Executive Summary
The main aim of this report is to develop marketing communication plan for an organic energy drink that will have a competitive edge in the market and will also increase product success through a well planned and attractive media strategy.
The initial part of marketing plan consists of a situational analysis of the plan by analyzing macro and micro environment, thus providing information about product’s background. For analyzing macro environment we used the model of PESTEL whereas for analyzing Micro environment we use SWOT and TOWS model.
The next part is about STP process. This entails segmentation, targeting and position of the market and the product. This part basically reflects our main idea of the campaign that is campaign objectives and how they are linked with the strategies and their implementation. After the transport used to reach the audience we have shown how we will attract them through emotional slogans and messages. This part is followed by the budgeting plan, counting the expenses which the company will bear regarding the campaign. The last part of this section shows how we will evaluate the efficiency of the campaign.
The main findings are that consumer are more conscious about their diet and fitness in line to save their time and money. The market of UK is providing opportunities which company can grab by the help of their strengths. After analyzing the market we deduced that target market is more attracted towards digital marketing and hence we will spend more budget on that. Main aim of the campaign is to attract customers and have strong bond with them while keeping in view our future opportunities.
Introduction
Product innovation has become a necessity since the preferences of the customer has started to change. In order to maintain a sustainble growth in the market, companies have to come up with new ideas. So the carbon-based industry with the collaboration of energy snack bar is making an innovative offer that can attract great lot of customers towards the PEPSI co. which recently lost its market due to its traditional products.
The message of the plan should be in accordance with the offering provided and delivery should be planned according to the response gained from the customers. This means that we need to do some situational analysis, analyze the environment in which the product has been introduced, the steps that regulate the media strategy and moreover this can be supported by budgeting. Finally we will derive some strategies to make good measures of sustaining brand personality.
Product and the brand
Composition
Our company is providing an energy drink which would be filled with protein and multi vitamins, NOS is an innovative and modern energy drink which increases the stamina plus keeps the body active. The drink entails vitamin B6, B12, carbohydrates, sodium and natural sugar (Brown, 2017). Product is made in different flavors like exotic fruit punch, water melons, peach and peach mango. This will be manufactured in 500ml size translucent glass bottles at retail price of $10.
Table 1: Composition
Following the model introduced by Aaker in 1997, PEPSICO brand personality is perceived to be in category of competence as it has been working from long time so it is reliable and dependable. With the introduction of the energy drink it is trying to enter into the category of excitement to be up-to-date, daring, challenging.
Figure 1: Brand personality
Situational analysis
Macro-environment analysis
For scanning the macro enviorment, PESTEL model has been used.
Figure 2: PESTEL analysis
Political/Legal
PEPSI has a well developed reputation in the market and is keen to sustain this by signing a petition to pay the fine regarding false advertisements. The employees have signed the petition regarding the security of the information regarding any matter related to the firm.
Economic
Analyzing the current situation, it is important for NOS to place an appropriate price to conserve its image in public alongwith affordable price and high quality. Targetting a younger market also implies an economic benefit in terms of durability in the age group as compared to a higher demographic.
Cultural/Social
Obesity has been a common issue from a long time and people are fighting hard with to deal with this problem. This issue can be linked with unhealthy dietary choices. The social and cultural variations in individuals have made them extraoridnary conscious about their diets and intakes.
Technological
NOS drink avails the opportunity of targeting the Millennial demographic and so they have decided to make their campaign on air throughout social media. This can not only enhance the brand image but will also strengthen the relationship between consumers and the company and make their online presence more influential. In addition to it, the nutritional information is quite easily and readily accessible owing to the availability of smart phones and such, that exposing NOS energy drink is having an organic idea which shows how healthy it is without any artificial flavoring.
Competitive Environment
NOS drink’s top most opponents are The Coca-Cola Company, Odwalla, Inc. further coming towards PepsiCo, owner of the NOS drink brand, its competition from soda market has transformed it into juice market (Forbes.com, 2018).
Micro-environment analysis
The micro environment is analysed by using the SWOT analysis model.
| Strengths
Brand recognition Differentiation Positioning Packaging Innovative Cost effective Variety of product flavors Environmentally friendly product Highly perishable |
Weakness
• Consumer satisfaction • Customer-perceived value • Marketing management • Public relations • Advertisements • Product position |
| Opportunity
New demographic – millennial Benefit segmentation Customer managed relationships Good value pricing Market development Market targeting Marketing implementation Health conscious are increasing with time. |
Threats
Brand equity Public opinion Competitive environment Strong market energy drink competitors like Blue Ox, red bull, Booster, and sting. Large competitor’s sting and Red bull already have huge brand equity and massive market share. Innovation is a risk always. |
Table 2: SWOT analysis (Forbes.com, 2018)
| S-O
Due to exsisting brand and cost effectiveness, PEPSI can have a benefit in the form of increasing the sales. Enviorment friendly attribute and different flavours will attract the young generation and thus this will help us to sustain our image. |
W-O
As we are introdcing a new product so we are not hopeful what feedback will customers give but as we are targeting millenial and they are always ready to give a shot to a newly introduced product in market. |
| S-T
No doubt that innovation is always at risk but with our packaging and innovative processes we make it a successful hit. Through the already maintained market image PEPSI can fight with already settled competitors who have the similar nature of the product. |
W-T
Since we are not focusing on acqurign feedbacks from the consumers therefore the competitors can use this to generate a negative word of mouth regarding our brand image. |
Table 3: TOWS analysis
STP- segmentation, targeting and positioning.
Figure 8: The STP process (Akers, 2017)
STP, (Segmentation, Targeting and positioning) is an important concept of marketing management and is usually first step in marketing (Rice, 2017).
Segmentation
| Segmentation basis | Description |
| Demographics | |
| Education: | It is difficult for the college students to maintain a balanced diet and also, under-consumption of vitamins and fruits additionally contributes to the uncommon unbalanced diet issues. |
| Languages | We are targeting only Fluent English speakers |
| Age | People above the age of 20. |
| Psychographics: | |
| Values and routine | People who are concerned about diet of their children
Hectic routines (Children, businessman, Athletes, traveling) People who like to work out a lot but cannot make it due to some commitments) Excited about traveling but cannot make it happen due to family issues. Price conscious. |
3.2 Targeting
Above 20
Athletes
Average income
Students
Fitness freak
U.K
Adults
Target market
Positioning
The brand positioning is how the consumers perceive your brand and products which is usually based on feelings and impressions (Stephen, 2018).
Health
As we are using the organic material so no artificial flavors and other prerequisites which are unhealthy are not included in the drink. The makers have also taken the advice of the nutritionist so that no doubt exist in the authenticity.
Labeling
The information available on the label is very useful in identifying the amount of dosage needed at a time hence any new brand of energy drink must appeal to authenticity. In order to attract energy drink, the brand must distinguish itself by adding labels which clearly identify the amount of sugar content. So amount of sugar added is available in the label.
Media
Advertising on television can make a good perception about the product as you are free to explain your message through videos. Additionally, promoting a more relatable and cool image and using the most focused strategy like Rockstar and Monster is recommended (Stephen, 2018).
The Campaign
4.1 Creative strategy
The main aim of the campaign is to create awareness and gain more brand loyalty by introducing a sub-brand and thus working further hard towards the maintenance of the company’s image.
They will be influenced more by the messages and the promotional videos which will be going on air within no time. Main slogan of our campaign at the initial stage will be “…..Your Fitness is our priority” this will compel them to further think about the product. Following this campaign we will change the slogan “……loyalty always pose good results”. Along with this and after receiving some fruitful results it will be changing to “…… You know what is better for you. Stay together” This will really help us to make a strong relationship with the customer and will take brand loyalty to a new level.
The objectives thus deduced from above information are:
To create awareness alongside reaching the 30% of target market in the first year.
To sustain our image and creating the brand loyalty
By the end of the campaign, target is to reach 2/10 of the target customer.
4.2 Media strategy and tactics
For implementing the strategies we will be using following types of tactics
YouTube
Social media marketing
Hullu banner
T-station banners
Digital billboards
Newspaper
Pandora ad
Magazines
Non traditional media
Traditional media
Execution of Traditional Magazine
Magazines
Health servicejournal: Our print Advertisements would come out on this magazine over our six months long promotion. People targeted through this are the ones sitting in waiting area of hospital or ones who have a habit of reading. The space will consist of a full page (color) advertisement (4.74’’ x 7.18’’) that will run from May-October (6x).
Business Matters Magazine: The magazine reaches out to the most of United Kingom’s businessman, college graduates who are interested in business side. The space will consist of a full page ad (6x) that will run June-September.
Digital Billboards:
Digital billboards will be available at main routes. Such billboards would be available at highly noticeable structures to pass out our marketing promotion and message to a vast reach of drivers, those driving and shopping at a high pace. These billboards will run for six month period of campaign.
Newspapers
Daily express: According to the research,Express has the readership of majority of our target audience. Its circulation in December 2016 was 335,271(Ponsford, 2017). A two column and six-inch ad will be placed seven days per week in order to reach our target audience.
T-Station Banners
T-station banners would probably be watched by daily commuters who go everyday through trains especially through Crystal Palace line, Greenwich line, South London line, North London line. These banners will run for six months in the previously mentioned locations.
Execution of Non Traditional Media
Hulu Banner
It’s an online service for streaming videos. It provide two types of services
- 5-7 seconds banner ad shown at the start of the video
- Ad straight down in the video all through the program. We have selected second option.
Strategy 3: Social Media
The most used medium for interacting is Facebook these days according to the demographics 67% users are women (Perin and Jiang, 2012). So consequently, NOS would utilize this opportunity as main social media display. We would hand out enticements and incentives with QR codes at the launching ceremony of NOS in order to attract the potential consumers over the facebook.
According to the research, Twitter is used as a second most extensively utilized social media platform by our target demographic. Our page background will highlight the picture of our Facebook page. Hashtags surrounding our products and or events will be created by us in order to encourage the customers to get NOS into the prevailing trends in the region meanwhile the time of an event. Additionally, we would encourage our consumers and followers for more live tweets covering our events.
Instagram is the fourth most well-liked andused social media platform for the people in our target demographic (Perin and Jiang, 2012). We will be conducting and Instagram contest. They will be asked to post their picture of healthy lifestyle and use specific hashtags highlighted in twitter page. One person will be awarded with a prize
Our company’s name page would be created which will help us to engage the followers by posting updates, news, promotions, sale, and content related to healthy lifestyle. Moreover we will be using this as a recruitment tool for promotional groups and college-aged interns so that they can provide help in monitor our social media pages.
YouTube
This will be used a medium to update customers about the healthy lifestyle in their managed time. We will consult the health experts which will give lectures as PEPSI will be the sponsor 9 Theodore, 2016).
“Do Something Healthy Today” Video Series:
Schedule and Budget
Media
| May | June | July | August | September | October | total | |
| Magazine | |||||||
| Health service journal | $4000 | $4500 | $4500 | $13000 | |||
| Business matter magazine | $3458 | $3458 | $3458 | $3458 | $3458 | $3458 | $20,748 |
| Newspaper | $2313 | $2313 | $2313 | $2313 | $2313 | $2313 | $13877 |
| Digital billboard | $15347 | $15347 | $15347 | $15347 | $15347 | $15347 | $92082 |
| ‘T’Station banner
Crystal Palace line |
$3000 | $3000 | $3000 | $3000 | $3000 | $3000 | $18000 |
| Greenwich Line | $3000 | $3000 | $3000 | $3000 | $3000 | $3000 | $18000 |
| South London line | $3000 | $3000 | $3000 | $3000 | $3000 | $3000 | $18000 |
| North London line | $3000 | $3000 | $3000 | $3000 | $3000 | $3000 | $18000 |
| Hulu banner | $1000 | $1000 | $1000 | $1000 | $1000 | $1000 | $6000 |
| Social media | |||||||
| $5000 | $5000 | $5000 | $5000 | $5000 | $5000 | $30000 | |
| $5000 | $5000 | $5000 | $5000 | $5000 | $5000 | $30000 | |
| $5000 | $5000 | $5000 | $5000 | $5000 | $5000 | $30000 | |
| $5000 | $5000 | $5000 | $5000 | $5000 | $5000 | $30000 | |
| YouTube | $5000 | $5000 | $5000 | $5000 | $5000 | $5000 | $30000 |
| Evaluation | $15000 | $15000 | |||||
| $412,707 | |||||||
Post Campaign Evaluation
| Objectives | How to evaluate |
| To create awareness alongside reaching the 30% of target market in the first year. | Recognition test: used to show target audience different derivable related to campaign and see the reaction.
Conduct interviews: these will be conducted in university campuses. The questions will be prepared carefully and revised. Recall test: randomly asking questions in public. If they recall the product or any AD or any moment performed during the campaign for possible corrective action. |
| To sustain our image and creating the brand loyalty | |
| By the end of the campaign, target is to reach 2/10 of the target customer. |
Conclusion
Analyzing all the variables and the research done up till now, new direction of our energy drink will achieve a long lasting triumph and also would lead the company to an unimaginably great levels within the current market. By achieving complete support and back from the executives and personnel of the marketing and promotion team, this new marketing plan is aimed at going off without any main glitches and would really strike the market once hot.
We will conduct some pilot testing I which we take a sample of some target audience and let them taste the drink. This will help us to get the idea about what lacking do our drink have. What more improvements can be done and how we can improve our marketing campaign. The customers will be invited to a specific location and two moderators will conduct the session in which they will ask open ended questions. We will also ask them about their future buying habits and what their friends think of the product to gauge what direction we should head in the future and what kind of brand extensions we may employ in the future.
REFERENCES
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