The document analyzes Blue Water, a bottled water company. It discusses the company's goals, strengths, weaknesses and market opportunities. The market serves 1360 bottles per day to households and corporations. The product is high quality water purified through filtration and delivered via vans. Competitors offer differentiated products at higher prices. The document recommends increasing brand awareness through van branding, pamphlets, and targeting retailers and institutions to increase sales and profit.

1. BLUE WATER
Prepared by:
SHAKIR SAID KHAN (3808)
SHAHID ALI KHAN(3732)
NASREEN SALEEM(3753)
SAJID ALI(3756)
SHAMWEEL JAVED(4020)

2. Company Analysis
• Goals
• Focus
• Culture
• Strengths
• Weaknesses

3. Our Purpose
• To give the company a vision
• To provide the company with a
concrete direction and purpose
• To set the goals of creating brand
awareness and penetrating the
current market
• To design a roadmap for the
company’s achievement of those
goals

4. Market
• 1360 bottles a day
• Households, corporations
• Health conscious, convenience oriented
• Karachi
• Trends

5. Product Mix
Product
• 19 liter blue (clear transparent) and
white bottles
• Water purified through filtering and
reverse osmosis. Minerals are then
added, and the water is finally tested
in a laboratory.
• Non-differentiated, but very high
quality product in its price range.

6. Product Mix
Price
• Cost of blue bottles Rs 250. Cost of white
bottles Rs 200.
• Profit margin of 15%. Retail price of Rs 50 for
blue bottle and Rs 40 for white bottle as
compared to Rs 120 of competitors’ products
• Initial membership charges of Rs 500 for each
new customer

7. Product Mix
Distribution
• 7 Delivery vans will be delivering to 7
different zones ranging from Clifton and
Defense to Nazimabad and Gulistan-e-
Jauhar.
• Each van contains 3 people. One salesman
and two helpers who carry bottles to and
from the van.
• No retail outlets have yet been
approached
• No distribution offices have yet been set
up.

8. Product Mix
Promotion
• Mainly relying on word-of-mouth to create
awareness
• Very low budget for promotion. Resulted in
lack of awareness of product benefits.
• Is the main focus of new marketing plan, as it
is the perfect tool to penetrate the current
market.

9. Customer Analysis
• The current market for drinking water
contains many potential health conscious
customers who demand pure water
delivered through high-quality reliable
service at an affordable price
• Blue Water will directly delivered to them
through delivery vans
• The company will not lose many
customers because of the high quality of
service provided
• Complaints are registered, processed and
taken care of within a day leaving no
chance for customers to switch from our
quality product

10. Competitor Analysis
• The market for 19 liter bottles is
approximately 40,000 bottles each day. How
some of them appeal to the consumers:
• Nestle “Pure Life” - Main competitor
• AVA “Be Good to Yourself”
• Culligan “Better water, Pure and Simple”

11. Market Segmentation
The bottled drinking water market
can be segmented first in to
Industrial and Consumer markets,
and then further segmented within
these markets.
• Commercial
– Stores
– Medical Clinics
– Banks

12. Target Market
Consumer Markets
• Housewives
• Health conscious individuals
• Small corporations
• One-off consumers purchasing from
retail
• Institutions (hospitals and schools etc.)

13. Customer Information Needs
• Health awareness
• Reliability
• Water specification
• Price
• Customer service

14. What Do We Need?
• Capitalize on existing strengths of exceptionally
pure water competitive price, extremely reliable
service and a very large distribution network
• Achieve a presence in the market that already
exists, but is not felt
• Create a brand image that promotes purity, caring
and concern
• Increase brand recall to the point that Blue Water
becomes synonymous with delivered water
• Increase information about our product and its
details

15. Costs and estimated sales
Cost
Estimated %
increase in sales
Van PKR 60,000 8%
Pamphlets PKR 10,000 2%
Brochure PKR 15,000 5%
Roadside supply PKR 2,000 6%
Mall stall PKR 15,000 7%
Stores PKR 5,000 12%
Total PKR 107,000 40%

16. Simple profit
• 1,360 Bottles per day
• 1360 x 50 x 15% = Rs 10,200 per
day
• 10200 x 30 = Rs306,000 worth
of profit increase

17. Alternative Market Strategies
• Current market is mainly occupied by
Nestle, Culligan and other small local
providers.
• Nestle and Culligan provide too tough a
competition
• Mainly targeting customers who use tap
water or bottled water provided by local
providers which is injurious to health.

18. Alternative Marketing
Strategies
• Blue Water logo painted on vans
• Pamphlets or Brochures
• Highlighting product advantages
• Approach retailer outlets

19. Alternative Marketing
Strategies
• Approach institutional clients
• Incentive Schemes for existing customers to
attract new customers
• Discount Schemes for new customers
• SMS advertising

20. Alternative Marketing
Strategies
• Roadside Supplying
• Product modification
• Mall advertising
• Medical Clinics