Always Coffee

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Always Coffee, Always Sugar-Free

INTRODUCTION

Our product to be market is a range of Healthy Coffee Drinks. The name of our product is Always Coffee. We had our raw materials ready with our reliable local supplier, Coffee Famillie which is located just few miles away from us.

Always Coffee is a range of coffee drinks that concerned about consumers’ sugar level. This range of coffee drinks targeted on consumers who look for sugar-free coffee drinks. Our drinks will be 240 ml in can and 1 Litre in juice box.

Due to the common of coffee drinks in the market, we used Market-oriented pricing to price our products. Although Always Coffee is a range of health-conscious coffee drinks which this make our product being easily differentiated from the coffee drinks in the market, we will still follow the pricing based on our market research report. This is because we want our consumers pay the same amount but for a healthier coffee enjoyment.

Our target market is anyone who drinks coffee.

1. PRODUCT DESCRIPTION1.1. Product Portrayal

‘Always Coffee’ is a product that actually serve only “one” segment of customer – coffee lover. Coffee drink is common in market but sugar-free coffee can be unique in market. Always Coffee will be sold in two types of packaging: 240 ml can and 1000 ml juice box. The coffee will become your best morning call ever. This is best for health conscious people as Always Coffee are sugar-free coffee drinks. We expect high sales.

1.2. Product Profile

Product Name : Always Coffee

Product Type : Healthy Coffee drinks

Flavors : (1) Original

(2) Americano

(3) Espresso

(4) Cappuccino

(5) Mocha

(6) Latte

(7) White Coffee

(8) Milk Coffee

Ingredients : Organic Arabica coffee beans, sugar-free creamer, Milk, Cocoa Powder, Sugar-Free Vanilla Powder, Nutmeg, Cinnamon, Monin Sugar-Free

Joyce Teoh Mei Kuan (Diploma in Film & TV) Group 1

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Syrup

Container : Aluminum can and Juice box

Container size : Aluminum can 240 ml; Juice box 1 Litre

Product Price : 240 ml for RM 1.90; 1 Litre for RM 7.90

Estimated Durability : 6 Months from date of manufactured

5 days refrigerated once opened

Machinery used : Advanced coffee processing machinery from UK and Japan

Brand Slogan : Always Coffee, Always Sugar-free

2. MARKET RESEARCH AND ANALYSISWe have made some survey of the market to have a clear view about our market as well as our customers’ demands, needs, and wants. The information helped us to position our product in the market.

2.1. Market Description In 2010, Malaysia’s population is 28.6 million and in 2010 also, there are 2.1 million foreign workers who work and stay in Malaysia. Malaysia’s population is projected to be increased to 38.6 million in 2040. More than seventy-five percent of Malaysians over the age of eighteen drink coffees, which means more than 21.45 million Malaysians, drink coffee every day. Yet this number does not include foreign workers. Many Malaysians swear that they can’t do without their morning coffee.

There are few brands of coffee drinks which currently play in the market but we had able to come up with the special sugar-free coffee drinks to target health-conscious people.

2.2. Market segmentation and Targeting We segmented the market into the following sectors based on our observations and a range of market analysis:

Geographical SegmentationEvery part of Malaysia (basically every shopping malls, hypermarkets as well as minimarket and coffee shop)

Demographic SegmentationAge : Above 18Gender : Female and MaleAnnual Income : RM 7,200 and aboveOccupation : AnyRegion and Race : Any

.Psychographic SegmentationCoffee lovers

Behavioral SegmentationHealth-conscious people


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Majority of Malaysia loves coffee but sometimes they just stay away from coffee just because they are afraid of their body sugar level. As per survey, in 2010, there 3.4 million Malaysian suffer from diabetes. This put Malaysia as the number one country in ASEAN for having the highest number of diabetics and sixth in the western pacific region. This product may become their beloved product as this product is a sugar-free product.

OthersTouristsIn 2010, there are 24.58 million of tourists arrived and spent RM 56.5 billion in Malaysia. The number of tourists increased to 25.72 million in 2013 where the spending increased to RM 65.44 billion. We placed them as our target customer too as coffee is the most-consumed beverage in the world.

General CustomersThis refers to normal people (other than coffeeholic) who only sometimes drink coffee.

Market NeedsWe are keen to provide the best product that would be valued by our customer. As per survey, the best volume of a cup of coffee per person is at the range of 210 ml to 260 ml. So we offer our product with a volume within that range at 240 ml (aluminum can). We also offer 1 Litre (Juice box) which this is targeted to people in group, for example family, friends etc. For the 1 Litre packaging we uses Juice box as it is more convenient for keeping purpose compare to cylinder shape container.

2.3. Competitive Analysis The coffee drinks industry is highly competitive. There are few companies had dominated the market. But with the idea of healthy coffee drinks, “Always Coffee” will post as a new strong competitor in the market as so far no one selling sugar-free canned coffee. To evaluate the position of “Always Coffee” in the market, we have done some analysis about the market situation as below:

2.3.1. Competitor AnalysisThe major coffee drinks companies in the current market:

Nescafe Old Town White Coffee Pokka Coffee Power Root Alicafe Wonda Coffee MAScafe Starbucks Foreign products etc

Strategies against competitorsTo compete, we will adopt the following strategies:

Heavy promotional on Sugar-free Coffee Transparency production of our coffee Organize events and activities that create awareness of

healthy lifestyle in shopping malls


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Create a new culture with our products Let customers know that we care about their health

3. MARKET PLAN3.1. Product Positioning

Always Coffee is a healthy-coffee drink product. Positioning our product can help us to choose the best marketing strategies that able to fit the current position. Right positioning will create a competitive advantage.

3.2. Pricing Strategies Market-oriented pricing is also known as a competition-based strategy. Firstly, it compares similar products being offered on the market. Then, seller sets the price either higher or lower than their competitors depending on how well or where the product been positioned. In our case, we have set the price slightly higher than our major competitor as we have confident with our healthy-coffee drinks.

After we set the price, we will define our profit percentage then only we go for our cost. This is so called target-profit pricing where it identify the price first then followed by set the desired profit percentage to be made on the product, then only we compute the target cost of the product. The target cost will be given to our engineers and product designers where they will use it as the maximum cost to be incurred for the materials and other resources needed for the design and manufacturing of the product.

This is one way of making our product an effective and profitable product.

3.3. Promotional Strategies To make our product stay strong at its position, we need to heavy emphasize on the quality of our product and this will be done through promotional events and activities as mentioned earlier. There are few types of promotional strategies that will help us to obtain the maximum market share: Advertising, Public Relations, Sales Promotion, Internet Marketing and Sponsorship.

Message & Media Strategy “Always Coffee, Always Sugar-Free”Media strategy refers to the way we deliver our message. We will promote the healthy lifestyle of Always Coffee and the nutritional information of our product. We will also advertise our products on the most watched nation TV channels for example 8TV, NTV7, TV3, Astro etc.

Facebook MarketingThis strategy is now commonly used by all company to promote their products. By the end of 2013, Facebook boasted 1.23 billion monthly active users worldwide, adding 170 million in just one year. According to Facebook, 757 million users log on to Facebook daily. Create a page in Facebook is free of charge. This can becomes a communication platform between company and customers. We can create product awareness in our page. Every


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promotions, ads, events or even messages can be post onto the page. So, make them like our page, like our product, and then buy our product.

3.4. Market our Product – All about COFFEE (It can be our selling point)(1) Coffee is Actually A Fruit

Coffee beans are actually the pits of berries. The coffee berries, also known as coffee cherries, are an edible fruit that have coffee beans inside. We only called them “beans” because of their resemblance to beans.

(2) Coffee is a Major Commodity Coffee consumption is actually great for the developing world as 80% of coffee farming happens in developing countries while the developed world is the consumer. The coffee trade funnels money from richer countries to poor countries.

(3) Coffee can help you live a longer and healthier life.Coffee contains antioxidants that will help the body to fight chemicals called “free radicals.” As a result, people who drink coffees are at a lower risk of diseases.

(4) Coffee contains important nutrients you need to survive A cup of coffee contains 11% of daily recommended amount of Riboflavin (vitamin B2), 6% of Panthothenic Acid (vitamin B5), 3% of Manganese and Potassium, and 2% of Niacin and Magnesium.

(5) Drinking coffee can help you burn fatCaffeine can increase your metabolism at 3 to 11%. It’s one of the few chemicals that can actually help with fat burning.

(6) Coffee can help prevent Alzheimer’s and dementiaSeveral studies show that coffee drinkers are up to 65% less likely to get Alzheimer’s disease, which is a leading cause of dementia.

(7) Coffee is good for your liverCoffee may protect against cirrhosis (a condition that lead to several disease). People who drink 4 or more cups of coffee per day have up to an 80% lower risk to develop cirrhosis.

(8) The first webcam in the world was made for coffee. In 1991, a group of Cambridge University scientists set a camera on their work building’s coffee pot, streaming the

footage live on the web so that they would be able to see if the pot was empty or not, saving themselves the disappointment of a coffee-less trip.

(9) Caffeine improves your performance when working out.


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For those who consume caffeine before working out, it can leads to a better physical performance as caffeine increases levels of adrenaline, and release fatty acids from fat tissues.

(All these facts will be shared during product campaigns and events.)4. MANUFACTURING AND OPERATION

4.1. Materials Our main supplier Coffee Famillie will provide us good quality of organic coffee beans for our production. Coffee Famillie has been standing as a well-known coffee beans wholesaler in Malaysia as well as Asia countries. There is goal congruency between us as we both concern about human health. We will make a great business partner.

4.2. Machines We have both local made coffee machines as well as imported one from UK and Japan. All machines are up-to-date with the most advanced technologies.

4.3. ManpowerWe have hired a number of engineers who is good with the most advanced machines. We also send our technical staffs for training to get familiar with the machines. Production workers consist of both local and foreign workers.

4.4. LocationAs we are now at a very strategic location, we would prefer our manufacturing factory and warehouse nearby as our supplier Coffee Famillie was just a few miles away from us. This will help in saving on transportation costs. And also, we are now located in the busiest city, transporting finishes products to malls and markets are eventually convenient.


Education

Always Coffee