Page 203 - DMGT507_SALES AND PROMOTIONS MANAGEMENT

Unit 11: Unconventional Promotional Media

Notes
"We will sell across four screens and we hope the scale of what we bring will completely
transform that space," he said. He targets sales of 300 crore from digital commerce in the
first year after the new initiatives are rolled out fully. The company is in talks to acquire
a small IT company with about 150 personnel to develop and maintain content and websites,
he said, but declined to identify the target. Mr Biyani himself is incubating the new
business unit that will be part of Future E-commerce, where venture capital firms Kleiner
Perkins Caufield & Byers and Ram Shriram's Sherpalo Ventures together hold 15% stake.

Source: www.futurebazaar.com
Its online store, FutureBazaar.com, will increase the number of products available online
significantly. At present, about 4,000 SKUs, or stock keeping units, are available at
FutureBazaar.com compared with 1.6 lakh SKUs that an average Big Bazaar store stocks.
SKU is the most basic accounting unit of a product. Two sizes or two flavours of the same
product will be accounted as different SKUs.

"Whatever we sell through the digital platforms will be cheaper by 5% to 20%, compared
with the prices in the shop," Mr Biyani said. The cost of selling a product is much lower
when it goes from a godown directly to a consumer's home without taking up shelf space
in a retail store that is expensive to run. The website will also add more information about
the products, including videos.
As for tele-shopping, Future Group plans to buy airtime in bulk on TV channels. But Mr.
Biyani ruled out launching a dedicated channel for that. In what will be an entirely new
initiative, Future Group also plans to erect manned kiosks where customers can browse
through products and access information as well as videos on a screen and even place an
order and pay cash. The company will extensively promote its SMS short codes and will
also carry out proximity marketing using Bluetooth and cell tower-based technologies.

Every week, three or four products from a particular category will be heavily promoted
across all the digital platforms, Mr Biyani said.
Question:

How will this digital marketing help Future Group?

Source: www.manzeal.com

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