new market plan
TRANSCRIPT
-
8/4/2019 New Market Plan
1/31
Product and Brand Management
Presented by
Sanket Deshmukh (C-08)Vineetha Menon (C-19)
Sterling Institute Of Management Studies
-
8/4/2019 New Market Plan
2/31
-
8/4/2019 New Market Plan
3/31
The youth(Knowledgeable ,trendy, ambitious,
Responsible and energetic), who will be the next
generation to mould the countrys future.
Since it is a FMCG product, the sales of the product willcome from middle class and upper class households.
Target marketTarget market
-
8/4/2019 New Market Plan
4/31
Jagoo Re campaign .
Jaago Re as a campaign urges the
youth to take a stand on various issues
such as voting and corruption and do
their bit thereby encouraging them to
be the change they want to see.
Unique selling propositionUnique selling proposition
-
8/4/2019 New Market Plan
5/31
Taste and Quality at affordable price.
Customized tea offerings depending on the tastes. Regional Brands are Kanan Devan, Gemini and
Chakra Gold.
Refreshing Aroma.
Value to ConsumersValue to Consumers
-
8/4/2019 New Market Plan
6/31
SWOTSWOT
-
8/4/2019 New Market Plan
7/31
56 Tea gardens in Assam , Kerala and Tamil Nadu. These
plantation will help to imbibe the flavors of these regions
into the tea .
Tea is considered as a health drink (known for its
antioxidant properties)
Demand for tea has been growing at some 2% per annum
and should accelerate further
StrengthsStrengths
-
8/4/2019 New Market Plan
8/31
Indian labor laws, do more harm to industry and labor.
Labor intensive industry so related problems.
Limited scalability; its a US $ 5 billion market globally and
growing at a very slow pace.
WeaknessWeakness
-
8/4/2019 New Market Plan
9/31
Biggest opportunities in rural market.
Visible trend towards the health drink; up to the tea industry to
make aware consuming population of the facts. Tea has a distinct advantage over more popular beverage
coffee .
To make tea more acceptable and fashionable like coffee.
To come up with new flavors/formulation of the tea.
OpportunitiesOpportunities
-
8/4/2019 New Market Plan
10/31
Regional players offering mediocre products at low prices
or with attractive promotions .
It is perceived as being old fashioned and less functional
than some substitute products.
To retain young population from being lured by
multinationals to aerated and flavored drinks.
Labor problems .
Competition from regional and local players.
ThreatsThreats
-
8/4/2019 New Market Plan
11/31
CompetitorsCompetitors
-
8/4/2019 New Market Plan
12/31
Hindustan Lever Ltd.
Tata Tea Ltd.
Duncans Industries
Wagh Bakri Ltd.
Private Label
Goodricke Group Ltd.
Golden Tips Tea Pvt.
Hasmukhrai & Co
Girnar Food & Beverages
P ltd
Sapat Packaging
Industries
Top 10 Tea Companies In IndiaTop 10 Tea Companies In India
-
8/4/2019 New Market Plan
13/31
The median price for a 250-gm pack in northern India, Tata Teas
main market, is approximately Rs 42.50 .
The largest segment of the packet tea market is economy at 61 per
cent where the average tea price is less than Rs 145 per kg;
Followed by the popular segment where pricing is in the Rs 145-180
per kg range and then the premium end beyond Rs 180 per kg.
Pricing strategyPricing strategy
-
8/4/2019 New Market Plan
14/31
Media
TV
Print
POP/POS
Banners
Marcom Mix
Advertising
Sales Promotion : Sachet
Public Relations Message strategy
Messages in Hindi or regional languages and English.
Media selection
Compelling benefits
PromotionPromotion
-
8/4/2019 New Market Plan
15/31
Achieve target sales of 4000 kg/day.T
he strategy used toaccomplish this objective would be to advertise by using all mediavehicles selected, which will position Tata Tea to be the best qualitybeverage among target market.
After six months strategy of Tata Tea will shift from selectivedistribution to intensive distribution slowly, there by maximizing thenumber of retailers.
Once the awareness has been created, the main objective will be toincrease the market share. The aim will be to achieve an increase in
the market share of approximately 15% in the first year.
Producing a positive cash flow hence increasing the growth rate ofTata Tea will be another objective.
Marketing ObjectiveMarketing Objective
-
8/4/2019 New Market Plan
16/31
BUDGETBUDGET
-
8/4/2019 New Market Plan
17/31
Month Feb-May Jun-Sep Oct-Jan Total
Frequency 60 121 121
Cost(lac) 952.9008 1905.8016 1905.8016 4764.504
The ad will accentuate on the differential features andbenefits.
The preferred time would between 8:00 - 10:00 at night.
Advertising Expenses (TV)Advertising Expenses (TV)
-
8/4/2019 New Market Plan
18/31
Month Feb-May Jun-Sep Oct-Jan Total
Cost(lac) 571.74 1143.48 1143.48 2858.7024
These will be placed in cities of south India, SouthWest and South East India.
Malls , highways will be our main targets.
Advertisement (Billboards)Advertisement (Billboards)
-
8/4/2019 New Market Plan
19/31
Month Feb-May Jun-Sep Oct-Jan Total
Cost(lac) 190.580 381.160 381.160 952.9008
Advertisement on RADIOAdvertisement on RADIO
-
8/4/2019 New Market Plan
20/31
COST ON MEDIACOST ON MEDIA
0
200
400
600
800
1000
1200
1400
1600
1800
2000
1st Qtr 2nd Qtr 3rd Qtr
TV
boardning
radio
newspaper
magazine
-
8/4/2019 New Market Plan
21/31
Samples in form of sachets will be distributed in retail stores on
the basis of customers buying items more than 100Rs will be
given 2 Sachets to induce people to try Tata Tea. This will be for
3 months.
1000 sachets per month
for 3 months 3000 sachets.
Cost of one sachet Rs 2.64
Total Cost Rs 7,920
Sales Promotion (SAMPLES)Sales Promotion (SAMPLES)
-
8/4/2019 New Market Plan
22/31
If customers bring 10 Tata tea packs they will be
getting 200 Rs card worth of balance.
Total Cost of Cards Rs 32,000
Patronage AwardsPatronage Awards
-
8/4/2019 New Market Plan
23/31
Dispensers will be placed in 10 different localities where theexistence of our target market is at maximum.
Dispenser cost @ 1750 Rs 17,500
Cost of ingredients Rs 6,800
Total Cost of Free Trial Rs 24,300
Sales Promotion (FREE TRIALS )
-
8/4/2019 New Market Plan
24/31
Scratch cards in every fifth pack of tea.
Cost of Scratch cards ----- Rs 100
Total teabags sold with
Scratchcards (units) ------ Rs107
TOTAL COST OF SCHEME ------ RS 10,700
Schemeto inducethesalesSchemeto inducethesales
-
8/4/2019 New Market Plan
25/31
Top Retailers will be given 100 Packs per month forthree months 300 Packs.
Cost of 300 Packs Rs 6,600
Grand total of sales promotion = Rs 82,208
Scheme for retailersScheme for retailers
-
8/4/2019 New Market Plan
26/31
SALES FORECAST
-
8/4/2019 New Market Plan
27/31
Sales per day (Rs) ---- 720,000 Sales per day (Kg) ---- 4500 Sales per year (Rs) ---- 259200000
Sales per year (kg) ---- 1620000 Revenue per year (Rs) ---- 421,200,000
Sales per 3 months ---- 405000 Kg Revenue per 3 months ---- 105,300,000 Profit in three months ---- 10,530,000
-
8/4/2019 New Market Plan
28/31
0
50000
100000
150000
200000
250000
300000
1st Qtr 2nd Qtr 3rd Qtr
tea bags
speciality
loose tea
Sales ForecastSales Forecast
-
8/4/2019 New Market Plan
29/31
Profit expected
0 1000 2000 3000 4000
1st Qtr
2nd Qtr
3rd Qtr
-
8/4/2019 New Market Plan
30/31
On August 2nd The Product will be launched and its scale would be metro city
wide.
On August 17th, September 7th, October5th advertisements will be published inleading newspapers.
After six months of Launch, the company will commence a downward stretch, and
will launch a dust tea which will be targeted to lower class income segments.
On alternate days advertisements will be launched in different channels on thebasis of two fixed spots, i.e. 7:30 and 9:30.
Advertisements will place on Magazines once every month.
On month end Distributor will visit each retailer and give the compensation on salespromotion schemes, company has chosen
The company will participate in melas, trade shows, and exhibitions of all kind toincrease the awareness of the new launch.
Action PlanAction Plan
-
8/4/2019 New Market Plan
31/31
THANK YOUTHANK YOU