Term ReportOn

Marketing Analysis of Pakistan Tobacco Company Ltd

Submitted To:

Madam Shumaila DelawarSubmitted By:

Sadaf Noor BE-08-08

Ruba Zahid BE-08-26

Zunaira Khan BE-08-53

Namra Kabir BE-08-54

Javeriya Sharoze BE-08-68

Institute of Management Sciences,

Bahauddin Zakariya UniversityMultan.

First of all, praise and humble thanks are for Almighty Allah the most Merciful and potentially upon us to accomplish the present

report successfully with all sincerity, we express our gratitude to the

Holy Prophet, Muhammad (PBUH) who is the source of enlightenment,

guidance, wisdom and knowledge for the entire humanity in all spheres

of life.

We wish to express our deep sense of gratitude to our respected and

honorable teacher “Madam Shumaila Dilawar” for her friendly

behavior and keen interest. Her kind advice and guidance helped us a

lot though out the progress of this report. The purpose of this report is

to discus those factors which affect the Pakistan Tobacco Company

Although, it is very much difficult to say that our effort are perfect. But

let us assure you that we try to leave no stone unturned to make this

report as good as possible.

Auth

ors

2

Preface

Sr. #

Description Page #

1- Introduction -1-2- Structure of Pakistan Tobacco Company -2-3- Brands of Pakistan Tobacco Company -2-4- MARKETING ANALYSIS -3-5- Competitors of PTC -3-6- Market Shares of PTC -4-7- Customer-Driven Marketing Strategy of Pakistan

Tobacco Company-4-

8- Marketing Mix of Pakistan Tobacco Company -9-9- External and Internal Environment of the Organization -15-10- PESTEL Analysis of Pakistan Tobacco Company -16-11- SWOT ANALYSIS of Pakistan Tobacco Company -20-12- BCG Matrix Of PTC -23-13- Conclusion -23-14- Source of Information -24-15- Questionnaire -25-

Pakistan Tobacco Company

Pakistan Tobacco Company Limited is part of British American Tobacco, the

world's most international tobacco group, with brands sold in 180 markets around

the world.

Their operations in Pakistan began in 1947, making them one of Pakistan's first foreign

investments. They produce high quality tobacco products to meet the diverse preferences

of millions of consumers, and work in all areas of the business from crop to consumer.

PTC is committed to providing consumers with excellent products and to demonstrating

that we are meeting our commercial goals in the manner expected of a responsible

tobacco group in the 21st century.

PTC was the first foreign company to set up business in Pakistan and pioneered the

manufacture of cigarettes and cultivation of Virginia tobaccos in the country and also

starts research work in the field of tobacco to produced finest quality tobacco in Pakistan.

PTC has two production units one in Jhelum and other is in Akora Khattak. Akora

Khattak unit is the largest production unit in Pakistan

PTC is also famous for its social welfare activities. It performs this job through

sponsoring the sports events, tree plantation, and free mobile dispensary for rural areas.

PTC is also doing work in the field of R&D Research & Development pogrom. Pakistan

Tobacco Company has instituted one of the largest afforestation efforts in South Asia in

order to increase the natural forest cover in Pakistan, and ensure the environmental

sustainability of our operations.

Talented people join Pakistan Tobacco Company at all stages, and we offer excellent

opportunities across our different functional areas.

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Structure of Pakistan Tobacco CompanyPTC is lead by the Chairman/Chief Executive, and then there are departmental heads that

are responsible for their departments. Following are the departments of the PTC:

Corporate & Regulatory Affairs

Finance

Human Resource

Information Technology

Production

Leaf

Marketing

Sales Marketing

Brand Marketing

But our main concern is Marketing Department. Later in this report we discus STDP

strategies of Pakistan Tobacco Company. Then we have a look over their marketing mix

(4 P’s) including Price, Product, Promotion, Place and in the last there are brief SWOT

and PESTEL analysis. SWOT analysis means company’s Strengths, Weaknesses,

Opportunities and Threats. In the same way PESTEL analysis is the Macro environment

factors including Political, Economical, Social, Technology, Environmental and Legal

Factors.

Brands of Pakistan Tobacco CompanyPTC has always considered their selves a consumer focused company. They aim to offer

a product that excels in all aspects and exceeds the expectations of our consumers. their

brands are:

Dunhill Benson & Hedges John Player Gold Leaf Capstan by Pall Mall

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Gold Flake Embassy

MARKETING ANALYSIS

Marketing at PTC is divided into three further categories

1. Marketing research

2. Brand marketing

3. Trade marketing

Marketing research department: The marketing research department carries out

its surveys and other such activities to find out the demand for each brand, and to

discover the potential cigarette market.

Brand-marketing department: The brand-marketing department comprise of

brand managers who have the responsibility for success and health of their individual

brands. Each brand manager designs and executes promotions to increase the sale of his

brand. Advertising through different media’s and sponsorships of event is also the job of

brand marketing.

Trade marketing: The trade marketing staff works direct in the field and interacts

with the distributors, wholesalers, retailers, and the customers. PTC has been

consistently meeting consumer expectations for the past ten years with the popular

international brand names like

Benson and Hedges, John Players Gold Leaf, Wills, Capstan, and Embassy

Competitors of PTC

Lakson Tobacco Company

Khyber Tobacco Company

Souvenier Tobacco Company

3

Market Shares of PTC

Customer-Driven Marketing Strategy of Pakistan Tobacco Company

Customer driven marketing strategy involves the following steps

1. Market Segmentation

2. Targeting

3. Differentiation

4. Positioning

1. Marketing Segmentation Strategy

Pakistan Tobacco Company is a price sensitive company. It can compete in the price

sensitive market. So PTC segmented its market on the base of the following two factors

Demographic Segmentation

Psychographic Segmentation

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Demographic Segmentation

In demographic segmentation they focus on the gender, age and the income level of the

people. They do not consider female customer because smoking is basically link with

males in our society. Then according to they laws it is illegal to sell cigarette to those

who are at the age of less than 18.so firstly they divide the market into males and

females. Then they divide males’ segmentation into teenagers and youngsters more than

20.

The last demographical segmentation is on the bases of income of their customers. They

launched the brands according to the income level of the customer. Following are their

brand segmentation on the base of classes:

Premium Class

Middle Class

Lower Class

Psychographic Segmentation

There is the mix of the behavioral and psychographic segmentation.PTC link status with

their brands. So some wants to be considering upper class society and use branded and

expensive products. So to satisfy the psychographic need of the customer they highlight

Gold Leaf and Benson & Hedges as the status symbol. There is the concept in the minds

of people than Embassy is the brand for farmers, electricians’ etc.So the status conscious

person do not buy it.

The also segmented the market according to the following personalities of the person

Hardworking People

Masculine

Patriotic People

Adventurous people

Discoveries Lover

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In this way they segmented their market according to the social classes’ lifestyle and

personality characteristic.

2. Market Targeting Strategy

PTC use Undifferentiated Marketing or mass marketing strategy. They cultivated tobacco

at Jehlum and fulfils the needs of only those who are addict to smoking. They target only

a single market. But their brand length is vast. They establish different tastes of tobacco.

Now we discuss how they target their segment zed customers. Cigarette may be classified

by tobacco, by flavor or by length. On Pakistan Cigarettes are classified according to

taste quality and length which are as follows

Firstly they target their price sensitive customers in the following ways:

Premium Class

It is the Cigarette produced by the best available tobacco. Gold Leaf is considered in this

class. After getting the right of Benson & Hedges by PTC now it is also included in this

class.

Middle Class

The tobacco of these cigarettes is little hard and in this class Wills, Red & White,

Morven Gold is included.

Lower Class

In this class Embassy K-2 Royal and all Mardan Wala brands such as Daily, Time

Square, Rangers etc. are included. The taste of these Cigarette is very hard and lower

income group people smoke mostly these brands.

They also add personality features to their brands to satisfy the psychographic

segmentation. Just as:

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Gold Flake shows the symbol of being strong masculine person as well as for those

who have high patriotic emotions

Embassy is for farmers and it shows hardworking

Gold Leaf is for those people who are discoveries lover and having adventurous

nature

3. Differentiation

PTC differentiation itself or its marketing offer to gain Competitive Advantage through

Product Differentiation

Image Differentiation.

Pakistan Tobacco Company is a commercial enterprise and their primary role is to build

long term shareholder value by meeting consumers’ preferences for high-quality tobacco

products. However, they believe that by absorbing and balancing a wider range of

expectations, they are best placed to continue building a sustainable tobacco business.

Product Differentiation

Pakistan Tobacco Company invests in trying to understand the consumers’ preferences

and ensures that adult smokers make informed choices about different brands available in

the market. They have put in particular effort in promoting two of our Global Drive

Brands, Dunhill and Pall Mall; and two of our great value for money brands, John Player

Gold Leaf and Gold Flake.

Image Differentiation

As discuss earlier PTC different Brands convey the products’ distinctive benefits and

positioning.

4. Positioning

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PTC gain positioning in the minds of their customer through Consumer Disposition

Funnel. This strategy is used to give incentives to the customers and take the

differentiated position in the mind of the customer.

Consumer Disposition Funnel.

Categorie s Awareness Consideration Trail RepoTrail Regular

Explanation

Those who

are aware of

PTC brands

Those who

consider that

PTC is superior

to others

Those who

use the PTC

brands for

the first time

Those who

prefer PTC

brands if

their

required

brands not

available

Those who

are loyal to

you and

PTC

regular

Incentives

Try to

motivate

them with

their

attractive

offers.

To persuade

them to start

using their

brands offer

them in small

packets with

discounts rate n

rewards

Maintain the

quality better

than your

competitor

that the one

who use it 1st

time become

regular

Offer

schemes like

buy 1 get 1

free to make

them loyal

Capture the

your

customer

buy

providing

greater

customer

satisfaction

With the help of this consumer funnel PTC gain position in the mind of the customer.

Now suppose the hypothetical example that how PTC gain its profit and build image in

the minds of the customers. Gold Leaf is of 60 Rs, Gold Flake is of 40Rs and Capstan is

25 Rs sold. Now to gain the competitive advantage and increase the sales of the Gold

Leaf PTC reduces its prices to 50 Rs. now those who purchase Gold Flake also shift to

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Gold Leaf. The companies share increases and Gold Flake become the Source of

Business for Gold Leaf.

Thi

s Consumer Disposition Funnel also shows that the percentage of the categories also

decreases as it moves upwards.

Marketing Mix of Pakistan Tobacco Company

Marketing mix involves 4p’s including Product, Price, Place and Promotion. Following

we are discuss the 4p’s of Pakistan Tobacco Company that how their product physically

exsits, what distributions channels they adopt to make their product accessible what are

their pricing strategies and for their brand promotion what possible steps they take.

PRODUCT

PTC has always considered it-selves a consumer-focused company. They aim to offer a

product that excels in all aspects and exceeds the expectations of the consumer. In this

section, you will find the story of our brands and their origins. PTC has particular

emphasis on its five national drive brands.

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RepoTrail

Regular

Trail

Consideration

Awareness

Benson & Hedges:

PTC launched Benson & Hedges in Pakistan in March 2003. Made with the finest hand

picked golden Virginia tobacco from across three continents, the brand is packed with

perfection to seal its freshness. The objective of introducing this brand is to establish the

locally manufactured B&H Lights as the most preferred offer amongst consumers, in the

premium lights segment and to add image to the B&H family by offering a wider product

range. It was launched in the three metros of Karachi, Lahore and Islamabad/ Rawalpindi.

John Player Gold Leaf:

The story of John Player Gold Leaf has to start from the story of its founder, John Player.

An enterprising businessman, John Player started a small tobacco selling business in

1877 and turned it into a thriving cigarette company, John Player and Sons. With a

distinct lifebuoy and sailor trademark, John Player Gold Leaf has an identity entrenched

in sailing and maritime adventure. Thus staying true to John Player’s very first big brand

-Player’s Gold Leaf Navy Cut cigarettes. Gold leaf is the key value and volume

contributor for PTC. It remains the most aspire brand in Pakistan. From 2000, the brand

is showing

Capstan:

Capstan has grown by leaps and bounds to become the fastest growing brand of Pakistan

Tobacco Company (PTC) in the year 2001, recording a staggering growth rate of 104%,

overtaking sales volume of the major competitive brand in the early part of the year, and

consistently outselling it throughout.

Gold Flake:

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Gold Flake is PTC’s largest brand in volume terms and is also a significant contributor

towards the value share. A highly successful pack design change in 2004, soon after the

new pack was lunched in the market and Gold Flake smokers accept the new design of

the pack, at this point an aggressive promotion in the market that would ensure the

maximum exposure of competition smokers to the new pack. There are three new

variants were added into the family; Gold Flake 14HL, Gold Flake 10HL and Gold Flake

10SC, in order to offer the consumers a wider choice.

Wills King:

WILLS takes its name from the heritage of one of the original Imperial Tobacco

Company families: the Wills Brothers of London. Wills is also a well known brand in

Pakistan.

Embassy:

The third leading volume brand in Pakistan is most popular in the Punjab where it enjoys

a leading position due to its equity and loyalty. Embassy continued its growth in the year

2001fortifying its position in the market. The brand registered a growth of 3% over 2000.

Major focus during the year remained on the introduction of more consumer relevant

packaging variants. In the 3rd quarter of 2001 the brand family was extended with the

introduction of Embassy filter 16ss pack followed by Embassy kings 14HL variant. With

the launch of these variants, the family now offers more choice to its consumer at

affordable price.

PRICE

PTC is continuously decreasing its prices in order to maintain its market leadership by

Penetration Pricing. The price war started when PTC reduced the prices of its middle

priced brands in the start of 2008. It cut down its prices from RS. 19 to RS.9 (almost 50%

price cut) which reduce the excise duty from 63% to 43% with no change in the sales tax

i.e. 15%. Despite reducing prices, PTC was still able to earn normal profit and was at its

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break even. As a result more people are purchasing the products, that has lead PTC to

gain a market share of 46.3%.

Discount brands of PTC including Gold Flake have seen a rigorous growth in sales.

Almost 18% sales growth in Gold Flake has been observed as compare to previous

year.

On the other hand, Government argues that cigarette manufactures should continue with

high prices and avoid limiting prices so that they can better able to get higher revenues

and moreover increased prices would help discourage excessive smoking among the

users (reducing the health effects of smoking). Although prices of PTC are still

competitive, the existing price war system is a matter of concern for Pakistan Tobacco

Board (PTB) and the government itself. No efforts are proved to be fruitful to reduce the

gap created within the market.

PROMOTION

Promotion wars are playing a vital role in intensifying competition in the industry.. The

enthusiastic, colorful and catchy slogans and other marketing techniques are used to

target a wide variety of customers (especially youth), represent smoking activity as apart

of status and youth symbol.

Slogans like

“Capstan men demand Capstan the world over”

“Gold leaf for the taste alone”

“Gold flake together in success”

Etc. attract a large amount of customers

The different types of promotional activities that are taken into account at PTC are as

follows;

ADVERTISING

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Packaging: By packing the product in the different packs and in different quantity

to meet the demand of the different and segmented customers

Point of purchase display: By placing products trial packs on the different shops to

promote the sales

Posters and leaflets: Display posters and fliers in front of shops

SALES PROMOTION

By giving the incentives to the distributors, whole sellers and retailers like to get the

product on credit and sell to the customer and enhance their and the Company sales.

Contests and Lotteries: PTC uses different schemes, providing gifts in the packs

and by giving winning prizes by means of lotteries to promote sales and to beat

competitors.

REBATES: They usually provide the rebates to the retailers and whole seller who

want to establish their business on their own or who usually contact with them

directly.

TOPING UP: Talking with shopkeeper, tell them about their company, brand and

advantages of brand. Pack display/Pack facing: small 3 or 4 row displays at hotspots

in which prescribed program is implemented.

BRAND AVAILABILITY :To confirm from the shopkeeper that all the brands are

available or not, means to ensure all time availability of the stocks in the respective

beats by doing the exercise of toping up.

DIRECT SALES DELIVARY (DSD)

Salesman is considered the back bone of the company because he produce demand and

distribute the brands of the company in an efficient way, the DSD will cover a beat of (50

-60) shops per day but salesman also visit daily shops , some salesman also cover three

beats the reason is that demand is not too much.

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Place:PTC, through 343 distributors, services a very large retail and wholesale network across

the country. PTC has always been looked upon as one of the most dynamic

organizations with its exuberance to quickly adapt to the changing needs of the market.

Ensuring that consumers are able to purchase the product they require, both where and

when they want them, plays a major part in achieving a high market share. Key activities

include:

Development of distribution strategy

Develop and implement distribution plans

Implement merchandising and point of sale policy

Monitor and manage out of stocks

Build and effective sales oriented organization

PTC is one of a very few companies in Pakistan which is paying a great deal of attention

to the retail marketing. PTC’s current distribution network thereby reducing costs. Total

of about 270,000 retailers and over 7000 wholesalers were surveyed.

Managing Business Channels:

The effective management of relevant business channels is one of our key marketing

activities.

Although business channels vary from market to market depending on the trade structure,

building close professional relationships with key accounts and in Hotels, Resturants and

Cafes (HORECA) are likely to be priorities for most markets.

Key activities include:

• Channel strategy development

• Negotiations with key accouns

• Category management

• Account portfolio management

• Account serving

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External and Internal Environment Factors of the Organization

The organization has two basic environments. It’s external and internal. In external

environment we discuss major factors like politics, society and we do PESTEL analysis.

Similarly the organization has internal environment and to analysis it we do SWOT

analysis

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Strength Threats Weakness Opportunities

Internal Environment

Political

Economical

Societal

Technology

Environmental

Legal

External Environment

PESTEL Analysis of Pakistan Tobacco Company

In PESTEL analysis we discus the following Macro environment factors.

Political

Economical

Societal

Technology

Environmental

Legal

Political

Pakistan’s political situations have always been in fluctuation. Even PTC is long since

contributing in the country’s wealth in terms of taxes and providing employment to

hundreds of people. Although it is never denied that tobacco is hazardous to health but

PTC’s aim is not to create more customers but to provide quality of tobacco to those who

are already addicted.

Marketing standards:

PTC has long accepted that smoking is risky.

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“Its business is not about persuading people to smoke; it’s about proving quality

brands to adults so adults who have already taken the decision to smoke.”

Economical

As a company it understands its roots are firmly embedded with the nations, it has been

part of the industrial development in the country. Pakistan’s tobacco has maintained its

growth momentum during the years scaled new heights with the achievement of

milestones and made progress in the every facets of its business. PTC has contributed Rs.

26,472m in year 2007 in form of government levies and taxes which is the indicator how

PTC is contributing in the economic development of the country along with the job

creation and installation of advanced and sophisticated machinery and equipments.

Social

PTC marketing is not designed to “sell smoking”. It is marketing in long established

mature product category. Where people already know what the basic product is. There

would be no commercial sense in trying to market informed customers who don’t want

the product.

Its marketing is about the following aspects

Brands

Retaining the loyalty of customers to brand

Winning customers from commentating brands.

As a company with long international roots and traditions, PTC is also sensitive to local

customs and cultures. It is working with other companies in the tobacco industry to

establish a common basis for clearly understood conduct, which would set the base line

for acceptable tobacco marketing worldwide. Following are the key features of the

Voluntary Code of Conduct:

No TV/Radio advertising of the products before 2130 hrs.

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No advertising designed to appeal specifically to minors (<18 years of age).

No advertisements in the magazines and newspapers, which are directed principally

towards minors.

No models under 25 years of age to be used to promote the products.

No promotional events of particular appeal to minors.

Celebrities not to be used for promotional purposes.

Technological

It is the back bone of every business; without it concept of modern business is becoming

impossible in modern business environment.

Process technology:

System Application Program (SAP)

SAP is the world leading ERP system

System Application Program (SAP)

The company took the mammoth task in 2004 to replace exciting enterprise resource

planning EPR with SAP (SAP is the world leading ERP system).

A smooth implementation across the organization, in short period it was possible through

excellent cross functional efforts by the projecting the SAP will greatly facilitate the

achievement of further efficiencies in all key business process.

Process Technology

Mark 9 plants are used in production. The manufacturing machines manufacture 8500

cigarettes per minute. A packing machine makes 300 to 400 packets per minute. The

process technology consists of GLT, SMD and PMD.

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Environmental

Being fully alive to its role as a responsible corporate citizen PTC has implemented a

well structured EH&S program PTC is committed to ensure that it nurture an

environment where its employees and surrounding communities are safe from hazards

that may affect their health and minimize the effect of its operations on biodiversity. PTC

commitment to EH&S was further strengthened in 2006 as PTC achieved significant

improvements on the EH&S roadmap. Both its production facilities were rectified with

ISO 14001 earning the “evergreen” status. PTC has consistently sustained its

accreditation in last seven audits with zero major and minor points. PTC efforts has

further been sustained with National Forum for Environment and Health awarding

PTC the annual Environment Excellence award on Health , Safety and Environment

for second consecutive year in 2006.

Throughout the company history it has maintained a strong stance on Corporate and

social responsibility it strongly believes in building effective and constructive

partnerships by helping address various EH&S issues. Over the years the company has

substantial resources in terms of finance and manpower in various initiatives like Mobile

Free Dispensaries, learning resource center and portable water.

Legal

A company in an industry such as ours faces many legal and legislative issues. Our legal

team is dedicated to assuring the long-term sustainability of the business. As well as

ensuring that our operations are fully complaint with exciting local and international

legislation.

The legal function has within its mandate has following areas

Reputation and legislation management

Company secretarial work

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Intellectual property registration and protection

In-house legal advice

Managing investors relations

SWOT ANALYSIS of Pakistan Tobacco

Company

STRENGTHS

Continuous learning and improvement.

Sustainable growth.

Environmental standards achievement.

Market leadership in the world.

Being beneficial to the community (Corporate Social Responsibility)

Diversified workforce and environment.

Technologically advanced machinery and equipments.

Good salaries packages.

Focus on health and safety on the company premises.

Training and development of its employees.

PTC offer heavy incentive package like Motorcycles, TV, tape recorders and wall

clocks in promotion.

PTC is a consumer-focused company.

PTC is working in systematically way.

PTC is working as doing good not only doing well.

PTC attract only those people whom above 18 and not mare then 40.

PTC gives more incentives to salesmen during any promotion.

PTC is taking care of their employees.

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Management of PTC create a database and all its employees are link between each

other

PTC conducts health and safety programs of their employees.

The working environment of PTC is very good.

PTC appreciates all of those employees who show more effort in their work.

WEAKNESSES

Salaries difference between workers who work more and the one who put minimum

efforts.

Technological advancement would decrease the workforce and unemployment will

increase.

Very minimum marketing as compare to its competitors.

Workers are always under threat because of downsizing.

Improper distribution of work

Salaries of salesmen are very low due to this reason they are not satisfied.

Number of distribution is less.

Sales promoter is not working up to the standard.

The actual price of Gold leaf is Rs 39.60 most of the shopkeepers sales it on Rs 42.

Company not covers rural area according to their desire.

Some time salesmen not cover his area in proper time.

OPPORTUNITIES

Greater opportunity of promoting lower brands in rural region.

PTC has the potential to further improve the cost reduction method.

Create a better work environment in GLT department because of more hazards in

this department.

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Lowering the downsizing will create a good image in the eye of regulatory

authorities and government.

Focus on its key brands i.e. high growth like Gold Flack this year’s growth was

around 27%.

Export of premium brands

Brand‘s acceptance shows that it has potential to grow and grow well.

Promotion activities give us ideal opportunities to cannibalize substantial share from

declining brands. Promotion has been a strong basis towards building up big brand

image for all PTC.

In promotion PTC give more incentives and LTC give less it is best opportunity.

THREATS

Some of its competitors are also producing high quality brands like Marlboro by

Lackson.

Internationally some countries are continuously promoting anti-smoking slogans

like the ban of smoking in Bhutan in 2002.

Better marketing campaigns by rivals.

Their well-established brands are highly copied by some local manufacturer.

The political, economic situation is not stable in Pakistan.

Limitation of their product,

Decline in tobacco growth

When PTC starts any activity of coupon scheme LTC also start such type of

scheme.

Some times LTC introduce consumer promotion with better and attractive prizes.

Sometimes LTC reduce its prices.

LTC cover more area instead of PTC.

Customer of Marvin Gold is very loyal.

The prices of competitor are very less as compare to PTC brand

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BCG Matrix of Pakistan Tobacco Company

CONCLUSION:Pakistan Tobacco Company is part of a growing industry and the trends in the sales for

the five years studied have been positive. As said earlier the company is enjoying a major

share of the market through most of its brand being the market leader. Thus the company

did not let go of the opportunity of the trends in the market growth and started invested in

new and improved capital. The company invest in its Stars and question marks and try to

eliminate its Dogs

The major competitors of the company are importing their finished goods stock from

their operations in other countries and are well-established companies too. PTC still

enjoys the control over the local market, but today’s customer is more price conscious

and if PTC’s competitors give competition through improved production facilitates and

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reduction in costs PTC might not be able to transform to low cost production facilities in

short span of time.

Source of Information

Mr.Asghar Ali

Area Manger of Pakistan Tobacco Company

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MARKETING QUESTIONNAIRE

Dear Sir, We, students of Bahauddin Zakariya University is conducting survey on the “Marketing Strategies of Pakistan Tobacco Company”. Please cooperate with us by giving your information. You are requested to read carefully and select the best. All your information will be kept confidential.

Name of Manager:

1. Which of the following Marketing Segmentation Strategy you are adopting?

a. Geographical Segmentation d. Behavioral Segmentationb. Demographic Segmentation e. If more than one then mention bothc. Psychographic Segmentation

2. Which parameters are taken under consideration by PTC for effective Customer Marketing Segmentation?

a. Age Segmentation d. Profitability Segmentation b. Gender Segmentation e. If more than one then mention both c. Income Segmentation 3. You give incentives to your customer on the bases of _________

a. User Status d. If more than one then mention both b. Usage Rate c. Loyalty Status 4. On which of the following factor you segmentized your International Market?

a. Economic Factor d. Culture Factor b. Political Factor e. If more than one then mention both c. Legal Factor 5. Which of the following Market Targeting Strategy you are adopting?

a. Undifferentiated Marketing Strategy c. Concentrated Marketing Strategy

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b. Differentiated Marketing Strategy d. Micromarketing Strategy

6. In what specific ways PTC differentiation itself or its marketing offer to gain Competitive Advantage?

a. Product Differentiation d. People Differentiation b. Services Differentiation e. Image Differentiation c. Channel Differentiation

7. According to you which of the following factor is/are required to make the Marketing Segmentation effective? Segmentation should be ______

a. Measurable d. Differentiable b. Accessible e. Actionable c. Substantial f. If more than one then mention both

8. Which of the Positioning Strategy is normally and frequently use by your company?

a. More for more d. Less for more b. More for same e. More for less c. Same for more

9. In product management which of the following product feature are taken under high consideration in PTC

a. Quality d Brand name b. Variety e. Packaging c. Design

10. What do you think how the effective Sales Promotion can be done? Through _____

a. Advertising d. Mention if any other b. Personal Selling c Sales Promotion

11. What are your Pricing objectives?

a. Profit oriented b. Sales oriented c. Status oriented

12. Which Market-Entering Strategy you adopt whenever you launched a new product?

a. Market-Skimming Pricing

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b. Market-Penetration Pricing c. Mention if any other

13. A company has four choices when it comes to developing Brands. Which of the following you prefer?

a. Line Extension d. New Brands b. Brand Extension c. Multibrands

14. Being the manufacturer of Tobacco which of the following Brand Sponsorship you follow?

a. Manufacturer’s Brand b. Private Brand c. Licensed Brand

15. According to you which of the following discounts make your sales effective?

a. Quantity Discount b. Trade Discount c. Cash Discount

16. Which of following Marketing Channel you are adopting?

a. Direct Marketing Channel b. Indirect Marketing Channel c. If any other then mention

17. Which of the following criteria of differentiation you satisfied during the differentiation of your product?

a. Communicable and visible d. Profitable b. Preemptive c. Affordable

18. During evaluating the market on which of the three factors you focus the most?

a. Segment size and growth d. All of the above b. Segment attractiveness c. Company’s objectives and resources

19. According to you which of the following function is important for marketing channel member to perform.

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a. Information & Promotion c. Negotiation & Physical b. Contact & Matching d.Financing & Risk Taking e. All of Above

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