Brand Revitalization Strategies for LG Mobiles & RC Cola in Pakistan.
Wajid Ali 3335
Haifa Saleem 3336
Nabita Ishtiaq 3353
Shakeel Aslam 3338
Hassan Naseer 3328
Rana Tassadaq 3316
MR. GHULAM AHMAD RANA
FADING BRANDS AND REVITALIZATION
Strategies for LG Mobile’s Revitalization in Pakistan.
About The Company
LG Electronics was established in 1958 as the pioneer in the
Korean consumer electronics market. Since then it has become a
major global force working in 80 countries.
LG recently underlined its reputation as one of the world’s
leading innovators of LCD and Plasma televisions, by unveiling a
100 inch liquid crystal display (LCD) TV.
LG entered in mobile communications market in 1997. LG
ranked fourth in global mobile handset sales in 2005.
Pakistan is the fastest growing country in regard to mobile phone user
base with 130 million mobile phone users.
World’s most popular mobile phone manufacturers are launching their
mobile phones in Pakistan to catch a big customer base while there are
also some local mobile phone manufacturers to catch growing
In the mobile domain, LG is one of the early companies to release
touch screen phones in Pakistan.
LG Mobiles, struggling somewhat in the most recent period with an
operating loss of (USD 49.48 million) mainly due to greater expenses
and high cost.
LG is said to have a Smartphone market share of 3.6% in Pakistani
Strategies to Revitalize LG Mobile
Expansion of LG’s brand awareness.
Improvement in LG’s brand image.
Entrance in new potential market.
Expending Brand Awareness
LG mobiles should develop & implement short term marketing
strategy and plans in Pakistan. This strategy will result in improving the
price- premium imagery, building brand awareness of LG mobiles.
It should develop complete communication strategy and marketing
campaigns for the cell phones. With complete planning, including
launch and mid – life kick.
Should set up specific goals and investment ratios for building
imagery through sponsorships and innovative associations & visibility.
It must develop 360° campaigns for successful launch of new
products, and for gaining shelf space in Retail.
It should work with Operator and Modern retail business teams on co-
marketing campaigns such to ensure increase in business expansion and more
value to LG Mobile Consumers.
For better market penetration it should provide great customer services like
other mobile phone brands like Apple, Samsung and Nokia etc.
It is said that “out of sight and out of mind.” If LG does not consistently remind
its target market that its actively doing business, people will forget about LG and
go elsewhere as it is being happening with LG mobiles in Pakistan.
Another way that can increase LG mobile’s awareness is social media like
Facebook & Twitter. At Facebook & Twitter, mobile customers can share tips, ask
questions and network with one another. The benefit to LG will be that it will stay
in touch with its target market in real time.
Improving the Brand Image &
Entering New Markets
LG should reposition its target mobile market in Pakistan because
currently the main focus of all mobile manufacturers is urban population.
The urban population has almost 100% mobile penetration, so the new
growth market for the LG mobile phone in Pakistan is the rural
Most of the people in rural areas are wage earners who save money over
a period of time to buy a mobile phone. As the price of mobile phones
increases, the total cost of ownership has risen for the low-end segment of
the market, making it difficult for the mobile device makers to grow in
LG mobile phone sales can regain positive growth only if the total cost
of ownership of a mobile phone can be reduced for the lower social class.
To establish a premium brand image and to achieve a broader penetration
of the Pakistani market , LG should relaunch its operation in Pakistan under
largest retailers like United-Mobile, Advanced-Telecom and Mobile Zone
To persuade the retailers to sell its offerings, it should encourage them
with higher profit margin and support for marketing & training.
It should avoid discount retailers as their compensation is based on sales
volume so such move can tarnish the premium brand image of LG.
LG mobiles should increase its focus on "Smart Technology" with low
price because this technology will add convenience and joy in new
customers lives and will help to keep them loyal with brand.
In order to sustain place among other competitors in Pakistan, LG
mobiles' R&D should drive the development of "Great Products" and
strength core technological capabilities through a process of "select
To achieve its lofty goals in Pakistan, LG mobile should recruit new
talent and strive to increase its business by consolidating R&D
systems oriented toward Pakistani market as like it is doing in other
strategic countries like China & India etc.
It must develop & implement Communication plan and 360° media
It must ensure growth in business through innovative marketing
campaigns that support achievement of desired sales results &
Should manage press launch events and media relations
Should plan and manage activities like Road shows/ Mall
activities/ rural vans/ Event Sponsorships.
Should plan and execute market research programs for better
understanding of market consumer trends, and channel requirements.
The company is not offering a complete range of products including
mobiles at its first brand shop opened in Lahore, as it does globally,
we recommend that it should fill the gaps as soon as possible.
Pakistan is price driven market but LG as a global brand should also
contribute towards a segment where people are more into life style
enhancement rather than just to have a mobile just as a source of
They should strengthen their brand shops network and provide
consumer complete hands-on experience and provide right choice of
products which enhances life style with reliability.
LG should facilitate Pakistani consumers as well, with their cutting
edge technology like LTE technology.
They should not get into the volume game with all other brands of
unbranded/Chinese products which are heavily flooded in Pakistan
In order to enhance the life style of the consumers, care & delight
can be the real tool for LG whereby they can provide real experience
not only LG mobile but after sales experience which make consumers
life’s good and hassle free.
They should launch a TV program whereby LG will contribute
towards Pakistan community and provide education to the Pakistani
Also a quiz program can be conducted on some renowned TV
channel like Dunya, Express, Samaa or Geo etc where students can
participate on the intellectual basis. Sponsoring these kinds of events
can enhance the brand image of LG among Pakistanis.
FADING BRANDS AND REVITALIZATION
Strategies for RC COLA’s Revitalization in Pakistan.
RC COLA IN PAKISTAN
Pakistan has a huge market of soft drinks beverages.
The major competitive and ruling brands of the country are
PepsiCo. and Coca-Cola Company.
RC cola was a very famous drink in Pakistan.
It was well known since the time of its arrival in the sub-
continent which was the 70’s.
Internationally RC cola faded away by the early 90’s.
Reasons for RC Cola Loosing Market in Pakistan
Pepsi and Coca Cola stormed into the market.
Advertising was minimal in Pakistan as compared to its
It was being sued by different organizations internationally
that’s why it reduced its investment in Indo-Pak.
RC finally stopped production somewhere in the early 90’s.
Strategies for Re-launch RC COLA in
Expansion of RC Cola’s brand awareness.
Improvement in RC Cola’s brand image.
Entrance in new potential market.
Strategies for Re-launching RC COLA in
RC Cola has to reposition itself in Pakistan.
RC Cola should use Adventure in their positioning statement
The word ‘Adventure’ will be associated with this brand as there
is no cola brand in Pakistan which claim to be adventurous.
Other brands which shown themselves adventurous are Mountain
Dew and Sprite 3G but they are not cola drinks.
This factor will be the point of differentiation for RC Cola.
RC Cola should target the youth of Pakistan in its re-launch.
Because 80% of the consumers of cola drinks in Pakistan is youth
of the age in between 13 to 35.
The social class will be upper-lower to lower upper class.
Price must be keeping the view of their target market.
It should set price according to the product demand of public.
Some modifications should be done with the shape of the bottle
specially the regular bottle because it seemed to be thin and had lower
volume compared to other cola-drink bottles.
According to our point of view they should re-launch Just one
category, Regular RC Cola to gain the full attention of market initially.
They should give huge incentives in the form of deep freezers etc to
retailers for gaining shelf space in retail.
They should give special offers to consumers on special occasions
like Ramadan and Eid days instead of decreasing the price of the
For experiencing the response of consumers I think they should initially
launch RC Cola only in the capital of each province i.e. Karachi, Lahore,
Islamabad, Peshawar and Quetta.
They should also provide trade allowances to their distributors and
retailer to further intensify usage of push strategy.
Other than these some special points should also be look after by direct
sales vehicles such as hotels, restaurants, public parks, big and reputed
super stores etc.
As we studied about the effectiveness of IMC tools in our last activity so
by keeping that in our minds, we’ll recommend that RC Cola must use
Integrated Marketing Campaign in its all kind of promotional activities.
A successful advertisement program can be their most effective means of
increasing consumer awareness, trial, and actual product purchases in
These experimental activities can be done in different shopping malls and
They should organize different youth related competitions in which
winners can be rewarded with RC Cola cash rewards or Laptops or solar
systems can also be a good choice.
Although print media advertisement as compared to electronic media
advertisement is not much effective but RC Cola should use top newspapers
of the country like Dawn and Jung etc to advertise the print ads.
TV commercials must be used to advertise the brand.
The frequency of ads should be greater specially on youth channels
like Aag, 9x, Oxygen, Geo super and PTV sports etc.
The theme of the first re-launching ad should include all the shots
from the previous ads of the brand so that people can recall the brand
and then show adventurous and thrilling scenes. Whole advertising
campaign should be done on the theme of adventure.
Also they should use popular radio channels for advertising.
As like Coca Cola billboards should also be used to advertise on
roads and buildings near highly dense areas like Pace, Fortress,
Mall etc in Lahore.
They should also use online advertisement , ads should be
published through all the famous social networking websites like
Facebook & Twitter etc.
They should also re-launch their official website of RC Cola
Pakistan where any kind of information regarding the drink will be
available from the history of the drink to the ingredients used.
RC Cola should participate in trade shows, and exhibitions of all kind to
increase the awareness of the new launch.
If they gain good response from target market then they should launch RC
Diet Cola which will target to diabetes people.
RC cola should do a joint venture with all the cinema’s in Pakistan, that
only RC Cola will be the soft drink which will be available in cinemas, this
venture can be good because in recent period Pakistan’s film industry is
flourishing again after the release of WAAR.
RC Cola should sign a contract with Telenor, Zong, Warid, Mobilink or
Ufone that free airtime will be offered to the customer after typing a code
which will be on the back of RC cola’s cap.
RC Cola failed in Pakistan because of its poor attention given towards the
When other colas came they advertised and they did it so well that people
were attracted towards them. Its also about how u present it, the looks of the
RC Cola's bottle is not appealing and the regular one specially looks so
thin, it seems as if it has less drink inside.
It is possible for them to rise again through the proper attention towards
the advertising and targeting the potential customers.
The outlook of the product should be appealing and beautiful, it should