product life cycle level of godrej chotukool
1 . Introduction: This kind of stage can be characterised by simply Low competition, efforts to educate consumers regarding the product, tests and free of charge samples. 2 . Growth: This stage is definitely characterised by mass promotions and attempts to distinguish the product as a result of competitors. 3. Maturity: In this level, firms concentrate on finding new target portions and creating value upgrades. 4. Decrease: In this level, the product class mostly dead due to solid competitors or obsolete technology. Firms concentrate on sales promotion, tie ups or move on to emerging market segments.
Godrej Chotukool currently lies in it is introduction level.
According to Godrej Home appliances Vice-President (Corporate Development) G Sunderraman, the organization is currently focussing on:
1 ) Educating the modern end users, training the intermediaries and building the distribution infrastructure.
2 . Communicating a definite value idea to the emerging consumers is also a challenge.
several. For Chotukool, the Godrej group has junked the regular model of a proprietary funnel with a salesforce and a distributor-dealer string and has joined hands with micro-finance institutions.
four. Chotukool needs demonstration and education which in turn doesn’t happen in the trade, so Godrej was unwilling to use traditional trade channels.
The corporation has entered into a marketing tie-up with the India Post (Maharashtra Circle) to leverage the vast reach of the second option in terms of range of offices and manpower to enhance sales of ‘ChotuKool’. The India Post team will not only generate sales leads, but will likewise book instructions and collect payment from customers. For physical delivery of ChotuKools at client’s doorsteps, Godrej uses Share Parcel Content Service.
five. Apart from this, Godrej also entails village young ladies in selling the products at a commission of Rs a hundred and fifty per item sold (something that the organization claims will reduce the distribution and promoting costs simply by 40 every cent).
For Chotukool, the Godrej group has junked the traditional type of a exclusive channel with a sales force and a distributor-dealer chain and has joined hands with micro-finance establishments.
This new division ecosystem is merely one of the one of a kind experiments that Godrej is attempting out to produce a little in the bottom of the pyramid refrigerator market. There are many even more.
But the very clear winner is definitely its cost. In Rs 3, 250, it costs nearly 35 percent less than the lowest priced category of wine bottle coolers available in the market today. Apart from involving small town girls to offer the products in a commission of Rs 150 per product sold (something which the company says will reduce the distribution and marketing costs by 40 per cent), Godrej has gone in for a number of engineering innovations to keep the purchase price low. The type is small , and the number of parts in Chotukool has been reduced to just twenty instead of 2 hundred that get into regular freezers.
References:
1 . http://articles.economictimes.indiatimes.com/2011-05-22/news/29571277_1_rural-markets-godrej-appliances-infrastructure
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