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Relationship Marketing Through The Tailoring Route.
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Akash C.Mathapati
The Tailoring Route:Delivering Fitting Solutions
Akash C.Mathapati
Akash C.Mathapati
Sumitomo Forestry Co, Ltd System generates an order form a& assigns,
customers project to a construction team that will quickly make that design into reality
Levi Strauss & Co Levi’s turned to high point chemical (Vendor) a
north carolina based manufacturing of fabric and garment processing and finishing agents
Akash C.Mathapati
Providing A Perfect Fit Tailoring solutions are overtaking the market
place
Unlike their competitors, they create, cut & convert their goods and services to fit each customers specific needs
Rest of the companies do the opposite
Akash C.Mathapati
Providing the right product at the right time: 1st Model of Tailoring Auto Zone offer diagnostic tests, parts &
repairs advice to DIY car owners It’s a vehicular version of Home Depot It makes product selection, not selectivity, a
virtue Autozone possesses unmatched eagerness to
serve its customers well Every Autozone store carries a selection of
parts that matches the vehicles that dominate the market in its location
Akash C.Mathapati
It stores an electronic records of its customers 1200 outlets has instant access to customer
DB It ensure that customers get exactly what and
everything, they need at a great price
Akash C.Mathapati
Zeppelin Primary German distributor of Caterpillar Road
Working equipments Max’s customer efficiency by minimizing
disruptive breakdowns and mechanical failure It has mastered the art of anticipating It handles some 100,000 parts for more than
6,000 customers Zeppelin has built a detailed database of the
Cat machines its customers – mostly small & Mid sized contractors
Akash C.Mathapati
Zeppelin’s central parts distribution system handles 3 times the vol it did 20 years ago
It delivers 98 % of its orders within 24 hours Autozone & Zeppelin know their customers so
well & they have carefully aligned their businesses to their customers specific needs
Not every company manages inventories of an autozone or zeppelin scale
Akash C.Mathapati
Craft customer made solutions: 2nd Model of Tailoring 1993 private label jeans such as The Gap’s own
brand began to erode the denim jeans market for the first time
Competing with Levi’s Levi’s CSSC (Customer Service Supply Chain) Co is tailoring its service, literally Sonoco Products Company
a global provider of a variety of consumer packaging, industrial products, protective packaging and packaging supply chain services
approximately $5 billion, the Company has more than 19,000 employees working in 340 operations in 34 countries, serving some of the world's best known brands in some 85 nations.
Akash C.Mathapati
Embellish The Core Product Since its founding 1920, Pitney Bowes has
dominated the postage meter market Entered facsimile business in 1982 Focused on high end solutions designed to
meet the unique needs of fortune 1000 & Mid size Co’s
47% in corporate fax market Recognizing that major co’s need technology
to respond to the individual needs of its users
Akash C.Mathapati
Build Solutions from the Ground Up Tailoring is not easy Degrémont
A French water treatment co with purification plants in more than 70 countries.
Water treatment. Sewage treatment, industrial effluence cleanups
early 70 and 80 a string of successes followed including Design and Construction of Water Treatment Plant at Bhandup Mumbai, which was then Asia’s largest
since then and has to its credit more than 150 major installations across the country.
Akash C.Mathapati
Take Customers Problem Away:3rd Model of Tailoring Value Proposition in this model “We’ll do it all
for you” Baxter International’s tailoring for
Massachusetts General Hospital Seton Medical Center in Daly City, California,
saved almost $400,000 over two years Roadway Logistics Systems (ROLS) now know
as Caliber Logistics, Inc “Brains” Business – design & manage
integrated distribution systems for its customers
Akash C.Mathapati
Automotive plants – caliber logistics advanced computer system oversees and manages receipts of more than 1,400 parts from 300 suppliers
Caliber Logistics VP Sales & Marketing Views the ideal relationship between suppliers and
customers as “a close, ongoing collaboration. There’s got to be mutual respect & a sharing of responsibilities”
Provides avenues to expand & experiment with new tailoring
Consider Outsourcing
Akash C.Mathapati
The Coaching Route:
Guide Your Customers Toward Better Results
Akash C.Mathapati
Bring Out The Product’s Full Benefits:1st Model of Coaching Companies deal with underutilized products /
under exploited market Arms and Hammer
Coaching companies educate its customers About potential and previously unexploited
use of its products Increases product’s value and boosts sales Another variety of coaching is providing
manuals and instructional materials
Akash C.Mathapati
Home Depot – Professionally trained, highly experienced salespeople
SKF – Swedish manufacturer On job training to help customers optimize
performance of SKF products
Akash C.Mathapati
The Product Isn’t the Problem
Akash C.Mathapati
s/w HR information Management Start up services and ongoing support Ceridian Customers buy the product and the
assurance, that they’ll know how to use every facet of it
What’s holding other companies back ? Intense concentration on building superior
products
Coach with Outsider’s Assistance
Akash C.Mathapati
Shape Up the Customer’s Usage Process2nd Model Levi’s Strauss & Co and High Point Chemicals
tailoring efforts to create a variation on the stonewashed look
It up to retailers to promote and sell the New product
If retailers aren’t reaching end customers they will suffer and ultimately the manufacturers
LeviLink (installed electronic data interchange network)
Connects mfg division of the company with POS merchants
Akash C.Mathapati
Become the customer’s Trusted Advisor Staple National Advantage (SNA), a division of
staples For reshaping its customers procurement
processes 19995, SNA had 125 customer, 90%
committed to purchase $ 1 million annually Staples prices are highly competitive SNA changes customers process:
Scattershot buying to national approach Switch from paper based to electronic ordering
process SNA trains its customers to stop purchasing for
inventory
Akash C.Mathapati
Explore new ways of operating Sell Productivity, Not Products
Akash C.Mathapati
Break New Ground With The Customer:3rd Model Delaware-based MBNA Corporation is a bank
holding company. It is the parent company of MBNA America
Bank, N.A., the third largest issuer of credit cards in the world and the top issuer of affinity credit cards, issued in cooperation with professional associations, charitable organizations, and recreational groups.
Principal Competitors: BANK ONE Corporation; Chase Manhattan Corporation; Citigroup Inc.
Now know as Bank of Amercia
Akash C.Mathapati
Sierra Club (US largest & Most influential grassroots environmental Organization)
Markets through 5000 professional Organizations, sports leagues, retailers & National society of professional engineers
Cott Corporation Canada
Akash C.Mathapati
Lic and Axis Bank Came together for new credit card
The Tata Group in association with SBI Card launched credit cards