kazi & kazi green tea

Letter of Transmittal

07th

April, 2016

Dr. Mohammad Baktiar Rana

Faculty, Masters in Business Administration

North South University

Subject: About submission of Term Paper: Marketing Management (BUS 620.2)

Dear Sir,

It is great pleasure that you give us the opportunity to submit the term paper about Kazi & Kazi

Green Tea during our Marketing Management course.

Kazi & Kazi Green Tea is sole organic tea provider in our country; since the organization started

its journey it has been supplying and committed to deliver quality products for the customers

both local and abroad. KK manufacture most demanding green tea5060s selection of ginger

green tea and jasmine green tea.

We have specified their marketing strategy and try to collect all the information from relevant

source and accurate.

Best Regards,

Name Student ID

Nusrat Habib 1521666660

Mohammad Tauhid - Bin – Anis 1512945060

Mezbauddin Md. Jibon Chowdhury 1521730660

Rana Chowdhury 1521855060

Fahmida Hasan 1530567060

Acknowledgement

Firstly, we thank to Almighty Allah for the blessing that we could finish within the time

and with accuracy .We would like to express our heartfelt gratitude to our faculty “Dr.

Mohammad Baktiar Rana”for the useful comments, remarks and engagement through the

learning process of this marketing report. His guidance for introducing us to the topic as

well for the support on the way was tremendous. Throughout the entire process, he helps

us both by keeping us harmonious to put pieces together. Also, we would like to thank

our participants in our survey, who have willingly shared their precious time during the

process of report preparing.

Table of Contents

Executive Summary…………………………………………………………. 1

Introduction………………………………………………………………...... 2

Value Offering of Kazi & Kazi Green Tee………………………………….. 3

Customers Value Creation…………………………………………………… 3

Customer Perceived Value (CPV)…………………………………………… 4

Total Customer Benefit……………………………………………………… 5

Total Customer Cost………………………………………………………… 7

Target Segment……………………………………………………………… 8

Types of Target Marketing…………………………………………………… 10

Rival Products……………………………………………………………….. 11

Why Drink Green Tea? .................................................................................... 15

Marketing Challenges………………………………………………………... 15

Marketing Mix Strategy……………………………………………………… 18

References……………………………………………………………………. 22

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Executive Summary

In this report we mention the total marketing strategy of Kazi & Kazi Green Tea in

Bangladesh based on their product, their value offering, and explanation about their offerings

in terms of customer benefits. There is complete specification about the total tea market in

Bangladesh, the market segmentation strategies and over all segmentation of the market. In

which segment is remarked as Kazi and Kazi’s target market, how the target market is

benefited by the core value of green tea offered by Kazi & Kazi. Some well established brand

of Bangladesh market and some foreign brands are playing an important role being the strong

rival of K&K green tea. Some strength & opportunity of the product and some biggest

marketing challenges have come to a point of discussion. But with proper justification, we

have come to an end with the marketing mix strategies to get rid of the challenges K&K is

facing.

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Description of Kazi & Kazi Green Tea

Introduction:

Kazi & Kazi tea Estate ltd. is a renowned world class certified organic tea manufacturer in

Bangladesh. It produces up to the mark standard tea for the customers located in northern part

of the Bangladesh. Since the organization started its journey it has been supplying and

committed to deliver quality products for the customers both local and abroad. KK tea brand

is known as a local tea supplier as well Teatulia tea brand is supplying finest tea

internationally under Kazi & Kazi tea Estate ltd.

Kazi & Kazi tea Estate offering variety of teas based on taste including orthodox tea and CTC

tea such as orange pekoe, flowery orange pekoe, flowery broken orange pekoe, golden orange

pekoe, pekoe fannings and so on. It is also manufacture 100% natural herbal teas ingredients

collected from their own garden. Based on customers demand and taste KK manufacture

selection of herbal tea flavour includes ginger, chamomile, yerba mate, pepper mint and

lemon grass. Black teas includes black tea, oolong tea, breakfast tea, earl grey, chai tea, neem

necter, tulsi infusion and first flush tea. Moreover, KK manufacture most demanding green

teas selection of ginger green tea and jasmine green tea.

With not much spending on advertising, the company has been able to create an impact in the

market through quality organic tea and bold packaging. They put a lot of thought behind

packaging.

With not much spending on advertising, the company has been able to create an impact in the

market through quality organic tea and bold packaging. Since inception, it has changed its

packaging four times with the latest one making a debut in May. .

The bag in bag packaging, the first of its kind in Bangladesh, ensures that the tea bag remains

intact and does not lose flavor. The company has witnessed double digit growth in local

markets as middle income groups are shifting towards green tea for its health benefits. In an

effort to keep the soil pristine and natural, the company uses natural neem-based bio-

pesticides and cow dung as fertilizers.

The company has planted 2.5 lakh neem trees as shade trees in the garden. These neem trees

work as natural insect killers. The estate uses juices from the trees to spray over the tea plants

as part of pest control. The tea estate has also changed the weather pattern in the area. Before

the garden was setup, the weather was extreme with little rainfall.

Now there is plenty of rainfall and birds have started flying into the garden. They have done

environment and community development. This is the beauty of the tea. That is why we say

that it is a cup of goodness.

To remain 100 percent organic, the tea is sold in environment-friendly, biodegradable jute

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bags, which are also produced in its factories. It also promotes organic farming in the locality.

It encourages people to grow the feed and grass for cows organically. It promotes organic

farming and shares the technique of organic farming so they can feed their cows the organic

products.

Value Offering of Kazi & Kazi Green Tea:

KK green tea in term of value offered to the customers:

Generating loyal customers for the business is one of the biggest challenges for the

organisation. Identifying the loyal customers help marketers to ensure building trust on the

product as well upwards growth of the business.

Customers value creation:

The more organization focus on the customers will maximise the customer’s value and

satisfaction towards the brand. Customers value creation ease the process of determining

customer’s demands and loyalty. In recent years the concept has been changed to the

conventional model of customer oriented organisational chart replaced to the traditional

organisational chart.

Figure: Traditional organization chart vs. Conventional customer oriented organizational

chart.

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Organization tends to focus more on to the customer’s needs and wants. That is why the

hierarchy of the organisational chart place customers on the tops. However, earlier customers

were placed in the bottom of the chart and top level management was on peak. Experts also

believes the frontline people are those who has the very close relationship to the customers

than top level managers as the front line people maintain and executes the communication

and deliver the finest products to the customers. Today’s technology advancement customer

communication seems to be the most effective business strategy for the business. It is also

helps to evaluate market condition, segmentation and initiate necessary strategy for the

business growth. In term of KK green teas it is clear that the organisation is more on to the

customer oriented based. Therefore, they facilitate the selection of flavours due to the taste

and preference of the customers. At the same line focusing on the market the organisation

manufacture and export to the international market based on the demands of the product.

Among the selection of teas green tea has the vast demand for the international and local

market. KK identified upon market research that the green teas can be segmented in ginger

and jasmine for different people who has different choice on flavours.

Customer Perceived value (CPV):

Customer value is known as customer-perceived value in marketing. Broadly customer-

perceived value considered as the predictable advantage from a customer’s perspective of a

product or services which can be substantial, social or psychological that influence demand of

a product or services.

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Figure: Customer perceived value (CPV)

CPV helps organization to enhance customer relationship for the organisation and keep

market updated with the information regarding product and services. Therefore, it engages

customers to evaluate product and services as well judge to peruse their buying behaviour.

Updated information plays a vital role for the customer in order to verify and building trust

on the brand. CPV also known as the combination of total customer cost and the total

customer benefits in term of value creation for the customers.

Total Customer benefit

Total customer benefit acknowledged as the monetary perceived value which includes

financial, psychological and functional benefits that tends to expect by the customers from

the product or services offering to the market. In other words total customer benefit is the

sum of product benefit, service benefit, personal benefit and the image benefit. In relation to

Kazi and Kazi green tea brief discussion regarding the total customer benefits are given

below.

Product benefit:

Product benefit is considered as the benefits that are customers receiving by using goods or

services from the brand or organisation. KK facilitate selection of green tea for the tea lovers.

Here the segmentation identified based on market research and demands from the customer’s

needs and wants.

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Figure: Selection of Green tea

The benefits here manufacturer providing for the tea lovers is the selection on taste.

Moreover the main purpose of the tea here is the refreshment that customers desire to have.

An added benefit of the product is an antioxidant ingredient that helps in weight reduction

and cancer prevention for the consumers. The jasmine green tea contain the soothing aroma

collected naturally from growing jasmine flower that makes the drink stress reliever to the

drinker.

Service benefit:

Kazi and kazi tea estate ltd manufacture and exports teas internationally for their certified

quality of the tea production. Service benefit includes any service offered with the product

that enhances better experience of the offered product. KK green teas offering the best

ingredients collecting from their own garden and produce teas naturally to retain the natural

taste of the tea. The organisation itself cultivates teas from the garden through organic

cultivation process. KK allows the eco system in their cultivation process to ensure natural

taste and balance of tea manufacturing environmentally. This authentication ensures increase

customer’s satisfaction upon their needs and bringing back to the brand over and over in

order to receive their desire service.

Personal benefits:

Personal benefits includes the value offered to the consumer by the personnel identify and

deliver the right product to the customers based on their desire and requirements. KK

manufacture wide range of tea based on the taste. The market demands helps organisation to

produce variety of flavours for the varieties segments of the customers or tea lovers.

Selections are classified on smells, stress reliever, weight reduction, refreshment, energetic,

remedy of colds or upset stomachs and so many other factors. KK ensures the variety will

helps consumer to fulfil their requirements and expectation to grab the best one for the

consumers.

Image benefits:

Image benefits considered as the value of the brand or image that makes customers comfort,

satisfied and relay on the brand including loyalty. It takes a brand to create a strong image

value that influence consumer to attract and feel comfort to the specific brand among others

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exists in the market. KK established a strong brand image by producing organic tea for local

and international markets certified by U.S department of agriculture, Swiss Society General

de surveillance, Japanese agriculture standard and Rainforest alliance (information source:

Kazi & Kazi tea estate ltd. official website). This brand image ensure the level of soothe to

the consumer having assurance of consuming quality hygiene products.

Total consumer cost:

Perceived bundle of costs that individual or the customers anticipate to incur in obtaining,

evaluating, using and disposing by the existing market offering is known as total consumer

cost. Total consumer cost classified into four segments that includes monetary, time, energy

and psychological costs.

Monetary cost:

The product costs that customer liable to pay in monetary values in exchange of products. In

other words the amount of money customers are expected to pay that is reasonable for their

required product. KK priced their teas including selection of green teas that is reasonably

suitable for their customers. In local market KK green teas costs 140.00 BDT (information

source: local super shop named meena bazar official website) per box 40 tea bags inside

which is fairly reasonable to the tea lovers.

Time cost:

The time costs refers the time invested by the customers throughout the purchasing process

including look for the store, pop up and purchase or in term of online purchasing access to the

internet, browsing to the dewier product, order and delivery to the doorstop. However, KK

green teas and other selections are widely available in local markets for the customers in

reasonable price as well super shops are facilitate online purchasing for customer’s desire

products including delivery facility with an amount of cost depends on the location. It helps

consumer to cut down their time on shopping rather doing others on that valuable times.

Energy cost:

Energy costs includes the energy a customer spends on look for the shop, travel, buy and

travel back to the home in purchasing process. By the bless of online shopping and the

availability of the KK green teas and other tea products both local and internationally

customers’ now a day’s don’t have to spend much of their energy as well the ease of

delivering process it also reduce to burn energy for the customers on their buying process.

Therefore, it helps to reduce energy costs in other sense.

Psychological costs:

Psychological costs refer the mental efforts that an individual put on their buying process and

the period of using experience. In the case of today’s informative world individual can easily

acquire information about their desired product using less effort than before. Psychological

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cost plays a vital role on human purchase behaviour. In term of using excessive psychological

effort human tends not to attract on buying those sorts of products. KK green teas provide

enormous amount of information that individual needs to aware of as well ease consumption

process.

Moreover, the above illustration defined the KK green tease customer value creation process

and the value offered to the wide range of the customers for customer satisfaction and loyalty.

Target Segment of Kazi & Kazi Green Tea

A target market is a group of customers a business has decided to aim its marketing efforts

and ultimately its merchandise towards. A well-defined target market the first element of a

marketing strategy. Product, price, promotion, and place are the four elements of a marketing

mix strategy that determine the success of a product or service in the marketplace. It is

proven that businesses must have a clear definition of their target market as this can help

reach its target consumers and analyze what their needs and suitability are.

A target market is a group of people considered likely to buy a product or service. A target

market consists of customers that share similar characteristics, such as age, income and

lifestyle, to which a business directs its marketing efforts and sells its products.

What is a Target Market?

A target market is defined as the unique groups of people or

businesses with common characteristics:

• Want or need what you have to offer

• Know they have a need and understand the value to

them of satisfying that need

• Willing to spend money to satisfy that need

All three of these have to be present for someone to be a

target because:

• If there is no need or desire, you won’t get their attention.

• If they don’t know they want or need what you have, they won’t be paying attention

to what you have to say.

• And even if the first two are true, if they don’t have the money to spend on satisfying

the want or need, they won’t be a valid target market.

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Value Proposition to the target market

In four categories we can segment the total market of tea.

� Demographic

� Geographic

� Psychographic

� Behavioral

After the overall segmentation, we need to fix in which segment you want to target or your

target marketing. What Kazi & Kazi is offering in the tea market in Bangladesh and what is

its core benefits are described below:

Organic tea is grown and processed without pesticides or artificial fertilizers and is also often

Fair Trade. This means that you can reap the health benefits of organic tea knowing that

small farms are being supported, workers on tea plantations are being treated fairly, and that

both the workers and our environment are not exposed to the harmful chemicals used in

conventional tea production.

In our case, our product is organic tea which has a great health benefit. Tea is one of the

reality's second almost favorite drink (after water), but most Americans regard it an

impoverished minute to chocolate as a caffeine-laced pick-me-up or after-meal drink.

Recently, however, tea has gained original popularity, in region because of its healthful

value. A cup of tea contains simply around half as often caffeine as a cup of brewed

chocolate, and many folk favor its preference and regard its buzz less jarring.

Perhaps the most well-known benefit to drinking tea is for the high level of polyphenols

found in tea leaves. Polyphenols are a type of natural plant antioxidant that has been found to

help fight free radicals—molecules that occur in the environment that can cause damage to

our cells. The accumulation of free-radical damage is thought to lead to heart disease and

cancer. Green and black teas are the best known for their antioxidant benefits.

Tea is also a wonderful alternative to coffee, with many varieties having just half of the

caffeine

Tea is a better origin of fluoride, which prevents tooth decomposition. Both greenish and dark

teas carry much fluoride than fluoridated water. The tannins in tea too assist defend the

bacterium that induce tooth decomposition.

On the basis of value positioning we can judge the target market that will be benefitted by

that value.

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Types of Target Marketing

Age Target Marketing

Targeting a product to a particular age group or generational cohort is a way to concentrate

your marketing efforts and generate product interest within that particular group. According

to "Entrepreneur’s website, extensive research is necessary for age or generational marketing

to determine the status and living situations of consumers in your potential target group. For

our product, target consumer of kazi & kazi organic tea would be young professional, young

students who are extensively health conscious and beautification centric.

Income-Sensitive Marketing

Income-sensitive marketing seeks to target your small

business's services or products to consumers of

particular income and economic status. This strategy

also shapes the prices you charge for your goods and

services as well as the marketing campaign itself. For

example, products marketed to consumers with higher

incomes will usually have higher prices while those

products marketed to consumers with lower incomes

will usually have correspondingly lower prices. This

allows more consumers in your target market group to afford your products. As kazi & kazi

tea is sole organic tea provider in our country, they will get a first mover advantages. To

maintain the overall process of making it organic, they need to spend a lot. As a result their

product is also costly rather than other tea brands in Bangladesh. So their target market would

be higher middle class to higher class people in the society.

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Gender-Specific Marketing

Gender-specific marketing shapes an advertising

campaign toward one gender or specific group within

that gender.. How your small business accomplishes

this task depends on the outcome of your market

research and gender needs within your local

marketplace. This research may influence the types

of images, colors and language you use in your

marketing campaign to attract your target gender or

gender group to your company's products or services.

In our country comparatively women are more health

and beauty conscious. So if we go for gender specific

marketing, then our target market would be female

population of our country.

Geographic Target Marketing

Geographic areas across the country have different product needs. Targeting a marketing

campaign to meet the signature geographic demands of consumers in your marketplace can

boost your company's importance and necessity in the minds of consumers. This strategy also

works with seasonal marketing campaigns to take advantage of shifting consumer moods as

the weather turns hot or cold. People of urban area in Bangladesh are ideal target market for

Kazi & Kazi Tea. But for the expansion of market, it should be introduced in all the area of

Bangladesh.

Rival Products of Kazi & Kazi Green Tea

Definition of Rival Product:

Business rivals who compete in the same product class but offer different benefits,

features and prices.

Kazi & Kazi Tea, the country's first and only organic tea producer, made a successful

foray into global markets in less than a decade with a diverse range of premium teas.

Kazi & Kazi Tea Estate Ltd, owned by Gemcon Group, has also pinned Bangladesh as a

quality tea producer on the world map. Founded by Kazi Shahid Ahmed, the company had to

embrace a number of critical challenges -- Bangladesh had never before produced organic tea

and tea was never planted in the north, and that too on plain lands.

Kazi and Kazi Tea have three types of green tea . These are Named Green

Goodness by Kazi and Kazi Tea.

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Grown organically, our green tea is blessed by Mother

Nature with a flavor, very earthy and light, that will refresh you

and make your aura bright. This allegorical fountain of youth is

rich in antioxidants that help in weight reduction and cancer

prevention.

With all the goodness of green tea, Jasmine green tea has a

soothing aroma that comes from organically grown Jasmine

flowers. The therapeutic aroma makes this drink as amazing stress

reliever.

Orthodox is a pristine way of making tea, still followed

by the best gardens of the world. Gentle and slow, the process

captures the essence of a bygone era, and enhances the amazing

healthy properties of green tea. Whole tea leaves and buds are

traditionally rolled to produce a cup of Kazi & Kazi Orthodox

Green Tea. It evokes the Chinese brew of antiquity, with a

sweetish after-taste and grassy undertones. Rejuvenate yourself

daily with the ultimate experience of Orthodox Green Tea.

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The major rival product of kazi & Kazi Green tea is Finlay Tea. Finlay Green

tea possess the highest Vitro antioxidant among the 20 commercially available tea

Brands in Bangladesh.

Company Profile:

The Company has its legacy which is over 250 years old. James Finlay, a Scottish

company was a trader and manufacturer of cotton. In later half of 19th century,

Finlays ventured in India to plant tea. Since then the company played a pioneering role in

developing tea plantations in north and south India. In north India Finlays tea plantations

were in Assam, Doars, Cachar and Sylhet. Finlay’s tea plantations in Sylhet district now

belongs to its successors in Bangladesh. The plantations, however, operated in different

names and entities.

CONSOL:

The Company’s origins date back to 1882 with the incorporation in the UK of the North

Sylhet Tea Co. Limited and the South Sylhet Tea Co. Limited. By 1886 the areas under tea

amounted to 7,100 acres and 8,040 acres respectively.

Finlay is the only producer of Green tea in Bangladesh. About 300,000 kilo of green tea is

produced annually which are all exported.

.

In producing Green tea, fresh green leaves are processed to kill the enzymes so that chemical

reaction does not turn black or brown and the liquor remains pale yellow or lemon in colour.

Green tea is good for health and is a becoming a popular drink in many countries.

Two types of Finlays Green tea available

in Bangladesh Market. This Brand gets

huge customer response in Bangladesh

market.

01. Finlays Pure Green Tea

02. Finlays Natural Green Tea.

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There are some other brands of Green tea in our country which are available in the market.

These are foreign brands, available at MeenaBazar and Other renowned Superstores.

Lipton Pure Green Tea has a delightfully light and smooth great taste with a refreshing

aroma. Packed with young tea leaves, Lipton Pure Green Tea is a great way to brighten your

day. Our 40ct pack is packaged in two golden wrapped stay-fresh packs so you get the same

crisp taste and aroma - from the first tea bag and the last.

01. Lipton pure Green Tea

02. Twining Pure Green Tea

Uplifting when enjoyed hot or refreshing when enjoyed as an iced tea that are Available in

40ct and 20ct. .

It’s a foreign Brand available at Meena Bazar and other renowned Superstores. Price Tk. 640

Twinings Pure Green Tea is the perfect

healthy drink, Blended to produce a

light, fresh tasting tea that is golden in

colour.

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Why drink GREEN TEA?

The cup that refreshes is also the cup that keeps you healthy. Medical research shows that

GREEN TEA has significant positive attributes. .

How does GREEN TEA help?

• GREEN TEA is an Anti-Carcinogen. It contains 'catechin', which can suppress human

cell mutating substances, thus helping in the prevention of cancer.

(Ref.. Japan National Genetics Research Center, Hamamatsu Public Health Center,

Shizuoka Pharmaceutical College and Shizuoka Women’s College research findings)

• GREEN TEA contains `Tannin` which has a very high success rate in interfering with

the production of lipid peroxide in human bodies, thus helping slowing down the

ageing process. In comparison, Vitamin E has much lower success rate in doing so.

(Ref.. Okayama University Department of Pharmacology)

• GREEN TEA has Enzymes that combat the causes of high blood pressure. It is also

helpful in combatting cerebral apoplexy, heart disease and other geriatric diseases.

(Ref.. Tohoku University Dr. Meguro Nihon Medical College Dr. Fukui Nagoya City

University Dr. Aoki)

• GREEN TEA provides ZINC, one of the necessary elements for meeting the nutritive

demands of pregnancy. .

(Ref.. Kagoshima University Department of Medicine)

• GREEN TEA contains vitamin C an essential nutrient for human body.

• GREEN TEA contains Fluoride which is especially helpful in fighting tooth decay.

Even just rinsing the mouth out with Green Tea, after meals, is highly effective in

preventing tooth decay.

(Ref... Tokyo University of Medicine and Dentistry)

DETAILS DISCUSSION OF THE BIGGEST MARKETING CHALLENGE OF KAZI

AND KAZI GREEN TEA IS FACING IN BANGLADESH

KAZI AND KAZI GREEN TEA ESTATE LTD. Is the only internationally certified organic

tea grower in Bangladesh. They offer their product in the market in various forms such as tea

bags, loose leaves, instant mixes and green tea tablets. There are so many good things why a

customer is going to buy KAZI AND KAZI GREEN TEA.

• It is an excellent source of anti-oxidants

• Burns fat and enables to exercise longer.

• Prolongs life.

• Lower stress but boosts brain power.

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• Reduces high blood pressure.

• Helps to protect lounge from smoking.

• Helps to protect liver from alcohol.

• Prevents tooth decay and cares bad breath.

• Helps pressure and build bone.

• Boost immunity against illness.

• Rehydrates better than water.

Even though KAZI AND KAZI GREEN TEA offering so many things to the consumer but

the biggest problem is people are not aware about the product that they are offering because

of lack of advertisement. It can be a biggest marketing challenge for KAZI AND KAZI

GREEN TEA in Bangladesh. Advertisings creates a good impact on consumers mind.

Through advertising KAZI AND KAZI GREEN TEA can give the information to the

customers. This may help to increase the sales volume of the company.

PRICING:

Another biggest marketing challenge for KAZI AND KAZI GREEN TEA is pricing of the

product. The price of the KAZI AND KAZI GREEN TEA is not in a good range for the

customers. To improve the sales volume in future it must be needed to minimize price

maintaining the same quality. Comparing to the other company KAZI AND KAZI GREEN

TEA price is really high considering present consuming power of the customers. A renowned

tea company, MIRZAPURE TEA offers 100 gram for 40 taka on the contrary KAZI AND

KAZI GREEN TEA offers 60 grams for 140 taka. Though KAZI AND KAZI GREEN TEA

provides the best quality to the customers but high pricing can be a biggest marketing

challenge.

AVAILABILITY OF THE PRODUCT:

There is a good market demand for KAZI AND KAZI GREEN TEA. But the product supply

is not available. To maintain a good sales volume production should be increased. In cities,

except some mega shop KAZI AND KAZI GREEN TEA is not available. To increase the

growth rate of the company availability of the product in all departmental stores should be

ensured. Consumer market can be expanded especially in rural areas. In future it can be a

biggest marketing challenge for KAZI AND KAZI GREEN TEA.

COMPETITION:

Competition includes all the actual and potential rival offering and substitutes a buyer might

consider. Companies offer different possibilities to the customers to buy their product. Now

the competition is very high. To compete with the other company KAZI AND KAZI GREEN

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TEA should make some innovative strategy. So undoubtedly it is going to consider another

biggest marketing challenge for KAZI AND KAZI GREEN TEA.

GEOGRAPHIC SEGMENTATION:

Geographic segmentation calls for division of the market into different geographical units

such as nations, states, regions, countries, cities, or neighborhoods. To expand the consumer

market KAZI AND KAZI GREEN TEA can segment their product in rural and semi-

urban areas. Before starting to supply the product in rural and semi-urban areas some

research should be done. It may include about the region, city. To achieve the goal of the

company geographic segmentation can play a major role. So in future it will be a biggest

marketing challenge for KAZI AND KAZI GREEN TEA

EXPAND THE MARKET GLOBALLY:

To expand business globally KAZI AND KAZI GREEN TEA has taken some pragmatic

steps. They are exporting their product in different countries throughout the world. To

maintain the sales growth rate KAZI AND KAZI GREEN TEA can prefer demographical

segmentation. It includes age, family size, gender, income, occupation, education. To expand

the business globally how to cope with demographic segmentation can be a biggest challenge

for KAZI AND KAZI GREEN TEA.

IDENTIFYING COMPETITORS:

It would seem a simple task for a company to identify its competitors. The range of company

actual and potential competitors can be much broader than the obvious. In Bangladesh, there

are so many giant tea companies offering their products providing the best quality with lower

price. In this regard KAZI AND KAZI GREEN TEA should identify the competitors and

what strategy they are following for increasing the sales volume. In future it can be a biggest

marketing challenge for the company.

SELECTING CUSTOMERS:

KAZI AND KAZI GREEN TEA must evaluate its customer base and think about which

customers are willing to lose and which it wants to retain. One way to divide up the customer

base is in terms of whether a customer is valuable or vulnerable. At present KAZI AND

KAZI GREEN TEA offering their product especially for the higher class. To enhance the

selling in future KAZI AND KAZI GREEN TEA might need to select customer from all the

income level.

EXPANDING THE TOTAL MARKET:

To expand the total market KAZI AND KAZI GREEN TEA needs to think about the new

customers and more usage. Every product class has the potential to attract buyers who are

unaware of the product or who are resisting it because of price or lack of certain features. A

company can search for new users among three groups; those who might use it but do not,

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those who have never used it or those who lives elsewhere. A biggest marketing challenge for

KAZI AND KAZI GREEN TEA is how it is going to expand the total market.

MONITORING SATISFACTION:

KAZI AND KAZI GREEN TEA is going to focus on monitoring the satisfaction of the

existing customers. A highly satisfied customer generally stays loyal longer, buys more as the

company introduces new products and upgrades existing products, talks favorably to others

about the company products. Another biggest marketing challenge for KAZI AND KAZI

GREEN TEA is monitoring the satisfaction of the customer which can build a customer

loyalty through interacting with customers, developing loyalty programs and personalizing

marketing.

And above all it may safely be asserted here that the goal of KAZI AND KAZI GREEN TEA

can be achieved depending on how it is going to handle the biggest marketing challenge

facing in Bangladesh.

Marketing Mix Strategy

The marketing mix is the set of controllable, tactical marketing tools that a company uses to

produce a desired response from its target market. It consists of everything that a company

can do to influence demand for its product. It is also a tool to help marketing planning and

execution.

The marketing mix can be divided into four groups of variables commonly known as the four

Ps: product, price, place and promotion

� Product: The goods and/or services offered by a company to its customers.

� Price: The amount of money paid by customers to purchase the product.

� Place (or distribution): The activities that make the product available to consumers.

� Promotion: The activities that communicate the product’s features and benefits and

persuade customers to purchase the product.

Marketing tools

Each of the four Ps has its own tools to contribute to the marketing mix:

Product: variety, quality, design, features, brand name, packaging, services

Price: list price, discounts, allowance, payment period, credit terms

Place: channels, coverage, assortments, locations, inventory, transportation, logistics

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Promotion: advertising, personal selling, sales promotion, public relations

An effective marketing strategy combines the 4 Ps of the marketing mix. It is designed to

meet the company’s marketing objectives by providing its customers with value. The 4 Ps of

the marketing mix are related, and combine to establish the product’s position within its

target markets.

Marketing strategies for Kazi & Kazi Green Tea (organic product):

Kazi & Kazi Green Tea should be suitable for human consumption and free from poisoning,

or without foreign bodies. Maintaining food safety is a legal requirement, and is an important

part of providing safe, quality foods to the consumers. It can open different tea shop in the

town and attract customers by opening in different hours, environment, seating arrangements

and marketing approach. Its soothing color may attract consumers most.

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There is a general consensus that the price is higher for limited availability of Kazi & Kazi

Green Tea. Generally, the price of the Kazi & Kazi Green Tea is higher than regular tea and

the consumers do not have knowledge for the reason of higher prices, so they are unwilling to

pay. Hence, Kazi & Kazi Green Tea should increase their availability by increasing sales

force. Hence, the price of K&K Green tea should be lowered with respect to regular tea. So

that people are willing to consume Green Tea. This strategy will make higher production and

this higher margin will reduce the cost. However, slightly high price than the regular tea may

reflect quality.

The problems about the distribution channels are that there is a trend of Supermarket /

modern trade superseding organic retailers/specialized stores. However, most

environmentalists believed that modern trade and supermarket could destroy the relationship

between producers and consumers as well as they could possibly take advantage of the

customer. In addition, there are a limited number of distribution channels for organic

products. The problems concerning distribution channels are that there are a limited number

of public relations. It can be introduced in tea stalls of rural and urban areas. As most of the

peoples of our country are unaware about organic tea, it can be introduced highly. Thus it will

turn into greater economies of scale, so the cost will be reduced automatically. In last year,

this was assumed that K&K Tea is currently only available in all the major districts, but

efforts are on to reach out to 3,000 stores across Bangladesh. Prepared tea may serve in the

tea shop and package tea may sell in the shop and through Dhaba, Canteen, Hotel.

There is huge lack of promotion for K&K Green Tea. Most promotions are cost-free and aim

for healthy, pesticide-free and good quality products, which sometimes lack of standard

certifications. With not much spending on advertising, the company has been able to create

an impact in the market through quality organic tea and bold packaging. They put a lot of

thought behind packaging. Since inception, it has changed its packaging four times- with the

latest one making a debute in May. The bag in bag packaging, the first of its kind in

Bangladesh, ensures that the tea bag remains intact and does not lose flavor. However, to

develop awareness, generate traffic and build loyal customers, the promotion for K&K Tea

should be increased. It should be well-known by its attributes and promotion should be highly

increased so that people get to know and educate about its functions and usefulness.

For the promotional activities, K&K Green Tea may follow below steps-

- There are large numbers of young professionals signed to network. This company can

increase information events sites and prevents being overshadowed.

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- K&K Green Tea can reach student by providing attractive ads that it helps long life

span. It can also reach students through on-line social network (Facebook).

- K&K Green Tea can gain awareness through providing attractive and useful ads to the

health conscious customers. It can attract by its soothing color, quality. It can be

known as beauty increased products as its elements- antioxidant and nutrients have

powerful effects on the body. Some of its proven benefits can be used to promote

K&K Green Tea:

� Green Tea contains various bioactive Compounds that can improve health, brain

function.

� It increases fat burning and improves physical performance. Its antioxidants

elements lower the risk of various types of cancer.

� Green Tea improves dental health, lowers risk of infection, diabetes and helps to

live longer.

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