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MM Project

Bambooz
Marketing
Strategy

Group K

Abhijit | Amit | Jatin | Kanishk | Mayank


| Shivendu | Shweta | Sri Harsha

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Executive Summary

The team has studied the market, created a repository of data to analyse, and initiated
a survey and Laddering interviews in to understand the North East Bamboo market

The team has also researched formulated strategies for the Positioning and Value
proposition and the promotional activities which need to be undertaken.

Creation of new product markets has been discussed enthusiastically and posed as a
result of the survey conducted

The SWOT analysis of the bamboo market for North East has been done which shows
the viability of bamboo business in North east.

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Overview

The estimation of the Bamboo industry across the world stands


at Rs. 100,000 crore (US$ 20 billion) in 2015
INBAR (The International Network for Bamboo and Rattan),
estimated the domestic market in 2012 at USD 35 billion
India, China and Myanmar together have about 198 lakh ha of
bamboo reserves - 80 percent of the world's bamboo forests
India's share is about 45 percent.

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Company Overview

Founded in 2010
Use of bamboo structures to create environment-friendly, green buildings
B2B customers-Offered bamboo based construction solutions to its clients,
which included companies in the real estate, hospitality and transport sector
Other popular Bamboo products for B2C-- bamboo skewer sticks, bamboo
chopsticks and waffle sticks used for barbecues.
The company had also started selling bamboo based products
Need to expand
The Problem
Scope for creation of new products
Product portfolio development- the needs and gaps in
the market
Pricing strategy
Promotion strategy- the right choice of channels to
communicate
Place- the SWOT of North East as a market

Positioning "BAMBOOOZ" in Green Construction & Product


sector (Furniture, Dcor etc) at Local & Global market
scenario

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5 C Analysis
Customers

Competitio
Context
n

Collaborat
Company
ors
Product Portfolio
Small Items
Kitchen Ware
Bamboo Mats Local Handicraft bamboo
Bamboo Mola products
Bamboo carriages and Small Artefacts objects like
baskets Coffee Mugs, Paintings etc.

Big items
Trendy and unique
design Sofa Sets This will help target a larger
Designer Chairs market and are not resource
Designer Dining tablesintensive. They can be
improvised to generate
additional revenue

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Green Construction Sector

Green Construction and Product Sector is a growing sector,


though in India it is growing at a pace of 2-3% annually

Major market is driven by Hospitality sector- which engages in


Ecotels, like KAMAT Group Orchid Hotel Chain

Market is very open to products and services like huts, canopies,


plazas, mats prepared using organic materials

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The Market Break up

Market Estimation

3908

3400
3265

2088
1950

1163
861
500 600
300 274

* In
Shoots Plyboard Plyboard for Trucks/Railways
crores
Bamboo Matboards Bamboo Flooring Pulp Furniture Scaffolding Housing Roads Miscellaneous (Pencils, Matches, etc.)
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Insights Laddering

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Minimum input to
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Values

Maximum output
Higher Self Esteem
Highly Desirable
Consequenc

Higher Visually
Hassle
Value for appealing
free
es

Money to guests

Good
Attributes

Insulator
High Light Easily Designs Classy
Durability propertie
Strength weight Available of Look
s
products
Insights- Survey

Analyse what are the kinds of market offerings

Bamboo product usage

The longevity of the bamboo products and

Associate reasons for such behaviour

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Insight- Target Audience
50.00%

45.00%

40.00%

35.00%

30.00%

25.00% Total

20.00%

15.00%

10.00%

5.00%

0.00%
<30 30-50 >50

The primary reason for this can be the availability of disposable income in the
hands of the people.

As the people in <50 category are mostly working and have a net income, are the
13 ones who are buying the bamboo products. So the target segment identified form
the above analysis is Income Earning people i.e. the working class age group
Insights- Income wise
Usage- Income wise
120.00%

100.00%

80.00%
No
Yes
60.00%

40.00%

20.00%

0.00%
Low Income Medium Income High Income

Majorly, only the higher and middle income segment are buying the products
whereas the lower income segment has a population which does not use any
bamboo products, neither small or big.

14 Better to target only middle and higher income category only


Insights- Product Usage

7%
Everyday Utility Artifact

Food Item
36%
57%

Bamboo Product Usage

Important to highlight as that it is the Local population which uses these everyday
products whereas it is Tourist mostly who purchase Artefacts.

Therefore, according to location of market i.e. a tourist site or non- tourist site, the
15 product category should be emphasised.
Insights- Repurchase Rate

8%

8-10 years
25% 10-12 years
>12 years

67%

Repurchase Time

The customers believe that the bamboo products live very long and
thus the people get saturated soon.The market is slow and it takes a
lot of time to consume the product prepared.
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Global Market

Offering Green Sustainable Housing Solutions

Huge potential for bamboo products in export market especially in


Europe, US and Japan

Market is too aware and eager to accept any Green products, the
demand for the products is high

The products targeted to sell are Bamboo flooring, furniture items and
everyday small utility items

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Positioning strategy

Complete Housing Provider of


Solutions in a Green
Sustainable Way
To provide a Point of Goods
Pitch the products
Difference for the like Bamboo Mats,
customer form the rest Bamboo Furniture
of the Housing Solution which itself are a
consideration set, thus high end niche
giving the company an product
edge over the
competitors

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Promotion
Above The Line
Marketing
Off-line
Marketing
I. Promotion through festive
merchandise and government
channels
II. Innovative workshops at leisure
resorts, ex eco-resort for innovative
use
III. Newspaper promotional
advertisement in regional and
national dailies:
IV. The idea though old, is very effective
in increasing brand visibility in locally
V. Pamphlet: This can be used to
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intensify and cater to a highly
Digital Marketing

I. Social Media sites


II. YouTube
III. effective utilised to showcase
the
IV. GOOGLE Ads -for promotion
they are an easy and effective
way of increase public visibility.
V. Online retail sites like Flipkart,
Amazon helps which the
company has already
integrated

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Pricing

The company should adopt a differentiated


pricing based on the Location
In Indian Market the company pricing objective
should be to prefer the Product-Quality
Leadership
The Chinese and European markets the objective
should be Maximum Market Share

21 Location Based Pricing


Pricing- Indian Market

Green Construction Real Estate Companies:


These companies in India are currently a very niche segment and their target
audience are high income group people
Company can set reasonably high prices and justify their pricing through the
high quality and design
Hospitality Sector
Tie up with the hotels which provide service of high quality, which enhances
the price perception of brand
Tourists
Large disposable income
Higher amounts for the sake of design and quality

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Pricing For Global Markets

The primary focus for these markets would be market


penetration

Large demand for laminated furniture, flooring and panels for


the industry particularly in the China and European Markets

Perceived-Value Pricing Model in the Indian Scenario where


as they should adopt Target return pricing in China and
European markets

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Promotional Pricing

For the low ticket items like artefacts and


souvenirs they can have special event
promotional pricing and can tie up with
corporates for the gifts given during special
events

For the hotels and real estate companies they


can offer Special Customer pricing to build a
long term relationship with the clients
SWOT of Bamboo Industry in NE

WEAKNESS

Low awareness of the


STRENGTH WEAKNESS
potential of bamboo
Importance of bamboo in Low awareness of the
potential of bamboo
Classification as a
the North East
Classification
forest productas instead
a forest
Versatile natural resource product instead of a grass
of a grass
Strong building material ! Operational difficulties
Operational difficulties
OPPORTUNITY THREAT

Recognition of bamboo as a Local competitor


substitute for wood
Wood
National Bamboo Mission
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Synergy

Easier and Cheaper sourcing of raw material which can be directly implemented

Impetus to B2B business as many small firms in this region rely on bamboo
structures for their offices and many other restaurants

Greater interaction opportunity with dealers who later can become important
sources of business in future

Improve its brand value as it will add to genuineness of the cause and action of
the business

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Thank you!

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