Cases

A Leading Indian Card Clothing Company wanted to sharpen their Marketing Focus through a Market Segmentation Approach

Background and Challenge

The client, a leading Indian card clothing company offers a wide range of metallic and flexible card clothing solutions to suit different spinning mills’ requirements based on the type of fibre processed (natural and man-made) and the desired quality. The client believed that the company has fallen behind domestic and international competitors despite offering products of equal quality and performance. The client wanted to redefine their sales and marketing approach.

Approach and Recommendations

UC follow the below approach to redefine the client’s sales and marketing approach:

  • We identified different market segments and analysed them on the following aspects

    1) Technical Characteristics

    2) Competitive dynamics and customer expectation of product performance

  • We identified market segments and assessed their buying behavior
  • We conducted interviews with industry participants (155 respondents across 163 spinning mills) and also leveraged market information available with the client to form our fact base and recommendations
  • We identified key market segments in terms of addressability and business potential and proposed sales and marketing initiatives suited for each of them
  • We identified company-wide initiatives to derive maximum benefits from the proposed marketing strategy

Results

The client was given a clear understanding of the different markets segments and their varying characteristics and competitive dynamics and a picture of customers’ perception about the performance of their products vis-à-vis competitors. UC offered segment-specific strategies and a set of initiatives to address different market segments in a strategic manner.

The client received solutions to company-wide issues through strategies involving:

  • Recommendations of product combinations for market segments (to ensure the client sells the right product)
  • Sales force development – launch sales incentives and objective performance management system
  • Strategic product trials
  • Improved service management and effective branding and promotion
  • Rationalisation of products and product pricing