Sample Mm Plan-1

Marketing Plan: YEO’S Asian Drinks

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1. EXECUTIVE SUMMARY

The following report presents the marketing strategy of YEO’S Asian Drink.

Yeo Hiap Seng was established in the 1930s in Singapore and has become well

known as a large company that produces a wide range of products from

beverages, culinary sauces and pastes to canned food. YEO’S is seen as a pioneer

and innovator in the beverage category since they became the first to introduce

bottled chrysanthemum tea and soya bean milk to the market in the 1950s and

received numerous winning awards in international competitions (Yeo Hiap Seng

Ltd, 2012).

Despite many years of history in the industry, YEO’S is facing threats from strong

competitors such as Season’s, Marigold, Allswell and Asian Story. These

competitor brands offer products of wider variety at a comparable price as

YEO’S. Its inability to capture the younger market causes the company to lose

significant market shares and revenues.

With increasing population in Singapore and Generation Y being a domain

market, YEO’S has decided to focus its target market on the younger generation

and the health conscious consumers. The improvisation of various healthier Asian

drinks with improved flavor and the incorporation of fruit flavor into the Asian

drinks will be used to attract the new crowd.

The objectives of the healthier Asian drinks,

Create brand new image for YEO’S Asian drinks

Highly accepted among the consumers of different races and nationalities

Widely sold in various road shows, supermarkets and food fairs


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2. SITUATION ANALYSIS

YEO’S has a high awareness amongst the older generation of consumers due to its

long tradition in Singapore (Corporate-Overview, 2012). Its products have been

well received and strongly supported by Generation X since the first introduction

in Singapore market. Over the time, the company recognized the new target

market as “younger, more brand awareness and always looking forward to

freshness” (Lee, 2009). Thus, the main marketing objective is to target the

younger consumers and to instill the same brand values that their parents have.

This target group includes teenagers, young working adults and young families

who are in the beginning of their household.

2.1. Market Summary

Geographic

YEO’S immediate market is Singapore with a population of 5.5 million

(Population, 2011). With the increasing trend of globalization YEO’S has

expanded its business to other Asian countries like Malaysia, China, Vietnam

as well as other regional markets which are outside of Asia such as United

Kingdom, United States of America, Canada and Africa with the total

targeted population of approximately 120 million consumers (Soft drinks

international, 2009).

Demographics

Young consumers including students, young working adults and young

families between the age of 18 to 28 are the main target market for the

marketing campaign of YEO’S in Singapore (OFSA NATIONS, 2010).

YEO’S drinks must also take into consideration that Singapore is a multi-

racial society to have a suitable strategy to keep their position in the business

market.

Psychographics

YEO’S currently focus on young active generation with high purchasing

power and trendy mindset. This group of people seeks for new varieties,

experience and stylish products that allow them to have a wider social


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network (OFSA NATIONS, 2010). Besides that, YEO’S also targets on health

conscious consumers who prefer healthier food/beverages choices.

Behavioral

YEO’S is targeting at consumers who enjoy gathering with their relatives or

colleagues on occasions (Chinese Festivals, 2008) such as birthday parties,

festivals or meetings. At the same time, YEO’S also aims to attract potential

customers by offering variety of products.

Market Needs

YEO’S is providing a wide range of canned foods and beverages. The

company seeks to fulfill the following benefits that are important to its

customers:

Competitive price: Although the drink is inexpensive, customers will still

seek for comparable product of a cheaper cost. Consumers will search for

information and evaluate the alternatives.

Flavors: YEO’S is working hard to introduce new flavors to satisfy

customers’ need. As nowadays customers would like to try out new things

and like to have more choices.

Quality: Customers are not only concern of the price but also the quality.

A differential threshold or deterioration in the quality would greatly affect

the customer’s perception of the brand and product. One of YEO’S

strength is to maintain its quality of production and offer a healthier range

of products such as “less sugar” to customize to consumer preference.

Market Trends

Singaporeans are getting more health-conscious due to efforts made by the

government to promote a healthier lifestyle and the general concern raised by

the public towards health and wellness (Singaporeans are health conscious,

2010). Consumers are more educated and with the invasion of Internet in

every household, people are on the lookout for every possible means and

gadget to maintain vitality, preventive medications and activities to remain a

healthy lifestyle.


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Thus, YEO’S has had to keep up with this trend by coming up with new,

healthier incarnations of their drinks with more natural, fresh and healthy

ingredients.

Consumers especially the young are always attracted by fresh and innovative

products and are very welcoming towards new ideas or new product

innovation. To YEO’S, product innovation has always been a key focus since

they were the first company in the world to package its Asian drinks in Tetra

Brik aseptic containers using UHT process (Corporate- History and Heritage,

2012). Creating visible innovation would make YEO’S competitors’ products

date faster, re-segment and gain benefit by differentiating YEO’S from its

main competitors.

Market Growth

According to the National Statistical Authority of Singapore (2010), there is

an increase in population for both Singapore Permanent-Residents (PR) and

the non-residents (excluding tourists and visitors since 2000).

The statistics for PR and the non-residents in 2000 and 2010 are as follow:

Year PR Non-residents Growth (%)

2000 287, 500 754, 000 162.26

2010 541, 000 1, 305, 000 141.22

Country Year 2000 Year 2010 Growth (%)

Malaysia 305, 400 386, 000 26.39

China, Hong Kong & Macau 155, 000 175, 200 13.03

Indonesia 32, 500 54, 400 67.38

Other Asian Countries 22,400 90, 100 302.23

Among the PRs and non-residents, there is an increase of Asians living in

Singapore. As such there is a market growth for Asians, likewise for Asian

drinks.


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2.2. Competition

YEO’S is facing very strong competitors in the market for Asian Drinks. One

of the main competitors, Season’s (F&N) is offering similar products of a

comparable price (Fraser and Neave Ltd, 2012). Although Season’s has

lesser variety of Asian Drinks as compared to YEO’S, it offers a wide range

of Fruit Teas to target the increasing market of Generation-Y (Gen-Y) while

YEO’S hardly have any diversification from Asian Drinks (Yeo Hiap Seng

Ltd, 2012). This set YEO’S at its disadvantage as Asian Drinks may be good

enough to satisfy the older generations, it may not be as appealing to the

younger generations. The fusion of fruit teas adds appeal and may better

arouse the interest of the consumers.

For the other competitors such as Marigold add on pressure indirectly as its

product focus are milk and fruit juices. It has yet to become direct

competitors as most consumers recognizes the brand for milk and fruit juices

more than for Asian drinks or other beverages (Marigold, 2010).

2.3. Product Offering

YEO’S has entered the food and beverage market for a long time and has

successfully launched several products. Their current achievement is No. 1 in

Soy Milk Category, No. 1 in Tea Drink Category, No. 1 in Canned Meat

Range and their future targets are No.1 in Instant Noodle Category and No. 1

in Canned Food Category (Advameg, 2012).

Drink: YEO’S offers both canned drinks and Tetra Brik drinks to cater to

consumers’ different purposes and occasions. YEO’S Asian drink isa line

of beverage products of local favorites. The flavors in the line include

Chrysanthemum Tea, Chrysanthemum Tea with Luo Han Guo, Winter

Melon Tea, Lemon Barley Drink, Lychee, Grass Jelly and Sugar Cane.

The product line also includes beverages targeted at different racial groups

such as Longan Red Date for the Chinese and Bandung Rose Drink for the

Malays. They also introduced healthier options such as “not so sweet” and

“less sugar”.


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Food: Beside beverages, YEO’S also offers wide range of canned foods. In

1950s, YEO’S launched its first canned product that is the canned chicken

curry. By early 1970s, the company introduced their first instant noodle,

chilli, tomato and oyster sauce (Advameg, 2012). Some of its other

products are beef curry, satay chicken, mutton curry with potatoes, lamb

curry, baked bean in tomato sauce, cream style sweet corn.

2.4. SWOT Analysis

Internal Environment

Using a “Marketing Memo: Checklist for Performing Strengths/Weakness

Analysis", the strengths and weaknesses are extracted as follow:

Strengths

Marketing

Company reputation

Market share

Product variety and quality

Distribution effectiveness

Pricing effectiveness

Innovation effectiveness

Geographical coverage

Finance

Financial stability

Manufacturing

Capacity

Ability to produce on time

Organization

Visionary, capable leadership

Weaknesses

Marketing

Outdated image

Brand confusion


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Strengths

YEO’s was established in the early 1930s and have successfully built trust and

attained customers’ loyalty, especially from the Baby Boomers that grew up

with the brand. As compared to YEO’s competitors, it was a step ahead in

gaining market’s attention and familiarity of its products.

Since its 1969 listing on the Stock Exchange, YEO’s has commanded a

substantial share of the local drinks market (Far East Organization, 1995). In

2011, the food and beverages division reported revenue of S$87.49 million for

the quarter ended June 30, an increase of 5.6 per cent year-on-year (Mesenas,

CNA, 2011).

YEO’s produces more than 200 varieties of products such as traditional Asian

drinks, fruit juices, soya milk, jelly drinks, canned food, Asian sauces and

instant noodles. Apart from being recognized as the market leader in non-

carbonated drinks in Singapore, Malaysia and the region, YEO’s is also the

bottler and distributor for international brands such as Pepsi/Diet Pepsi, 7-up,

Mountain Dew, Miranda and Evervess. It also distributes for Evian and Volvic

mineral water in Singapore (Far East Organization, 1995).

YEO’s has a strong position in its product category with its wide distribution

network in places such as major supermarkets, convenience stores, vending

machines and petrol kiosks, which allowed YEO’s to reach its consumers

geographically and in turn increase brand awareness.

One of YEO’s competitive advantages is that it not only targets the local

market, it also target the consumers abroad by making inroads to countries

such as the US, Canada, Europe, Australia, New Zealand, various countries in

Asia and even the Pacific Islands with its ready-to-drink drinks and Asian

sauces and pastes for cooking.


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Weaknesses

Young people have the perception that teas are mostly appreciated by older

people and are consumed to ease discomfort. The younger generation tends to

be very preoccupied with what other people think of their appearance. When

young consumers enter a super market and are faced with a wide variety of

beverages, they will very likely select a can of soft drink or a bottle of fruit

juice to suit their young and trendy image, instead of an Asian traditional tea.

Having a wide distribution channel is strength; however it can also be a

weakness. YEO’s wide varieties of ready-to-drink teas are displayed next to its

competitors, who also have a wide variety of ready-to-drink teas. This may

create confusion for the consumers.

External Environment

The follow is a list of the marketing opportunities that Yeo’s can profitably

satisfy and the threats that will lower sales or profit.

O

Opportunities

As the demand for a healthier lifestyle increases in Singapore, more people are

looking towards organic food products as a healthier choice of living. In 2005,

YEO’s team up with a leading American organic and natural food products

company, Hain Celestial Group, to jointly develop business opportunities in

the organic and food industry. The partnership provides access to new

distribution channels as well as open new and different product markets,

thereby broadening each other’s global footprint and product offerings (Far

East Organization, 1995).

Opportunities

Broaden product offerings

Cost-cutting

Revamp sales and distribution

system

Online Purchasing System

Threats

Competitive market

Rising cost of raw materials


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In 2010, Yeo Hiap Seng Malaysia Group embarked on a plant consolidation

exercise to streamline its five factories to three factories, so as to achieve

better efficiency and lower operating cost. This exercise expects to realize

significant annual savings when the exercise is duly completed by 2012. As of

the fourth quarter of 2011, there has been a significant growth in net profit

from the previous year (Lim, 2012).

Also in the same year, Yeo Hiap Seng Malaysia Group introduced the use of

computerized handheld devices to process sales orders, and implemented a

distributor management system to enhance visibility in distributors’ sales,

pricing and promotional information. This will help improve the efficiency of

its employees (Lim, 2012).

In our modern society, going shopping for groceries once a week may be a

dreaded task to some. Especially when one have to do groceries shopping for

occasions like Chinese New Year, they have to lug many cartons of packet

drinks or canned drinks home for entertaining of guests. YEO’s can come up

with an online purchasing system where consumers can mix and match

different types of beverages through YEO’s purchasing system on its website

and have it delivered to their homes. This will save a lot of time for the

consumers.

Threats

Although YEO’s is one of the oldest and most recognized brands in Singapore

for its beverages, it is now facing strong competitors in the market. They

include Season’s, Marigold, Nutritea, Allswell, Asian Story and Heaven &

Earth that produces a wide range of ready-to-drink teas too. Some of these

brands have more attractive packaging so as to attract the younger generation.

In order to keep up with its competitors and attract the targeted market, YEO’s

need to keep its packaging “Hip” and “Relevant” to appeal to the younger

market.


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In a recent report, YEO’s said that the next 12 months could see the Food and

Beverage division's margins "squeezed because raw material prices and energy

costs will continue to rise while selling prices will continue to be

competitive”. The rising cost of raw materials to produce the beverages will

lead to an increase in the selling prices of the beverages (Mesenas, CNA,

2011).

2.5. Critical Issues

The report has analyzed YEO’S as a company and its marketplace by using

the internal and external knowledge. To achieve the success, YEO’S need to

effectively manage critical issues to,

Clearly identify their target markets in order to satisfy the needs of

consumers.

Use promotional tools like personal selling, participation in the trade

shows or events such as School Open House, Music Concerts or IT Shows

and advertising on popular newspaper and magazines like Today, Straight

Times and i-Weekly.

Build a good relationship with customers by updating them with the latest

programs about upcoming products or company’s events to motivate them

in making purchase.

Develop the next generation of product with more interesting features

towards customers.

Apply advanced technologies in manufacturing processes in order to lower

the operating costs so that YEO’S would have a more competitive price as

compared to its competitors in the market.

Create a more creative, attractive, brand new, lively and youthful image to

target more young consumers.

Continue to build brand awareness that will drive customers to existing

products as well as ease the marketing efforts of future products.


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3. MARKETING STRATEGY

The main focus of YEO’S is to continue their growth in market shares with their

targeted market; mainly the older generation (baby boomers, generation-x).

The key to marketing strategy is to focus on increasing awareness among the

younger and health conscious consumers by improvising current products and

developing new product to cater to their needs. Advertisement, marketing

campaigns and on-going promotions are tools to create a learning process for the

consumers about products information and product offerings.

3.1. Mission

YEO’S mission is to expand its role in the Food & Beverage industry by

improving its quality as well as innovating it’s packaging to bring the best

product to customers. With the success of those previous products, YEO’S is

now planning to improve and come up with new product that will hit the

market. Besides, with its wide distribution network in Asian’s drink, the

company can diversify and focus more on targeting the market in Western

countries.

YEO’S understands the need for products that offers a better value and high

quality than its competitors. The mission of YEO’S does not only in-line with

the venture, but also high chance of successes.

3.2. Marketing Objectives

For a company to target its market effectively, it needs to set specific,

measurable, achievable, realistic and time specific market objectives. In order

for YEO’s to gain more market share in the beverage market, it emphasizes

on the taste, quality, and packaging of its beverages and also its availability to

anyone at anytime.

Below are some of the objectives that YEO’s has to achieve in their

upcoming market:

Earn significant market share in the next five years by putting more

marketing effort to target the younger generations in terms of more attractive


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marketing advertisements and promotions and more events to create brand

awareness.

To make YEO’s beverages much more available than it is now by

implementing an “Online Purchasing System” where busy customers can

purchase YEO’s product online and have it delivered to their door steps. This

new system is targeted to increase the company’s sales profit by at least 20%

after it is launched.

Apart from emphasizing on the younger generation, it should also focus on

strengthening the relationships it has with the current customers.

3.3. Financial Objectives

According to the studies, Singaporeans and people living in Singapore are in

high demand for Asian drinks due to their concern of healthy food and also

the traditional taste compared to other products of soft drinks (Asian Dessert

Recipes, 2010). The figures indicated that Asian drinks have become a

popular choice for at least 65% of the populations. With such figures, YEO’S

might implement new objectives in Singapore market:

Increase revenue for products of Asian drinks by 10% annually through

the high demand.

Gain 15% more of the market share for Asian drinks by the end of

December 2014.

Increase cash flows by 10% by downsizing the outdated, unfavorable

products to develop fresh, innovative and exciting products to satisfy the

market trends.

Reduce operation costs by 15% and increase productivity by applying

latest technologies into producing processes.

3.4. Target Markets

The population in Singapore of slightly less than 2 million people in 1960’s,

when YEO’s first diversified its range of Asian Teas, has now increased

tremendously to 5 million over people. As compared to the elderly population

aged 65 years old and above, the youth population of those aged between 15-

29 years is 11.2 per cent more (Statistic Singapore, 2011). Those between the


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ages of 25-29 years of age are the most economically active (Statistic

Singapore, 2012), making them the target emphasis of YEO’s.

The younger population is becoming more exposed to sports and is becoming

more health conscious. In order for YEO’s to not fall behind in the trend, it

launched the H-Two-O isotonic drinks and have a co-title sponsorship with S.

League with football icons, Lionel Lewis and Isa Halim, as the brand

ambassadors. It also organizes events like the “H-Two-O Ultimate Football

Champions League” and “H-Two-O Ultimate Dance” to encourage youths to

keep active and healthy, at the same time increase its product awareness to

the youths (Yeo Hiap Seng Limited, 2010).

Apart from these events and campaigns, YEO’s gave its Justea range of teas

a facelift by giving it a more vibrant packaging and a brand new logo to

appeal to the younger crowd who are inclined towards a healthier lifestyle

(Yeo Hiap Seng Limited, 2010). These are some of the marketing efforts

YEO’s have made in the recent years to appeal to its target market.

3.5. Positioning

YEO’S has been offering a wide range of Asian drinks and is known for its

good product quality and distinctive traditional taste at an affordable price. In

today’s market, it is shown that there is an increase in health conscious

consumers (Singaporeans are health conscious, 2010). Hence, YEO’S will

position itself as a quality tea manufacturer that offers variety of healthier

drink choices with improved taste. For instance, incorporating fruit flavor into


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the Asian drinks. On the other hand, YEO’S can also introduce a healthy

range of organic tea/ soy drink.

In the mind of consumer, YEO’S Asian drinks will be an up-market product

of a preferred brand among its competitors and is strongly accepted among

the Singaporeans and expatriates. In order to move towards such positioning,

YEO’S has to maintain its current awards and also improve the award in their

different specification, regardless it to be the best packaging, high

innovativeness or high quality.

3.6. Marketing Mix

Product:

Since YEO’S has already established “not-so-sweet” and “less-sugar”

Chrysanthemum Tea, the company can expand the line of healthier choices for

the rest of the Asian drinks. In order to cater to the health conscious group of

consumers, YEO’S can also develop a new range of healthier products such as

organic Asian drinks.

In addition to raise the attention among the younger consumers, product

modification such as adding fruit flavors to the Asian drinks can be resorted.

The example of Apple Chrysanthemum Tea is more appealing and unusual as

compared to the traditional Chrysanthemum Tea. This may intrigue the

younger consumers more effectively as they seek for excitement and creativity

in products.

Price:

Being the leader in Asian drinks market in Singapore during the past 15 years

(Datamonitor, 2012), YEO’s set the price for range of products based on the

value that create for consumers and the company also looks at factors

consumers consider when coming up with a value assessment. By seeing the

criteria the consumers use in value judgment such as taste, packaging and

advertising, YEO’S can get a better concept of what the consumers see as

most important and the motivations for purchase of the consumers. The


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pricing YEO’S set for the range of Asian drinks is generally consistent

throughout the years: S$1.00 – 1.90 per product (NTUC FairPrice, 2012),

except for festive periods such as Chinese New Year where demand for its

products will increase. Being a fast moving consumer good (FMCG), YEO’S

must not stray too much from competitors’ prices so as to maintain their

competitiveness in the market.

Place:

Apart from selling the products in various supermarkets and coffee shops,

YEO’S can also have their own outlets that carry all their products including

food (sauce, paste, condiment, canned food, instant noodles and spread) and

beverages. This aids in the convenience of the consumers if they looking to

purchase YEO’S product in specific. The outlet also set as a station to

encourage tourist purchase of the local products (e.g. curry paste).

Promotion:

Sales Promotion

Through the introduction of new products, YEO’S can organize roadshows to

increase consumers’ exposure and awareness. Promotions such as price

reduction, free gifts and product sampling can also be given to increase the

effectiveness of the various events.

Societal marketing concept can also be adopted to improve society as a whole

while also fulfilling the objectives of the organization. For instance during

festive seasons, YEO’S can propose to donate part of their sales or a carton of

Asian drinks to the needy, for every carton bought by the consumers.

Advertising

YEO’S advertising strategy aims to elevate the company to Top-Of-Mind

Awareness and build customers affection towards the brand. Current

advertising strategy for YEO’S covers multiple platforms. Advertisements are

also screened on popular local television channels during prime time (7-9pm)

(see Appendix 1A). Advertisements can also be found on billboards in


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selected MRT stations where ridership is high (see Appendix 1B) Print

advertisements are also featured in high-readership newspapers such as Shin

Min Daily News (see Appendix 1C) as well as in popular magazines like i-

Weekly. Being active in social media marketing has become essential to reach

out to the target audience who are IT savvy and spend a large portion of their

time on the Internet.

Information on product and various promotions and campaign videos will be

available on the official campaign website. The “Your YEO’S Moment”

contest will be run entirely through the website. The website address will be

heavily promoted by “piggybacking” on all of the promotion materials that

will be distributed to consumers, physically or electronically.

A Facebook page for the campaign will be created to establish a platform for

two-way communication with target audience. Upcoming promotions and

contest info will be communicated on the page. Customers can also provide

feedback by leaving their comments on the Facebook page (refer to Appendix

1D for simulated Facebook page).

Public Relations

YEO’S has a practice of strong corporate social responsibility in order not

only to relate constructively to customers, suppliers and dealers but also relate

to a large number of interested publics. Events are often organized to promote

social cohesion and responsibility. These activities set up a communication

channel between the company and consumers, as well as build up YEO’S

corporate image.

In 2008, YEO’S tried to attract new customers in the target segment through

an event called the ‘Modern Mixes Launch Party’ (Soft drink international,

2010). Consumers were invited to an event where Asian drinks are mixed with

alcoholic beverages. However, this event could have been harming to the

brand, as it did not fit with the brand’s image of being traditional and nostalgic

even amongst the young target market.


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In the near future, to have more influence on targeted group as young people

and build interest in product categories, YEO’S target is to be one of the main

sponsors for Polytechnic Open House and University Open House (YEO’S,

2012). The participants of the open house are expected to be students aged

from 17 to early 20s. YEO’S hoped to raise interest in the product in the

target market before the television commercial airs in the following week.

Bottles or cans of Asian drinks will be given free to the participants during

the open house of Polytechnics and Universities. Together with the campaign

of Open House at schools in Singapore, YEO’S will hold an event “Chevron

Happy Time @ CBD” road show e at Chevron House located in the Central

Business District. This event targets young working adults, to expose to them

the new attitudes and concepts associated with the drink as well as direct

them to visit the campaign website for information on future promotions and

contests.

4. FINANCIAL PROJECTIONS

4.1. Sales Forecast

In 2011, YEO’S Singapore reported an estimated total sale of S$399.9

million in the fiscal year ended December, an increase of 0.6% compared to

2010. The net profit was S$26.8 million in fiscal 2011, as compared to the net

loss of $19.4 million in 2010 (YEO’S, 2012). The sales of YEO’S Asian

drinks in Singapore are estimated to be approximately S$10.4 million.

According to Department of Statistics Singapore (2012), the population of

Singapore is around 5.6 million till end of 2011 and the number is about to

increase dramatically to 6.1 million due to a large scale of immigrants to

Singapore for working and studying. Asian drinks have been a regular drink

to Singaporeans and become more popular to foreigners living in Singapore

due to its taste and convenience. There were approximately 85% of

populations (5.1 million) in Singapore consuming Asian drinks at least once

in 2011, according to the statistics of Datamonitor (2012). To be a leader in

the Asian drinks market, YEO’S gaining 40% of market share, compared to

other main competitors like Pokka and Seasons (Singapore: Food, beverages

and tobacco background, 2009). The projected market share YEO’S


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management desire to target in year of 2012 will be 45% (2.3 million) of the

5 million consumers purchasing Asian drinks. However, the economists

reported that a worldwide economic crisis would happen again in 2012 that

would have significant impact on consumers spending, including Singapore

(Cheow, 2012). Therefore, with plans for Singapore market this year in case

of recessions, YEO’S projected sales of Asian drinks are around S$13

million, which is S$2.6 million more than 2011.

By the year 2013, when the worldwide recovers, the buying demand will

increase and consumers might spend more for innovative and attractive

products. Thus, with bigger plans, YEO’S expect the sales for Asian drinks in

Singapore market are S$18 million.

4.2 Expenses Forecast

According to YEO’S, approximately S$2.5 million were spent for advertising

and marketing the products of Asian drinks in Singapore in 2011 which

occupied 4.16% of total sales. The main reasons YEO’S spent a big amount

of money for advertising and marketing Asian drinks products is because they

have been targeting to a new market of young active generations who have

little knowledge about YEO’S background and might be confused by other

brands with the same products in the market. Moreover, YEO’S wanted to

create a new image for the brand to be more creative, fashionable and

dynamic to replace the terms of “old-fashion”, “dull” defined by young

consumers (Green Drinks Singapore, 2010).

The marketing efforts in 2010 and 2011 was successful that created a new

concept about YEO’S in young generation’s mindset while still remaining


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satisfaction to loyal customers by great traditional taste. Thus, the sales and

marketing expenses will be reduced to $S1.9 million in 2012 and YEO’S can

focus on sales and developing other new products to gain more market share

in Singapore market.

In 2013, in order to launch new products to the market, YEO’S will have to

focus more on marketing plans. Thus, the expenses for marketing and

advertising will be increased to S$3 million in 2013 to support for new

products of YEO’S.

5. IMPLEMENTATION CONTROL

5.1. Implementation

The milestones chart on the next page identifies the key marketing programs.

This is to help the marketing managers of the company to assign the tasks,

make sure the tasks are successfully done on time and on budget.

Milestones Plan

Milestone Start Date End Date Budget Manager Department

Marketing plan

completion

10/4/2012 11/4/2012 $0 Travis Marketing

Broadcast advertising 15/4/2012 20/10/2012 $260,500 Serene Marketing

Print advertisement 12/4/2012 20/12/2012 $70,000 Serene Marketing

Chevron Happy

Times @ CBD

30/4/2012 30/4/2012 $15,000 Jessica Marketing


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YEO’s Loves

Singapore Event

10/8/2012 12/8/2012 $10,500 Jessica Marketing

Universities and

Polytechnics

Open House

1/5/2012 6/5/2012 $15,000 Hebe Marketing

Development of retail

channel

10/4/2012 31/12/2012 $0 Hebe Marketing

Total $371,000

5.2. Contingency Planning

Problems with younger consumers

Young consumers nowadays want to look trendy and believe that the

beverage they’re drinking and holding can improve their self-image. YEO’s

packaging for some of its Asian Teas are dull-looking. The company can

include brighter colors and trendier logo to appeal to the young consumers.

.

Problems with competitors

In the current market, there are a lot of other beverage companies who are

coming up with a wide array of flavors for their ready-to-drink Asian teas.

YEO’s have to constantly innovate new and popular flavors, instead of the

traditional teas to appeal to the wide beverage market.

Worst Case Risks

Actual advertising expense exceeds budgeted expense

YEO’s is usually part of events that are massive and may sometimes risk

exceeding the budgeted expense. If that really happens, YEO’s will need to

decrease its number of events and concentrate on cheaper advertising efforts

like posters or road shows. With the expense exceeded, it may also affect the

process of other on-going projects.


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6. CONCLUSION

With this marketing plan we hope to assist YEO’S in meeting their market

objectives, which is to make YEO’S product more widely available to target

the younger generation consumers and strengthen the relationship with its

current consumers in order to earn significant market share in the next 5 years.

Upon establishing the market strategy, the consumers would be updated with

YEO’s products offering in the market. With this, the consumers can vote

online to choose their preferred choice of new products to be launched in the

market. At the same time, they can also give feedback or suggestions on the

products. The involvement of the consumers’ participation would hence

increase the bonds of YEO’S with its consumers and raise awareness among

other consumers.

The promotion methods are namely sales promotion, advertising and public

relations. We will be launching the product at road shows, supermarkets and

food fairs where product discount would be given and food tasting to attract

consumers’ attention and encourage consumers’ purchase.

We aim to increase the revenue of YEO’S based on the marketing strategies

and raise awareness among the consumers of different races and nationalities.


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7. REFERENCES LIST

1. Department of Statistics Singapore. 2011. Statistics – Time Series on

Population (Mid-Year Estimates)

http://www.singstat.gov.sg/stats/themes/people/hist/popn.html

2. Department of Statistics Singapore. 2012. Statistics – Elderly, Youth and

Gender Profiles (Themes)

http://www.singstat.gov.sg/stats/themes/people/elderyouthgender.html

3. Yeo Hiap Seng Limted Annual Report. 2010. Chairman’s Statement

http://www.yeos.com.sg/imagestore/userfiles/file/financial_reports/YHS_AR_

2010.pdf

4. YHS Yeo Hiap Seng Limited. 2011. Unaudited Financial Statements and

Dividend Announcement for the period ended 31 December 2011

http://www.yeos.com.sg/imagestore/userfiles/file/financial_reports/2011_Q4_

Results.pdf

5. Far East Organization. Corporate Structure – Yeo Hiap Seng Limited

http://www.fareast.com.sg/feocorp.web/index.aspx?page=profile

6. Channel News Asia. 2011. Clement Mesenas - Yeo Hiap Seng posts net profit

http://www.channelnewsasia.com/stories/singaporelocalnews/view/1146259/1

/.html

7. YEO’S. 2012.Corporate-Overview

http://www.yeos.com.sg/Corporate_Overview

8. YEO’S.2012. Corporate-History and Heritage

http://www.yeos.com.sg/History_and_Heritage

9. Andrew Lee.2009. Encouraging Asian Beverage Trends For 2010 and Beyond

http://www.teacoffeeasia.com/section-blog/50-features-q4-09/176-

encouraging-asian-beverage-trends-for-2010-and-beyond.html

10. Statistics.2012. Population

http://www.singstat.gov.sg/stats/themes/people/demo.html

http://www.singstat.gov.sg/stats/themes/people/hist/popn.html

http://www.singstat.gov.sg/stats/themes/people/elderyouthgender.html

http://www.yeos.com.sg/imagestore/userfiles/file/financial_reports/2011_Q4_Results.pdf

http://www.yeos.com.sg/imagestore/userfiles/file/financial_reports/2011_Q4_Results.pdf

http://www.fareast.com.sg/feocorp.web/index.aspx?page=profile

http://www.channelnewsasia.com/stories/singaporelocalnews/view/1146259/1/.html

http://www.channelnewsasia.com/stories/singaporelocalnews/view/1146259/1/.html

http://www.yeos.com.sg/Corporate_Overview

http://www.yeos.com.sg/History_and_Heritage

http://www.teacoffeeasia.com/section-blog/50-features-q4-09/176-encouraging-asian-beverage-trends-for-2010-and-beyond.html

http://www.teacoffeeasia.com/section-blog/50-features-q4-09/176-encouraging-asian-beverage-trends-for-2010-and-beyond.html

http://www.singstat.gov.sg/stats/themes/people/demo.html


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11. Soft drink international.2010

http:// www.softdrinksinternational.com/userfiles/file/SDI_OCT09_web.pdf

12. OFSA NATIONS.2010

http://www.wipo.int/edocs/mdocs/.../wipo_asean_ip_bkk_06_draft.pdf

13. Singaporeans are health conscious.2010

http://www.afic.org/Singaporeans%20are%20Health%20Conscious.htm

14. Chinese Festivals, 2008

http://www.happyhomemaker88.com/tag/chinese-festivals

15. Datamonitor.2012. Yeo Hiap Seng

http://www.datamonitor.com/store/product/?productid=34888653-3D5E-

47B6-B050-88A7F64E7EC5

16. ViewsWire.2009. Singapore: Food, Beverages and Tobacco Background.

http://www.eiu.com/index.asp?layout=ib3Article&article_id=739589259&pub

typeid=1122462497&category_id=775133077&country_id=1620000162&pag

e_title=Forecast&rf=0

17. FoodAsia.com. 2001. Archives

http://foodasia.tripod.com/foodasia/id7.html

18. Asianonlinerecipes.com. 2010. Asian Dessert Recipe

http://www.asianonlinerecipes.com/desserts/delicious_desserts.php

19. Cheow Xin Yi.2012. Dark clouds ahead for Singapore economy in 2012.

http://sbr.com.sg/economy/news/dark-clouds-ahead-singapore-economy-in-

2012

20. Green Drinks Singapore.2012

http://sggreendrinks.wordpress.com/

21. Advameg. Yeo Hiap Seng Malaysia Bhd. - Company Profile, Information,

Business Description, History, Background Information on Yeo Hiap Seng

Malaysia Bhd. 2012

22. Canned Food. 2004

http://www.yeos.com.my/product/canfood.php.

http://www.softdrinksinternational.com/userfiles/file/SDI_OCT09_web.pdf

http://www.datamonitor.com/store/product/?productid=34888653-3D5E-47B6-B050-88A7F64E7EC5

http://www.datamonitor.com/store/product/?productid=34888653-3D5E-47B6-B050-88A7F64E7EC5

http://www.eiu.com/index.asp?layout=ib3Article&article_id=739589259&pubtypeid=1122462497&category_id=775133077&country_id=1620000162&page_title=Forecast&rf=0



http://foodasia.tripod.com/foodasia/id7.html

http://www.asianonlinerecipes.com/desserts/delicious_desserts.php

http://sggreendrinks.wordpress.com/


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8. APPENDIXES

Appendix 1A

Appendix 1B

Appendix 1C

I-weekly Magazine Shin Mi Daily Newspaper


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Appendix 1D

Sample Mm Plan-1

Documents

Transcript of Sample Mm Plan-1