Fiji Bu Marketing Plan Presentation - MBA 437

Team Elite
Marketing Plan
Raksha Ben
Losana Maulaulau
Epeli Malo
Rajniel Lal
S93000847
S02001083
S11199777
S11010851

A g e n d a
enjoy the taste of paradise
Introduction
Controls
Situation Analysis
Financial Analysis
Marketing Strategy
Conclusion

I n t r o d u c t i o n
Who we Are
What we Do
Market Objective
Product Aim
The Elite Corporation, a registered and
operating entity in Fiji, is considering
the introduction of Organic Coconut
Water into the Fijian Domestic market.
The corporation has its head office
operating out of Suva, Fiji and
processing plants in Savusavu and
Nadi.
The Corporation actively processes
coconut products for the Copra Industry
in Fiji and is looking at diversifying the
product market for coconut.
.
Coconut water which we believe will be
the game changer in the coconut
industry in Fiji. Since a local product
has never been produced and marketed
in the domestic market, the aim of the
corporation is to analyze the demand
and supply market for the raw &
processed product.
The Primary marketing objective is to
establish Fiji-Bu in the domestic market
as a premium brand, capturing up to
30% of the market within the year of
release.

S i t u a t i o n A n a l y s i s - B a c k g r o u n d
The Elite Corporation is in the business of processing coconut products in Fiji for both
domestic and international market. With the shift of the urban population towards more
health conscious, the consumption of organic and natural products has increased, and with
the current pandemic situation of COVID-19, accessibility and availability plays a key role.
The Elite Corporation believes that by introducing bottled coconut water into the domestic
market will provide the competitive edge over other players in the coconut industry.
The target segment for Fiji-Bu will be the domestic urban population, which according to the
2017 Fijian Census stood at 494,252.

S i t u a t i o n A n a l y s i s - M e t h o d o l o g y
Primary Research - Questionnaire
Market Survey via questionnaire to identify market
offering and demand
Primary Research - Interview
Interview with the producers in the Copra Industry
Secondary Research – Journals
Journal Articles reviewed with respect to Marketing
and Coconut water production
Result Analysis
Analysing the primary & secondary research to
develop marketing strategy
01
02
03
04

S i t u a t i o n A n a l y s i s - S W O T
S
Strengths
O
Opportunity
W
Weakness
T
Threats
• Availability of Natural Organic Green Coconut
• Support of Product via health initiatives from
Govt
• Nutritional value of Coconut water
• Year-round availability of Green Coconut
• Limited supply of coconuts within a single
variety to achieve production targets
• Aging trees which has led to decline of general
supply of Green Coconuts
• Taste preferences
• Promoting as a healthy alternative to soft
drinks
• Increase framer engagement
• Government initiatives for setting up
agricultural farms
• Engaging rural women for setting up
plantations
• Natural Disasters
• Pests & Diseases
• Planation locations hindering logistics
• Competition within the copra industry for
other coconut products
• Exports and substitute products

S i t u a t i o n A n a l y s i s - C o m p e t i t i o n
Carbonated Drinks
Competition includes
• Coke
• Jucy Bottle(1L)
• Pepsi
Bottled Water
• Fiji Water
• Aqua Safe
• Vai Wai
• Aqua Pacific
Fruit Juice
• Just Juice
• Fru-Bu
• Tang
• Imported Coconut Water
Green Coconut Vendors
• Road side vendors
• Bulacino Café
• Weta Café
• Hotels

S i t u a t i o n A n a l y s i s - C o m p e t i t i o n
Kara Coco – Imported
Available at:
• New World
• Fresh Choice
• Kundan Singh
Joe’s Classics – Imported
Available at:
• Fresh Choice
• Extra Supermarket
Parrot
Available at:
• Cost-U-Less
Parrot - Bottled
Available at:
• Extra Supermarket

S i t u a t i o n A n a l y s i s – M a r k e t R e s e a r c h
Market Survey was conducted via Google Forms to gauge demand in the domestic market for bottled coconut water.
A total of 200 Google forms were sent out of which
160 responded back
The gender distribution was 50% female and 50% male
160
18 yrs to 24 yrs 7%
25 yrs to 34 yrs 41%
35 yrs to 44 yrs 43%
45 yrs to 55 yrs 6%
above 55 yrs 3%
Age Distribution

15%
58.8%
31.9%
40%
11.9%
Carbonated Drinks (Coke / Fanta / Sprite / Pepsi
etc.)
Bottled Water
Fruit Juice (Pulpy / Fru Bu / etc.)
Coconut
Others
Beverage Preference

Central
72%
Eastern
2%
Northern
10%
Western
16%
Geographic Distribution
62.2%
32.7%
50.6%
14.7%
Supermarket Chains
Markets
Local Shops
Canteens
Prefered location for purchase of bevrage
Rarely (10% of the time)
3% Occastionaly (30% of the time)
11%
Sometimes (50% of the time)
15%
Frequently (70% of the time)
35%
Usually (90% > of the time)
36%
Frequency of consumption

50% of the individuals are not aware of the bottled coconut water in the market. 46% are aware with 4% not sure
Awareness
of
Product
69% of the individuals are interested in purchasing locally produced bottled coconut water, 11% are not interested
with 21% not sure about the purchase
Interested
In
Local product
78% of the individuals are willing to spend $2.00, 28% willing to spend $3.00, with 2% willing to spend $4.00 for a
350ml locally produced bottled coconut water
Willingness
to
Spend
44% of the individuals prefer Glass bottle, 41.5% prefer Plastic bottle, 18.9% prefer Tetra Packs, with 13.8% prefer
Can for locally produced coconut water.
Package
Preference
46.9% of the individuals prefer 500ml, 38.8% prefer 1Liter, 22.5% prefer 350ml, with 7.5% prefer 2Liter package sizes
for locally produced coconut water.
Package
Size
Preference
87.5% of the individuals are aware, 6.9% are not aware , and 5.6% are uncertain of the nutritional value of coconut
water.
Awareness
Nutritional
Value
79.4% of the individuals are influenced, 11.9% are not influenced, and 8.8% are uncertain on the influence of
nutritional value of a product and its importance on the purchase.
Purchase by
Nutritional
Value

Rarely (10% of the time)
2%
Occastionaly (30% of the
time)
6%
Sometimes (50% of the time)
20%
Frequently (70% of the time)
30%
Usually (90% > of the time)
42%
Frequency of purchase of locally produced coconut water if
available
Yes
89%
No
4%
Maybe
7%
Potential for Fiji to Produce Coconut Water

To better understand Supply of Green Coconut, Interviews were held with
Mr. Alvin Sharma – CEO Fiji Agricultural Marketing Authority
“ Fiji does have potential for Coconut Water. If product is to be developed, target market would be the high-end
consumers and promoting Coconut water as a premium product. The challenge that will be faced will be the supply
of green coconuts as there is no specific coconut farms. Farming can be done in arears which are less prone to natural
disasters, however, transportation and logistics will be an issue. With the current pandemic situation and Govt.
assistance, Farmers would be more enticed to enter the coconut farming”
Mr. John Deo – General Manager Fiji Coconut Millers PTE Limited
“Currently we are purchasing dried nuts from farmers which is used as raw material to process coconut oil. At this
stage we are producing edible coconut oil and Virgin Coconut oil which caters for the domestic and international
market. Feasibility studies have been conducted with regards to coconut water production and as a out, farmers may
be more enticed to supply green coconut if the price for same is increased. Of course, this has to be inline to the
roadside vendors. Supply will be an issue due decline after natural disasters and the current pandemic situation.”
Mr. Raj Sharma – Board Chairman Fiji Coconut Millers PTE Limited
“As the major issue is the supply of coconut, offering a premium price for green coconut would be an incentive for
farmers to go into the coconut industry. The industry is ready to assist farmers to get on board to produce coconut
water. Further assistance can be provided via SPC with target specific to rural women to assist in setting up farms. To
ensure that coconut water retains its fresh taste, processing plants need to be setup near the farms. Farms can be
located in Nadi and Savusavu areas to cater for the tourists and hotel needs.”

S i t u a t i o n A n a l y s i s – J o u r n a l R e s e a r c h
Yield
There many hybrid cultivars for coconut water including the
Green Dwarf, King Coconut, Aromatic Green Dwarf and Chowgat
Orange Dwarf (Burns, et al., 2020). The high yielding coconut
water varieties are critical to a successful and sustainable
production of coconut water
Stability & Preservation of Coconut Water
Coconut water stability is critical to ensure it can be made into a
commercial product and can be packaged for long term storage.
It is important to note that additives (L-ascorbic acid, potassium
sorbate, and sodium sulfite) would be required to ensure the
coconut water is sterile and stable (Burns, et al., 2020).
various processing methods affect the chemical composition of
the coconut water. It was also found that when the Sulfite
additive was used in combination with a thermal treatment to
136 degree Celsius, the coconut water pinking effect did not
occur and also the levels of the key organic compounds were
unaffected (Burns, et al., 2020).
Factors affecting Quality
1. Soil Type
2. Growing Region
3. Fertilizer Application
4. Environmental Conditions
5. Variety and Cultivar
6. Stage of Maturity at harvest
Food Code
The Codex Alimentarius, or "Food Code" is a collection of
standards, guidelines and codes of practice to ensure food is safe
and can be traded (FAO, 2021). There are presently no Codex
Alimentarius standard for coconut water hence there is no
composition standard for coconut water including its production
and preservation. Since the there is no international standard for
coconut water, it has been said that commercial coconut water
could be adultered using Sugars, Milk proteins, Emulsifiers,
Artificial Colours, Sweeteners, Preservatives, Water and other
Fruit juices (Burns, et al., 2020). These could cause coconut water
to have allergens (such as milk proteins) present that could harm
people with milk allergies (Burns, et al., 2020)

S i t u a t i o n A n a l y s i s – J o u r n a l R e s e a r c h
Impact of colour on Marketing
Color is ubiquitous and is a source of information. People make
up their minds within 90 seconds of their initial interactions with
either people or products. The use colors to increase or decrease
appetite, enhance mood, calm down customers, and reduce
perception of waiting time, among others.(Singh,2006). Studies
have found colors play role in appealing to customers and how
they perceive the product.
Marketing in COVID-19
Based on the study conducted by (Kang, et al., 2021), the
following strategies can be implied for Business-to-Business
Marketing:
1. Avoid myopia of marketing and cash flows in a crisis
2. Rapid response to new customer needs through innovation
and new offerings
3. Don’t assume that interfirm relationships will remain stable
4. Anticipate a changing world with better offerings
5. Build on firm’s strengths for marketing strategy formulation
Marketing with Porter’s Strategies
Based on the book Competitive Strategy(1980) and Competitive
Advantage(1985), Michale Porter identified 3 generic strategies
(Wright, 1987):
1. Cost Leadership
2. Differentiation
3. Focus
Porter's argument is that successful businesses should compete
based on one or the other of the generic strategies: cost
leadership, differentiation, or focus. (Wright, 1987)

M a r k e t i n g S t r a t e g y – P r o d u c t M i x
Product
Price
Promotion
Place
• A unique product which would be the
differentiator in the market for sports and health
drink.
• Size and packaging offering with different sizes
for various segments of the market
• Organic and locally produced to promote Fijian
Grown and Produced inducing sense of
patriotism.
• Product name Fiji-Bu to associate local identity.
• Price mix to consider the objectives which are: Survival,
Max current profit, and Max market share.
• Price to be set to yield the best rate of return. Premium
pricing to be placed in tourist & hotel market.
• Price to be within the competitive range with competitors
• Discounts would be offered on case-by-case bases and
offered once product has been established.
• Fiji-Bu product will be placed in major retail
stores, supermarkets and local canteens to
provide easy of access to customers
• Distribution to be targeted mostly in Urban
Centers, Hotel chains, and tourist hot spots.
• Gyms, Schools, and Sports events
• Adverts to be placed on TV’s, Social media,
Billboards and magazines.
• Sampling of product at popular retail
stores
• Celebrity endorsements
• Corporate partnership with Fiji Airways &
Fiji Rugby

M a r k e t i n g S t r a t e g y - B r a n d i n g
Color
Image
Slogan
Word Usage
Based on research, color plays a role in
perception of the brand with the
customer. As such, the use of:
• Green color to resonate the product
as a healthy drink.
• Blue associated with water,
tranquility, and reliability.
• Pink associated with nurturing and
calming.
Using the actual image of a green
coconut to relate to the product the
customer would expect. The pink
Hibiscus added to give a more local
touch.
Use of the word Fiji and Bu respectively:
• Fiji – to market the product as a local
produce and incite sense of patriotism.
• Bu – indigenous word for coconut water.
Promotes relationship with the locals. Easy
word which tourist can relate to with their
experience of having a refreshing drink by
the beach.
Taste of Paradise – aimed at promoting
the enjoyment of Fiji’s beaches and
pristine clear waters with the Coconut
water quenching the summer heat.

M a r k e t i n g S t r a t e g y – P r o d u c t O f f e r i n g
Fiji Bu 250ml
Tetra Pack for convince. Package
design suitable for school
students.
$1.25
Fiji Bu 350ml
Glass Bottle for the premium market.
Mostly for tourist, hotels and Café.
$1.75
Fiji Bu 1L
Plastic Bottle for larger
consumption. Suitable for home
and bar use.
$5.00

M a r k e t i n g S t r a t e g y
Strategy 1
• Pricing based on Litre, allows
leeway for Competitive
Placement
Strategy 2
• Implementing TQM
• ISO Certification
• Explore International Markets
Strategy 5
• Community Engagement
Strategy 4
• Partnership with Tourism Industry
players
• Offer to have Fiji-Bu as part of Fiji
Airways inflight refreshment

F i n a n c i a l A n a l y s i s
Ye ars
Cost of Production (per Liter) 1 2 3 4 5
- Price of nut $ 0.60 $ 0.65 $ 0.75 $ 0.80 $ 0.85
- Proce ssing $ 1.50 $ 1.50 $ 1.60 $ 1.60 $ 1.70
- Additional $ 0.20 $ 0.20 $ 0.20 $ 0.20 $ 0.20
Total cost of Production $2.30 $2.35 $2. 55 $2. 60 $2. 75
Marketing & Logistics $1. 00 $1. 00 $0.80 $0.80 $0.80
Sale Price (per Liter) $5. 00 $5. 20 $5. 50 $5. 60 $5.85
Profit (per Liter) $1. 70 $1. 85 $2. 15 $2. 20 $2.30
Sales Volume( Units) Financials
Year % Growth 250ml 350ml 1 Litre Total Volume(Litres) Revenue Variable Cost Fixed Cost Profit
1 10000 25000 15000 30000 $150,000 $99,000 $100,000 $-49,000
2 18000 36000 32000 54500 $283,400 $182,575 $100,000 $825
3 5 18900 37800 33600 57225 $314,737.5 $191,703.75 $100,000 $23,033.75
4 8 20412 40824 36288 61803 $346,096.8 $210,130.2 $100,000 $35,966.6
5 10 22453.2 44906.4 39916.8 67983.3 $397,702.30 $241,340.715 $100,000 $56,361.59

F i n a n c i a l A n a l y s i s
$0
$50,000
$100,000
$150,000
$200,000
$250,000
$300,000
$350,000
$400,000
$450,000
1 2 3 4 5
Year
Revenue and Break even Projection
Fixed Cost
Variable Cost
Total Cost
Revenue

I m p l e m e n t a t i o n C o n t r o l s
1
2
3
4
Annual Plan Control
• Monthly, Quarterly, and Annual sales report to provide analysis of the product demand levels (
Quantity and price). The demand levels will assist with planning promotion, stock ordering and
planning for future sales targets for the marketing team.
Efficiency Control
• Measuring the of promotions, media production costs.
• Ensuring efficient turnaround times for orders and issues
• Improving logistics and supply chain.
Profitability Control
• Monthly & Quarterly monitoring of the arears that are generating revenue and where losses are
occurring.
• Identifying opportunities for expansion, reduction and marketing activities
• Product Promotion on specific events and seasons
Strategic Control
• Business & Consumer relationship for ensuring product visibility and promoting brand loyalty
• Market research to ensure competitive advantage is always maintained over competitors.
• Supplier & distributor relationship to ensure stock and preference in the market.

C o n c l u s i o n
Potential to expand production and export capacity – International market and the Pacific
Development of a premium value and organic Fiji product
There is strong demand for Fiji Bu in the local market - Market Survey
Use of Idle land for value adding agriculture product and rural development.
Involvement of rural farmers in employment and income generation
Diversification potential – Rehydration and electrolyte drink, Non-Lactose
Excellent climate and soil conditions for production

R e f e r e n c e s
• Burns, D. T., Johnson, E. & Walker, M. J., 2020. Authenticity and Portability of Coconut Water - a Critical Review. Journal of AOAC International, 103(3), pp. 800-806.
• Cappelletti, M., Ferrentino, G., Isabella, E. & Aprea, E., 2015. High Pressure Carbon Dioxide pasteurization of coconut water: A sport drink with high nutritional and sensory quality.
Journal of Food Engineering, Volume 145, pp. 73-81.
• FAO, 2021. Codex Alimentarius - Food Standard. [Online] Available at: http://www.fao.org/fao-who-codexalimentarius/en/[Accessed 10 July 2021].
• Food and Agriculture Organisation, 2007. Good practice for the small-scale production of bottled coconut water. , Rome: FAO.
• Gautam, D. et al., 2017. Nonthermal pasteurization of tender coconut water using a continuous flow coiled UV reactor. Food Science and Technology, Volume 83, pp. 127-131.
• Gewin, V., 2016. Coconuts can't catch a break. Frontiers in Ecology and the Environment, Volume 14, p. 462.
• Goveas, L. C. et al., 2021. Development of coconut water-based exopolysaccharide rich functional beverage by fermentation with Probiotic Lactobacillus Plantarum SVP2. Biocatalysis and
Agricultural Biotechnology, Volume 34, pp. 1-6.
• Hansen, J. N., 1994. Nisin as a model food preservative. [Online] Available at: https://pubmed.ncbi.nlm.nih.gov/8142045/ [Accessed 15 July 2021].
• Kang, J., Diao, Z. & Zanini, M. T., 2021. Business-to-business marketing responses to COVID-19 crisis: a business process perspective. Marketing Intelligence & Planning, 39(3), pp. 454-468.
• Kotler, P. & Keller, K. L., 2016. Marketing Management. 15 ed. Harlow: Pearson Education Limited.
• Rolle, D. R., 2009. COCONUT WATER UTILIZATION AND PACKAGING: AN OVERVIEW OF FAO’S WORK ON THE SUBJECT. COCOINFO INTERNATIONAL, 16(1), pp. 13-14.
• Segura-Badilla, O. et al., 2020. Use of coconut water (Cocus nucifera L) for the development of a symbiotic functional drink. Heliyon, Volume 6, pp. 1-6.
• Technical Centre for Agriculture and Rural Cooperation (CTA), 2012. Coconuts: The Tree of Life. Spore, April-May, p. 20.
• Wright, P., 1987. A Refinement of Porter's Strategies. Strategic Management Journal, 8(1), pp. 93-101.

Fiji Bu Marketing Plan Presentation - MBA 437

Fiji Bu Marketing Plan Presentation - MBA 437

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Fiji Bu Marketing Plan Presentation - MBA 437