Gm 2.docx

UNIVERSITY OF MUMBAI (FIFTH SEMESTER) T.Y.B.M.S.

A PROJECT ON: INVESTMENT BANKING

ACADEMIC YEAR: 2015-2016

SUBMITED BY: GALA KRUSHEN DILIP

PROJECT GUIDE: PROF. RAHIL DOSANI

DATE OF SUBMISSION: 25TH MARCH, 2019

MALINI KISHOR SANGHVI COLLEGE OF COMMERCE AND ECONOMICS J.V.P.D. SCHEME VILE PARLE (WEST) MUMBAI – 400 049

DECLARATION

I , GALA KRUSHEN DILIP of MALINI KISHOR SANGHVI COLLEGE

OF

COMMERCE

AND

ECONOMICS,

of T.Y.B.M.S. (Semester V) declare that I have completed this project on the “MARKETING STRATEGIES OF GM” in the academic year 2018 – 2019. The information submitted is true and original to the best of my knowledge.

DATE

OF

SUBMISSION

25TH MARCH, 2019

SIGNATURE OF STUDENT (GALA KRUSHEN DILIP)

CERTIFICATE

This is to certify that GALA KRUSHEN DILIP of MALINI KISHOR SANGHVI COLLEGE OF COMMERCE AND ECONOMICS, of T.Y.B.M.S. (Semester V) has completed the project on the “MARKETING STRATEGIES OF GM ”, in the

academic year 2018 – 2019. The information submitted is true and original to the best of my knowledge.

____________________

________________________

SIGNATURE OF PRINCIPAL

SIGNATURE OF

PROJECT GUIDE (DR. MRS. KRUSHNA GANDHI)

(PROF.RAHIL

DOSANI)

_________________________ _________________

__________________

COLLEGE SEAL

SIGNATURE OF BMS

CO-ORDINATOR (PROF. MEHTA)

_____________________________________ SIGNATURE OF EXTERNAL EXAMINER

ACKNOWLEDGEMENT

NEHA

It has always been my sincere desire as a management student to get an opportunity to express my views, skills, attitude and talent in which I am proficient. A project is one such avenue through which a student who aspires to be a future manager does something creative. This project has given me the chance to get in touch with the practical aspects of management.

I am extremely grateful to the University of Mumbai for having prescribed this project work to me as a part of the academic requirement in the Bachelor of Management Studies (BMS) course.

I wish to appreciate the management and staff of Malini Kishor Sanghvi College, BMS for providing the entire state of the art

infrastructure and resources to enable the completion and enrichment of my project.

I wish to extend a special thanks to my project Guide Prof. RAHIL DOSANI without whose guidance, the project may not have taken shape.

Marketing Strategy of GM What is a Marketing Strategy? A marketing strategy is a business's overall game plan for reaching people and turning them into customers of the product or service that the business provides. The marketing strategy of a company contains the company’s value proposition, key marketing messages, information on the target customer and other high-level elements. The marketing strategy informs the marketing plan, which is a document that lays out the types and timing of marketing activities. A company’s marketing strategy should have a longer lifespan than any individual marketing plan as the strategy is where the value proposition and the key elements of a company’s brand reside. These things ideally do not shift very much over time.

The Creation of a Marketing Strategy A marketing strategy grows out of a company’s value proposition. The value proposition summarizes the competitive advantage a company has in its market. The value proposition usually provides the key message for all marketing. Walmart, for example, is a discount retailer with “everyday low prices,” and its business operations and marketing revolve around that. A company is never creating a marketing strategy from scratch. Once the value proposition is succinctly stated, the hard work is done. Any marketing asset, from a print ad design to a social media campaign, can be judged by how well it communicates the value proposition. To further the efficiency of marketing efforts, market research can be added to the marketing strategy for the purpose of identifying untapped audiences or refining the target consumer. Finally, an overall goal for the marketing strategy can be set, with all the subsequent marketing plans inheriting the responsibility for delivering on it. These can be concrete, bottomline goals such as increasing sales or something less direct like climbing the ranking of trusted providers within the industry.

Marketing plans are operational documents that get more attention because they are the day-today work that a company does to sell itself to the world. That said, a marketing plan would be meaningless without a message, a target market and a goal — the core of every marketing strategy.

Developing marketing goals and objectives Whereas the vision and mission provide the framework, the "goals define targets within the mission, which, when achieved, should move the organization toward the performance of that mission."[106] Goals are broad primary outcomes whereas, objectives are measurable steps taken to achieve a goal or strategy.[107] In strategic planning, it is important for managers to translate the overall strategy into goals and objectives. Goals are designed to inspire action and focus attention on specific desired outcomes. Objectives, on the other hand, are used to measure an organisation's performance on specific dimensions, thereby providing the organisation with feedback on how well it is achieving its goals and strategies. After setting the goals marketing strategy or marketing plan should be developed. The marketing strategy plan provides an outline of the specific actions to be taken over time to achieve the objectives. Plans can be extended to cover many years, with sub-plans for each year. Plans usually involve monitoring, to assess progress, and prepare for contingencies if problems arise. Simultaneous such as customer lifetime value models can be used to help marketers conduct "what-if" analyses to forecast what potential scenarios arising from possible actions, and to gauge how specific actions might affect such variables as the revenue-per-customer and the churn rate.

GM MODULAR

GM Modular Pvt Ltd established in the year 2000 Mumbai, Maharashtra. Company is constant innovator and market leaders in switches and other home electrical accessories, made imaginative products that transformed people’s lives tremendously. SwitchRanges: Gmagic, Four Five Display G6, Laxmi industrial estate, link road, Andheri West, Mumbai, Maharashtra – 400053

Center:

About GM We have been catering better lives to our customers across the country. Gm as company introduced innovation that incorporates advanced and imaginative products that transformed peoples life tremendously. We believe in constant innovation and we are the market leaders in switches and other home eletricals products.

OUR PHILOSOPHY AS SWITCH-MAKERS . Back in 1979, things were much simpler. Fuel prices weren’t so high. Roads weren’t as good. Government jobs were the priority. There was more time. There was lesser pollution. It was at a time like this that we first started off with GM as a retailer for a few of the leading electrical brands in the country. Over time, we ventured into manufacturing wires and urea switches. The demand for these was tremendous and luckily made us widen our scope. And today we’re one of the top switch manufacturers in the country. Our vision was simple – to create switches and electrical systems that make a difference to the lives of Indian consumers. And we’ve lived up to it, we believe. Along the journey, we’ve successfully launched various product ranges. Our philosophy as switch-makers, is to put in all our efforts into the latest technology and finer details. So right from market research, to the final product, we make sure that ample time is spent on every process in between, however big or small. Because that’s the only way to making the most perfect products.

MODERN MANUFACTURING GM Electricals has manufacturing facilities at multiple locationsinIndia. All units are equipped with state-of-the-art manufacturing machinery and fully-equipped testing laboratories.

The positive response from the market for these products spurred the company to widen its scope of activities over the next few decades. Over the years, the company successfully launched a series of product ranges including which have become hugely popular with users across the country. Over the last decade, the company has diversified into the manufacturing of MCBs, Distribution Boards, Wires, Cables, CFLs, Home Automation Systems and LED lights.

Indian Modular Switch Market Overview: Indian Modular Switch Market is expected to garner $1,595.0 million by 2022, registering a CAGR of 22% during the forecast period 2016-2022. Modular switches are an advanced version of conventional switches, which cater to the increasing need for safety and aesthetics among individuals. These switches provide added safety, customization, variety, and other novel features as compared to traditional switches. Easy availability of these modular switches at affordable prices in the Indian market has increased their adoption in various applications across verticals such as commercial and residential buildings, IT & telecommunication sector, hospitality, healthcare, retail, and others. The key players in the market are focused on developing technically advanced modular switches at affordable prices. The rapid boom in the construction sector in India has created huge growth opportunities for market players. In 2015, The key players operating in the Indian modular switch market promote their products through digital and physical modes of advertisements.

Online Marketing In the recent past, penetration of Internet in India and purchase of products through e-commerce portals have increased rapidly. Modular switch marketing through company websites, social networking sites, and e-commerce portals, such as IndiaMART and Urjamart have enabled key players to increase their presence among online customers. In addition, major players have focused on expanding their online distribution network to improve their customer services and sustain the market competition.

Television (TV) Advertisement TV is one of the most effective advertising media platforms in India. In terms of key performance metrics including new customers and sales, advertising through TV outperforms other marketing media such as digital marketing and other offline marketing. Major players, such as Havells and Anchor have heavily invested in TV advertisements to promote their brands.

Physical Modes of Advertisement Brand promotion via local newspapers helps companies to promote awareness about their products among the populace. Business-to-business exhibitions and campaigns are anticipated to enable these players to gain a competitive advantage in the market. Thus, key players are expected to promote their products through effective and innovative online videos, social media campaigns, and email message campaigns. In addition, promotions through corporate gifts help prominent players to expand their presence, especially in the commercialsector.

Indian Modular Switch Market: Sales Offices of Key Players, By Region

Get more information on this report : Request Sample Pages Currently, Anchor by Panasonic has the largest number of modular switches sales offices pan India. Furthermore, Anchor by Panasonic has the maximum numbers of sales offices, i.e., 21 in West India as compared to other regions. The Indian modular switch market is segmented based on sales channel into direct sales, sales through intermediaries, and online & dual distribution. In India, sales through intermediaries mode plays a vital role in reaching out to maximum number of customers across various cities. Moreover, these intermediaries play a crucial role in the sales of modular switch brands in India. As per AMR analysis, about 15.0% purchases out of every 100 purchases are directly or indirectly influenced by retailers and other intermediaries. Thus, key players offering modular switches have focused on expanding their distribution networks across the country. For instance, Legrand has 600 dealers and 7,400 retailers in India; Havells has a network of 2,500 dealers and 100,000 retailers; whereas GM has 5,000 dealers and 450,000 retailers. In terms of geography, South India is anticipated to dominate the market by 2022, owing to increase in construction of new malls and other real estate projects in the region. In addition, supportive government initiatives along with attractive FDI policies have encouraged and attracted international retailers to enter the Indian market. This is anticipated to increase the development of malls and retail stores in India, due to increasing demand for durable and

aesthetic modular switches. Thus, these factors are expected to drive the market growth and create opportunities for modular switch manufacturers. Competitive intelligence of prominent modular switch manufacturers provides key insights in terms of strategies implemented by them to improve their market shares. Some of the leading manufacturers profiled in this report include Havells India Limited, Legrand, Anchor Electricals Pvt. Ltd. (Panasonic Corporation), GM MODULAR, Koninklijke Philips N.V., Schneider Electric SA, Wipro Lighting, ORPAT Group, ABB Group, and KOLORS.

Indian Modular Switch Market: Top Impacting Factors

Increasing Concerns Towards Industrial Safety Increasing safety and security concerns among end users has increased the adoption of modular switches among customers. Furthermore, low-income groups are inclined towards installing lowpriced, childproof, flame-proof modular switches at their residences. Furthermore, the adoption of smart and attractive modular switches among end user verticals is anticipated to increase in the near future. Thus, the overall impact of this factor is projected to increase by 2022.

Obligatory Regulations by Governing Organizations Implementation of government norms and regulations to minimize mishaps due to lack of maintenance of electronic products has encouraged end users to deploy safe and durable modular switches. This factor is anticipated to play a crucial role in the adoption of modular switches among various end users verticals, especially in the industrial and commercial sectors.

Rapid Growth in Real Estate Industry Construction activities in India is projected to grow at a significant rate. Moreover, government rules and regulations regarding the installation of modular switches in residential and commercial establishments and growing inclination of end users towards feature-laden modular switches are anticipated to encourage builders and contractor to deploy modular switches in their construction projects. Hence, the impact of this factor is projected to increase during the forecast period.

Key Benefits    

The report includes an extensive analysis of the factors that drive and hamper the growth of the Indian modular switch market. The report provides quantitative as well as qualitative trends to help stakeholders in understanding the prevailing market scenario. The report provides in-depth analysis of the key market segments based on price level, sales channel, and verticals to understand the regional market trends. Competitive intelligence of the market highlights the business practices followed by the companies operating across various regions.

Indian Modular Switch Market Key Segment The Indian modular switch market is segmented:

By Sales Channel   

Direct Sales Sales Through Intermediaries Online and Dual Distribution

By Price Level     

Low Level ($5 and Below) Medium Level (Above $5$10) High Level (Above $10$20) Premium Level (Above $20$30) Luxury Level (Above $30)

By Vertical   

Residential Industrial Commercial o Hospitality o Healthcare Sector o Retail Sector o IT & Telecom Sector o Others (Government, Educational Institutions)

By Region    

North India East India West India South India

MARKETING STRATEGIES

Meaning:The marketing strategy is the means of achieving the corporate objectives. •

It gives messages to the stakeholders, or publics. It says:

▪

"This is where we are going", and

▪

"When we will get there", and

▪

"This is our stance".

Types of Marketing Strategy:•

One of the most fundamental issues which a company must decide on is the type of marketing strategy, or approach, that they will adopt. There are three basic marketing strategies which any company can follow:

Undifferentiated marketing Differentiated marketing Concentrated marketing.

Undifferentiated Marketing: Here there is a standard, unchanged product and a standard, unchanged marketing effort. This strategy can reduce costs (e.g. marketing, production) but will encounter wastage in promotional activity and possibly in distribution. Differentiated Marketing Here the company segments its markets and offers modified products to different segments. The marketing mix elements will also be modified to suit the requirements of the chosen segments.

Concentrated Marketing Here the total marketing effort is aimed at one market segment. ➢ This strategy is really aimed at the exploitation It is common for organisations with a

diverse product range to use a combination of all three strategies for different parts of their product mix 

of a limited market area and tends to be used by those companies who have highly specialised products. It is "niche marketing" by another name.

Different types of marketing strategies used by Gm 1.

Paid advertising

This includes multiple approaches for marketing. It includes traditional approaches like TVCs and print media advertising. Also, one of the most well-known marketing approach is internet marketing. It includes various methods like PPC (Pay per click) and paid advertising.

2.

Cause marketing

Cause marketing links the services and products of a company to a social cause or issue. It is also well known as cause related marketing.

3.

Relationship marketing  This type of marketing is basically focused on customer building. Enhancing existing relationships with customers and improving customer loyalty.

4.

Undercover marketing  This type of marketing strategy focuses on marketing the product while customers remain unaware of the marketing strategy. It is also known as stealth marketing.

5.

Word of mouth  It totally relies on what impression you leave on people. It is traditionally the most important type of marketing strategy. Being heard is important in business world. When you give quality services to customers, it is likely that they’d promote you.

6.

Internet marketing  It is also known as cloud marketing. It usually happens over the internet. All the marketing items are shared on the internet and promoted on various platforms via multiple approaches.

7.

Transactional marketing  Sales is particularly the most challenging work. Even for the largest retailers, selling is always tough especially when there are high volume targets. However with the new marketing strategies, selling isn’t as difficult as it was. In transactional marketing the retailers encourage customers to buy with shopping coupons, discounts and huge events. It enhances the chances of sales and motivates the target audience to buy the promoted products.  8.

Diversity marketing

 It caters diverse audience by customizing and integrating different marketing strategies. It covers different aspects like cultural, beliefs, attitudes, views and other specific needs.

 Television (TV) Advertisement  TV is one of the most effective advertising media platforms in India. In terms of key performance metrics including new customers and sales, advertising through TV outperforms other marketing media such as digital marketing and other offline marketing. Major players, such as GM and Anchor have heavily invested in TV advertisements to promote their brands.

 Online Marketing  In the recent past, penetration of Internet in India and purchase of products through ecommerce portals have increased rapidly. Modular switch marketing through company websites, social networking sites, and e-commerce portals, such as IndiaMART and Urjamart have enabled key players to increase their presence among online customers. In addition, major players have focused on expanding their online distribution network to improve their customer services and sustain the market competition.

 Physical Modes of Advertisement  Brand promotion via local newspapers helps companies to promote awareness about their products among the populace. Business-to-business exhibitions and campaigns are anticipated to enable these players to gain a competitive advantage in the market.

Some of the other modes of advertising are as follows

Newspaper Newspaper advertising can promote your business to a wide range of customers. Display advertisements are placed throughout the paper, while classified listings are under subject headings in a specific section. You may find that a combination of advertising in your state/metropolitan newspaper and your local paper gives you the best results.

Magazine Advertising in a specialist magazine can reach your target market quickly and easily. Readers (your potential customers) tend to read magazines at their leisure and keep them for longer, giving your advertisement multiple chances to attract attention. Magazines generally serve consumers (by interest group e.g. women) and trade (industry/business type e.g. hospitality). If your products need to be displayed in colour then glossy advertisements in a magazine can be ideal - although they are generally more expensive than newspaper advertisements. Magazines do not usually serve a small area such as a specific town. If your target market is only a small percentage of the circulation, then advertising may not be cost-effective.

Radio Advertising on the radio is a great way to reach your target audience. If your target market listens to a particular station, then regular advertising can attract new customers. However, sound has its limitations. Listeners can find it difficult to remember what they have heard and sometimes the impact of radio advertising is lost. The best way to overcome this is to repeat your message regularly - which increases your costs significantly. If you cannot afford to play your advertisement regularly, you may find that radio advertising does not generate strong results.

RETAIL MARKETING Statement of Problem Retail marketing is the range of activities undertaken by a retailer to promote awareness and sales of the company’s products. This is different from other types of marketing because of the components of the retail trade, such as selling finished goods in small quantities to the consumer or end user, usually from a fixed location. Retail marketing makes use of the common principles of the marketing mix, such as product, price, place and promotion. A study of retail marketing at university level includes effective merchandising strategies, shopping and consumer behavior, branding and advertising. Retail marketing is especially important to small retailers trying to compete against large chain stores.

Objective 

To have an exposure of the market environment.



To understand the extent to which the theory matches with the actual practices seen in the market.



To make an analysis of the organization’s performance.



To study the relevance of Havells in the electrical industry in Ernakulam.



To get clear idea regarding their services and their products.

1.3 Importance Through the years retailing has evolved, competition has gotten stiff and therefore marketing has become more integral in the direct selling of wares. From specialty mom-and-pop shop to mass-merchants, the methods by which stores are getting their products into the hands of customers are evolving. Because customers have more choices, stores have to reach them with advertising, entice them with promotions, and secure them with branding, hence the evergrowing

need

for

marketing

in

retail

outlets.

Retail marketing is important to keep consumers updated on new local available products as well as promotion of incentive sales for customer growth and retention. Retailing in India is one of the pillars of its economy and accounts for 14 to 15 percent of its GDP.

1.4 Research Methodology  PRIMARY SOURCES Primary sources are those data which are collected by the researcher for the first time. It is fresh in nature and is specially designed to fulfill the requirement of the problem in hand. Survey method was used as means to collect information and questionnaire was used as a medium to record the information, the data was directly collected from the respondents through the survey method with the help of questionnaire, which will be further processed with Microsoft excel and analysis in form of charts, calculations and statements will be used.

 SECONDARY SOURCES Secondary sources of information are that information which is gathered earlier for some other purpose. In these study secondary sources such as web page references, publications, etc were used.

Sample size The study sample constitutes 50 respondents.

Sampling Area The study is conducted in the Ernakulam district.

Research period The research period of the study has from 20th June to 20th July.

1.5 Scope This study emphasis in the following scope: 

It motivates carrier growth.



It helps to reach all the target customers.



The shopping time of the customers increases.

1.6 Limitations of the Study 

To understand the organization and study its various functions and ups and downs a period of 30 days is not enough.



Time consuming process.

RETAIL MARKETING Definition Retailing is defined as a conclusive set of activities or steps used to sell a product or a service to consumers for their personal or family use. It is responsible for matching individual demands of the consumer with supplies of all the manufacturers. The word ‘retail’ is derived from the French work retailer, meaning ‘to cut a piece off’ or ‘to break bulk’. Retail marketing is comprised of the activities related to selling products directly to consumers through channels such as stores, malls, kiosks, vending machines or other fixed locations, according to the Free Dictionary. In contrast, direct marketing to consumers attempts to complete a sale through phone, mail or website sales. The successful implementation of the components of the traditional marketing mix (product, place, price and promotion) is essential for success in retail marketing. The savvy marketer must have a thorough understanding of his or her customers to answer the questions that are implied by each of the 4 P's.

Product A retail business typically opens within a specific business category, such as men's clothes. The retailer must decide questions relating to price range, fashion and selection. All of these issues are answered by the assumptions that the retailer makes on the products most likely to attract his targeted customer base. The ability to match products and customers is as much art as science.

Place Factors such as whether the store location is near the target customer, offers easy access and exit and is highly visible on a well-travelled street are vitally important in the selection of a store location. The perceived quality of the physical structure is also important. Customers expect expensive items to be sold in an upscale environment. Low-cost items might fare better in a location where consumers are accustomed to purchasing those bargain items.

Price Pricing is a complex process that combines finance with human psychology. If consumers believe that a product is priced too high, they may refuse to buy. If a product seems to be priced too low, they may suspect the product quality. Additionally, a retailer typically sets price expectations as she develops her brand. If the brand is positioned as discount, the merchant must stay consistent with pricing decisions or risk customer confusion about the store's brand identity.

Promotion Retail marketing is dependent on in-store traffic. Marketers must make effective use of promotions to ensure a steady stream of existing and new customers visit a retail stores. The retailer's selection of promotional channels is dictated by many factors including local competitive environment, profit margin on sales and total volume of sales. Each dollar spent in promotions must result in additional sales, or profit margins shrink to dangerous levels.

The Indian Retail Market Indian market has high complexities in terms of a wide geographic spread and distinct consumer preferences varying by each region necessitating a need for localization even within the geographic zones. India has highest number of outlets per person (7 per thousand) Indian retail space per capita at 2 sq ft (0.19 m2)/ person is lowest in the world Indian retail density of 6 percent is highest in the world. 1.8 million households in India have an annual income of over 45 lakh (US$77,400.00). While India presents a large market opportunity given the number and increasing purchasing power of consumers, there are significant challenges as well given that over 90% of trade is conducted through independent local stores. Challenges include: Geographically dispersed population, small ticket sizes, complex distribution network, little use of IT systems, limitations of mass media and existence of counterfeit goods. The Indian retail industry has been thrown open to foreign majors and is packed with players who strive to offer great products and value-for-money to Indian consumers. The country holds vast promise for retailers with its burgeoning spending power and rising middle class. The US$ 500 billion market, growing at an annual rate of about 20 per cent, is largely dominated by small shops and stores as of now. The organised segment is in its nascent stage and has huge potential to harness in the sub-continent. Foreign giants like Wal-mart and IKEA have recently received the Government’s nod to enter the Indian market, after making all the necessary compliances.

Market Size 

India’s retail market is majorly dominated by the unorganised sector. Organised segment accounts for 8 per cent of the total retail landscape, according to a study by Booz & Co and RAI.



The Indian retail industry has expanded by 10.6 per cent between 2010 and 2012 and is expected to increase to US$ 750-850 billion by 2015, according to another report by Deloitte. Food and Grocery is the largest category within the retail sector with 60 per cent share followed by Apparel and Mobile segment.



The foreign direct investment (FDI) inflows in single-brand retail trading during April 2000 to December 2012 stood at US$ 95.36 million, as per the data released by Department of Industrial Policy and Promotion (DIPP).

Online Retail Internet is the buzzword in India these days. People have online access 24x7 through their laptops, iPads and mobile phones. As a result they have continued access to online retail markets as well. Online retailers are emerging as important sales channels for consumer brands in India as more and more people, especially the young generation, are shopping online. From apparel to accessories, kids and infants’ product lines and almost everything under-the-sun is available on the net these days. Apparel and accessory brands, such as Puma, Nike and Wrangler, have recorded a big increment in online sales in 2012, led largely by purchases from smaller towns and cities with consumers paying the full price for these products. For instance, footwear brand Nike has tie-ups only with online retailers such as Myntra and Jabong. And in a very unique initiative, it recently launched its new range of cricket gear on Jabong. Such partnerships turn out to be very successful as online retailers provide greater visibility than a physical store. "Our online store can carry around 10,000 options, while an offline store can carry only 20 per cent of a given range," said an official. Online retail in India is projected to grow to US$ 76 billion by 2021, accounting for over 5 per cent of the Indian retail industry, according to a report by advisory services firm Technopak. This forecast is encouraging more companies- big and small- to sell aggressively online. Experts believe that much of this growth will come from the rising purchasing power of consumers in smaller cities, who do not have access to brick-and-mortar stores stocking high-end brands.

Different types of products available with gm 1 fourfive MODULAR switches

Modular Switches are specially designed polycarbonateswitches with new sleek design. It gives not only value to customers but also the quality. These switches are made of fire retardant material which offers protection against fire. Gm products represent a fine blend of Art & Science. Designing aesthetically appealing products by maintaining high level of Engineering Excellence. GM Modular Switches are preferred choice for homes, offices and the industry.

ZENOVA SWITCHES

GM ZENOVA MODULAR SWITCHES Gives a finest balance between function and form.The idea of how a switch should be has transformed to and idea of how a switch could also be.The completely Flat Form of the mechanical switches has redefined norms completely. Its brilliant functions adds ease to life and spurs luxury in daily living.

TOUCH SWITCH 

The i-Touch range of switches has taken a step further in making life at home so convenient.It gives a magical touch and blends its comfort with the next level of technology making your walls a testament to innovation;this wifi technology allows you to control your rooms lighting fans or controls with GM i-Fi app.

I-FI TOUCH ADORE SWITCHES

i-Fi and i-Touch switches will help users to switch on/off their electrical switches while they are away from home/ office. All they will need is a cell phone or a computer and any Internet connectivity that communicates to their homes Wi-Fi network that furthers controls the devices. One can control the real-time situation at home, experiencing the wonders of technology at its best.

Led lights by GM

GM Modular has recently augmented its LED lighting product range with the launch of Glitz Air and GX at Acetech 2018, Mumbai. Brand ambassador, Suniel Shetty’s presence made the event more significant and visitors were delighted by the fascinating and innovative technology that has been showcased by the brand. Glitz Air, a high quality lighting solution, does not only brightens up the space, but also changes the ambience through various hues, allowing users to control all of this even from a distance via App, while she is still away from home. It can also turn the lights on and off over voice command.

It is simple to set up and uses bayonet version for fitting. The bulb shines in any of 16 million colours and has a built-in dimmer that adjusts brightness and controls power. Brightness is about the same as a traditional 60W bulb, hitting up to 800 lumens to get the change in ambience from cooler to warmer.

With changing working space environment, different lighting condition is needed for performing tasks effectively. This fascinating technology is one of the best solutions for smart homes and is best suited for office spaces for various tasks like conferences, presentations and more.

GM Modular has also come up with another variant GX, the slimmest, slickest range in Home Electrical category. It is made up of finest material which produces best product aesthetically and functionally

LED Market Size and Havells’ Market Share

India’s LED market is forecast to reach $1,457.8 million by 2019, at a CAGR of 35.9%, during 2014-19. Increasing demand for energy efficient light sources and various Government initiatives to replace the CFL’s and incandescent bulbs with LED bulbs is driving the growth of LED lighting in India. 

The government has decided to change all street lights and lights in public spaces to LED lights, and initiated making all LED specifications mandatory; notifications to commercial buildings to change existing down lights exclusively to LED are in progress.



All existing government schemes to distribute CFL are being modified with LED lamp distribution.

Market Size and Share

LED MARKET GROWTH OVER THE YEARS LED Market Size (in Crores)

Growth Rate

6000

5500

5000 4110 4000 2989 3000 1925

2000 1000

300

500 60%

850 70%

1250 47%

35%

35.60%

27.27%

33.81%

2014

2015

2016

0 2009

2010

2011

2012

2013

As we can see from the above chart, LED market is one of the fastest growing markets. Though LED lights are brighter and more energy efficient than its predecessors, the major spurt in the growth of LED market came after the initiatives of the government. The market size of Indian LED industry may touch Rs 21,600 crore by 2020 on the back of government'S decision to switch to LED for all street lamps and public space lighting. The following graph will show the growth trend for the LED industry.

Chart Title 12000 10460 10000 7560

8000

5500

6000

4662

4000

4110

2989 1925

2000

1250

0 2012

2013 Origonal Estimates in Crores

2014

2015

2016

Revised Estimates in Crores

In such a large and growing market, Havells has managed to emerge as one of the major players. Over the years, Havells established itself in the market using quality and price range as its USP. In March 2007, Havells acquired SLI Sylvania of Netherlands for $300 million, making it the fourth largest lighting business in the world, worth over a billion USD. Currently, the market share of Havells in the LED market is 12% as per 2014 figures. LED lighting contributed to 45% of the total revenue of Havells from its Lighting Sector.

SEGMENTATION The LED market can be broadly divided into three end-use segments: 1) Commercial 2) Industrial/Outdoor and 3) Residential

Commercial Segmentation -: LED lights offer a lifetime of up to 50,000 hours of illumination and work efficiently by

utilizing only a fraction of energy. The most important feature that commercial organization looks for while buying an LED is its energy saving capability and Havells targets this sector by offering LED’s which save up to 80% of energy. With life and better brightness, Havells LED presents itself as the perfect choice for futuristic world when it comes to energy consumption.

Industrial/Outdoor Segmentation-: Infrastructure applications which include street lights, tunnel lights, external wall sconces, pathway lights, garage structures, parking lot etc are included in this segment. High power factor is the key driving factor in this type of segment. Havells is one of the few companies in lighting category which also provides LED’s especially for this purpose. Havells provides LED’s whose power ranges from as low as 28W to as high as 150W giving its consumers a wide variety to select from.

Residential Segmentation -: This segment includes lighting used in homes. Cost is the key driver with the traditional style form factors dominating this market. Havells provides LEDs which have just the right brightness levels and lower consumption levels making it the ideal choice for residential consumers. Its extraordinary long life of LED’s and its environment friendly factor makes it one of the leading players in its industry.

TARGETTING It is very important for any organization to select potential customers to whom the organization wants the sell the products. The segments which Havells has been primarily targeting are residential consumers with its low cost and energy efficient products like Delite and Lumeno LEDs which reduces the electricity bill by 50%. With the products having different power ranges it is a popular choice for any company to light up its office. With its low cost LEDs and products for Home Decor and Speciality lamps it is also able to target rural as well luxury households. And with its recent launch of Lumeno LED which can save up to 90% of power it will be a favourite choice for the entire environment concerning people.

POSITIONING Havells has always stumped its competitors by its positioning strategy. Aggressive branding especially on television has helped Havells create a brand recall like no other. Iconic catchphrases like “Shock Laga Kya” and advertisements like “Rimpoche” and “Happy LEDiwali”. Apart from that it also has sponsored famous TV shows like “BIG BOSS”, which has just increased its brand value. Havells has invested in a network that rivals its peers. It has one lakh retailers along with over 200 Havells Galaxy Stores and 2500 dealers across the country. Havells is also famously very dealer friendly. It offers higher credit, larger trade discounts especially on early payments and entertains dealers on overseas trips. All that incentives make Havells a popular brand among the retailers. Havells LED, like all the other divisions of the company, focuses more on quality based competition. Rather than price competition. The products are standardised and are of a premium quality.

SWOT ANALYSIS OF GM MODULAR STRENGTHS -: 

Huge demand forecasted for all types of lighting products.



Large distribution network, with a huge number of retail outlets.



Strong Brand Image.



Large range of products in terms of cost, power etc.

WEAKNESS -: 

Low capability for domestic production of electronics.



Increase in short term debts.



Heavily Indebted.

OPPORTUNITIES-: 

Fast growing Indian infrastructure.



Potential to create greater demand for LEDs via ban of inefficient Halogen Lamps.



Scope for more environment friendly products and their disposal.



Growing Demand for Energy Efficient products.

THREATS -: 

Low quality, cheap imports (e.g. from China) flooding the market and competing with locally manufactured product.



Highly Competitive Markets



Forex volatility, leading to volatility in cost of raw materials for LEDs, most of which are imported today.

PORTERS FIVE FORCES ANALYSIS It is a framework to analyze the level of competition within an industry and business strategy development. It draws upon industrial organization to derive five forces that determine the competitive intensity and therefore attractiveness of an Industry. Attractiveness in this context refers to the overall industry profitability. An "unattractive" industry is one in which the combination of these five forces acts to drive down overall profitability. Following are the five forces -:

Bargaining Power of the Suppliers Havells being a MNC has a very large need of raw materials. For this need it does not depends upon a single

supplier. As it’s a very huge and old company its need cannot be

fulfilled by a single supplier and also it understand that if it has only one supplier then the price can be dominated by them. Havells understand this fact and therefore has many suppliers. Therefore the bargaining power of supplier is very less.

Bargaining Power of the Customers Today is the world of digitization and because of this the entire information is available to the customers. Gone is that time when manufacturers can sell anything to customers .Now is the time when customers are very smart and have various options to buy. Same is in the case of havells Therefore we can say that buying power of customer is very high.

Threat of New Entry In today’s era technology is changing very fast. Normal tube lights were taken by more efficient one then comes the CFL and now LED which is even better. But companies invest a lot in the manufacturing plants of these .But if a new technology comes which is much better and much cheaper then all of their investment will be wasted. But also the fact that these types of plant need a very large investment which not all can afford. Therefore there is a

very high threat of new entrant.

Threat of Substitution:

There are some products that can be defined as the substitute for LED for example tube lights, CFL, bulbs etc. Therefore there is a threat for substitute in this case

Rivalry among existing competitors In the field of LED Gm modular has lot of competitors. Among many the biggest competitors for Havells are Philips,Bajaj ,Syska and many Chinese LED. Therefore there is very close competition.

Comparative Analysis

Parameters

Weightage

Havells

Price Range

0.25

100

25

80

20

80

20

20

5

Efficiency

0.25

100

25

100

25

80

20

100

25

Warranty

0.20

50

10

50

10

100

20

50

10

Life in Hours

0.15

80

12

50

7.5

60

9

60

9

Brightness

0.15

80

12

60

9

100

15

60

9

1.00

410/500 84/100 340/500 71.5/100 420/500 84/100 290/500 58/100

(Measured

Phillips

syska

Gm Led

in

Lumens/Watt)

(Measured

in

Lumens) Total

Source: ledlightsindia.com

The LED market has emerged as one of the fastest growing industries in India where Havells has an ever growing market with a yearly growth rate of 20 percent. Presently, the outdoor LED lighting segment is the largest revenue generator on account of growing demand for LED installations in parks, streets, railways, metro stations, parking lots and other public places. However, the indoor segment is anticipated to witness strong growth in future owing to rising awareness about LED technology and various government initiatives to subsidize the

cost

of

LEDs.

According to researchandmarkets.com, Philips dominates the country's LED market with the highest market share, followed by Havells, Syska, Innovlite and GE. As per the information from the website ledlightsindia.com, Havells India is the second best with respect to quality of product with Syska at the first and Philips at the third place in the LED market.

APPOINTING BRAND AMBASSADOR Brand ambassadors marketing is quickly intersecting with influencer marketing. In fact, most successful, ROI-driving influencer marketing case studies have all the hallmarks of brand ambassador marketing built in. When I talk about brand ambassadors in 2017, I like to check for a few key traits:    

Creative – Always building and releasing compelling original content Niche passion – Visible obsession and deep expertise in a vertical Loyal followers – Multitudes of like-minded individuals you can count Convincing personality – Powerful enough to make you laugh or cry

The best brand ambassadors love you as much as you love them. They love your brand, your product, and the people behind it because the you aren’t treating them like a channel. Brand ambassadors are people. Creative, passionate, vital people who form and build relationships through shared experiences. And that’s mantra marketers should use to cut through the buzzwords when working to implement a brand ambassador program.

A brand ambassador is employed by a company or organization to help raise brand awareness and increase sales. They complete a variety of tasks ranging from promoting products or services in-store to implementing marketing campaigns. They are also known as influencers or corporate ambassadors Brand ambassador Era of change From the early- to mid-1950s to the mid-1960s, more firms moved toward adopting brand managers. The sudden boom in the economy, followed by a growing middle class population and birth rate, increased the demand for products within the market. This led to a steady competition among a number of manufacturers who found it hard to get their products noticed amidst the preexisting brands. By the year 1967, 84% of large consumer packaged goods manufacturers had brand managers.[5] Brand managers were also being referred to as "product managers" whose sole priority shifted from simply brand building to boosting up the company's sales and profit margin. "The product manager is man of the hour in marketing organizations.... Modern marketing needs the product manager," raved one 1960s article.[6] Over the course of several years, brand managers continued to exist as a medium that would help boost company revenue. In the 1990s, Marketing UK highlighted that brand managers are a part of an "outdated organizational system" while "the brand manager system has encouraged brand proliferation, which in turn has led to debilitating cannibalization and resource constraints.

Brand Ambassador Responsibilities: Familiarizing yourself with the company’s mission, vision, and goals. Working closely with sales and marketing staff to conceptualize marketing campaigns and strategies. Educating customers, retailers, and distributors about our products. Creating website and social media content in order to drive brand awareness and attract new customers. Building rapport with customers and vendors. Monitoring customer feedback and escalating complaints to the marketing department. Tracking customer preferences, metrics, and media campaigns. Representing the company at product launches, events, and trade shows. Brainstorming ideas and participating in training and workshops. Maintaining a positive image of the brand at all times

Appointing sunil shetty as a brand ambassador

SWOT Analysis of Havells India with USP, Competition, STP (Segmentation, Targeting, Positioning) - Marketing Analysis Havells India Parent Company

Gm modular pvt ltd

Category

Electrical Equipment

Sector

Modular switches led lights accessories mcbs

Tagline/ Slogan

Passion is in everything gm does

USP

One of the top Fast Moving Electrical Goods (FMEG) Company and a major power distribution equipment manufacturer with a strong global footprint Gm modular pvt ltd

Segment

Switchgears ,Cables and wires, Lightings and fixtures, Electrical Consumer durables,

Target Group

Construction companies, Distributors, dealers and builders

Positioning

A quality provider of powerful, sustainable and efficient power solutions GM MODULAR PRIVATE LTD SWOT Analysis Below is the Strengths, Weaknesses, Opportunities & Threats (SWOT) Analysis of GM MODULAR PRIVATE LTD India :

Strengths

1. Strong global distribution network

2. Great investments in fast-growing emerging countries 3. Very good acquisition history 4. Amongst top three players in most its products with aggressive building 5. Broad range of products and good advertising through TVCa 6. Global presence with many diverse product lines in 50 different countries 7.First FMEG Company to offer door step service 8. High investment in R&D has helped it to deliver innovative solutions to its customers

1.High Debt ratio 2. Globally small market share 3.Slowdown of real estate Weaknesses

4.Slowdown in global markets will effect moreadversely after a series of acquisitions 1. Globally emerging markets 2. Weak cycles of the sector 3.Acquisition of Chinese firms for low costmanufacturing 4.Vertical integration into retail outlets

Opportunities

5. Leveraging upon motor business in IndiaUnorganized 1.Unorganized markets 2.Delays in execution of power projects 3. Highly regulated electrical sector 4. Environmental legislations on industrial wastes

Threats

5.Intense competition in the sector GM MODULAR PRIVATE LTD Competition Below are the 3 main GM MODULAR PRIVATE LTD competitors : 1. ANCHOR ROMA 2.SCHINEDER ELECTRICALS 3. HAVELLS SWITCHES

Competitors

4. LEGRAND

The Fast Moving Electrical Goods Company (FMEG) GM MODULAR PRIVATE LTD Limited is $1.4 Billion Electricals Company which manufactures products ranging from Switches to led fittings in personal grooming business segment to reactive power solutions, cables and other items in the Industrial business segment. The brand in order to penetrate with the unmatched distribution network has built up 513 exclusive brand showrooms in name of GM MODULAR PRIVATE LTD Segmentation, targeting, positioning in the Marketing strategy of GM MODULAR PRIVATE LTD Customers expectations are met by the company by effectively segregating the different groups based on the segments such as those consumers in Urban & Semi-Urban areas and electricians & small retailers in tier-3 & tier -4 cities. It targets the customers in the middle-income group who uses the products which are Mass-premium. Mass premium is the group of customers who want quality products and forms the major part of the population in the respective region. The company majorly targets customers who are interested in either electrical. GM MODULAR PRIVATE LTD positions itself as a brand easily accessible, convenient to use and are value for money for the customers.

Marketing mix – Here is the Marketing mix of GM MODULAR PRIVATE LTD

Mission of GM MODULAR PRIVATE LTD “To achieve vision through fairness, business ethics, global reach, technological expertise, building long-term relationships with all our associates, customers, partners, and employees” Vision of GM MODULAR PRIVATE LTD “To be a globally recognized corporation that provides best electrical & lighting solutions, delivered by best-in-class people” Tagline of GM MODULAR PRIVATE LTD “India: Electrified By GM MODULAR PRIVATE LTD”

Competitive advantage in the Marketing strategy of GM MODULAR PRIVATE LTD

Diversified Product line:

Diversified product portfolio in each of the business verticals in the electronic segment has not only helped the company in the establishing its brand in electrical business but it also helped it in establishing & popularising its industrial business segment.

BCG Matrix in the Marketing strategy of GM MODULAR PRIVATE LTD GM MODULAR PRIVATE LTD operates in the business segment such as switchgear, Cables, LED Lighting & fixtures and electronic consumer durables (ECD) segment. These four SBU’s of the brand are either ranked 1,2 or 3 in their respective markets like Switchgears hold 19% market share , Cable business is ranked three (market share Domestic-16% & Industrial- 10%), LED Lighting business is ranked 3 and have market share of 12% while ECD business have market share ranging from 10-14%.

Due to the strong share of each business unit in the market, all holds Stars position in the BCG matrix.

Distribution strategy in the Marketing strategy of GM MODULAR PRIVATE LTD The last mile connect by closely working with Wholesalers, distributors, Retailers, and electricians has resulted in penetration in the tier-3 cities through the omnichannel. The company reaches out to the customers through 7575 direct dealers, 100000+ Retailers, 220000 electricians and 580 channel partners. The state of the art 12 Manufacturing facilities in tier-2/3 cities is helping the brand in keeping the cost of production low as well as at the same time penetrate to the bottom of the pyramid through these production facilities.

Brand equity in the Marketing strategy of GM MODULAR PRIVATE LTD Wide product categories supplemented with after sales services has helped it bagging awards & accolades such as Corporate excellence award by Amity University, Readers Digest trusted brand award, Effie Advertising Award Gold and many more. To ensure the brand Visibility Company spends approximately 3-4% of its revenue in advertisements with regional appeal. Time to time in order to create visibility in the market through its social duties, GM MODULAR PRIVATE LTD have been initiating several CSR activities such as building

more than 2000 bio-toilets during the year 2016-17, providing mid-day meal to 57000+ students in Alwar city daily.

Competitive analysis in the Marketing strategy of GM MODULAR PRIVATE LTD –

RELATED TOPIC Economies of Scale

The company’s operational modalities of connecting retailers & electricians through 360 degrees connect program and expansion in tier 3-4 cities are proving instrumental in its competitive ecosystem. Its various sub-brands such as Lloyd, Crabtree, Standard, REO helps the brand to compete with the renowned brand in the market such as Samsung, Panasonic, Crompton Greaves, Philips etc.

Market analysis in the Marketing strategy of GM MODULAR PRIVATE LTD – Micro factors such as growing middle class, infrastructure development through electrification of around 78% of the population, penetration with the help of unorganized sector, and young demographics who wants technologically driven products with good aesthetic are some of the factors driving the market growth. Availability of the suppliers and local sourcing is helping the company in keeping its cost low while increasing its operational efficiency through economies of scale by making the products available to the new & untapped markets, sometimes at the cost of high distribution expenses.

Customer analysis in the Marketing strategy of GM MODULAR PRIVATE LTD – Customers of the brand in the Retail segment are from the urban markets while recently company started penetrating to the tier-2, tier-3 cities through which majority of the markets will be covered. Premium perception and high quality are resulting in repeat purchases in the retail segment. In industrial businesses, it serves B2B customers who have requirements of Switch gears, Cables, Motors, Heavy Duty Fans and professional Lightening.

Marketing Mix of GM MODULAR PRIVATE LTD analyses the brand/company which covers 4Ps (Product, Price, Place, Promotion) and explains the GM MODULAR PRIVATE LTD marketing strategy. The article elaborates the pricing, advertising & distribution strategies used by the company.

Let us start the GM MODULAR PRIVATE LTD Marketing Mix:

Product: GM MODULAR PRIVATE LTD is a leading Fast Moving Electrical Goods company. GM MODULAR PRIVATE LTD has also got one of the biggest product basket. The product portfolio in the marketing mix of GM MODULAR PRIVATE LTD can be divided into 2 segments:

• Consumer products: It covers products sold in B2C (Business to Consumer) market. Product offered by GM MODULAR PRIVATE LTD are Fans (ceiling fans switchgear mcbs Lighting (consumer, CFL, LED lights , flexible cables etc. •Industrial products: It covers product sold in B2B (Business to Business) market. Products sold by GM MODULAR PRIVATE LTD in this category are professional lighting (LED luminaries, street lights etc), reactive power solution (LV PFC capacitors,agricultural duty capacitors etc), cables (HT power cables, LT power cables etc) , switch gear. GM MODULAR PRIVATE LTD is focused on extending its product portfolio through use of technology to bring new Lifestyle based products like Home automation. From 2015, GM MODULAR PRIVATE LTD is targeting ‘Integrated Automation and Control Solutions’ segment which focuses on products to enhance customer lifestyle. Price: GM MODULAR PRIVATE LTD follows a competitive pricing strategy due to presence of competition from other big players like Phillips, Bajaj electrical, Anchor etc. GM MODULAR PRIVATE LTD has always emphasized on providing quality product to its customers even some of the products may cost higher but all the products are nearby in the same price range as that of competitor’s. Also GM MODULAR PRIVATE LTD as a part of Make in India initiative focuses on building products within India like Automatic Changeover with Current Limiter (ACCL) and MCB manufactured in India. Due to in-house manufacturing the company is able to control pricing as raw material is available at low cost in India. As a result, about 90% of the total revenue comes from Indian manufacturing plants. GM MODULAR PRIVATE LTD also follows value added pricing strategy for some of its premium products like Home

automation products but these are still affordable. This gives an overview on the pricing strategy in the marketing mix of GM MODULAR PRIVATE LTD

Place: GM MODULAR PRIVATE LTD India has got an extensive distribution network across India covering around 1 lakh retail stores. GM MODULAR PRIVATE LTD has also got 20000 distribution network globally making its distribution strategy as the differentiating factor as compared to other companies. Hence, the place strategy in the marketing mix of GM MODULAR PRIVATE LTD is mostly dependent on distributors and retailers spread across geographies. These stores carry entire range of product offered by GM MODULAR PRIVATE LTD from fans to switches to cables and lighting products. GM MODULAR PRIVATE LTD store provides customers with better ambience and convenience. Currently GM MODULAR PRIVATE LTD has more than 250 stores across India. Moreover GM MODULAR PRIVATE LTD also offers door step service initiative . GM MODULAR PRIVATE LTD operates customer service team 24*7 which caters to customers from over 400 districts in 9 different languages.

Promotion: The electrical industry is not generally brand driven. But GM MODULAR PRIVATE LTD India has always emphasized on aggressive marketing strategies where the company spends about 3-4% of sales on advertising and promoting their brand as compared to just 1% spend by other competitors in electrical industry. The promotional strategy in the marketing mix of GM MODULAR PRIVATE LTD uses media like TV, print, online etc to spread brand awareness promoting their MCBs. Other prominent ads like ‘Wires that don’t catch fire’ for cables promotion as also a big hit which showed mother son relation beautifully. GM MODULAR PRIVATE LTD has been able to achieve premium brand image in minds of consumer projecting GM MODULAR PRIVATE LTD as achiever and ambitious brand. This gives an overview of the marketing mix of GM MODULAR PRIVATE LTD