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A
PROJECT REPORT
ON
MARKET ANALYSIS OF LG CONSUMER DURABLES &
DEALER DEVELOPMENT

‘MARKETED’ BY:

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Acknowledgement
It is indeed of great moment to pleasure to express
our senses of profound gratitude & indebtedness to
all the people who have been instrumental in
making it a rich experience. We found it to be a
challenging project that gave us a real practical
exposure to the corporate world and it is almost
impossible to do the same without the guidance of
peoples around us. It gives us immense pleasure to
acknowledge LG ELECTRONICS INDIA Ltd.
dealers, who have been nice enough to give us a
chance to do our project and providing us
wonderful support throughout our project.

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Executive summary
Indian Consumer durables market used to be dominated
by few domestic players like Godrej Voltas Allwyn and
Kelvinator. But post liberalization many foreign
companies have entered into Indian market dethroning
the Indian players and dominating Indian market the
major categories being CTV, REFRIGRATOR, AIR
CONDTIONERS and WASHING MACHINES. India being the
second largest growing economy with huge consumer
class has resulted in consumer durables as the fastest
growing industries in India. LG, SAMSUNG the two Korean
companies have been maintaining the lead in the market
with LG being leader in almost all the categories. The
rural market is growing faster than the urban market,
although the penetration level is much lower .The CTV
segment is expected to the largest contributing segment
to the overall growth of the industry. The rising income
levels double-income families and consumer awareness
are the main growth drivers of the industries. Consumer
durables major LG Electronics India Pvt Ltd (LGEIL) will
invest nearly Rs 500 crore in India this year in research
and development, brand-building and other marketing
initiatives. The company, having a turnover of Rs 9,500
crore and market share of 26 percent, is investing Rs 360
crore on brand-building and other marketing initiatives
and around Rs 140 crore on research and development,
besides launching new platforms in information
technology and related areas, LG’s innovative ‘211
campaign’ to provide quality after-sales service, will also
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be expanded from the existing 22 to 40 cities by next
month, the campaign, for which IT infrastructure has
been set up, includes the company’s response to
customer complaint within two hours. The fixing time for
complaints varies from one hour to a maximum of 24
hours.

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Scope of project
This project gives us great exposure to the consumer
durable market because it includes product knowledge
and field survey job in which we visited the LG stores in
Delhi. Incidentally Diwali time was nearing during our
survey period which exposed us to another aspect of
product promotion. LG always insist the 50% display
share of LG product because LG believes that “JO
DIKHTA HAI WO BIKTA HAI”.

While visiting the shops we

1. Calculated the display share of the LG product in every


shop.
2. Collected the data of actual monthly sale of the LG
products in
few shops.
3. Checked the availability of LG catalogue and the POPs
in the
store.
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4. Found out the problems that the dealer are facing
while selling
the LG products.
5. Found out the customer response for LG products by
asking
the owner of the shop.
6. Found out the distributor name from who they were
purchasing their products and also whether they have
direct
dealership and which brand.
7. Checked whether demo calls are attended or not

Key findings:-
1. By calculating the display share we found that in most
of store
LG has 50% display share almost all categories.
2. By the actual monthly sale of particular store we came
to know
the capacity of the store and how much product can
they sell.
3. It helps us to know that weather dealer is capable of
being a
direct dealer of LG or not and it also helps to find out
the new
dealers who are capable of being an LG dealer.

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4. We also came to know while visiting the shops that
there was
big problem of after sales service.
5. Many dealers were facing the problem of after sale
service
because there is no follow up calls from LG.
6. Demo calls also not done properly.

INTRODUCTION
Before the liberalization of the Indian economy, only a
few companies like Kelvinator, Godrej, Alwyn, and Voltas
were the major players in the consumer durables market,
accounting for no less than 90% of the market. Then,
after the liberalization, foreign players like LG, Sony,
Samsung, Whirlpool, Daewoo, and Aiwa came into the
picture. Today, these players control the major share of
the consumer durables market. Consumer durables
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market is expected to grow at 10-15% in 2007-2008. It is
growing very fast because of rise in living standards, easy
access to consumer finance, and wide range of choice, as
many foreign players are entering in the market With the
increase in income levels, easy availability of finance,
increase in consumer awareness, and introduction of new
models, the demand for consumer durables has increased
significantly. Products like washing machines, air
conditioners, microwave ovens, color televisions (CTVs)
are no longer considered luxury items. However, there
are still very few players in categories like vacuum
cleaners, and dishwashers Consumer durables sector is
characterized by the emergence of MNCs, exchange
offers, discounts, and intense competition. The market
share of MNCs in consumer durables sector is 65%. MNC's
major target is the growing middle class of India. MNCs
offer superior technology to the Consumers whereas the
Indian companies compete on the basis of firm grasp of
the local market, their well-acknowledged brands, and
hold over wide distribution network. However, the
penetration level of the consumer durables is still low in
India.

Classification of consumer durables sector

1. Consumer electronic include vcd/dvd, home theatre,


music
player, color television (CTVs), cameras, camcorders,
portable
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audio, Hi-Fi, etc
2. White goods include dishwashers, air conditioners,
heaters,
washing machines, refrigerators, vacuum cleaners,
kitchen
appliances, non-kitchen appliances, microwaves, built-
in
appliances, Tumble dryer, personal care product etc.
3. Moulded luggage include plastics
4. Clocks and watches
5. Mobile phones

Scope

1. In term of purchasing power parity (PPP), India is the


4th
largest economy in the world and overtake Japan in the
near
future become the 3rd largest.
2. Indian consumer durable market is expected to reach
$400
billion by on 2010
3. India has the youngest population amongst the major
countries. There are lot of people in the different
income
categories nearly the two third population is below the
age of
35 and nearly 50% is below 25.
4. There are 56 million people in middle class, who are
earning
us$4,400-US$21,800 a year. And there are 6 million
rich
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household in India.
5. The upper-middle and high-income household in urban
areas
are expected to grew to 38.2 million in 2007 as against
14.6
million in 2000.

Opportunity

1. In India the penetration level of white goods is lower as


compared to other developing countries.
2. Unexploited rural market.
3. Rapid urbanization.
4. Increase in income level, i.e. increase in purchasing
power of
consumers.
5. Easy availability of finance.

Threats

1. Higher import duties on row materials.


2. Cheap imports from Singapore, China and from other
Asian countries.

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Brands in consumer electronics sector


MNCs NATIONAL
REGIONAL
LG ) ONIDA
BUSH
SAMSUNG ) KOREA VIDEOCON
CROWN
HYUNDAI ) BPL
SALORA

TCL ) CHINA GODREJ T-


SERIES
HAIER ) VOLTAS
WESTON
IFB
BELTAK

PHILIPS ) HOLLAND
OSKAR

PANASONIC )
SHARP )
HITACHI )
SANSUI ) JAPAN

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AKAI )
AIWA

WHIRLPOOL )
ELECTROLUX

TODAY Consumer durables sector is characterized by the


emergence of MNCs, exchange offers, discounts, and
intense competition. The market share of MNCs in
consumer durables sector is 65%. MNC's major target is
the growing middle class of India. MNCs offer superior
technology to the LG, SAMSUNG the two Korean
companies has been maintaining the lead in the
industries with LG being leader in almost all the
categories.
The company, having a turnover of Rs 9,500 crore and
market share of 26 per cent, is investing Rs 360 crore on
brand-building and other marketing initiatives and around
Rs 140 crore on research and development, besides
launching new platforms in information technology and
related areas.

LG Electronics is one of the leading companies in the


field of
electronics with a global presence in many
countries.Before briefing, we have divided the
introduction part into three main sub parts.

1. LG Global
2. LG India
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3. LG

History of company:
The company was originally established in 1958 as Gold
Star, producing radios, TVs, refrigerators, washing
machines, and air conditioners.

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1958-1969-GoldStar The Electronics Industry Dream

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1970-79 GoldStar symbol of The Technolgoy

1980-88 :- INTERNATIONALIZATION

1989-94 INOVATION

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1995-98 GLOBAL LEADERS LG ELECTRONICS

1999-2003-DIGITAL MANAGEMENT

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2004-2006 GREAT PEOPLE GREAT DESIGN

2007-THE PEOPLE COMPANY

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The LG Group was a merger of two Korean companies,


Lucky and Gold Star, from which the abbreviation of LG
was derived. The current "Life's good" slogan is a
backronym. Before the corporate Name change to LG,
household products were sold under the Brand name of
Lucky, while electronic products were sold under the
brand name of Gold Star. The Gold Star brand is still
perceived as a discount brand.
In 1995, Gold Star was renamed LG Electronics, and
acquired Zenith Electronics of the United States.

Global Operation:

LG Electronics is playing an active role in the world


market with its assertive global business policy. As a
result, LG Electronics controls 110 local subsidiaries in
the world with around 82,000 executive and employees.

LG Group
1. LG.Philips LCD
2. LG Chemical
3. LG Telecom
4. LG Powercom
5. LG Twins
6. LG Dacom

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Business areas and main products
Mobile communications
(a) CDMA Handsets,
(b)GSM Handsets,
(c) 3G Handsets,
(d) Cellular Phones
Digital appliance
a) Air Conditioners,
b) Refrigerators,
c) Microwave Ovens,
d) Washing Machines,
e) Vacuum Cleaners,
f) Home Net,
g) Compressors for Air Conditioners and Refrigerators
Digital display
a) Plasma TVs,
b) LCD TVs,
c) Micro Display Panel TVs,
d) Monitors,
e) PDP Modules,
f) OLED Panels,
g) USB Memory,
h) Flat Panel Computer Monitors
Digital media
a) Home Theater Systems,
b) DVD Recorders,
c) Super Multi DVD Rewriters,
d) CD±RW,
e) Notebook PCs,
f) Desktop PCs,
g) PDAs,
h) PDA Phones,
i) MP3 Players,
j) New Karaoke Systems,
k) Car Infotainment

VISION
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Global Top 3 by 2010

Global Top 3 Electronic/Telecommunication


company

GROWTH STRATEGY

“Fast innovation, Fast growth”

CORE COMPETENCY

“Product leadership, Market leadership, People


leadership”

CORPORATE CULTURE

No excuse, “we” not “I”, Fun workplace

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SLOGAN

"Life's Good" represents LG's determination to


provide delightfully smart products that will make
your life good.

The LG Electronics Life's Good signature consists of the


LG logo,
seal, and the slogan, "Life's Good" set in Charlotte sans
typeface
curved around the LG symbol. The curving of the slogan
reinforces LG's personality and uniqueness. The
consistent usage of this signature clearly establishes the
unique identity of the company and unifies every division
and product from LG Electronics across the globe.

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THE SYMBOL

The symbol of LG is the face of future. The letter “L” and


“G” in a circle symbolizes world, future, youth, humanity
& technology. LG philosophy is based on humanity. It also
represents LG’s efforts to keep close relationship with our
customers around the world.

The symbol consists of two elements.

1. The logo in LG gray


2. The stylized image of human face in the unique LG red
color.

Red color represents our friendliness and gives a strong


impression of LG’s commitment to deliver the best.

The circle symbolizes The Globe. The stylized image of a


smiling face in the symbol conveys “Friendliness and
Approachability”.

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The one eye on the symbol represents “Goal-oriented,
Focused & Confident”.

The slogan of LG is “Life’s Good”. It expresses“ Brand’s


Value , Promises, Benefits , Personality .

THE PARTNERSHIP

LG Electronics chooses to promote harmony and build


constructively on a labor-management relationship rather
than an employee-employer relationship. This illustrates
that management and workers are not in a vertical
relationship, but in a horizontal one.

This culture is necessary for LG Electronics as it strives to


become one of the world's top companies. Such a
relationship is transformed into a value-creation
relationship whereby both parties endeavor to address
mutual problems and
create new values together.

STRATEGIC ALLIANCE

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LG Electronics is making technical advances and
identifying business opportunities through various
associative relationships with some of the world's
leading companies.

LG Electronics is striving to become number one in the


world by
mingling in various business and technological fields and
making strategic alliances with world famous companies.
"Strategic association between corporations," in which
companies with different infrastructures cooperate in the
fast-developing 21st century business field, is of key
significance in terms of strengthening the existing
industry and creating a new one.

LG Electronics will do its best to create new products


and services with an open mind, while developing new
technologies and business fields through various
associations with some of the world's most successful
companies.

1. 3M
2. SUN
3. YAHOO
4. PHILLIPS
5. TOYOTA
6. MICROSOFT
7. HP
8. GOOGLE

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9. GE
10.INTEL
11.NORTEL
12.HITACHI
13.PRADA
14.RENESAS
15.TOSHIBA
16.BESTBUY

And the number follows many


more…………………………..
In Feb. 2007 LG Electronics and Yahoo formed a strategic
alliance. Yahoo mobile services will be available from LG
mobile. This service is targeting 10 million LG mobile
phones in over 70 countries.

In Mar. 2007 LG Electronics and Google formed a


strategic alliance. Both companies will work together to
release, market, and offer LG mobile phones with Google
services (search engine, map, email, and blogs).

LG BRAND IDENTITY:-
The brand of LG is delightfully smart. LG strives to
enhance the customer’s life and lifestyle with intelligent

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features, institutive functionality and exceptional
performance.

The brand platform:-

The LG brand is composed of four basic elements –

1. Value
2. Promise
3. Benefits
4. Personality

The Brands core Value that never changes.

a. Trust,

b. Innovation,

c. People

d. Passion

The benefits that are consistently delivered to the


customer includes

a) Reliable products

b)Simple design
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c) Ease of use

d)Extraordinary Experience

Personality describes the human characteristic that are


expressed to the customer through

Trustworthy, Considerate
Practical, Friendly

The Internal Culture of LG:

LG practices four cultures

1. Learning Culture

2. Boundary less Environment

3. A Carrier

4. Growth

According to LG, the Learning Culture continuously helps


the employee to learn more and more to develop the
habit of continuous learning.

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Boundary less Environment means that there is no
difference between the levels of employees. There is
transparency between the work and mutual
understanding between all the employees.

A carrier is highly growing in LG and one who is the


employee can develop their carrier largely. A new comer
will feel fully comfortable in the company and for a new
comer the company is very helpful in the overall growth
of personality.

Growth in LG is very high for those who are in the


company and for those who want to join in LG. The
company is growing with fast innovation and the BLUE
Ocean strategy is one of the examples of growth.

Mission

The mission of LG is to provide the customers with utmost


satisfaction through leadership. The fundamental policy
of development is to secure product leadership that the
Customers may have the utmost satisfaction.

Product Leadership

We are focusing on six development areas to become the


product leader.
1. New Machine
2. Reliability

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3. Conventional Installation
4. Environment Friendly Product
5. Low Noise & Vibration
6. Energy Saving

Quality Innovation

The policy of quality assurance is to provide customers


with utmost satisfaction by supplying zero defects.

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LG proceeds in a hierarchal manner. It is named as “LG


WAY”.

From top to bottom:

No.1 LG – is the VISION

“Jeong-DO” Management is LG’s unique application to


ethics. LG will succeed through fair management
practices and constantly developing our business skill.

A) Honest with our customer


b) Providing great values to customer through constant
innovation & and development.
c) Equal opportunities
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d) Equal Treatment

Management Principle - Creating value for customer

Code of conduct of LG

1. Responsibility and obligations to customers :

• Respect for Customers


• Creating Value
• Providing Value

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2. Fair competition

• Pursuit of Free Competition


• Compliance with Laws and Regulations

3. Fair Transaction :

• Equal Opportunity
• Fair Transaction Procedure
• Support and Aid for Business Partners

4. Basic Ethics for Employees

• Basic Ethics
• Completion of Duty
• Self Development
• Fairness in Performance
• Avoidance of conflict with company interest

5. Corporate Responsibilities to employees

• Respect for human dignity


• Fair Treatment
• Promoting Creativity

6. Responsibilities to society and country

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• Rational Business Development
• Protection of stock holder interest
• Contribution to social development
• Environmental Conservation

LG INDIA
LG Electronics India Pvt. Ltd., a wholly owned subsidiary
of LG Electronics, South Korea was established in
January 1997 after clearance from the Foreign
Investment Promotion Board (FIPB). LG set up a state-of-
the art manufacturing facility at Greater Noida, near
Delhi, in 1998, with an investment of Rs 500 Crores.

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LG corporate office is located at Plot no.51, Udyog Vihar,
Kasna Road, Greater Noida, India. This facility
manufactured Color Televisions, Washing Machines, Air-
Conditioners and Microwave Ovens.

''Company is setting up a chain of exclusive premium


showrooms. LG plans to launch 60 premium Brand
Shoppes by the end of the first quarter of this year. At
present, LG has a total of 83 LG stores across the
country, of which 45 are shops and 38 are exclusive
stores. Brand shops will be placed in the premium
segment and the target audience will comprise buyers
interested in premium and high end products.

LG Brand Shoppe goes beyond the concept of a normal


exclusive store by having a more interactive environment
and additional lifestyle orientation on display so that the
customer can actually experience the LG products in his
or her own home settings.

LG Electronics India Ltd (LGEIL), consumer durables


leader with 27% market share, is planning a brand new
image. To attract inspirational and young consumers
across India, company will roll out a new marketing
strategy. The exercise will cost the company Rs 360
crore.

LG Electronics India is the fastest growing company in


the consumer electronics, home appliances, and
computer peripherals industry today. LG Electronics is
continually providing, superior technology products &
value for money to more than 50 lakh households in

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India. LGEIL is celebrating the 11th anniversary this
year.

LG Soft India the innovation wing of LG Electronics in


Bangalore is LG Electronics' largest R&D centre
outside Korea. We at LGSI focus on niche technology
areas such as mobile application development, digital
video broadcast and biometrics software and support LG
Electronics with our expertise. Motivated by a passion for
technology, a strong work culture and loyalty to the
organization, we are determined to see LG become one of
the top three brands globally.

Prominent consumer electronic company, LG Electronics


Inc. has said that it expects the sale of its products in
India to up by 15 per cent in 2008. Moon Bum Shin,
managing director of LG Electronics India has said that
the company has earmarked 4.8 billion rupees for
investment purpose in India this year. The said money
will be used to market as well as manufacture new
products.

LG Electronics, which is originally a South Korean


Company with branch in India, informed that its sales of
GSM mobile phones, color televisions, air conditioners
and other household goods in the Indian market was to
the tune of 95 billion rupees ($2.4 billion) in 2007. As per
Shin's estimate, the sales in 2008 would be around 110
billion rupees. In order to achieve its target, Shin said LG
Electronics will concentrate on catering to the high-end
consumer market which will help boost sales this year.
India churns out six (6) per cent of LG Electronics global

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revenues of $42 billion. The Indian branch of LG exports
to 40 countries.
India challenges

The challenges faced by LG when entered in Indian


market

1. Low brand awareness about LG in India.


2. One of the last MNCs entered in India (Samsung,
Panasonic
entered in 1995 in India).
3. High import duty
4. Compitition from local market players and other MNCs
in
consumer durable segment.
5. Price sensitiveness of the Indian consumer

LGEI over comes these challenges to emerge as

Innovative marketing strategy

1. Launch new technologies in consumer electronic and


home
appliances.

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2. LG was the first brand to enter in cricket in big way a
way,
by sponsoring the 1999 world cup followed it up in
2003 as
well.
3. LG brought in four captains of the Indian cricket team
to
endorse its products. LG invested more then US$ 8
million
on advertising and marketing in this sport.
4. LG has differentiated its product using technology
and
health benefits. CTV has “Golden eye
technology” Air
conditioner has “Health air system” and
microwave ovens
have the “Health wave system”.

Local and efficient manufacturing to reduce the


cost

To overcome high import duties LG manufactures TV


refrigerator in India at manufacturing facility at Noida and
. LGEI had already commissioned contract manufacturing
at Mohali Kolkata and Bhopal for CTVs. This has helped
LGEI to reduce cost. LGEI implementing the “Digital
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manufacturing system” (DMS) as the cost cutting
innovation this system is follow-up to the six sigma
exercise LGEI had initiate earlier.

R&D potential

LG has the research and development facilities in


Bangalore and . Both the unit carry out R&D department
for the domestic as well as the parent company it also
dose customize R&D for the specific countries to which it
export product.

Regional channel and wide distribution network

1. LG has adopted the regional distribution channel in


India.
All the distributers work directly with the company.
This
has resulted in quicker rotation of the stock and
better
penetration into B, C, D, class market.
2. LG also follows the stock rotation policy rather then
dumping stock on channel partners.

Product localization:-
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1. Product localization is the key strategy used by the LG
2. LG came out with Hindi and regional language menus
on its TVs.
3. Introduced the low-priced “Cineplus” and “Sampooma”
for the rural market.
4. LG was the first brand to introduce gaming in TVs in
continuations of its association with cricket LG introduce
cricket game in CTVs

MAJOR KEY SUCCESS FACTORS:

1. Innovative marketing - LG was the first brand to enter


cricket
in a big way, by sponsoring the 1999 World Cup and
followed
it up in 2003 as well.
2. Local and efficient manufacturing to reduce cost - To
overcome
high import duties, LG manufactures PC monitors and
refrigerators in India at its manufacturing facility at
Noida,
Delhi.
3. Commissioned contract manufacturing at Mohali,
Kolkata and
Bhopal for CTVs.
4. Product localization - Product localization is a key
strategy
used by LG. It came out with Hindi and regional
language
menus on its TV.
5. Regional distribution model - This has resulted in
quicker
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rotation of stocks and better penetration into the B, C
and D
class markets.
6. Leveraging India’s IT advantage - LG Electronics has
awarded
a contract to develop IT solutions to LG Soft India
(LGSI). The
project involves development and support for ERP,
SCM, CRM
and IT-enabled services for LG.

Strategies adopted by the organization:

LG follows 10 commandments which are as follows.


1. Foster working environment-5S Environment
2. Fast execution is key to success
3. Transparent and fast communication-open
communication
4. Update market -knowledge –Demographics
5. Win –Win relationship with the trade partners
6. Customer is the king
7. Even Billing –Road to ach supplier A
8. Be in touch with the market (70% Market, 30% Office).
9. Plan and Execute annual marketing Calendar-Time to
market
10.Display share of 50% -to get 50% consumer share.

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LG market share of consumer appliances and


consumer electronic:-

LG position of CTV in various states in India


LG position of REF in various states in India
LG position of WM in various states in India
LG position of AC in various States in India
LG position of Audio & Home Theater in various in India
LG position of DVD in various in India
LG position of MWO in various states in India

This analysis is based on the ORG survey conducted by


LG which represent the LG position of different consumer
durables in various states in India. We selected different
brand in different category as per the market share and
the demand of product in market. This analysis
represents the LG market position during the period of
March 2008. It shows that LG has captured maximum
market share almost in every category. LG and Samsung
have the maximum market in consumer durable market
but LG dominate the almost all the category in consumer
durable. Prominent consumer electronic company, LG
Electronics Inc. has said that it expects the sale of its
products in India to up by 15 per cent in 2008. Moon Bum
Shin, managing director of LG Electronics India has said
that the company has earmarked 4.8 billion rupees for
investment purpose in India this year. The said money
will be used to market as well as manufacture new
products. LG Electronics, informed that its sales of GSM
mobile phones, color televisions, air conditioners and
other household goods in the Indian market was to the

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tune of 95 billion rupees ($2.4 billion) in 2007. As per
Shin's estimate, the sales in 2008 would be around 110
billion rupees. In order to achieve its target, Shin said LG
Electronics will concentrate on catering to the high-end
consumer market which will help boost sales this year.
India churns out six (6) per cent of LG Electronics global
revenues of $42 billion. The Indian branch of LG exports
to 40 countries. Shin remarked that the company was
targeting an increase of exports to $300 million in 2008
from $230 million in 2007.

LG PUNE
LG Pune is the branch office of LGEIL. It is located in J.M
Road. In 2004 LGEIL opened second factory which is
located in Ranjangaon. This plant manufactures all
product including DVD writers and GSM mobiles. Thus it
became first company to manufacture DVD writers in
India. The ODP plant aims to reach a manpower base of
1500 people and an investment of Rs 300 crore till 2010.
LG India will become the export hub for LG Worldwide,
catering to the Middle East and African markets. The
company aims to touch an export turnover of $3 billion
by 2010 from India, which will contribute to 30 per cent of
the Indian arm's turnover. , India, October 6, 2004 -- LGE
announced 3 growth strategies aimed at the 1.1 billion
people of India making the Indian market the second
largest global production base following China. Under this
strategy LGE has projected 2007 revenues in India will
exceed US$10 billion, 10 times that of 2004.
The three strategies for the Indian market that the global
electronics giant disclosed included: penetrate the south-
western market of India through the new plant near
Mumbai, the second largest city in India, in addition to
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the existing northern plant; installs a new GSM handset
production line in the new plant and use it as its second-
largest global GSM handset production line after the
Qingdao plant in China; and expand the current 750 R&D
staff in India to 1,500 by 2007, striving to develop
premium products and export 30% of India-manufactured
products to Asia, Middle East and Africa markets by 2007.
LG Electronics’ second new plant in Pune, India covers a
total area of 211,200 square meters and is currently
equipped with a production line to manufacture 600,000
TVs and one million refrigerators a year. The company is
set to add production lines of air conditioners, washing
machines, monitors, and electronic ovens, by 2005. Also,
LG Electronics is poised to install a GSM handset
production line in the new plant by early next year. The
GSM handset line envisages a capacity of manufacturing
2 million handsets annually, and the company expands it
to become a global GSM handset production base with a
capacity of an annual 10 million units by 2010. In
connection with its three growth strategies for the Indian
market, LG Electronics will invest a total of US$150
million in establishing facilities and boosting R&D efforts
in India by 2007. Specifically, it will invest US$53 million
in the second plant, another US$43 million in establishing
the GSM line, and US$54 million in securing R&D
manpower and boosting other efforts. Through these
strategies, LG Electronics aims to penetrate the global
market by using China and India as its core production
bases, while operating its plants in Changwon and Gumi,
Korea, as its main production bases. This way, the
company is pushing to penetrate the global home
appliance market. The present capacity of the facility is of
1 lakh unit per year and it shall cater to the need of the
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domestic markets. LG plans to upscale its operations to a
figure of 2.5 lakh units a year in the near future. The
plant in addition to its current manufacturing facility at
Greater Noida will enable the company to enhance its
consumer reach and reiterate it’s commitment towards
providing
superior technology products to the India consumer. The
key strategies being implemented include increasing the
number of its regional offices from six to eight. LG has
split its southern regional office into two, one comprising
the states of Tamil Nadu
and Kerala and the other consisting of Andhra Pradesh
and Karnataka. In addition, it has split one of its northern
regional offices by making Uttar Pradesh a separate
region after spinning it out from Delhi NCR. The other four
regional offices take care of East, Gujarat and Madhya
Pradesh, Maharashtra & Goa and Punjab, Haryana &
Rajasthan respectively. In the coming year, LG is also
repositioning its marketing spends, resulting in a
significant increase in its mass media expenditure for
better brand visibility. LG had a marketing budget of Rs
320 crore in 2007 with a 60:40 split in favor of below-the-
line activities. Next year, the company plans to increase
the share of mass media even as overall marketing
spends would be raised by just about 10-15%.

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Distribution and Marketing:

The company has number of dealers and warehouses.


They have LG exclusive shops. For the marketing of the
products a number of activities are followed:
1. Exhibitions are conducted from time to time.
2. Society and college activities are conducted.
3. Hoarding, Posters, banners are used so as to grab the
attention of the costumers.
4. Day to day advertisement in leading newspaper.
5. Discount at festival time.
6. For dealer relationship they arrange dealer meeting at
several time in the year
7. LG divide dealer in gold silver etc. category to know
the performance of the dealers.
8. They have their sales persons at various sub dealer
store and at mordent trade store for particularly for the
promotion of the LG product.
9. LG also uses the radio FM for the promotion activities.
10.Also provide capon and scratch card for festive
season.

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The logistics (Supply Chain Management):-

Logistics is the art and science of managing and


controlling the flow of goods, energy, information, and
other resources like products, services, and people, from
the source of production to the marketplace. It is difficult
to accomplish any marketing or manufacturing without
logistical support. It involves the integration of
information, transportation, inventory, warehousing,
material handling, and packaging. The operating
responsibility of logistics is the geographical repositioning
of raw materials, work in process, and finished
inventories where required at the lowest cost possible.
Logistics Management is that part of the supply chain,
which plans, implements and controls the efficient,
effective forward and reverse flow and storage of goods,
services and related information between the point of
origin and the point of consumption in order to meet
customers' requirements.
5R’s of Logistic followed by LG:
1. Right Time

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2. Right Place
3. Right Condition
4. Right Cost
5. Right Handling
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The LG Factory is located at NOIDA & . There are three


types of
Warehouse-
1. Mother Warehouse
2. Branch Warehouse
3. Spare part warehouse
The mother warehouse is that where the products from
the factory are kept and from that warehouse, the
products are sent to the branch warehouse. A warehouse
is a commercial building for storage of goods.
Warehouses are used by manufacturers, importers,
exporters, wholesalers, transport businesses, customs,
etc. They are usually large plain buildings in industrial
areas of cities and towns. They come equipped with
loading docks to load and unload trucks; or sometimes
are loaded directly from railways, airports, or seaports.
They also often have cranes and forklifts for moving
goods, which are usually placed on ISO standard pallets
loaded into pallet racks.

In warehouse 7 locations is set up for the products.


Loc 1, Loc 2, Loc 3, Loc 4 , Loc 5 ,Loc6, Loc 7
Loc 1 – selling
Loc 2 - second sale
Loc 3 - insurance claim

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Loc 4 - write off material
Loc 5 – destroy the item
Loc 6 - court case material
Loc 7 - for repair

5’s of warehouse, which the LG strictly follow.


1. Sweeping
2. Sorting
3. Systematic Arrangement
4. Simplification
5. Self- discipline

In warehouse, the products are pinup with 3-color paper


to get the knowledge about the delivery.

1. Red Card – To stop the product going into market,


2. Green card – To allow the product for delivery in
market,
3. Yellow Card – After the product labeled with green,
allow this
to move in market

Distribution Time:-
• Local delivery – 4 hrs.
• Upcountry delivery - 12 hrs.
• Within 200 km. – 24 hrs.
• Beyond 200 km. – 48 hrs.
The above distribution time is the time of delivery of
products from warehouse to the market place, which the
logistic department follows to fulfill the demand in the

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market at right time. In LG, we have the following
process, which is followed in logistic through ERP.
· Order Processing
· Invoicing
· Indenting
· Report
Order Processing booking for dealers /distributors
Invoicing after billing process/bill generation
Indenting requirement (Production Unit to branch unit)
Report distributed to all

In warehouse, there are two mode of dispersion of


product from one place to another within.
a) Hydraulic
b) Manual
In addition, there are 35 fire extinguishers to prevent the
accidental hazard within the warehouse due to fire. These
fire extinguishers are valid up to year 2011. One has to
follow the rule of “NO Smoking” within the warehouse

Logistics Ten Commandments – Golden Rules

1 - Warehouse 5S – to be strictly followed – FG – 2, 5 & 7


to be properly maintained.
2 - 100% Bar-coding for all inward & outward transaction.
3 - Follow standard pick – ship process religiously.
4 – No inventory mismatch, shortage or excess – monthly
100% physical stocktaking.
5 – Nil 30+ for FG – 2, 3 & 5.
6 – Nil transit damage.
7 – File insurance claim within 2 days. Settle all claim all
within 30 days.
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8 – No inter – branch transfer without HO clearance.
9 – PSI feeding into system by 25th of every month.
Ensure 90% accuracy.
10 – Apply physical FMFO.

Problem

1- In transit material damage checking.


2- Cost target achievement.
3- Natural events tracking.
4- Fluctuation in demand-supply Equipments
1- 100% Bar code scanner.
2- ERP – Invoice Generation Process.
3- Hydraulic Trolleys for material movement.
4- Pallets for safety of material.

CUSTOMER SERVICE:

The best and the biggest international brands are here in


India –but the irony if it all: where is the after-sales-
service? So integral to a brand, so critical for its success
and so taken for granted in developed markets! In India,
after sales service is, for want of a better description, the
pits. So what’s stopping the best companies from pulling
out all the stops when it comes to providing the best
service? Do customers expect for too much? Or is it that
in India they don’t really care. Brand Equity fanned out to
MNC as well as Indian consumer durable companies,
stockiest and dealers, analysts and market researchers to
get feel of what’s really keeping after sales from being

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used as a cutting edge marketing tool in pushing
products across categories. Customers support following
the purchase of a product or service. In some cases,
after-sales service can be almost as important as the
initial purchase. The manufacturer, retailer, or service
provider determines what is included in any warranty (or
guarantee) package. This will include the duration of the
warranty traditionally one year from the date of
purchase, but increasingly two or more year’s
maintenance and/or replacement policy, items
included/excluded, labor costs, and speed of response. In
the case of a service provider, after-sales service might
include additional training or helpdesk availability. Of
equal importance is the customer's perception of the
degree of willingness with which a supplier deals with a
question or complaint, speed of response, and action
taken.

LG also had a big problem of after sale service in India.


During the project we also came to know that after sale
service becomes the big issue in the region. Customers
as well as dealer were facing the problem of after sales
service. Because of this problem many dealer in the
region were not ready to sell LG product. So it becomes
the big issue. But LG has taken some solid steps towards
improving customer’s perception and experience of after
sales service. Because it very important in competitive
market to provide the best service. L G Electronics has
signed a memorandum of understanding with 23
Industrial Training Institutes to strengthen its after sales
service in India. The company aims to recruit 10,000
people by the end of this year as a part of its branding
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strategy to focus on service and move away from
discounting. L G Electronics has identified eight states
with high after sales service call rates to ink the deals
with the ITI. Y V Verma, director HR and management
system, LG Electronics said, "The Company was trying to
find a solution for effective after sales service since last
two years. There is a huge need of trained manpower for
the after sales service to align with the company's
expansion and focus on the GSM mobiles and the
personal computer segments."

1. In the initial phase the company has entered into


agreements with ITIs in the states like Maharashtra,
Gujarat, Delhi, Punjab, Assam, and Karnataka and is in
the last leg of signing with Uttar Pradesh.
2. L G Electronics, with 1200 service centers, has already
recruited 300 students and plans to beef up the number
to 10,000 by the year-end.
3. "The company has offered a scholarship to the
selected students for the last six months of their training
program,"
4. The company will invest Rs 8 crore (Rs 80 million) in
employee development program this year with an aim to
attain a 8 per cent attrition rate.
5. The company moved away from the discounting
strategy since last year and is putting thrust on the
quality and service in its brand communication to position
LG as a premium consumer electronics brand.
6. At the top, the Service Division in Korea reports to the
Global CMO. (as mentioned in Dermot’s public interview
in ET on Wednesday). This shows commitment that
Service must be made into a marketing differentiator,
and leveraged thus.
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7. LG has the widest service network across the country;
some estimates put it at a significant multiple of service-
infrastructure from our nearest competitor. While the sale
size may also be a nice multiple from nearest, it shows
the company is ready to put our money where our mouth
is.
8. The company has introduced a 211 service - once you
register your complaint, we will call you back in 2 hours
(hence 2), set up an appointment for the next convenient
day for you (hence the first 1), and show up in the
promised 1-hour slot (hence the second 1). If the next
convenient day for you is the next day, that’s great too.
It’s a disruptive action in an industry (including LG)
having traditionally shied away from
its service responsibilities, and thus not leveraging any
mileage from it.
9. The company is promoting 211 through ATL, probably
the first time after sales service is being communicated in
this fashion by any product company. You may have seen
the TV commercial or heard the radio advert or seen the
newspaper ad or in-shop posters, both of which revolve
around prompt response.
10.The first LG-owned service centre opened in Gurgaon.
(Service in India generally works through authorized
service centers, in LG’s case they work exclusively for
LG.) A company-owned service centre tries that much
harder, knows things better, and can even contribute as a
revenue center.
Objective of the project

Primary objective

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 The main objective of filed survey during the project
was to find out the market share of the LG and also
calculate the display share.
 Find out the positional dealer who can sale the LG
product in large volume.
 The main objective of research was to identify
potential dealer and development these dealer. So LG
can make them their direct dealer.
 This will ease the dependence on the some big dealer
like Maharashtra and Mahaveer electronics.
 Find out the problem faced by the dealer in sales and
the distribution.
Secondary objective
 The Objective was to find out that how far the
exhibitions are helpful in branding,
 While purchasing the consumer durables which
parameter is most important for the consumer?
 Do the consumers prefer the financial facility for
buying consumer durable?
 How frequently consumers change the consumer
durable?
 To enhances the knowledge of consumer durable
market.
 To increases the knowledge consumer durable product
of LG.

 To enhances the knowledge about the marketing and


branding
activity.

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Research Methodology:
Research methodology is considered as the nerve of the
project. Without a proper well-organized research plan, it
is impossible to complete the project and reach to any
conclusion. The project was based on the survey plan.
The main objective of survey was to collect appropriate
data, which work as a base for drawing conclusion and
getting result.
Therefore, research methodology is the way to
systematically solve the research problem. Research
methodology not only talks of the methods but also logic
behind the methods used in the context of a research
study and it explains why a particular method has been
used in the preference of the other methods

Research design

Research design is important primarily because of the


increased complexity in the market as well as marketing
approaches available to the researchers. In fact, it is the
key to the evolution of successful marketing strategies
and programmers. It is an important tool to study buyer’s
behavior, consumption pattern, brand loyalty, and focus
market changes. A research design specifies the methods
and procedures for conducting a particular study.
According to Kerlinger, “Research Design is a plan,
conceptual structure, and strategy of investigation
conceived as to obtain answers to research questions and
to control variance.

Type of research is Descriptive Research


The type of research adopted for study is descriptive.
Descriptive studies are undertaken in many
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circumstances when the researches is interested to know
the characteristic of certain group such as age, sex,
education level, occupation or income. A descriptive
study may be necessary in cases when a researcher is
interested in knowing the proportion of people in a given
population who have in particular manner, making
projections of a certain thing, or determining the
relationship between two or more variables. The objective
of such study is to answer the “who, what, when, where
and how” of the subject under investigation. There is a
general feeling that descriptive studies are factual and
very simple. This is not necessarily true. Descriptive
study can be complex, demanding a high degree of
scientific skill on part of the researcher.
Descriptive studies are well structured. An exploratory
study needs to be flexible in its approach, but a
descriptive study in contrast tends to be rigid and its
approach cannot be changed every now and then. It is
therefore necessary, the researcher give sufficient
thought to framing research.
Questions and deciding the types of data to be collected
and the procedure to be used in this purpose. Descriptive
studies can be divided into two broad categories: Cross
Sectional and Longitudinal Sectional. A cross sectional
study is concerned with a sample of elements from a
given population. Thus, it may deal with household,
dealers, retail stores, or other entities. Data on a number
of characteristics from sample elements are collected and
analyzed. Cross sectional studies are of two types: Field
study and Survey. Although the distinction between them
is not clear- cut , there are some practical differences,
which need different techniques and skills. Field studies
are ex-post-factor scientific
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inquiries that aim at finding the relations and
interrelations among variables in a real setting. Such
studies are done in live situations like communities,
schools, factories, and organizations.
Another type of cross sectional study is survey result,
which has been taken by me. A major strength of survey
research is its wide scope. Detail information can be
obtained from a sample of large population .Besides; it is
economical as more information can be collected per unit
of cost. In addition, it is obvious that a sample survey
needs less time than a census inquiry. Descriptive
research
includes survey and fact finding enquiries of different
kinds of the major purpose. Descriptive research is
description of the state of affairs, as it exists at present.
The main characteristic of this method is that the
researcher has no control over the variables; he can only
report what has happened or what is happening. The
methods of research utilized in descriptive research are
survey
methods of all kinds including comparative and co
relational methods. The reason for using such needs to be
flexile in its approach, but a descriptive study

BRANCH
1 2 3 in contrast tends to be rigid and its approach
cannot be changed ever now and then.
DEALER MANAGEMENT
Mapping of regional dealers.
They have been divided into three categories on the basis
of their turnover and the selling capacity.

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 -1
 -2
 -3
-1 Includes the modern trade and they have direct billing
from the branch office. They have high turnover and the
company depends heavily on them-2 includes the
distributors. They have direct billing from the branch
office. Their turnover is also high.
-3 Includes the sub dealers .They have direct billing from
distributors or from the branch office. Their turnover is
not so high, but there are few sub dealers whose
potential is quite high. According to sales the branch has
designated as gold and silver sub dealers.

OBJECTIVE OF THE STUDY


The objective was to find out the market share of LG
products, advantages and disadvantages of LG products
from dealers and to find out what problems they are
facing with the LG products so that problems can be
resolved to increase the sale.

Data collection methods:

After the research problem, we have to identify and


select which type of data is to research. At this stage; we
have to organize a field survey to collect the data.
One of the important tools for conducting market
research is the availability of necessary and useful data.
Primary data: For primary data collection, we have to
plan the following four important aspects.
 Sampling
 Research Instrument

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 Secondary Data - The Company’s profile, journals and
various literature studies are important sources of
secondary data.
 Data analysis and interpretation
1. Questionnaires
2. Pie chart and Bar chart
Questionnaires:
This is the most popular tool for the data collection. A
questionnaire contains question that the researcher
wishes to ask his respondents which is always guided by
the objective of the survey.
Pie chart:
This is very useful diagram to represent data , which are
divided into a number of categories. This diagram
consists of a circle of divided into a number of sectors,
which are proportional to the values they represent. The
total value is represented by the full create. The diagram
bar chart can make comparison among the various
components or between a part and a whole of data.

Bar chart:
This is another way of representing data graphically. As
the name implies, it consist of a number of whispered
bar, which originate from a common base line and are
equal widths. The lengths of the bards are proportional to
the value they represent.

Preparation of report:
The report was based on the analysis and presented with
the findings and suggestions. The sample of the
questionnaires is attached with the report itself.

Sampling Methodology:
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Details of the sampling methodology, I have made
questionnaire. The one is made for the Customer.
No. of questions in questionnaires for customer: 07
No. of question related to LG product: 03
No. of people met during the research: 200
No. of respondents during the research: 50
Sample unit Professionals, Business man,
Employees, House wife, Working women, Students
Analysis:
Q1. Have you purchased any consumer durable during
Exhibitions?
 Yes
 No
Inferences
1. 65 % of Customers have not purchased any consumer
durable from exhibitions.
2. Only 35 % people have purchased.
3. It shows that consumers are coming in the exhibition
for knowledge of product and also they want to know that
weather there is actual price difference in exhibition and
shop or not.
4. Consumers also want to compare to the different brand
which are available in the exhibition.
5. So exhibitions are more useful to increases brand
awareness.
6. People are less interested to purchase product from
the exhibition.

Q.2While purchasing consumer durable which parameter


influences you?
 Price
 Product feature
 Brand
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 Service
 Durability
Inference
1. 30% of customer gives importance to price. So it shows
that Indian consumers are very price sensitive. They give
more importance to price over the brand.
2. 26% give importance to brand. So price and Brand
matter a lots for the costumers. And they are also want
best brand in best price.
3. 19% to product feature Service 16% and durability 9%
Service is also a big factor for the customer they are less
interested in the durability.

Q3. From where you prefer buying consumer durables


 Exhibitions
 Co.shoppee
 Showroom
Inference:
1. A majority of customers prefer to buy from showrooms.
Very less proposition of customers buys from Exhibitions.
2. 47% customers are prefer to by from the showrooms
because the showrooms are more convenient to
customers they also think that these shops give more
discounts.
3. People are less interested to buy from the exhibition
they only visit the exhibition for price quotation of the
product and the comparison of the product.

Q.4.You prefer to buy from the same as you have


mentioned in Q.3 because of following reasons
 Attractive Price
 Service
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 Demonstrations
 Offers

Inference
1. Customers buy from showrooms because of the service
and convenience.
These are two main factors.
2. Customers are preferred to buy from the showroom
because of they think that these convenient store may
provide good after sell service.
3. Customer also thinks that there is more chance to
bargain and they can get more discounts in these
showrooms.
4. Price also a factor that attract the customer in these
showrooms.

Q.5.Which consumer durable you have and of which


brand?
 CTV
 LCD
 PLASMA
 REF
 WM
 MW
 AC
Inference
In CTV section maximum customers have Onida, in LCD
Sony is the leader, In plasma BPL is the leader, In Ref LG
is the leader, MW LG is the leader. In WM there are
companies and in AC also.

Q.6. How frequently you change your consumer durables?


 1-3 years
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 3-5 years
 5-10 years
 More than 10 years

Inference
1. Customers prefer to change consumer durables within
5-10 years. In India people do not change consumer
durable frequently.
2. 23% customers do not change their consumer durable
within 10 year.
3. It represent that Indian consumer do not prefer to
change their consumer durable frequently.

Q.7.Do you prefer any financing scheme to purchase


consumer durables?
 Yes
 No
Inference
Majority of customers do not prefer any financial scheme.

Dealer survey Findings


1. By calculating the display share we found that in most
of store LG has
50% display share almost all categories.
2. By the actual monthly sale of particular store we came
to know the
capacity of the store and how much product can they
sale.
3. It helps us to know that weather dealer is capable of
being a direct dealer
of LG or not and it also helps to find out the new dealer
who are capable
of being the dealer of LG.
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4. We also came to know while visiting the shops that
there was big problem
of after sale service.
5. Many dealers were facing the problem of after sale
service because there
is no follow up calls from LG.
6. Demo calls also not done properly.
7. The top competitor of LG product in is SAMSUNG.
8. In area the performance of LG is in better position but
the
competitor also hold closer margin.
9. There is high growth of sale in market due to booming
in new technology and better service.
10.Word of mouth plays a vital role in awareness among
customer. This is one factor, which can play a good role in
promotion of products as well as demonstration given by
the shopkeeper also plays a vital role for customer.

RECOMMENDATIONS AND SUGGESTIONS:

1. LG should improve it’s after sale service because its


hits badly LGs market share in region.
2. More detailed customaries service is to be provided.
3. The training to in shop demonstration should be given
at frequent time interval and feed back should be
considered positively.
4. The company should look into the matter of person
hiring for in shop demonstration. A big LG showroom
should have at least 2 such kind of person.
5. LG should try new dealer who have the potential. So
they can target more market.
6. As there is a bottle neck competition between
Samsung and LG, it is necessary to take measure steps to
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overcome the area of downfall in LG with respect to
Samsung.
7. The marketing managers should make better relations
with dealers and reputation of the company.
8. Customer considers quality as their first preference, so
the company should give more stress on this.
9. The switching of customer from LG product to other
brand is due to the bed after sell service in shop.
10.The product is well aware and it is on top of mind of
customer.

So company should always improve services and update


their technology.

CUSTOMER SURVEY FINDINGS


1. Secondary supports play an important role in the
customers mind and create awareness among the
customers. The secondary support includes
Demonstration, Exhibition & Even Sponsors.
2. From the survey it was found out that the majority of
customers don’t buy consumer durables from exhibitions.
They just visit the exhibitions to see the co. latest model.
3. They want to buy from the showrooms or from co.
showrooms. For them service is important .Beside
convenience and other factors service is key factor.
4. Also majority of customers do not want any financing
scheme for purchasing the durables.

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5. There was heavy rush on weekends so large numbers
of ISD’s were appointed that day. Also the live demo calls
helps in selling. Exchange offers also generate sale.
6. Customers are also now very choosy in buying the
product and it is important for the company to make loyal
customer of their brand.
7. In survey we found that LG has captured maximum
market share in every category. LG dominates CTV, LCD,
and Refrigerator, and Washing machine, category.
8. LG and Samsung have bottle neck competition in TV
and REF. category.
9. The product is well aware and it is on top of mind of
customer.
10.Customers are also now very choosy in buying the
product and it is important for the company to make loyal
customer of their brand.

RECOMMENDATIONS AND SUGGESTIONS


1. Exhibitions do not help to generate so much sells but
they should be conducted regularly. This helps in
generating awareness regarding the product in customers
which ultimately helps in sales.
2. Also it is helps in advertising for the new products. Like
in this exhibition new LCD SCARLET was advertised.
Company should always focus on service.
3. Display share should be increased where there is less
than 50% as LG also believes that “JO DIKHTA HAI WO
BIKTA HAI”.

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4. Company should try to improve service. No doubt the
company products have technically edge over
competitors but in long run it may hamper the company’s
profit.
5. Company should concentrate more on its major drivers
LCD, IT, and GSM. Branding and promotions should be
done effectively as it creates a long lasting image in the
mind of customers.
6. Company should also cater to the needs of sub dealers
as some of the sub dealers have potential of high sales.

LIMITATIONS
Every study has certain limitations. In our study, also
there were certain limitations, which I could not able to
solve.
1. The research was conducted in a very small area.
2. Our research work period witness the biggest ups and
downs in product sale of different brands, which affected
the perception of the customer.
This was biggest drawback of my study.
3. Time factor was also important for us. We had limited
time for the research, for which a full-fledged report was
insufficient for me.
4. The customer filled the questionnaire mostly in
careless manner, so it was difficult to make them hold for
time.
5. We had only found the upper-middle class family to fill
up the
questionnaire, but generally, an average middle class
family was required for the study.
6. The sample size is also very small which represent my
research on consumer behavior

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BIBLIOGRAPHY
 www.lgindia.com
 www.google.com
 www.wikipedia.com
 Business world
 Business today
 LG magazine
 Economics times News paper
 Times of India

Consumer survey Questionnaire

Q1. Have you purchased any consumer durable during


Exhibitions?
a) Yes
b) No
Q.2While purchasing consumer durable which parameter
influences you?
a) Price
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b) Product feature
c) Brand
d) Service
e) Durability
Q3. From where you prefer buying consumer durables
a) Exhibitions
b) Co.shoppee
c) Showroom
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Q.4.You prefer to buy from the same as you have
mentioned in Q.3
because of following reasons
a) Attractive Price
b) Service
c) Demonstrations
d) Offers
e) Convenience
Q.5.Which consumer durable you have and of which
brand?
a) CTV -------------------
b) LCD -------------------
c) PLASMA -------------------
D) REF -------------------
E) WM -------------------
F) MW -------------------
G) AC -------------------
Q.6. How frequently you change your consumer durables?
a) 1-3 years
b) 3-5 years
c) 5-10 years
d) More than 10 years
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Q.7.Do you prefer any financing scheme to purchase
consumer durables?
a) Yes
b) No

APPENDIX
A.S.I Area Service In charge
A.S.M Area sales manager
B.S.I Branch Service In charge
CAC Commercial Air Conditioning System
C.S NET Customer Service Net
D.S.C. Direct service centre.
L.H.D Logistics Head of department
R.E.F Refrigerator
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