This report provides an extensive analysis and evaluation of the different attributes of the consumer category in the mini-metros in India andhow we understand their range and thereby knowing the sales pitch for those types of consumers. As we understand the general concept, Sales Management is one of the most important elements for the success of modern organizations. It may be one of the most critical roles that influence the success of an organization. Here, you are closest to two important corporate assets: customers and the sales team. The report also draws attention to the different sales strategies that can be applied in the different industries depending upon the cities, which we have selected.

1. THE INDIAN INSTITUTE OF PLANNING AND MANAGEMENT
PUNE
A PROJECT REPORT ON
“SALES MANAGEMENT: “Metros in the Making!”
A Report submitted in partial fulfillment of the requirement for
the award of the degree of Master of Business Administration.
Under the Esteemed Guidance of
Dr. Pranab Deb
Faculty IIPM, PUNE
Project Analyzed & Documented By: -
• Dixita Porwal, PGP/FW/10-12/ISBE-A
• Pratik Gandhi, UGP/FW/09-12/IIPM
• Rajwin Patel, UGP/FW/09-12/ISBE
• Sagar A. Agrawal, UGP/FW/09-12/IIPM
• Sneha Chandan, PGP/FW/10-12/ISBE-A

2. Sales Management - Metro’s in the Making
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Metros in the Making!!
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Acknowledgement
We heartily thank our Project in-charge, Dr. Pranab Deb, Faculty IIPM, Pune .
Whose encouragement, guidance and support from the initial to the final level
enabled me to develop an understanding of the subject. We are grateful for Sir’s
contribution towards the execution of our project.
Lastly, we offer our regards and blessings to all of those who supported us in any
respect during the completion of the Research.
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Abstract
The inclusive development is taking place through superior connectivity and better
infrastructure in these cities. Therefore demand there might not be the same in
quality as is in primary and secondary cities but it is growing by the day, and
having a presence there is becoming critical for the marketers, manufacturers and
retailers to cater for changing lifestyles in these cities as well. It would be
noteworthy for retailers as well as manufacturers and marketers of consumer
product companies that are always on the lookout for newer markets or potential
hubs for consumerism, to understand the implications these investments will have
on the economic growth of these hot-spots and even their nearby towns and
villages. These hot-spots are going to bring to the forefront the next wave of new
cities that real-estate developers, healthcare and education providers, consumer
product companies as well as retailers would be interested in looking at in order to
gain ‘first mover’ advantage and a foothold in the market.
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Executive Summary
This report provides an extensive analysis and evaluation of the different attributes
of the consumer category in the mini-metros in India andhow we understand their
range and thereby knowing the sales pitch for those types of consumers.
As we understand the general concept, Sales Management is one of the most
important elements for the success of modern organizations. It may be one of the
most critical roles that influence the success of an organization. Here, you are
closest to two important corporate assets: customers and the sales team. The report
also draws attention to the different sales strategies that can be applied in the
different industries depending upon the cities, which we have selected.
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Index
S.r. no. Topic Page no.
1 Introduction to the Project 07
2 Methodology 08
3 Analysis 09
4 Top 6 Cities 35
5 Sales Strategies 43
6 Cases 44
7 Conclusion 53
8 Recommendation 55
9 Bibliography 56
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Introduction to the Project
As metro cities turn lumbering giants, unable to be ready with infrastructure as
expectations rise or lay out comforts for a better life, fleet-footed Tier-2 and -3
cities can steal a march on them in attracting industries and businesses.
Less-crowded cities give more operational convenience to companies. People
taking up jobs in these places find an amiable living environment, with no mad
rush to corner comforts. For industry and people, the future lies in those places.
Several recent studies have signaled the coming shift.
The project demystifies the paradigm shift in the sales mix of the emerging mini-
metros and thereby the designs sales strategies accordingly.
Sales Management is all about Planning, Directing and control of Personal Selling,
including recruiting, selecting, equipping, assigning, routing, supervising, paying
and motivating. The project takes this term to a next level revealing possible
outcomes for designing a sales strategy for the Mini Metros.
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Methodology
Background:
 Duration of Research – 1 Month
 Target Audience – SEC-ABC, AGE-GROUP 15- 24, 25-34, 35+
To get the proper inferences of the research, it was necessary for having a question
bank through which we could asses the market situation of Mini-metros. Every
question was researched and analyzed through the soft wares (IRS, TGI, TAM)
available to use.
The major comparisons were made over the mini-metros benchmarking with the
metros, over years.
The first step was to find out the cities falling under 10-40 Lakh market grids and
eventually finding out the cluster of the cities, which were more upcoming, and
fast growing within those market grids.
And it was done by the different parameters listed below:
 Profiling the 10-40 Lakh market / Mini-Metro Consumer
 The Socio-Economic Classification
 TAM (Television Audience Measurement)
 TGI (Target Group Index)
 IRS (Indian Readership survey)
 Profiling the 10-40 Lakh market / Mini-Metro Consumer
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Almost everyone associated with retailing, marketing, media and consumer
economics is required to deal with SEC categories. These categories are important
as they help in effectively segmenting markets and targeting communication to
core consumers.
The SEC Classification (also called the Socio-Economic Classification) is a
classification of households used by surveyors, market
researchers, media and marketing companies in India to categorize consumer
behavior. Originally developed by IMRB International as a way of
understanding market segments, and consumer behaviour it was standardized and
adopted by the Market Research Society of India in the mid-1980s as a measure of
socio-economic class and is now commonly used as a segmentation tool in India.
The SEC Classification consists of two grids:-
 The Urban SEC Grid, which uses Education levels and Occupational criteria of
the Chief Wage Earner (CWE) of a household as measures to determine socio-
economic classification, and segments urban India into 7 groups (A1 to E2) and
 The Rural SEC Grid, which uses Education and Type of House (pucca, semi-
pucca, and katcha) as measures of socio-economic class, and segments rural
India into 4 groups (R1,R2,R3,R4)
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These grids are used to determine the consumption preferences, and purchasing
power of households, and are common tools used by social and business
researchers working in India. The SEC grid does not use family income levels as a
measure as this data is hard to collect and it has been demonstrated that education
levels and occupation criteria in India are better determinants of consumer
preference. The methodology used in these tools differs from the Household
Potential Index, which measures consumption intensity.
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 TAM (Television Audience Measurement)
Television, in nearly every country around the world, has become the dominant
medium for information, commercial communication and entertainment. This has
led to the ever-increasing desire by broadcasters, advertisers and advertising
agencies to have accurate, consistent and detailed information about TV audiences.
TAM (Television Audience Measurement) is the specialised branch of media
research, dedicated to quantifying (size) and qualifying (characteristics) this
detailed television audience information.
Ratings, the “Common Currency”
With the billions of dollars spent annually on TV programs and commercials,
reliable TV audience information is required to evaluate and maximise the
effectiveness of this investment.
TAM-Media Xpress Software – Input Screen
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 TGI (Target Group Index)
TGI Net will inform your marketing strategy by enabling a truly in-depth
understanding of your target audience’s internet behaviour.
TGI (Target Group Index) is the original and pre-eminent single-source marketing
and media survey.
TGI Net is a fusion of two industry-leading datasets, Internet Monitor and TGI.
Internet Monitor gives a detailed and reliable picture of the GB Internet market.
TGI provides an unrivalled breadth of data on a sample of c. 25,000 adults in
Britain every year, covering product and brand usage, lifestyle and media
consumption.
 TGI includes 4,000 brands in 500 categories across the following sectors:
 Appliances and durables
 Clothing
 Confectionery
 Drink
 Financial Services
 Food
 Holidays and Travel
 Household Products
 Leisure
 Motoring
 Pharmaceutical and chemists products
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 Shopping
 Tobacco
 Toiletries and cosmetics
TGI SOFTWARE – INPUT SCREEN
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 IndianReadership Survey (IRS)
IRS (Indian Readership Survey) is the largest continuous study of the world with a
sample size of more than 250,000 households across India. It has been providing
invaluable information to the media and marketing fraternity since 1997.
IRS is the single source survey for media and product ownership/usage. The prime
objective of the study is to collect readership information from a cross-section of
individuals, in great detail, so as to present a true and unbiased picture of their
readership habits. On the media front, it also captures information on television
and cinema viewing habits, radio listening habits and Internet usage. In addition to
this, IRS captures information on various FMCG (Fast Moving Consumer Goods)
products, usage and consumption and durable ownership amongst households.
Since media and product ownership/ consumption information is captured from the
same household, it enables linkages between the media and product data. IRS
equips you with information that is truly reflective of the Indian population for
making informed decisions.
IRS covers information on over 100 product categories. IRS information is
available in user-friendly software and is the essential tool for category, brand and
media understanding.
IRS Software –INPUT Screen
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Research Parameters
Q1. What is the SEC split among 10-40 L towns v/s top 6 metros v/s Rest of Urban India?
How has this changed over the years?
A- Which SECare growing &are stagnant. (Do this at minute level taking SEC A1+, A1/A2, B1/B2 etc. as
separate)
B- Quantify the middle class in the 10-40 Lakh towns of India?
Q2. Have new-age jobs caught on the Mini-Metros?
TGI 2010, Compare with Top 6 Metros (Combined)
-­‐ Use both TGI and IRS to answer this question
-­‐ Break up population into SEC A, SEC BC, SEC DE; only A, and BC in TGI
-­‐ Beak up population into 15-24, 25-34, 35+
-­‐ Break up on basis of sex as well
-­‐ See the % of people working in new-age occupations
-­‐ Which are the occupations that are catching on now?
Q3. Profile the markets in the 10-40 L town class segment (Town wise)
A- SEC profile town-wise of the 10-40 L bracket, compared to top 6 metros (IRS)
-­‐ Is there a distinct pattern that emerges between North, South, East & West
B- Ownership of durables and FMCG in 10-40 L bracket by market (Only SEC AB)
-­‐ Penetration of up-scale, and mid-range HH durables, FMCG categories
-­‐ Benchmark with Top 6 Metros
Q4. Youth in the 10-40 L town class bracket v/s Metros?
{Using TGI, TG - SEC AB 15-24}
A- Psychographics - Key Differences versus 6 metros
-­‐ How has this changed from 5 years back
B- Starting earning age - Differences versus 6 metros
C- Leisure Touch-points: Key Differences versus 6 metros (Malls, Multiplexes, Coffee Shops, Discos,
Multinational Fast Food Restaurants, Gyms, Hobby Classes / Vocational Classes, Theme Parks)
D- Day in the Life
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Q5. Media Behavior in the 10-40 L town class bracket v/s Metros?
{Using TGI , TG - SEC AB 15-24 }
A- Media Penetration 6 Metros v/s 10-40 L Towns
-­‐ Where have mediums like mobile and Internetin specific growing the fastest?
-­‐ Has TV time spent come down in any of the cities?
{Using TAM, TG - SEC AB 15-24}
B- Have reality shows grown in a major way on television among the youth?
-­‐ Do they generate higher ratings versus soaps & serials?
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Analysis
The entire project is based on the comparative
study of Mini-metro consumer market with List of 10-40 L towns
Metro market.
1 Surat
2 Kanpur
3 Jaipur
Following
is
the
list
of
4 Lucknow
town/cities
falling
under
10-­‐40
5 Nagpur
Lakh
town
market
&
are
6 Patna
considered
in
the
entire
project.
7 Indore
8 Vadodara
9 Coimbatore
10 Bhopal
11 Ludhiana
12 Visakhapatnam
13 Nashik
14 Agra
15 Faridabad
Top
6
Metro
16 Kochi
considered
in
the
17 Rajkot
entire
project.
18 Meerut
19 Jamshedpur
List of Metro
20 Madurai
1 Mumbai
21 Amritsar
2 Delhi
22 Bhuvaneshwar
3 Chennai
23 Varanasi
4 Bangalore
24 Allahabad
5 Kolkata
25 Dhanbad
6 Hyderabad
26 Chandigarh
27 Aurangabad
28 Vijayawada
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From the list of the 28
cities we would be
studying on the 6 cities
mentioned below List of 10-40 L towns
1 Surat
2 Kanpur
3 Jaipur
4 Lucknow
5 Nagpur
6 Patna
7 Indore
8 Vadodara
List of Cities studied further 9 Coimbatore
10 Bhopal
1 Bhuvaneshwar
11 Ludhiana
2 Coimbatore
12 Visakhapatnam
3 Lucknow
13 Nashik
4 Nagpur
14 Agra
5 Indore
Surat 15 Faridabad
6
16 Kochi
17 Rajkot
18 Meerut
19 Jamshedpur
20 Madurai
21 Amritsar
22 Bhuvaneshwar
23 Varanasi
24 Allahabad
25 Dhanbad
26 Chandigarh
27 Aurangabad
28 Vijayawada
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Findings & Analysis based on Research
Parameter (Listed above)
Q1. What is the SEC split among 10-40 L towns v/s top 6 metros v/s Rest of Urban India?
How has this changed over the years?
A- Which SECs are growing &are stagnant. ( Do this at minute level taking SEC A1+, A1/A2, B1/B2 etc.
as separate)
Section A:
10-40 Lakh towns
SEC 2010 2008 2005
A1 4.9 4.1 4.2
A2 9.1 8.1 7.7
B1 8.6 7.9 8.5
B2 8.1 7.8 8.1
C 20.8 20.8 22.1
D 22.6 23.2 23.3
E1 10.7 11.2 10.6
E2 15.1 16.8 15.5
25.0
20.0
15.0
2010
2008
10.0
2005
5.0
0.0
A1
A2
B1
B2
C
D
E1
E2
Findings& Analysis
10-40 Lakh towns
Growing SEC: A1,A2,B1
Stagnant SEC: B2,C
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Rest of Urban
2010 2008 2005
A1 2.1 2.3 2.2
A2 5.6 6.2 5.9
B1 7.5 7.9 8.0
B2 8.6 8.8 8.6
C 19.7 19.6 19.8
D 23.5 23.5 23.6
E1 12.6 12.5 12.2
E2 20.3 19.2 19.8
25.0
20.0
15.0
2010
2008
10.0
2005
5.0
0.0
A1
A2
B1
B2
C
D
E1
E2
Findings & Analysis
Rest of Urban
Growing SEC: C, E2
Stagnant SEC: B2, D
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TOP 6 metros
2010 2008 2005
A1 6.4 6.6 6.9
A2 9.4 9.1 9.0
B1 10.7 10.0 10.4
B2 8.7 8.5 8.5
C 23.1 21.7 21.7
D 21.1 21.8 21.8
E1 8.4 9.2 9.3
E2 12.3 13.0 12.5
25.0
20.0
15.0
2010
2008
10.0
2005
5.0
0.0
A1
A2
B1
B2
C
D
E1
E2
Findings & Analysis
TOP 6 metros
Growing SEC: A2, B1, C
Stagnant SEC: A1.B2, E2
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Q2. What is the SEC split among 10-40 L towns v/s top 6 metros v/s Rest of Urban India?
How has this changed over the years?
A- Quantify the middle class in the 10-40 Lakh towns of India?
Clustered the income range into A, B & C
2010
32.62 A 500-4000
34.91 B 4000-8000
32.47 C 8000-100000+
2008
37.1 A 500-3000
36.7 B 3000-5000
26.3 C 5000-100000+
2005
25.4 A 500-2000
45.0 B 2000-5000
29.7 C 5000-100000+
Middle class falling under - Cluster B
SEC 2010-B 2005-B INDEX
A1 0.6 0.6 100
A2 7.1 2.5 284
B1 8.9 5.7 156.1
B2 11 10.3 106.8
C 23.5 29 81.0
D 25.9 30.1 86.0
E1 11.1 9.8 113.3
E2 11.9 12.1 98.3
Findings & Analysis
 The growing SEC is A2, B1 & B2
 Middle class i.e. 70% of (B) population falls under SEC B2, C& D
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Q3. Have new-age jobs caught on the Mini-Metros?
TGI 2010, Compare with Top 6 Metros (Combined)
- Which are the occupations that are catching on now?
Jobs/occupation was categorized into three categories:
 T – Traditional jobs
Jobs like: Government, legal, financial, manufacturing, Science, Technology,
Engineering, Production, Transport, and Mining etc.
 S – Semi traditional jobs
Jobs like: Construction, Education, Health, Welfare, Marketing/Advertising/Public
Relations, Scientist/Physicist/Mathematician, teachers/professors etc.
 N – New Age jobs
Jobs like: Author/Writer/Journalist, Artist/Designer, Sportsman,
Architecture/Planning/Surveying, IT/Computing/Data Processing, Hotels,
Catering, Retail, & Distribution etc.
SEC F 25-34 F 35+
T 52.6 T 86.1
S 93.2 S 118.7
A N 69.3 N 27.2
T 7.4 T 135.4
S 35 S 128.9
BC N 73.6 N 88.1
Findings & Analysis- Table 1
In the Mini-metro market, Females 35+ SEC-A - has caught on to Semi traditional
jobs as compared to metros & Females 35+ SEC-BC has caught on to both Semi
traditional jobs & New Age jobs compared to metros.
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Whereas Females 25-34SEC-A is catching up more with Semi traditional jobs &
Females 25-34 SEC-BC are more catching up New Age jobs compared to metros.
SEC M 25-34 M 35+
T 88.5 T 125.2
S 99.2 S 91.2
A N 93.1 N 68.2
T 92.8 T 113.2
S 101.3 S 110.6
BC N 79.5 N 87.6
Findings & Analysis - Table 2
In the Mini-metro market, Males 35+ SEC-A - has caught on to Traditional jobs as
compared to metros & Males 35+ SEC-BC has caught on to both Traditional jobs
& Semi traditional jobs compared to metros.
Where as Males 25-34 SEC-A is catching up more with Semi traditional jobs &
New Age jobs & Males 25-34 SEC-BC has caught on to Semi traditional jobs as
compared to metros.
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