Indus Motor Company

Sales Management
Group members:
M. Junaid Saleem
Hira Naeem
Rabeeya Tariq
M. Usman Irfan
Syed Farooq Ahsan
 ABOUT THE COMPANY

 Incorporated in 1989 as a result of a joint venture agreement among House of

Habib of Pakistan, Toyota Motor Corporation and Toyota Tsusho Corporation of
Japan
 Manufactures and markets Toyota brand vehicles in Pakistan
 Deals in Passenger Car category, Light Commercial vehicle segment and Sport
Utility vehicle
 The flagship variants of each category are Corolla, Hilux and Fortuner respectively
 Plant is located at Port Qasim.
 Product is delivered to end customers through a strong network of 45 independent
3S Dealerships spread across the country.
 Development of the entire value chain of the local auto industry
 Market share stood at 26.4% for the according to the financial report for the 1st
quarter of 2018.
 INDUSTRY ANALYSIS

 Pakistan Automotive industry is growing at the fastest rate, accounting 4% of

the GDP and employing over 1.8 million of the workforce as compared to
other industries within the country
 The industry is producing 2 million vehicles a year, with having 3200
automotive manufacturing worksite around the country.
 Pakistan has the smallest but the fastest growing vehicle industry in Asia.
 The growth is mainly because the production of Light Commerical Vehicles
(LCV) which has increased to 69.51 %, buses 82.90 %, Jeeps and cars 28.6%,
trucks 42% and motorcycles 17%.
 The leading players in the market are Honda, Toyota, and Suzuki, while KIA is
also trying to make its place in Pakistan.
SWOT ANALYSIS

• High staff turnover

• Negative publicity in
terms of recalls
• Heavy dependence on
few suppliers
MISSION STATEMENT & FORMULATION

 “Action, Commitment and Teamwork to become #1 in Pakistan”

 This mission statement was formulated as a guide on which the company would
operate to achieve their wider vision, which is to become a key player in the
industry through leveraging talent and technology to achieve high customer
satisfaction.
 Their core values are: Respect and Corporate Image, Customer Satisfaction,
Production and Sales, Quality and Safety, Best Employer, Profitability, which ties
up with their greater objectives, their mission and vision.
 The interview made us realize that they consistently try to follow the core values,
which were established with the company itself, and try to dictate themselves
according to it, which in turn does help employees to streamline their activities
and responsibilities, and use it to achieve the goal that is in their mission,
especially in times of increased competition, such as the current landscape of the
market IMC is facing.
 MARKETING OBJECTIVES

 Fulfill the needs of the customers through different offerings as

demanded by different segments of the market such as Passenger
cars, Multi-Purpose Vehicles (MPVs), Sports-Utility Vehicles (SUVs),
Pickups, Vans, and Buses.
 Capturing more market share and increasing sales target (up to 5%)
 Dealers development – managing to increase three dealers every year
 Customer delight or experience enhancement
 Forecasting accurately –Customer Experience –
 Brand Equity.
 SALES OBJECTIVES

 To meet sales plan and forecasts that the dealers have

provided accurately
 Managing the sales efficiently for every regions and zones.
The targets are given down until the ASM level.
 Hoshin drives objectives of sales and each division
 OBJECTIVE FORMUALATION

 Customer satisfaction is the ultimate objective of sales and marketing

strategies at Indus motors.
OBJECTIVE FORMUALATION CONT.

 Indus motors not only focuses on the typical marketing mix which utilizes
the 4 P’s approach , but also focuses on four C’s approach that is made up
of consumer, communication, convenience and cost.
 Company utilizes a positioning strategy that considers competitors, and offer
opportunities that build brand awareness in the target market through
personal optimization.
 The ultimate focus is increasing the sales of the organization through
understanding the customer and market dynamics.
 After sales services, customer relations, parts availability and strong
dealerships network
MARKETING ORGANIZATION CHART

General
Manager
(Marketing)

Senior Senior DM/MR

Dealer
Manager Manager Marketing
Development
(Product) (Product) Service

Dealer Group
Development Category
Manager Manager

DM/MR
Category
Manager

Senior Brand
Manager

Brand
Manager
SALES ORGANIZATIONAL CHART

General Manager
(Sales)

Regional Regional Regional

Sales Planner Sales Admin Manager South Manager Central Manager North
Decison Manager Decision Manager Decision Manager

Zonal Sales Zonal Sales

Manager Manager

Area Sales Area Sales

Manager Manager
COMPANY’S SALES BUDGET, CREDIT SALES

 IMC achieved a unit sales of 60,586 units in the year ended 2017,
which is a 7% dip since the last fiscal year, although the five-year
trend shows a healthy 57% increase in the sales of IMC.
 This increase can be credited to quite a few factors, such as lower
political uncertainty, better law and order situation, and rising
incomes. The 7% dip as compared to the previous fiscal year is not
highly alarming, as the revenue and the profit after tax both
increased.
 IMC deals particularly on cash so there are no credit sales in the
company.
DETAILS OF SALES TRAINING PROGRAM

 IMC conducts sales training program for its employees that allows to build
selling skills for every stages of sales process
 The training programs are mostly through various educational institutes such
as Karachi Business School and Leadership (KSBL), Lahore University of
Management Sciences (LUMS) and Institute of Business Administration (IBA
 There the employees are taught organization development, sales forecasting,
business development, marketing strategies and negotiation skills and
tactics.
 The departments sends couple of its performers for training such as for 2
from sales department, 2 from marketing department etc
 Expense on employees training
 the total cost incurred is roughly estimated to be around 20 lacs.
DETAILS OF SALES TRAINING PROGRAM
CONT.
 There is no hard and fast rule for the training of employees according to their
ranks.
 Trainings can be given to any rising employee be it Assistant Manager or
General Manager.
 students are taught to learn through software programs such as running
simulations regarding sales target, sales equity etc
 Currently, IMC is investing heavily for their employees training since they
aren’t just the workforce but the assets of the company.
 The company spends around 10 to 12 lacs, and is planning to spend more in
future, by sending their employees to UK and Harvard University for training.
 INCENTIVE SCHEMES

 The sales department at Indus motor culminates at Area sales manager, so

there are not much of the direct sales people involved in the processes of the
organization and no direct incentives are given to any sales person.
 Sales functions are looked after by the dealership only and so the incentive
schemes are also designed for them by Indus Motor.
 It’s a combination of cash and non-cash benefits in form of commissions and
leisure trips that are given to the dealers.
 The commission 0f 2.5-3% is given on per car sold by the dealer .
 Leisure trips are given at the end of the year to top scoring dealers on the
basis of sales, customer service and parts supplies.