FOOTWEAR INDIA LTD.

INTRODUCTION
o Footwear India ltd. Industry leader (1990)

o 5 factories, 2 tanneries located in India

o Geographic location diversified

o Major Products - Shoes, sandals, sports shoes, polish,
belt, wallets etc

o 1500 retail outlets which included the company
owned retail stores and franchise stores


o Distribution channel systems

o Organization structure

o Sales people

o Legal bias union problem

o Training and development
DISTRIBUTION NETWORK A

COMPANY
FACTORIES
RETAIL
DISTRIBUTION
CENTRE
FRANCHISE
STORES
COMPANY
OWNED
STORES
CONSUMERS
DISTRIBUTION NETWORK B
FACTORIES
WHOLESALE
DEPOTS
WHOLESALERS
INDEPENDENT
RETAILERS
CONSUMERS
COMPANY OWNED RETAIL STORES
o Main stores-Located in posh areas of metro cities.

o Commercial stores-Located in commercial location in
Metros and semi metro cities.

o Family stores-Located in high traffic location for
middle income segments .

o Discount stores-Located in thickly populated areas at
discounted price with substandard quality stocks.


STRATEGIC PLANNING & REVIEW
o Corporate Level


o Divisional Level


o Product/Functional
Level
o Corporate Strategic
Planning(Long Term)

o Divisional Strategic
Planning(Long Term)

o Operational
Planning(Short- Term)
ORGANIZATION STRUCTURE PLANNING TYPE
MARKETING AND PERSONAL SELLING
STRATEGIES
o INTEGRATED MARKETING COMMUNICATIONS
o Advertising
o Sales Promotion- Events, Websites

o TARGETING AND REPOSITIONING
o Innovation- Website, Create shoes Design Online
o New product line with modern designs
o Entertainment and other non-sports venues in their
promotions
DEVELOPING SALES FORECASTING


QUALITATIVE
METHODS

Sales Force
Composite
Survey of
Buyers
Intentions
QUANTITATIVE
METHOD
Test
Marketing
Moving
Average
Regression
Analysis
Econometric
Analysis
CORPORATE STRATEGIES
o Flexible Organization structure

o Product Differentiation

o Increasing Product Line

o Training and Restructuring the Front Line Sales Force

o Cost Cutting

GAP ANALYSIS
1995 2005
MARKET SHARE 60 40
0
10
20
30
40
50
60
70
A
x
i
s

T
i
t
l
e

MARKET SHARE
REDUCING THE GAP
MARKET
DEVELOPMENT
METRO, TIER I, II & RURAL
SEPERATELY TARGETED
DEVELOP FRANSHISEE
BUSINESS
TARGET CUSTOMER
SEGMENT BROADENING
HOME/FOREIGN BRAND
COLLABORATION
MARKET PENETRATION

ADVERTISING
SALES & PROMOTION
INDUSTRIAL SECTOR
CREATE BRAND AWARENESS
DIVERSIFICATION

ADD NEW PRODUCTS TO
BASKET
NEW ACCESSORIES
SPORT & TRAINING GEAR
PRODUCT
DEVELOPMENT

IMPROVE QUALITY
REDUCE COSTS
IMPROVE MARGINS

SALES STRATEGIES
CREATING A
FUNCTIONAL SALES
ORGANIZATION
HEAD
MARKETING
MARKETING
SERVICES
MANAGER
SALES
MANAGER
AREA SALES
MANAGER
SALES
PERSONNEL
MARKETING
RESEARCH
MANAGER
PROMOTIONAL
MANAGER
GENERIC STRATEGIES

o Increase the margin of the distributors and
Franchisees, dealers

o Product bundling

o Promote products in Tier II & Tier III cities

o Introduce a new brand for rural markets


o Advertisements Local channels in rural areas

o Tie up with Super markets to promote sales

o Promote accessories like polish, belt, wallets, bag
which contribute to only 8-10% of the total sale