Project report

Group
members:
Marketing project

Zahid Hussain

14f-8283

November 24, 2015.

Haider Ali

Afzal 14f-8282
Abdul Wahab 14f-8262
Ibtesam Habib14f-8097
Muhammad yousuf
Irshad 14f-8283

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Project report

Acknowledgement
In the name of Allah, the Most Gracious, the Ever Merciful. We initiate our
project by thanking the Allah Al-might who allow us to do our project and
help us in every aspect of life. I feel honor to present this report to not
merely a teacher but a mentor Mr. Syed Zeeshan Haider who inspired us
with his innovative ideas and made us think in a complete aspects.
Finally, we pay regards of gratitude to our parents, as they and their prayers
for our success are always been a pillar of strength for us in our life.

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Table of Content
Acknowledgement...................................................................................................... 2
Table of Content......................................................................................................... 3
Products............................................................................................................... 6
Opportunities....................................................................................................... 6
Marketing Objective............................................................................................. 6
Recommendation................................................................................................. 6

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Distribution Strategy............................................................................................ 6
Management............................................................................................................ 7
Key Executives for Kheri footwear...........................................................................7
Kheri footwear Executive Committees....................................................................7
Kheri footwear Main Distributors.............................................................................7
I.

Introduction:......................................................................................................... 8

a.

Vision:.................................................................................................................. 8

b.

Mission................................................................................................................. 8

c.

History.................................................................................................................. 8

II. The BCG Matrix................................................................................................. 9

III.

Micro Environment...................................................................................... 11

The Company........................................................................................................ 11
Suppliers............................................................................................................... 11
Market Intermediaries........................................................................................... 11
Customers............................................................................................................. 11
Competitors........................................................................................................... 12
Publics................................................................................................................... 12
IV.

Macro Environment..................................................................................... 13

Demographic......................................................................................................... 13
Economic Environment...................................................................................... 13
Technological Factors......................................................................................... 13
Cultural Factors.................................................................................................. 13
V. Marketing Strategy........................................................................................ 14
Marketing Objective.............................................................................................. 14
Target Marketing.................................................................................................... 14
VI.

SWOT Analysis............................................................................................. 15

Strengths............................................................................................................... 15

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Weakness.............................................................................................................. 16
Opportunities........................................................................................................ 16
Threats.................................................................................................................. 16
VII.

Pestle Analysis............................................................................................. 17

VIII. Segmentation............................................................................................... 20
IX.

Product Life Cycle........................................................................................ 23

................................................................................................................................. 23
Introduction........................................................................................................... 23
Growth................................................................................................................... 23
Maturity................................................................................................................. 24
Decline.................................................................................................................. 24
X. Branding........................................................................................................... 25
Perception............................................................................................................. 25
Brand Equity.......................................................................................................... 25
Brand Switching.................................................................................................... 25
Distribution............................................................................................................ 25
Product Availability................................................................................................ 25
Line Extension....................................................................................................... 26
Brand Extension.................................................................................................... 26
XI.

Marketing Mix | Four Ps............................................................................27

.............................................................................................................................. 27
Product................................................................................................................ 27
Pricing.................................................................................................................. 28
Position................................................................................................................ 28
Promotion............................................................................................................ 29

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Project report
Kheri is commonly using word for the Pishawari chapal.
We are introducing this product in the way that it will
fulfill the requirments for all events and festivals on

Executive Summary

demand. We give our quality on the demand of

customer.

Products
Kheri has large number of products in different
market with a very competitive price range. But
we are launching kheries in a way that we will
deliver our product in Faisalabad on the demand
with very reasonable price.
Opportunities
Kheri has many workers in Faisalabad they are
good in making kheri. This is a great opportunity
for us to launch a new method for order and to
deliver our product. We will provide it on very
reasonable price which differs us from other kheri
makers.
Marketing Objective
The marketing objective of Kheri is to differentiate
it from other high value shoes maker Competitors.
Maintain positive, steady growth in each quarter.
Recommendation
Our recommendation about our product is low
price high quality production on all type of
demands.

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Name:
Kheri footwears.
Established In:
2015
Facebook page:
Kheri footwear.
Employees:
200 .
Products:
All types of Kheries.

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Distribution Strategy
We will distribute our product in different stores founded by kheri footwear
for display and give home delivery of product in Faisalabad if the customer
wants.

Management
Key Executives for Kheri footwear.
Name
Muhammad Khalid

Designation
Chief Executive Officer and Executive

Faisal Ahmad Nisar FCA

Director
Chief Financial Officer and Company

Mahmood Nawaz
Waseem Amjad Mahmood

Secretary
Executive Director
Director of Marketing

Kheri footwear Executive Committees

Committee Name
Audit Committee
Compensation Committee

Chairperson
Muneer Nawaz
Muneer Nawaz

Kheri footwear Main Distributors

Name
Malik Haider
Wahab khan
Muhammad Mohsin Khalid

Place
Shop#32 D ground chowk Faisalabad.
Shop#9 Ghnta ghar chowk Faisalabad.
Shop#9 near HBL Sargodha road
Faisalabad.

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I. Introduction:
Kheri is commonly using word for the
Pishawari chapal. We are introducing this product in the way that it will fulfill
the requirments for all events and festivals on demand. We give our quality
on the demand of customer. We are establishing kheri footwear in 2015 in
Faisalabad. We are starting our bussiness with 200 employes. This product
will fulfil the all needs of customer in low price. Our work is starting from
Faisalabad but in the future will expand our bussiness to other cities of
pakistan.

a.Vision:
To be known as the leader of quality product in kheri and
all types of shoes related to kheries and to provide best price at reasonable
price.

b.Mission
Our mission is to provide highest quality product at
very reasonable price and we will fulfill the demand of the customer and the
event too.

c. History
Our business is just getting stated in 2015 and it will make
all histories in the footwear industry. This will be popular among all types of
people and religion in very short time.

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II. The BCG Matrix

The BCG Matrix tells us the current position of our products and let us
prioritize our product among the other products in our portfolio.

Stars

Cash cows

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Question mark

Dogs

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First Quadrant :
Shows the products that are has the high growth rate and high market share.
They need heavy investment to finance their rapid growth. They gradually
convert into cash cows. In Kheri nike is the Star as it stands out of the other
products in term growth rate and market share.
Second Quadrant:
That product is placed whose market share is low but the growth rate is
high. These products are question marks whether they can turn into cash
cow or the Star. They require cash to hold their shares. Management has to
think hard to choose which product should stay and which product should be
phased out. In Kheri,Bata is the question mark. The growth rate of Bata is no
doubt high but the market shares are low.
Third Quadrant:
Is for Cash Cows. They have low growth rate and high market share high.
These types of products generate revenue for company which it uses to
invest in other products. They need less investment to hold their shares.
Service is considered to be cash cow for it. They have high market shares but
their growth rate is negligent.
Forth Quadrant is where Dogs are placed. Dogs are those that have low
market share and low growth rate. They might generate enough funds to
maintain themselves but they are not a source of income. Kheri is placed in
this quadrant because of its low growth rate and market shares.

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III. Micro Environment

The factors close to the company that affect its ability to serve its customers.
They include the companies, Suppliers, Market intermediaries, Publics etc.

The Company
The company has a great effect on marketing strategy. In order to design
market plan, the marketing manager should have to consider the other
groups, top management, finance, and manufacturing. In Kheri, the
marketing manager has to coordinate with the packaging department, staff,
etc.

Suppliers
The resources needed by the company to produce goods is provided by Suppliers.
Marketing manager must watch for the supply availability, Supply shortage and
other events that effect the customer satisfaction in the long run. In Kheri footwear,
we have 20 suppliers with transport facility.

Market Intermediaries
After the production of the products, the company needs to promote, sell and
distribute it effectively. That is where the market intermediaries play their
role. They promote your products, distribute them and sell them. They

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include resellers, physical distribution firms and market service agencies. In

Kheri, the marketing managers are very active. They tried their best to fulfil
the needs of their customer and availability of their products in the market.

Customers
The company has to study their customers behavior and work in
accordance. Consumer market basically consists of individual or households
who buy goods and consume them. In business market companies buy
products and use for their production whereas reseller market buy goods and
sell them at a profit. The products of Kheri footwear has great demand in the
whole Faisalabad market and will generates a good revenue from this
market.

Competitors
This is the new product we are launching in the markets of Faisalabad.
Initially we have no competitors.Our only competitor in the market is the
customers satisfaction.

Publics
The companies microenvironment also includes publics. Public is any group
that has interest or impact on organizations achievement of their goals.
There are various types of publics.

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IV.

Macro Environment

All the factors that poses threats to the company on larger scale are in Macro
Environment. These factors include the Company itself, Demographic,
Economic, Technological, and Cultural.

Demographic
It is the study of human population in terms of size, location, density, gender,
race and occupation. Demographic effect is of great importance for the
marketer as it involves people and people makes market.
Population size & Growth

Currently the population of Pakistan is 190 million and growth rate is

1.551% (est. 2012). The population effects as the number of
consumers increases so that demand increases. In Pakistan, Most of
the population is Muslim and they often use Pakistani products and it is
totally Pakistani and the handmade brand.

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Economic Environment
Market requires buying power of consumers. Economic Environment affects
the purchasing power of buyers. The economy growth rate of Pakistan is
3.59%.

As the Economy of Pakistan is at decline so it affects the buying

power of consumers greatly.

Technological Factors
Business are focusing on innovation of new products. In this era, the
company cannot grow with a single product. Organization have to diversify
according to the changing demand of customers and trends. Kheri footwear
needs the latest technology to introduce themself in the market.
Cultural Factors
Cultural factor is very important and supportive factor for our product most
of the Pakistani cultural people wear Kurta Shalwar and this is the best match
with Kurta Shalwar which and this factor always help to promote our product.

V.

Marketing Strategy

Marketing strategy is the process to concentrate on the optimal opportunities

and increase its sales and achieving a competitive advantage. In this regard,
the marketing budget of Kheri is very limited.

Marketing Objective
Marketing objectives of Kheri show their determination towards achieving
their mission. The Marketing objective of our company is as follows:

Maintain positive, steady growth in each quarter

Experience a growth in new customers who are turned into long-term

customers.
Realize an increase in occupancy in each subsequent year

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Target Marketing
The target market is the group of consumers that the company decides to
aim their marketing efforts.
Age

Company decides the age group of their consumer that they are
aiming. Kheri target market is all age groups but the children less than
15 are not include in our target.
Location

Target market of Kheri in terms of Location is the Metropolitan areas. In

this regard we have competitive edge as their competitors are
marketing only in urban areas .
Class
Target market of Kheri is middle class to higher class.

VI.

SWOT Analysis

Strengths

High quality products

Reasonable price

Traditional and cultural shoes

Variety of products

Provides online Buying

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We value our customer by providing with the facility of customizing our

shoes according to the desire of customer. This include

Leather customization

Color customization

Suede customization

Weakness

Low profit margin

Lack of proper distribution channel

Currently having short categories

Attracts less customers

Unawareness of People with the product

Opportunities

More emphasize on product design and style

Trained salesman

Better customer service

Offers discount on its product in every season

Capturing market where no other potential competitor exist.

Advertise of Brand in efficient way

Providing ladies and gents variety

Less competitors in market

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Threats

The introduction of a competitor to market with a similar business model.

Disruption of consistent supply

VII.

Pestle Analysis

A pestle analysis is the best tool to for a marketers to analyze and to make
the strategies for a new business. It covers all the demands and all the parts
for setting a new business. The PESTLE analysis make easier to make
decisions. The main objective of PESTLE analysis is to influence business
performance. The PESTLE analysis covers all these factors.

Political factors:
This factor does not effect on our product the area where we are launching
our product is the cultural area where the people like to wear the handmade
shoes and our product will satisfy their needs not harm any political factor of
the area. It does not affect

Tax policy
Stability of government
Entry mode
Social policies
Trade regulations

Economical factors:
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The economic factors measure the health of economic region. The

economic factors make the firm more effective and long life. It help for the
international trade. Our product has the no economical affect it will be
available in suitable and reasonable price. It makes the more strategic
plan better. Some examples for our product we can judge are

Disposable income of buyers

Credit accessibility
Unemployment rates
Interest rates

Social factors:
Social factor asses the mentality of the single person and the buyer in the
market. Our product is suitable for that market because the market is
suitable for the demanding purposes. We are making the products at the
customer demand with reasonable price. It helps to make more effective
marketing. Some of the social factors to focus are
Population demographics
Distribution of Wealth
Changes in lifestyles and trends
Educational levels

Technological factors:
Technological factor for our product is its advertisement on social media and
social networking. It helps to make our product worldwide anyone who wants
access to our product find the best way in social networking. The
advertisement of the product by social media is very common now a days
but the technology is varying day by day these are the common
technological factors

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New discoveries and innovations

Rate of technological advances and innovations
Rate of technological obsolescence
New technological platforms (e.g. VHS and DVD)

Environmental factors:
There is no possibility for our firm to penalize on the effect of environment.
These are the environmental factors:

Waste disposal laws

Environmental protection laws
Energy consumption regulation
Popular attitude towards the environment

It does not produce any disposals in environment it protect the all laws does
not affect the energy consumption regulations.

LEGAL FACTORS:
The legal factors contain all the information about the laws and regulations
of the particular area. It affect the product in a way the product we are
launching is violating the laws of that area like some political factors are also
become the part of the legal factors. Our product does not have any violation
of the laws of that area.
Here are the all factors in PESTLE analysis. The analysis have the importance
in and weightage in the following order,

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VIII. Segmentation

Geographic:
Country:
Province:
City:
Density:
Climate:

Pakistan
Punjab
Mainstream
Urban
Rural

Demographic:
Age:
Gender:
Family size:
Family life cycle:

12-64
Male
No matter
Young, Single, Married,
No children, Married with
children, Single parents,
Unmarried couple, Older,
Married, No children

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Income:

under 18, Single.

Seekers(Rs.200,00 to
500,000)Aspire(Rs.90,000

Occupation:

to 200,000)
Professional and
technical, Mannagers,
Officials and proprietors,
Crafts people, Farmers,

Education:
Religion:
Nationality:

Students, Unemployed.
No matter
No matter
Pakistani

Psychographic:
Social class:

Upper class, Working

class, Middle class, Upper

Lifestyle:
Personality:

middle, Lower middles.

Achievers, strivers.
Compulsive, Gregarious.

Behavioral:
Occasion:

Regular occasion, Special

Benefits:

occasion, Seasonal.
Quality, service, Economy,

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User status:
User rates
Loyalty status:
Readiness:
Attitude toward

Convenience.
Potential users, First time
user, Regular user
Light user, Medium user,
Medium, Strong.
Aware, informed.
Positive

product:

IX. Product Life Cycle

The stages of Product life cycle are as follows:

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Introduction
In this stage, the product has no or very less sales and the cost of the
product rises sharply due to the advertisement and marketing. At this stage
the investments are high.

Growth
In the initial stage, the sales were low and expenditures were high. The
company was at the growth Period from the time period of 2015. The
company had the competitive edge of having

no competitors. Their

expenditures on marketing were low as well as effective.

Maturity
The company will at maturity in few year. Their product will preferred over
the other shoes and handmade shoes. The sales will be at its peak and the
companies marketing objective was Differentiation.

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Decline
After the maturity stage there will be a stage where the company will start to
decline. At this stage the company sales will decline.

X.

Branding

In this era, the brand name has become the standards of the livelihood.
There is hardly anything that exists without brand name. Brand name helps

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consumers in many ways. These days, Brand name has become the identity
of the product and it tells the buyer about the quality of our product. Kheri
footwear is the new name of our product and it will be famous and well
known in very short time.

Perception
Perception of Kheri will be positive. There are many brands in market but our
work and other facilities will help us a lot in doing good marketing.

Brand Equity
Kheri will know from its quality and fulfilnes of demands of customer. Our
bottled juice is positioned very well in the minds of the kids as well as adults.

Brand Switching
The consumers of Kheri from other brands and companies will come to us
due to our good product at low cost. Due to which consumers will compelled
to buy our product.

Distribution
The resources needed by the company to produce goods is provided by
Suppliers. Marketing manager must watch for the supply availability, Supply
shortage and other events that effect the customer satisfaction in the long
run. In Kheri footwear, we have 20 suppliers with transport facility. These
suppliers distribute our product and deliver to the consumer at the given
time.

Product Availability
The availability of the product is very poor. They are not really available at
much retailers. Even the retailers offers the product gets out stock very
often. It is need of hour to work on the product availability as the demand is
not the issue in case of our product.

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Line Extension
We are going to introduce the handmade Khusa and the other hand made
shoes for the marriages.

Brand Extension
We are going to introduce the handmade Khusa and the other hand made
shoes for the marriages. And the other type of shoes made on order.

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XI.

Marketing Mix

| Four Ps

The Marketing mix in simple words is putting the right product at right price
in the right place and at the right time. You need a product that a society or a
group of people needs, put it at the place which they visit regularly at the
right price it rightly and do all that at a time when they want to buy the
product.

Product
A product is anything that can be offered to a market that might satisfy the
need or want. Kheri footwear offers variety of products. Kheri is one of the
giant in the business and its portfolio consist several products. It majorly
operates in Khusa Kheries and the other hand made shoes. The company will
know for Kheries.

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Packaging
Our company is going to introduce new design and new packaging for
the Kheries.The packaging will more attractive.
Quality
Our company will work close to its R & D Department to improve the
quality of our products.

Pricing
The only factor that generates revenue for the company is the Pricing of the
Product. The pricing is determining what company will receive in return of
their product. Pricing is categorized into two types
Value based price
In this pricing scheme, the product is priced according to its value in
consumers lifestyle. First we find out what is the need of the consumer
and then how much is he willing to pay for it. Then we price our
product in the market.
Cost based price
In cost based price, the product is made and its cost is calculated.
Then with an appropriate addition of our profit we price the product in
the market. Our pricing scheme will be consumer oriented, we will first
check the value of our product in consumers mind and then check the
price of our direct competitors in market.

Position
Positioning is something that leads to the demand of the product. Since the
footwear company is heavily competed it is difficult to choose the category
in which we want to position the product. One of the major competitors of
Kheri footwear has launched a low priced footwear increasing competition

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with Kheri. For the repositioning of Kheri, we will use the seven step
positioning process.
The first step in this process is to identify a relevant set of competitive
products.
The second step is to identify determinant attitudes. These attributes include
price, packaging and quality.
The third step involves collecting data about customers perceptions. The
current perception of Kheri is that of low quality.
In the fourth step we analyze the current positions of the products in the set.
According to the current position J.J is considered as best shoes and
affordable. J.J is also considered to be the choice of the youth as its trendy
and stylish, whereas Kheri is positioned as low quality product.
The fifth step is to determine the customers most favorable combination of
attributes. The most favorable set of attributes according to the customer
are price, quality and packaging. Kheri has to improve its packaging and
raise its price to change its perception.
In the sixth step we consider fit of possible positions with customer
segments. Here we reposition our product according to the ideal fit. In the
repositioning of Kheri.
In the last step, we are going to write the positioning statement of Kheri. The
new statement will be Incredibly Stylish.

Promotion
The last but specifically the most important P is the promotion. This is the
way how company communicates their products and offerings to the target
market.
Kheri is mainly using the following media for production:

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Television
Internet

These days the trend of E-Marketing is at peak. Social Networking websites

are playing an important role in marketing these days. Our company will
place internet banner ads of their new Kheri products new packaging and
slogan in consumers mind.
Kheri has also been promoting their products through increasing their social
values and positioning in consumers mind. They are also sponsoring different
events that involves youth in particular. They has also participated in relief
efforts of flood and earthquake victims.

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