RC Cola Marketing Plan

RC skunk merc affordise PlanThe intersection point for the f arwellicular assignment is RC grass which applyd to be a produce of Royal Crown sess Inc till 2001. In 2001 community sold Royal Cola foreign to Cott International, now all the brands atomic number 18 under the acquisition of Cott International. For the purpose of this assignment we issuance be looking at the trade curriculum for the product that is drafted busyly for the acres from which I give break through Pakistan.A suit for choosing this product is more than a personal reason. RC Cola was wholeness of the favourite drinks when i was a school boy and in belated mid-nineties RC Cola started to lose its popularity and starts to fade away. after sometime it was taboo classed by Pepsi and coke. I postulate tried to draw out a market intention for RC Cola because i know that at that place atomic number 18 so m both people in Pakistan who used to fancy RC Cola in their childhood and want it to gr oom a comeback.For the purpose of making a market jut out for the chosen product, we provideing do the situation synopsis of the Soft salute Indus supply in Pakistan. The Marketing Strategies that can be adopted by the society to touch competitive edge and the Marketing pleat for the product.The later part of the assignment looks at the Actions that should be taken in order to implement the plan and whatsoever control meacertain(p)s that should be taken to brand name the plan successful. In the end we will draw out a budgeting plan that should be allocated for the agitatement campaign of the product.Marketing ObjectiveThe objective of drafting out the marketing plan for RC Cola is to win the market sh be in Pakistan and beat Pepsi and coke which argon the both big competitors in that region. This objective is rophy because in past RC Cola has been the market leader for more than 20 years in Pakistan and there was no competition. This object might be difficult to hit but is not impossible as RC cola has a very strong brand name which is a strong edge.Only thing requisite is to formulate a right strategy and to make adjustment to the product according to the strategy.Indus strains Situation AnalysisBefore drafting out a marketing plan for the chosen product it is important to analyse the industry situation. It includes the compendium of strengths and the weaknesses along with the opportunities and the threat that can affect the choice of the marketing strategy that we will adopt. At the moment the balmy drinks industry of Pakistan is dominated by the products of Pepsi (market leader) and coke.StrengthsDue to the hot weather conditions the Pakistan dim drink market has enjoyed a massive harvesting in the terms of volume.Soft drinks industry comprises of change drinks, juices and milk shakes etc. Among all of these carbonated drinks keep a bun in the oven the toweringest market share. This is because the change in the lifestyles of the peo ple, as it is comprehend that drinking a soft drink makes the person look cool.The sales analysis of the soft drinks industry in Pakistan shows that the sales have grown in both ways foreby and large people buying sales directly from the cold-blooded drink shop and secondly people going to hotels and having drinks with their food. This clearly shows that the soft drinks have become a part of the culture and have out classed the homemade drinks i.e. Lassi (drink made by adding milk, yogurt) etc.WeaknessesThe sale of soft drinks is normally seasonal it achieves its peak in the summer and then starts to fall down as the summer progresses to meet winter.The soft drinks alike(p) Lemon and Orange squash are not strong enough in reputation to beat the traditional drinks which are made by adding two spoons into water, mostly known as Sandalwood the top hat star in Pakistan are Roh Afza and Jam e Shiri.OpportunitiesGovernment of Pakistan has reduced taxes such as VAT and Excise in ord er to attract more foreign investments.The labour is very cheap in Pakistan along with the running addresss of a factory. This makes it easier to install and run the factory.ThreatsIncrease in the awareness of heathland related issues, people have started to turn towards fresh juices.Education providers and media have raised health related issues caused by the regular use of carbonated soft drinksMostly people in Pakistan are now becoming self conscious most their diet and have preferred not to use cold drinks as it contains ingredients that increase obesity.Marketing StrategiesMarketing strategies that company can adopt for a specified product areCost Leadership Strategy circle MarketingCost Leadership StrategyCost leadership strategy is a strategy which involves company trying to win the market share by targeting the cost sensitive guests. companionship should consider this strategy for several reasons. Which are listed below.The average income per person in Pakistan is very lo w and the soft drink companies like Pepsi and coke have increased their prices in recent past. Looking at it as an opportunity Cott international can keep their prices low as it use to have in past and try to capture the market share.There are about an average of four kids per couple in a country like Pakistan, most of the kids are school going and they need scoop shovel money but due to low average income kids dont get enough pocket money. If company keeps the cost of RC Cola low than that school going kids will be potential customers.There is a tradition in Pakistan that people are invited on marriage ceremonies where food and drinks are served. By keeping the cost low will encourage those people to buy RC Cola as they will want to save money on something.Mass MarketingMass marketing is a strategy in which company ignores the market segment and go into target everyone, everywhere with one offer. Mass marketing is suitable as well in grimace of Cott International for the followin g reasons.It is companys objective to gain as much market share as they could to become a market leader. For this Cott International has to start a massive marketing campaign starting from the due south of Pakistan and going up to the northern areas of Pakistan.Cott International should use print media and television publicizings as these two are the mostly used modes of media in Pakistan.Marketing Mix StrategiesMarketing decisions cannot be made without looking at the factors such asProductPricePlacePromotionPeopleProcess carnal indorseProductProduct is a term which refers to the tangible (physical process) and services. Before starting the marketing campaign Cott International should think of about the presentation of RC Cola.Decline of RC Cola shows that there was something wrong in the product or there was something more well in the products provided by Pepsi and Coke.Rebranding of the product is not an option in case of RC Cola as it is an internationally recognised brand an d has a history of more than 100 years. It is consumed by children and adults all over the demesne. Rebranding in case of RC Cola means that the name of Royal Crown will be re investd by a new brand, which will not be an effective move.Company should try to improve the quality of the product, for example they should try not to use Caffeine in the drinks as they used to have. As mentioned above people in Pakistan have become more aware about the health and hygiene issues and they know that Caffeine is not good for the health in long term.RC Cola should try to improve the taste of their drink, this is because it tastes a bit bitter as compared to Pepsi and Coke.Currently the there is no variety in the taste and they are unaccompanied pass RC Cola and RC Cola Diet. Company should look to launch RC Cola with variety of tastes as other companies have done. Option of developing new products such as RC Cola Cherry and RC Cola Strawberry is a good option.It should be made available in di fferent sizes ranging from 250 ml to 2.5 Litre. Option of having disposable bottles should be considered.PriceAs the product has been in decline and out of market for a while so the best option is to adopt marketing acuteness strategy and keeping the prices low. This is because our objective is to gain the market share which cannot be achieved if the prices are high.The price should not be too low otherwise it will be perceived as a low quality drink by people.As government has levied the taxes for this peculiar(prenominal) industry which has resulted in reduced cost to the company, even if company set low prices it will not incur any loss.PlaceThis is related to how the product is made available to the customers. It is all about distribution of the product in market.Traditionally in Pakistan the soft drinks manufacturers have links with distributions and wholesalers. So keeping in mind how it works in particular country it is advisable that company should develop relationship wit h wholesaler and distribution holders, where they could place their product and the product is made available to the consumers.In this case company should go for the strategy of intensive distribution that ensures that product is placed at as many outlets as possible by the company. Because they aim to cover the vainglorious number of customers, so it should be made sure that RC Cola is available in each corner of the Pakistan.Using distributions will also save the class that would have been incurred if company has to store the product in their warehouse. Distributions somehow provide storage facility as well.PromotionThis part marketing mix in is of high importance to Cott International as they have to do massive promotion in order to win the market share from the current market leader. Elements of promotional mix on which company should focus more are as follows.AdvertisementSales PromotionSponsorshipsPublic RelationsAdvertisementCompany should advertise on popular television c hannels such as Geo, Ary Digital, Aag. TV commercials should be creative and attractive as it will have impact on the thinking of the people. Currently Pepsi and Coke are very good in tv advertisements so i order to get to that level company should make a separate advertisement department. In Pakistan there are so many cultural and religious events for example Basant (spring festival), Ramdan and Eid.So company should seek to make adverts according to the festivals.Print media such as news papers and magazines are another very strong media type in Pakistan. People cognise to designate newspapers early morning, company should advertise in popular newspapers such as Jang and The Nation.Company should use big advertisement boards in main parts of life-size cities of Pakistan.Using banners to advertise will be another good option.Sales PromotionIt a short term incentive aimed at generating sales or encouraging consumer trial of the companys products.Company can distribute free sample s of the RC Cola to the costumers so that they are made aware about the product with new case and taste.Company should seek to introduce new offers such as Buy a 2L jumbo size bottle and get 250ml for free. People in Pakistan love to get things for free so this will work.Company can introduce a lucky draw in which winner will get a car and runners up gets small prizes. Customers have to scratch the specific part of bottle in order to get the statute then they have to sms that codification with their details and they will be included in the draw. This will encourage people to buy because every time they will buy, they get a code which increases their winning chances.Company can give free refrigerators with the company logo and name on it to the retailers and can ask them to use it only for RC Cola products.Company may put vending machines with their logo in schools, colleges and universities. This will remind the people about the existence of product.SponsorshipThis is when an orga nisation undertakes to carry the cost of hosting an event in return for advertising space.Company can sponsor Pakistan Cricket Team, by sponsoring them company will provide them cricket kits, bats and pads. On the kit of cricket team they can put their logo and also company will get space to advertise their boards on the boundaries or even on the wickets if parallel he taking place in Pakistan. People in Pakistan are diehard fans of cricket so there is good chance of this option to work.Company shall sponsor musical concerts of singers like Atif Aslam Ali Zafar. Because thousands of people attend those concerts, this is the good way of making sure that people stop aware about presence of product.Cott International should try to sign some cricket players like Shahid Afridi and Shoaib Akhtar to work in the companys advertisement. When people will look at their stars drinking this drink they will by all odds try it.PeoplePeople are included in the production and delivery of goods. P eople make a lot of difference to the company. They should have proper(ip) uniforms.Company should have rigorous recruitment system through which they employee well educated and disciplined staff. There should be proper training in place for the employees to carry out their duties in a perfect manner.Sometimes employees have to interact with public during some advertisement campaign, so company should make sure that there employees are friendly.ProcessesCompany should have clear procedures and policies. Everybody should be aware of their duties and responsibility.Company should ensure that all the processes are efficient and the output is error free.Physical EvidencePhysical evidence related to those aspects of the service that customer can see and intent so as to form an impression of the services or its provider.Logo Company should have a unique sign that should make it look different from other companies. It should be distinctive in way that it reminds the customer about the qu ality of the product that has been provided by the company.Colour In past RC Cola has used blue and red colour, which does not look different as the market leader Pepsi uses blue colour this might result in the misunderstanding by the customer.Vehicles Company vehicles such as lorries and truck should be pied and must have companys logo and name on it.Budget AllocationImplementation of a plan needs finances, if there is no finance allocated to the plan than plan will always remain as a piece of paper left inside the drawer of office table.After looking at the pakistans current market rates for the advertisement, budgeted expense has been drafted which is as follows_________ __Mode of Media used budgeted expenseTelevision Adverts 2,000,000Newspapers 100,000Light Boards 500,000Magazines 100,000Total Cost 2,700,000Once budget is allocated to the object than company should move on to start allocating the responsibilities and parturiencys. The marketing plan will be of no use if capab le people of staff are not assigned duties and addicted the deadline for fulfilling their tasks. Specify the date on which product will be launched into the market.Time to take ActionDate of launching of product is set as 12th December.2010, advertising manager of the company is given 1 week time to put all the bits and pieces in order and prepare for the advertisement campaign of the product. From next Sunday every week an advertisement will be published in the most popular newspapers.Television Adverts will be advertised between 700 pm to 900 pm on tv channels like Geo and Ary.Advertisements will be placed in magazines.Marketing manager has already specified the major areas where the big light boards will be installed on which advertisement will be displayed.Lorries with a big poseur of the RC Cola 250ml bottle at their starts to take round of the city for whole day. People will keep this distinctive way of advertisement and will remain aware about the product.Continuous monitor ing of all the activities should be carried out in parallel till the launch of product this is done to ensure that any inefficiency or weakness could be overcome by the management well before hand.Critical reflection on learning outcomesRC Cola inc was formed a century ago, when it arrived Pakistani at that time there no other cola and there were no advance mode of marketing which can be found now in Pakistan. People very not aware of these foreign drinks and were fond of traditional drinks, despite of all these factors that prevailed at that time RC Cola gained market share and soon became the market leader. Acquiring market share when there was no vast coverage of media in Pakistan makes me think that there was something in the product that prompted people to buy it again after they use it for the first time. Value is in the mind of the customer, probably there were not enough carbonated drinks in the market so the arrival of RC Cola with a sweet crispy taste should be a possible source of value to the customer.After the initial launch of RC Cola in Pakistan in 1970s-1980s the product growth was very rapid and it became market leader as mentioned already. According to my analysis of the product, the reason for its decline in first place that company did not incurred any cost on research and analysis of the development of any new product and tried to survive on the product which they had. With the passage of time the tastes of the consumer might have changed and at the same time new competitors entered the market and got hold of the situation. What do you expect from a company which do not incur any cost on research and development and when new competitors enters the market with an aggressive marketing strategy at that time company do not have enough finances to launch a marketing campaign in response. The result of all these is definitely a failure and failure always lead to the decline. Moreover the analysis of company shows that there were some law suits against them in 1990s which lead to compensation payments and cash being dried up. In my point of view these were the problems that led to the decline of product and company itself as well.After the first glance at the assignment i thought as if this requires only drafting a marketing plan for a product that has decline and close to out of the market. But when i start to gather my thoughts on how should i start? What should i consider? I soon realise that it is not only the product which we have to look at but also the external and internal elements that will have an effect on the product directly. Than it was obvious that an analysis of the industry needs to be done. I had number of different models among which i have to use the one that best describes the situation of the industry. For the purpose of doing an industry analysis i chose to use SWOT analysis which looked at positives and the negatives of the industry in which we have to launch our product. I have a professional back ground of an ACCA and i thought the having studied business analysis in past and gone through all the models, it will not be a difficult task to carry out research and analysis. But my perception was proved wrong when i started looking at the product and in particular the company, i have never had a chance in past to study any industry so deeply and finding out what are the strengths on land of shich you can capitalise and what are the weakness that are inbuilt in the industry. While going through industry analysis my mind was thinking of how the product strengths can be used to overcome the inbuilt weaknesses in industry on other hand i was thinking that how the weaknesses of my product can deepen the opportunities that can be availed in that industry into the threats. This thinking process was ongoing throughout the assignment time.After the SWOT analysis of industry and in particular the product, i had gained enough knowledge about how the things were working and evaluating the options on basis of which i could make the product play around in market to gain customer attraction. It was time to draft a proper marketing plan because a wise man have said If you fail to plan than you plan to fail and i really didnt want this product to fail. I realised that marketing plan is not only about Marketing Mix 7 Ps. It starts from the analysis which i have discussed above than it goes on to defining the objectives which the product wants to achieve. Objectives defined should be smart and feasible once the objectives are clear than 7 Ps could be used to design a marketing mix strategy, it covers every aspect of the marketing strategy from external factors to the internal factors. Marketing mix analyse each factor individually and then links them with the objectives and missions of the company. It helps to formulate what exactly needs to be done. Once your are sure about what should be done than there should be proper budget allocation to the project in order to meet the desired outcomes. Most of the marketing plans fail because there are not enough resources allocated to carry them out in practical. Roles and responsibilities should defined and work should be properly allocated. After all this has been done the marketing plan should be monitored on regular basis so that if there is something which is going wrong than proper actions should be taken in order to sort them out without any delay.This is what my perception about how a marketing plan should be carried out and monitored till the desired objectives are achieved.Now a days the world has become a global village and this has a vast impact on the nature of marketing. There is a big difference between a way how companies market their product now and how it used to be two or three decades ago. Marketing of a product is not limited to any physical barriers now. After the birth of e-marketing the things have changed very positively and business have gone multinationals from nationals. This has reduced the cost to the companies as well and have given a competitive advantage.Few basic market research techniques followed now a days are Surveys, Personal Interviews, Observations and Focused groups. With the birth of e-marketing these marketing researches are now more likely to be carried out via internet. To me the outcome of these market researches is not effective at all. This is because it you look at the first technique that is Surveys in which people will be handed over a form with a number of questions which they have to answer, which is then handed back to the person carrying out survey. If the questionnaire is given in person than there might b a chance that response will be 100% but the reliability of a survey depends on the sample size if the sample size is only 1000 out of a population of 1million than the reliability of the survey could be impaired. telephonic surveys could also be carried put but it will cost a bit more and are more effective but yet again sample size is the key thing.Focus groups. In focus groups, a moderator uses a scripted series of questions or topics to lead a discussion among a group of people. These sessions take place at neutral locations, usually at facilities with videotaping equipment and an observation room with one-way mirrors. A focus group usually lasts one to two hours, and it takes at least three groups to get balanced results. But still the question arises that everyone has its own point of view and perception about the questions which are being asked. Few number of people cannot represent the thoughts of a large population.Personal Interviews are same as the focus groups but is more tended towards one on one discussion.Observation is an Individual responses to surveys and focus groups are sometimes at odds with peoples actual behaviour. When you observe consumers in action by videotaping them in stores, at work, or at home, you can observe how they buy or use a product. This gives you a more accurate pict ure of customers usage habits and shop patterns.After learning alot from this assignment i tried to analyse the marketing strategies and the behaviour towards customers that is practiced in my country and i than compared it with what is happening here. My analysis was mostly based on my personal experiences that i had in past. Not to my surprised i came up with a very huge difference between two environments. Back home in Pakistan customers are not treated as they should be, the shop keepers are rude to customers and they are not cared. On the other hand the behaviour of the people towards their costumers is very courteous and polite because they know the value of having these customers as they generate revenues out of them.This assignment has enhanced my analytical skills and i have very positive plans to go back to my country after completing my course and try to work on creating a value for customers and making them feel good.