Wednesday, 15 September 2010

Pull Technique


Pull Technique


The pull technique use the high advertising budget to attract customer and advantage is transferred to customer. 

Advantages of Pull Technique



The following are important advantages of pull technique.
  1. Improve the image of brand
  2. Direct relationship is built between customer and entity
  3. Win customer loyalty

Disadvantages of Pull Techniques


The following are main disadvantages of pull techniques
  1. This technique has very high budget of advertising
  2. No support of distributor is available for marketing activities




Distribution Channels




Advantages of Distribution Channels


The following are the important benefits of using distribution channels


1. Transportation facility :- 



The distributor can offer extensive support of transportation facility.


2. Storage Facility :- 


The individual distribution can offer a lot of storage facility and off course the storage facility cost will be born by distributors.


3.Local Market Knowledge :-


 The distributor have more extensive knowledge of local market.


4.Display Function :- 


The more labor is available with distributor and the same can be utilized the display the product at every selling price.



Push Technique


Advantages of Push Technique


The push technique for promotion use the distribution network. the push technique provide incentive to distributor for promotion. the following are the important advantages of using the push technique for promotion.
  1. Availability on stores shelf is ensured
  2. The sales volume may be increased in short time
  3. There is no need of advertising budget
  4. The health relationship with distributor support many marketing functions


Disadvantages of Push Techniques

  1. No customer loyalty is established
  2. Profit are shared with distributor
  3. Only short term boost of sales is possible
  4. The dependence on distributor

Direct Selling



Advantages of Direct Selling


1.No Channel Available



 if no distributor is not available or not willing to buy distribution. Then direct selling is the only option available for the entity.


2.Entity Maximize the profit



 if entity want to maximize the profit and don't want to share its profit with the distributor.


3.Effective in Concentrated Market 


The direct selling is a very good option in highly concentrated market.

Tuesday, 20 October 2009

Overseas operation and Quality Control

Overseas operation and Quality Control


The quality control issues are one of the most important reason for many of the organization to start overseas operation. Quality is main concern for many branded product and almost every famous brand would not like to compromise the quality at any cost. Therefore branded company decided to enter into a overseas operations instead of relying on a contract manufacturer arrangement.


Direct supervision 


The overseas operation provides an opportunity to the entity to directly supervise the quality of product and expert can check the product for the required level of quality before it is sold to the customer.

Required Skill and experience


The entity has the required skill and experience to maintain the desired level of quality and some cases it is not possible for contract manufacturer to acquire that level of experiences and skills for many reason i. e cost , availability etc.



Overseas operations and local market understanding

Overseas operations and local market understanding


Overseas operation is a right direction to understand the local market and its dynamics. each market has its own dynamics. There are number of factor which make one market different from another and those factor can only be deeply understood when you are operating in that market.

While operating in another country entity is interacting with different people at different level and this provides entity a lot of information for understand the market and  decision making.

Interaction with Customer


The entity has direct interaction with the customer and thus in a better position to understand the customer expectation from the entity.


Social values


The entity can understand the social values of the society by starting the overseas operation. This provides and opportunity to entity to interact with different segment of society.

Product Design and features


The overseas operation give an idea about what type of product is needed in the market and what should be the features of those product.


Market Nature


The overseas operation also provide an opportunity to understand the market nature whether the market is a price sensitive or quality conciseness.


Overseas Operations and Customer Relationship


Overseas Operations and Customer Relationship


Overseas operations is really helpful to build a direct relationship with the customer and entity can retain the customer.

Customer Confidence


The overseas operation improve customer confidence on organization product and customer physiological attach with the product.

Customer problems understanding


Overseas operation is also helpful to understand customer problems and issues in details and entity are in a better position to resolve the customer problems and issues.

Customer Satisfactions


Overseas operation helps entity to improve the customer satisfaction level by resolving the customer issue and by providing the committed product.