Entrepreneurial marketing

Prasanna PERERA

Marketing and Management Consultant, Chartered Marketeer, CIM UK

Prasanna Perera

Many entrepreneurs have succeeded with their small businesses in Sri Lanka by practising the principles of marketing. In this brief article, my endeavour is to explore such businesses and identify the secrets of their success. The views expressed are my own, based on what I have experienced.

Sensaal

Three outlets were established in Thimbirigasyaya, Battaramulla and Nawala. Customer traffic is heavy in all outlets and the business is growing. What is the secret of the success of Sansaal?

From a marketing point of view, the product mix is unique and extensive. Meal options, snacks, breads, deserts and beverages are available. The range of breads available is innovative and caters to different market segments. The locations of the three outlets are excellent. On busy highways, where the vehicle flow is extensive throughout the day.

Prices are above market norms, which as created a perceived advantage (of better quality). Basically, pricing of the products have been on value, rather than merely costs.

With regard to promotions, localised hoardings are used to create awareness. However, the biggest publicity is created through word-of-mouth. (WOM). In my opinion, the promotional area needs to be improved. Loyalty cards and special promotions, should be looked at.

The people (staff) dimension is a mixed situation. Some members of the staff are customer focused, whilst some others are not. This is an area that must be improved, since excellent customer service is a must and not an option for Sensaal.

Sandwich Factory

Specialising in sandwiches, in the Colombo City, catering to an urban need. Colombo City did not have a good sandwich outlet, except Five Star Hotels. Sandwich Factory identified and captured that market opportunity. They have also focused on delivery and captured the at home and office consumption market. Another outlet is needed to maximise the market potential.

Sizzle

An excellent example of entrepreneurial marketing. Sizzle pioneered an unique form of cooking and presentation of food - Sizzling hot!. The brand name “Sizzle” is simply brilliant and communicates the brand promise i.e. sizzling hot food. Besides the food, very focused advertising and promotions are carried out. Advertisements in newspapers and magazines are supported by the loyalty club program. Sizzle runs the loyalty club program successfully. Members are sent birthday cards with a special discount voucher, to celebrate at Sizzle. Membership upgrades are possible, based on the expenditure at Sizzle.

The customer service is good and up to standard. However, there is room for further improvement, in terms on consistency. It is probably a good idea to have a single outlet, so that a certain exclusiveness and uniqueness is maintained.

Lucky Yoghurt

A home grown brand, that has made great strides to become a leading player in the market. Lucky yoghurt has succeeded due to the commitment of the founder, to provide excellent quality at all times.

The positioning of the brand as a Sri Lankan, has also helped to build consumer loyalty. Distribution has been the key strength, specially in the outstations.

The brand has also built up intermediary loyalty, by providing incentives to the trade. A certain degree of innovation has also been displayed, with new products being introduced periodically. This brand is an excellent example of “Entrepreneurial Marketing” in action.

Rainco

Is a leading player in the protection market in Sri Lanka. The Rainco brand represents umbrellas, mosquito nets and raincoats. Visionary thinking and a commitment to quality, creating the birth of the Rainco brand, which is proud to be Sri Lankan.

Innovative products have always been the hallmark of Rainco. This has helped the brand to stay ahead of the competition. The positioning of the brand as a “lifestyle” in protection, has carried out an unique mindset amongst consumers.

Good relationships with the trade has helped the brand to improve availability and dealer loyalty. Outdoor branding of dealer locations has helped the brand to improve visibility.

Creative advertising has also been a hallmark of the Rainco brand. Rainco has been able to make boring products exciting, through creative advertising and promotions.

Based on the given organizations and brands highlighted, the following are the key learning points of Entrepreneurial Marketing.

7.1 Vision of the founder or leader is a key factor. In every example, the leader not only had a vision, but was willing to take calculated risks.

7.2 Commitment to product and service quality. This is evident in all the examples.

7.3 Innovative marketing and promotional strategies including initiative to build customer and consumer loyalty.

7.4 Building good relationships with all stakeholders, in order to operate the business without undue interference.

7.5 A commitment to staff training and development and building in-house capability in all areas of operations. In most instances this has helped to create a loyal, motivated and competent workforce.

7.6 Sound cash flow and working capital management, together with an eye on rationalising costs. (Minimising wastage)

Entrepreneurial Marketing is flourishing in Sri Lanka, with the desire among the younger generation to become “Entrepreneurs.” In my opinion, an entrepreneurial culture in the country, will undoubtedly help Sri Lanka achieve the vision of becoming the “Wonder of Asia.”

Entrepreneurship should be taught in schools, specially as a subject at Advanced Level.

“Entrepreneurs challenge the status-quo.

They are bored with the routine.” (Author)