CASE ANALYSIS Problem of Distribution function is evident in the case.

Without proper management of distribution, sales objectives cannot be achieved. These two factors are interrelated in such a way that a lag in one will affect the other function too. There was a lack of integration of sales and distribution functions. The main reason behind this is lack of communication, planning and forecasting. Without a good plan nothing can be achieved in a good way. People working in PI Foods forgot the power of integrated sales and distribution functions. They were busy meeting their targets. Their individual objective was of great concern to them than the corporate objective. 1. SALES OBJECTIVES The sales objectives and goals are derived from the companys marketing objectives and goals, which in turn depend on the companys objectives and goals. PI Foods wanted to be the leader in the market. The table showing frequency of visit to various retail outlets clearly indicates this. They had a good chart for covering of all the retail outlets. 2. STRATEGIES AND TACTICS The sales strategies are mostly related to salesforce strategies. Here the sales force was not performing the vested duties. They ignored C and D class retailers. Thus they lost the faith of retailers. In order to be a market leader the product must be available in each and every corner of the target area. PI Foods should consider they lower class retailers to achieve their aim. 3. CHART SHOWING DAILY VISIT Suppose there are 5 salespersons under one distributor then a possible chart for their daily visit is shown below Day Mon Tue Wed Thurs Fri Sat Super A 1 5 4 3 2 1 A 2 1 5 4 3 2 B 3 2 1 5 4 3 C 4 3 2 1 5 4 D 5 4 3 2 1 5

4. Diagram showing daily visit and transportation of products Type of outlet 1 Super A A B C D product to be carried 2 3 beverages confectionery milkproducts baby foods chocolates 4 chocolates beverages Baby foods confectionery milkproducts 5 milk products Baby foods Confectionery chocolates chocolates

confectionery Baby foods chocolates beverages milkproducts chocolates milk products chocolates beverages milk products

Class C outlets should be used only for milk products and chocolates because people wont prefer other items from the pan shops. 5. Incentives Incentives should be based on the performance of sales people. Their visit to the retail outlets should be taken for fixing the incentives. 6. Sales position PI Foods sales distributers are order takers. Their visit to the retail outlets helps in knowing the requirements of products at that outlet. 7. Sales operation planning Markets: households, youngsters, adults. Market share objective: attain 90% market share within 5 months. To avoid competition and to promote the product, there should be change in packaging, volume and other features of the product. Planning for ready stock of goods at all the possible retail outlets Shelf space maximization and merchandising: utilization of POP in the market place to ensure better sale of the product. A network control for record keeping purpose.

GROUP:E Akhila Raj, Chaithra C Nair, Durga R C