Product Solution 1
1.2 Mission 2
1.3 Vision 2
1.4 Value 2
1.5 Goals 2
2 Situation Analysis 4
2.1 External/macro environment analysis 4
2.2 Market Analysis 5
2.2.1 Industry size 5
2.2.2 Industry Trend 5
2.2.3 Industry Growth 6
2.2.4 PORTER Five Forces 7
2.3 Issue 8
2.4 SWOT Analysis 8
3 Marketing & Financial Objective 10
3.1 Marketing Objective 10
3.2 Sales Objective 11
3.3 Financial Forecast 12
3.4 Resource Requirement 12
4 Marketing Strategies 13
4.1 Segmentation 13
4.2 Targeting 13
4.3 GAAP analysis & differentiation 13
4.3.1 POP 14
4.3.2 POD 15
4.4 Positioning 15
4.4.1 Positioning Statement 15
5 Marketing Mix Tactics 16
5.1 Product 16
5.2 Price 17
5.3 Place 18
5.4 Promotion 18
6 Go-To Market Strategy 19
6.1 Sales & distribution 19
6.2 Production/Sourcing 19
6.3 Launch Plan 20
6.4 IMC Campaign 20

Caminar de stil is a women footwear company which was formed in November
2015.
The Company launch an innovative category of footwear which have benefit of both
heel & flat.
Currently women are facing problem of carrying two pair of Footwears at a same
point of time for their convenience. We have analyze the situation and came with a
unique product FlatEEl , a combination of flats & heels.
Flateel is a stylish heel which can be converted into flats whenever required. It is a
Unique business model that will bound to receive profit in the future as expected by
its designing & working team/staff.
The company with its innovation & vast knowledge on women’s need can quickly
gain impressive market share.
Profit will likely to be start generating from next year only as expected.
EXECUTIVE SUMMARY

1.1 Product Solution
“Women who lead double lives”
This shoe speaks CLASSINESS allowing you to wear heels and flats as preferred
anytime, anywhere and offers timeless, fashionable elegance with the plus point of
being a
time saver .
A High heel doesn’t just have to stop at the heel so our footwear travel up your fashion
forward legs not just into heels but flats as well.
The heel of the footwear is better than detachables , because you don’t have to detach
the heels from the rest of the part as our footwear has the ability of folding itself
inward giving a comfortable yet stylish pair of flats and you are ready to go.
A perfect combo especially for those who love handy and user friendly stuff. It is
basically BEST OF BOTH WORLDS- a single pair providing dual benefit (flats &
heels) & at the same time killing the struggle for carrying extra or more pair of
footwear.
It can be worn at a classic event or in college or office as flats and can be turned into
heels if you want to rush for a party from then & there. It strikes to maintain a perfect
balance & keep users even the minor need in mind.
Bold heels and sophisticated flats – it’s a perfect blend of both that women ever dreamt
of getting into a single pair.
1
1 Company Purpose

1..2 Mission
TO REACH IN EVERY FEMALE’S WARDROBE
As an innovative footwear manufacturer, we must always adapt to the changing social,
economic and professional framework conditions.
With our mission statement, we determine
To FULFILL OUR CUSTOMER’S DREAMS, DESIRES AND EXPECTATIONS,
WITH MOTIVATED AND SATISFIED STAFF, GENERATING RESULTS WITH
SUSTAINABILITY CONSISTENTLY.
1.3 VISION
We created a new footwear segment, the segment of the dual benefit footwear, in
which dual benefit giving good feelings are of highest importance.
With our vision statement ,we determine
TO BE A BENCHMARK IN THE MARKET, WITH BRANDS THAT ARE ADMIRED
AND FAVORED IN OUR SECTORS
Who we are
We are an independent, successful, young and creative company, and we want to remain
so in the future.
What we strive after
We strive in all areas for the highest possible quality. To reach thïs premium goal, we
build our products on excellent raw materials, high-technology combined with good
craftsmanship and constant quality control.
Our Staff
We build on the skills, motivation, self-responsible action and commitment of our
employees. We communicate openly and transparently. The collaboration is focused, fair
and borne out of mutual respect. A high standard produces the outstanding work
performance of our employees.
Our Partners
We work with competent and reliable partners. Our relationship with partners and the
public is marked by fairness and openness.
2

1.4 Value
 Love
 Integrity
 Respect
 Accountability
 Community
1.5 Goals
Our goal is to attain customer satisfaction
3

2.1External/macro environment analysis
2.1.1 PESTEL ANALYSIS
PESTEL is a strategic tool. The acronym PESTEL stands for 6 factors which affect the
business.
Here are the factors that can affect our business:
POLITICAL: Change of government influences the company’s operations.
Increase in excise duty affects the company. So, they’re supposed to maintain a firm
standards of laws with consistency.
ECONOMICAL: Economic downturn is able to affect disposable income of middle
class. It is expected that around 25% of total households is capable of constituting 44% of
the total disposable income in 2015 & respective figures are expected to go up. But if it
doesn’t work as expected than company has to deal with rising labor and operational
costs with falling profitability.
Increasing unemployment rates in plagued economy affects sale which lead the company
to restructure its sales as well as marketing campaign.
Inflation adversely affected the raw material cost. The price of raw material increased
substantially during the inflation thereby increasing the cost of production hence
decreasing the revenue.
SOCIAL: Footwear market is experiencing change in consumer preferences for casual
and younger style due to media penetration & due to the increase in awareness about
international trends and lifestyle. Company needs to focus on them.
Other than that, company has to communicate its image as a brand offering innovative
product of the era so that people can sense a difference from the rest.
TECHNOLOGICAL: Company has already coped up with rapid technological
advancements & innovations benefiting both makers & wearers.
Company is using digitalized system & software to manipulate heel height & design, at
the same time allowing a number of different sizes to be formed at the same time as
shoppers are demanding looks as well as comfort.
2 Situation Analysis
4

ENVIRONMENTAL: During chemical testing of footwear and components, harmful
and restricted chemicals should be avoided.
Material used in production should be environment friendly.
Other than that, Environmental rules and regulations must be followed.
LEGAL: Company needs to make sure that it follows certain laws which are general in
nature such as
Custom act, The Companies Act, Provision of the Contract Labor Act.
Apart from that company must ensure that regional rules and regulations does not get
violated.
Necessary approvals from local bodies should be in hand.
Other legal factors that can affect are:
•Introduction of stricter custom & trade regulations
•Licensing regulations related to the industry.
2.2 Market Analysis
2.2.1 Industry Size
In value terms, Indian footwear sector is estimated at Rs. 50,000 crore which includes
domestic market of Rs. 32,000 crore and export market of Rs.18,000 crore
SOURCE: ICRA Research Service
2.2.2 Industry Trends
Rise in disposable income, especially amongst the lower- and middle-income classes, is
still allowing consumers to increase their footwear purchases, mostly towards more
added-value products. The economic scenario also started showing positive signs of
recovery leading to consumers increasing spend. Therefore, there is a huge scope or
formalization and consolidation in the industry.
5

2.2.3 Industry Growth
The market for women footwear is a strong, steady growing market. It is generally not
affected by economic downturns. Women seem to consume footwears regardless of the
economic climate. In a popular mini-series, a women's habit of buying was footwear
described as a release when they are feeling bad, a way to make them feel better, similar
to eating chocolate. While this stereotype might not be entirely accurate, women love
footwear especially heels and cannot seem to get enough.
6

2.2.4 Porter’s Model
PORTER FIVE FORCES MODEL
 Threats of New Entrants: is MODERATE in the Footwear industry because
although it may be easy for an individual to start a footwear industry,
but it is difficult to make footwear with bi- association technique plus it has to
comply with several government norms and regulations.
 Bargaining Power of Buyer: is HIGH because the footwear is a kind of product
which can be negotiated by customers. Customers are price sensitive and availability
of substitutes in the market make bargaining power high.
 Threats of Substitutes: is HIGH as the other brands substitute products are also
present
 Bargaining power of Suppliers: is LOW as the suppliers of this business are leather
and plastic providers which is easily available in the market if one supplier raise the
price of material than we can shift to other supplier providing the material at
cheaper rates.
 Degree of Rivalry: is HIGH . Bata, Cat walk and tanya heath paris are competitor.
7

2. 3 Issue
Flateel is new in the market and it is important for it to create brand awareness among its
target market. It’s a critical issues for the company to make flateel known in the market
& more importantly let people know its immense usefulness.
2.4 SWOT Analysis
Strength
 Product will provide dual comfort of heels and flats, you can convert these
heels into flats whenever required.
 It will give you a touch over other normal heels as it has a fashion elegance
in it.
 It is the unique product of its own kind, it can be a revolution in the
FOOTWEAR market.
 It will provide value to its customer, if you buy it you will definitely
recommend it to the others also.
Weakness
 Brand Awareness is not there as Product is new , so only a few would be aware of
the product and its brand name.
 Falteel is an experiment in the footwear market so the company is going with a
limited distribution.
Opportunities
 It can be a TRENDSETTER in the market.
 Design and concept is very unique , it can easily attract anyone towards it.
 No competition for a shorter period of time as the product is UNIQUE.
 If the experiment of FLATEEL gets success it can easily overtake other footwear
brands.
 Chances of market expansion.
8

Threat
 Failure – one of the biggest threat, what if customer does not like the product???
 Covering cost – if FLATEEL does not live up to the expectations than its very
difficult to cover the cost also.
In the footwear market there are no barriers of entry and exit for the new products so
anyone can come with the similar design and that could affect Flateel market
9

3 Marketing & Financing Objective
3.1 Marketing Objective
 Increase repeat customers by 7% per quarter.
 Decrease customer acquisition costs by 8% per year.
 Build an effective pull campaign, bringing in new customers at an increased rate of 9%
per quarter.
3.2 Sales Forecast
 Experience a double digit growth rate for the first three years.
 Sales in targeted regions and to target customers keep on increasing.
 Reach profitability by the end of year two.
3.3 Financial Forecast
DR. TRADING & PROFIT & LOSS ACCOUNT FOR THE YEAR ENDING 31st March,2016 CR.
Particular Amount Particular Amount
To Opening Stock 0.00 By Sales 3,747,500.00
To purchase 150,000.00
To Fuel and Electricity 20,000.00
To Carraige Inward 5,000.00
To Wages 40,000.00
To Gross Profit 3,554,500.00 By Closing Stock 22,000.00
3,769,500.00 3,769,500.00
To outsourcing cost 18,000.00 By Gross Profit 3,554,500.00
To Hire Charges of P & M 225,000.00
To R & D 44,000.00
To Sundry Expenses 15,000.00
To Bad Debts 125,000.00
To Carraige Outwards 4,000.00
10

To Interest on Loan @10% 20,000.00
To Advertisement 650,000.00
To Sales & distribution Expenses 300,000.00
To Tax and Duties 965,000.00
To net Profit 1,188,500.00
3,554,500.00 3,554,500.00
DR. TRADING & PROFIT & LOSS ACCOUNT FOR THE YEAR ENDING 31st March,2017 CR.
To Opening Stock 22,000.00 By Sales 4,244,000.00
To Wages 55,000.00
4,594,000.00 4,594,000.00
To R & D 54,000.00
To Tax and Duties 1,200,000.00
4,199,000.00 4,199,000.00
11

DR. TRADING & PROFIT & LOSS ACCOUNT FOR THE YEAR ENDING 31st March,2018
CR.
To Opening Stock 350,000.00 By Sales 4,900,000.00
To Wages 70,000.00
5,180,000.00 5,180,000.00
To R & D 65,000.00
To Tax and Duties 112,000.00
4,270,000.00 4,270,000.00
12

4Marketing Strategies
4.1 Segmentation
Flateel is targeting two population segments of the fashion conscious female with
disposable income, one is Professionals and other is mass market which will include all
the other different categories of female.
Segmentation is based on lifestyle and demographic.
 Professionals: these are full time working professional women. They typically earn more
than rupee 10,000 themselves. They will purchase shoes for the workplace as well as for
leisure time. This group is being targeted as they work full time and therefore have the
need for many different pairs of shoes for all of their different outfits. They also have the
money to spend on shoes and will take advantage of this reality as women typically love
to collect lots of shoes.
 Mass Market: this market has baby bloomers,senior grey,young family and young cool.
Under which young cool has high responsiveness to all the elements whereas they also
have low price sensitivity.Young cool are the college going girls. This group is attractive
because they have the money and the time to shop for trendy footwears. With both
money and time, there is no limit to the number of cool footwear that they would like to
own.
Below given is the segmentation table, explaining flateel’s segmentation of the
female market:
13

4.2 Targeting
The target Audience is in between the Age group of 15 -45 years female and are
professional and college females. This group of people are party lovers.
FLATEEL will be positioned as
DUAL classiness of wearing FLATS & HEELS in ONE.
If we look at the benefits that are being provided by Flateel they are being a combatable
footwear , flat cum heel , and classy in appearance. These benefits would be available to a
very niche set of customers who could afford it. As mentioned earlier the location will be
any mall or crowded place but rather than a stand-alone building where the customers
cannot come or a place which is totally isolated.
4.3 GAAP Analysis & differentiation
4.3.1 Point of parity
Flateel works same as normal heels and flats works and its appearance is also not so
different.
14

4.3.2 Point of difference
The element which makes Flateel different from branded footwear of heel and flat is
flateel’s dual nature.
Flateel offers two benefits into one , you don’t need to carry 2 different types of
footwear because now you are availing them in one.
4.4 Positioning
Flateel will position itself as every women's fashionable solution, providing with the
largest selection, rivaling beautiful pairs. Flateel will leverage their competitive edge to
achieve this desired positioning.
Flateel’s competitive edge is offering duality, for the fashionable as well as time
conscious women consumer. The competitive edge is the recognition of this unserved
niche and the next is serving of this demand.
4.4.1 Positioning statement
“ DUAL classiness of wearing FLATS & HEELS in ONE”
We are positioning our product as footwear with high comfort and classy look
POSITIONING MAP
15

5.1 PRODUCT
Core product: Core products are company's products or services which is most
directly related to its core competencies. They refer to the use, benefit or problem-
solving service that the consumer is really buying when purchasing the product.
In our case we have a height as a core product as it can be decreased and increased
accordingly.
Actual product: Actual Product is the physical or tangible product which a consumer buys
to get the CORE benefits that this product has in offering. For example, if the core benefit
that a consumer seeks is READING then a BOOK is the Actual product.The manufacturers
5 Marketing Mix Tactics
16

keep in mind the CORE benefits before making the ACTUAL product. But since in almost
every product category there is competition among the manufacturers, the companies
usually differentiate their product from the rest. Some of the differentiating factors that the
companies use are packaging, additional features, style, branding etc to attract the
consumers to buy their product.
In our case we have given the preference to green packaging.
Augmented product: A commodity that has both the primary physical attributes and the
non-physical attributes that are added to increase the product's value.
5.2 Price
We’ll opt for Penetration & psychological pricing and price our product at rate of
1499 rupees per piece only which is very much reasonable. Other than that, this type
of strategy will attract large number of female customers.
FACTORY
COST
FACTORY
MARGIN
DISTY
PRICE
DISTY
MARGIN
DISTY
MARGIN
%
DEALE
R
PRICE
DEALE
R
MARGI
N
DEAL
ER
MARG
IN %
RRP/M
RP
INR INR INR INR % INR
INR %
INR
F
L
A
T
E
E
L
960 41%
1338.6 70.453 5% 1409.06 89.94 6% 1499
DISTRIBUTION PRICE LIST
17

5.3 Place
We will launch our product in Delhi because the city has trendy crowd of female college
going girls and professionals. They are appearance-conscious and every time wants to look
perfect from head to toe.
Delhi will attract right kind of customer who will share right kind of message about our
product & who will help us to acquire another set of right customers.
After launching in Delhi,location will get expanded
5.4 Promotion
a) Mass media:- In the beginning, heavy investment will be required for promoting
the store as it is a new concept. Television ads in youth channels like MTV, VH1
and Channel V will be shown. Showing T.V ads between popular serial at prime
time will also be very influential.
Social media will be used extensively to keep the users updated with the
happenings in the store. No newspaper ads will be used but print ads in magazines
mostly fashion magazines like vogue, women sera will be published.
b) Event :- Many fashion events are organized in Delhi university campus, co-
sponsoring them and giving trail to the participants with brand logo will going to
be used .
c) Public relation:- Announcement by posters so that they know when the shop is
going to open and fashion show.
d) Sales promotion:- We’ll promote our sales by giving discounts such as trade
discounts, cash discount, early purchase discount, seasonal discount so that our
main target market i.e; women will get attracted towards our product.
18

6 Go-to market Strategy
6.1 Sales & distribution plan
We are new distributor, we understand that we will have to prove our worth to our
customers in order to earn their respect and business.
FLATEEL will begin operations with two full-time delivery/sales representatives, who
will be responsible for providing full service and delivery to current customers, but also
make sales calls for potential new business, these delivery/sales representatives will
receive a base salary, with commission on qualified sales, as well as bonuses for new
acquired business. Product orders can be placed in a number of ways to help facilitate the
process:
 Online order : customers can order(24*7) the Flateels from our website also with
online or offline (COD) payments mode available
 Phoned Orders: Customers can easily phone orders into our office, up until 8 p.m
and one of our representatives will visit their place with the ordered product.
6.2 Production/sourcing plan
Production Plan
Our production system shall strive to attain service excellence in addition to
manufacturing safe, quality products. This shall be undertaken through the engagement of
modern production techniques using up-to-date assembly technology. This will also
result in low production costs being attained by the company. In order to improve
productivity in our plants we intend to reduce waste and duplication.
 Suppliers
Currently the company CAMINAR DE STILL obtains the vast majority of its raw
materials from XYZ suppliers. However as we are committed to fair terms of trade
and promotion of local business we intend to engage local suppliers. Hence raw
materials, including x and y, may be sourced from local communal so as to
minimize costs. The major advantages of doing so being higher margins, faster
payments and lower risks of payment default.
 Storage
It shall be the policy of the company to ensure that all raw materials are stored in a
secure and clean place. Stock takes and reconciliations shall be undertaken on a
regular basis, initially done at least once a week.
19

6.3 LAUNCH PLAN
Product is new so the distribution is also limited
 But the product would be available in all the major retailer stores
 Brand is not known to the customers so it would be sell through existing retailers
 Before going into the global market the idea is to penetrate the local first.
6.4 IMC CAMPAIGN PLAN
Place- Delhi
Name - fresh face ?
Event - Fashion Show competition
Mission - brand awareness
20

ABOUT
We will organise the fashion show which will take place in north east part of Delhi .In
This region there are 8-9 colleges which are nearer to each other and there we will
approach college girls . In this fashion show anyone can participate who will be able to
fit in the selection criteria.
Judges will be well known figures in the youth like we can invite Ranvijay & Koyal
Rana-former Miss India as they can associate very well the youth.
In the contest semifinalists will be given an opportunity to walk in our fashion show
wearing our flateel footwear.
And the winner among them will get a chance to be featured in our commercial ad.
IMC TOOLS
Print media
 NEWS PAPER
 MAGAZINE
Social media
 FACEBOOK
 TWITTER
 WHATSAPP
21

Out of home media
BUS BILLBOARD BILL BOARD
EXPECTED RESULT
 BRAND AWARENESS
 CONTESTENT WILL SHARE THEIR PICS ON SOCIAL MEDIA
WHICH WILL CREATE MARKETING BUZZ.
J

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