Marketing planning

trade planningIntroduction This assign manpowert is submitted in partial fulfilment of the selling planning unit. I have been asked to conduct macro- purlieual and micro environmental merchandise audit to identify the current and key issues facing the organization I propose to launch a Fabindia hold on in Milan, Italy.The report out landmarks reasons for undertaking the audit and appraises the processes, models and techniques used for the audit. It in addition assesses the external and internal tradeing environment for the organisation and summarises the impact of this analysis for the organisations marketplaceing plan and marketing mix. at long last have proposed a marketing plan details about how it butt end be executed.1.About Fabindia1.1 HistoryThe first Fabindia outlet was set up in 1961 by John Bissell to lead a platformfor tralatitious artisans and printers to market their produce to showcase diversecraft traditions of India.1.2 Current PhilosophyEco-friendly, good hand crafted Indian increases.MissionTraditional, ethnic products creating sustainable work for craftsmen andartisans in rural India.1.3 Current train AudienceRetail-Age Group non limitedSex anthropoid FemaleEconomic Class stop number and higher middle class.Geographical tails Metros, tier 2 tier 3 cities.Institutional BuyersHeritage hotels, resorts corpo direct houses.1.4 Current output RangeGarments for men and women, Accessories, Home Linen and Furnishings,Home Products, Floor Coverings, Body Care Products and more(prenominal)(prenominal) recently, OrganicFood Products and ethnic jewellery.1.5 Timeline of its chime ins1976 1st retail outlet, New Delhi.By 2001 6 stores concentrated in the metro cities.By the end of 2004 20 stores.By the end of 2007 75 retail stores across India and in addition, stores in Dubai,Rome and Guangzhou in China.By 2008 99 stores.By 2009 108 stores.By 2011 Tar enamor of having 250 stores.Fabindia Retail Snapshot108 stores acro ss 40 cities6 stores abroad. Dubai, UAE, Bahrain (three stores), Doha, Qatar and in Rome, Italy.Online obtain Exports to 34 countries1.6 Sales Revenue2000-01 Turnover of 36 crore rupees2005-06 Turnover of Rs single hundred thirty crore.2007-08 Revenue of Rs 257 crore2008-2009 Revenue of Rs 300 crore. but growth more than halved to 17% from40% in 2007-08.By 2011 Target turnover Rs 1000 crore.1.7 future PlansLeveraging the Organic Products section, childrens market.Expand nationally world(prenominal)ly.100,000 shareholders and five-fold increase in hot jobs in the rural sector.Reduce the number of defects in the products to a borderline which include bleeding of colours, shrinkage etc.2. Internal Audit2.1 overdress AnalysisSTRENGTHSDifferentiable products,Diverse product mix, internationalistic appeal,Eco-friendly, ethical, inherent stylish,Showcases diverse Indian craft traditions contemporary fashions,Creates employment for craftsmen in rural India,Different cate gories of stores,Products all age groups variety of economic strata, continual development innovations product line,Partnering suppliers sourcing from 21 states across India,Big distribution network,In-house manufacturing,client Loyalty,Manifold growth of most artisan suppliers linked exclusively to Fabindia.No sentiency about the grease,Limited channels of business,Sourcing strategy skewed towards suppliers, challenger from brands having similar product range,Inconsistent eccentric of products.WEAKNESSESTHREATSTime-lines and Deli rattling schedules dependent on too many an(prenominal) variables,Monitoring and inadvertence contemporarising and bench marking of traditional skills based products,Building Capa city duration and resource intensive,Not in touch with Fashion Trends,Competition from steer Italian brands stores.In store merchandising,Promoting e-business channel,Interactive website for customized designingOrganic fares market, node acquisition Strategies,Gro wth in demand eco-friendly products,Growing interest Indianculture, handicrafts textiles,Milan host for 1 of worlds most prestigious furniture and design fairs.Milan one of worlds major financial business centres,Worlds 26th richest city by purchasing power.OPPORTUNITIES3. remote Audit3.1 PESTEL AnalysisPoliticalChange in implementation of rules regulations with entrance of sore government.Eg No foreign collaborations, no foreign goods and products coming in the Italian market.Changes in policies by existing Indian government. Refer question final.doc5.1.1EconomicalChanges due to economical descend.Eg. Reduction in employment rate purchasing power of population, resulting in low sales.SocialSocial credenza towards certain color might vary according todifferent cultures and stratas of society.Eg Products in bright colors which are everyday in India is nonsocially accepted in Milan. Refer RESEARCH final.doc5.1.3TechnologicalUtilizing technology al-Qaida of internatio nal standards.Eg. CRM software implemented in stores result help in obligateing centralized database.This go out help Fabindia in retaining guests by throwing perpetualrelationships improving Loyalty.EnvironmentalMaterial used for making products not sanctioned allowed byItalian Government.Eg. If products are found to be made of materials equivocal tothe environment the Italian government can buoy take strict actionsagainst the participation under the Environmental Protection Law.ReferLegalDifference in manufacturing standards , process , trading etc.Eg. Conformity to European standards and CE marking.Taxes for businesses in Italy. Refer RESEARCH final.doc5.1.63.2 Impact of Porters 5 Forces Threat of SubsitutesThere should not be threat of substitute to the products of Fabindia since they are eco-friendly organic products which have replaced the mean(a) conventional products are in huge demand.mart Segmentation4. Market Segmentation Age GroupAll age groups.SexMale Fe maleEconomic ClassNot specificGeographical PlaceMilan, Italy.Fabindia intends to continue expanding internationally currently 6 stores abroad.Milan very important city in Italy one of worlds major financial business centres.Main last of Fabindia to promote vast diverse craft traditions of India.Since there is a exploitation interest among Europeans about Indian handcrafted products, Indian textiles, art cultures, Fabindia holds standoff of electric potential in European market.Fabindia very ethical eco-friendly company which supports many causes Europeans uniform being part of such endeavours.Fabindia does not target any specific age group or any specific economic strata, has something for every one.Fiera Milano citys Exhibition heart and soul and Trade Fair complex is one of most important in the world Milan is one of fashion capitals of the world. Fabindia wants to increase its global r each(prenominal), since lot of international buyers visit Milan, it can prove to be ample opportunity for it.The employment rate in Milanis 95-96% therefore the spending power of people is very high.Thus opening a store at Milan should prove to be beneficial.5. Proposed Marketing MixExecutionThey should carry out extensive market research, study kind of products accomplished stores are selling. Meetings with designers artisans can be conducted designers buckle under inputs on current market trends and emerging designs to weavers brainstorm groundbreaking techniques.They can design stylish products emphasizing on Indian craftsmanship explore rich Indian fabrics with numerous surface ornamentation techniques.Range will be exclusively designed for the Milan market.They can take customer feedback by their online website know preferences of their customers design accordingly.Product range fine combinations of Indian esthetics and western design sensibility.Farmers will supply Fabindia with organic varieties from places like Himachal Pradesh, Punjab, C oorg, Tamil Nadu.They believe giving farmers fair price for their produce, and supplying very highest quality food to their customers.5.2 PriceProducts different price ranges. Products will be affordable, will give value for money. It hasexpanded its range- to provide something for all its customers.ExecutionType of ProductsPriceRange ( Euros)Textile-based product range5-15Home Products range20-300Fabindia Organics3 onwardsFabindia Sana3-305.3 Place Fabindia should be strategicalally located at Sesto San Giovanni full of commerce, restaurants, hotels, malls, rail station, red line of Metro. Brand Zara home is located there Habitat is near by.2 eco hotels Hotel la Residenza Via Scialoia or Hotel Ariston, Galeria del Corso near Sesto San Giovanni can be considered.Piazza del Duomo is also very good spatial relation which attracts lot of people boutiques, bookstores big stores to flub in elegant and cultural obtain.They can haveconcept stores or premium stores located in hi storied historical landmarks and renowned big heritage for gimmick of potential buyer and creation of overall knowingness.ExecutionWith help of count Office Space (SOS), can chance appropriateplace.FREE service of process They are paid by advertisers.Impartial Advice Their mission is to find pose that meets YOUR requirements.They provide with tailor made options that match your specifications.They take care of correct search show options, help shit a shortlist, arrange foryou to prognosis space, compare prices, make your final selection and arrange your move-in date.5.4 PromotionPromoting its products, in general through posters, word of mouth and events.Placing ads in local newspapers about on-going events organized in store to increase awareness about store locations, usinglot of in-store posters to create consumer awareness about products and rural suppliers etc., putting up hoardings, creating awareness social causes which they represent associate with, promote through website.ExecutionGlobalCom PR-Network is oecumenical group of full service PR and Marketing Communications agencies. It more than 40 partners and affiliated agencies cover all member states of European Union. Their efficiency is their local expertise in all European market.Portfolio includesPublic analyst RelationsMarketing CommunicationsOnline MarketingMarket ResearchMedia teachBy engaging professional PR agency conversant with Italian Market environment, different strategies can be devised to promote store.5.5 Process It believes please client is our Best BrandAmbassador. It should focus on customer retention build loyal customer base.ExecutionIt should implement CRM software aims to help maintain centralized database to keep records of customers, details about past purchases, preferences or by having apprize Customer Card gives history customer details each time, tease is swiped.They should have interactive events for customers with design team, customers c an get style tips, Feedback sessions between Fabindia designers customers loyal customers can be given certain privileges get special invites to events organized by Fabindia like exhibitions, concerts. will help it in retaining customers improving loyalty.5.6 Physical EvidenceBy endorsing and sponsoring events- creative communication tools innovative activities attract customers gaining maximum publicity possible.ExecutionHaving in store posters to create consumer awareness about dyes used in products, products and where they come from, i.e. rural suppliersHaving dcor and layouts highlight traditional and natural focus, having catalogues giving details current merchandise, liquid crystal display screens playing how artisans work manufacture, brochures informing Fabindia events lined up, Indianised eco-friendly stylish carry bags with personalized thank you cards, leaflets informing causes Fabindia supports eco-friendly practices it follows.5.7 batchPeople working wit h and for Fabindia representatives of Fabindia. They should be aware of all its products, be knowledgable, friendly, helpful, attentive, speak lot of languages and develop good customer relations. depot personnel encouraged to wear clothes that reflect Fabindia ethos of traditional and natural look.ExecutionFabindia should register on website of recruiting agency help it to find its potential employees.Fabindia should train people with required knowledge and customer service.People working in store can attend regular schooling programmes.6. Ansoffs Grrowth Strategy6.1 MARKETING STRATEGY FOR FABINDIA MILAN USING ANSOFFS GRIDMilan potential market with growing interest among Europeans about Indian handcrafted products, Indian textiles cultures Fiera Milano citys Exhibition Center one of most important in world visited by manyinternational buyers, great opportunity for Fabindia help increase global reach.Fabindia very ethical eco-friendly company, supports many causes Eur opeans like being part of such endeavours.Currently Fabindia store in Rome, Italy has been doing well.Fabindia expand internationally to create brand awareness in new place, to launch itself in different parts it should use Market increase Strategy .Fabindia very popular for its fashion apparels mostly made of nubby cotton. But one cannot wear cotton due to climatic conditions in Milan.The colors of Fabindia products mostly very colourful, but due to gloomy stick out in Milan larger population prefer pastels mid tones of all colors summers and winters black n brown rules.Milan fashion capital houses leading brands, famous for their innovative designs.It is important for Fabindia to have its merchandise designed their range plan as per market in Milan I strongly suggest Product Development Strategy.EXECUTIONCore values of Fabindia to provide quality natural products, reflect the unique Indian culture hence Isuggeststore can be located infamous historical landmark have layouts highlight traditional and natural focus.Store showcases rich legacy of Indias traditional weavers, offering good array of styles contemporary and sophisticated, must create distinct figure of speech location must be chosen with utmost care.Fabindia very ethical eco-friendly brand Ariston hotel first ecological hotel of Italy- perfect place for exclusive Fabindia store.Ariston hotel situated in heart of Milan, 500 metres from the Duomo, monuments ,few steps from Via Torino shopping area.With privileged position compared to another(prenominal) 3-star, near Piazza del Duomo andsubwaystops(to New Fair). Very well serviced bytram, bus.Very strategic location connected to all important places renowned museums, monuments famous shopping streets, restaurants, pizzerias movie theaters near the Duomo awareness could be created through advertising physiologic evidences.Since new market no awareness, needs to carry out lot of promotional activities. Can organize events like authentic Indian food festivals, , interactive workshops with Indian designers, showcasing the rich Indian culture.Fabindia associated with social causes, create awareness about involvement and brand. Can organize social events , sponsorships, advertise in magazines, hoardings, posters to create consumer awareness,Know what you wear Workshop. Makes customers more aware of work put in for their fabric and helps them with association with brand FabIndia.Lot of competition leading established brands in Milan selling similar products.They need to create distinct image come up product range exclusively for Milan after doing a detailed market research, products with innovative ecofriendly stylish designs withIndianised touch. Lot of importance fixed on aesthetic appeal good quality.Should focus on customer retention work on strategies to build a loyal customer base.These are my recommendations for launching Fabindia in Milan.Feedback MechanismMystery Shopper ProgramIn myst ery shopper program, person hired by management goes to every store and shops there and then give feedback according to customer perspective.Store people never come to know or suspect anyone whether he is a mystery shopper or not. Detailed feedback is given to every individual shop. It consists of comminuted details signages outside, restrooms, behavior of staff.So it serves as a tool to provide better customer satisfaction.Feedback registers Feedback questionnaire to be filled on the websiteCustomer feedback by maintaining visitors register to record customer views or through questionnaires filled online.Store managers can prepare report, periodically reviewed by Product Selection delegation to know about buying pattern among consumers.CRM software Value Customer CardCRM software can be implemented to maintain centralized database to keep customer record details or by having the Value Customer Card history details of customer each time, card is swiped.Can get to know fast slow moving products, popular styles can accordingly do range planning.Can have meeting every month to review performance discuss measures to be interpreted to improve sales increase consumer satisfaction.