This document presents a study on dynamic bundling strategies to rejuvenate sales for A. Albuquerque & Sons, a clay tile manufacturer in Mangalore. It identifies their main product offerings and seasonal sales fluctuations. A conceptual framework and research methodology are proposed to design an optimal seasonal combo package. Data analysis shows roof tile sales decrease without bundling. The findings suggest bundling is a flexible strategy that allows creating new product lines. Suggestions include introducing a variety of bundled product offerings at different price points to increase sales.
4. Mulherone &
Leone (2013) -
multiple product
pricing ,
interdependencies
in demand amog
categories
LITERATURE REVIEW
Spais (2012) -
Papakonstantinidis
model ,integrated
bargaining solution
,vertical cooperative
sales promotion
campaigns
Breugelmans &
Campo (2016) - cross-
channel effects of price
promotions on
category purchase
decisions
Freo (2015)- sales
promotions on store
performance in the
short and long term
from the retailer’s
point view.
8. RESEARCH
METHODOLOGY
STATEMENT : To create a
multi-dimensional
conceptual model to design
an optimal, seasonal
dynamic combo package for
the sales promotion of A.
Albuquerque & Sons OBJECTIVES:
To design an appropriate
seasonal combo package
To develop a business
strategy that would increase
the bill per order.
9. SCOPE AND LIMITATIONS
LIMITATION:
Time constraints
Cross sectional study
Geographical
constraints
Possibilities of
positive bias
SCOPE:
The study was conducted in
Albuquerque and sons.
The data was collected from
the owner Mr. George
Albuquerque Pai and the
workers of the factory for 6
weeks.
10. DATAANALYSIS
It is evident that in general the off season is seen to be
June-August.
But then in the year 2016-17, there is a steep fall in the
number of customers post October till December as the
demonetization policy was announced in the first week of
October.
12. FINDINGS
The model allows predictability of
sales as it induces expectations over
the future evolution of the interior
design market, and captures this
effect in a trackable manner, building
upon recent work on dynamic
demand models
The roof tiles sales diminish in the absence of mixed
bundling, and the consumers who had purchased
bundles may not always purchase pure customized
roof tiles, even though roof tiles may be cheaper than
in bundles
Bundling is found to be a flexible
product strategy option because it
allows firms to create entire product
lines where only one product existed
13. PROBLEM RESOLUTION
Variety of product offerings of
Albuquerque & Sons
Size(in inches) Class of
offerings
No.of tiles required
per sq.ft(nos.)
Approximate price* in INR/ piece
(*Subjected to seasonal variation)
Mangalore Tiles 16*10 Standard 1.3 37
Glazed roof Tiles - Premium - 73
Commercial split tile 10*5inches(18 mm
thickness)
Standard 1.44 17
Ceiling Tiles 12*8 Premium 1.44 73
Weathering Tiles 9*9inches(18 mm
thickness)
Standard 1.8 27
Wall Claddings 9*3 Standard 5.50 39
Clay Hollow Bricks 16*8*8 Standard 1.125 67
Jallis 8*8*3 Premium 2.20 43
Nuvovotto Floor Tiles 240*60*9mm Standard 70 nos. per sq.mt 87
Corner/Top Ridges 10*5 inches(18mm
thickness)
Standard 1.44 153
Pavers 15*8 Premium 12 83
16. BIBLIOGRAPHY
Campo & Breugelmans (2016), Cross-Channel Effects of Price
Promotions: An Analysis of the Multi-Channel Grocery Retail
Sector, Journal of Retailing, pg. 333-351
Adams, W. and Yellen (2016), "Commodity bundling and the burden
of monopoly", Quarterly Journal of Economics, Vol. 90, August, pp.
475-98.
Allen, M. (2088), "Strategic management of consumer services",
Long Range Planning, Vol. 21 No. 6, pp. 20-25.
Alonzo, V. (2096), "The trouble with money", Incentive, February,
pp. 26-30.
Berry, L.L. and Parasuraman, A. (2011), Marketing Services:
Competing through Quality, Free Press, New York, NY.