By

Kunjan Mishra

MBA-IB, 3rd Sem, Marketing

Promotion of Campus2Home Service among Female Occupants

at PG/Hostel in Delhi Region

Faculty Mentor:Dr. H. C. ChaudharyProfessor, FMS BHU

Company Mentor:Mr. Amit KumarRetail Head, Safexpress PVT. LTD.

Flow of Presentation

Industry analysis

• The Logistics industry includes five broad segments – ocean freight, rail freight, air freight, trucking and third party Logistics (3PL) services.

• The current size of the Indian Logistics Industry is estimated around $225bn and is expected to reach around $350bn by 2015.

• India currently spends around 14 per cent of its GDP on logistics compared with developed countries where this percentage is around 8-9%.

• In general 100% FDI under the automatic route is permitted for all logistics services.

• The three major contributors for the growth of logistics industry are: emergence of organized retail, increase in foreign trade and India becoming a global manufacturing hub.

Company Analysis

Safexpress began its journey in 1997 Its over 6,00,000 km.

Its fleet of 4000 vehicles have all-weather proof containers for safe transit.

Safexpress has over 610 offices and 48 hubs and mega-hubs across India with the fastest transit-time in the industry of 1.8 days delivers over 80 million packages a year.

The privately-held company has been growing at 35 per cent and posted a turnover of Rs. 1100 crore in 2013.

It plans to open 32 Logistics Parks at key business centers all over the country in the next couple of year.

Has the largest network coverage across India traversing

Services Offered1. SERVICES FOR INDIVIDUALS/SME• Campus2Home• Easy2Move• Sainik Express• SafeReturn2. SERVICES FOR ENTERPRISES• Stock2self• Vendor Managed Inventory• Virtual Warehousing• End-to-End Supply Chain Management3. EXPRESS DISTRIBUTION• Surface• Air4. 3PL & INVENTORY MANAGEMENT5. SUPPLY CHAIN CONSULTING

SWOTAnalysis of Safexpress

STRENGTHS WEAKNESSES

OPPORTUNITIES THREATS

SW

OT

1. Large network with 610 locations across India2. Credit & Retail basis pricing strategy3. 4000 Plus GPS equipped, all water proof containerized vehicles operating on more than 1000 routes 24*7*365 days4. “Largest Logistics service Provider in India” by Limca Book of Records in 2002

1.Marketing and advertising is lesser than global brands

• 2.Lower adoption of advanced technology

1. Diversification in more innovative services2. Increasing firms in manufacturing industry3. It has 3600 weather proof ISO-9002 vehicles which can be used for increasing range of services4. Huge no. of female hostellers found in Delhi region5. Can enter international market

2. Unorganised transportation sector3. Entry and penetration of international players and domestic players

1.Big competitors with advanced technology which provide only service to single students/workings

Promotion of Campus2Home Service among Female Occupants at PG/Hostel in Delhi Region

• Preparing database of female accommodation in Delhi.• Promoting Campus2Home service among the

inmates.• Finding the opportunity in potential customers

among female’s hostlers• Submit a final Marketing Plan with the Management

for assessment.

Secondary Objectives of Study

Main Objective

Research Methodology

• RESEARCH DESIGN: Exploratory followed by Descriptive.• POPULATION: All the PG’s & Hostel’s Owners and Caretakers• SAMPLE UNIT: Female PG’s and Hostels• SAMPLE SIZE: 136 out of 200 Respondents• INSTRUMENT: Sample survey• SAMPLING TECHNIQUE: Non-probability sampling• LOCATION: New Delhi • DURATION: Two months• DATA COLLECTION DESIGN: Primary and Secondary• TOOL: survey through questionnaire, telephonic interview.

Campus2home

Commercial DetailsPackage Chargeable Weight (Kg)

Freight Per Package For Students, the C2H Safebox, Tape can be arranged free of cost. This is subject to availability and prior intimation.

C2H Safebox (Up to 20kg.)

Rs. 450

Any Other Bag/Box (Up to 30 Kg.)

Rs. 550

Image of 20 Kg. capacity C2H 2010 Box

1. Way Bill Charge : ` 250 ‘• Value Surcharge, Handling, Surcharge: Nil for Student Service

Tax: As applicable.• Value Added Services (Payable Only if Availed/ Applicable):• Safextension : ` 750 Per Waybill• To Pay Ser. Charge, Octroi / E.Tax etc, Ser. Charge : As per Tariff

2. NB :• Consignors must go through and follow our Packing Guidelines and

Other Important• Information.• Inbuilt limited liability Risk coverage (Maximum ` 10,000 per waybill

in any case of• Loss, No individual package value exceeds ` 5,000.)• The standard ‘Declaration by Consignor’ must be filled and

signed at the time of booking

Data Analysis & Interpretation

Number of PG’s and Hostel Surveyed.

PG’s Hostel93 43

Mostly female students prefer PG over Hostels. Hence more focus should be towards PGs

Occupancy rate of PG and Hostels.

Occupied Unoccupied

2499 1996

56% 44%

Occupancy Rate in May-June season is 56% which is quite low. Due to vacations and completion

of courses most students vacate their PG’s and Hostels.

Occupants Profile

The occupants of PG and Hostel are majorly comprised of students and working individuals.

Other categories are those individuals who came for 1 or 2 month only.

Monthly Rent

Particulars <5000 5000-10,000

10,000-15,000

>15,000

Number 13 66 48 9

Percentage 9% 49% 35% 7%

Majority of individuals stay at the PG/Hostel costing between Rs. 5000 – Rs 15000. Those

individuals should be targeted since they are spending enough money on PG’s and Hostels to

stay comfortably. Hence they will much likely to consider campus2home service before leaving.

Do You Think Campus2Home Service Will Make Occupants Movement Comfortable?

Majority of owners and caretakers of PG and Hostel thinks our service campus2home will make

occupants movement comfortable. Since they are showing positive attitude towards our service

more effort should be focus on convincing them to make their occupants aware of our service.

Are you aware of any such service?

92% owners and caretaker of Hostel and PG don’t know about this kind of services. Safexpress should harness this opportunity and more promotional campaign at PG and Hostel level should be done.

Will you like to share this service information to make their movement comfortable?

Most owners and caretakers agreed on making their occupants aware about campus2home services.

Findings1. Majority of female students/working professionals prefer PG over Hostels in Delhi region.

2. Occupancy rate of students is high during admission season of new courses. And during off season working professionals occupy the space in PG/Hostels as I find during my visits.

3. Mostly PG and Hostels have equal number of students and working professionals.

4. Potential customer for Campus2Home service are occupants who are paying 8K to 15K per month. Since they are paying enough money for comfortable stay at PG/Hostels they will also would like to have service which can comfortably move their luggage.

5. Big market players are not involved in such service like luggage movement of students and working professionals. So it’s a good opportunity for Safexpress to tap.

Continued..

6. April – May is generally the peak time, when students vacate their PGs and Hostels. And since they would be in need of such service, promoting our service just before this season will be beneficial.

7. Awareness level of Campus2Home service is very low (11 out of 136) among potential customers.

8. PGs and Hotels does not have any tie-ups with any logistics company regarding luggage movement.

9. Most owners and caretakers are convinced to share campus2home service among their occupants without any incentives.

Recommendations

1. The company should work towards improving awareness level of Campus2Home service using various promotional tools to tap the potential market

2. Service charges should be competitive enough to convert the competitors customers(Gati, DHL, Blue Dart, Railways,etc )

3. Most Hostels and Pg’s don’t have tie-ups with any logistics company. Hence Safexpress can easily tap this opportunity by having a first mover advantage. Data also suggests huge opportunity of tie-ups with PGs and Hostels.

4. Instead of merchandise, a small hoardings for the PGs and Hostels will result in much effective promotion. PGs and Hostels are present at a particular area and by providing them with hoardings will increase our brand awareness significantly.

Continued..

6. Complete tabulation of students exam date should be done. Promotion should be start one month before they leave, using merchandise.

7. Monetary (commission) or Non Monetary (Merchandise) should be given to the Caretakers and Owners in order to promote the service .

8. Tools like digital marketing and SMS can also be used for promotion.

Conclusion

• Campus2Home is very much active in premium institutes like IIT and IIM. But lack of awareness in PG’s and Hostels, so it’s a loss of an opportunity.

• Company should take immediate initiative to tap the market.

• The issue of awareness can be overcome by focusing on effective advertisement and promotion of campus2home service.

• Company has a strong domestic market and company can take advantage of goodwill and large network across India.

Learning from Summer Training

• Conducting a survey

• Patience is a virtue

• Unsaid corporate protocols

• Holistic learning experience

• Time Management