Marketing for a New Coca Cola Drink

7/30/2019 Marketing for a New Coca Cola Drink

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Marketing for a New Coca Cola Drink

The Coca Cola Company requires ideas on the development of a new fizzyCoca Cola Drink. It must utilise the flavours and styles of existing

Coca Cola Fizzy Drinks, but capture a currently untapped orunfulfilled market segment.

You need to consider the current market, find a suitable segment anddevelop amarketingstrategy for your idea.

Market research -Identify the most appropriate sources of primary and secondary dataand consider which will provide you with the most effectiveinformation.Collect secondary data on the market including demographics, trends,segments and competitors. Refer to the usefulness of marketinginformation databases for this process.Use primary sources of information (such as a survey using aquestionnaire) to help you come to a decision about your product.Explain why you chose to use a particular method.Consider the validity of the information you have gathered.Summarise your findings clearly.

Marketing models -Product Life CycleBostonMatrixAnsoff's Matrix

Using these models, assess TheCoca ColaCompanies current portfolioand consider a range of alternatives for the development of productlines and markets.

SWOT and PESTAnalysis -Assess The Coca Cola Company through the use of a SWOT analysis andcomment on the results of your findings.Undertake a PEST analysis in order to gain an understanding of theexternal environment in which The Coca Cola Company is operating.Explain how these relate to the development of your strategy.

Marketing Mix -Your findings should now enable you to develop a detailed marketingmix for your chosen product.What is the product (including packaging)?What is the pricing strategy and are there alternatives?Where is the place it will be sold (including distribution)?What promotional mix will you use?

Evaluation -Briefly summarise your strategy and identify some of the potentialproblems that may occur if your idea was put into action.

Presentation -
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Present one aspect of your marketing plan to an informed audience.

Introduction:

The Coca Cola Company has employed me to devise a new fizzy Coca Cola

drinkthat will fulfil an untapped area of the drinks market. I planto devise a questionnaire to ask members of the public which flavoursthey 'hope' that The Coca Cola Company will introduce in its famous'Coca Cola' drinks range. I will then analyse the findings and produceseveral charts and graphs to show the flavour that the public want tosee available on the market.

Ownership:

The Coca Cola Company is a limited company. It has the opportunity tobecome larger than the other forms of private business organisation.It is allowed to raise capital through the medium of the StockExchange, which quotes their share prices, and this creates a fullnessof financial possibilities. The initials "PLC" (or plc) appear afterthe name of the public limited company. Only two people are needed toform a public limited company and there is no stated maximum ofshareholders. In The Coca Cola Company's case it is owned by manyshareowners, some of whom are members of staff.

The Coca Cola Company's business advantage is:

Shareholders have limited liability, so it means that theshareowners lose what they put in the business and they receive annual

dividends.

It is easier to raise finance from banks, because The Coca ColaCompany has many assets, which means banks are insured their moneyback or The Coca Cola Company's assets instead of the money.

Since it has many assets, it is possible to operate on large scale,which means more production and promotion for the product. This leadsto The Coca Cola Company's objective to grow the business and also tooperate in a wide range of markets. This leads The Coca Cola Companyto have a high income, which is a success to The Coca Cola Company's

objective, which is Mainly to maximise profits.

Suppliers feel more confident about trading with legally establishedbodies

There are tax advantages associated with giving shares to employees

The disadvantages are:

Since The Coca Cola Company is a plc, its affairs are public; e.g.,accounts and annual returns must be audited. This gives opportunities

to competitors to get information about The Coca Cola Company. Forexample if Coca Cola makes a loss, competitors will know about it and
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use it to their advantage and potential investors will query onwhether they should invest I the company.

The Coca Cola Company is a large business it has many differentdepartments for different jobs, all these departments have to work

together. Information passes between departments can be confusing.

The Coca Cola Company has many assets, which contain many capitals,which are very costly to use.

Since The Coca Cola Company is a large business, formatting andrunning, its costs can be expensive.

Since The Coca Cola Company is a plc, Heavy penalties are imposed if"rules" are broken.

Objectives:

Public limited companies like The Coca Cola Company will haveobjectives such as:

Maximise profit.

To be the number one product in a given market.

To maximise sales.

To expand.

To operate in a wide range of markets.

To give satisfaction to customers.

Have a good reputation.

To provide the freedom for workers to express themselves and suggestideas to help the business.

Achieve best possible financial return on capital.

Boost or maintain share market values.

These objectives will ensure The Coca Cola Company's success as abusiness. From the statistics I have, it shows that The Coca ColaCompany is a very successful business.

Statistics Of The Coca Cola Company:

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The above graph shows the statistics of The Coca Cola Company's lastten years.


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[IMAGE]

The above graph shows the statistics of The Coca Cola Company's duringthe past twelve months.

Functional areas:

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Every public limited company has organisational functions these arethe main activities of the following areas at the Coca Cola Company,which allow it to exist and become a successful business.

The factors of production:

LAND- buildings (site where the business is located).

LABOUR- managers, workers (any jobs roles that need to be filled).

CAPITAL- equipment, machinery needed.

ENTERPRISE- the willingness to take risks to earn a profit.

Finance:

[IMAGE]

The finance department is in charge of and deals with money. TheFinance department keeps records of all financial documents thisinvolves reporting and recording expenses spent and profit made, assetvalue and cash flow (money that goes in and out of the business).Since The Coca Cola Company is a limited company the financedepartment must, each year, file with Register of Companies a set ofaudited accounts. These will include a director's report, auditor'sreport, profit and loss account, balance sheet, source and applicationof funds and an explanation of these accounts. It is also necessary tofile an annual return giving details of the directors, shareholdersand other information required by law. All this information will be

kept on file at Companies House and is opened to inspection by memberspublic.

This department is in charge of giving budgets to other departments(by doing this it makes sure that the business reaches break even andno less in really bad circumstances). This is also, so that the otherdepartments keep to their main objective and responsibilities and donot waste money.

Managers see these targets and compare them with other past targets tofind how successful the business is. The targets help the finance

department to make plans for the future that will help the business toachieve its objectives. For an example the finance department gives


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research and development, a budget of 50,000. The research anddevelopment department will use this money within one financial yearand not over-drawing (not taking more money). But under circumstancesif research and development department required more money to developa new drinks, the finance department will analyse research and

development's plans for producing a new drinks and if they think itwill be successful finance will give the money needed. Through thisthe departments would have achieved their objectives (e.g. making aprofit, good reputation, achieve best possible financial return oncapital). They way that The Coca Cola Company deals with exchanging ofmoney is by S.A.P, which is an electronic payment system. For exampleif Tesco purchases a quantity of Drinks from The Coca Cola Company.The Coca Cola Company can bill Tesco straight away. This process istime efficient and is a straightforward process.

Production:

The production department produces the products; any activitiesassociated with production are wealth creation. A simple example ofwealth creation would be the production of a drinks. The differencebetween all of the costs of the production and the price of thefinished drinks represents the wealth that has been created. Thecontribution of all those involved in its development have added valueto this process and helped to create that wealth.

In production there has to be an input, which is transformed to anoutput. The transformation is taken through by processes, these addvalue to the output such as materials and Labour so that the finished

product can meet customer needs. The output could either be a serviceor a product. The business will need to have a system to ensure thatthe production process and the product itself are of constant highquality production.

This is diagram shows a flow of production:

Stage 1- Stage 2- Stage 3

[IMAGE]

Machine A's

Machine B's

Machine C's/People

Before production takes place, a brief is done, to find out what toproduce. Then it is backed up by primary and secondary research. ThenMarketing department basically takes place, "what product should be"produced", for what "price", where to locate it "place" and how to"promote it", This will help The Coca Cola Company to achieve their

objective to give satisfaction to customers through selling them acertain product for certain price, will also help them operate in a


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wide range of markets.

Marketing:

The charted institute of marketing defines marketing as:

"The management process responsible for identifying anticipating andsatisfying customer requirements profitably."

The marketing department is responsible for:

1. Carrying out MARKET RESEARCH.

2. Developing the right MARKET MIX.

Businesses (The Coca Cola Company) carrying out market research toidentify customers needs. This can be done by:

1. Primary research: asking customers ( new research).

2. Secondary research: using existing information.

The marketing department is also responsible for developing thebusinesses,

Marketing Mix. This means that they must get the right:

PRODUCTS - what features does the product have that make it suitable

for the target market? The Coca Cola Company adds its logo to thepackage, and adds a certain quality to the drinks, this bringssatisfaction to the customers.

PRICE - should the products be priced higher or lower than those ofcompetitors? In local areas, most corner shops sell The Coca ColaCompany's drinks at the same price as competitor.

PLACE - where will customers want to buy the products? The Coca ColaCompany sells its products to shops (business) that deal withbeverages e.g. corners shops, super stores (Iceland, Sainsbury, Tesco,

Asda, Safeway), petrol stations etc. these business are usuallyvisited by customers on a daily basis.

PROMOTION - where should the products be advertised, to suit theneeds of the business's target market? The Coca Cola Companyadvertises its products on television, Internet, billposter,sponsoring a well-known peron and by hanging posters.

This would help The Coca Cola Company to achieve ones of itsobjectives, which is "to be the Number one product in a given market".By achieving this objective it would lead them to achieve the other

objective, such as "maximising profit", etc.


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Research and development:

The research and development department is the department thatresearches new products and develops the old products. To remainsuccessful, business must constantly work to create new and better

products and processes.

Research- this involves carrying out investigation to come up with newidea, e.g. by carrying out brainstorming, examining competitorsproducts or carrying out research in laboratory.

Development- this involves turning the findings of the research intouseful products or processes.

[IMAGE]If The Coca Cola Company had a mishap with a drink, the research anddevelopment department would try to correct the mishap. The researchand development department must work closely with the marketing andproduction departments in particular this is because marketing andproduction are the beginning and end of producing a product.

As you can see from the table above this is the life cycle of theproduct while being produced.

The INPUT would be from the Marketing department.

The PROCESS would be from the production department.

The OUTPUT would be the product or waste.

Therefore because there is a mishap from the output, this has to bedue to a fault in the input (The marketing department) or the process(the production department) and must be corrected.

Culture:

The Coca Cola Company is a mixture of Cultures such as:

ROLE CULTURE is doing a job that is very important to the

organisation, it is having power over a group. This job is an internaljob of the organisation it is controlled by having procedures andrules that member of staff should not break or they will lose theirposition in the organisation. Relating this to The Coca Cola Company,marketing directors, who are in charge of market research for newproduct such as a drinks, this information (research) has to beconfidential.

POWER CULTUREis a business being dominated by an individual. Themanagement director dominates The Coca Cola Company, (refer to theorganisational structure).

TASK CULTURE focus on getting the job done. Groups or teams within


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this cultural are not fixed but are made up of individuals broughttogether to achieve a specific task. The Coca Cola Company productiondepartment has a task culture. It works as a team to package thedrinks. Packaging the drinks is done as a team. A member of theproduction team packages the drinks and then the drinks is passed by

machinery to another member of the production team who packages thefinished drinks in boxes. These boxes are then stacked in manycounters on a machine. These stacks are the wrapped with cellophane,so boxes don't fall off. Finally these stacks are taken by anothermember of the production team using machinery to the storage.

PERSON CULTURE places the emphasis on the individual rather than theorganisation and its objectives. For example if any member of staffhas any suggestions for improvement, their suggestions are taken toaccount and if successful they will be used.

The Coca Cola Company's Culture arises from the traditions, beliefsand values. This is how The Coca Cola Company's adopted thepaternalistic management. The cultural values are very strong and canimpose important constraints on the business activity. For example,The Coca Cola Company finds, it would be unwise to try to sellproducts that are seen to insult religions or people, and it would befoolish to try to make people adopt working practices that aredisapproved of by the cultural grouping. The reason why The Coca ColaCompany is successful is because it makes best use of itsopportunities, which therefore allows decision making understood.

The Research:

As I am employed by The Coca Cola Company to find and implememt adrink that the public want and will buy, I must firstly conduct Marketresearch to specify what the consumers wants and needs. I tend to dothis by asking a series of questions to the general public, howeverdue to the lack of time in which this drink has to be launched I haveto significantly reduce the time spent on this, usually this processtakes months to achieve a satisfied result and many 100's ofquestionnaires distributed nation-wide across the United Kingdom usinga varied cross-section of the public. This can be very costly and timeconsuming for the Company.

In my Questionnaire I asked the following questions -

1. Are familiar with the drink Coca Cola? I asked this to determinethe popularity of our drink.

2. How often do you drink Coca Cola in a week? I asked this to findout how much Coca Cola this person drinks.

3. Are you happy with the Coca Cola drinks series so far? If not,please state why. I asked this to see if the company are keeping to

the standards of the general public, if not, our market research teamhave the consumers complaints and are requested to deal with them


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accordingly.

4. Would you like it if Coca Cola where to bring a new flavour ofdrink out on the market? This is the question that matters most inthis research and the answer is crucial.

5. What flavour, out of the following would you like to see on themarket in the near future? This is another crucial question for thismarket research and has potential to change the whole course of thisresearch.

I distributed 30 of these questionnaires outside different retailoutlets located in Chorley, Lancashire.

If I was to have more time on this research I would ask the questionsin a number of different regions, including, the north, south, east,west, north-west, north-east, south-west, south-east. In order to geta varied result pattern. I would probably distribute 250-350questionnaires in each region, using a varied cross-section of people(varied ages, varied cultures, varied sex, various gender, etc).

All of the above queations will be classed as PRIMARY RESEARCH becauseit is collected first-hand by a representative of The Coca ColaCompany.

Secondly, I conducted some SECONDARY RESEARCH of the selling rate ofthe Coca Cola drink in a moderatly busy, high street store in Chorley,Lancashire. I asked a series of questions to the shopkeeper-

1. Do you get many people buying any of the Coca Cola drinks? I askedthis because it is relevent to my research.

2. Do you think Coca Cola Is still the Number one drink in this area,judging by your sales? I asked this because I was curious and to findout the status of Coca Cola in this area.

I have also searched the internet for financial reports for The CocaCola Company, this is classed as secondary research as I have aquiredthe information from a 'second-hand' perspective.

The Results:

PRIMARY RESEARCH - my results where as follows;

Are familiar with the drink Coca-Cola?

Yes

30

No


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0

How often do you drink Coca Cola in a week? (330ml can)

Once

2

Twice

3

Three

5

Four

1

Five

6

Six

8

Seven

3

More

2

Are you happy with the Coca Cola drinks series so far? If not, pleasestate why-

Yes

28

No

2

Why -

Price of products

Would you like it if Coca Cola where to bring a new flavour of drink


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out on the market?

Yes

27

No

0

I am not bothered -

3

What flavour, out of the following would you like to see on the marketin the near future?

Strawberry

6

Summer Berry

11

Lemon and Lime

4

Tropical

9

Graphs and Charts Showing some of The PRIMARY DATA which I havecollected-

[IMAGE]

[IMAGE]

I have realised that-

1. 2 out of the 30 people I asked are not happy with the price of CocaCola products.

2. that the majority of people I asked, wanted to see the 'SummerBerry Coca Cola Flavoured Drink' available in the near future.

3. that 27 out of the 30 people wanted a new Coca Cola drink out onthe market.

4. the majority of people asked, drank 6 cans (330ml) of Coca Cola a


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week.

5. all the people asked in this questionnaire are familiar with CocaCola.

Although, this is a very small scaled market research, I am confidentthat I have enough information to complete this given assignment.

SECONDARY RESEARCH- my results are as follows;

Do you get many people buying any of the Coca Cola drinks? - theanswer I received was - 'Yes, many people buy Coca Cola from ourshelves, in my opinion the new Vanilla Flavoured Coke is selling likehot-cakes'.

Do you think Coca Cola Is still the number one drink in this area,judging by your sales? - the answer I received was -'in the fizzydrinks market, probably yes, but the number one drink, with regard tosales has got to be, natural spring water'.

With these answers, I have a few personal opinions:

1. If The Coca Cola Company where to bring out a new flavour of drinkat the current time, in my opinion, this is un-wise as the new VanillaFlavour Coca Cola is Still cashing In for being new and its fullpotential has not yet been extinguished from the market.

2. If the Coca Cola Company where to bring A soft, Non-fizzy Coca Cola

drink on the market, this could rival sales of natural spring Waterand quite possibly 'take-over' the non-fizzy side of the beveragemarket.

I have forwarded my opinions to the Marketing and Productions Manager.

I have also searched the internet for some financial details about TheCoca Cola Company. Please see the following sheets.

The Market Mix:

This consists of the FOUR P's, and is the next step in the marketingsegment of this assignment.

PRODUCTS - What features does the product have that make it suitablefor the target market? The new Coca Cola drink should be stylish andmodern in design and must have two versions available- diet/caffeinefree and normal, should be sold as a 330ml can, 500ml bottle and a 2litre bottle.

PRICE - Should the products be priced higher or lower than those ofcompetitors? The price should be a promotional/introduction price to

start off with, on selected 500ml bottles, a starter price for thisshould be 0.50 for the first few months or on aelected number of


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batches. The regular price should be 0.35 for 330ml can, 0.75 for a500ml bottle and 1.19 for a 2 litre bottle.

PLACE - Where will customers want to buy the products? The Coca ColaCompany will sell its product to beverage retailers, prefably well

known supermarkets and stores who will buy in bulk.

PROMOTION - Where should the products be advertised, to suit theneeds of the business's target market? The Coca Cola Company willadvertise its new product by, the television, magazine advertisementsaimed at ages 15- 25years, both male and female, internet, posters andsponsership (presently- football in general on ITV).

Marketing Analysis Techniques:

P.E.S.T Analysis-

A P.E.S.T Analysis is an analysis of the external factors which canaffect firms.

Political

Economical

Social

Technological

These factors are beyond the firms control and can sometimes be seenas a threat, as some external factors can be disasterous forbusinesses, others can be opportunities.

POLITICAL -

Government

Laws

Tax Policy

Theses can define the way the company is run, and the informal andformal rules that the firm must follow to stay a legitamate business.

ECONOMICAL -

Inflation

Economic Growth

Interest rates

These can affect the capital of the company, the purchasing power of


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the potential buyers.

SOCIAL -

Population Growth Rate

Age

Gender

These affect the customers needs and the size of the potential market.

TECHNOLOGICAL -

New ideas

Recent technology developments

Rate of technological change

Theses can influence decisions of the company and possibly reduce theminimum efficient production levels.

I am going to try and implement the P.E.S.T Analysis into The CocaCola Company-

POLITICAL -

Health and safety

Tax policy of the PLC companies

ECONOMICAL -

Competition from rival beverage companies

Higher taxes

SOCIAL -

Health

Age range is only 15 - 25 years

Both gender

TECHNOLOGICAL -

Lower costs

Quicker and more effcient production


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Distribution between countries

Advantages of using a P.E.S.T Analysis:

The advantages of using the P.E.S.T Analysis is that,

The company can analyse how the company is doing in terms of thepolitical, economical, social and the technological side of theirbusiness.

Used to summerise the external envioment that affects a company.

The company can establish any threats they might encounter in termsof the above categories.

The company can be prepared for any opportunities that they mightencounter.

The Product Life Cycle:

Each product has a life span, tis can be implemented into a PRODUCTLIFE CYCLE.

Businesses should manage their products efficiently over time toensure they deliver products that the customer wants.

The basic PRODUCT LIFE CYCLE has four stages.

[IMAGE]

INTRODUCTION -

In this stage, market growth is very slight.

it is highly unlikely that a company can gain any profit at thisproduct stage, and this stage must be carefully monitored to ensurethat the product starts to grow, if the product lacks growth then thecompany's best option is to withdraw the product from the market andconduct research into 'what went wrong'.

GROWTH STAGE -

This stage Is the rapid growth of the products sales and the company'sprofits, profits arise due to an increase in the output and possiblybetter prices. At this point, the business has shares which arerelatively cheap, prospects of a good product (as the product isrising), which will increase the market share of the company, makingthe company more bigger, larger and have more capital.

Significant promotional techniques are required in this stage to

ensure the public knows about this product to furthur enchance growth.


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MATURITY STAGE -

This stage is common for most products.

This is where the product is no longer growing, but staying at a

constant rate of growth.

This may also be when the company faces rivals (other companys withsimilar product), this stage must be monitored very carefully to finda market segment which has been relatively unfurfilled or a oportunityto furthur develop or expand the product. This stage Is the lastchance to get profit.

DECLINE STAGE -

In this stage, the market is shrinking.

The company must decide whether to re-launch this product, with forexample - a new name, features, new packaging or better advertising orto end the product.

In The Coca Cola Company, the Coca Cola drinks can be made into APRODUCT LIFE CYCLE. I am going to attempt the product life cycle forall available Coca Cola drinks on the market.

INTRODUCTION

GROWTH

MATURITY

DECLINE

Vanilla Coke

Lemon Coke

Coca Cola Original

Cherry Coke

[IMAGE]Advantages of using Te Product Life Cycle:

The Advantages of using The Product Life Cycle are,

To determine where your product is going in terms of the market.

To see if the product is successful or not.

To see if the product is making a loss or a profit.

Ansoff's Matrix:


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This focuses on the firm's present and potential products and markets(customers).

This offers strategic choices to achieve the objectives of the firm,

by considering ways to grow via existing products and in existingmarkets and possible new markets, there are four PRODUCT/MARKETcombinations to consider.

MARKET / PRODUCT

EXISTING PRODUCT

NEW PRODUCT

EXISTING MARKET

MARKET PENETRATION

NEW PRODUCT DEVELOPMENT

NEW MARKET

MARKET DEVELOPMENT

DIVERSIFICATION

MARKET PENETRATION - The firm markets their existing productsto their

existing customers. The product is not altered and the company doesnot seek any new customers.

MARKET DEVELOPMENT - The firm markets their existing products in newmarket. This means that the product remains the same, but marketed toa new audience.

PRODUCT DEVELOPMENT - This is a new product to be marketed to thefirms existing customers. Here the firm develops and innovates newideas/product offerings to replace the older products.

DIVERSIFICATION - This is where a firm develops and markets acompletely new product to a new audience. There are two types ofdiversification, RELATED and UN-RELATED diversification. RELATEDdiversification means, that the firm remains in the same market orindustry that the firm is familiar in, UN-RELATED diversificationmeans, that the firm has no previous experience in the market orindustry that they are innovating a new product in.

Ansoff's Matrix is one of the most well-known frameworks for decidingMarket Growth.

The product I am planning on innovating is under PRODUCT DEVELOPMENTof Ansoff's Matrix.


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This strategy that The Coca Cola Company has undertaken, can leveragethe customers/ company's relationship by innovating a new product,this strategy is more risky than simply increasing the company'sMarket Share.

Advantages of using Ansoff's Matrix:

The advantages of using Ansoff's Matrix are,

Suggests how a business tends to grow (growth strategy)

Shows what the business is trying to achieve.

Shows what product and what audience the business is trying totarget.

Boston Matrix:

This is a method of analysing the current position of the productswithin a firms portfolio, in terms of market share and growth withintheir market place.

The BOSTON MATRIX points out, the importance of market share and thatfirms want products that can support each others development.

MARKET SHARE

HIGH

LOW

MARKET GROWTH RATE

HIGH

STARS

POBLEM CHILD

LOW

CASH COWS

DOGS

[IMAGE]

STARS - this is a 'high-flying product' , which sells a lot.

CASH COWS - Popular product, always sells.


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DOG - A Product that doesn't sell much or not at all.

PROBLEM CHILD - A new product, which can become a dog or a star.

The Boston matrix can be implemented into the PRODUCT LIFE CYCLE,

[IMAGE]

There are several problems related to the Boston Matrix, these are-

There is a assumption that higher rates of profit are directlyrelated to high rates of market share. This may not always be thecase.

Boston Matrix is usually only applied to STRATEGIC BUSINESS UNITS(SBUs), theses are areas of business rather than products.

There is an assumption that SBUs will cooperate. This is not alwaysthe case.

The main problem is that the Boston Matrix complicates a decision.This is where a firm must be carefull, and only use the Boston Matrixas a planning tool and always rely on the Companys 'gut Feeling'.

In general Coca Cola is a CASH COW, although Vanilla Coke and LemonCoke are PROBLEM CHILDS, these products will eventually become CASHCOWS in the near future. This is because Coca Cola is a verywell-known product,majority of people like this drink, it is very

unlikly that any of its products will become DOGS, although CherryCoke is declining slowly.

Advantages of using The Boston Matrix:

The advantages of using The Boston Matrix are,

This is a business portfolio strategy.

Tbis shows 'where your product is' in terms of market share.

Helps exploit the most profitable products and dismisses thenon-profitable products.

SWOT Analysis:

STRENGTHS

WEAKNESSES

OPPORTUNITIES

THREATS


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This tool is a very effective way of identifying a company's strengthsand weaknesses, and examining the possibilities of opportunities andthreats that the company will likely face.

[IMAGE]

This is a SWOT Analysis of The Coca Cola Company that I have prepared-

STRENGTHS-

Well known, world wide company.

Most used Fizzy drinks company.

High Market Share.

High Profit margin.

Good quality beverages.

World-wide factories.

Very Efficient Production rate.

WEAKNESSES-

Could improve the distribution channels.

Too high of a price.

OPPORTUNITIES-

More well known products.

More cash cows.

Produce a unfurfilled product.

Change area of expertise to a variety, other than Beverages.

THREATS-

Rival Company's.

Market share decreases.

Economical.

Key points of a SWOT Analysis-

A SWOT Analysis examines the Company's Strengths, Weaknesses,Opportunities and Threats.


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This will help a company, focus on the Strengths, Improve theWeaknesses, to take he greatest opportunity when faced with anOpportunity, and to be prepared and aware of all possible threats.

A SWOT Analysis is a good technique which can help a Company growinto a much bigger, larger, more competive and more profitablebusiness.

Advantages of using The SWOT Analysis:

The Advantages of using The SWOT Analysis are,

A SWOT Analysis analyses the businesses overall strategic posistionand its envioment.

Shows the business their strengths and allows the business toimprove them.

Shows the business their weaknesses and allows the business toimprove and 'work on them'.

Shows the business its potential threats and allows the business toprepare for them.

Shows the business their possible opportunities and allows thebusiness to make full use of them.

The SWOT Analysis can be used in conjunction with the P.E.S.TAnalysis.

The SWOT Analysis is a very popular 'Marketing Strategy' and is usedby many businesses and marketing students because it is quick and easyto learn.

The SWOT Analysis is a very good technique, which can help abusiness grow into a stronger, larger, more competitive and moreprofitable.

My Marketing Strategy:

As I am attempting to bring a new a Coca Cola Drink into circulationinto the beverage market, I will need a successful market strategy formy new drink in order to appeal to the public and to either break evenor gain a profit.

I wish to create a Cash Cow (Boston Matrix) in the long-term marketbut create a Star (Boston Matrix) in the short-term in order toreceive my profit or break even.

My Product:


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I am going to produce a 'Summer Berry' Coca Cola drink, as themajority of public wanted in the questionnaire I asked. The Coca ColaCompany will sell this product in 330ml cans, 500ml bottles and

2 litre bottles. The Coca Cola Company will also sell this product to

public houses, hotels and restuarantes in barrreles and canisters.

The products design will be modern in colours and style, wil includethe trademark 'Coca Cola Design'.

I have researched the other Coca Cola Drink designs to make sure mydesign is similar,yet different, to other products of The Coca ColaDrinks range.

[IMAGE] - This is the 'Original Coca Cola', 330ml can, it is bright,clearly states what the product is and has the trade-mark Coca Coladesign.

[IMAGE]

- This is 'Cherry Coke', 330ml can, it is a jazzy design, brightbackground with dark text, the design clearly states what the productis and shows the Trademark Coca Cola Design.

[IMAGE]

- This is 'Diet Lemon Coke', 330ml can, this is a very modern design,it clearly states what the product is, it does have the Trademark Coca

Cola Design on the reverse of the can.

[IMAGE]

- This is the advertisement label for 'Vanilla Coke', although the330ml can is similar to this design, it uses strong vibrant colours,note the magnolia/vanilla colour. The Trademark Coca Cola Design is onthe reverse of the can.

[IMAGE]In all the above design, I have noticed the colour red; this isvibrant and makes the product stand out from a beverage shelf in a

shop or supermarket. The colour red is un-officially The Coca ColaDrinks ranges colour, I will implement this in my design.

- Design Number One -

I have made-up this design on Microsoft Paint 2000, this is a basicidea that I had in mind. A Bright, vivid design, I have implementedThe Coca Cola Company's Trademark name, and what flavour the drink is.I have added several images of 'berries' imprinted on the can, andthen added abit of excess of colour into the design.

I will now ask a group of people 'What they think of my design?'


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I will ask this question in the form of a questionnaire, I asked thisquestion to 15 people of varied ages, if I was to do this with moretime and resources available to me, and I would conduct a much largerscale survey.

What they think of my design?

Yes, it is fine

6

No, it is awful

9

Suggestion to make it more attractive:

Black is not a good colour for background.

From my research I have discovered that the majority of the public Iasked didn't like my design, and the rest thought that it was suitablefor its purpose.

[IMAGE] I have decided to alter my Design to a much more toned downversion:

- Design Number Two -

I have decided to go for a more basic, yet affective design.

This shows a plain, metallic background colour and a colourful berrybush drawn, with the new 'Coca Cola' and the flavour 'Summer Berry'.

I have decided to use this design.

The Advertisement Campaign:

If I wanted complete success with my product, I would have toadvertise effectively and correctly, to do this, I would need to

produce television, magazine, posters and billboards advertisements.

I Have Researched the Prices of some variations of advertising:

ITV

Maximum cost of a

Audience

30 second slot at

(Number of ITV households '000)


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weekday peak times

( )

Carlton/ LWT - London

74,000

4,565

Central TV - Midlands

35,000

3,668

Granada TV - North West

21,000

2,590

Yorkshire TV - Yorkshire

15,000

2,301

Meridian - South and South East

28,000

2,134

HTV - Wales and West

15,000

1,842

Anglia TV - East

20,000

1,665

Scottish TV - Central Scotland

11,000

1,400


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Tyne Tees TV - North East

5,000

1,184

West Country TV - South West

6,000

660

Ulster TV - Ulster

3,000

491

Grampian TV - North Scotland

2,000

479

Border TV - Border

1,200

271

Newspaper or Magazine

Cost of full page

( )

Average sales per month

Daily Express

20,825

1,220,055

Daily Mail

26,208

2,151,207

Daily Mirror


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27,500

2,390,208

Sun

34,700

3,842,376

Daily Telegraph

38,500

1,133,931

News of the World

38,300

4,365,032

Radio Times

13,700

1,405,862

TV Times

9,600

981,811

Cosmopolitan

13,560

461,080

Mizz

5,210

138,381

Just Seventeen

7,930

130,080


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Options

5,150

146,692

There are several methods of advertising available, these are:

PERSUASIVE - glamorous images and persuasive language used toencourage consumers to buy the company's product.

INFORMATIVE - used to make consumers aware of the existence andidentity of the product. This may provide technical information.

CORPORATE - where a company promotes its name and image rather thanan individual product. This overall benefits the company's sales.

GENERIC - when a group of manufacturers promotes a whole industry ortype of product.

COMPETITIVE - where companies subtly imply that the rival firms'products are inferior to their own.

For my Advertising campaign I have decided to:

1. Advertise a full-page spread in -

Cosmopolitan -

Price - 13,560

Average sales - 461,080

I have decided to advertise in this magazine because it is mostly readby 17-23 year old girls/boys; this is our prime target for theaudience of this product.

Just Seventeen -

Price - 7,930

Average sales - 130,080

I have decided to advertise in this magazine because it is mostly readby 15-20 year old girls; this is our prime target for the audience ofthis product.

News of the World -

Price - 38,300


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Average sales - 4,365,032

I have decided to advertise in this newspaper because it is read byvaried audiences.

2. Produce a Television Advertisement -

Carlton/ LWT - London -

Price - 74,000

Average viewings - 4,565,000

I have decided to advertise here because it is widely viewed by greatmembers of the public giving a wider variety of audience.

[IMAGE]

This is the poster I am going to have on posters and billboards.

I have drawn this because I thought it looked 'Cool!!'.

I also thought that I have made a good and catchy slogan up.

Evaluation of my advertising strategy:

In terms of publicity I think I achieved the full potential of what Icould have achieved.

I am pretty optimistic that this strategy will be successful.

I am going to start this product on a price promotion/ introductoryprice to get people 'hooked' on this product, then raise the price tothe standard price.

I am optimistic also, in terms of my product being a STAR (BostonMatrix) and later becoming a CASH COW (Boston Matrix).

BIBLIOGRAPHY:

http://www.companieshouse.gov.uk/info/

www.cocacola.co.uk

www.cocacolacompany.com

Understanding industry Fifth Edition by Michael Barratt and AndyMottershead.

AVCE Business year one portfolio by Andrew Mercer, tuition by Ian

Swift and John O'Conner.


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I certify that this is solely my own, produced work and all textcopied from a textbook/ web-site was altered accordingly .

Documents

Marketing for a New Coca Cola Drink