Marketing

As per Wikipedia, Marketing is the process by which companies determine what products or services may be of interest to customers, and the strategy to use in sales, communications and business development. It is an integrated process through which companies create value for customers and build strong customer relationships in order to capture value from customers in return.

Marketing is used to identify the customer, to keep the customer, and to satisfy the customer. With the customer as the focus of its activities, it can be concluded that marketing management is one of the major components of business management.

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  • Starting a Handicraft Business
  • Selling the merchandise
  • Marketing the Products
  • Export Guidelines

Starting a Handicraft Business

For more info visit www.powerhomebiz.com

Before starting a handicraft business following factors need to be considered

Assessing the demand for products

First step in starting a handicraft business is to find out the demand of products in the target market. One needs to know with certainty that people will want and buy their products. There are certain crafts that cater only to a very small market and cannot profitably support the operation of a business. This problem can be solved by conducting a market research and knowing the latest trends in the market. You can also look for the latest stuff on our website in the browse wholesale section.

Understanding the business basics

Creating crafts is one thing; knowing how to turn a profit from it is another. Understand all the requirements of the business i.e., the capital required among other things and have reserve capital to meet expenses before you are able to produce sales and earn a profit.

Be familiar to local regulations

As a business owner, one should be aware of local regulations, including licenses and permits that are needed to operate a business

Select a place to work

Find an area where you can work, giving consideration to efficiency and the eventual expansion of your business. Whether you will be working in a spare room or rent a workshop area, your workplace must fit your needs in terms of size, services, security and safety. You may want to work from home during the startup phase to help you operate with lower overhead and start with a smaller amount of capital. Make sure that your workplace has an adequate electrical service and ventilation system, particularly if you are using chemical dyes.

Selling the merchandise

Craft items can be sold in a variety of outlets. Here are a few of them

Retail stores

The most popular way of selling craft items is through specialty craft or gift stores. Approach the owners or the merchandisers about carrying the products. At first, start with the smaller boutique stores, offering them discounts for wholesale purchases

Exhibitions and local fairs

Exhibitions, Craft shows, and local fairs are a great way to sell the merchandise. People who visit these markets are on the lookout for unique pieces not commonly found in department stores. Local fairs can offer you the chance to get to know buyers and what they are looking for, as well as check out your competitors.

Internet

The Internet has become an important distribution channel for crafts. One can create their own e-commerce site, or sell products at online auctions. Evaluate the costs of utilizing each online channel, and which one could bring the most customers for their business. Know the various marketing tools that are particular to the web. Use good quality pictures of product on the web to attract visitors.

Marketing Products

For marketing of handicraft products, reputation of the business plays a very important role. It helps in word of mouth advertising. Image of an organization can be build up by consistently making innovative products.

Tools for marketing handicraft products

  • Business cards and pamphlets / flyers.
  • Story about the business i.e., how the business started, how was it in its initial years. You can put this story on your website. Also it can be added in the company brochure.
  • Direct mail. Ensure that you get targeted mailing list. Use a printed postcard, instead of flyers or brochures to cut costs.
  • Internet advertising is the need of the hour. There are many forms to it like targeted banner ads, Google ad words for your keywords, sales promotion schemes like giving certain gifts, coupons etc. to customers placing orders on the web.

Export Guidelines

If the artisans wish to export the product on their own, they need some information regarding where to start from. For this purpose we are providing here some guidelines about how to export a product.

Entering into the market

Before venturing into international marketing, one must be aware of the market overseas. It is important that the right product is marketed in right markets. After carefully selecting the market, the exporter has to decide the method of entry in the market.

There are two ways to enter a foreign market, namely indirect and direct. In the indirect method, the exports are almost equivalent to domestic sale and it is done in two ways namely (a) selling to a merchant exporter or export house in India and (b) selling to visiting/resident buyers.

Participating in international Trade Fairs

A new exporter must participate in as many trade Fairs as possible. This increases its visibility which in turn helps in expanding business.

Export Promotion Council for Handicrafts (EPCH) in India organises gifts & handicrafts trade fair (IHGF). In the fair a range of products are on display like Houseware decorative and gifts, fashion jewellery accessories and bags, Home textiles, furnishings and accessories, eco-friendly products etc. It provides comprehensive information to foreign buyers on the entire range of handicrafts of India and liaisons between Indian handicrafts exporters and foreign buyers. For getting detailed info about the fair visit

Some other trade Fairs in India

For more info visit www.biztradeshows.com

Fashionista Fashion & Lifestyle Exhibition (Rajkot): It showcases all the trendy and designer stuff ranging from Jewellery, Clothing, Accessories, Home Furnishing, Interiors, Handicrafts and much more in variety of hues, styles, trends and designs with exquisite color and contour which beautifully blend the Indian culture with contemporary styles.

Shringar Mahotsav (Maharashtra)

Shringaar Mahotsav is India’s three day prime wedding show which showcases the latest trends while maintaining the traditional values and ethnic customs.

Gifts World Expo (Delhi)

The Gifts World Expo is an expo for corporate gifts & premiums. Hosted by the Media Expositions & Events at Pragati Maidan, New Delhi, India, the event emerges out as a rendezvous between various professionals of the sector from all parts of the world.

Gifts World Expo-Hyderabad

Gifts World Expo-Hyderabad is an exhibition on corporate gifts & premiums. In this event the products on display include acrylic gifts, candles, ceramic gifts, chocolates, toys & games, home appliances, key chains, lamps, leather gifts etc.

Womens Shopping carnival (Mumbai, Maharashtra)

Women’s Shopping Carnival is an event exclusively aimed at highly affluent women of the age group 18 to 35 years residing in posh localities of Bandra, Juhu, Andheri, and Lokhandwala etc. The event offers an excellent platform for exhibitors to display their spectrum of products/services all under one roof. This event is organized by Expo International.

Times Gifts India (Mumbai, Maharashtra)

GIFTS INDIA is a trade show on Corporate & Personal Gifts & Premiums.

Diwali Fest-Mumbai

Diwali Fest-Mumbai is an ideal platform to showcase products and services to the upmarket ladies residing in Maharashtra. The Fest brings together upmarket women buyers and sellers aiming to maximize their reach and creating a brand name for themselves. This event is organized by Futuristic Expo.

China Sourcing Fair (Mumbai)

It showcases the latest and innovative home products in India. This event offers best meeting grounds for visitors and exhibitors under single roof. It is organized by Media Data Systems Pvt. Ltd

Market Research

Another important tool before entering into export market is market research as it helps the exporters in decision making. The need for market research arises to provide a sound database which help the management in taking decisions regarding new product launching, product adaptation and in developing comprehensive and strategic marketing plans.

Export Pricing

For achieving the desired rate of growth in export, effective pricing policing for exports constitutes an essential element. Export pricing assumes strategic significance especially because of the relatively lower technological base of developing economics resulting in higher cost of production.

Selection of agent

This is a very crucial step in export marketing. Artisans who have a good quality product sometimes have to suffer because of selecting agents without doing any research. To solve this problem, artisans should assess their requirements first then accordingly select an appropriate agent.

Promotion

An exporter can promote its products through advertising in foreign publications/trade journals in the target market. A CD ROM catalog of products along with a website providing an insight into its activities/products can be made.

Terms of Payment

The nature of credit terms offered by the suppliers is very decisive in obtaining order.

Export Finance

In export marketing, finance is basically required in two stages: Pre-shipment and post-Shipment. During pre-shipment, the finance is needed for purchase/procure raw materials, for processing, for manufacturing, for assembling, for packaging and for shipping. During post-shipment, the finance is needed for providing facilities to overseas customers till such time as the proceeds are realized.

Export Contracts

In the contract of sale, the parties involved should be aware of the terms and conditions of the contract.

References and additional resources

  • http://www.wikipedia.org/
  • http://powerhomebiz.com
  • http://epch.in
  • http://www.biztradeshows.com/