1. MARKETING PLANFOR DIVA INTERNATIONALLIMITED

2. Marketing Plan2Presented to: Mr. Sonu Dua ACKNOWLEDGEMENTWe are grateful to our teacher Mr. Sonu Dua for teaching us curriculum of marketing. His versatile knowledge in marketing field and unique teaching style has developed our knowledge and cleared many marketing concepts. We are all the most grateful to him for assigning this project, which has further helped us in evaluating many interrelated dimensions of marketing. Finally we bestow our thanks to all who has directly or indirectly supported us with their assistance and guidance to compose this report and accomplish broader vision to visualize things in marketing concepts. Durgesh Kumar Singh Diva International Ltd 3. Marketing Plan 3 Diva International Ltd 4. Marketing Plan 4TABLE OF CONTENTS Preface Introduction Executive Summary Mission statement Objectives The Business Business Background Product/Service Description Distribution network Macro environmental Analysis Diva International Ltd 5. Marketing Plan 5 Economic Analysis Social-Cultural Analysis Market Analysis Market Definition Market Segmentation Competitors SWOT analysis Strengths Weaknesses Opportunities Threats General Marketing Strategy Target Market Diva International Ltd 6. Marketing Plan6 Specific Marketing Strategy Pricing Strategy Distribution Strategy Personal Selling Strategy Advertising Strategy Sales Promotion Strategy Financial Analysis PREFACEThis Marketing Plan is prepared for the course of Principles of Marketing on Diva lipstick the product of Diva International Limited India. In this marketing plan we have the introduction, business analysis, target market of the product and bit of financial analysis and given the industry position of cosmetics. This report covered almost all aspects of the marketing plan. Diva International Ltd 7. Marketing Plan 7 INTRODUCTIONEXECUTIVE SUMMARY The Diva international is not a newly established company; basically Diva is a French company. Diva has 5 years history in the industry of cosmetics. Now the company started its operations in India. Diva International Limited India is under license from Diva International Paris. First of all they are going to launch a Diva Lipstick. Company has its plant in Luck now. Plant is imported from France. The Plant is fully automatic and work under robotic supervision and produces high quality products. Company has invested 10 million rupees in this project. Company plans to get at least 11.5% market share this year and also plans to increase 5% customer base every year. In order to achieve this target company has the combination of quality product lines, customer advisory service, and a knowledgeable sales staff. Diva plans to increase its product line in cosmetics and toiletries in coming years. Diva International Ltd 8. Marketing Plan 8 MISSION STATEMENT To be the No. 1 cosmetics company in the India and in the world. To offer high value, economical, and qualitative solution to address the commuting needs of a diverse range of customers. To seek long term and good relation with our suppliers and retailers with fair, honest and mutually profitable dealings. To produce environment friendly products to be a contributing corporate citizen for the betterment of society and to exhibit a socially responsible behaviour.OBJECTIVES: To make reasonable profit. Divas main objective is to provide quality-oriented products and high customer satisfaction. Companys three core values Caring, Teamwork and Continuous Improvement are put into action in our work as well as in our communities. The results are better products and a better quality of life throughout the country. To make at least 10% profit this year and keep on improving the sales and percentage of profit in coming years. Diva has a wide distribution network retailers through out the country.Description Last year This Year Projected June2001June2009June2010 0120020103 Gross Sales010,00 ,00020012002 11,00,000Growth Rate10%Market Share 10%11.5% Diva International Ltd 9. Marketing Plan 9THE BUSINESS Business Background The Diva International Paris has 5 years history in the world of cosmetics. The company has wide range of cosmetics. Diva International Limited India was incorporated on 2nd November 2009 as a public limited company in India. The shares of the company listed on all stock exchanges of India. Product services description Diva International Paris has a very wide product line and product line extensions include lipsticks, perfumes, lipsticks, face washes and long list of toiletries. In order to have a satisfied customers company have advisory services help line, which is a toll free number? The cosmetics start from very high prices to substantially low prices. Distribution Company got very wide distribution network, retailers and whole sellers throughout the world. Advertising and promotional efforts can help to attract the customer but ultimately there is no way of controlling the number of customers that frequent The Diva. What is controllable is how the sales staff treats the customer once they walk through the door. Aggressive inside sales and knowledgeable interaction is critical to keeping the customer loyal to The Diva. As a secondary distribution approach, vendor catalogs and free samples are available to the consumer for information and to test the products with the retailers and provide door-to-door distribution. Diva International Ltd 10. Marketing Plan10 MACRO-ENVIRONMENT ANALYSIS Economic Analysis The national economy has been strong and gaining momentum for the last few years. The national employment rate has been increasing. Although stock indices such as the N.S.E have displayed large potential in the last years. In this industry there is a potential customers in this market. In this field of economy there is less competition among the local manufacturers but most of them are importers. There is need of little introduction for local cosmetics, and the quality is also very important. The target market start using our product if they know the quality is same and price is slightly lower than imported one. This way we are saving valuable foreign exchange for our country. SOCIO-CULTURAL ENVIRONMENT In last few years the change comes to our society the women working in all the offices. With the increasing awareness of the facial fitness this is very important that everybody should looks fresh and beautiful on his work place. More people are taking time out to enhance their quality of life and try to be looks fresh every day inside or outside the office. There is a favourable trend in last 3-4 years, it will be a favorable increase over the next five years and is broadening to include new market segments. Diva International Ltd 11. Marketing Plan11MARKET ANALYSIS MARKET DEFINITION: The potential market involves a wide-range of people with an interest in looking fresh and different everyday. Those who thought it is very necessary to look fresh on the business place and also in the social life. In addition to this group includes young people who are students (college going girls) Over the past several decades the cosmetics industry has grown in to a Rs.5000 million a year industry. The cosmetics industry developed more, because of the information and globDivation of the world. This commercialization has made cosmetic somewhat of a trend in the 90s, both in the India and around the world. MARKET SEGMENTATION For Diva International Limited as with any business there are many possible categories by which the market could be segmented. This section will form the basis for Diva International Limited Indias, current market segmentation. Diva International Limiteds primary target market is the student population of almost 20,0000 at University level and office going people and housewives. COMPETITORS The various aspects of the marketplace and how it relates to The Diva Internationals business have been discussed up to this point. Now each of the manufacturers competitors will be evaluated and compared with the Diva International. The following table (Competition) will provide a synopsis of the competitive environment. o LOREAL PARIS o ST.IVIES LABORITRIES, INC. (U.S.A) o LABEAUTE MAGIQUE INC. (U.S.A.) o LAKME INDIA Diva International Ltd 12. Marketing Plan12 ISSUES AND OPPORTUNITIES STRENGTHS: We are the pioneers of this specific product, which is launched for the first time in India. Introducing our product on a competitive price strategy. Timely & effective Distribution Network.WEAKNESSES: Huge capital investment will be required for aggressive promotion. OPPORTUNITIES: With our expansion plan and capacity we can enter into product mix, which can save us from the declining phase. THREATS: Already built in market for imported cosmetics. People always resist buying new product & new Brand. Competitors offensive strategy can give us tough time. Political instability and crises can affect smooth running of business. Positioning product name in consumers mind would be expensive through promotion. This will reduce our profit in the beginningMARKET RESEARCH After conducting the research we reveal that there is a potential market for people who want to use best quality of cosmetics and lipsticks at lower price and want to remove the dead cells, dryness, and want to make their lips soft. Diva International Ltd 13. Marketing Plan 13 GENERAL MARKETING STRATEGYTARGET MARKETDemographic Factor: Age from 16-50 Years Social Class Upper, upper middle. Income Rs. 10,000/- and above Gender Female Geographic factor: Country India City Lucknow Population Over 14 lakh Psychological factor: Occupation Executives, Housewives, Students, Social workers. Profession--- Barber shops & Beauty parlors Diva International Ltd 14. Marketing Plan14 MARKETING STRATEGYProduct Analysis: This lipstick is specially manufactures to remove dead cells and dryness. Lipstick is also lab tested to prove its quality and making. This is available in one size (later on available in different flavors). It has very nice, refreshing fragrance. UNIQUE SELLING PREPOSITIONS: Diva contains a unique special ingredients and introducing first time combination of HERBS & FLOWERS that renewal your lips and makes them soft. It will remove dead cells and other impurities and increases the freshness of the lips. PRODUCT: The product is specifically made to give the best solution for removing dryness and can prevent from cracks. PRICING: Our price will remain competitive through out product life cycle. PACKAGING: Attractive and eye-catching tube is made to attract the customer. Diva International Ltd 15. Marketing Plan15PRICINGPRICING OBJECTIVE: Pricing objective is to penetrate in the lipstick market and then maximize profit in the long run. PRICING STRATEGY: Our competitors are established from a long time therefore we set our prices lower than their brands. Here we will use the Economy pricing strategy as mentioned earlier the mask contain one of the best materials that is soothing elder flower that remove all impurities from the face. We are targeting also middle class so thats why economy pricing is adopted the price will be low and the quality is high so the image of the product in the minds of peoples will be good. In future we increase the price the consumer will go towards our product. We also adopt the market penetration strategy to get the large number of sales and to get huge share of the market. PRICES OF THE DIVA:SizePrice in Rupees40 gms195/-20gms85/- Diva International Ltd 16. Marketing Plan 16 DISTRIBUTIONOur manufacturing plant is located at Lucknow and our main office is situated at Delhi. CHANNEL OF DISTRIBUTION: 1. Manufacturer ----- Distributor ------- Retailer------ Consumer.This channel will be used to make our product available in the market for customersconvenience. It will be ensured that our product is extensively placed in all the wellknown shopping centers of Lucknow, which comes under our potential and targetmarket area. 2. We will also use push strategy for our product by using various promotional tactics andthrough media. Distribution will be divided in zonal basis, which will be 5 in number.We will directly approach retailer by providing credit facility and bonus in form ofincentives.We will also provide trade allowances to our distributors and retailer to furtherintensify usage of push strategy. Diva International Ltd 17. Marketing Plan 17LIST OF RETAILERS AND THEIR LOCATIONS S. NO.MARKETLOCATION1. SUNNY,S CHARBAGH2. QADRI AMINABAD3. NAVEEDAMINABAD4. RAFIQ AMINABAD5. GALAXYINDRA NAGAR6. JUMBO INDRA NAGAR7. INDUS STORE GOMTI NAGAR8. GULISTAN STOREGOMTI NAGAR9. BLESSINGS SUPER STORE LALKOTI10.BADSHAH NURSERY11.COLLECT NURSERY12.FIVE STAR NEAR TNT NURSERY13.SUPER MARTDEFENCE14.CROWN NEAR QT BACK15.QT DEFENCEDEFENCE16.SUNNY DEFENCE DEFENCE17.JABBAR DEFENCEDEFENCE18.FAMOUS DEFENCEDEFENCE19.SOHAILA DEFENCE Diva International Ltd 18. Marketing Plan 18S. No. MarketLocation 20. QUALITY STORE PHASE 1 21. DEFENCE STORE PHASE 1 22. SLASH STORE PHASE 7 23. JAMIPHASE 7 24. FINE SPOT 9&10 STREET 25. BEST MART 9&10 STREET 26. A&O 9&10 STREET 27. HAWAS 9&10 STREET 28. DELTONDEFENCE 5 29. CASH & CARRY24TH STREET DEFENCE 30. HAJI DAUOD10TH STREET DEFENCE 31. SHOP & SAVE BLOCK # 3 CLIFTON 32. HUSSAINSBLOCK # 2 CLIFTON 33. SAFEWAY BLOCK # 2 CLIFTON 34. PARADISESCHON CIRCLE CLIFTON 35. AGHASCLIFTON 36. NOVELTY CLIFTON Diva International Ltd 19. Marketing Plan19S. No. Market Location 37. Friendship Clifton KFC Road 38. DOLPHIN STRS CLIFTON KFC ROAD 39. MR. IDEAL BAKERCLIFTON KFC ROAD 40. TEST MARTPARK TOWERS CLIFTON 41. QUALITY STOREBLOCK # 9 GULSHAN 42. BISMILAH STORE BLOCK # 8 GULSHAN 43. AL-GHANI STORE BLOCK A. NORTH VIKAS NAGAR 44. QUALITY STOREM.G ROAD 45. HOUSE HOLD UTILITY JAIL ROAD 46. HOME MARTJAIL ROAD 47. YOUSAF AMINABAD 48. DIWANS AMINABAD Diva International Ltd 20. Marketing Plan 20 PROMOTIONAL OBJECTIVES To use push strategy. To enhance the awareness of product among target market. To develop a positive image of product. To design a promotional campaign in such effective manner so that consumer can switch over to use our brand from their present brand. PROMOTIONAL STRATEGY:Promotional DeviceTelevision (DD1, SONY, STAR PLUS, ZEE, AAJ TAK, ) Magazines Womens era, Saheli, Business world, India Today, Maxim. Out Door MediaScotch print, point of purchase and banners for introductory phase. PROMOTIONAL INCENTIVES:ConsumerFree Sampling Distributor More sales commission will be given. Retailers As a motivational factor we will tell our distributor to nominate thebest retailer for offering year end bonus to make them part of thecompany. Diva International Ltd 21. Marketing Plan21 DOOR-TO-DOOR SELLING: In personal selling we will go for the door to door selling, so that to make our product more aware in those areas where there are no means of doing advertising & also to make people more convenient by telling them the more advantages of the Diva face to face. PERSONAL SELLING: We will also hire people to visit different areas of our target market where they will provide free samples. This will be done in the introductory phase but after the advertisement is launched. ADVERTISING At first we will do INFORMATIVE ADVERTISING to promote our product and to build the demand for it in the market. After the informative advertising we will do reminder advertising to keep the consumers thinking about the product, by giving the ads on television etc. BROADCAST MEDIA: We will use television broadcasting because it is a mass advertisement media. Under this we will select peak hours from 7 to 9. We will Advertisement only on SONY,AAJ TAK and STAR PLUS. Under the introductory phase our advertisement duration will be standard i.e. 30 seconds for 1 month then for 2 month it will be b/w 15 to 20 seconds. In future we will start a sponsored programme on STAR PLUS for face care tips. Under maturity phase ad for 10 seconds will be given where more emphasis would be given on showing our brand name. Diva International Ltd 22. Marketing Plan 22PUBLICATION MEDIA: Under publication media we will use both magazines and newspapers: In newspaper we will use image of Sundays issue and (Sunday magazine) of Times of India issue. Under magazines, we will use periodical (monthly and quarterly) like News line. Weekly issue we will use Sunday Times and Hindustan Times. OUT DOOR: We will use Scotch print and banners as an outdoor media. We will select the following area for placing scotch print and banners. Polytechnic M.G Road Hassan Square Cantonment Haidery North Nazimabad Hazratganj Gomti nagar extension bridge Lucknow Railway station Raebareli road Posters will be placed in all major departmental stores and malls. POINT OF PURCHASE MEDIA: Prominently placed in shelves where the product speaks for itself. Display cards near the counters. Diva International Ltd 23. Marketing Plan23 SALES PROMOTION STRATEGYAt the time of launching, we will provide free sample of our product for customers attraction along with the ad that would be placed in magazines and newspapers. Later when we see our competitors is going to launch some new promotional activities then we distribute some incentive like buy and get 5% discount. We will also offer some price deduction on twin pack.PACKAGING STRATEGY We have developed a product in a recyclable plastic case(to prevent the environment). With different we had prepared the tube so the tube looks more eye-catching and give very fresh look with mix colors. Diva International Ltd 24. Marketing Plan24 FINANCIAL ANALYSISMarketing Budget & Income Statement The following table (Marketing Budget and Income Statement) provides a detailed presentation of the companys planned marketing expenditures and a summary of the companys financial projections including revenues, expenses, and resulting profits.MARKETING BUDGET AND PROFIT AND LOSS STATEMENTDescription Last YearThis YearProjectionApril 2008 Apri l 2009April 2010 EARNINGSSales Rs.10, 00,000Rs.12, 00,000MARKETI NG ACTIVITY EXPENSESProduct Branding ExpensesRs.10,000 Product Packaging ExpensesRs.7500 Rs.10,000 Distribution Expenses Rs.30, 000Rs.20000 Promotion Expenses Personal Selling Rs.10, 900 Rs.10, 000 AdvertisingRs34,000 Rs.39,500 Direct Marketing Sales Promotion Rs.70, 000Rs.1, 50,000 Publicity and Public Relations Rs. 60, 000Rs. 40000Total Marketing ExpensesRs.212400 Rs.279,500Other Non-Marketing ExpensesRs.7,87,600Rs.8,00,500NET INCOME0 1,20,000Net Margin Percentage 0%10% Market ing Expenses as a 21% 24% Percentage of Sales Diva International Ltd 25. Marketing Plan25 MARKETING BUDGET AND PROFIT AND LOSS STATEMENT April 09 April 10April 08 Diva International Ltd 26. Marketing Plan26ADVERTISING BUDGETRs.3, 00,000 Rs.4, 20,000April 08 April 09 April 10 Rs.3, 80,000 Diva International Ltd