Friday, September 20, 2019
Marketing Plan for Soft Drink Company
Marketing Plan for Soft Drink Company This report will serve as a marketing plan to introduce an innovative Orange drink by the name of Orangee in the UK market. Orangee would be a revolution in the beverage industry of UK as the proposed market plan is covering all aspects of the marketing such as the target customers, current market situation and preferences of people. This report will draft out various marketing strategies and market analysis of the competitors and prospect of the launching of this drink in the UK market. The proposed marketing strategies are strong enough to raise Orangee market size up to 1 million people and a forecasted sale of up to 5 million pounds yearly. Further, the quality of product would be of utmost importance. This will help a great deal in order to consider the product for export at a later time which will definitely shoot up the profits considerably. Export potential will be considered in Eastern Europe where there is a slump in the beverage industry. Several beverage companies in Eastern Europe have failed to address the demands of the local customers so there is a huge opportunity there to excel the drink which could be a part of our business provided the type of response we get in UK after the launch of the drink. Orangee Introduction: Orangee will be a bottled orange drink with Orange colour used as the main theme for the packaging to make it attractive and also for the promotion of the drink. The concentration of pure oranges in drink will be more than 90 percent with fractional artificial flavours and taste enhancers to make the drink more striking to the consumers. Further, the drink price will be economical and easily affordable for the majority of the people in UK. For the purpose of initial testing of the market, the introductory price of Orangee would be fractionally lower than its competitors. After the response of the market, the new price would then be introduced. With comparing it with some of the orange juice competitors like Nestle Orange juice, Tropicana Orange Juice; Orangee will prove itself as the best budget drink with high quality and low price. Target Market: Thorough market research and deep analysis is instrumental in hitting your target market with a bang. Factors such as market trends, buyers intentions, statistical demand analysis, test marketing etc are critical in determining the sale potential. Target market can be more than one and different marketing strategies need to be applied for the different target markets as according to William M. Pride (2009) a firm uses one marketing mix to reach one target market and a separate one for the other. For the case of Orangee, no specific demographic market was chosen. Instead our goal is to develop the product to be used by consumers of both genders and all ages, from infants to seniors. It is attended to be launch as a family product in order to give them an alternative for other sub-standard or expensive Orange juices. Marketing Tools and Techniques: Most of the businessmen at the initial stage of launching their product are a bit hesitant in spending lavishly on the marketing but nothing could be further from the truth. Proper product marketing is very critical and to have a defensive approach for that could almost certainly doom the product to failure. According to Sylva-Michele Sternkopf (2005: 107) majority of the companies interviewed for marketing tools stated that their increased profits reflects the importance of their marketing tools. So, this shows the importance and relevance of marketing tools for businesses to run successfully. Following are the marketing tools that will be incurred for the marketing of Orangee: Well Structured and Comprehensive Website As Orangee has a fair bit of budget as mentioned above, so nothing can be as good as a well designed website. It will be a first impression of the company and will be launched a moth before the launching of Orangee to make it popular among customers. It will be a comprehensive site covering all the aspects of the product including its competitors, price, offers etc. The expenses required to build the website would be 1000 pounds and would have 300 pounds for its maintenance each month. Brochures Brochures are yet another effective marketing tool for the purpose of the Orangee marketing. According to Scott C. Gladden (1996: 74) Brochures are the most informative marketing tool which can be used a direct hand-out or a mailer. It is a very inexpensive yet successful way of promoting the product. Brochures will be distributed in busy places like shopping malls, parks, educational institutions, tube stations etc. Newspaper Advertisements The only thing that can be better than cheap publicity is free publicity as newspaper advertisements provides just that. As nothing much the company has to do for it as the newspaper advertisements promotes the product automatically. It is also a very inexpensive marketing tool with effective outcomes. Timely and frequent promotions about Orangee price updates, special offers etc would be given in the best selling newspapers of UK. Television If the sales picks up in the introductory stage, then we can also think about promoting Orangee through television. At the time of launching the product, it can be a bit risky to invoke television for the purpose of marketing for it being the most expensive medium for marketing. Developing Orangee Branding: Branding is a single best buzzword in the marketing industry. Branding basically lays the basis for the marketing success of the product. According to Bill Chiaravalle (2006) Branding makes selling easier and develop a level of trust between the buyer and the company. Branding Philosophy: Branding is the process of changing minds. Just as products are created with hands, the brands are created with mind. For the purpose of promoting Orangee, people can be convinced by Brand awareness like Orangee is Vitamin C enriched or Having Orangee daily is a great way of strengthening body resistance etc. For the branding of Orangee, the tag line we are going to use will be OrangeE: Squeezed just the way you want. This tag line relates a lot with the product and will be used almost everywhere where the product is promoted like on the website, brochures, newspaper advertisements. Logo highlights the product branding part and so is for Orangee nevertheless. Logo of Orangee will set the overall impression of the product on the customers. A ripe orange in the partially squeezed form will be the logo for Orangee and would somehow relate with the above mentioned tagline also. Orangee Life Cycle: According to Anselmi Immonen (2008: 9) Product life cycle refers to a concept and a set of systematic phases that attempts to control the product information previously described. Product life cycle analysis of our product and other related products helps in identifying different loopholes in our product. Following are the key phases of Orangee life cycle: Growing: Material used to make fertilizers and pesticides. Fuel needed to set up the soil for planting. Watering in order to nourish the orange trees. Harvesting: Fuel to operate the harvesting equipment and delivering oranges to the processing premises. Processing: Equipment and Man-power needed to produce the orange juice. Water needed for washing and preparing orange juice. Usage of additives like sugar, taste enhancers etc Packaging: Materials and energy used for preparing Orangee juice containers and packing boxes. Distribution: Fuel required for transporting Orangee to stores. Retail: Electricity requirement in stores for refrigerating Orangee. Disposal: Fuel to transfer the wasted containers to the waste-yard or recycling place. Comparison of Orangee with Nestle Product Life Cycle: Nestle Orange juice is market pioneer and at the time of its introduction, its profits were negative. It was mainly due to the reason of its low sales and high distribution and promotion expenses. The other reason for its bad launching was its unawareness in the rural areas. But later on during the growth stage of Nestle life cycle, its profits sky rocketed by their effective promotion and formulating of new price strategies. And until now till its maturity, Nestle has sustained itself as standard orange juice providers and are a tough competitor for Orangee to compete with.