5.

2 Insights of marketing mix of City Group (FMCG)

a. Product: The manufacturing process of City Group products is fully automated and untouched.
Its factory products made by advanced technology machineries ready to capacity fulfill consumer
needs satisfy and take care products in qualified manager. These industries products are unique
and different from any other company. These industries products are unique and different from
any other company. Teer and Sun Products have great technological support. City Group
maintains three criteria for their products. These are given below:
Quality: City Group (Teer Products) does not compromise with quality for this reason quality is
tested by BSTI, the registration no. DE 1972. Thai food specialists also test it. City Group used
forward invention for Soyabean oil to meet the need for the treatment of cardiovascular diseases.
Packaging: Packaging by full automatic machine and also untouched. Nice has also technical
collaboration.
Serving Size: Different serving size. These are @ 1Kg. Pack, @ 2Kg. Pack @ 1 litter , @ 2
litter, @ 3 litter,@ 4 litter, @ 5 litter, @ 8 litter.
City Group collects data from google, salesforce, agencies and social network to improve new
products to meet the upcoming needs of their customers.

Things to consider to develop to develop a new Product:

 Consumer’s Choice
 Target Market
 Available Customer’s
 Competitor’s activities
 Costs
b. Pricing: Pricing is very important to run a successful business. If the price will be high then
customers will never buy it, if the price will be low then it becomes harmful and turned the
company into loss. So for running a successful business every company needs to set a
reasonable or perfect price which will bring profit for both (Consumer and Company). They set a
reasonable price according to the competitors. Price analyzed is ultimate by City Group using
following methods:

i. Cost based pricing: Setting price according to the cost. At first they consider the
production cost. They charge based on overhead expenses and cost which include rent,
gas, electricity, logistics cost, shipping supplies, insurance, repairs and maintenance. City
group never goes beyond their price floor set by the directors.
 ii. Market based pricing: They set different prices for different market in case of some
products.

iii. Competitive pricing: According to the competitive companies’ prices. For example:
TEER Group always pricing their product less than 2% than the competitors.
Generally they follow competitive pricing strategy for most of the products though they have no
specific pricing strategy. At first they analyze the environment and then set the prices. The
employees of the company are not interested in talking about pricing strategy for security
purposes.

The prices of their current products:

1.Refined Teer Soyabean Oil: 119 tk per kg

2. Refined Natural Oil: 92 tk per kg

3. Teer Mustard Oil: 172 tk per kg

4. Wheat Teer Atta: 32 tk per kg

5. Teer Flour Maida: 45 tk per kg

6. Jibon Meneral Water: 20 tk per litter

7. Refined sugar: 58 tk per kg

c. Place (Distribution channel): City Group distributes its products through their existing
distribution channel which they develop and for this their objective is to supply the right product
in right place in right time. “Good product marketing depends on a good and effective
distribution network” they believe in these words and this is what inspires them to drive further
and further strengthen their distribution network.
City Group has an extensive array of distribution network in Dhaka and Chittagong though their
distribution system in others area of the country is not up to date with their competitors. It is
trying to extend its networks into all the districts of Bangladesh and supply theirs products to the
retailers, wholesalers and supermarkets on time. It looks further into the prospects of extending
its distribution network to all the “Thana” level and welcomes all prospective Distributors /
Dealers.
Each individual territory is taken care of well in advance by their employed territory managers
and their sales staffs are always there to assist their distributors with the demands.
Their products have been popular with the people of the country and with the overwhelming
demand. So they are furnishing themselves to meet the new consumer.
They hope to meet the consumers through their effective and efficient distributors and look
forward with effective planning and strategic campaigning to support their sales. “Only the
coming days will predict their quality” assured SM Toufiq (deputy executive).
Distribution Process of City Group:

Raw materials Suppliers

Factory

Products Produced
 Products Distribution in Warehouse

Supply to whole sealer & Retailer

Consumer/Final User

d. Promotion: City Group promotes all kinds of advertisements, which bring about uplift into the
brand scenario for the company. They promote various aspects of their products starting from
Paper to TV Commercials and various other forms of advertisements to promote their products.
For example: City Group and Meghna Group reduces the wholesale price of refined soybean oil
by Tk 5 per litre and sugar by Tk 3 per kg.

Source: https://unb.com.bd/category/Business/city-meghna-groups-cut-refined-soybean-oil-sugar-
prices/51081

The promotional mix which is followed by City group is given below:

 i. Advertising: The advertisement of Teer Products, Sun product, Jibon mineral water and
Bengal classic tea have been given in different TV channels and newspapers.

ii. Sales promotion: They operate different sales promotion like discount, coupon etc. For
example:
1. In January 1st they offer free sample.
2. 2. In Bangla New Year they also offer free sample.

iii. Personal selling: Man sales persons are working for personal selling.

iv. Direct marketing: The primary objective of direct marketing of City group obtaining a
purchase response from individual buyers. It provides a way to reach the customer on a
one-to-one basis

v. Public relation: They organize many seminars in different occasions.

A product is launched into the market through effective advertisements and will also bring about
a satisfactory return.
Currently they are promoting Teer Soyabean, Teer Wheat (Atta), Teer Flour (Maida), Teer
Semolina (Suji) and Jibon Mineral Water and Bengal classic tea.
Many activities may fit into the total promotion program including read shows, specialty
advertising (E.G. Imprinted calendars) Contests, point of purchase display, coupons, recognition
programs (award to value-chain members) and free samples. Expenditures for sales promotion
may be very substantial. Companies may direct their sales CITY GROUP distributed their yearly
calendar to the wholesalers, retailers through disturbers. Sometimes City Group offer incentive
program for their field force. They set special target for the field force and offering incentive
who achieve the target. It is a motivational activities for the field people. In different occasions
Teer
6. Recommendation
• Need to give more advertisement in TV, Newspapers & FM Radios.
• Organizing shows & conferences
• Sponsoring sports & different shows
• They have to focus more on Tele-marketing & Online-marketing
• Creating brand attachment
• Company should ensure large number of sales people in every district.

• They should start direct marketing practices very soon.

• They should arrange regularly seminar about the company.

• Recruitment of the sales people should be more efficient.

• Company should enlarge the logistic system.

• Company should upgrade their ware house system.

• Company should recruit energetic and enthusiastic and self-motivated people as employee.

• Company should increase its effectiveness and efficiency of production.

• Company should not Xerox another production system.

• Some brands like Bengal classic tea, Sun flour and sugar have lack of product positioning.
They should focus more on these brands