BRAND MANAGEMENT

Final ProjectBRAND MANAGEMENTPromotion Plan of a Beverage Brand WATER

Submitted To:Sir Moiudin Rabbani

Submitted By:Waleed Ahmad 111304 Ali Fayyaz 102313Rana Saad Bin Ikhlaq 111302Affifa Mehmood 10

Contents1.Executive summary:42.Introduction of the company:52.1Our vision:52.2Mission Statement:53.Our Objectives:54.Market Analysis:64.1Target Market:64.2Geographic64.3Demographic Factors64.4Market Trends74.5SWOT Analysis7Strengths:7Weakness:7Opportunities:7Threats:85.Competitors Analysis:85.1National Level85.2Regional Level:85.3Top Three Companies Strategies:85.4Nestle:8Sales strategies of Nestle Pure Life:9Personal Selling:9Sales Promotion:95.5Strategies of Aquafina10Product Analysis and Product Strategies10Pricing Strategy:115.6Strategies of Kinley125.7Regional Level Competitor13Gourmet Water Analysis:136.Concentration index of Bottled water industry of Pakistan:147.Marketing Mix of product industry:157.1Product:157.2Objective of product:15Brand Name:157.3Positioning Statement15Unique Selling Point:167.4Packaging:16Plastic bottle:16Labeling:16Label Picture177.5Pricing:17Cost:177.6Comparison with the Competitors Pricing Strategy:18BRAND, PRICE & SIZE18Price for half-liter:18Price for 1.5 Liters:187.7Objective of Pricing:187.8Placement:197.9Objective of Placement:197.10Promotion:208.Advertising:208.2Print Media:218.4Social Media:22Blog link:238.5Personal Selling:238.6Shelve space:238.7Eye catching factor:238.8Objectives of Promotion:23Advertising Cost:249.Future plan of brand Campaign2410.Conclusion:24

1. Executive summary:

This project is all about the launch of the new mineral water whose information is as follows:Company Name: FEEL THE PLACE BEVERAGE (PVT) Ltd. COMPANYBrand Name: WaterPositioning statement: Pristine Drinking WaterOur target market is people of all age groups because of the nature of product. In this comprehensive launch of the mineral water our product will be provided in different sizes according to the market demand.We adopted the penetration strategy i.e. the price charged for products and services are set artificially low in order to gain market share. Once this is achieved, the price will be increased.Than we planned the distribution network of the product by our sales force and distributer too and in start we are just distributing our product in Lahore just and we established our head office in Lahore too. And the channel to market the product we will use two channels in which one is distributor and the other is retailer. For making our product better than others we did competitive analysis of national and regional level competitors and diagnose what strategies they are using.For promotion in start we are doing advertising through print media and TV AD on local cable network, Personal Selling, Social media, Shelve space, Eye catching factor.

2. Introduction of the company:Our company is FEEL THE PLACE BEVERAGE (PVT) Ltd. COMPANY. Our company started its operations in 2015. Basically we are producing mineral water in cost effective manner providing healthy margins to the channel members and earning ample profits for the growth of our brand. Quality is considered to be the essential benchmark so our customers are privileged with the premium drinking experience. The basic concept of our campaign is to develop and launch such mineral water which should be healthy and safe at very low price as compared to others. Majority of people in our country dont have high purchasing power and they cannot afford the high price for drinking water. Human capital always plays an important role in the success of any organization and gives an edge to organization over others. We have the best management and administrating executives, which have brains full of innovations and creativity to start and keep this campaign successful.2.1 Our vision:Become one of the preferred premium mineral water brands in selected (mature or growing) imported bottled water markets worldwide.2.2 Mission Statement:To provide consumers superior quality of premium natural mineral water in affordable price3. Our Objectives:Following are the objectives of our company: To earn a reputation for being an innovative, trend setting brand. To be positioned as a lifestyle oriented, vibrant and contemporary product. Build strong relationships with our suppliers to secure a preferential supply of the best quality products. Insisting on customer satisfaction in all areas of our organization to attribute the retention of an ever increasing customer base. Gain the 50% share in the market Establish the position of market leader in 5 years

Provide the pure mineral water.4. Market Analysis:WATER is new in market as we going to launch it in the start of summer. There is gap in the market of water bottled. Some quality of water in bottle is available in the market but its price is very high and its not easily available at everywhere and some local water bottles are easy available in the market which has low price but not well in the quality. So there is gap that people want the premium, quality of water in affordable price. We are going to fill this gap by giving premium and quality of water in affordable price and it will be easily available everywhere. The period of summer in Pakistan is eight month and water is the basic need of every person as it is the one of the need of survival. As it is the new product in the market, so first we hit the market of Lahore. 4.1 Target Market:The most important decision about the product will decide what people we want to attract, i.e. our target audience. Our product has equal benefit for everybody. We will have to focus on the all group of ages. Everything about our product is designed to bring those people to our site. The reason of choosing full market coverage is to be a market leader in future. We want to provide pure mineral water. The lifestyle of our target audience is different because they belong to different age groups. They are adaptable to change and like change in their lives. The mineral water completes the both objectives. They also influence the decision making of their parents to buy the product. 4.2 GeographicOur geographic customers are of Lahore because its new product and we have to grab the market of Lahore strongly and its easy to grab the one market as compare to four, five cities market but in near future after establishing our product in Lahore market we will definitely launch product in the rest of the cities of Pakistan.4.3 Demographic FactorsWe are targeting All age groups

Lower, Middle and upper income class 4.4 Market TrendsThe market trend is headed toward a more sophisticated and aware customers. Now customers are educated and full aware of harnesses of unfiltered water. Now customers are more conscious about their health and spend more to money for healthy life. Now customers want high quality product in low price. As it is the low involvement product so customers will buy it frequently whatever water bottle is available for them.4.5 SWOT AnalysisIts very necessary to do the SWOT analysis, through this we come to know about the product or business strengths, weakness, opportunities and threats.Strengths: We are providing the high quality and premium mineral water The price of it is affordable easily Our effective advertising plan The different design of our bottle, as it is easily rotatable from the top. The easily availability or strong distribution of our product everywhere in Lahore Marketing staff who lead WATERWeakness: The weak financial position New brand in the market We are only covering the geographic area of Lahore No proper measuring of activities and products after salesOpportunities: Gap in the market, high quality premium water in affordable price The market of mineral water yet not has saturated The 36 brands of mineral water bottled license is cancelled so its perfect timing to enter in the market in summer as the consumption of water is gets doubled in summer as compare to winter.

Better accessibility of this product now because people are educated, well aware, conscious about health and enter in modern age, so we did not need much effort to position this product people mindsThreats: Strong distribution channel of competitors Strong positioning of competitors5. Competitors Analysis:Before launching a product once should know about its competitors because they are biggest threat to a newly launch product. Like every product we also have some competitors on national level and regional level too.5.1 National LevelNestle, Kinley, Aquafina is the major competitor of Sufi on national level. These companies have a cutthroat competition with each other. There is competition due to coverage and their image in the mind of people.5.2 Regional Level:There are many brand, which are competing WATER on regional level. These include Gourmet, Aab-e-hayat, Aab-e-Joo, Aquapure, Sufi, Life etc. WATER competitors in bottled water industry are mainly Nestle, Kinley, Aquafina, Sufi and Gourmet.5.3 Top Three Companies Strategies:5.4 Nestle:Every product on the shelf, every service and every customer contact helps to shape this image. A nestle brand name on a product is a promise to the customer that it is safe to consume, that it complies with all regulations and that it meets high standards of quality. Customers expect us to keep this promise every time. Under no circumstances will we compromise on the safety of a product and every effort must be made to avoid hazards to health.

Sales strategies of Nestle Pure Life:The sales strategy which nestle adopted for pure life water is availability and visibility. To increase sales and gain profit the company has to provide proper supply of product in the market.Personal Selling:A direct vendor selling activity was coordinated and carried out during the summer months of June, July and august in Lahore. A team of vendors clad in branded T-shirts, caps and jackets, sold chilled 0.5 liter bottles to travelling customers on all major intersections. The brand got great mileage out of this innovative idea of personal selling in terms of brand awareness, paid trial, image as well as real sales.Sales Promotion: Specific promotions of Nestle Pure Life were arranged in some of the key outlets of Lahore. Elaborate shelf space was acquired for product display and specially designed POS material was extensively used to promote sales. On a 12-bottle purchase of 1.5 ml, one 1.5 ml bottle was offered free to consumers. Similarly on a 6-bottle purchase of 1.5 ml, one 0.5 ml bottle was offered free. Regarding trade promotion, the retailer was also given an additional discount of 4 % during this sales promotion. Not only did the sales of Nestle Pure Life grow tremendously during the promotion, these continued at a higher pace even after it was over. Positioning StrategyThere are some competitive advantages or important attributes of Nestle Pure Life drinking water, occupying in consumer's mind relative to competing mineral waters are as follows: PURE DRINKING WATER: Nestle Pure Life is only drinking water product in the market. Their competitors are selling mineral water which contains extra chemicals which are harm full for human body, but as far as pure life is concerned it is made by keeping in mind the chemicals which human body requires.

NESTLE LOGO: Pure life use Nestle brand name and the logo of nestle pure life is also showing family care to consumer which is enough to attract the customer. That's why customer gives it preference on other products.COMMUNICABLE: Nestle pure life is a brand of nestle which shows a big sign of quality to customer. Due to its brand name it is very easy to communicate.5.5 Strategies of AquafinaAn ongoing battle for market share has now more aggressive between Pepsi and Coca-cola. So therefore Aquafina has tried a number of strategies to gain a sustainable competitive advantage. Product Analysis and Product Strategies Invitation in productThe company has introduced the flavored water in abroad but not yet in Pakistan, Company has its intention to introduce the new flavored water in Pakistan, and the company is working in this regard as it needs a good market for the flavored water because people are hesitant to buy such water in Pakistan. And this also needs a good marketing. Quality InspectionThe quality inspection teams not only check the ready water from the factory and from the stores but also from the market as they dont want the supply of unhealthy water to the consumer as it destroys their credibility. Brand NameThe brand name is itself a bigger advertisement for the AQUAFINA, as its backed by the strong brand PEPSI CO. the name AQUAFINA has two parts. AQUA means WATER and FINA is derived from the word FINE. That means FINA WATER.

Pricing Strategy:Price comparison:The AQUAFINA compares its price with Nestl PURE WATER as they have good market place in the country, Nestle are the strong competitors of the AQUAFINA, so the AQUAFINA sets its price according to the market situation and also the price is based on the activity of its strong competitor Nestle. AQUAFINA does not compare its price with COCA COLAs KINLEY as they have not as much market share as the Nestle or AQUAFINA itself has.Price Matching:AQUAFINA try to match with the Nestls price strategies, as AQUAFINA lower downs its price if the Nestl is going down in its pricing techniques and vice versa.Target Market:Target market of AQUAFINA is off course the urban areas as in rural areas no one is interested to drink the bottled water as they think that they have canals and tube wells to suck their own clean and clear water beneath the surface of land. So the marketing in rural areas is almost 10% as compared to the urban areas. In urban areas also the marketing is limited to some major cities like Lahore, Karachi, Islamabad, Faisalabad, Gujranwala, and Peshawar.Price Setting:AQUAFINA has a separate department for its price setting, who oversees the all the market trends, take its report through the marketing department to know the market trends. They set a unit price for the convenience of the consumer for the bottled water as people dont like to give the scattered money like coins to the market.Low Pricing:Offering low prices to the consumer for their product is one of the price strategies of the AQUAFINA WATER. They try their best to offer the comparatively low prices than offered by other companies in the market to enhance the market share.

5.6 Strategies of KinleyAt Kinley, sustainable success means operating responsibly and creating enduring economic value that serves their business and their share owners well. As they continue to listen, learn and build, they strive for a model that is relevant, industry-specific, systematic and as attainable as it is accountable.PRICING STRATEGY:Trade Promotion: Kinley Company gives incentives to middle men or retailers in way as they offer them free samples and free empty bottles, by this these retailers and middle man push their product in the market. And thats why Kinley seen more in the market. And they have a good sale in the market because according to the expert which product seen more in the market that sells more. Seen as sold They do agreements with a shop keepers and stores to exclusive sale in that stores. These stores are called as KEY accounts in their local language. And coke also invest heavy budget on these stores and offers them free samples and free bottles and some time cash incentives. Different Price in Different Seasons:Some times Kinley Company changes their product prices according to the season. Summer is supposed to be a good season for beverage industry in Pakistan. So in winter they reduce their prices to maintain their sales and profit. But normally they reduce the prices of their pet bottles or 1 liter bottle. Promotion StrategiesGetting Shelves:They gets or purchase shelves in big departmental stores and display their products in that shelves in that style which show their product more clear and more attractive for the consumers. Sale Promotion:

Company also do sponsorships with different college and schools cafes and sponsors their Sports events and other extra curriculum activities for getting market share. UTC Scheme: UTC mean under the crown scheme, Kinley often do this type of scheme and they offer very handy prizes in it. Like once they offer bicycles, caps, TV sets, cash prizes etc. This scheme is very much popular among children. DISTRIBUTION CHANNELSKinley Company performs two types of selling activities: Direct Selling Indirect SellingDirect Selling: In direct selling they supply their products in shops by using their own transports. They have almost 450 vehicles to supply their bottles. In this type of selling company have more profit margin.Indirect Selling:They have their whole sellers and agencies to cover all area. Because it is very difficult for them to cover all area of Pakistan by their own so they have so many whole sellers and agencies to assure their customers for availability of Kinley products.5.7 Regional Level Competitor Gourmet Water Analysis:In Lahore Gourmet water Pure drinking water also joined this industry with all size bottles 500ml, 1.5 and 19 liters. Gourmet is capturing market especially in 19 liter bottle. We think Gourmet key competitive edge is price factor. In business language Gourmet is running business through vertical integration so they are producing products like ice-cream , milk, and bottled water at low cost as compare to their competitors. There other competitive edge is gourmet distribution or availability because there outlets which almost covered the entire Lahore. Gourmet bottled water is mostly generating sales

through 19 liters bottle. They are not selling new bottle of 19liters bottle. If you go to ask for 19 liters bottle they will be refused you. They are just refilling bottle of their existing customers. They also mentioned a board in there outlets Gourmet water of 19 liter bottle is temporarily pending, It will be started soon when new plant installed so we can presume their sales growth they needed to enhance their production.I saw many customers of Nestle 19 liter bottle switched to Gourmet water because Gourmet price of 19 liters water is80rswhile Nestle price is120rsof 19 liter water, so in Lahore people who belongs to middle class rapidly switched to gourmet water as well in offices, clinics, and

other places where bottled water is use. The other main reason gourmet is now become strong brand in Lahore so people are satisfied to use gourmet products rather than local companies. Gourmet bottled water is also available in 500ml with the price of18rsand 1.5 liters at30rsbut their sales are restricted only at their outlets. I consider if accessibility of these bottle in every departmental store so their sales off course would be increased. Because in normal routine when we buy mineral water of 500 ml, the price factor is not much consider. But in 19 liter bottle price factor is strongly consider.6. Concentration index of Bottled water industry of Pakistan:

What do it signifies:The chart signifies that Bottled water industry is very competitive in Pakistan because of 45 percent share is in the hand of nestle and rest (Sufi, Kinley and Aquafina) has also very competitive share in the market therefore it is very difficult to enter in the market and it is also very difficult to compete in the market. It also signifies that nestle is the market leader and others are challengers. 7. Marketing Mix of product industry:7.1 Product:We offer safe, healthy, quality, premium drinking water in affordable price WATER to our customers. Water will going to launch in 2015 with 500ml pack and in the end of 2015, the packs were available in 1litre too. Our Water is purified with reverse osmosis using the latest technology. A new transparent label was used under the spirit of purity.7.2 Objective of product: To making the product better and safer To fulfill the need of consumer To making the product cheaper for the end-user To making the product easier to sell To adding more features to the product To improve its Quality as there is always room for the improvements in anything Brand Name:We set WATER as the name of our drinking water bottle.7.3 Positioning StatementPristine Drinking Water

Logo

Variants:In the start we are just offering 500ml water bottle and 1 liter water bottle will be offered in the end of 2015.Unique Selling Point: Purity Easy drinking design of bottle tap Different design of a bottle Availability Price Expiry date7.4 Packaging:Plastic bottle: 600 mlLabeling: sticker containing ingredients logo of brand printed bottle full design on label slogan and product name on label

statement and information e.g. batch, Manufacturing date and expiry dateLabel Picture

7.5 Pricing:We set price of our product after analysis of our competitor products. Following are the selling price of our product We set the price of 500ml bottle is 20 rupees Cost:Price per tapRs.3

Label price per bottleRs. 1

Plastic bottleRs.2.50

Water bottle FillingRs.2.50

Total CostRs. 9

Pricing Strategy is Penetration:The Company is currently relying on market penetration pricing e.g. Lower price as compared to its competitors. This strategy also works well to attract those classes that relate lower prices with higher quality. Thus, in somewhat manner the company has tried to become distinctive. As it is low involvement product so people purchase the product which is easily available that why we more focus on distribution and availability

of product in Lahore. Affordable price, premium, pure, quality of water and easy availability of this water will become the key success factor.7.6 Comparison with the Competitors Pricing Strategy:BRAND, PRICE & SIZEPrice for half-liter: Water, Rs. 20 Nestle Mineral Water, Rs. 30 Kinley Mineral Water, Rs. 30 Gourmet Mineral water, Rs. 25 Sufi mineral water, Rs. 25 Price for 1.5 Liters: WATER, Rs. 35 Nestle Mineral Waters, Rs. 50 Gourmet mineral water, Rs. 45 Kinley mineral water, Rs. 507.7 Objective of Pricing: Set price to distinguish product in multiple product lines Market penetration Price stabilization Meet of follow competition Market share Profits maximization Cash flow Survival

7.8 Placement:We only launch this product in Lahore Pakistan only because in small area we can grab the market easily and firmly. In Lahore we will distribute the product in the following places School, college, Universities, hospitals, and in all institutes All Fast food restaurant and Hotels Government offices and institute canteens and cafs At every retail store from small corner shop to big hyper stores We make distribution of this product through ways:Primary distribution:Producer TO consumerIn this we produce the product and distribute our product through our sales team. The sales team visits all Lahore areas and will take the orders and fulfill them. In this way the company sales representative have direct contact with retailers which is the very important person who directly in contact with customers.Secondary DistributionSecondary distribution will made through the traditional distribution channel:

7.9 Objective of Placement: To cover the all area of Lahore To make the availability of product everywhere To boost the sales To Minimize the total distribution cost

7.10 Promotion:For promotion purpose we will go for Advertising through print media and TV AD Personal Selling Social media Facebook, website, blog, banner Shelve space Eye catching factorPush and Pull StrategyFor this product we going to use both strategies push and pull. We will pull customers toward our product by advertising, social media and awareness of the product and through push we make available our product every one because in hot summer people just want quality of water in low price. So when we going to use these both strategies we will sure that our sales will boost and slow down we will start getting the market share of total market of water bottle industry.8. Advertising:In this section for maximum awareness and attraction we use two way.8.1 TV Ad:We make TV AD which will cast only on local cables in the different area of Lahore so that maximum area is covered. The AD will run on TV in Afternoon and in evening on movies channel and local channel on which star plus dramas are recorded and then play it. We select this channel because people at home maximum watch movies or dramas of star plus. The ad will played 14 to 16 times throughout the day with equal interval. In evening we play our AD from 6pm to 9pm in winters and in summer 8pm to 10pm.TV AD basic Theme:

In the AD we use a doctor and child who have the stomach problem then doctor diagnose tells that this kind of disease is occur due to unfiltered water and then doctor recommend our water by saying, it has the essential minerals which is necessary for body and will protect our families from disease which is cause by unfiltered waters and in the end doctor say, first choice of doctors is WATER, after that at 1 side our bottle shown and other side we will explain WHY JUST WATER.8.2 Print Media:In this section we print brochures and will distribute it on signal and in Sunday magazine by inserts. Through this we can create Maximum awareness of our product in general public. For outdoor we select the main and big signals of Lahore area where rush of traffic is huge and there our sales man will distribute our brochures among the public. 8.3 Brochure:

8.4 Social Media:We do promotion of our product through social media websites e. g like facebook, twitter, hi5. Tagged, Orkut, and blogs, website, banners etcWe will make a page and group of our product where the brief introduction of the product, its brochure, and bottle image any one can view. On page news updates regarding our product will share and articles regarding health will also share. In group chat through informal communication we get the feedback about its taste, price, availability, design and suggestions of public. Through this we will also come to know about the awareness percentage, how much people are aware of this product till now.We will make an animation banner of it and will place it at different most visited websites so that when a user visits a site it will become the attraction factor and at least one time visitor click on it.

Blog link:Umerarsalansiddique.wix.com/water-tempWebsite:8.5 Personal Selling:In personal selling we will identify some Traffic signals where rush of traffic is high and we will sell our water to everyone. We place our counter there and it will fully designed by stickers, which will work as attraction factor as well as awareness tool too. We will do this activity for two weeks only.8.6 Shelve space:We will divide Lahore in 5 to 6 areas and organize 5 to 6 teams, each team contain 3 salesmen and 1 supervisor, who will be responsible for the assigned task. These team will cover all retail shops, fast food restaurants, hospitals, schools, and universities of their area and get the shelve space by offering them some incentive and discounts on our product, by this way we will cover all the area and our product will available at everywhere.8.7 Eye catching factor:On all retail shops and universities, hospitals, fast food restaurants we will place our water bottle stands and fridges which will become eye catching factor and through this our sales will be boost.8.8 Objectives of Promotion: To Build Awareness of our product To Create Interest so that we can move a customer from awareness of a product to making a purchase To Provide Information to customer in a way to assist customers in the search stage of the purchasing process To stimulate demand through right promotion that drive customers to make a purchase To Remind- Running a promotion to reinforce your brand, reminding people who already buy that you are around

To sustain in the market and gaining the maximum market share from our competitorAdvertising Cost:TV Ads Local cable for 1 month69000

Print media250,000 (fifty thousand insert)

Personal selling 100,000

Shelf space50,000

Eye Catching Factor200,000

Brochure100,000

Total cost769,000

9. Future plan of brand Campaign In future we will launch our product in other cities too and then gradually all over the Pakistan and for more awareness we will go for TV ads on different channels and in TV ads we will use endorsement for our product. The company will go for billboards, bunting and steamers in those cities where we had been launched our product but on specific places. In future after strong positioning and image we will place our product in hyper store e. g Hyperstar, Metro cash and carry, CSD and Makro and others big retail stores. The company will also go for kiosks activities where it is offered. The company will go for weekly magazine ads so that make people aware of it.

10. Conclusion:We have successfully developed the plan. If we look at the market it is full of competition. A large portion of the population is attracted by those products which have already positioned in their minds. In this market scenario we launched the Mineral Water that is WATER. The main objective is to give the awareness of our product and gain some share in the market. For this purpose we have developed advertising plan in which the objective was to create highly visible launch of WATER. The budget of advertising is for launching campaign of 1,000,000. We have allocated this budget into

different mediums. We have conducted a survey and have received positive feedback about our product. As we have given the free sampling. The marketing campaign was successful. We also conform from our retailers about our product they give us positive response when our sales started decreasing they gave all the review of the customer this is very helpful for us to remove our weakness of our product and major part of evaluation of advertising plan. In the start we face problem of shortage of our product then after some time we takeover that problem by the help of our sales force and increase the visits of outlet to solve this problem .In the future we will increase the product line.

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