6/13/2012MBA G SectionASSIGNMENTRC OLA FAILURE & RE-LUNCHING RC-CSubmitted To: | Mr. Arslan SarwarDedicate To Our Parents2GROUP MEMBERSM Waqas Afzal Gohar Ejaz Usman Nadeem Bilal Ahmed Shoaib Arshad Butt11014220-019 0 11014220-027 0 11014220-018 0 11014220-033 0 11014220-1263Table of ContentsDetails Page #Cola RC-Cola failure in Pakistan Product Product Price Place Promotion Promotion5 6 7 8 8 9 10 11 12 13 13 14 14 15 16SWOT analysis Current market situation .. Threats and opportng Controlling Conclusion . .. 4RC-Cola failure in PakistanCola RC-Cola was very famous drink in Pakistan. They have same popularity like Pepsi and Coke today. RC-Cola was being sued by different organization internationally so it's lowered Cola investment and stopped its production in Pakistan RC Cola in not currently open in Pakistan if RC-Cola they want back in production in Pakistan they must face strong competitors like Pepsi and Coke because all the market targeted by these in Pakistan. (See images below)Reasons for failure of RC-Cola: Cola: Internationally Sued Competitors Minimal advertisement Low investment5Marketing MixRC-COLA. A marketing mix will be applied on RCProduct:Cola RC-Cola has launched 8 flavors till date which are. 1. RC Cola (Regular) 2. RC Cola Diet 3. RC Cola cherry 4. RC Edge Cola 5. Rite Cola 6. RCQ 7. Royal crown draft Cola 8. Kick RC-COLA has a unique crisp and taste and it consist it flavor it's no matter where you buy it. COLA Some modification will be done with the shape of the bottle like Pepsi they recently changed their bottle shape; RC-COLA must do this thing and changed their logo as well. They will COLA change the shape of the regular size bottle because more customers want it. The product line NOT TOO NAROW, NOR TOO BORED, they will launch just two to three like RC RC-COLA, RC-DIET, and RC-SUNDROP.Logo:When we revive RC-Cola into the market we must change logo. We will create attractive Cola logo instead of bold and old logo.6Packaging:RC-Cola packaging is slim and simple, not too much curves. When we revive, we will Cola change the shape of the bottle like Pepsi and Coke recently did.Labeling:The caps are simply printed and so on with the bottle. There are no plastic label and boxed label, they are just put simple. The ingredients are printed on the cap. We will make RC RCCola cap trendy design with logo on it.7Price:Cola RC-Cola should keep in mind while launching products its pricing strategy. Price should not too low nor to high. Price should be according to the target market. Price should be according to the demand of the product. Price should be that which gives company in profit.Incentive to retailer in shape of; Freezers Fridges Hotel launch Return ticketsPlace:ManufacturerwholsalersRetailersshopkeepersCustomerRC-Cola will use push strategy for their product by using different promotional tools. They Cola should provide allowances to their retailer and try to minimize the channel like manufacturer to direct retailer and then to the shopkeepers and finally to the customers. They will divide area on zone basis, and easily supply to that areas. We will place our products on those places where's customer easily see it or easily pick it up.8Promotion:Cola RC-Cola will use some promotional mix tactics to advertise their product. Advertisement Outdoor Sales promotion Discount Allowance Direct marketing Mails Online SponsorshipAdvertisement: Bill boardsTransport9Electronic advertisement TV RadioHOURS And must use PEAK-HOURS for ads on electronic media. Online Face book Yahoo Other sites which are mostly used by peoples.Sponsorship:Cola RC-Cola will sponsor Cricket, Football, and on other extracurricular activities.10SWOT Analysis in PakistanStrength: Brand image Unique tasteWeakness: Less budget for advertisement dvertisement Less capital International Law suits Market shareOpportunity: Expansion in new market More festivals Build a brand equityThreat: Tax rate increase rapidly Competitors like Pepsi and Coke Economy not stabiles New technology People changing trends11Marketing planCurrent market situation:In current market situation we now about the changes that market adopted. And also eye on our competitor, what they did or do. We know about the market through different changes that we implement on our product.Product changes:We adopt new trend into the market and change the shape of the bottle. We also change our logo that was too old; we make it trendy and bold. We lunch different packaging and change their label as well.Customer changes:Peoples now these days are being status conscious. They prefer Colas instead of traditional Colas like Rohafza and Jam-e-sheren. They celebrate their happiness at hotel or at caf and use Colas.Environment changes:We will adopt fair trade and pay a fair wage to those workers who make it. From the beginning to the lunching every person should be pay for their work.Distribution changes:We minimize the wholesaler effect and directly distribute to retailer. This effect minimizes the cost in shape of commission. We directly approach the retailer and on weekly basis we check the demand and supply of the Cola.Threats & opportunities:We analyze threats and opportunities through five forces.12Economic forces:Economy is threat for us because Pakistan's GDP rate is low. And here the inflation rate is high. Economy is not suitable because currency value day by day decreasing. Instead of all we have a little bit opportunity because peoples spend their money for buying Cola.Political forces:We have opportunity because the infrastructure of Pakistan now days are better than pervious. And government completes their tenure.Social forces:People use Cold drinks in functions and parties instead of traditional drinks. It's because of peoples now days are status conscious. And also on summer people use cold drinks. So we have opportunity in shape of social forces.Technological forces:Technology is changing day by day due to the competition and globalization. It's threats for us because two big competitors Pepsi and coke used high technology for their production. So we import high technological machinery from abroad.Competitive forces:We have eye on competitors and target those areas where peoples use Cold drinks more than other like shopping center, caf, bus stop etc. we have eye on competitors both, Direct and indirect e.g. Pepsi, coke, Gorment, Big apple etc.Objective & issue:Our object is re lunch RC-Cola in Pakistan and issue is that, either government grant licenses to revive or not. Because RC-Cola is closed in Pakistan and one reason is that internationally suit against RC-Cola.13Action program:After all now we lunch RC-Cola into the market. We implement all strategy that we have make for lunching. We make our product trendy, we advertise well, we distribute it to the retailer and after two to three days we check the demand and the supply of our product. And implement all those strategies that have made.Budgeting: Percentage to sales ____________ sales promotion.10% of the sales On the basis of competitorsBudgeting plan for 3 months for Lahore, Gujranwala, and Gujrat. As the competitors have a strongly penetrated into the market and less familiar with the promotion techniques. So company has to fix the certain amount for that purpose from our capital.Particulars Television Newspaper Magazines Outdoor TotalCost Rs. 9,00,000 Rs. 3,05,000 Rs.1,00,000 Rs.17,00,000 30,05,00014Controlling:At the end we collect questioners from people that how they must satisfy about RC RC-Cola. We will see that how much effectively we will do and controlling RC-Cola. We divide area at Cola. different zones and point head at each zone. At weekly basis we will check the demand and the supply of RC-Cola into the market. We collect data from market on daily basis that what changes Cola market adopted or will be adopt in future. We use celebrities for advertisement purpose. We give different packages at different festivals like EID, RAMADAN. We give incentives to those retailers who make more sale than other or more than our target. We use high technological machinery for production, labeling, packaging. We have eye on our competitors what they did. achinery They increase their prices or decrease. We provide freezers to shopkeeper and place our product very well manners where's customer easily see or approach to the pro product.15ConclusionAccording to us, we conclude that RC Cola failed in Pakistan because of its poor advertisement RC-Cola and internationally sued against him. In Pakistan peoples really liked RC gainst RC-Cola, but a lot of time , ago. It may be because that time no other cola in Pakistan like Pepsi, coke, and others. When other Colas came they advertised well and captured the awareness of the peoples. If they want to rise back in action, so it is possible for them through proper advertisement and the outlook of the advertisement product. It will happen when they use trendy style logo, bottle, caps, and other thing relating to things the product. And advertise at right time at right place where they really need it.16