Project of Marketing
Group Members:
Names;
Roll no;
Shanzah
21202001.035
Ali Tallat
21202001.002
Ali Haider
21202001.037
Abdullah
21202001.025
Haider
21202001.007
Department of BBA 1(blue)
University of sailkot
Presented To: Mam Rooma Qadeer
1
CONTENT TABLE
1)
Acknowledgement
2)
Executive Summary
3)
Introduction
4)
History
5)
Brands Hierarchy
6)
Vision Statement, Mission Statement
7)
Logos
8)
Departments
9)
Factory Outlet Department
10)
Websites of Organization
11)
Corporate Sale
12)
Awards
13)
Supply Chain
14)
Whole Sale
15)
Revenue
16)
Marketing
16)
SWOT Analysis
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ACKNOWLEDGEMENT
The whole praise is to almighty ALLAH, creator of this universe. Who made us the super creature with great
knowledge and who able me to accomplish this work, we feel great pleasure in expressing my deepest
appreciation and heartiest gratitude to Our teachers of University of Gujrat and to the staff of Servis Sales
Corporation for their cooperation.
We would like to express my deepest affection for my parents and friends who prayed for my success and
encouraged me during this internship period. I appreciate and acknowledge the patience, understanding and love
provided by employees of SSC.
A token of special thanks to the following people who had been very friendly, co-operated with me throughout
my data gathering in Servis Sales Corporation and made it possible for me to learn and gather all the
information needed for my report with as much detail as I could. These are the people who in spite of their busy
scheduling took time out to explain to me the procedures and mechanics of data collection in the organization.
Executive Summary
Servis Group is Pakistan's largest footwear manufacturer and exporter. It also has interests in retailing. Its
Group Company, SSC Private Limited, is the country's largest retailer and wholesaler of footwear.
The Group was set up in 1958 and today has sales of more than PKR 9 billion.
The Company runs its footwear retail business under Servis brand as Servis Shoe Stores. It has further
established some of the most loved footwear brands including Don Carlos, Cheetah, Calza, Liza, Toz, and
Skooz. It also has distribution alliances with leading international brands in footwear including NIKE, CAT and
exclusive franchise of ECCO in Pakistan.
SSC a part of Servis Group Which has a rich heritage spanning over half a century and is today regarded as one
of the most respected corporate citizens. The Group invests actively in CSR initiatives and projects – nationally
as well as abroad.
SSC is respected for its innovation footwear designs which are a result of its considerable invest in
merchandising and product development departments. This has proven to be a driving engine for the business
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that has produced millions of satisfied customers. The Company has strategic relationships with Group
companies which offer world class footwear manufacturing facilities in Pakistan.
SSC Retail Business currently comprises Company Operated Stores, Agencies, and Factory Outlets. The
business is now eyeing Large Format Stores and Franchise Stores as its future growth engines.
Servis Group employs close to 8000 people in its following Group Companies:
•
Service Industries Limited
•
SSC Private Limited
•
•
•
Shoe Planet
Soul Collections
Servaid Pharmacy
Above all are separate entities and work their own. Like there are three two outlets yet of Shoe Planet in Lahore
and Karachi where there are imported brands with Servis shoes are available. Shoe Planet is a really a big
outlet.
Soul collection is dealing in ladies’ shoes and same like Stylo. There is a wide range of ladies shoes are
available all the time on Soul Collection and Soul collection has their own network.
Servaid Pharmacy as the name mention is dealing in Pharmacy and has a good name in the field of Pharmacy
and this is now a growing business of Servis.
Introduction
Walking on the roadside, running on a track, climbing the rocks, going for a formal meeting or simply shopping
on weekend, one thing is an imperative for you. That’s footwear. Nothing compares to a pair of shoes that are
trendy and comfortable, and this is where Servis comes in. Making its debut in 1964 in the footwear industry of
Pakistan, Servis today has become the most sought-after name in the shoe industry.
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Servis Sales Corporation is the flagship company of the group with headquarters location in Lahore. Servis
started its operations with a small factory in Gujrat and established its second factory at Muridke Seikhupura
Road in 1987. Today Servis is the largest footwear exporter of the country.
Winner of FPCCI trophy for best export performance six times, product innovation is the most important
element in company’s marketing strategy and that is what makes Servis, a shoe company par excellence.
Popular Servis brands include Cheetah, Don Carlos, Calza, Liza, Skooz, Toz, Servis and more. Servis offers a
new product range twice a year at the beginning of summer and winter seasons.
Servis enjoys a rich history of excellent performance. You can bank on Servis for your requirements.
Unshakeable trust, unmatched products, superb quality and an amazing ability to satisfy the ever-increasing
needs of its clients are some of the qualities that make Servis your unbeatable partner.
History
The story of ‘Servis’ begins with a group of friends – young, energetic, fresh from college – who established
Service Industries more than 50 years ago.
These young men, named Ch. Nazar Muhammad (Late), Ch. Muhammad Hussain (Late) both from Gujrat
district and Ch. Muhammad Saeed (Late) from Gujranwala District, started business in 1941 at a small scale
in Lahore. At that time, they were only manufacturing handbags and some other sports goods. Within years
their business flourished remarkably and they were supplying their products to every corner of India at the
time of Partition.
In 1954, they installed a shoe manufacturing plant at industrial area Gulberg, Lahore. This started production
in the same year. The industry started manufacturing various types of shoes. Later management shifted the
factory from Lahore to Gujrat. Service Sales Corporation (Pvt.) Ltd. the Group’s marketing company was
established in 1959. Humility, fairness, and respect were the values close to the heart of these founders and it
were these values that led to phenomenal success of the Group over the years.
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Brands Hierarchy
The concept for introducing an organized family shoe brand, for mid to lower consumer income group was
conceived in 2015. Therefore, a separate strategic business unit was formed under the name of CALZA in
2016.
1959
Service Sales Corporation (SSC) was formed, with first outlet opening on Mall Road, Lahore.
1971
Reached a milestone of 100 stores.
1983
Cheetah – the first sports shoe brand was formed.
1988
Don Carlos – a premium men’s formal footwear brand was launched.
1993
Liza – the first brand for women’s shoes was launched.
2003
Servis Mega Store – a major multi brand format in partnership with leading international brands
was started.
2008
Servis Franchise program was started.
2009
Servis Retail network crossed the 400 stores mark.
2011
SSC became an independent group after the restructuring of the Servis Group.
SSC wins the Shaukat Khanum Memorial Cancer Hospital and Research Center Social
Responsibility Award.
2012
Shoe Planet – the first multi-brand shoe store was opened.
SSC won the ‘Campaign of the Year’ award at the PAS Awards for its ‘Shoes for Everyone’
campaign.
2013
SSC takes the lead by being the first company to automate its entire operations with Oracle Retail
solutions.
2016
CALZA – dedicated brand for mens shoes was launched.
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Vision Statement
Be the fastest growing company in every market we enter.
Mission Statement
SSC will:
•
Maximize value for its shareholders and business associates.
•
Ensure product innovation and a buying experience that consistently exceeds customer’s expectations.
•
Become a 10-billion-rupee company by 2012 through leveraging its brands, distribution and retailing
strengths.
•
•
Leverage technology to gain competitive advantage.
Strive to provide an environment where employees will be developed, rewarded and provided with greater
opportunities.
•
Continue to improve the quality of life of its employees and their families.
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Logos
1.
2.
8
7. Present One
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Departments
The following are the departments where I worked as an internee and experienced a good time with the
Servis employees.
•
Factory Outlets Department
•
Corporate Sales Department
•
Supply Chain Department
•
Whole Sale Department
Factory Outlets Department
Hierarchy of Factory Outlets Department:
Business Manager
Mr. Younas
Supply Chain Analyst
Supply Chain Analyst
Mr. Mudassar Ikram
Mr. Ghulam Muhammad
There are 33 factory outlets in all over the Pakistan.
Servis Sales Corporation which is working under Servis industries Private Limited is doing its business in
retail which is further divides in Factory Outlets (FOL) and A pair.
According to management FOL is very small part of their business however retail is big Giant.
FOL strategy is very simple. FOL strategy is to sale the rejected material of factories special low-price
articles, dead articles which are not giving sale on the shops and also some A pair articles which are
specially prepared on order from Local venders. I understood from this that the main purpose of FOL is to
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help out the company and save from losses which may be company have to bear because of rejection without
existing of FOL.
Servis Sales Corporation has 6 sources from where it takes delivery of shoes.
There are two Servis Factories.
•
•
Service Industries Limited Gujrat
Service Industries Limited Muridke
There are 3 LPO’s (Local Purchase offices) which is now known as Sourcing Office.
•
Karachi,
•
Lahore
•
Faisalabad.
And the last source is:
• Imports.
Working of these LPO’s is to develop the vendors.
As Servis has 2 factories in Gujarat and Muridke which are full pack means these factories produce fully
according to their maximum capacity, but this production is not enough for Servis retail so then Servis go
towards outsource from their Sourcing offices which are in Lahore, Karachi, and Faisalabad. The Supply
chain Analyst according to their need place the order after checking out all the needed factors like closing
stock, demand and last fortnight sale and the sourcing department make shoes from the local venders and
then Supply chain analyst allocate the dispatches according to their factory Outlets need. In FOL there
are 4 Types of Shoes:
•
A-Pair
•
Rejections
•
•
Imports
Low Price Articles
Brands of FOL:
The following are the brands of Factory outlets
Cheetah
•
•
Liza
•
Calza
•
Skooz
•
•
Toz
Don Carlos.
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Categories and Ranges
There are different categories and different ranges of sizes.
1) Men
2) Ladies
3) Youth
4) Boys
5) Girls
6) Child
English size
French size
6-10
39-45
3-7
36-41
2-5
35-38
11-1
29-34
11-2
29-35
4,5-10
20-23, 24-28
The following are the sub categories of above categories.
1) Sports
2) Shoes and Moccs
3) Chappals
4) Sandals
5) Canvas
6) PVC
S.no
Districts
1
Number of FOL’s
Peshawar
2
2
Rawalpindi
3
3
Gujranwala
4
4
Gujrat
3
5
Sargodha
2
6
Lahore1
4
7
Lahore2
4
8
Faisalabad
4
9
Sahiwal
2
10
Multan
2
11
Sukhar
2
12
12
Karachi
2
All the Servis articles have different codes like Calza 350, Skooz 270, and Liza 429 etc. There is no
duplication chance in FOL and Retail shops. There are different slabs of different articles like if article Calza
350 has become a dead item in retail shop then if company wants to sale this article on FOL. then there is a
slab of this article which tells that at which price to sale this article. Servis outlets have above 80% articles
available all the time. Servis like its competitor ‘BATA’ imports shoes from venders. The business manager
and the team visit China and give them order according to their need so in this way Servis imports. Now the
question is … why there is need of Imports? Because in Pakistan they have to bear much cost and also
Production is also not fulfilling the need. In FOL dept, there are only three main persons who are working
and giving business of billions to the company. One who watches factories, one who watches LPO’s and one
is the business manager who watches all the things and also plans how to generate profit and make all the
decisions.
Two years before when the name of Factory outlet was B pair shops at that time there was some difference
in shops, Company was not showing its interest in FOL and shops were old, not decorated and not giving
sales, but two years ago company changed its thought and gave value to FOL like now our FOL shops are
same like
A pair shops, these are also renovated and furnished and giving different schemes like now “Jeet ka
Shashka”. Targets set by Management himself by estimating their sale to check out last year performance
and by new opened shops. Like if target increases by 40% then 20% target from old shops, 12% from new
opened shops and the left target from sale or reduction.
Target sale Pairs
888,374
This is some facts and figures of last year.
Last year Sale value
Target Value for this
Target Sale Value
(Achieved Value)
Year
(achieved value)
184,998,548
240,713,900
280,572,013
Outlets in Gujrat:
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Outlets in Lahore:
Outlets in Islamabad:
14
Websites of Organization
1. sscwholesale@sscbrands.com
2. servicegroup.com
3. http://www.servis.com
4. https://www.sitl.com.pk
Corporate Sales
This is the hierarchy of this department.
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Country manager
Shahid Iqbal
Senior Manager
Attiq—ur-Rehman
Asst. Manager
Asim Majeed
Corporate Sales
Associates
Mr Rashid
Corporate Sales
Associates
Faisal Imtiaz
Today, Servis is fully geared to deliver the best to its corporate customers. Unshakeable trust, unmatched
products, superb quality and an amazing ability to satisfy the ever-increasing needs of its clients are some of
the qualities that make Servis your unbeatable partner. No matter how big the consignment is or how fast it
has to be delivered, Servis is always there.
Servis enjoys a rich history of excellent performance. You can bank on Servis for your requirements. From
safety shoes to trendy sandals, from highly quality joggers to matchless formal footwear nothing compares
to Servis.
Awards
In 2019 Servis won “BRAND OF THE YEAR” award.
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Servis has won PSX Top 25 Companies Award for the Years 2014-2015.
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Supply Chain
Hierarchy of this Department
GM (Abbas Ali Sherazi)
Senior Planning Manager
Planning Manager
Planning Manager
Planning Manager
Merchandise Planner
Yousaf
Qiass
Fahad
Sheraz
M
Muneer
Aslam
Sadaqa
Baig
Usman
-
Sara
Zaid Bin
Tufail
ShahRu
Supply Chain Department:
In actual Supply chain is about the planning and distribution of Retail. All stages involved, directly or
indirectly, in fulfilling a customer request. Including the manufacturers, suppliers, transporters, warehouses,
retailers, and customers. Within each company, the supply chain includes all functions involved in fulfilling
a customer request (product development, marketing operations, distribution, finance, customer service.
Customer is an integral part of the supply chain. Includes movement of products from suppliers to
manufacturers to distributors, but also includes movement of information, funds, and products in both
directions.
Probably more accurate to use the term “supply network” or “supply web”
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Typical supply chain stages: customers, retailers, distributors, manufacturers, suppliers. All stages may not
be present in all supply chains.
3 Categories:
•
•
Men
• Ladies
YBGC (Youth, Boys, Girls, Children)
Men category look after by Mr. AbuBakar, Ladies look after by Miss Samia Saleem and YBGC look after
by MR Usman Barkat.
Each category is divided in subcategories which are the responsibilities of the other members mention in the
hierarchy. Subcategories are:
Men, Ladies, YBGC
Support Shoes
Shoe Moc
Chappal
Sandal
Canvas
Havai
PVC
EVA
Maximize overall value created. Supply chain value: difference between what the final products is worth to
the customer and the effort the supply chain expends in filling the customer’s request. Value is correlated to
supply chain profitability (difference between revenue generated from the customer and the overall cost
across the supply chain)
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Whole Sale
Wholesale Department
Company
Corporat
Retail
Wholesal
Dealer Network
Retailer
Brands
Cheetah -------- Joggers
Don Carlos------ Formal/Casual Shoes
N-Dure--------- Casual Shoes
Maximus-------Formal Shoes
Calza----------- Open Chappal
Liza------------ Ladies Slippers
Skooz---------- Men/Ladies/Youth/Boys/Girls/Children
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Revenue
It has annual revenues of about PKR 18 billion. ($170 Million.) and is the largest manufacturer of footwear,
tyres & tubes for two-wheelers, and has been the largest footwear exporter of the country for the last 10
years The following are the facts and figures of previous and this year in which we can see last year sales
pairs and last year sale value with this year sale pairs and this sale value with total % age comparison of this
year with previous year.
₨ 18 billion (US$170 million) (2019)
Revenue
Net income
₨9846.8 million(US$9.7 million) (2019)
₨19865 crore (US$930 million) (2019)
Total assets
Pattern of share holds in Servis Industry Limited:
Directors, CEO, and their Spokes and minor children
5,380,116
44.72%
Associated Companies, Undertakings and related parties
580,138
4.80%
Banks, DFI, NBFI
836,420
4.95%
Insurance Companies
12,054
0.10%
Mod arabas and Mutual Funds
1,953,353
16.20%
General Public
2,300,780
18.92%
Others
965,028
8%
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The Wholesale Business operates through numerous regions and cities:
Marketing
Competitive Advantage
Servis has competitive advantage on its product range, its brands name, and Price.
Customer Services
Servis provide Customer Services through give them warranty and guarantee on shoes.
Customer Relationship Management
To develop customer relationship management Servis provide Loyalty cards to their Loyal customers. Every
customer who consumes 1500 RS to purchase some article can become a loyal customer and can get Loyalty
card by filling a form and then after some process company dispatches the card. Company also sends
catalogues on customer’s addresses. One-time entry on every 500 consumed in the shop. Last year one
person won a car who belongs to from Jhelum then company advertise him through ads photographs and
print media.
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Company also provide after sale services.
Marketing Strategy
SSC use aggressive marketing and take advantage through give ads on TV channels, different campaigns
and promotional activities so their competitor is so far from them on this side.
Advertising
There is a team who plan that when there is need of advertisement and how to advertise or running a
campaign but there is no advertising agency of Servis so Servis use outsourcing from different advertising
agencies.
SWOT Analysis
Following are the strengths, weaknesses, opportunities and threats which I personally observe in the
company. Strengths:
•
Largest footwear group in Pakistan
•
60 years experience
•
•
Accessible to all income segments in country.
•
Geographical coverage
•
•
•
•
Variety of products
Image of durable shoes
Strong market share in sports and school shoes
Brand name like Cheetah, Don Carlos Weaknesses:
•
•
•
Old employees
Female market penetration is weak
Low aspiration value in high income group
Don Carlos communication seems to be static. Need to find ways to build on the strong equity of the
brand.
•
•
Weak corporate image of Servis group
Distribution network as compare to Bata is little bit weak. Opportunities:
•
•
Penetration in the female segment
Creation of innovation and customized products
•
Further segmentation within sports segment
•
Improve shopping experience at retail outlets
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•
•
Stiff competition in the market from local and foreign brands
•
•
•
Major portion of market untapped Threats:
Aggressive marketing tactics by other shoe manufacturers.
Different market segments have been targeted by competition.
Unbranded small players competing against different brands of Servis
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