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MARKETING

MANAGEMENT
Term Project

Product: MoltyFoam Ortho Mattress

Submitted to:
Maam Sana Azar

Submitted by:
Ahmad Ali Haider
Ahmad Zafar
Asad Khalid
Ayesha Majid
Muhammad Ameen Abdullah
Muhammad Bilal Sarwar
Molty Ortho

Contents
Executive Summary ........................................................................................................................ 5

Introduction..................................................................................................................................... 6

Companys Vision of Molty Ortho ............................................................................................. 7

Marketing Mix ................................................................................................................................ 8

Product ........................................................................................................................................ 8

Pricing ......................................................................................................................................... 9

Place .......................................................................................................................................... 10

Promotion.................................................................................................................................. 10

Internal Analysis ........................................................................................................................... 12

Strengths ................................................................................................................................... 12

Weaknesses ............................................................................................................................... 13

Core Competencies ................................................................................................................... 14

Corporate Social Responsibility ............................................................................................... 15

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External Analysis .......................................................................................................................... 17

Opportunities............................................................................................................................. 17

Threats....................................................................................................................................... 17

Market Segmentation and Targeting ......................................................................................... 18

Behavioral segmentation ........................................................................................................... 19

Demographic Segmentation ...................................................................................................... 19

Psychographic segmentation ..................................................................................................... 19

Geographic segmentation.......................................................................................................... 19

Competitors Profile....................................................................................................................... 20

Value Chain .................................................................................................................................. 21

Inbound Logistics: ............................................................................................................. 22

Operations: ......................................................................................................................... 22

Outbound Logistics: ........................................................................................................... 22

Marketing and Sales:.......................................................................................................... 22

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Services: ............................................................................................................................. 22

Brand Positioning ......................................................................................................................... 23

Bulls Eye ................................................................................................................................... 23

Problem Identification .................................................................................................................. 24

Suggested Marketing Strategies ................................................................................................... 25

Conclusion .................................................................................................................................... 27

References..................................................................................................................................... 28

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Molty Ortho

Executive Summary

The product our group chose to work on was Molty Ortho mattress, a custom built, and unique

mattress developed by Master MoltyFoam catering to customers with backache problems and the

consumers who want a relax, stress free sleep during the night. The product has different

variants, each serving and delivering value to its targeted consumers as per its designed function.

However, there was very little awareness in the market for these orthopedic mattresses. The

consumers mixed these with normal mattresses and thus there were not enough sales as projected

by the company or as per the potential of the product.

Identifying this problem, we came up with solutions and new marketing strategies for the

MoltyFoam Ortho mattresses which are aimed to increase the awareness of the product amongst

the consumers and also educate the consumers for why they should purchase these Ortho

mattresses and how would it is designed to impact their health. The product has been analyzed

from the viewpoint of various marketing models such as Bulls Eye Model and Porters Value

Chain Model and thus an overall marketing plan has been established to increase the sales of the

Master MoltyFoam Ortho mattresses.

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Introduction

In 1963 Master MoltyFoam was founded by Mr. Riaz Malik. The company began its operations

by initially manufacturing high quality rubber tires for the Pakistan Air force in particular and

also for other sister forces. However Mr Riaz who was a man with great vision wanted to bring a

change in the life styles of the people of Pakistan. Since Pakistan was a newly established

country back then and there was a lack of resources as well, the bedding industry was poorly

underdeveloped. Mr Malik introduced the Master Molty mattresses collaborating with Bayer

(Germany) for innovation and technical benefits and thus Master MoltyFoam soon became a

general name for the bedding and mattress industry in the country.

Over the years, the brand has developed a strong relationship with its customers and is further

committed to be involved with its consumers emotionally and innovatively. The ideology of the

brand is to provide its valuable consumers with a healthy, peaceful sleep by developing products

of high quality and standards so that the customers can enjoy the maximum out of the product.

The company has highly efficient and technological laboratories that ensures Masters elevated

standards of efficiency and proficiency. The research departments are continuously working on

to develop unique and new formulas to produce better foams and mattresses which are not only

affordable for general masses but also provide high level of comfort and relaxation to

consumers.

For interacting with its consumers and keeping them up to date with the new products and

offerings, MoltyFoam utilizes the social media platform. The brand is running a successful
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Facebook page where the consumers are not only given free tips of sleeping patterns and

techniques but also collects constructive feedback from consumers so that it may understand

what problems do the consumers have and then develop a product or a mattress that caters to the

consumers needs. All these campaigns no doubt are helping the brand to develop a strong and a

good relationship with its customers but yet the company fails to attract the right target audience

for its new products.

Our area of study and research is based on the companys introduction of Molty Ortho, a product

developed by the company for providing a relaxed and a stress, pain free sleep to its consumers

having back and muscles issues. The product is a highly potential and a strong opportunity for

the company but the company has failed to market it efficiently. Furthermore, the new entrants

in the industry and the competitors are also giving a tough time to the sales of the product. To

resolve the issue, we would be developing an innovative marketing plan for the Molty Ortho and

thus reintroduce it to the market.

Companys Vision of Molty Ortho

To provide a good night sleep to the valued customers having backache issues/pain.

Thus the very key concept for designing these ortho mattresses is relieving the customer from

back pain and having a peaceful, good sleep. The company is investing greatly in the

development of new variants of orthopedic mattresses so that customer satisfaction and value

proposition can be maximized.

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Marketing Mix
Product

Master MoltyFoam is a Pakistani company owned by Master group providing a wide range of

bedding and furniture products to consumers such as Master Celeste Spring mattresses,

MoltyFiber Pillow and Comforters, Molty Plus, Molty Deluxe Plus, Molty Deluxe, Molty Ortho

Plus, Molty Ortho, MoltyFoam Max, Master Premium Plus, Master Commander and master jet.

Each of the varying products are unique in their own nature and provide different benefits and

value to the consumers.

Our prime focus is on Molty Ortho, a custom built mattress based on extensive research carried

out at NASA centers. The product is a mattress having a unique surface with an ultra-firm foam

which is further quoted with a surface layer of convoluted foam. The base of the mattress is

designed in a way to deliver unbending support for the people who suffer from back ache and the

peaks on the top convoluted layer is there to provide relief from the pressure exerted at parts of
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the body. Its design supports and keeps the spine straight, creating a massage like posture or

action to the gap at the lower back. Over years, Master Molty-Ortho has been proved by

customer use to be the most effective back care mattress in the market.

Pricing

The Master MoltyFoam Company has developed its products for different income levels starting

from PKR 7000 to PKR 100,000 and beyond depending upon the type of the product and the

benefits or the added value of the product. The company does not compromise on the quality of

its products and thus offers best available products in a given price range. The premium products

such as Master Celeste and Molty Ortho Plus are priced premium, i.e. are beyond the purchasing

power of the low income and average income households. Furthermore, since MoltyFoam is the

pioneer in the mattress industry and one of the oldest, therefore, its products are also priced

higher than that of the competitors like Five Star foam and Diamond Foam

The Molty Ortho is offered to the consumers at a price of PKR 15,900, which is a psychological

technique of pricing the product which creates an emotional stimuli in the minds of the

consumers and thus company is able to generate more sales without actually increasing the

prices of the products. However, as established, the sales of the product are not adequate and up

to the expectation of the company because of which its marketing strategy needs to be looked

into.

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Place

With reference to marketing mix, place is the path or the way or the channel through which the

products are moved from the manufacturer to the end consumer. It may incorporate the dealers,

the distributing channels and the display place or the perception that the product has in the minds

of its consumers. For MoltyFoam, the placement of the product is an area where the company

needs to invest in so that the mattresses or the products of MoltyFoam are available to the

consumers locally and at the right time when they need it. MoltyFoam is currently operating a

wide network of around 250 outlets that include retail outlets as well as dealerships where the

Master MoltyFoam is easily available in its all variants.

Now Molty Ortho is only available in big cities of Pakistan whereas the benefits it offer and the

very product itself is in demand even in small cities. It is an everyday need of the consumers and

they want the product to be available locally, within the vicinity of their towns or cities.

MoltyFoam has its own transportation system through which they deliver the MoltyFoam

mattresses to the doorsteps of the consumers.

Promotion

Promotion includes the activities or marketing strategies that creates the awareness of the

products in the minds of the consumers and triggers the stimuli at the sight of the product urging

the consumers to buy the product. It is the marketing strategies or techniques used by the

company to generate sales of their products and attract more loyal customers. Currently the

mater MoltyFoam is using advertisements with the tag line of Nanhi Pari Ghar KO Challi

through which the company actually elicits the consumers to only purchase and give their
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daughters Master MoltyFoam mattresses when they get wed. Furthermore, another strategy

being used by Master MoltyFoam these days is that turn in your old mattresses and get it

exchanged for a new mattress after paying the adjustment.

Currently Master MoltyFoam is engaged in promotional activities through the billboard ads,

television commercials. However, there is a dire need to increase the promotion and awareness

of the Molty Ortho amongst the users so that the consumers can actually know the healthy

benefits that Molty Ortho offers and thus make purchases of the product. Furthermore, there

would be magazine advertisements, where different magazines such as Spider, Hello Pakistan,

Sunday Magazine and many others. This is a very resourceful medium as the different types of

magazines have different types of audiences and thus particular groups would be targeted

through the relevant magazines, like for kids smash and Young children magazine where the

mattresses for baby beds by MoltyFoam would be an attraction. This is further discussed in

detail in the proposed marketing strategies towards the end of the document.

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Internal Analysis
Strengths

The brand is among the most known mattress brands of Pakistan and over the last decade the

trend toward foam mattresses is increasing day by day compared to the old and traditional cotton

mattresses. Secondly as the furniture market is growing sale volume for mattress has also been

increasing as it is a complementary good (product) for beds. It is the oldest mattress selling

company in Pakistan hence has established not just a large customer base, but a customer base

which is loyal from generations and greatly rely on the brand for their choice of mattresses. They

are able to satisfy their customers every time through the wide range of product variety offered

to the customers. The company targets all types of customers as they have the largest production

unit in Pakistan.

The main strengths of master foams are:

Market Leader

Pioneer brand in its product category

Extensive Dealer-ship Network between both the company and dealers and between

individual dealers. Strong Dealer-ships have been developed by the company with

tailored services

The company makes the products with the latest technology and also make customized

mattress according to customer desires because of their production edge.

Efficient Production controlling mechanism is present in the company making sure timely

delivery of product is made.

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High Number of Display centers spread all over the country

Good and consistent Market Reputation because of attentive Marketing research

department aided by an experienced marketing team.

Committed to a high degree of innovation instead of relying on the same old basic

product.

Captured best location in consumers memory terms of Advertising.

Financially Strong Dealers

After Sale Services by the company strengthens the company-customer bonding

High Quality Standards are offered by the firm and now is part of their brand repo

Well Trained & Experienced Staff has been retained over the years who know the

company very well and are loyal employees. As the key staff has 25years of experience in

the company.

Weaknesses

Since majority of the population lie in lower and middle class they cannot afford orthopedic

foamed mattress like Molty Ortho. Secondly, People wait for seasonal schemes like wedding

discount package and winter discount package to replace their old mattress which lower the

profits of the company. Other factors that act as a weakness for Master MoltyFoam are:

Long distance between the head office and production unit making it difficult to control

and oversee factory workers and factory working.

No visible planning for exports of products abroad.

Their e-business facility is not known to everyone, which is a big chunk of present day

economy.

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Ineffective social media campaigns.

Inadequate marketing strategy and distribution channel

Unawareness among the consumers of the value that theses ortho mattresses provide.

Raw materials and technology is imported from abroad, making the prices go high for the

products.

Core Competencies

Core competencies for a business are the elements of a product or beliefs of the firm that

distinguish it from other similar businesses and competitors. As, mentioned earlier,

MOLTYFOAM is the oldest manufactures of mattresses in Pakistan. The experience, the

production facilities and the core operating team that the company has got is not replaceable and

has no match in terms of competition. The company employees are valuable assets for the

company who have been working for the company for more than 25 years and it is these

employees which make the company stand out and prominent in the industry despite of new

entrants. Furthermore the company is involved in research plans along with NASA which is

again a unique attribute of the company to develop mattresses such as Molty Memory, which is

an ortho mattress integrated with technology that enables the mattress remember the sleep

patterns of the consumers and adjust accordingly. The company has best and up to date and

standardized production facilities that enable it to develop uniform and high quality products

without any small manufacturing or designing complaints from the customers.

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Corporate Social Responsibility

The top management and leadership of company is very much concerned for improving the

living standards of the people in the country. They are involved in doing so by not only

producing innovative and productive products but by also serving the community and engaging

in social activities which are discussed as follows.

Understanding its social responsibility, the company launched a social campaign in which with a

Moto: How important a Good night sleep is? Homeless people generally laborers from rural

areas work hard during the day and sleep at night on pavements because they earn below par.

Master MoltyFoam placed convertible billboards that advertise during the day and with a flick of

a hand becomes bed at night. The beds are placed across 9 cities of Pakistan including Multan,

Sheikhupura, Gujrat, Rawalpindi, Daska, Faisalabad, Sialkot, Gujranwala, Lahore. Although a

copy of BBDOs CSR campaign, the initiative is still worth mentioning as in the last 6 months,

40,000 Laborers are sleeping a little more peacefully every night. The campaign is entitled as

Help bridge the Divide.

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Similarly visualizing the low income levels

and the increasing inflation in the country

the company decided to provide relief to its

customers in accordance to the Holy month

of Ramadan by coming up with a strategy

where the customers could turn in their old

mattresses regardless of which brand they

were of and get them adjusted in the

purchase price of new mattresses. This

helped many families to improve their

living standards and enjoy a good healthy

sleep.

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External Analysis

Opportunities

By using its brand image the company has high potentials of entering into new market

segments like developing cities and hospitality industry.

Develop cheaper variants of their premium products like Molty Ortho

There is also a sale potential in Interior Regions of Pakistan which are gradually

developing through urbanization and natives are shifting from usage of local char pies to

classic beds as foam mattress have become a symbol of standard these days.

Apart from expansion in local market the company can also, extend to International

Markets

Through Online Marketing and Sale Portal of the company they can also avail profits

through e-business.

They can also diversify by entering into new product segments like quilts and cushions.

Threats

The political environment of the country is unstable hence any politicized law against the

production of these high tech mattresses can be passed which might affect the company.

Secondly the company can be targeted to political/character victimization by competitors which

can cause harm to the repute of the company and the goodwill it has earned over the years.

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Some other threats faced by the company are:

Inconsistent and unpredictable fiscal policies which impacts the prices and working
capabilities of the industry.

High inflation rate is reducing the purchasing power of the people. Current rate of

inflation is 25%, thus magnitude of sales is not enough and may decrease.

Devaluation of Rupee causes high import cost for raw materials.

Energy crisis is major threat as it hinders production.

The innovation and ease of access to technology is making it possible for new entrants to

enter the industry and manufacture similar products with low standards, which reduces

their costs and hence are sold cheaper, impacting the sales of the company.

Market Segmentation and Targeting

Market segmentation is the phenomenon of dividing the target market into small and unique sets

of consumers, business or countries that are perceived to have similar needs, interests and

priorities and then developing such strategies which are to cater to the needs of theses

consumers. This helps in marketing the right product to the right audience and thus conduct an

effective marketing campaign for the product. The four basic market segmentation strategies

adopted by Master MoltyFoam are;

i. Behavioral Segmentation

ii. Demographic Segmentation

iii. Psychographic Segmentation

iv. Geographical Segmentation


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Behavioral segmentation is to target the product to such consumers who exhibit similar type

of behavioral traits. Thus Molty Ortho would be a great offering for the consumers who have

back pain issues and who want a relaxed, stress free sleep after the days hectic grind. Also,

those who are involved in extensive physical workout like they gym going individuals, the

people engaged in sports and recreational outdoor activities who want a relaxed sleep at night are

also a potential target for the Molty Ortho.

Demographic Segmentation is segmenting the product based on different age groups,

ethnicity, religion, race, gender, family size, income levels and education. Molty Ortho, is a

product with different variants like Molty Ortho memory, Ultra Ortho through which the

company targets all age groups and income groups. Furthermore, the product is for both the

males and females and there are different sizes available due to which the company will be able

to target different age groups as well.

Psychographic segmentation is segmenting a product to such market or target audience

exhibiting different personality traits, values and lifestyles. Rich, elite class people who are only

attracted towards premium products, people with complacent life styles, luxurious living patterns

are a major segment of the target audience of the Molty Ortho mattresses.

Geographic segmentation is segmenting the products based on the consumer base spread

over a large geographic area. Molty Ortho, had its retail outlets and distributers throughout the

country to ensure the availability of Molty mattresses across the country.

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Competitors Profile

With the growing innovation in production techniques and technology, each day easier and

cheaper means of production are being developed by marketers to produce similar brand

products. The major competition to Master MoltyFoam is from Al khair groups Five Star Foam

mattresses Diamond Foam, Uni Foam and Dura Foam mattresses. These competitors are not

very old in the industry compared to Master MoltyFoam and are not abe to impact the brand at a

higher degree but however, they are impacting the sales of the minor variants of the Master

MoltyFoam. Also, these brands are adopting the new technologies to develop competitive good

quality mattresses to that of the Master MoltyFoam which would ultimately impact the business

of the company. These competing brands also tried to imitate the packing patterns of the Master

MoltyFoam but the MoltyFoam rejected all such efforts by advertising their mattresses with the

originality seal and message saying yahi hai asli foam guarantee ke saath.

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Furthermore, this brand has a greater heritage than others and even in advertisements are still

the same as it was 10 years back with only minimal changes. It connects consumers with their

nostalgic memories of past and thereby it increases the trust in the brand.

Value Chain

Porter's Value Chain shows the progression of processes which lead to the final value addition in

the product. It identifies different stages or separate departments within the company which add

value to the final product. The figure given shows Porter's Value Chain in the visual form with

the five generic stages that all large businesses have.

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Inbound Logistics: These are the processes which include to receiving, storing and

allocating resources efficiently in the organization itself. MoltyFoam purchases the best

quality materials for the manufacture of its mattresses and sources the highest quality raw

materials.

Operations: These are the processes which involve converting the raw materials in to

final products for the consumption of the consumer. MoltyFoam manufactures the highest

grade mattresses and bedding products from its raw materials.

Outbound Logistics: These are all the processes which are involved in the distribution

of the final product to the customer. MoltyFoam wholesales its products to large-scale

retailers and also sells its products to the customers through its own sales centers along

with selling online.

Marketing and Sales: These are the processes through which awareness about the

product is given to the market and through which customers are attracted to and

convinced to buy the products. MoltyFoam has used the nostalgic and emotional appeal

to connect to its customers and has run successful television, print and radio

advertisement campaigns along with billboard advertisements.

Services: These are the services that the company provides to maintain the product and

the brand image in the eyes of the customer. MoltyFoam provides delivery services from

its distribution centers to wherever the customers have to take their products such as their

homes. It also provides services where customers are advised at retail centers on which

purchasing decision to make.

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Brand Positioning

Bulls Eye

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Problem Identification

After analyzing all the marketing campaigns of the company and taking the

public view into account. We have arrived to the conclusion that people are

not aware of Molty Ortho-mattresses.

A leading reason for this issue is the taboo attached to back-pain in

Pakistan. Majority thinks that back-pain is a sign of old-age or poor health

hence prefer to hide it from others which leads them to choose the wrong

type of mattress for themselves. However, the real reason or back-pain is

incompatible mattress and wrong sleeping posture. As every person has its

own body type they need a separate type of mattress.

This reason in turn has led to poor purchase of Molty Ortho-mattress. Much

of this unawareness in public due to lack of marketing of orthopedic

mattress and lack of representation of these mattress by sale

representatives as they cannot predict which customer needs one and who

open he will be to the suggestion.

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Suggested Marketing Strategies

We have four suggestions for the marketing of orthopedic mattress of

Master MoltyFoam so that the product sales as well as popularity may

increase amongst the consumers.

1. Co-brand with hospitals for the mattress where the hospitals would be

provided with ortho mattresses at lower rates and the doctors would

recommend these Molty Ortho mattresses to patients, particularly in

orthopedic wards so that the consumers may live a healthy life by the use of

the ortho mattresses. Free brochures along with wall hangings educating

people of back pain issues and how in appropriate mattresses can elevate

the problem would be placed in orthopedic wards.

2. Partner with furniture companies to sell the Molty Ortho mattress as a

complimentary product to their bed-sets which would create the brand

awareness amongst the consumers and would be beneficial for the company

in the long run. The furniture outlets and dealers would be given certain

incentives like commission on sales made from their outlets so that more

and more furniture retail outlets could engage in the activity and thus the

sales for ortho mattress and awareness amongst customers would increase

many folds.

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3. The company would run an extensive advertisement campaign on television, where

people would be educated of how important it is to use the right mattress for their sleeps and hoe

Molty Ortho is the only right and best option available. There would be endorsement by

renowned orthopedic doctors and consultants, athletes and sports people who would endorse ow

comfortable and peaceful sleep they have on Molty Ortho relieving them of back pains and stress

issues. Furthermore orthopedics would demonstrate and explain how Molty Ortho supports our

body structure. Sleeping on it frees our body from weight pressure providing a relaxing sleeping

experience which not only reduces back-pain but also helps in eliminating the chances of

suffering from one because of unbalanced body weight on other mattress and how it supports our

skeletal and muscular system in our sleep.

4. Development of Molty Clinics, a mobile-clinic visiting different places and

localities in order to examine the patients with back pain and identify and

recommend them use the right Molty Ortho mattress for a healthier life.

This would not only promote the brand but also bring awareness about

orthopedic issues amongst the masses. It will be a marketing campaign

blended with a Corporate Social Responsibility campaign. Which will not

only increase sales of orthopedic mattresses but also the goodwill of the

company.

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Conclusion

MoltyFoam retains a large customer base in Pakistan and is the most known mattress brand in

Pakistan. Its products have, over the years, been successfully targeted to all income classes

within the Pakistani society. Compared to previous products, Molty Ortho is a unique product in

the sense that it provides relief from a particular health condition, but due to it not being largely

marketed in the right direction, it has not gained the customer base it deserves and has been

shrugged off as any other mattress. In order for sales to go up, MoltyFoam necessarily will have

to redesign its marketing campaign for Molty Ortho. The suggestions that this paper outlines in

the marketing strategies portion are all designed to overcome this particular problem. Greater

awareness in the market about health issues that arise from bad sleeping posture will lead to a

subsequent rise in sales for Molty Ortho which is a specialized and highly researched product.

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"Master MoltyFoam #MoltyFoamReplacementOffer TVC 2016." Media Spring. N.p., 22 June

2016.

Kotler, Philip, Kevin Lane Keller, Delphine Manceau, and Aurelie Hemonnet-

Goujot.Marketing Management. Montreuil: Pearson France, 2015. Print

"Molty Foams BillBed Campaign- a Silver Lining for People Sleeping Outdoors." Media Bites.

N.p., 19 Jan. 2017. Web. 07 May 2017

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