Marketing Department

INTRODUCTION

Marketing is a societal process by which individual and group obtain what they need and want
through correcting, offering, exchanging products and service of value with others.
The aim of marketing is to know the customers who want who want to buy the product
and up to what extent he is interested in the product. The marketing Dept. however should
convince the customer to buy the product.
Without efficient marketing no company can survive. The product should be sold as fast
as possible compare to the production. Otherwise it may cause some financial problem
which may lead to certain loss. More and more amount of money get blocked in the stock
of a finished product. So the marketing should be strong to achieve the organizational
ultimate goal.

MARKETING PROCESS:-

The Marketing Process has mainly two Fashions of the Products are as Follows:-
(a) New Design:-
Some Variety of Design is launched in the Market. The Designs are Developed According
to the Trends in the Market and Prevailing Season. The Developed Design is sent to the
Prevailing Season and also the members of the Distribution Channel.

(b) Report Order:-

After the Order is placed, it is consolidated throughout the Country. The Order is carried
out according to the Capacity of the Machine. Maximum Production Capacity is kept in
Mind.

Understanding the markets:-

To increase the market share of the company it is very necessary to have the understanding
of market, it will helps the company in many ways to increase the sale of company,
profitability and in increasing markets shares.
Understanding of market includes the following:-
 The market size
 Information about customers needs, perception and customer behavior
  Information about the product (units sold and net profit per unit)
 Competitions, their size, objectives, market share, product quality and marketing
strategy.
 Distribution, scales in each distribution, relative active importance of the different
channels, price and commercial laws and reputation.

Structure of Marketing Department

General Manager

Assistant

Manager

Programmer Dispatch

Manager MANAGER

Product Mix

“A product mix is the set of all products and items a particular seller offers for sales.”
The Arti Silk Mill have also many kind of product related to POY. But the main product is
the POY. This company produces all the type of different goods according to the demand
of those goods.. The list of some product of the company is as follow:-
1. POY (partially Oriented Yarn).
2. Textured Yarn.
3. Draw Tex Yarn.
4. Full Draw Yarn.
5. Draw winder.
The Arti Silk Mill Company also has to produce many of Products in fabrics. We show the
product mix of the company, Hear show the company’s product width, Length & Depth of
the product mix.
Width:- The width of product mix refers to how many different product lines the
company carries. The Arti Silk Mill Company carried four product widths.
Length:- The length of product mix refers to the total number of items in the mix. The Arti
Silk Mill Company Carried 17 Lengths.
Depth:- The Depth of a product mix refers to how many variants are offered of each
product in the line.

The Arti Silk Mill Company has Five Depths for each product length, which are as
following: ~
 Orient.
 Sixties Grams.
 Brasso.
 French crapes.
 Kasturi.

Variety of Products:-

PRODUCTS

CHIPS SARI Marble Cheeks DRESS MATERIALS

Product life cycle:-

A company’s positioning and strategy must change as the product, market, and competitors
change over the product life cycle. To say that a product has a life cycle is to assert four
things.
1. Products have a limited life.
2. Product sales pass through distinct stages, each posing different challenges,
opportunities, and problems to the seller.
3. Profits rise and fall at different stages of the product life cycle.
Product requires different marketing, financial, manufacturing, purchasing, and human
recourse strategies in each life- cycle stage.

There are four stages of Product life cycle like:~

1) Introduction Stage: - the stage where company introduce itself in the market.
2) Growth Stage:-In this stage, a product of rapid market acceptance and substantial
profit improvement.
3) Maturity Stage: - In this stage, sales growth of product is slowdown, the product has
achieved acceptance by most potential buyers. Profits stabilize or Decline because of
increased competition.
4) Decline Stage: - sales show a downward drift and profit erode.
The Arti Silk Mill Company has suffered in the maturity Stage of the product lifecycle.
According to maturity stage position, the company’s products like Jacquard viscose pallu
material sarees, dresses etc cover large market but nowadays the customers of the company
want innovation in the company’s product. So the Arti Silk Mill Company needs to modify
its Products and it Produce Jacquard Brasso.

Competitors

Competitors mean the person who is making the product which is similar to ours. Means
that product can be a substitute for the customer. For the success of all the company they
must the knowledge about all the competitors. They always keep an eye on every
movement of the competitors.E.g. The Company says that Pepsi Company always watches
the movement of the coca-cola company. They must have to watch their competitors to
survive in the market.
 In that way the Arti Silk Mill have also its competitors. So, they have to be very careful
about their competitors. On the one side there are seven lacks small and big competitors of
the company in industry for different activities purpose situated in Surat but on the other
side there are no any competitors of the company for whole activates purpose of the
company because the company passes maturity stage in the product life cycle, in which one
of the king is the company. One of the biggest competitors is the RELINCE. There are also
other competitors, but they are small.

The Arti Silk Mill Company has two types of competitors, which are following hear: ~

1) On the basis of selling yarn:~

 Lezer Fiber Mills
 Summit Industries.
 JBF industries.
 Modern petrofils.
 Nova petrochemicals.
 Century Inka Chideepal.

2) On the basis of selling clothes: ~

 Surbhi textile.
 Laxmipati textile.
 Sayba textile.
 Parag Textile.

So we can say that there no competitors of the company for whole activities like
producing yarn, fabrics etc, but seven lakes competitors for different activates.

COMPARITION OF 4 P’S WITH COMPETITORS

Four products of the company are given below:-
(1)Product
(2) Price
(3) Place
(4) Promotion
The Whole Company is Greatly Depends upon those 4 P’s. The main Product of the Arti
Silk Mill is Polyester Yarn which is the Raw Material for Production of the Fabrics.

Products
Product is a main part of the Company. The Product must satisfy the needs of its
Consumer. Arti Silk Mill Produce Polyester Yarn which is an Industrial Product. The
Company makes the Product as per the needs of its Consumer. So many Competitors in the
market but the Strong Competitor of the “Arti Silk Mill” is “Reliance “, which Produces
the same Product.

Price
Price Shows the Value of the Company’s Product. Every Company’s Product Price is
Depends on the Consumer Demand. When We Compare to the both Company in a Pricing
level then we can say that Price of the Arti Silk Mill Company is less than then the
RELIANCE Company. These Two Competitors Play a Significant Role in the Market
According to their Price of Their Price of Products.

PLACE
Physically Distribution is the Delivery Products at the Right Time and at the Right
Place. The company has Selected Different -Different Place for the Different- Different
Department to sell its products like The Marketing Department is in “SURAT”, because
there is a High Demand of Yarn in “SURAT” as it is known as “TEXTILE CITY”. The
Production Department is in Karanj, Kim and The Sales Department is in Surat. The
Company also sells its Product to the Foreign Countries.

PROMOTION
The Firm also must undertake Promotion Work likes Advertising, Publicity and
Personal Selling etc. The Arti Silk Mill manufactures Synthetic Yarn and Fabric which is
the Industrial Product. The Company does Promotional Activities through Electronic
media, Print media, Hoarding, FM radio, etc. They Sell Their Product through a very
strong network of Dealers across the country which Play very significant role between
Manufacturer and Customers.
CUSTOMER SEGMENTATION
 Customer segmentation can be identified by examining demographic, psychographics, and
behavioural differences & geographic. The marketers then decide which segment presents
the greatest opportunities that are its target market. For each chosen target market the firm
develops a market offering.
Arti Silk Mill sell its product in both local and foreign market. So we can say that Arti Silk
Mill has geographic segmentation, which call for dividing market unit such as nation, state,
countries, and cities region etc. Arti Silk Mill has good opportunity in foreign market.

TARGET MARKET

A target market or target audience is a group of customers that the business has decided to
aim its marketing efforts and ultimately its merchandise. A well-defined target market is
the first element to a marketing strategy. The target market and the marketing mix
variables of product, place (distribution), promotion and price are the two elements of a
marketing mix strategy that determine the success of a product in the marketplace.
To sell their product at maximum efficiency they have to consider the different segment of
the market. And this segment of the market is known as the TARGET MARKET.
In other sense if we say that every company have their target market in
which they sell their product at maximum level and low at other place.
The target market for the Arti Silk Mill is the SURAT at maximum. They sell their
product in SURAT more. Then they sell at other city of GUJARAT. But here sell is not so more
as in SURAT. The next they sell their goods in some city of MAHARASTRA also. And also
they sell some product in other state of INDIA. They also export their goods but at a very little
scale.

CHANNELS OF DISTRIBUTION
There is usually a Large Channel of Distribution. Which Includes from Manufacture the
Product? The Manufacturer sells it to Wholesalers and the Wholesalers give it to the Retailers
and finally Retailers is selling it to the Consumer. It’s also described in this way.
 DEPOTS
MANUFACTURER (COMPANY'S DEALERS
WHOLESALER)

CONSUMERS RETAILERS

The main Product of the Company is POY. Which are the Industrial Product and the
Distribution Network of the Company is not Complex. In this Network each stage has
Involve only one Person who is known as “DEALER”. DEALER is between the
Manufacturer and Wholesalers, also between the Wholesalers and Retailer, also between
the Retailers and Customers.
“DEALER” has Play a very important role in this Distribution Network. Generally, so
many Companies are Deals with the Dealer .The Dealers sales the Product to the Industrial
Customers and he mainly acts as a Guarantee on behalf of the Customers for the Payment
of the Company. The Dealer also has the Information about the Customers needs, New
Fashions, Variety etc. is providing to the Company.

The Arti Silk Mill Company Sells their Product by Dealers only. The Dealer gets the
Commission from the Company and also from the Customers. The Dealers Network is in
Gujarat, Maharashtra, and Rajasthan etc.
Some Names of the Dealers are as follows:~
Gheewala Brothers
Ekta Textiles
Anudhara Textiles
PRICE
 Price shows the value of the company’s product. The Co. itself decides its product
price considering various factors. Arti Silk Mill product is less priced than that of Reliance
& which is the 2nd highest price in the market. These 2 competitors play a major role in the
market according to their product’s price.

OBJECTIVES OF PRICING

 Earning of reasonable rate of return on investment.

 Market penetration.

 Price stability.

 To maintain or improve market share.

 To cope up with competition.

 Market skimming.

 Profit maximization objective.

Pricing Strategies

Price shows the value of the company’s product. The company itself decides its product
price considering various factors. The price of Arti Silk Mill Company is less than the
Reliance and which is the second highest price in the market. These two competitors play a
major role in the market according to their price of the products.
“Pricing is just not a number on a tag or an item. It represents the product in a very large
way.”

Pricing policy of the company usually stable, it does not keep on fluctuating with time and
the price is decided after taking into consideration the price of its competitors.
According to the company the price of the finished product is decided on the basis of the
price of its raw material. Say for example if the demand of petroleum is increased or
decreased then it consequently affects the price of the raw material and also the price at
times depends on the demand of the product also.
The price of the company changes, when the yarn market is in boon period the price tend
to be high and vice-versa.
 The Arti Silk Mill Company follows this pricing policy:-

PRICE=COST+MAGIN+BRAND EQUITY

This Criterion is called forward pricing. However, In Cutthroat Competition, Arti Silk Mill
has Adopted Backward pricing, I.E. First of all, they determine the Price at which it can be
sold having deducted the required margin from the basis of which it achieves the cost.
Then it strives to reach the determined cost. It assists the company in Effective cost control
in reducing Wastage.

For Wholesome Customer, There are two types of discount. That is trade discount and cash
discount. Arti Silk Mill has motivating discounting policy rather than threatening one.

 To Pay the bills in 30 days or to pay 2% interest after due date.

 To pay the bill at last in 60 days and if you pay bill a month early you will get 2%
discount.

Generally, the payment period of Raw material as well as credit period for finished products is
60 days due to competitive Market However, It is not Rigid; It Changes As per the Demand-
Supply position of the market of a particular product.

PROMOTION MIX

“promotion mix means a set of elements or tool like advertising, public relation and
publicity, sales promotion, personal selling and direct marketing used by the marketer for
promoting sales by stimulating demand through persuasive communication.”

ADVERTISEMENT AND PROMOTION POLICIES

Advertising can be used to build up a long term image for product. The sales of a product
can be increased to a great extent with the help of advertisement. But, usually
advertisement is done for the consumer products. But Arti Silk Mill is mainly dealing with
yarn, a raw material for fabric. They usually deal with dealers so there is no need for any
kind of ads, as it is an industrial product.
Advertising offers a reason to buy and sales promotion offers an incentive to
buy. Promotion is nowadays more accepted by top management as an effective sales tool.
 The companies are under great pressure to increase their sales as numbers of competitors
are also increasing. The industrial products manufacturing also do more or less
promotional activities.
The company always tries to promote the product in the way by which the
price of the product is tried to maintain or reduce and the quality is improved so that they
can offer better product to their customers. They also do trade promotions like giving free
yarn samples and prices off.

BUDGET FOR ADVERTISEMENT: -

Every organization decides their amount or budget for advertising in advance. But it isn’t
possible in every situation. Sometimes company may not be in a position to decide, budget
for advertising in advance due to certain reasons.
Previously Arti Silk Mill had fixed budget for advertisement. In the year 2009-10, the
company provided Rs. 8, 69,000 as expenditure of advertisement, while in the year of
2016-17, the company has provided Rs.14, 52,000 as expenditure of advertising. But at
present it is not fixed.

MEDIA FOR ADVERTISEMENT:-

Media is a means through which advertisement passes to consumers & by which consumer
knows about product & its features. Arti Silk Mill uses different media for advertisement like
dairies, textile-magazines, seminars, demonstration, Internet & other business magazines. Thus,
Arti Silk Mill, does not more emphasizes on advertising because it produces industrial goods &
it’s a long term buying decision & there is no regular customer for industrial goods.

STUDY OF CONTROL SYSTEM & REPORTING SYSTEM

 The availability of information that describes the characteristics of the product is ensured by
way of specifications desired by customer.
 The work instructions for all functions and activities affecting quality are controlled and
available at concern department. The list of work instructions is given under records.
 It is ensured that equipments / machineries to be used are proper and are under preventive
maintenance. Procedure for maintenance of equipment/ machinery is laid down.
  It is ensured that proper monitoring and measuring devices are available and they are
calibrated at required intervals. The proper calibration status of monitoring and measuring
devices is retained. Where necessary, proper work instructions for correct use of Monitoring
and Measuring Devices are issued.
 The monitoring and measurement of product is controlled as per details given under section
8.2.3 of clause 8 and section 8.2.4. of clause 8.
 The release of product for delivery, storage, packaging, and dispatch is effectively
controlled.

DOCUMENT REPORT GENERATED IN MARKETING DEPARTMENT

The different reports generated in marketing department are as follows:

1) Customer feedback report

2) Customer complain report
3) Sales report