PRODUCT LAUNCH

MARKETING

PROJECT

COCOCHILLLICENSE TO CHIL…

Sequence of PresentationIntroduction

Market Research Analysis

Segmentation and Positioning

Product

Pricing

Channel and Distribution

Promotion Strategy

Market segments

Soft Drinks

Artificial Drinks

Aerated Drinks Flavored Drinks

Natural Drinks

Seasonal Drinks All Season Drinks

Juices5%

Pepsi30%

Coke58%

Others7%

Market Share of Beverages in India

Source:ORG-MARG 2001

The CSE Finding

CSE tested 12 brands of soft drinks sold in Delhi for the presence of 32 pesticides.

Following standard US methods, three samples of each brand were tested at CSE lab. Results were verified at an independent lab.

All samples had 15-87 times the EU levels of 4 pesticides-DDT and metabolites, lindane, chlorphyrifos and malathion.Other 28 pesticides not detected.

All four pesticides are harmful .They can gradually cause cancer, nerve damage, hormonal changes, DNA mutation and foetal damage.

All Indian brands of Coke and Pepsi contained pesticides but samples bought in US had none.

MARKET SEGMENTATION

Geographic Segmentation Region Western, Northern,Central and Southern. Density Urban,Suburban and Rural  

Climate Hot and humid climate

Demographic SegmentationAge Small children to adults and also old age people.

Social Class Lower, Middle and Upper

Psychographic SegmentationLifestyle Health and Hygiene Conscious

Behavioral Segmentation Occasions – Marriages, Parties, Social Gathering

Benefits – Superior Quality, Economic, Nourishing

User Status – Non user, First-time user, Regular user

Loyalty Status – None, Medium

Attitude toward product – Enthusiastic, Positive

StrengthPureNaturalCheapAvailable in all seasonHealthy Drink

WeaknessPreservation period-Two monthsPeople PerceptionNon availability in bottles

OpportunityRecent Coke-Pepsi FiascoTrend of Health consciousness

ThreatCompetitive marketOpen to copying by competition.

SWOT Analysis of CocoChill

MARKET TARGETING

Single-Segment Concentration

Selective Specialization

Concentrated Market

Single Segment ConcentrationTarget Market

Concentrated Marketing

Segment Leadership

Target Market

Segment 1

Segment 2

Segment 3 Segment 4

Selective Specialization

Segment 5

Select number of segments Diversifying Company’s Risk

Positioning Map

High Nourishment

High PriceLow Price

Low Nourishment

TropicanaReal

Pepsi / Coke

OnjusFrooti

CocoChill

Alcoholic Drinks

MARKET POSITIONING

Choosing and Implementing a Positioning Strategy

Identifying Possible Competitive Advantages

Selecting the Right Competitive Advantages

USP 100% Natural Low Price Superior Quality Healthy

Communicating and Delivering the Chosen Position

POSITIONING STATEMENT

“ To people of all ages, CocoChill is a 100% natural and healthy coconut water drink, which will give you optimum nourishment and refreshment than any other competitive drink “

4 P’s of Marketing

Product4 P’s of Marketing

Green Coconut Coco-chill  

Voluminous and hence need big space

Occupies very little space

Needs expert hands to reach the water level by cutting the outer thick green shell with a big sharp instrument which otherwise is dangerous

Very easy- just by removing the cap of tin

Problem in disposal of voluminous shell and its pieces made to reach the water level

Very easy and can be sold out for recycling and thereby providing some amount of money

Long time require to chill the outer green shell before the unsheathed water can be chilled to the required temperature

Packed in cans which can be easily and fast chilled

To have chilled coconut water for a number of persons very big refrigerator space is essential

Very low volume needed

A little larger period of storage of green coconut whether in the open or in the refrigerator changes the color of the outer shell and which looks ugly on presentation to guest

No change at all and packed materials has shell life of 3months

If the coconut water is to be poured in a glass before serving again expertise is essential else contents will pilfer and spoil the area.

Nothing of the sort

Y Coco chillComparison of Green Coconut & Coco-Chill

4 P’s of Marketing

Product

Price

4 P’s of Marketing

Pricing

Step 1: Selecting the pricing objective

Step 2: Determining Demand

Step 3: Estimating Costs

Step 4: Analyzing competitors costs, prices, and offers

Step 5: Selecting a pricing method

Step 6: Selecting the Final Price

PARTICULARS YEAR 1 YEAR 2 YEAR 3 YEAR 4

SALES NIL 6 LACS 12 LACS 18 LACS

PRICE NIL 50 50 50

SALES REVENUE NIL 3 CRS 6 CRS 9 CRS

COST OF GOODS SOLD (-)

NIL 2 CRS 3 CRS 3.5 CRS

GROSS MARGIN NIL 1 CRS 3 CRS 5.5 CRS

DEVP COST 15 CRS NIL NIL NIL

MTKG COST NIL 2 CRS 1 CRS 1 CRS

ALLOCATED O/H NIL 1 CRS 1.5CRS 2 CRS

GROSS CONTRIBUTION

NIL -2 CRS 0.5 CRS 2.5 CRS

         

Break Even Analysis

Sales Revenue(In Crores)

Sales Volume(Litres)

Fixed Cost

Total Revenue

Total Cost

Break Even

Break Even Analysis

16 Lac5 Lac 10 Lac 20 Lac 25 Lac

8

3

12

18

4 P’s of Marketing

Product

Place Price

4 P’s of Marketing

Channel and Distribution

Our distribution chain is as follows:

Company Distributor Retailer End Consumer

OUR CHANNEL DESIGNING APPROACH

Analyzing with the current market channels.

Understanding the target customer requirement

Decide on what management considers feasible / willing to address

Factors determining the channel structure of ‘COCOCHILL’

REACH

IMPULSE

DELIVERY TIME

PRODUCT VARIETY

ADVERTISING

4 P’s of Marketing

Product

Place Price

Promotion

4 P’s of Marketing

PromotionMission

Create AwarenessEstablish Brand Name

MoneyStage in the Product Life cycle Competition Advertising Frequency

Message “License to Chill”

MediaNewspaper TelevisionRadioInternet

THANK YOU

ANY CLARIFICATIONS AND QUESTIONS ??