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Branding and Addvertising Stratieges and Distriibution Chan
Branding and Addvertising Stratieges and Distriibution Chan
ON
“BRANDING AND ADVERTISING STRATEGIES AND
DISTRIBUTION CHANNELS 0F JAYPEE ASSOCIATES IN U.P.”
IN THE CEMENT MARKET WITH REFERENCE OF
JAI PRAKASH ASSOCIATIES KANPUR.
Submitted By:-
Akhilesh pratap Singh
Harpreet singh
PGDM
ID: - 2K8PGD020
Session: - 2008-2010
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CONTENTS:-
S.N. TOPIC
(1) CERTIFICATE
• COMPANY CERTIFICATE
• PREFACE
(2) HISTORY OF THE COMPANY
(3) BUSINESS INTERTS OF JAYPEE GROUPS
(4) MANAGEMENT AND ORGNANISATION SETUP
(5) JAI PRAKASH ASSOCIATES COMPANY PROFILE
(6) MAJOR ACHIEVEMENT OF JAYPEE GROUPS
(7) SACHIN TENDULKAR IS BRAND AMBASSASDOR
(8) PRODUCTION DEPARTMENT
(9) PRICING STRATGIES OF JAYPEE CEMENT
(10) MARKET POSITION OF JAYPEE CEMENT
(11) MARKET SHARE OF JAYPEE CEMENT
(12) DISRTIBUTION CHANNEL OF JAYPEE CEMENT
(13) TRANSPORTATION OF JAYPEE CEMENT
(14) FUTURE DEMAND OF JAYPEE CEMENT
(15) FUTURE OF JAYPEE CEMENT IN UTTARPRADESH
(16) DUTIES AND RESPONSIBILITY OF MARKETING DEPARTMENT
(17) SALES PROMOTION ACTIVITIES
(18) BRANDING AND ADVERTISING
(19) RESEARCH AND METHODOLOGY
(20) LIMITATION OF STUDY
(21) CONCLUSION AND RECOMANDATATION
(22) SUGGESTION
(23) MARKET SURVEY
(24) QUESTIONNAIRE
(25) BIBLIOGRAPHY
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COMPANY CERTIFICATE
This is certified that the work pertaining to the project report Entitled”
“BRANDING AND ADVERTISING STRATEGIES AND DISTRIBUTION
CHANNELS 0F JAYPEE ASSOCIATES IN U.P.”With special reference of MR.
RAJEEV MEHTA (KANPUR HEAD OF JAYPEE CEMENT) JAI PRAKASH
ASSOCIATES LTD. In Sincere effort of AKHILESH PRATAP SINGH is student
of “Post Graduate Diploma in Management” in Session 2008 – 2010 has
completed under my guidance.
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PREFACE
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HISTORY OF THE COMPANY
Jaypee Group is one of the major business groups in India. Here is a brief profile and history of
Jaiprakash Industries Limited.
Jaypee Group is an infrastructure conglomerate with diverse business interests ranging from
Engineering and Construction, Cement, Private Hydropower, Hospitality, Information
Technology, and Real Estate Development to
Expressways and Highways. The founder of Jaypee Group is Jaiprakash Gaur, who started as a
civil contractor in 1958. In 1979, Jaiprakash Associates Private Ltd (JAPL) was formed.In1980;
Jaypee Group entered into Hospitality sector and set up Hotels Siddhartha and Vasant
Continental. In 1983, Jaypee Reewa Cement Plant (JRCL) was established with an initial
capacity of 1 million tone. In 1986, Jaiprakash Industries Limited (JIL) was formed by
amalgamating JAPL into JRCL.In 1996; Jaypee Bella Cement Plant (JBCP) was established with
an initial capacity of 1.9 million tones. In 2000, JRCL and JBCP were merged to form Jaypee
Cement Ltd. (JCL). In 2003, Jaiprakash Associates Ltd. (JAL) was formed by merging JIL with
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JCL. In 2005, shares of JHPL were listed on BSE/NSE and JHPL became the first Hydropower
Company to be publicly held and listed in India.
Civil Engineering:-Jaiprakash Associates Ltd., the flagship company of the Group, is a pioneer
in construction of river valley and hydropower projects on turnkey basis in India. Jaypee Group
has executed 13 Hydropower projects spread over 6 states of India and neighboring Bhutan to
generate 10,290MWofpower.
Cement:-Jaypee Group is the 4th largest cement producer in the country. It produces Ordinary
Portland Cement and Pozzolana Portland Cement under the brand names "Buland" and
"Buniyad".The group has plants at Rewa, and Bela. Jaypee Group is poised to achieve cement
production capacity of 20 MTPA by the year 2009.
Hospitality:-Jaypee Group owns and operates four Five Star Deluxe hotels through a subsidiary
company, Jaypee Hotels Limited. These hotels are: Hotel Siddhartha and Hotel Vasant
Continental in New Delhi, Hotel Jaypee Palace Agra, and Jaypee ResidencyManor,Mussoorie.
RealEstateDevelopment:- Jaypee Group is developing real estate in Greater Noida. Its property,
Jaypee Greens, is spread over an area of 450 acres. Itcomprises golf resorts, villas, townhouses,
penthouses, condominiums, studio apartments, commercial complexes and shopping malls.
Thermal Power:-Jaypee Group has formed a Joint Venture company with Madhya Pradesh
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State Mining Corporation Limited (MPSMCL) to undertake coal production and sale of coal
from coal block/blocks which might be allotted to MPSMCL. The company is called Madhya
Pradesh Jaypee Minerals Limited. The company has plans to set up 1000 MW Thermal Power
Plant in Madhya Pradesh.
Jaiprakash Associates Limited is engaged in the construction of multi-purpose river valley and
hydropower projects, and has been involved in construction of engineering projects, including
hydropower/river valley projects, expressways and real estate development. The Company`s
hydropower projects under execution include Vishnu-Prayag, Karcham Wangtoo, Baglihar
(Stage-I & II), Omkareshwar, Dul-Hasti, Tehri, Teesta-V, Indira Sagar (Narmada Sagar), Sardar
Sarovar (Narmada) and Tala. Jaiprakash Associates Limited has six subsidiaries: Jaypee Hotels
Limited, Jaiprakash Hydro-Power Limited, Jaiprakash Power Ventures Limited, Jaypee Karcham
Hydro Corporation Limited, Jaypee Cement Limited and Gujarat Anjan Cement Limited.The
chairperson jai prakash associates limited is Shri jai prakash guar.
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Delhi, Chandigarh, Rajasthan, Jharkhand,
Maharashtra,
I hope that this company will be the top company in the cement industry in
future.
As it clear from the organization system, the company is headed by its BOARD which all the
day to day decision making power to enhance the setup of the organization.
All the departments like sales, production, etc who report to Mr. Rajeev Mehta, Mr., vikash
chaturvedi,. From the chart it is that the company has PYRAMIDAL setup.
All the departmental heads seeks and provides information of day to day basis to their
subordinate down the line.
COMPANY PROFILE
Fax - 0120-2896777
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Annual turnover - 7million tones per annum.
• Jaypee Group is the largest private sector hydro power producer in India with an installed
capacity of 700 MW.
• Sardar Sarovar Dam being executed by the group is the third largest in the world for
volume of chilled concrete to be placed -nearly 7 million cum.
• Indira Sagar a 1000 MW Power house is the second largest surface power house in the
country.
• Nathpa Jhakri a 1500 MW Power House is the largest underground power house in India.
• Tehri Dam is the third tallest rockfill dam in the world, and the largest in Asia
involving placement of over 25million cum of all types of fill material.
While launching its new brand campaign, cement maker Jaypee Cement, a wholly owned arm of
the Jaypee Group, has appointed master blaster Sachin Tendulkar as its brand ambassador.Mr.
Manoj Gaur, Jaypee Group Executive Chairman, said, Sachin and Jaypee Cement are a perfect
fit as they stand for similar values of inner strength, endurance and everlasting performance.
These value have spurred both to set new benchmarks and made good the dreams and aspirations
of all those who believe in Sachin and Jaypee Cement. Sachin would get around Rs 4 crore per
endorsement on a yearly basis.The companys new campaign featuring Cricket legend is being
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released today, and it will make use of TV, print and OOH media. The brand also sports a new
tag line, Andar Se Solid that consolidates the brand’s core values of faith, buoyancy and
steadiness. Previously, there were two products under the Jaypee Cement banner, named
‘Buland’ with the tag line Buland Bharat ka Buland Cement, and Buniyaad, which had the tag
line Yugon Yugon ka Saathi. At the present, both the products have been faded out, and there is
only single cement product from the Jaypee Group.
PRODUCTION DEPARTMENT:-
Private housing sector is the major consumer of cement (65%) followed by the government
infrastructure sector at 15% down from 20%) < 1% of the cement produced is sold in bulk form
unlike US & Japan.
(Rs.50 Kgs)
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FEB 09 254 253 264 269
MAR09 253 252 268 270
AAP 09 254 264 268 273
MAY09 259 267 272 275
JUNE09 270 281 288 299
l Strategy
Producer factors-
• Whether the producer has the systems to perform the functions neededCustomer based
skills to dist the prods.
• Extent to which producers want to maintain control over how, to whom and at what price
a product is sold. Direct dist gives producer a much better control over these issues.
• (nowadays companies are shifting to company owned stores as intermediaries only push
products which have higher margins).
Distribution intensity
• Intensive dist- aims to provide saturation coverage of the market using all available
channels.
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DISTRIBUTION STRATEGY OF JAYPEE CEMENT
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TRANSPORTATION OF JAYPEE CEMENT:-
• Transportation costs high - freight accounts for 17% of the production cost Road preferred
mode for transportation for distances less than250kms.
However, industry is heavily dependent on roads as the railway infrastructure is not adequate
- shortage of wagons.
• Nearly 55-60% of the inputs controlled by the government
• Facing problems due to power shortage
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• Coal availability and quality affecting production
Mini plants realisation of revenue lower than large plants, survival difficult .
Infrastructure & construction sector the major demand drivers. Some demand determinants
Economic growth
Industrial activity
Real estate business
Construction activity
Investments in the core sector.
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Classify the stockiest:-
1. Authorized- active
2. Non authorized-active
3. authorized-inactive
4. None of the above but having high sale potential
Identify target stockiest from the above and break up the monthly sales target among the
stockiest. Priorities market and stockiest from the above and break up the monthly sales target
among the stockiest. Pay special attention to weaker market and maintain continuous focus on
strengthening stockiest network. Continuous update of the market constituting stockiest ,total
cement outlet, professionals such as architects, structure engineers etc. and bulk user such as
builders contractor and government buyers. Based on the customer profile plan for market visits
for the month which may be further spilt up in weekly and daily customer coverage
programmes.
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Due compliance of all insurance formalities arrangement of all security and safely of
material at the siding.
Ensure proper record of all direct and indirect sale scrutinizing the record on weekly basis
at the sales promotes office.
Ensure recovery in respect of damages from the freight payable to the truckers.
Check the diversion of road consignments.
Verification of challan:-
The field officer should ensure that when the cement is received at the godown it should have a
proper challan .A proper challan should also be made at the time of dispatch of the cement from
the dump there are four copies ofchallan
Customer copy:-this copy is retained by the customers. Acknowledgement copy:-this copy is
retained by the customer of receiving and signing the copy .
Sales a/c copy:-this copy is send to the sales a/c for faster processing and billing.
Dump copy:-this copy is maintained at the dump freer record. The field officer should verify
each and every challan. If he is an tour then he should verify the challan as soon as he is
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back.Field officer should also ensure that there is no back dating of challan and the stock is being
sent to designated place maintained in the challan.
The field officer should ensure that no stockiest should cross its credit limit at any point of time.
If under special circumstances excess credit is to be given them the FO should take a prior
approval. The AMO I/C has the power to extend the credit limit upto 50% and the RMO I/C has
the power to extend the same upto 100%.in this case the field officer should also frame out the
recovery of these credit within the stipulated.
Pricing:-
The field officer has to maintain a price register at the dump which show the price of w/s and
retail of all the brands available in the market. The FO should enter the prevailing prices of all
the brands a daily basis. The prices have to be cross checked by regular interaction with the
stockiest, competitor’s staff and sales promotes. Based on the price register the FO can send their
proposal forbilling price to their respective AMO I/C.
Insurance formalities:-
On the arrival of cement rake the FO should unload the cement in his presence.If any damage
occur during the unloading it has to be communicated to MR Anurag sir (DGM accounts) jaypee
nagar Reewa in the rake arrival report. If the loss is loss then Rs. 1lack then final survey can be
done by any local survey else intimate the insurance company through for final survey. If there is
any seal of damage when rake is unloaded then damage /shortage delivery certificate has to be
taken from the railway officer. In case the seal of wagon is found open an the arrival of rake
then an open delivery certificate has to be taken from railway authorities. If railway
officer……… to give the certificate then a protest letter has to be send to the chief goods
superintendent/station by registered post.
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salespromotees names
Phone no.
Family details of sp.
No of worker.
Security deposit of sp.
Potential of dump.
Area covered through dump.
Mode of supply –by rake and road
Plant from which supply is provided.
S P staff details.
Weakness of dump.
Firm name.
Proprietor.
Phone no.
Average monthly sales.
Target of the current financial year.
Limit being availed.
Security deposit.
Payment cycle.
Competitors:-
Major Player.
Market structure.
Discount structure.
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Incentive structure.
Pricing.
Source of supply.
Mode of supply.
Feedback of competitor.
Weakness of competitors.
Untapped market:-
What is sales?
Every producer, every dealer and every businessman want to maximum his sales. For
achievement of the object, they adopt advertisement. Sales promotion includes all the activities
that are performed by a producer or by a dealer or by a businessman to increase his sales. The
main purpose of sales promotion activities is to encourage the consumer to buy a particular
product.
Definition:-
“Sales promotion encompasses the entire tool in the marketing mix whose major role is
persuasive communication.”
PHILIP KOTLER
“Sales promotion means any steps that are takes for the purpose obtaining or increasing sales”.
A.H. R. DELENS
“Sales promotion includes all these activities (except advertising, publicity and personal selling)
which attract both the attributers towards goods and services of the enterprise”.
Sales promotion dose not includes advertising, personal selling and publicity. Sales promotion
helps in selling and it makes advertisement and personal selling easy and effective Sales
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promotions encourages dealers and distributors to sell the product. Sales promotion encourages
consumers also to by the product.
The marketer must make some additional decision to define the full promotion program. How
much incentive to offer? Who can particular? How to advertise sales promotion? How long
should last? When it should start? How much to budget?
INCENTIVE:-
Incentives might be offer only to those who turn in box top. Sweepstakes might not be offered in
certain states or to families of company personal or to person under a certain age.
The marketer must decide how to promote and distribute the promotion program. A fifteen cent
of coupon could be distributed in the packaged, store, mail and advertising media. Each
distribution methods involve a different level of reach and cost.
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DURATION OF PROMOTION:-
If the sales promotion period is too short, many prospects will not be able to take advantage
since they may not be repurchasing at the time. If the promotion turns too long the deal will lose
some of its “act now” force according to one researcher the optimal frequency that about there
week per quarter and optimal duration is the length of the coverage purchase cycle.
TIMING OF PROMOTION:-
Brand manager need to develop calendars date for the promotion. The date will be used by
production, sales and distribution. Some unplanned promotion will also be need and require co-
operation on short notice.
The marketer can be developed total sales promotion budget in two ways. The marketer can
choose the promotion and estimate their total cost. The most common way is to take a
conventional percentage of use for sales promotion. Lack of consideration is cost effectiveness.
Use of simple decision rules such as extension of last year’s spending percentage of expected
sales maintain of fixed ratio of advertisement. Advertisement and sales promotion budgets being
prepared independently.
PRE-TESTING:-
Sales promotion tools should be pre-tested when possible to determine, if they are appropriate
and of the right incentive size.
IMPLEMENTING:-
Companies should established implementation plan for each promotion covering lead time and
sell of time. “Sell of time” is the time necessary to prepare the time beings with the launches and
ends when the deals close.
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There are three main specific advantage of promotion
• To communicate
• To convince
• To compete
Communication is the basis of all marketing in fact. It involves much in addition to the
stimulation sales, more over and most marketing communications are promotional. It is not
enough nearly to communicate ideas must be convincing, so that action would follow. In other
word distribution of information should be capable of producing marketing result. Promotion is
the mode of communication adopted by business community for achieving specific objective.
According to the view point of seller such communication may become necessary to modify
consumer behaviors and thought. Thus, the objective of promotion is under to provide
information to prospective customer about the availability, features and used product. To
stimulate demand by creating awareness and interest among customers. To differentiate product
from competitive products by creating brand loyalty. To established sales by highlighting the
utility of the product. It is a source of education to the customers.
The overall annual budget for branding and advertising is decided by the managing director of
the company and then the overall budget is divided RMO wise. Finally at the RMO level the
approved budget for that RMO is divided for each dump falling under that RMO.While dividing
the dump wise budget following criteria’s are taken into account: Total geog Jaypee cement in
that area.
Wall / shop Painting:- In this mode a wall or shop at a suitable visible location is selected and
painted with the logo and punch line of Jaypee Cement.
Flex Hoardings:- It is also an effective tool of brand promotion. Flex Hoardings are of large
size. These boards can have single sided visibility as well as double sided visibility depending
upon the space where it has been put up.
Stockiest Meet:- A stockiest meet is approved for each AMO during a financial year. It also
includes family meet where every authorized stockiest come Along with his spouse. In these
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meetings a corporate CD is shown to the stockiest who tells about the past, present and future
plans of one camp any quality of one cement and prevailing and upcoming schemes of the
company. The food is also served along with it gifts are also distributes.
Sub Dealer Meet:- The activities in these meetings are generally the same as in stockiest meet.
Those sub dealers / consignee who are having more than 30MT average monthly sale are invited
in these meets.
Technical Meet:- In these types of meet engineers and contractors are invited. These are
interactive meets where the engineers of one company tells about the technical and quality
aspects of one cement and the views and the opinions of the invited engineers are taken as the
feedback.
Architect Meet:- In this meet architects are invited. The activities are the same as the technical
meet.
Mason contact programmed (MCP):- In these type of meets aim is to create brand awareness
and loyalty at the grass root level itself as most of the end customers sack the mason’s advise
before buying a particular brand of cement. So in these meets masons are invited and briefed
about the using of cement i.e. the ratio of cement and the mixture. Prevision for snacks and gifts
is also made.
Maha Mason Contact Programme (MMCP):- The basic objective of MMCP is same as the
MCP but this is organized at a large scale. 200 Masons are invited and the activities are same as
that of MCP.
Audio Visual Programme (AVP):- Venue of AVP can be dealers point, Market place and other
strategic location. A company’s open van Casio a projector and screen on which the company’s
adds are shown. In between film songs are also played to attract the views.
Flex Dealer Board:- These are provided to each and every authorized stockiest. These boards
are help full in dealing priority one stockiest from the stockiest of other brands. These boards
should be placed in front area of the shop from where it has maximum visibility.
Retailer / Consignee Boards:- The basic purpose of these boards are same as flex dealer board
but these boards are given only to these consignee for whom the concerned field officer has
recommended.
Glow Shine Boards:- These boards are given only to JAP members. GSB has a very good
visibility and effect in night homes also.
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Local Press Advertisement:- In this mode the advertisement of one company related to prees
media coverage is printed through news papers. It is the most effective tool as It’s reach is large.
Television Advertisements:- This is the most effective but costly mode of brand promotion. It
has the maximum reach and it’s the only mode to reach the national as well as the international
land.
Railway Station Activities:- Under this mode the platform of railway station is used as effective
medium for brand promotion. The railway platform utilized for placing hoardings kiosks and
GSB’s by means of which the brand awareness is done.
Other Activities:- Other activities includes tree garden, JAP member meets, Film show,
Sponsorship Festival functions etc.
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RESEARCH AND METHODOLOGY
During our field survey we find out the supply of jaypee cement is
gradually increasing day by day with the help of advertisement and to
make better relation among to our consignee. Their consignee demand is
fulfill properly they are satisfied with the company supply system and
demand increase day by day. We saw their advertised in different-2
place that advertisement of the company plays dominant role in
enhancing in business of the company.
The company has adopted very proper method of advertising such as
wall writing and painting in different places. Through this method
people are aware about the jaypee cement performance. The people are
show attractive about the performance of jaypee cement that they have
become interested in using this cement because it’s anti crack cement
quality.
jaypee cement has achieved everbonding,unflenching and incredible
(attut,ading, attulya) status among the jaypee cement consumer. As per
the field survey the company has captured 16.86% UP cement market
.we also found that the other competitors ACC, Mycem, Gujrat ambuja
etc their credit and reputation is decreasing day by day .
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We also find out that these suppliers of different brand of cement losing
their faith among cement user due to adulteration which is being done by
dealer.
LIMITATIONS OF STUDY
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other brand therefore the supply chain need proper
hilling attention.
CONCLUSION
RECOMMENDATION
MARKET SURVEY
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The conclusion to which I have reached is that the cement market o Kanpur area is
dominated by ACC cement and the rest player like J P ,Prism Birla gold etc. are
enjoying more or less the same position .
The ACC with its instant and timely delivery of cement is the no.1 choice of
dealers and consignees. Whereas talking about our product i.e. jaypee cement the
main problem that is being faced is the non availability of the stocks and late
delivery of the already booked order .
The price difference between the jaypee and Acc cement is more or less of Rs.5-6
both either in wholesale or retail. Probably the thing is that our company has
recently focused on new plants for more production. New plants are being set up
which in long run will give a huge supply and the non availability problem which
is being faced be no longer a problem.
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Analysis:- Most of the retailer are having more than two brand.
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Analysis:- According to the sales most of retailer used ACC Cement.
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Analysis:- Potentiality of ACC cement is more in comparison to its competitors.
Analysis:- According to the graph ACC cement is having more demand in Kanpur
area.
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PRIORITY GIVEN TO DEAL WITH A CEMENT BRAND?
Analysis:-According to the graph most of the retailer gives the priority to the
performance of the product.
Analysis:-According to the survey appx. 1000-1500 bags were sold out in a month.
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HOW MUCH SALE OF JAYPEE CEMENT IN A MONTH?
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MARKET SHARE OF JAYPEE CEMENT AT KANPUR.
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BIBLIOGRAPHY:-
BOOKS
INTERNET
www.jal.com
www.google.com
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