Case study Vimal

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Case study : 

Case study The case of Reliance textiles Course Instructor: Kanwal Gurleen Lecturer,LSB

Introduction : 

Introduction 1.Reliance is a multi-business giant with interests ranging from textiles to petrochemicals,oil refining and telecom 2.turnover 50,000 crore per annum,No.1 in india in private sector 3.This case deals with success in textile through its vimal fabrics

Vimal: An introduction : 

Vimal: An introduction 1.Started its textile business in 1960 with small factory having 4 warp knitting machines,a small dyeing section and just 70 people on rolls 2.Achieved success in less than 15 years to become a leader despite of being a late entrant

Marketing strategies of Reliance Textiles : 

Marketing strategies of Reliance Textiles 1.Perfect targeting 2.Ideal positioning 3.Effective 4 p strategies 4.See how?

Target market selection : 

Target market selection 1.Identified “well-to-do urbanites of India” as its target market 2.High quality,high priced fabrics 3.Target was sophisticated segment with a taste for the good things of life and willingness and capacity to pay the price on basis of value for money

Positioning : 

Positioning 1.Positioned on Fashion theme with additional ‘value dimension’ with help of technology attribute 2.Superior product with superior value

Product strategy : 

Product strategy 1.Premium Product on modern technology: (collaboration with usa based Dupont) 2.Comprehensive product range: (saris, suitings,shirtings and dress materials) 3.Contemporary designs

Slide 8: 

4.Wide variety and choice: (employed 200 designers,10,000 designs in suitings,400 new every month in saris,500 new in dress materials) 5.Emphasis on quality: (premium quality:created,communicated and delivered)

Place (Distribution) strategy : 

Place (Distribution) strategy 1.Exclusive retail outlets 2.Set 1800 vimal outlets 3.Promoted through showrooms 4.Vimal showrooms: “the largest nationwide retail network”there is one near to you

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5.Created jumbo showrooms 6.Right Distribution policies 7.A separate RMS department

Pricing strategy : 

Pricing strategy 1.Premium Pricing 2.Didnt go with defensive pricing 3.Focused on Value pricing due to target market it has chosen

Promotion strategy : 

Promotion strategy 1.Initial budget was 5 crore PA 2.Different approaches to different products/audiences 3.Segmented its target further to: ---business people/executive community ---middle class gentlemen who go by retailers

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4.Only Vimal idea:only reliance was producing crimped polyester yarn,only reliance had advanced R&D,10,000 designs,rated by world bank) 5.The Fashion show idea 6.Effective media selection:Sony TV 7.Sales promotion: Miss universe,world cup cricket.