Gluco-One Marketing Strategy

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A-One Starch Products Limited

Marketing Strategy for Gluco-One

Objectives
Develop a marketing strategy for Organized
Confectionary segment given the price pressure
Improve distribution network for timely delivery
Achieve cost reduction through operational excellence
Production Capacity Augmentation to address growing
market

Short Term Strategy


Status quo
Customer looks for
quality & regular supply
Customers happy with
the quality
Price variation is payable
Plant capacity underutilized
Packing is not
satisfactory
Market is expanding
Current production
capacity cannot meet
the current years
demand

Strategy
Cost reduction by automation /
technology upgradation
Enter into long term supply contracts
with the raw material suppliers to
have control over the raw material
price
Optimization of Production and
distribution to stick to customers
delivery schedule
Transportation only thru clean
tankers for all organized
confectionary customers

Strategy for next 5 years


Capacity augmentation
At 12% market share, Demand for 1999-2000 will be 23,160 MT
(> 16000 MT)
More automation in production

Customer feedback to retain them


Close interaction with customers to receive feedback on
performance
Eliminate the communication gap by sharing information

Operation excellence
Control over the operation cost and improve the contribution
margin

Increase the market share


Kill competition by adopting penetrative pricing

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