Cadillac's "new customer can be described as a subculture for many reasons. A subculture can…
The PSI Case: Marketing of Raja and Maya
As a result, people were more willing to accept condom rather than drug. Mama’s performance got worse because of Its weak marketing strategy compared to other competitive products. – SKI’S marketing efforts for Maya to motivate retailers were not as strong as other competitive pills. For instance, other competitors gave 1 6 times higher margin with regard to sales on their pills to retailers than SSI gave it to retailers as for sales of Maya. -Image of Maya was negative among doctors and Ramps who were at a position that could recommend contraceptive pills to consumers.
In this context, Raja could be more freely sold to nonusers without Intervention of doctors and Ramps. – Furthermore, Raja had a positive connotations and wide recognition with its brand name. SQ) How do you characterize the competitive environment in Bangladesh? That is, when you look at SSI vs.. The other organizations in the space, how do they view each other? How does this differ from the other for-profit contexts weave studied? What might It mean for the strategy?
With regard to competitive environment, four different market players which were government of Bangladesh, volunteer organizations, private pharmaceutical firms and SSI were competing in contraceptive market. SSI vs. Government From the perspective of SSI, government Is one of competitors In the market because government also distributed contraceptive products for free. From the perspective of government, SSI was one of its supplementary ways to achieve government’s aim of controlling overall population.
On the other hand, the government should closely monitor SKI’S family planning programs not to bother religious sentiments. SSI vs. private pharmaceutical firms From the perspective of SSI, private pharmaceutical firms are direct competitors in the market. Especially, private pharmaceutical firms had competitive advantages In he pill market by using high margin strategy toward retailers. – From the perspective of private pharmaceutical firms, SSI was a direct competitor which had low price products. SSI vs. other volunteer agencies From the perspective of SSI, other volunteer agencies were indirect competitors in the market. Those agencies were willing to provide contraceptives entirely free to which had same goal to contribute family planning program. From the perspective of for-profit context, the competitive environment in Bangladesh is different in terms of price policy, rivalry relationship. Namely, different marketing strategy is needed. – Regarding for-profit context, market players compete each other at certain level of pricing policy.
That is, it is not possible to launch any product below its cost of goods sold. However, some market players provide products even for free in Bangladesh contraceptive market even though they suffer from loss because market activities of them are not commercial basis but social works basis. – Market players are not always placed on competitive relationship. Sometimes, the market players should cooperate each other to achieve the same goal of driving social change. As for marketing strategy, accurate, detailed market segmentation and positioning is required for each market player.
Because similar function of product are selling with very wide of price spectrum in the market, each market player should do its marketing based on very detailed market segmentation in order to figure out different needs of customers. SQ) Create a marketing plan for improving sales of Maya To support retailers financially by giving high margin and by extending credit – As the other pills give high margin to retailers, Maya should consider giving margin to tillers by increasing current price because the retailers do not have motivation to sell Maya.
SSI should keep in mind that most retailers had problem with working capital. Thus, extending credit term can be also a way to support To rebinding image of Maya as a high quality product among doctors and Ramps – Currently, Mama’s brand image is low quality drug among doctors and Ramps. They play a very important role of advising patient. Thus, SSI should rebind the image of Maya and name. Then, it should try to inform doctors and Ramps of Mama’s quality by holding seminars or visiting marketing. If necessary, SSI need to develop specified communication program for doctors and Ramps.
To develop a powerful marketing communication program to make behavioral change of consumers- Most consumers of contraceptive did not exactly aware how family planning program was valuable for health, economy and happiness and how Maya was an effective pill to achieve successful family planning. Furthermore, most of them were living in rural areas where it was not easy to access to mass media such as TV and Radio. Therefore, besides advertisement, it’s important to develop powerful marketing communication lolls such as making educational video program for family planning.
Then, SSI should take new way to dispatch its materials in rural areas by visiting rural areas to show those visual materials and advertisement. SQ) How will you evaluate your plan? How can you calculate the ROI? The “l” is relatively straightforward but how would you go about evaluating the “R? ” What challenges do you face in this regard as compared with most of the other cases we’ve discussed? How would you address it? I would like to evaluate performance by using following concept. That is, ROI would like to evaluate and calculate my marketing plan in terms of ROI.
However, I’ll use “Return” concept as COPY itself. Even though it is not financial amount, I believe that it represent the performance of SMS very well. In addition, as a non-for-profit firm net income vehicle is not an appropriate tool because it represents commercial activity. With regard to investment, I’ll use “operating expenses” as an “Investment” concept. I believe that purchasing cost for contraceptive products is not important because SSI did not consider its purchasing cost for the pricing of products. Sumps operating expense represents directly how much money was used for SMS itself.
Challenges & Address When I use above ROI concept, the most difficult thing to persuade investors (here in case, SAID) is that return concept is actually different from other cases commercial based. It should be net income if it is commercial firm. However, I would like to intensify that final goal for SMS is not to generate profit. Its purpose is to control population by making more people use contraceptive products through SMS. In this regard, what would be the final performance of SMS? I believe that it should be COPY itself because it shows actual notion to quantify benefits from contraceptive products.