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39 Media Planning

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    The Rs 100 crore packaged fruit juice market isThe Rs 100 crore packaged fruit juice market is

    estimated to be growing at 20% to 25% annually.estimated to be growing at 20% to 25% annually.

    The market can be categorized in terms of productThe market can be categorized in terms of product

    content and there are three major product contentscontent and there are three major product contentsavailable.available.

    Drinks: Juice with pulp content less than 40%,Drinks: Juice with pulp content less than 40%,

    Nectars: Juice with pulp content between 40 - 80%,Nectars: Juice with pulp content between 40 - 80%,

    Juices: Juice with pulp content more than 80%Juices: Juice with pulp content more than 80%

    Major player and their brands:Major player and their brands:

    Pepsi with its brand Tropicana. Pepsi with its brand Tropicana.

    Dabur foods with its brand Real. Dabur foods with its brand Real.

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    Market Share ofMarket Share of

    CompetitorsCompetitors

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    The women of the house and children are an importantThe women of the house and children are an important

    influencing factor in todays scenario. As the fruit juiceinfluencing factor in todays scenario. As the fruit juice

    contains lots of health benefits, the women who care forcontains lots of health benefits, the women who care for

    her family wants her family to be healthy and so are theyher family wants her family to be healthy and so are theyare targeted.are targeted.

    The children are attracted to the beautiful ads andThe children are attracted to the beautiful ads and

    demand for the products as they want to experimentdemand for the products as they want to experimentthings just for the sake of it or for their self satisfaction.things just for the sake of it or for their self satisfaction.

    The youth are the most who like to try out new andThe youth are the most who like to try out new and

    different products. Todays youth are the most healthdifferent products. Todays youth are the most health

    conscious and put in lots of efforts to be healthy. So evenconscious and put in lots of efforts to be healthy. So even

    they are an important target audiencethey are an important target audience.

    In- home consumption, This group of people buys fruitIn- home consumption, This group of people buys fruit

    juices for home consumption and in many case treated asjuices for home consumption and in many case treated as

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    Out of home consumption:

    This consumption pattern is usually observed in

    people who feel the need to quench their thirst,get refreshed or both. These types of people areimportant. the people who will try the product insmall quantity and give us an in road in the home

    for in home consumption, which is our focus area.

    If this segment is satisfied then they will startpersonal use of fruit juice and they will also act asa source of mouth - to - mouth publicity, which isconsidered to be one of the best in its kind.

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    Introduction of product

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    Selection of the product

    The product selected is Juice and our brand name isAAAAAAA

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    ProductProduct Fresh Punch is a 100 percent fruit juice which will beFresh Punch is a 100 percent fruit juice which will be

    produced and marketed by the FP Agro Industries Ltd.produced and marketed by the FP Agro Industries Ltd.

    Fresh Punch will produce juice in the followingFresh Punch will produce juice in the followingvarieties :varieties : Sea buckthornSea buckthorn

    ApricotApricot Passion FruitPassion Fruit KiwiKiwi PomegranatePomegranate AppleApple

    OrangeOrange PineapplePineapple GrapesGrapes GuavaGuavaMangoMango

    Mixed FruitMixed Fruit PearPear

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    FINANCIALFINANCIAL

    Will be incorporated with an initialWill be incorporated with an initial

    investment of Rs.10 crinvestment of Rs.10 cr

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    VISIONVISION

    To be capable to deliver the rangeTo be capable to deliver the range

    and quality of Juice which the customerand quality of Juice which the customer

    demands, which can only be fulfilled bydemands, which can only be fulfilled by

    the modern technology which will havethe modern technology which will have

    the scale and worldwide presence to dothe scale and worldwide presence to do

    so competitivelyso competitively

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    MISSIONMISSION

    To be a leading producer of fruit juicesTo be a leading producer of fruit juices

    based on dedication to nature, corporatebased on dedication to nature, corporate

    and process hygiene, dynamic leadershipand process hygiene, dynamic leadership

    and commitment to our partners andand commitment to our partners and

    stakeholders.stakeholders.

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    Adequate availability of rawAdequate availability of rawmaterialsmaterials

    High consumer retention rateHigh consumer retention ratePrice, a competitive advantagePrice, a competitive advantage

    Natural productNatural product

    Seasonal availability of fruitsSeasonal availability of fruitsBrand acknowledgementBrand acknowledgementLimited financial resourcesLimited financial resourcesLate entry into the marketLate entry into the market

    Participation with a growing industry.Participation with a growing industry.Competitive advantage over carbonatedCompetitive advantage over carbonated

    soft drinkssoft drinks

    Wellness awareness amongst consumersWellness awareness amongst consumersCommonwealth Delhi 2010Commonwealth Delhi 2010

    Success of incredible India campaignSuccess of incredible India campaign

    Cut throat competitionCut throat competitionUnstable government policiesUnstable government policiesGlobal warmingGlobal warming

    - Scarcity of raw material- Scarcity of raw material

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    POLITICALPOLITICAL

    Tax LawsTax Laws

    Stability of GovernmentStability of Government

    Law of hiring and promotionLaw of hiring and promotion

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    ECONOMICECONOMIC

    Increasing GDPIncreasing GDP

    Burgeoning middle classBurgeoning middle class

    Higher Disposable Incomes, hence more consumerHigher Disposable Incomes, hence more consumer

    buying powerbuying power

    Easy availability of loans from banksEasy availability of loans from banks

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    SOCIOCULTURALSOCIOCULTURAL

    Changing consumer habits & lifestyles - The IndianChanging consumer habits & lifestyles - The Indian

    consumer of today is clearly seeking healthierconsumer of today is clearly seeking healthier

    alternativesalternatives

    Consumer buying behaviorConsumer buying behavior

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    TECHNOLOGICALTECHNOLOGICAL

    Advancement of newer technologyAdvancement of newer technology

    Government providing thrust on R&DGovernment providing thrust on R&D

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    STPSTP

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    Market SegmentationMarket Segmentation

    Market segmentation is the process in marketingMarket segmentation is the process in marketingof dividing a market into distinct subsetsof dividing a market into distinct subsets(segments) that behave in the same way or have(segments) that behave in the same way or havesimilar needssimilar needs

    Variables Used for SegmentationVariables Used for Segmentation

    1.1. Geographic variablesGeographic variables

    2.2. Demographic variablesDemographic variables

    3.3. Psychographic variablesPsychographic variables4.4. Behavioral variablesBehavioral variables

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    Geographic variablesGeographic variables

    Product nameProduct name has no set geographic target area.has no set geographic target area.product nameproduct name will seek to serve metro city in Indiawill seek to serve metro city in Indiaand slowly expand our business in all city in Indiaand slowly expand our business in all city in India

    Metropolitan Cities, major cities of the states, andMetropolitan Cities, major cities of the states, andtowns.towns.

    Density of Area: Urban, Semi-urban, Rural.Density of Area: Urban, Semi-urban, Rural.

    Climate: TropicalClimate: Tropical

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    Demographic variablesDemographic variables

    Age all age groupAge all age group

    gender Both Male and Femalegender Both Male and Female

    family size - doesnt matterfamily size - doesnt matter

    Education - doesnt matterEducation - doesnt matter

    Income middle & hi end consumerIncome middle & hi end consumer

    occupation student, working and retired peopleoccupation student, working and retired people

    religion doesnt matterreligion doesnt matter

    nationality/race doesnt matternationality/race doesnt matter

    language - doesnt matterlanguage - doesnt matter

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    Psychographic variablesPsychographic variables

    PersonalityPersonality NoNo

    LifestyleLifestyle YesYes

    ValueValue YesYes

    AttitudeAttitude YesYes

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    Behavioral variablesBehavioral variables

    benefit soughtbenefit sought

    product usage rateproduct usage rate

    brand loyaltybrand loyalty

    profitabilityprofitability

    income statusincome status

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    Contd..Contd..

    Users perceive fruit juice as a healthy drink.Users perceive fruit juice as a healthy drink.

    Users drink fruit juice as a refreshing alternative toUsers drink fruit juice as a refreshing alternative tocarbonated drinks.carbonated drinks.

    Users willingly spend on products related to healthUsers willingly spend on products related to healthand lifestyle.and lifestyle.

    Users enjoy fruit juice not only as a means ofUsers enjoy fruit juice not only as a means ofhealthy life, but as an intrinsically enjoyablehealthy life, but as an intrinsically enjoyableactivity in itself.activity in itself.

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    Primary MarketPrimary Market

    Kids Fond of Fruit Juice (fond of mango, strawberry)Kids Fond of Fruit Juice (fond of mango, strawberry)

    Teens More experimentalTeens More experimental

    Youth Experimental and more buying powerYouth Experimental and more buying power

    Working PeopleWorking People

    HousewivesHousewives

    Elderl eo leElderly people

    TARGET MARKETTARGET MARKET

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    Secondary MarketSecondary Market

    Travel Industry Airlines, Railways and LocalTravel Industry Airlines, Railways and Local

    Transport SystemsTransport Systems

    Recreational Movie Theatres, Malls, AmusementRecreational Movie Theatres, Malls, AmusementParks, school, collages, hotels, restaurants, barsParks, school, collages, hotels, restaurants, bars

    etc.etc.

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    Competitor AnalysisCompetitor Analysis

    Tiger Competitor Counter attack every

    strategy

    Aggressive Few in number example: Coca-Cola,

    PepsiCo

    Strategic Competitor Reacts to a select

    strategy Mediocre

    example: Parle Agro

    Stochastic Competitor Unpredictable Weak in nature; can

    become strong example: Mother Dairy

    Laid Back Competitor Confident about their

    product

    Defensive Generally monopolies Brand Loyal Customers example: Dabur

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    Total cost per kg = Rs.28.20/-

    Units produced per kg = 4 NosPer unit production cost= 28.20/4=Rs.7.05/-

    Packing per Juice= Rs.1.15/-Per straw = Rs.0.08/-Card board box for 27 juices = .21* 28 =5.88Total packing cost per juice pack =1.15+.21 = Rs.1.36/-Total cost per juice pack =

    7.05+1.36+.08= Rs.8.49/-

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    Pricing Policy

    Apply the concept of providing quality product atoptimum price

    Provide Lucrative discounts, deals and schemes

    Adopt sales oriented objective

    Have one price policy to maintain a goodwill

    among customers.

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    Pricing Strategy

    So, as a new comer our pricing strategy is tointroduce our products in the market at lowerprices so as to create the huge demand in themarket and to compete with other competitors.

    As we come up in the demand, we will increase ourprices and will provide more efficient andaffordable juices

    Company Brand Flavor Retail margin

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    p y g

    Pepsi co. LTD Tropicana Orange,Nature,Sweet,Apple,Grape, Pineapple,

    Tomato, MixedFruit.

    1.40

    Dabur Real, Real Active Grape, Guava,Orange, Pineapple,Tomato, MixedFruit, Litchi, Mango,

    Orange, Apple

    1.80

    Coco Cola Maaza Mango 1.60

    Parle Agro Frooti, Appy Mango, Guava,

    Pineapple,Strawberry &Orange, Apple

    1.10

    Godrej Foods JumpinReXs

    Orange, Apple 1.40

    Hindustan Grapy Red Grapes, Litchi, 1.20

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    Pricing Strategic Matrix

    Penetration Pricing

    Our product will be lie

    on penetration strategywith high quality & lowprice

    For introducing new

    product Price low to capture

    market share

    Expect to make profitin volume

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    Launching and Promotion

    Promotional Tactics

    Provide free samples in the market for the brand

    awareness

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    Advertising

    The following shows the advertising in the printmedia to our target audience by using themessage showing a glass full of juice Drink this

    much every day

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    Long-Term Strategy

    Change beverage choices in vending machines atschool and collages

    Assess the financial impact on school and collageprofits

    Identify approaches to promote healthful beveragechoices and maintain profits for schools andcollages

    Targeting

    3,500 in smallest school and collages

    all metro city in India.

    20, 000 in largest school and collages

    all Metro city in India

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    Contd.

    Change advertising onbeverage vending machines

    Change beverage choices towater, sports drinks, and100% fruit juices

    Collect and submit monthlyfinancial data from schooland collages

    Provide a Rs. 3,000 incentiveper school in the project

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    Factors to Consider - VendingMachines

    Location of current vending machines

    Power sources

    Marketing strategies

    Size of Cans and or Bottles Cans, Bottles, or both

    Pricing strategies

    Lower for healthier choices

    Price all beverages the same

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    for trisor advertisement of

    5sec.

    We will tie up with PVR cinemas to increase ourWe will tie up with PVR cinemas to increase ourbranding.branding.

    Will be putting up vending machines in every pvrWill be putting up vending machines in every pvr

    cinemas like Bengalooru, Gujarat, Hyderabad,cinemas like Bengalooru, Gujarat, Hyderabad,

    Maharashtra ,etc.Maharashtra ,etc.

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    A new client approaches you

    Illustrative Global shares of

    display advertising revenue

    Source: ZenithOptimedia

    Illustrative Global shares of

    display advertising revenue

    Source: ZenithOptimedia

    41

    We consultant -analyses what theyare spending onMedia.

    You do the marketresearch & advisethem on the scopefor improvement.

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    Communications elements

    codecode

    idea meanings

    decodedecode

    Promotional mix

    Which channels/media?

    Promotional mix

    Which channels/media?

    Methods/mediaMethods/media

    receiverreceiversendersender

    Confused & conflicting messages from a Babel of sources?

    IMC to cut thru the noise42

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    Selecting Advertising Media

    Reach. % of people exposed to

    the advert

    Frequency. Number of times a

    person is exposed toadvert (sees it)

    Media impact

    the qualitative value ofa message exposurethru chosen medium

    43

    http://www.cpfc.co.uk/page/Advertising/0,,10323,00.html
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    Value add service

    AAAAAAAAAAAAAA

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    AAAAAAAAAAAAAA

    Serving Size:1Serving Size:1

    Containerper :125 mlContainerper :125 ml

    Energy : 54 kcalEnergy : 54 kcalProteins : 0.5gmProteins : 0.5gm

    Fats : 0gmFats : 0gm

    Carbohydrates : 13gmCarbohydrates : 13gmNatural Fruit Sugars :Natural Fruit Sugars :

    8.2gm8.2gm

    Added sugar : 1.8gmAdded sugar : 1.8gmVitamin C : 12.5gmVitamin C : 12.5gm

    Sodium : 40mgSodium : 40mg

    Potassium : 70mgPotassium : 70mg

    Calcium : 5m Iron :Calcium : 5m Iron :

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    Pull:A pull selling strategy is one that requires high spending on advertising andconsumer promotion to build up consumer demand for a product. If thestrategy is successful, consumers will ask their retailers for the product, theretailers will ask the wholesalers, and the wholesalers will ask the producers.(promote first (personal selling?) to marketing channel members, becomeinvolved in promotion to end-user.)

    Push:

    A push promotional strategy makes use of a company's sales force andtrade promotion activities to create consumer demand for a product. TheFreshness India promotes the product to wholesalers, the wholesalers promoteit to retailers, and the retailers promote it to consumers.(seller promotes to stimulate demand, exerts pressure on distributionchannel )

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    Pulling and Pushing Strategies


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