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10 STEPMarketing Plan for Absolute
Distilled Drinking Water
Maan GabuyaNovember 2012
Disclaimer
This 10 Step Marketing Plan is part of the mandatory requirements of Prof. De Ungria’s marketing management class.
The data included in this report are based on publicly available data such as those on internet websites, news, package declarations, public reports.
When appropriate, data are “masked” so as not to create unexpected conflicts.
The reports are posted and linked on slideshare, blogs and facebook so that there is easier sharing among students from different marketing classes.
Steps 1 to 5Absolutely pure.
Absolute Distilled Drinking Water PTM are children
Who needs clean, safe, and pure water
They can choose Wilkins and Nature Spring
The gap is to provide high quality distilled drinking water at a cheaper price
36% of sales (volume share)
Steps 6 to 10Absolutely pure.
Absolute distilled drinking water comes in 9 variants (350 ml, 500 ml, 1 L, 1.5 L, 2 L, 4 L, 5 L, 6 L, and 5 gal)
Absolute distilled drinking water is priced at approximately 3-5% depending on the variant
Uses TV, events and experience Distributed nationwide Absolute uses differentiation and is a low-
cost producer which makes it the market leader
1. Absolute Primary Target Market (PTM) are children
Children 10 years old and below Playing and studying Drink 8-10 glasses of water
2.a PTM needs a safe drinking water for their young and stabilizing body
2.B Children have their own needs, wants, and demands
Children need to drink/take water in order to survive
Mothers prefer Absolute over other brands because of its high quality distillation process; National Sanitation Foundation International Certified; International Bottled Water Association member
Children demands safe, clean, and absolutely pure drinking water for their young and sensitive bodies
3.a Absolute competitors
Direct: Wilkins Distilled Water (San Miguel Corp.) and Nature Spring Distilled Water (Philippine Spring Water Resources Inc.)
Indirect: Mineral Water, Purified Water
Variables: Age, Price, specific use, availability
Absolute Pure Distilled Drinking Water is the market leader
Price/Age 0-10
High Price
Medium Price
Low Price
Absolute
Wilkins
NS
Benefit Position vs. Brand Matrix
Functional Benefit
Wilkins Absolute Nature Spring
Safe Y Y Y
Clean Y Y Y
All distilled water brands provide the same functional benefits
4. Absolute’s competitive pricing and excellent placement of product helps them saturate the market well Absolute Pure Distilled Drinking
Water is the only locally manufactured bottled water that has been certified by the National Sanitation Foundation International
http://asiabrewery.com/our-brands/non-alcoholic-beverages/absolute/
ABI has remained to be ahead of its competitors because of its lower-pricing strategy
http://www.euromonitor.com/bottled-water-in-the-philippines/report
5.a Absolute market size based on market shares
The company’s off-trade value sales in 2011 totalled Php 30 billion, accounting for a value share of 34%
http://www.euromonitor.com/bottled-water-in-the-philippines/report
34% * MarketSize = Php 30 B
MarketSize = Php 88.23 B
5.b Absolute market size based on individual consumption
Recommended water intake : 8-10 glasses of water or 2.5 L per day;
Based on 10-glasses 1 glass = 250 ml ** 250 ml * 8 = 2 liters ** 250 ml * 2 = 500 ml
4 L = Php 45; Approx. Php 35 per day for 2.5 L95 Million – Filipino population
Market Size = 95M * Php 35Market Size = Php 3,325,000,000
** http://wiki.answers.com/Q/One_glass_of_water_equals_how_many_ml
6. Absolute, Wilkins, and Nature Spring
6.b Absolute product description
All Absolute bottles are labeled with Absolute’s logo and brand color green
Absolute’s bottle cap is color green
6. Absolute product description
Its high quality distillation process makes it the first and currently the only bottled water brand manufactured in the Philippines to be certified by the National Sanitation Foundation International, one of the world’s most trusted certification organizations. It is also a member of the International Bottled Water Association that ensures compliance among bottled water makers around the world.
http://asiabrewery.com/our-brands/non-alcoholic-beverages/absolute/
7. Absolute pricing
Price Absolute Wilkins
350 ml Php 15
500 ml Php 20
4.0 L Php 45 Php 56
5.0 L
6.0 L Php 60 Php 72
5 gal Php 130 Php 150
8.a Absolute promotion
8.b Absolute Advertisements
8.c Absolute events
8.d Absolute PR
Absolute sponsors bottled waters in senate hearings and other events
8.e Competitors’ Communication Strategies
Advertisements
9.a Absolute place and distribution
Major supermarkets, mini-marts, groceries, convenience stores, drug stores
Available nationwide Method of delivery:
For 5-gal variants – home delivery through phone orders
For bulk order of other variants (minimum order reached) – delivery
Others – pick-up by customers Cash and credit transaction
9.b Absolute place and distribution challenges
5-gal variant is not available in supermarkets. Orders are received through delivery from distributors.
Not all areas have a 5-gal distributor yet
10. Absolute winning strategy
Low Cost Producer Competitive pricing – Absolute is able to
do this because they manufacture their own product and bottles
Excellent quality of product and packaging Differentiation – Absolute uses high
grade of plastic in their bottles
Photo and Information Credits http://asiabrewery.com/ http://www.facebook.com/absolutedistilled?filter=1 http://en.wikipedia.org/wiki/Asia_Brewery http://
www.euromonitor.com/bottled-water-in-the-philippines/report http://en.wikipedia.org/wiki/Maslow%27s_hierarchy_of_needs http://
timotraveling.blogspot.com/2012/10/foods-to-avoid-in-philippines-drinks-to.html
http://www.ph.all.biz/natures-spring-distilled-drinking-water-g9319 http://www.facebook.com/photo.php?fbid=455645664450693&set
=pb.325696654112262.-2207520000.1352295935&type=3&theater
http://www.totteringmama.com/2012/05/absolute-pure-distilled-drinking-water-awards-5-absolutely-inspiring-moms-for-others.html
http://www.batangastoday.com/prosecutor-vitaliano-aguirre-covers-ears-during-senator-miriam-defensor-santiago-speech-video/20891/
http://www.youtube.com/watch?v=qFAPcXgOOHs
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