CHAPTER: 1

 Background of the study

 Objective of the report

 Methodology of the study

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 Chapter: 1

About the Study

Reasons:
The market of food items in our country is very critical and firstly changing. This
market plays a vital role in the whole economy. So we need to develop its
scenarios. To supply well-versed graduates, Dhaka International University is
conduction Master in Business administration (EMBA) program. To complete the
degree I have done the study about the Sale Force strategy and the sales promotion
implement the report. I was sent to CITY GROUP to familiarize the day-to-day
affairs of the company. This report was prepared in the light of guidance of the
core teacher and overall supervision of the program director.

1. Report’s Objectives:

The major objectives are-

 To fulfill the requirement of MBA program.

 To have practical exposure in the specific company relationship between

the sales force and sales promotion.

 To evaluate the performance of the sales force in the organization.

 To have a review of the overall marketing practices of that company.

 To know about the consumers expectations about promotions.

 To check the effectiveness of the sales.

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2. Methodology followed to prepare the report

Methodology of the study includes direct observation, face-to-face discussion with

the employees of different departments, file study, market surveys, practical work
etc. To prepare the report, both primary and secondary sources of information have
been used.

For collecting primary data, I had to ask the director, accounts officers, marketing
people. Others are like-
 Direct communication with the retailers and customers.

 Market survey.

 File study.

The sources of secondary data-

 Reports of CITY GROUP.

 Sales promotion records of CITY GROUP.

 Sales force Management study from Marketing division and H. R

Department of City Group.

And also I studied different activities of the company.

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CHAPTER: 2
 Introduction
 About City Group
 Sister concern of City Group
City Group.
 Organogram of City Group.
 Production
 Legal status
 Sales channel
 Sales Promotion
 Different Products
 New Products development
 Customer satisfaction

Chapter: 2

8
 “INTRODUCTION”
About City Group:
It gives me a great honor and pleasure to introduce City Group of Industries to you.
For over 36 years our company has made valiant efforts in order to provide the
consumers in the mass and premium market with quality products. We always look
forward into all the aspects of providing quality food and health consumables for
you.

PROJETCS OF CITY GROUP:

 Hasan Flour Mills Ltd.

 City Seed Crushing Ind. Ltd.

 Deepa Food Products Ltd.

 Farzana Oil Refineries Ltd.

 City Sugar Industries Ltd.

CITY GROUP:

History of City Group:

The date 6th February, 1972 marks the journey of a valiant effort in Gandaria,
Dhaka - one which marked the beginning of the company known as "CITY OIL
MILLS" - the founder Chairman; Mr. Fazlur Rahman started the group from scraps
virtually. The initial period was marked with a lot of hardships due to the post war
era when the country faced economic fallout. Initially the mission of the company
was to produce mustard oil for the local market consumption. The overwhelming
demand for the product propagated and the company soon found its way into the
business arena.

8
For the next 18 years, the company operated within the vicinity of the Dhaka city
and met the demands of the local market. The revenue generated from this soon
gave away for the entrepreneur to evolve the company, which was by now one of
the largest mustard oil producing plants in the country.

A vision - to transform the company to a 21st century conglomerate of the country

started. "City Vegetable Oil Mills" was established at Rupshi, on the outskirts of
Dhaka city. This effort evidenced an accelerated growth of City Group and the the
company was soon found to open two more sister concerns by the year 1994 -
"Hasan Vegetable Oil Mills Limited" and "City Fibres Limited".

Within this period the founder also devised new production units and soon brand
was born - "TEER", the name itself captivating the hearts and minds of the people.
Appearing in this banner was the flagship product, "TEER SOYABEAN OIL",
which soon found a good market share.

The overwhelming revenue generated and the unprecedented popularity of the

products of City Group soon found its way into the hearts of the people. City
Group was by now one of the emerging industries of the country with an ever-
expanding business, which led to 21 sister concerns by the end of the year 2006.

Presently, the company focuses on meeting and responding to the ever-changing

needs of the consumers both home and abroad. Till now City Group is one of the
largest company in the country, and business reaching foreign countries making it
one of the best conglomerates of the country. Years of meticulous work has paid off
and by now CITY GROUP OF INDUSTRIES has started its alteration towards an
International Standard Company along with its 21 sister concerns.

Our journey till now remains an epic adventure with more yet to come and we
strive with a quest - "A Quest for Excellence!"

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Mission & Vision:
“To provide HYGIENE, HEALTH & EXCELLENCE in food consumables for the
consumers at an affordable price and raise awareness in the Local & International market”
We at City Group care a great deal about the health concern of our consumers. This is
what enables us to maintain the highest quality of hygiene and health standards while
marketing our products, in order to meet the common goal - Excellence!
Our products have acquired fame and are quite popular in the context of Bangladesh. Each
of our brands & products are the ambassadors of our company's goodwill and the strive to
achieve success through quality. The potentials are very high for our products in the
market. Our entire range of consumables are packed using very high quality food grade
packs, PET bottles & HDPE cans. We also use a wide range of world-class high quality
machinery in our production units to provide hygienic food consumables to the consumers.

Our Principal Objectives can be further broken down into 5 parts:

8
 Organogram
Of
CITY GROUP.
Chairman (01)

Vice Chairman (01)

MD (01)

Director (04)

Deputy Sells Manager National Sells Manager General Manager

Manager Manager Manager Manager Manager

Accounts Production Marketing Distribution Admin
(01) (01) (01) (01) (01)

Area Manager, Sales & Marketing (03)

Assistant Area Manager

Senior Zonal Executive

Zonal Executive

Zonal Officer

Senior Sells Representative

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 Sells Representative

Figure: 2. 1 Organization Chart of City Group.

Production

The production process is upgraded. The factory is situated in BISIC Industrial

Area, Ruposhi,Konapara,Narayangonj. For better service of production company
uses automatic machine and untouched. They also have the technical co-operative
with China. All of the products are tasted by BSTI, and also by the Thai Food
Specialists.

Legal Status :
City Group.It has been registered by the Registrar of Joint Stock Companies and
Firm.

Sales Channel :
It has a great sales channel for distributing the products to the consumers. The sales
channel is like:
Manager (Mkt )
Manager (Sales)
Manager (Distribution)
Assistant Manager (Sales & Mkt.)
Regional Sales Manager (RSM)
Assistant Sales Manager (ASM)
Senior Zonal Executive (SZE)
Zonal Executive (ZE)
Zonal Officer (ZO)
Sales Representative (SR)

8
For distributing the products easily company has divided the whole country into
the different distribution zones. Each zone has also few areas. The all Bangladesh
forty five zones.

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SALES PROMOTION :
City Group promoted all kinds of advertisements, which bring about uplift into the
brand scenario for the company. We promote various aspects of our products
starting from Paper to TV Commercials and various other forms of advertisements
to promote our products.
A product is launched into the market through effective advertisements and will
also bring about a satisfactory return.
Currently we are promoting Teer Soyabean, Teer Wheat (Atta), Teer Flour (Maida),
Teer Semolina (Suji) and Jibon Mineral Water.

The patterns of sales promotion :

1. Coupon
2. Discount
3. Free gift
4. Products Bonus offer

Different Products :
Different products of City Group Ltd. are as follows:
1. Refined Teer Soyabean Oil:

2. Refined Natural Oil:

3. Teer Mustard Oil:

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4. Wheat Teer Atta:

5. Teer Flour Maida:

6. Teer Simolina (Suji):

7. Jibon Meneral Water:

8. Refined Sugar:

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Things the consider to develop to develop a new Product :
 Consumer’s Choice
 Target Market
 Available Customer’s
 Competitor’s activities
 Costs

Strategies taken to develop a new product :

1 Pricing:
A. Cost-based Pricing.
B. Value-weighted pricing
C. Market-based Pricing
D. Competitor-based
F. Uniform pricing

2. Promotional Mix:
A. Advertising
B. Sales promotion
C. Personal Selling
D. Direct Marketing
E. Public Relation

3. Another positioning Strategies:

A. Attribute Positioning
B. Benefit Positioning
C. Competitor positioning
D. Quality Positioning

Customer Satisfaction :
Finally we can say about customer satisfaction, Customers buy the products and
want to get maximum utility when they ensure it. A Three months customer survey
report says that 78% of customers are satisfied with the products of TEER
PRODUCT. It is an achievement for the company.

8
CHAPTER: 3
 About the Product
 Segmentation
 Competitive Company
 Competitor’s Activities
 Competitive advantages
 Seasonal trend of Nice
 Step followed to develop new products
 How the product will be positioned.

8
 Chapter: 3

ABOUT THE PRODUCT

Quality: City Group (Teer Products). does not compromise with quality for this
reason quality is tested by BSTI, the registration no. DE 1972. Thai food
specialists also test it.
Packaging: Packaging by full automatic machine and also untouched. Nice has
also technical collaboration.

Serving Size: Different serving size. These are @ 1Kg. Pack, @ 2Kg. Pack @ 1
litter , @ 2 litter, @ 3 litter,@ 4 litter, @ 5 litter, @ 8 litter.

SEGMENTATION

They have a large target market for food items. Because there are many companies
already in existence. So they have to look at the competitors.

Competitors:
# Rupchada Soyabean Oil,Fresh Atta,ACI Pure Atta,Fresh Oil,Fresh Maida,Fresh
Mustard Oil,ACI Pure Mustard Oil, From different renowned brands.

Competitor’s Activities:
# ACI: This brand has large market share they introduced “ACI Soyabean Oil”
and “ACI Pure Atta”.
# Meghna Group: Fresh Oil,Fresh Maida,Fresh,offers scratch card offers with
their products.
# Edble Oil: This brand has large market share they introduced “Ruchada
Soyabean Oil.

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 COMPETITIVE ADVANTAGES
Teer Products has competitive advantages over the competition’s products let’s
have a look on these:

# Quality: Quality is the first concern of Teer Products. All food products are a
tested by BSTI.

# Packaging: The packaging process is fully automated and developed.

# Competitive Price: About the price we can say that Teer Products is offering
less price having excellent quality. The prices of different brands:

Brand: Price (Taka/kg.)

1. Refined Soyabean Oil 119
2. Super Refined Palm Oil 92
3. Mustard Oil 172
4. Wheat Atta 31
5. Flour Maida 37
6. Mineral Water 17
7. Refined Sugar 58

# Technology: The manufacturing process in fully automated and untouched.

Teer Products has great technological support.
# Services: There are extra services for the whole sealer.
For example: If they order 500kg. Of more; they will get free delivery service.

SEASONAL TRENS OF TEER PRODUCTS

In different occasions Teer Products offer different services thes are:

1. In January 1st they offer free sample.
2. 2. In Bangla New Year they also offer free sample.

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 STEPS FOLLOWED TO DEVELOP A NEW PRODUCT

IDEA GENERATION

IDEA SCREENING

CONCEPT DEVELPOMENT & TESTING

MARKETING STARTEGIES DEVELOPMENT

BUSINESS ANALYSIS

PRODUCT DEVELOPMENT

TEST MARKETING

COMMERCIALIZATION

FIGURE: 3.1 Steps to be followed to develop a new product.

STARTEGIES TAKEN FOR THE PRODUCT

1. Pricing Strategies:

i. Cost based pricing: Setting price according to the cost.

ii. Market based pricing: Different prices are set for different market.

iii. Uniform price everywhere: About a specific country.

iv. Competitive pricing: According to the competitive companies prices.

2. Promotional Mix:
i. Advertising: Teer Products is giving advertises in different TV channels
and newspapers.

8
 ii. Sales promotion: Different sales promotion like discount, coupon etc.
iii. Personal selling: Man sales persons are working for personal selling.
iv. Direct marketing:
v. Public relation: For this version, Nice organizes many seminars in
different occasions.

3. Another positioning strategies:

* Attribute Positioning
* Benefit Positioning
* Competitor Positioning
* Quality Positioning

SALES PROMOTION:
Teer Products consists sales promotion activities to consumers and to dealer’s
whole sealers & retailers.

The patterns of sales promotion:

1. Coupon
2. Discount
3. Free gift
4. Products Bonus offer
Nice also offers many training programs for the development of channel.
HOW THE PRODUCT WILL BE POSITIONED

Company & Target

Benefit Price Value
Product Consumers
good
Teer Soyabean More people will
Users according 2% less
Oil tend to buy.
price quality

* Another Positioning: Positioning for it’s Attribute

* Benefit Positioning: For it’s competitive benefits

 User positioning: Positioning from users view point.

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 Competitor Positioning: Positioning for having advantages than
competitors.
 Quality and price positioning: Positioning for better quality and less
price.

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CHAPTER: 4
 Introduction to the Sales force
 Sales Channel of Teer Products
 Distribution Process of Nice
 Factor afforesting the role of personal
selling.

Chapter: 4

8
 “Introduction to the sales force”

Sales force is the force, which works for the overall marketing of a company’s
products. They are the key for a company’s marketing process.

SALES CHANNEL OF TEER PRODUCTS.

Manager (Mkt )

Manager (Sales)

Manager (Distribution)

Assistant Manager (Sales & Mkt.)

Regional Sales Manager (RSM)

Assistant Sales Manager (ASM)

Senior Zonal Executive (SZE)

Zonal Executive (ZE)

Zonal Officer (ZO)

Sales Representative (SR)

Figure: 4.1 Sales channel of City Group.

What They Do:

8
They do the overall marketing for the company’s products. They take the
company’s products to the general customers.

WHY THEY ARE IMPORTANT:

Sales team is very much important and they are key person. Because if they don’t
work in marketing and sales,

Distribution Process of City Group:

Raw materials Suppliers

Factory

Products Produced

Products Distribution in Warehouse

Supply to whole sealer & Retailer

Consumer/Fend User
FIGURE: 4.2 Distribution Process of City Group.
The choice of the particular sales channel is influenced by,

 Customer buying power: How much the consumer can buy?

 Threshold level: How many category influence the selection of selling
channel.
 Complexity of the consumer relationship: How much the relationship
between the company and the customer complex is?
 Key account management: Who is the key of the account?

8
Here in this situation every component is very important for a company, for that
reason CITY GROUP always cares these.

FACTORS AFFECTING THE ROLE OF PERSONAL

SELLING, IN A FIRM’S MARKETING STRATEGY

The firms Emphasis

devoted
Marketing to personal
selling
Objectives, strategy relative to other
and resources promotional
tools.

The target Market

Product
Characteristics Communication
Tasks to be
Accomplished by
The promotion
Distribution policies

Pricing policies Specific

Account
Personal selling
management
Activities required
policies

Figure: 4.3 the factors affecting the role of personal selling, in a firm’s marketing strategy.

8
Another key term to sales channel:
1. Selecting: First select the sales people

2. Training: Then train them.

3. Monitoring: Monitor their activities

4. Evaluating: Evaluate these works

5. Rewards: Offer rewards to them.

Focus of sales channel:

 Customer’s choice: What consumers choose?
 Customers need: What consumer’s need.

8
 CHAPTER: 5
 Sales channel strategy
 Activities of the Sales Channel
 Selecting the Sales Channel
 Sales Organization designs
 How City Group Manage the field force
 The things which are considered for
Distribution

Chapter: 5

8
 “Sales Channel Strategy”
What are sales channel?
Sales channel is the channel which make face to face contact with buyers whereas
direct marketing to customer by phone, mail, television and computer. The choice
of a particular sales channel is influenced by the buying power of customer the
selling level, threshold level and complexity of buyer seller relationship.

Role of selling in promotional strategy:

i) Through selling company makes contact to customers.
ii) It includes flexibility in choosing the role and objective of the sales
force
iii) The marketing program.

Selling process:
Selling process includes:
1. Prospecting for customer
2. Opening the relationship
3. Qualifying the prospect
4. Presenting sales massage
5. Closing the sales
6. Servicing the account.

8
Activities of Sales Channel

Manager (Mkt )

Manager (Sales)

Manager (Distribution)

Assistant Manager (Sales & Mkt.)

Regional Sales Manager (RSM)

Assistant Sales Manager (ASM)

Senior Zonal Executive (SZE)

Zonal Executive (ZE)

Zonal Officer (ZO)

Sales Representative (SR)

Figure: 4.1 Sales channel of City Group.

Selecting the sales channel:

8
Selection Criteria :
i. Customer buying power

ii. Threshold level

iii. Complexity of the customer Relationship

iv. Key Account Management.

How City Group Design the sales channel:

i. Customer basis: Who are the customers and how is there characters?
ii. Product based: Is the product illustrative or not?
iii. Buyers geographic location: What is the location of the buyers?

Sales Organization designs:

Customer needs Different

Market drive design Produce/market drive design

Simple product Complex range of

Offering products

Geography driver design Produce drive design

Customer needs
Similar

Figure: 5.2 Sales organization designs.

Produce drive design : Here company focused on the production. These four
types of designs are determined by the customer’s needs. Because, customer’s

8
needs can be similar and be different. At the same time, sales channels designs are
also influenced by the complexity of the product offerings.

How Teer Products. Manage the sales force:

Sales force differs in ability motivation and performance. Finding and activating
sales people training Supervising and motivating sales people. Sales force
evaluation and control unit of analysis.

 Selecting sales people

At first selecting sales people by interview and qualifying people selected for Teer
product.

 Training:

Selected people are going through hose training.

Training arranged by the Teer productive management. How to contact customer
how Teer Products sales and secured order from shopkeeper. Products knowledge.

 Supervising and motivation:

Sales manager monitoring sales farce and others managers. Area manager
supervise. The sales force daily sales target, Sales volume, collection position and
product availability of customer shop.

 Sales force evaluation and control:

Teer Products. Also evaluates the performances of sales channel and also controls
their workings. And also Teer Products gives rewards to the sales channel
members.

The things which are considered for distribution:

8
 i. Sales result: That is the total sales of products.
ii. Costs: What is the cost? Its costs cross the limit or not.
iii. Sales person’s Activities.
iv. Customer satisfaction: Are the customers satisfied or not?

Setting performance standards;. Teer Products also selects what will he the
standard for a specific sales person.

Selling Through Internet

Till now Teer Products didn’t start selling through Internet.

But is distributors send their purchase orders through e-mail, Nice delivers the
products.

8
CHAPTER: 6
 Sales Force Management.
 Recruitment Process through selection.
 Supervision and Motivation.
 Why Training.
 Motivational factors.

8
 Chapter: 6

“Sales Force Management”

Sales people differ in ability motivation, and performance. Manager is involved in

selecting training, monitoring, directing, evaluating, and rewarding sales people. A
brief looks at each activity shows responsibilities and functions of a sales manager.

HOW TEER PRODUCTS.

Manages its sales force

Finding and selecting sales people:

First step of managing sales force is managing finding selecting viable sales
people. The executive must poss. Three Characteristics.
1. Being customer driver and highly committed.

2. Accepting direction and cooperating as a team.

3. Being motivated by one’s peers, financial incentive and one self.

8
RECRUITMENT PROCESS THROUGH SELECTION

ADVERTISEMENT

INITIAL SCREENING

WRITTEN TEST

PERSONAL INTERVIEW

PHYSICAL TEST

BACKGROUND TESTING

FINAL SELECTION

Figure: 6.1 The recruitment process through selection.

Company tells the sales persons:

 What is his job?

 What are the targets?
 What are their responsibilities?

Training: City Group. Always offers different kinds of training for his sales
people.

8
Those are:
1. On-the-job training: Training conducted on the specific job.

2. Special training: Organize some special training program for development of

marketing side Example: BMDC training.

Training topics may include selling concepts and techniques, product knowledge,
territory management and company policies, and operating procedures.

By training company seeds to:

 Increase productivity.
 Improve morale.
 Improve customer relation
 Enable better management of time and territory.

The training of City Group are evaluated through the performance of before and
after the training.

SUPERVISION AND MOTIVATION

Supervises the performance of sales people. Every day the sales people submit the
sales report about their sales.

The manager who supervises sales people plays a key role in implement of a firm’s
selling strategy. He faces several important management issues. Irregular contact
may cause difficult monitoring.

City Group also offers different kinds of incentives to the sales persons on their
selling activity.

8
 WHY TRAINING

Whenever a person joins to City Group he does not know about the company. It is
required to make familiar with the company.

Introductory training: This training is for those people first joined to the
company. This is done so that they can be adjusted with the company and its
works.

System: First track City Group offers out the job training. Then on the job training.
If company found anyone very skilled and efficient, he is out of the introductory
training. During his job life he gets some special training.

Motivational Factors:
There are many motivational factors for different employees. These are followed:

1. Salary: Salary is motivational factory for some employee City Group increase
salary for the employees.

2. Position: Some are concurred about the position of the job. They prefer higher
position for them. So City Group offers higher position for some employees.

3. Other rewards: City Group also cares about the overall works it a company.
City Group offer good/handsome amount of bonus for some good performances.

8
CHAPTER: 7
 Direct Marketing
 Database Marketing
 Direct Marketing method
 Direct Marketing
 Direct mail
 Tele Marketing
 Direct response media
 Virtual Shopping
 Direct Marketing Strategy

8
 Chapter: 7

Direct Marketing of

CITY GROUP:

Considerations in the Use of Direct Marketing

The expanding popularity of direct marketing methods is driven by a combination

of factors such as socio economic trends, low costs, databases, and buyers demands
for value. We examine how these influences affect companies’ use of mail, phone,
media and computers to access individual buyers.

Socio economic Trends

Several trends make the availability of direct marketing purchases attractive to

many buyers. When both spouses work this imposes major time constraints on
households, and so direct purchase by phone and mail, is a useful way of saving
time as well as making contact at the convenience of the customer. Many single-
person households also favor direct mar-purchases. Buyers can shop at home, save
time, and avoid shopping congestion. Rapid response to order processing and fast
shipping enable buyers to obtain their purchases in a few days. Liberal exchange
policies reduce the risks of direct purchases.

Low Access Costs

While the cost per contact varies with the method of direct contact, costs are much
lower than they are in face-to-face sales contact. Telephone contact ranges from
$10 to $ 20, compared to much lower costs per contact by mail and advertising
media. The availability of databases that can, target specific customer groups
enables companies to target buyers selectively. Companies like American Express

8
can market products to their credit card users. Similarly, airline frequent flier
mailing lists provide cost-effective access to buyers.
Database Management

The use of computerized databases escalated during the last decade, driven by
advances in hardware and software technology. The availability of computerized
databases is an important determinant of successful direct marketing. The
information on in the systems includes internal data customers and purchased data
on customers and prospects. The customer and prospect information contained in
databases can be used to generate mailing lists and prospect lists and, to identify
market segments. These segments offer a direct Communicative channel with
customers and prospects.

Database information enables companies to identify and target individuals or small

micro segments of people. They systems are very useful in sales and sales
management sup micro segments of people. The sport and for direct marketing
programs, Database marketing has three main benefits: (1) strategic advantage
through the more effective use of marketing information internally, (2)
improvement in the use of customer and market information, and (3) a basis for
developing long-term customer relationships. Databases can be used in mail-order
marketing, telemarketing and support of personal selling activities. A major
objective of database marketing is to find and develop strong relationships with the
customers who account for a large proportion of a firm’s annual sales.

Value
The shopping information provided via marketing, convenience, reduced shopping
time, rapid response, response, and con competitive prices give buyers an attractive
bundle of value in many buying situation. Effective database management enables
direct marketing to identify buyers who purchase on a continuing basis.

The differentiated needs and wants of buyers can be addressed through direct
marketing thus enhancing the value offered by the direct marketer. Offerings my
by mass customized when the direct marketer has the capability to modulate the
product offering.

8
 Direct Marketing Methods

There are many methods for direct marketing practices of a company. Important
methods are as follows:

1. Catalogs and Direct mail:

Contact by mail with potential buyers may be intended to generate orders by phone
or mail or, instead, to encourage buyers to visit retail outlets to view goods and
make purchases.

Catalogs
Direct
Mail

Electronic shopping Method

Of Customer access

Radio
Magazine Television
Newspaper Telemarketing

Figure: 7.1 Direct Marketing Method.

8
2. Telemarketing

This form of direct marketing consists of the use of telephone contact between the
buyer and the seller to achieve all or some of the selling function. Telemarketing
offers two key advantages-low contact cost and quick access by both buyer and
seller. It may be used as the primary method of customer contact or as a way to
support the field sales force. Telemarketing escalated in importance during the last
decade and is a vital part of the selling activities of many companies.
Telemarketing, like the Internet, is a potential a-venue of con-with an
organization’s face-to-face sales force.

3. Direct Response Media

Many companies use television, radio, magazines, and newspapers to obtain sales
from buyers. Direct response from the advertising is obtained by mail, telephone,
and fax. People see the ads, decide to buy, and order the item from the organization
promoting the product.

The TV Home Shopping Network markets a wide range of products for many
companies, the products are displayed, and their features described. Prices are
discounted below list prices. The buyer places and order by using a toll-free
number. Individual companies may also market their products by using
commercials for specific products such as house wares, magazines, and music
recordings.

Magazines, newspapers, and radio offer a wide range of direct marketing

advertisements. The intent of direct response Communications is to persuade the
person reading or hearing the ad to order the product. The advantage of using these
media is the very low cost of exposure. While the percent of response is also low,
the returns can be substantial for products that buyers are willing to purchase
through these media.

8
5. Virtual shopping: On the Internet has received much publicity during the last
few years. Companies are considering the potential opportunities of direct
marketing to computer users. The business-to-business sector accounts for the
largest proportion of total Internet sale & There-are three types of networks:
(1) The Internet is a. global interlink of computer networks that
have a common software standard.
(2) An intranet is a company internal capability using Internet
software standards, and
(3) An extranet provides external partners with access to the,
Internet.

For example, a retail Chain may serve customers, Via the Internet, coordinate store
operations via an intranet, and utilize an extranet to interact I with freelance
product designers and other external partners.

Direct Marketing Strategy:

As highlighted in our discussion, direct marketing promotion has the primary

objective of obtaining a purchase response from individual buyers. While the
methods differ in nature and scope, al requires the development of a strategy.
Direct marketing provides a way to reach the customer on a one-to-one basis.
Product strategy must be determined, prices set, and distribution arranged. Direct
marketing may be the primary avenue to the customer, as in the case of L.L. Bean,
Inc. In its targeting of the outdoor apparel niche by using catalog marketing. Other
companies may use direct marketing as one of several ways of communicating
with their market targets. Dell computer employs direct sales contact with business
customers, telephone sales, and Internet sales. The Internet may also be used by
Dell’s customers to obtain information before before placing an order by phone.

8
 CHAPTER: 8
 Sales Promotion Strategy.
 Sales and nature of Sales strategy.
 Sales Promotion activities.
 Promotion to consumer target.
 Promotion to value chain member.
 Promotion to the sales force.
 Advantage and limitation of Sales force.
 Disadvantage.

Chapter: 8

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 “Sales Promotion strategy of CITY GROUP”.

Sales promotion expenditures are increasing more rapidly than is advertising in

many companies manufactures expenditures for sales promotions are estimated to
be as high as 75 percent of the total spent on the two components. Both advertising
and sales promotions are receiving major attention by companies in their attempts
to boost productivity and reduce costs. With marketing expenditures account ion
for one third or more of total sales in City Group, the bottom line impact of
improving the effectiveness of promotion expenditures and lowering cast is
substantial. Nice sales promotion activities provide extra value or incentives to
consumers and value chain participants. The intent is to encourage immediate
sales. Marketing Manager often uses the term promotion when referring to sales
promotion activities. Sales promotion is some form of inducement (e.g. coupon,
contest rebate). It is intended to accelerate the selling process to built sales volume.
Importantly, sales promotion activities can be targeted to various points of
influence in the value chain.

We look at the nature and scope of sales promotion, the type of sales promotion
activities, the advantage and limitations of sales promotion, and decisions that
make up sales promotion strategy.

Nature and scope of sales strategy of CITY GROUP:

City Group employs an interesting form of promotion showroom that has hand on
new product displays. The intent is to give people an opportunity to examine new
products placed in attractive surroundings. The items displayed are not for sale in
the showrooms. The sponsors want potential buyers to see the products, Try them
out and become familiar with their features. The responsibility for sales promotion
activities often involves several Marketing function, such as advertising,
merchandising, product planning, and sales For example, a sales contest for sales
people is typically designed and administered by sales managers, and the cost of
the contest are included in the sales department budget. Similarly, planning and
coordinating a sampling or coupon refund program may be assigned to a product
manager. Point of purchase promotion displays in retail stores may be handled by

8
the field sales organization. Growth in the use of this form of sales promotion has
led to the use of out sourced field marketing companies by some organizations.

Total expenditures for sales promotion by business and industry in the United
States are much larger than the total spent on advertising, probably exceeding $300
billion. The complete scope of sales promotion is often difficult to identify because
the activities are included in various departments and budgets.

A relevant issue is deciding how to manage the various sales promotions activates.
While these programs are used to support advertising, pricing, channel of
distribution and personal selling strategies, the size.

And scope of sales promotion suggest that the responsibility for managing sales
promotion should be assigned to one executive or team of executives. Otherwise
sales promotion activities may not be properly integrated with other promotion
components. The chief marketing executives should coordinate and evaluate sales
promotion activities as part of the marketing program.

Sales promotion activities:

Many activities may fit into the total promotion program including read shows,
specialty advertising (E.G. Imprinted calendars) Contests, point of purchase
display, coupons, recognition programs (award to value-chain members) and free
samples. Expenditures for sales promotion may be very substantial. Companies
may direct their sales CITY GROUP. distributed their yearly calendar to the
wholesalers, retailers through disturbers.

Some times City Group offer incentive program for their field force. They set
special target for the field force and offering incentive who achieve the target. It’s
motivational activities for the field people.

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Promotion to Consumer Target:
Sales promotion is used in marketing of many consumer goods and services.
Information technology offers important insights into the productivity of
promotion programs. For example, sophisticated checkout scanner data analyses
can be used to indicate trade and consumer promotions that perform well. This
information helps in shifting promotion spending to more productive program,
customer groups, and product categories. Promotion programs can be evaluated on
a financial basis b combining customer response data with sot information. The
sponsoring of sports events and individuals is major initiative by various
companies and brands. Sales promotion results form the association of the brand
with the event or person.

Promotion to Industrial Targets:

Many sales promotion methods that are used of consumer products also apply to
industrial products, although the role and scope of the methods may vary. For
example trade shows perform a key role in small and medium size companies
marketing strategies. The advantage of the trade show is the heavy concentration of
potential buyers at one location during a very short time period. The cost per
contact is much less than that of a sales person calling on prospects at their offices.
While people attending trade show also spend their time viewing competitors
products an effective display and buyer/seller interactions offer a unique
opportunity to hold the prospects attention. City Group attended International trade
fair to show their products. Nice attended international food fair also. City Group
sales their4 products in several offices nice instant cup noodles and chanachur is
highly appreciated in most of the office. The Internet has May of the features of
trade shows while elimination some of their limitations.

Sales promotion programs that target industrial buyers may consume a greater
portion of the marketing budget than advertising. Many of these activities support
personal selling strategies. They include catalogs, rochures, product information
reports, samples, trade shows, application guides and promotional items such as
calendars, pens, and calculators.

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Promotion to value-Chain members:
Sales promotion is and important part of manufacturers marketing efforts to
wholesalers and retailers of such products as foods, beverages and appliances.
Catalogs and other product information are essential promotional component of
many lines. The Internet offers an alternative way to make catalog information
available. Promotional pricing is often used to push new products through cannel
of distribution. Various incentives are popular in marketing middlemen. Specialty
advertising item such as calendars and memo pads are used in maintaining bayed
awareness of brands and company names.

Promotion to the Sales force:

Incentives and informational activities are the primary forms of promotion used to
assist and motivate company sales forces. Sales contests and prizes are popular.
Companies also make wide use of recognition program like the “Sales person of
the year” Promotional information is vital to sales people. Presentation kits help
sales people describe new products and the features of existing products. A high-
tech promotion tool with exciting potential is the automated sales presentation
created with the integrated use of send, graphic and video briefcase computers.
These multimedia or interactive techniques give sales people powerful presentation
capabilities, allowing them to have access to a complete product information
system in the notebook computer.

Advantages and Limitation of Sales Promotion

Advantages:
i. Promotion can be used to target buyers.
ii. Respond to special occasions, and
iii. Create an incentive for purchase.

Disadvantages:
1. If a company offers sales promotions frequently, customers will expect
more from the company.
2. Increase customer’s demands for better quality.
3. If consumers get sales promotions regular basis, consumer’s
expectation will be very high.

8
CHAPTER: 9
 SWOT Analysis
 Internal environment analysis
 Weakness

Chapter: 9

8
 “SWOT Analysis”

SWOT analysis is the overall evaluation of a company’s strength, weakness,

opportunities and threat.

SWOT stands for:

S : Strength
W : Weakness
O : Opportunity
T : Threat

I we consider it as the analysis of the external and internal environment then we

can say it external and internal environment analysis.

External environment analysis:

It means company’s opportunities and threats analysis.

Opportunity:
Opportunity focuses on the following things:

Market Niche: CITY GROUP wants to serve all people of Bangladesh. So it

selected the market niche. First it will fill up the needs of the individual consumers.
For this reason, this company started producing consumer goods. Its target market
is food market. Within this it focused on the snack users.

Cashed ideas: Cashing ideas before is another important thing. This company also
cashed few new ideas. These are:
# To offer new food item produced in Bangladesh.

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New segment: The Company has a new market segment. The consumers of this
segment are they who want to get their products at a cheaper rate and with better
quality. The company will serve them as they want.

Segmentation of the market: It is an important part. First City Group segmented the
total market and then they choose the food market to enter. From different
segments it will serve the individual consumers and others:

Threats: The Company has different kinds of threats. Those are noted below:

Competitor’s activities: We that mentioned Edble Oil is really new. But there are
numbers of competitors. Those are experienced and have many activities like.

 Discount
 Low price productivity
 Have public identity
 Huge financial support
And these competitors may have many working plans which the company doesn’t
know.

Employees: Employees are the main power and to the same tie they are threats for
the company. Because they know the internal activities of the company. If they
switch to another company of better salary, they can reveal this. This way company
may face a great problem.

Pressure groups: A company can’t do anything it wants. Because there are many
problems. There are some pressure groups lie BELA, WHO etc. These groups
create pressure on unlawful activities.

Internal Environment Analysis: It is the analysis of the company’s strength and

weakness.

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Strength:
 Experience: Meghna Group is a new company and yet doesn’t have huge
experience. But it is a sister concern of CITY GROUP which has 40 years
experience of business.
 Financial position: Since it is a sister concern of CITY GROUP, it has a
good financial support.
 Goodwill: CITY GROUP has a good will of business.
 Market share: Main competitors captured the market. As a new company
it has a very good market share.

Weakness:
 New entrance: Meghna Group has just cantered into the market. It is new.
 Unable to obtain economies of scale: It is a new company. It is not
exporting its products. So it can’t produce more. SO Meghna Group can’t
maintain the economies of scale.

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CHAPTER: 10
 Recommendations
 Conclusions

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 Chapter: 10

“Recommendations and Conclusion”

Recommendation:

 Company should ensure large number of sales people in every district.

 They should start direct marketing practices very soon.

 They should arrange regularly seminar about the company.

 Recruitment of the sales people should be more efficient.

 Company should enlarge the logistic system.

 Company should upgrade their ware house system.

 Company should recruit energetic and enthusiastic and self motivated

people as employee.

 Company should increase its effectiveness and efficiency of production.

 Company should not Xerox another production system.

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 CONCLUSION

Actually this was a study about the sales force of Meghna Group. Here I have done

study about the company, its strategies, new envelopments, sales force, sales force

development, direct marketing practices and so on. I really enjoyed the study

regarding its identification, selection and more over its future event also while I

was preparing this report I faced some critical situations which were resolved by

myself through market observation of this company. I hope this report will be

helpful for taking a clear and crystal concept of the city group to the people who

are related with this type of marketing sector. Here I have also the swotsis of this

company which will be more relevant to the teacher and student to understand

about the strength, weakness, opportunities and threats of this company. This report

includes ten chapters and lots of sub- chapters which were developed and finalized

through the city group web site and the employees also with my honorable

supervisor. I think this report will be milestone on this sort of marketing sector. I

have tried level best to accomplish the requirement of the topic of the report and

finally I am thankful to my honorable supervisor who gave me the direction to

fulfill the requirement of this report.

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 BIBLIOGRAPHY

 BOOKS:
# Marketing Management (11th ed)
------------------------------ Philip Kotler.
Publisher: Prentice Hall; 11 edition (May 2002)
# Strategic Marketing (7th ed)
------------------------------ David W. Cravens & Nigel F.
Publisher: McGraw-Hill/Irwin; 7 edition (May 7, 2002)
Piercy
# Consumer Behavior (8th ed)
------------------------------ Leon G.Sciffman & Leslie Lazar
Publisher: Prentice Hall; 8 edition (April 9, 2003)

Kanuk
# Integrated Advertising,
Promotion, and Marketing Communication (2nd ed)
------------------------------ Kenneth E. Clow & Donald Baack.
Publisher: Prentice Hall College Div; 2nd Bk&Cdr edition (May 7, 2003)