ELASKA REFRIGERATORS

beyond refrigeration

Introduction
Elaska Home Appliances is a public sector undertaking &

manufactures a large number of home appliances under the corporate brand name Elaska.
The company entered the market in late 70s under

collaboration with a German manufacturer to produce home appliances.

Elaska was one of the major three manufacturers and

established itself as a leading company in home appliances with a market share of about 35 percent.

 In the year 1979, the German collaboration of Elaska was liquidated and the partnership ended. The company faced major problems and then it collaborated with a Japanese company, Hankwa. This company was a market leader and technologically superior to most of its competitors. Elaska continued to sell all its products under its

own brand name.

 In the early 1980s, a number of manufacturers entered in the home appliances industry. Elaska gradually began losing its position as one of the leaders.
Its market share dropped to nearly half of the earlier share by 1992. Its major competitor was Westways, a highly reputed company in India.

 Unlike Elaska, Westways was involved in manufacturing and marketing a wide range of products, ranging from FMCG appliances to soft

drinks, and office equipment.

Westways had entered the market in 1982 and by 1992, had captured a market share of about

37% in home appliances market.

Elaska refrigerator has slightly higher prices than their major competitors and after sales service package is not perceived to be the best.

MARKET SHARE OF MAJOR HOME APPLIANCE MANUFACTURES

IMPROVING AFTER SALES SERVICE AND MARKETING

Customer complaints are the schoolbooks from which we learn.
Be effective and efficient
The follow up New product release offers

Repeat custom offers and loyalty schemes

Send a free gift Be ethical

MARKET SIZE
Market size of refrigerator is about 1.5 million per year. Market is growing at a rate of 10% annually in urban.
And at a rate of 20% annually in rural areas.

RESEARCH FINDINGS
INCOME GROUP VS BRAND FEATURES

INCOME GROUP LOW MEDIUM HIGH

DESIRED FEATURES PRICE,SERVICE,CAPACITY PRICE,BRAND IMAGE AND SPECIAL FEATURES SPECIAL FEATURES,BRAND IMAGE,DESIGN AND COLOURS

SOURCES OF INFORMATION

BRAND NAME
PRICE, CAPACITY, DURABILITY DURABILITY & SERVICE SPECIAL FEATURES

ADVERTISEMENT IN PRINT & T.V.

ADVERTISEMENTS & DEALERS PEERS & FRIENDS etc. ADVERTISEMENTS & DEALERS

FEATURES SOUGHT BY WOMEN AND MEN

SEX WOMEN MEN

FEATURES SOUGHT PRICE,BRAND,CAPACITY,LOOKS AND FEATURES. BRAND,SERVICE,PRICE AND MACHINERY USED.

PROMOTIONAL STRATEGIES
For recreation promotion is a critical part of doing business. Potential consumers must get information that will positively influence

what they think of a business and convince them to buy its product. promotion is the tool to accomplish this goal. Promotion includes wide variety of activities including brochures, billboards, and newspapers ads.

TYPES OF PROMOTIONAL TOOLS

ADVERTISING
PERSONAL SELLING SALES PROMOTION PUBLICITY

TYPES OF PROMOTIONAL TOOLS

TYPES OF TOOLS ADVERTISING EXAMPLES TV, radio, posters, billboards, newsletters, brochures Salespeople, hosts, demonstrations, festivals, fairs coupons., faurs, demonstrations, concerts, games TV,radio talk show,radio news,public service announcements,n ews paper ADVANTAGES very public & visible. Persuasive because of repitition Two-way communication. Obligates the buyer to make a response Forces people to buy now or pay more later Cactes people off guard.more credible than advertisement.

PERSONAL SELLING

SALES PROMOTION PUBLICITY

STEPS INVOLVED IN DEVELOPING AN EFFECTIVE PROMOTIONAL STRATEGY

Figuring out who you are Deciding on your product deciding who you want to attract

what do you want to accomplish with your strategy

Actually getting your message across

CONTD
Actually getting your message across
Actually getting your message across Deciding how to present it Taking your message to your audience

MEDIA PLANNING
GENDER WISE
MEN WOMEN

TYPE OF MEDIA
NEWSPAPER, TV, INTERNET, MAGAZINES TV, RADIO, NEWSPAPER, INTERNET

INCOME WISE LOW INCOME MIDDLE INCOME HIGH INCOME

MEDIA RADIO, TV, NEWSPAPER TV, NEWSPAPER, INTERNET, RADIO TV, NEWSPAPER, MAGAZINES, INTERNET

 Analyze the significant issues in the case.

MAJOR ISSUES
Advertising campaign Price After sales service

 Would you consider setting sales or

communication as the objective? Give your reasons. Develop the advertising objective statement.

COMMUNICATION:- The power of words

A mediocre advertising message properly directed stands more chance of success than the most professionally developed ad campaigns directed at the wrong audience or using unsuitable message appeals. Advertising creates its most powerful impact when it is used to solve narrowly defined communication objectives. Advertising communication objectives can be put in a pyramid form. The lower level objectives are awareness, knowledge or comprehension. These are accomplished first.

 Subsequent objectives may focus on moving prospects

to higher levels in the pyramid to elicit desired behavioral responses such as associating feelings with the brand, trial or regular use, etc.
It is easier to accomplish objectives located at the base of

the pyramid than the ones located towards the top.

The percentage of prospective customers will decline as

they move up the pyramid towards more action oriented objectives, such as regular brand use, etc.
Irrespective of the fact whether the brand is new or

established, the pyramid can be used to determine appropriate advertising objectives.

 What is required is to determine where the

target audience lies with respect to various levels in the pyramid. If the level of brand awareness or knowledge of its features or benefits is low, the advertising communication should be to increase them. In case the brand liking and preference is low, then the appropriate goal can be to change the target audiences image of the brand.

ADVERTISING OBJECTIVE STATEMENT

Regaining our market position by giving

an emphasis on improving our product price, advertising strategy and the after sales service to a bigger extent.

IMPROVING BRAND IMAGE

 SUGGEST AN ADVERTISING STRATEGY TO

ACCOMPLISH THE OBJECTIVES.

ADVERTISING STRATEGY:EMOTIONAL GAME

EMOTIONAL advertising strategy is designed to stimulate one's emotions, rather than one's sense of the practical or impractical. When copywriters use emotional appeal in advertising, they are attempting to appeal to the consumer's psychological, social, or emotional needs.
This type of advertisement is prepared to arouse

fear, love, hate, greed, or humour, or otherwise create psychological tension that can best be resolved by purchase of the product or service.

A BUSINESS THAT MAKES NOTHING BUT MONEY IS A POOR BUSINESS TO OUR CUSTOMER :- WE MAY NOT HAVE THE ANSWER , BUT WILL FIND IT . WE MAY NOT HAVE THE TIME , BUT WILL MAKE IT.