STRATEGIC MARKETING MANAGEMENT

OMNIKIT

Presented to: Sameer Sir

Presented By:
Shraddha Bangera (Div A)- 10
Surabhi Kale (Div A)- 43
Aamod Pulekar (Div B)- 80
Gauri Sankhe (Div B)- 86
Anuraag Shrivatsav (Div B)- 101

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INDEX

Topic Page no
Introduction 3-5
4Ps of Marketing 6-7
Gap Analysis 8-9
Porters 5 forces 10-11
Ansoff Matriz 12
New Product Development 12

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 INTRODUCTION

Tata group

An Indian multinational conglomerate holding company headquartered in Mumbai,

Maharashtra, India and is India's largest conglomerate. Tata companies with
significant scale include Tata Steel, Tata Motors, Tata Consultancy Services, Tata
Power, Tata Chemicals, Tata Global Beverages, Tata Teleservices, Titan, Tata
Communications and Taj Group.

Croma

An Indian retail chain by TATA group for consumer electronics and durables and
the nation's first large format specialist retail chain with successful expansion into
Croma Zip stores, Croma Kiosks and latest online vertical, www.croma.com.

Grooming industry in India

According to business standard July 8 2016, the market size of India's beauty,
cosmetic and grooming market will reach $ 20 billion by 2025 from the current $
6.5 billion on the back of rise in disposable income of middle class and growing
aspirations of people to live good life and look good. To suit consumption across
difference levels of purchasing power, FMCG companies are coming out with
variety of products in different price range.

The rural population too is joining the mainstream with improvement in linkages
with the cities by roads, telecommunication and the firms reaching out to the
people in villages and small towns.

The consumption pattern of cosmetics among teenagers went up substantially

between 2005 and 2015 because of increasing awareness and desire to look good.
In fact, this product category is among the fastest growing segments for the
manufacturers of a range of products including body sprays. Over 68 percent of
young adults feel that using grooming products boost their confidence.

About 62 percent of young consumers in big cities prefer to buy online beauty and
grooming products whereas, 45 percent of consumers tend to buy cosmetic, apparel
items from any shop of their convenience rather than a single shop. Both quality
and value for money is being sought by consumers.

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 There is a rising aspiration among Indian men to look better groomed, which has
led to the Indian mens grooming markets rapid growth of more than 42 percent in
the last 5 years. The study further showed that this growth is faster than the growth
rate of the total personal care and beauty industry in India. Additionally, as more
Indian men are looking to remain competitive in the workforce, they are seeking
products to help them maintain a youthful look.

Key drivers behind recent market growth are -

Rising Disposable income

Competitive workforce Environment
increasingly complex grooming routines
Social Media
Selfie Mania
More Indian icons, such as Hindi actors and cricket players
Young Population

Leaders in grooming industry:

Panasonic India launched a range of youth-focused products by April 2013. It

earned about Rs 3,000 cr by 2015. The companys plans would be a game-
changer for Panasonic in India. Youth-focused products gave an edge to the
companys growth. The grooming range is primarily aimed at the lifestyle segment.
According to the data of October 2012, about 53 per cent of the population is
below 25 years, tapping into the youth segment was a big business.

Philips is giving a bigger push to mens grooming products to grow its personal
care appliances business in the country. The Indian woman wants more style from
her man. This is the message delivered by Philips Electronics Indias latest
television commercial promoting its male grooming appliances range. Philips
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portfolio in India consists of four categories: Mens shaving (face shavers), mens
grooming (face stylers), female hair removal (epilators) and female hair care (hair
dryers and hair strengtheners).

Shares of personal care appliances by brand:

Brands Company 2007 2008 2009 2010

Philips Philips 14.4 16.3 17.4 18.5
electronics
Panasonic Panasonic 1.1 12.1 13.7 14.7
home
appliances
Morphy Bajaj 4.7 5.5 5.8 6.1
Richards electrical
Braun Procter & 2.1 2.2 3.1 3.6
gamble
Others - 77.7 63.9 60.0 57.0
Source: euromonitor; shares in per cent

By looking at the current market and products available in the grooming industry
we have created a hypothetical situation of TATA entering the grooming sector.
The reason for selecting TATA company is because it is an age old and trusted
company by millions of Indians, and TATA is already into electronics under the
brand name-CROMA. We have taken some parameters into assumptions and have
started with rest of the project.

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 4PS OF MARKETING MIX

1. Product

Keeping in mind the latest trends and needs, the product will be launched in April
2017, the product features are modified. This modification has to be done keeping
in mind the present market. It is an introduction of TATA in grooming industry
focusing majorly on families.

The unique feature of TATA Multipurpose grooming kit provides is to gain

competitive advantage by providing customers with 6 in 1 multi-styler for Men as
well as Women.

The three standard colors will be black, grey and white. Styling becomes easy with
trimmer and shaver for men and straightener, curler, waves and crimper for
women. One kit provides everyday styling solutions for all the family members.

Product features

Be the trend-setter of your group with Miss/Mister Freshers Styling kit.

Wear different hair styles ever day with this kit. Skin-friendly rounded tips
for smooth trimming, Skin protection system, 100 percent waterproof, Dual
precision effectively shaves long hairs and short stubble. 2 Years TATA India
warranty from the date of purchase. The compact and ergonomic design
allows easy handling. With a sleek body, the hair straightener has ceramic
plates that ensure a smooth and damage-free hair styling.

2. Place
The first place for the product to be available will be Exclusively at Croma stores.
With stores it will be made available on online portal such as Amazon and Flipkart
only.
3. Promotions
A month before the launch it will be promoted through Newspapers
The next mode for promotion will be social media sites like Facebook, Instagram,
LinkedIn and Tweeter.
Through Mall Activations before and after the launch.

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 When and where it would be communicated?

1. Star Sports: the timings for showing the Ad 5pm 12 midnight.

2. During the IPL season on SET MAX: 7pm 12 midnight.
3. MTV & 9XM: Timings After 6pm
4. STAR PLUS, SONY and SUB: Timings 7pm 11pm
4. Price
As the kit is for multipurpose use and also for both men and women the price
would be Rs 3500/-. Promo codes will be given during the launch period so that
the customers can enjoy some more discounts.

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 GAP ANALYSIS

The Gap model is an important customer satisfaction framework. The makers of

gap model have identified 5 major gaps that face organizations seeking to meet
customers expectations of the consumer experience.

Gap 1 Expected service and Management perception of consumer expectation:

Gap 1 arises because the company does not know what the customers want. This is
due to inadequate market research. The problem with our competitor- Philips is
that they do have all-in-one grooming kit but it is also for men. Todays women
also do need a all-in-one grooming kit which is not satisfied by Philips

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Solution: TATA presenting OMNIKIT, is a perfect answer to this gap. A grooming
kit which satisfies the needs of both women as well as men in 1 single handle.

Gap2 Management perception of consumer expectation and Translation of

perception into service quality specification:

Gap3 Translation of perception in to service quality specification and Service

delivery (including pre and post contacts):

Gap4 Service Delivery (including pre and post contacts) and External
communication to consumers:

Gap 5 Expected service and Perceived Services:

Gap 5 talks about the difference between expectation and perception of services in
the minds of customers. Customers always expect that the products should be
priced minimum but should have maximum features as well as should be of the
best quality. But at the same time, they also perceive that low price is termed as
not-so-good quality product.

Solution: OMNIKIT, is priced average at Rs. 3500, as it is one of its kind product
in the market

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 Threat of new
entrants
Example:
Reliance

Existing
competition
Bargaining e Bargaining
power of Example: power of
supplier Philips, Bajaj buyer
Electricals,
Sony.

Threat of substitute
product
Example: Trimer,
Shaver, Straightner,
Curler.

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 PORTERS 5 FORCES

1. Threat of new Entrant in the market: Any other big player like reliance or Bajaj
Electricals can enter into Grooming Segment.
2. Bargaining power of buyer: as this grooming market is overcrowded buyer has
multiple options in different price range.
3. Threat of substitute Product: There are substitute products for this product such
as Philips Shaver , Trimer,Straightner, curler etc.
4. Bargaining power of supplier: as there are many competitors in this segment
Supplier has power of bargaining
5. Rivalry amongst the existing firm: Grooming market is overcrowded and has
many firms existing. If Tata wants to Launch product under the brand name of
Croma in all its Croma stores then it will face competition from other firms
which they are selling in croma itself and has brand name in market.

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ANSOFF MATRIX

The Ansoff Matrix also known as the Ansoff product and market growth matrix is a
marketing planning tool which usually aids the business in determining its product
and market growth. It is named after Russian American Igor Ansoff, who came up
with the concept.

This is usually determined by focusing on whether the products are new or existing
and whether the market is new or existing.

TATA is an established brand in the market. It is a conglomerate holding company

with businesses like Consumer Products, Energy, Chemicals, Engineering,
Services, Steel, etc. Each industry doing well.

TATA lacks in Grooming industry. Therefore for TATA and its new product, the
marketing strategy adopted will be New Product Development

NEW PRODUCT DEVELOPMENT

In this case the product is new for the company but the market is existing.

This strategy is good for a brand like TATA because the brand TATA already has
strong market share.

TATA is not in Grooming Industry therefore its new for the company. But the
market for Grooming Industry already exists with presence of competitors like
Philips, Bajaj, Panasonic etc.

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