Marketing Plan on Product Coca-Cola
Assignment Marketing Plan On (Product Coca-Cola) Prepared by Md. Mosaddek Hossen Id # 0220012 Tanima Trina Id#0220063 Sohel Mahmud Id # 0220013 Sabrina Chawdhury Id # : 0000000 Group- Leo Marketing Management Sec-1 Submitted to Mr. Rumman Hassan Lecturer School of Business Independent University, Bangladesh 25th April, 2006 25 April, 2006 Mr. Rumman Hassan Course Instructor Marketing Management School of business IUB, Dhaka-1212 Sub: Letter of transmittal Dear Sir, It’s our great pleasure to submit you this report on Market plan of Coca-cola.
We have got a great experience while working on this report. We would like to leave this report to your kind consideration for any unintentional mistake that may accuser while doing this report. We are always at your service if you want to ask us any thing about this report and it will be a great pleasure to work with you again in future. Sincerely yours Md. Mosaddek Hossen Id # 0220012 Tanima Trina Id#0220063 Sohel Mahmud Id # 0220013 Sabrina Chawdhury Id # : Group- Leo Table of Contents Page number
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Acknowledgement ——————————————————————— 5 Executive Summary ——————————————————————-6 Introduction —————————————————————————-7 Beginning of the project ——————————————————–7 Preface —————————————————————————7 Company Overview ——————————————————————- 7-8 History —————————————————————————7 Coca-Cola Company in Bangladesh —————————————–8 Mission Statement ———————————————————————8 Motto of Coca-Cola: ——————————————————————–9 Strategic Goals ————————————————————————-9 Short term ————————————————————————9 Long term ————————————————————————9 Situational Analysis ——————————————————————– 10-14 Product Definition —————————————————————10 Brand Name of Coca-Cola ——————————————————-10 External Factors —————————————————————– 11-12 Demographic ————————————————————–11 Social Factors ————————————————————11 Political Influence ———————————————————12 Competitors —————————————————————12 Government —————————————————————12 Internal Factor ——————————————————————- 13-14 Human Resource Management ———————————————13 Technology —————————————————————-13 Management Levels ——————————————————–13 Financing Capacity ——————————————————–14 Marketing Department —————————————————–14 Brand Building Efforts ————————————————————— 14-15 Relationship Building Effort ————————————————– 14 Building Values ——————————————————————-14 Target Market —————————————————————————15 Consumption Rate ———————————————————————-15 Strategic Group Map of competitors in the beverage industry —————16 SWOT Analysis ————————————————————————-17 Critical Success Factors ————————————————————— 17-21 Strength ————————————————————————– 7-18 Patent ———————————————————————17 Own production plant —————————————————– 17-18 Research & Development ————————————————-18 High market share ——————————————————–18 Brand image ————————————————————– 18 Weakness ————————————————————————- 18-19 Don’t sell on account ——————————————————18 Less motivation down stream ———————————————-19 Insufficient advertisement ————————————————-19 Not skillful village distributor ———————————————19 Overconfidence in their product ——————————————-19 Opportunity ———————————————————————-20 High growth rate ———————————————————-20 Huge local market ——————————————————–20 Acceptance of Pet bottles ————————————————–20 Good relationship with the distribution channel —————————20 Good relation with the Government —————————————20 Threats —————————————————————————21 Other existing company —————————————————21 Good taste of competitors ————————————————-21 Political instability ——————————————————–21
Better professional promotion of competitor ——————————-21 Maslow’s Hierarchy of Needs ——————————————————–22 Marketing Mix ————————————————————————– 22-26 Product ————————————————————————–22 Price ——————————————————————————23 Distribution Channel ————————————————————24 Promotion ———————————————————————– 24-26 Promotional activities of Coca-Cola —————————————24 Sales Promotion ———————————————————–25 Advertising —————————————————————-25 Public Relation ————————————————————26 Strategy Alternatives ——————————————————————26 Strategy Recommendations ———————————————————-26 Brand Element Choice Criteria —————————————————– 27-28 Exorability ———————————————————————–27 Meaningfulness ——————————————————————27 Transferability ———————————————————————28 Adaptability ———————————————————————–28 Protect ability ———————————————————————28 Marketing research ——————————————————————-29 General objective ——————————————————————29 Specific research ——————————————————————-29 Data collection ——————————————————————29 Bibliography: ————————————————————————-29 Acknowledgement First of all, we would like to thank our lecturer Mr. Rumman Hassan; we are grateful to him for his cooperation in preparing this report. His proper guidance & helpful attitude help us to make this report. We like to thank Mr. M. A. Majed manager (statistics) of Tabani Beverage Company limited from whom we collected all the information. We offer special thanks to Mr.
Shah Suja of Abdul Monem Ltd who really helped us by giving some information, which is required for our project. We also like to thanks Mr. Mustafir rahman who is a student of IUB & at the same time he is a distributor of coca-cola in Maymanshig districts who helps us to provide information. Executive Summary More than a billion times everyday, thirsty people around the world reach for beverages for refreshment. All around the world, drinking beverage is like an entertainment for people. Soft drinks are considered as consumer products. All round the world we can see a different marketing phase used by the beverage producing companies but in Bangladesh it is a little different. The companies do not directly sell their products to the end consumers.
Companies such as Soft Drinks (Coca-Cola, Pepsi, RC-Cola, Uro-Cola, Virgin, etc), Mineral waters (Fresh, Mum, ACME and etc), Juices (Pran, Danish, Sezan, etc) are dependents on the distribution channels for making their products reach the final consumers. As the companies are not making the people aware about their beverage through directly selling it to them, they use other media and means to make its customers know about their products. They use the advertisements as one of the most important promotional tools. Along with advertisement they also use other promotional tools. We have done a study on Coca-Cola Company with the aim to learn about the different marketing prospects in Bangladesh and our selected product is Coca- Cola. Like always the company is doing quite well although at the current moment RC-Cola is dominating the market a little more than Coca-Cola.
Still Coca-Cola has more market share than its competitors. Coca-Cola has an effective marketing and advertising campaign. As the company does not have that skillful village distributor they cannot reach out to a lot of people. There are lots of recommendations which are provided for the improvement of the functionality in the marketing sector The company’s investment in local communities in over 200 countries totals billions of dollars in jobs, facilities, marketing, purchase of local goods and services and most importantly the local business partnership. Introduction Beginning of the project We are students of MKT-302 “Marketing Management”. Our faculty Mr.
Rumman Hassan, Lecturer, School of Business, Independent University, Bangladesh has assigned to us this report writing as a part of our course study. We are sincerely thankful to him for assigning or group such type of a project work in a group of four members. Preface In the past we had only two foreign companies in the production of beverages. One is Coca-Cola Company and the other Pepsi. In the recent years there is a change that we all can see. Some newer companies have entered into this market. Still Coca-Cola is holding on to its position in terms of its market share and market position. Like always it has got the same tremendous response from the people in Bangladesh. Previously it used to dominate a little more than what it does today. After the introduction of
RC-Cola, a sister concern of Partex group they have seen a little down fall in their market share. As people are getting more choice many of Coca-Cola’s customers have diverted to RC-Cola beverages. Still with the company’s ever attracting advertise they have been able to hold on to most of its customers. They also serve to their customers the best quality beverage. Company Overview History The first company that conducted its operation in the soft drink industry was Coca-Cola. They brought a new revolution in the history of the world. Coca-Cola was established in May 1886 when a pharmacist Dr. John Styth PEMBERTON first produced syrup in a three-legged brass pot in Atlanta, Georgia backyard. Coca-Cola first bottled in 1894.
Large scale bottling was only possible in 1899. They marketed and distributed the product in specific territories. Coca-Cola Company in Bangladesh Even before our independence of Bangladesh the Coca-Cola Company has started its operation in Bangladesh. Coca-Cola started its operation under a franchise agreement. In Bangladesh there are two franchisees conducting operation on behalf of Coca-Cola Company. One is Tabani Beverages Company Ltd and the other Abul Monem Ltd. Tabani Beverage was established in 1963 at 257, Tejgaon, Dhaka. It had a rated capacity of 50 BPM on and acre land area. After independence, in 1972, the plant was handed over to Bangladesh.
Freedom fighter welfare trust under the ministry of industry with the increase of gradual market demand in 1985 transferred and newly installed the plant with an increased capacity of 250 BPM at Mirpur on seven acre land area. In 1993 a new plant with 500 BPM capacities was established just beside the previous plant. Now the total production line capacity of the company is app. 830 BPM. Tabani beverage produces 175 ml, 250 ml, 50 ml and 1000 ml glass bottle. They supply Coca-Cola drinks to Dhaka and Rajshahi divisions. Other than Tabani beverage the other franchisee of Coca-Cola Company is Abul Monem company ltd. In 1982 Abul Monem started their operation after they acquired the plant of K.
Rahman & Company. In 1987 the company made an aggressive move to expand their market. They installed new H & K bottling line along with and installed capacity of 450 BPM at Comilla. Furthermore they company established another plant Chittagong. The state of the art bottling plant with an installed capacity 600 BPM is the most modern plant in the country and is equipped with the straight-line-technology from KHS German. Abul Monem produces the PET Bottles, CANS and GLASS Bottles of a newly introduced product. Mission Statement Respect for labor and a human right is the fundamental to Coca-Cola Company’s principles for conducting business around the world.
We treat our employees in more that 200 countries in which we do business in fairness, dignity with respect. Or bottling partners and we operate in accordance with local laws and contribute to the communities. Ultimately, a company’s identity is measured by how it connects with people and with the world around it. That is why The Coca-Cola Company’s mission is articulated as a promise. The Coca-Cola Company exists to Benefit and refresh everyone it touches. All of our success, both past and future, is a product of this promise. Our growth hinges upon our ability to build and nature relationship-with consumers, customers, bottling partners, suppliers, government agencies, communities, employees and share holders.
Further, as we help to build thriving communities all around the world, we seek to ensure a healthy and sustainable marketplace for our beverages-today, and far into the future. Motto of Coca-Cola: Through out the history of the world’s most popular soft drink, advertising for Coca-Cola has followed the trends of time. Coca-Cola’s advertising slogans are memorable and create lasting impressions. Since the first slogan was introduced in 1886 ‘Delicious and refreshing’. The overall theme has been refreshment- one of the pleasant things in life, distinctive and available nearly everywhere. Motto followed the lead to make Coca-Cola the best known soft drink in the world.
Today, motto for Coca-Cola and the company’s other products are carefully aimed towards individual tastes while understanding the universal appeal of refreshment. And very appropriately, the company has globally launched its new motto Theme –“Enjoy Coca-Cola”. ‘Coca-Cola motto’, the world’s best-known consumer product demands the talents of professionals in many different areas. The mottos that has used till now are: “Dil thanda to duniya thanda” Strategic Goals Short term To create Quality, Service, Cleanliness and Value in their current product” Long term To acquire the position as a market leader of the beverage industry in Bangladesh by producing & serving high-quality and high value-added soft drink. Situational Analysis Product Definition
Coca-Cola is consumer product because final consumer for personal consumption buys it. It also falls under the category of Convenience product, which requires very little planning, Little Comparison, low customer involvement, low price. It widespread distribution at convenient place makes it easier for the consumer to purchase the product. Coca-Cola has different sizes. They have 1 liter glass bottle as well pet bottle. Coca-Cola also has 175 ml and 250ml glass bottles. In addition, they also have 1. 5 liter of pet bottle and in the recent past they introduced into the market 2 liter pet bottle coke. It has also 250ml of can coke. Brand Name of Coca-Cola Coca-Cola Has become one of the most popular and widely known Brand roduct in the world It has high brand equity, and because of its high brand loyalty, name awareness, Perceived quality, strong brand association and other assets such as patent trademark and channel relationship. The Coca-Cola brand is value at $ 70 billion. Here we are dealing with tow most important situational factors- External & Internal factors. Some important determinants for this situation analysis are as follows: |EXTERNAL FACTORS |INTERNAL FACTORS | |1. Demographics |1. Human Resource Management | |2. Social Factors |2.
Financial Capacity | |3. Political Influence |3. Technology | |4. Competitors |4. Management Level | |5. Government |5. Marketing Department | Table 1: situational factors External Factors Demographic Demographic is the study of people’s vital statistics such as their age, race, ethnicity and location. It is an uncontrollable factor in the external environment. Demographic is very important for marketing managers.
After survey we find that teenagers are the prime consumer of Coca-Cola products, rather than the people at the age group of 60. Coca-Cola does not have an effective and fast distribution channel in the villages of Bangladesh. Their competitors have an upper hand in this zone. From the demographic point of view we have done a survey on the population who consume more Coca-Cola. |Age Limit |Percentage of Consumer | |Below 10 |10 | |11-15 |20 | |16-20 |23 |21-25 |18 | |26-35 |14 | |36-45 |11 | |45 and above |04 | |TOTAL |100 | Table 2: Source [Tabani beverage Ltd] Social Factors The most difficult external factors for marketing managers to forecast control or incorporate into marketing plans is the social factor. Social factors include our attitudes, values and lifestyle.
According to the company’s mission statement or other statements it is clear that they do not use any such ingredients (e. g. Alcohol), which, contradict to our perception, values of Islamic religion or any other norms, and believes. Political Influence In Bangladesh hartal is a part of our life. Like all other third world counties we have political problems too. The marketing manager of Coca-Cola Company generally sells Coca-Cola 8,000 cases (1 case = 24 bottles) per day but during hartal time the company faces a great loss as they cannot transport their products to the market. Other than hartals they seem to have lesser problems regarding the political condition of Bangladesh. Competitors
Pepsi is a very powerful brand name and is one of the biggest competitors of Coca-Cola. They compete with Coca-Cola throughout the world and it is no different in Bangladesh. At the current moment RC- Cola is a very big brand name in Bangladesh and is the greatest rival for Coca-Cola in Bangladesh. Mountain Dew is a new brand and is a threat for Coca-Cola. RC beverages with the brand image that Partex holds in this country RC beverage easily became a big competitor for Coca-Cola. RC’s market share is increasing which in not a good sign for Coca-Cola. Mineral water such as Mum, Fresh, ACME also a competitor of Coca-Cola. Different kinds of Juice also compete with soft drinks. Government
Coca-Cola has been in business in Bangladesh for a long time but still today there is no record of the company being in any conflict with the government. Coca-Cola always tries to follow the government rules and regulation and they always pays the government the taxes and tariffs while bringing in their raw materials from their Parent Company. Internal Factor Human Resource Management Human resource management refers to the system that influences employee’s behavior, attitudes and performance. The roles of the Human Resource in Coca-Cola Company are as follows: • Change Agents • Choose a Strategic Partner • Expert Administration Body • Recruit Skilled and Efficient Employees Technology Like all other companies, for Coca-Cola, technology is the most important factor.
Coca-Cola uses very high-tech machines for its production. In 1993 a new plant with 500 BPM capacities was established just beside the previous plant. Now the total production line capacity of the company is app. 830 BPM. In 1987 the Abul Monem Company installed new H & K bottling line along with and installed capacity of 450 BPM. The state of the art bottling plant with an installed capacity 600 BPM is the most modern plant in the country and is equipped with the straight-line-technology from KHS German. Management Levels Coca-Cola Company has three management levels: • Strategic level: The Production Procedure, HRM, Store, Finance, Quality Control is all under his control. Technical Level: They are responsible for the administration, production, sales & distribution of Coca-Cola products. Under production department they have quality managers; under brand manager they have brand officer and marketing officer. • Operational manager: They are responsible for the distribution of the products and are responsible for al operational activities. Financing Capacity From the financial report of 2002 and 2003 we can conclude that the company has a very good and sound financial capacity. Coca-Cola has a very high level of income. Moreover they are successfully conducting their business all over the world. Marketing Department
All their distribution & sales promotion falls under this department. Coca-Cola Company has the marketing intelligence. They do a survey in all over the market situation and then they decide what step they should take. During the off seasons the marketing managers takes some promotional activities and uses few strategies to maintain their economic growth rate. The promotional strategies they use are like giving gifts, coupons, scratch cards etc. Brand Building Efforts Relationship Building Effort As the world’s largest bottler of liquid, nonalcoholic refreshment, we operate in markets with dramatically different consumer preferences, product delivery systems, economic conditions, and marketplace opportunities.
Despite these variables, Coca-Cola Enterprises meets the needs of local customers and communities throughout its diverse territories with a strong commitment to local, community-based marketing and superior marketplace execution. These concepts, combined with our firm belief in a decentralized operating structure that places responsibility and accountability as close as possible to the customer, clearly distinguishes Coca-Cola Enterprises from other bottlers. Building Values The people of Coca-Cola Enterprises are the heart and soul of our business, building relationships with our customers and our consumers in the communities we serve. By putting people first, we hope to create value for everyone touched by our Company.
We strive for an atmosphere in which all employees are comfortable being themselves – offering ideas, making suggestions, expressing views, and appreciating our shared and unshared differences – regardless of their age, race, gender, nationality, ethnicity, religion or sexual orientation. Target Market From the above table we can see that Coca-Cola Company’s main target audience is the teenage people (16-20). They aim their advertisement mostly at them. Then they target the age group of 11-15. They are also quite a significant consumer of Coca-Cola products. They hardly target the aged people. Their target is between the ranges of 11-35 years old population. Consumption Rate Figure 1: Consumption rate of Coca-Cola & other brands No matter how hot or “cool” the flavor feud becomes this summer; Coke won’t be sweating it too much.
Coca-Cola up 30 Tk to 40 Tk, the world’s largest beverage maker, is still comfortably perched in its slot as the local market leader, according to Beverage Digest. Currently market share of product Coca-Cola is 23%. Comparing to other beverages Coca-Cola is the market leader product brand. Strategic Group Map of competitors in the beverage industry Figure 2: Strategic Group Map of competitors in the beverage industry Products in adversely affected strategic groups may try to shift to a more favorably situated group. Here in beverage industry entry barrier is low that’s why too much product are available. Currently Coca-Cola, Pepsi, RC-cola, Virgin cola stands in same strategic group.
Here Coca-Cola is the leading product of the beverage market industry in both market share and revenue generation. Pepsi has 2nd largest market share but its revenue generation is less than RC-cola. RC-cola has low market share comparing Coca-Cola and Pepsi but revenue generation is high. In Beverage industry upper 10, RC orange are the worst revenue generation product. Mum mineral water has demand but that’s market share is also low comparing to Coca-Cola. In this figure u see strategic gap. No company wants of reached their product in that position because it is not possible low market share with high volume of revenue. On the other hand no company wants for a product with high market share but low revenue generation. SWOT Analysis Strengths |Weaknesses | |Patent |Do not sell on account | |Own production plant |Less motivation down stream | |Research & Development |Insufficient advertisement | |High market share |Not skillful distributor | |Brand image |Over confidence on their product | |Opportunities |Threats | |High growth rate |Other existing company | |Huge local market |Good taste of competitor | |Acceptance of pet bottles is higher than |Political stability | |bottles |Better professional promotion of other | |Good relation with distribution channel |competitor | |Good relation Govt. | Table 3: SWOT Analysis Critical Success Factors Strength Patent Patent is most important and powerful strength of Coca-Cola Company. It’s an intangible asset for the company. Coca-Cola Company is a very well established group not only in Bangladesh but also all through out the world. They have a strong brand image all over the world and the same follows in Bangladesh. First half of the Coca-Cola Company is trade marked as “Coca”, so nobody can use this name. Patent is their powerful strength because its carries their image as one of the most reputed producers of beverage in the whole world. Own production plant:
Coca-Cola Company has their own production plant in Bangladesh-Tabani Beverage established their own production plant with the capacity of 250 BPM, and beside that they newly installed higher capacity of 500 BPM. So they don’t need to depend on others. They only import the Syrup from the patent company & produce it for production. Another franchisee, Abdul Monem Company Ltd. started bottling line with the capacity of 450 BPM. Furthermore, they installed the most modern bottling plant capacity of 600 BPM from KHS German. Research & Development: They have well-established research & development department where they research over their existing product concentration & try to develop it.
They also do researching on different taste of their products. They have highly qualified employees for their research & development dept. High market share: They are the most prominent manufacturers among all the beverage company in Bangladesh. They have higher market share than their competitors. Coca-Cola captures a market share of 26% where as the other products of Coca-Cola Company has very little share compared to it. Their greatest rival in Bangladesh is RC-Cola, which has a market share of only 19%. This shows that Coca-Cola Company has a high market share. Brand image: They have the most dominant brand name all over the world; they made their image for their brand name “Coca-Cola”.
Whenever people think about soft drinks, the first name that comes into their mind is Coke. This shows how popular they are and how strong is their brand image. Weakness Don’t sell on account: Coca-Cola Company doesn’t sell on account, whereas other companies like selling on account to their dealers. For not selling on account their profit margin tends to go down. Also, they are loosing their dealers and distributors. Other companies are attracting those distributors and as distribution channel is the only way that the company can use to reach its final consumers they are facing serious problems. Less motivation down stream: They are very steady flow motivators for their product.
They motivate but not so strictly, mean not maintaining the time period……… [Need more] Insufficient advertisement: In our country, Coca-Cola does not have enough advertisement promotion. Thus their competitors are professionally more advanced than them. Their customers are not properly informed. They think that their brand name would always do the trick for them. Due to less advertisement promotion they are behind their competitor. We hardly can find any advertisement of Coca-Cola in villages. So, many of the customers of that parts of Bangladesh are not having Coca-Cola. Not skillful village distributor: Coca-Cola does not have a good and skillful village distributor.
Coca-Cola products can hardly be seen in village areas. Their advertisements are also hardly seen in those areas. The distributors are not promoting Coca-Cola products in villages, which their competitors are. Their distributors do not have outlets or any other such facilities, which could be promotional for the company’s products. Overconfidence in their product: Just from the point mentioned above we can know that the company has overconfidence over their product. As they are the first beverage producers in the world and has a very strong brand image and patent, the company thinks that they will be able to sell their products without too any promotional activities.
Coca-Cola does not have too much advertisement and are also not willing to sell their products on account to their dealers. As such they do not have that good distribution channel outside Dhaka city. They think people would buy their products because of its brand name. Opportunity High growth rate: From its very inception in Bangladesh, Coca-Cola has a very potential market in our country because of its international reputation, quality and high acceptance among people of all ages. Coca-Cola does not have that good distribution channel outside Dhaka but now they are trying to get hold of better distributors and thus the village people can have access to their products. So it can be seen that in the near future they can have even a greater market share than today.
Huge local market: The selling activities of Coca-Cola are very high in the local market than other existing company. They capture the whole market by giving the best quality to their customer and dealing professionally. Acceptance of Pet bottles: Coca-Cola launched attractive pet bottles, which is accepted by the entire customer, as it is portable and people are willing to buy these pet bottles rather than the bottles. So their effort to launch pet bottles is successful. Good relationship with the distribution channel: Coca-Cola Company and its distributor have a very good relationship with each other. They supply their product according to their needs.
They promote their distribution channel through discount & allowances. They serve their dealers on time. Good relation with the Government: Good relationship with the Govt. is very important for any company to run its business. Threats Other existing company: The other rising companies are becoming threat for Coca-Cola. Opening of one company decreases 1% market share each year. Today RC Cola is a very reputed beverage producer and with their attractive advertisements and distribution channels they are at this moment in a better position then Coca-Cola and it is a big threat to them. Not only RC Cola but Pepsi, Virgin and euro lemon are also in this business.
This means that consumers have more options to choose. Good taste of competitors: The other beverage company’s product is also coming up with the different taste like; mountain dew, URO cola with lemon, Fizz- UP, Pepsi has but Coca-Cola Company does not have any product like that in our country. So that it’s been a great threat for Coca-Cola. Political instability: Like all other companies Coca-Cola also faces a lot of problems regarding the political situation of our country. The political instability creates a lot of problems in the production of goods. Due to hartals, the transportation of their products is affected a lot. Better professional promotion of competitor:
Competitors are becoming very professional with their advertising. RC Cola has designed a very attractive advertisement. They are using all well-known models like Nobel and Reshmi, who is an Indian model, for heir advertisements. Not only RC-Cola but also other beverage producers are using models and jingles for their advertisements. Coca-Cola on the other hand does not have that many advertisements an as such is being threatened by its competitors. There is a possibility that their competitors would capture greater market share through advertisements. Maslow’s Hierarchy of Needs In 1943, Abraham Maslow first published his famous “Hierarchy of Needs” to explain what energizes and directs human behavior.
It is no accident that very successful brands, such as Coke, appeal too many of Maslow’s deficiency and growth needs and that these needs are linked to powerful emotions: • Physiological Needs (Coca-Cola quenches thirst and hunger. It is” delicious”& “refreshing. ”) • Safety/Security Needs (Coca-Cola is safe to drink worldwide. It is unchanging: “Classic Coca-Cola. ”) • Belongingness Needs (You are part of a large group of people who love Coca-Cola. ) • Esteem Needs (Coca-Cola is recognized as a premium soft drink worldwide. It also call to mind memories of “special times and places. ”) • Aesthetic Needs (All Coke ads and designs have a sense of order and beauty. • Self-actualization Needs (On the Coca-Cola web site, there are many stories on how Coca-Cola has deeply affected people’s lives) Marketing Mix Product Our selected product is Coca-Cola. Coca-Cola has different sizes. They have 1 liter glass bottle as well pet bottle. Coca-Cola also has 175 ml and 250ml glass bottles. In addition, they also have 1. 5 liter of pet bottle and in the recent past they introduced into the market 2 liter pet bottle Coca-Cola. It has also 250ml of can Coca-Cola. What’s in a Coca-cola??? • Carbonated Water • High Fructose Corn Syrup • Caramel Color • Phosphoric Acid • Natural Flavors • Caffeine Price The retail price of the beverage products are given below: Product Item |Quantity per pack |Price | | | 250 ml. |12. 00 Tk | |Coca-Cola |500 ml |20. 00 Tk | | |1000 ml. (Pet) |40. 00 Tk | | |1500 ml |50. 00 Tk | | |2250 ml |65. 00 Tk | | | 250 ml. |12. 0 Tk | |Sprite |500 ml |20. 00 Tk | | |1000 ml. (Pet) |40. 00 Tk | | |1500 ml |50. 00 Tk | | |2250 ml |65. 00 Tk | |Fanta | 250 ml. |12. 00 Tk | |RC- cola | 250 ml. | | |500 ml |10. 00 Tk | | |1000 ml. (Pet) |18. 00 Tk | | |1500 ml |35. 00 Tk | | | |45. 00 Tk | |Pepsi | 250 ml. |12. 00 Tk | | |500 ml |20. 0 Tk | | |1000 ml. (Pet) |40. 00 Tk | | |1500 ml |50. 00 Tk | | |2250 ml |65. 00 Tk | |7 up | 250 ml. |12. 00 Tk | | |500 ml |20. 00 Tk | | |1000 ml. (Pet) |40. 0 Tk | | |1500 ml |50. 00 Tk | | |2250 ml |65. 00 Tk | |Mum |500 ml |10. 00 Tk | | |1000 ml |20. 00 Tk | |Sezan juice |250 ml |15. 00 Tk | |Pran juice |250 ml |12. 00 Tk |
Table 4: Source [Tabani beverage Ltd] Distribution Channel Figure 3: Distribution Channel The company will establish an extensive distribution channel for all brand of coca-cola company to make it available throughout the country. It will build six distribution centers (Agent) in the six divisions of Bangladesh: Dhaka, Chittagong, Sylhet, Rajshahi, Khulna, and Barishal. From these distribution centers, they will supply the coca-cola & other brands to different districts dealers. From dealers, the sales representatives will supply retail shops (small and mega) on the basis of their demand. The small traders will purchase Coca-Cola directly from the dealers.
Promotion Promotional activities of Coca-Cola Promotion means activities that communicate the merits of the product and persuade target customers to buy it. According to Coca-Cola promotion is one of the major tools of marketing. A good way of promoting a product not only helps to influence and motivate people to buy it but also give a good impression about a company and it products. Sales Promotion Sales promotion includes marketing activities-other than personal selling, advertising, and public relations- that stimulates consumers, trade and dealer effectiveness. Sales promotion can be aimed at end consumers, trade customers, or company’s employees.
Coca-Cola offers all of these sales promotions every year for various purposes. Coca-Cola s sales promotion tools include free samples. Sales promotion is generally a short run tool used to stimulate immediate increase in demand. Frequently Coca-Cola uses sales promotion to improve the effectiveness of their promotion mix ingredients, especially advertising. Research shows that sales promotion complements advertising by yielding faster sales responses. Advertising Advertising is a form of impersonal, one-way mass communication paid for the sponsor. Many different media may transmit it. Examples include television, radio, newspapers, magazines, books, billboards etc. Coca-Cola does advertise by these media as well.
The Coca-Cola advertising usually follows a campaign process that consists of five phases: • Determining the advertising objectives • Setting the campaign budget • Determining the message to be transmitted to the target market • Selecting the message vehicle and • Evaluating the campaign Advertising is one of the most important promotional tools among the promotion mix of a company, which is used in order to convey their message along with visual effect. Coca-Cola is number one global brand in soft drinks items. So it also uses media advertising in order to capture full market coverage through out the world. In case of any sort of advertising campaign or slogan i. e. he central theme of ad is the most important part advertisement along with its storyboard. In fact, ad campaign communicates the product message to its target customers. Public Relation Concerned about the public images, Coca-Cola often spend large sum of money to build a positive consumer image. Public relations are the marketing function that:- • Evaluates public attitudes • Identifies the policies and procedures of the company and • Executes a program of action to earn public understanding and acceptance. A solid public relations program can generate favorable publicity also. Thus Coca-Cola now spends huge money in the game field such as football and cricket, Sponsoring for charity shows etc.
Organizing the ‘Asian Test Cricket Championship’, Coca-Cola Companies of Bangladesh paid Tk4, 000,000 approximate only for the final match of this tournament. Strategy Alternatives • Maintain existing strategies • Consolidate resources to focus on the soft drink market and divest of other businesses such as fruit drinks • Leverage brand equity and financial resources to accelerate global market penetration with a view toward long-term profits Strategy Recommendations • Focus on global market expansion • Leverage brand equity and financial resources to dominate the global market • Consider divesting of fruit drink lines and then reallocating resources to dominate the global soft drink market Brand Element Choice Criteria Exorability Brand Element |Criterion | |Brand Name |Coca-Cola can be easily recalled and recognized | |Slogans |“Coca-Cola Enjoy” “Always Coca-Cola” “Pio Saar Uthake” “Thanda Matlab Coca-Cola” “Dil Thanda to | | |Dunia Thanda” “Thandar naam Coca-Cola” can be chosen to enhance brand recall and recognition | |Jingles |Jingle can be also memorable | |Package |Attractive color with different packaging which contain all the information to make the package | | |memorable one | |Logos & Symbol |Unique logo and style of it by using red and white color that creates attraction to it’s | | |consumers mind | Table 5: Source [Tabani beverage Ltd] Meaningfulness Brand Element |Criterion | |Brand Name | Name of Coca-Cola has come from coco leaves and cola nut. | |Slogan |Its slogan has excellent meaning which can convey a message to build association | |Jingle |Its jingle carries distinctive message to its customer | |Package |Its packaging color convey the meaning of joy and pleasure | |Logo & Symbol |Its logo & symbol is unique and different from its competitor | Table 6: Source [Tabani beverage Ltd] Transferability Brand Element |Criterion | |Brand Name |Coca-Cola is globally accepted Brand | |Slogan |Its Slogan is easily acceptable through out the world | |Jingle |Jingle is transferable according to the culture of the host country | |Package |Packaging color and style is attractive through out the world | |Logo & Symbol