Dawnlance Success Story (Marketing)

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  • Topic: Marketing, Air conditioner, Cooling technology
  • Pages : 3 (1156 words )
  • Download(s) : 505
  • Published : October 26, 2011
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The company which is the premier focus of our project is Dawlance. Dawlance is a home appliance company which has very successfully carved out a market share for itself despite facing fierce competition from both local and international players. The theme of our project is not to discuss the entire range of appliances which the company produces instead it is an attempt to highlight the success it has had in one particular range of products, the Split Air Conditioner. The project attempts to identify from a marketing perspective the various aspects of Dawlance’s marketing program and the strategies which paved the way for the massive success of the company. Before we delve into the details of Dawlance’s Marketing plan, let’s take an over view of the market of spit air conditioners at the time. Splits entered the Pakistani market in 2002 and Dawlance started its first range of split air conditioners two years later in 2004. 2004 was a booming year for this new technology which had entered Pakistan. This was represented by high growth figures for all companies which engaged in this range of product. Split’s been beginning to replace air coolers and were also competing aggressively against window unit air conditioners. Their cooling was better than an air cooler and they were cheaper than the average window unit which was available Followed by the enormous amount of success which the players in the market enjoyed, several companies entered the market, a total of 26 brands were now a part of this extremely competitive market at the end of July 2005. Some of the brands included SG, Sabro, Haier and LG. The market for spilt ACs was further sub divided into 1 ton spilt ACs and 1.5 ton split ACs, with the 1 ton split enjoying a 65 percent market share and the 1.5 ton split having a 35 percent share. Market conditions were rather favourable and there were not a lot of barriers to entry. Firms did not incur any Research and Development cost as the splits were manufactured...
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