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Sales Campaign /Strategy MDS Switchgear Ltd

Sales Campaign /Strategy MDS Switchgear Ltd. Anand G Khanna . Background. MDS started in 1977/78 ,was Industry Leader in LT Switchgear 1987 – 1989 Existing Product portfolio MCB- Loadster , LoadKontakt ,Distribution Boards

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Sales Campaign /Strategy MDS Switchgear Ltd

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  1. Sales Campaign /Strategy MDS Switchgear Ltd Anand G Khanna

  2. Background • MDS started in 1977/78 ,was Industry Leader in LT Switchgear • 1987 – 1989 Existing Product portfolio MCB-Loadster , LoadKontakt ,Distribution Boards • Need to expand Product portfolio – New MCB 6K &3K , RCCB-Residual Current Circuit Breaker-Earth Leakage , Automatic Fuse Breaker(AFB ) etc • Following were identified RCCB, new MCB 6K& 3K from ABB , AFB from- Clipsal Australia • Product Market assessment –Visit to Italy , Thailand , Malaysia • JV signed with ABB Electro Condutture Italy Sept 1990 & ABB Germany for MCB in Oct 1990 • Test Marketing of AFB was planned

  3. Sales Strategy for MCB –Loadster & LoadKontakt for Growth 1989 • Increase the production of LoadKontakt(LKT) from 1.25 lacs /annum to 7.5 lacs per annum • Maintain production volume of Loadster(LDS) at 8.00 lacs /annum • Production volumes estimated for 2 years • Pro-rata increase for Distribution Boards • Market assessment for volume of LKT by few top managers of Company and Channel partners • Increase in the Production Facility at works –Sourcing of components • Strengthening of Distribution Channels ;Manpower requirements

  4. Pricing Strategy • LDS was priced at Rs.75 per MCB was revised to Rs. 85. • LKT was priced at Rs. 87.50 per MCB was revised to Rs. 77.50 • Change in the Sales Policies for better margins to the channel partner • Date of revision was kept secret and made w.e.f July 1,1990

  5. Sales Campaign for the Company • Reduce the supply in Market of the LKT put pressure for aggressive sales in the market • Increased Channel network • Increase Manpower factoring other products to be launched in next 2 years • Developing Retail Network for the Company • Tentative launch dates of RCCB decided • Communication strategy finalized

  6. RESULT • Volume of LKT 7.95 lacs by March 31,1991 • Volume of LDS 8.00 lacs by March 31,1991 • Increased Channel partners by avg 20 % and location by 20 % • Manpower by 10 to 15% • Quantum jump in Turnover , Profits etc etc

  7. Market Entry Strategy for RCCB in 1989/90 • Market assessment – Branch & major Electrical Market Places • Branding -LoadStop • Building up Production facilities –Training of Production engrs/supervisors/workers • Communication strategy for Stakeholder – Channel Partners, Consultants, Decision Makers , BIS, Industrial Customer and retail customer • Launch date Festive season of Dusehra & Diwali Sept –Nov 1991

  8. Integrated Marketing Communication Strategy • Communication Strategy –to Educate Decision Makers about electrical safety at Home ,product application etc – Selection of Ad agency Nexus Equity Dec 1990 • Readers Digest Mailers – April 1991 • Seminars for Consultants , BIS, Decision Makers , RWA – July –Dec 1991 • Reach homes of retail customers – Advertisement with offer for free check up of electrical safety at Home- around Launch date • Training of Electricians , Contractors for providing Electrical Safety Check up & Demo April – Sept 1991 • Training of Marketing, Sales personnel, Channel Partner –May – Aug 1991 • Brochures ,Leaflets, Flyers Aug 1991

  9. Sales Campaign & Launch Strategy • Full page colour ads in all national dailes , selected magazines and Industrial magazines • Follow up for Electrical Safety check ups, Roadshows at electrical marketplaces, RWA • Aggressive coverage by Sales staff at Channel partners &Retail Channel partners locations , • Launch of retail channel activities

  10. RESULT • Volume achieved was 2.25 lacsby March 1992 • 50 K were imported for the launch • Channel Partners increased by 20/40 %(North) • Location by 20% • 7500/8000 household were assessed for Electrical safety check up by December 1991, conversion rate of around 80% • Manpower by 5% • Retail Channel launched • Customer Education/Awareness programme launched

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