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LONDON SCHOOL OF COMMERCE COLOMBO CAMPUS SRI LANKA MBA FOR EXECUTIVES

MODULE ASSIGNMENT: ASSIGNMENT: Marketing Marketin g Manageent Manage ent

St!"ent Nae

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M%& Ni+!%-a Ga++age

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Executive Summary Harischandra is a seventy years renowned brand name for the natural and nutritious products. The profit generated for year 2014 is hundred and seventy two million seven hundred and twenty seven rupees. Furthermore, the company is dealing with products such as soaps, coffee, noodles, gingelly rolls, coconut vinegar, instant products, flour, papadam, picles and ithul tricle. The  products and product range is basically stic in to the identity of !ri "anan culture.#urrently, culture.#urrently, Harischandra is the maret leader for noodles, coffee, uraan flour, ulundu flour and has a satisfactory maret share for rice flour, laundry soap and blue washing soap$%nnual &eport, 2014 ,p '(.)n this report the fuel and a nd lubricant products are not consider in to the account which  belongs to Harischndra*ills distribution distribution "td.  +oodles are very popular product among the ids in !ri "ana. ut more than Harischandra, *aggie and -rima havegain more attraction of youth and woring people because of its shape, sie, and physical structure and pacs sie. #onsidering the time factor, mothers coo instant noodles which have mini pacs for their children to eat in the school. However, busy people are also going for competitor/s noodles products to save their time. hen considering about current situation, people are paying more attention on the healthy and fast coo products due to their busy bus y life styles. Therefore, it is a solution to introduce instant rice noodles which completes the balance diet reuirements and suits to busy life styles. Further, Harischandra has good reputation of giving natural and nutrition food products over the seven decades of period and also most of the competitors are manufacturing the wheat flour nood les and it is a deviation to !ri ! ri "anan life style. !ri "anan/s are used to have rice and curry for all three meals. Hence, developing a product which suits to customer epectation would h elp to capture high maret share by targeting people who have busy life styles including university students and health co nscious people. oring oring women are targeted as mother will select the foods for their children and other family members. %dditionally, the pacaging sies are plann ed to be changed to the scale of one person, two people, four people and si people. The mareting campaign is proposed to develop based on cricet and select 3umar !angaara as a popular cricet star to do the promotions campaign. ther than that, scratch and win offers, *oney bac offers and !ponsor for for school ui and inter school school cricet matches can mae the 1

Executive Summary Harischandra is a seventy years renowned brand name for the natural and nutritious products. The profit generated for year 2014 is hundred and seventy two million seven hundred and twenty seven rupees. Furthermore, the company is dealing with products such as soaps, coffee, noodles, gingelly rolls, coconut vinegar, instant products, flour, papadam, picles and ithul tricle. The  products and product range is basically stic in to the identity of !ri "anan culture.#urrently, culture.#urrently, Harischandra is the maret leader for noodles, coffee, uraan flour, ulundu flour and has a satisfactory maret share for rice flour, laundry soap and blue washing soap$%nnual &eport, 2014 ,p '(.)n this report the fuel and a nd lubricant products are not consider in to the account which  belongs to Harischndra*ills distribution distribution "td.  +oodles are very popular product among the ids in !ri "ana. ut more than Harischandra, *aggie and -rima havegain more attraction of youth and woring people because of its shape, sie, and physical structure and pacs sie. #onsidering the time factor, mothers coo instant noodles which have mini pacs for their children to eat in the school. However, busy people are also going for competitor/s noodles products to save their time. hen considering about current situation, people are paying more attention on the healthy and fast coo products due to their busy bus y life styles. Therefore, it is a solution to introduce instant rice noodles which completes the balance diet reuirements and suits to busy life styles. Further, Harischandra has good reputation of giving natural and nutrition food products over the seven decades of period and also most of the competitors are manufacturing the wheat flour nood les and it is a deviation to !ri ! ri "anan life style. !ri "anan/s are used to have rice and curry for all three meals. Hence, developing a product which suits to customer epectation would h elp to capture high maret share by targeting people who have busy life styles including university students and health co nscious people. oring oring women are targeted as mother will select the foods for their children and other family members. %dditionally, the pacaging sies are plann ed to be changed to the scale of one person, two people, four people and si people. The mareting campaign is proposed to develop based on cricet and select 3umar !angaara as a popular cricet star to do the promotions campaign. ther than that, scratch and win offers, *oney bac offers and !ponsor for for school ui and inter school school cricet matches can mae the 1

awareness of the product. The targeted segment is less price sensitive to obtain the uality  product which suits to their busy life styles. styles. Therefore, 5premium6 is the pricing strategy which creates company to provide different pricing strategies.Harischandra +oodles products are easily can find in traditional groceries and supermarets. The estimated budget for the implementation is three million million rupees. The epectation is to achieve twenty twenty five percent of maret share for the  product within three years of launch.

2

Table of Contents No.

Title

Page No.

1.0 )ntroduction................................................................................................................................' 2.0 !ituational %nalysis...................................................................................................................7 2.1 )nternal 8nvironment.............................................................................................................7 2.2 8ternal 8nvironment............................................................................................................9 2.:. !T %nalysis..................................................................................................................1: 2.4 *areting opportunity.........................................................................................................14 :.0 *areting b;ectives...............................................................................................................1' 4.0. *areting !trategy.................................................................................................................1' 4.1 *aret !egmentation...........................................................................................................1' 4.2. Target *aret......................................................................................................................17 4.:.
List Of Tables No.

Title

Page No.

Table 2.1?arriers to entry...............................................................................................................4 Table 2.2?&ivalries for products.......................................................................................................7 Table 4.1? *aret !egmentation@@@@@@@@@@@@@@@@@@@@@@@@@17 Table 7.1? *areting %ction -lan@@@@@@@@@@@@@@@@@@@@@@@@..24

:

List Of Figures No.

Title

Page No.

Figure 2.1? -roduct "ife #ycle(otha, 2012(..................................................................................= Figure '.? -roduct "ife #ycle@@@@@@@@@@@@@@@@@@@@@@@@@...19 Figure '.2?Aistribution channel for Harischandra noodles@@@@@@@@@@@@@@@20 Figure '.:? -roduct %dvertisement@@@@@@@@@@@@@@@@@@@@@@@@2: Figure 7.1?*areting udget@@@@@@@@@@@@@@@@@@@@@@@@@.@24

4

1. !ntro"uction 5Harischandra6 name was born over seventy years ago at the down south area as a house hold  brand name. )t is a renowned name for the natural and nutritious products over seven decades in customers/ mind. The profit generated for year 2014 is hundred and seventy two million seven hundred and twenty seven rupees. Furthermore, the company is dealing with products such as soaps, coffee, noodles, gingerly rolls, coconut vinegar, instant products, flour, papadam, picles and ithul tricle. The products and product range is basically stic in to the identity of !ri "anan culture. #urrently, the company is the maret leader for noodles, coffee, uraan flour, ulundu flour and has a satisfactory maret share for rice flour, laundry soap and blue washing soap $%nnual &eport, 2014,p '(. )n this report the fuel and lubricant products are not considered in to the account which belongs to Harischandra *ills distribution "td. hen considering about the buying behavior of customers, it shows that most of the young  people and young adults are not much aware with the Harischandra product range. ecause all the mareting tools, identity of the product and product range is basically focuses on adults. Therefore, introduce a product which is targeting the teenagers and young people would mae more profits to the organiation. These days/ people are paying more attention on the healthy and fast coo products due to their busy life styles. Therefore, introducing instant rice noodles which completes the balance diet reuirements and suits to busy life style is an opportunity for  Harischandra, because of their good reputation of giving natural and nutrition food products over  the seven decades of period. Furthermore, most of the noodles manufacturers are dealing with the wheat flour but !ri "anan culture has designed to eat rice for all three meals. Hence, Harischandra products can get the opportunity of providing instant rice noodles which suits to !ri "anan culture.

'

#. Situational $nalysis !ituational analysis will critically review 5where are we now6 and the analysis will identify the company/s strengths weanesses, eternal opportunities and threats $
#B matri will categorie the company/s product reuirements in terms of impending cash reuirements and cash ependiture reuirements. #B *atri 'aret s)are

+ig)

+ig)

Lo*

Stars

,uestion mars

#ofee

-icles

Flour 

-apadam

 +oodles

3ithultreacle )nstant products !oaps

Lo*

Cas) co*s

-ogs

#oconut vinegar Bingelly &olls

'aret gro*t)

7

)n the short term basis coffee, flour, instant products and +oodles reuire a capital ependiture to maintain the maret position, but these products can generate high returns in the future. Harischandra is the only uraan flour manufacturer in !ri "ana. ith the time Cstars/ will  become Ccash cows/ and Ccash cows/ can be used to finance the Cstarts/. -icles, papadam and ithul treacle are in the category of uestion mars. The instant products have the issue of competition among the rivals and they step down because of the easiness of the competitor/s product. Dnder the instant products Harischandra is providing string hopper flour  $red, white( and it should mied with the hot water and the competitors product should mi with the normal water. Hence, customers are more prefer with the competitors product. *oreover, the  product should develop to compete or should allow dying. #oconut vinegar, gingelly rolls and soaps are in the category of dogs. Harischandra is providing handmade gingelly rolls provided only to own two outlets and supermarets only. Therefore, sales are not at a considerable level. Pro"uct life cycle

=

Figure 2.1? -roduct "ife #ycle(otha, 2012( The #ompany is introduced in the year of 1>4: with the initial capital of twenty five thousand rupees. The activities conducted in the company was milling of rice, uraan and other grains. )nitial sales are used to epand the business by adding new premises and euipment. Browth stage has started in the year 1>'2 by epanding into various fields including the milling of coconut oil. !ales has been increased rapidly when the brand name get popular among the early ma;ority. )n this stage company has generated the improvement of profit development. )n year 1>9:, company has started to position in the maturity stage and in the same year it has listed in the #olombo stoc echange. #urrently, Harischandra mills -"# is in its stage of  maturity for long span of time period. %dditionally, the company is the maret leader for  noodles, coffee, uraan flour, ulundu flour and has a satisfactory maret share for rice flour, laundry soap and blue washing soap. #.# External Environment Porters five forces

arriers to entry 8ntry barrier is not so high, when it consider as individual product such as soaps, coffee, noodles, gingelly rolls, coconut vinegar, instant products, flour, papadam, picles and ithul

9

tricle. There are no special rules and regulations for the entry in to these marets. There is a high level of threat from new entrance of multinational companies. Table 2.1?arriers to entry Pro"uct

%arriers to entry

/eason

!oaps

*edium

The machines and considerable level of capital is reuired.

#offee

*edium

)t needs considerable capital to run in large scale. ut still enough suppliers can find to start a business.

 +oodles

*edium

)t needs capital to invest for machines and staff.

Bingelly rolls

low

!mall scale, selfEemployed people are highly engage with this business.

#oconut vinegar

low

%s a selfEemployment, homemade coconut vinegar is prepared and can start with a less capital.

)nstant products

*edium

#onsiderable capital is reuired for machines and staff.

Flour

*edium

#onsiderable capital is reuired for machines.

-apadam

low


-icles

low

%s a selfEemployment, homemade picles are prepared and very less capital is reuired.

3ithul tricle

*edium

!uppliers are less compared to other  product items.

argaining power of suppliers is high for products such as coffee, gingelly rolls, coconut  products, instant products, flour, and ithul tricle. The reason for the high demanding of  >

supplier is because of the low barriers to entry. Furthermore, because of the rivalry in the maret suppliers has more bargaining power. The threat from substitute is different for different products and for some of the products have no substitutes that eists. )n the current scenario the products such as soaps are more consumed by the adults, because of the influence of substitute such as face washes and body scrubs are more consumed by young people. !ri "anans basically use tea as a substitute for coffee and in some of the situations soft drins also count to the account as a substitute. Furthermore, +estea and  +escafe are playing a prominent role in the maret as a substitute for coffee. !ri "anan/s  basically depend on rice for all three meals but for the breafast and special occasions, people are more practiced in to use noodles or instant products which can use to mae string hoppers, hoppers, ulundu wade and thosei. Bingelly rolls are considered as a traditional sweetmeat for !ri "anans and sweetmeats lie mil toffee and pol toffee are playing the role of the substitute. ee honey and pol paney $coconut honey( are the !ri "anan substitute for 3ithul tricle. argaining power of customers is high for the products such as soaps, coffee, noodles, Bingelly rolls and picles. #ustomers have the variety of imported and local brands to select the most  prominent and suitable product to consume. The main supplier for the final customer is retail super marets chains such as #argill/s food city, %rpico super centers and eels super marets. The rivalries among eisting firms are become strong in the p oint of individual product wise. Table 2.2?&ivalries for products !oaps

Hemas manufacturing $-vt.( "td., Dnilever !ri "ana,
10

#offee

+estle &aigam

"ana *areting

-"#,

!ervices

$-vt.(

"td.,

Dnilever liptonceylon ltd, Hansa #eyloncoffee $-vt.( "td., ayay mareting services $-vt.( "td, )sland coffee $-vt( "td.  +oodles

+estlG

"ana

*A3

Food

-roduct

-"#, $-vt(

"td.,

-rima #eylon "imited, Aelmege Forsyth  #o. "td., &aigam *areting !ervices $-vt.( "td.,

Bingelly rolls

 +iado

Broup

Bingally

rollsE

of

#ompanies.

Harischandra

*ills

-"#,!amagi product, &isirasa sweets, Dma thalaarali #oconut vinegar

Thambapanni#ocos

$-v.t(

"td.,

#)#%gri

-roduce 8p. $-vt.( "td., "ana #anneries "td., #. A. de silva and sons -vt "td. )nstant products

-rima

#eylon

"imited,

%igam*areting

!ervices $-vt.( "td., #argills $#eylon( -"#, Aelmage Forsyth  #o. "td., 8ast west foods, ayay mareting services$-vt.( "td., -lenty foods

Flour

$-vt.(

"td.

"ana #anneries "td., -rima #eylon "imited, &aigam *areting !ervices $-vt.( "td., *A3  food products $-vt.( "td.,%llicompany $-vt.( "td., !erendib flour mills $-vt.( "td., *# tit associates, #onvenience foods "ana $-vt.( "td. 11

-apadam

8lephant papadam co. $-vt.( "td., +iado Broup of #ompanies, %lli company $-vt.( "td., ayaymareting

-icles

services

$-vt.(

"td

Food $-vt.( "td, 8nrich Tea  Food 8ports $-vt.(

"td.,"ana

#anneries

"td.,


8nrich Tea  Food 8ports $-vt.( "td., "ana #anneries

"td.,#argills

$#eylon(

-"#,8dinborough products $-vt( "td., #" canneries $-vt.( "td., #eylon ithul institute $-vt.( "td. PESTEL $nalysis

The political scenario of !ri "ana is going through some changes and after the period of post war in !ri "ana. ecause of the power obtained by the political parties, politicians are interfering with the businesses in order to change the policies or to stop the operations. -olitically, ecological and environmental issues are impact to the mills which produce the coffee and flour. ther than that, Harischandra soap manufacturing factories also have the impact of  that. ut when compared with the other entities in the country it is a very less amount of  influence that effects to the Harischandra mills plc. The 8conomic factors are basically consisting with the income level of !ri "ana is growing fast and the country is having a growing BA- from year to year. )n the year 2012 country has a 7.:  percent BA- growth rate and 201: it has a =.: percent growth rate $#entral an of !ri "ana 2014, p1(. Furthermore, in the year 2014 there is a 4.4 -ercent unemployment rate in the country.

12

%s a social factor, !ri "ana has a high literacy rate which is >'.7 percent and 0.9 percent  population has increase during the period of 2012 to 201:. The life epectancy rate of the country is =' years which is close figure to the developed countries/ life epectancy span. #ountry has ':.9 percent total active participate labour force and uality of life style is increasing as the purchasing power is also increasing. -overty head count ratio is 12.9 percent and '0.2 percent of the total poor population in !ri "ana is less than 2' years of age $Aepartment of #ensus and statics 200>I2010( #urrently, the environmental factors have high impact on organiational actions. The importance of environmental policies is increasing and the sustainability practice has created the value inside the entity. 5Harischandra mills -"# is ;oined with the business and biodiversity platform to contribute to the conservation of bio diversity and natural resources of !ri "ana6 $Harischandra mills -"#, 201'(. The technology is a really important factor which leads the development of the products. )n Harischandra mills -"#, in every five years they change their vehicles and not only that, all the uality assurance and uality control people loo for the technological aspects of the business. *oreover, Huge amount has invested to eep upgrade the technological level in the business. %dditionally, all the machines are eep upgrading and they tae steps to train the staff with new euipment and machines. However, the amount and the commitment used for the research and development are not at a satisfactory level. %ll the manufacturing wors are conducted in the *atara district and now it/s not an issue of not locating in the capital of !ri "ana because southern highway is completely finished with its wor and transportation is not a big issue. "egal conditions have a high influence on the organiation/s operational scenario for the long term basis. !ri "ana has a very comple legal system which is highly mied with the several law systems. )n the recent period of time !ri "ana has many significant changes in its legal system which effect to the organiation/s behavior. %fter the introduction of legislations related to increase in minimum wages, age and disability discrimination, a greater reuirements for  firms to recycle are directly impacts to the organiation/s operating process $!cribd , 201'( Furthermore, under the !ri "anan labour law it has clearly specify the age limits , woring hours , prohibition of child labour and industrial safety. These legislations have more impact with legal factors in the operations of Harischandra mills -"#. 1:

#.0. SOT $nalysis

Harischandra is a pioneer brand name of !ri "ana over the seven decades of time period. !ale of food products has increased by 1.' percent and operations profit has increased by '' percent comparing to lower input cost. !oap sales have increased by 1=.9 percent and that has resulted to :.= million rupees of profit. The emotional relationship with the customer for providing natural and nutrition products with the !ri "anan identity is a positive factor to company. #ustomer  loyalty for the brand is directly bonded with the emotional factors which provide the brand loyalty. *oreover, the countryEwide strong distribution channel is wor as strength to the company. %ll the products are uniue to the organiation and wide product range such as soaps, instant products $string hoppers, uraan thosai mi, hopper mi, thosai mi(, coffee, Flour  $rice flour, ulunduflour,uraan flour( , +oodles , -apdam, picles, gingelly rolls, ithul tricle and coconut vinegar maes customer more convenient to stay with Harischandra name. rganiation runs without a single loan issued from a ban or financial institute. %ll the premises vehicles, machines and staff is completely operate through cash in hand concept. Therefore, the ris occurs from liabilities are very low. ther than that artificial preservatives and flavors are not added to the products, that to provide the natural uality. Harischandra is not providing strong mareting campaigns which targets to youth of the society. The basic advertising campaigns are conducted by neglecting the youth in the society and that will negatively impact to the products lie noodles and coffee. *ost of the product features are remaining constant from the introduction stage of the product life cycle. The products only have limited number of scales which can lead negative impact to the organiation in a long term  period. The paid attention for product development is not satisfied with the identity of the organiation. hen consider about the current trends and situation of the country, there is indeed opportunity for Harischandra to introduce new products and enter to new maret which influenced by international trade. The new segments lie ids, youth and woring women are available for  Harischndra to go for repositioning or launching of a new product. The trend of having convenience food level is going upwards due to the busy life style of the people. *oreover,  people are looing for healthy products which fulfill the natural and nutrition reuirements. Dneploited rural maret is available for Harischandra to introduce their name and product 14

range. The level of country/s income is increasing and that will mae positive impact on customer buying behavior. The new entry to the maret is very high from the individual product basis and it is a threat to the organiation. *oreover, well nown international products are also entering to the maret and create highly competitive maret condition for some of the products such as, noodles, coffee and flour. The high end mareting campaigns organied by competitors such as *aggie, -rima and  +escafe is a threat to the organiation in long term process. %dditionally, the changes in the government will introduce the new rules and will mae the amendments to the eisting rules and regulation will mae organiation to change its policies. #.2 'areting o33ortunity

Foods come with noodles category are very popular product among the ids in !ri "ana. ut more than Harischandra, *aggie and -rima has more youth attraction because of its shape, sie, and physical structure and pacs sie. These days/ people are paying more attention on the healthy and fast coo products due to their busy life styles. Therefore, introducing instant rice noodles which completes the balance diet reuirements and suits to busy life style is an opportunity for Harischandra, because of their good reputation of giving natural and nutrition food products over the seven decades of period. Furthermore, most of the noodles manufactures are dealing with the wheat flour but !ri "anan culture has designed to eat rice for all three meals. Hence, Harischandra meals can get the opportunity of providing instant rice noodles which suits to !ri "ana.

0. 'areting Ob4ectives *areting ob;ective reveals what the business wants to achieve from its mareting actions. )t/s important to obtained mareting ob;ectives to support the overall business ob;ectives. • • • • •

To increase company sales by 20J by 2017. To launch instant rice noodles 201'E2017. To achieve a maret share of 2'J for instant rice noodles within three years of launch. To establish new modern trade channel during 201'I2019. To increase the percentage of customers who rate product uality is ecellent by 'J.within one year.

1'

2.. 'areting Strategy !egmentation in the mareting refers grouping various customers into segment that reflects common need or they will similarly respond to the mareting action. Furthermore, the strategy of  5dividing the group of consumers or segment in a homogeneous group6 with distinct needs and wants is called segmentation $Boyat, 2011(. %fter segmenting, business will choose the group which they want to enter. 5#ompanies must decide precisely how and where in targeted segment to aim product or products and brand or brands6. $Aibb and arwic, 200=, p.=(. %fter  conducting the targeting, positioning is conduct to develop the product image in the consumer/s mind. )n some of the cases it can also include improving customer/s to choose the product or  service. 2.1 'aret Segmentation

*aret is segmented in to age, eating habits and "ife !tyle. %ge is a factor which should consider for noodles products. asically Harischandra is providing a family pac which is suitable for main meal. ut after considering the busy life style of different age groups, the sie of the pacage, product appearance and flavor should be changed. %dditionally, according to the eating habits and life style of the people , cooing time, flavor, ingredients and pac sie has to  be varied. 2.#. Target 'aret

-rimary target maret is people who have busy life styles including, woring people, and university students. ther than that Kouth and ids are also targeted because ids and youth are more convenient of eating instant products than eating rice and curry for all three meals. oring women are giving their priority for time saving and healthy products due to their busy life styles. Therefore, their children and other family members have to go for her choice. 'aret -emogra3)ics

&egion L Drban, !emi Drban, &ural ccupationE oring -rofessionals, Dniversity !tudents, !elfEemployed, House ives !e LDnise )ncome L M =0,000 per annum 17

!ocial classE *iddle and upwards %e)avioral

ccasions L&egular, 8very dayE user urban, &ural depends on the temporal aspects of the consumer/s life, $varied usage in terms of time of time day, wee, month, and year(. Table 4.1? *aret !egmentation Segmentation

Targeting

Positioning

%ge

-eople who have busy life styles

8asy to coo

8ating Habit

Health conscious people

Two minutes rice noodles

"ife !tyle

Taste Health #omplete balance diet

2.0. 5alue 3ro3osition

Harischandra is the pioneer of providing the rice noodles which gives with natural uality. ith this newly introducing instant rice noodle will save the time by fast cooing $2 minutes(. Furthermore, for the first time, Harischandra is providing the noodles with a sauce maer. %ll the ingredients, included in the sauce maer consist with natural uality and it includes reuired nutrition for the complete balance diet with the rice noodles. Further, *!B $*onosodium Blutamate( is not included in the Harischandra noodles products and the wa, coated on the other instant noodles products has not coated on the Harischandra noodles. Hence, after boiling, this new rice noodles can eat with a single curry as string hoppers. The boiled noodles will give the closer feeling of eating string hoppers. The product is basically designed by considering the life style and the taste of the !ri "anan people. *oreover, noodles are coming with different scale of pacsie which is sufficient for one person, two people, four   people and si people. ith this new product, Harischandra has entered to different scale pac  sie for noodles which suits to busy life styles. This newly introduce noodles has the product uality which gives minimum negative effects to health.

6.. 'areting 'ix *areting mi is the different choices that organiation has to introduce their product or services to the maret. %ccording to 3ottler,et al. $2009(, has described mareting mi is a set of tools that use to create a proffered response from targeted maret. 1=

6.1. Pro"uct

This introducing noodle is developed to enhance the healthy conditions for the people who have  busy life styles. This noodles is comes under the instant noodles group but with the positive health conditions.

Pro"uct Life Cycle

Figure '.2? -roduct "ife #ycle $*aiE-edia, 2012(

Aevelopment stage is the most important stage which needs to develop the product with the current reuirement of the customer. nly the fulfillment of the reuired features will lead  product to the introductory stage. $&efer the pg 1' for product features( )ntroduction stage %fter conducting the development process for the Harischandra instant rice noodles, the introduction of the noodles is planning to launch in the year 2017. This is the most important 19

stage which needs to promote the product initially. %ccording to the schedule in the year 2017 the product should launch by targeting the ids, youth and woring women. Browth stage -roduct will start to grow and it needs large amount of money to spend for the advertisement. %t this stage it/s highly reuired to spend the money to mae Harischandra instant noodles as a household name in !ri "ana. *aturity stage This stage is comes after passing the introductory and growth stage. Benerally product will have high life span in this stage. )n this stage it/s possible to get great deal of competition in the maret by entering the international products such as Top &amen which has large maret share in )ndian maret. Features

This new product consists with easy to coo concept which taes ten minutes to coo and comes with a sauce maer inside the pac. Furthermore, •

)t should be made with red rice and white rice.

•

)t should be made to full fill the complete balance diet reuirements.

•

Taste of the sauce maer could be made to change by adding vegetable, fish, chicen and cheese on the preference of consumer.

•

nly two minutes will tae to coo the noodles.

•

!ource maer should be made to *!B free E*onosodium Blutamate.

•

%ny ind of wa should not coat on the noodles.

Pacaging •

The noodles pacet should be come up with 94g pac for one person, 1'9 g pac for two  people, :09g pac for four people and 420g for si people. 1>

•

The colour of the pacaging should be changed.

6.#. Price

The ob;ective of launching the instant pasta is to achieve the high product uality with the !ri "anan identity. The targeted segment is fewer prices sensitive to obtain the uality product which suits to their busy life styles. Therefore, premium is the pricing strategy which creates company to provide different pricing strategies. )n the current situation, the comparison of the price can do with the competitors such as *aggie,  +iado, -rima, *A3 and &aigam. &aigam is providing rice noodles and but it/s not an instant noodles product. n the other hand it will not provide a complete balance diet. Therefore, comparing prices among competitors will not give the fair balance. 8ven though, product cannot go for higher price compared to competitors because of the high competition. -rice discounts will offer for trade customers based on the policies of the organiation. 6.0. Place

Harischandra Aistribution #hannel is established in all over the !ri "ana. ut still there are some locations where the distribution channel is not established. rganiation has limited  penetration in rural areas. Harischandra +oodles products are easily available in traditional groceries and supermarets. )t should introduce single agent per city including rural areas. %dditionally, direct retailers should give the freedom to deal with a ny wholesaler 

Harischandra factory

Factory warehouse

%gent Aistributors 20

holesalers

Airect &etailers

8nd customer  Figure '.2?Aistribution channel for Harischandra noodles

6.2 Promotion

This product is targeted for people who have busy life styles such as women who are woring, young professionals and university students. %lso the people who would lie to go for instant meal, without going for complete !ri "anan meal. Suggeste" future a"vertising cam3aign

ith the introducing of instant rice noodles, it is propose to move away from Harischandra family approach. -eople lie to en;oy snacs when they are watching the cricet match. Therefore, its more prefer to get a cricet star to endorse the advertisement campaign. Television events

Harischandra 5&asamedura6 telecast on every !unday at 11.:0am which is providing innovative recipes for Harischandra products by a professionals. The program can develop by giving a chance to a customer who has most innovative recipes and can publish it as a boo. Celebrity en"orsement

-opular criceter 53umara !angaara6 can select as a celebrity for the advertising campaign T< advertisements and print media should use to introduce the product. ther than that, 21

•

!cratch and win offers

•

*oney bac offers

•

!ponsor for school ui and inter school cricet matches can mae the awareness of the  product.

We

only

ask

2

minutes for healthy life (Instant

Rice 22

Noodles Easy to coo  T*o minutes rice noo"les +ealt)y E7ual to com3lete balance "iet

Figure '.:? -roduct %dvertisement

8.. !m3lementation For the implementation first it/s reuired to do the research and development for the new product  by adding all the new features and it/s reuired to conduct a feasibility study and then focus for  maret research. ased on the results gain from the maret research the production should carry and the launching should carry out. %fterwards, the creating commercial advertisements, getting customer feedbacs, designing promotions, contribute to the sponsorships will increase the maret share of the company. Finally to give a good customer eperience trained the employees to give their maimum. The estimated budget for implementation is three million rupees.

2:

'arerting %u"get  +ews papers #onsumer magaine Trade publication

:J

>J

:J 9J

&adio Television

:J

Airect mail

=J

2J

nine promotions

2J

:J

Trade promotions *aret research

12J

Airect *arerting

21J

-ublic relations ill boards

14J >J

!ponsorships

4J

ther 

Figure 7.1?*areting udget

8.1. 'areting $ction Plan

Table 7.1?*areting %ction -lan !-

$ctivity

1

Ao

the

/es3onsible Party

research

and -roduction

development

-uration

manager, #1 -ays

development for new product

-roduction *anager 

2

#onduct a feasibility study

Finance manager  

#9 -ays

:

#arry out a maret research

*areting manager, !ales manager 

#9 -ays

24

4

-roduction

-roduction

manager,

-roduct 1 "ays

development manager 

'

"aunching the product

*areting

manager,-roduction 0 "ays

manager, sales manager 

7

#ommercial advertisements

*areting manger  

#81 "ays

=

#ustomer Feedbacs

Human &esource *anager  

#26 "ays

9

-romotions

Finance manager,*areting manager.

1#0 "ays

>

Biving !ponsorships

Finance manager,*aretingmanager.

1#0 "ays

10

Trained to give a proper   Finance manager, Human resource #26 "ays customer eperience

manager, -roduction manager 

2'

22

:.. Customer Ex3erience

This describes the overall eperience customer gets with the interaction of business entity and its  product. hen the customer is buying the product, customer should have the good impression about the surrounding. Then only customer will satisfy with the product. )n Harischandra mills -"#, there are two outlets in #olombo and *atara, where employees directly meet the final customer. Therefore, it/s essential to recruit the right candidate for the right ;ob. Further, the agents who are meeting the trade customers also should give a proper attitude and training to gain the customer satisfaction which impact to the final sales outcome because they reflect the  brand image, and they can be the source of positive word of mouth. Furthermore, in the process of handing over the product to customer, issues such as waiting time will mae negative impact on customer/s mind. Hence, building a strong system that can provide the reuired service to the

:.. Customer Ex3erience

This describes the overall eperience customer gets with the interaction of business entity and its  product. hen the customer is buying the product, customer should have the good impression about the surrounding. Then only customer will satisfy with the product. )n Harischandra mills -"#, there are two outlets in #olombo and *atara, where employees directly meet the final customer. Therefore, it/s essential to recruit the right candidate for the right ;ob. Further, the agents who are meeting the trade customers also should give a proper attitude and training to gain the customer satisfaction which impact to the final sales outcome because they reflect the  brand image, and they can be the source of positive word of mouth. Furthermore, in the process of handing over the product to customer, issues such as waiting time will mae negative impact on customer/s mind. Hence, building a strong system that can provide the reuired service to the customers and improve customer relationship management as it is an essential factor to consider. #ustomer/s satisfaction is also depends on the factors lie physical evidence that they eperienced with the employees of the company. hen there is a formal document submission, it should do in a professional manner and there is a situation where the employee has to wor in a friendly environment. 8ven the partnerships are matters in some of the circumstances. Therefore as a method give a satisfactory customer eperience, it is suitable to conduct surveys, customer  feed bacs and do the amendments based on that. $&efer the pg 11for ob;ective no.'(

2:

;.. Conclusion Harischandra *ills -"# shows the uality of the products with their !ri "anan identity. The mareting tools in the organiation are not powerful to compete with the competitors/ mareting  practice. ut most of the products are developed for the family concept and targeting the adult maret. Harischandra has not carried out an etensive study for ids and youth. Therefore, the targeting maret for product was a limited group of people. )n the same time customers have the faith on Harischandra products for their uality of natural and nutritious aspects. %dditionally, after considering all the above factors it/s proposed to develop a product which suits to the busy life style, and targeting the ids, youth, woring women, people who are adopt to busy life style and health conscious people. The product is an instant rice noodles which fulfill the complete balance diet reuirements. Further, the pacaging sies are planned to be changed to the scale of one person, two people, four people and si people. The mareting campaign is  proposed to develop based on cricet and select 3umar !angaara who is a popular cricet star  to do the promotions campaign. The epectation is to achieve twenty five percent of maret share for the product within three years of launch. ther than that, scratch and win offers, *oney  bac offers and !ponsor for school ui and inter school cricet matches can be used to mae the awareness of the product. -remium is the pricing strategy which creates company to provide different pricing strategies.Harischandra +oodles products are easily can find in traditional groceries and supermarets. The estimated budget for the implementation is three million rupees. The epectation is to achieve twenty five percent of maret share for the product within three years of launch.

24