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PRODUCT

1. 2. Appliances division Power division

Appliances Division
Consumer Products: Air Conditioners (Split) Air Conditioner (window) Refrigerator Deep Freezer Compressors PEL Daewoo Television (Joint Venture with Daewoo Electronics Ltd.)

Competitor of PEL Appliances


Air Conditioners:

1. 2. 3. 4. 5. 6. 7.

General Daiken Waves National Dawlence Sharp LG

Refrigerator: 1. 2. 3. 4. 5. Dawlence Phillips Sharp Samsung LG Deep Freezer

1. Waves

2. Candy 3. Dawlance Television: 1. Sony 2. Phillips 3. Panasonic

Compressors:

1. 2. 3. 4.

dawlance Tecusah Embraco National

PLACE :( DISTRIBUTION )
Most Producer use intermediaries to bring their products to market. They try to forge a distribution channel a set of inter dependent organizations involves in the process of making a product or service available for use or consumption by the consumer or business user.

Channel Levels:
Disrtibution Channels can be described by the numbers of channel levels involved. PEL uses both of the two major Marketing channels. Direct Marketing Channel: Its a marketing channel that has a no intermediary levels. PELs power division uses this type of channels. Its major clients are large organizations and not the end user. So people from these organization directly contact PELs marketing department of power division when tenders are flooded, design, specification and price are discussed.

Indirect Marketing Channel:

It is a marketing channel containing one or more intermediary levels. PELs appliances division works this way. These products are sole through authorized dealer shops or PELs own outlets.

DISTRIBUTION SYSTEM:
Appliance Division: PEL has got a very effective distribution system that ensures the widespread supply of companys product through out the country for the sake of proper management.

Zone Northern Zone Southern Zone

Area Covered Punjab and N.W.F.P Sind and Baluchistan

REGIONS
The zones have been further divided in to six different regions.

Karachi Multan Lahore Gujranwala Rawalpindi Faisal-Abad

The distribution process at PEL Appliance is being looked after by the following personal. 1. National Manager Sales (NMS)

National Manager Sales (NMS) mainly responsible for watching the functioning of all Regional Managers Sales, Area Sales Officer and Sales Office at the National Level.

2.

Regional Manager Sales (RMS)

Managers Sales (RMS) controls sales in his specific region and is the connecting link of all area offices currently the company has two controlling operation in Multan Region.

3.

Area Sales Officers (ASO)

Area sales officer is responsible for making contacts with dealers product display and looking orders in his specific area. The company has at present seven ASOs Managaging operations in Rawalpindi, Gujranwala, Multan, Bahawalpur, Lahore etc.

4.

Sales Officers (SO)

Sales officer (SO) looks after the sale operation in particular city. Currently there are four sales officers two in Lahore, one in Faisalabad and Gujranwala each.

5.

Assistant Manager Sales (ASM)

Assistant Manager Sales (ASM) looks after the proper functions of sales in Southern Zone.

POWER DIVISION:
For Power product there are no particular personal to deal with the distribution. Sales procedure for power division is as follow.

Sales Procedure
Since the major buyer of PEL in Power Product is Government Sector, the sales procedure of Power/marketing department is quite different from Appliance/Marketing Department.

The main steps involved in sales/marketing procedure of Power Division are:

Bid Submission

Bid opening Bid Evaluation Letter of Indent(LOI) Billing

PRICE:
Power Division Pricing Procedure:

First the tender is received which shows the demand of the product. It is send to the production department. They make calculations about material cost, labor costs and Factory overhead, further taxes and duties are also calculated.

Investment is calculated Then gross margin is added. Gross Margin= Labor Cost + FOH + Profit+ Financial cost + Miscellaneous cost Financial cost is found out Term and conditions may be different in some cases.

Appliances Division Price Procedures


Sales tax, Octroi, excise duty is calculated above the cost of production. There is also a pricing trend depending on the models most demanded. Price is charged according to demand.

Consumer product forces also show seasonal, variation i.e., their prices raise during wedding season and before Eid-ul Azha and Eid-ul-fitar.

PROMOTION MIX

Pak Electron Limited uses advertising personal selling, sales promotion and public relations to pursue its advertising and marketing objectives.

Appliances Division:

To achieve the sales objectives To increase recall To restore the message in the customer mind.

PEL has different Advertising messages for different products.

Media for Advertising:


There are three types of media on which advertisement are given: 1. Electronic Media

In the electronic media, POEL is using PTV,STN, PTV World.

2. Print Media

National and local Newspaper Magazines and Periodicals

3. Out-Door Media

Normal Boarding Neo-signs

Incentive Schemes for Customer and Retailers.


For attracting dealers and potential customers, Pak Electron Limited (PEL use the Pull and Push Strategy. PEL dont have too many outlets and does its major selling through the dealers and retailers, some of the incentives given to the dealers are:

A Credit of 60 days. Rs.400/ set if dealer sells a certain amount of sets in six month. Pel gave a car to the dealers if they achieve the set target.

Air Conditioners:

Against the sale of 50 air conditioners discount is Rs.200/unit Against the sale of 50 air conditioners discount is Rs.400/unit.

Refrigerator:

For sale of 150 or more refrigerators, the dealer is awarded with a Dubai Tour. All above schemes are changing according to period.

POWER DIVISION Advertising


Since power division is involved in industrial or direct selling to some big customers, its Promotional and advertising strategies are quite different from appliance division.

Personal Selling:
The other promotional activity that the company takes on is personal relating company representative visit their existing and potential clients and describe the technical aspects and unique selling feature of their products.

Public Relation /publicity:


PEL tries to build its image among its consumers, personal and general public. This because reputation of the business in recent years considerably tansnished. Almost no segment of business has escaped the attacks of activities identified with the social cause such as consumerism, environmentalism, employees safety etc.

Management of (PEL) considers value of public relationing in promotion mix because It is quite inexpensive

Public relations can generated sale leads Public relationing has more creditability the advertisement

In so far as publicity is concerned (PEL) is not using promotional tool effectively, sometimes press releases are published but there is no as such publicity by PEL. However, some activity is taking place. That consists of sponsorships of school cricket teams. But more needs to be done about it.

PRODUCT:
PRODUCTS 1.
Air Conditioners 2. Refrigerator 3. Deep freezer 40 Single20 Liter to Spinner Without spinner /Computerized 4. 5.

Microwaves Washers

MODELS

Imported

(2) Above

National/Sharp Models

door/Twin 52 Liter.

Dawlance has an effective Product Development Division so they bring new and effective changes in their models. They claim that they have first introduces Anti-Moisture Tubes in their refrigerators, first introduced metallic sheet and have a very effective compressor having 5 pipes which give 100% results at 52 Centigrade. So they claim that they have strong R&D Division.

PLACEMENT:
Dawlance also use intermediaries to bring their products to market. Dowlance does not divide the customers into institutional buyer and business/consumer users. They sell for all and treated equally. Distribution channels can be described by the number of channel levels involved. Dawlance uses both of the tow major Marketing channels.

Direct Marketing Channels (No intermediary level) Indirect Marketing Channels (Containing one or more intermediary level)

Distribution System
Dawlance has got a very effective distribution system that ensures the widespread supply of companys product through out the country for the sake of proper management.

ZONES REGIONS / BRANCHES

Northern Zone 15 Branches all over the country.

Southern Zone

The distribution process at Dawlance is being looked after by the following personal.

National Sales Manager (NSM) National Sales Manager (NSM) mainly responsible for watching the functioning of all Branch Managers Sales, Area Sales Officer and Sales Office at the National Level.

Branch Manager

Controls sales in his specific Branch and is the connecting link of all area offices currently the company has 15 Branch Manager all over the country.

Area Sales Officers (ASO) Area sales officer is responsible for making contacts with dealers product display and looking orders in his specific area. The company has at present having ASOs Managing operations in all the branches.

PRICING BASIS

Sales tax, Octroi, excise duty is calculated above the cost of production. There is also a pricing trend depending on the models most demanded. Price is charged according to demand. Consumer product forces also show seasonal, variation i.e., their prices raise during wedding season and before Eid-ul Azha and Eid-ul-fitar.

PROMOTION MIX

Dawlance uses advertising personal selling, sales promotion and public relations to pursue its advertising and marketing objectives.
o o o

To achieve the sales objectives To increase recall To restore the message in the customer mind.

Advertising
Dawlance involved in both industrial or direct selling to some big customers, so its Promotional and advertising strategies are quite different from PEL because they also have some specific institutional buyers.

Media for Advertising


There are three types of media on which advertisement are given:
o

In the electronic media, Dawlance is using PTV, STN, and PTV World.

Print Media

National and local Newspaper Magazines and Periodical

Executive more focus and give priority to print media because viewer dont change the channels as adds comes. Out-Door Media

Personal Selling:
The Dawlances people claim that they have strong network of financial sound and technicalknowledge parties so their company representative visit their existing and potential clients and describe the technical aspects and unique selling feature of their products.

Public Relation/publicity:
First Dawlance tries to select those dealer and parties who have a strong relations and image among their costumers, personal and general public. This because reputation of the business in recent years considerably tansnished. Almost no segment of business has escaped the attacks of activities identified with the social cause such as consumerism, environmentalism, employees safety etc. Management considers value of public relationing in promotion mix because it is quite inexpensive public relations can geerated sale leads and has more creditability then advertisement. So far as publicity is concerned is not using promotional tool effectively, because they said that control the publicity massage at a certain level what effect it depends.

Dawlance have varieties of incentive schemes to its dealer and business parties so they can attract dealers and potential customer efficiently and effectively.

Cool Industries was established in 1973 and grew into a leading domestic appliance manufacturing company of Pakistan.

PRODUCTS
PRODUCTS 1.
Deep freezer 2. 3 4. Cold Bar

Refrigerator Air Conditioners

MODELS

Single door Double door/Glass-

Above Models

13 Cool Heat/cool Both

Plastic body (SMALL)

door

DISTRIBUTION SYSTEM:
Waves have got a normal distribution system that ensures the widespread supply of companys product through out the country for the sake of proper management.

Zone
Northern Zone Southern Zone

Area Covered
Punjab and N.W.F.P Sind and Baluchistan

REGIONS
The zones have been further divided in to following branches/ Regions.

Karachi Multan Lahore Gujranwala Rawalpindi Faisal-Abad Larkana D.G. Khan Sakhar Sahiwal Sialkot Bahawal-pur Peshawar

The distribution process at WAVES is being looked after by the following personal. National Sales Manager (NSM)

National Sales Manager (NSM)mainly responsible for watching the functioning of all Regional Managers Sales, Area Sales Officer and Sales Office at the National Level.

Area Sale Officer (ASO)

Area sales officer is responsible for making contacts with dealers product display and looking orders in his specific area. The company has at present 12 ASOs Managaging operations in all over the country.

Area Sale Coordinator (ASC)

Area Sale Coordinator (ASC) looks after the sale operation in particular city with the help of their ASO.

PRICING BASIS

Sales tax, Octroi, excise duty is calculated above the cost of production. There is also a pricing trend depending on the models most demanded. Price is charged according to demand. Consumer product forces also show seasonal, variation i.e., their prices raise during wedding season and before Eid-ul Azha and Eid-ul-fitar.

Having low prices as compared with Dowlence and PEL so they can increase the sales volume and because of this feature most institution Government deapartament have contract with Waves for example.

Institutional Buyers:
Pepsi Cola International Canteen Stores Department (CSDs) Coca-Cola Pakistan Be Be Jan Proteins Ltd. Pak. Fruit Juice Co.Pvt.Ltd. Hico Ice Creame Departmental storesWAVES

PROMOTION MIX
Waves also uses advertising personal selling, sales promotion and public relations to pursue its advertising and marketing objectives.

o o o

To achieve the sales objectives To increase recall To restore the message in the customer mind.

Advertising
Waves involved in both institutional or direct selling to some big customers, so its Promotional and advertising strategies are quite same as PEL because they also have some specific institutional buyers. .

Media for Advertising:


There are three types of media on which advertisement are given:

Electronic Media
o

In the electronic media, Dowlance is using PTV,STN, PTV World.

Print Media

National and local Newspaper Magazines and Periodical

Out-Door Media

Personal Selling:
The other promotional activity that the company takes on is personal relating company representative visit their existing and potential clients and describe the technical aspects and unique selling feature of their products.

Public Relation/publicity:
Waves have completive edge over dowlance and PEL because of its lower prices and having a strong relations and image among their institutions, costumers, personal and general public. This because reputation of the business in recent years considerably tansnished. Almost no segment of business has escaped the attacks of activities identified with the social cause such as consumerism, environmentalism, employees safety etc. Management considers value of public

relationing in promotion mix because it is quite inexpensive public relations can generated sale leads and has more creditability then advertisement.

PEL have also varieties of incentive schemes for institutions (customers) dealer and business parties so they can attract them on the basis of these pull and push strategies.