Marketing management II

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P G Final Report editted.docx
A Cat Corp

Inferences from Distributor Interviews

P&G Distributors
P&G Distribution system is different from other FMCG companies. They launched a pilot project called Golden Eye around 1999 where they disbanded all 456 stockist and consolidated the distributors state wise. Currently PG has around 19 distributors allover India. This model was called pure super distributor model where distributors were asked to open their branches all around the states and to cater to various retailers. Advantages of this model was that big states have only two distributors. Company can easily control these distributors. Allover India PG controls only 19 distributors. They supply goods to these 19 distributors only. Further distribution of goods from distributors to their branches is the problem of distributors. Big distributor cannot appoint any sub distributor under them. Another big advantage of this model was that of more involvement of distributors and large stake of these 19 distributors involved in distribution of PG goods allover India. Small distributors generally invest around 20-50 lakh for distribution of a company goods. But here 20-30 crores were invested by a distributor which is very large. This made them feel that they area part of company and any mistakes done by them will directly affect and their profits. They had to give full involvement full attention for PG goods distribution. Thirdly, company get full information about the market as these 19 distributors are directly selling to the retailers. Collecting information for the company becomes very easy.
There are 2 authorized distributors of PG in Delhi. Amazon Distributors Pvt. Ltd. (Ms. Priti)
2. Khimji Ramdas India Private limited (Mr. Tushar Panigrahi)
There are 2 authorized distributors of PG in UP. One for East UP (Mr. Puneet)
2. One for West UP

Inferences from Distributor Interviews
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There are around 19 distributors of PG all around India
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The distributor of East UP caters to around 60000 retailers and wholesalers
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These retailers are reached through 45 branches of distributor in various cities in east UP
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Wholesales caters to very small retailers like Paan Wala, Small stores, Store owners in Rural Market etc. They not only get incentives in monetary terms but also in non-monetary terms like holiday packages etc.
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They do not help much in advertising or marketing of company goods until or unless any specific order comes form company’s side
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The placements of goods in retailer’s shop is done by distributors with the help of planogram that company send which is made by using statistical tools
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The board and hoarding outside retailers store directly come from company
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Free sampling is done through distributors as distributors are much aware as to in which area sample distribution will be very effective

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