Professional Documents
Culture Documents
Coca-Cola is the giant of the beverage industry worldwide. The Coca Cola
Company was started in 1886 and since then has been worlds largest soft drink
concentrates company. Coca-cola is market leader in beverages market since its
launch. Today coca cola is active in over 200 countries including India and
Australia. The Coca-Cola Company engages in the manufacture, distribution, and
marketing of nonalcoholic beverage concentrates and syrups worldwide. The
Coca-Cola Company produces concentrate syrup which is then sold to various
bottlers throughout the world who hold a Coca-Cola franchise or Coca-Cola
bottlers, who hold territorially exclusive contracts with the company.
Coca Cola has a subsidiary in India as Coca Cola India Ltd and has an iconic
status in the minds of the consumers in India just like it has in other parts of the
world. Coca-Cola serves in India some of the most recalled brands across the
world including names such as Coca-Cola, Diet Coke, Sprite, Fanta, Thumps Up,
Limca, Maaza and Kinley (packaged drinking water).
In Australia, Coca-Cola Amatil (CCL) is a participant in the beverage industry and
is the principal Coca-Cola licensee in Australia, Oceania, and Indonesia. The
company is responsible for the manufacturing, marketing and distribution of Coca-
Cola and related brands throughout these regions.
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2 SITUATION ANALYSIS
The Australian market has already started changing as consumers are shifting
toward healthier drinks. According to Euromonitor the market share of three major
products; carbonates, vegetable juices/ fruit juice and concentrate will decline in
future and come under 75% volume share. [ref:
http://www.euromonitor.com/Soft_drinks_in_Australia]
The total fruit juices and health drinks market has grown strongly over the past 5
years, in terms of both value and volume. In 2006, the total market was worth an
estimated 2.77bn at retail selling prices (rsp), having grown by 30.7% since 2002.
In 2006, fruit juices, health drinks and fruit drinks accounted for 40.6% of the total
soft drinks market in terms of volume sales. Fruit juices and health drinks have
benefited from their healthy image, particularly in comparison with other, less
healthy, drinks, such as carbonates.
The Fruit juice sector has gained market share over the past 5 years, as consumers
switch away from alternative soft drinks towards the healthier products.
The fruit drinks market of Australia is continuously growing so; the prospects of
market is very good. The changing trends of people towards healthier drinks will
help us to gain the market share.
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2.3 Organisational Resources and Capabilities
The strengths and weaknesses will be internal to Coca-cola and the opportunities
and threats will be external to Coca-Cola. The strengths, weaknesses, opportunities
and threats of Coca-Cola Company are as follows;
Strengths
Consumer loyalty
Weaknesses
High sugar and caffeine content
Some large retailers have exclusive contracts with Pepsi and don't stock Coke i.e.
KFC
Opportunities
Threats
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New cheaper brands of cola i.e. Virgin Cola
3 MARKETING STRATEGY
We will launch Maaza in to the Australian market by exporting the finish products
from India. The Coca Cola Amatil Pvt. Ltd. will be responsible for the promotion
and distribution of the Brand Maaza. We would use Coca Cola amatil warehouse
to store our product. Coca Cola Amatil has mother warehouse in Sydney and other
in Melbourne, Brisbane, Geelong etc.
We will have an initial contract of 3 years for promotion and distribution with the
Coca cola Amatil Pvt Ltd who owns 7 bottling plants in Australia and has a strong
distribution and retail network throughout Australia. So, we can use their experts
and skills in order to penetrate in to the market.
Under the Contract Coca Cola Amatil will be paid by fixed fee for three years and
a 4% share in profit if any
SEGMENTATION
We have segmented our market in to two major segmentations. They are
Geographically and Psychographic
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Psychographic: Maaza will cater the whole population of Australian market
belongs to any age, profession, life style and attitude.
TARGET MARKET
Target three major cities. They are Sydney, Melbourne, and Brisbane.
Target schools and Universities students
Maaza will be targeted at fruit drink consumers as a new fruit drink which is not
available in the market
Target health conscious consumers who prefer to have healthier products like fruit
juices, fruit drinks, energy drink, etc.
POSITIONING
Maaza will be made of Indian Mangoes which are very famous in the world.
Coca Cola as a Parental company will have some Psychological effect on
consumer which force consumers to taste Maaza at least one.
Maaza has planned to position itself as a healthy drink which could be used as a
median drink between carbonated drinks and fruit juices.
Brand Name: Today Coca Cola is a very huge brand in nonalcoholic beverages,
operating in more than 200 countries and owes more than 400 brands. Although,
Coca Cola is active in the world market for more than 100 years and it has
expertise in marketing, distribution and promotion. So, it is an added advantage
with brand Maaza.
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Cost Factors: We will keep our products cost competitive as compared to others
Fruit juices brand. So that fruit juice consumers prefer to try our brand due to its
low cost.
Changing Trends: Nowadays, more and more consumers are getting health
conscious which is by the fact that the fruit juices and drinks market of Australia is
continuously increasing. According to DATA monitor report, the market share own
by fruit juices and drinks were 19% in 2006 which is currently at 23%.
So, our product would be having an advantage of being a non-carbonated fruit
drink.
4 Marketing Objectives:
Our main objectives with respect to launch of Maaza in Australia are as follows:
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To penetrate the market and achieve a market share of 5% by the end of 2 nd year
and of 7% by end of 3rd year.
Achieve profit by 3rd year and breakeven by end of 2nd year of the launch of
Maaza.
We like to launch Maaza into the Australian market by associating it with some
Celebrity. May be sports person or Film personality
If the Response of the consumer will be good, then we will expand our market to
the whole Australia.
Once we cross breakeven and run into profits, we will share part of our profits
with a cause associated with saving environment
Product
As far as the product is concern few things of the product will be standardized and
other would be adapted according to the Australian standards.
Company will not change the core value of the product like Quality and Taste of
Maaza.
Company plans to launch the product in three different size i.e 250 ml, 500 ml and
1 litre.
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Product will come in two different packaging, which will be in Tetra packs and
Plastic bottle in all three sizes. Steel cans will be introduced after 6 months in
order to maintain the curiosity of the consumers.
Pricing
Existing market of soft drinks is very competitive and also there is small
percentage of Fruit drinks consumers. So, in order to increase the percentage of
fruit drink consumer and to penetrate in to the market, company planned to come
up with low cost leadership strategy which often proof effective in gaining market
share in short period of time.
The Low cost leadership strategy will force consumers to taste/try our product
without any second thought.
PLASTIC BOTTLE
Size Price
250ml $ 2.25
500ml $ 3.45
1 litre $ 6.10
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TETRA PACK
Size Price
250ml $ 2.35
500ml $ 3.55
1 litre $ 6.20
Distribution
Promotion
Marketing plan starts with the free sampling in every CBD area of city, trail by an
icebreaker, children competition, fun games for elders and other stuff. The main
purpose is to conduct an activity for whole family.
1. Company will associate Michael Clark with the product Maaza by taking Michael
Clark in Ad films, posters etc.
2. Michael Clark posters will be used on Billboards, magazines and Newspaper ads.
3. Company will use electronic billboards (JCDecaux) at major train stations and
areas.
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Hoarding
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Celebrities Endorsements
Personal selling: professional sales team will contact 5 star hotels, fast food shops,
restaurants and other multinational franchises e.g. Mac Donalds, Nandos, KFC
etc
Direct marketing: Company will use direct marketing like mails, e mails, internet
ads, and telemarketing at initial stage to aware consumers about the product.
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Points of Purchase: Sales and marketing team will take care of shelves of shops to
make sure that product should be in front position. Moreover, Company will make
sure the availability of the product in the vending machine at major stations,
school canteen, universities.
The company will launch a Maazas official website especially for the Australian
region.
5 BUDGET
Given below are the allocated budgets for each item along with date of
completion.
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Distribution cost 29th Nov, $ 20,000
2008
Website builiding 05 Dec, $ 70,000
2008
Paid search engine 05,Dec, $ 50,000
advertisement to 2008
increase exposure
Advertising Cost 10 Dec, $
(includes Magazines, 2008 310,000
Newspapers etc.)
Other Sales 10 Dec, $ 90,000
promotion activities 2008
Transportation Cost 20 Dec, $
2008 100,000
Product Launch 25th Dec, $
2008 400,000
TOTAL $
16,90,00
0
6 IMPLEMENTATION
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With the help of Coca Cola Amatil, a Mother warehouse would be set up in
Sydney. We will be using Coca Cola Amatils warehouse managers expertise in
setting up our mother warehouse and other warehouses in other parts of Australia.
This should be done by 15th nov2008. We will be giving a buffer time of 5 days
and expect all warehouses to be set up by 25th Nov 2008
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Production and exporting to the mother 20th Dec
warehouse 2008
Sending of products from mother 23rd Dec
warehouses to other warehouses 2008
25th Dec
Product launch in the market place 2008
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LITERATURE REVIEW
Growing globalization in recent decades has been responsible for the emergence of a new
stream of research focusing on international marketing. The purpose of this paper is to report
the findings of a study that assesses the contribution of leading mainstream marketing journals
to the international marketing discipline. The scope of research provided a balanced coverage of
country settings, methodological aspects, sample sizes, response rates and analytical
methods improved over time with issues pertaining to the macro-environment, marketing mix
and buyer behaviour attracting heightened attention.
The recent explosion of international business activity on the World Wide Web will have a
profound impact on the practice of international marketing. The Internet-enabled international
marketing, provides a low cost gateway to global markets for small and medium-sized
enterprises.
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E-marketing is growing at a dramatic pace and is significantly impacting customer and business
market behaviours. Most firms have started developing e-marketing strategies for the Web. The
paper proposes that the evolution of e-marketing strategies is based on the countrys
infrastructure and marketing institutional development.
The author investigates the influence of various factors on international marketing namely,
collaboration with foreign counterparts, autonomy and international experience. Low and high
levels of international experience positively influence project creativity, whereas
moderate international experience negatively influences project creativity.
In the light of the growing importance of policy for international marketing practice, a case is
made for an increase in policy oriented international marketing work in academia by presenting
some key policy issues and developing international marketing research dimensions associated
with these issues.
International schools are a growing class of educational institution. It has been suggested that
few schools of this type have a marketing plan while research into development planning
showed that few had a long-range plan.
International marketing has performed extremely well during the second-half of the twentieth
century. This paper examines the outstanding performance from different perspectives and
evaluates the future of international marketing in the age of globalization.
The authors found that often focus on export and global marketing, with consumer behaviour
and branding being the fastest growing concerns. a mature and leading journal in the field
of international business, International Marketing Review IMRs frequent contributors consist
of world renowned experts in international marketing and business and the authors of IMR use
a wide variety of data collection and analysis methods.
The paper examines how ethics in international marketing have evolved and progressed towards
the current ethics era and presents discussion surrounding the role and value of an ethical
approach towards marketing in a global marketplace. Essentially the paper argues that
marketers should creatively embrace the complex challenges of the international marketplace by
rethinking their approach to marketing ethics.
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OBJECTIVES OF THE STUDY
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RESEARCH METHODOLOGY
PRIMARY RESEARCH:
The primary study is done with reference to Avalon Global Research.
SECONDARY DATA:
The secondary study is done through internet, newspapers and websites of coca cola
amatil.
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CONCLUSION
Based on our study, following conclusions were made. Growing globalization is the basic
reason for emergence of international marketing. The international marketing of a company
depends on the marketing capabilities and international commitment of the company. The cost
effective internet based international marketing is the recent trend. All firms are developing E
marketing strategies. International marketing experience influences project creativity. Some key
policies have been made by experts specifically to put into practice in international marketing.
Even international schools have also started to adopt this strategy. The excellent performance of
the international marketing during the second half of the twentieth century tells us about its
potential in future. International Marketing Review is a leading journal in the field of
international business. Marketing ethics has to be part and parcel of the international marketing.
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REFRENCES
http://www.investsmart.com.au/shares/asx/Coca-Cola-Amatil-CCL.asp
http://www.coca-colaindia.com/mazza/default.asp
http://www.datamonitor.com/industries/research/?pid=DBCM2096.
http://www.researchandmarkets.com/index.asp.
http://www.euromonitor.com/Soft_drinks_in_Australia
http://www.fratfiles.com/essays
http://www.coca-colaindia.com/media
http://www.fratfiles.com/essays
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http://www.coca-colaindia.com/media
http://www.investsmart.com.au/shares/asx/Coca-Cola-Amatil-CCL.asp
http://www.researchandmarkets.com/index.asp
http://www.coca-colaindia.com/mazza/default.asp
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