Sales and Distribution Management Case Presentation

Sales and •By: Group 1
•Anusha Saxena
Distribution •Arpit Gilra
•Jayesh Arora
Management •Karan Seth
Case •Ruksar
•Shreya Shivpuri
Presentation •Shrutika Chawla
Ajanta Packaging
–
Key Accounts
Management
• INTRODUCTION AND SUMMARY
• QUESTION 1
• QUESTION 2
CONTENTS
• SWOT ANALYSIS
•
• QUESTION 3
• QUESTION 4
• CONCLUSION
• About Ajanta packaging
• Indian Packaging Industry
• GLASS BOTTLE INDUSTRY
• Challenges Faced by the Indian Glass Industry
Introduction and •
• KEY ACCOUNT MANAGEMENT AT AJANTA
Summary • Key accounts
• S.F. FOODS AND AJANTA PACKAGING
• Case Problem
Q1. What are the possible
ways of segmenting
Ajanta’s customers?
•Revenues
•Prompt payers and Late
payers
•Product Class/Product usage
•Organization Size
Q2. What is KAM(key
account management)?
Discuss different stages
Ajanta could adopt for
KAM.
• Involves working closely with multiple
business departments to maintain and
further develop the relationships with the
key accounts.
• Ensures long-term development and
retention of strategic customers.
• Drives the profitability of B2B companies.
• Strong word of mouth in the market.
• Plays an essential role to maintain and
KEY groom the company’s accounts for long
ACCOUNT term success.
MANAGEME
NT
• An overall understanding of each account
and collect all the relevant inputs.
• Effective segmentation based on the inputs
and prioritize accordingly.
STAGES OF KAM • Identification of the key decision-makers
THAT AJANTA and influencers.

• Defining realistic objectives for each of the
SHOULD key performance indicators measured in the
analysis.
FOLLOW • Build an impactful account plan based on

the previous steps and allocate new
resources accordingly.
•STRENGTHS
• One of the primary glass bottle suppliers.
• Net sales realization yields are good.
• Excellent distribution network.
• Offers Just in Time supply to customers via multiple locations.
• Quality-focused, Customized and Timebound packaging.
SWOT Analysis • 90% Repeat Customers: Focus on customer retention.

• Wide range of products and professional expertise.
• Entered the food industry as well along with the
pharmaceutical industry.
• Increased its customer base to 1700 customers in a short
period.
Weaknesses
95% of business from glass products alone (over reliance).
Increasing number of competitors in the industry.
Rising costs of raw materials.
Less Profit margins in huge orders.
Price wars
Churn Rate lower to that of its competition.

Threats
• Rising demand of PET: Substitute for glass bottles.

• Compromising on other deliveries due to SF’s order.
• Increased R&D Costs due to the innovation in the industry.
• Increased inflation leading to higher price of raw materials.
Opportunities
• Low threat of new entrants as companies are recognizing the
decline of the glass manufacturing industry.
• Use environment sustainability to create edge over its
competitors.
Q3. Why did Ajanta
continue its relationship
with SF?
•SF’s majority of share is held by Ajanta
which is around 60%.
•Ajanta was concern about the over-reliance
on SF.
Why did Ajanta •Ajanta was struggling to maintain its

business relationship with SF although it
continue its promised a sizeable business.
•Ajanta has always received big bulk of
relationship with SF? orders from SF and the current order is
around INR 50 Million R 50 Million
Q4. Discuss the importance
of CRM strategies for the
company like Ajanta
What Is
CRM
This Photo by Unknown Author is licensed under CC BY-NC

Importance of CRM strategies for AJANTA
Increase Sales and Margins
Retain Customers
Increase Brand Loyalty
Brand Positioning
Direct/tangible effects of CRM;

• more sales realized
• products with high quality
Indirect/intangible impact of CRM;

Some CRM
• good reputation
• sustainability
Strategies Some CRM recommendations

•Relationship Selling Dividing customers
•Consultative
•Feedback mechanism
•Integration tool
( 2016 in dollar)
•Ajanta’s total business = 604
•SF Share ( 15 %) = 90
•Profit margin = 6.3 – int on late payments
Loss on ajanta order = 50*7% = 3.5

Loss on other party order = 90 *10% = 9
CONCLUSION Alternative solution

- negotiate with SF
- SF is strong client with scaling possibilities
- State examples of other big players with 10% margins like
veeba etc
- State numeric loss occurred on last order from SF due to
delayed payment

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Sales and •By: Group 1

• Indian Packaging Industry

• GLASS BOTTLE INDUSTRY

• Challenges Faced by the Indian Glass Industry

Summary • Key accounts

• S.F. FOODS AND AJANTA PACKAGING

ACCOUNT term success.

THAT AJANTA and influencers.

FOLLOW • Build an impactful account plan based on

SWOT Analysis • 90% Repeat Customers: Focus on customer retention.

95% of business from glass products alone (over reliance).

Increasing number of competitors in the industry.

Rising costs of raw materials.

Less Profit margins in huge orders.

Churn Rate lower to that of its competition.

• Rising demand of PET: Substitute for glass bottles.

Why did Ajanta •Ajanta was struggling to maintain its

This Photo by Unknown Author is licensed under CC BY-NC

Increase Sales and Margins

Increase Brand Loyalty

Indirect/intangible impact of CRM;

Strategies Some CRM recommendations

Loss on ajanta order = 50*7% = 3.5

CONCLUSION Alternative solution

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