Sales & Distribution Assignment

Safari Batteries

Group No : 12

Group Members-
 Pankaj Thaman (2235360)
 Brijesh Kr Singh (2235359)
 Lankesh Madane (2235465)
 Mahadev Koley (2235440)
 Mukesh Kr Bhol (2235762)
 Case summary
 Safari Batteries manufacture Pencil Cells and ‘D’ Size batteries used in torches and
transistors.
 It is 3rd largest Manufacturer after Energy and Shippo.
 It also manufacture torches in brand name of “Safari”.
 Safari has 30% market share in ‘D’ type batteries.
 Distribution Objective for ‘D’ type batteries is based on the strategy of Increasing the Market
Share by providing batteries at lower price (Rs. 2) than market leader.
 Selling channel is by means of Whole sales and market Base is Rural for ‘D’ type batteries.
 They are not a significant player in Pencil Cell Segment which is about 30 % of total battery
market.
 Problem Statement
 Increase in Manufacturing Price due to Government Policies.
 Reduction in profit margins and profitability.
 Competitor and Market Leader has not increased its price.
 Change in strategy from Senior Leadership CEO – From Chasing Market Share to
Profitability not cascaded to ground level field force.
 Change of selling Strategy – From Commodity to Brand Building was not accepted by the
sales force which has lead to waste of huge investment done in sales of Pencil cell and retail
Business of ‘D’ cells.
 Possible Solution
 Rural Market:-
 Company has huge rural market and can increase the price in rural market w.r.t competitor.
 Need to Focus on distribution channel in rural areas such that batteries can be available in
retail outlet and brand building can be initialed at strength area.
 Urban Market:-
 Capturing of Urban market can be done by brand building.
 Providing a package to customer which includes “Torches + Batteries”
 Sales Force:-
 Behavioral Change has to come so that they are align with the companies policies.
 Training to sell the product in a different way i.e. for brand building rather than commodity
has to be imparted.
 Sales force need to check “Under Cutting” at the retailers in Rural market.
 Senior Management:-
 Increase and improve communication and feedback system.
 Need to work on reducing manufacturing cost.
  Market Matrix

Region Region #1 Region #2

Market Coverage Rural Urban

Competition Energy, Shippo Energy, Shippo

Market Share 30 % 30 %

Consumer Profile -
Market Potential

Product Modification Product Quality Level

Gaps via new features (Like wide (Like dischargeing and
range of input power) charging time)

Selling Strategy

Action Plan