This is a basic marketing course. In this project, I should write two parts of the Executive summary and Target market strategy. The writer could finish these two-part by the comment on it and no more than 3 pages.
0 1 Marketing Plan Bobago TABLE OF CONTENTS EXECUTIVE SUMMARY…………………………………………………………………… 1 BUSINESS OVERVIEW……………………………………………………………………….2 SITUATION ANALYSIS ………………………………………………………………………4 PRODUCT OVERVIEW………………………………………………………………………... POSITIONING STATEMENT & OBJECTIVES …………………………………………….. MARKETING STRATEGY…………………………………………………………………….. Target Market Strategy………………………………………………………………….. Product Strategy………………………………………………………………………….. Promotions Strategy……………………………………………………………………… Distribution (Place) Strategy……………………………………………………………. Pricing Strategy………………………………………………………………………….. IMPLEMENTATION & EVALUATION………………………………………………………. REFERENCES………………………………………………………………………………….. INDEX.………………………………………………………………………………………… EXECUTIVE SUMMARY - bobby The executive summary introduces the marketing plan campaign by providing a brief one-page summary of all of the information included in the plan. It should summarize your plan in a succinct but thorough way. BUSINESS OVERVIEW Nestle is a Swiss company that has become one of the largest food companies around the world, operating in more than 187 countries with 291,000 employees globally. For over 150 years, Nestle has been producing food and beverages with the goal that their products will “enhance quality of life and contribute to a healthier future” for its consumers (“Annual Review 2019”). To work towards its mission, over the years, Nestle has expanded its business from powdered and liquid beverages to nutrition and health Science, petcare, milk products and ice cream, prepared dishes and cooking aids, confectionery, and water. All of these markets have been expanded to offer solutions to “offer solutions for all stages of life, at every moment of the day” to make their customers satisfied (“Annual Review 2019”). Nestle believes that not only is it important to satisfy the needs people desire, it is critical to produce products that have high quality. Products that are made with high quality are fundamental to health and wellness, for both the current and future generations. Thus, all products released are also created with health considerations. This not only serves a responsibility purpose to the shareholders, but more importantly, to those who are the ultimate consumers in the community, which Nestle is also a part of. Furthermore, in addition to being socially responsible, Nestle also has a high commitment for taking care of the environment. Nestle believes that in order to achieve business benefits, positive societal impacts must be achieved and reinforced simultaneously. Ultimately, Nestle’s business value is driven based on the foundational theory that “good food and good life are good business” (“Annual Review 2019”). Nesquik, a sub-brand of Nestle that carries its powered drink line also aims to incorporate goals to develop a brand that also meets the mission statement of the overall business. In order to align its products to provide a “healthier future” for its consumers, Nesquik has created powered drinks that are tasty, healthy and convenient. Unlike powdered drinks offered in the market, Nesquik ensures that all of the products are made with a good source of protein, natural flavoring, and rich with essential vitamins and minerals (“Flavored Milk Powder, Syrup and Drinks”). Joyce Jin SWOT Analysis Chart Strengths (internal analysis) · Only domestic seller of a “to-go” bubble tea in the United States · Nestle (Nesquik) is a well known brand by American & Global consumers · Many existing online and brick & mortar distribution resources · Global connections and facilities Weaknesses (internal analysis) · Lack of a variety of flavoring · Limited toppings compared to other competing brands · May overtake the sales of other Nesquik products · Lack of experience/knowledge in bubble tea related products Opportunities (external analysis) · Different bubble tea products are currently limited in the market · The market of bubble tea is projected to continue to expand rapidly in the next ten years · Wide variety of product innovation in the bubble tea market · Multiple regions in the U.S. that do not have any bubble tea stores · Rising demand for bubble tea Threats (external analysis) · Tapioca may not be suitable for all consumers/different toppings demanded · Health concerns for sugary drinks and tapioca · Competes with retail chain bubble tea stores · Competing with international brands that sell similar products External Analysis With the overall bubble tea market expected to grow to $3.49 billion by 2026, and the rapid changing consumption pattern from coffee/tea to bubble tea, it is a great opportunity to enter the bubble tea market (“Bubble Tea Market: Global Size, Growth Factors, Top Leaders, Opportunities, Emerging Technologies, and Regional Forecast to 2026”). Although there are many existing retail chains for bubble tea within the United States and two products similar to Bobago, a product like Bobago that can be carried anywhere for consumption is still very limited in the market. Thus, it is clear that not only is this a market that has a high potential for growth in the long run. The marketing team believes that it is an excellent opportunity to introduce a new domestic branded bubble tea product into the market (Bobago) to satisfy this limited supply. Many regions within the United States do not have any bubble tea stores which Bobago is hoping to target. Essentially, since the entrance failure of the two Chinese brands of Youlemei and Xiangpiaopiao, Nestle’s Nequik-Bobago will have a great chance to dominate the entire industry as it is the only domestic seller for this “to-go” type of bubble tea product. Although Bobago may eventually become the dominant product within the bubble tea market, there are also several possible threats for this product. First, since this product is only offered in one flavor (black-tea) and with one topping (tapioca), consumers who do not like tapioca as part of their topping for the drink may not purchase the drink. Even though the packaging of the topping and milk tea powder is separated, with only one topping offered, the product may lose a lot of potential consumers who like bubble tea but desire a different type of topping. In addition, there may be a great concern in terms of health issues related to the drink. Consumers may view the drink as being “too sugary” or “too processed” and decide not to buy the drink. Moreover, even though Bobago is created for convenience, for customers who desire the authentic in-store experience and customization of different flavoring may still visit in-store instead of purchasing a convenient product. Or consumers who are wishing for more authentic bubble tea flavoring may also be more likely to buy the product from the two Chinese international competitors Xiangpiaopiao and Youlemei. Although they are not distributed thoroughly in the U.S. market and have minimal market share, this could still be a threat while changing consumers’ consumption behaviors. Internal Analysis Since there are currently no domestic brands that have a “to-go” bubble tea product (or anything similar) in the market, Nestle will have the advantage of being the initial launch with a low barrier of entry. In addition, being a well known and trusted company also has the power in that it may be easier for consumers to try new products with a limited amount of branding. Furthermore, by launching the product under Nestles’ one of most popular instant powdered drinks, Nesquik, fans of Nesquick will also be attracted to try a new flavor added to the product line. Another strength of being a huge multinational corporation is that Nestle already has many connections for distributing products both online and in-store. Meaning that not only will it be easy for the company to distribute the product after its launch, with the well-known brand, but many distributors may also be fighting over to retail the product (possibly cutting costs). Furthermore, as a multinational corporation, if the product does well, the company will also have the opportunity to expand and distribute the product globally. Being global also gives the company the opportunity to source and produce the product at the lowest cost for the most significant economies of scale. However, even though the business can reach locations globally since Nestle in the United States has limited tea-related products (only lemon tea), there may be a lack in the flavoring of tea due to the lack of knowledge in tea. The lack of understanding of tea products and bubble tea products may also result in the absence of development for topping choices that the consumer may demand (as shown in the primary research, some specific individuals do not like tapioca). Lastly, since Bobago is offered as a premium product on the Nesquik product line, the newness and uniqueness of the product may potentially cause the other products on the Nesquik line to show a decrease in demand. PRODUCT OVERVIEW With the rising trend for milk tea with fresh tapioca (boba tea) in the United States, there is a limited supply of boba stores and high pricing that has limited the consumer to get their desired product. Although the crave for the product has been rising substantially in the past few years, no company has stood out to satisfy this demand to allow boba lovers to get their drinks instantly. In fact, there has not been any domestic brands that have stepped into the market of instant boba tea. Thus, as a powered drink brand, Nesquik has launched a new product: Bobago! Bobago is a new product created that will be added to Nestle’s Nesquik brand to satisfy this limited demand. Ultimately, Bobago is an instant powdered milk tea flavor product with tapioca, that is light and convenient allowing the consumer to have a cup of boba anywhere and at any moment they desire. Unlike the other powdered products on the Nesquik line that are not easily portable, the new milk tea product will be an extension version of the “Ready-to-Drink” Nesquik line but carried in a “to-go” cup like the popular instant ramen cup. This not only allows the product to be easily carried and deposed after using it, but the “to-go” cup also allows the consumer to experience the feeling of drinking out of a real boba beverage. Within the cup, there is a pack of milk tea flavor powder, a sugar pack, a straw, and a container of fresh tapioca. To make the drink, the consumer simply has to mix the three ingredients and pour hot water. Since the brand of Nesquik not only aims to be delicious but also more importantly nutritious, the content of Bobago has also been created to match the standards of the other products on the line: essential vitamins & minerals, no artificial sweetener & flavors/colors, flavored with real tea leaves, gluten free, 30% DV (calcium). In consideration of minimizing cost and convenience of the consumer, the sugar level (i.e. 25%, 50%, 75%, 100% sweetness) of the product will not be predetermined, rather the consumer can adjust it to their personal liking with the sugar pack in the product. POSITIONING STATEMENT & OBJECTIVES You should provide a positioning statement for your product. Use the format below: For (target market), the (product name) is the one (type of product) that (key customer benefit) unlike (competitors and differentiators). For the sophisticated college student who is always on the