Professional Documents
Culture Documents
FENI
1
Marketing Strategies of BATB in the
Chittagong Region: Feni Market in
Focus
Submitted to
Assistant Professor
Institute of Business Administration
University of Dhaka
Submitted By
Numayer Alam
Roll No.57
BBA 8th Batch
Institute of Business Administration
University of Dhaka
Submitted on
2
06 June 2004
Dear Sir,
Attached please find the internship report titles “Marketing Strategies of BATB in the
Chittagong Region: Feni Market in Focus”.
I have done my internship in British American Tobacco Bangladesh (BATB) during a 3
month attachment period. I did the internship study as a part of my job as territory officer.
The report focuses on the marketing strategies under a special project of BATB in the
Chittagong region. I have explained all the reasons and philosophies behind the activities
in Chittagong and also formulated activity plans for the Feni market which is being
implemented.
I hope the report meets your expectation. I will be glad to answer any queries regarding the
study and report.
Thanking You
Sincerely,
Numayer Alam
Roll No.57
BBA 8th Batch
Institute of Business Administration
University of Dhaka
3
Acknowledgment
I am very grateful to my faculty advisor Mr. Syed Munir Khasru for helping and guiding
me a lot with the project. All through out the preparation of the report he has been
extremely supportive.
I would also like to thank my organization supervisor Mr. Sajjad Alam, Area Manager
Comilla, British American Tobacco Bangladesh for being a perfect mentor. He was always
eager to help and make me understand the practical implications of different activities.
Lastly, I want to thank the following persons for helping me in many situations regarding
the project activities-
• Mr. Shahzad Hossain Jishan, Territory Officer, Comilla
• Mr. Sanzid Alvi Ahmed, Territory Officer, Chowmuhoni
4
Executive Summary
British American Tobacco Bangladesh (BATB) is the one of the leading multinational
companies in Bangladesh and is the market leader in the tobacco industry. It leads the
industry with more than 50% share in the cigarette market. BATB manufactures and
markets some of the best intentional cigarette brands like Benson & Hedges, Rothmans,
John Player Gold Leaf and Capstan. They also have some local brands like Star Filter and
Scissors Filter. Among these brands JPGL and Star Filter are the driving brands for the
company. BATB is currently giving a special focus in these two brands regarding their
marketing activities.
This report comprises of the special and innovative marketing strategies applied by the
BATB in the Chittagong region of their trade marketing operation. A special focus has
been given to the activities in the Feni distribution market. In this regard, the detail
activities of Project Topedo, initiated by the marketing department of BATB, have been
described in this report.
The report starts with an overview of the tobacco industry of Bangladesh. The industry is
divided into two major markets-Biri Market and Cigarette Market. BATB operated
only in the cigarette market. Being the leader in the cigarette market, BATB face
significant competition only in the 1 taka segment from companies like Dhaka Tobacco
Industries and Alpha Tobacco Industries. BATB’s brand Star Filter shares the 1 Taka
segment with brands like Navy and Senor Gold.
BATB has a very systematic organizational structure with eight major departments-
Leaf, Marketing, Operations, Finance, Corporate and Regulatory Affairs, Human
Resource, Information Technology and Legal- with Leaf and Marketing being the two
most important departments. The marketing department works in twofold- Brand
marketing and trade marketing.
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Geographically, the trade marketing department operates in six regions- Dhaka North,
Dhaka South, Chittagong, Syllet, Bogra and Khulna. Among all these regions Chittagong
is the biggest region in terms of size and population. It is also by far the biggest region
in terms of industry contribution as the region contributes 29% of the total national
cigarette industry. Currently, Chittagong region is performing below par by holding a
38% market share as compared to BATB’s national share of around 50%. As a result
BATB has taken a special project in January 2004 named Project Torpedo with a view to
improve the business performance of the Chittagong region.
Project Torpedo focuses on some new marketing initiatives towards the target
consumers of the Chittagong region. These marketing activities will be implemented in
those markets in the Chittagong region where BATB has 30%-50% market share with a
view to get the market leadership by achieving over 50% share. Feni is such a market in
the Chittagong region. The project comprises of a set of marketing activities in specific
identified markets, to exploit maximum growth potential for BATB. Major issues for
BATB in these markets are weaker performance of SRF vs. Navy and slow up-
trading rate to John Player Gold Leaf (JPGL). Project Torpedo will address these
issues and build the base for sustainable growth.
Feni is the kind of distribution market where BATB has around 35% market share.
There is a very distinct opportunity for BATB to gain the upper hand in this market. The
two main brands for BATB in Feni are JPGL and Star Filter. There are different set of
marketing activities for both brands in specific target areas of the market.
JPGL activities include consumer contact, consumer engagement programs, JPGL brand
world experience through caravan, trade related activities etc. Star Filter activities include
consumer contact, consumer engagement programs, trade competition, Star World
experience, trade related activities etc. All these activities are meant to enhance and
ensure brand loyalty, conversion, up gradation and brand awareness. Overall, the
ultimate objective is to increase volume. Under Project Torpedo, the average monthly
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volume target of Feni market for JPGL and Star Filter is 12.2 million and 9 million
sticks respectively.
So far the impact of Project Torpedo in Feni is quite good. Till April, JPGl has
successfully reached the targeted volume in January and March. The progress for JPGL
is very promising and it seems that it will achieve the target at the end of the year. For
Star Filter the situation is not so good yet. So far during the four months, it failed to reach
the target in any month. It seems that it will gain volume in the second half of the year.
7
Table of Contents
8
4.4.3 The Leaf Department Organogram………………………………………...25
4.5 Finance Department……………………………………………………………….…26
4.5.1 Functions of Finance Department……………………………………….…26
4.5.2 The Structure of Finance Department……………………………………...26
4.6 Human Resource Department………………………………………………………..27
4.6.1 Activities of Human Resource Department………………………………..27
4.6.2 The Structure of Human Resource Department……………………………28
4.7 Marketing…………………………………………………………………………….29
4.7.1 The Structure of the Marketing Department……………………………….29
4.7.2 Brand Marketing………………………………………………………...…29
4.7.2.1 Brand Marketing Organogram……………………………………….…..31
4.7.3 Trade Development Team (TDT)………………………………………….31
4.7.4 Trade Marketing and Distribution (TM&D)…………………….…………32
4.7.4.1 TM&D Mission………………………………………………………..…33
4.7.4.2 TM&D Structure…………………………………………………………33
4.7.4.3 Trade Marketing Operation………………………………………....……35
4.8 Information Technology……………………………………………………………..39
4.8.1 IT Organogram…………………………………………………………….39
4.9 The Corporate & Regulatory Affairs Department (CORA)…………………………40
4.9.1 Structure of CORA………………………………………………………...40
4.9.2 Code of Conduct for Tobacco Marketing……………………………….…41
4.9.3 Activities of CORA………………………………………………………..42
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7.1 Project Overview…………………………………………………………………59
7.2 Vision of the Project………………………………………………………..……59
7.3 Objectives for 2004…………………………………………………………..…..60
7.4 Strategy…………………………………………………………………….…….60
7.5 Scope of the Project…………………………………………………………..….62
7.6 Framework………………………………………………………………….……62
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10.5.6 Trade Related Activity………………………………………………...81
10.5.7 Merchandising…………………………………………………………82
10.5.8 Field Force Competition……………………………………………….83
10.6 Activity Progress………………………………………………………………...83
Chapter 11: Result, Analysis and Findings 85
11.1 Sales Performance of JPGL…………………………………………………….85
11.1 1 Sales Performance of Target Hubs…………………………………...86
11.2 Sales Performance of Star Filter………………………………………………..86
11.2.1 Sales performance of Target Hubs…………………………………...87
Take Aways…………………………………………………………………………95
Annexure: Route Wise Sales Analysis of Feni Market
11
List of Tables
List of Figures
12
Figure 1: Relation between BAT and BATB…………………………………………08
Figure 2: Departments of BATB…………………………………………………….. 16
Figure 3: Organizational Hierarchy of BATB……………………………… ………..17
Figure 4: Production Process Diagram………………………….…………… ………20
Figure 5: Production Organogram…………………………………………… ……....21
Figure 6: Leaf Organogram…………………………………….………… ………….25
Figure 7. Finance Organogram………………………………….………… …………26
Figure 8: HR Organogram………………………………………..……… …………..28
Figure 9: Marketing Department Structure………………………………..…… …….29
Figure 10: Brand Marketing Organogram……………………………….…… ……...31
Figure 11: Trade Marketing Organogram………………………………………… …34
Figure 12: Trade Marketing Operational Hierarchy…………………… ……………35
Figure 13: Channel of Distribution………………………………………… ……….37
Figure 14: IT Organogram……………………………………………………………39
Figure 15: CORA Organogram……………………………………………… ………41
Figure 16: Geographical area of Chittagong Region…………………………………47
Figure 17: Market Composition………………………………………………………49
Figure 18: Price Segment in Different Regions………………………………………49
Figure 19: Competition in Different Region………………………………… ………50
Figure 20: Growth Trend of Chittagong Market……………………………… ……..50
Figure 21: Growth of Different Segment in Chittagong…………………… ………..51
Figure22: Volume Contribution – Yellow markets are the biggest ………… ………55
Figure 23: Sales Trend of Feni……………………………………………… ………64
Figure 24: Caravan layout……………………………… ……………………………72
Figure 25: Trade Related Activities……………………… ………………………….74
Figure 26: JPGL 2004 Sales Trend of Feni………………… ……………… ……….85
Figure 27: Sales Trend of JPGL in Target Hubs…………… ………………… …….86
Figure 28: Sales Trend of SRF in 2004……………………………… ………………87
Figure 29: SRF Sales Trend of Chagalnaiya…………………………… ……………88
Figure 30: SRF Sales Trend of Sonagazi……………………………… …………….89
Figure 31: SRF Sales Trend of Lemuya……………………………… …… ………..89
Figure 32: SRF Sales Trend of Kajirhat……………………………… ……… ……..90
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Chapter 1: The Research Study
1.1 Introduction
The report is tilted “Marketing Strategies of BATB in the Chittagong Region: Feni
Market in Focus”. The research is done as a part of the BBA internship program 2004 of
Institute of Business Administration (IBA). The study has been carried out in British
American Tobacco Bangladesh (BATB) under the direct supervision of respective
authorities within a 10 week internship attachment period.
The report covers an elaborate descriptive study on the marketing strategies in the
Chittagong region. BATB has taken a special project in order to enhance the business
performance of the region. The study is based on this project of the Chittagong region with
a special focus on the Feni Market.
14
Project Torpedo
Project Torpedo focuses on some of the new and creative marketing initiatives in the
Chittagong region with a view to improve the market share and sales volume. In BATB’s
term these activities are called as New World of Marketing (NYOM). Activities include
different trade promotions, channel development, merchandising, consumer contact and
event management. All these activities will be implemented on the basis of different
markets and target consumers. Currently, the activities under this project are carried out to
those markets in the Chittagong region where BATB has 30-50% share in the market.
From BATB’s perspective the main reason behind this is that they think the opportunities
in these markets are relatively higher and there is a lot of scope for gaining the upper hand
in these markets.
1.3 Scope
Content Dimension
The report will be prepared in two major sections- the first section will cover industry and
organizational overview; the second part will cover the research part giving an overview of
the Chittagong region, Project Torpedo and detailed activities of Project Torpedo in the
Feni Distribution Market. The whole dimension here will be of descriptive nature and the
implementation of the Project Torpedo will be stated.
Physical Dimension
All the marketing activities done under Project Torpedo is applicable only in the
Chittagong region. The detailed marketing activities will be described based only on the
Feni Market.
1.4 Objectives
The general objective of this study is to elaborate the new and creative marketing
initiatives taken by BATB and their implementation of these activities. The detailed
objectives are-
• To gain an understanding on the tobacco industry and competitive market scenaion.
• To understand the different functions of BATB
• To get an overview of the performance of the Chittagong region.
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• To get an overview of the Project Torpedo- the background of the project in
relation to the Chittagong region.
• To get an understanding on the importance of Feni market and the relation with the
Project Torpedo.
• Understand and implement the different strategies and activities to be performed in
Feni territory.
• To find the impact of the project activities up to date.
1.5 Methodology
As the study is of descriptive nature the data and information will be collected mainly
through interview method. Interview will be carried out with the following group of
peoples-
• Respective BATB employees
• Distributors
• Consumers and Retailers
1.6 Limitation
There is no such limitation that could be considered in such a descriptive study. The only
problem would be to understand or identify the proper impact of the project Torpedo with
duration of 4 months. The project started to implement in January 2004. The actual impact
would be estimated after 12 months. So it would be difficult to draw proper conclusions.
16
Chapter 2: The Tobacco Industry
17
Segment Price Range
Premium Tk.3.00-4.00
Medium Tk.2.00
Low Tk.1.00
Very Low <Tk.1.00
Gold Hill
Table II: Competition in Different Price Segment
• 83 billion sticks contribute to Biri Market. Recent trend shows that Biri market is
experiencing a declining trend.
• 35.5 billion sticks contribute to the cigarette market.
• 6.4 million adult male smokers comprises the industry.
• There 21 companies contributing to the industry with around 112 brands.
• Top 10 companies share 91% of the volume and 93% of the value.
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Chapter 3: Corporate Profile and Background
Based in England, British American Tobacco was formed at the turn of the 20th century
with the objective of establishing a worldwide business. British American Tobacco is
World's most global tobacco company. Today British American Tobacco sells the leading
brands in over 30 markets covering 102 countries, has more than 200 brands worldwide,
employs more than 55,000 people and produces some 2 billion cigarettes every day. More
than a billion people across the globe enjoy smoking tobacco. One in every eight chooses a
British American Tobacco brand.
In order to support the company's business goals the merger of British American Tobacco
with Rothmans International had been announced on 11 January 1999. This global merger
was completed on 7th June 1999. This brings together the number 2 and 4 players which
together will boast a combined volume exceeding 900 billion cigarettes around the world
with some 120,000 employees and a world-wide market share of 16 percent (Phillip Morris
has a 17 percent share). The merger is a major step forward in British American Tobacco’s
vision of becoming the world’s leading International Tobacco Company.
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according to BATCO regulations and BATCO looks after the management aspects of
BATB. BATB management is trained by BATCO and in many occasions BATCO sends
their management to work in BATB. BAT industries are widely known as BATCO has two
major divisions:
1. Tobacco Division
2. Financial Division
With the help of the following diagram we can easily see the relationship between BATCO
and BATB very clearly:
BATCO
AMESCA
BATB
Currently British American Tobacco Bangladesh is retaining 63% of the cigarette market
in Bangladesh. British American Tobacco Bangladesh is a sister concern of British
American Tobacco Company (BATCO). The cigarette division is known as “British
American Tobacco Holdings (BAT Holdings)", which operates in more than 78 countries.
"BAT Holdings" is a sister concern of BAT industries - a London based world famous
business house. BAT industries operate in financial services, paper manufacturing, and
tobacco sector. BATCO divided its cigarette operation in five regions. They are:
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• North and Central America
• Europe
• South America
• Asia Pacific
• AMESCA
BATB actually maintains a relationship with BATCO through AMESCA. It is actually a
region of BATCO to which BATB reports. AMESCA is made up of: A = Africa, ME =
Middle East, S= Subcontinent, CA = Central Asia.
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Investment Corporation of 26.99%
Bangladesh
Sadharan Bima Corporation 2.86%
Bangladesh Silpa Rin Sangstha 0.84%
Government of Bangladesh 0.65%
Sena Kalyan Sangstha 0.52%
Others 2.23%
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3.6 Physical Infrastructure
The infrastructure of the company has a broader field where the company plays its
important role. BATB has 6 Regional Trade Marketing Offices (RTMOs), 12 Regional
Sales Depots, 1 Factory, 1 Green Leaf Threshing Plant, 7 Leaf Depots and a Head office
consisting of Corporate Head office and Production Head office. The Company’s Head
office and Cigarette factory are located in Dhaka. A Green Leaf Threshing (GLT) Plant has
been set up in Kushtia and it has started operation from April 1995.
The company’s products are manufactured in the factory at Mohakhali, Dhaka. The Plant
Manager who reports to the Production Director at the Head Office heads Dhaka factory.
The company’ procures tobacco leaf maintaining the international standard and it imports
processed tobacco leaf for its international brands. It procures green tobacco from the
registered farmers of the leaf area mainly for it’s local brands.
The company’s authorized leaf areas are located in Kushtia, Chittagong and Manikgonj.
But bulk of tobacco leafs comes from Kushtia region. The Chittagong area is under
development process and it now covers Rangunia and Lama. The company operates 7 leaf
depots in he leaf area. 4 of them are located in Kushtia region, 2 of them are located in
CDA and other 1 is in Manikgonj, The company provides all sorts of supports to the
registered growers through its depot personnel. This includes technical know how,
agricultural inputs and financial assistance.
The company performs its sales and distribution operation all over the country through its
five regional sales offices. They are located in Dhaka, Khulna, Chittagong, Sylhet and
Rajshahi. Each of the regions is again divided into operational areas, each of which in turn
is divided into territories. To perform its sales and distribution smoothly, the company
operates 10 sales depots in different locations of the country and it has 63 authorized
distributors.
24
The company employs 1,244 permanent employees and varying number of seasonal and
temporary workers as required. Each permanent employee receives remuneration in excess
of Tk. 36,000 per annum. Remuneration depends on the nature and conditions of work.
There is a positive relationship between the company and the trade union based on mutual
trust and respect. All the employees of the company belong to the trade union. When a
worker becomes a member of the union, according to his request a certain amount of his
wage is deducted as the union subscription fees on a check off system. Trade union
election is held after every two years and governed by their respective constitutions. The
terms and conditions of services of the employee are negotiated and determined through a
process of collective bargaining between the company and the union.
25
• Volume leader in three key segments
• Leadership in distribution, trade relations and brand communication
• Optimize supply chain efficiency
• Leadership in corporate responsibility
• Create value through information technology
• Excellence in people development
Guiding Principles
• Open Minded
• Enterprising Spirit
• Freedom through Responsibility
• Strength through diversity
Values
• Achievement
o Vision: We understand what each of us has to do
o Map: We believe in our plans
o Consumer Focus: We live for our consumers
• Commitment
o Confidence: We expect to win
o Standards: We keep raising our standards
o Drive: We take responsibility
• Trust
o Teamwork: we have trust in each other
o Support: We learn from each other
26
o Belonging: we are proud of what we do
In line with BAT's environmental, health, and safety policy, the company is involved in an
afforestation program. The contribution of the company in afforestation program in
Bangladesh has earned recognition in the country though winning of the Prime Minister’s
Trophy in 1993. In 1998 the company distributed 3.5 million free saplings in Dhaka
through the Bonsai Nursery project. This program had caused more than 28.5 million trees
planted or distributed till 1998 and is expected to yield around 120,000 metric tons of
timber for fuel-wood, furniture making, or construction process in 1998 The Food and
Agricultural Organization (FAO) has awarded British American Tobacco Bangladesh for
pioneering the development of vegetable seed industry in Bangladesh. The company had
started its vegetable seed multiplication program in 1990 with the technical support of
FAO with a view to provide quality vegetable saplings for free distribution amongst
farmers in the tobacco growing areas.
Strength Weakness
• Physical Infrastructure and • Raw Material Wastage
Technological Advancement • Quality Issues regarding Packing
• High Quality International Brands
27
• Leadership in Key Price Segments • Lower market coverage than Dhaka
• Quality Man Power Tobacco Industries
28
Chapter 4: Organizational Structure
OPERATIONS MARKETING
LEAF FINANCE
BATB
Corporate
Headquarter
LEGAL HUMAN RESOURCE
CORPORATE AND
REGULATORY AFFAIRS INFORMATION
(CORA) TECHNOLGY
29
4.2 The Organogram
The organizational hierarchy of BATB starts with the Managing Director and Deputy
Managing Director. There is an executive committee in BATB which comprises of MD,
DMD and the Head of Departments. The organizational hierarchy is as follows:
Managing
Director
Deputy Managing
Director
30
Reasons for the difference: The market is the main reason for the difference between
actual and capacity output. Wastage is approximately 4% - 5% of the tobacco leaf used and
it occurs in three from namely - rejection, yield loss and accountable loss.
Raw Material Used: The following table summarizes the raw materials used for producing
cigarettes. The procurement sources are shown in the same table.
Raw Materials Source
Bulk Tobacco Locally produced in leaf
areas
Blending Tobacco Imported
Cigarette Paper Imported
Filter Material Imported
Packing Material Local
31
Cut Tobacco Store (CTS). The CTS has a 50-ton storage capacity and the tobacco is stored
there typically for one and a half days before it is used. The SMD brings in the processed
tobacco from the CTS as needed for production along with wrapping material.
Currently there are 16 cigarette-making machines at Dhaka factory, which are operated in
three daily shifts. Shift engineers and officer's monitor shift activities to ensure quality
production. The flow of tobacco and cigarette paper to the cigarette making machines are
regulated by six (programmable Logic Controlled) PLC controlled feeders. These feeders
send in the required quantities at the right time to ensure smooth production. Each brand of
cigarette is monitored by a separate feeder. In addition to the tobacco and cigarette
wrapping material, filter rods are fed into the machines for cigarette production. The
machines combine these three inputs to generate cigarettes as output. Defective cigarettes
are either identified manually or by built in sensors and removed from the production flow.
The tobacco from these wastes is removed and reused for cigarette production. The
manufactured cigarettes are deposited in trolleys and carted to the packing machines.
There are currently 18 packing machines at Dhaka factory. These machines are equipped
with the wrapping material used to pack the cigarettes. Almost all of the wrapping
materials used are imported. Local companies, however, conduct the printing work that is
required. The manufactured cigarettes are fed from trolleys into the packing machines,
which generate the packed cigarette as output. The flow is monitored closely to identify
and eliminate defective products.
In addition to the cigarette manufacturing and packing machines, Dhaka factory has two
Secondary Production Units (SPU). These are used exclusively to produce the State
Express 555 and John Player Gold Leaf brands. These modern production lines are
different from the other machinery in that both cigarette manufacturing and cigarette
packing can be conducted in one process flow. This reduces the time needed to manually
put the cigarettes into trolleys and cart them to the packing machinery. The SPU makes
approximately 8000 cigarettes per minute. Defective cigarettes are detected by sensors in
32
the machines and are removed automatically. In addition manual checking is conducted for
quality control purpose.
Conditionin
Lamina
g of Lamina
Mixing &
Conditioning of
Stem and
Lamina
Conditionin
Stem
g of Stem
Primary
Manufacturing
Department
Secondary
CSC and Ware Manufacturing
Shipment House Department
33
Figure 5: Production Organogram
Head of Production
Coordinating Officer
Manufacturing Quality Services Technical Development Procurement Security Manager Human Resource Manager: Operations Development & Planning & Logistics
Manager Manager Manager Manager Production Regional EHS Manager Manager
Coordinating
Officer
Material Procurement Material Production Training & Industrial Relations & Employee
Manager (Papers & Procurement Development Welfare Manager Relations
Spares) Manager Manager Officer
(Printing)
D Shift Manager
Maintenance Maintenance Maintenance Maintenance
Leaf Import Logistics
Engineer E&E Engineer PMD Engineer HL Engineer SC
Manager
E Shift Manager
C Shift Manager 34
4.4 Leaf Department
At the time of the liberation war in 1971, only 600 acres of land were used for the
production of cigarette type’ of tobacco. Major portion of the total local requirement of
cigarettes were imported from West Pakistan. Immediately after the independence, owing
to the shortage of foreign exchange, import had to be reduced. There was an urgent need
for increasing local production of tobacco. The sustaining efforts of the company and the
response of the farmers were so effective that the country became self sufficient in
cigarette tobacco by 1975. In recognition to that outstanding performance, the company
was awarded the President’s Medal in 1976. In 1996, the company purchased about 5500
tons of tobacco leaf from its registered farmers.
The Leaf department is involved in cultivating and purchasing flue-cured tobacco. BAT
does not do not own farmland nor does it employ farmers directly to produce the tobacco it
uses for cigarette production. Instead, each year the company registers thousands of
farmers along with their land, to grow and cultivate tobacco crop. The company provides
seed, fertilizer, and other loans to the farmers throughout the crop season to ensure quality
growth. At the end of the season BAT buys fixed quantities of tobacco from the farmers,
paying rates based on the grade of the crop. Tobacco growing and buying activities is
conducted throughout the country. The two main areas are Kushtia Leaf Division and
Chittagong Development Area.
35
The Leaf department makes an estimate of the quantity of tobacco that BAT will need to
purchase for the based on the input of the Sales & Operation Planning (SOP) committee.
Based on these estimates the number of farmers and the amount of land, which will have to
be registered, are fixed.
The leaf season begins in the month of July. At this time tobacco seedbeds are prepared to
generate the seed that will be distributed to the farmers for cultivation. Plantation in the
registered lands occurs during October and November. BAT provides the necessary
fertilizer, pesticides, and other loans to ensure proper growth for the crop. Farmers use
their own irrigation and plowing methodology to prepare the land. Harvesting and curing
begins at the end of January and continues till March. Almost 100% of raw tobacco is 'flue'
cured.
The buying process begins in mid-February and continues till the end of May. The farmers
bring in their cured tobacco in the form of bales to the buying courts in the depots. The
tobacco is graded according to set criteria and purchased at these sites. All relevant
information is marked on the bales and stored at the depots till shipment to the GLT.
At the beginning of the season the various depots distribute registration forms to the
farmers in its region. BAT strives to maintain an ongoing relationship with its registered
farmers. Information on each farmer is maintained at the depots through in-house database
software called Integrated Leaf System (ILS). On the basis of these records a decision is
made on whether to register the farmer for the following crop season.
Buying courts are located at the depots. The farmers bring their tobacco to these sites in the
form of bales on a specific day and time. At the buying courts the bales are graded, priced
and weighed. After the tobacco is bought and graded it is stored in the depot godowns;
each bale identified with its grade, weight, and price. These bales are stored in the depots
and moved to the GLT when needed for processing.
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4.4.2 Tobacco Processing
The Green Leaf Threshing Plant in Kushtia is used to treat the raw tobacco and convert it
to a form suitable for use in cigarette production. It is a seasonal factory operating for six
months of the year, on two shifts per day. The remainder of the year is used to clean the
machinery and make modifications as necessary.
Each tobacco leaf that is processed at the GLT is separated into four components- tip,
lamina, stem, and by product. At the beginning of the process flow, tips of the tobacco
leaves are cut off by a calibrated cutter. The leaves are then passed through the sand reel
where foreign materials and dirt are separated. The tobacco leaves are then proceeds to the
threshing line to separate the lamina from the stem by hitting the leaves. The separated
lamina are then dried and the re-dried lamina is then packed at a temperature of about 43
Degrees Centigrade with approximately 12% moisture content for storage. The separated
stem, meanwhile, moves to the stem dryer where it is re-dried for storage purposes and
then sent to the stem packer. The moisture content level of the stem is brought to around
12% at the time of storage. By-products are sold to the outside contractors.
37
Figure 6: Leaf Organogram
Head of Leaf
Export Leaf Leaf Social GLT Plant Leaf Finance Leaf Human Divisional Divisional
Manager Blender Projects Manager Manager Resource Manager Manager
Manager Manager (Kushtia) (Chittagong)
Shift
Manager, 1
Shift
Manager, 2
Area Leaf Leaf Officer Area Leaf Area Leaf Leaf Officer
Manager Manager Manager
38
4.5 Finance Department
4.5.1 Functions of Finance Department
Head of Finance
CORA
Finance
Senior
Internal Audit Budget
Corporate
Manager Manage Brand
Support Finance
Finance
r Marketing
Finance
Deputy Deputy Treasury Trade Finance
Corporate Corporate Manager Manager
Finance Manager Finance Manager
Leaf
Deputy Finance
Billings Taxation Product Treasury
Manager Costing Manager
Production
& Manager
Finance
39 39
The Supporting Finance managers, Audit Manager and Treasury Manager assist the
Head of Finance. The Finance Department comprises of six areas. They are:
• Treasury: Corporate (L/C opening, fund management, banking relationship
etc.)
• Core Finance and Management Accounts: Corporate
• Marketing Finance: Supporting
• Excise Management: Supporting
• Taxation: Corporate
• Audit: Separate
• Insurance: Corporate
The Core Finance and Management Accounts activities includes monitoring and
controlling all the Accounting and Financing activities of the company such as
product costing, invoice pricing, taxation etc. Audit Manager manages all the internal
and external auditing of the company.
40 40
It also settles with the trade union for Long Term Agreement (LTA) between
management and workers and the ‘collective burgeoning agents’. The concept behind
the industrial relations is always ‘win-win’ situation.
Head of
Human
Resource
Coordinating
Officer
Production
Training
and
Figure 8: Human Resource Organogram
41 41
4.7 Marketing
4.7.1 The Structure of the Marketing Department
Marketing is “The Department” of BATB. The marketing department has recently
been rebuilt by merging brand marketing and trade marketing. Earlier these two were
individual departments. But now with the “Power of One” theme the brand and trade
department has formed a very efficient marketing department.
Marketing Mission
We will grow to 60% volume share by 2010 while
• Owning IB (i.e.100%)
• Dominating ASU 30 (i.e. more than 60%)
• Leading DVFM (i.e. more than 50%)
Marketing
Trade Trade
Brand Development Marketing &
Marketing Team Distribution
42 42
Market intelligence includes the market research team. The team keeps constant eye
on the market situation. Through continuous research, market research teams generate
useful market information for the brand managers. Interface is required between brand
marketing and research which is carried out by any project that is divided by three
phases:
• Preparation prior to the study
• Collection and analysis of data
• Presentation and utilization of information
There are different sort of researches carried out in the field level for gaining
important information. For example, a retail census (RCS) is done on a yearly basis
that provides an elaborated list of cigarette selling outlets through out the country.
Also a retail audit is carried out bi-monthly every year to understand the market
scenario in terms of the own and competition brands’ reach, out of stock and selling
price.
43 43
Head of
Brand
Marketing
Coordinating
Officer
Brand
Brand
Assistant Marketing
Manager Intelligence Manager
Manager
JPGL
B&H
Brand
Executive
JPGL
44 44
1 54795+
2 27397-54794
3 13699-27396
4 5479-13698
5 2740-5478
6 1370-2739
7 548-1369
8 274-547
9 Below 274
• Permanent Merchandising
In store merchandising: e.g. Street Cabinet
On store merchandising: e.g. Fascia
Out of Home (OOH): e.g. Billboard
• Temporary Merchandising
Point of Purchase (POP): Bunting, Dangler, PVC
45 45
4.7.4.2 TM&D Structure
For the purpose of smooth distribution operation BATB has geographically divided
Bangladesh into regions, areas and territories. There are total six regions with 12 areas
and 42 territories under which the TM&D activities are implemented.
Following is the organogram of Trade Marketing and Distribution. The hierarchy
starts with Head of Marketing and ends with territory officer.
46 46
Figure 11: Trade Marketing Organogram
Head of
Marketing
Trade
National Sales Demand
Development
Manager Manager
Manager
RM RM RM RM RM RM
Dhaka North Dhaka South Chittagong Syllet Bogra Khulna
AM AM AM AM AM
AM AM AM AM AM AM AM AM
Eclips Comill Sylle Mymensing Borg
DN 1 DN 2 DS 1 DS 2 Ctg Rajshahi Khulna Barisal
e a t h a
TO- DS 1a
TO-DN TO-
(Alam)
1a(Agrani) TO-Comilla TO-Syt Metro1 TO-Bogra Khulna
TO- DS 1b
TO- DN 1b TO- TO-Syt Metro2 TO- TO-
(Alam)
(Agrani) Chowmuhoni TO-Syt Metro3 Rangpur Jessore
TO- DS 1c
TO- DN 1c TO-Chadpur TO-Srimangal TO- TO-
TO- DN 2a (Savar)
(Alpha) TO- DS 2a TO-Feni Dinajpur Kushtia
(Smah)
(N’ganj) TO-Barisal
TO- DN 2b TO-Ctg Metro
TO- DS 2c TO-
(Smah) 1 TO-
(N’ganj) TO-Mymensingh
TO- DN 2c TO-Ctg Metro Rajshahi Faridpur
TO-Tangail
(Tongi) 2 TO-Pabna
TO-B’Baria
TO- DN 2d TO-Ctg Metro
TO-Eclipse TO-Kishorgonj
(J’Pur) 4
DO-Eclipse TO-Ctg Metro
5
TO-
Coxsbazar
4747
4.7.4.3 Trade Marketing Operation
Head of Trade
Marketing
National Sales
Manager
48
The British American Tobacco Bangladesh considers the distributors as their
customers. They have identified the distinction between the ‘customers’ and
‘consumers’ in a proper way. Consumers are those who buy cigarette for smoking.
The Company sells their product to the distributors; in turn the distributors sell to the
retailers and cash & carry as well. Cash & Carry are nothing but wholesalers. Cash &
Carry are needed because at times the retailers may not have adequate funds to buy
the required quantity. However, the company is trying to discourage the use of these
wholesalers to control the price of their product in the market. Generally, the trade
marketing and distribution team performs three main activities, which are trade
coverage, cycle implementation and training & development.
Trade Coverage: Accumulating primary data from the market is a function of trade
coverage. There is a team working to identify retailers who contribute eighty percent
(80%) of their total sales volume. The Territory Officers (TO) are responsible for
making a route plan by which they can identify which outlets to visit and in what
frequency on the basis of those classes. The Territory Officers have to visit at least 12
outlets a day and collect raw data from the retailers on the call card in the Laptop
computer. A set of questions regarding the various aspects of the out lets make up the
call card. There is a database at the RTMO, which is updated regularly by using those
calls. This database serves as a powerful tool to identify and classify different outlets
in terms of volume sales, outlet characteristics and consumer profile.
Cycle Implementation: The marketing people of BAT have divided the whole year
into 13 cycles and each cycles focuses on a particular brand, Furthermore, the brand
marketing group along with trade marketing people develop promotional campaign
plans for each brand. They also select the brand for the cycle and develop cycle
instructions and send it to RTMOs. After that the trade marketing team develops some
objectives and implement those within their territory, which helps to follow the
proposal cycle instructions. The regional manager and the area manager(s) then brief
the TOs about the cycle objectives and in turn the TOs brief the distributor and
ultimately work with the retailers. In this regard the contract merchandisers generally
perform well to accomplish the TO’s job, at the end of each cycle, the TOs prepare a
cycle evaluation report.
49
Training & Development: To train the working people is one of the most important
jobs of any TO. They generally train the people working for the distributors, for
example distribution representative and also the contract merchandisers within his
territory. They also train the retailers about how to approach customers, if necessary.
The Marketing Department and the Production Department activities are highly
correlated. According to the needs of the Marketing Department, Production
Department carries out the cigarette manufacturing. The marketing Department
forecasts the sales volume of the different brand cigarettes for the coming business
year and based on this, prepare a marketing plan known as the Sales Operational Plan
(SOP). According to the Plan, Marketing Department communicates the brand wise
sales target for each month to the Production Department. Based on the SOP,
Production Department sets its production schedule. The inventories of cigarettes are
also evaluated at this stage to find out the actual output to be produced.
Channel of Distribution
Factory
Distributors
Consumer
50
Regional Go-down: There are five regional go-down through out the country to fill
every regional demand just at the time of need, and to overcome various uncertainties
related to physical distribution of products, every regional go-down is directly
controlled by separate Regional Manager to face the regional physical distribution
challenge.
Carrying Contractor: They are the party engaged in the physical movement of
cigarettes from head office godown to regional office godown. Normally they are the
truck owners who take all the risk and responsibilities of physical movement of goods
between two warehouses.
Distribution Warehouse: All distributors have their own warehouse, where cigarette
can be kept safely while not degrading its product quality. Distributors buy the
cigarette from BATB and from that point ownership and all responsibilities of the
products go under the distributors.
Internal Carrying Agent: They are like carrying agent but carry small volume of
products. Normally they are local truck owners. They carry products from, regional
godowns to distributor warehouses. They also take al the responsibilities and risk
engaged in physical movement of products.
Opening Stock at Distributors’ Office: Apart from the warehouse, every distributor
also maintains another stock at their office. This stock is for maintaining any change
in market demand instantly. Dealers sometimes sell cigarette through their counters to
face special situation.
Delivery Van: All the delivery vans are owned by the dealers to assure the supply of
cigarette on the door of wholesalers, cash & carries and retailers just according to
their demand. There are two types of delivery vans. One is Scooter van and another is
Rickshaw van.
Cash & Carry: They are businessmen who sell cigarette directly to consumers and at
the same time they sell cigarette to the retailers.
51
Retailers: Retailers are at the end of the physical distribution system of cigarette
selling products directly to the consumer.
4.8.1 IT Organogram
Head of
IT
Communicati Assistant
on & Group Manager,
Working IT
Manager Services
52
Three Local Area Networks (LANs) have been set up in the Head Office to channel
necessary information among the Head Office, main Factory and Kushtia leaf factory.
Three LANs are connected via a Wide Area Network (WAN). BAT has a private E-
mail network through which management personnel can deal with each other even
with the foreign suppliers.
53
of CORA.The Company Secretary looks after the legal sides of the company such as
trademark Protection, Infringement of Company Rights, Distributor Agreement, and
Trust Fund etc. He also looks after the share market activities of BAT shares.
The organogram is given below-
Head of
CORA
Coordinating
Officer
54
The guiding principles for the company’s advertising are stated below and for the
purpose of these principles, and adult is defined as anyone who is 18 years of age or
more.
1. Advertising is intended for, and will be directed at adult smokers.
2. Advertising will not be false or misleading.
3. Advertising will not make health claims about tobacco products or smoking.
4. Advertising will not depict the use of tobacco products as being important to
sexual success.
5. Any person appearing in advertising will not be younger, nor appear to be younger
than 25 years of age.
6. Where television and/or radio advertising is permitted, it will only be broadcast in
those hours when programming is primarily directed at adults.
7. Print advertising will not be placed in publications primarily directed to persons
under adult age.
8. Cinema advertising will not be shown during films directed primarily at persons
under adult age or at times when the audience is likely to comprise primarily of
persons under adult age.
9. No payment shall be made for the placement of advertising or tobacco product in
any film produced for viewing by the general public.
10. Advertising will not be displayed on billboards directed at or in close physical
proximity to schools or other facilities used mainly by persons under adult age.
11. Direct marketing, market research and sampling of tobacco products will only be
carried out with, or in relation to adult smokers.
12. Promotional items and premiums bearing tobacco trademarks will only be directed
at adults.
55
The department maintains good and continuous liaison with the media, government
and other pressure groups in order to protect its business image from any unwanted
situation in the context of prevalent anti smoking campaign, nationally and
internationally.
The company enjoys credibility with a majority of stakeholders for its transparent
business systems and as an honest taxpayer.
CORA is also entrusted with upholding the image of the company as a good corporate
citizens through a range of activity that include issue based relationships with key
stakeholder groups such as media, government and suppliers. The company’s
contribution to society as a whole is well known i.e. an afforestation program that has
seen 30 million trees planted in 20 years. This has led to it being awarded first prize in
the Prime Minister’s award for afforestation in 1999. International bodies such as the
FAO and the World Bank have recognized this program as an exemplary initiative by
a private sector company.
56
Chapter 5: The Brand Portfolio
BATB holds some of the most powerful international and local brands in the tobacco
industry of Bangladesh. The brands can be classified from two different perspectives-
57
Search”, “Live and Explosive” etc. banner. The demand of this product is largely high
all over the world. Very recently BATB has set up plants to produce it in Bangladesh.
BATB has started producing B&H in a large scale after the head office approves the
quality standard of the B&H cigarettes produced in Bangladesh. It is mainly the
processing part of ‘cut rag’, which is done locally. The copy line of the brand is ‘Be
Gold’.
Benson & Hedges Lights
The Benson & Hedges Lights is a new member of B&H family. It is a new variant of
the existing Benson & Hedges. It was first introduced in 1998 in Dhaka and
Chittagong. The objective was to give the smokers more options within the same
brand and to keep pace with the modern trend of smoking light cigarettes throughout
the world.
State Express 555
It is the profitable brand of the company. The 555 centenary celebrations took off in
the spirit of 100 years on 5-5-1995 when five planets were aligned. Bangladesh, like
many other countries, celebrated the introduction of the new centenary pack with
birthday parities special promotional events, and integrated advertising & promotion
activities. The copy line of the brand is ‘Smoothness Above All Else’.
John Player Gold Leaf
It is the leading international brand of the world. It is the cash cow and the key-
driving brand for BATB with the highest spending in brand support. 1995 was an
important year for John Player Cord Leaf as the brand was re-launched in the new
international pack. Given the importance of the brand for the company and the risk
associated with such change, the management of change process included four phases
to properly condition the consumer and the trade to the new pack. Specific materials
were use ahead of the re-launched to announce the change to the consumers and to the
trade. JPGL recorded strong growth in 1996. Investment in in-store and on-store
permanent merchandising ensured brand availability, quality image and showed
company’s favorable commitment towards the retail trade partners. JPGL launched its
first ever international sponsorship in 1996,with John Player Gold Leaf Formula 1
powerboat team competed in the UIM world championships in more than ten races.
The final race was attended by a delegation of Bangladesh sports journalists. Another
famous international promotional activity was ‘Voyage of Discovery’, which was a
long journey of a JPGL yacht that stopped at 12 international ports, lastly bringing an
58
end at Chittagong port. In June 14, 1998, the price of JPGL was increased from Taka
2 to Taka 2.5 and volume share reduced substantially with the invasion of transit
brand London. In December 16, 1999, the price was re-fixed at Taka 2. The ultimate
objective of the brand is to upgrade the low segment consumers into medium
segment. The copy line of the brand is ‘John Player Gold Leaf – Follow The World
Adventure’.
Star Filter
A new image for a promising future 1995 was an excellent year for Star Filter as the
brand demonstrated an outstanding volume and growth of share. This performance
was the result of a major blend improvement, supported through an appropriate
communication campaign, as well as the launch of a new advertising campaign with
the theme of The Flavor of tradition and modernity.
Scissors Filter
Scissors filter has been helping BAT to regain segment leadership in the medium
price segment till 1995, as the brand has experienced dramatic increase in volume and
market share. The brand distribution was gradually extended to different parts of the
country with the help of focused brand support, emphasizing on POS materials and
consumer promotions.
59
Chapter 6: Overview of the Chittagong Market
Feni
60
6.2 Administrative Structure: Area & Territory
Administratively BATB has divided the region into two areas – Chittagong and
Comilla.
Chittagong Area
Chittagong area has six territories in the area. A brief description follows:
Territory Containing Areas
Chittagong Metro 1: Halishahar,– the industrial zone of Chittagong district.
Chittagong Metro 2: EPZ, Airport, Agrabad – a mix of port, commercial &
industrial areas of Chittagong district
Chittagong Metro 3: Khagrachari, Nazirhat, Old town of Chittagong – Urban &
hilly areas
Chittagong Metro 4: Rangamati, Hathazari, Ctg University, Cantonment – Hilly
& Semi urban Areas
Chittagong Metro 5: Patia, Kaptai, Anwara – Semi urban & rural areas of
Chittagong district.
Cox’sbazar: Coxs Bazaar, Bandarban, Chokoria – Mix of Tourist city,
rural and hilly areas.
Comilla Area
Comilla has four territories in the area. All of them are a mix of town and rural areas.
Territory Containing Areas
Comilla Comilla town, Laksham, Chouddagram- Mix of urban and
rural areas.
Chadpur Chandpur town, Daudkandi, Shahrasti, Hajigonj- River port
and rural areas.
Chowmuhoni Choumuhoni, Maizdi, Lakshmipur- Mostly semi urban &
rural areas.
Feni Feni, Sitakundo, Swandip-mostly urban and rural areas,
highway based market.
61
15%
13%
Dhaka South
13%
Chittagong
Sylhet
18%
Khulna
Bogra
29%
Market composition in Chittagong is different from other regions. The resonsons are
stated below:
Firstly, unlike other regions Very Low is the largest segment in Chittagong. At the
same time the size of the biri market is smaller than other regions. This is due to
higher per capita income in Chittagong which has probably led to faster
cigarettization than the other regions.
100%
5 3 10 8 8
18 13
15 15
17 17
80%
20 20
20
60% 38
50
48 48
40%
46 58
49
20% 42
32 27
21 23
14 12
0%
DN DS Ctg B og Khl Syl National
3500 1000
3000
800
2500
2000 600
1500 400
1000
200
500
0 0
1999 2000 2001 2002 2003
63
DN 22% 12% -17% 7%
DS 14% 21% -3% 7%
Ctg 7% 29% 14% 16%
Bog 10% 51% 12% 12%
Khl 9% 32% 14% 10%
Syl 5% 26% 7% 14%
900 400
800 350
700 300
600
250
500
200
400
150
300
200 100
100 50
0 0
1999 2000 2001 2002 2003
64
Table XII: Segment Growth and Volume in Chittagong
65
stable. The main growth has come from either rural and smaller towns where it’s
share has remained smaller than National level.
Green Markets: Markets where BAT has clear leadership i.e. BAT Market share is
more than 50%. Comilla, Daudkandi and Sitakunda markets are green which together
contributes 20% of Region’s total Industry.
Yellow Markets: Markets where BAT has some base but not leadership. i.e. BAT
share is between 30-49%. Chittagong, Feni, Rangamati, Khagrachari and Laksam are
yellow and together they contribute 50% of Region’s total industry volume.
66
Red Markets: Markets where BAT lack leadership and competition has dominance
i.e. BAT share is below 30%. Choumuhoni, Chandpur and Cox’s Bazaar markets are
red. Turnaround in these markets will require long term investment.
21%
31%
67
48%
Figure22: Volume Contribution – Yellow markets are the biggest
68
registered higher growth in the Region. Star has also generated its due growth, but its
growth has slowed down significantly this year, particularly in Yellow and Red
markets. Moreover, in Red and Yellow markets, since it has been growing from a
very small base (hence, the growth rates are very high), Navy’s continued growth may
very well threaten Star’s presence in these markets, if it is not addressed immediately.
69
• Yellow markets are the markets where BAT has reasonable share but weaker
than total competition.
• Yellow markets provide the highest growth opportunity given their size and
competitive presence. BAT has already shown initial success in these markets
but due to heavy competitive pressure, competition is better capitalizing in
these markets than BAT. Without a focussed attention in these markets it is
deemed not possible to expand BAT’s presence in these yellow markets.
• Red markets are the one where BAT is smaller than the biggest competition in
terms of total portfolio volume. Competition is extremely aggressive in these
markets and significant effort and time will be needed to dent competition
strength.
• Project Torpedo has been designed and will be implemented from 2004 in
order to accelerate growth in yellow markets and gain the absolute industry
leadership (50%) by 2008.
• A pilot project for a selected red market would be developed and implemented
in order to prepare a business model to expand BAT business in markets
where BATB’s presence is significantly weaker than competition.
70
Chapter 7: Project Torpedo
Apart from this, Project Torpedo will also address weaker image perception of B&H
among Chittagong Metro Consumers and to device an effective turnaround strategy
for Red Market. The project will be rolled out in 2004 and it will focus on bringing
sustainable results throughout next few years.
Strong leadership: meaning total market share above 50%. BAT currently holds 38%
market share in Chittagong region.
Sustainable growth: will be achieved through a 2% gain in market share each year
starting from 2004. It has earlier been established that every 3% volume share gain
in Chittagong results in 1% national share gain. Therefore the volume gain in
Chittagong region should result in 53.9% national market share achievement.
71
Year Chittagong Region share National share
2004 40.8 50.7
2005 42.8 51.3
2006 45.8 52.1
2007 48.8 53.0
2008 51.8 53.9
7.4 Strategy
72
• Drive Brands for yellow markets will be SRF and JPGL based on individual
market’s nature and its primary issue/need. Activity of two brands and timing
of activities in these markets is carefully planned to avoid any overlap.
• JPGL will be the drive brand in metro and urban centres and SRF will be the
drive brand in semi urban and thana based rural markets.
• B&H specific image activities will be focussed on Chittagong metro city only.
3. Device focussed, high impact, brand specific consumer centred activity for
sustainable growth
• JPGL & Star focussed activities will be centred around specific forms of
consumer contact and events, depending on individual market’s need and
opportunity.
• JPGL & Star focussed activities will be rolled out in Blitz approach i.e. 3-7
days all out campaign to create desired impact in a market. This modality will
ensure meaningful impact over target consumers. Activities in general are;
o high impact 165 events and around 2,00,000 consumer contact among
JPGL franchise (consumers currently smoking JPGL) as well as SOBs
(Source of Business: currently smoking competition brands/lower price
brands) - to consolidate current position while accelerating up-trading
to JPGL
o high impact 360 events and around 3,00,000 consumer contact among
SRF SOBs that will generate switching from Navy to Star.
• Ensure sustainable growth after a blitz activity in a particular market through
regular support activities.
• Blitz activity will be repeated twice in a year in each targeted markets.
• B&H focussed activity will be exclusive, high quality consumer interaction
events in Chittagong that have been proven successful in Dhaka.
4. Generate strong trade support behind Star & JPGL through out the year
• Consumer activities will be backed up by trade loyalty program based on
necessity to generate push behind a particular brand.
• Sustainable relationship with trade will be developed and nurtured through
regular field force and brand promoters to maintain growth momentum.
73
5. Long term focused investment plan for Red markets to build leadership
• Implement phased activities in Red Market to build up reasonable base for
SRF- to turn it into yellow.
7.6 Framework
Regional Manager, Chittagong will lead the project. He along with senior members
from central marketing team will formulate strategies and provide direction and inputs
in action planning. Project Leader will shoulder overall volume and share growth
responsibility. Furthermore, a CORA manager will be part of the team for maximum
PR exploitation in target markets.
A dedicated implementation team (one Territory Officer and one officer from HR)
will be responsible for designing, detail planning, implementing and evaluating
activities in coordination with core functional team (Area Managers and Territory
Officers). Implementation team will be responsible for efficient and effective
planning and implementation of activities, in consultation with Core Team, as per
planned schedule. A team of contractual personnel will be employed to implement the
activities.
Core functional team will be responsible for identifying and prioritising markets,
support implementation by mobilising necessary Distribution and Trade Marketing
74
forces and resources behind the activities. They will be responsible for volume and
share growth of their designated markets.
75
The situation for SE555 is not appraising at all. The reason behind this is that most of
the SE555 consumers have been converted into B&H. As a result only a small scale
loyal consumer segment is left for this brand.
JPGL
JPGL is growing smoothly in the last two years. For the year 2004, Feni has target of
12.2 million average monthly sales. It is most likely that JPGL will continue its
smooth growth in the coming years.
Capstan
This brand peaked in 2003 and will grow even further in 2004. The regular supply of
this brand will enhance sales as the demand is still there in the market.
Star Filter
SRF is growing increasingly over the last two years. This brand will continue to grow
in the coming years because BATB is driving this brand in a mass scale with lot of
activities. Along with JPGL, SRF will be the dominating brand in Feni.
Scissors
Scissors has been established as a major brand in some specific markets. In Feni,
Bashurhat is one such market where Scissors is competing with Navy to lead the
market. Scissors experienced a growth in 2003 and has been stable so far.
14000
12000
10000 B&H
SE555
8000 JPGL
6000 CAP
SRF
4000 SSF
2000
0
1 2 3
Route
Route Details Navy Senor SRF SSF
No.
1 Mohipal 49% 14% 35% 3%
2 AB SSK, Hospital 61% 7% 28% 4%
76
3 Station Road 57% 13% 28% 2%
4 Trunk Road 52% 19% 26% 2%
5 AB Takia Road/Ranir Hat 54% 23% 21% 2%
6 AB Pachgasia/Lalpol 46% 30% 23% 1%
7 AB Chagalnaiya/Fulgazi 49% 21% 29% 1%
8 AB Dorbesherhat/Gunoboti 32% 7% 57% 5%
9 AB Kuhuma/Fazilpur 55% 14% 30% 2%
10 ABC Baroerhat/Sonagazi/Motigonj 15% 9% 74% 2%
11 ABC Heyaco/Ramgar/BoxMohammad 15% 13% 71% 1%
12 ABC Lashkarhat/Kajirhat/Shuvopur 45% 28% 24% 2%
13 ABC Kuthirhat/Munshirhat/Momtazmia 52% 30% 16% 1%
14 ABC Silonia/GM Hat/Lakkhiara 40% 35% 20% 5%
15 AB Lemuya/Porshuram 42% 40% 17% 1%
16 AB Sharshadi/Jagannath 20% 12% 65% 3%
20 AB 35% 18% 3% 43%
21 ABC 54% 13% 1% 32%
Bashurhat
22 AB 56% 19% 4% 21%
23 ABC 64% 14% 1% 21%
77
The torpedo activities in Feni can be divided into two parts-
• John Player Gold Leaf (JPGL) Activity
• Star Filter (SRF) Activity
JPGL Activity
There will be detailed marketing activities for JPGL. The activities will include
consumer contact, brand world experience, retailer engagement, trade promotion etc.
The detail plan of JPGL is stated later. For JPGL the target market in Feni main town.
The town will be divided into two hubs. In each hub there will be separate and similar
series of activities.
SRF Activity
The activities of Star Filter will include consumer contact, consumer engagement in
hotels, trade competition, Star world experience etc. The target market for these
activities will be the yellow outstation markets of Feni distribution market. The
markets are Chagalnaiya, Sonagazi, Lemuya and Kajirhat. The datiled plan is given
later.
78
Chapter 9: JPGL Activity Plan for Feni
79
of JPGL in
for sale our
business
a)Consume
a)Consume
r contacts
r contact a) JPGL
b) Trade
Brand
b) HoReCa engagement a) Superior
b) HoReCa Orientatio
engagemen event- Quality Brand
Engageme n.
t family communicatio
Modality nt
night n through
b)JPGL
c) Caravan JPGL flagship
c) Caravan volume
c) Festival outlet.
driven
d)Festival celebration
d) Festival promotion
celebration
celebration
80
SOB Franchise
81
9.5.2 Administration of the Activities
Two kind of BPs have been recruited:
1. Permanent BPs will be stationed in selected hubs. They will be responsible for
SOB contact and re-contact. There are 4 JPGL BPs for Feni.
2. Blitz BP travels with Caravan and after reaching a market contact JPGL
franchise of that hub. There are 10 Blitz BP.
3. HoReCa engagement event has been rolled out at this stage. 1300 already
contacted franchise and SOB were invited into HoReCa event.
4. Within a week of HoReCa event Caravan reached the market. Only 550
consumers had the privilege of enjoying the ultimate Brand world experience.
5. In this process, around 10000 consumers in two hubs of Feni will have some
form interaction with JPGL.
82
Horeca Campaign of JPGL
Objective
• Invite JPGL franchise and high potential SOB from HoReCa campaign.
Facilitate up trading for target SOB by giving them a convincing brand
communication and generate trial.
• Achieve 30% conversion rate
The Concept
• JPGL caravan is a bus with specially equipped audio-visual and computer
equipments. The bus environment is tailored to provide a complete JPGL
brand experience.
• The caravan will move between pre-selected hubs, as per a pre-fixed schedule.
• The bus will include six stations each fitted with a computer and screen
o Each station will have it’s own headphone and keyboard.
• Each consumer will be taken through an interactive audio-visual experience of
the brand focusing on five aspects
o Introduction to the brand world
o History of the brand
o Success in Bangladesh
o Product Message
o Cycle Message
83
Figure 24: Caravan layout
• The interactive aspect will come at certain steps where the consumer will have
to ‘cross’ obstacles thrown his way
o These could be questions/tasks that have an interactive element
o Four different types of packs could come on screen asking him to
identify the correct JPGL pack
o The pack elements might be appear on screen asking to point-and-click
and assemble the JPGL pack
• These will all be presented in a ‘high-tech’ manner with aural effects to
enhance his experience
o Give him something to talk about
84
• The interior branding will also be such as he has never seen before.
JPGL Caravan
Management Modality
• Invitation cards with two sticks in sampling pack (to facilitate trial) were
handed over to consumers by brand promoters (BP). Each event covers 550
franchise & SOB.
• Territory Officer managed invitation distribution in conjunction with BPs. The
site was decorated with POS.
• Selection of invitee from locality was ensured for smooth re-contact.
• Invited consumers were given a brief about caravan experience modality.
• The BP settled them in their station and the experience begins.
• Once experience is finished, he is given a leaflet that summarizes what he has
been through and helps him in spreading the word.
• There was one BP on that day to manage the consumers and one technical
person/BP who handled both consumers and software/hardware issues.
• At each site, local BPs were assigned beforehand to manage the crowd and
local issues.
85
9.5.7 Trade related activity
Objective of the trade related activity is to establish and nurture long term relationship
with the retailers to ensure support behind JPGL. Most supportive retailers were be
selected in phases and will be rewarded for their support. While designing support
activities, focus will be on trade recognition and relationship development activities
rather than sales competition.
Retailer
Festival
involvement
celebration with
through trade
DSD Retailer
contact
9.5.8 Merchandising
Objective of JPGL merchandising is to promote the international image of the brand
and maintain awareness through high impact visibility.
86
9.5.9 Field force Reward
Objective
To create winning attitude among the field force of selected Yellow markets.
Frequency
Once in every quarter
Modality
Step 1: At the beginning of the project, the field force will be briefed on JPGL to
increase their appreciation about the Brand. Torpedo objectives and their
responsibility will also be communicated.
Step 2: The field force members will win the prize on the basis of accumulated point
at the end of 6 months. Prize will be incremental for successful field force members.
Step 3: Base station TO will establish a competition where the point accumulation of
each field force member will be highlighted & updated on a regular basis.
87
Chapter 10: Star Filter Activity Plan for Feni
10.1 Volume
Monthly target 9 mln.
Hub 1 Chagalnaiya
Hub 2 Sonagazi
Hub 3 Lemuya/Samitirbazar
Hub 4 Kajirhat/Baktarmunshi
88
10.4 Activity grid
e) Festival
Greeting
89
10.5 Detail Activity Plan for Star
10.5.1 Consumer Contact
Consumer contact will drive relationship with the smokers, thus ensuring conversion
and loyalty. All the consumer related activities are interlinked and the consumers will
be rewarded in phases.
Competition &
Franchise
SOB
90
10.5.2 Administration of the Activities
Modality
• RDT members will identify potential switchers during his re-contact and invite
them through coupons to local HoReCa for the event.
• The HoReCa will be decorated and branded with SRFT POS materials to
ensure exposure the Star brand world.
• Once they come in, RDT members will treat them to free refreshment &
arrange sampling.
• The invitees will enjoy Star sponsored refreshment and get a SRFT discount
coupon from the HoReCa Owner
• By producing the coupon he can get 3 sticks of SRFT by spending only Tk 2
in surrounding outlet.
91
• RDT will engage targeted consumers in a simple puzzle game. If he wins, he
will earn the ticket to attend Star World program.
Objective
• Generate positive awareness of Star among the Tk. 1 competition smoker
• Generate trial among SOB smokers.
Target Consumers
ASU30 competition Tk. 1 brand smokers and SOB smokers (22,400 smokers will be
covered through 56 events).
Modality
• HoReCa puzzle winners will be invited to Star World campaign.
• There will be arrangement with local cinema hall owner/ community centre
owner to arrange show of the most favourite movie for our invited guest only.
• A small briefing about SRFT through an AV before the show and after
interval
• Providing 1 pack of SRFT 10ss while departing from the venue as a gift.
Security Measures
• Preparation & management of the event as per checklist (prepared in
consultation with Security team).
• Local security force will be deployed during the event.
• Ensure support from administration through distributors in conducting the
event.
Exclusive POS campaign in surrounding clusters:
Retailers around Star World event area (10 clusters/event) will have POS campaign
coverage using poster, bunting, banner and Roman banner to create an overall impact
among the smokers. A total of 560 clusters will be covered during Star World activity.
92
as per current cycle grid is – February, April & September. These will be based in
addition to regular Star cycle activity during premium cycle activity in the selected
Yellow markets having awareness issue. This POS bas campaign will be supported
through consumer contact and trade related activities.
Objective
To generate strong trade push behind Star to reward retailers for their support. Also to
create brand advocates among the retailers.
93
G Sticks
if
ts
800Points 25 Glass
2000 50 Hot Carrier
3000 75 Umbrella
4000 100 Radio
5000 125 Cup-Set
6000 150 Soup Set
7000 175 Dinner Set
8000 200 Blender
9000 225 6” TV
10000 250 VCD player
11000 275 14” B&W TV
15000 375 14” colour TV
10.5.7 Merchandising
a) Regular: To establish dominant presence of SRF, additional 2350 merchandising
units will be placed in targeted outlets of 28 Hubs. The distribution of these
merchandising will be based on volume share, and DSD coverage in target outlets.
Objective
94
To create winning attitude among the field force of Feni Distribution Market.
Frequency
Once in every quarter
Coverage
Distribution house Number of field force
Feni 48
Modality
Step 1: At the beginning of the project, the field force will be communicated the
distribution house target, their split and competition modality.
Step 2: The field force members will win the prize on the basis of accumulated point
at the end of 6 months. Prize will be incremental for successful field force members.
Step 3: Base station TO will establish a competition where the point accumulation of
each field force member will be highlighted & updated on a regular basis.
95
96
Chapter 11: Result, Analysis and Findings
12.50
12.00
Volume(in millions)
11.50
11.00
10.50
10.00
January February March April May
M onth
97
From the data below we see that in both the hubs the sales of JPGL have increased.
This is due to the result of the JPGL activities performed. A great hype and
excitement had been created about JPGL which has led to a significant amount of up-
gradation and brand loyalty.
800.00
700.00
600.00
Hub 1
500.00
Hub 2
400.00
Linear (Hub 2)
300.00
Linear (Hub 1)
200.00
100.00
0.00
January February March April May
Month
98
January 04 February 04 March 04 April 04 May 04
SRF 8802 8120 8305 7725 8935
From the figure below we see a slight declining trend of SRF. It is due to low sales in
April. But it is not significant because the sales of April were low due to less number
of working days.
9.50
Volume(in millions)
9.00
8.50
8.00
7.50
7.00
January February March April May
Months
Chagalnaiya
Chagalnaiya is showing good results in terms of activities performed and sales return.
Most of the planned activities under the project have been completed here. As a result,
the sales have been positively affected. An increasing trend is showing in the SRF
sales in 2004. Especially in April there was a bumper sale due to mainly trade
promotion. The sales are not stable yet, but there are still more activities to come
which will create more excitement among the consumers and trade.
99
Table XXII: SRF Sales of Chagalnaiya
300000
250000
200000
150000
100000
50000
0
January February March April May
Sonagazi
Among all the hubs Sonagazi has reacted most positively for SRF. As Chagalnaiya,
most of the activities are performed. The effect on sales is very encouraging.
Currently, the sales are showing a high increasing trend. It seems that the sales are
starting to stabilize from the month of May.
100
SRF Sales Progress 2004: Sonagazi
250000
200000
150000
100000
50000
0
January February March April May
Lemuya
In this hub, the consumer related activities is still at the initial level. Only the
consumer contacts have been made, the Horeca event is not done yet. As a result, the
excitement and hype has not been generated yet in this market. The sales are showing
slight increase. After Horeca event, it is likely that sales will rise further.
160000
140000
120000
100000
80000
60000
40000
20000
0
January February March April May
101
The situation in this hub is same as Lemuya. Consumer contacts have been completed
only. So far, slow increasing trend in sales are providing good signs. In the coming
months Horeca events and trade related activities will help to boost up the sales
further.
180000
160000
140000
120000
100000
80000
60000
40000
20000
0
January February March April May
102
Chapter 12: Strategic Implication of Project Torpedo for
BATB
First of all, the creative and aggressive marketing strategies used in the Chittagong
market calls for great amount market positioning. Each activity is designed and
customized according to the market dynamics. So the successful implementation of
these activities is very much essential to make an impact. The ultimate outcome of the
project is the sales volume. Strategically, if BATB does not get the result with this
project it would be difficult for them to capture the desired market at some later point
in time. So it is high time for BATB to grab the competitive edge in these yellow
markets.
Secondly, the critical strategic factor for BATB regarding this project is the additional
volume gained at the end of the year. The additional volume expected from the region
is as follows:
Brand Additional Volume from Yellow markets of Ctg.
John Player Gold Leaf 9 million/month
Star Filter 15 million/month
These additional volume is very critical regarding gaining the overall market share of
the region and thus to improve the national market share by 2% at the end of the year.
Thirdly, BATB is investing a lot of money in this project. 25 million Taka in one year
is a lot. So through out the year if the money is not utilized properly, the result will
not come. The potential is there in the market, under utilization of the fund would also
be failure in terms of not availing the opportunity. Therefore, proper utilization of the
fund is strategically very important for BATB.
12.2 Feni: Key Strategic Market for Project Torpedo
103
Feni is a very crucial yellow market for Project Torpedo. It is a market where BATB
has 25 million sticks sold in every month. So volume wise, Feni is a very important
market to invest on. The activities in this market are very well planned out as
mentioned earlier. If these activities give result, there will be a good amount of added
volume at the end of the year which will help to achieve the overall volume target of
Chittagong region.
The activities under Project Torpedo will put a significant strategic effect in Feni. The
main effects will be:
• Strong Consumer Base: After all the activities with the consumers there will
be a larger loyal consumer base for JPGL and Star Filter. There will be more
possibility of consumers’ attachment with the brand.
• Retail Support: Retailers will be very much supportive to the company in
terms of selling the brands and helping in the WOM campaign.
Overall, the activities will bring in some very strategic advantage in the regular
business operation in future.
104
Chapter 13: Recommendation and Conclusion
13.1 Recommendation
The marketing activities under Project Torpedo are mostly related to consumers and
retailers. The main modality behind all the activities is communication and relation.
So to make the communication more effective I think the following measures should
be taken.
Consumer Related Activities
• It is highly necessary to monitor the activities of Brand Promoters more
frequently. Whether the brand promoters are contacting the target consumers
with proper method needs to be monitored. Random visit by management in
the specific markets where BPs worked might be a good way of monitoring. A
• BPs need to be very careful and observant in selecting the right consumers for
re-contacting. There is no point is giving time to consumers who are hard core
brand loyal to competition brands. Rather, the BPs should target the
consumers who are more interested in their communication and shows sign to
get converted.
• BPs should focus more on consumers between the age bracket of 18 to 30
years of age. This age group can become the future opinion leaders and
permanent customer base.
Trade Related Activities
• Regarding the trade promotion activities, it is highly necessary to take the
correct Average Daily Sales (ADS) of the outlets. Because the volume target
given in the promotion will be based on the ADS of each outlet. So it is
important to collect the correct ADS to give a correct and achievable target to
the retailers.
• Frequent visit by management in the target markets is necessary to build good
relationship with the retailers. A strong relationship with a retailer can be a
very strategic advantage in gaining the volume share.
Merchandising
• The merchandising materials like posters should be placed in key transit point
and consumer gathering places. The visibility needs to be created regularly. So
105
in the target markets, placing posters regularly can become very effective
regarding strong visibility.
• Permanent merchandising materials should be placed in the target markets as
many as possible. The objective should be to get most number of outlets
branded with BATB product.
13.2 Conclusion
BATB being the market leader in the cigarette market is not complacent at all. It
continuously tries to enhance its business performance in every aspect. Project
Torpedo is such an initiative from BATB with a view to extend their leadership
further in the Chittagong region. Chittagong is a very lucrative market for BATB in
terms of its characteristics and potential. As a result, a huge investment in the form of
Project Torpedo is going on with great pace.
Feni is one of the special focuses under the project. As a market, Feni is improving
day by day. Under Project Torpedo, this market has gained a special focus and BATB
is very optimistic in winning and dominate this market completely. Successful
implementation of all the activities in proper manner will be key to BATB’s success
of Project Torpedo in Feni.
106
Take Aways
107
Annexure
Feni Market: Route Wise Details
Route 1: Mohipal
Route 1: Mohipal
400.00
350.00
300.00 B&H
JPGL
250.00
SRF
200.00
Linear (JPGL)
150.00
Linear (B&H)
100.00 Linear (SRF)
50.00
0.00
January February March
Analysis
• JPGL experiencing an increasing growth in this route. This trend may be an
outcome of the Torpedo activities and Rainbow effect.
• B&H has decreased due to the price increase in the month of February. But
sales has stabilized from March onwards.
• Star Filter is enjoying a steady situation in this route. Continuous focus from
DRs can sustain this steady growth.
108
Route 2: SSK, Hospital Road
400.00
350.00
300.00
250.00 B&H
200.00 JPGL
150.00 SRF
100.00
50.00
0.00
January February March
Analysis
• JPGL is showing a good increase in March due to torpedo activities. The drop
in February is due to less number of working days available.
• B&H is showed a stable situation regardless of the price increase. The March
sale was at par with the February sales-this shows a high retention of B&H
volume in this route.
• Star Filter is showing a variable picture here. The January sale was high due to
Eid and the February drop was due to the working days. This route needs
special attention from the DR level.
109
B&H SE555 RMF JPGL CAP SRF SSF
Dec 03 139.02 1.34 305.56 7.76 166.8 21.14
January 126.62 1.20 242.52 5.48 132.34 1.35
February 89.62 1.16 230.70 1.30 143.94 16.18
March 81.00 1.34 2.34 325.16 4.52 193.71 22.40
350.00
300.00
250.00
B&H
200.00
JPGL
150.00
SRF
100.00
50.00
0.00
January February March
Analysis
• JPGL experienced high growth in March.
• Star Filter growing consistently in this route. We need to get most out of this
growth by keeping special focus.
• B&H has showed good retention in this route compared to February sales.
110
January 153.60 0.29 301.00 159.00 18.00
February 93.30 3.10 215.20 148.00 14.60
March 108.00 2.70 3.90 303.00 170.00 4.10
350.00
300.00
250.00
B&H
200.00
JPGL
150.00
SRF
100.00
50.00
0.00
January February March
Analysis
• JPGL showing good volume in January and March.
• Star Filter is stable. Special drive is needed in the form of trade competition.
• B&H showed good performance in retention.
111
Route 5 AB: Takia Road/Ranirhat
300.00
250.00
B&H
200.00 JPGL
SRF
150.00
Linear (JPGL)
100.00 Linear (B&H)
Linear (SRF)
50.00
0.00
January February March
Analysis
• JPGL got consistent growth in these three months. We need to get maximum
growth before it reaches stability.
• SRF dropped in March significantly. DR needs to be briefed specially and
retail relation is highly necessary.
• B&H is performing very well in terms of retention. It is retaining about 80%
of January sale.
Route 6: Pachgasia/Lalpool
112
Route 6: Pachgasia/Lalpol
250.00
200.00
150.00 B&H
JPGL
100.00 SRF
50.00
0.00
January February March
Analysis
• JPGL and Star Filter enjoyed significant increase in March. We need to push
this growth further to establish our base.
• B&H situation is average in this route. Retention is quite good.
Route 7: Chagalnaiya/Fulgazi
113
Route 7: Chagalnaiya/Fulgazi
700.00
600.00
500.00
B&H
400.00
JPGL
300.00
SRF
200.00
100.00
0.00
January February March
Analysis
• Overall sales here are relatively stable here. The JPGL has shown slow growth
in first three months. Trade level activities can be effective to boost this sales
up.
• SRF is experiencing steady movement. I think that recent Torpedo activities
and trade competitions will increase sales in Chagalnaiya from April onwards.
This will help to create a firm base of SRF in Chagalnaiya.
• B&H dropped in March, but will stabilize automatically. WOM campaigns
needs to be continued regularly.
Route 8: Dorbesherhat/Gunoboti
114
Route 8: Dorbesherhat/Gunoboti
1000.00
900.00
800.00
700.00
600.00 B&H
500.00 JPGL
400.00 SRF
300.00
200.00
100.00
0.00
January February March
Analysis
• SRF is very strong in this route. But still the growth in March is not so
significant. We need to maintain full-proof distribution in this route. DRs need
to be very focused in covering every outlet.
• JPGL enjoyed good growth in March. We need to focus in maintaining this
situation.
Route 9: Kuhuma/Fazilpur
115
Route 9: Kuhuma/Fazilpur
400.00
350.00
300.00
250.00 B&H
200.00 JPGL
150.00 SRF
100.00
50.00
0.00
January February March
Analysis
• B&H has dropped significantly in March. Special attention from WOM
campaign in needed. Retail relation is also important here.
• SRF has dropped in March compared to February. We need to find out the
problem and go for trade level activities.
116
Route 10: B.Hat/Sonagazi/Motiganz
2500.00
2000.00
1500.00 B&H
JPGL
1000.00 SRF
500.00
0.00
January February March
Analysis
• Another strong market for SRF. Regained the January volume in March. We
need to maintain this growth and do some trade promotion to further increase
the sale.
• Extensive distribution needed for JPGL for further increase. Utilize the March
growth as communication.
117
Route 11: Heyaco/Ramgar/BoxMoh.
1400.00
1200.00
1000.00
B&H
800.00
JPGL
600.00
SRF
400.00
200.00
0.00
January February March
Analysis
• Special drive needed for JPGL growth. Trade level activities can benefit.
• Huge market for SRF. Need to maintain the growth.
118
Route 12: Las.Hat/Kaj.Hat/Shuvopur
600.00
500.00
400.00
B&H
300.00 JPGL
SRF
200.00
100.00
0.00
January February March
Analysis
• JPGL & SRF experienced mega sale in January due to Eid. Gain stability in
March. Need special distribution effort in this route.
• B&H slowing down, immediate WOM and retail communication needed.
119
Route 13: Kut.Hat/Mun.Hat/Mamtazmia
600.00
500.00
400.00
B&H
300.00 JPGL
SRF
200.00
100.00
0.00
January February March
Analysis
• Mega Sale of JPGL in January. Regained volume in March.
• SRF is stable. Maintain DR level focus in the route.
• Significant drop in B&H. Need immediate attention.
120
Route 14: Silonia/GM Hat/Lakkhiara
450.00
400.00
350.00
300.00
B&H
250.00
JPGL
200.00
SRF
150.00
100.00
50.00
0.00
January February March
Analysis
• Mega Sale in January due to Eid.
• JPGL gained huge growth in March.
• SRF needs special drive to gain further growth.
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Route 15: Lemua/Porshuram
500.00
450.00
400.00
350.00
300.00 B&H
250.00 JPGL
200.00 SRF
150.00
100.00
50.00
0.00
January February March
Analysis
• Good growth of JPGL in March. Increased volume than January.
• SRF is stable. More growth can be made in coming months.
Route 16
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Route 16: Sharshadi/Jagannath
900.00
800.00
700.00
600.00
B&H
500.00
JPGL
400.00
SRF
300.00
200.00
100.00
0.00
January February March
Analysis
• Significant decreasing situation of SRF. Needs to identify the problem
immediately and act as required.
• JPGL needs trade level activities.
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Route 20: Bashurhat Main
600.00
500.00
400.00 B&H
JPGL
300.00
SRF
200.00 SSF
100.00
0.00
January February March
Analysis
• JPGL and SSF regained volume in March. Need to continue this growth.
• B&H needs to be communicated to sustain the existing situation.
124
Route 21: Dagonbhuiyan/Bh.Hat/Chow.Hat
450.00
400.00
350.00
300.00 B&H
250.00 JPGL
200.00 SRF
150.00 SSF
100.00
50.00
0.00
January February March
Analysis
• Good volume in March. JPGL and SSF moving at par.
• Continue focused distribution effort.
125
Route 22: Dagonbhuiyan/Tulatoli
700.00
600.00
500.00
B&H
400.00 JPGL
300.00 SRF
SSF
200.00
100.00
0.00
January February March
Analysis
• SSF needs trade level attention
• Growth of SRF in March. Try to use this growth to establish a firm base.
126
Route 23: Chow.Bazar/Chaprashirhat
800
700
600
500 B&H
JPGL
400
SRF
300
SSF
200
100
0
January February March
Analysis
• Huge growth of JPGL in March. Try to maintain this by full poof distribution.
• Good retention of B&H.
• SSF needs trade level activities.
127