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Industry 2 Firm E Simulation Presentation

Industry 2 Firm E Simulation Presentation. Yunus Pehlivan Fatih Furkan KAYA Mert Onay. BRANDS. SEMI SELF SESS. Total Sales. Sonite Market. Total Market. Profit. SEMI. Overview of performance. Increase in revenue by approx. 150 % contribution margin rose by 2 17 %

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Industry 2 Firm E Simulation Presentation

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  1. Industry 2 Firm ESimulation Presentation • Yunus Pehlivan • Fatih Furkan KAYA • Mert Onay

  2. BRANDS • SEMI • SELF • SESS

  3. Total Sales

  4. Sonite Market

  5. Total Market

  6. Profit

  7. SEMI

  8. Overview of performance • Increase in revenue by approx. 150 % • contribution margin rose by 217 % • growth in marketshare among target customers from 34.3% • (P0) to 59.80% (P6) --> increase by approx. 75% Marketshare among professionals in P6

  9. Strategy • Segmentation • focusing on 2 segments  Professionals and High Earners • better understanding of customer needs • fine-tune product offerings • more effective marketing • Value vs. price decrease • Target customer are not price sensitive • Expect high-quality, high performance, easy to use products • offer value and no price decrease

  10. Porter’s generic strategy • SEMI focuses on Professionals and High Earner’s • advertisement targets to 75% Pros and to 25% HiEarners • Differentiation by fine-tuned products, good service Focus

  11. Salesforce • Number of salespeople employed was always above average • Periodical adjustment in accordance with growth of firm • Concentration on specialty and dept. stores • good service  high revenue

  12. SELF

  13. Segmenting,Targeting,Positioning • Initially, targeting and the price strategy was contradictory • Allocating percentages largely over Buffs, Singles and Professionals. • Ambiguous borders among the segments whose needs noticeably differ from each

  14. Segmenting,Targeting,Positioning • Trying to be all things to all market • Current inventory rises • Frankly, we were not sure whether to divest the brand or not. Maybe being profitable survivor? Why not exit? • Though, considerable amount of the revenue was coming from our brand Self due to high price($550).

  15. Segmenting,Targeting,Positioning • SWOT analysis • Competitors: SIBA($350/$171) of I and Sono($300/$226) of O • SELF($234/$400) • Value positions? Performance, price and relational? • Differentiation focus strategy • Flanking Attack Strategy

  16. Differentiation Focus • Following is the strategy, we have followed over the course of the simulation • Targeting solely concentrated over the Buffs who were shrinking in size (focusing on niches) • Repositioned the brand with respect to their ideal points (attributes,MDS) .

  17. Market Share of SELF

  18. Contribution by brand Self

  19. SESS

  20. What is SESS? • SESS is the new brand of our firm. • It is a product which is targeted for the Singles segment. • It had only one serious competitor. • It was in the market for 3 periods.

  21. Overview of performance

  22. Strategy • Why Singles segment? • Singles segment was fastly growing. • Only one brand to compete with. • Value vs. Price • Not the cheapest but the optimal product. • Creation of value through advertising. • Distribution and sales force focused on mass merchandisers where Singles do their shopping.

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