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Marketing Strategy Proposal 2011 to 2015 Objective: To achieve a sustainable 18% annual sales growth a at gross margin >50%

from 2011 to 2015.. SWOT Analysis Strengths of >bedrijf<: Motivated young market orientated and flexible staff Strong in "gut feeling", ad hoc marketing decisions Great success in China,. based on personal commitment Dedicated to small to mid size industrial customers Excellent personal relationship with existing customers, agents and distributors Flexible technical operation and supply chain Formulation expertise in industrial and deco paints Strong position in HMWD and Slip & Leveling Agent technology for industrial applications Excellent expertise in silicone technology Weaknesses Staff confused by the increasing need for defined processes and by the Ciba acquisition Missing data structure and info basis for sound marketing decisions "Full niche" in some major European countries, some signs of satisfaction Sub-critical presence in the Americas Mostly unfamiliar how to deal with large international accounts Global-sourcing concept Missing application facilities for automotive paint formulation No own de-foamer technology, no Solsperse approach Weak position in me-tools Opportunities Regional growth opportunities Unexploited in the Americas Continuous growth opportunity in Asia Unexploited customer segments Large international accounts Customers, which "love" BYK Unexploited markets Automotive paints Deco customers Ink and plastic industry Unused Ciba >bedrijf< synergies Formulation cooperation Market info exchange Joint projects Threads Good people leaving Technical Customer Service not sufficient for fast growth Continuously missing critical mass in the US Price war when >bedrijf< enters new markets BYK attacking HMWD business on price Controlled Polymer Technology introduction too slow Solspere entering the industrial coatings market Strategies Product/Positioning Strategies "Controlled Polymer" push Rapid market introduction of controlled polymers against all technical (polymer regulator problems) and conceptual obstacles (not developed for existing market needs, imposed by Ciba). Launch in Nuremberg

Learning through fast market feed back about advantages and gaps. Initiate completion of the product range "One stop shopping" concept for me-too products without price war Offering " me-too's" at realistic market conditions to customers, who buy already our specialties. Large customers expect, that >bedrijf< supplies the full product range at market prices. Concerns about >bedrijf< reputation are gone after acquisition by Ciba Improved period cost through filling empty capacity. (Me-too's have today > 60% gross margin) Strategy can be managed with BM and agents, no extra RTA capacity required DECO Strategy launch Push FAME family Problem solver in w/b and s/b (post ad) Dispersing agent for universal colorants Improvemt of base paints Emulsion Polymer version of E-4550 launch Diluted version of E-2550 launch Push products launched in 2012: E-6225, 6230, Synergist E-6746, S&L E-3299, 3600 series Regional Strategies Northern Europe Develop Europe Commercial growth initiative in Germany (one stop shopping) Develop UK concept Implement new set up in Benelux Southern Europe Commercial growth initiative Italy (one stop shopping) Develop UK concept Implement new set up in Benelux Japan/Korea Implement new set up in Japan/Korea USA Move >bedrijf< facility to Newport Intensify cooperation with Ciba back offices Joint projects at large accounts and in graphic arts Distributor for the Carolinas Asia >bedrijf< in China concept New industry Strategies Graphic Arts Continue implementation of product launch >bedrijf<-7000 series, began in 2002. Integrate activities of >bedrijf<'s and Ciba's BL I&I sales forces to accelerate results Develop technical information (and brochures thereof) to assist sales effort Train >bedrijf<'s sales force on Graphic Arts applications. Train >bedrijf<'s BL I&I sales force on >bedrijf< products. Actively market >bedrijf<-7570 and >bedrijf<-7575 as low-cost alternatives to Solsperse 5000 and 22000 synergist products. Further >bedrijf<-7000 series product introductions based on upcoming technical information and new developments from R&D Plastics Develop and launch a viscosity depressant in close cooperation with Kluthe Launch a newly developed Wetting agent for ambient curing FRP systems Re-launch E-8511 in close cooperation with Wientjes Develop working relationship with Boehme on Plastic additives Feasibility studies on adhesives and liquid colors Others Feasibility Study for gypsum and tile adhesives business Synergies with Ciba Establish a synergy team Ciba >bedrijf<

Joint Project for getting business at large accounts Exchange formulations expertise Exchange market information Marketing Tools Which tools are going to be used to promote: >bedrijf< in general The 3 specific industries New products

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