sprizo pvt. limited
TRANSCRIPT
-
8/13/2019 Sprizo Pvt. Limited
1/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 1
MARKETING REPORT ON:
SPRIZO
BY:
SHAFI ULLAHREG. NO: 20544
MUHAMMAD AMJADREG. NO: 20563
USHER FAREEDREG NO: 20988
MUHAMMAD SHAHZEBREG. NO: 16899
ZOHAIBREG. NO:
DATE:15-05-2013
Submitted as mandatory requirement for the course Principles of Marketing in the Program, Mastersof Business Administration
-
8/13/2019 Sprizo Pvt. Limited
2/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 2
TABLE OF CONTENT
Acknowledgement ..3
Executive Summary ..................................................................... 4-5
Company Description/Product logo ................................................. 6
Mission/Vision ................................................................................. 7
Organization Structure (Emphasizing the Marketing Function) ..... 8
Product Mix (with PLC Analysis) .................................................... 9
Market analysis ............................................................................... 10Promotion Strategy (& Positioning) ............................................... 10
New product development activities .............................................. 12
SWOT Analysis ........................................................................ 13-14
Market segmentatin /Four Ps of Marketing ............................. 15-18
Break even analysis ..19 -20
Conclusion & Recommendations ................................................... 21
-
8/13/2019 Sprizo Pvt. Limited
3/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 3
ACKNOWLEDGEMENT
First we thanks to Allah Almighty who has blessed us with great courage to make this report.
Secondly, we thank to our respected lecturer SI R ATIF SHAHAB BUTT who provide us this
interesting opportunity to do this report. Moreover he had been a remarkable mentor both in
terms of sharing his ideas relating to Marketing but also in widening our horizons strategically.
The report based on launching a new product (NARYAL PANI)and to explain our strategies for
launching and how to grab the customers. It s a combination of hard work and devotion which
enabled us to complete this report on time. We students of MBA were assigned a competitive
task to present this report with respect to analyze the market structure for our product and how to
stay in the market with our brands and successfully operate in the competitive business world.
Thus, we were advised to present the complete effort in a report form.
-
8/13/2019 Sprizo Pvt. Limited
4/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 4
EXECUTIVE SUMMARY:
The main idea behind the introduction of SPRIZO was provision of variety in NARYAL PANI/Coconut
water with different flavors. The SPRIZO will start its operation in Karachi from July 2013.
SPRIZO is considers as the first one to introduce coconut water in the Karachi local market.
The core competitive advantage of our product is the uniqueness in the product offer. .
The report explains the marketing plan for launching Coconut water named NARYAL PANI .
This product has been made by the SPRIZO Pvt. Limited , approved from the ministry ofhealth.
The reason for introducing NARYAL PANI is to refresh people who are tired. They need
something refreshing to calm their nerves & start with a new energy. NaryalPani comprised of
pure coconut water which has so many benefits. It can minimize the aging of skin cells, boost the
body's energy levels, and greatly benefit people who are struggling with weight issues & a
wonderful natural treatment for maintaining good cardiovascular health.
In the Beginning, we have explained the Vision & Mission of theSPRIZO Pvt. Limited. The
report examine that this product is initially launching in Karachi. We have contracted Market
segmentation, SWOT Analysis of the company to see company s Strength, Weakness,
Opportunities & Threats. Then we have explained the purpose, benefits & objectives of the product.
Then we have made a marketing mix strategy for our product. We have divided market into
different segment & decided to target customers at all ages. We will promote our product by
having stalls outside shopping malls, inside the college and universities, at the bus stops etc. We
shall also conduct market survey in near future to know the opinion of the public about our
product. NARYAL PANI brings you a range of juices that will scintillate your taste-buds.
Having Coconut water every day is a great way of strengthening the body resistance against
-
8/13/2019 Sprizo Pvt. Limited
5/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 5
infections and Diseases & maintaining a healthy life style.
The competitors of NARYAL PANI are Shezan& Nestle, which are leading the market right
now and other companies also have a great image in market
Then we have the SWOT analysis of our product. Our strengths are pure product with a
reasonable price. Weakness includes the small distribution network due to no market share & no
experience with customer. Opportunities include the increase in distribution network through
which we can increase the distribution of our product. Threats include political & economicinstability.
According to our pricing plan we have decided to offer the product to customers at Rs 30/-.The
price is very much competitive and offer is feasible enough to catch a large percentage of marketshares.
-
8/13/2019 Sprizo Pvt. Limited
6/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 6
COMPANY DESCRIPTION:
A newly found company, outsourcing all of the distribution and packaging sector to third party because oftheir small operation and to avoid extra cost burden.
The factory facility has been founded on 25 canal area of land in Korangi Industrial area Sector
15. We have ensured the installation of modern sophisticated & efficient equipment conforming
to the latest standard of Good - Manufacturing Practices.
The idea to launch coconut water in the market with different flavors is the positive
response towards this product from the general survey and detailed study of the beverage
market. At the start the company is outsourcing its transportation and packaging to third
party to focus completely on the quality of product and avoids extreme costs. And after
one year of operation we are expecting to be able to own our own packaging sector for the product .
SLOGON:
Pyasbujaogharmibagao
PRODUCT LOGO:
-
8/13/2019 Sprizo Pvt. Limited
7/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 7
PRODUCT MISSION:
To provide the purest drink to refresh you throughout your day, throughout your life
VISION:
To fulfill the basic need of customers by providing them multiple choices within a given affordable price
range and maintaining sustainable profitable growth
OBJECTIVES: To increase profit To satisfy Customer To increase the Length of product line
CORPORATE STRUCTURE
Head Office
The registered and corporate office of SPRIZO Pvt. Limited is in Karachi.
13-B, Industrial Area,Korangi, Sector 15,
Karachi.
PHONE: 1234567-69
Fax: 1357643-44
Factory
The factory of SPRIZO Pvt. Limited is located at Korangi Industrial Area Sector-15.
-
8/13/2019 Sprizo Pvt. Limited
8/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 8
ORGANISATION STRUCTURE:
The five founders working as a single unit handling different business departments individually.
Where departments assigned as follows
ADMINISTRATION:
SHAFI ULLAH
FINANCE:
MUHAMMAD AMJAD
MARKETING:
MUHAMMAD SHAHJEB & MUHAMMAD FAREED USHER
RESEARCH AND DEVELOPMENT:
ZOHAIB
-
8/13/2019 Sprizo Pvt. Limited
9/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 9
PRODUCT MIX:
The core product is providing coconut water in different flavors. This currently is coffee flavor,coconut splashes.
The extension of product line depends on the sales and the expected turnover.
PLC (product life cycle) ANALYSIS:
As SPRIZO has just entered the market, it is at the introduction stag e, where the profits are negative
and cost is high. Since marketing and promotion through social media is at the peak. Expected time to
reach the growth level is minimum 1and a half year. Due to over competitive strategies and marketing
strength designed according to the outcomes of our report and close observation of competitors products
and campaign we consider our company to cope of with these companies and grab the market of
beverages of Karachi. The current response from the peoples through our research avails that we will get
a quick and positive response from the market and could reach to our breakeven with in 1 and a half year.
-
8/13/2019 Sprizo Pvt. Limited
10/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 10
MARKET ANALYSIS:
ROLE OF MARKETING DEPARTMENT
As marketing is a game to meet the needs and wants of the customers to satisfy them, customer
satisfaction is the responsibility of marketing department. The department also helps in setting
prices with respect to competitors and to satisfy customer as well. It functions to promote the
product. So in this way it creates an environment where transactions can take place.
MARKETING DEVISION IN SPRIZO Pvt. Ltd.
In SPRIZO Pvt. Limited, there are three departments in the marketing division.
Research and development department Distribution department Sales department
As the function of marketing department is to satisfy the customer and to fulfill organization s
objectives, these cannot be performed by a single department. These can only be achieved when
there will be coordination among all departments of the organization. In the case of SPRIZO Pvt.
Ltd., marketing division with its three departments coordinates with all other divisions and departments.
Marketing division doesn't take decision itself. Rather it puts a lot of efforts to get the consensus
of all other divisions. Marketing people are directly related to the supply of the goods to the
retailers, so they have better estimation of the demand of their products. Marketing division gets
the feedback from the sales person. Then after getting estimation, marketing division communicates to
production division. The production division makes an analysis that how much capacity is
available and how much demand is there. If there is some need of financial resources and
-
8/13/2019 Sprizo Pvt. Limited
11/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 11
workers, the production manager communicates these needs to human resources division and
finance division. So these divisions take actions to fulfill the need of production division.
In this way the marketing division integrates the activities of different department to maintain the overall
operations of the company.
Before developing or launching any product, we have to go for complete study of market and
identify the needs and want of customers and develop product accordingly. Such sort of activities
is performed by marketing division with its three departments. The division has an efficient
research and development department which helps to identify the unmet needs of customers throughscientific research or surveys.
In general, the marketing division concentrates on following two aspects before developing new product.
Taste of potential market. Consumption pattern of target market
The marketing executives believe that product success depends upon whether it satisfies the basic needs
and requirements of customers or not. Secondly, they also believe that these must be sufficient demand
(consumption) for the new product.
If marketing research analysis provides reasonable results on above two aspects then marketing division
will proceed following new product development activities.
-
8/13/2019 Sprizo Pvt. Limited
12/20
-
8/13/2019 Sprizo Pvt. Limited
13/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 13
SWOT ANALYSIS OF SPRIZO Pvt. Ltd:
STRENGTHS:
SPRIZO major strength lies in the innovation it brings in its products. Coconut water withdifferent flavors is unique in the beverage industry of Pakistan.
Completely focused on single product line to bring more innovation and introduce new and better
products to our customers.
democratic style has been adopted by management to empower employees and to give them
enough space to come out with their different ideas to take the company to the new heights.
It is available in reasonable prices.
WEAKNESSES:
Product is completely new for the customer, so targeting a customer is a great challenge
for our company.
Operation is limited just to Karachi city, due to which we would not avail the opportunity
of huge sales, which we could from other cities of Pakistan.
No market share with no customers experience.
Inexperienced employees usually fresh graduates for R&D and inventory evaluation.
Low sales revenue as initial cost is very high and profits are negative.
-
8/13/2019 Sprizo Pvt. Limited
14/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 14
OPPORTUNITIES:
Increase in Distribution network
Market is very big & attractive
Increase in Demand of High quality of product
THREATS:
there are several major competitors in the beverage industry positioned in the mind of
the consumer with the great brand image
Pakistan politics structure is very instable and is depressing economic activities and volatile
business environment in the state. Such instable environment may influence the performance of
all industries operating in state and SPRIZO may also be influenced from such trends ofinstability.
COMPETITIORS:
Nestle
Shezan
-
8/13/2019 Sprizo Pvt. Limited
15/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 15
MARKET SEGMENTATION:
SPRIZO has segmented its product on demographics basis, especially on:
Age 14-60
Gender Male & Female
Family life cycle Married, Unmarried
Religion Islam, Christianity & Hinduism
GEOGRAPHICS:
A Zone (N.Nazimabad, Nazimabad, Gulshan)
B Zone (Defence, PECHS, Saddar,)
C Zone (North Karachi, Gulzar-e-Hijri, Lyari)
DEMOGRAPHICS:
Age 14-60
Gender Male & Female
Family life cycle Married, Unmarried
Religion Islam, Christianity & Hinduism
PSYCHOGRAPHICS:
Social class: Middle class, upper class
Lifestyle: Actualizes, fulfilled, Believers, Achievers
-
8/13/2019 Sprizo Pvt. Limited
16/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 16
FOUR Ps OF MARKETING:
PRODUCT:
Our product would be available in following flavors
Coconut water with coffee.
Coconut water with splash.
Coconut water
PRICIING:
To compete in marketing and earn sound revenue we are using differentiate pricing strategy
Product A price (coconut water) 25
Product AA Price (coconut water with splash) 30
ProductA+ (coconut water with coffe) 35
According to our above pricing plan we have decided to offer the product NARIYAL PANI to
customers at Rs. 25, while for ICED COFFEE WITH COCONUT WATER is Rs. 35, and for
COCONUT WATER WITH SPLASH is Rs.30. The price is very much competitive and off er is
feasible enough to catch a large percentage of market shares.
PRICING STRATEGY:
The core strategy SPRIZO will follow for promotion will be price promotion strategy by
keeping the profits low
Segmented pricing is used as another tool to generate maximum possible profits at the
introduction stage.
-
8/13/2019 Sprizo Pvt. Limited
17/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 17
.
PROMOTION:
Core Sources of Promotions:
Electronic Media
Print Media
Cable Network
Billboards
Social media.
And Sunday campaign on sports ground of Karachi.
(We are providing our maximum potential to Sunday campaign to the maximum number
of sports ground in Karachi. Because that s the area where we have a target market and
they are at the stage where we could avail the opportunity to provide our product and make
a good positioning of our product in the customer mind. And the outcome of sales we are
expecting on the ground of facts and figures would be much, much higher.)
PLACEMENT:
Currently the main target of NARIYAL PANI & its FLAVOURED PRODUCTS is KARACHI. To
assure the availability of these products, SPRIZO Pvt. Ltd. Co. has established the effectivedealer network .
-
8/13/2019 Sprizo Pvt. Limited
18/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 18
PLACE:MARKETING CHANNELS/DISTRIBUTION MIX:
Our major distribution channel include
Chase up at Gulshan,
Chase up at Nazimabad
Chase up at Defense
Naheed super store at Shaheed -e-millat
Furthermore our company one go downs at Tariq road to meet the inv entory requirements as soonas possible.
-
8/13/2019 Sprizo Pvt. Limited
19/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 19
BREAK EVEN ANALYSIS:
filtration plant 2= (10,000,000*2) = 20,000,000
stirelization plant 2 = 8,000,000*2= 16,000,000
packaging and labeling plant 2= 16,000,000
Factory size 3500 feet height 16 yearly rent= 6,000,000
Sum of Salaries of employess = 7,200,000
Other supplies = 5,000,000
Total fixed cost 70,200,000
Electronic media cost 7,150,000
Print media cost 99,000
Billboards costs 930,000
Total cost 78,379,000
Average Variable cost per unit 11
BREAK EVEN SALES POINT:
Revenue = 25+30+35/3=30*Q
Cost=78,379,000+11*Q
Revenue = fixed cost + variable cost
30Q=78,379,000+11Q
Q= 4,125,210 units must be sold each year to reach to break even point.
CONCLUSION:
-
8/13/2019 Sprizo Pvt. Limited
20/20
SPRIZO Pvt. Ltd 2013
MARKETING PLAN FOR SPRIZO Pvt. Ltd Page 20
The good thing about SPRIZO is that, we are familiar with our actual target market. Sales promotion activities will be effectively carried out. Important thing about SPRIZO is that we will place our products at customer s doorstep.
RECOMMENDATION:
We aim at improving our sales by upgrading our workforce through training sessions and
investing more on R&D department. After crossing the breakeven phase we will generate
considerable profits and hence will overcome the weakness of low sales. We also plan to carryout
backward integration in future.