Upload
chickanna-nandeesh
View
218
Download
0
Embed Size (px)
Citation preview
8/6/2019 CN-Nippo
1/33
Project presentationProject presentation
By -
V. Rajasekhar
8/6/2019 CN-Nippo
2/33
Overview
y Company overview
y Project
y Vizag market
y Major Fingings
y Analysis
y Recommendations
y Contributions
8/6/2019 CN-Nippo
3/33
About Philips
y Established in 1891 by Gerard Philips in Netherlands
y 3 main divisions- Consumer products, Lighting and Medical Systems
y Offices in Mumbai, Kolkata, Gurgaon, New Delhi, Chennai
y Different lighting applications include Industrial, Offices, Sports, City
beautification, Road and area etc.
y Different products include Lamps, Control gear, Luminaries etc.
8/6/2019 CN-Nippo
4/33
Project Title
y Part A:
To find the market potential and market share of Philips Lamps in
Vizag (upcountry routes)
y Part B:
To find the market potential and market share of Philips T5
battens in Vizag market (all routes)
8/6/2019 CN-Nippo
5/33
About Project cont
Management decision problem:
y How to increase sales of Philips lamps and T5 Battens?
Market Research problem:
y What is the market potential and share of Philips lamps
y Who are the main competitors in the market for Philips
8/6/2019 CN-Nippo
6/33
About Project cont
1. Determine the presence of Philips
2. Reasons for selling other brands
3. Tap the untapped market
4. Find the reasons for untapped market in Vizag
8/6/2019 CN-Nippo
7/33
About Project cont
5. Increase the awareness level and promote the products
6. Increase the sales of Philips lamps in Vizag
7. Find out any issues with Philips in Vizag market
8. Analyze the data collected
9. Recommendations from the primary data collected from the
Vizag market
8/6/2019 CN-Nippo
8/33
Vizag Market Scenario
y For Philips, Vizag market is worth Rs. 25 Lakhs per month this year (last year
it was 20.2 lakhs per month)
(March 08
Rs.12.5lakhs Rs.12.5 Lakhs)
GLS-General Light
System Systems
TL-Tube Light
CFL-Consumption
ries Fluorescent Lamps
LE- Lighting Electronics
April 08Quantity in
pcs.
May 08Quantity in
pcs.
June 08Quantity in
pcs.
GLS 71,668 58,029 46,425
TL 36,403 22,917 18,066
CFL 22,100 5,300 10,545
LUM 2,598 740 1,180LE 1,030 543 657
Amount inRs.
51.35Lakhs
23.5 lakhs 25.4 lakhs
8/6/2019 CN-Nippo
9/33
Vizag Market Scenario cont
y As on 20th of this month, the sales value is Rs. 13.5 lakhs
y Vizag routes:
a) upcountry routes
b) key routesy Two types of sales:
a) direct van sales 1 salesman
b) order booking 2 salesmen
y In a month, a salesman pays two visits to each route
8/6/2019 CN-Nippo
10/33
8/6/2019 CN-Nippo
11/33
Routes Visited (Part A)
Route 1 Aadarshnagar, Ravindranagar, Police Quarters
Route 2 Aarilova, Peddagadulu, Chinnagadulu
Route 3 Anandapuram, Devarapally, K.Kotapapu, Sabbavaram
Route 4 Chandranagar, Kothapalem
Route 5 Gnanapuram, Meghadripeta
Route 6 Gopalapatnam
Route 7 Kancherapalem
Route 8 Muralinagar
Route 9 NAD Kotharoad, Kakaninagar
Route 10 Naiuduthota, PendurthyRoute 11 P.M. Palem, Madhurwada, Ganeshnagar
Route 12 Relliveedhi Jalaripeta
Route 13 Sagarnagar
Route 14 Simhachalam
Route 15 Urvasi jn., Marripalem
8/6/2019 CN-Nippo
12/33
Routes Visited (Part B)
Route 1 1 Town Area
Route 2 Aasilmetta
Route 3 Akkayyapalem
Route 4 Alliparam
Route 5 Kailasapuram, H.B. Colony
Route 6 MVPColony
Route 7 Seetammadara, Maddilipalem
Route 8 Siripuram
Route 9 Suryabagh
8/6/2019 CN-Nippo
13/33
Cont
y The sample size for Part A is 614
y The sample size for Part B is 222
y The data about Philips & other branded GLS, TLs, CFLs,
Striplites sold has been collected from retailers
y Various reasons for selling other brands, if any, has been notedand then analyzed on the basis of the collected data
8/6/2019 CN-Nippo
14/33
Cont
Project Part A: In this part we have both Electrical(E) and Non-Electrical(NE) outlets
y No. of electrical (E) outlets- 119
(2 E are not visited, 1 is new) ------- 98.31% Reach
y No. of non-electrical (NE) outlets- 495
(44 NE are not visited, 11 are new) ------- 91.11% Reach
Copy of Project Part A.xls
Project Part B: Here we have only electrical outlets
y No. of electrical outlets- 222 ------- 100% Reach
Copy of Project Part B.xls
8/6/2019 CN-Nippo
15/33
Major Findings
Positive points:
y The distribution section is well organized Separate salesmen forPhilips
y The biggest advantage for this distribution section is the veteransalesmen
y There is no overlapping of routes
y The credit policy seems to be fine for a month, in some cases it iseven extended for good and handy customers
8/6/2019 CN-Nippo
16/33
Major Findings Cont
y Reach is good
y Cash discounts are given for spot payments
y Just in time stock delivery is an added advantage for key outlets
y Good salesman to customer relationship
y Only 1% of the damages can be recovered by distributor from
Philips
8/6/2019 CN-Nippo
17/33
Major Findings Cont
Areas to improve:
y Salesman not looking for new outlets
y Distributor is selling directly to the end user in some cases
y Quality issues- 10W bulbs
y Timely visit is effected in some routes due to more number ofoutlets
8/6/2019 CN-Nippo
18/33
Major Findings Cont
y B- class electrical outlets are unaware of the various products in
Philips
y
Retailers are not clear about the product features
y Promotion in the case of T5 Fittings isnt sufficient
y Philips is having a reach which can still be improved
8/6/2019 CN-Nippo
19/33
Analysis ( upcountry routes)
CategoryCategory Type of outletType of outlet Philips / monthPhilips / month Total Potential / monthTotal Potential / month
GLSGLS E(117)E(117) 11,60411,604 19,42719,427
NE(486)NE(486) 18,68218,682 34,24534,245
603 TOTAL603 TOTAL 30,28630,286 53,67253,672
TLTL E(115)E(115) 7,1657,165 13,33813,338
NE(122)NE(122) 1,2151,215 1,8461,846
237237 TOTALTOTAL 8,3808,380 15,18415,184
CFLCFL E(109)E(109) 1,9781,978 8,3808,380
NE(124)NE(124) 410410 2,4332,433
233233 TOTALTOTAL 2,3882,388 10,81310,813
STRIPLITESTRIPLITE E(91)E(91) 677677 4,5784,578
NE(8)NE(8) 1616 136136
9999 TOTALTOTAL 693693 4,7144,714
8/6/2019 CN-Nippo
20/33
GLS in upcountry routes
y Philips is having 57% (30,286pcs.) of the total market share (53,672pcs.)
y Wipro- 12% (6,569pcs.), Surya- 9%, Bajaj- 4%, Others- 18% (9,837pcs.)
Philips bulbs are priced higher than those of other brands. In spite of this
Philips is still leading the way because of the brand image
8/6/2019 CN-Nippo
21/33
Rates of other market players
Brand (GLS)Brand (GLS) Rupees/pc (RLP)Rupees/pc (RLP)
PhilipsPhilips 8.30Rs8.30Rs
NeoluxNeolux 5Rs5RsHindustanHindustan 5.50Rs5.50Rs
FloraFlora 6Rs6Rs
AplApl 6Rs6Rs
CemaCema 7Rs7RsSuryaSurya 7Rs7Rs
WiproWipro 7Rs7Rs
BajajBajaj 7.50Rs7.50Rs
y RLP- Retailer
landing price
y MRP of all the
GLS are same
8/6/2019 CN-Nippo
22/33
Tube-lights in upcountry routes
y Philips- 55% (8,380pcs.) of the total market share (15,184pcs.)y Surya- 26% (3,969pcs.),Crompton- 6%, Wipro- 2%,
others- 11% (1,712pcs.)
Philips TL(RLPs of 40W and 36W is Rs. 36.75 and Rs.38.75, MRP Rs.45). Rest areat RLP of Rs.36, MRP Rs.40
8/6/2019 CN-Nippo
23/33
CFL s in upcountry routes
y Philips share 22% (2,388pcs.) of the total upcountry marketshare (10,813pcs.)
y Wipro- 5%, Havells- 3%, Orpat- 1%, others- 69% (7,402pcs)
8/6/2019 CN-Nippo
24/33
Striplites in upcountry routes
y Philips- 15% (693pcs.)
y Others- 85% (4021pcs.) of the upcountry market share
(4714pcs.)
8/6/2019 CN-Nippo
25/33
Striplites in Vizag(all routes)
y Philips- 17% (2,795pcs.) of the total market share (16,854pcs.)
y Others- 83% (14,059pcs.) of the total market shareThe margin which Philips gives is less when compared to the
other brands
8/6/2019 CN-Nippo
26/33
Rates of other market players
BrandBrand
((StriplitesStriplites))
RLPRLP MRPMRP
PhilipsPhilips 220220 250250
ConaCona 150150 190190
CromptonCrompton 185185 250250
BajajBajaj 185185 260260
OthersOthers 150150 170170
y Others include local brands,
China products
yPhilips is having morevarieties when compared to
the other brands: Tarang
(Copper, Aluminium), New
tarang, Mirolta
8/6/2019 CN-Nippo
27/33
T5s in Vizag (all routes)
y Philips- 24% (357pcs.) of the total T5 battens market share(1,503pcs)
y Others- 76% (1,146pcs) of the same
China T5s rule the market as they are cheaper(RLP- Rs. 170,MRP-Rs. 200). TarangSlim (MRP- Rs. 450)
8/6/2019 CN-Nippo
28/33
T5 Price List
BRAND PRODUCT
(RLP/MRP)
Amount in Rs.
PRODUCT
(RLP/MRP)
Amount in Rs.
PRODUCT
(RLP/MRP)
Amount in Rs.
Philips Adreno (500/780) Vector (457/720) TarangSlim (370/450)
Crompton LiteLine (500/650) N/A SlimGold (350/425)
Havells E-LiteNew (475/720) E-LiteNew Popular
(#/650)
Eurostrip (#/425)
Oreva Sleek J5 (350/475) Premium J5 (295/415) N/A
Osram N/A T5 (330/450) &
(420/550)
N/A
Compact T5 (380/550) T5 (300/410) N/A
8/6/2019 CN-Nippo
29/33
Recommendations
y Increase the awareness level of wide range of productsPhilips have
y Salesmen should educate the customers on the product
features
y Promotion of T5s is a must. A poster should be designedand distributed in the market
y Spare parts of T5 battens should be made available in themarket- reduces risk level, improves sales
8/6/2019 CN-Nippo
30/33
Recommendations Cont
y Quality issues are to be taken very seriously before itdamages the brand image
y
Due to more number of outlets, just-in-time visits areeffected: there should be more salesmen in operation in thisroute; telephonic order booking could be done; increase theno. of visits from once in 15 days to twice in 15 days
y Distributor should never try to sell the products to endusers
8/6/2019 CN-Nippo
31/33
Contribution
y In the due course of the project:Sales:
Tarang Slim- 37pcsVector- 5pcs
Tarang- 2pcs13 new outlets (1E, 12NE) worth 3771Rs added to list
A total sales worth 20,132Rs added to the chart.
y Philips value addition to me: Immense
8/6/2019 CN-Nippo
32/33
References
yy www.google.co.inwww.google.co.in
yy www.lighting.philips.co.inwww.lighting.philips.co.in
8/6/2019 CN-Nippo
33/33
Thank You