3. Walton Hi-Tech Industries Ltd. is the one and only
manufacturer of multi-staged
Refrigerator, Freezer, Air Conditioner, Television and
Motorcycle and is treated as one of the sophisticated
manufacturing plant in Bangladesh and South Asia.
Now Walton is going to emerge as an AC producer.
4. Marketing objective
Be a market leader in Air conditioner market
in Bangladesh within Five years.
To build profitable customer relationship by
producing environmentally better AC
and getting them to market faster at lower cost.
5. Financial objective
To achieve break even at the first year
To achieve 25% sales growth in subsequent
years and to achieve at least 30% mark up
Capture 50% of local market share and
contribute billion taka profit in company
balance sheet from this business unit
7. Bargaining
power of
suppliers
●No backward linkage is
developed locally
● Raw materials are mostly
imported
●Depended on foreign
technological support
Low influence over Suppliers
8. Bargaining
power of
Buyers
Distributed through
• Own outlet
•Dealers and agents
• Local electronics retailers’
showroom
Final customers have lots of
option as reputed brands are
offering high tech products
Medium influence over
buyers
9. Threat
of entry
•Need high technological
support and expertise to set
industry
•High capital requirement and
fixed cost
•High sunk cost
Low threat of new entry in this
industry from local market
10. Threat
of
substitute
Substitute product of AC may be
cooling fan , ventilator fan but
those can not serve as required.
So no close substitution for AC is
available
Very low threat of substitute
product
11. Intensity
among
competitors
•Market is very much saturated
with renowned brands
•World class brands are
competing with cutting edge
technology
•Rapid innovation and
diversification by competitors
Competition is very acute in
market
18. Target market
Higher
class
customers
Economic class
customers
Customers having higher income
mostly corporate and business
customers and household customers
living in metropolitan cities having
income of above 50,000 tk.
• market size: about 65-%70% users are
located in this segments
• Market growth: market is growing
about 40%-50% each year
•Attractiveness: this customers are
willing to pay premium price for
environmental friendly and innovative
product more over it’s market growth is
moderate . Those data make the
Segmented marketing
19. Higher class
customers
Economic
class
customers
House hold customers having middle
income, living in zilla towns, suburb or
small town and villages: small and
medium enterprises
•Market size: comprises 30%-40%of
market share
•Growth rate: 80%-120% growth rate.
•Attractiveness: this customers’ income is
growing and they are demanding AC
more and more. So this customers can be
reached by already established brand and
distribution channel . Those situations
makes this segment Lucrative.
Target market
Concentrated or
niche marketing
20. Positioning strategy
Sophisticated AC
Offering an environment
friendly AC with sophisticated
tech innovation like
•Eco- navigation and HD filter
• good sleep and anti bacteria
coating tech.
• turbo cooling and anti-
humidification tech.
Economic AC
Offering a low cost, energy
efficient user friendly AC
with
• durability and reliability
•Low watt
•Triple weather protected
tech
• comfort air flow and
efficient tech.
More For The Same Same For The Less
21. Pricing strategy
Sophisticated AC
Adopting More For The
Same strategy
Price range may be 90,000 to
120,000 tk.
Economic AC
Adopting Same For The
Less strategy
Price range may be 45,000
to 50,000 tk.
23. ACs market
Higher class
corporate class
Middle income
SME
Lower middle income
Low income
Target
market
•Higher income
and economic
class
•Middle and
lower middle
income
Objective
Be Market
leader in
ACs market
Price
Product
Promotion
Place