cim stage 2 assignment on marketing planning process

38423515 MARKETING PLANNING PROCESS

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CIM REGISTRATION NUMBER: 38423515

MANAGING MARKETING

WORD COUNT: Task One : 6 pages

Task Two : 3300

Task Three : 2833

Total Word Count : 6133

OPTION ONE: To Improve the Conversion rate by 15% of the target audience

from initial enquiry through to purchasing the product/Service


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Declaration

‘I confirm that in forwarding this assignment for marking, I understand and have applied the CIM

policies relating to word count, plagiarism and collusion for all tasks. This assignment is the result of my

own independent work except where otherwise stated. Other sources are acknowledged in the body of

the text, a bibliography has been appended and Harvard referencing has been used. I have not shared

my work with other candidates. I further confirm that I have submitted an electronic copy of this

assessment to CIM in accordance with the regulations.’

…………………………………. …………………………………

Date Signature


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Contents Page

o Executive Summary 4

o Marketing Audit – Task 01 5-10

o Marketing Plan- Task 02 11-22

o Evaluation Report – Task 03 23- 30

o Appendix 01- Company Background 31-32

o Appendix 02- Organizational Hierarchy 33

o References 34

List of

Matrix 01: Mendelow’s Stakeholder Map

Matrix 02: GE Matrix

Matrix 03: BCG Matrix

Matrix 04: Ansoff’s Matrix

Table 01: PESTEL

Table 02: Market Share Summary

Table 03: Internal Capabilities

Table 04: Comparison in Competitor Uniqueness

Table 05: Balance Score Card

Table 06: McKinsey 7S Frame

Table 07: Market Mix

Figure 01: Market Share – Pie Graph

Figure 02: Perception map on Position

Figure 03: Porter’s 5 Forces

Figure 04: Value Chain

Figure 05: Decision Making Process

Figure 06: Product Life Cycle

Figure 07: Brand Onion

Figure 08: Bowman’s Strategy Clock

Figure 09: Cultural Web


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Executive Summary

There had been a significant growth in the broadcasting industry since 1994 after private radios started

picking up slowly and after 1998 especially the Tamil broadcasting radios, as there was found a healthy

competition due to technology advancements in Sri Lanka and the need on those media on taking the

market place fulfilling the customer needs and wants in two aspects to entertain people as well as to

make aware of the products in the form of advertisements.

With increasing competition maintaining the conversion rate is becoming a challenge for Shakthi FM for

this had been taken as a major consideration, to prepare a marketing plan to improve the conversion

rate of Shakthi FM. It had been identified that the current conversion rate to be 15% and the prepared

market plan will enhance the conversion rate to 30 %.

As the first and base step a detailed audit had been done in order to form a basis for the marketing plan

that mainly considers the present and future challenges Facing Shakthi FM. The micro and macro

environment faced by Shakthi FM & the internal capabilities are well analyzed through the marketing

audit, which leads to a proper marketing plan to improve the conversion rate, by highlighting its

blueprints of the business –reflecting the advantages and disadvantages of the current situation and

areas to improve further in order to meet the objective and stay ahead of its competitors.

As the second stage, the marketing plan is prepared based on the information, grasped in the marketing

audit, summarizing the findings from the audit and thoroughly going into each and every details of

those findings from the marketing audit is then evaluated in order to improve the conversion from initial

inquiry. Marketing Plan includes all what should have to be carried out in order to meet the objective

that is to enhance the conversion rate to 35 %, which has been found as an issue to Shakthi FM.

The evaluation report is produced to ensure how successful the marketing plan and its elements

facilitate the task of Shakthi FM. It highlights the key tasks, potential barriers tackling methods, best

ways in deploying the resources available, budget, contingency plan meanwhile it further evaluates how

audit was undertaken, data gaps and analysis methods. The report further explains how. Moreover, the

evaluation report identifies the possible issues when implementing the plan and practical solutions are

proposed in resolving them.


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MARKETING AUDIT- TASK 01

Rationale:The radio media had been facing more challenges with retaining the market share as the rise of television and web based radios. Shakthi Fm currently carries a

conversion rate of 15%, which the organization is willing to increase it by another 15 % which would give the figure of 30% conversion rate, to gain more client tie up thereby more

profit.

EXTERNAL ENVIRONMENT

Table 02 : Market (Source :Annual report, Shakthi FM

2013/2014)

Factor Influence Impact Significance POLITICAL 1. More preference and freedom to Government channels

2. Patent conflicts on broadcasting/ Telecasting special events like Olympics.

Opportunity for government tie-ups, create political personalities

Medium Low

ECONOMIC 1. The RJs get attracted to other channel packages specially competitors

2. Advertising in Social media and internet increased 3. Increased frequency charges

Demand for skilled RJs Survival on social media

Medium Medium Medium

SOCIAL 1. Women working rate increased and their radio listening hours reduced

2. Online radio and satellite radio influence 3. Tamil Speaking Islamic listeners are attached to religious

program channel 4. Responsibilities and activities to help people affected by

war and disasters such as flood etc

No/less appeal Women oriented shows, opportunities on satellite packages, Seasonal catering to Muslims, opportunity for CSR

High High Medium Medium

TECHNOLOGICAL

1. Increased trend on mobile apps usage for radio listening 2. Emerging Visual radio 3. IVR systems for special programs 4. Limited Coverage boosters 5. The rise of Mp3 players and youngsters adaptation

towards it.

People’s choice for best one to suit their situation, Time management, reduction in young listenership,

High Medium Medium High High

ENVIRONMENTAL

1. Energy consumption (Electricity) 2. Look for alternatives like solar power operation 6. Tie ups & Rebuild activities after a disaster

Eco friendly operations, CSR opportunities

Medium Low Medium

LEGAL 1. One channel to operate with only two frequencies Clear issues and threat on switching

Medium

FM Channel

Market Share% in

2011 2012 2013

Shakthi FM 60 55 50

Sooriyan FM 40 45 40

Varnam FM 10 10 5 Tamil FM - - 5

Table 01 - PESTEL FACTORS OF SHAKTHI FM

Figure 01

Perception Map

Sooriyan

Thendral/ Vasantham FM

Shakthi

Varnam/ Tamil

More Airtime

Less Airtime

Infotainment via

various channels

Matrix 01- Mendelow’s Stake Holder Map

TRC, Media Ministry

Figure 01 - % Pie Graph

Figure 02 – Perception map

Employees, Celebrities

Liseners , Clients Market Research Centers

Government

Competitiors


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INTERNAL ENVIRONMENT

Table 03 : Internal Capabilities

PHYSICAL FINANCIAL HUMAN INTERLECTUAL

Digital system for good sound quality Transmission Towers Separate studios for recording (Drama/ Talk studios) Inhouse Production Unit IVR System The STEIN Studio for indoor events

Pay best for stars or celebrities Organize special musical/dance shows of International stars Afford on new technology Reality show structure and spending power Profit stability

Program personnel News Personnel HR Marketing Finance Promotions Personnel Emergency breakdown teams Highly qualified professionals

Agreements with stars or celebrities Agreements with corporate clients Agreements with Employees

1. Brand equity 2. Brand loyalty 3. Word of mouth

Copyrights

CORE/ UNIQUE COMPETENCIES

THRESHOLD COMPETENCIES

Dedicated News Division, Best Pay for Celebrities, Stability of Organization Affroding to New/advanced Technology, Dedicated Studios for Events and Recordings, Television Background

Sophisticated IT and Digital Technology, A corporate culture fostering creativity and innovation The ability to share knowledge throughout the organization

Matrix 04

Remarkable Airtime Utilization INFO

RTA

INM

ENT th

rough

Vario

us

Ch

ann

els

Matrix 02

Figure 03 - Porter’s Five Forces

Industrial Rivalry The direct competitor is Sooriyan FM and both Shakthi FM and Sooriyan are in Maturity Stage, still Shakthi FM holds the No:01 Position with strong strand of the Television medium.

Bargain Power of Supplier Low when suppliers of Mobile

networking are concentrated. Switching

cost is low. Backward integration cannot

form new stations therefore B.P is low

Threat of Substitutes TV- When people are at home they watch TV rather than listening to radio, May prefer movies, dramas, reality shows etc Internet radio – People while working may listen connecting to internet Mp3 players - Emerging youth trend use mp3 players as its growth rate is high and mobile inbuilt music players rule the song era.

Threat of New entrants Shakthi FM is dominant in the market holding 50% share therefore can have a control on new entrants. New entrants blocked by defragmenting frequencies. One channel to operate with 2 frequencies therefore more opportunity for new entrants.

Bargain Power of Buyer Increases at maturity stage of PLC and is high when channels are concentrated. High in off peak season

Red Area – Corporate Clients

Green Area – SME, Seasonal


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Infrastructure – Buildings, Digital / Broadcasting equipments, Transmission Towers, vehicles, Stein

Studio for mass out door events, Separate recording studios, Production units, Music Library, Time belt, Songs, Commercials, Airtime for Commercials reading, Live updates

Technology –Digital Systems, IT Network and backup System, IVR system, In-out staff tracking system,

Security with CCTV, Editing Production software, Live transmitting from outdoor facility, Intranet, Website, M- Studio for Programs and Commercial schedule Auto play, email, SMS retrievers,

Human Resources – Training Sessions and Induction programs, In-out Tracking Systems, Pleasant working

environment, performance Appraisals, Programming, News, Marketing, Finance, HR Staffs, Security

Procurement - Programs and contents that are very unique and have a mass listenership will be produced

therefore the celebrity materials or whatever needed for the program will be considered for procurement

Inbound Logistics

Best supplier for

equipments and accessories.

Segmented programs

Timeliness

Operations Expertise to

run critical operations.

News directly controlled by Chairman

Shift time RJs

Outbound Logistics Finalized

prepositions are taken to the market.

Accomplishing Commercial airing task

Avoid delays

Commercial play Tracking

Reschedule missed commercial slots.

Sales & Marketing Proposals &

Presentations Promotions and

Branding

Promised client Benefits.

Service Fulltime

entertainment and information.

Lack of Client complaint tracking and solving system

MCR Engineers to attend to breakdown

Figure 04 - Value Chain

Table 04 - Comparison in Uniqueness of Shakthi FM with Direct Competitor Sooriyan FM

Shakthi FM Sooriyan FM

Rarity Studio Facility

Very Forced News Team Television Support

Most advanced in Technology

Loyal Listeners Facebook Page Verified – The First

Radio station to get verified in SL.

Inimitability The Social Service Agaram- to educate children Reality Show – Superstar Singing Competition

Morning Show Host, The number one Tamil Radio Announcer in Sri Lanka

Substitute Advantage Promoting FM Shows and special contents on TV Medium

Sinhala brother station ‘Hiru’ promotions build Sooriyan name too

Dynamic Capability Frequent Content Changes on shows Ability to play new songs first

MARGINS


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Figure 05 - Decision Making Process

Balance Score Card - Table 05

PROBLEM RECOGNISTION

The corporate client seeks for more airtime to reach a mass audience

INFORMATION SEARCH

•Corporate client will search for information by calling or emailing with regard to the airtime availability and price packages.

EVALUATION OF ALTERNATIVES

•The client will evaluate the alternatives by giving priorities for quality of the segment or program, highest listenership, Price Package & Benefits , Past experience, DJ Popularity or Artist value of a show etc..

PURCHASE DECISION

After making the selection of the suitable channel a sample of the advertistment will we approved and aired on the channel.

POST PURCHASE EVALUATION

Request commercial played time schedule direct from the channel or monitor records by appointing private agent.

Innovation & Learning Perspective

a)Segmented packages

b) Segmented Programs

Financial Perspective

a) Significant Annual growth in Radio revenue

b) Cost of advertisments

Internal Perspective

a)Job enrichment and job enlargement

b)Rewards and recognition

Customer Perspective

a) Top of the mind awareness

b) Value for money

C) Satisfaction & Retention

VT

Introduction Growth Maturity

HS

Decline

IP

TC

IP- Idhayam Pesiyathe TC-Timechecks HS-Hello Shakthi VT-Vanakkam Thayagam HYS – Hourly song

Figure 06 – Product Life Cycle

Time

Sale

s

HYS


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Figure 07 - Brand Onion

Matrix 03 – BCG Matrix

Organization Analysis

Table: 06 - McKinsey 7S Framework

Shakhti FM Present Value Future Value 1. Shared

Value

Remarkable Program, segment innovations, Vision & Mission to be reminded at intervals

Professional views and experience mingled, international exposure to operational level

2. Strategy

Tap the untapped market clients and increase investment of the existing clients

Loyalty based packages, Good Relationship with Clients

3. Structure

A tall & Functional organizational structure, effective span of control

Matrix for integrated activities to fulfill the objectives

4. System

Marketing Information System for Package creations and decision making

CRM creations and enhance client relationship

5. Style

Less formal, non autocratic at leadership level, brainstorming for better out put

High preference to high and long time investors

6. Staff

Marketing Executives, Brand Executive, internal research team, program developing team, Promotion, News Team

Customer relationship Executive, specialists, Increase Marketing personals, Staff retention

7. Skills

Marketing , Research, Promotion, expertise used for critical issues

Training and highly professionals operated in long term

Positioning

No:01 position that reaches major Tamil

speaking Listeners in the

country and overseas in the

term Tamil Speaking

People's Power

Personality

* Leader

*Political Stability

*Friendly

*People's Power

*Business Focused

*Higly Professional

Values

*CSR

*Quality Programs

* DJ Recognition

*Creativeness

* Trend Setting Contents

Vision

To be the most outstanding Tamil Radio Channel in

Sri Lanka and market be the Market leader.

Vanakkam Thayagam, Time checks, Hourly Songs

Idhayam Pesiyathe

Hello Shakthi

Time belt

from10-5 &

after 9pm

Figure 08


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Table 07 - Marketing Performance

Current Marketing Mix Desired Marketing Mix

1. Product Morning, Evening Drive shows with infotainment, Sports, Song segments, Time belts, Segments, Quality maintained, Concern on Tamil Language

Reality Show content desirable for radio, Humorous Segments

2. Price Skimming Price Package with Benefits of Intro & Extro client tags

Smart rates, Discounted Rates for a selected time bands

3. Place Client must walk into head office or our ME’s visit client at their convenience for new ad

Webpage slots for client ads can be allocated & Online inquiries

4. Promotion Advertising – News Paper, Hoardings, Leaflets, TV ads

Advertising – Special Magazines (international)

Personal Selling – Meet directly High end corporate client

Personal Selling – Contacts through Social Media, Meet SME clients

Sales Promotion – Festival promotions on airtime and special segments, representing in Dhayata Kirula (Crown for the Country)Exhibition

Sales Promotion – Continuous Contest

Public Relations – Sponsorships for education, cultural events and sports

Public Relations – Tie ups with Social service organizations

Direct Marketing – Mobile marketing, Social media interactions

5. People Training/ development programs once a year, Well trained and passionate ME’s to present the benefits of Purchase.

Training / development programs every four months Virtual Team members

6. Process 5 working days for new customer recruitment and renew existing client contract. 30 days credit payment for clients

6 working days with flexible hours 45 days credit payment for clients Online Inquiry systems

7. Physical Evidence LMRB Ratings, Program Schedule Leaflets, Commercial Rate card

Online version for Commercial rate cards and LMRB to display online

Matrix 04 - Ansoff’s Matrix

Product

Mar

ket

Figure 09– Culture Web

The slogans- Tamil

Speaking People’s

Power, The Courage

to be different,

Lakshathibathi &

Superstar logos

Functional

structure

enabling effective

span of control

Overcome Tragedy

in 1983 riots &

intruder damage in

2009, tsunami

rebuilds

Chairman,

Board of

Directors, HOD

Executive of the

year , Nalloor

Festival-outdoor

studio, Yearly

audit, Increments

In-Out

controls, Daily

reports,

Weekly

Meetings


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Task 02 – Market Plan

Introduction

Shakthi FM, a radio unit which operates under the wings of The Capital Maharaja Organization, was

launched in 1998, November 20th and it will be celebrating its 16th Anniversary in 2014.

Shakthi FM is known for its service towards the needy Tamil people, fulfilling the thirst of music lovers as

well as serious radio listeners who loves to listen to live news, first. The interactive exclusive interviews

of well known Politicians, stars, sports persons and other innovative programs and radio concepts are

trend setters in Sri Lanka Tamil broadcasting industry where the other Tamil Fm channels adopt to do

the same in future. Thus not only in Program Content but also in Market share Shakthi FM leads in its

position for more than a decade, but with fluctuating listenership rating carried out by the LMRB

quarterly and every year.

The Organization is rich in its resources and capital comparing to other Tamil Channel Organization and

its business divisions into Television & dedicated News entirely had lead Shakthi FM to a strong position,

in term of Brand and it positions itself as Tamil Speaking People’s Power.

However the recent redline indication of decreasing conversion rate has taken the major consideration

on making a marketing plan

01. Corporate Strategy

Vision

To be the most outstanding Tamil Radio Channel in Sri Lanka and be the Market leader.

Mission

To provide entertainment and information to enhance the lifestyles of the Tamil Speaking Sri Lankan

public and to satisfy clients by building brand awareness via attractive advertisements.

02. Current Situation Analysis (SWOT)

Shakthi FM has Divided its Programs strategy as Weekdays and Weekend, where as in Weekends it is

named as Weekend Shakthi and other days Shakthi FM itself.

The most identified problem is that the time belt between 10am to 5pm and after 9.00pm till 4.30pm is

not been preferred by the clients to advertise their product in Radio.

The business of Shakthi FM depends two ways, one to increase the listenership through improved

program content and segmentation so that the more clients will be willing to advertise their product in

Shakthi FM.

A thorough scan on internal and external environment is important for the strategic planning

process. Internal environment factors are classified as strengths (S) and weaknesses (W), and

external factors can be classified as opportunities (O) or threats (T). This SWOT analysis is used

to match the organization’s capabilities with its resources.


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Strength

The exclusive access to resources and spending power is unmatched with any other competitor,

which facilitate the competitive advantage and also the good reputation, relationship with

stakeholders had established the Shakthi Brand more powerful, especially the shows like,

Vanakkam Thayagam, Hello Shakthi, Agaram, Shakthi Super star, Shakthi Super voices, Shakthi

Historical Dramas like Vandhiyadevan(A story of a King) etc..

Weaknesses

High non-executive staff turnover and there is no induction program for them.

Some programs changes leads people not to remember them at all during listenership ratings.

Opportunities

Non-Prime time belts can tap the new market meanwhile the prime time belts can be focused

on international markets which appeal to Tamil people.

Threat

New radios entering the market especially the internet radio trend in a threat therefore should

focus on more on social media and so on.

The Market for radio is falling down as per a research done by LMRB in 2013, therefore need to

find to boost radio listenership and invest on radio advertisements

Retaining talented RJs

External Environment

The PESTEL Analysis in Audit Table 01 , gives the idea of how macro environmental factors affects

Shakthi FM in order to understand how the improvements can be done to increase the conversion rate.

The most significant PESTAL FACTORS are Social and Technological affecting the Shakthi Media which

can be explained in the following four scenarios.

a) Social (No Growth) Technological (No Growth)

b) Social (No Growth) Technological (Growth)

c) Social (Growth) Technological (No Growth)

d) Social (Growth) Technological (Growth)

a) When there is no growth found in either situation, there will be no change in the listenership which will not induce clients to advertise their products.

b) When Social factors grow, the clients will be willing to spend more on their product advertising to reach its customers. But at the same if technology is not growing as to meet the social growth needs then there will be limited approaches by the clients to spend on advertisement.

c) When Technology factors are seen growth then there is possibility for the client to advertise in Shakthi Radio which meets the current needs but if the Social growth is not happening then there are limits using the technology where it reverse spending ability of the client.

d) When there is growth found in both situations, the money spent for advertising increases. Growth in social attitude along with the technology will definitely have great opportunity for advertisement spent to reach the customers of the clients.


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Quick view of the Overall PESTEL Analysis- Refer Table 01

It is a challenge to Shakthi FM, being a private radio station as the current situation in Sri Lanka merely

giving priority to the Government channels, especially even though patents are obtained to broadcast or

telecast special worthy international events like Olympic, there is conflicts raised there by the clients will

have uncertainty on investing in Shakthi FM.

When new channels are formed the RJs are being pulled out with attracted packages, same done by the

competitors will have the chance on increasing their stability on listenership when Shakthi FM’s

fluctuates. A Client will be willing to invest where a popular RJ host a show. Advertising in increased

social media is very cheaper than choosing the radio media and the frequency charges are a challenge to

the new channels.

The current trend on female work force is increasing therefore female listening hours is becoming

reduced. At the same time online radio is picking which is an advantage to promote listening Shakthi

FM, online but influence of satellite radio creates environment for more choice. People in Sri Lanka after

the war are expecting to rebuild their nation, especially education values where Shakthi FM had

introduced a Product Called ‘Agaram’ to help educate children, which is as a result increased the value

and thereby loyal listeners.

Increasing trend on Mobile apps/visual radio and the opportunity for Shakthi FM Apps can be promoted

to smart phone users to adopt to listen Shakthi through such advanced technology. This can also be a

solution to limited coverage boosters. But the rise of Mp3 players among youngsters is still being a great

challenge.

Electricity consumed is high when the radio operates (24x7x365) and to reduce the impact of the fuel

consumption, solar power systems can be implemented with a high initial investment. Transmitting

towers are built on mountains where people existence not found.

The recent rearrangement on frequencies and the limitation that one channel to operate with only two

frequencies will give more space for new radios

Competitor Analysis

Audit Figure 03 -Porter’s Five Forces

The degree of Industrial rivalry spans between the direct competitor Sooriyan FM and Shakthi FM, where both the stations are in Maturity Stage, still Shakthi FM holds the No:01 Position with strong strand of the Television medium, the one to one comparison is further pointed in the Table 04. Further Shakthi FM’S most program/products are in its Maturity Stage(Figure 07-PLC) and needs to have new products or revamp , to maintain its existing clients as well as attracting new potential clients & keep them aware of the brand to maintain and improve the conversion rate(As per the Market Share report summary in Table 02 – Shakthi Holds 50% followed by Sooriyan FM 40%, its closest competitor)however there is a fall in Market share from 2011-2013 which needs consideration.


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Bargain power is low when suppliers of Mobile networking are concentrated therefore the

Switching cost is low. Backward integration cannot form new stations therefore Bargain power

of Supplier becomes significantly low.

Bargain power of buyer Increases at maturity stage of PLC and is high when channels are concentrated. High in off peak season.

Shakthi FM is dominant in the market holding 50% share therefore can have a control on new entrants. Meanwhile new entrants blocked by defragmenting frequencies. Wise versa the law

on one channel to operate with 2 frequencies can bring more opportunity for new entrants

As substitutes the biggest challenge is the television as people prefer to watch TV rather than listening to radio when they are at home. The tendency on preferences such as movies, dramas, reality shows etc Another substitute is the Internet radio, the choice by People working at office ambience may listen connecting to internet where they won’t be allowed to listen to songs through radio. Still Shakthi FM can have advantage as it can be heard on internet as well. Emerging youth using mp3 players is a real challenge and the growth rate is high and mobile inbuilt music players rule the song era, which has to be considered to gain back the youngster listenership preposition.

Stakeholder Analysis

Refer Matrix 01- Mendelow’s Matrix

Stakeholder mapping highlights the highest power and interests group categories of Shakthi FM

–The Key players are Listeners, Clients, Employees and Celebrities, as if the listenership is kept at

highest then the Clients are willing to invest on Shakthi FM and ad agencies recommend.

Because clients with high power and interest will reflect in the conversion rate, where good

relationship should be maintained for long run sustainability. To create and progress on new

contents or to push the existing content the employees from Sales, Program, and Promotion are

with much influence to bring in the high conversion rate.

The Government and the Telecommunication Regulatory are kept informed for approvals as any

changes they would bring may affect the conversion rate. Competitors are monitored as they

need only a minimal effort as Shakthi FM is far ahead from its competitors and the research

centers should be kept satisfied to build brand name.


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Competitive Position Audit Figure 08 - Bowman’s Strategy Clock

‘Differentiation’ strategy had been adopted by Shakthi FM for its competitive position in market as its

service is bestowed through various channels, the up-to-date infotainment and different segmentations

are unmatched by any other station. The clients enjoy value for money by choosing Shakthi FM. Thus by

using this strategy the market share is maintained or increased relative to its competitors, a way to

sustain successfully in market.

Hybrid strategy (differentiation and reduced cost) cannot be adopted as when differentiation is

implemented it would be difficult to have a reduced cost to the service. Therefore adopting this strategy

may not benefit in the profit margin of Shakthi.

Focused strategy cannot be implemented as it will have only limited clients to buy our service and

creating a market niche will not benefit in increasing the client conversion rate.

The Brand – Shakthi FM

Brand Onion- Figure 07

• In order to meet the vision “To be the most outstanding Tamil Radio Channel in Sri Lanka and

market be the Market leader” Shakthi FM , has built its values on CSR activities such as

educational, sponsoring for events, health camps etc, Quality programs and DJ recognition as

appropriate and with trend setting creative contents that long last in listeners mind and creates

high recall rate on the brand.

• Shakthi FM brand also had created its personality and image as a leader with great political

stability in recent years fighting with the government for truth through news, friendly to its key

stake holders and remains as a power of People meanwhile focusing on it business stability,

being highly professional.

• All these in return had given Shakthi FM the No:01 position that reaches major Tamil speaking

Listeners in the country and overseas with the supporting term Tamil Speaking People's Power.

Portfolio of Shakthi FM

Refer Matrix 03 - BCG Matrix

As per the analysis the time belt from 10am-5.00pm and 9.00pm-4.30am is found to be in Dog level.

Which is considered as non prime time therefore the selling of program is very difficult but still need to

in portfolio.Hello Shakthi, a prime time evening show is considered to be in cash cow level. Although

there is a significant listenership ranges in the time belt between 8.00pm-9.00pm with the show

Idhayam Pesiyathe, still struggles to convince the clients to invest for it.

More program products, like Vanakkam Thaayagam, Hourly song and time check segments are found in

star level, existing from the day Shakthi FM was launched.

The Product stage of those specified programs identified in Audit Figure 07 – Product Life Cycle.


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Internal Environment

Organizational Culture

Audit Figure 09-Cultural Web

The organizational structure is a functional tall structure facilitating effective span of control and

integration on information flow. There are history records of overcoming the disasters occurred to the

organization during the riots time and in 2009 the 45 Crore (SLR)worth Digital network system was

damaged by intruders, but within 24 hour the broadcasting and telecasting, were back to normal with

the oldest equipments, which was a talk around for its leadership driven courage- where as the

organization’s slogan ‘’The courage to be different’’(Refer Appendix 01) resembles in action and the

slogan of Shakthi FM the ‘’Tamil speaking People’s Power’’ had positioned it in the highest and gained

the name of Broadcasting trends setter by program products like Shakthi Superstar, Who wants to be a

Millionaire, Grand Master, News First. The Chairman is the final decision maker. The yearly audit is

conducted, Grand Ceremony on choosing the Executive of the year held every year and the employees

are Appraised and Rewarded with bonus and increments.

Capabilities

Table 03 – Internal Capabilities

With all capabilities under Physical, Financial, Human, Intellectuals it had been identified that core

competencies found on dedicated News Division, Best Pay for Celebrities, Stability of Organization

affording New and advanced Technology, Dedicated Studios for Events and Recordings, Television

Background which is very unique to Shakthi FM, meanwhile the thresholds are Sophisticated IT and

Digital Technology, corporate culture fostering creativity and innovation, ability to share knowledge

throughout the organization to impact on the conversion rate.

Value Chain Analysis

Audit Figure 04 -Porter’s Value Chain

The Supporting Activities of Value Chain

Infrastructure – This meets to fulfill the requirements of the current market. But the location of Radio

stations is far away from town area which reduces the productivity time of employees.

Technology –Technology being a key factor in terms of digital systems for broadcasting and other

supportive systems based on technology makes the work easier therefore more productivity in less

time. Even the HR tracking systems make employees follow their duty time but on the other hand it

pressurize though. Revenue earned via SMS is an extra income to the organization. And paperless

approach improves productivity.

Human Resource – Every employee are involved in induction program to make them buy in to the

organizational culture also training sessions carried out for to increase efficiency and knowledge during

work, performance Appraisals done yearly to ensure job satisfaction and increments


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Procurement – Always seek to produce for high end quality programming product, no compromise for

cheap programs. Quotation for Equipments obtained for best price selection and DJs, Celebrities are

well analyzed on their ability and popularity before tie ups and contracts take place.

Primary activities that support the above supporting activities

Inbound Logistics – Timeliness is must as the content cannot be used when it is too old.

Segmentation of programs makes more sense on time belts. Best suppliers are always in the list of

purchasing equipments.

Operations – Expertise hired for critical program operations, News division controlled by the

Chairman himself directly to avoid any bad experiences to the organization. Shift time RJs and

other employees to carry out the 24 hours of service of Shakthi FM programs.

Outbound Logistics – Finalized prepositions are taken to the market to ensure professionalism.

Ability on accomplishing Commercial airing task and avoid delays and ensure efficiency by having

the system of Tracking the Commercial played and reschedule the missed out to overcome any

client complaints on this regard.

Sales & Marketing – The Experienced Marketing Executives make proposals and presentations to

the client and ensure the benefits obtained through the programs simultaneously the promotions

and branding process are carried out to promote Shakthi Brand.

Service –There is no proper complaint management system to return to customer complaints.

Fulltime entertainment and information to listeners. MCR Engineers are to attend to the

breakdowns 24 hours.

03. Objectives

Primary Objectives: To Improve the Conversion rate by 15% of target audience from initial enquiry

through to purchasing the Service.

Secondary Objectives:

To change the advertising mentality of the clients who currently advertise through other

mediums other than radio

To increase the investment of the existing clients, in new slots

To create more Segments to sell to the client as to fit their financial affordance

To tap the clients at the international level


18

04. Marketing Strategy

On the basis of Ansoff’s Matrix- Figure 0, it is advisible to go for three strategies :

1) Penetration – Shakthi FM can reach its existing clients (SLT, Commercial Bank etc) with its

existing mass program products like Morning, Evening Drives

2) Market Development – Can introduce the existing programs to new Clients under SME

category and also tap the clients who advertise through billboards and even international

clients with franchised bond etc..

3) Product Development – New products that fits for seasonal and new segments(Humour,

Sports, Cinema etc) to both new and existing clients of Shakthi FM.

Marketing Mix

Refer Table 07 – Market Performance

Product

It has four main divisions as specified below

Program / Time belt – A whole program package

Time checks – 5 sec clip tagged to client name played after time reminder

Segment – A snippet of 2 minutes

Seasonal – New Year, Deepavali, Pongal, Christmas, Ramadan Snippets or shows

Mostly the Program hosting is concerned in Tamil Language avoiding other language mixes.

Maintain quality content in each and every program.

Price

The pricing method is Skimming/Premium Pricing shown as in commercial rate card (In LKR):

Category 5 Sec 10 Sec 15 Sec 20 Sec 30 Sec 45 Sec 60 Sec

Bronze 3750 5000 6250 7500 10000 13750 17500

Silver 4690 6250 7800 9375 12500 17200 21900

Gold 5650 7500 9375 11250 15000 20650 26250

Gold Plus 6750 9000 11250 13500 18000 24750 31500

Platinum 9375 12500 15625 18750 25000 34375 43750

Platinum Plus 11250 15000 18750 22500 30000 41250 52500

Super Platinum Plus 15000 20000 25000 30000 40000 55000 70000


19

Place

The client is met in person and explained about the benefits for investing on Shakthi FM or the client

may visit Shakthi Head office.

Promotion

Promotions are carried out in many aspects to impress people overall in the country basically the CSR is

the most successful one up to date. TV, Radio trailers, Hoardings, Outdoor shop to shop also take place.

People

Training people in programming and Marketing gives skilled full employees who could work towards

increasing the conversion rate.

Process

Now 5 working days for new customer recruitment and renew existing client contract exist which can be

raised into 6 days at flexible working hours in future while increasing to 45 credit days.

Physical Evidence

LMRB Ratings are presented to the clients to convince, attractive Program Schedule Leaflets and

Commercial Rate cards gives a professional look of Shakthi FM. People’s Award for Channel from

Accredited Centers. Well equipped studio and environment build confidence among clients.

05. Segmentation, Targeting

(Refer Matrix 02 – GE Matrix)

According to the GE Matrix, the strongest market growth seems to be the green area as they either need

more airtime or various channels.

Therefore, pricing strategies or new program slots to meet that customer segment, and thereby to meet

their decision making process (on figure 05) and target effectively could lead to move them to the red

zone in future.

TRC Equipment Supplier

Celebrity DJ

Client Ads

Program On air Program Outdoor

Commercials Listeners

Listen to Ads during listening hours

hours


20

06. Positioning

(Figure 07 – Brand Onion)

Established as No:01 position that reaches major Tamil speaking Listeners in the country and overseas

in the term Tamil Speaking People's Power, which is also been ensured by the market share (Table 02 &

Figure 01). The perception Map (Figure 02) point pins the Shakthi’s position as well.

07. Implementation

(Refer Table 06 McKinsey 7S Framework)

a) Shared Value

Leadership and team work is practiced to accomplish targets and goals through internal marketing

ensuring effective communication throughout the organization to remind on vision and mission.

b) Strategy

To stay ahead the competitors the strategy on tapping the new market and increasing the existing

clients’ investments on existing or new programs will be managed well. Gannt chart is used at the

implementation

c) Structure

The reporting system will consistently maintain the flow from top to bottom and wise versa. Further

will have cross integrations where necessary. (Appendix 02)

d) System

MIS, MkIS to be used on Decision making, budgeting and forecasting etc.

e) Style

Non autocratic client focused management, flexible working style for implementing the plan in

order to achieve the objectives effectively.

f) Staff

Training programs, incentives and rewards can enrich and enhance the efficiency of employees and

recruiting experienced people from same industry.

g) Skills

The right person should be appointed to the right place, especially handling critical issues and

conflicts elimination are essential to carry out the plan effectively and efficiently.


21

08. Action Plan - Gannt Chart ACTIVITY

Responsibility Q2 - 14 Q3 - 14 Q4 – 14 Q1 - 15

Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

New Program Development

Program Manager

Online inquiry setups

IT Executive

Revamp existing Program Manager

Advertising Promotion team

Personal Selling Marketing Executives

Sales Promotion Marketing Executives

Training HR

Event Sponsoring Brand Executive

CSR Promotion team

09. Budget / Financial Implications

Marketing Budget for Shakthi FM (April 2014 –April 2015) By Marketing Manager

Category Amount (LKR )

Current situation analysis 10, 00,000

Audit charges 10, 00,000

HR Training and development 45, 00,000

Training programs 10,00,000

Workshops 5,00,000

Incentives 5,00,000

International Exposures 25,00,000

G& A 11,00,000

Clerical 5,00,000

Telephone 2,00,000

Travel 1,00,000

Supplies 3,00,000

Program Revamps and creations 23, 00,000

Vanakkam Thayagam(Morning Drive) 10,00,000

Hello Shakthi(Evening Drive) 5,00,000

Humorous Segments 4,00,000

Sports/ Life Style Segments 4,00,000

Promotions 48, 00,000

Advertising Commissions 8,00,000

Personal Selling 5,00,000

Sales Promotion 10,00,000

Public Relations 15,00,000

Sponsors 10,00,000

Other 5,00,000

Total Cost 120,000,000

Estimated revenue 130,000,000

Gross Profit 10,000,000


22

Control & Forecasting

Effective implementation on Monitoring and Controlling should be carried out to make sure the

objectives are met and proper establishment of performance standards followed by periodical

evaluation.

Increase Conversion rate by 15 % at the end of April 2015

Quarter Q1 Apr 14 - June 14

Q2 June 14 – Sep 14

Q3 Sep 14 – Dec 14

Q2 Dec 14 – Apr 15

Client Commit 90 150 200 250

Client Enquiry 600 750 800 850

Conversion % 15 20 25 30

Profit Forecasting

Quarter Q1 Apr 14 - June 14

Q2 June 14 – Sep 14

Q3 Sep 14 – Dec 14

Q2 Dec 14 – Apr 15

Total (LKR)

Client Commit 16,000,000 18,000,000 19,000,000 20,000,000 73,000,000

Client Enquiry 18,000,000 21,000,000 23,000,000 25,000,000 87,000,000

Critical Success Factors

Highly professional and skillful Marketing and management personnel

Get on to floor and aggressive work implementation

Motivation and training sessions

Incentives for meeting tasks and targets

Proper resource management

Balance Scorecard

It is useful on monitoring and controlling by setting the goals and measures on financial, customer,

Innovation & Learning and Internal Perspectives. According to the following

Perspectives Goal Measures

Financial Annual Income growth ROI measures

Customer Superior customer Service Customer Satisfaction indicators

Internal Employee Satisfaction Staff Turnover rate

Innovation & Learning Top of the Mind Innovation Program Recall rates

Word Count: 3300


23

Task 03 – Evaluation Report

REPORT

To : Managing Director, Shakthi FM

From : Marketing Manager

Date : 19th May, 2014

Subject : Marketing Planning Process for Improving the Conversion rate by 20% of the target

audience from initial enquiry through to purchasing the product/Service

Introduction

The importance of the Marketing planning process recommended here for Shakthi FM, on achieving the

objective that to increase the conversion rate by 15 % is assessed through this evaluation report. Further

this report includes and evaluates the role of Marketing audit by identifying problems of information

gathering and analysis encountered in under taking the marketing audit, The competitive strategy

development using segmentation targeting positioning approach with evidence of marketing mix used

to achieve the desired position, and Evaluation of performance of plan.

Finally the report highlights the possible issues encountered on implementing the marketing plan and

presentation of practical proposals to resolve them.

3.1a What is Marketing Planning ?

‘’Marketing Planning is simply a logical sequence and a series of activities leading to the setting of objectives and the formulation of plans to achieve them’’ (McDonald.M ,2011)

Therefore Marketing Planning helps to find a systematic way of identifying a range of options to choose, schedule and cost out with the sense of what has to be done to achieve the objectives if simply saying to stay ahead the competitors and sustain in the market.

But this should take place as a continuous process within the organization, which the process can be expressed with the following questions:

Where are we now?

Situational Analysis

Where do we want to be ?

Marketing Objectives

How to get there?

Marketing Strategies

Which way is best ?

Tactics, Action Plan

How can we ensure?

Evaluation & Control


24

The Basic Steps on the Market Planning Process are;

1. Situational Analysis – Through which the Shakthi FM’s micro and macro environment can be

analyzed along with the market and industry and also the competitor analysis.

2. Planning- Strategies are formulated and marketing activities aligned to achieve the set

objectives of Shakthi FM with the proper allocation of resources and time frame.

3. Implementation- The plan will be successfully executed with correct role and functions within

Shakthi FM organization.

4. Control- The proposed marketing activities that are ongoing will be monitored and any

deviations found will go under performance diagnosis to find out the cause and corrective

actions would be taken to rectify the deviations.

3.1b How marketing planning can benefit Shakthi FM in improving the conversion rate

1. It offers a ‘Road Map’ for implementing Shakthi FM’s strategies to achieve the primary and

secondary objectives mentioned in the Plan.

The sketch makes it easier and reaches the targets more effectively and efficiently with a clear

guidance so that Shakthi FM will know what should be done in sequences

2. It gives the assistance in management controlling and monitoring implementation of those

strategies.

Successfully decisions can be made at crucial stages through the marketing plan meanwhile

allocating the right personnel to achieve the objectives of Shakthi FM.

3. It is much useful that to inform all who participate within the organization about their roles

and function.

The marketing plan will act as a bridge on communicating and reminding the ultimate vision and

mission of Shakthi FM therefore get the fullest participation of the employees to reach the

objectives by making them aware of their roles and function.

4. The Shakthi FM’s resources can be allocated accordingly and as per the need to make better

use of it.

The time frame which is given in the model of Gannt Chart and the budget allocation on how

the financial recourse can be used are so much helpful on resource allocation which could result

in effectiveness and efficiency, by saving time and minimizing the wastage.

5. Awareness can be obtained or can keep an eye on marketing trends, opportunities, threats,

internal strengths and weaknesses.

As in the changing Marketing environment it is essential to keep an eye on, especially the

uncontrollable factors PESTEL

o Political & Legal– To abide by the laws on Media and TRC, and adopt accordingly

o Economic – Inflation rate and tapping the ideal clients/advertisers accordingly

o Socio & Culture - The lifestyle of people and the need for the exact program product

can be designed to accordingly to tap the right market to increase profitability.


25

o Technological – This is a very important aspect as a Media, Shakthi FM needs to take its

next level through technological advancement as per the changing market landscape

and thereby create competitive advantages continuously to meet challenges.

6. It ensures that Shakthi FM is customer focused and sustain for long run in the Market.

With this aspect Shakthi FM can look more and more into what the client actually needs rather

than creating programs to sell to market which has no appeal.

The above benefits are obtained from a realistic marketing plan which helps the Shakthi FM to improve

its conversion rate and sustain in the market in leading position in the changing marketing landscape.

3.2a What is a Marketing Audit

Kotler and Keller (2006) had defined an audit as following:

“A comprehensive, systematic, independent and periodic examination of the company’s or business

unit’s – marketing environment, objectives, strategies and activities with a view of determining problem

areas and opportunities and recommending a plan of action to improve the company’s marketing

performance.”

Evaluation on Role of Marketing Audit

Integrated – Not only the problematic area but also by covering all activities of Shakthi FM business

unit’s environment the failures within the organization can be picked up and sorted with proper

strategies in future

Systematic – An orderly sequence of steps helps to focus on each and every thing around, the internal

external market environment, systems, activities of Shakthi FM etc. The action plan, the Gannt chart

helps to run the activities in an orderly manner.

Independent - Audits are carried out by independent marketing auditors with sufficient knowledge. By

having external staff to audit it brings benefits such as higher flexibility and wider utilizing of experience.

Periodic – Making these Audits periodical like once in a year or once in 6 months could serve Shakthi FM

in preventing from arising problems due to uncontrollable changes and to maintain the position

favourably in the Market.

Auditing the marketing environment of Shakthi FM highlights the weaknesses and Threats which can

be then tuned to Strengths and opportunities to build competitive strategy to stay ahead the

competitors Sooriyan FM, Varnam, Tamil FM.

Dividing the Environments in to two, micro where the Porter’s Five Forces is used and macro with

PESTEL Analysis will find the loophole and set objectives to overcome those with proper strategy.


26

Auditing the marketing strategy will be useful to Shakthi FM to decide how the strategies are adopted

to achieve the objectives considering the external environment and resources and options.

Auditing the marketing systems will mainly focus on Shakthi FM’s marketing systems such as MkIS,

marketing control system and system for new (Program)products development. These help to ensure

whether the objectives are achieved and they correspond to opportunities around.

Auditing the marketing functions will evaluate the components of the marketing mix individually and in

detail.

Auditing the marketing productivity is useful to get to know the profitability of marketing program

implemented and would examine the cost effectiveness as well.

3.2b Identification of Problems of Information gathering & Analysis

Problems in Information gathering Problems on analysis encountered

Unavailability of data required – There is no data to compare the Online radio with FM radios to get perfect statistics

Lack of knowledge in using the audit tools

In accurate information – False information from other organization in terms of building their reputation, which could mislead

Lack of resources to conduct audit, therefore limited data used.

Outdated Information – Some data were not fit for the current situation

Difficulty in obtaining expert’s advice and had to pay in external to get such

Information Overloaded – Too much gathering of data will lead to confusion

It took long time for completion.

Expensive data- Some data, for example the Market research reports were too expensive that Shakthi Fm had to pay millions(SLR) to obtain those

3.3a Explanation and Justification on developed Competitive Strategy

As It had been identified that as per the Ansoff’s Matrix three strategies can be implemented to build

compettiveness

1) Penetration – Revamping the Existing programs and selling to the existing clients needs

investments very much lesser than a Market development or Product development. And as the

basic tie ups and relationship is on the go it is easier to convince Shakthi FM’s existing clients

2) Product Development – Coming up with new creative trendy ideas would be a benefit to sell

them to the existing clients as they know the performance of Shakthi FM and therefore great

opportunity to get them invest on those new programs. But the risk is that innovation means its

more in price therefore all the clients cannot be reached with this strategy therefore should

insist this on High Corporate End clients


27

3) Market Development – Using the existing superstar level program products, there is high

opportunity for highly promoting those to the untapped markets, even overseas. For this so

much effort is needed and time takes too.

3.3b Segmentation – Targeting-Positioning Approach

Differentiation strategy is as used on segmentation and Shakthi FM offers a range of program packages

which are segmented using the differentiation strategy. As you can refer Matrix 02 - GE Matrix, the

identified customer segments are targeted effectively by offering the ideal program package to the

target client group as per their investment strength which reflects in higher perceived value.

Segmentation Category

1) Programs

2) Snippets/ Segments

3) Time checks

4) Hourly Songs

5) Special

6) Weekend Packages

Segmentations offered Clients – High Corporate, SME, Seasonal

This can be further improved into the level of international, as we find franchised business existing in Sri

Lanka thereby we can use this opportunity to get those un tapped market clients to advertise on our

website or even radio airtime.

Targeting

The GE Matrix – Matrix 02

This has been used to identify the potential target doctors as follows.

Targeting can be done for the above clients as they have the capability for investing on Shakthi FM

contents, thereby increase the conversion rate.

When tapping the international market should ensure that it is franchised in Sri Lanka thereforePizzahut,

KFC, Mc. Donalds, clients have to be convinced to make them invest on the websites, in which Shakthi

FM proves its stability overseas too, as the hit rate of listeners online will be an opportunity for those

international clients to invest on.

Tapping such new market would help increase the conversion rate to desired position.

Primary Targets

Corporate Clients

Secondary Targets

SME / Seasonal Clients


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Positioning

The current Position (Figure 02) can be moved to a higher level with all those which insists with the

desired marketing mix identified in Table 07. The great opportunity is that Shakthi FM reaches every

nook and corner with various channels, Radio, internet, partnering with TV, etc…

But still need to include it in the satellite options to reach a greater audience thus improve the business

by highlighting the strong number of listenership for a client to come and invest to advertise his

business. Then Shakthi FM could position it as an internationally reached and recognized radio among

Tamil speaking people.

How Marketing Mix used on achieving Desired Position

Product - As the trend changes it is better to focus on Radio reality Show contents which could make a

WOW effect among listeners thereby bringing in the differentiation also humorous segments could be

introduced so that these products will play a major role in bringing in New client tie ups as well as pool

over the existing clients

Price - Smart rates can be charged for new clients, Discounted Rates for a selected time bands and for

existing clients which could be used as a tool to boost to invest on another slot thus improve conversion.

Place- Explanation, presentations and transactions could be made online with advanced technology

approaches to save time on travelling and create convenience on selling.

Promotion

Advertising in Special Magazines could take Shakthi FM beyond the limits and reach internationally recognized.

Personal Selling can be more improvised through Social Media Contacts and also Meet SME clients frequently.

Sales Promotion can be carried out in a continuous manner.

Public Relations can be further improved by joining hands with Social service organizations to build reputation and support.

Direct Marketing – As the Competitor Sooriyan having a more stronger base in Mobile Social media interactions, it is a must for Shakthi FM too to adopt this as it will be useful to tap the youngster, also could go for mobile marketing the trend now and future.

People - If the Sales team is not that experienced then there is a need for quality trading agencies who

could have a higher power and interest on the conversion. Skilled Communication is a must in the team

as the higher power and interest as if to communicate with the potential clients and make them spend

on air content which could raise the conversion rate. Increase more marketing personals to meet time

bound.

Process - Extended Credit days and working day to serve client would bring better results. The online

inquiry system should be implemented, communicate with international clients via technology

elements.

Physical Evidence -The Quality contents can be screened and send to international radio awards, which

could benefit in return by impacting on the conversion rate by inducing the clients.


29

3.3c Performance /Assessments of the Plan can be done as following:

Type of Assessment Purpose Approach Annual Plan Control To examine whether planned results

are achieved By Comparing: Market Share Analysis Sales Analysis Financial Analysis

Profitability Control To examine whether Shakthi FM is making or losing Money

Calculation and Comparison: Profitability by Customer Segment or Product

Efficiency Control To Evaluate & improve spending efficiency

Number records of enquiry through; Efficiency of Advertising

Customer Satisfaction To evaluate the level of Customer satisfaction

Collecting Data on: Customer Surveys Customer Complaints

Strategic Control To examine whether Shakthi FM is using its best opportunities

Marketing Audit

McKinsey’s 7S framework will helpful on implementing and driving the plan where as he balanced

scorecard will be useful on monitoring and evaluation.

3.4 Identification of Possible Issues & Presentation of Proposed Solution

There are number of arising possible issues throughout and year when implementing the plan but

having proper idea and solution to resolve will lead to further carryon the plan with control

measures, therefore activities that leads to success ladder can be continued while dropping the

unsuccessful activities behind or alter according to the situation of Shakthi FM Marketing landscape.

The following issues had been identified in the context of Shakthi FM on implementing the plan and

the proposed how to resolve those:

Possible Issues Solution Failure on Internal Communication

Collaboration will lead to find ways to overcome the obstacle or barrier that lies in internal relationship.

Lack of Internal Marketing Make sure that all employees are aware about the Company’s Vision and Mission and they work towards the objectives on achieving those.

Managing Rewards A non conflicting reward structure can be introduced and managed.

Lack of knowledge for planning

Expertise should be involved to overcome because if there is no proper plan then there is no point in the whole process.

Poor Degree of Delegation

By dividing and delegating the implementation of the plan to various members of the unit can lead to timely implementation.

Insufficient support from Top Management

The top management of the Shakthi FM should take into mind that planning is made for the benefit of the company with an aim to achieve a goal and therefore should not slack their support for any reason and the planning unit should fully explain the objectives and methods of planning in order that chief will be convinced the importance and support.


30

Possible Issues Solution

Information Overload Should avoid collecting redundant and unnecessary data which will only lead to confusion and difficulties and sometimes expensive too. Therefore should fix proper targets within a stipulated time period, to avoid gathering too much

Lack of Information Not only quantitative but also qualitative research can facilitate a successful implementation of the plan

Lacking Leadership Team motivation and organizing periodical Leadership and self build programs. Marketing manager can be guided carefully and practice effective communication to carry out the activities properly with proper instruction.

Conclusion:

In hype the report highlights the importance of marketing planning process and the key elements that

would benefit Shakthi FM and achieve its objectives.

First the Current snap shot of the Shakthi FM market environment was taken to consideration. For this

various tools were used to bring all them to a summarized position. And then the Market Plan explains

the situation and strategies for Shakthi FM to achieve its desired position. The implementations along

with how to control those activities also had been given in detail.

Then the evaluation of the role of the marketing audit as part of this marketing planning process was

completed, meantime highlighting the problems in gathering information in undertaking the audit.

Further the report explains and justifies the competitive strategy using the STP approach, using the

marketing mix as evidence for Shakthi FM to reach the desired position. The Performance of plan also

been evaluated.

Finally the possible issues are identified when implementing the plan and proposed practical solution to

resolve them.

Happy improved Conversion rate!

Word Count 2833

15%

30%


31

Appendix- 01

Organization Background

Sri Lanka’s No:01 Tamil hit music station Shakthi FM, a business unit on media which operates under

the Capital Maharaja Organization Pvt. Ltd, has been bestowing its service to Tamil speaking people for

the past 15 years, where it was launched in 1998 November 20th and celebrates its 16th anniversary in

2014. Entertainment and News being the pillars of Shakthi FM, not only the Tamil speaking community

of Sri Lanka but also the Tamil speaking people living worldwide, especially UK, USA, Canada, India,

France, Switzerland, Japan, Korea, Saudi Arabia, Kuwait, Qatar etc … enjoy the content and the music it

airs.

Shakthi FM has the responsibility on providing the accurate news happening around and playing the

superhit Tamil songs of the periods 80’s 90’s, new millennium and so on.

It also gives importance on the seasonal and special events or happenings throughout the year and

design its program contents accordingly to suit the situation and air it with wise promotions.

Not only indoor promotions but also outdoor promotions (shop to shop, musical shows), awareness

campaigns (dengue), educational seminars (for Grade 5 scholarship, O/L students) sports tie-ups and

updates (Cricket, football)are also carried out.

“To be the most outstanding Tamil Radio Channel in Sri Lanka and market be the Market leader”

Mission

To provide entertainment and information to enhance the lifestyles of

the Tamil Speaking Sri Lankan public and to satisfy clients by building

brand awareness via attractive advertisements.


32

Customer base

The air time is allocated for the customers in terms of Program content, Hourly Segments (Domestic

Comedy, Cinema & Songs), Time Checks, etc…

The top 10 customers

Etisalat

Dialog

SLT

Commercial Bank

Uniliver

Hemas

Singer

Seylan Bank

Nestle

SLIC

If divided into Industrial wise, the key sectors are the following

Telecommunication

FMCG

Banking

Insurance

Product Offerings

Weekdays Weekend(Saturday) Weekend(Sunday)

Vanakkam thayagam (Morning Drive) Weekend Vanakkam thaayam (Morning Drive) Hello Shakthi (Evening Drive) My Shakthi (Evening Drive) Kondaatam (Request Show) T-20 (Song Countdown) Vellitirai (Movie Countdown) Maalai Express (Magazine Show) Manjal Veyil Idhayam Pesiyathey (Love) Rahmania(A.R.Rahman Hits) Sports Master(Sports Show) Nilachoru(Mind Relax, Feeling) Anandha Iravu(Commedy) Anthanaal Gnbagam(Old hits) Hourly Songs Hourly Songs Segments Segments Time Checks Time Checks

Position in Market

Shakthi FM is the market leaders, holding more than 50 % of the market share and the direct competitor

Sooriyan FM 40%, and the rest 10 % occupied by Thendral FM, Varnam FM & Tamil FM. (Source Annual

Report -Shakthi FM, 2013-2014)


33

Appendix 02 The Capital Maharaja Organization – ‘The Hierarchy of Shakthi FM’

CHAIRMAN

DIRECTOR

PROGRAMMING

GROUP DIRECTOR

DIRECTOR

ENGINEERING

DIRECTOR

FINANCE

DIRECTOR HR

MANAGER

PROGRAMMING MANAGER

SALES & MARKETING

MANAGER

PROMOTIONS

DIRECTOR

NEWS

DIRECTOR SALES

ASSISTANT

MANAGER

PRODUCTION

MUSIC

CONTROLLER

SENIOR

EXECUTIVE DJ

EXECUTIVE DJ

DJS

PART TIME DJ

MANAGER

NEWS

MARKETING

EXECUTIVE

NEWS EDITO

R

PRODUCTION

ASSISTANT

NEWS REPORT

ER

MANAGER HR

HR

EXECUTIVE

HR

ASSISTANT

MANAGER

FINANCE

MARKETING AGENTS

(5 VIRTUAL TEAMS)

(

FINANCE

EXECUTIVE

HR

OFFICER

PROMOTIONS

EXECUTIVE

NEWS REPORT

ER (VIRTUAL

TEAM)

EXECUTIVE

ENGINEER

ASSISTANT

NEWS ANCHO

R

DIRECTOR

PROMOTIONS

PROMOTIONS

ASSISTANT

FINANCE

ASSISTANT

BRAND

EXECUTIVE

THE MARKETING

FUNCTION


34

References

SWOT Analysis. 2014. SWOT Analysis. [ONLINE] Available at:http://www.quickmba.com/strategy/swot/. [Accessed 15 August 2014

Activities -The Capital Maharaja Organisation Limited. 2014. Activities -The Capital Maharaja Organisation Limited. [ONLINE] Available

at:http://www.capitalmaharaja.com/index.php/activities.html#anc_media. [Accessed 16 August 2014].

RAP. 2014. RAP. [ONLINE] Available at: http://www.lmrbint.com/our-services/syndicated-offers/radio-audience-points.html. [Accessed 16 August 2014].

KLINČEKOVÁ S., International Journal for Innovation Education and Research, Vol.2-01

2014. . [ONLINE] Available at: http://www.ijier.net/assets/ijier.net-vol-2-no-1-manuscript-no-2.pdf. [Accessed 20 August 2014].

Bibliography

McDonald M., Wilson H., 2011, Marketing plans, 7th Edition, Printer Trento, Italy

Megicks P. et al,2011, Marketing Planning Process, Sanat Printers, Kundli

Sylvester G., 2011, Preliminary Certificate in Marketing, Sri Lanka

http://www.quickmba.com/strategy/swot/

http://www.capitalmaharaja.com/index.php/activities.html#anc_media

http://www.lmrbint.com/our-services/syndicated-offers/radio-audience-points.html

http://www.ijier.net/assets/ijier.net-vol-2-no-1-manuscript-no-2.pdf