The document outlines rules and guidelines for a project presentation, including being attentive during the presentation, asking questions respectfully, and logical arguments being welcome. It notes that the rules do not apply to Mr. Naveed Ilyas. Knowledge and awards will be guaranteed for the best and most relevant questions. The presentation is on the Searle Vitamin Water case study conducted by IoBM students.

1. • Be Attentive in Class
• Hold your horses till the end of the Presentation
• If unanswered will satisfy you via e-mail
• Questions should be ask in respectable manner
• Awards for finest and relevant question(s)
• Logical argument is more than welcome
PS: Said rules won’t applies to Mr. Naveed Ilyas
Rules of the Game
Knowledge
Guaranteed

2. Project Presentation
Searle Vitamin Water

3. About Case Study
This case study based on “Vitamin Water” a product of Searle
Private Limited. It is prepared by the group of IoBM SMP class
students based on the visit to the company, information provided
by the representative of the company, Mr. Khalid Siddiqui,
internet research and Consumer survey based on questionnaire
prepared by the team and above all a friendly support and
guidance from our Mentor teacher, “Mr. Naveed Ilyas”.

4. IoBM Class Survey Response
33%
67%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Yes No
Awareness of Product
Are you
aware of
Vitamin
Water?

5. Frequently Asked Questions
1) What is Searle Vitamin Water?
2) Why should we drink Searle Vitamin Water?
3) What is the difference between SVW and Energy Drinks?
4) Is it safe to consume SVW frequently during the day?
5) Is SVW safe for children?
6) Is SVW safe for people with diabetes?
7) Is SVW safe for pregnant women to consume?

6. Group Members
Khurram
Shakeel
Mustafa
Amir Ali
Rehan
Mehboob
Muhammad
Umer Siddiqui
Farhan Ali
Marri

7. What is Vitamin ?
• Definition :
– Organic compounds which are essential for normal growth and nutrition and are
required in small quantities in the diet because they cannot be synthesized by the
body.
– Vitamins don't give you calories or energy but do help you stay healthy.
 Types of Vitamin :
 They are split up into two groups and defined by the materials in which they dissolve
Water Soluble Vitamins Fat Soluble Vitamins
 Dissolve in water and are
excreted out of the body through
biological fluids
 Important to replace them on a
daily basis
 Water-soluble vitamins include
the vitamin B-complex group and
vitamin C
 Dissolve in fat, and excesses are stored
in fatty tissues
 Distributed slowly throughout our
bodies, we don't need to replace them
daily
 Fat-soluble vitamins include vitamin
A, vitamin D, vitamin E and vitamin K

8. Vitamin Deficiency

9. What is Vitamin Water?
• Beverage Product
• It is the combination of Water that is
enriched with vitamins and minerals.
• Coca Cola “GALCEUE” is the market
leader followed by Pepsi internationally.
• Presence in almost 52 countries.
• Growing brand almost by 12.5 % YOY
internationally.

10. History of Vitamin Water
• 1996: J Darius Bikoff founded Energy
Brands
• Energy Brands also known as Glaceau
privately owned subsidiary of Coca-Cola
• 2007: Bikoff agreed to sell to Coca- Cola
for 1.4 billion
• Bikoff still manages vitamin water with a
agreement

11. Introduction
Searle Vitamin Water

12. Introduction of the Product
• Considering Vitamin Deficiencies and Potential in
Pakistan Searle Private Limited Introduce a new
product as “Searle Vitamin Water.”
• Searle Vitamin Water is a new range of non-caffeine,
non-carbonated drinks.
• It mostly contains Water Soluble Vitamins.
• The product was introduced as part of a Ramadan
deal with Dunkin’ Donuts in mid of 2013; this was
followed up with an ATL campaign on August 7,
2013.
• In 2014, the product went under phase to which
some call a “Re-launch” phase.

13. Our Mission is to Build an organization which
provides its customers with the best possible
products and Services in the health care and
consumer industries that is ever - evolving in step
with the changing market place to maintain its
leadership role.
 Incorporated in Pakistan as a Private Limited
Company on October 5, 1965 .
 Subsidiary of G.D. Searle & Co., U.S.A.
 Two state-of-the art manufacturing facilities in
Karachi and Lahore.
 1966 - Searle Pakistan (Private) Limited acquired
a small manufacturing facility in S.I.T.E.
 It is a public limited Pharmaceutical company.
About the Company

14. Beverage Industry
Islamic Republic of Pakistan

15. Beverage Industry – Key Information
• Pakistan’s Beverage industry is one of the top industries in Pakistan.
• It’s operating with around 170 units.
• Its sales volume is up to 30.5%.
• The beverage industry in Pakistan, currently having a size of little
over 120 million cases per annum with an annual growth of around
10-15 per cent,
• It has the potential to double its size in the next 3-5 years, if the
government's taxation policies towards this industry are corrected.
Neilson data for 20,000 individuals regarding there daily consumptions of a particular type of Beverages. Data provided by IBL representative

16. Beverage Industry- Pakistan
BeverageMarket
Bottled Beverage
Carbonated
Soft Drinks
(Pepsi, Coke)
Energy Drinks
(Stings)
Non-carbonated
Mineral Water
(Evian)
Bottled Water
(Nestle)
Sports Drinks
(Gatorade)
Juices
(Fruita-vitals)
Vitamin Water
(Searle)
Non-bottled
Beverage

17. Pakistan - Beverage Industry
6,026
4,118
2,658 2,543
2,012
1,700
944
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
Tea Soft Drinks Juices Milk/Flavored
Drinks
Coffee Bottled Water Energy Drinks
Tea
29%
Soft Drinks
21%
Juices
13%Milk/Flavored
Drinks
13%
Coffee
10%
Bottled Water
9%
Energy Drinks
5%
13
18
16
26
23
21
13
0
5
10
15
20
25
30
Tea Soft Drinks Juices Milk/Flavored Drinks Coffee Bottled Water Energy Drinks
BI Value Share PKR Bn
Tea
10%
Soft Drinks
14%
Juices
12%
Milk/Flavored
Drinks
20%
Coffee
18%
Bottled Water
16%
Energy Drinks
10%
BI Volume Share
Neilson data for 20,000 individuals regarding there daily consumptions of a particular type of Beverages. Data provided by IBL representative

18. Beverage Industry
Carbonated and Mineral only (PKR 130bn)*
8
123
0
20
40
60
80
100
120
140
Mineral Water Carbonated Drink
Mineral Water
4%
Carbonated Soft
Drink
96%
Source : http://www.finance.gov.pk/survey_0910.htm, http://blablawriting.com/beverage-industry-in-pakistan-essay l

19. Major Players – Pakistan (Carbonated + Mineral)
124
687
1,225
0.2
324
-
200
400
600
800
1,000
1,200
1,400
Nestle Coca Cola Pepsi Vitamin Water Others
Nestle
5%
Coca Cola
29%
Pepsi
52%
Vitamin Water
0%
Others
14%
Nestle
3%
Coca Cola
30%
Pepsi
57%
Vitamin Water
0%
Others
10%
Volume Units mm
4
38
74
0.1
13
-
10
20
30
40
50
60
70
80
Nestle Coca Cola Pepsi Vitamin Water Others
Value Share PKR Bn
Source : http://www.finance.gov.pk/survey_0910.htm, http://blablawriting.com/beverage-industry-in-pakistan-essay l

20. Major Player in Mineral Water - Pakistan
124.0
51.0
25.0
0.2
57.8
0.0
20.0
40.0
60.0
80.0
100.0
120.0
140.0
Nestle Kinley Aquafina Vitamin Water Others
Nestle
48%
Kinley
20%
Aquafina
10%
Vitamin Water
0%
Others
22%
Nestle
49%
Kinley
23%
Aquafina
11%
Vitamin Water
1%
Others
16%
Volume Share
3.7
1.7
0.8
0.1
1.2
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
Nestle Kinley Aquafina Vitamin Water Others
Value Share PKR Bn
Source : http://www.finance.gov.pk/survey_0910.htm, http://blablawriting.com/beverage-industry-in-pakistan-essay l

21. Product Analysis
A Complete Overview

22. Product Mix
SEARLE Pharmaceutical
Analgesics
Antibiotics
Orthopaedics
8 Others
Consumer Brands
Canderel
Sweetener Tablets
Vitamin Water
Coconut
Peach
Red berries
Apple
Watermelon
Orange
Lychee
Pomegranate
Lemon
Nutrition &
Healthcare
Nurturemil Water

23. The Core Competency - Pharmaceutical
Good Distribution Partner - IBL
Non-carbonated and caffeine free
Provided essential vitamin and minerals
Associated with Searle brand
First mover brand
Strengths Weaknesses
No direct competitor as yet
Introduce diet version of Vitamin water
Growing trend of the segment globally
Youth tend to try new product
Pharmaceutical back ground
Opportunities
Coca Cola & Pepsi both globally have a vitamin
water of their own name Glaceue and Gatorade
Pertain more flavours then Searle’s
No occasional relation of the product
Treated as medical drink
Threats
SWOT
Analysis
Vitamin Provision by other beverages (Tang, Milo)
Wrongly Positioned in Consumer mind
Tapping only Niche market segments
Limited understanding of the product
Not actively present over Social Media
High sugar content

24. Creating Value - Product
Core Benefit: Healthy Hydration, includes 6
essential vitamins to cover basic Needs
Actual Benefit: Not Just water, enhanced
Flavored Water, Attractive packaging, Stylish
Bottle, Impressive labeling, Quality Flavor,
Augmented Benefit: Provides taste as well as
Vitamins and Minerals

25. Composition & Daily Requirements
Nutrition Facts
Serving Size 300/500 ml
Calories 84/140
% Daily Value * Reference Daily Intake (Adult)
Total Fat (0 g) 0% 90-160 mg
Total Carbohydrates (21 g) 7.2-12% 300 g
Sugar 21 g 25-37.5 g
Vitamin A 15-25% 500-900 µg
Vitamin C 30-50% 30-90.0 mg
Vitamin B12 30-50% 2.4 µg
Vitamin E 15-25% 15.0 mg
Calcium 6-10% 1000 mg
Zinc 6-10% 8-14 mg
* Percent Daily Values are based on a 2,000 calorie diet

26. Management Focus
• Vitamin Water is essentially for anyone looking for a healthy lifestyle and
seeking healthier alternatives. We’ve designed this product for people
on-the-go; young individuals with an active, happening lifestyle who are
seeking simple ways to stay healthy.
• A "nutrient-enhanced" water consists of Vitamins and Natural flavors
hydrating yourself with truly healthy beverages.
• USP is healthy drink against energy/soft drinks that is not carbonated
and Caffeine free.

27. Market Geographic

28. MarketDemographics

29. Segmentation
Geographic Segmentation
World region or country Pakistan
Density Urban
Demographic Segmentation
Age 12-38
Gender Female, Male
Family size Not relevant
Family life cycle Young, single, married, married with children, single parents
Income 25K+
Occupation Students, doctors, engineers, managers, officials
Religion Any Religion
Education Literate
Psychographic Segmentation
Social class Middle class, upper middles, Upper Class
Lifestyle Healthy, professionals, businessmen
Behavioral Segmentation
Occasions Not specific
Benefits Quality, convenience, safe and healthy
User status Potential users, first time users, regular users
User rates Daily User and Occasional user
Loyalty status None, medium, strong, absolute
Readiness stage Unaware, aware, informed, interests, intending to buy
Attitude toward product Positive

30. Targeting
• Age group: 18+
• Gender: Male and Female
• Health conscious individuals
• Literate - understand benefits
• Intend to shift from CSD’s
• Purchasing power parity
• Social Economic Class: A & B
• Wants consumer to perceive product
not just a healthy drink

31. Positioning
 Position as an athletic product as a
running and winning against the car.
“KEEPS YOU RUNNING”
 After the advertisement, people
perceived as energy drink , without
carbonated water and a good option
than soft drinks. “VITAMINS KA
BOOST - FLAVORS KA BURST”
 But having perceived for sports or
energy drink was not the idea upon
which Searle wanted to position the
product rather, it is a different
product which comes under the
enhanced water category. “KUCH TU
MISSING HAI . . . VITAMIN”
 Latterly come up with the new
Position of ”BETTER THAN JUST
WATER”

32. Product Differentiation
• Searle Vitamin Water is a new range of non-caffeine, non-
carbonated drinks.
• Core competency is association with Searle brand
• Identified points like thrill and health as possible relation
to brand.
• With uniqueness of Searle Vitamin Water is its attractive
packaging with low-end pricing.

33. P • Competitive based pricing
• Rs. 35 for 350 ml
• Rs. 50 for 500 ml
• Gives maximum revenue
Price Product
• Niche markets
• Metro Cities
• A-class outlets
• Dunkin-Donuts
Place
• School/College Campaign
• Trade Discounts
• Social Media (Facebook)
Promotion
Marketing Mix
• Caffeine-free
• Non carbonated
• Healthy hydration
• Fruity flavors
Channel IBL Retailers End-consumers
P
P P

34. KeyCompetitors
Direct
In-direct
Generic
Budget

35. Perceptual Mapping
Carbonated Drinks
Energy Drinks
Fruit Juices
Vitamin Water
Mineral Water
Beverage Market
HealthyWater
Availability
Healthy
Water
Availability
Wide Choice
Falvored
Water

36. Based on consumer buying behavior, with the
customer playing the three distinct roles of user,
payer and buyer
Consumer Behavior
Analysis

37. Consumer Behavior Analysis
Yes
45%
No
55%
Awareness of Product
Yes
40%
No
35%
Don't
Know
25%
Healthy Drink
Fair
46%
Good
27%
Very Good
7%
Excellent
7%
Poor
13%
Overall Brand Rating
Energetic
22%
Healthy
35%
Price
20%
Taste
18%
Don't
Know
5%
Selection Criteria
Everyday,
3%
Once a
month,
38%
Never,
30%
Thrice a
week, 4%
Once a
week,
25%
Frequency
Availabili
ty
54%
Flavor
26%
Taste
7%
Price
7%
Don't
Know
6%
Aspects to Improve

38. Consumer Behavior
 The following conditions were there on the
basis of which we felt that the consumers for
this product is variety seeking:
 They are not much involved in purchase
of the brand
 They perceive high differences among
brands
 The product is not expensive
 The product is less risky, rather it is
nutritional
 The frequency of purchase of this
product is high
 Consumers may switch between the
brands not because of dissatisfaction but
just for the sake of variety.
Variety
seeking
behavior
Dissonance
reducing
buying
behavior
Complex
buying
behavior
Habitual
buying
behavior
High
involvement
Few differences
between brands
Low
involvement
Significant
differences
between
brands

39. Communication Mix
Advertising Sales
Promotion
Public Relations Personal Selling Direct
Marketing
Print & Broadcast
Ads
School/College
campaigns
Social Media
Facebook
Sales
Representative
Plan to do SMS
marketing
Packaging Outer Sampling
Company
magazine
Sales meetings
Poster & Leaflets
Shops and key
outlet
Events
Incentive
programs
Billboards Annual reports Samples
POP display
Fairs and trade
shows
TV Commercials
Radio Ads

40. Facts and Opinions
Insight Marketing - The Next Big Thing

41. Sales Trend and Projection
112,782
66,353
55,294
82,941
74,647
67,182
77,260
88,848
93,291
0
20,000
40,000
60,000
80,000
100,000
120,000
2013 2014 2015 2016 2017- FC 2018 - FC 2019 - FC 2020 -FC 2021 -FC

42.  Company Showed us the Financial but refuse to share due to confidentiality
 Decline Sales Trend Observed.
 Heavy wastages and return due to Expire issue (18-22 %).
 Product cost is almost half of the retail price.
 Over head cost is almost 8% of the Sales. Due investment.
 Not much spent on Adverting and promotion. Initially spend heavily.
 Selling and administrative expense are 11 – 12% of Sales.
 Financial Charges 6% of Sales.
 Net Profit is showing a loss and increasing trend of Loss. (-11% to -15%) Approx. –
10 MM loss per year.
Financials - Our Findings
Sales Wastages/
Return
Overheads BTL activity Operating
Exp
Financial
Charges
Net Profit
-9% 18-22 %
Sales
8 – 9 % Sales Not much 11-12%
sales
6% sales -11-15%

43. Issues and Criticism
Issues and Myth Criticism Management Response
No vitamin/minerals Low price cannot justified Not an instant energy drink,
works as supplement.
Unhealthy drink Not suitable for routine
consumption
Quantity allocated as per
recommended RDI, as
vitamins are water soluble.
Too sweet lead to bitter Excess sugar intake Intake sugar level is more
than twice in contrast to
SVW serving.
PET bottle is carcinogenic Carcinogenic if exposed to
direct sunlight
Minimal the chances
because of cold storage,
shelf life is less than 6
months though chances of
contamination is much low.

44. Hourly Type Questions
1) In your view do you think that this product is successful? If not, Why?
2) Do you think the positioning of Brand is correct ? If not, Why? Discuss
3) What do you think what strategy company should adopt in order to revive
the product and make it profitable?
4) Is it good idea for Searle to enter into new categories? If yes, in what
attributes?

45. CONCLUSION

46. • Excellent Concept and Product, has potential of performing better.
• Still struggling to position this product due to confuse positioning.
• Not being able to capitalize the early mover advantage.
– Limited marketing funds, consumer awareness, undeveloped brand identity
– Crucial objective to achieve big market presence with small budget.
• Targeting age bracket between 15-38 years only.
• Mainly Focusing in the Niche market. (Metropolitan cities)
• Fear of short Shelf life i.e. 6 months expiry.
• Some essential vitamins missing due to high cost.
• Two to three attempts made to correct positioning, all gone in vain.
• Product trial was quite successful but due to incorrect category analysis followed
by improper positioning of the brand experience non-repetitive behavior.
Key Determinants (Conclusion)

47. • Issues with Strategy implementation.
Key Determinants (Conclusion)
Description Check Mark Remarks
Generation of Idea
Concept or Idea was good as per the market
need.
Analysis of Idea
 Proper analysis was done on the product.
 Neilson data acquire.
 Due diligence done.
Strategy Formulation
 Wrong positioning,
 R&D issues of Expiry.
 Confuse advertising.
 Good Distribution IBL.
 Wrong choice of flavours.
Strategy Implementation  Wrong formulation implemented correctly.
Evaluation and Control  No Post launch evaluation and Control

48. Monitoring of Marketing Strategy
• Effective for the period of Six Months.
• Continue if found successful.
• Make changes as per recommendation of stakeholders.
• Re launch the strategy.
• Monitor further 3 months.
• Continue if successful.
• Discounting if unsuccessful.

49. Recommendations
Factors Issue Recommendations
Product /
category
Too many
flavors
 SKU rationalization
 Improvised flavor to revamp the product
 Searle should try to enter into new categories e.g. Sports, Corporate,
Women/Children (Category Formation)
 They should communicate their message clearly regarding the product
efficacy.
 Need to incorporate ethnocentrism factor
Customer /
Market
Niche Market
 Searle should explore more market expansion option. (2nd Tier)
 Searle should expand its net of target customer. Since current targeted
segment accounts for only 1-2% of the total population, so in long term
benefits can’t be reaped off.
Positioning
Confuse
Positioning
 Searle should be more focused upon the positioning of the product.
 Either they want to let the product perceive as a healthy drink for all or is
it as an energy drink.
 Enhanced water category should be formed i.e. Healthy water

50. Recommendations
Factors Issue Recommendations
Consumer
Behavior
Variety Seeking
Behavior
 Encourage the habitual buying behavior by ensuring availability
at all outlets.
 They should avoid getting stock out conditions
 They should increase their advertising
 Price could make a difference
 Free samples and gifting and/or special package should be
planned
Other Partnership
and Acquisitions
 Focus on Relationship marketing by creating theme such as Pure
Water for All
 Partnering with public/private organizations (Airlines)
 Can export to Middle East region through international partners.
Low Profitability
High Sales
Return and
write off due to
shorter shelf
life.
 Searle Should do some R&D to increase the expire of the product
in Order to reduce the loss and invests in Advertising to create the
awareness of the brand.
 Reduce production cost by achieving economies of cost.

51. Recommendations
Factors Issue Recommendations
New Product
Development
Cater large
number of
target audience
 Searle can also come up with the variant of carbonated water.
 They can have 2 product lines, Vitamin Water with carbonated and
caffeine and non-carbonated water. Since the acceptability of
carbonated water is more than Vitamin Water in Pakistan.
 Need to use zero-calorie stevia sweetener by combining stevia
extract with sugars, by which can reduce the sugar and calorie
levels of the range by 30 per cent.
Communication
Confuse
Advertising
 Searle should enlighten its customers regarding the product.
 Make and air logical advertisement with meaningful message.
 Develop integrated campaigns combining well-known celebrities
with unexpected marketing channels.
 Stretch early budget efforts with aggressive outdoor response
advertising solutions that accelerated buzz of entire media
campaign
Brand Awareness
Top of the mind
share
 Brand awareness is something which Searle has to work upon.
 As the idea of school campaigning was quite good but still there
should be more sponsorship to some sports programs as well with
free gifting in order to create space for them in the market.
 For targeting children and adults, need to cope-up with some
fictional character and celebrity endorsement respectively.

52. When actually Marketing Rocks
• Marketing is not sales its about satisfying a need to
enable the product to sell itself
• Marketing is storytelling to create anticipation of the
consumption moment and then prolong the delight
• Marketing is a science of pricing, of behavioral economics,
of consumer research and product design
• Marketing acts as the voice of customer and drives
customer centricity

53. Revenue or Brand?
Mind
Share
Market
Share
Profit
Share

54. Simpler - The Better
Who Am I? Why Buy Me?
Why Not Buy
Something Else?

56. Feedback TimeTHANK YOU 