2. What is STP Analysis?
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
This approach is crucial as it
enables brands to efficiently
allocate their resources,
tailor their marketing efforts
to specific audience needs,
and establish a competitive
edge by differentiating
their offerings in the
marketplace.
Segmentation, targeting, and positioning (STP) is a marketing
model that redefines whom you market your products to, and
how.
The 3 step model includes:
Segmenting – dividing a broad market
into distinct groups of consumers, based
on various factors
Targeting – seeing who has common
needs or characteristics, selecting one or
more of these segments to focus on
Positioning – crafting marketing
strategies and product positioning that
appeal directly to those selected segments
3. Beverage Industry
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
The Indian beverage industry is a vibrant mix of
traditional and modern drinks, characterized by
strong growth, diverse consumer preferences, and
increasing demand for healthier options
Paper Boat
A brand that offers
traditional Indian
beverages with a
nostalgic twist, targets
consumers seeking
health-conscious and
innovative drink options
Frooti
A fun and youthful
brand, primarily known
for its mango-flavored
drink, aiming at a broad
consumer base with a
focus on convenience
and accessibility.
Did you know?
The overall soft drinks industry
market size was about
Rs. 1.3 billion
4. Segmenting – Paper Boat
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
Target customers
Location
Urban Tier I and
II
Age group
Youth & Middle
age
Income bracket
Middle & High
Characteristic
Health conscious
Emotion
Nostalgia
Paper Boat appeals to those who value
traditional Indian culture and are inclined
towards products that evoke memories.
This segment values quality, authenticity, and
emotional connections to their consumption
choices
It segments its market based on
demographics, focusing on middle to upper
class consumers who are health-conscious
and open to try new beverage options. The
brand particularly resonates with adults
who have a taste for nostalgia yet
seek modern, convenient packaging
Paper Boat targets moments of leisure
& relaxation, aiming to be the beverage of
choice during festivals & family gatherings,
aligning with its narrative of bringing back
cherished memories
5. Segmenting – Frooti
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
Target customers
Location
Urban Tier I and
II
Age group
Children & Youth
Income bracket
Middle & High
Characteristic
Fun seeking
Emotion
Youthful spirit
Frooti segments its market demographically,
primarily targeting younger consumers –
children, teenagers & young adults. The brand
positions itself as an accessible option for
a wide income range, focusing on urban &
semi-urban areas
Psychologically, Frooti appeals to individuals
with a youthful spirit, seeking fun,
convenience, and refreshment in their
beverage choices. It attracts consumers who
prioritize taste and a quick thirst quencher
over health-centric attributes.
Frooti positions itself as the go-to drink
for casual gatherings, outdoor activities,
and daily consumption, emphasizing its
role in adding a refreshing touch to
everyday life and spontaneous moments
6. Targeting – Paper Boat
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
• Paper Boat's targeting strategy intricately combines nostalgia
with a health-conscious appeal, specifically aiming at the urban
middle-class demographic.
• This unique blend caters to adults who harbor a deep-seated
affection for traditional Indian flavors and childhood memories,
yet are increasingly mindful of their dietary choices.
• By offering beverages that are both reminiscent of simpler times
and made with natural ingredients, Paper Boat effectively taps
into a niche yet growing segment of consumers.
• This demographic values authenticity, quality, and wellness,
making them willing to pay a premium for products that align
with their lifestyle and ethical considerations, thus ensuring
Paper Boat's distinct positioning and appeal in a competitive
market.
7. Targeting – Frooti
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
• Frooti adopts a targeting strategy characterized by mass market
appeal, primarily focusing on capturing the youth demographic
while emphasizing convenience.
• By positioning itself as a universally loved beverage, Frooti targets
a broad spectrum of consumers, spanning across different age
groups and income brackets.
• Its vibrant branding, easy availability, and affordable pricing make
it a popular choice among consumers seeking a refreshing and
convenient drink option.
• Frooti's emphasis on youthfulness resonates with its target
audience, who value its fun and adventurous image, contributing to
its widespread recognition and dominance in the mango beverage
category.
8. Positioning – Paper Boat
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
Paper Boat's positioning strategy revolves around
evoking nostalgia and offering traditional
Indian flavors in modern packaging
The brand positions itself as a curator of cherished
childhood memories, tapping into consumers'
emotional connections with authentic Indian
beverages
By blending nostalgia with innovation, Paper Boat
stands out as a unique player in the market,
offering a distinct alternative to mainstream
beverage options
Its emphasis on quality ingredients, cultural
authenticity, and storytelling sets it apart, appealing
to consumers seeking both a taste of tradition and a
touch of modernity in their beverage choices
This positioning establishes Paper Boat as a
premium brand, commanding consumer loyalty
and commanding a premium price point
9. Positioning – Frooti
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
Frooti's positioning strategy centers on being a fun,
youthful brand that offers a refreshing mango drink
It positions itself as a symbol of joy and
spontaneity, appealing to consumers seeking a
light-hearted and enjoyable beverage experience
By leveraging its iconic mango flavor and vibrant
packaging, Frooti establishes itself as a go-to
choice for moments of leisure and refreshment
Its widespread availability and affordable pricing
further reinforce its image as a convenient and
accessible beverage option
Frooti's positioning as a beloved and familiar
brand resonates with consumers across
demographics, solidifying its status as a market
leader in the mango beverage category
10. Comparison
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
Paper Boat focuses on evoking
nostalgia, targeting adults and health-
conscious consumers with an affinity for
traditional Indian flavors, packaged innovatively
This demographic and psychographic
segmentation enables Paper Boat to create a
niche market where consumers seek quality and
authenticity
Paper Boat capitalizes on occasions rooted
in tradition and moments of personal indulgence.
Frooti targets a broader, younger
demographic, emphasizing fun, convenience, and
accessibility
Its psychographic appeal lies in catering
to consumers with a youthful outlook,
prioritizing taste and refreshment
Frooti aligns itself with everyday
casual gatherings and outdoor activities, aiming
for a wider appeal
Paper Boat Frooti
The STP of both brands reflect their core marketing
strategies—Paper Boat banking
on differentiation and Frooti on mass market appeal,
each successfully carving out its space within
the competitive beverage industry in India.
11. Challenges & Opportunities
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
Paper Boat and Frooti's STP approaches
present several opportunities for growth and
market expansion.
For Paper Boat, its focus on nostalgia and health-
conscious consumers provides opportunities to
diversify its product range and introduce new flavors
or beverage categories that resonate with its target
audience.
Leveraging its emotional storytelling and cultural
authenticity can further enhance brand loyalty and
engagement.
Frooti's mass market appeal opens doors
for geographic expansion and product line
extensions, catering to diverse consumer segments
and occasions.
Additionally, investing in innovative packaging,
flavors, and marketing strategies
can help Frooti maintain its relevance and capture
new market segments, driving continued growth
and success.
Both Paper Boat and Frooti encounter challenges
in effectively implementing their STP strategies.
Paper Boat's niche positioning may limit its reach to
a broader audience, potentially hindering its
growth opportunities beyond its core demographic.
Additionally, maintaining the balance
between nostalgia and innovation while meeting
evolving consumer preferences poses a continual
challenge.
Frooti, on the other hand, may face difficulty
in maintaining its mass appeal without diluting
its brand identity or compromising on quality.
Balancing affordability with perceived value
and adapting to changing market dynamics
are common challenges for both brands as they
strive to remain competitive in the beverage industry.
12. Future Implications
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
• Evolving market dynamics, such as shifting consumer preferences, emerging trends,
and competitive forces, could significantly impact the STP strategies of both Paper
Boat and Frooti
• For Paper Boat, an increasing focus on health and wellness might necessitate the
introduction of healthier variants or the enhancement of nutritional transparency in its
offerings
• Additionally, adapting to changing taste preferences and staying ahead of
competitors' innovations becomes crucial
• Similarly, Frooti may need to continually innovate to maintain its appeal among the
youth demographic and address growing demand for healthier and more sustainable
beverage options
• Flexibility and agility in adjusting STP strategies are essential for both brands to
thrive amidst evolving market dynamics
13. Appendix
Beverage Industry Targeting Appendix
Challenges & Opportunities
Comparison
Positioning
What is STP Segmenting Future
https://en.wikipedia.org/
https://www.parleagro.com/
https://www.paperboatfoods.com/
