•  Fresco  is  the  Global  Leader  in  the  Air  Cooler  Market  with  35%  market  share  and  boasts  of  an  Innovative  &  wide  product  portfolio.    

•  India  contributes  10%  of  the  total  business,  but  profit  margins  remain  low  at  5-­‐9%  due  to  saturation  and  high  degree  of  competitiveness  

•  Fresco  has  developed  a  new  offering  in  the  form  of  Standing  Coolers.    

•  Fresco  faces  the  risk  of  rising  popularity  of  Air  Conditioners  and  from  companies  like  Pure4U  with  advanced  products  like  3-­‐way  Coolers,  which  have  a  growth  to  the  tune  of  150%  

EXECUTIVE  SUMMARY  

Target  Markets  •  There  are  1829  air  cooler  manufacturers  in  India  and  2814  in  China.  

•  In  India,  the  total  market  size  of  air-­‐cooler  industry  is  estimated  to  be  around  Rs.  2500-­‐3000  crores.  

•  Currently,  the  Indian  air-­‐cooler  industry  is  growing  at  a  strong  30  per  cent  rate  per  annum.  

•  Symphony  Limited  is  the  world  leader  in  air-­‐cooler  industry  with  a  strong  presence  in  over  60  countries.  

•  North  India  is  a  key  market  and  demand  is  whopping.  

• Me  consumption  -­‐  Chinese  are  starting  to  value  individualism  and  are  getting  brand  conscious  due  to  it.    •   Eco-­‐  friendly  -­‐  58.5%  of  respondents  stated  that  they  would  be  willing  to  change  their    lifestyle  to  protect  the  environment.    

•   Tech  360  degree-­‐Changes  in  lifestyles  today  make  people  more  dependent  on  science  and    technology.  Individuals  have  around  them  a  battery  of  hi-­‐tech  products  .  •   Free  Free??-­‐  Barters  ,discounts  

 

Trends  in  China  

       •  Temperatures  across  northern  

India  hover  around  115  degrees    straining  power  grids  and  causing  sporadic  outages  in  New  Delhi  &  states  of  Uttar  Pradesh,  Rajasthan  and  Haryana.    

•  Last  summer    Delhi  state  government  instructed  government  offices  to  turn  off  air    conditioners  during  peak  hours    

•  Our  strategy  involves    a    revolutionary  new  product  which  consumes  less  power  and  provides  relief  during  power  outages.  

   

•  Rather  than  developing  a  new  division  which  will  work  on  innovation  of  rechargeable  air  cooler    

•  The  company  we  recommend  to  acquire  is  the  cooler  brand  of  Sogo  

•  Sogo  is  the  leader  in  innovation  of  rechargeable  air  coolers  

•  By  doing  so  we  get  the  pioneering  technology  and  the  intellectual  capabilities  of  the  brand  

•  Presently  Sogo  rechargeable  works  for  4-­‐5  hours  

•  But  with  our  R  &  D    inputs  we  plan  to  increase  the  timings  to  7-­‐8  hours.  

•  It  works  like  a  normal  air  cooler  when  power  supply  is  there  

   

 

Rechargeable    air  Cooler    

Acquisition    

STRATEGY-­‐1  

 Introducing  products  that  are  customized,eco-­‐friendly  

and  also    adding  smart  air  coolers  

Establishing  supply  chain  and  factories    

Heavy  promo<on  and  branding  

Enter  Chinese  market  with  an  JV  with  Chinese  company  Tik    

4  YEARS  PLAN  

1st  Year   2nd  Year   3rd  Year   4th  year  

1-­‐2  months  before  launch  

1-­‐2  weeks  before  the  launch  

On  launch  day  

1-­‐2  weeks  after  launch  

Teaser  Campaign  

Preparatory  Campaign  

Launch  Activity   Post  Launch  

•  Viral  advertisements  

•  Wall  Paintings  in  rural  areas  

•  Distributing  hand-­‐bands  with  Fresco    logo  on  it  

• Placing  the  fans  in  tele-­‐series  like    Comedy  nights  and  Dia  baki  • Advertisements  in  mobile  apps  and  games  • Advertisements  in  local  bus  stops    • Launch  a  “Spot  the  brand  mascot”  contest  

• Press  conference  to  launch  the  new  range  of    air  coolers  • Launch  a  creative  writing  contest  on  social  media  • A  full  page  ad  in  all  leading  national  newspaper  

• Repetitive  television  advertising  • Ads  on  radio  and  billboards  • Use  panchayats  heads  to  communicate  the  benefit  of  the  product  in  rural  areas  

Activities  

Outcom

es   • Create  an  excitement  among  

people  • Number  of  hits  on  company  website  

• Should  become  a  part  of  prospective  customer’s  conversation  • Should  start  receiving  enquiries  for  the  air  coolers  

• Point  of  Sale  display  at  dealer  end  • Brand  awareness  among  people  should  increase  

•  Increase  in  footfall  in  the  stores    •  Increased  sales    • Number  of  people  who  visit  the  company  website  should  increase  

1-­‐2  months  after  launch  

• Continue  with  Television  advertising  •  Interactive  Hoardings  • Dedicated  presence  on  f  and  Twitter  • Undertake  cross  promotions  with  other  related  products  

Sustenance  

•  C o m p e t i t o r  reaction  •  C u s t o m e r  

feedback  in  terms  of   mail,   blogs,  etc.  

•  Press   response   to  launch  

Phase  1   Phase  2   Phase  3   Phase  4   Phase  5  

ADVERTISING  /PROMOTION  PLAN  FOR  STANDING  AIR  COOLERS  

% Disp.

Genre 20s SpotsSpends in INR

Lakhsof Inv.

GEC 167 68 34H Movies 244 19 9H News 534 20 10News 486 11 5NE 70 1 1Oriya 17 1 0Bihar 147 3 1Mah 299 6 3PHCHP 324 3 1MP-Cht 178 1 0WB 192 15 7AP 276 15 7Kar 121 9 4Ker 177 10 5TN 152 13 6DD 19 8 4

Total 3402.5 202 100

TV  

Total-­‐  2.2  crores  

Station No of City No of SpotsSpend in INR

Lakhs

Radio Mirchi 34 100 18Big FM 45 100 12Red FM 93.5 48 100 16Mantra 8 100 1.9Radio City 22 100 9Oye FM 7 100 1.7O'Lala 1 100 0.7Radio Mango 4 100 1.6Radio Club 4 100 1.8Vividh Bharthi 5 100 2Primary Channel 9 50 3.6MY FM 94.3 14 100 5Fever FM 4 100 3.3Friends FM 1 100 1.4Hello FM 7 100 2.2Total 80

RADIO  

 Total-­‐  0.8  crores  

ADVERTISING  BUGDET  

Ac<vity   Deliverables  

Facebook     •  Cover  Photo  –  3  revisions  •  Daily  Updates  –  2  nos  •  Profile  Picture  –  1  nos  •  Facebook  Timeline  Development  •  Upto  15  creaDves  to  be  made  from  scratch  on  the  account  

 

TwiFer  •  Profile  Skinning  and  revisions  –  3  nos  •  Daily  Tweets  –  2  nos  •  ProacDve,  ReacDve  replies  and  revisions  •  TwiKer  Tab  on  Facebook  (inclusive)  

DIGITAL  

Total-­‐  2.0*12  =  24lakhs  +  10  lakhs  promotion+gifts=  .34  

Sr. No City No of towns No. Of Units Sq. Ft. No. of Days Total INR Lakhs1 Maharashtra 53 91 41379 120 762 Punjab 30 75 8046 120 353 Karnataka 26 48 35496 120 534 Himachal Pradesh 11 11 2574 120 95 Gujarat 53 84 21750 120 456 Rajasthan 27 35 9624 120 217 Madhya Pradesh 52 70 14000 120 228 Chhattisgarh 13 16 4940 120 79 Bihar 33 33 6600 120 710 Jharkhand 18 21 5850 120 911 Orissa 29 29 6600 120 1212 UPE 56 70 23950 120 5013 UPW 24 26 5200 120 1114 Kerala 14 18 13590 120 2115 Tamil Nadu 27 35 16234 120 3816 Pondycherry 1 4 2129 120 617 Haryana 23 24 6038 120 2718 J&K 4 5 1000 120 919 Assam 23 24 8100 120 1820 Nagaland 2 2 400 120 121 Meghalaya 1 1 200 120 022 Mizoram 1 1 300 120 123 Manipur 1 1 200 120 024 Tripura 5 5 1160 120 325 Arunachal Pradesh 2 2 400 120 126 West Bengal 22 31 13480 120 2427 Uttranchal 14 28 5600 120 1028 Andhra Pradesh 34 44 24425 120 33

Total 599 834 279265 549

OOH  

 Total-­‐  2.8  crores  

The  selling  expenses  of  FRESCO  have  been  falling  to  virtually  no  selling  expense  in  2012  

For  the  same  year,  the  proportion  of  selling  expenses  of  Symphony  was  7.8%  of  its  sales  turnover  

To  support  the  suggested  ATL  and  BTL  marketing  we  suggest  3%  of  current  sales  turnover  each  year  to  be  spent  as  Selling  expenses  

Ø  Marketing  expenditure=  3%  of  161.12  crore=  4.8336  crore  each  year  Ø  For  Five  years=  19.33  crore  Ø  Expected  Sales  turnover  in  2017=  251.74  Ø  Return  on  Investment:    2.26  times    

IMPACT  OF  SALES