1

Contents
1.0.

Executive Summary................................................................................................................... 3

2.0.

Environment analysis................................................................................................................. 3

2.1.

Analysis of micro environment...............................................................................................3

2.2.

Strategy audit for the brand.................................................................................................... 6

2.3.

Positioning of Singer Laptops................................................................................................7

2.4.

Organizational structure of the company in relating to the brand...........................................7

2.5.

Marketing System Audit......................................................................................................... 7

2.6.

Productivity and investment................................................................................................... 8

2.7.

Prevailing marketing mix........................................................................................................ 8

3.0.

PESTEL and SWOT analysis..................................................................................................... 9

3.1.

PESTEL................................................................................................................................. 9

3.2.

SWOT analysis (TOWS analysis).........................................................................................11

3.3.

Current position.................................................................................................................... 12

4.0.

Key Issues............................................................................................................................... 12

5.0.

Corporate strategy................................................................................................................... 13

5.1.

Vision, mission, corporate objectives...................................................................................13

5.2.

Corporate objectives............................................................................................................ 13

5.3.

Summary of overall position and corporate strategy............................................................13

6.0.

Marketing objectives................................................................................................................ 14

6.1.

Finance objective................................................................................................................. 14

6.2.

Marketing Objectives............................................................................................................ 14

7.0.

Marketing Strategy................................................................................................................... 15

7.1.

Market segmentation............................................................................................................ 15

7.2.

Segment evaluation............................................................................................................. 15

7.3.

Targeting.............................................................................................................................. 16

7.4.

Positioning........................................................................................................................... 16

7.5.

Competitive advantage........................................................................................................ 17

7.6.

Singer Laptop positioning..................................................................................................... 17

7.7.

Marketing Strategy............................................................................................................... 17

7.8.

Marketing program using 7Ps.............................................................................................. 18

8.0.
8.1.
9.0.
9.1.

Implementation........................................................................................................................ 20
Schedule for key task........................................................................................................... 20
Control and forecasts............................................................................................................... 21
Critical success factor and criteria to evaluate the success of new implementation............21

10.0.

Financial forecast for the next three years...........................................................................21

11.0.

Conclusion........................................................................................................................... 22

12.0.

References........................................................................................................................... 22

1.0. Executive Summary

Singer Sri Lanka is one of leading company in Sri Lanka for home durable goods. With the nature of
the products that it markets the repeat sales are become limited. Therefore Singer is always looking
for new product category as well as the technically advance products to the market. By that company
has decided to enter in the laptop market under their own brand name. Even the product line is stated
with time period it is unable to identify the required level of turnover. The following report is recognized
the issues relating to internal and external environment and provide a proposal to enhance the
turnover and the market share of the company.

2.0. Environment analysis

2.1.

Analysis of micro environment

Market analysis
Market analysis for singer laptops are done through Porters five forces analysis
Factors

Application on Singer X series

of

deviated
Bargaining

power

of

supplier

For the laptop projects of Singer Sri Lanka, it is deal with both the international and
local suppliers. Basically the materials are imported and assembling is done through
the local parties. Since company has to import from the specific customer who have
exclusive authorization power of developing such materials. Therefore it has to
purchase product only from the authorized supplier from Singer global. Since it could
be identified that there is a high bargaining power in international suppliers.
Considering about the local suppliers Singer Sri Lanka has power to select an
appropriate supplier. Therefore it could be identified that there is a high bargaining

Bargaining

power

customer

of

power over local suppliers of the company.

Customers bargaining power is high for the Singer laptop range since the customers
have multiple options for the production. Basically Singer brand is quite a new brand
for the ICT industry and people mostly required on purchasing well famous brand once
purchasing such goods. Therefore it could be identified that there is a high bargaining

Threat of new entrance

power in customers.
It couldnt identify that there is a no specified entry barriers on the new entrance for a
new brand. But Sri Lanka is already operating with the world famous brands, Therefore
it could be identified there is treat of new entrance and also there are controlling power

Threat of substitute

over new entrance through powerful brands.

There are several substitute products are available in the market that could able to do
4

some specific work that would able to do but it couldnt identify as a 100% substitute
Factors of rivalry

on laptops. Therefore substitute effect is identified as in medium nature.

Since Singer is operating with number of product bases it could able to moving
towards the other options that are available in the market place. Therefore it is
identified that rivalry factor is comparably less.

(Porter., 2008)
Competitor Analysis
Considering about the competition level in the market it could be identified that there is a high level of
direct and indirect competition is operating in the market. The following perceptual map is provided a
clear view over competitor positioning base customer perception and price level of the market.

Customer perception

Future world
Epsi computers (Pvt) Ltd
Softlogic Information
Technologies
Metropolitan
Redington Lanka

Prices
(Softlogic , 2014) (metropolitan, 2014)
Key competitor analysis through likely response model
With consist with high level of similarities in business process as well as the product and service
portfolio it is identified the Soft logic as key competitor for the organization. Basically company is
commenced its business process in recent past and achieve the business targets in highest level
within a short time period. Therefore to analyses the key competitor behaviors, It is selected the
Softlogic.
Competitors drives
Objectives

Competitor capabilities
Strategy

ion

Softlogic maintain good customer base by

To be the most preferred business partner

providing several IT solutions to market.

by offering diversified products & services

From that they would able to develop cross

of high quality and unmatched values.

selling.
After sales services are well established.

Mission

This would enhance the customer loyalty

Satisfy customer with an entirely new

and market development.

experience

Operating with high number of dealers. It

would

Sector-Softlogic (technology)

cheaper

rather

than

developing

infrastructure.

Objectives

Achieve the market leadership in

2018
Obtain 50% market share in 2018
Be the market leader of after

sales service in the industry

Business expansion around the
country,

Assumptions
Softlogic is the sole authorized distributor

Softlogic

Resources and capabilities

Strength

of DELL brand in Sri Lanka. Therefore

Selling world reputed brands

people are created a trust with competitor.

DELL-Authorized

But

partner in Sri Lanka

they

are

geographically.

not
And

widely
other

spread

areas

are

distributor

&

service

CISCO-Premier partner

covered by distributors

Microsoft-Gold certified partner

Financial Stability.
Rapid growth in every segment
Well trained and experienced staff over IT
industry.

(Softlogic , 2014), (Gordon, 1989)

Customer
To evaluate the customer requirements and customer ideas about the Singer brand, it is conducted a
market research to evaluate the consumer ideas. Followings are given the output of the consumer
requirements in relating to the Singer laptop brand.
Perception
Prices of the product

Positive response in %
70%
6

Good collection and delivery

Quality of after sale services
Accessibility to of sales point
Easiness of credit settling plan
Readiness and accessibility of

38%
50%
64%
82%
60%

information
Research has conducted by a research company covering entire country.

2.2.

Strategy audit for the brand

Followings are given the corporate vision, mission and objectives of the Singer Sri Lanka Plc. And
also it is provided the marketing objectives of the Singer Laptops.
Marketing objectives

Achieve sales increment by 40% in next 3 years

Build improvement in brand awareness by 20% in next three years time period.
Increase profitability by 30% in 2017.
Place 30% sales by online sales.

To be the foremost appliance retailer in Asia Pacifc.

Vision

To improve quality of life providing comforts and

conveniences at fair prices

Mission

To be the market leader in the company products

and market segment.
Provide consumer with the best services and
shopping experience
Provide consumers with product and latest
technologies.
Develop employees to achieve thier real potential.
Provide shareholders with steady asset growth and
return on investment above the industry norms.
Grow revenue and profts at a rate above the
industry average.

Objectiv
es

2.3.

Positioning of Singer Laptops

SINGER X series

Through Bowmans strategic option it is identified that Singer brand is positioned in between the
differentiation and low price options. (Bowman, 1997)

2.4.

Organizational structure of the company in relating to the brand

CEO

Director
fnance

Director
IT

Director
Marketin
g

Director
sales

Director
commerc
ial

Director
credit

Director
HR

Director
logistics

Current organizational structure developed based on functions of Singer. Commencing with the CEO
Directors is headed to separate departments. Under board of directors supervision senior managers,
managers and executives are clearly defined and delegated with relevant job descriptions and
authority respectively. Communication is flowing top to down and reverse flow of reporting

2.5.

Marketing System Audit

System
Marketing

Description
When generating sales invoices and customer details are automatically save in the system at

Information System

the point of sales. Cancellation note can be only generated through an authorized manager
in out lets. Special customer id is generated for individual customer in computer itself. In
repeat purchases all details are automatically update to relevant customers.
System is use to generate all marketing related details such as static product wise, area
wise, repeat purchases. Only the above manager level position can access for such details.

Marketing planning

Base on the marketing information system all the top management is arrived with the

system

decisions. Basically the system is evaluated trends in the market and opportunities to the
laptop series.

Marketing
system

control

Company own with the MIS system to handle the marketing activities in the organization.
Further the all the data accuracy is evaluated through the system and decisions are
automatically derive through the system.
8

New

product

Prior to the product launch and after the product launch Singer conduct a market research to

development

evaluate the success of the product. Also it is identified further development through the

system

process.

2.6.

Productivity and investment

Consumer electronics

Furniture

Kitchen related

Sewing related

Singer

Transport

can

use

resource for X-series

Agro

that

withdraws

from

transport and Agro to

invest in the laptop

2.7.

market

Prevailing marketing mix

Marketing mix

Singer as a whole company

Singer laptops products

elements
Product

Operating in home durable goods and finance industry

There are three types of

products

Price

deviate

from

Prices are depending according to the products level, quality

component
Sin-X 1200 -65,000/=

and the basically according the brand of the product. Apart

Sin-X 550 -78,600/=

from that Singer provide with several other service option

Sin-X 3000 -115,652/=

with the product including after sales services and warranty

Place

periods. With that also the products are get deviated.

Singer showrooms and service centers are located around

Selected outlets are only

the country namely retail outlets, Singer Mega, Singer home,

available with to purchase

singer service center and online purchases.

the laptops. Therefore it is

identified limited access
for the laptop market of

Singer.
Promotion

Company operates with both the above the line and below

There

are

the line marketing campaigns

marketing

no

specific

campaign

identified.

3.0. PESTEL and SWOT analysis

3.1.

PESTEL

Factor

Drivers

Implication to Singer

Rating

Political

Development

in

With the redevelopment process requirement

H/M/L
H

Northern and Eastern with the

for the product is high and it is identified the

political stability of Sri Lanka.

area as a new market.

Development process of the

Company has opportunity to develop and

government

penetrate the new markets.

process

has

moving

toward the regional areas and

investment in ICT industry
Changes in import duties for

It is created an adverse implication over the

the product

sales factor with the duty reduction there is

high opportunity of importing competitive brand

to Sri Lankan which has high level of brand
identity around the global.
Economic

Level of currency depreciation

Enhance the cost of import and will make

direct implication over the importing materials

and ultimate implication over the product cost.
Improvement of per capital

Improvement in GDP level creates implication

GDP

over

turnover

with

the

improvement

of

purchasing power in the economy. Also by

having good level of purchasing power it would
create direct adverse implication also since the
high level of purchasing power lead to
purchase branded products.
Stability in the inflation

Stability

of

inflation

also

create

direct

implication over the savings of the Nation and

10

is

ultimate creates impact over the purchasing

power
Social

Improvement

of

level

of

With the education level improvement there is

education and ICT knowledge

high possibility of improving the purchasing

of the society

decision and selecting capacity of the people

and always consider about the value for

money.

Preference and requirement of

consumers
electrical

especially
products

in
are

H
There is a risk with company to provide exact
requirement of the customers.

improved.

Technolo

Changes

gical

environment

Ecologica

High

ecological factors

required to develop high level of concern about

Concern about the warranties

the ecological factors

The products with the similar nature required

Legal

in

concern

technical

about

the

Risk of failure to acquire new technology

Since operating gin technical product item it is

with warranty. Therefore there is high concern

over the warranty.
(Lanka, 2014), (Censes aand statistics, 2014)

3.2.

SWOT analysis (TOWS analysis)

External opportunities

External Treats

Stability in political situation

Development activities in

of

and the cost of production

Competition with the world

reputed brands.
Expansion of the online

business.
No legal barriers on the

market entrance
Well
experienced

Internal Strength

SO Maxi Max strategy

reputed competitors.
ST-Maxi-Mini Strategy

EO

IS

Reputed brand name in the

IS
11

rupee

increase the product price

Northern, Eastern and rural

areas
Drop down in import duties
Development in per capital
Develop in market demand

Depreciation

ET

and

Sri Lankan market over the

1, 2 1, 2, 3-Avialbility of

decades.
Trusted brand of Sri Lankan

expansion in new markets prior

leadership approach to acquire

to the competitor with the level

the market until the brand is

market.
Stability in financial aspect
Highly
spreader

of resources.

developed well.

EO

IS

IS

4-Make availability of

geographical establishment.
Experienced staff
Availability of credit sales,

product in all outlets in order to

identity to create the brand

increase seals.

name for the laptops.

financing and easy payment

EO

IS

methods.
High level of supplier chain

1, 6-Posibility to gather

both in international level

and local level.

Availability of

1 Conduct cost

ET
2, 8 Use existing brand

younger generation by providing

easy payment plan

Microsoft

license
Internal Weakness

WO-Mini Max strategy

WT-Mini Min Strategy

Lack of experience in laptop

IW EO

IW ET

market.
Highly depend on specific

set of suppliers for the

contracts

materials.
Product is unavailable in

the all outlets.

No repair service factor is

2 Avoiding risk of

suppliers through signing

Enter in to the long

term agreement.

available.

3.3.

Current position

1. The laptop series of Singer is still operating in the introduction stage of the product lifecycle.
2. Still company do not intend to moving towards the emerging market
3. Less of experience in laptop market since start in recent past.

4.0. Key Issues

High level of competition

It is identified there is a high level of competition within the market in relating to the laptop
market. Most competitions are enriched with high level of technical expertise, experience
over the market performance and sales perspective.

Risk in brand reputation

Number of world famous brands is operated in the country and this would lead to a huge risk
over Singer laptops to create a competitive market share in the industry. Therefore it could be
identified a high level of challenge for the laptop series.

Increase in cost of goods.

12

With depreciation in rupee value it could be identified that there is a significant issue is
established with the Singer laptops. Since the materials for the Singer laptops are directly
import. Therefore it would create direct implication over the price level and profitability of the
product line.

Gaps in resource allocation level

For the product Line Company is not allocated optimal level of resources since the product
line is newly introduced to the market. Therefore it could be identified a level of gaps in
product availability. Also there is less number of expertise staff is allocated for the product line
of Singer laptops.

5.0. Corporate strategy

5.1.

Vision, mission, corporate objectives

Vision

To be the foremost appliance retailer in Asia Pacific.

Mission

To improve quality of life providing comforts and conveniences at fair

prices

Objectives

To be the market leader in the company products and market segment.

Provide consumer with the best services and shopping experience
Provide consumers with product and latest technologies.
Develop employees to achieve their real potential.
Provide shareholders with steady asset growth and return on investment
above the industry norms.
Grow revenue and profits at a rate above the industry average

5.2.

Corporate objectives

Achieve sales increment by 40% in next 3 years

Build improvement in brand awareness by 20% in next three years time period.
Increase profitability by 30% in 2017.
Place 30% sales by online sales.

5.3.

Summary of overall position and corporate strategy

Singer laptops are positioned in the middle of cost leadership and quality aspects. Therefore it is
required to improve specific level of strategy that market to the brand. With the environment screening
13

it is identified that there is high level of competition in the market. Therefore it is required to identify
best strategy to develop the market. With the nature of product and competition it is required to
develop the market through cost leadership strategy.

SS

Singer X-series

(Porter, 1980)

6.0. Marketing objectives

6.1.

Finance objective

Singer designed separate finance objectives for product line of Singer X-series laptops

Increase revenue by the 40%

Achieve 30% of gross profit margin
Improvement in return on capital by 30%
Achieve 15% gross revenue from online sales of Singer X-series.

6.2.

Marketing Objectives

Obtain 25% market share.

14

Develop online sales

Improvement in sales in online market.
Improve establish customer base.

7.0. Marketing Strategy

7.1.

Market segmentation

Following table is given the marketing segmentation for the three products category
Model
Geography
Demography
1.Gender

of

the

market

Sin-X 1200
Urban, rural

Sin-X 550
Urban, rural

Sin-X 3000
Urban, rural

Male/Female

Male/Female

Male/Female

Housewife, students

Housewife,

2.Occupation level

students,

Small entrepreneurs

Housewife,

students,

Business organization
Domestic

3.Nationality

of

Domestic

LKR35,000and above

LKR70,000and above

LKR 150,000 and above

Sinhala,Tamil,English

Sinhala,Tamil,English

Sinhala,Tamil,English

Lower middle

Middle

Upper

the

customer
4.Monthly

Domestic

income

level
5.Language
differences
Psychographic
Social class

middle

middle
Consumer behavior
Quality conscious

Average

High

High

Brand loyalty

Low

Low

High

Price conscious

High

Average

Low

Singer has to improve level of sales and marketing activities base on different segment requirements.

7.2.

Segment evaluation

Following is given s brief evaluation about the segmented market place.

A

B
15

and

Potential Market size

28%

32%

45%

for the product

Potential
growth

Low

High

High

competitors
Consumer knowledge

High
High

Low
Low

High
Low

about the product

Objective
in
the

Penetration

market
Resources capability

market
Available

opportunity

the

segment
Attractiveness of other

of

the

Development

of

market
Developing

the

Development

of

market.
Developing

A Urban and suburban market

B- Rural market
C- Northern and Eastern market

7.3.

Targeting

According to the market place it is required to target on different way in individual product rates.
According to the segment identification it is identified that there is clear difference in individual product
segments. Therefore it is required to come up with different market approaches base on segment
behaviors.

According to the identification the markets are developed with the different level of

marketing mix elements.

7.4.

Positioning
Cost
H

Features H

Singer X-Series

16

the

With the sole purpose of market development and penetration it is required to position the Singer
laptop in the position of low cost and high featured product. Earlier the product is identified as a low
cost and low quality product. The initial identification has to change according to the above
positioning.

7.5.

Competitive advantage

Company has to identify clear view in the development of strategy to develop the competitive
advantage. For that it is suggested to develop the strategy as the cost leadership approach to the
organization. According to the Porters generic theory Singer laptop is identified as a product place in
the cost leadership. The preliminary objective of the placement is to develop the market position in the
industry.

7.6.

Singer Laptop positioning

Cost
leadership
SINGER
LAPTOP

Differentiati
on

Cost forcus

Differntiatio
n forcus

7.7.

Marketing Strategy

Followings marketing strategies are identified according to the an off theory

Market Penetration

Product Development

Create the brand awareness

Development of promotion campaign
Sponsoring to event

Change the appearance of the laptop such as

using colors.

17

Specific advertising

Market Development

Safety packaging options

Improve the after sales facility level

Diversification

Development of new showroom

New dealer level
Proper promotional campaigns.

7.8.

Marketing program using 7Ps

Followings are given an extended marketing program for the Singer Laptops.
Product

Product is defined as anything that can be offered to a market for attention, acquisition, use or

consumption that might satisfy want or need and also it is not limited to a finished good.
Singer laptop is coming under three main ranges of products that inclusive with different product

features.
Core product is considered as laptop with initial technology that could be used for the people.
Basic product is considered as different options that available with the product such as colour,

advance features etc.

Argument products features is identified as aftersales facilities, hire purchase facilitates, home

delivery, repair services, warranty etc.

There are three products are identified in the product line and it is designed accordance with the
different requirements.

Price
In the general practice laptop prices are decided base on the brand name of the laptop and features
of the laptop ranges. According to the scenario of Singer it is decided to place the prices accordance
with features and target segment behaviors, Still the production line is operating to develop the market
it is required to consider market and segment behavior also to decide the price level.
Followings are given the different categories of price level that available with the Singer laptops.
Product

Price (LKR)

Sin-X 1200

65,000/=

Sin-X 550

78,600/=

Sin-X 3000

115,652/=

18

Place

Singer outlets
Singer Plus
Singer Mega
Authorized distributors
Singer website
Repair centers

Promotion
Both the above the line and below the line campaigns are required to develop the business of Singe
Laptops. Basically it is required with different marketing to specify the Singer Laptop separately.
Above the line
TV and radio advertisement
Press advertisement
News papers
Business magazines
Womens magazines
Youth magazines
Broachers and leaflets
Advertising in social media
Advertising in singer website

Below the line

Direct mail campaign
Sponsorship
University events
Corporate events
Conduct IT seminars
SMS and email campaign to increase brand
awareness.

People

New staff has to recruit to handle the product line that has experience and knowledge over the

products.
Apart from that it is required to training the existing staff in the organization to improve the service

quality.
Provide specific employees to handle with different set of customer segments.

Physical evidence

Improve physical evidence to enhance the brand identity of the product.

Placing best place in the market places as the distribution centers which are easily reachable.
Provides t-shirt to employees to enhance the brand identity.
Allocate separate place in every outlets to maintain laptop sales.
Proper decoration to highlight the laptop products.

Process

19

Gather customer feedback to evaluate the customer ideas about the product and continuous

improvement base on the requirements.

Placing balance scorecard method to evaluate the all over performance.
Continuous analysis over turnover and financial figures of the product line
Maintain proper stock and stock availability according to the demand factor.

8.0. Implementation
8.1.

Schedule for key task

1. Promotion
1.1. Above the line promotion
1.1.1. TV and radio promotion
1.1.2.
1.1.3.

relating to the product

Printed advertisement
Print and distribution of

leaflets
1.1.4. Social media campaigns
1.2. Below the line promotion
1.2.1. Direct
mails
set
to
1.2.2.

corporate customers
Sponsorship provides to

1.2.3.

corporate events
IT quiz competition

1.2.4.

school and university level

Conduct IT seminars in

in

school
2. Place
2.1. Availability of laptops
2.2. Open up new agreements
3. Physical Lay Out
3.1. Allocate and design unique
place
4. People
4.1. Recruitment of new staff to
product line
4.2. Conduct staff training
4.3. Performance measuring and
rewarding of the staff
5. Process of New Product
Development

9.0. Control and forecasts

20

Dec

Nov

Oct

Sep

Aug

July

June

May

April

March

Jan

Task

Feb

Month

9.1.

Critical success factor and criteria to evaluate the success of new

implementation

Matrices to evaluate
Following matrices are used to evaluate the success factors of implementation to next three years.

Matrices for
proftability
Gross profit
margin and
net profit
margin
Quick ration

Matrices for
efficiency
Customer
service speed

Matrices for
innovation
Number of new
ideas for a
month

Matrices for
effectiveness
Improvement
of service
quality rate

Matrices for
brand equity
Brand
awareness of
the product

Sales turnover
per employee
in the
segment

Success rate of
new product
implementatio
n

Customer
complain rate

Strength of
the brand

ROI

Improvement
in market
share
comparing to
the last month
performance

Value of brand

Stock

turnover

speed

Returns for
shareholders
fund

Attracted new
customer for a
month

Quality of delivery

EPS

Improvement
in
customer
loyalty

Level of

product

damages

10.0. Financial forecast for the next three years

Financial forecast of revenue and cost for next three year identify through separate Income statement
of Singer X-series.

Profit forecast for next 3 years

2013
Revenue
Cost of sales
Gross profit
GP Margin
Administration expenses
Sales
and
marketing
expenses
Profit Before tax and interest

2014

42,433,600
(32,300,000)
9,043,600
20%
(2,500,000)
(4,500,000)
4,032,500
21

2015

47,030,975
(37,418,800)
10,025,643
26%
(2,676,000)
(4,504,000)
5,265,211

43,225,050
(32,107,594)
11,117,456
30%
(2,306,500)
(2,926,150)
6,856,325

Interest cost
Profit Before tax
Taxation
Net profit

(500,000)
3,743,600
(452,675)
3,347,735

(250,000)
4,685,957
(758,684)
3,875,546

(1250,000)
4,857,6300
(921,625)
4,695,635

11.0. Conclusion
It is concluded that Singer Laptop is a novel and profitable business line to singer Sri Lanka in future.
Therefore it is required to establish proper brand identity in the segment in order to maintain proper
turnover in future as well as to acquire an established market share in the industry. Therefore it is
suggested to maintain the approach of cost leadership as the strategy for the Singer laptop business
line. Also it is recognized that there is high requirement to consider about all the elements in 7Ps
rather than limited into four elements. Also it is required to develop proper way of evaluation method
to evaluate the process since it newly developed product. Through that it would able to minimize the
negative implication that may happen with the process.

12.0. References
Bowman, C. a. F. D., 1997. Competitive and Corporate Strategy. Irwin,: London..
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