10 Step Marketing Plan for C2 - Morales

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Partial requirement of Prof. de Ungria for Marketing Management Class v54 for SY 2010-2011 at Ateneo Graduate School of Business

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10 Step Marketing Plan for C2 - Morales

  1. 1. 10 STEPMarketing Plan forC2 Green Tea Joseph Gabriel N. Morales June 2011 1
  2. 2. DisclaimerThis 10 Step Marketing Plan is part of the mandatory requirements of Prof. Remigio Joseph De Ungria’s AGSB marketing management class.The data included in this report are based on publicly available data such as those on internet websites, news, package declarations, public reports.When appropriate, data are “masked” so as not to create unexpected conflicts.The reports are posted and linked on slideshare, blogs and facebook so that there is easier sharing among students from different marketing classes.
  3. 3. Steps 1 to 5The C2 Life – Health &Wellness1. C2 targets Filipinos who want to live a healthy lifestyle.2. A refreshing delicious drink that is good for the health3. Competitors in the ready-to-drink green tea segment are Nestea Real Tea, Lipton Green Tea,4. C2 for a Lifetime5. C2 is the market leader of a 6.712B segment
  4. 4. Steps 6 to 10 What C2 did right…6. C2: Imitated but never Intimidated7. Most affordable RTD Tea per mL8. C2 is active in TV, Promos, Events, Facebook, Internet9. Available in most retail outlets, even abroad!10. C2 has succcessfully positioned itself as a lifestyle brand, addressing the health & wellness trend
  5. 5. 1. The health consciousFilipino is C2’s PTM Demographics:  13-39yrs old; Male and Female; Social Class ABC Lifestyle  From a high school student to a professional; the working class; the health conscious Behavior  Drinks C2 at least 1x-3x a day
  6. 6. 2. PTM wants to live a healthy lifestyle Self-Actualization Having a healthy lifestyle Needs will make me live longer, (Self-Development maximizing God’s gift of life & Realization) Esteem NeedsTo boost my self-confidence by being fit & healthy (Recognition, Status) I need to be fit / lean / sexy Social Needs (sense of belonging, love) I need a drink that is safe Safety Needs (security, protection) and natural Physiological needs (food, water, shelter) I need to drink Reference: Maslow’s Hierarcy of Needs Marketing Management, 11th ed, Philip Kotler 6
  7. 7. 2. PTM’s wants a healthydrink to keep up with theirlifestyleNeeds: Being fit / lean / sexy satisfies the need to be accepted by society’s perception of beautyWants: To keep up with an active, busy lifestyle; PTM wants a healthy drink that is affordable and easily accessibleDemands: The most suitable ready to drink product in the market that meets their needs & wants
  8. 8. 3a. Direct and indirectcompetitors Direct: Nestea Real Leaf & Nestea Green Tea(Coca-Cola), Lipton Green Tea (Pepsi), Alo Green Tea (RFM), One White Tea (Zest-O) Indirect: Sodas, Bottled Water, Sports Drinks, Energy Drinks Variables: Nutritional values, Pricing, Availability, Various flavors
  9. 9. 3b. RTD Green-TeaConsumption by social class as of 2011Price/ A B CSocialClassMatrixHighprice Nestea LiptonLow OnePrice C2 Green Tea Alo
  10. 10. as of 2011 3b. This is why C2 is market leader BRANDS FUNCTIONAL BENEFITS C2 Nestea Real Leaf Nestea Green Tea Lipton Green Tea Alo Green Tea One-Made from natural green tea leaves-Brewed and bottled in the same day-Contain Anti-oxidants-Various Flavors-Various Sizes-Availability-Sugar-Free line-Price-Fitness line (w/ L-carnetine) Despite competitive clutter, C2 stands out
  11. 11. 4. URC took advantage of thehealth & wellness trendC2 was the first ready to drink tea in the Philippines, which was widely accepted by the consumers because of its health benefits, taste, affordability and availability
  12. 12. 4. Pre-C2: No product tosatisfy NWDsPrior to C2’s entry, there was no product that satisfied the PTM’s NWDs.Healthy drinks were either expensive or does not taste good.
  13. 13. 4. C2 for a LIFETIMEThe C2 life can be an endless journey by making C2 a part of everyday life.The C2 brand will continue its commitment to innovate green tea as to be widely accepted by people who are not “tea-drinkers”
  14. 14. 5a. RTD Tea Segment % Share 18.6 C2 (URC) 10.2 Nestea (Coca-Cola) Others 71.2Source: 2009 Nielsen data
  15. 15. 5b. C2 is URC’s top brand intheir Beverage business1. Based on URC’s 2009 Annual Report, beverage business is Php 5.973B2. Assuming C2 shares 80% of the beverage business, C2’s volume is worth Php 4.779B.
  16. 16. 5c. C2 Green Tea ConsumerusageDrank:1x / dayx 365 daysx 873K people (0.91% of 2008 Pop from NSO)x 15 pesos per 350mL bottle =Php 4.779B in C2 Sales in 2008
  17. 17. 5. Total RTD Tea Segment isworth Php 6.712B % Share 18.6 C2 (URC) Nestea (Coca-Cola) 10.2 71.2 Others 4.779B
  18. 18. 6a. C2: Imitated but neverIntimidated
  19. 19. 6b. C2 – Cool and Clean! Source: http://www.thec2life.com
  20. 20. 7. C2 is affordably priced,with the most SKUs VSother RTD Green Tea PRICE BRANDSSize C2 Nestea - Real Leaf Nestea Green Tea Lipton Green Tea Alo G1 One230ml N/A320ml 13.75350ml 16.50355ml 15.00450ml 17.00 N/A480ml 18.25 20.25500ml 19.50 19.001000ml 23.25 25.001500ml 32.50*based from Tropical Hut Supermarket prices & availability
  21. 21. 7. C2 is the most affordable RTD Green Tea – for as low as Php 0.022 per mL PRICE per mL BRANDSSize C2 Nestea - Real Leaf Nestea Green Tea Lipton Green Tea Alo G1 One230ml N/A320ml 0.043350ml 0.047355ml 0.042450ml 0.038 N/A480ml 0.038 0.042500ml 0.039 0.0381000ml 0.023 0.0251500ml 0.022
  22. 22. 7. C2 Pricing Strategy C2 is very affordable. 1L of C2 VS Nestea Real Leaf is cheaper by 7% or Php 1.75 C2 being part of the Filipino meal for its patrons, make it more affordable for the ordinary Juan with its 1L & 1.5L where you can get value for your money.
  23. 23. 8a. C2 mostly usesAdvertising312
  24. 24. 8a. The C2 brand has itsown website  Regularly updated  Comprehen sive info about the brand
  25. 25. 8a. C2 on Facebook  C2 has a fanpage in Facebook  Regular updates for customers to be informed
  26. 26. 8a. Be fit, fab and loaded with Sarapmag-C2, Sarap maging Milyonaryopromo Most recent promo from C2. Duration was from May 1-31, 2011
  27. 27. 8a. C2 has no top celebrityendorser This simply proves that C2 does not need a top celebrity to influence PTM.
  28. 28. 8a. C2 Sarap ng Summer –Baguio 2011  Like Baguio’s rejuvenating atmosphere, C2 gives its users a refreshed feeling with the benefits of green tea
  29. 29. 8a. C2 Sarap ng Summer –Boracay & Puerto Galera2011  People prepare to be lean, fit, and sexy when they go to the beach so they can wear the killer bikini or show off their 6- pack abs. Living the C2 life will give you that result.
  30. 30. 8a. C2 @ UA&P SchoolOpening  C2’s booth at UA&P last June 8  Promote health & wellness to the youth
  31. 31. 8a. C2 has no top celebrityendorser This simply proves that C2 does not need a top celebrity to influence PTM.
  32. 32. 8a. C2 TVCs  C2 TVCs showcase various types of individuals, which can be found across all PTM social classes
  33. 33. 8b. Nestea Real Leaf(Coca-Cola)
  34. 34. 8b. Real Leaf Recent TVCs  TVCs of Real Leaf, 2 of the 3 by celebrities
  35. 35. 8b. Real Leaf – RecentPromo  Promo duration was March – April 2011.
  36. 36. 8b. Lipton Iced Tea (Pepsi) - No ongoing promos - No ongoing TV ads - No own local website unlike C2
  37. 37. 8b. One White Tea (Zest-O) Despite the brand having its own website, last update was 2008. C2 updates its website regularly which makes them more advantageous in reaching out to PTM who regularly surfs the internet. No ongoing promos
  38. 38. 9. You can buy C2 almosteverywhere in the Phils.! C2 is available in the ff. nationwide:  Supermarkets (SM, Shopwise, Puregold, etc)  Sari-sari stores  Convenience outlets (7/11, Ministop, etc)  Drugstores (Mercury, South Star, etc)
  39. 39. 9. … and across 32countries and territories Source: http://thec2life.com/c2-global-locator/
  40. 40. 10. C2 started & led the RTD Teacategory thru Blue OceanStrategyURC saw the need for a healthy beverage that will cater to the health conscious individuals that are always on the go, regardless of age, gender, and social class. Convenience and affordability became of importance as well.With the right marketing mix, URC’s C2 sparked the growth of a new category - the RTD Tea whilst increasing share of non-carbonated beverage in the beverage industry.
  41. 41. SUMMARY 41
  42. 42. Steps 1 to 5The C2 Life – Health &Wellness1. C2 targets Filipinos who wants to live a healthy lifestyle.2. A refreshing delicious drink that is good for the health3. Competitors in the ready-to-drink green tea segment are Nestea Real Tea, Lipton Green Tea,4. C2 for a Lifetime5. C2 is the market leader of a 6.712B segment
  43. 43. Steps 6 to 10 What C2 did right…6. C2: Imitated but never Intimidated7. Most affordable RTD Tea per mL8. C2 is active in TV, Promos, Events, Facebook, Internet9. Available in most retail outlets, even abroad!10. C2 has succcessfully positioned itself as a lifestyle brand, addressing the health & wellness trend
  44. 44. 10 STEPMarketing Plan forC2 Green Tea - END -Joseph Gabriel N. Morales June 2011 44

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