Eureka Forbes - The Direct Marketing Pioneer
|
|
ICMR HOME | Case Studies Collection
Case Details:
Case Code : MKTG022
Case Length : 11 Pages
Period : 1999 - 2001
Pub Date : 2002
Teaching Note : Available
Organization : Eureka Forbes Ltd.
Industry : Varied
Countries : India
To download Eureka Forbes - The Direct Marketing Pioneer case study
(Case Code: MKTG022) click on the button below, and select the case from the list of available cases:
Price:
For delivery in electronic format: Rs. 300;
For delivery through courier (within India): Rs. 300 + Shipping & Handling Charges extra
» Marketing Case Studies
» Marketing Management Short Case Studies
» View Detailed Pricing Info
» How To Order This Case
» Business Case Studies
» Case Studies by Area
» Case Studies by Industry
» Case Studies by Company
Please note:
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
Chat with us
Please leave your feedback
|
|
<< Previous
"The promise was clear: To create a company that wouldn't be about bricks, mortar or sales graphs, but driven by something far more potent. Something that would stand the test of time: relationships."
- www.eurekaforbes.com, on the company's direct marketing model.
No More Direct Marketing?
|
In 1999, Eureka Forbes Ltd. (Eureka Forbes), the leading vacuum cleaner and water/air purifier equipment company, announced a major policy change that came as a surprise to the Indian corporate world. The company, regarded as the pioneer of direct marketing in India, was planning to focus more on the retailing business in the future. Commenting on this decision, S Goklaney, Managing Director, Eureka Forbes, said, "Direct sales permits us to exploit only the top end of the market." This move was in accordance with the company's plans to increase the visibility of its products. The company planned to make its products available in retail outlets through its dealer network, spread across 2,600 dealers.
|
|
With this move, Eureka Forbes also planned to increase the sales revenue generated by the retail division. Eureka Forbes Senior Vice-President, Sales and Marketing, Palekar, explained, "While the dealer channel contributes 10% to the overall sales turnover of the company, the direct sales route contributes 75%."
|
|
The same year, in another major departure from the business practices adopted since it began business in India, Eureka Forbes announced its decision to enter the bottled water market. The company wanted to position itself as a one-stop shop for products related to providing pure water.
Industry watchers questioned this decision, observing that most manufacturers of bottled water were regional players and very few brands had an all-India presence.
Parle's Bisleri mineral water brand, the only national level player at that point of time, was expected to pose stiff competition to Eureka Forbes. |
Eureka Forbes - The Direct Marketing Pioneer
- Next Page>>
|
|
