introduction to mart strategic implimentation team
TRANSCRIPT
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MART
Comprehensive Rural Marketing Solutions
Introduction to pilot implementation team
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Profile
Indias leading Rural Consultancy Firm, workingboth in Corporate and Development sectors
Provide end to end solutions
Corporate to community
Create and disseminate knowledge
Innovate new approaches
45 professionals, offices in 4 states
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Our Services
RESEARCH
STRATEGY
PILOTING
SCALE UP
TRAINING
Qualitative & Quantitative
Develop marketing strategies on product development,last mile distribution, below the line communication
Apply Strategy in Contained Geography to test relevanceand effectiveness
Scale up Strategy based on learning from pilot &Handhold client for scale up implementation
Rural Sensitization
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Capability in Implementation
Conducts Pilots Concept test product prototypes
Market test product prototypes
Marketing concepts
Distribution
Promotion
Scale up of sustainable models
Last Mile Distribution
Communication using Innovative Promotion platforms
Marketing mix model (s)
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MARTs
Implementation CapabilityDeveloping a Concept Pilot Developing Model Scale Up
Rasoi Ghar
HPCL
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HP Gas
Negligible penetration inrural markets
Affordability an issueHigh connection cost of14.2kg cylinder Rs2000
High recurring cost Rs300
Availability
Not available at consumerdoorstep
additional transport cost ascarrying big cylinder onbicycle inconvenient
Myths about cylinder burst
& taste of food
New Product
14.2 kg Rs2K
5kg Rs0.8K
Rs95(affordable)
Dealer to set upext. counters inlarge villages
Awarenesscreation for 5 kgthrough haatpromotion
C
ost
Cap
Cost
Quali/QuantiResearch StrategyCompanyobjective
Identify newmarkets for LPG
as urbanmarkets gettingsaturated
Assessacceptance ofexistingproduct
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HP Gas
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Scale UpA NewConcept
HP Gas
3 states; 1 districteach
Created awarenessof 5Kg, in 30 haats
30 extensioncounters opened
Barrier topurchase as mythscontinued
Important tomake potentialconsumersexperiencebenefits & safetybefore having to
invest in newconnection
Evolvedconcept of use& pay
CommunityKitchen toovercome myths& avoid risk ofinvesting inconnection
PPP model with
SHGs, Panchayat& HP
1500 kitchensin UP, MP,Orissa
established;10K planned
Dealerscontinue toopen morestocking points
in villages
Pilot Inputs
This model won the RMAAI Gold Medal and Special Jury Award,
2005 for best long term rural initiative in India
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HP Gas
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Developing a Biomass Stove
Shell Foundation
MARTs
Implementation CapabilityDeveloping a Product Concept Prototype testing Product Launch
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ProductConcept
Shell Foundation
Reduce indoor air
pollution in homes in
Tamil Nadu &
Karnataka
LPG is only clean fuel in rural but limited
availability
Major cooking fuel is biomass
But biomass generates smoke causing health
problems
food varies and also the size of utensils
Different types of cooking stoves used for
cooking
wide variety of food
many sizes of utensils depending on family
single burner in one state & double in other
Need for a low
smoke emitting
biomass stove
should be
portable
Appropriate for
different size of
cooking vessels
Should not cost
more than $5
Companyobjective
Quali Research
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Shell Foundation
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Commercial-ization
Shell Foundation
Multiple
prototype designs
Placement with
potential customer
segments
Continuous
feedback on each
stove type and
also a comparison
between
prototypes
Steel body was more acceptable
over refractory
Stove height reduced for floor
cooking
Fuel space needed adjustment
Value for money perception was
raised. Pricing was recommended at
$10-$12
Communication cues for the new
product were identified
Potential channel
partners identified
Brand name tested
Communi-cation
materials tested
Supported on
product launch and
handholding
PrototypeTesting
Inputs forNew ProductPrototypeDevelopment
Locate
potential local
manufacturer
Provide inputs
to stove designer
to develop
prototypes
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Shell Foundation
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LAST MILE DISTRIBUTION
MARTs
Implementation CapabilityDeveloping a Concept Pilot Developing Model Scale Up
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PROJECT SHAKTI
Innovative model using the women from SHG groups
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Hindustan Unilever
Hindustan Unilever Limited (HUL) is India'slargest fast moving consumer goods company
Has a wide range of Home & Personal Careproducts and Foods & Beverages
Combined Turnover of $ 3.8 billion.
Home & Personal CarePersonal Wash
Fabric Wash
Home Care
Oral Care
Skin Care
Hair Care
Deodorants & Talc's
Color Cosmetics
FoodsTea
Coffee
Branded Staples
Culinary Products
Ice Creams
Modern Foods ranges
Project ShaktiWomen's Empowerment
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Combined IDCIndirect Coverage
5000+ pop villages
Shakti
1000
2000 pop villages
Streamline
2000
5000 pop villages
Accessibility
Turnover / market
Low
High
High
Low
HUL Rural Coverage Strategy
Project ShaktiWomen's Empowerment
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Star Seller
Star Sellers take reach beyond motorable roads
RuralDistributor
(RD)
Coverage Process
Star Seller
Star Seller
Project ShaktiWomen's Empowerment
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Concept
Unilever wanted to penetrate deeper to 1,000 to2,000 pop villagesexisting distribution modelunviable
Self Help Group women members were looking formore sustainable business opportunities in small
village markets
Project ShaktiWomen's Empowerment
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Process
Business concept explained to the group women
Women get consent from family and husband
Entrepreneurial women selected and appointed
Women trained on prices, discounts, buying, selling,brand communication etc
Project ShaktiWomen's Empowerment
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Project Shakti
MARTs roleConceptualization,
Pilot, national rollout
Identification &selection of potential
Shakti dealersCapacity Building of
Shakti dealer tobecomeentrepreneurs
Arranging financefrom banks
Link to HLLdistribution network
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Shakti Vision
Shakti 2005-2006 15000 Shakti Entrepreneurs
50000 villages
10 Million Consumers
Turnover 128 Crore
Shakti 2008
30,000 Shakti Entrepreneurs
100,000 villages
100 million consumer
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Developing Low Cost distributionModel
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Reaching The Last Mile
MARTs modelReach the last mile with educated unemployed rural
male youth
Recruit class 10+, rural youth (18-30 age) with skills in
communication and community mobilization
Build their skills in product and brand communication(customized to company)
Build their skills in salesmanship
Deploy them to take corporate brands into the hinterland
and rural households.
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The Model
Trained volunteer isprovided a branded bicycle,umbrella and a box to carryready stocks.
He wears a branded T-shirtand a cap
Route Plans, PJPs andJCs are developed for himto cover uncovered markets
He is attached to the ruraldistributor from where hepicks up stock on cash-n-carry.
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The Model
Market coverage
Daily visit to uncovered
areas (> or < 2000 pop
strata)
Retailers in 4 villages
or 1 haat and 2 villages in
a day
Covers villages within
10km radius from own
village Retailer sale at trade
margins and haat sale
at price close to MRP
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The Model
Communication
Focuses on Brand
Recognition to fight
menace of spurious
Communicates Brand
benefits Puts banners, posters
etc
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Results
Coverage of 4 Haats every week
30 villages
Average daily sale Rs 700/ youth
Monthly income Rs 3,000/youth Nominal cost to company
Starting at Rs1500/-youth/ month on a reducing scale,
finally Rs 900
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Project Arogya
Rural population unaware of health
issues arising out of mal nutrition,
infection and allergy
Recovery of ailment is consideredeffective as soon as the patient feels
better and can go back to work. Most of
the time do not complete the dose
Health service providers in villages
restricted to RMP and government
appointed nurse.
Quality health services, both public
and private, available in block town
identified the ailments
for which the company
had products and wanted
to gain a larger marketNutrition for mother & child,
TB, allergies were prioritized
Need to associate with
qualified doctors in semi-
urban
Need to build awareness
about timely and complete
treatment among people
Quali& QuantiResearch StrategyCompanyobjective
Understand the
awareness of
identified ailments,
health issues andrelated pain points in
accessing health
services
Assess the reach of
the company brands
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Project Arogya
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Below the Line Communication
MARTs
Implementation CapabilityInnovation in Communication Platform Pilot Scale Up
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Rural Promotion : Marico
Parachute: Fighting Loose Coconut Oil in Haats
Problem: Rural markets in Maharastra sold loose coconut oil and
lookalikes of Parachute. Price Rs 6 vs Rs 10 per 100 gms
Solution Recommended: To counter competition from loose oil,
MART suggested promoting Parachute pouch packing of 6ml, 20ml,
50ml and 100ml in haats.Action: MART piloted promotion in 4 haats in 2 districts in
Maharastra. Participation strategy was 3 consecutive outings
1st week for awareness generation
2nd for sales promotion and
3rd for sales linkages with haat sellers
Result: Parachute sale jumped from Rs 500 per haat to Rs 3000
over three weeks
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RURAL PROMOTION: TATA SHAKTI
Promotion of Corrugated Roofing Tin Sheets
Campaign objective
educate consumer on brand promise of TATA
Identification of genuine brand
Build brand salience in a category which was generic (no brand
differentiation)
Haats & mandis were identified for below the line activities
Pilot was conducted at 30 locations, to test the promotion strategy & make
refinements in participation methodology
Campaign in 6000 rural locations spread across 11 states, rolled out within 4
months. 80% locations covered were haats.
Successful roll out for 4 successive years
Company had assessed 37% growth in sales in financial year 2004-05 due to the
campaign
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RURAL PROMOTION: TATA SHAKTI
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Our Clients-Corporate
We work with severalFortune 500
and largeIndian companies
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Our ClientsDevelopment
We work with the development agencies
http://www.alertnet.org/redir/mem_out_aaindia/http:/actionaidindia.orghttp://www.oxfam.org.uk/http://www.dfid.gov.uk/