Marketing Plan of Mother Energy Drink

Executive Summary

Mother energy drink aims to provide high quality energy for people. In June 2013, Mother introduced a new energy drink flavor which is Green Storm. This new flavor can expanded the Mother range to add a variety that is perfect for consumers who are looking for mother of an energy hit, with naturally sourced caffeine.

The main idea of this marketing plan is to gain more interests of its customers, make more people to understand this energy drink. The highlights of this plan are using the marketing research data to find out he strengths, weaknesses, opportunities and threats of Mother energy drink to compare with competitors. By considering the consumer behavior, Mother energy drink introduce different types of taste.

In this way, Mother energy drink aims attain through a proactive approach to potential customers. This marketing strategy has been established to the basis of three years of market research. Data conclude the size and growth of the market and geographical segments, customer needs, alternative evaluation, marketing mix (ups) and buying behavior trends have been on the upswing. Contents

Mother was introduced in late 2006 to compete with the two leading energy drinks on the market, V and Red Bull, which then dominated the $151 million industry and accounted for 94% of sales. Mother remained unaltered on the market for 18 months. Reports emerged in mid-2008 that Coca-Cola had undertaken extensive market research to re-evaluate Mother after it failed to equal or exceed the popularity of V or Red Bull due to most consumers reporting the original formulation to be distasteful.

Coca-Cola altered the formulation with respect to taste and addressed consumer satisfaction in regards to the ungenerous standard 250 ml can by doubling the size to 500 ml without effect on cost, thus exceeding V and Red Bull which remained 250 ml. Mission statement The mission of Coca-Cola Company is very simple and clear which is to provide products and services that meet the beverage and business needs of customers and consumers.

In doing so, they will provide sound and rewarding business opportunities and benefits for customers, suppliers, distributors and communities. Vision statement In the short-term, Coca-Cola will provide the highest quality to their consumers and seines partnerships and value the work satisfaction and lifestyle of each associate.

In the long-term, Coca-Cola will meet shareholder needs by achieving sustainable growth, and moreover, they want to strengthen relationships with the community and their responsibility to the environment Goals In term of products, Coca-Cola Company is trying to innovate with natural sweeteners, which have the potential to lower calories per serving, and they will also continue developing pr consumer needs Marketing overview Market category ducts to TN additional nutrients to meet global. The launch of Mother Green Storm will be accompanied by an integrated marketing communications campaign, including sampling and social media.

Mother Green Storm will be available in three pack sizes: mall, mall and 4 x mall. The new flavor will be available at supermarkets, grocery stores, corner stores and petrol stations Australia-wide. Market size The size of energy drinks market: According to this Statistics, energy drinks only hold 1% of shares in the drinks market. Market potential Mother energy drink will reach 20 percent market share of the total energy marketing share. Marketing structure Because there are lot of energy drink in the marketing such as red bull, monster, rock star, and amp and so on so this marketing is competitive.

  1. Economic. With the development of worldwide economy, more young people can afford to drink energy. More and more care about their heather, so they will pay more money for their drinking.
  2. Technology .Energy drink is not like normal drink, it have many trace elements to replenish people which they loss. That need high technology to make it, the higher technology the better effect. Competitor analysis As a famous energy drink company, Mother is a drink company marketed o Australia and New Zealand by Coca-Cola. Mother has several considerable competitors.

The competitors could be classified as direct and indirect competitor. The direct competitor is like the monster, red bull, rock star and amp. The indirect competitors are like some vitamin water, sports water and coyote, which are NAS the similar effect as energy drink. For comparison, red bull is considered to be the most competitive energy drink. It is one of the most popular energy drink brand in the world and it is effective work. The other competitor is amp energy, which is belongs to Pepsi company.The form below is the Strengths and Weaknesses analysis on Mother’s significant competitors.

The durability is shorter than others I Performance The performance could be classified as the function and the quality. Mother is an energy drink marked to Australia and New Zealand. As for the function, the effect of this drink is let people feel energetic, has the energy to sports. Mother energy has the feature of durability. The quality of mother energy is also could be trustworthy. Mother is the one of the most popular local energy drink in Australia for many years. Positioning To position the market, it should be depended on the circumstance that what are the competitors doing, what are their recent imaginable actions.

 Red bull is doing economic sponsor for many competition for the stake of make brand more popularity. The ingredient in red bull has been improved, in order to more suit for human body, more healthy. They also changed the packaging to be more fashion, and let some sports star to be spokesperson. I AMP Energy drink  . AMP is positioning to more flavors of energy drink. Let people has more selection. Science 2008, AMP has sponsored MASCARA driver to spread the brand. Let more younger people drink it I Mother Energy drink .

Mother is the local brand in Australia, it can has more marketplace. Recently, mother launched a new Energy drink variant to the market, featuring “Fuel Cap Bottle”. This drink is similar to the new mother taste and boasts mothers “8 energy ingredients” as the main push. Buyer behavior Buying roles There are 5 roles in buying behavior, which are initiator, influencer, decider, buyer and user.  Initiator is the first person who points out the needs and ants.  Influencer is the person who influences the purchase decision.  Decider is who made final decision.

Buyer is the person who actual paid. User is the person who used the product and the beneficiary. In this case customers who want Mother, could be these 5 roles. There are 5 steps in buying process: needs recognition information searching alternative evaluation purchase decision after purchase When people first time realize they need energy drink to provide energy, they will go to supermarket and looking for marketing information, see what market can offer them. After that, customers will compare the brands and flavor or even other criteria.

In this case, people will find that Mother has lot different flavor, such as Mother Surge, Mother Lemon Bite. After they drinking, if the product performance over customer expectation, customer will be satisfied. However, if the product performance less than customer expectation, customer will be unsatisfied. People can buy Mother anywhere from the shop, supermarket or bodega Market Segmentation Market segmentation is portions of the overall market that are different from one another and it consists of consumers with similar characteristics and needs.

A successful organization will understand that they cannot sell everything to everybody therefore marketing segmentation implies on the understanding of consumers and satisfy their needs better than the competition. The segmentation profile of Mother energy drink will be based on Australia such as geographical segmentation, demographic segmentation, cryptographic segmentation as well as behavioral segmentation. Geographical I Australia is the sixth biggest territorial area in the world. It has a dispersed population where people from different places came to live in together as a nation.

Its population is 23,1 55,161(August 2013). Moreover, the climate of Australia is tropical, being hot and humid all year, especially the middle of Australia. Thus, having the energy drink around, it cools their throat as well as providing the people Witt energy that is needed tort some parts to the state, which requires them to work late Demographical I The specific age group that would be interested in the drink Mother would be those from the age of 18 years old to the age of 25 years old. Due to the range of age factor, most of the target youth’s occupation is more likely to be students and working adults as well.

There are still some students who take up part time Jobs in order to earn more money while studying. They have got disposable income, which is used to spend on Mother, a convenience product. Mother may focuses on young men who are always in need of an energy booster in order to do bigger things. These young men would require an energy drink to stay up late at night, due to gaming, or for exercising purposes.  At the psychological traits, these consumers who purchases Mother, are those who belongs to the lower social class groups.

These young adults ranging from the age of 18 years to 25 years old. They are young, enthusiastic, impulsive consumers, who seek to savor the new and offbeat product. They have less responsible so they can spend much of their income on trendy consumer goods and entertain themselves. Furthermore, they are active in both physical and social activities. For instance, consumers who do activities such as going to the gym, or doing sports regularly. Mother is also a form of sports drink for the sports people.

As Mother portrays itself as an energy drink that could generate bigger ideas and doing bigger things as shown in the Motherland Advertisement marketed by Coca Cola, this exults in consumers wanting to correlate themselves with the drink as they want to be portrayed as a capable person or a person with an energetic personality. Mother energy drink looks pking new to young men as an all-natural drink with attitude since the branding on the cans is gothic and reminiscent off tattoo. I Behavioral I The target market is using Mother Energy Drink as rejuvenated drink.

Therefore, Mother can be aimed to offer the promotional package, which sells two mall cans of Mother for Woolworth and Coles. The usage rate will be leading to moderate to high user depends on their consumptions. This is because sportsmen who are constantly working out, they would be consuming more of these energy drinks to give them the energy they need while exercising. On the other hand, students who are constantly up late at night, studying, or doing leisure activities that requires them to stay up, would also consume the energy drinks in order to feel perked even in the early hours.

Mother will be consumed mostly in the day and night compared to the afternoons. This is because these are the two crucial times in which these energy drinkers would need the energy to do their activities at home, a friend’s place or at he club or bar Internal Analysis SOOT analysis is an analysis of company’s strength and weakness, also measures the opportunity within the market environment and investigates the threat that might affect their achievements. What does Mother do better than I TTS competitors? And what is the advantages does Mother have over competitors? Mother has opened market towards teens . It is clearly that this kind of videos uploaded on the internet for people who loves crazy staffs or who likes to enjoy their lives within limit life while they are young.  Hence, the advertisements told their audiences Mother can give your energy hit and the message sent to teens are whether you did any crazy things ‘Mother Made Me Do It’ which is interesting enough to become their advantages: grabbing Australia teens attention.

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Marketing Plan of a Waste Management Company

Table of contents

Executive Summary

Green Industry is an organization that will provide a complete solution for managing industrial liquid waste to large and medium-sized companies. It will be a business to business service. In recent days environment pollution has become a concerning issue for everyone.

Marketing Strategy

The marketing strategy is the core of the main strategy:

  1. Emphasize high value, high-quality products, and services.
  2. Build a relationship-oriented business.
  3. Focus on large and medium industries currently producing liquid wastes and polluting rivers severely as our initial markets.

Products and Services

Our products and services offer a needed solution to the selected industries. We will provide two types of product:

Liquid waste solidification service: This service is suitable for those industries that generate liquid wastes required a convenient, cost-effective, and environmentally friendly way to dispose of these substances. This solidification process involves mixing liquid waste with selected reagents and/or absorbents to create a substance hard and dry enough to be landfilled.

Solidifying liquid waste in this manner allows companies to economically dispose of non-hazardous liquids in a Green Industry Subtitle “D” landfill while reducing its long-term contingent liability. Our consultant will evaluate the liquid waste to see if it qualifies for liquid waste solidification treatment and then determine the specific reagents needed to solidify it. The recommended treatment will be conducted in a safe and timely manner in full compliance with environmental regulations.

Recycling service: This is for those residues which can be recycled from waste to fertilizers and other soil enhancers.

Recycling is biological decomposition of organic materials. Bacteria, fungi, protozoan, insects, worms and other organisms typically play a part in the decomposition process. Composting is nature’s means of recycling. It will turn grass clipping, leaves, vegetables, fruit and other organic materials into a very beneficial soil amendment. As a market pioneer we will offer certain services.

They are:

  • We have a well-established website to inform our activities and services to our current and potential customers. Moreover, they can place the order on our website and we will provide them their desired services within 3 days.
  • In order to increase the value of waste, we will consult on different options of managing waste taking into consideration risk and cost/benefits and the present legislation of residues treatment and disposal.
  • We will provide an exclusive service at a low cost to maintain our disposal system to our customer.

There will be several teams consisting of technicians and workers who will go to the companies individually on a regular basis to check the system working properly.

Product Description

Liquid waste solidification: A solidified liquid waste is a Six-Step Process.

  1. Evaluation: Based on waste profile information provided by the customer or samples taken on site, Green Industry technicians test the samples at the nearest Green Industry landfill and select an appropriate mixture of reagents and/or absorbents for treatment
  2. Transportation: Green Industry transports the liquid waste to a designated Subtitle D landfill where it is weighed. Transport can be accomplished using tanker trucks, drums or roll-off containers.
  3. Monitoring: The liquid waste is poured into a specially engineered liquid container basin. This basin is monitored regularly to ensure that its surface remains intact and that no liquids leach into the surrounding environment.
  4. Introduction to Mixture: Reagents and/or absorbents are introduced to the mixture. The basin may then be sealed depending on local air permit regulations or to fit the needs of the waste materials.
  5. Tests: The liquid and reagents/absorbents are mechanically mixed. Once the liquid hardens, one or more paint filter tests are performed to confirm that the substance is no longer in a liquid state.
  6. Landfill Disposal: Solidified waste is transferred from the engineered basin to a site vehicle and directed for disposal within the adjacent Subtitle D landfill.

Recycling

The residues which can be recycled to fertilizers will be evaluated by our experienced technicians and then will be sent to our recycling department to process it. These recycling/composting units work as follows. The unit is 50 feet long. The sludge is placed into one end of the unit. To make compost, additional dry fibrous material such as sawdust, wood chips, or bark must be added. We will acquire a steady supply of these from International Paper Company. The unit turns slowly, making four revolutions per hour, to ensure that adequate oxygen gets to all of the composting material. Also, the unit is set on a very slight, 2 degree angle so that as the unit turns, the material slowly migrates toward the opposite end of the unit.

During the composting process, the material heats up (due to the natural reaction) to temperatures of approximately 140 degrees Fahrenheit; this kills any harmful bacteria in the composting material. Temperature can be controlled to ensure optimum composting environment. Also, the moisture levels can be controlled to ensure optimum composting. After three days, the material has reached the opposite end of the unit where it is removed.

Pricing

In Bangladesh most of the industry-owners are not willing to pay high cost to develop effluent management system in their industries. So our main goal will be to provide our service at minimum possible price in the first phase of the business. Place: To reduce our cost we will use direct distribution system which means all our services will be available in our regional office. Promotion: Our promotional strategy will be two-fold: first phase promotion will focus on before, during, and six months following our opening; the second phase of promotion will deal with the long term activities. The purposes of the first phase are to create market for our company and to ensure early and sustained profitability.

The purpose of the second phase is to ensure long-term growth and helps boost us toward achieving our goal of expanding new market and sectors throughout Bangladesh. In this report we will describe the first phase of promotion.

Personal Selling

Once face-to-face with our customer, we will be unique in our creative and flexible approach in order to solve our clients’ waste problems. Our approach will be that of a consulting firm. We will visit the customer and investigate which residues the industry has. We will manage and collect whatever residues exist.

The process begins with an evaluation meeting with our future client where our representative will analyze the scrap output and recommend the most efficient collection system. Pick-up will be scheduled on an as-needed basis or on a regular schedule, depending on the situation. The client’s needs can be met by a variety of equipment, including special trucks. After the initial consultation, a comprehensive and customized proposal will be submitted to the customer. The result will be a program that fits neatly into an organization’s day-to-day activities as well as its long-term planning.

Arranging Campaigns

About 6,000 large and medium industries and 24,000 small industries are operating in Bangladesh which discharge effluents directly to the rivers or nearby canal or waterbed without any regard to environment. Green Industry will arrange a huge number of campaigns and seminars to aware people about the river pollution they are responsible of. We will focus mainly on the owners of textile, tannery, pharmaceutical, pulp and paper, metal, food industry, fertilizers, cement, and chemical industries to attend these campaigns and seminars.

According to an expert, ‘‘an average of 19 cubic liter water containing more than 300 different chemical compounds is being discharged daily from these industries. ” So our main objective will be to protect our rivers from pollution by influencing industry-owners to adopt waste management system and for their convenience, we will provide our technology. Advertisement: We will utilize direct mail and face-to-face promotional strategies to raise awareness about our products and services in the target markets. Newspaper advertising may also be used.

All our advertisements will convey two messages: stop pollution and use our product because we are trustworthy. We will focus on our services in our advertisements. Some Billboards promoting Green Industry will include a statement referring to aware people against river pollution in the industrial areas. The statement could be, “Can you live without pure drinking water? If not, Save the Rivers and Adopt Waste Management”.

Internet: We will have a content-heavy website geared toward educating potential customers about the benefits of our products and services. All literature, business cards, etc. ill include our website and e-mail address information. Sales Promotion: We will offer special offers to promote our product in the beginning stage. For example, we will install the plant with no service charge for the first 100 customers. Besides, we will offer discounts and prizes on special occasions.We will also induce product trial but in a limited way.

Second Phase Promotions Publicity

As the business grows and expands we will continue to seek publicity through news media to tout our successes.

Advertising: We will continue to make face-to-face contact with customers and potential customers. Mail-outs will be done again within a few months of start up. The second round of mail outs will be updated to reflect the benefits provided to customers thus far. Such mail-outs will be sent periodically.

Internet: We will continue to have a comprehensive website. The website will be updated to provide responses to frequently asked questions. After the first six months, and certainly after the first year, we will evaluate the viability of having target clients advertise on our site, and conversely, we will evaluate viability of advertising on our target clients’ websites (if applicable).

Product Life Cycle

Every product has a limited life and product sales pass through distinct stages, each posing different challenges, opportunities, and problem to the seller. Introduction Stage: At the introduction stage our sales growth will tend to be slow because it takes time to roll out a new product. Our profit will be low or negative. Product Life Cycle In the introduction stage our marketing strategies will be:

  • Product will be introduced to the target market with brand name and trust.
  • Pricing will be low. We will maintain a lean cost structure. We will dispose of waste in large quantities, thus enjoying lower costs and economies of scale.
  • Distribution will be selective until customers show acceptance of the product.
  • Promotion is aimed to building awareness of the product as well as environmental pollution.

Growth Stage: When our product will be accepted by the early adopters, we will tend to achieve the growth stage. In this stage, our strategies will be:

  • Product quality will be maintained and our research and development department will try to add new product features.
  • Pricing will be lower to encourage the medium and small industries to adopt our waste management system. Distribution coverage will be increased to other division of Bangladesh. We will provide our service in Khulna and Bogra outside Dhaka.
  • The promotion will be for product preference advertising. We will focus more industries in our promotional activities.

Situation Analysis

Dhaka city of ours is affected with various environmental problems staking the lives of its inhabitants. Because of highly dense population, lack of environmental consciousness among the inhabitants and absence of proper role of public agencies it is going to be one of the deadliest cities in world as well. At present river pollution in Bangladesh has become a headache for all environment concern people. In Bangladesh, industrial units are mostly located along the banks of the rivers. There are obvious reasons for this such as provision of transportation for incoming raw materials and outgoing finished products.

Unfortunately, as a consequence, industrial units drain effluents directly into the rivers without any consideration of the environmental degradation. The most problematic industries for the water sector are textiles, tanneries, pulp and paper mills, fertilizer, industrial chemical production, and refineries. A complex mixture of hazardous chemicals, both organic and inorganic, is discharged into the water bodies from all these industries usually without treatment. To improve the situation, the government has decided to make it mandatory for all industries to have effluent treatment plants.

But in Bangladesh, there is no such a company like us to provide the complete solution for managing liquid waste. Therefore it is the high time for us to enter the market and create consciousness among people against river pollution.

Customer Analysis: Target Market

ILRM will target the industries which produce liquid and hazardous residues. We will use demographic and geographic segmentation so that we can reach the customer more efficiently and effectively with products and services that match their different needs. Geographic Segmentation: Green Industry will focus on these areas which are being densely polluted by the industrial wastes. The major industrial locations of the country are concentrated in three metropolitan areas:

  • Dhaka, which includes Tejgaon, Hazaribagh, Demra, Tongi, Savar, and Narayangonj.
  • Khulna, which includes Shiromoni, Kalishpur, and Rupsha.
  • Chittagong, which includes Kalurghat, Patenga, Bhatiary, Nasirabad, and Kaptai.

Bogra is a rapidly growing industrial center in the northwestern part of the country where many of the machine tools and agro-based industries are located. In the first year of operation, GI will target only to Dhaka and Chittagong and after reaching the break even point in these locations we will expand our area coverage.

Corporate/Professional Segmentation

As GI’s mission is to reduce water pollution by installing GI’s product in the selected industries, we will keep those industries which are mostly responsible for the pollution on our center of our attention. Estimated industrial pollution has summarized in Table 1 in the index. It shows the top-eleven most polluting industries, which we will focus on. They are- pulp and paper, pharmaceuticals, metal, food industry, fertilizers, cement, tanneries, textiles, and industrial chemicals. Market Growth: This market growth is fueled by a more health-conscious customer. By different campaigns and seminars we will induce industry owners to adopt waste management process which will enable us to grow our market. Again, our recycling process has a great potential market of selling fertilizers.

After a certain period of time when our company reaches to maturity stage, we will introduce more ways of disposing hazardous and non-hazardous industrial residues. This will help us to continue our market growth smoothly through entering into new market segments in different stage. Market Trends: Current trends in the market greatly favor the start-up of our waste management business. Laws have been passed in Bangladesh placing greater emphasis on industrial waste management. These laws take effect in 2009. Large industries are already seeking a means of disposal their waste in an environment-friendly way.

So Green Industry solves their problem. Again our recycling department also has a great impact on organic fertilizer market. The demand for compost to use in organic farming and other applications is growing rapidly. Marketing Strategy for Small Industries: Some small industries will not have much space for implementing our liquid waste solidification process. Because they also produce toxic liquid wastes which pollute rivers at the almost same rate as large industries do, we have special service to offer. We will provide them a special kind of containers to pour their liquid waste into these containers.

Then we will collect the ontainers daily and dispose them safely in our company’s personal basin constructed in our factory area. The service charge and transportation cost will be paid by the customers. Level of Competition: In Bangladesh the level of competition for our company is low. There are no companies in the market that have a proposal like ours: to manage all liquid waste released by a company, either with commercial value or not, in a safe way. The main competitors are the current companies that collect specific types of scrap. Most of these companies are small, offering unprofessional services with low scale economies in their operations.

Risks

After evaluating the critical elements of the investment and business risk, we have come to the conclusion that there is an acceptable overall risk for the Green Industry concept for the following reasons:

  • Industry: We will be a pioneer in the nascent industry. However, this industry has great potential.
  • Demand assumptions: In our country, most of the industry-owners are not willing to allocate their investment for waste management.

Rather they will throw their wastes to a river which is cost-free. Our main obstacle will be to pursue them to develop a waste management system. Again small industries do not have much space and investment to apply our waste management system. Though we have a different and convenient plan for these small industries, but convincing them will be much tougher than the pursuing big industries.

Technological and operational obsolescence: New operational and technological processes will likely reduce the quantity of waste generated. However, this will not only be a slow process, but not all companies will be willing to pay for the changes required. Some industries will be very difficult and costly to change.

We believe there will always be an industrial waste demand. Branding: As a new company brand value is important for the growth of our business. We will create our brand equity by stating the benefits and attributes of our products and services. Our brand will say our core value which is to save our river water from getting polluted. Moreover, our brand promises to provide all stated services to our customers. Benefits of liquid waste solidification:

  • Cost-savings over alternative treatment and disposal solutions.
  • Compliance with environmental regulations.
  • Long-term indemnification.

The advantages of this recycling/composting method are as follows:

  • Recycling is completed rapidly in three days. Other methods take 90 plus days.
  • Waste materials in the unit are isolated from the environment.
  • The manager has precise control of moisture, temperature, and aeration during the process to ensure the most efficient composting possible.
  • In-vessel composting can maintain a rapid decomposition process year-round regardless of external ambient conditions. The material can be used for improvement of organic matter content and fertility of soil.

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Marketing Plan for Costa Coffee

Table of contents

Introduction

Costa coffee is considered as one of the largest and the fastest growing chain of coffee shops in United Kingdom. In 2010, it was voted as the nation’s favorite coffee shop. Costa coffee was founded by Italian brothers Bruno and Sergei in 1971. Since its inception onto the market through the opening of its first shop based on London, the company has enjoyed amazing growth making it an own of over 1,300 stores in I-J, and more than 700 stores in other 24 markets.

Regardless of being in a market hat has historically proved to be driven by consumption rather by quality, Costa coffee has managed to successfully change the way customers think, buy and consume coffee (Grosser, 1993). It was the first I-J coffee shop china to commit itself to sourcing from Rainforest’s alliance certified coffee. All of its baristas are coached in art of hand making coffee at its unique Costa coffee training academics. The company is already the Auk’s leading coffee shop brand. It is the second largest international coffee shop with more than two thousand stores outlets globally.

It has strategists at acclimating expansion in I-J and targets at opening around hundred stores during the 2011/2012. New stores include high street locations, universities, hospitals and adding to already established retail outlets through partnerships with companies like Tests (Ellis, 2010). In addition, Costa coffee targets at furthering expansion into international markets with help from its 2009/10 acquisition of coffee heaven (Gilchrest, 1996). The acquisition has added 89 more stores in central Europe region.

The company also targets to open more than 200 more stores in key markets including India, china, Central Europe and Middle East (OSHA, 2005). Considering the great plans for the coffee shop, this paper will utilize the company’s background information and use marketing models, theories and competes to propose and develop a three year marketing plan for Costa coffee. The plan will include market segmentation, targeting and positioning alongside its growth opportunities. Also, marketing and promotion strategies will be explored in the plan.

Mission statement

The mission of Costa coffee is to serve the best coffee in true Italian style.

In order to achieve this, the company focuses on quality control at every stage in the process of By watercourses y the fact that the company has its own roasters that ensures a constant unique blend. Costa coffee envision to being the best hospitality company with a family related hotel, restaurant, and leisure club brands recognized by its people, customers and investors as leaders in every market it operates. Product service Costa coffee is part and parcel of the Whitehead and other family of brands engaged in the business of providing hospitality services in a single form.

The company operates Auk’s number one brand around the world and together serves more than ten million happy customers monthly. Costa coffee is considered as one of the world’s leading force in the coffee market thus its brand is reputedly renowned and preferred.

Target market

Costa coffee strives to ensure that it appeals to all ages hence, young and mature customers are expected to derive satisfaction from the company’s array of choices of products and services. The company’s menu is designed such that it specifically caters diverse customers’ preferences (Mistakes, Wheelwright & Handyman, 1998).

Also, it guarantees that its coffee satisfies the most discerning customer tastes. Therefore, its coffee is bound continue to satisfy customers across the globe.

Market segmentation

Market segmentation of Costa coffee can be defined using various market segments based on economic profiles, cultural groups, age groups, professional classification, marital status and ethnic or religious. Market segmentation based on economic profile includes the middle class, upper middle class, and the privileged class, whereas age groups are classified as teenagers, young adults, and adults or mature.

Professional market segment includes students, young professionals, mature professionals and the retired. In addition, based on ethnic/religious classification customers fall into Christian, Hindu, Muslim, and other, while ethnic segment include Asian, African -American, Caucasian, European or Latin-American customers. On the basis of familial and marital statuses, Costa Coffee’s target customers are either single, single with dependents, married, married with children or married with dependents.

Market positioning strategy used by Costa coffee in Chinese market is maintenance of its global positioning as the Italian coffee masters. This is position is attributed to the fact that the company offers the best and the unique coffee with the est. quality when compared to that of its competitors. Costa coffee boasts of better tastes, unique and production of its coffee under strict hygienic conditions. Also, the underlying positions for the company both its global and upcoming markets in china and India include highest standard of luxury, best service and excellence in reputation.

The company’s tag line, the Italian coffee masters plays a significant role in communicating the company preeminent position as a business of the masses. This positioning is essential in magnetized more customers to Join the company. The Meany’s customer insight group targets using store designs and development of new products to gain access to Chinese and Indian markets. Based on age, Costa coffee targets at market segment of I-J customers who are mainly averagely aged areas old. The other segment of the market is the international businesses.

They have age average range of 28 years of age consisting of young people who are advocates of the media. Indian and Chinese market segments consist of populations Costa coffee faces competition from a number of competitors including Cutbacks which gained an entry into Chinese market ten years ago. Also, a regional player in the Indian market called cafe coffee day is posing a threat to the company because it is expanding into the European market and has become synonymous for the majority of Indians with a cafe experience. Quick service restaurant brands like KEF and Subway are Joining Costar’s cafe competitors list.

The McDonald’s is increasing its presence in the European market, hence increasing competition for Costa cafe. In its plans to expand to Chinese market, Costa cafe strategies to reduce the levels of competition by entering the market through partnerships with a local company. This will reduce levels of competitions while also ensuring the company gains understanding of the local culture of Chinese customers in a competitive way. This will enable the company to stay competitive with the establish players like Struck. Marketing mix Market mix at Costa coffee includes its products brand name, image/theme, and service and product variety.

Company’s brand name COSTA is its signature and it signifies excellence, luxury and perfection around the world. Alongside quality, status and image, the company has made its brand name a trademark recognizable and arguable in today’s market environment (Torching, 2007) Costar’s image or theme is luxury, and is specially designed with company’s consumers in mind. The company’s image emphasizes on comfort and luxury with style. It provides trendy and soothing ambiance (Kettle et al, 2008). Therefore, sobriety of the company theme helps in inviting consumers to spend their quality time with the company without tacky flash and glitter.

Colors sued in the company’s brand logo, color scheme of its premises and general feeing of the entire premises portray a relaxing mood and warm tones. Costar’s dominant color is brown with some touches of white, black and green (Kettle & Armstrong, 2004). The color scheme chosen for the company aims at providing a relaxed and comfortable environment that is upbeat and trendy. At Costa coffee, its reputation does not only apply to its exceptional coffee tastes, but also on its insistence on offering a perfect service.

Its marketing mix involves recruitment and retention of highly motivated and very talented staff capable of delivering the best service to company customers. Emphasis is placed on opportunities that improve their skills, expertise and performance (Marker, 1997). This is achieved through rewards systems, training and development programs. Also, they are well equipped with essential company’s information that enable them work towards specific mission and business objectives. Another marketing strategy employed by Costa coffee is providing of a wide variety of products.

The diverse coffee products offered ranges from espresso, cappuccino, risotto, mocha, cafe latte, Americana among many others. In addition to the selection of the finest coffee, the company also, offers a wide range of alternatives that include iced coffees, hot chocolate, forecast, teas and infusions. Pricing structure Costa coffee is as internationally renowned for its unique blends of Italian coffee, high regard for quality, first rate service and its determination to ensue it provides the best handmade coffee for its most discerning consumers across the globe.

These have made the company customers remain loyal and appreciative of the costs put it. Realize the cost that comes with providing such luxury (Krebs & Snyder, 2004; Bennett & Blithe, 2002). Therefore, cost often does not deter them from pursuing their satisfaction at Costa coffee. Prices offered at Costa are usually quite high, but it is offset by discerning rates and outstanding quality. One of the reasons, why Costa coffee prefers higher middle class as its market segment is because of its prices.

Promotion mix

The setting or locale of Costar’s future expansion is anticipated to take pace in all markets including I-J, Asian countries and in United States among other potential coffee markets that have shown continued growth. This marketing plan is mainly intend to tap into the emerging markets in central Europe, India and china (Bradley, 2007). A comprehensive market research conducted by customer insight revealed hat customers in I-J are different from customers from the rest of the world.

Markets in United Arab Emirates resemble I-J markets, but markets in china and India uniquely different. Thorough study and comprehensive analysis of these markets indicate that china and India are the perfect locations in terms of accessibility, exposure, and competitive advantage required. As a result of the cultural way of life and ideal markets potential, shanghai china is chosen as a launching pad for initiation Costa coffee into Chinese market. The prime location has undergone renovations, designing and ravishment to reflect standard of Costa ranches worldwide.

In addition, the uniqueness of the market segmentation in China has prompted that site locations of the company outlets are situated next to some popular stores including Pravda and Gucci (Tasteless, 1991). Despite the selective location of stores to allow accessibility, Costa coffee has put in place mechanisms that ensure its company’s premium value. Stores in china are designed to reflect the young demographic that utilize them for colonization. Designers ensure that the stores put in place are a bit cooler, funky and must have a vibrant color palette with a soft seating.

Promotion in Chinese market is best done using digital avenues involving the use of social website like Faceable and tweeter. Also, mobile phones are used to foster the promotion through making of calls. The market segment consists of the young audience, thus right messages and sentiments are delivered to them through blobbing which is quite huge in china. Moreover, promotion of the company’s products in china is conducted through campaigns run across the national press, radio, online, regional outdoor, as well as in the company stores.

In promotion mix, product diversification is also an essential strategy of gaining access to the Chinese racket. The company offers core products which are classified as category A. These products include chocolate muffin, blueberry muffin, Pain and croissant. Despite the fact that customers appreciate Costar’s service of western food, Chinese market prefers some local flavors (Handyman & Koehler, 2005). Costa coffee promotion mix involves offering of category B products which tend to be regional. In china, essential products under this category are Schuman chicken Pain.

Finally, Chinese market is also tapped through the provision of category C products that are specific to Chinese racket only. Costar’s variety of products includes Chinese moon cakes which are given as gifts. In Indian market, savory snaking is very crucial fro attracting customers. Generally, Costa coffee marketing strategy in Chinese market is based on marketing products to fulfill customer needs. This is a fundamental strategy, as opposed to focusing on the company and its potential before catering for the market (Christensen, 1997).

Costar’s customer insight has applied this theory to determine a customer’s specific need in the Chinese market. Also, it has used it to determine how est. the company can adapt its western products to suit the changing market. This theory has enabled customer insight to be more customer-focused, innovative, understand customers’ desires as well as to design marketing strategies while keeping customers’ at the back of the mind. Sales forecasting In order to forecast company sales in the Chinese and Indian market, several forecast models including adoption, diffusion, and idea and product life cycle were used.

Chinese market is still a new market untapped by many coffee firms, thus idea of introducing a new brand into the market, has a high success potential (Rescuer, 998). Costa coffee is a global brand that is discerned by many customers around the world for its premium and quality coffee experience. In addition, the product life cycle in the region is still at early stages, thus venturing into the market has high chances of the product being successful in the target market (Deep, & Schultz, 2005).

According to the proposition by marketing concept that success of a firm highly dependent on its capabilities to deliver better value as compared to its competitors, Costa coffee entry into Chinese market is likely to be successful through effective marketing strategies. The company has been crowned as the Italian coffee masters, and its entry stages into Chinese market aims at providing the best coffee experience especially to the youngsters who are digitally oriented.

Therefore, most of the company strategies targets use of digital media including blobbing and face booking to deliver company message and sentiments to the young target audience. Market attractiveness According to the market opportunity analysis, it is considered important for a company to evaluate opportunities in a new market to ensure the business is growing and sustainable in the highly competitive world characterized by monitors capabilities to trap opportunities available in the market. Market opportunities determine market attractiveness and the company probability of success.

Costa attractiveness in china’s market is above average (Blueberry, 2008). This is attributed to the escalating coffee culture and increased coffee drinkers in china show a positive growth. Considering the nature of the enterprise, technological burden on the company is quite low as most of its production is handmade and requires limited application of technology. Chinese market is standard, thus advanced technology owned by the Costa coffee is sufficient to deliver the best Irvine to the market.

Nature of Chinese target market segments is stable thus contract with suppliers, employees and transporters will be fostered by the partner’s interests, hence the company is protected from any danger. The overall market attractiveness of Chinese market is above average, hence suitable for entry by Costa coffee. Business strength Costa coffee is a well established, internationally known enterprise, and a successful member of the Whitehead family. The quality of its products is thought as the best and unquestionably considered as the Italian coffee masters.

Therefore, through its speak for itself. It has gained a global reputation and the market share of its brand name is increasingly growing with many company outlets opened in the I-J, India, Pakistan, Middle East, Poland, Bulgaria Romania and now china (Armstrong, 2001). By keeping up with its exemplary reputation for excellence, the company aims to employing the best of resources available in china to foster success of its brand name. These include resources available for promotion, production and the distribution team.

Its intention is boosted by the fact that Costa coffee has a global petition as it pertains to recruitment of employees, training and retention which will also be uphold in china. Strategic plan According to the current market position and expected high sales in the new market, it is conclusive that intensive growth strategy is the best method to be applied. In using ANIONS product/market expansion grid, it is evident that a combination of well established and new businesses characterized by great strength and entry into new markets, coupled with forecasts in its growth, adoption of a market development strategy is considered useful.

This is where there is arousal of interests in previously unexplored environment. Therefore, entry into this market mandates that the company launches opening of new outlets, establishment of clientele, brand recognition, and production and distribution channels. In addition, the company must establish local management and employees. Implementation The consumer insight has gathered information on market segment in china. From the detailed research, Chinese market segment consists of young people averagely ages 25 years of age. Chinese culture is closely knit hence, individual socialize at public places like coffee shops.

Costa coffee plans to target this segment through rumination and site design. Company outlets will be designed to reflect the needs of the young audience. It will be made to be more cozy, funky and vibrantly colored with soft seating. The market segment will be reached through use of digital technology including blobbing and use of social websites like Faceable. Also, the outlets will be located in popular locations in malls that already have great attractions fro youth. Product development is another stages to be used to attract customers to the new outlets.

Several new products will be launched including Costa light and brews that customers can share. The new products target group of customers concerned with watching their body weights, or those interested at drinking less amounts of caffeine. Moreover, the company will launch Costa light comedy challenge competition to aim at finding new stand up talent. This is aimed at pushing up company sales by seven percent. Moreover the product is also expected to boost the morale of the staff. Also another segment of Chinese is the mature group consists of individuals seeking coffee experience.

They are more aligned to status thus, marketing plans intended to introduce tiered system to promote customers loyalty. The program will entail some customers’ activity aimed at motivating them consume company’s products. According to research by customer insight, Chinese customers prefer instant rewards and status essential in making them feel good. This will target at making them loyal. Loyalty schemes to be used by the company include use of tiered system and the loyalty card. The loyalty scheme targets at luring customers to seek company outlets to obtain incentives awarded.

References

  1. Armstrong, J. S. (2001). Principles of forecasting: a handbook for researchers and restrictions. Norwalk, Massachusetts: Keller Academic Publishers.
  2. Bennett, R. & Blithe, J. (2002). International marketing: strategy planning, market entry & implementation. (3rd De. ) London, I-J: Kananga Page Limited.
  3. Bradley, N. (2007). Marketing research. Tools and techniques. Oxford: Oxford University Press.
  4. Christensen, C. M. (1997). The innovator’s dilemma: when new technologies cause great firms to fail, Boston, MA: Harvard Business School Press.
  5. Deep, C. S. & Schultz. Unary/February (2005). In the mix: a customer-focused approach can bring the current marketing mix into the 21st century. Marketing Management 14 (1).
  6. Ellis, K. (2010). Production Planning and Inventory Control. New York, NY: McGraw-Hill.
  7. Blueberry, B. , (2008). Curbing optimism bias and strategic misrepresentation in planning: reference class forecasting in practice. European planning studies. 16 (1): 3-21 grosser, s. (1993). Predictive inference: an introduction. London: Chapman & Hall.
  8. Gilchrest, W. (1996). Statistical forecasting. London: John Wiley & Sons.
  9. Handyman, R. J. , & Koehler, A. B (2005). Another look at measures of forecast accuracy. Monish University note.
  10. Kettle, P. & Armstrong, G. (2004). Principles of marketing. New Jersey ,NJ: Prentice Hall.
  11. Kettle, P. , Wong, V. , Saunders, J. & Armstrong, G. (2008) Principles of marketing. (5th De). Harrow: Prentice Hall. Kettle, A. ,& Wong, S. ,(2007). Principles of marketing management, 5th De). Harrow: Prentice Hall.
  12. Krebs, G. J. ; & Snyder, J. (2004). Forecasting and market analysis techniques: a practical approach. Westport, CT: Quorum Books. Mistakes, S. , Wheelwright, S. & Handyman, Rob J. (1998). Forecasting: methods and applications.
  13. New York: John Wiley & Sons. Marker, E. (1997). The Laws of Choice: predicting customer behavior. New York, NY: The Free Press division of Simon and Schuster.
  14. OSHA, R. M. (2005). International marketing. New York, NY: Oxford University Press.
  15. Rescuer, N. (1998). Predicting the future: An introduction to the theory of forecasting. New York, NY: State University of New York Press.
  16. Tasteless, R. (1991). Climate and building energy management. Energy and Buildings, 15(16): 599 – 608.
  17. Torching, P. (2007). Scientific prediction in historical sociology: history & mathematics: historical dynamics and development of complex societies. Moscow: Kananga.

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Lipton Marketing Plan

Table of contents

 The Milliner Group is one of the world’s leading suppliers of fast-moving consumer goods. Besides having a significant global presence, Their Lipton brand is a leader in the international market. This report contains and explains the major variable components, which are essential in the process of marketing. It will give an in depth analysis of the tea market. It will also give a comprehensible picture of the internal and the external factors involved that encircle the Tea Product.

Lipton Herbal Tea Ingredients Holy Thistle -has been used medicinally for over 2000 years, most commonly for the retirement of liver problems by supporting it in the release of toxins. It has been highly regarded for therapeutic uses and was cultivated throughout Europe. Holy thistle products are still popular in Europe and the United States for various types of liver disease. Holy thistle is believed to have great power in the purification and circulation of the blood. Persimmon -leaves are a good source of important dietary antioxidants, such as vitamin A& C.

It has been widely used as a tea in oriental countries. Persimmon leaf is anti-allergic in composition. It is also used topically in mom beauty products to help to clarify the skin and eliminate dull and dark areas. Malta Leaf -was considered as a perfect plant in early literatures. In ancient days it was not only valued as a medicine, but was used to decorate the graves of friends. Marshmallow Leaf -has been traditionally used to soothe and support the intestines. Herbs such as Marshmallow are often helpful for symptomatic relief of coughs and irritated throats.

Topically, marshmallow is used to soothe and soften irritated skin. Marshmallow leaf is completely non-toxic.

Marketing Planning vs Strategic Planning

Developing a marketing strategy involves two steps: Selecting a target market andDeveloping the best marketing mix (the 4 Up’s or 7 AS) to satisfy this target. Ultimately, the tactics becomes much more specific and provide more precise details about such matters as, say: where should we advertise? When should we run the ads? How will we get distribution in certain types of stores? Etc.

In effect, the tactics describe how to achieve the strategies and how to manage resources that are required to implement the tactics. Companies need to analyze and track what their competitors are doing. It is important to know the strengths, weaknesses, objectives, and strategies of the competition. The marketing plan is an important document used by companies for planning. It is a road map and surveys the business environment, describes problems, threats and opportunities in the industry, contains a marketing strategy, and has financial projections/budgets.

We must not confuse a marketing plan with a business plan. A marketing plan is concerned more with Lipton Marketing Plan By Han-Chiding primary purpose of a business plan is to raise money from venture capitalists or bankers; the primary purpose of a marketing plan is to provide direction for a company. The marketing plan is an integral part of the business plan. Marketing management constantly have to assess which customers they are trying to reach and how they can design products and services that provide better value (“competitive advantage”).

The main problem with this process is that the “environment” in which businesses operate is constantly changing. So a business must adapt to reflect changes in the environment and make decisions about how to change the marketing mix in order to succeed. This process of adapting and decision-making is known as marketing planning. On the other hand, strategic planning is concerned about the overall direction of the business. It is concerned with marketing, of course.

But it also involves decision-making about production and operations, finance, human resource management and other business issues. The objective of a strategic plan is to set the direction of a business and create its shape so that the products and services it provides meet the overall business objectives. Marketing has a key role to play in strategic planning, because it is the Job of marketing management to understand and manage the links between the business and the “environment”.

It can help to: ;Identify sources of competitive advantage ;Gain commitment to a strategy Inform stakeholders in the business ;Set objectives and strategies ;Measure performance Marketing planning is also important since it is often a prerequisite for obtaining funding whether one is a marketer in a large corporation seeking additional money for his or her department or is part of a small start-up company looking for initial funding.

Customer-Driven Marketing Strategy There are three processes toward an effective customer driven marketing strategy such as Segmentation Targeting Positioning Segmentation identifies the difference category like as age, location, & religion.  Targeting means product for specific people.  Position means minds of the customer. Lepton’s Neighboring Segments: as nations, states, regions, countries, cities, and neighborhoods. Demographic – Demographic segmentation consists of dividing the market into groups based on variables such as age, gender, family size, income, occupation, education, religion, race and nationality.

Demographic segmentation variables are amongst the most popular bases for segmenting customer groups. This is partly because customer wants are closely linked to variables such as income and age. Cryptographic – Through cryptographic segmentation Lepton’s consumer are divided according to heir lifestyle, personality, values and social class. Lepton’s Target Market: Choosing a targeting strategy depends on company resources, product variability, product’s life cycle stage, market variability, and competitors’ marketing strategies. Lipton has equal benefit for everybody. We will have to focus on the all group of ages.

Thus we will use Undifferentiated Marketing (or mass-marketing) where everything about the product is designed to bring all people to Lipton. This is a market coverage strategy in which a firm decides to ignore market segment differences and go after the one market with one offer. The reason of choosing full market coverage is to be a market leader in future. ;Geographic Target: Lepton’s geographic customers are of USA, Europe and India but in near future after establishing the product in these areas they will definitely launch their product in the rest of the continents. Demographic Target: All age groups Lower, Middle, and High income class ;Cryptographic Target: Higher-Middle class Middle class Lower-Middle class ;Current Market Trend: Market trend is now headed toward a more sophisticated and aware customer. The preference for high-quality product is increasing as customers are learning to appreciate the qualitative differences. Lepton’s Positioning: Lipton tea has been positioned in the market as “great tasting and good for consumers” because it is rich in protective antioxidants (Milliner 2007). T is globally promoted as “the perfect drink for active, healthy lifestyle” (Milliner 2007). The following flavors of herbal tea are currently available: ;Herbal tea with Lemon – Herbal tea with a twist of citrus flavor ;Herbal tea with Raspberry – Herbal tea with raspberry flavor ;Herbal tea with peach – Herbal tea with peach flavor Consumer lifer and sustainable development have been the main driving factors behind the packaging and marketing of Lipton Herbal Tea till now. Therefore, in order to meet the diverse tastes of consumers all over the world, Lipton is continually adding new flavors in the product.

These attributes are allowing the organization to develop and expand its niche at a fast pace in the global arena. Furthermore, Milliner has a strong presence in the developing and emerging markets yet there is plenty of White space’ to move into. These markets are the next in our planned roll.

SWOT Analysis

When the situation is viewed in terms of SWOT analysis, the following can be highlighted: ;Strong Financial Backup: Lipton Milliner has been established as a group by five investors who are also its board of directors; providing Lipton Milliner with strong financial assistance.

Emphasis on Quality

The Company manages to provide improved & innovative products to the consumers through research and development. Lipton Milliner is established with the primary concern for uncompressed quality in mind and all of their products are perceived by the consumers as the best in business with respect to quality.

They maintain their high quality standards by importing professional expertise and technology from developed nations. ;Encouragement to innovativeness: The Company has a very aggressive strategy when dealing with developing new products, I. E. Hey are ready to take risks and come out with products that have unique differential advantages and are unavailable in the market. ;In-house research facility: Lipton Milliner has an in- house research facility, where market research can be done about consumer preferences and our competitors; the information is very useful to top level managers for decision making.

Weaknesses

High Price: Since the cost of production of most of their products is high because of various factors (imported ingredients, technology, quality and maintenance etc), they charge high prices for the items they produce. Inexperience in the Tea market: Although Milliner comprises of highly professional people and a strong marketing strategy; they are still considered new entrants in the tea market.

Opportunities

High Growth Rate: Tea industry has high growth potential in line with high rates of population. ;Brand Equity: There is strong possibility to establish brand equity by reading awareness in untapped segments of the market. ;Increasing concern for health: Since the media explosion from the mid-ass, people have convenient access to information.

Hence, people are being educated about the concern and need for health awareness and therefore have adopted increasing concern for their health and appearance.

Threats

Rivalry firm: The tea industry facilitates a lot of competition from market leaders like Royal. Their longer existence in the market has given them an established consumer base and loyalty and has provided them with the experience that Lipton Milliner lacks. Economic Factors: Increase in government tariffs, import duties and political situation of the country . Economic instability could be a threat to Lepton’s product. An Integrated Marketing Program Global Tea Market: The tea industry is about 170 years old. It occupies an important place and plays a very useful part in the global economy. Tea plantations are mainly located in rural hills and backward areas. The major competitive countries in tea in the world are India, Sir Lankan, Kenya, China and Indonesia. China is the major producer of herbal tea while Sir Lankan and Indonesia are producing mainly orthodox rarities of tea.

Kenya is basically a CT (Crush, Tear, and Curl) tea producing country. India is facing competition from Sir Lankan and Indonesia with regard to export of orthodox teas and from China with regard to herbal tea export. Above Line graph clearly indicates that till 1991 Tea consumption grew at the phenomenon rate of 32. 2% where as in recent past few years the average rate of consumption growth is 0. 7%. Tea being the only beverage which is consumed at the largest following Water hence there is no trouble to global tea market future with growing population.

Customer Needs and Wants

The health related issues are increasing day by day due to the lifestyle and inclination of the generation towards fast food or Junk food which is generally responsible for health hazards. Milliner’s research shows that majority of the people have developed health consciousness. This is mainly due to the various health programs being broadcasted on television as well as a variety of articles being published in magazines and digests. Lately trends show that people have started reverting back to the natural means of maintaining health. Natural means ensure high nutrition as well as health enhancement.

Moreover nowadays more and more people are getting literate and educated. The education in turn brings awareness in the people and they understand what do’s and don’t. There is class of people who are very health cautious and most of them fall under high class societies. Since it is difficult to change the lifestyle of people all of sudden; people look for better product which can keep them healthy and offer resistance or meditate their health for long life and better health. We must keep in mind that tea is hot beverage consumed by people all over the world at highest after water.

So it is a great idea if tea can prove as tea as well as medicine and offer better health & immunization as it is consumed twice to thrice a day. If tea can provide health benefits it will be surely welcomed by the class of health conscious people. Furthermore, A few recent studies suggest that the health benefits would drive the performance of Lipton herbal tea across the globe (Winslow 2006). Consumers generally perceive tea consumption to be a healthy activity and are more likely to consume herbal tea rather than other soda based drinks.

Therefore, the 100 percent Natural Tea and 150 MGM of protective natural antioxidants has made Lipton tea a major participant in the global tea market. Integrated Marketing Plan for Lipton: Our Marketing Objective: ;To offer consumer best health advantage through Lipton Tea. ;To establish Lipton as market leader in herbal tea industry. ;To enable Lipton Tea to satisfy, fulfill the consumer’s personality & lifestyle. ;To increase Lipton Tea’s popularity as an icon in while developing our marketing mix. Value Based Pricing We will set our product price, based on the benefits it provides to consumers.

Because our offer is unique and highly valuable features are better positioned to take advantage of value-based pricing. Multi-channel (Hybrid) Distribution Systems We can utilize more than one distribution design by following a multi-channel or hybrid distribution system. As Example, we may use a direct retail system by selling Lipton Tea in company-owned stores, and through a direct marketing system by selling via direct dispatch, and through a single-party selling system by selling through grocery stores.

This approach will allow us to reach a wider market; however, we must be careful with this approach otherwise channel conflicts will arise. Promotion Mix (Integrated Marketing Communications) In order to deliver a clear, consistent, and compelling message about Lipton and its product we will use; Advertising as it will allow us to reach many buyers and repeat message many times; Sales Promotion since it provides wide variety of tools and rewards quick response; Public Relations because it is very believable and will dramatist Lipton and its product.

Marketing Mix of Lipton Tea

Product -Lipton Tea will be a high quality product offered as specially blended herbs tea. Contents of the Lipton Tea will be:40 bags, 80 bags, 150 bags, 250 bags (Family pack)The amount of bags refers to different target groups. 0 bags for singles, 80 bags for couples,1 50 bags and 250 bags are Family Packs. (250 bags is most famous nowadays)Packaging: Customer perception of a package creates brand equity and purchaser loyalty. The image presented by the package largely determines success or failure of a tea line.

Appearance stimulates memories and emotions inside the purchaser, who often times is female, often buying for an entire family. Thus color, image and slogan of Lipton must all combine to facilitate customer allegiance. Before coming to this idea we had to systematically search for new product ideas through analysis our internal sources, customers, competitors, distributors, and suppliers. Afterward we marked the best idea and dropped poor ones by examining the market size, product price, development time and costs, manufacturing costs, and rate of return. Place -High quality tea for a reasonable price will be bought from Assam & Adrenaline (India) and will then be blended and packed in the Lipton factory. Then we may open up company-owned stores to start a direct retail system to sell Lipton Tea. We can even sell Lipton tea directly to the end consumers by sending direct dispatch from factory. At the same time the final product will be distributed to authorized dealers and retailers such as supermarkets and main tea shops so the end consumer has Lipton Tea will be placed according to the content of tea bags. Price Prices for the tea will be as the following: – Price of $18 for regular sized pack -Price may be increased to reflect quality Reasons for pricing policy: Lipton Tea will be competing against the main player on the Herbal Tea Market Royal Tea by setting a higher price but offering more value for it. Various promotion activities, giveaways and advertising on radio and television will help to establish the rand and gain market shares. Promotion The promotion is the most important point to launch our products because we want to be able to compete with our biggest competitor.

We must focus on this point because the people like to purchase bargains or buy products that offer free gifts. Other brands do not offer as many promotion and free gifts. This is why it is important to focus especially on the Promotion activities of the marketing mix. We are going to set up original events in order to attract new customers and consumers of other tea brands. Our objectives: -Develop awareness -Generate traffic -Build loyal customer base

In order to achieve above mentioned we will pursue the following: -Stand in the supermarkets: we want to set up a stand in the supermarket in order to make tasting to the supermarket’s clients. The stand should be placed between the fresh food and the food with the aim to attract all the consumers. The stand should represent the brand with the color of the company, the logo, the environment of Lipton. For example, the stand could be colored with a combination of red and yellow. Moreover, the hostesses can give some presents to the children like, balloons with the logo of the brand and pens with he logo.

Also, during the launch of our product (one week), all the customers at the supermarket will receive a sample of “Lipton Tea” for free at the cashiers including a voucher which explains the game to win a trip to London. Promotional offers during the year: If a client buys a box of 150 bags, he will get free coupon a spoon or a little kettle. In addition, during first two months, we can organize a game: when you buy Lipton, you win some points and with certain numerous of points, you can get a present which represents the brand image.

Promotional event for Lipton Tea launching: e hostesses with special clothes who will distribute samples and cups with tea to offer the product to passer-by. After the show, they will hand out flyers the people can fill in so as to win the weekend trip to London. At the end of the event, there will be a drawing of lots. The winner will receive the present(tea boxes) via post way. Furthermore, in the street there will be a lot of decoration of the brand image. Advertisement: At the beginning, the strategy is to focus on the Internet, the radio and on daily newspaper to reach a lot of customers.

These media are noticed by a large target group which will help the firm to be known. After six months or one year, we will begin a campaign on television, in magazines and on airports. Building Profitable Relationship and Creating Customer Delight Customer Relationship Management: Customer relationship management (CRM) refers to building one-to-one relationships with customers that can drive value for the firm. The continuing evolution of CM is made possible by understanding the interactive relationships that develop between firms and customers and among customers themselves.

Lipton will increasingly be able to customize marketing messages to larger target audiences on the basis of the customer’s expected response and the customer’s value to the firm. By following the CRM strategies discussed here, firms can reduce overall marketing costs, increase overall customer response rates, and, most importantly, increase overall customer and firm profitability. For example: Lepton’s marketing plan has data on markets, prospects, and lists. This is also supported through a third party vendor.

But marketing needs to drive generated leads to Sales for follow up. Thus, the marketing department also could use feedback from service and sales about what campaigns are working. Customer Service has excellent customer feedback, but it’s not looping back into marketing department. This is the type of data that can act as the foundation for upcoming marketing campaigns. Customer Service can also provide sales representative important product information or specific account issues that would be invaluable for sales to have before they call on an account.

Finally, Customer Service can be used for cross sell and up sell opportunities. The key is to have all your customer information integrated. This provides each department with a 360-degree view of the customer, ND ensures that the data is current and complete. Lepton’s CRM applications will also enable companies to interact with customers throughout multiple channels including the Web, phone, fax, direct mail, e-mail, and in person or through partners.

Partner Relationship Management

Partner Relationship Management is a used to describe the methodology and their channel partners. These solutions include key features for selling, commission, opportunity, marketing campaigns, inventory access, and other features designed to facilitate the relationship between manufacturers and their channel partners. Partner relationship management can take a number of different forms. In some cases, delivery of a product is needed during specific times of the day. For example, in Lepton’s shipping and receiving departments, suppliers must deliver within a certain time frame. In the busiest of locations, that window could be as little as 30 minutes.

When traveling across a large geographic region, that can be a hard target to hit. Using software and other communication tools often provided through a partner relationship management strategy, suppliers, shippers and the end users can keep inconstant contact with each other. This means the end user will be able to know where each item is each step in the process and when to expect it. Depending on the situation, this may allow Lepton’s factory to adjust production so that the entire operation does not shut due to supply concerns.

Partner relationship management is also important for a manufacturer and reseller or retailer. Software allows the producer to understand when a certain product is in demand and allows that producer to adjust his processes likewise. Without this benefit, Lipton would need to wait for an order from the retailer or reseller. That could delay the process and thus low both sides to miss out on valuable sales. In addition to communication, partner relationship management can also provide services in other areas.

For example, it may include a partner loyalty component, which will provide a benefit to both companies. As those relationships are solidified, it will provide a good customer base on which both can depend. Capturing Value from Customers to Create Profit and Customer Equity The first four steps in the marketing process involve building customer relationships. The final step involves capturing value in return. By creating superior customer alee, the Lipton herbal tea creates highly satisfied customers who stay loyal and buy more.By Creating Customer Loyalty and Retention .The aim of customer relationship management is to create not Just customer satisfaction, but customer delight.  This means that companies must aim high in building customer relationships. Customer delight creates an emotional relationship with a product or service, not Just a rational preference.  Lipton herbal tea is realizing that losing a customer means losing more than a single sale. It means losing customer lifetime value. Growing Share of Customer ) Share of customer is defined as the share the company gets of customers purchasing in their product categories. (Thus, banks want to increase “share of wallet. Building Customer Equity Milliner want not only to create profitable customers, but to “own” them for life, capture their customer lifetime value, and earn a greater share of their purchases. Customer Equity in Lipton Tea Marketing consists of actions taken to build and maintain desirable exchange relationships with target audience involving a product, lifetime values of all of the company’s current and potential customers.

Clearly, the more loyal the firm’s profitable customers, the higher the firm’s customer equity. Customer equity may be a better measure of a firm’s performance than current sales or market share. Building the Right Relationships with the Right Customers Not all customers, not even all loyal customers, are good investments. “Strangers” show low potential profitability and little projected loyalty. The relationship management strategy for these customers is simple: Don’t invest anything in them. “Butterflies” are potentially profitable but not loyal.

The company should use rumination blitzes to attract them, create satisfying and profitable transactions with them, and then cease investing in them until the next time around. “True friends” are both profitable and loyal. There is a strong fit between their needs and the company’s offerings. The firm wants to make continuous relationship investments to delight these customers and retain and grow them. “Barnacles” are highly loyal but not very profitable. There is a limited fit between their needs and the company’s offerings. Important point: Different types of customer require different relationship management strategies. The goal is to build the right relationships with the right customers.

Factors Affecting the Effective Implementation of the Marketing Plan Human Resources Capabilities

The people working in this organization are the key to achieving effective implementation of those strategic plans. Staffing competent employees involves recruiting, training and retaining a capable and adaptable workforce. Knowledgeable, dependable and versatile employees have the ability to overcome the obstacles to change, and can meet performance goals even when other resources are scarce.

If all of the other elements listed in this article are present, but the workforce does not meet these criteria, then achieving those objectives may be nearly impossible. Favorable Environment: We have to Rethink existing policies and procedures, and make any changes necessary to facilitate the changes resulting from our strategic initiatives. We may find that certain aspects of our existing operational framework can actually impede strategy implementation, and that certain areas may stand out as being lacking in policy guidance in light of our new strategic goals.

Technological Infrastructure: Technology can give our organization valuable assistance in implementing new policies, procedures and initiatives. Utilize technology to enhance and maintain communication and accountability for all relevant managers and operational employees throughout the change process, and to keep track of implementation and performance goals and their achievement. This may require adding new systems and infrastructure, ensuring that all systems will function reliably, and training all relevant staff to use new systems and programs. Incentive Systems: We must consider altering existing

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Hillside veterinarian clinic marketing plan

Table of contents

Evaluation of the Plan

This plan has a well-developed topic, and all sections and subsections of a solid marketing plan have been completed. This marketing plan contains the appropriate measurement for the objectives the company is trying to achieve. The plan is consistent has a sense of cohesiveness throughout the sections.

The plan also follows PAP style formatting throughout the text body, headings, references, and tables. Overall the piece has a professional appearance with very few errors, and is logical. The plan refreshes the point and its strategic objectives.

Evaluation Scale

  • What is the target market for this plan? -The target market for this plan is for new customers, and includes families within a 10 mile radius of Wellington with small animals.
  • What is the strategy Hillside Veterinary Clinic intends to use? -The strategy that Hillside Veterinary Clinic intends to use is target marketing. Hillside is using this strategy because their marketing mix is tailored to fit specific target customers.
  • What are your initial reactions to this strategy? -My initial reaction of this plan is that it has a clear and concise vision of what they want to achieve. The have clear goals and contain a excellent grasp of the four “AS”, and how they are going to implement them.
  • Do you think the plan will be – I do think the plan will be successful. I think the plan will be successful because Hillsides target market is reasonable and suits their capabilities. They have clear goals and a well-planned strategy in order to achieve those goals. The company also has skilled operands that match with the operands. This company can rely on their quality of service along with their marketing plan. The two will work well, and can market organically.

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Marketing Plan Of Sugarcane Juice In Pack

Table of contents

We are going to prepare marketing plan of Sugarcane Juice in pack because we re going to established new business In Bangladesh, we made a budgeting plan for our business. The direct competitors of our Product are:

  • pran
  • Shezan

Danish Indirect competitors: As the Sugarcane juice is the symbol of the refreshment and nutrition and it is also a substitute for the other soft drinks.

So in the soft drink market we have the competitors like. And other drinks: our product Is sugarcane Juice In tetra pack packaging sugarcane Juice. Is widely used in summer season because it is good in taste and low in cost.  Our main issue is about the perception of people about the sugarcane juice building brand is very difficult due to perception because they will think that it is easily available in fresh form then why we buy It In tetra pack. We must Invest heavily on promotion of Juice and also marketing plan will change time to time because we are new In the market so we have to create awareness In customer about our product and to attract them.

Marketing Strategy

Brand strategy is at the heart of marketing strategy.  Our product will be In Husna packaging which will be attractive and eye catching. Although our Juice is for all ages and for all kinds of people. But the youth is our main target. e have decided to market and enter into 6 divisional major cities of Bangladesh such as , Dhaka,  Chittagong,  Khulna,  RaJshahi, Sylhet and  Barisal.

Market Positioning

Creating a distinct and relevant differentiation between the brand and its competitors According to our projection we will capture:

  • 25% of the target market share within 2 years
  • 50% of the target market share within 4 years
  • 70% of the target market share within 5 years or more.

The Benefits Of Drinking Sugarcane Juice

Sugarcane Juice is a great preventive and healing source.  Sugarcane strengthens the stomach, kidneys, heart, eyes brain and sex organs.  This is one sweet drink even the diabetic can enjoy without fear. Due to its alkaline nature, it helps to fight cancer. It hydrates the body quickly when exposed to prolong heat and physical activity. It refreshes and energizes the body instantly as it is rich in carbohydrates.  Juice taste and flavor is according to the customer expectations because we provide100% pure Juice.

We have no compromise with quality. The design of sugarcane Juice that it will be in attractive and stylish pack size 250ml sooml 1 oooml. The place of the distribution and availability of the product also influence the buying behavior. So we provided our product to all the all the distributors and they will provided it to famous retailers of Dhaka, Chittagong and RaJshahi. Because of this our product will be available at more shops and our sales will increase.

We will have six authorized wholesaler, as the agents in the six divisional cities to where we will offer our products. These wholesalers will represent our products with he help of different retailer and also advertise, store, distribute and do other promotional activities as well.  Under the six authorized wholesalers, we will have around 15-20 Jobbers to each divisional wholesaler, who will act as the sub- agents of the wholesaler and influence the market and retailers to use and present the product.

These Jobbers will be appointed on commission basis. Our retailers will actually offer our products to the actual and potential customers. They will collect the Juice packs from the wholesaler and market them frequently. In ach an every public places like market, rail and bus station and river ports and air ports, besides colleges, university campuses and near the commercial areas. By this way we will reach to the customers.  At the final level of the process come the consumers who will consume Sugarcane Juices.

They are the target customers for our company and reaching them, should be our main goal in order to market our products. They will give the final and overall performance of our product and according to their demands the company must set their objectives and strategies.

SWOT Analysis

Strengths

  • First mover Advantage Less no of taste
  • Everyone can drink this Sugarcane Juice
  • No side effect of our product.

Weaknesses

  •  Storage ability
  • Loyalty

Supply may not be proportional to demand due to many reasons like political unrest, scarcity of resource etc. Excessive consumption may result health hazard. As excess of any consumption and taking will likely to affect the health

Opportunities

  • New flavor
  • Export
  • Support foreign investors
  • Health & Environment ministry approved
  • Bangladesh Standard Testing Institute (BSTI) certified.

Threats

  • Government Regulation
  • Increase in competition
  • Entry barrier

Some people can make fake sugarcane Juices, and can sell it to the market and if people drink that they can a get a serious type of disease.

Review and Control

We will have simple, decision friendly, monthly, quarterly, and annual reports focusing on

  • Revenue and sales
  • Expenses
  • Customer feedback
  • Market log (self and competitive major activities).

Conclusion

To reach our goal, we have taken lots of plan which we have mentioned in our Marketing Plan Report. We will have a control team to monitor, evaluate and recognize the actual performance. Through these activities if they are properly implemented, we hope we can achieve our goals.

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International Marketing Plan

Table of contents

The company that I have chosen is Orange Crush. Orange Crush was introduced in 1916 by an inventor called Clayton J. Howell who was the founder and the president of Orange Crush Company, who lived in Los Angeles, California. The Orange Crush Company was partnered Neil C. Wardwith, who a chemist. When soft drinks were introduced in that time they used to carry the name of the inventor on its bottle along with the name of the product as well. Howell had sold his rights so that he could use his name along with his first brand and his partner had been given the honor too. Therefore when Orange Crush was first introduced to the country, it was introduced under the name ‘Ward’s Orange Crush’.    

 There was a time when Orange crush was owned by Procter and Gamble and in 1989 Cadbury Beverages bought Orange Crush from P&G. The company changed the outlook of the product by giving it new colorful packaging graphics and introduced peach and tropical punch crush in 1992, when the company extended the line of the crushes. Now presently the brand and the trademark of Orange Crush are owned by Dr Pepper Snapple. Orange crush is presently been distributed by the Plano, Cadbury Schweppes Americas Beverages, which is a Texas based company. This company is the largest North American non- cola drink enterprises. (Crush, 2008)

 Just after eight years of success, Crush had somewhere around 1200 bottlers and the company were on its way to international expansion. From 1920 to 1950 the company had expanded from North America to South America, Europe, New Zealand and Africa. This drink was a success from the very beginning and by 1918 is was available in Canada.

Orange crush was the first flavor that was produced by the company and then other flavors followed with time. Lime and lemon Crush was introduced after a few years of the Orange crush and then Grape Crush was introduced 1960’s, Cherry Crush in 1962 and Pineapple Crush in 1966. As time went on the company kept on introducing new flavors to the country. And now Orange Crush has somewhere around 24 different flavors which also includes some diet flavors too. These flavors include grape crush, strawberry crush, cherry crush, pineapple crush, peach crush, apple crush, pear crush, blue raspberry crush, chocolate crush, crush grapefruit, lemon-lime crush, lime crush, crush tropical punch, berry blast crush, crush nectar, crush frozen orange dream, diet orange crush, diet cream soda crush, diet grape crush, crush birch beer, crush ginger beer, red cream crush and wild cherry crush etc.

Orange Crush is an orange soft drink, are sometimes also called orange pop or orange soda, which are carbonated orange drinks that is they become type fizzy drinks. It so happens that sometimes orange drinks are confused with orange juice, therefore the US mostly requires that the beverages whose names include any fruit should show the percentage of juice contained in the product and it should come under the nutrients label so that the consumers would not be mislead by the company. There are some orange drinks which do not contain orange juice but do contain sodium benzoate and rosin and sodium hexameta phosphate. But the thing about Orange Crush which makes it different from the other orange drinks is that it contains the extract oils from an orange. (Brand, 2007)

PESTLE Analysis

PESTLE analysis is an abbreviation for Political, Economical, Social, Technological, Legal and Environmental analysis. This analysis is a marketing tool that helps the company in making strategies. It helps the company to know its environmental challenges and it also helps the company to in how to operate their company in the present and it helps the company to prep itself for the future as well. This analysis also helps the company to match its resources with its activities and helps the company to move along in the right direction. (PESTLE Analysis, 2007)

Here the political term refers to the global, national, regional and local trends, changes or events. When we talk about the political analysis for orange crush we would see the government plays an important role in the manufacturing of non- alcoholic beverages that is only in the terms of rules and regulations. As we know that the US government requires that the beverages whose names include any fruit should show the percentage of juice contained in the product and it should come under the nutrients label so that the consumers would not be mislead by the company therefore Orange Crush makes sure that there is the percentages of orange content written on the bottle or can under the nutrients label.

The economical term in the PESTLE analysis refers to the local, national and global changes in the events or trends.  As we know that non –alcoholic beverages are very popular outside the US borders. There have been major improvements and a continual growth for the non-alcoholic drinks. Therefore since the Orange crush has been introduced to countries other than US, it company has been growing and generating a great deal of revenue and profit.

The social term in the analysis refers to the developments within the society that is means culture, behavior, the expectations of the customer, the attitude of the company towards the society etc. Orange Crush strongly believes in social corporate responsibility. To the company the well being and health of their customers comes first. They are very much committed towards providing their customers the best quality and great tasting products like orange, grape, pineapple flavored drinks whose flavors are made from the extract oils of the fruits. And they also believe in investing in the community as well.

The technological term over here refers to the development, such as, the processing of the products, how the machines are operated. All the machines that help to manufacture the products are automated and the company’s production line is also automated. Technology also here would include the company’s use of plastic bottles and tin cans. And the company has very effective advertising and promotional programs as well.

The legal term over here refers to the rules and regulations of the government and the local community’s rules and regulations where the company operates or manufactures its products. The company follows all the rules and regulations regarding their employees’ safety and security. The company is also an equal opportunity employer.

The environmental term over here refers to the local or national issues of the company. The company believes in keeping the environment keep clean. They try their level best to save energy and water. The company has been working with its suppliers to reduce the use of polypropylene and polyethylene from their bottle caps.

Market Analysis

When we talk about market analysis, the company needs to have thorough knowledge of their market and need to decide upon their market’s size, growth rate, profitability, trends, the success factors and distribution channels etc.

The rapid technological change, global competition and the diversity of the buyers preferences in many markets require the constant attention of market watchers to identify promising business opportunities, see the shifting requirements of buyers, evaluate changes in competitive positioning and guide the choice of which buyers to target and how to position a product or service. Mapping the entire market is considered very important for the company to understand and anticipate market changes and competitive threats. Understanding the markets and how they are going to change in the future indefinitely, are considered very important elements to market driven strategies of the company like Orange Crush.

The importance of forming a vision about the future is highlighted by the changes occurring in the beverage market. The key strategic issue for Orange Crush and other beverage companies competing in this market is anticipating the nature and the scope of the impact of the introduction of new and different flavors on the beverage market. The Orange Crush management must compete aggressively in the beverage market while recognizing the importance of developing capabilities.

If Orange Crush wants to gain an in-depth understanding of the market it has to define its boundaries and describes its structure. As it is shown in the following figure:

  • The Process of Gaining an Understanding of Markets
  • Mapping the Product Market
  • Market Structure Analysis
  • Market Forecasts
  • Future Vision about the Market (Cravens, 2000)

These activities help create a map for Orange Crush’s products market. The markets can be defined in many different ways and they are constantly changing. Marketing analysis provides extremely important information for developing business and marketing strategies and it alerts the management of the Orange Crush to new competition. When considering the company’s only brands and its direct competitors it may mask the potential competitive threats or opportunities of the company. It is also very important for the company to develop profiles for its end users for generic, product type and product variant levels of product market. Buyers are identified and described, purchase choice criteria are indicated and environmental influences like interest rate trends on buyers are even evaluated. An important part of market analysis is estimating potential and forecasting sales. The forecasts often used in market analysis include estimates of market potential, forecasts of total sales by firms competing in the market and sales forecasts of the company’s interest.

Industry Analysis

When we talk about industry analysis the information that would be required for such an analysis would include characteristics of the industry where it operates, the trends of the beverage market, overall sales in the market, number of companies that operate in that particular market and growth rates of companies and different operating practices of the companies beverage within the industry. Industry analysis will also include the product mix; service provided by the company, barriers to entry, and geographical scope i.e. the location. The company needs to identify the companies that comprise the industry and develop descriptive information on the industry and its members. It may be useful to examine the industry structure beyond the domestic market boundaries because of the international industry developments may affect regional, national and international markets. As you know the industry that Orange Crush operates in is the soft drink industry. The soft drink is a beverage which does not include alcohol. These are just carbonated drinks which are also known as sodas, fizzy drinks or soda pop. The carbonated drink bottlers are under a great deal of pressure from the gas companies. The soft drink market is the largest market in the world and it has the highest per capita. The highest consumption level of drinking soft drinks is in US. Coca-cola is the leading company in the carbonated soft drink market it has a 60% market share, where as PepsiCo subsidiary Tropicana is the leader in the fruit juice and drinks market. (The Soft drinks Market- Global Trends and Developments)

It is bottler network which makes the drink a success or a failure. And it is the bottler network which has made the soft drink industry a success. The soft drink industry actually uses a great deal of multiple outlets, which helps to make a difference between different types of retailers and it also helps with saturating the market the product. With the intensive distribution channel the soft drink manufacturer gets a lot of coverage, customer recognition and a high turnover. But it must be remembered that if a company applies intensive distribution it would have to face a great deal of competition.

Competitor Analysis

In the competitor analysis the company first has to know who its competition is and identifying the competitor is considered to be a simple task. The competitor of orange crush would be Fanta, which has somewhere around 70 fruit flavor drinks. It must be remembered that the range of company’s actual and potential competitors is very broad. A company is more likely to be out done by new competitors or even new technologies than by the current competitors. A company can distinguish between 4 levels of completion, which is based upon the degree of the product’s substitutability. They are as follows:-

  • Brand competition: brand competition occurs when the company who has the same products  sees its competitors providing a similar product, here the case would be Fanta selling an orange flavor drink, to the same customers at similar or exactly the same price.
  • Industry competition: industry competition occurs when a company sees its competitors as all companies within the same industry making the same kind of product or providing the same collection of products to the same customers. Here Orange Crush would see itself competing against all other soft drink manufacturers.
  • Form Competition: form competition occurs when a company sees its competitors as the entire set of companies within the same industry manufacturing the products that supply the same service to the customers. Here Orange Crush would see itself in competition with not only with other soft drink manufacturers but with the entire beverage industry.
  • Generic competition: generic competition occurs when a company sees its competitors as the entire set of companies within the same industry competing for the same consumer dollars for their products. Here Orange Crush would see itself competing with companies that sell major consumer products like eatables.

More specifically a company would be able to identify its competitors from such an industrial point of view and a market point of view as well. As we know that the company’s closest competitors are those which are pursuing the same target markets with the same strategy. A group of companies that follow the same target markets are known as a strategic group. Orange crush would need to indentify the strategic group in which it competes. Once Orange Crush has identified Fanta’s strategies it must then ask itself that what the competitor is from the marketplace? Or what drives the competitor’s behavior?

The initial assumption is that Fanta strives to maximize its profits. However the company differs in the weights that it puts on short term versus long term profits. Furthermore Fanta orient its thinking towards satisfying rather than maximizing, the company sets a target profit goals and is satisfied when it achieves it set goals and objectives, even if the company produced more profits with other strategies or with more effort. Another assumption would be that Fanta can pursue a mix of objectives, which is based on current profit, the market share and the market growth for its products, the cash flow of the company, the usage f technology within its manufacturing process, service leadership and so on and so forth. If Orange Crush knows that how Fanta weighs each objective then it would help the company to figure out whether Fanta is satisfied with its current financial outcomes or not. And Orange Crush will also be able to figure out that how Fanta reacts to different types of competitive attacks and so on. The competitor’s objectives are mostly shaped by many things such as size, history, current management, financial situation and place in the larger organization. If the competitor is part of a larger company which it is, Fanta is a part of The Coca-Cola Company, it is important for Orange Crush to know whether the parent company is running for growth or just milking it. Finally Orange crush must monitor Fanta’s expansion plans. (Competitor Analysis, 2007)

In general every company should monitor 3 variables when analyzing its competitors. They are as follows:

  • Share of market; is defined as the market share a competitor has.
  • Share of mind;  provides a percentage of customers who named the competitor when they were asked to respond to a statement that‘ what is the first name of the company that comes in your mind in this particular industry’
  • Share of heart; provides a percentage of customers who have actually named the competitor when responding to the statement that ‘what name the company pops in your head from whom you would like to buy the product’

There is a relationship between these three measures, for example, if Fanta enjoys the highest market share let’s say 50% it might fall in the next year or so. And it has to kept in mind if the company is losing its market share then it is also losing the share of mind and share of heart as well. In an attempt to improve its market share a company needs to conduct benchmarking against their most successful competitors.

Company Analysis

When a company analysis is being conducted, the company needs to know its demand. Company demand can be defined as the share of the market demand the company has at different levels of the marketing efforts. The company’s share markets mostly depends on the products that how they are perceived by their customers in terms of services, prices, communication and so on and so forth against their competitors product. If other things are kept equal Orange Crush’s market share is mostly dependable on the size of the beverage market and effectiveness of the market expenditures, which is relative to its competitor Fanta. Marketing model builders have developed a function that relates to sales, this function helps to measure the sales of the company these sales are affected by the level of marketing expenditure, marketing mix that is provided by the company and effectiveness of marketing of Orange Crush.

Once the marketers of the company have estimated the demand of Orange Crush’s, their next task is to choose a level of marketing effort for the company. The level which has been chosen by the marketers would help to produce an expected level of the company’s sales. Sometimes it so happens that the sequential relationship between the company forecast and its marketing plan is often mixed up. It is mostly heard that the companies should always develop a marketing plan on the basis of their sales forecasts. The company sales forecast are not always establish on the basis of deciding that what to spend on marketing efforts of the company. The sales forecast happens due to the result of an assumed marketing expenditure plan. The company also needs to find about its total market potential. A common way to estimate total market potential is as follows:-

Companies are generally faced with the problem of selecting the best territories in the market and allocating their marketing budget in an effective manner among the territories within the industry. Therefore the company needs to estimate their market potential in different cities, states and nations. Two methods that help with assessing the area of market potential are 1) the market build-up method; this method is mostly used by the business marketers. This method helps with  identifying all potential buyers in each market of the industry and it also helps with assessing and estimating the company’s potential buyers and customers and as well as helps with providing a good estimate of what each customer will buy and how many he or she will purchase. 2) And the multiple factor indexes, is used mostly by the consumer marketers. The consumer companies need to estimate area market potential as well. But the customers of consumer companies like Orange Crush, are too numerous even for listing. Therefore the method that is mostly used in a consumer market is straight forward index method.

A company needs to estimate it future demands as well, so that it can remain on the top of the game. There are extremely few products that can be easily forecasted. In most markets the total demand of the product and company’s demand for its product are usually not stable and forecasting becomes a major element in the company’s success. If the demand of the product is unstable, forecast is done more accurately and the forecasting is a more elaborate procedure of the company.

Companies like Orange crush usually use a 3 stage procedure to prepare a sales forecast, the company prepares a macroeconomic forecast first then it is followed by an industry forecast and finally it is followed by a company’s forecast for its sales. All the forecast of a company are mostly built on the basis of information bases and that is what the customers say, what the customers do and what the customers have done.

Implications of Situation Analysis

Situational analysis is the first step, when company has to make a marketing plan. With the help of situational analysis the company can find out that where it is standing, what is it position in the market and is its future status in the market as well. As we know that the situational analysis is based on 5C’s of marketing. They are 1) competitors; which includes the product, position of the product, market shares and strengths of the company 2) climate; which includes the social environment of the company, economic environment and political environment, 3) company; it includes the product line of the company, like the different flavors, image of the company in the beverage industry, technology and culture, 4) collaborator; it includes the distributors and the suppliers of the company and 5) customers; it includes the market size and the growth, different segment of the market where the company wants to penetrate, the retail channel of the business, buying behaviors of the people, the quality of the product purchased by the customer at one time, the trends and the needs and the changing tastes and preferences of the people, seasonal factors and the decision maker in the customer for purchasing the product.

Situational analysis is also considered the first step in different problem solving situations. When the company is solving its problems it needs to follow the following steps they are:

  • Identify the need i.e. find that what is required by the company or what is the problem that is being faced by the company
  • Create ideas which will help solve the problem
  • Create and develop concepts for the ideas
  • Choose the best idea
  • Implement the idea for problem solving

SWOT Analysis

SWOT analysis is the evaluation of the of a company’s strengths, weaknesses, opportunities and threats. Once the company has performed it SWOT analysis, it can then proceed to develop specific goals for planning period. The SWOT analysis is used by the company so that the management of the company can see the impact it has on each possible strategic opportunity. This analysis is used in the decision making process of the company when the company’s desired object or goal is targeted and defined by the management of the company. SWOT analysis is also used in pre-crisis planning of the company and preventive crisis management of the company as well. With the help of information which is extracted from the SWOT analysis the company, it helps the company to match its sources, resources and capabilities with its work activities and the competitive environment. SWOT analysis is an important marketing tool in the strategy formulation of the company and selection of the market’s segments in which the company wants to penetrate and sell its products.  When SWOT analysis is applied, it helps the company with quantitative and qualitative marker research, it also helps with experimental tests of the company’s product, it helps the management to see the environmental challenges and it gives it time so that the company can overcome the challenges and it also helps with observational techniques as well.

SWOT Analysis Framework

  • Environmental Scan
  • Internal Analysis
  • Threats
  • External Analysis
  • Opportunities
  • Weaknesses
  • Strengths

Strengths

A company’s strengths are its core competencies and resources in which it is one of the market or industry leaders. Orange Crush’s strengths are that the company is extremely competitive, another strength of Orange Crush is that the excellent brand awareness of the product and a high quality image of Orange Crush’s drinks. The Orange crush has brand recognition within the country. The buyers of the Orange Crush have a know- how of the company. the products of the company are reliable and another strength of Orange Crush is that the products are healthy and they have nutrition in them not like other brands that just has flavorings and additives in them.

Weaknesses

Weaknesses of the company are considered those areas, when the business of the company is compared to others in their own industry or market segments. Weaknesses of the company can also be defined as elements of the organization that considered very harmful in achieving the set target and objective. The first weakness of Orange Crush is the low market share of the company, and then the company has also low market coverage as well. The second weakness of the company is that there are limited bottlers of the company, who bottle the soft drinks. The third weakness of the company is that there is relatively limited low advertising of the product along with low promotion expenditure of the product. The last weakness is the risky positioning of Orange Crush due to Fanta.

Opportunity

Opportunities are can be classified according to the company’s attractiveness and the success and profitability. Orange Crush’s opportunities are that the company’s product development provides tons of opportunities for Orange Crush. And the brand of Orange Crush itself creates a great deal of opportunities for the company like more sales of the company’s products since people consider it as a fashion brand as well. Another opportunity for Orange Crush is the large market for diet soft drinks and there is an increase in the consumption of soft drinks all over the world. And lastly there is a large variety of media which can help the company to promote their products.

Threats

Threats can be described as the seriousness and profitability occurrence of the company. To deal with threats the company needs to prepare plans that show the changes the company can make before or during the occurrence of the threat. A threat that is faced by Orange Crush is the environmental damage that is done to the society by air and water pollution, noises and change in the climate due to the pollution etc. Another threat to Orange Crush is the issue of child labor and the low wages of the workers who work in the company’s factories. Another threat of Orange Crush is the huge completion from Fanta and Miranda. The competitors have the budgets to do huge promotions and advertising programs whereas Orange Crush has a limited budget for such marketing. And lastly the company is faced by unplanned purchase of a soft drink by their competitors.

Implications of the SWOT Analysis

The implications of the SWOT analysis can be positive as well as negative. The positive implication of the analysis would be that how can a company like Orange Crush can use the internal strengths to meet up with different kinds of opportunities for the company in the marketplace. And the negative implication of the SWOT analysis would be for a company like Orange Crush would be how the company can reduce its internal weaknesses especially when those weaknesses are created due to the external threats from the company’s competitors like Fanta and Miranda. When the company is applying SWOT analysis it needs to avoid and reduce its threats and weaknesses completely so that it can also become a success. SWOT analysis is extremely beneficial for a company if the management of the company analyzes itself thoroughly and honestly without any kinds of frauds. Due to the limited resources of the company has, it is very difficult to accomplish everything at once for the management. The managers and the management of Orange Crush must put all marketing activities into consideration and develop specific goals and objectives for the marketing plan of the company. (Danca, 1999)

Mission Statement and Corporate Objectives

The mission statement can be defined as a broadly stated definition of the company’s basic business scope and operations, which distinguishes it from similar types of companies within the industry. The content of the mission statement mostly directed at the market of the company and its customers, it also identifies the desired goals and objectives of the company. There are some statements which describe the company’s characteristics such as the corporate value of the company, the quality of the product, location of the company’s outlets and facilities and sometimes the statement also identifies the company’s attitude towards its employees and workers. And the mission statement also shows the company’s philosophy along with the company’s goals and objectives. It is due to the mission statement that the employees, customers, suppliers and stockholders known about the stated goals and objectives and the aim of the company. (Cravens, 2000)

The mission statement of the company remains essentially the same over the long-term it basically emphasizes the fact that to become the dominant market leader in the donuts and beverages retailing business one has to intercept the customer’s needs and preferences and to change with time. The mission statement of all companies and Orange Crush is based on 5 elements are as follows:

  • History; every company has a history of aims, policies ad achievements. The organization must not depart too radically from its past history.
  • Current preference of the owners and management; if Orange Crush’s current management wants to get out of the beverage industry, Orange Crush’s mission statement is very likely to be affected.
  • The market environment; the company needs to thoroughly view their environment; the company would not become a success if the company doesn’t change with time and the different preferences of the people.
  • Resources; the organization’s resources actually determine, that which missions are possible for the company. Orange Crush would be deluding itself if it adopted the mission of becoming the world’s largest beverage company.
  • Distinctive competences; the organization should base its mission on what is does and what does it do best. Orange Crush could probably enter the solar energy business, but doing it so the company would not use its core competence that is providing drinks at affordable prices to their customers.

The mission statement of Orange Crush is to provide its customers with quality. The reputation of the company is based upon its quality of their product. They believe in continuous improvement of their products. And they deliver what they promise.

Objectives need to be set so that the performance of Orange Crush can be gauged. Corporate objectives are established in the following areas; marketing of the company, innovation in the company’s product, resources of the company, productivity of the company’s employees, social responsibility of the company, and finances of the company. Examples would include growth and market share expectation, improving product quality, employee training program and development program, new product targets, return on investment and energy reduction plans etc.

 The corporate objective of the company is to build and enhance their brands that are the company keeps an ongoing evaluation of the market and keeps a look out for the changing preferences of their company. Another objective of the company they keep their employees motivated and happy so that they do not leave the company or do not do their work activities properly. Corporate objective of Orange Crush is that they believe in improving the efficiency of their operation, so that the company can keep its high standard quality of their products. And lastly the company believes on focusing of their opportunities and changing with time and according to their tastes and preferences.

Marketing Objectives

Marketing objectives are also known as the marketing plan of the company. Market plans are developed, implemented, evaluated and adjusted to keep the strategy on target. Since the marketing strategy normally extend beyond a year it is considered useful to develop an annual to manage marketing activities for that year. Budgets for marketing activities for example, advertising, are set annually by Orange Crush.

Preparing the Marketing Plan

The marketing plan’s format and content actually depends on the size of Orange Crush, managerial responsibility of the company relating to planning, product, market scope and other situational factors that would affect Orange Crush. The marketing planning is based on the following elements:-

The situation summary; this part of the plan describes the market of Orange Crush that is the people who drink soft drinks in their daily routine. Market segmentation analysis indicates the segments to be targeted and their relative importance. The competitor analysis show that who are Orange Crush’s competitors. In this case would be Fanta. The situational analysis also indicates the company’s internal and external challenges. The summary should be very precise and the information should support the summary.

Describing the market target; the management of Orange Crush should be able to describe each and every target market that is the people who drink soft drinks, the size if that market, the growth rate of the market, in this the growth rate of people who intake soft drinks is growing this market is one of the largest markets in food and beverage industry. The management should be able to define their end users and their tastes and buying patterns. When 2 or more targets are involved it is helpful for the company to show the priorities for guiding resource allocation.

Objectives for the market target; here the company needs to spell out what the marketing strategy of Orange Crush is expected to accomplish. Here the case would be that with the help of the marketing strategy the company wants their customers to remember their products when they go to purchase a soft drink. The management needs objectives for each of their target markets, need to show the financial positioning on their product in that market, and needs to see that the customer is satisfied with the product. The management also needs to look over their other desired objectives and their outcomes. And it must be remembered that objectives are usually included for each marketing program component of the company.

Marketing program positioning strategy; the positioning statement indicates how the management of Orange Crush wants the targeted customers and prospects to perceive the brand. When the company is making the positioning strategy for their product it needs to look over the distribution channel, the product’s qualities, and price of the product and the promotion of the Orange Crush’s products like grape crush, orange crush or pineapple crush. Actions that are taken by, responsibilities of, time schedules given by and other information implications that are given by the management of Orange Crush needs to be included in the plan as well. But most importantly the planning process should encourage participation from all the areas responsible for implementing the plan. Contingency plans which consider possible actions if the anticipated planning environment is different from what actually occurs may be included in the marketing plan as well.

Forecasting and budgeting; financial planning indicates forecasting revenues and profits ad estimating the costs necessary to carry out the marketing plan of Orange Crush. The people who are responsible for market target, product, geographical area or other units should prepare the forecasts ad budgets for the Orange Crush products. Comparative data on sales, profits and expenses for prior years are considered very useful to link the current plan of the company with the previous results, so that the plan can become a success and if there are any changes to make can be made in time. (Cravens, 2000)

International planning process; there are 4 major phases of planning for multinational companies like Orange Crush who are operating in several countries. The first step in the planning process is the market opportunity analysis for the company. For Orange Crush to introduce more flavors in their diet drinks line would be considered as an opportunity in their market. The second step is the positioning strategy of the company. Orange Crush should have a positioning strategy for each of their product, so that their product will be easily remembered by their customers, the third step in the planning process is the preparation of the marketing efforts which will include the situation assessment, objectives, strategy and tactics, budgets and forecasts, and action programs of the company and lastly the fourth step in planning process is the implementation and the managing and controlling of the marketing plan. Although the management of the Orange Crush should remember that the international market planning process is similar to planning domestic market strategies, the environment is far more complex and uncertain in international markets.

Country Market Selection

The country that I have selected to enter is India. India is a huge market therefore it will be the best opportunity for Orange Crush to enter this market. The population of India is somewhere around 1,147,995,904. For example if an Orange Crush bottle let’s say cost somewhere around 50 cents per bottle and if all the people in India by a bottle daily, Orange Crush would be able to generate a revenue of somewhere around $2,095,092,525 billion a year. Another reason why I have selected India is that the population is mostly of 14-63 years which is 63.3%, these people will be willing to buy the product more. And another reason would be that the population growth of India is increasing by 1.578%, which means that the beverage industry would also grow and the demand for the company’s product will increase and the company would be able to achieve their set targets and goals and will be able to generate more revenue than it is doing presently. In India the demand for soft and fizzy drinks are increasing, and people are decreasing their intake of cola drinks or soda drinks or carbonated drinks and are now moving towards healthy and fruity drinks, so it would be an excellent opportunity now to introduce their fruit based drinks. (The World Fact book-India)

Fruit or vegetable juices are a growing industry due to the result of increased consumer expenditure on naturally healthy (NH) beverages. And if Orange Crush introduces their current flavors and products along with new flavors in India then the company will be able to gain a lot of market share and can become a leader in that market. And if Orange Crush raises health consciousness of the people it would help the company to increase their sales of naturally healthy (NH) soft drinks such as the grape crush or pineapple crush, crush grapefruit, lemon-lime crush, lime crush, crush tropical punch, berry blast crush, crush nectar, crush frozen orange dream, diet orange crush, diet cream soda crush or diet grape crush etc.

Another thing if Orange Crush set’s up its manufacturing industries in India, it will be like outsourcing for the company because the labor would be cheap and the materials that are required by the company for the production of their product would be less expensive and the company will be able to save money. The company in outsourcing usually takes away the contract from a domestic supplier and the company can place it with a company in the South East Asia like India for cheapest labor and supplies. (Soft Drink in India)

Market Entry Mode

Industries differ greatly in their ease of entry into a new market, that is how it is easy for a new company to enter a market, which is showing great profits, over here would be the Indian market which is showing great prospective for Orange Crush. It is easier to open a new restaurant in the market but it would be considered difficult to enter the beverage industry which is being ruled by the Coca-Cola Company and PepsiCo and their products. Orange Crush when entering the market will be faced by barriers like high capital requirements for the company, economies of scale, patents and licensing requirements for the company, scarce locations of their industries, raw materials availability, or distributors and suppliers, and reputational requirements of the company regarding its product.

The best way for Orange Crush to enter into the market would be through its selection of healthy and fruity drinks because at the moment people are more inclined towards healthy drinks because they have become very health conscious. Therefore the company can play the healthy card for entering into the market. And it can also introduce its line of diet fruit drinks for people who are diabetic, this will also go in the favor of Orange Crush and it will give the company an open gateway to the Indian beverage industry.

Target Market Selection

Target market is a process where the company evaluates all the market segments and then chooses one or more segments which the company thinks is profitable, and then it enters that market segment. A company like Orange Crush target segments like children, teenagers, adults and old age people that is mostly people around 14-63 years of age, so that they can create the greatest customer value for its customers and also create profit and sustain the value and profit for a long period of time.  And in the end large companies like Orange Crush eventually seek full market coverage, they want to be the Coca Cola of their perspective industry.

Market Segmentation

It is important for companies like Orange Crush to segment their markets. Market segmentation means dividing the market into distinctive groups of customers and buyers. These buyers have distinctive requirements such as different needs, characteristics or even have different buying behaviors and they might or might-not need require different kinds of products or marketing strategies. Companies like Orange Crush are much focused on their efforts to meet the distinct needs of individual market segments.

Marketing Mix

The marketing plan of the company is that it is making sure that the consumers and the beverage market are aware of the existence of Orange Crush and to do that Orange Crush has adopted marketing mix. Marketing mix can be defined as a set of tools for marketing purpose that the company uses, so that it can achieve its marketing goals and objectives in their targeted market. The marketing mix is also known as the 4P’s. The 4Ps include the following:

  • Product: product includes product variety, quality, design, features, brand name, packaging, sizes, services, warranties and return. Orange Crush provides flavors in its drink products like grape crush, strawberry crush, cherry crush, pineapple crush, peach crush, apple crush, pear crush, blue raspberry crush, chocolate crush, crush grapefruit, lemon-lime crush, lime crush, crush tropical punch, berry blast crush, crush nectar, crush frozen orange dream, diet orange crush, diet cream soda crush, diet grape crush, crush birch beer, crush ginger beer, red cream crush and wild cherry crush etc. So many kinds of flavors can provide a competitive advantage in the globally competitive marketplace of beverages.
  • Price: price includes list price, discounts, allowances, payment period and as well as credit terms for its customers. Orange Crush has decided upon retail prices in routine days and discount prices on special events. The price of the Orange Crush product should match with the offer’s perceived value, if it does not the buyers will turn to competitors products like Fanta or Miranda.
  • Promotion: promotion includes sales promotion, advertising, sales force, public relations, direct marketing and the company also uses its catalog for promoting of their products worldwide. Orange Crush has to hire, train and motivate salespeople; it has to set up communication and a promotion program, which includes advertising, sales promotion, public relations, direct marketing, institutional selling and online marketing.
  • Place: place would include channels, coverage, assortments, locations, inventory and transport. Orange Crush must identify, recruit and link various marketing distributors who would supply Orange Crush’s products efficiently to their target market. It must understand the various types of retailers, wholesalers and physical distribution companies and how they make their decisions.

Market Positioning

We have know that how companies, brand and products are differentiated. Even in the case of a commodity product like the Orange Crush, the company must see its task as that of converting an undifferentiated product into a differentiated offering in the Indian beverage industry or market. It must be remembered that not all brand differences of the company are meaningful or even important. Each difference in the product has the potential to create expenses for the company as well as customer benefits. Therefore Orange Crush must carefully select ways in which it will be able to differentiate itself from its competitors like Fanta. A difference is worth establishing to the extent that it satisfies the following criteria.

  • Important; the difference actually delivers a highly valued benefits to Orange Crush’s customers
  • Distinctive; the difference is either offered or not offered at all by other companies
  • Superior; the difference is that some products are superior to other in ways of getting the same benefit
  • Communicable; the difference can be communicate with the customer and is visible to the buyers of Orange Crush
  • Preemptive; the difference of the product that a competitor cannot copy easily
  • Affordable; the customer is able to pay the difference in the product
  • Profitable; the company can find the difference in the product profitable therefore it can introduce a different flavor beverage in the market.
  • All the companies in the beverage industry want to promote differences that will appeal most strongly to the targeted market. For example, Orange Crush chooses to differentiate it flavors on taste preferences of the customer and it can emphasize on that fact that it has 24 different flavors for its customers. The end result of positioning of the product would be the successful creation of a market which is mostly focused on value proposition, a simple clear statement of why the target market should by the product from Orange Crush. As a company increases the number of claims for its product or brand, the company can be at risk and a loss of clear positioning as well; in general Orange Crush should avoid four major positioning errors.
  • Under- positioning; the company can discover that the customers have only a hazy idea of the company’s product. The customers do not feel anything special towards that product, the product will only be seen as another product which has entered into an over crowed marketplace. Let’s take the example of PepsiCo when it introduced clear Crystal Pepsi in 1993, the customers were not impressed by the product; they were not able to see the ‘clarity’ as an important benefit in a carbonated drink.
  • Over- positioning; the customers have too narrow image about a company’s product or brand. For example, a customer mostly thinks that a diamond ring at Tiffany’s starts from somewhere around $5000, but in actual Tiffany’s now offer affordable diamond rings starting from $900.
  • Confused positioning; the customers has a confused image of the company’s product due to many claims made by the company or it keeps on changing the products positioning within the industry or marketplace.
  • Doubtful positioning; the customers find it very hard to believe that what the brand claims in view of the product’s features, price or even manufacturer.

Market Share

Market share is defined as the company sales that are divided by the total sales of all the companies for specified product market. The market share can be calculated on the company’s actual sales or even the sales that have been forecasted by the management of the company. The market share is mostly used by the company’s management to foretell about the future sales and it also compares the company’s product with other same competing products, in other words it tells about the market position of the product. It also may vary depending on the unit sales to price differences across competitors. (Kotler, 1997)

As we know that companies do not reveal how that company is doing regarding its major competitors. Therefore the management of the company needs to track down its market share within the industry. The market share of any company is based on four measures, they are as follows:

  •  Overall market share: the company’s overall market share is actually the sales that are expresses as a percentage of the whole market sales. There are two decisions that are considered important in this measure. The first one is based on the use of unit sales that help to express the market share of the company. The second one basically helps to define the total market of that product in our case would be the total market of furniture. As we know that Orange Crush’s share depends on different kinds of flavors that are included in the beverage market definition and if they are included in the market then Orange Crush’s market position would be a medium one.
  • Served market share: served market share of a company can be defined as the sales of the company’s product, which is expressed in terms of percentage of the total sales. The served market shows all the buyers who are able and willing to buy the company’s product. As we know that Orange Crush’ produces its products at a reasonable and affordable price so that many people around the world can buy its beverages. A company should try to capture 100% of its served market but it should have a small share of the total food and beverage industry. The company’s first task is to own a largest share of the market in which they serve. As the company approaches this objective they should increase and add new served markets as well.
  • Relative market share: the company’s relative market share to its top competitor expresses the sales as a percentage of the three largest competitor sales combined. In our case the major competitors of Orange Crush are Fanta and Miranda. If for example, the relative market share which is above 33% therefore it is considered to be strong.
  • Relative market share (to leading competitor): there are some companies that track their shares as a percentage of their leading competitor’s sales. If the relative market share is greater than 100% it indicates that the company as the leader in the market. And if the relative market share of a company is exactly 100% then the company is tied for the lead. If there is an increase in the company’s relative market share it means that the company is moving ahead from its competitor and in our case, it would be Fanta.

Brand Strategy Decision

A company has a lot of choices when it comes to brand strategy. But we are only going to discuss one of them line extension and brand extension. The company can introduce line extensions i.e. existing brand name which is extended to new sizes, designs and so on in the existing product category. Therefore the line extension in Orange Crush would be the flavors of the drink such as grape crush, strawberry crush, cherry crush, pineapple crush, peach crush, apple crush, pear crush, blue raspberry crush, chocolate crush, crush grapefruit, lemon-lime crush, lime crush, crush tropical punch, berry blast crush, crush nectar, crush frozen orange dream, crush birch beer, crush ginger beer, red cream crush and wild cherry crush etc.

The company can introduce brand extensions i.e. brand names that extend to new product categories. Therefore the brand extension in Orange Crush would be its introduction of diet drinks line. The diet drink flavors would include diet orange crush, diet cream soda crush, diet grape crush.

Economic (Financial) Evaluation

Financial analysis analyzes the overall financial framework of the company and it shows that how the company is making its revenue and profit. The management of Orange Crush uses financial analysis to find profitable strategies that go beyond the sales. The management of the company uses financial analysis to see that what factors that affects the company’s profit. The financial analysis and projection analyzes the position of the company assets and see if it can improve the assets management.

Since Orange Crush has the shifted from Procter and Gamble to Dr Pepper Snapple, it has bought in new clientele for the company and which has help the company to increase its sales and make profits. The company also keeps in mind that the customers are always changing their tastes and preferences and the company anticipates these changing tastes and preferences of their customers and provides them with new flavors fruity drinks. With the help of innovation the company to gets new clients and the sales also increase which in return increases the profit.

Implementation and Control

Implementation is a stage which involves the use of managerial, administrative and persuasive abilities to make sure that the company’s chosen alternative is carried out correctly. Orange Crush is one of those companies that meet their customer’s needs conveniently and with clear and effective communication. When the company is applying implementing plans there are some surprises and disappointments that the company would have to face. (Kotler, 1997)

Control can be defined as the management function of the company which is concerned with monitoring the employee’s activities, keeping the organization on track towards its goals and making correction where ever needed. Therefore Orange Crush would need feedbacks and control. There are three kinds of control. And they are as follows:

  • Annual plan control: annual plan control makes sure that the company is achieving its targeted goals. The management of the company must state well define goals each month or quarter. The management should measure the ongoing performance of their employees, and lastly the management of the company must determine the causes of any serious performance gaps and should choose the correct actions to bridge those gaps.
  • Profitability control: profitability control measures the actual profit of the products, customer groups and order sizes of the company’s product. This is not a very easy task for the management of the company. The company’s account is seldom designed in such a way that it would be able to report the profitability of the company and different market entities and activities.
  • Strategic Control: strategic control basically evaluates the company marketing strategy and makes sure that it is appropriate. Due to rapid changes in the consumer’s tastes and environment the company needs to reassess its effectiveness

Evaluation can be defined as merit or a measure against which the performance of the company is measured. Evaluation of the company also includes continuous improvement which can be defined as the implementation of a large number of small but incremental improvements in all the areas of Orange Crush as an ongoing process. In a successful total quality improvement program all the employees of Orange Crush learn what they are expected to contribute by initiating changes in their own work activities. The basic thing in this process is that to improve things little by little at a time but all the time. This process has the highest probability of success in quality improvement of the company. There is no improvement that is considered small to implement the activities are fine tuned all the time and if the organization starts with little improvements it would lead them to big improvements in time.

References

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  2. Competitor Analysis (2007), available from < http://www.netmba.com/strategy/competitor-analysis/>, retrieved on 29th September’08
  3. Craven, D.W (2000), Strategic Marketing. McGraw-Hill
  4. Crush (2008), Available from <http://www.drpeppersnapplegroup.com/brands/crush/>, retrieved on 29th September’08
  5. Danca, A C. (1999), SWOT Analysis, Available from <http://www.stfrancis.edu/ba/ghkickul/stuwebs/btopics/works/swot.htm>, retrieved on 29th September’08
  6. Kotler, P (1997). Marketing Management: analysis, planning, implementation and control. Prentice Hall
  7. Marketing Mix (n.d.), Available from < www.netmba.com/marketing/mix/>, retrieved on 29th September’08
  8. PESTLE Analysis (2007), available from < http://www.marketingminefield.co.uk/marketing-plan/pestle-analysis.html>, retrieved on 29th September’08
  9. Soft Drink in India (2008), Available from <http://www.euromonitor.com/Soft_Drinks_in_India>, retrieved on 29th September’08
  10. The Soft drinks Market- Global Trends and Developments (n.d.), Available from <http://www.leatherheadfood.com/lfi/pdf/softdrinkglobtrend.pdf>, retrieved on 29th September’08
  11. The World Fact book-India (2008), Available from <https://www.cia.gov/library/publications/the-world-factbook/geos/in.html>, retrieved on 29th September’08

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