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Paklite
Introduction of PVC:
PVC stands for Poly Vinyl Chloride. Also called vinyl is a thermoplastic polymer. Polyvinyl chloride is the third most widely produced plastic, after polyethylene (PE) and polypropylene (PP) with a global consumption of approximately 22 million tons per annum with annual growth of 6%. Its production is expected to increase 40 million tons by 2016.
Benefits of PVC:
The most common use of polyvinylchloride (PVC) is to make pipes. PVC is used for producing high quality leakage free pipelines for conveying water, sewerage or effluent, insulating material for electric cables. Following are some advantages of these pipes: No deposits arise like cast iron due to its low friction and smooth surface. PVC pipes are self- extinguishing and do not support combustion. PVC pipes are highly resistant to mineral acids, alkalis and aqueous Salt solutions. For further assistance consult our technical staff. PVC pipes system fulfills the need of a residential, commercial and Industrial sector. PVC pipes are light weight and only one fifth of the cast iron pipe. PVC pipes are long life than the cost iron pipes. PVC pipes are insect proof and mice proof.
Paklite
Market of PVC:
o Global Market Scenario o National Market Scenario
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The consumption of the PVC pipes is been gradually increasing in the all over the World. In Europe, 5.5million tons of PVC was used in 2007 to make pipes. Similarly in case of USA pipe demand is projected to grow 2.5% annually to 15.5 billion feet in 2007. Its demand is increasing day by day and its seen that every year there is an increase in demand of PVC. The organizations that are manufacturing the PVC pipes in overall the world are automotive.
Imports of PVC: As the demand of PVC pipes is growing so countries started to import it from other countries for the fulfillment of need in their country. So if an organization that is manufacturing the PVC pipes must look for the opportunities in the global market and by providing the better quality pipes may got a lot of revenues from the exports. France, USA and Mexico have been the top importers of PVC pipes over the past 5 years contributing to approximately 35% of world imports.
Exports of PVC: USA, Germany and Canada are the top three exporters of PVC pipes in the last five years contributing to 32% of world exports. The company having potential of going global may select these countries for exporting their pipes.
Paklite
Paklite
Paklite PVC Pipes and Fittings Marketing Plan for Advance PVC: Introduction Executive Summary PEST Analysis Internal Analysis SWOT Analysis STP y Segmentation y Targeting y Positioning Marketing Mix Decisions y Product y Price y Place / Distribution y Promotion Customer Analysis y Need, Want and Demand of Consumer y Customer Relationship Management Competitor Analysis y Direct Competitors y Indirect Competitors
University Of The Punjab
Paklite
Paklite
Paklite
Currently the company is selected the segment of Gujranwala on the basis of geographical segmentation and they will target different segments that are available in Gujranwala, like normal consumers and business consumers such as used by the construction companies, big plazas, buildings etc. The companys positioning strategy is on the basis of quality or positioning by quality. According to survey it is seen that there is clutter of the companies that are UPVC pipes and PVC-U electrical conduit pipes and fittings. As these are manufactured locally in Gujranwala on several locations. But the quality of all the pipes is not according to the standards and there is lacking of skilled and technical labor and usage of traditional machinery. At present only the most basic PVC applications are being made in Pakistan and that also of low quality. Reasons being: Lack of exposure in international markets Lack of information about PVC processing and its versatility And the quality conscious customers are also not satisfied from these pipes. So there is a need of a good quality UPVC pipes and PVC-U electrical conduit pipes and fittings. To meet the requirements of customers the Paklite Private Company limited has an opportunity to penetrate in the market by providing better quality PVC pipes. As it is known that these pipes are being popular day by day and their annual consumption is also gradually increasing. So thats the time to focus the customer on quality basis not on other attributes or benefits.
Paklite UPVC Soil, Waste and Vent Pipe System Paklite PVC-U Electrical Conduits Pipes and Fittings
Paklite
These pipes are made especially for the purpose of transferring of waste water to the sewerage that is also made of it. That includes a wide range of products that vary in the sizes. Basically it includes the pipes and other accessories like elbow of 45 and 90 degree, joints that may be single or double, sockets, reducer, equal tee, reducing tee etc.
Paklite
y y y y y y y y y y y y y y y y y y y y y y y y y
Floor Gulley Trap & Io Floor Gulley with Trap. Inspection Door & Frame Solvent Cement Bottle Traps (PP) Waste Disposal Pipe & Accessories Under Ground Solvent Weld System Plug Double Yee Collar/Socket Expansion Coupling Expansion Coupling Set Seal Ring Adaptor Access plug & screw on cap 4 Way Junction Bush/ Socket Reducer Level Invert Reducer Concentric Reducer WC Pan Connector Wc Pan Elbow Connector Boss Connector with Bracket P-Trap (Combination) Plain P-Trap Plug Type. Access P- Trap With Vent P-Trap (Fabricated From Pipe) S- Trap
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y y y y y y y y y y y
PVC-U electrical conduits PVC-U Bends short Radius PVC-U Bends long Radius PVC-U Socket Junction Boxes Wall Type White Junction Boxes Roof Type White Saddle Clip White Fan box Protection End Caps Reducer PVC-U fabricated Imported Solvent
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Paklite
Executive Summary:
This is the proposed Marketing plan for the new brand Paklite PVC Pipes and Fittings of Paklite Private Limited Company. In this plan we will tell about the new products, their relative advantages, market potential, political, economical, social, technological forces in the market, Strengths & weakness of our organization, opportunities and threats down there in the market. Segment to serve, how to target the audience and how to position the products in the minds of the consumers. It also includes the marketing mix decisions that which products are to serve, and on which prices are to be charged and how the pricing is to be done, how the products are reached to the consumers by which medium and finally what type of promotional activities are to be made to promote the products. It is also necessary to analyze the customer that what is their need and what they want and demand. What will satisfy the consumers quality or price? For the long term relationship with the consumers what the strategies should used? These all the things being explained in this plan very briefly and practically.
Paklite PVC Includes a wide range of products including pipes and other accessories. Currently we are focusing on two basic products UPVC (Unplacticized polyvinyl chloride) pipes and fittings that would be used in houses, building, flats and multi storey building for the purpose of drainage and sewerage for the disposal of wastes. The second basic product is PVC-U Electrical Conduits pipes and its fittings that would be used in Buildings, markets, plazas, communication systems and many other locations for the installation on the electrical wires to save them from different disasters like fire, acid reaction and other chemicals. These are non conductive, easily installed, cost effective and reaction free from different reactions. The environment is also very affecting this decision of making of the two new products. Political conditions are seemed that what are the Government rules and regulations about the particular product and what type of registration is required and what are the taxes rates. Economical conditions are also very important to see that how the current economy is running, inflation rates, unemployment, interest rates and purchasing power of the people; it also includes what is the population of Pakistan, literacy rate, GDP, National Income and per capita income.
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Social factors are also very important to see that what is the society to which we are serving, may be make the product that we are producing people dont give proper attention because the product does not matches their style, status or may be the substitutes that they are using is satisfying them. Technological analysis is also very necessary because with the help of this we can understand that what kind of technology is being used in our country in current era. By the introduction of automotive machinery we can get the sustainable competitive advantage and may become the market leader and get the maximum market share. SWOT analysis tells about the strengths of the company, a major strength of the company is that it has a positive brand image in the minds of the consumers. Weakness are also sensed, a weakness that is major is of low education level of the workforce and sales force. Opportunities are also analyzed, a major opportunity that get the competitive advantage by technological advancement. Threat must be sensed also because due to it we can be damaged, a major threat would be the new entry of a potential competitor. Segmentation done by us is on the basis of geography. Pakistan is a geographic area and we divide it into different segments like in the following diagram. And from these segments we target the Gujranwala. Why we target the Gujranwala not Lahore or Karachi because we think that this area is having more potential and buyers have similar needs there. Next element comes is positioning, it means that we have to introduce our product such that it will remain in the minds of the consumers. Products that we are now introducing is Paklite PVC pipes that would be available in two categories of UPVC Pipes and fittings and PVC-U Electric conduits and accessories. Pricing is done on the basis of Market Penetrating Strategy. Distribution channel that are currently been used by the company for it product PP-RC pipes and fittings. Promotional strategies should also be used for the promotion of the product like local advertisement, billboards and other mediums like sale promotions etc. Competitor analysis is also very necessary, here we see the potential competitors, direct competitors and indirect competitors. The next head is we have to see the consumer and their relationship building by providing better quality products.
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Political
Technological
PEST
Economical
Social
Political Forces:
These forces are very important to be analyzed by the company before taking the decision of launching PVC. Our development decision may be strongly affected by political environment. Analysis of these forces includes seeing the laws, rules and regulation, government agencies and pressure groups of the current Government. Here we see what the current laws about business are and other several rules and regulations. The government agencies also affect our decisions about the launching of our new products. There are certain acts that may bind our development. The changes sudden in the political environment, policies by Government, democracy and very important terrorism may affect a lot. So we have to focus on these forces if we want to survive and get maximum advantage of the opportunities.
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Economical Forces:
Economic forces are very important to be judged while launching of our new product. These forces include sensing the current economy of Pakistan. These forces are:
Current Economic conditions Exchange Rates Unemployment Rate Population Growth Inflation Rates Purchasing power of people Energy crisis Rising Energy Prices Terrorism GDP National Income Per Capita Income Political Instability These forces are very important to judge because any one of these can harm us very badly.
Social Forces:
Social forces include a major factor that is culture of the society. If we understand the culture of a society then we can easily penetrate into them and attract the people by hitting right on their behaviors. Some of the important social forces include:
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Technological Forces:
The success or failure of a product is been highly dependent on the technological forces. There are a lot of techniques used for the making of PVC pipes in Gujranwala. These may affect us because if use the plant that having less capacity per production run than we may not compete in the market as compared to the competitors. Rapid changes in the technology are being made by the competitors to get the competitive advantage on the other producers. Local producers are using single screw-extrusion machines. While to be the best quality manufacturer we have to use the technologically updated machinery having greater output capacity. We would use the twin-screw type refurbished machinery imported from Europe. In future we have the plan to import the more technologically updated machinery imported from Japan or Korea. Extruders and dies are critical component of the machinery. The import of their parts is very costly and the local industry is incapable of providing quality spare parts or repairing. So we have to give attention to these specific areas.
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SWOT Analysis:
Strengths:
Our Better Quality Products Positive Brand Image Certification with ISO 9000-2000 Management Expertise Loyal Customers Positioning by Quality Larger Distribution network overall pakistan
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Weakness:
Poor departmentalization Less Job Security Centeralization Accounting Informaton Systems are not available Less Advertisement and Promotion Poor work Envoirnment Management
Opportunities:
Capturing the Market Share by Introducing New Products By doing Exports Gaining the Competitive Asvantsge by importing the latest machinery from Japan Serving new Markets Expand globally Getting the Certifications from different authorities on good quality and performance
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Threats:
Entrants of new Potential competitor Increase in raw material Prices Energy crisis Government Instability High taxes Workforce threats Poor economic conditions
STP:
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Paklite
Segmentation:
Karachi
Gujranwala
Lahore
Segmentation done by us is on the basis of geography. Pakistan is a geographic area and we divide it into different segments like in the following diagram. And from these segments we target the Gujranwala. Why we target the Gujranwala not Lahore or Karachi because we think that this area is having more potential and buyers have similar needs there.
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competitors in future or it attracts now. We have selected a good structural attractive area so now we have to put more effort while introducing our products. y Company Objectives: these are also very important to see while segmenting that whether our selected segment will help to fulfill our overall company objectives. And the segment not against the company objectives. y Resources: the segment we selected is evaluated that we have enough resources to target it. We selected Gujranwala and we see that we have not enough resources to serve it well than we have to leave that segment and move to that segment that is according to our resources.
Targeting:
Here we see that we have selected the Gujranwala segment and now we are targeting it. A target market is a market which we think that the buyers here having common needs. We have selected Gujranwala now we can target it in different ways: y Undifferentiated Targeting: here we think that the whole segment is our target so we come to serve them with one offer. y Differentiated Targeting: here we consider the differences among the audience so we think that one offer is not necessary for the whole market. y Niche Marketing: here we select specific market to serve having common needs that is not served by any competitor because the size of the market is very small so it not look attractive to the competitors.
Positioning:
It is the strategy by which we say that we have to introduce our products such like that it will remain in the minds of the consumer always. We can say that a unique statement about our product that would not be forgot by the consumer. We can position our product in following different styles: y y y y Positioning by Attribute Positioning by Specific feature Positioning by Quality Positioning by Competitive Advantage
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Paklite
The positioning strategy that we use is on the basis of quality because our products are quality products.
Product
Price
Place
Promotion
Product:
We are now introducing two new products:
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UPVC (Unplacticized Polyvinyl Chloride) also called the rigid PVC. The main purpose of this is to provide efficient means drainage of waste water and foul discharge from appliances in single and multi storey buildings. These Pipes will almost entirely replace the use of cast iron for plumbing and drainage, being used for waste pipes, drainpipes, gutters and downspouts. It contains a lot of range of products almost 50 products that including pipes and other accessories like elbows of 45 and 90 degree, socket, P trap, reducer etc etc. our complete range is given below:
UPVC Pipes:
Nominal diameter DN
110 110 125 125 160 200 250 315 400
COLOR
Gray Gray Gray Gray Gray Gray Gray Gray Gray
TUBE THICKNESS
3.2 3.2 3.2 3.2 4.0 4.9 6.2 7.7 9.8
TUBE WEIGHT Kg
4.928 9.527 5.536 10.703 17.332 26.58 41.971 65.791 106.238
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Nominal diameter DN
32 32 40 40 110 110
COLOR
White White White White White White
ANGLE
92 135 92 135 92 135
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Nominal diameter DN
40 40 50 50 83 83 110 110 110 125x110 125 160x110 160x110
COLOR
Gray White Gray Gray Gray Gray Gray White Gray Gray Gray Gray Gray
ANGLE
135 135 92 135 92 135 92 92 135 92 135 92 135
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Nominal diameter DN
110
COLOR
Gray
ANGLE
92
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y S- Trap
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Paklite
Paklite PVC pipes are highly resistant to mineral acids, alkalis and aqueous Salt solutions. For further assistance consult our technical staff. Paklite PVC pipes system fulfills the need of a residential, commercial and Industrial sector. Paklite PVC pipes are light weight and only one fifth of the cast iron pipe. Paklite PVC pipes are long life than the cost iron pipes. Paklite PVC pipes are insect proof and mice proof.
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PVC-U Electrical Conduits pipes and fittings of the company are used for electric wires to be concealed in the concrete walls. These pipes and fittings are used in different areas like residential buildings, commercial buildings, industries and transportation and communication systems. Other benefits of these pipes are that that they are: o Non-conductive o Easy in installation o Resistant to most acid & building chemicals o NO change comes in winter & summer season o Excellent results by concealing it in the walls & roofs
This is also including different products such as pipes and other accessories. A complete list of these pipes and accessories is given below:
y y y y y y y y y y y
PVC-U electrical conduits PVC-U Bends short Radius PVC-U Bends long Radius PVC-U Socket Junction Boxes Wall Type White Junction Boxes Roof Type White Saddle Clip White Fan box Protection End Caps Reducer PVC-U fabricated Imported Solvent
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Non-conductive Elastic, Uniform and smooth surface Resistant to most acid & building chemicals Excellent results by concealing it in the walls & roofs Easy in installation NO change comes in winter & summer season
Size Chart Size 1/2 3/4 1 1-1/4 1-1/2 2 2 3 3 4 4 Wall Thickness 1.16 mm 1.29 mm 1.36 mm 1.67 mm 1.84 mm 1.90 mm 1.90 mm 1.90 mm 1.90 mm 1.90 mm 1.90 mm Length 10 ft 10 ft 10 ft 10 ft 10 ft 10 ft 13 ft 10 ft 13 ft 10 ft 13 ft
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Price:
There are several strategies for pricing. But we use that strategy that will be successful in the market. That is market Penetration, according to this strategy we keep our products prices low at start and get the maximum sales on low price, price is not enough low that it will brings loss to us but it is the price that first reach us towards breakeven. As we penetrate in the market and our product is getting by customers like hot cakes than we increases our prices slowly slowly and at last became the market leader and get the maximum market share as well. There are several other pricing strategies that we may use: y y y y y Market Skimming: charging the higher prices at the start Cost based Pricing Value Based Pricing Benchmarking Competitive parity Method
Place/ Distribution:
The distribution of the new products would be according to the current scenario.
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Paklite
The strategy which is currently running for the distribution is suitable because any other strategy may cause extra cost.
Promotion:
Paklite has to promote its new products by advertising on local media like on local cable network. Advertising is the backbone of any company so by giving importance to this they can increase their sales and remind the consumer also about the company. Advertising has three main objectives y y y To inform the audience To persuade the audience To remind the audience
Paklite has to use the billboards advertisements also. A strategy can be this to buy the billboards on the city entrance location like chan da qila. Khayali bypass or pindi bypass. There are also billboards available at that place so company has to avail that opportunity.
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Direct Competitors
Indirect Competitors
Competitor Analysis
Direct Competitors:
These are the competitor thar are also manufacturing UPVC and PVC-U electrical coduits. So we have to analyze these competitors that what their strengths and weakness are, what type of machinary, labour, raw material, human resources they are using now. Vey important to see is there competitive advantage. And also very important that make their weaknesses to your strength. Major direct competitor of Paklite are: y Popular
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Indirect Competitors:
These are the competitors that are not manufacturing PVC but they can come into the business in the future. We have to analyze them also because they can also be agreat threat for us in future. Major indirect competitors are: y y y y y y y y Jakko Viva plast Green pipes Spell Turk plast API Durafit Aquafit
Paklite
These are the very potential and aggressive competitors also that may be a big threat for us. Because they are in very strong financial position, these competitor may be from outside our country but may have distribution in our country, some of these are y y y y y y Terralite Terran SDP Vesbo Liansu Euro gulf Shoaib traders Sole dealer of Arabian Gulf Manufacturer
Consumer Analysis:
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