TECHNOLOGY MANAGEMENT & MANUFACTURING STRATEGY (ELECTRONIC CIGARATTE)

PREPARED BY – NIKHIL HULWAN

REASON FOR THIS BUSINESS:-

• Research into E-Cigarettes lags behind their popularity

• Booming business in order to outsell tobacco products

• No. of teens using harmful cigarettes has

increased drastically after 2012 & hence

to reduce disease & death caused by tobacco

• To reduce addiction towards actual cigarette

FUTURE ASPECT

• e-cigarettes are such a new phenomenon that we won't know the full effect until state and local regulations are enacted that may or may not affect their use

• e-cigarette is a relatively new consumer product, there are a lot of questions about government regulation and whether these devices should be allowed in certain places

• local businesses are deciding to go non-smoking. Makes for a much more enjoyable environment

MANUFACTURING STRATEGY

PLACE

• To be sold at Medical shops & at places where normal cigarettes are sold

• Digital Marketing – online selling

• Kiosks & stalls in malls

PROMOTION

• Newspapers

• Banners & Hoardings

• Campaign & Street Shows

• Advertisements in TV, Theatres, Malls

4 P OF MARKETING

PRODUCT

• The name of the product will be “VERVE”

• The company is in to manufacturing of smoke free & harmless cigarette

• High quality & cost effective product

• Attractive packaging

PRICE

• INR 200 per piece if sold loose

• INR 550 in a packet (consisting 3 e-cigarettes)

• INR 1000 which comes with a charging kit with extra battery

• TIER I CONSUMER

• THE PACKETS CONSISTS OF 3 PACKED E-CIG.

• MAJORITY OF POPULATION COVERED WOULD BE OF AGE GROUP 21 TO 55 YRS.

• EXTRA BLENDED SO AS TO LAST FOR LONGER (50 TIMES) USE

• TIER II CONSUMER

• THE PACKET CONSISTS OF 1 PACKED E-CIG.

• MAJORITY OF POPULATION COVERED WOULD BE OF AGE GROUP 18 TO 60 YRS.

• NORMALY BLENDED SO AS TO LAST FOR 30 TIMES OF USE

THE ELECTRONIC CIGARETTE IS SEGMENTED ACCORDING TO THE TYPE OF CONSUMER

E-CIG. CONSUMER WOULD PROBABLY COMPRISE OF EDUCATED MIDDLE CLASS MAINLY FROM THE AGE GROUP OF 21 – 40 YEARS OF AGE.

PRODUCT ADVERTISING : AD’S, POSTERS, HOARDINGS, CAMPAIGN FOR PROMOTION, LOCAL MEDIA, NEWSPAPER

MARKETING STRATEGY

• Celebrity spokespeople - Like cigarette ads of old, television, online and print ads for e-cigarettes feature catchy slogans and celebrity endorsers, including actor

• Use cartoons - The web site for Verve has featured a cartoon pitchman named “Mr. Cool.” It was reminiscent of the Joe Camel cartoon character that so effectively marketed cigarettes to kids in the 1990s.

• Ads say, “Switch, Don’t Quit.” - Tobacco companies have long tried to discourage smokers from quitting by marketing cigarette changes as reducing health risk. Verve ad carry a similar message.

• Sponsor Sports & Music Festivals - For decades tobacco companies used sponsorships of sports and entertainment events, especially auto racing and music festivals, to promote cigarettes to huge audiences, including kids. Cigarette sponsorships are now banned, which is a big plus.

SOURCES OF FINANCE

• Funds to be asked from WHO as they have approved the promotion of E-cigarettes

• Local govt. organization for start up cause in production of environment friendly & harmless to health kind of e-cigarette

• Personal Savings & Loan from Bank

THANK YOU