Japanese watch market overview

Japanese get a line securities indus approximate overviewResults for the m mavintary division ended March 31 appearance that watch gross gross gross r plainue at Japans Big Three watch firms slumped for the second consecutive category as the Great Recession continued to suppress demand for mid- valued watches. Nevertheless, the watch divisions at Citizen, Seiko and Casio re importanted utilityable. For the companies as a whole, only the Citizen Group storeyed a profit for year Seiko and Casio both reported losses.SeikoIn the watch divisions, the hardest hit was Seiko, ecclesiastic of Seiko, Pulsar, Alba and licensed brand watches watch sales fell 31 per centum to 64.5 gazillion yen ($693 million) for the fiscal year. Two years ago, Seikos watch sales totaled 117.2 billion. Since and so, they redeem f anyen a staggering 45%. Seiko straight off ranks third among the Big Three in terms of watch revenue. Seiko Holdings Corp. say operational income at its Seiko keep Corp . subsidiary change magnitude 38 sh atomic number 18 to 2.2 billion ($23.6 million). Unlike Citizen and Casio, Seiko Holdings issued no pedagogy discussing the financial results.Citizen make up ones mind and clock sales at Citizen Watch Co. fell 6.7 percent period in the fiscal year to 123.6 billion ($1.33 billion). Regarding the Japanese commercialize, Citizen said in a statement that the slow recovery in economic consumption and other(a) factors under normal economic conditions made for an exceedingly onerous sales environment in interpretericular for premium-priced results for the first three quarters of the year. Overseas, sales in Asia, mapicularly China, were plenteous and far ahead of the previous year, Citizen said. In the North Ameri heapentiometer commercialise, the extensivest for this business, difficult conditions continued done the first half, besides gave way to a faster-than-expected securities industry recovery in the second half and sales growt h for Eco-Drive and other high value added harvest-feasts, Citizen said. Citizen said sales at its Bulova Corp. subsidiary in the United States dropped for the year, although Bulova posted stronger second half sales due to increased sales of mechanical watches and other dissimilariated products.Operating profit in Citizens watch and clock segment rose 7.1 percent to 9.7 billion ($104.2 million).Casio sales of Casio Computer societys timepiece division fell just 2.8 percent to 78.1 billion yen ($839 million). sales of non-radio-controlled watches were affected by the harsh market environment in the first half, Casio said in a statement, provided sales of radio-controlled watches were strong, particularly Casios high-value-added brands such as G-Shock, Oceanus, and Edifice. Casio does not disclose the operating income of its timepiece division. Its overall electronics segment, which includes timepieces, reported a 19.9 billion loss ($213.8 million). However, Casio famed that tim epieces remained highly profitable.Watches represent only a portion of the sales of all three firms. At Citizen and Casio, watches unwrapperformed other divisions. crystalize sales for Citizen Holding Co. Ltd. dropped 14.9 percent to 252.5 billion ($2.71 billion). Net income for the Citizen Group remained stable at 3.5 billion ($37.6 million).Net sales for Casio as a whole dropped 17.4 percent to 427.9 ($4.60 billion). For the year, Casio reported a loss of 21.0 billion ($226.0 million). Casio said the primary cause of the loss was a sharp decline in sales of cellular phones.Net sales at Seiko Holdings Corp. increased 33% to 230.7 billion ($2.48 billion). The increase, however, is due entirely to a reorganization of the Seiko Group in October that made Seiko Instruments Inc., one of the groups devil major(ip) manufacturing units, a subsidiary of Seiko Holdings. SII added 85.0 billion ($913.6 million) to Seiko Holdings sales. Without SII, Seiko Holding sales would perk up decline d by 16 percent for the year. Seiko Holdings reported a net loss for the year of 3.6 billion ($39 million).Big Three Watch Sales 2006-2010(billion yen)Citizen SalesCasio SalesSeiko SalesPurpose of merchandise political programThe purpose of written material a marketing plan is to give a detailed report of our new product in the market. Starting from product attributes, finding our desirable put markets, the benefits that our target nodes allow for get, selecting appropriate distribution bestows to define our product tardily accessible, studying the current situation analysis of our target markets, analysis of our competitors, and the ratio of market which they nurse captured.Designing a marketing mix, determine st appraisegies, marketing object lenss and accordingly making marketing strategies.Mission statementWith in this in brief span of time we pursue a crap gained a good article of let the cat out of the bag by giving better fibre durable products. Innovativ e, modern, classy atomic number 18 all descriptive traits that exemplify Integrals design.Dreams and ideals crowd outnot be realized by pie-eyeds of conventional ideas and technologies. Thats why our approach to development is to set a challenging goal and tackle it from every(prenominal) possible perspective-until what simply sham be done gets done.We Updates you with time Company profileCompany hold beano Watches. marketing object for reason magnetic disk WatchN$B3MR. Uzair Zaheer is CEO of the companion.MR. Aamir Latif is Manageing take inor of the company.MR. Majid Ali is GM of the company.MR. Arslan Khurshid is Marketing Director.Company product name is queen discus Watch.Status of the companyBingo started their business in 2001 from the major cities Lahore,Islamabad, Karachi and for the past five years our company hasbeen of producing following productswrist watches(Digital and Analog)Fancy wall clocks (Digital and Analog)With in this short span of time we star t gained a good word of mouth for our quality products which we confirm been producing according to the market likings.Now we be about to launch a new innovative, ground breaking, new unique product in the market which is currently not available so we atomic number 18 having no competitors for our new product called kingDisk Watch.Market positioning of the companyMarketing see for former Disk WatchN$B4Our company mainly foc utilise in Pakistans market, our products argon being used in Pakistan. The good exit of our products is high in the market. As a result of market survey we have a large quantity of liege guest as healthy as electromotive force liveumers. on that engineer is continuous communication with the node (promotion) to increase the quality and achievement of existing products. On the basis of past experience in that respect atomic number 18 good expectations with the new product Power Disk Watch.Product Attributes strap and chain strapsThis product pass on be available for guests in accepted leather andchain (titanium) straps depending on watch sit around.Mp3 exemplifyerIt has a build-in MP3 medicament player which depart be an exciting step forfun lovers of opposite ages.Voice enrollerWatch overly has the ability to record vocalize messages, theres a slender, very radio sensitive microphone at the bottom of the watch. It bear be used as a spy rec crop.Built-in proportionThere is a built-in equalizer in this product which go forth enable the users to switch to several(predicate) modes of built in equalizer for e.g. rock, soft, pop, dance, classic, flat repositing space BatteryMarketing invention for Power Disk WatchN$B5Build-in 170mAH, 3.7V Hi Li-ion re spudable battery. Depending on the model its memory space varies i.e. 128MB, 256MB, 512MB, and 1GBNight modeWhen it turns dark the watch arms and buttons automatically startsglowing so one tramp easily operate.Weight SpeedWeight of the device is 50-80g (Va ries with design and shape) andthe speed is USB 1.1 (Max 5Mbps). concentrate bit rateSupport bit rate is 32kbps-256kbps.Light indicatorsIt has different indication lights to indicate charging, Mp3 playeron/off.Play time exploitation this watch users can play continuously for 1012 hours. trunk supportWindows 98 or above.Different formatsMarketing blueprint for Power Disk WatchThe watch handles different formats like MP3, WMA, and WAV filesfor play brook.Plug and playFor windows above 98 there is no acquire to install device driver just plugand play.Steps of Marketing plan1) Situational Analysis1) micro Environment2) large environmentMicro EnvironmentMicro factors are the factors that directlyly influence our company. The main microfactors are1Intermediaries (Suppliers / Distributors)2Customers3Competitors (direct / indirect)P o te n tia lE n tra n tsS u p p lie rsB u y e rsS u b s titu te sIn d u s tryMacro EnvironmentMarketing device for Power Disk WatchN$B71)-Demograhic Envir onmentDemography is the study of human state in terms of age, gender, householdsize, family life cycle, education and population age mix.Pakistan is one of the 3rd world countries with a population of 15.50 billion out of which 48% are males and 52% are females. 55% of the population involves in agriculture. The literacy rate in very low i.e. 39% and population rate is 2.3% annually. Most of the population lives in rural areas but migration rate is high. The per cap income is $480 per person annually. Lahore is one of the largest cities of Pakistan. The target of our watch is young generation aging from 20-35 but still watch is being used by guys as well.2)-Economic EnvironmentIn third world countries, a large part of the income of people is spent on the basic needs, so its the most sensitive environment where the income level is low, middle class is shrinking, wealth distribution is unequalised and saving rate is low. The people are either very gamy or very poor. And their cons umption behavior varies accordingly.3)-Technological environmentIn Pakistan, there are less opportunities of innovation are available due to the lack of research. However it also depends on the companies that how much they prefer the research and customer feedback. Keeping in view the target market, our company has to look for opportunities or else then wait for them.4)-Geographical EnvironmentThe population level is high track 160 million. The growth rate of the customeris expected to have an increase trend.5)- kind cultural EnvironmentTraditionally youngsters have more interest in music. This basals more consumptionof watches then from older ones.Marketing see for Power Disk WatchN$B86)-Legal and policy-making EnvironmentThere are no restrictions for the new entrants. Govt. is supporting us by providing exemption of sales tax for 2 years to show their commitment towards welcoming new investment.Factors influencing consumer demoraliseing behaviorThere are numerous factors that influence the consumer buying behavior directly. Thesefactors are1. Cultural factors2. affectionate factors3. Personal factors4. Psychological factorsCultural factorsAs far as we are concerned we will target Lahore market at first. The people reinforcement in Lahore are good looking and they spent major part of their income in shopping. When we talk about watch many customers are not really satisfied with their existing watches. Thats where we are focusing atSocial FactorsSome people get inspiration from reference groups and they use the same products astheir reference groups are using.Personal FactorsAge factor affects the consumer buying behavior. Mostly young generation usewatches to improve their outlook.Economic conditions have also a bit effect on consumer buying behavior. wad withhigh income never hesitate to spend the money on fetching care of their out look.Marketing Plan for Power Disk WatchN$B9Competitive FactorThere are basically three types of disputation1. B rand disceptation2. Form emulation3. Generic competitionBrand competitorsBy brand competition we mean competition between different manufacturers who hunt down done or tend to satisfy similar need by providing Similar product. In our case our direct brand competitors are1. Rolex2. Casio3. Swatch4. Raymonds wellForm competitorsBy form competitors we mean the competition between manufacturers which willsatisfy the same need but the products that they offer are different.Our form competitors are1. Rado2. TitanGeneric competitionCompetition among products that are different, but solve the same problem or providethe same benefit or utility.2) Marketing ObjectivesMarketing Plan for Power Disk WatchN$B10There are deuce types of marketing objectives which are granted below1. slight term objectives2. Long term objectivesShort term objectivesThe fundamental objective of BINGO WATCHES to increase the sales volume of forcefulness disk watches. manufacture a good image of our product in the mind of customers. Our main concern is profitability.Long term ObjectivesBINGOS long term objectives are keeping of our loyal customerCapturing high market shareDelivering quality products to our customersCapturing the potence target market of PakistanLaunching innovative changes for our productCreating brand sensation and brand loyalty3) Market SegmentationMarketing Plan for Power Disk WatchN$B11Geographical shareOur target market geographical region profile is as follows.oWorld regionoAsiaoCountryoPakistanoCityoLahoreoAreaso exonerationo coterieoCavalry GroundoGulbergoModeltownMarketing Plan for Power Disk WatchN$B12demographic factorsAgeo20+GenderoMaleFamily life-cycleoYoung or aged can be single or marriedIncomeoRs 30,000+OccupationoStudentoDoctorsoEngineersoComputer EngoBusiness ManoAccountants studyoBachelorsoMastersoPHDPsychographicSocial Classo focal ratio LoweroUpper MiddleoUpper UpperLife StyleoAchieversPersonalityMarketing Plan for Power Disk WatchN$B13oExpressiveo chichioAuthoritarianogregariousBehavioralOccasionoRegular occasionBenefitso personaoUniquenessoTechnicaloPortabilityUser lieuoMedium and heavyReadiness stageoUn-aware4) tush MarketThis watch is intentional for students, executives, paids with different occupation, degrees and education levels. We have designed and customized according to different user needs.StudentsFor students we have designed a model called G-SHOCK as mentioned earlier ourwatches are for show upive people who want to express them selves, so G-SHOCK hasMarketing Plan for Power Disk WatchN$B14been designed according to latest styles , fashion coiffe it an unique and an expressivewatch apart from its romps.Memory space (128MB512Mb)This feature is really beneficial one because students can drivel their assignments, presentation, work, software, related barricade on it and can access it form any where no need to open your mail account and download your required stuff . kinda of wasting so much time just copy it in your watch and carry it any where you want.PortabilityThis is a portable device which is incessantly on your hand in the form of watch its easy to carry because it weighs almost equal to watch. So at one space one carry four additional accessories.EntertainmentMp3 PlayerStudents mostly have walk mans, CD man with them which they often use while travelling mostly. Now you dont need to have any walk man because you can store almost about 500 songs in your watch and can listen them when ever you want. You are traveling, sitting alone and feeling bore, or want to listen song at night time but can not put your deck on, our watch has solution for every problemVoice recorderIt is very help full during the lash because you can record your lecture any time andcan listen to it after wards and even can store it in your Pc.PrivacyOur product will be providing loneliness by keeping the personal offstage things with youin your watch and can carry them with you all the time.Executives /ProfessionalsThe watch which we have designed for professionals isEst eem.it varies in design according to varying age groups .we have given rough new designs to this product which is a bit different from others.The benefits we will be giving to our customers are as follows.Marketing Plan for Power Disk WatchN$B15Memory Space (512 MB1 GB)Now days every professional has a need of flash drive. We have made this job easier for them to carry it in their watch and can access it from any where we are providing take in of space i.e. 512 MB 1GB software engineers, programmers ,Doctors ,Accountants e particular(prenominal)ly can bring some extra out put from this product because they can carry many of the big software with them.PortableOur product bring forths it easier for you to carry your data in a portable device requiringno new spaceStylish designsOur watches along with technical aspects have stylish features according to current fashion. The power disk watch for executives has, at tracting, exclusive, designs our targeted customers which give them an expressive look.Voice recorderPower disk has introduced this feature for the first time in current market this feature is of great use we have made a small product which carries multiple functions in it this feature enables you to Record all colloquy while in meeting.While interviewing some one can record the interview instead of writing it down andsaving time.PrivacyIt keeps your privacy with you .one can carry some of its important files, documentssave in his/her watch.5) Marketing mix1. Product2. Price3. Place4. PromotionMarketing Plan for Power Disk WatchN$B16PRODUCTS-As we have already discussed about the product, its features and its attributes above.So now we will be looking at the other three Ps.PRICE-PRICING scheme-The set dodging portion of the marketing plan involves determining how we will price our product or service the price we charge has to be competitive but still allow us to make a reasonabl e profit.The keyword here is reasonable we can charge any price we want to, but for every product or service theres a limit to how much the consumer is willing to pay. Our set strategy needs to take this consumer threshold into account.We set our prices by examining how much it costs us to get up the product or service and adding a fair price for the benefits that the customer will enjoy. We may find it useful to conduct a Breakeven Analysis. In break even analysis the price is set to break even on the costs of making and marketing a product or in other words setting a price to make a target profit.These are some pricing strategies1. Cost ground pricing2. Value found pricing3. Competition based pricingCost based pricingCost based pricing involves adding a markup to the cost of the product. But Power disk is not dealing in price sensitive market . So we move on to the bordering pricing method.VALUE BASED PRICINGIn value based pricing price is based on the buyers perception of va lue or else than onthe contenders cost.An increasing number of companies are basing their prices on the products perceived value. And we can use it here as well as the consumers already dont have an image of this new product in mind so there is a need to base its new price on its value. each theMarketing Plan for Power Disk WatchN$B17company needs to do is to change the view point of the customers by powerful andattractive advertisement.COMPETITION BASED PRICING ground prices based on the prices the competitors charge for similar products is called competition based pricing. Consumers will base their judgments of a products value on the prices that competitors charge for similar products. mavin form of competition based pricing is going rate pricing in which a firm bases its prices largely on competitors prices, with less economic aid paid to its own costs or to demand. The firm might charge the same as, more than or less than its major competitors.But as we know that Power d isk is not facing any competition so this strategy is notbe used by the company.We are entrance a new unique product for a special class of people our target market is not price sensitive so we will be using Value Based price because we processes a good word of mouth and this type we are launching an innovative product which already does not exist in marketThe closing user end prices are as follows for its 2 modelsoG-Force (for Students)G-ForceModelsQuantity Per unit cost Profitretail priceGf-9100141251375(25%) 5500Gf-6100148751625(25%) 6500oEsteem (for executives and professionals)EsteemModelsQuantity Per unit cost ProfitRetail priceEm-12100168001700(20%) 8500Em-345001136003400(20%) 17000Marketing Plan for Power Disk WatchN$B18IncentivesThe incentives which will be given to and retailers are as followsRetailersTo retailers the incentive given for the per unit sale of grand and Esteem is asfollowsModelQuantityCommissionG-force1500Esteem1900PLACE-It includes marketing takes and channel levels as described below-MARKETING CHANNELSFew producers sell their goods directly to final users. Instead most use intermediaries to bring their products to market. They try to forget a marketing channel or distribution channel, a set of interdependent organizations involved in the process of making a product or service available for use or consumption by the consumer or business user.There are basically two marketing channels-Direct marketing channel-A marketing channel that has no intermediary levels.Indirect marketing channel Marketing Plan for Power Disk WatchN$B19Channel containing one or more intermediary levels.We ImplementDirect channelsCompany Owned ShopThe products will be available on our company outlet at MM ALAM ROAD andDefence Y-Block.In- Direct channelsIt would be difficult to cover our target market by just using direct channel so in order to make it easily available we will use the maximal no of efficient indirect channels, which are as follows1. H karim bukhsh outlets2. pot puri outlets3. Al Fetah outlets4. sketchers outlets5. Nike outlets6. Pace shopping mall7. Fortress market onward motionPromotion means customer communication that how we can reach to our customer toread and capture his mind.PROMOTION MIX STRETAGES-Marketers can choose from two basic promotion mix strategies-1). Push strategy2). Pull strategyPUSH STRATEGY-Marketing Plan for Power Disk WatchN$B20A promotion strategy that calls for using the sales force and trade promotion to repel the product through channels is called push strategy. The producer promotes the product to wholesalers the wholesalers promotes to retailers, and the retailer promotes to consumers.A push strategy involves pushing the product through distribution channels to final consumers. The producer directs its marketing activities (primarily personal selling and trade promotion) toward channel members to urinate them to carry the product and to promote it to final consumer.PULL STRATEGY-A promoti on strategy that calls for spending a lot on advertising and consumer promotion to build up consumer demand is called ask out strategy. If the strategy is successful, consumers will ask their retailers for the product, the retailers will ask the wholesalers, and the wholesalers will ask the producers.Using a pull strategy, the producer directs its marketing activities (primarily advertising and consumer promotion) toward final consumers to induce them to buy the product. If the pull strategy is effective, consumers will then demand the product from channel members, who will in turn demand from producers. Thus, under a pull strategy, consumer demand pulls the product through the channels.OUR APPROACHAs we are launching our product (watches) so we will use the mix strategies to improve the customer demand to have more sales and better supply in all kinds of markets and stores. And for this we have to analyze trends or behaviors of the consumers so that the companys ability to do busi ness can be improved. So in this section well also give the tools we will be using for this launch. We will also discuss the promotion strategy that we will be using in this launch.Promotion toolsAdvertisementAdvertisement is the tool to make the product know to the customer, the advertisement should be in such a manner so that it can attract the customer at first glance then their should be image retention in the mind of customer. Continuous advertisement stimulates the customer for the purchasing of the product. Advertisement tools used areMarketing Plan for Power Disk WatchN$B21 powder stores1. Libas Magazine2. MAG3. Times Magazine4. Visag Magzine5. Fashion MagzineSign boardsAdvertisement through signboards in posh areas of Lahore. For the evaluation of the product performance following methods will be used so that if the customer is facing any problems in respect of quality, availability and other matters can be removed.Feed back formForms having different question about the pro duct performance, its weaknesses (if any), Need for quality improvement and other questions regarding service approachability, affordability etc will be available. Forms will be given to the customers at time of purchase.Sales Promotion and retention of loyal customersFor sales promotion at different occasions like EID, liberty day, greeting cardswill be sent in order to stay in contact with our loyally and potential customers.6) ImplementationMarketing Plan for Power Disk WatchN$B22It is the most important step of the marketing plan. In this step we in reality implement what we have consider In above steps. Because there is a saying that it is useless to write a story if you are not going to make a movie.7) EvaluationIn this we evaluate what we have implemented if our strategies are going accordinglythen we carry on other wise we are going for modification.Marketing Plan for Power Disk WatchN$B23