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92
Sales and Distribution At Zuari Cements Pvt Limited (w.r.t Zuari Cements Pvt Ltd,Banjara Hills) Submitted in partial fulfillment for the award of the Degree of Master of Business Administration, JNTU, Hyderabad By K.ASHOK KUMAR 117Z1E0007 Under the guidance of MR.P.RAJASHEKAR REDDY School Of Management Sciences NALLA NARASIMHA REDDY GROUP OF INISTITUTIONS

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Page 1: Ashok final

Sales and Distribution

At

Zuari Cements Pvt Limited

(w.r.t Zuari Cements Pvt Ltd,Banjara Hills)

Submitted in partial fulfillment for the award of the Degree of

Master of Business Administration, JNTU, Hyderabad

By

K.ASHOK KUMAR

117Z1E0007

Under the guidance of

MR.P.RAJASHEKAR REDDY

School Of Management Sciences

NALLA NARASIMHA REDDY GROUP OF INISTITUTIONS

(Approved by AICTE and affiliated to JNTU) Chowdariguda (V), Korremula x road, Ghatkesar (M), RR DIST-500088, AP.

(2011-13)

Page 2: Ashok final

Declaration

I hereby declare that this project report titled Sales & Distribution at Zuari Cements Pvt.

Ltd. submitted by me to the Department of Master of Business Administration, as a record

work done by me under the supervision and guidance of Mr.P.Rajsekhar Reddy, Asst prof

School of Management Sciences, NNRESGI. This is a bonafide work undertaken by me and

it is not submitted to any other University or Institution for the award of any

degree/diploma/certificate or published any time before.

Date- K.ASHOK KUMAR

Place-Hyderabad 117Z1E0007

Page 3: Ashok final

Acknowledgements

The satisfaction that accompanies the successful completion of any task would be incomplete

without the mention of the people who make it possible and whose constant guidance and

encouragement crown all the efforts with success

I would like to express my deep indebtness and whole hearted thanks to Mr. Bhasker

Reddy HRD Manager Zuari Cements Pvt, Ltd., for allowing me to undertake this project

work and for his valuable suggestions and co-operation during the development of this

project.

I express my thanks to Mr.M.Narsing Rao, Project Guide for his valuable guidance and help

throughout the project development. I wish to express my sincere thanks to Director

Dr.Krishna Reddy and Dr.M.Vijetha Dean School Of Management Sciences Nalla Narasimha

Reddy Educational Institutions for their valuable suggestions, constant help and

encouragement in every stage during the preparation of project report.

I also thank the entire staff of , for their valuable suggestions and help in completion of this

project

I would like to thanks my brother and my family members for their support and guidance

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List of Tables

List of Figures

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Figure No. Title of the Figure Page No.

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CONTENTS PAGE

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Contents Page Number

List of Tables

List of Figures

CHAPTER 1 – Introduction

1.1 Introduction to the study

1.2 Need for the study

1.3 Scope of the study

1.4 Objectives of the study

1.5 Research Methodology

1.6 Limitations

CHAPTER 2

2.1 Industry Profile

2.2 Company Profile

CHAPTER 3 – Theoretical Review

CHAPTER 4 – Data Analysis & Interpretation

CHAPTER 5 – Findings, Suggestions & Conclusion

Bibliography

Annexure

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CHAPTER 1

INTRODUCTION

Introduction

1.1 Introduction to the study

Page 8: Ashok final

Cement is a mixture of limestone, Clay, Silica and Gypsum. It is a fine powder which when

mixed with water sets to a hard mass as a result of hydration of the constituent compounds. It

is the most commonly used construction material. Cement is manufactured by burning a

mixture of limestone and Clay at high temperatures in a kiln, and then finely grinding the

resulting clinker along with Gypsum. The end product thus obtained is called Ordinary

Portland Cement (OPC).There are different varieties of cement based on different

compositions according to specific end uses, namely Ordinary Portland Cement, Portland

Puzzolana Cement, Portland Blast Furnace Slag Cement, White Cement and Specialized

Cement. The basic difference lies in the percentage of clinker used. Portland pozzolana

cement is Ordinary Portland Cement blended with pozzolanic materials (power-station fly

ash, burnt clays, ash from burnt plant material or Siliceous earths), either together or

separately. Portland clinker is ground with Gypsum and Pozzolanic materials which, though

they do not have cementing properties in themselves, combine chemically with Portland

cement in the presence of water to form extra strong cementing material which resists wet

cracking, thermal cracking and has a high degree of cohesion and workability in concrete.

PPC has80% clinker, 15% pozolona and 5% gypsum and accounts for 18% of the total

cement consumption. It is cheaply manufactured because it uses fly ash/burnt clay/coal waste

as the main ingredient. It has a lower heat of hydration, which helps in preventing cracks

where large volumes are being cast.

1.2 Need for the Study

Page 9: Ashok final

1.3 Scope of the Study

The study is confined to study of Sales & Distribution at Zuari Cements Pvt Limited.

Data collected from past five years i.e. 2007-2012 and also the market in the Sales

&Distribution in the recent years.

1.4 Objectives of the Study

To study the distribution channel of ZUARI cement along with other brands

To find out the problems faced by the ZUARI dealers/retailers and try to minimize these

problems.

1.5 Research Methodology

Population: The total no of employees in the Zuari Cements Pvt Ltd are 70

Sampling Size: The sampling size is 100

Sampling Method: Census Survey method

Extent of Sampling Procedure: The sampling is done in Hyderabad branch

Time Period: Time period for the research is for about 5 days

1.6 Limitations

Page 10: Ashok final

The major problem of the survey was that most of the respondents being very loyal to

their brands didn’t give exact answers

Some of the respondents may have told their average monthly sale more than the actual.

Because all of them think that the monthly sale attached with the market image of their

shop.

Page 11: Ashok final

CHAPTER 2

INDUSTRY PROFILE

AND

COMPANY PROFILE

2.1 Industry Profile

Cement industry

Page 12: Ashok final

Selling is thought of as a part of marketing, however, the two disciplines are completely

different. Sales often form a separate grouping in a corporate structure, employing separate

specialist operatives known as salespeople (singular: salesperson). Selling is considered by

many to be a sort of persuading "art". Contrary to popular belief, the methodological

approach of selling refers to a systematic process of repetitive and measurable milestones, by

which a salesperson relates his or her offering of a product or service in return enabling the

buyer to achieve their goal in an economic way.

While the sales process refers to a systematic process of repetitive and measurable

milestones, the definition of the selling is somewhat ambiguous due to the close nature of

advertising, promotion, public relations, and direct marketing.Sales departments often form a

separate grouping in a corporate structure, employing individuals who specialize in sale

specific roles.Selling involves sales which are the pinnacle act of completed of a purchasing

activity.Selling also involves salespeople who are the primary agents of facilitating sales.

Selling is the profession-wide term, much like marketing defines a profession. Recently,

attempts have been made to clearly understand who is in the sales profession, and who is not.

There are many articles looking at marketing, advertising, promotions, and even public

relations as ways to create a unique transaction.Many believe that the focus of selling is on

the human agents involved in the exchange between buyer and seller. Effective selling also

requires a systems approach, at minimum involving roles that sell, enable selling, and

develop sales capabilities.

Indian Scenario of Cement Industry

Page 13: Ashok final

Indian cement industry is one of the key industries amongst various old economy industries,

which have witnessed up & down cycles along with the general economic trend in the past.

However as the Indian economy has gathered its momentum in the last couple of years the

fortunes of this industry have also swung from being unfavourable demand – supply scenario

to burgeoning demand prospects. Though the industry is not a glamorous one, it is worth

noticing that India is the world’s second largest cement producing country after China.

Selling and Sales Management

Selling is a highly misunderstood profession. Many people, when asked what they think of

salespeople, instantly use terms such as pushy, greedy, or some other unkind adjective. Yet

professional selling is not what most people think. Professionally trained salespeople are

among the most important individuals within many companies. This is especially true in

business-to-business selling situations where the amount of promotional expense allocated to

support a sales force far exceeds expenses for advertising. Also, successful selling requires

the establishment of strong relationships with customers, relationships that are intended to

last for a long time. Salespeople whose goal is to just get the sale and not worry about the

customer are doomed to failure. Professional selling requires knowledge and skills that must

to learned over time, thus on-going training is critical for most. In this section resources are

offered to help both the experienced sales professional as well as those new to the field.

Personal Selling

Page 14: Ashok final

Personal selling is a promotional method in which one party (e.g., salesperson) uses skills and

techniques for building personal relationships with another party (e.g., those involved in a

purchase decision) that results in both parties obtaining value.  In most cases the “value” for

the salesperson is realized through the financial rewards of the sale while the customer’s

“value” is realized from the benefits obtained by consuming the product.  However, getting a

customer to purchase a product is not always the objective of personal selling.  For instance,

selling may be used for the purpose of simply delivering information.

Because selling involves personal contact, this promotional method often occurs through

face-to-face meetings or via a telephone conversation, though newer technologies allow

contact to take place over the Internet including using video conferencing or text messaging

(e.g., online chat).

Advantages of Personal Selling

One key advantage personal selling has over other promotional methods is that it is a two-

way form of communication.  In selling situations the message sender (e.g., salesperson) can

adjust the message as they gain feedback from message receivers (e.g., customer).  So if a

customer does not understand the initial message (e.g., doesn’t fully understand how the

product works) the salesperson can make adjustments to address questions or concerns. 

Many non-personal forms of promotion, such as a radio advertisement, are inflexible, at least

in the short-term, and cannot be easily adjusted to address audience questions.

The interactive nature of personal selling also makes it the most effective promotional

method for building relationships with customers, particularly in the business-to-business

market.  This is especially important for companies that either sell expensive products or sell

lower cost but high volume products (i.e., buyer must purchase in large quantities) that rely

Page 15: Ashok final

heavily on customers making repeat purchases.  Because such purchases may take a

considerable amount of time to complete and may involve the input of many people at the

purchasing company (i.e., buying center), sales success often requires the marketer develop

and maintain strong relationships with members of the purchasing company.

Finally, personal selling is the most practical promotional option for reaching customers who

are not easily reached through other methods.  The best example is in selling to the business

market where, compared to the consumer market, advertising, public relations and sales

promotions are often not well received.

Cement, like steel is one of the basic materials for the technical Development of a country.

Cement industry in India is Eight decades old, the first cement plant having been

commissioned in 1914 at Borabandhar (Gujarat). The Indian cement industry is the second

largest in the world after Chinas. In terms of quality, productivity, and efficiency it compares

with the best anywhere. It is almost entirely home growth, built indigenously and using

locally soured inputs. In other words, the hard ware and software that run the industry in all

mostly Indian barring one (or) two exceptional years, its performance in the last two decades

has been quite consistent and commendable in terms of Modernization, expansion, growth in

production, improvements in productivity and cost efficiency.

In the past, the growth was at a slump till 1977 and after that there was a reversed trend and a

climate of accelerated growth set in announcement of a formula for new investments based

on 12% post tax return . The policy of partial decontrol announced in 1982 gave further

boost to the cement Industry.

Modernization/ Expansion programmes

Page 16: Ashok final

In the wake of the new policy, ambitious and comprehensive Modernization / expansion

programmes have been undertaken by the Industry, Which include conversion of wet

process to energy efficient dry process, comprehensive adoption of latest technology such as

the use of vertical raw mill, precalcinators and installation of pollution control devices. For

the implementation of these programmes Rs.5, 000 Crores have already been spent.

Capacity

According to the Cement Manufactures Association (CMA) the industry has an installed

capacity of over 137 Million tones from 124 plants of 56 member companies. Most of this

capacity is modern and based on the energy efficient (conservation of energy) dry process

technology. These are as many as 64 plants of a million tones or more capacity. How ever the

minimum economic size has increased to two million tones a year.

Transportation of cement

The share of roads in transport of cement is nearly 60% while 39% is moved by rail. In

recent years, seas routes are used increasingly markets on the western coast.

Production

Cement production dispatches grew almost 10% in 2001-2002 when few sectors of the

economy could avoid first time last year with production of 102.4 million tones. The outlook

for the current year is also favorable. Previously the annual growth rate of cement production

is 7 % to 8 %. 70% Of the production is OPC, 15 % of PPC, slag cement 11 %, and

production of oil well cement, special & other verities of cement together accounted For 1 %.

Demand and supply scenario

Page 17: Ashok final

The industry can expect to see good years ahead in the long run. Demand is expected to grow

due to greater to cur on infrastructure and housing. Although the industry is capable of

meeting its own challenges, it still needs assistance from the govt., to overcome some of its

external constraints.

Demand forecasting

In particular, the housings and Roads sectors have high linkages with other sectors n terms of

economic growth and employment generation also gives a valuable boost to the fortunes of

the Indian Cement Industry

The CMA forces that 2002-2003 will also be a favorable one or the industry with a likely

growth rate of 8 to 10 %.

Export Potential

Even thought India is the second largest industry in the world, and has the natural advantages

of limestone reserves, its export performance is not line with the size. Exports account for

less than 2 % production. India is strategically placed to be a major exporter of cement to

SAARC Countries and all those around Indian Ocean such as west Asia and Africa but India

has not been able to fully tap this location advantage. There is sizable surplus capacity, and a

quality product.

Unlike in some of the neighboring countries, the Indian industry does not receive any special

support from the Government to promote

Exports the Government should lobby with some of the neighboring countries for reduction

in their import duties. The Government can help in a big way in boosting export

competitiveness through suitable financial incentives and confessional inland freights.

Page 18: Ashok final

It is interesting to note despite the reduction of import duties year after year, there have been

no actual arrivals of cement consignment from abroad. Low cement prices prevailing in the

country, inadequate port infrastructure & high inland freight from ports to consumption

centers are provided effective barriers to imports. Despite so many constraints, the industry

exported under 3.4million tones during 2001-2002. Most of the credit goes to cement plants

in Gujarat. There the companies have opened up their initiative. Some of the states, which

have been marked for export from recent past, are A.P., Gujarat, Tamilnadu, Particularly in

relation to export which have to be moved by sea.

A Glance on the contribution of cement Industry towards Indian

Cement has been a core building material for almost a century. There is no viable

Substitute foreseeable in the near future. Since cement is a core building material, it is

directly related to “Construction” which in turn flows from economic growth. All forecasts

suggest large investments in housing & infrastructure. It is easy to visualize its multiplier

effect on the constructions sectors have high linkages with other sectors in terms of economic

growths and employment generation a part from their giving a valuable boost to the fortunes

of the Indian Cement Industry.

Cement, like steel is one of the basic material for the economic development of a country.

The economic development of a country is indexed by the consumption of cement .The

Indian cement industry plays a key role in the national economy, generating substantial

Revenue for state and central government the third highest contributor in terms of excise duty

of over Rs.3500 Crores a year. Sales taxes yield as round Rs. 1500 Crores. The industry

employs a work force of over 1.5 lakhs persons and supports a further complement of 12

lakhs people engaged indirectly.

Page 19: Ashok final

It must be admitted that govt. policy announcements in recent years have been pro-active in

this respect & the cement industry has welcomed the government’s announcements and

initiatives in building roads etc, as there are huge advantage of cement & concrete roads over

conventional bitumen roads. They are economical, ensure durability & long life.

The housing sector by a rough estimate can consume over 50 million tones of cement to help

clear the backlog. Any impetus in housing activity will serve as a powerful driver of the

economy and consequently the cement industry. In fact, housing is likely to be the most

powerful engine for growth of the economy.

Despite lowering of import duties, no import of cement is likely. The needs renewed support

from the Govt., in providing impetus in economic growth and construction of infrastructure

projects. It also seeks Government’s assistance in easing it financial burden by way of

administered tools & duties. This kind of assistance will simultaneously increase the

consumption of cement further reduce prices of customers. For cheaper costs cement can be

made available to the public for mass housing 7 to help make the construction of

infrastructure projects more financially viable.

2.2 Company Profile

Page 20: Ashok final

Zuari Cements Limited

The company Zuari Agro Ltd was in corporate on 12th may 1967 Zuari cement limited has

been himself off as a separate company with 50-50 share holding by Zuari industries limited

(A.K.K.Birla group company) and Italy cement group (as Italian cement company) with

effect from 1-4-2000 with Head-quarters at Bangalore, Zuari and Italy cement group (through

cement Francis group company) have formed joint venture company Viz., Zuari cement

limited. It is projected to increase the cement capacity of 2.2MT.

TEXMACO Limited in the year 1995 was changed to Zuari cement by division of ZUARI

CHEMICAL LIMITED, jointly promoted by K.K.BIRLA & USX CORPORATION a major

steel leader in U.S.A.

Location of the Plant

Zuari cement is running under the Flagship of Zuari Agro chemicals

Limited.Zuari cement is strategies located 6 kms away from Yerraguntla town

of Kamalapuram (Taluk) in Kadapa district Andhra Pradesh. Railway line has

been laid connection the Yerraguntla station of Zuari Cements.

Location of the plant at this place is having following advantages.

Location in industrial belt of Rayalaseema with sophisticated facilities like water,

electricity, labor, transport etc.

Present of the best limestone proved scientifically for cement.

Low free lime to ensure reduced surface cracks.

Low heat of hydration for better soundness.

Low magnesia content to ensure reduced tensile cracks.

Specially designed setting time to suit Indian working conditions.

Page 21: Ashok final

Joint Venture with Italic Cement

Zuari group has identified as one of the core business to grow. It has therefore, been decided

to constitute a separate corporate entity and hire off cement business to it. To accelerate the

growth and achieve capacity additions quickly it decided to form a joint venture with a

strategic partner after careful evaluation the multinational cement giant italic cement group

was identified to be suitable partner for pursuing growth.

Zuari and Italic cement groups have agreed to form a joint venture with 50-50 equity sharing.

The Zuari cement business will get transferred to the joint venture company Viz. Zuari

cement limited.

It is proposed to have quarters of cement business at Hyderabad. It is proposed to increase the

capacity of1.7 MTPA in span of 3 to 4 years. Italic cement group is the largest producer &

distributor of cement in European and one of the leaders in the world maker place. The group

operates in 13 countries including Belgium, Canada, France, Greece, Italy, Moraco, Spain,

Turkey and U.S with recent acquisition in Bulgaria, Kazakhstan and Thaila

The group was founded in 1864 and had its head quarters in Bermago, Italy; currently the

group has 54 plans with an installed capacity of 40 MTPA spread over 13 countries. The

group also has 500 RMC plants all over the world. The consolidated group turn over in 1998

was 3.4 billion US$. The group has excellent R & D and Machine design facilities head

quartered at Bermago, Italy, which renders technical support to all over the group plants.

Mission

Italic Cementric Group- Our Mission

Page 22: Ashok final

Our Shared Ambition: “Effective and Efficient” To become the most effective and most

efficient cement manufacturer and distributor in the world.

Our Approach: “We are local we think Global”. Cement aggregates and ready to mix

concrete manufacture and distribution are local business. Around the world we serve local

customers in local markets with local needs.

Our Way of Working: “Technological leadership is our Goal”. Our technology plays the key

role in realizing our ambition we are committed to increasing the value of our groups, our

companies, our products and services, the capabilities of our employees and the ecological

standards by which we operate.

Our spirit: “One team worldwide”. We operate worldwide in many diverse markets, cultures

and continents. We are proud of our cultural diversity and our distinctive character.

Organizaitonal Structure

The organizational structure of Zuari is simple and flat. The employees are assigned grades

based on their pay packages. These grades are not based on the job responsibilities may have

different grades for reasons like duration of association with the company.

Objectives of The Company

To Provide employment to the local employees

To supply best cement at economical prices

To get the optimum utilization of the raw materials available of their own mines.

Manufacturing quality cement and to stand as a market leader in south India.

Recent Developments

Page 23: Ashok final

Zuari cement has signed on agreement with the cement corporation of India (CCI) to market

CCI’s cement produces from their facility at tender in Andhra Pradesh.

Zuari Cement shall market this in the state of Tamil Nadu, Kerala, Andhra Pradesh and pond

cherry. The incremental tonnage for zuari cement as a result of this arrangement is around 3.5

lakh tones.

Social Responsibility

As part of social responsibility the company is maintaining one dispensary where the near by

villagers are treated free of cost. It has one primary school & also it has constructed bus

shelters, traffic signals water sheds, water tanks hospitals, houses & road dividers.

Motivation

Motivation in zuari cement limited is one by encouraging the employees by

awarding them rewarding them and identifying their talents and promoting

them to higher positions. The career development is possible through proper

motivational factors .

Major Users

Zuari cement is marked through out south India by a wide network of

stockiest. The zuari sales officers and representatives are based in almost all

cities.

And towns in south India, Major users of zuari cement are as follows.

Page 24: Ashok final

Madras refineries limited.

Airport authority of India

Tamilnadu real estate limited

East coast construction and industries limited.

Tamil Nadu port trust.

Asia pacific hotels limited

Grind well Norton limited

Tirumala Tirupati Devasthanam

APSEB – Srisailam power project.

Ramco industries visaka industries.

Hyderabad Everest limited

Nagarjuna Construction.

Corporate Marketing Office

Zuari cements limited corporate marketing office is at Chennai (Tamil Nadu)

and branches are at:

Hyderabad - Andhra Pradesh.

Visakhapatnam - Andhra Pradesh.

Bang lore - Karnataka.

Cochin - Kerala.

Panaji - Goa

Chennai - Tamil Nadu.

Bhubaneswar - Orissa.

Page 25: Ashok final

Competitors

Penna - Tadipathri

ZUARI - Tadipathri

Malabar - Cochin

Product Profile

Zuari Cement manufactures and distributes its own main product lines of cement .We aim to

optimize production across all of our markets, providing a complete solution for customer's

needs at the lowest possible cost, an approach we call strategic integration of activities.

Cement is made from a mixture of 80 percent limestone and 20 percent clay. These are

crushed and ground to provide the "raw meal”, a pale, flour-like powder. Heated to around

1450° C (2642° F) in rotating kilns, the “meal” undergoes complex chemical changes and is

transformed into clinker. Fine-grinding the clinker together with a small quantity of gypsum

produces cement. Adding other constituents at this stage produces cements for specialized

uses.

Zuari Cements Range of Cement

Zuari Superfine Cement Zuari 43 Grade Cement Zuari Superfine P53 cement

Page 26: Ashok final

Zuari Superfine Cement

Zuari 43 Grade Cement

Zuari Superfine P 53 Cement

Quality

Six strong benefits that make Zuari 43, 53 Grade, Super fine, Vishnu Premium and Vishnu

Shakti the ideal cement

Higher compressive strength.

Better soundness.

Lesser consumption of cement for M-20 Concrete Grade and above.

Faster de shuttering of formwork.

Reduced construction time with a superior and wide range of cement catering to every

conceivable building need, Zuari cement is a formidable player in the cement market.

Here just a few reasons why Zuari cement chosen by millions of India.

Ideal raw material

Low lime and magnesia content and high proportion of silicates.

Greater fineness.

Slow initial and fast final setting.

Wide range of applications.

Quality customer services.

Page 27: Ashok final

Features That Promise Better Performance

Concrete of better strength and workability since voids of air and water are reduced.

Protection against alkali aggregate reaction due to the presence of a very glassy state of

silica.

Resistance towards chemical attacks and lowers permeability.

Long term durable concrete, because of low free lime.

Lower heat of hydration

Page 28: Ashok final

CHAPTER 3

THEORETICAL REVIEW

3. Theoretical Review

Page 29: Ashok final

Selling is thought of as a part of marketing, however, the two disciplines are completely

different. Sales often form a separate grouping in a corporate structure, employing separate

specialist operatives known as salespeople (singular: salesperson). Selling is considered by

many to be a sort of persuading "art". Contrary to popular belief, the methodological

approach of selling refers to a systematic process of repetitive and measurable milestones, by

which a salesperson relates his or her offering of a product or service in return enabling the

buyer to achieve their goal in an economic way.

While the sales process refers to a systematic process of repetitive and measurable

milestones, the definition of the selling is somewhat ambiguous due to the close nature of

advertising, promotion, public relations, and direct marketing.

Sales departments often form a separate grouping in a corporate structure, employing

individuals who specialize in sale specific roles.Selling involves sales which are the pinnacle

act of completed of a purchasing activity.

Selling also involves salespeople who are the primary agents of facilitating sales.

Selling is the profession-wide term, much like marketing defines a profession. Recently,

attempts have been made to clearly understand who is in the sales profession, and who is not.

There are many articles looking at marketing, advertising, promotions, and even public

relations as ways to create a unique transaction.

Many believe that the focus of selling is on the human agents involved in the exchange

between buyer and seller. Effective selling also requires a systems approach, at minimum

involving roles that sell, enable selling, and develop sales capabilities. Selling also involves

salespeople who possess specific set of sales skills and knowledge are required to facilitate

Page 30: Ashok final

the exchange of value between buyers and sellers that is unique from marketing, advertising,

etc.

Professional Selling is defined as:

"The holistic business system required to effectively develop, manage, enable, and execute a

mutually beneficial, interpersonal exchange of goods and/or services for equitable value.”

Selling and Sales Management

Selling is a highly misunderstood profession. Many people, when asked what they think of

salespeople, instantly use terms such as pushy, greedy, or some other unkind adjective. Yet

professional selling is not what most people think. Professionally trained salespeople are

among the most important individuals within many companies. This is especially true in

business-to-business selling situations where the amount of promotional expense allocated to

support a sales force far exceeds expenses for advertising. Also, successful selling requires

the establishment of strong relationships with customers, relationships that are intended to

last for a long time. Salespeople whose goal is to just get the sale and not worry about the

customer are doomed to failure. Professional selling requires knowledge and skills that must

to learned over time, thus on-going training is critical for most. In this section resources are

offered to help both the experienced sales professional as well as those new to the field.

Personal Selling

Page 31: Ashok final

Personal selling is a promotional method in which one party (e.g., salesperson) uses skills and

techniques for building personal relationships with another party (e.g., those involved in a

purchase decision) that results in both parties obtaining value.  In most cases the “value” for

the salesperson is realized through the financial rewards of the sale while the customer’s

“value” is realized from the benefits obtained by consuming the product.  However, getting a

customer to purchase a product is not always the objective of personal selling.  For instance,

selling may be used for the purpose of simply delivering information.

Because selling involves personal contact, this promotional method often occurs through

face-to-face meetings or via a telephone conversation, though newer technologies allow

contact to take place over the Internet including using video conferencing or text messaging

(e.g., online chat).

Advantages of Personal Selling

One key advantage personal selling has over other promotional methods is that it is a two-

way form of communication.  In selling situations the message sender (e.g., salesperson) can

adjust the message as they gain feedback from message receivers (e.g., customer).  So if a

customer does not understand the initial message (e.g., doesn’t fully understand how the

product works) the salesperson can make adjustments to address questions or concerns. 

Many non-personal forms of promotion, such as a radio advertisement, are inflexible, at least

in the short-term, and cannot be easily adjusted to address audience questions.

The interactive nature of personal selling also makes it the most effective promotional

method for building relationships with customers, particularly in the business-to-business

market.  This is especially important for companies that either sell expensive products or sell

lower cost but high volume products (i.e., buyer must purchase in large quantities) that rely

Page 32: Ashok final

heavily on customers making repeat purchases.  Because such purchases may take a

considerable amount of time to complete and may involve the input of many people at the

purchasing company (i.e., buying center), sales success often requires the marketer develop

and maintain strong relationships with members of the purchasing company.

Finally, personal selling is the most practical promotional option for reaching customers who

are not easily reached through other methods.  The best example is in selling to the business

market where, compared to the consumer market, advertising, public relations and sales

promotions are often not well received.

Disadvantages of Personal Selling

Possibly the biggest disadvantage of selling is the degree to which this promotional method is

misunderstood.  Most people have had some bad experiences with salespeople who they

perceived  were overly aggressive or even downright annoying.  While there are certainly

many salespeople who fall into this category, the truth is salespeople are most successful

when  they focus their efforts on satisfying customers over the long term and not focusing

own their own selfish interests.

A second disadvantage of personal selling is the high cost in maintaining this type of

promotional effort.  Costs incurred in personal selling include:

High cost-per-action (CPA) – CPA can be an important measure of the success of

promotion spending.  Since personal selling involves person-to-person contact, the

money spent to support a sales staff (i.e., sales force) can be steep.  For instance, in some

industries it costs well over (US) $300 each time a salesperson contacts a potential

customer.  This cost is incurred whether a sale is made or not!  These costs include

compensation (e.g., salary, commission, bonus), providing sales support materials,

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allowances for entertainment spending, office supplies, telecommunication and much

more.  With such high cost for maintaining a sales force, selling is often not a practical

option for selling products that do not generate a large amount of revenue.

Training Costs – Most forms of personal selling require the sales staff be extensively

trained on product knowledge, industry information and selling skills.  For companies that

require their salespeople attend formal training programs, the cost of training can be quite

high and include such expenses as travel, hotel, meals, and training equipment while also

paying the trainees’ salaries while they attend.

A third disadvantage is that personal selling is not for everyone.  Job turnover in sales is often

much higher than other marketing positions.  For companies that assign salespeople to handle

certain customer groups (e.g., geographic territory), turnover may leave a company without

representation in a customer group for an extended period of time while the company recruits

and trains a replacement.

Objectives of Personal Selling

Personal selling is used to meet the five objectives of promotion in the following ways:

Building Product Awareness – A common task of salespeople, especially when selling in

business markets, is to educate customers on new product offerings. In fact, salespeople

serve a major role at industry trades shows where they discuss products with show

attendees.  But building awareness using personal selling is also important in consumer

markets. The advent of controlled word-of-mouth marketing is leading to personal selling

becoming a useful mechanism for introducing consumers to new products.

Creating Interest – The fact that personal selling involves person-to-person

communication makes it a natural method for getting customers to experience a product

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for the first time.  In fact, creating interest goes hand-in-hand with building product

awareness as sales professionals can often accomplish both objectives during the first

encounter with a potential customer.

Providing Information – When salespeople engage customers a large part of the

conversation focuses on product information.  Marketing organizations provide their sales

staff with large amounts of sales support including brochures, research reports, computer

programs and many other forms of informational material.

Stimulating Demand – By far, the most important objective of personal selling is to

convince customers to make a purchase. 

Reinforcing the Brand – Most personal selling is intended to build long-term relationships

with customers.  A strong relationship can only be built over time and requires regular

communication with a customer.  Meeting with customers on a regular basis allows

salespeople to repeatedly discuss their company’s products and by doing so helps

strengthen customers’ knowledge of what the company has to offer.

Classifying Selling Roles

As noted above, worldwide millions of people have careers that fit in the personal selling

category.  However, the actual functions carried out by someone in sales may be quite

different.  Below we discuss the four major types of selling roles: order getters, order takers,

order influencers, and sales support.  It should be noted that these roles are not mutually

exclusive and that a salesperson can perform more than one and possibly all activities.

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Order Getters

The role most synonymous with selling is a position in which the salesperson is actively

engaged in using their skills to obtain orders from customers.  Such roles can be further

divided into:

New Business Development– A highly challenging yet potentially lucrative sales position

is one where the main objective is to find new customers.  Sales jobs in this category are

often in fields that are very competitive, but offer high rewards for those that are

successful.  The key distinguishing factor of these positions is that once a sale is made

new business salespeople pass customers on to others in their organization who handle

account maintenance.  These positions include:

Business Equipment Sales - These salespeople are often found in industries where a

company’s main profits come from the sale of supplies and services that come after an

initial equipment purchase.  The key objective of business equipment salespeople is to get

buyers to purchase the main piece of equipment for which supplies and service are needed

in order for the equipment to function.  For instance, in the photocopier industry certain

salespeople only seek out new accounts and once a photocopier sale is made they pass

along the account to other sales personnel who handle the sales of maintenance and

supply products.

Telemarketing – This category includes product sales over the phone, whether aimed at

business or consumer.  While in the US laws restrict unsolicited phone selling, the

practice is still widely used in the business market.

Consumer Selling – Certain companies are very aggressive in their use of salespeople to

build new consumer business.  These include: retailers selling certain high priced

consumer products including furniture, electronics and clothing; housing products

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including real estate, security services, building replacement products (e.g., windows);

and in-home product sellers including those selling door-to-door and products sold at

“home party” events such as cosmetics, kitchenware and decorative products.

Account Management – Most people engaged in sales are not only involved in gaining

the initial order, but work to build and maintain relationships with clients that are

intended to last a long time.  Salespeople involved in account management are found

across a broad range of industries.  Their responsibilities involve all aspects of building

customer relationships from initial sale to follow-up account servicing.  These include:

Business-to-Business Selling – These salespeople sell products for business use with an

emphasis on follow-up sales.  In many cases, business-to-business salespeople have many

different items available for sale (i.e., broad and/or deep product line) rather than a single

product.  So while the initial sale may only result in the buyer purchasing a few products,

the potential exists for the buyer to purchase many other products as the buyer-seller

relationship grows.

Trade Selling – Sales professionals working for consumer products companies normally

do not sell to the final user (i.e., consumer).  Instead their role is focused on first getting

distributors, such wholesalers and retailers, to handle their products and once this is

accomplished, helping distributors sell their product by offering ideas for product

advertising, in-store display and sales promotions. 

Order Takers

Selling does not always require a salesperson use methods designed to encourage customers

to make a purchase.  In fact, the greatest number of people engaged in selling are not order

getters, rather they are considered order takers.  In this role, salespeople primarily assist

customers with a purchase in ways that are much less assertive than order getters.  As might

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be expected, compensation for order takers is generally lower than that of order getters. 

Among those serving an order taker role are:

Retail Clerks – While some retail salespeople are involved in new business selling, the

vast majority of retail employees handle order taking tasks, which range from directing

customers to products to handling customer checkout.

Industrial Distributor Clerks – Industrial purchase situations, such as distributors of

building products, will also have clerks to handle customer purchases.

Customer Service – Order taking is also handled in non face-to-face ways through

customer service personnel.  Usually this occurs via phone conversations, though newer

technologies are allowing for these tasks to be handled through electronic means such as

online chat.

Order Influencers

Some salespeople are not engaged in direct selling activities at all.  That is, they do not sell

directly to the person who is the ultimate purchaser for their product.  Instead these

salespeople concentrate on selling activity that targets those who influence purchases made

by the final customer.  The primary example of an order influencer is the missionary

salesperson:

Missionary - These salespeople are used in industries where customers make purchases

based on the advice or requirements of others.  Two industries in which missionary

selling is commonly found are pharmaceuticals, where salespeople, known as product

detailers, discuss products with doctors (influencers) who then write prescriptions for

their patients (final customer) and higher education, where salespeople call on college

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professors (influencers) who make requirements to students (final customer) for specific 

textbooks.

Sales Support

A final group involved in selling mostly assist with the selling activities of other sales

professionals.  These include:

Technical Specialists - When dealing with the sale of technical products, particularly

in business markets, salespeople may need to draw on the expertise of others to assist

with the process.  This is particularly the case when the buying party consists of a buying

center.  In business selling many people from different functional areas may be involved

in the purchase decision.  If this buying center includes technical people, such as

scientists and engineers, a salesperson may seek assistance from members of their own

technical staff, who can help address specific questions.

Office Support – Salespeople also may receive assistance from their company’s office

staff in the form of creating promotional materials, setting up sales appointments, finding

sales leads, arranging meeting space or organizing trade shows exhibits.

Trends

While the basic premise of personal selling, building relationships, has not changed much in

the last 50 years, there are a number of developments that are impacting this method of

promotion including:

Controlled Word-of-Mouth Promotion

One of the most influential forms of promotion occurs when one person speaks highly of a

product to someone else, particularly if the message sender is considered an unbiased source

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of information.  Until recently, marketers have had little control over person-to-person

promotion that did not involve salespeople (i.e., biased source).  However, marketers are

beginning to experiment with new methods of promotion that strategically takes advantage of

the benefits offered by word-of-mouth promotion.  Unlike salespeople who attempt to obtain

an order from customers, controlled word-of-mouth promotion uses real people to help

spread information about a product but do not directly elicit customer orders. 

With controlled word-of-mouth promotion a marketer hires individuals to spread positive

information about a product but in a way that does not make it obvious to others that they are

being paid to do so.  The technique is especially useful when building awareness of new

products and this approach has been dubbed “buzz” marketing as a way to describe its

objective of building a high level of awareness for a product.  For example, a brewer may

form a team of word-of-mouth marketers who visit local taverns and night spots.  As part of

their job these marketers may “talk up” a new beer sold by the brewer and even purchase the

product for some customers.  But in the course of doing so they do not directly disclose that

they are being compensated by the brewer for their efforts.

Controlled word-of-mouth has received a great deal of publicity though much of it has

focused on potential ethical concerns.  Some have expressed concern that paying people to

“act” as if they are interested in a product without any indication of their relationship with the

product breaches ethical standards.  As more companies explore controlled word-of-mouth

marketing it is expect to become an even more scrutinized form of personal selling.

Customer Information Sharing

Possibly the most dramatic change to occur in how salespeople function on a day-to-day basis

involves the integration of customer relationship management (CRM) systems into the selling

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arena.  CRM is the name given to both the technology and the philosophy that drives

companies to gain a better understanding of their customers with the goal of building stronger

long-term relationships.  The essential requirement for an effective CRM system is the need

for all customer contact points (e.g., salespeople, customer service, websites) to gather

information so that this can be shared with others in the company. 

But CRM has faced some rough times within the sales force for the exact reason it is

important: salespeople must share their information.  Salespeople have historically been very

good at developing relationships and learning about customers, but often loath sharing this

since, in effect, information is what makes them important.  In the minds of some

salespeople, letting go of the information reduces their importance to the company.  For

example, some salespeople feel that sharing all they know about a customer will make them

expendable as a salesperson since a company can simply insert someone new into their spot

at anytime. 

While the attitude toward CRM has made its implementation difficult in many companies,

salespeople should understand that it is not going away.  CRM and information sharing has

proven to be critical for maintaining strong customer relations and salespeople must learn to

adapt to it.

Mobile Technology and Web-Based Computing

The move to an information sharing approach is most effective when salespeople have access

to information sharing features when they need it most.  Mobile technologies, such as

wireless internet (Wi-Fi) and cellular Internet access, allow salespeople to retrieve needed

information at any time.  Additionally, there is a growing trend to make key business

applications available through a browser rather than having programs loaded on a

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salesperson’s computer.  This allows for the application to be accessed from anywhere at

anytime.  For example, many companies have moved to web-based CRM systems where

simply having Internet access allows salespeople to enter and retrieve information.  Also,

many new office productivity applications, such as word processing and spreadsheets, are

now becoming web-accessible. 

New generation cell phones or smart phones along with other handheld devices, such as

personal digital assistants (PDA), lighten the burden of carrying laptop computers.  But

because these handheld devices are web-enabled they provide access to much of the same

information as a standard computer.  While the computing power of handheld devices is still

underpowered compared to conventional computers, the move to web-based computing may

some day make the handheld the main instrument for inputting and outputting information.

Electronic Sales Presentations

Technology is also playing a major role in how sales professionals reach prospects and

existing customers.  While audio/video conferencing has been available for many years using

high-end telecommunication hookups, it has only been within the last few years that

improvements in Internet access speeds, computing power and meeting software have made

this method for reaching customers a practical alternative to face-to-face sales meetings. 

These options include:

Online Video Conferencing

Online conferencing essentially acts in the same way as telecommunications

videoconferencing, with one big exception; it is delivered over the Internet.   Anyone who

has an Internet connection knows that trying to deliver video over the Internet can be a trying

experience as video often appears to be slow, jittery and sometimes not even recognizable.  

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But these problems are quickly disappearing and while real time Internet video conferencing

(i.e., television quality video and audio) is still not routinely accessible to most salespeople,

this is expected to change. 

Web/Phone Conferencing

To offset the problems associated with Internet delivery of real time audio and video, many

companies deliver sales presentations using a combination of web and telecommunications. 

The most widely used services use the Internet, to deliver visual material (typically a slide

presentation) and telecommunications, to allow for voice conversation.  The process has a

salesperson arrange for a conferencing time with a prospect who enters the conference by: 1)

using their web browser to gain access to the visual presentation and 2) using their telephone

to call into an audio conference.  Splitting the visual and audio feeds allows for smoother

presentations since the conference participants’ computers need only process the visual

material.  It should be noted, that while audio access is now being carried out over telephone

connections, the emergence of telephone over the Internet (i.e., VOIP - voice over Internet

Protocol) may soon help resolve some of the problems that have been encountered when

delivering both.

Online Text Chat

Online chat allows for real time communication between multiple participants using text

messaging.  While this form of buyer-seller communication may not be very effective at

getting customers to agree to make a purchase, it has proven very effective in building initial

product interest.  For example, potential customers visiting a website may use the chat feature

to ask a few questions about the company’s products.  Engaging a customer this way can then

lead to the customer agreeing to receive a phone call from a salesperson to further discuss the

product.

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Electronic Sales Training

Developing the skills and techniques needed to be successful at selling requires an extensive

commitment by the individual seller and the seller's company to sales training.  Sales training

is the hallmark of professional selling.  If there is one thing that separates the truly successful

salesperson from those who are not, it is the amount of training and preparation they engage

in.

Most organizations that employ a sales force offer new salespeople an extensive formal

training program often held at dedicated training facilities.  These training programs can

range from a few days to many months depending on the industry.  But once a salesperson

has made the move to the field, training does not stop.  Those involved in selling must

continue to stay abreast of their products, customers, markets and competitors.  While many

companies may continue to employ the same methods used when they first trained their

salespeople, a large number of firms are finding that ongoing training can be just as effective

using electronic options such as delivering training over the Internet, through downloadable

computer programs or through interactive CDs or DVDs.

While feedback using electronic means is not as personal as it might be with in-person

training, sophisticated electronic training programs are effective in educating and testing

trainee’s knowledge.  Also, a live trainer can be contacted very quickly via e-mail, online

chat or by a phone call if a question does arise.

Using electronic delivery, the cost to the company for adding or updating training material is

inexpensive and quick compared to the cost and time needed to produce and ship paper-based

materials.  Additionally, the use of RSS feeds or email enables salespeople to be quickly

notified when new training material is available.  This is useful when the sales force must be

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made aware of a recent change that will impact how products are promoted such as a price

change, new information to be used as comparison to competitor’s products, a potential

problem that has arisen when installing or using a product or some other adjustment.

Use of Customer Sales Teams

As we noted in discussion of technical specialists, salespeople may require the assistance of

others in their organization to effectively deal with prospects.  In fact, many companies are

moving away from the traditional sale force arrangement, where a single salesperson handles

nearly all communication with an account, in favor of a team approach where multiple people

are involved. 

Teams consist of individuals from several functional areas such as marketing, manufacturing,

distribution, and customer service.  In some configurations all members share bonuses if the

team meets sales goals.  Clearly to be effective a team approach requires the implementation

of customer relationship management systems that we discussed earlier.

Distribution

Distribution Decision

Product decisions may be the most important of all marketing decisions since these lead

directly to the reasons (i.e., offer benefits that satisfy needs) why customers decide to make a

purchase.  But having a strong product does little good if customers are not able to easily and

conveniently obtain it. 

Distribution decisions focus on establishing a system that, at its basic level, allows customers

to gain access and purchase a marketer’s product.  However, marketers may find that getting

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to the point at which a customer can acquire a product is complicated, time consuming, and

expensive.  The bottom line is a marketer’s distribution system must be both effective (i.e.,

delivers a good or service to the right place, in the right amount, in the right condition) and

efficient (i.e., delivers at the right time and for the right cost). 

Distribution decisions are relevant for nearly all types of products.  While it is easy to see

how distribution decisions impact physical goods, such as laundry detergent or truck parts,

distribution is equally important for digital goods (e.g., television programming,

downloadable music) and services (e.g., income tax services).  In fact, while the Internet is

playing a major role in changing product distribution and is perceived to offer more

opportunities for reaching customers, online marketers still face the same distribution issues

and obstacles as those faced by offline marketers.

In order to facilitate an effective and efficient distribution system many decisions must be

made including (but certainly not limited to):

Assessing the best distribution channels for getting products to customers

Determining whether a reseller network is needed to assist in the distribution process

Arranging a reliable ordering system that allows customers to place orders

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Creating a delivery system for transporting the product to the customer

For tangible and digital goods, establishing facilities for product storage

Channels of Distribution

For marketers, the distribution decision is primarily concerned with the supply chain’s front-

end or channels of distribution that are designed to move the product (goods or services) from

the hands of the company to the hands of the customer.  Obviously when we talk about

intangible services the use of the word “hands” is a figurative way to describe the exchange

that takes place.  But the idea is the same as with tangible goods.  All activities and

organizations helping with the exchange are part of the marketer’s channels of distribution. 

Activities involved in the channel are wide and varied though the basic activities revolve

around these general tasks:

Ordering

Handling and shipping

Storage

Display

Promotion

Selling

Information feedback

Page 47: Ashok final

CHAPTER 4

DATA ANALYSIS AND

INTERPRETATION

Page 48: Ashok final

4. Data Analysis and Interpretation

Table -1) Dealers relation with ZUARI Cements Industry

Business experience Number of respondents Percentage

<1 year 5 10

Below 3years 11 22

3-6 years 30 60

Above 6 years 4 8

Total 50 100

<1 ye

ar

Below 3

year

s

3-6

year

s

Above

6 y

ears

Total

0

20

40

60

80

100

120

Number of respondents

Percentage

Inference

8% of the dealers have more than 6-years experience. 60% of the dealers have 3-6 years

experience. Followed by 22% of the dealers having less than 3 years and 10% of the dealers

have one year experience.

2) Dealers feeling about Company Image

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Highly

satis

fied

Satisf

ied

Neutra

l

Dissat

isfied

Other

sTot

al0

20

40

60

80

100

120

Number of respondents

Percentage

Inference

30% of the dealers falling highly satisfied about companied image and 60%of the dealers

were feeling moderately satisfied, 10% of the dealers were feeling satisfied about companies

image.

3)To know on which aspects the customer gets more satisfaction

Dealers opinion Number of respondents Percentage

Dealers Opinion Number of respondents Percentage

Highly satisfied 15 30

Satisfied 30 60

Neutral 5 10

Dissatisfied 0 0

Others 0 0

Total 50 100

Page 50: Ashok final

Brand name 6 12

Price 2 4

Quality 38 76

Usages 4 8

Others 0 0

Total 50 100

Brand

nam

ePric

e

Quality

Usage

s

Other

sTot

al0

20

40

60

80

100

120

Number of respondents

Percentage

Inference

Majority of the respondents are gibing fist preference to quality, second preference to brand

name, then followed by product, usage and price.

4)Customers come to shop

Page 51: Ashok final

Dealers opinion Number of respondents Percentage

By your influence 8 16

By friends 8 16

By advertising 8 16

By Brand Name 26 52

Other 0 0

Total 50 100

By yo

ur in

fluen

ce

By fri

ends

By ad

verti

sing

By Bra

nd N

ame

Other

Total

0

20

40

60

80

100

120

Number of respondents

Percentage

Inference

From the above table it is inferred that majority of the customers come to retail outlets by the

influence of brand name of ZUARI cement and followed by advertising, dealers influence.

5)Stock out problems

Page 52: Ashok final

Dealers opinion Number of respondents Percentage

Frequently 0 0

Rarely 5 10

No 45 90

Total 50 100

Frequently

Rarely No

Total

020406080

100120

Number of respondents

Percentage

Inference

90% of the dealers are getting satisfied with the supply of ZUARI cement by expressing that

they do not come across stock out problem.

6) Dealer satisfaction on supply of product

Page 53: Ashok final

Hig

hly

satisfied

Modera

tely

sa..

.

Satisfied

Dis

satisfied

Hig

hly

dis

sati..

.

Tota

l

0

50

100

150

No.Of. re-spondents

Percentage

Inference

48% of the dealers are satisfying by the supply and 24% moderately satisfying, 24% highly

satisfied and 2% dissatisfied.

7) Dealers’ satisfaction on in time deliveries

Dealers Opinion No. of. Respondents Percentage

Highly satisfied 12 24

Moderately satisfied 12 24

Satisfied 24 48

Dissatisfied 2 4

Highly dissatisfied 0 0

Total 50 100

Page 54: Ashok final

Dealers opinion No. Of. Respondents Percentage

Highly satisfied 2 4

Moderately satisfied 16 32

Satisfied 32 64

Dissatisfied 0 0

Highly dissatisfied 0 0

Total 50 100

De

ale

rs o

pin

ion

Hig

hly

sa

tisfie

d

Mo

de

rate

ly s

atis

...

Sa

tisfie

d

Dis

satis

fied

Hig

hly

dis

satis

fied

To

tal

020406080

100120

Series1

Series2

Series3

Inference

The majority of the dealers are satisfied with the mode of dispatch by the company

8)Customers Awareness

Dealers opinion No. Of. Respondents Percentage

Page 55: Ashok final

Advertisement 19 38

Campaign 4 8

Dealer 27 54

Others 0 0

Total 50 100

050

100150

No.Of. Resp...

Inference

The above table shows that 54% respondents are saying that dealers play majors in

customer’s awareness about the product. And 38% of respondents are stating that

advertisement is second highest promotional activity to create awareness in the minds of

customer.

9) Sales satisfaction

Page 56: Ashok final

Dealers opinion No. of. Respondents Percentage

Highly satisfied 9 8

Moderately satisfied 11 22

Satisfied 30 60

Dissatisfied 0 0

Highly dissatisfied 0 0

Total 50 100

Dea

lers

opin

ion

Hig

hly

satisfie

d

Mode

rate

ly s

a..

.

Sati

sfied

Dis

satis

fied

Hig

hly

dis

sa

ti..

.

Tota

l

020406080

100120

Se...

Inference

60% of the dealers are satisfying the sale of ZUARI’s product following 22% if the dealers

moderately satisfied, 18% of the dealers were highly satisfied.

10) Demand estimation on various products

Dealers opinion No. of. Respondents Percentage

Page 57: Ashok final

Past sales 9 18

Seasonal 13 26

Orders 28 56

Others 0 0

Total 50 100

Past s

ales

Seaso

nal

Order

s

Other

sto

tal

0

20

40

60

80

100

120

No.Of. re-spondents

Percentage

Inference

The high percent of dealers are estimating the demand for the product through orders and

26%of are estimating on seasonal base.

11) Industry to stock point fright expenses percentage

Page 58: Ashok final

Dealers opinion No. Of. Respondents Percentage

2% 30 60

3% 10 20

4% 8 16

5% 2 4

Total 50 100

2%

3%

4%

5%

to-tal

0

50

100

150

No.Of. Res...

Inference

The dealers are incurs very less fright charges representing 2%, to receive goods from

company to your stock point.

Page 59: Ashok final

CHAPTER 5

FINDINGS,SUGGESTIONS

AND CONCLUSION

Findings

Page 60: Ashok final

Majority of the dealers having 3 to 6 years experience, and less number of dealers having

above 6 years experience.

Majority of dealers just satisfied about the company’s image, remaining is neutral, highly

satisfied.

Majority of the customers satisfying about the quality of the product next preference

given brand name followed by usages, price.

Most of the dealers expresses customers visit to shop by brand name only. And followed

dealers influence, by friends, by advertising.

The entire dealers were saying they do not face any difficulties to deal with the customers

to selling the product.

Majority of the dealers saying they do no come across stock out problems.

Majority of the dealers satisfying with the supply from the company and very few

members satisfied, dissatisfied.

All the dealers were saying the entire floor space were providing only for goods storing

purpose.

Majority of the dealers satisfied with the mode of dispatch by the company. And few

members were moderately satisfied, highly satisfied.

Majority of the dealers they estimate the demand for various products by the orders and

followed by seasonal base and past sales.

All the dealers were saying they do not face any difficult in dealing with the company.

Majority of the dealers were saying about the fright it incurs 2% to receive goods from

company to your stock point.

Suggestions

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Provide opportunity for new entrants in the business.

To create awareness about the company, using of various ways of promotional activities

such as advertisement, to maintain the better relation with dealers.

If possible increase the quality of the product and reduce the price.

Company and dealers should try to maintain customer good relationship as much as the

possible to increase the sales.

Try to maintain better supply chain in order to improve the services. Supply the products

with in time to the dealers. Though effective channel of distribution is very important in

enhancing the sales.

Try to provide discounts to dealers and credit facilities.

Customers, who purchase the huge amount of products, provide free home delivery to

customers place. This reflects in the sales and post sales services are very key in

maintaining customer and dealer relationships

Page 62: Ashok final

BIBLIOGRAPHY

Bibliography

Page 63: Ashok final

Text Books

Phillipkotler,2003 Marketing Mgmt, T.M.H, New Delhi (9TH EDITION)

Schiffman&Kanuk, 1997, Consumer behaviour, PHI (6TH EDITION) Levin &

Kirpatric,

Quantitative Techniques for M.B.A, Tata McGraw Hill-1985

Websites

http://www.marketing.org/

http://www.estrategicmarketing.com/

http://www.marketingprofs.com/

http://www.btobonline.com/

http://www.marketingstudies.net/

Conclusion

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