Marketing Management-III

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Course Evaluation

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Class Participation 20

Group Project (max size of six)Individual Assignment & Quiz

2030

End-Term Exam 30

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Broad Typology

• Exploratory (Godrej Agrovet)– Explanatory (Utsav)

• Descriptive (Predominantly Sample Survey)• Causal – Experimental (Monsanto)

MIXED METHOD DESIGNS

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Godrej Agrovet- Real Good Chicken• Problem: How to communicate the taste of

Chicken?

• Objective: This is as tasty as local one

• Exploration through Ethnography

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Utsav Distemper

• Objective: Upgradation from Chuna to Distemper in Rural areas

• Sample survey findings: Rural consumers interested in Emulsion and Premium Emulsion

• Followed by qualitative to explain the above

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Collecting Rich & Insightful Data Using a Variety of Methods

• Motivation research (1950s)• Ethnographic Methods• Videographic Methods • Netnographic Methods• Projective Methods• Metaphor Elicitation• Anthropological Basis– E.g., Home Visitations– E.g., Shopping with Consumers– E.g., Contents of Handbags—visual elicitation

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Linkage of MR with PLC

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CashFlow

InnovationCycle time

To

To=> Opportunity Occurs Tp=> Opportunity is perceived Tb=> project beginsTpp=> project planTr=> product release to manufacturingTc=> positive cash flowBET=> Break even time

Tp Tb Tpp Tr Tc

R&D, E

Product development

Growth Maturity Decline

TimeBET

mktintro

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CashFlow

InnovationCycle time

To Tp Tb Tpp Tr Tc

R&D, E

Product development

Growth Maturity Decline

TimeBET

mktintro

Market Insight Mining

Usage and Attitude/Habit and Attitude studySegmentation Research

Demand Estimation StudyQFD

Feasibility StudyProduct Concept Test (Concept use test/Blind

product test)Product Development Research

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CashFlow

InnovationCycle time

To Tp Tb Tpp Tr Tc

R&D, E

Product development

Growth Maturity Decline

TimeBET

mktintro

Brand Concept TestPricing ResearchBrand Name Test

Packaging TestAd concept Test

Ad Test (Pre-launch)Ad Test (post launch)

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CashFlow

InnovationCycle time

To Tp Tb Tpp Tr Tc

R&D, E

Product development

Growth Maturity Decline

TimeBET

mktintro

Brand TrackAd track

Continuous Product Innovation ResearchLine extension ResearchSegmentation Research

Customer Satisfaction ResearchMarketing Intervention Research (Pre-Post)

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MR for managing new ventures…..

• MR requirement for two type of businesses: (a) Start up with very little funds (b) For existing listed company's diversification, having lot of money

• A start up needs to take similar decisions with very little money in hand. A listed company needs extensive research to convince Board members and existing lending banks. Start up with very little money, on the other hand, require faster and cheaper methods - not necessarily rigorous.

• MR for new products with no existing data point.

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• Developing business strategy: Examples: Business strategy for new business in "for profit" healthcare: (a) Whether to go for hub and spoke model i.e. one main anchor hospital with many small clinics or whether to go several speciality hospitals? (b) Which speciality to focus - heart, OB & Gynae, neuro-spine?

• Profit drivers in health care: relative profitability in OT vs OPD vs canteen vs pharma shop vs hospital beds? Where to focus?

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Market Size and Pricing

Market size and pricing: • (a) whether to charge same price when one clinic

is located in posh area of the city while another clinic is located in middle class locality of the same city i.e. different paying capacity of target market.

• (b) Locating hospital - whether in Delhi NCR where there are many hospitals on the premise that supply creates demand or in richer towns like Indore, Kanpur, Ludhiana where gap exists?

Research Brief

Example of Ambassador

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Concepts

• Appreciation of brief• Defining TG as STP is the key to Marketing

/Research• Multiple diagnostic– Marketing objective– Research Objective– Key information areas– Variables

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• Ambassador is an automobile brand in India. About 1300 Ambassador cars are sold every month.

• The sale to taxi & commercial segment constitutes about 65%-70% of total sales.

• Geographical sales are higher in the states of Tamil Nadu, Kerala, Andhra Pradesh, Karnataka, West Bengal, Orissa & Delhi.

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• With the entry of many new variants like Indica (diesel),

Omni, Qualis, Sumo & Esteem (Petrol & Diesel) the competition in the taxi segment has also increased.

• Competitors also to sustain their volumes have started concentrating on taxi segment with attractive offers.

• As a result the Ambassador sales has come under pressure in the taxi segment.

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• Ambassador has two main variants that are very popular in Taxi segment that are Ambassador Classic 1500 DSL (1500 cc HM Diesel Engine) and Ambassador Classic 2000 DSZ (2000 cc diesel engine based on Isuzu technology).

• The Ambassador 2000 DSZ is better than 1500 DSL models in terms of Engine power, performance, fuel efficiency & durability.

• The price difference between the two which was earlier at about Rs. 70-75 K has now been narrowed down to Rs. 43 K.

• The revision in price has given us additional sale in 2000 DSZ but we have lost sales for 1500 DSL variant., but the loss in sales of Ambassador 1500 DSL is far higher than the gains in 2000 DSL which means that the shift is happening to other brands. 19

• Given the above scenario HM would like to do a market research study to understand the reasons for sales decline of Ambassador 1500 DSL w.r.t.

– Purchase dynamics of the taxi segment– Price sensitivity vis-à-vis other factors– Reasons for preference for other models over

Ambassador in the taxi segment.

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• Methodology : The research plan should be comprehensive covering all the information needs with a high degree of confidence level.

• Locations : Tamil Nadu

• Sample Size : To be recommended by the Research Agency

• Time : The study has to be completed within least possible time

• Please send your proposal with two days with detailed

methodology, time and cost.21