CONTENTS

S.NO.

CONTENTS

PAGE NO.

1.

Acknowledgement

03

2.

introduction

04

3.

Summary of data collected

06

4.

objectives

07

5.

Company profile

08

6.

Mission of the company

09

7.

History of the company

10

8.

Diverse product portfolio

11

9.

Company fan market in India

13

10.

Product line of the company

15

11.

Product depth

16

12.

Research methodology

25

13.

Data collection

25

14.

Data interpretation

26

15.

Marketing strategies of the company

27

16.

Distributers and dealers

28

17.

Competitors

30

18.

Benefits to the company

31

19.

Data collection remaining

32

20.

Bibliography

33

INTRODUCTION
This report is all about the effectiveness of marketing strategies of Orient fans in
India city. So firstly what is marketing strategy, it is a broad planning which start
with environmental scanning and ends with consumer satisfaction. It includes
everything which is related to make a product successful.
These are the steps of developing marketing strategies:
1) Analysis of environment:
Marketing strategy process starts with the deep analysis of environment, due
to this company do the PEST of himself. Under this company judge four
types of environment.
a) Political- firstly company analyze the political environment, like which
government is ruling there, what policies have they are, will he permit
him to do business or not.
b) Environment- how is the environment of that particular area. Will the
environment is suitable for their further actions or not, like climatic
conditions, availability of resources etc.
c) Social- under this company I is going to analyze the social environment
of the area, like- competitors position, there stratagies, what is consumers
thinking about that particular product, to find the demand of their product
etc.
d) Technological- how much the technological advancement in that area
would new technologies adopted or not etc.
2

2) Defining the Marketing budgets and costs:

After the evaluation of environment company analyze their resources,
estimate there budget, income sources and expenses etc. they make this
thing clearly that would they capable to start this work or not, because they
dont want to face this problem in future.
3) Understanding consumer buying behavior:
In this stage consumer buying pattern, there likes and dislikes towards that
particular product, consumer preferences etc are found.
4) Market segmentation and targeting:
Here company segments the market on the basis of different factors like,
gender, income, generation, social class etc. and after that choose some
special markets on the basis of their product feature and quality and give
their maximum attention on that market. This is also called target market.
5) Product and product lines:
In this competitive ere no any company exit with one or two product, if he
want to continuous growth of their product so in regular basis company have
to come with something new whether it is increasing product line or
increasing product width.
Every company regularly added new features in their product and
continuously trying to innovate something distinct to his competitors.
6) Pricing policy:
Price policy play a major role in the growth and decline of any product. No
one charge the price according to him, because now there is a huge
competition in the market, a lot of substitute products are there, so a little
3

incensement in the price can decline there market share, as well as

sometimes decreasing of price also make harm to the product reputation.
7) Channels of marketing:
Company promotes their products through various channels. There are two
two types of channels used by companies
a) Simple channel- in this channel producer directly link to the customers.
b) Complex channels- in this there are several layers of distributers linking
the producer to the end of customer.
8) Logistics and wholesaling:
Logistic is the process of getting products and services where they are
required and when they are desired. And wholesaling means all business
transactions that takes place with intermediaries (expect those transaction
that take with the final customer) are called wholesale transactions
9) Promotional tools:
The promotional tools are widely used by organizations for their marketing
activities. It includes
a) Advertising- it is a paid form of non personal presentation of goods or
services by an identified sponsor.
b) Sales promotion- it is a form of attracting the consumers by offering them
various benefits in the form of incentives or by adding value to the
products.
c) Publicity-it is a non paid form of communicating information about the
company or the product both as a news article in newspapers or television
or radio.
d) Public relations- it is essentially a function of an organization, where it
tends to develop and manages its goodwill in the market.
4

e) Personal selling- it is a form of selling of product or a services directly to

the consumers by explaining or demonstrating the features of the product
to him/her.
f) Direct marketing- here the organization directly communicates with the
customers through mail or telemarketing or marketing through internet.
10)

Consumer satisfaction:
Eventually the work of company to make their eye continuously on the

satisfaction level of customers. Because one unsatisfied customer create a lot

of unsatisfied customer in the market.

OBJECTIVES
The main objectives of this study are:
1) Get aware with the profile of the company as well as the length, width and
depth of their products.
2) To know about the practical implementation of marketing strategies studied
by us.
3) To make ourselves familiar with real corporate environment.
4) To know about the marketing strategies followed by the company.
5) To judge the effectiveness of those strategies.
6) The impact of these strategies in the market, consumer and competitors.

Company profile

Orient International Limited. The Group's principal activity is to manufacture and

sale of home appliances and automotive components. The products include fans,
sewing machines, appliances, power products, auto components, water coolers.
The Company export fans, sewing machines, diesel engines, diesel engine parts
and other automotive components. The Group operates in four segments, namely,
Consumer durables, Engines, pump sets and motors, Auto products and others.
ORIENT international is one of the Indias known consumer durables marketing
and distribution companies. It started in 1957 and marketing its products for over
50 years under the brand name ORIENT company majorly Manufacturing of
Electric Fans and Fuel Injection Equipment. Presently ORIENT have Over 50
million customers. They have a Large distribution network in core categories. It is
the First Indian Company to be awarded ISO 9001:2000 for Marketing practices.
ORIENT international is a company under the flagship of Siddhartha Orient group.

The Orient group history

The group was incorporated by Lala Orient (grandfather of Siddhartha Orient) in
1889. Over the next 100 years, the group expanded into textiles, chemicals, sugar,
automobiles, engines, rayons / nylon tyre cord, automotive components, edible
oils, heavy chemicals (fertilizers/ chlor caustic), engineering foundries, sewing
machines, fans, home appliances and other kind of items.
In 1989, the group was split amongst the descendants of Lala Orient and the
businesses that came to Siddhartha Orients group have been mentioned below.
The Siddhartha Orient group
Siddhartha Orient group is one of Indias renowned business groups with interests
as diverse as sugar, edible oils and industrial chemicals to fans, appliances and
automobile.

Joint ventures
Company has joint ventures with
Hunter Fan Company, USA (Fans)
Janome Sewing Machine Company, Japan (Sewing Machines)

Associates

Company associates with

Honda Siel Power Products Ltd.
G.D.Midea Environment Appliances Manufacturing Company Ltd.,
China
NGK India
CIXI Three Circle Diesel Engine Company Ltd. (Diesel Engines)

Mission of the company

Orient International's mission is to pursue excellence in all its spheres of business

activity. It believes in providing reasonable returns to its shareholders and adding
value to the principal's business operations through effective marketing. Thus
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making it one of India's leading marketing organizations. This must be achieved by

meeting customer requirements, providing them satisfaction thereby borientding
their trust in the company and its products.

10

History of the company

1934
1946
1948
1950
1966
1968
1975
1979

India's first indigenous sewing machine marketed.

The first Indian Sewing Machine is exported.
Fans are added to the product range.
The first Indian Fan exported.
Dr. Charat Ram appointed as Chairman of the board of ORIENT.
Diesel Engines are added to the Orient product range.
Orient becomes a Public Ltd. Company.
Fuel Injection Equipment is introduced to the Orient Auto Components

range.
1982 Orient Sales is renamed to Orient International.
1984 Launches a range of Home Appliances.
1994 Fourth generation fully automatic Sewing Machines in collaboration with
Janome Sewing Machine Company of Japan is added to the product range.
1994 Monoblock pumps followed by a complete range of water lifting equipment
are launched.
1996 Introduces a new range of diesel engines for power generation.
2000 Commences marketing of Light Weight Kerosene pump sets powered by
Honda engines.
2001 Tie-up with Hunter Fan Company of USA for marketing of premium Orient
Hunter ceiling fans.
2005 Purchase of Water Cooler factory from DAIPL.
2007 Appointed as super distributor for 2 and 3 wheeler spark plugs in India by
NGK Spark Plug Company Limited, Japan.
2008 Amalgamation of Orient International Limited and Orient Fuel Injection
Industries Limited with The Jay Engineering Works Limited. The new
merged entity called Orient International Limited.
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12

Diverse product portfolio

ORIENT is a multi product consumer durable marketing and distribution
company with a diverse product portfolio that includes the following six
product lines:
Electric Fans

Sewing Machines

Home Appliances

Engines, Electrical motors &

Pump sets.

Drinking water coolers &

dispensers

Generators

13

Auto components.

14

ORIENTS distribution network

Sales force
Separate sales force for 6 product lines and 3 different channels (traditional,
modern retail and government sales)
16 Locational offices across India, with a Location Head to ensure capture of
synergies across product lines
Strong experienced middle management in charge of sales.
Reach across India
Dealerships in all urban centers with population greater than 20,000
Penetration in important modern retail outlets (Future Group, Metro, Reliance)
Presence in rural India, contributing to ~20% of total sales.
Supply chain network
33 warehouses leased and managed in-house
SAP enabled across all ORIENT locations (head office, location offices, and
warehouses)
15

Sales management practices

SBU led sales organization structure, with regional segregation of market
Coverage of dealers by trained sales staff

16

ORIENT Fan market in India

The fan market was a well developed and mature market. Fans were the 4th largest
owned consumer durable after watches, bicycles and radio sets. In the year 1993,
the electrical fan market was more than Rs 1000 crores.
The market was dominated by the top 5 brands- Orient, Orient, Crompton, Polar &
Khaitan - who controlled 70% of the market. They also enjoyed 95% awareness in
the market. However, they were gradually losing market share in a low growth
stagnating market
Where the rapid growth of the unorganized sector (10% annually) was giving them
stiff competition.

The organized fan industry had witnessed a decline of 30 per cent in production
last year because of competition from small scale units which escaped excise duty.
Despite this Orient International had sold more last year and gained market share.
The size of the market is Rs. 1,300-1,400 crores in value terms including the small
scale sector and Orient's share is half of this. On import threat from China,
company pointed out that there was duty protection of 40 per cent.

On the other hand in the plastic table and wall fans segment there may be a serious
problem as China can make them much cheaper. The company will continue to
17

focus on strategic tie ups only in fans, sewing machines, small appliances, engines
and motors, auto components, air-conditioners and exports. It has no intention to
get into white goods.

At the top end, the company has joined hands with the U.S.-based Hunter Fan
Company, biggest ceiling manufacturer in the world. It will exclusively market the
Hunter range of fans in India under the joint branding of Orient Hunter. The tie up
has enabled Orient to enter and create a high-end premium category in the ceiling
fans market.

The premium end ceiling fans costing Rs. 5,000 - 10,000 are meant for hotels,
guest houses and air-conditioned houses. The consumers can now look forward to
super premium ceiling fans with wooden blades with an option of imported
Belgian and Italian light fittings to enhance the decor of any room. Around eight
models will be introduced in the first year.
The company last year had a turnover of Rs. 400 crores and a profit of Rs. 9.8
crores. This year would witness marginal growth in the top line segment.

18

In an effort to expand its market share in the lower-end, the largest consumer
durable marketing company, Orient International is planning to launch low-cost
fans christened Zipp, shortly. The company is preparing a new marketing strategy
to enhance the market share in the domestic fan market by creating price points for
targeted customers. Without compromising on the quality, the company is planning
to offer a range of fans to suite to the needs and paying capacity of the customers.
Company has plans to launch 19 fan models between April and May 2003,
besides the company will also launch 10 models in the home appliances segments,
he added. The models include: Ceiling fans range-Opera, Optima, Sea Breeze,
Sonata Decorative, Ultimate, Zipp, Table fans range-Mist Air EX, Zipp table fan,
Pesdestal Fans range-Mist Air ultra, Mist Air Pedestal remote fan, Mist Air EX
pedestal fan.
The company last year had a turnover of Rs. 400 crores and a profit of Rs. 9.8
crores. This year would witness marginal growth in the top line segment.
On the financial front, the company hopes to achieve a turnover of over Rs 500
crore in the current year as against Rs 400 crore turnovers reported in the last year.

19

Product line of the company

There are 6 types of fans manufactured by company:

Ceiling Fans

Table Fans

Pedestal Fans

Wall Fans

Exhaust Fans

Other Fans

The product depth is as follows:

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Specially borientt in loniser fan

Gives you a pure, healthy and dust free environment

Antique finish

Powerful motor for higher air delivery

Aerodynamically designed aluminum blades

Remote control operation

Three speed selection along with a 7.5 hour timer

Motor overheat protection and unique oil reservoir

lubrication for better reliability and longer life

21

Specially designed powerful motor for Indian

conditions

Multipurpose remote control

Simulates natural, slumberous and normal wind

choices
Unique oil reservoir lubrication and motor overheat

protection ensure greater reliability and a longer life

Specially designed hand-woven rattan blades

Weatherproof coating on blades for both indoor and
outdoor use

Option of an adaptable light kit

22

1200 mm sweep

Hand-crafted wooden blades with a rich, luxuriant

finish
Two-tone metallic finish

Light kit that adds elegance to the styling

1300 mm sweep

Beautifully crafted motor and blade, with and

attractive plated body
Stylish, plated light kit with a conveniently placed

pull cord

Available in 2 colours-antique brass and silver

1300 mm sweep

A decorative fan with a gold ring on the motor and

two tone colour flanges on the blades

23

Available in brown, white and ivory colours

Available in 600, 900, 1050, & 1400 MM sweeps

Beautifully crafted motor and blade, with an

attractive plated body

Stylish, plated light kit with a conveniently placed

pull cord
Available in 2 colours-silver and gold

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1300 mm sweep

Contemporary design

Whisper quite reversible motor

Antique dark real wicker blades

Beautifully designed under light fittings

Cherry hand curved wood banana leaf blades

Precision balanced blades and motor for wobble

free operation
Exotically designed under light kit ( optional )

Premium wood finished fan

Extra wide blades for wider air distribution,

higher air delivery and higher air velocity

Available in 3 blade and 4 blade options

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1200 MM

Retro design fan

Premium wood finished fan

Extra wide blades for wider air distribution,

higher air delivery and higher air velocity

Available in 3 blade and 4 blade options

Elegantly designed for children's rooms

Extra wide tip blades for wider air distribution

Available in 3 blade and 4 blade options

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1200 MM

1200 MM

Elegantly styled lightweight motor housing for

Unique hub-to-hub assembly and elegantly styled

lightweight aluminum motor housing for better

performance
Innovative canopy design without the clutter of

rivets

Special design allows the blades to emerge

directly form the motor thereby creating a static
element at the centre
Available in Blue with Silver accents, Off White

with Silver accents and Cream with Gold accents

1200 MM

Superior motor design ensures high speed even at

low voltage
27

Available in three metalic colours Gold Beige,

Extra wide blade tips to provide higher peripheral

velocity, leading to higher air delivery and air thrust

Available in White, Brown and Ivory colours

1200 MM

An elegant fan with two tone flanges and gold

ring on the motor and canopies

Available in Brown, White and Ivory colours

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1200 MM

Aster an economically priced 1200 MM decorative

fan

All aluminium body with ring on the motor and

attractive shell-shaped
flanges

Superior ball bearings for noiseless operation and

longer life

Ensures consistent quality and greater reliability

Superior grade electric steel lamination for longer

life and low power consumption

Specially designed motor with wider tip blades

provide maximum air
delivery

Two tone flanges on the blades and a decorative

ring on the motor and canopies

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Available in all metallic finishes of Pearl Ivory and

twin tone Biege

Brown

Superior grade electric steel lamination for longer

life and low power
consumption

Superior ball bearings for noiseless operation and

longer life

Unique safety locking arrangements for protection

to the customers

Specially designed motor with wider tip blades

provide maximum air
delivery

Unique jewel like flanges on the blades and

decorative ring on motor and canopy

Available in twin tone metallics of biege brown and

silver blue

30

Superior grade electric steel lamination for longer

life and low power
consumption

Superior ball bearings for noiseless operation and

longer life

Unique safety locking arrangements for protection

to the customer

Specially designed motor with wider tip blades

provide maximum air
delivery

Attractive large size motor with a decorative ring

and two tone flanges on the blades

Available in all metallic finshes of Pearl Ivory and

Executive Brown.

Superior grade electric steel lamination for longer

life and low power consumption.

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Unique safety locking arrangements for protection

to the customer.

Research methodology
Research methodology means what are methods we are using to make a report. The
first work is to collect the data from survey method
Generally there are two methods of survey is used1) census survey methodIn this method the survey is conducted over whole population. This method
of survey is not commonly used, because the over whole population is very
difficult, complicating, expensive and time consuming..
2) sample survey methodIn this method of research a fix sample size of sample is selected from whole
population and collects the data according to them.
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This report is based on sample survey method and till now I took the sample of 25
shopkeepers of India.

33

Data collection
Data collection means collecting the related information, which are needed to
completing that work. Generally there are four methods of data collection1) Questionnaire- it is very popular method of data collection. In this method
we write a set of questions in a paper and give to the respondent and he
himself or with the help of researcher fills up the required information.
2) Personal interview- this is the process in which the investigator personally
meet the respondent and frequently asked related questions.
3) Mail survey- in this method of research researcher send a set of questions
through mail and wait for his response.
4) Telephonic interview- here the interviewer gives the call to the respondent
and asks the questions through phone.
For this report I have used three methods of data collections:
1) Questionnaire- I met some shopkeepers and customers of Orient fans and
give them my questionnaire to fill.
2) Personal interview- I have also taken the personal interview of some of
the employees of company.
3) Telephonic interview- there was some person who didnt have time to
meet me. Them I took the telephonic interview of those personals.
ORIENT fans in India
34

Flow of fans from company to the final customer

COMPANY

DISTRIBUTOR

DEALE

SHOPS

ELECTRICIA

SALES

SHO

ELECTRICIA

Above chart shows that, company have their two distributors in the India city. And
distributer sell product through
four mediums.
CUSTOMER
35

a) Dealers- These are big shopkeepers appointed by company. They purchase

goods in very huge amount and then sell them with the help of shopkeepers
and electricians. They also sell goods directly to the customers.
b) Shops- After the dealers distributor gives goods to small shopkeepers of all
over India according to their requirement.
c) Electricians- These are very good communicator between distributer and
customers. Because electricians are directly in touch with the customer. So
they know very well that what customer want and where they want.
Distributers maintain good relationship with electricians because electricians
gives them product directly to the customers and ignore the mediators thus
automatically the profit of distributer will increase.
d) Sales team- distributer have some sales teams with them, who are doing
direct marketing like, putting banners and hoardings, canopies, personal
selling , continuously be in the contact of existing customers and trying to
resolve there problems.

36

Some major marketing strategies of company in India city

1) Sales promotions:
For the promotion of their product company time to time give some extra
incentives, discounts and gifts to the dealers and shopkeepers as well as
customers. Sometimes these types of methods used by distributors also.
2) Margin policy:
Company try to give more amd more margins to the shopkeepers because
when a customer come to in a shop to buy a fan then it is the hand of
shopkeepers that what customer buy. Generally 70 % customer said that
show me any good fan, then it is depend on shopkeeper that which he will
promote. Defiantly he will promote that company product who will give him
more margins.
3) Quantity discount:
Company gives a quantity discount to the distributers, dealers and
shopkeepers. Company said that if you purchase this much amount then I
will provide you some extra fans, some cash discounts etc.

4) Continuous improvement:
Company continuously make some improvements in his product like a new
fan which is more power saver, introduce some new colors, change the
weight of the fans, change the design of the fans, some decorative features
etc.
5) Pricing policy:

37

Company price policy is flexible. Here flexible means not this that company
less or increase his product price, but when company see that some less price
fans come in the market, then they immediately starts discounts on his price,
start providing free gifts like watches. Cameras etc.
Distributers:
Company has two main distributer in India1) Home agent at GTB complex new market India
2) In old India

38

Competitors
Orient has a lot of competitors in India city. Some of international brands, some
national brands and lot of local brands. The main competitors of Orient are as
follows
Bajaj, Polar, Crompton, Khaitan, Hevells, Orpat, etc
And in local brand Indian, Sarvotam, etc
Top five companies of India according to his market share:
1) Crompton
2) Orient
3) Orient
4) Bajaj
5) Khaitan
This distribution clearly says that on the basis of market share Orient have 3rd
place.

39

According to the above graph 51% fan market of India capatured by only five
companies and in 49% All remaining brands are exist.

40

Company involvement
The India market in not only in hand of distributers even company also
continuously involve with it. Company appointed his 3-4 members team with each
distributer and they regularly keep their eyes in the happenings of market. They
always are in the touch of all distributers and all dealers. They always watch the
marketing process of distributers and the performance of dealers, shopkeepers and
sales teams.
They also conducted researches time to time to find out where the company is
gaining and where the company is lacking. And if lacking then why. What is the
factors due to which there competitors are able to doing well. And eventually on
the basis of their findings and conclusions they suggest the company to make
required changes in product features and there prices.

41

Benefits to the company

With the help of this report company will able to:
1) Judge his actual position in the market
2) Aware with the competitors strategy.
3) Compare his marketing strategy with competitors strategy and will able to
find out the reason where they are lacking.
4) They will able to know the weakest point of their product and there strategy.
5) They will able to know the perception of customers and shopkeepers
towards there product.
6) They will get the idea that how we improve our market share.

42

Data collection remaining

Some important data collections are in the progress:

1) What are the reasons due to which company is having less market share?
2) What are the strategies of the competitors?
3) To know about the profit margin system of the company and the
competitors.
4) To know about the marketing strategies of dealers, distributors and
shopkeepers individually.
5) What are the promotional tools using by company?
Etc.
A lot of things which I cant write here because in future what we will get
from market I myself dont know exactly.
So data collection process in the progress.

Bibliography
43

1) Marketing management (published by ICFAI)

2) Google search
3) Wikipedia
4) Local shopkeepers of MP Nagar, 10 no market, and vitthal market.
5) Electricians of 10 no. market
6) Employees of the company.

44