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Hudson Valley Sweet Cider Corporation Business plan
Stanley Pierre-Charles
Professor Prakash Menon
Strategic Management
8/28/2016
Company Description
Company Name
The Hudson Valley Sweet Cider Corporation will be the name of the company, which will specialize in the production of sweet cider. Sweet cider also commonly referred to as apple cider is an unsweetened nonalcoholic beverage common in the United States and parts of Canada made from apples. The name Hudson Valley Sweet Cider Corporation is derived from the name of location from where most apples used in the production are sourced. New York State is the leading producer of apples in the United States. Production is concentrated in six areas namely, Eastern and Western Hudson Valley, Champlain Valley, Central, Lake Country and Niagara Frontier.
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Mission Statement
To provide safe and affordable sweet cider to millions of people in North American cities and beyond to unleash the health benefits of apple cider and in the process support apple growing in upstate New York. The company will supply high quality products at moderate prices to support a profit for the company and the farmers in the supply chain and creates hundreds of quality jobs across the entire value chain. I want my company to provide a healthy beverage for a happy and healthy society. This mission is to ensure that the company has remained focused in the production of quality beverage. The mission statement also indicates that it is aimed to make sure that the society is composed of healthy people who consume healthy drinks. When the society has healthy people, it means that they will be able to be productive, and their lives will be enjoyable, and they will live happily (Olson, Lopez, 2009).
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Reasons for Choosing This Beverage
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Introducing Rooh Afza in UAE | Marketing Research Project
1.
2. Submitted To:
Sir Ahsan Ahmed
Submitted By:
Syed Sohaib Ali
Ehsan
Aiman Alya
Mehreen Butt
3. Rooh Afza is a product of Hamdard which is a
multinational company working in India and Pakistan.
Hamdard, 'the global house of herbal products' is a
household name in Pakistan and is known worldwide
having a very large product range.
Hamdard is engaged in production of medicines under
Greco-Arab System of Medicine. Herbal medicines are
natural medicines, simple to use and have no adverse side
effects. The great man HAKIM SAYEED established
“Hamdard” in 1948.
4. Rooh Afza is a popular concentrated sharbat invented by
Hakeem Abdul Majeed and manufactured by the companies he
founded, Hamdard (Wakf) Laboratories, India and Hamdard
(Wakf) Laboratories, Pakistan since 1907.
The inventor never explained his choice of the name Rooh
Afza, English speakers often refer to it as 'rose syrup'.
It is a natural cold drink and a blend of pure crystalline
sugar, distilled extracts of citrus flowers, aqua's of
fruits, vegetables and cooling herbal ingredients processed to
impart its taste.
5. Rooh Afza is a product. It is a tangible thing and sell
in the market.
6. Rooh Afza is a want.
It’s purely thirst quenching drink.
It increases the level of glucose in the body which
makes consumer energetic so its one of the healthiest
energy drinks.
It comes under the category of low priced drinks.
7. As Rooh Afza is a refreshing drink. It give us
refreshing feeling.
After drinking Rooh Afza People desire to buy it
again because it’s a best drink that kill thirst.
8. Idea is to introduce the Rooh Afza Product by
Hamdard Inc. in UAE i.e. Market Development
9. A recent case study conducted in UAE doing market
analysis resulted in following key results.
Age
12. The marketing plan recognizes the various segments of the
market for Rooh Afza ready to drink packs, instead of marketing a
product in one way to everyone. The segmentation is based on
various criteria such as those listed below.
Demographics:
This is to study of the distribution density and vital statistics of a
population and includes such characteristics as :-
Gender= no gender discrimination, its for all
Age= all those who can drink it
Education= both educated and uneducated
Marital status= for the people of marital status
Size of family unit= for all families
Total income of family = for all those who can afford it
Religion= for the people of all religion in targeted geographical areas
13. Behavioral:
Occasions:
The drink is very popular in Ramadan, again the main reason being
that it gives instant energy.
14. Geographic's:
The geographic areas targeted by Rooh Afza are Pakistan,
India and now UAE.
Psychographics:
Life Style:
Health conscious people who exercise and avoid energy drinks which
have artificial flavorings and ingredients such as high content of
caffeine, which is harmful for the body.
Social Class:
It's an economical drink which can be afforded by anyone.
15. People buy it because:
It is economical
Affordable by lower and middle class
Liked by people of every age
Influenced by family because it is a traditional drink since 1907
16. The target market for instant Rooh Afza drink is
families with children who are respective to
new, convenient, notorious and inexpensive form
of refreshment.
The company’s brand will be positioned at with low
price, high quality and sustain with its remarkable
identity mashrub-e-masrik (the drink of east).
17. Major target audience are:-
The student
The bachelor
Married.
Individual
Family
Retired person
The person who is sitting abroad who has the Pakistani
nationality.
18. The market of sharbat is less saturated with only
three brands of red sharbats. If we talk about drink
juices the market is highly saturated with ten
competitors. The Rooh Afza will be positioned in the
market as Mashroob-e-Mashrik.
19. The nearest direct competitors of Rooh Afza ready to drink
packs will be the following ones:-
Forst
Nestle
Tops
Shezan
Tang
Pepsi and coke
Other gas drinks
The nearest indirect competitors of Rooh Afza ready to drink
packs will be following ones
Jam-e-sherin
Taskeen-e-rooh
Other fruit squashes
20. When we will talk about ready to drink juices, the
market is highly saturated with below
ten competitors. The estimated market shares on the
basis of market research are shown below
21. Rooh Afza being in market since hundred years gives
it an edge over others. It is purely a combination of
different fruits, vegetables and herbs. This gives it a
competitive advantage as generally a drink has one or
two of them but it is a combination of all in one.
22. For distribution the company will go for pull
strategy.
The demand will be created in the market through
effective advertising and promotion, customer will
ask local sellers for product, local seller will demand
the product from whole sellers, whole seller will
demand the product from the stockade dealers,
dealers will demand the product from the zonal
offices and zonal offices from the company, finally.
25. Micro Environment includes following factors :-
1- Company
Activities of different department in the company effects the
company.
2- Suppliers
Activities, efficiency of suppliers effects the company.
3- Marketing Intermediaries (Firm helps company promotion)
Actions of marketing intermediaries effects the company. E.g
reseller, distributer etc.
26. Other micro environment forces which effects
company are :-
Customers
Competitors
Public
27. The Macro Environment includes following factors:-
1- Demographic Environment
Demographic changes effects the company’s market
segmentation policy.
2- Economic Environment
Economic environment affects the expenditure of both the
consumer and producers.
3- Natural Environment
Natural environment has direct impact on company because
company needs fruits and herbs for manufacturing.
28. 4- Technological Environment
With time, company need to adopt new machines and equipments
to increase production.
5- Political Environment
It has no direct impact on company.
6- Cultural Environment
Cultural environment do affects the company’s sales over time.
29.
30. STRENGTHS:
A popular summer drink that quenches thirst,
maintains the water-electrolyte balance, and acts as
an instant source of energy for the body.
It is a type of UNANI medicine which has zero side
effects.
It is recommended by some doctors for weak and
old people.
31. WEAKNESSES:
Company’s inability to maintain sales varying with
seasons e.g. low sale of Rooh Afza in winters.
Ever changing customer preferences like, now
customers ask for convenience.
Ever changing external environment.
32. OPPORTUNITIES:
As Rooh Afza is inexpensive compared to other
beverages, it can generate huge demand and the revenue
accordingly.
Population is increasing by a considerable rate per
year, giving us another opportunity to increase our market
share.
Rooh Afza has a supreme brand image in people’s
mind, it can go for line extension and enter the category
of pure juices and milk for instance.
33. THREATS:
The biggest threat for Rooh Afza has always been
the competitors in the industry.
Prices and the inflation rate is increasing day by day ,
this reduces the purchasing power of the customer.
35. The price of ready to drink Rooh Afza has been decided
while taking into consideration of following factors.
Marketing objectives i.e market share leadership through price
penetration(lower prices for getting maximum market share)
Marketing mix strategies
Costs
Other organizational consideration
The market and demand.
Consumer perception of price and value
Competitor’s prices
Other external environmental factors
36. While pricing value based pricing approach was
considered.
In the questionnaires we have already asked
the customers to give the suggestions about
the price for ready to drink Rooh Afza 250ml packs.
And people have coded their suggested prices
37. After considering costs of ready to drink rooh Afza
packs, competitor prices, marketing objectives,
consumer perception of price and value and other
factors the price that was finally decided for ready to
drink Rooh Afza is AED 2.
38. The distribution channel will comprise following
levels
Markets
customer
Local sellers
Whole sellers
Stockade dealers
Zonal offices.
Company
40. The communication objectives are following
Increase customer awareness of the product
Increasing customer knowledge about the product
Increase customer liking for the product
41. Advertising:
Radio
Television (ads between dramas by sponsoring for
dramas)
Newspaper
Magazines
Online advertising
Flex Advertising
Social Media like Facebook, Twitter, Google+
42. The company tends to win 35% of market share.
Product:
quality, convince, low price
Price:
AED 2 per juice packet
Place:
At every retail shop where Rooh Afza liquid is available
Promotion:
The promotion would be done through advertising, bill boards, radio and
print media.
43. It has all the characteristics of business market:
Sold in bulks to distributers
Available in whole Pakistan, India, UAE etc
Demand of Rooh Afza exists
But Rooh Afza does not deal in B to B as it is FCMG so its larger
market is B to C
45. Core product: a drink that quenches the thirst.
Actual product: ready to drink Rooh Afza sharbat.
46. A refreshing and delicious drink good for sunstroke,
quenching the thirst, palpitation, nausea and other
summer complains. Because of it’s being in
convenient tetra packs customers now can have Rooh
Afza whenever they want and wherever they want.
47. Rooh Afza is a registered trademark of Hamdard
laborites (WAQF) Pakistan. Brand extension strategy
has been practiced by chasing the existing brand
name “Rooh Afza” for ready to drink sharbat also.
48. As people are becoming more and more
health conscious day by day. So ready to drink Rooh
Afza will be packed in250ml tetra packs. Although
tetra pack will be costly for the firm but customer
satisfaction and quality product transfer is a duty of
Hamdard laborites (WAQF) Pakistan.
49. As we are introducing Rooh Afza instant in 3 flavors
1.Rooh Afza milk
2.Rooh Afza lemonade
3.Rooh Afza lass
50. The labeling of ready to drink Rooh Afza will
be highlighting the positioning i.e
A u want when u want!!
51. Hamdard has the most prestigious name for the health
care products. With the benefit of the name Hamdard has
been immensely successful with its drink “ROOH AFZA.
The technology Hamdard has, the domestic market
situation and their international experience will surely
enable them to maintain their motto.
The target market of this product will be mainly the
sportsmen, professional athletes, field workers, health
conscious and time oriented people. By repositioning and
introducing Rooh Afza in the new areas like UAE, it will
boost its profit and will get more level of customer
satisfaction
52. Hamdard always try to provide its consumers with the
premium quality in hygienic conditions. For Hamdard quality
comes first so it has equipped its labs with the latest and best
quality machines. Hamdard has set its price within the range of
possible prices determine by market demand and
cost, competitors cost, prices in which there is hardly any
change.
The opinion of people towards taste and freshness of Rooh
Afza is excellent. The overall experience of people is good but
this should be looked into as more customers are satisfied and
the more Hamdard’s goodwill would be enhanced.