Sales Campaign /Strategy MDS Switchgear Ltd Anand G Khanna

Background MDS started in 1977/78,was Industry Leader in LT Switchgear 1987 – 1989 Existing Product portfolio MCB-Loadster, LoadKontakt,Distribution Boards Need to expand Product portfolio – New MCB 6K &3K, RCCB- Residual Current Circuit Breaker-Earth Leakage, Automatic Fuse Breaker(AFB ) etc Following were identified RCCB, new MCB 6K& 3K from ABB, AFB from- Clipsal Australia Product Market assessment –Visit to Italy, Thailand, Malaysia JV signed with ABB Electro Condutture Italy Sept 1990 & ABB Germany for MCB in Oct 1990 Test Marketing of AFB was planned

Sales Strategy for MCB –Loadster & LoadKontakt for Growth 1989 Increase the production of LoadKontakt(LKT) from 1.25 lacs /annum to 7.5 lacs per annum Maintain production volume of Loadster(LDS) at 8.00 lacs /annum Production volumes estimated for 2 years Pro-rata increase for Distribution Boards Market assessment for volume of LKT by few top managers of Company and Channel partners Increase in the Production Facility at works –Sourcing of components Strengthening of Distribution Channels ;Manpower requirements

Pricing Strategy LDS was priced at Rs.75 per MCB was revised to Rs. 85. LKT was priced at Rs per MCB was revised to Rs Change in the Sales Policies for better margins to the channel partner Date of revision was kept secret and made w.e.f July 1,1990

Sales Campaign for the Company Reduce the supply in Market of the LKT put pressure for aggressive sales in the market Increased Channel network Increase Manpower factoring other products to be launched in next 2 years Developing Retail Network for the Company Tentative launch dates of RCCB decided Communication strategy finalized

RESULT Volume of LKT 7.95 lacs by March 31,1991 Volume of LDS 8.00 lacs by March 31,1991 Increased Channel partners by avg 20 % and location by 20 % Manpower by 10 to 15% Quantum jump in Turnover, Profits etc etc

Market Entry Strategy for RCCB in 1989/90 Market assessment – Branch & major Electrical Market Places Branding -LoadStop Building up Production facilities –Training of Production engrs/supervisors/workers Communication strategy for Stakeholder – Channel Partners, Consultants, Decision Makers, BIS, Industrial Customer and retail customer Launch date Festive season of Dusehra & Diwali Sept –Nov 1991

Integrated Marketing Communication Strategy Communication Strategy –to Educate Decision Makers about electrical safety at Home,product application etc – Selection of Ad agency Nexus Equity Dec 1990 Readers Digest Mailers – April 1991 Seminars for Consultants, BIS, Decision Makers, RWA – July –Dec 1991 Reach homes of retail customers – Advertisement with offer for free check up of electrical safety at Home- around Launch date Training of Electricians, Contractors for providing Electrical Safety Check up & Demo April – Sept 1991 Training of Marketing, Sales personnel, Channel Partner –May – Aug 1991 Brochures,Leaflets, Flyers Aug 1991

Sales Campaign & Launch Strategy Full page colour ads in all national dailes, selected magazines and Industrial magazines Follow up for Electrical Safety check ups, Roadshows at electrical marketplaces, RWA Aggressive coverage by Sales staff at Channel partners &Retail Channel partners locations, Launch of retail channel activities

RESULT Volume achieved was 2.25 lacs by March K were imported for the launch Channel Partners increased by 20/40 %(North) Location by 20% 7500/8000 household were assessed for Electrical safety check up by December 1991, conversion rate of around 80% Manpower by 5% Retail Channel launched Customer Education/Awareness programme launched