Akshay Marketing Management

Akshay Marketing

Case: DTMT

By:

Raj Kumar

Roll:10327

Sec:A

Case Facts:

* Akshay Marketing was started in May 1998, as a Cash Distributor of Chocolates of Nestle in Madras.

* Initially operational area included Triplicane but in May 2000 Akshay Marketing included Nungambakkam also.

* Main Products and it's share in sales of Akshay Marketing

Product Share

 Count-Line 20%

 Wafers 40%

 Moulds 15%

 Mint 15%

 Confectionary 10%

* Operational Routes:

Area Main Routes Sub Routes Total

Nungambakkam 2 6 12

Triplicane 2 6 12

* 120 Key outlets accounts for 70% of sell.

* 4 3-wheelers carry on average Rs.18000/day stocks each to these routes.

* "Order Booking" concept for key outlets by each salesman on 3 days per week. On other days spot selling is done to other routes depending on the day.

* Nestle pays 5.8% margin on landing price to the CD.

* Sales on order booking are done mainly through credit. 80% credit is paid in 1 week time.

* Expiry date stocks are moved to willing retailers on discount basis.

* Nestle allows 0.5% of turnover of CDs as allowance for stock-withdrawals.

Challenges:

* To make the business profitable.

* To make the distribution system more efficient.

Calculation of statement of Net gain/Loss

Calculating the statement for the year 2000. Only variable expenses are included.

monthly yearly

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