teleshopping business

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The Case Study on “Teleshopping Business In India” Vishal sudera Benjamin Zhimomi Abhishek Gupta Tanya Jaiswal Mansi Mittal Saket Bihari FOSTIIMA Business School

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  • 1. Teleshopping Business In India Vishal sudera Benjamin Zhimomi Abhishek Gupta Tanya Jaiswal Mansi MittalFOSTIIMA Business School Saket Bihari
  • 2. Case HighlightsCustomer Perceived ValueSTP4 PsSWOT AnalysisRecommendations
  • 3. Started in 1990s by Telebrands India.Due to Restriction on imports and repatriation ofmoney.USP of Teleshopping- Miraculous Products. Home Delivery Cash On Delivery.Mechanism:- Buying Time Slots on Popular Channels. Displaying Special Product Code and Telephone Numbers. Setting Call Centers in various cities.
  • 4. Reasons For Slow Growth Lack of Education and Awareness among People Low Standard of Living. Low rate of Women Employment. Low Penetration of TV and Telephones.Success Factors in Late 1990s. Nuclear Families with high disposable income emerged as potential customer.
  • 5. Customers Perceived Value Difference between theprospective customers evaluation of allthe benefits and all the costs of anoffering and the perceivedalternatives.
  • 6. CPV In Teleshopping Imported Goods. Innovative and Rare goods. Customized Goods.
  • 7. STPSegmentation Target Positioning
  • 8. Segmentation Premium End-TVJoint-families Nuclear Families Viewers
  • 9. Target Premium End-TVNuclear-families Viewers
  • 10. PositioningTeleshopping Brands India offering miraculousproducts.Imported Products not easily available in market.Convenient shopping.
  • 11. 4 Ps
  • 12. ProductOffering:Innovative products: Utility Product Value Expressive Product Expanded its range to Imported as well Imported as Domestic
  • 13. Promotion Modes Functional congruity Self congruity Infomercials Dubbed Version Developed in studios (in the Early 2000s) & featured in India**They provide the telephone number of all the distributorsat the end of their infomercials
  • 14. PromotionOffers: Early Bird prices Price Reduction Money return Free accessories Double product packs (at same price)
  • 15. Pricing Priced targetedInitial Year Premium Upper Class Price range: Rs 200 to 12000. Most of them are in range: Rs 1000 to 5000.
  • 16. PlaceStrengthening Franchisee base (semi-urban &metros)Present in over 90 cities across the countryNo Intermediates:- One to one Interaction withcustomersIntroduction of online services (by mid 2002)
  • 17. SWOT Analysis StrengthImported product (laws)TechnologyLarge network of connectivity for telephone orders.The market registered an annual growth rate of 20%.Innovative and Miraculous Products.
  • 18. SWOT Analysis WeaknessesHigh priceTargeting only premium customers Feel and Touch Factor
  • 19. SWOT Analysis OpportunitiesTapping the native culture point of view in advertising.More accessibility in towns and semi-rural places.Strategic alliance with big retail outlets for sales anddistribution.
  • 20. SWOT Analysis ThreatsCompetitors offering same benefits at lower prices.Low television penetration.Duplicity of product.
  • 21. On time delivery to valued customers.Effective payment system that enable immediatemoney transfer at low risk.Gift offers and discounts should be allowed.Perceived value of the product should exceed itsprice.
  • 22. There can be use of special outlets for sales of theseproducts which will make it more visible to prospectivecustomers.Usage of unique bar code to avoid duplicity ofproduct.Use of modern methods of marketing like: Marketingthrough Internet