Table of Contents
WHAT IS STRATEGY.............................................................................................................................10
The origins of strategic positions...........................................................................................................11
Producer ---------- Retailer-----------End users...................................................................................38
STRATEGIC FOCUS...............................................................................................................................56
Purpose of the Marketing Plan..............................................................................................................56
Mission Statement.................................................................................................................................56
Goals......................................................................................................................................................56
Porter’s Generic Strategies Model.........................................................................................................56
SWOT Analysis.........................................................................................................................................57
“National leadership in our field”..............................................................................................................69
Build Branded drink to improve quality of life by offering tasty, affordable and highly nutritional
products to our consumers to compete others........................................................................................69
Strengths............................................................................................................................................77
Weaknesses........................................................................................................................................77
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PEST Analysis
Political & Legal Rule of the government Business should Qarshi industry
for red syrup industry is implement the testing on implements 129
they should produce their product and produce laboratory tests on its
highly safe & Hygienic fully processed product product.
Product with laboratory testing.
Social & Cultural People are health Produce on highly safe Qarshi industries has 6
conscious and not want environment and also international certificates
to take so much coke. introduce sugar free red which proof it is fully
syrup in Pakistan. hygienic product.
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Political Environment
Stability of the government reflects the foreign investment but in past Pakistan government was not
stable but first time national assembly has got stability for five years so it is good sign for investing
activity. Government has given rebate and shows the politeness in its rules and regulation of import &
export and has given free hand to industrialist to invest here. Government of Pakistan is also giving the
legal safety to investor and following the encouraging policy for investor.
After giving all these facilities and safety, investor do not show interest to invest here because the
political parties are not stable and there is no democracy. They see the history of political parties and
they conclude that, in 59 years history of Pakistan independence only 22 years were democratic
government and remaining were under army. When a investor watch this situation in Pakistan then he
think that those political parties who do not know and can not secure their own future and can not
establish it self so what security it will provide us. This situation do not encourage the out side investor
as well as inside.
So in the end we can conclude that these political & legal factors reflect very bad effect on investors and
discourage them to invest here. Some policies are good but can not success whenever we don’t have
political stability in Pakistan.
Economic Environment
Economic environment is a most critical environment for any industry. In this regard we consider the
government rules and regulation because economic policies encourage and help to take a decision for an
industrialist that he should invest or he shouldn’t invest in this country. So if we analyze Pakistan’s
economy in the leadership of Shaukat Aziz our economy is growing and if we see the GDP of Pakistan,
it is growing from last five years but negative point is this that inflation is also growing rapidly which is
not a good sign for our economy. For investment purpose Pakistan’s economy is not impressive because
inflation rate is very high so we can say economic environment is very risky in Pakistan.
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Social Environment
After considering the government rules and regulations an investor analyzes the social environment of a
country because it gives a good idea about their product sale in a particular country. Pakistan culture is
very different, there are many languages are being speak here and basically it is an Islamic country and
97% Muslims live in Pakistan. But now people have changed and they prefer modernism on Islam. Up
to 30% people adopt new fashion and changes in industry. If we see Pakistani culture in the light of red
syrup industry then we will see now 70% people are health conscious and they want pure and natural
thing.
Technological Environment
Today’s era technology can play a back born role for any industry and if any one do not implement
those changes that are occurring in the industry then we can simply say that it would not survive long
run and will get end very soon. Now we will talk about Pakistan’s technological environment. Pakistan
social trend has also been changed and people also want fully quality product. If we take our beverage
industry there are so many technologies involve in it and people here want hygienic products which are
Now our government is encouraging technology competition in local market especially E-Commerce is
growing up and people buy their favorite product online and Government establish a Hardware
Development Fund (HDF) to finance IT hardware related R&D and manufacturing activities.
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New Market Entrants:
• Growth market.
Porter’s five Forces of “RED • 3-4 major competitors.
SYRUP” industry in • Huge capital requires.
Pakistan • High marketing, distribution cost
required.
• Experience and learning
required.
• Switching cost of business is
high.
• Easy access to in put.
• No special limitations by the
government.
• Large no. of supplier in market. • Among 3-4 firms (2 • No of substitutes are available in
• Inputs have no substitutes. qurshi(51%) & market.
• No Threat of forward integration. hamdard(43%) have • Large no of buyer
• Switching cost is high. major market share. • Switching cost very low.
• Supplier power is low in red syrup • Produce nearly same • High buyer power.
industry. products with little • Buyer have No capability of
difference of taste. back wards integration.
• Slow industry growth.
Substitutes:
• Large no. of
substitutes (nearly
same & less price
available.
• Low Switching cost of
buyer towards 5
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Growth market
Red syrup industry is the growing industry in Pakistan due to its tradition, living style of people and
hot season or mostly hot atmosphere. So there are a lot of opportunities available for the newcomer
who wants to start red syrup business.
Major competitors
But the main thing is that for a newcomer is that there are some major competitor in the market who
have hold a huge share in market of Pakistan even some like qurshi and hamdard have capture some
amount of share in other countries like UAE, Africa etc. so it will be a very hard job to compete
them and get a market share against them. No drought it will be a great war of market share in red
syrup industry.
Capital requirements
If you want to set a business at national level it will required a huge amount of capital because its
plants & factory, offices at different location, your staff, distribution channel, and advertisement will
charge a huge amount of capital. its will be difficult to start business with less amount of capital if
we will do that then we will not be able to enter in the war of market share in red syrup industry in
Pakistan.
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Switching cost
Switching cost of changing the business is very high because your plants and other thing assets will
not easily sale when ever you will want and at the time of shutting down you will have to face a lot
of loss.
Access to in put
New comer will never be facing some problems during purchase of inputs because there are no of
suppliers of herbal are available in market.
Government policies
There are no special limitations by the government for a person who want to setup business of red
syrup in Pakistan he should get a licence or register his firm it will be in his favour if he want to do
business at national and international level.
2. Supplier Power
No. of supplier
A lot of suppliers are available in market so there is no any problem to get the inputs and no need to
import the inputs from any other market.
Substitutes of in puts
Because in red syrup the use a lot of herbal so product so there are no any substitutes are available in
market of natural herbal products
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3. Buyer Power
Substitutes in market
A lot of substitute’s are available in the market so no of choices are available in the market buyer
can switch easily to any other substitutes.
No of buyer
Huge amount of buyer are available in the market.
Buyer power
Huge amount of buyer are available in the market, and no of substitutes are also available and
switching cost of buyer are very low so overall buyer are powerful as compare to the suppler.
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WHAT IS STRATEGY
This portion of project tells us about what is strategy. It tells how to implement the new strategies. A
strategy establishes a vision of how our company can differentiate it self economically from our
competitors, and how various activities, which we do, will help us to accomplish the vision.
Positioning once a heart of strategy is now failed and rejected just because the competitors can quickly
copy any market position and the competitive advantage is for the very short period.
The reason of the problem is the failure to distinguish between operational effectiveness and strategy.
The main problem lies when the companies inability to translate those gains into sustainable
profitability. As manager’s tries to push to improve on all fronts, they move further away from viable
competitive positions.
Operational effectiveness means performing these activities better that is, faster, or with fewer inputs
and defects than rivals. Companies can reap enormous advantages from operational effectiveness. The
maximum value a company can deliver at a given cost, given the best available technology, skills, and
management techniques shifts outward, lowering costs and improving value at the same time. Such
competition produces absolute improvement in operational effectiveness, but relative improvement for
no one. And the more benchmarking that company’s do, the more competitive convergence you have
that is, the more indistinguishable companies are from one another.
Superior performance is the primary goal of any enterprise and for that the strategy and operational
effectiveness are essential. But these two work in different ways.
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A company can outperform rivals if it can create a difference that it can preserve. It must deliver greater
value to customers or create compare able value at a lower cost, or do both. Superior profitability then
follows.
• The essence of strategy is choosing to perform activities differently than rivals do.
• Rivals can easily copy your improvements in quality and efficiency. But they shouldn’t be
able to copy your strategic.
• A company can out perform rivals only if it can establish a difference that it can preserve.
Strategic positions emerge from three distinct sources that are not mutually exclusive and often
overlap.
Producing of a subset of an industry’s products or services (variety based positioning)
Serving most or all the needs of a particular group of customers (needs based positioning)
Segmenting customers who are accessible in different ways, although there needs are similar to
those to those of other customers (accessible based positioning)
Some competitive activities are incompatible; thus, gains in one area can be achieved only at the
expense of another area.
Fit has to do with the ways a company’s activities interact and reinforce one another.
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Competitive strategy is about being different. It means deliberately choosing a different set of
activities to deliver a unique mix of value.
Example
Take examples of two different companies South west airlines and Ikea (the global furniture retailer)
how they choose the different strategy to gain the market share in there segment. Southwest airlines
provide short-haul, low cost, point to point service between midsize cities and secondary airports in
large cities. They avoid large airports and don’t fly great distances and its customers include
business travelers, families and students.
Whereas has A clear strategic positioning. Ikea targets young furniture’s buyers who want style at
low cost. Although much of its low-cost position comes from having customers “do it themselves”
Ikea offers a number of extra services that its competitors do not.
Conclusion
This portion of project tells us about the strategy and how it can be implemented in the market. It
tells us about the different strategies the companies prepare and act on to take the competitive edge
with its competitors. As our project is about Jam-e-Shirin (Qarshi) there are following strategies
related to our product Jam-e-Shirin and its competitor’s strategies.
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Qarshi Jam-e-
Existing Strategies
Qarshi industry has developed the following strategies to promote its products and increasing the
profitability. By using these strategies Qarshi is now able to compete with its competitors.
Selected Product
Jam-e-Shirin 800 ml
Jam-e-Shirin 1.5 litter
Jam-e-Shirin 3 litter
Competitors’ Products
Rooh Afza
Marhaba
Norus
Squashes
Sehzan and Nestle jucies
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RIVAL FIRMS
A Strategic Group
Consists of those rival firms with similar competitive approaches and positions in an industry. Jam-e-
and Roh Afza comes in same strategic group with more than competitive characteristics in common like
sell in same price/quality range, cover same geographic areas, have comparable product line breadth,
emphasize same types of distribution channels, offer buyers similar services, use identical technological
approaches.
The closer strategic groups are on map, the stronger the competitive rivalry among member firms tends
to be.
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Segment
Product
Map explanation
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Middle income
In the above map the middle income level people use branded packed beverage (Jam-e- and Roh Afza).
The percentage of imported juices and nestle juices is very low.
High income
High income level people uses imported juices more. And the percentage of branded packed red syrups
(Jam-e- and Roh Afza) is very low.
VARIABLES
Sales
Product
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Map explanation
In the above map there are two variables sales and product.
We can conclude from above map that the sales of open beverages and none branded packed beverages
are very low. Secondly the sales of branded packed red beverages are medium. And thirdly the sales of
other imported juices in the market are very high as compare to last two categories of
product/beverages.
In this portion of project we will discuss that how many segments Qarshi is serving for its product
JAM-e-SHIRIN and what strategy they are using for these segments.
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Market segmentation
The commonly used basis for segmenting the consumer market may be grouped in following categories,
which are selected by the Qarshi for its product Jam-e-Shirin as well:
1) Geographic Segmentation
Qarshi JAM-e-SHIRIN consumption is associated with the geographic as well as economic conditions
of a place. Red syrup is demanded in every area of Punjab, Sindh, & NWFP. The cultural distribution
can be stated as modernize and regional distribution will be divided into Urban, Sub Urban, Ex Urban,
and Rural. The climate of Pakistan is tropical, we have long span of summer that starts from March and
ends in October. So, the demand for Jam-e-Shirin is high in summer.
2) Demographic Segmentation
Age: People from all age groups (Focus Kids 6-12 years)
Sex: Both Male & Female
Occupation: People from all walks of life
Income: Rs. 5,000/- and above
Religion: Muslims & Non Muslims
3) Psychographics Segmentation
The social class, which is included in the target group of Jam-e-Shirin (Red syrup), is consumer from
lower upper class and middle class. They will buy this product because of their social set up and price of
the product. The consumer has wide range of personalities from dynamic to interesting. From self
confident to extra vested, from adventuresome to social able. The personality of a person makes a lot of
difference in buying power.
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The lifestyle of consumer varies from flashy, liberal modern to dull conservative and backward. It is a
very important factor which very much influences the buying pattern of the consumer. People will be
mostly influenced by high quality, healthful richness and branding of product.
4) Behavioural Segmentation
The customer expects high quality in a new product to shift from existing one. Red Syrup (Jam-e-Shirin,
etc) is pure and 100% natural drink, which creates loyalty and consumers normally don’t shift from this
product. Jam-e-Shirin is available in different sizes plastic bottles and convenient for consumers that
they can use it any time at home with out any expiry date. It is very frequently consumed product so its
usage rate is very high in summer and especially in the month of holly RAMZAN.
5) Benefit Segmentation
The people group (old age) more sensitive for healthy lifestyle and wanting mild fragrance of drink
are more attracted and benefited by Jam-e-Shirin. Because in old age people don’t like Pepsi, coca cola
etc due to harmful impact on their health and some times doctors strongly recommend to old age people
that they should use natural and pure drinks like Jam-e-Shirin because it has no side effects on health.
6) Target Market
A target market is defined as a group of customers (people or organization) at whom seller specifically
intends to aim its marketing efforts. For this purpose company must analyze three components:
• Consumer
• Buying Power
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With the increase in literacy rate, awareness about health and physical fitness is cutting across our
society. This means Red Syrup industry has market in each age group of society. Due to increased
industrialization the income and the life standards are improving. But the new generation is becoming
modern and their life style is totally change and they like Pepsi and coca cola rather than Red syrups.
On the basis of above information Qarshi Industry adopted differentiated Marketing Strategy for
different drinks like Sundel Syrup, Ilachi Syrup, Almond Syrup etc and about 200 medicated products.
Natural resources are not limited and Qarshi industry can introduce different flavors for different
segments of the market and different marketing programs for each segment.
Segmentation Strategy
Qarshi industry is targeting all above-mentioned Segments and they have developed multiple
strategies for a single product Jam-e-Shirin because each & every target segment is getting benefit
from this single product (JAM-e-SHIRIN) like:
• Females are more conscious about their health & fitness and also for their kids and whole family.
• Hospitable people. Hospitality is considered to be a very important and deeply rooted
characteristic of Pakistani traditions. People feel it prestige to serve their guests in a most
affordable, courteous and better manner and Jam-e-Shirin takes a few minutes in preparation.
• Teachers also convince students for selecting delicious, energy & natural drink full of fun like
Jam-e-Shirin.
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• Doctors prescribing natural herbal drinks to Women, Children and Old age people. Mostly
children are getting benefits from jam-e-Shirin because sometimes children don’t drink milk and
mothers prepare Jam-e-Shirin by mixing milk in it and children drink more than average. It’s a
strategy of Qarshi Jam-e-Shirin for targeting children segment. And more over Qarshi industry
prepared Jam-e-Shirin in a way that each and every segment is getting benefit from it.
PRODUCT
Jam-e-Shirin is available in single flavor but the Qarshi industry has broad range of Product
line/variety. All the products are made from 100 % natural ingredients with no artificial flavors. Each
product of Qarshi Industry has no side effects on health.
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6)
PRODUCT STRATEGY
1) BRAND NAME
2) QUALITY
Demanding businesses require quality, efficient and cost effective to protect and taking excellent
environment. So Qarshi Industry is responsible to maintain a standard by ISO 9001 (UK), 14001(UK),
HACCP (China), 17025(Norway), and Organic Certification (Holand). Jam-e-Shirin is made by natural
things like Refined Sugar, Aqua Distillate, Santalum album, Rosa, damascene, Parmelia perlata, Aqua
Distillate, Pandanus tectorius, Andropogon, muricatus, Sodium Benzoate as Preservative, Citric Acid,
Food colour.
3) FEATURES
There are some important features in our product JAM-e-SHIRIN, which compete in the market place
against existing company.
Jam-e-Shirin Syrup has capacity to store it for a longer period of time, which creates a
differentiated strategy against other drinks in market.
You can add water to prepare Jam-e-Shirin or milk to enjoy the different flavor especially for
children.
4) SIZE
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800 ml Jam-e-Shirin
1.5 Litter Jam-e-Shirin
3 Litter Jam-e-Shirin
Jam-e-Shirin is available in different shapes of plastic bottles. Packaging is a vital aspect of product. It
serves as the silent “Salesman” on the shelf.
PRODUCT STRATEGY
The product strategy exploit by the Qarshi industry for Jam-e-Shirin is that:
Consumer can use it for a longer period of time (1 year Expiry) and
Easy to make.
PRICING STRATEGY
Price is the value of a product expressed in the terms of money and any other monetary medium of
exchange. The price of a product is major determinant of the market demand for the item. Price effects
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the firm’s competitive position and its share of the market. As a result, price has a considerable bearing
on the company’s revenue and net profit. Price of Jam-e-Shirin is determined through these evaluations:
To estimate the market potential of JAM-e-SHIRIN Qarshi industry adopt two methods:
Direct Derivation Method
Survey of Buyers Intention
This survey revealed that the people of Pakistan are quite dynamic in their tastes, quality, preferences
and also health conscious. They always welcome new changes open heartily and if that change is good
in quality and other features, they do adopt it. But the Jam-e-Shirin creates loyalty, and customers
usually don’t switch from it and prices are stable in both season summer & winter.
The market share targeted by Qarshi Industry for Jam-e-Shirin is a major factor to consider in
determining the price of Jam-e-Shirin. While estimating the demand Qarshi Industry keep its production
capacity in mind as a major factor. Qarshi Industry is targeting middle and lower income group as its
market and determine its price according to their buying power and buying patterns.
3) COMPETITIVE PRICES
Name and prices of main market players in Red Syrup are given below:
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It is very important to determine right price at right time. Pricing policy of the company is cost plus
pricing which means setting the price of one unit of a product equals to unit total cost plus desired profit
on the unit.
PROMOTION STRATEGY
Promotion activities mean to communicate with the potential customers. Promotional mix is an
important program of the Qarshi Industry, which is combination of Personal selling, advertisement,
Sales promotion, publicity and public relations. Advertising message should be based on positioning
statement. The message should be attractive, appealing and persuasive. So, advertising agency must
correlate all factors for successful promotional plan for Jam-e-Shirin. Keeping in mind the promotional
budget, advertisement is recommended as:
Qarshi industry advertises its product Jam-e-Shirin in Jang, The news and monthly family
magazine to aware the product to people.
Adds in Television, Radio and through Billboards
1) ADVERTISING
Qarshi industry advertises its product Jam-e-Shirin through Television Ad, Banners, Posters, Billboard,
Newspaper Ad, and Qarshi Products Magazine.
2) PUBLIC RELATIONS
Qarshi Industry has a lot of retailers, wholesalers and distributors in the different cities that have strong
communication and relation with public. They provide some useful information about Qarshi product
(Jam-e-Shirin) with sympathetic attitude and emotional feelings such as “This product is 100% pure and
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is prepare with herbal natural ingredients for your needs and it is only Pakistani product to compete
other countries’ product”.
3) SALES FORCE
Qarshi Industry is expanding the advertisement range from different style or types in the different
category of shops day by day. So people will be bound to purchase Jam-e-Shirin because of high-class
advertisement and coverage.
4) SALES PROMOTION
Qarshi industry also promotes its product Jam-e-Shirin by sales promotion, like Qarshi industry gives
more Incentives/Profit Margin to retailers. By adopting all these strategies Qarshi industry promote its
product JAM-e-SHIRIN in a well manner.
POSITIONING
1) Product Attributes
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Hillal
100 % Pure
Herbal Natural Ingredients used to prepare it
No side effects on health
2) Product Benefits
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Kids love pure drinks because it is fresh and naturally tasty and will bring a smile to your child’s
face with every glass.
Jam-e-Shirin is the best drink for old age people because there is no harmful impacts on their
health after drink it.
3) Usage Occasions
Pour 25 ml Jam-e- concentrates into one glass (225 ml) of chilled water or milk and shakes
well. Jam-e- can be taken at any time of the day or night when desired, mixed with water,
milk or diluted curds so as to suit your taste. One bottle (800 ml) of Jam-e- is enough to
prepare 32 servings.
Distribution
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1) - CHANNELS
Qarshi Industry is improving day by day quickly the range of channels in the different area of different
countries in the advance level through a large number of distributors, and retailers.
Qarshi Industry uses this channel for distribution of Jam-e-Shirin . Since the timely distribution is the
basic requirement to promote sales and have confidence of retailers, one department concentrate on
following:
2) COVERAGE
We have advance range of advertisement in the different countries as visual Live or recorded Coverage
such as Television and online in the website www.Qarshi Industries (Pvt) Ltd .com. You can see all the
information about product details individually in Home Page.
3) LOCATIONS
Qarshi industry’s main focus areas and locations are given forward: -
In Pakistan:
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1- Lahore
2- Faisalabad
3- Islamabad
4- Hyderabad
5- Nawab Shah
6- Sibbi
Jam-e-Shirin is available in all other major cities of Pakistan. And also export in:
Outside Pakistan
1- SAARC Countries
2- Africa
3- Middle East.
4) TRANSPORT
Different types of transports are available for services of the distributors. Because Qarshi industry want
to provide product to the customers safely and full of taste.
A tasty, refreshing and efficacious drink. Not a single drop of water is used during its preparations. It is
prepared from pure distillates (Araqiyat). Jam-e- satisfies thirst and is wholeheartedly refreshing. After
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drinking Jam-e-, one does not feel heaviness of the stomach. Jam-e- retains its taste, efficacy and
usefulness in all season.
To know the production strategy of Qarshi Jam-e-Shirin we interviewed the production manager of
Qarshi Jam-e-Shirin and get the following results:
Production Season:
Qarshi Industry produces Jam-e-Shirin for 10 months, starting from February and stops the production
at the end of November. Qarshi industry doesn’t produce Jam-e-Shirin in the months of January and
December. January and December both are the off periods that’s why they don’t produce in these
months and fulfill the demand in these two months from the stored material.
Production Capacity:
The beverage production plant of Qarshi has capacity to produce about 20 thousand tons material daily
and they produce all type of Syrups on daily basis like Jam-e-Shirin, Sun dip Syrup, Ilaich Syrup,
Almond Syrup etc.
Production of Jam-e-Shirin:
Qarshi industry produces about 10 thousand Pets of Jam-e-Shirin on daily basis and each Pet contains 6
bottles of Jam-e-Shirin.
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Nuraus starts its production in the month of March and end the production in the month of August
We have chosen two strategic groups and done the competitors analysis for the leaders of each
strategic group as follow:
VARIABLES:
Segment
Product
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LEADER:
NESTLE JUICE
RIVAL INDUSTRYIES:
SEHZAN JUICE
COUNTRY JUICE
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In above strategic map there are two rival industries, Sehzan and Country juice industries. Both
industries produce almost same quality of juices with same pricing strategy and these both industries
have same distribution channels and also targeting the same segments in the market. Due to low
quality these industries are targeting low-income level people.
Nestle is the market leader in juice industry we have developed the competitor analysis for Nestle to
see how Nestle become the market leader in the Juice industry and what strategies they are using:
Brand Image
To become the market leader Nestle Company spend more budget on advertisement due to this the
brand image has been increased in the mind of people and they just want Nestle drinks and also high
quality.
Quality
Nestle Company always focuses on the quality of products and also R&D with about 150 quality test
certificates, and never looses its customers due to poor quality.
Product variety
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Nestle company introduced so many flavors of juices for targeting different segments. This strategy
helped the Nestle to become the market leader. Because increase in product line or variety means
increase in sales and profitability.
Advertisement
Advertisement also plays an important role for the image of product and company. Nestle Company
spends high budget on advertisement it creates brand image and people attract towards the product.
VARIABLES:
Sales
Product
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LEADER:
PEPSI COLA
RIVAL INDUSTRIES:
COCA COLA
RC COLA
In above strategic group map of cola industries there are two rival industries, COCA COLA and RC
COLA. These both industries have same amount of product variety, same distribution channels in
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Pakistan, same prices, but the sales of COCA COLA are high as compare to the RC COLA due to
brand image and high advertisement. RC COLA is available only in Pakistan.
PEPSI COLA is the market leader in COLA industry we have developed the competitor analysis for
PEPSI COLA to see how PEPSI become the market leader in the cola industry and what strategies
they are using:
Pepsi cola industry has acquired the 7up Industry to increase the sales. The logic behind this acquisition
was that the distributors of other cola industries like RC cola were selling their cola beverages with the
help of 7up. The distributors of RC cola industry were selling both, RC cola & 7up to the retailer. Now
PEPSI has captured the market of RC cola.
Brand Image
To become the market leader PEPSI COLA Industry spend more budget on advertisement due to this the
brand image has been increased in the mind of people and they just want PEPSI cola and also high
quality.
No Distributors
Pepsi cola industry has removed the distribution channels or agency system and focuses on direct sales
to the retailers/shop keepers. With the help of this strategy PEPSI cola is now saving the profit margin
of agencies. But their transportation cost has been increased.
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Product variety
PEPSI industry has increased its product line by acquiring 7up, and also introduced mineral water in the
market to increase the profitability.
High Advertisement
Advertisement also plays an important role for the image of product and company. PEPSI industry
spends high budget on advertisement it creates brand image and people attract towards the product. All
the above strategies help to the industries to become the market leader.
Competitors Strategies
Our main competitor now are Pepsi and Coca-cola and juices their main strategies are heavy
advertisement and to create a good image in the mind of the consumer. Pepsi and Coca-cola are also
very active in sponsorships for games and other big events for promoting their brand image and selling
their products. Now Pepsi Pakistan is going to handle the business for the main company PepsiCo in
Middle East and Africa. This surely will increase the horizon of Pepsi Pakistan. Juices on the other hand
have been promoted with the slogan of being pure and hygienic. The number one brand in juices is
Nestle and in local companies it is Shezan but now other companies are also entering this business.
Our Response
We are not a direct competitor of Pepsi and Coke but come as substitute and we have been fighting with
Pepsi for the last three or may be more years through advertisement. In the beginning our product falls
in the category of Red Syrup drinks which needs preparation. Now we are going to introduce an instant
drink which is not present in the market. This drink will come with direct competition with Pepsi, Coke
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A PROJECT OF UMT PARTICIPANTS
and Juices. As this drink is a change in our old drink we have to make a slight change in the name. We
will also introduce new flavors in it with the passage of time.
New entrant
One new company is trying to enter the Pakistani Red Syrup market which is Sharbat-e-Azam from
Darbur an Indian company.
New entrant Strategies:
Indian products are already in the Pakistani market and many people are familiar with the name of
Darbur through cable channels advertisement and the company will also take advantage of free trade to
cut down duties cost. They will try to cash on their brand name to sell their new product.
Red syrup industry is a growing industry in Pakistan and different companies has the different market
share in this industry we can see it in pie chart;
4% 2% 2%
Jam-e-Shirin
Roh Afza
Norus
52% Marhaba
40%
Local
So in this chart we can see that jam-e- and Roh Afza has the main share of Red Syrup industry and these
are the main competitors but norus has also good share but not a big competitor of Qarshi.
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Powder Drink,
5.47%
Syrup, 10.60%
Squashes, 4.71%
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Total Sales
300000000
250000000
200000000
150000000
100000000
50000000
0
2001 2002 2003 2004 2005 2006
w = .8
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F2007 = E2006
YEAR FORECAST
2007 267844864
2008 267844864
300000000
250000000
200000000
150000000
100000000 Sales
50000000 FORECAST
0
1 2 3 4 5 6
Years
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E2=Y2
T2= Y2-Y1
E3=wY3+(1-w)(E2+T2)
T3=v(E3-E2)+(1-V)T2
FT+1 =ET+TT
F2007 297170173
Ft+K = Et+kTt
F2008 319202689
YEAR FORECAST
2007 297170173
2008 319202689
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300000000
200000000 Sales
100000000 Forecast
0
1 2 3 4 5 6
Years
Perceptual Map 1:
Price: Price deals will the value of single bottle
Availability: This deals with the availability of the bottles on the shop near to the consumers.
AVAILABILITY
4 5 3 2 2
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5 JS
4 RA
1 2
NR3 4 5 Price
LO MH 2
Availability
Explanation of Map 1
Jam-e- ranked highest in the price and availability perception map which means that the consumers are
satisfied with the price of Jam-e- and that it is easily available in the markets from where the consumers
can buy it without any problem whereas Roh Afza is ranked lower to Jam-e- and Norus is lower than
Roh Afza, whereas Marhaba and local red syrups got unsatisfactory results from the respondents.
Perceptual Map 2:
Quality: This means whether the product is hygienic for health and can it be consumed safely.
Brand Name: This explores the perception of people about the brand they are using is associated to
what extent with their life style.
BRAND NAME
4 5 2 2 2
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A PROJECT OF UMT PARTICIPANTS
5 JS
4 RA
1 2 3 4 5
Quality
LO MH NR 2
Brand Name
Explanation of Map 2:
Jam-e- ranked highest in the quality and brand name perception map which means that the consumers
are highly satisfied with the quality of Jam-e- and that it has good brand image in the minds of the
consumers that’s why most of the respondent gives full marks to the brand name factor. Whereas Roh
Afza is ranked lower to Jam-e- and Norus, Marhaba and local red syrups got unsatisfactory results from
the respondents.
Perceptual Map 3:
Packaging: Packaging deals with the covering through which the product reaches the consumer.
Taste: It deals with the sweetness, bitterness, sourness, saltiness of the product and the ingredients of the
product.
5 JS
4 RA
1 2 4 5
NR 3 Packaging
LO MH 2
Taste
Explanation of Map 3
Jam-e- ranked highest in the packaging and taste perception map which means that the consumers are
satisfied with the taste of Jam-e- and that it is packaged in a nice looking durable transparent bottle.
Whereas Roh Afza is ranked lower to Jam-e-, Norus is better than Marhaba and local red syrups got
unsatisfactory results from the respondents.
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After analyzing CVA, we found two gaps in our product one is people want instant drink because they
don’t want to take it at home and mix water, lemon and sugar because if people have thirst they don’t do
all such things. People want instant Jam-e- which they will take from shop and drink. Secondly we
found that they want Diet Jam-e- but more than 50% people emphases on instant drink and about 25 %
people want sugar free. Now we are not able to decide that which product we should launch first
because we can launch one product this time and after developing first one we will launch second one so
for decision purpose that which product we should launch first we will make decision tree and then we
will be in good position to decide whether we should launch instant drink first or sugar free. We found
another thing that people not use jam-e- for fashion or enjoyment, people always drink Jam-e- for feel
refresh only that’s why new generation not drink red syrup. They feel that it is old fashion so our target
will be the change their mind and make Jam-e- fashionable. Here is our people opinion for new
innovation which they want to see in Jam-e-.
Innovation In Jam-e-
1.00 2.00 3.00 4.00 5.00 6.00 Total
QUESTION 14 READY TO
DRINK 5 7 9 9 3 2 35
CHANGE
COLOR 1 2 1 0 0 0 4
1 0 2 2 1 1 7
SACHET PACK
DIET (SUGAR 0 6 1 4 2 2 15
FREE)
Total 7 15 13 15 6 5 61
35
30
So in this chart
25 we can clearly
20
see that More
15
10 than 60 %
5
0
Instant Drink Change Color Sachet pack Die t(Sugar Free)
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people want instant drink and 25% people want sugar free but we will decide it after making decision
tree.
Decision Tree
28.685
% 0.5 Launch 57.37 %
Instant
Drink 0.5
28.685 % 0%
Don’t
Launch
Launch
25%
12.5% 0.5
Sugar
Free
0.5
0%
Don’t Launch
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So here we got the result that we should launch first the instant drink with new fashion and after
establishing this product we will go for the sugar free Jam-e- and it is our next good news for sugar
patient that after success of instant Jam-e-, our next target will be the sugar free Jam-e-.
New Product
So after above analysis we have reached on this result that we should launch new product which is
“INSTANT JAM-E-”. We can enhance our sales with the help of instant drink and can change the
perception of people who think that it is a old fashion drink because we will launch this drink in
different colors and flavors, for competing cola drinks we are launching this drink in 500 ml plastic
bottles only in Rs.12 which will compete cola 250 ml bottles as well as 500 ml.
⇒ First and very important benefit of this product which can compete cola drinks is that, it is ready
to drink any one can take & drink this any where any time and with this characteristic we can
compete cola drinks because its 500 ml bottle customer will purchase only in Rs 12 and this
bottle will compete with 250 ml and 500 ml bottles of cola drinks.
⇒ People become health conscious and there are so many new diseases born like hepatitis A,
Hepatitis B, Dingy virus and many others so people don’t want those products which may
happen of these diseases. Cola drinks are not good for health in long run so our product is totally
Herbal product and not a harmful product for our health so people will prefer this product on our
product.
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⇒ It can not put bad effect on the health of the people because we are launching our product in
disposable bottles and it is totally herbal.
⇒ Customer will feel gratification after using this product and it will give great satisfaction of our
customer.
⇒ This is totally herbal so its ingredient reduces our tension and depression into comfort so after
using this we feel fresh.
⇒ Its color is totally different from existing product of drinks.
⇒ It has lemon (vitamin c) in its taste which is very necessary in summer.
⇒ Now customer can drink any where, whether they are in car or they are in plane, they can carry it
easily and drink where they want.
Identification of Segment:
For this particular our segment which are health conscious and quantity conscious so our segment is,
those people who are 18 – 32 age , and second segment who are health conscious they can be from any
age group. It is not for high class group product it is for middle class and lower middle class people.
Here we will segment our product from demographically and geographically.
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More than 46 %
people in this age
group
15 – 20 21 – 26
05 16
27 – 32 33 – 38
05 05
In the survey of 61 people 35 said they want instant drink and from which 16 people who belong to 21 –
26 want instant drink and from other ages gave normal response so we found our target market that is
collage and university student and that is some where 18 to 29 which can be our target for instant drink.
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10
9
8
7
6
5
4
3
2
1
0
1000- 5000 6000-10000 11000-25000 25000-50000 50000-70000 70000- above
So we can see in this chart that our segment is very clear that more than 90% people lie in lower
segment or who they belong to middle class or lower middle class so if we segment our product it can be
middle class and lower middle class people.
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Upper Lahore
Ravi, Badshahi
Masjid
C Class
Krishan
Nagar, Maal Defense
Road A class
A,B,C Class
B Class
Here our target market is not a A class people or high class people we are targeting middle class and
lower middle class people all over the Lahore.
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For Student
4500000 * .5 * .1 = 225,000
4500000 * .5 * .3 = 675,000
Aggregation of Segmentation
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STRATEGIC FOCUS
Purpose of this marketing plan is to explore the marketing strategies for launching a new instant drink
by the name of Jam-e- instant in all over Pakistan and if possible abroad. Jam-e- instant is an instant
drink with the qualities of original Jam-e- intended to provide highly enriched taste in diverse flavors.
This document provides a detailed analysis of environmental scanning, industry analysis, targeting,
positioning, competitors, and price and product strategies for Jam-e- instant.
Mission Statement
“We provide high quality instant drink with rich taste catering to the diverse taste of our valued
customers, and intend to be one of the leading instant drink producers that satisfies the need of all
stakeholders by exploring the market opportunities”
Goals
Our goal is to become the definitive benchmark and overwhelmingly the preferred instant drink. Jam-e-
instant objectives for the first three years of operation include:
• Creating a high-quality, intimate, and accepting atmosphere that will differentiate our self from the
typical drinks and juices.
• Providing high-quality instant drink and regular red syrup at a competitive price.
Broad
Cost leadership strategy Differentiation strategy
Market
Scope
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Strategies
Differentiation. The organization’s resources and attention are directed toward distinguishing its
products from those of the competition.
Cost Leadership. The organization’s resources and attention are directed toward minimizing costs to
operate more efficiently than the competition.
Focused differentiation. The organization concentrates on one special market segment and tries to
offer customers in that segment a unique product.
Focused Cost Leadership. The organization concentrates on one special market segment and tries in
that segment to be the provider with lowest costs.
SWOT Analysis
A SWOT Analysis is a strategic planning tool used to evaluate the Strengths, Weaknesses,
Opportunities, and Threats involved in a project or business venture. Strengths and weaknesses are
internal to our business. Opportunities and threats originate from outside the business. A SWOT analysis
is performed early in the project development process, and helps organizations evaluate the
environmental factors and internal situation facing a project.
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Strengths
1. Best Product Quality
2. Visionary and capable leadership / Entrepreneurial orientation
3. Low cost drink than competitor
4. Financially stable
5. Brand Image
6. Strong Distribution Channel
Weaknesses
1. Seasonal Drink
2. Expiry period
3. Old fashioned drink
Opportunities
1. People prefer instant drink.
2. Consumers like to taste new flavors.
3. Huge Gap for this type of Product in market.
4. Huge market available.
Threats
1. Growing number of competition in the market
2. New entrants
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TOWS
Strength Weakness
1. Best Product 1. Seasonal
Quality Drink
2. Visionary and
capable leadership / 2. Expiry period
Entrepreneurial orientation
3. Low cost drink 3. Old fashioned
than competitor drink
4. Financially stable
5. Brand Image
6. Strong
Distribution Channel
Opportunity SO WO
1. People prefer 1. S5, S3, S1
instant drink.
2. Consumers 2. W1, W3
like to taste new 2. S5, S1
flavors. 3. S6 3. W2
3. Huge Gap for 4. S2, S4
this type of Product in
market.
4. Huge market
available.
Threats ST WT
1. Growing number of 1. S1,S3, S5 1. W3, W1
competition in the
market
2. New entrants 2. S4, S5, S6 2. W1, W3
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Explanation
SO 1: We will avail this opportunity through our core strengths of
1. Brand Image
2. Best Product Quality
3. Low cost drink than competitor
SO 2: We will avail this opportunity through our strengths of
1. Brand Image
2. Best Product Quality
SO 3: We will avail this opportunity through our strength of
1. Strong Distribution Channel
SO 4: We will avail this opportunity through our strengths of
1. Visionary and capable leadership / Entrepreneurial orientation
2. Financially stable
WO 1: We will convert our weakness in to opportunity by
1. Seasonal Drink (Consumers like to taste new flavors).
2. Old fashioned drink (Consumers like to taste new flavors).
WO 2: We will convert this weakness in to opportunity by
1. Expiry period (Huge Gap for this type of Product in market).
ST 1: We will cater this threat by these strengths
1. Best Product Quality
2. Low cost drink than competitor
3. Brand Image
ST 2: We will cater this threat by these strengths
1. Financially stable
2. Brand Image
3. Strong Distribution Channel
WT 1: These weaknesses can turn into threats because of
1. Old fashioned drink (Growing number of competition in the market).
2. Seasonal Drink (Growing number of competition in the market).
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Creative Strategies
To stop our weaknesses from turning in to threats because of the new entrants we are introducing the
new instant drink to cater these weaknesses as before we have been lagging behind from the industry as
our product is termed as old fashioned because it needs preparation now this problem is solved through
our new instant drink with exciting new taste and feeling. We will also setup new plants imported from
abroad to cater to the problem of seasonal drink issue by introducing special flavors for each season for
our valuable consumers so that they can drink our new instant drink in each season.
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EFE
IFE
2
4 3.0653 21
STRATIGIC GROUP MAP FOR NEW PRODUCT
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We are launching instant drink of Jam-e-Shirin, which will compete all type of beverages like
Juices, Syrups, and Soda/ Cola. All these beverages are available in the market with the price starts
from Rs. 10 to Rs. 20 and we have calculated the cost of our Instant drink of Jam-e-Shirin, which
comes between these two figures so its means we can capture the shares from all types of beverages.
VARIABLES:
Segments
Products
RIVAL INDUSTRIES
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In above strategic group map of juice industry there are two rival industries with similar competitive
approaches and positions in an industry. Like SEHZAN JUICE and COUNTRY JUICE comes in
same strategic group with more than competitive characteristics in common like sell in same
price/quality range, cover same geographic areas, have comparable product line breadth, emphasize
same types of distribution channels, offer buyers similar services, use identical technological
approaches. These both rival industries are targeting middle and low-income level segments.
The closer strategic groups are on map, the stronger the competitive rivalry among member industries
tends to be.
Nestlé is the market leader of juice industry as we discussed its strategies in detail that how Nestlé
become the market leader of juice industry. As you can see that Nestlé is targeting high-income
segments because its prices are high as compare to other industries and quality of product is also high
due to this they have developed the strong brand image.
We are launching the new product of JAM-e-SHIRIN, that will be “ready to drink” at any time in
both seasons summer & winter. There is no drink available like JAM-e-SHIRIN (ready to drink) in the
market. We are launching high quality and low cost drink to target Low-income and Middle-income
level segments. With low cost advantage our price for this product will also be low for target segments
and the size of bottle is also greater than the other packed juices available in the market. We discussed
the strategies of this new product in details under the head of Competitive Strategies Of NEW
PRODUCT to compete with juice industry.
VARIABLES
Segments
Products
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RIVAL INDUSTRIES
In above strategic group map of soda and cola industry there are two rival industries with similar
competitive approaches and positions in an industry. Like COCA COLA and RC COLA comes in
same strategic group with more than competitive characteristics in common like sell in same
price/quality range, cover same geographic areas in Pakistan, have comparable product line breadth,
emphasize same types of distribution channels, offer buyers similar services, use identical
technological approaches. These both rival industries are targeting Middle and low-income level
segments.
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The closer strategic groups are on map, the stronger the competitive rivalry among member industries
tends to be.
PEPSI COLA is the market leader of soda and cola industry as we discussed its strategies in detail that
how PEPSI become the market leader of Cola industry. As you can see that PEPSI is targeting high-
income level segments because PEPSI COLA is spending more budget on advertisement as compare to
COCA COLA and RC COLA due to advertisement Pepsi cola have developed the strong brand image
and also increasing product line day by day.
We are launching the new product of JAM-e-SHIRIN, that will be “ready to drink” at any time in
both seasons summer & winter. There is no drink available like JAM-e-SHIRIN (ready to drink) in the
market. We are launching high quality and low cost drink to target Low-income and Middle-income
level segments. With low cost advantage our price for this product will also be low for target segments
and the size of bottle is same like other beverages of cola industries (500ml Plastic bottle) available in
the market. We discussed the strategies of this new product in details under the head of Competitive
Strategies Of NEW PRODUCT to compete with Soda and Cola industry.
Competitor Analysis
Our main competitors for the instant drink are Pepsi, Coca-cola, and Packed Juices. These are present in
the country for some years and they have developed a good distribution and sales network and Pepsi and
Coca-cola are the market leaders. The annual total sales of these two leading players range between 175-
180 million crates and every year these two organized players are gaining their sales by 8 to 10 percent.
So this creates a big challenge for us to come to the level of these two big players. Nestle on the other
hand is the leader in Juices. Nestle is a foreign brand and it also has the distribution and sales network
spread in the country and abroad. Here it is important to tell that we are not competing with these big
companies at present. These companies are our target for the near future.
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drinks,
Billboards.
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Billboards. Billboards.
Competitors Strategies
Our main competitor now are Pepsi and Coca-cola and juices their main strategies are heavy
advertisement and to create a good image in the mind of the consumer. Pepsi and Coca-cola are also
very active in sponsorships for games and other big events for promoting their brand image and selling
their products. Now Pepsi Pakistan is going to handle the business for the main company PepsiCo in
Middle East and Africa. This surely will increase the horizon of Pepsi Pakistan. Juices on the other hand
have been promoted with the slogan of being pure and hygienic. The number one brand in juices is
Nestle and in local companies it is Shezan but now other companies are also entering this business.
OUR VISION
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Most innovative and fastest growing natural drink industry offering health conscious
products enjoyed in “every season.”
MISSION STATEMENT
Build Branded drink to improve quality of life by offering tasty, affordable and
highly nutritional products to our consumers to compete others.
In first year during launching new instant drink of Jam-e-Shirin we want to obtain the following
marketing objectives:
As Qarshi industry already has developed the brand image in the minds of people but to target new
segments for the new product they should focus on the following marketing techniques to fulfill the
marketing objective of developing brand image for the new product:
To develop the brand image of new instant Jam-e-Shirin Qarshi industry should spend high budget
on advertisement. Because advertisement creates the brand image and awareness of new product
which helps in increasing market share and profitability. For this purpose we will advertise our
product on the following T.V channels:
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High Quality:
Now a days people are becoming more health conscious so Qarshi should focus on high quality
drink to create the good image of product.
Free Sample:
To develop the product image Qarshi industry should offer free sample of new drink to target
different segments.
All the above approaches will be help full for the Qarshi to fulfill the marketing SMART
objectives.
Feed Back:
Get the feed back from the group of people and check their response if there is something to
modify then do that.
Our 2nd marketing objective in first year of launching new product is to decide that which geographic
area is best for the sales of new product and in which areas the distribution should be develop.
The 3rd marketing SMART objective in first year of launching product is to capture the maximum
market share from new product. For this purpose Qarshi should focus on the following core and
supporting strategies to capture the market share:
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Promotion:
Promotion: Product:
In 2nd year we will try to find out the flow of our product that what is the response of our target segment,
from advertisement etc. For this purpose we can use several methods. To know about consumer
perception about our product, we launch extensive feed back system like.
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And if it doesn’t work then we will make following changes in our marketing system.
If our advertisement plan fails to return our planned output. Than we reduce our budget
on those Medias not giving us healthy rate of return.
After checking the feed back and calculating the sales of our new product in previous year then
we will fulfill the following marketing objectives.
B. Price structure:
In 2nd year we will check the sales if sales are high then we will increase the price to
cover the budget, which we spend on the advertisement etc. But this price will be stable for
coming years. Because at this stage our industry will be on growth stage.
In 2nd year our marketing objective will be to increase the sales and profitability. For this purpose we
will be focusing on the following techniques:
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product investments.
weaknesses.
During 3rd year we want to obtain the following marketing SMART objectives:
A. Advertisement Status
In 3rd year of launching product our first marketing SMART objective is to check the advertisement
status if the sales are stable and there is no threat of new entrant then decrease the expenses of
advertisement and fix the time frame for advertisement.
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If the sales and profitability is decreasing in 3rd year then our 2nd marketing SMART objective will
be as follow:
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substitute.
PRODUCT/MARKET STRATEGY
The following step-by-step procedure is used for formulating product/market strategy for the
new product:
STEP 1
Starting with present business the growth rate of Red syrups is increasing every year. So the
market environment is better for the Red syrup industry in future. The historical performance of
Qarshi Industry was better and it’s also increasing. Our 80 % strategies for the new product will
be dependent on the existing strategies of Qarshi industry like same distribution centers serving
the same market areas etc. more over the 20 % strategies of the new product will be dependent
on the marketing SMART objectives that if our existing strategies are not up to the stander of
our new product then we take the further steps which are mentioned in marketing objectives.
HOW TO GROW?
STEP 2
Product/Market Environment
Over the planning period the market environment will also change like:
1) Geographic area:
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Qarshi industry will have to touch new market areas and new geographic areas for the sales
of new drink (Jam-e-Shirin ready to drink). So for this purpose the market environment will
change as well as product environment will also change because there are so many
competitors in beverage industry so they will have to select the place for competing the
competitors.
2) Advertisement Status
Advertisement also plays a great role in changing the product/market environment. Like
Qarshi industry is using limited advertisement criteria but for the new product they will
have to advertise more with the help of billboards, pamphlets etc.
The sales of these types of products are more dependent on the retailers because
customers have to purchase these types of drinks directly from the retail stores and
Qarshi industry mostly focuses on the distributors not on retailers. So the product/market
environment will change.
STEP 3
If Qarshi industry starts with the existing business strategies then the product/market
environment will not be change.
If Qarshi industry adopts new strategies for the new product then the product/market
environment will change as follow:
If Qarshi industry targets the new geographic areas then the market environment will change
because they will be entering in the high competition market. And there will be so many brands
to compete each other.
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Advertisement status will also change the market environment because they would have to put
the billboards in the market to create the brand image and awareness for customers.
To increase the sales of new product Qarshi industry would have to develop the good relation
with the retailers that would also change the product/market environment for this purpose Qarshi
industry would have to hire the new marketing team for the new product.
STEP 4
In this step of product/market strategy we will analyze the predictions made in step no 1,2, and 3.
if we get the positive feed back from these predictions then we will stop and would not do the
extra efforts for the growth of industry or if the sales are satisfactory/up to the target. If not then
we will change the plan and make the changes in advertisement or target the new geographic
areas.
Step 5
Strengths Weaknesses
Strength Weaknesses
• Brand Image • Wastage (leakage in tetra packed juices)
• Specialist marketing team • Harm full impacts on health (cola)
• Financially stable • Shorter expiry date.
• Capture big market areas
STEP 6
Qarshi industry should adopt the following marketing strategies to compete with its competitors, which
are as follow:
Qarshi industry used the First -In strategy before the competitors like Hamdard and Nuruse etc. through
this strategy Qarshi Industry can develop the good brand image in the mind of its customers.
The competitors like Nestle juices are offering 250 ml tetra packed juice with price of 15 Rs per pack
and our new product will be available in 500 ml plastic bottle with the price range of 16-18 Rs per
bottle.
Qarshi industry is introducing 100% natural drink to their customers with no side effects on health. Now
people are becoming more health conscious and they are leaving drinks like cola etc.
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Nestle company introduced so many flavors of juices for targeting different segments. This strategy
helped the Nestle to become the market leader. Because increase in product line or variety means
increase in sales and profitability.
Advertisement
Advertisement also plays an important role for the image of product and company. Nestle Company
spends high budget on advertisement it creates brand image and people attract towards the product.
Advertisement also plays an important role for the image of product and company. PEPSI industry
spends high budget on advertisement it creates brand image and people attract towards the product. All
the above strategies help to the industries to become the market leader.
Pepsi cola industry has acquired the 7up Industry to increase the sales. The logic behind this acquisition
was that the distributors of other cola industries like RC cola were selling their cola beverages with the
help of 7up. The distributors of RC cola industry were selling both, RC cola & 7up to the retailer. Now
PEPSI has captured the market of RC cola.
No Distributors:
Pepsi cola industry has removed the distribution channels or agency system and focuses on direct sales
to the retailers/shop keepers. With the help of this strategy PEPSI cola is now saving the profit margin
of agencies. But their transportation cost has been increased.
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STEP 7
After analyzing the Qarshi industry’s marketing strategies with its competitor’s strategy we discovered
some variations in marketing strategies that would produce a more favorable relationship in Qarshi’s
competitive posture in the future, which are as follow:
Fer
Fre
There are some competitors available in the market of Pakistan in red syrup product but a lot of
substitutes are also available which can change the choice of the buyer during purchasing like Pepsi,
Coca-Cola, dew, lime water, simple water, fresh juices, chemical juices, milk, shakes, squashes etc. are
some major substitutes our mission is to position our product in the mind of the customer or buyer he
will prefer our product as compare to the other substitutes. We will try to position our new product
instant jam-e-Shirin half liter bottle with some following advantages.
Herbal drink
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A PROJECT OF UMT PARTICIPANTS
Jam-e-Shirin is the product which is made with the herbal product and every one knows that herbal is
part of nature. And natural production are better then the human production. So uses of herbal are better
for the life of the humans as compare to the other things and its decrease the diseases rate from the life
of the human. Jam-e-Shirin is herbal drinks its use is better for the health of the people is never ever
leaves any side effect on human.
Jam-e-Shirin is the product which is free from the chemicals. colas ,and other juices are
Mixture of altos of chemicals which leaves some side effect on the health of the people.
Instant jam-e-Shirin is just like water but with a great taste and colure of love. Because in instant jam-e-
Shirin 15-20% mixture of herbals and remaining 80-85% are water.
Easily availability
Instant chilled jam-e-Shirin will be easily available at every general store, shop, pan shop, canteens, etc.
Disposable
Instant chilled jam-e-Shirin will be available in half liter plastic disposable bottles.
Low price
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A PROJECT OF UMT PARTICIPANTS
We will introduce this product with a low price as compare to the substitutes. its price will be 12 rupees
only.
Image
We will image our product in the mind of the customer in this sense that when ever any one is out of
home and he feels thirst he will use instant jam-e-Shirin instead of water and other colas.
Marketing mix
COST STRUCTURE:
Price points:
Sale price of the instant chilled jam-e-sheree is 12 Rs.
cost Rs.
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A PROJECT OF UMT PARTICIPANTS
Rs.
Product line
Jam-e-sheree is a product of the Qurshi Private limited qurshi industry deal in the medicines and red
syrup and other herbal drinks it have nearly 200 product in the market of the Pakistan . instant jam-e-
sheree will be expansion in the product line of qurshi private limited . We introduce 2 latest product
instant chilled jam-e-sheree in half litter plastic bottle.
Positioning strategy
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A PROJECT OF UMT PARTICIPANTS
We will position our product instant jam-e-Shirin in the mind of the customer they will use it instead of
water and other colas when they are out of home. They use it to remove their thirst .After paying a
reasonable price.
Advertisement
For advertisement we will use
Electronic media
Adds on local television channels, ads on cable especially on star plus and during films breaks.
Paper media
In news papers, magazines etc.
Promotion
For promotion of our new product we will
• Arrange some musical concerts.
• Lucky draw.
• Free sample on different places like bazaar, bus stop, roads, free stall in sports competitions
(race, cycle race, cricket, hockey, football, etc)
Distribution strategy
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EXPENCES
general expenses: 10000000
ADVERTIMENT EXPENCESS: 15000000
administrative expenses:
Salaries 5000000
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A PROJECT OF UMT PARTICIPANTS
EXPENCES
general exences: 10000000
ADVERTIMENT EXPENCESS: 15000000
administrative expencess:
salaries 5000000
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A PROJECT OF UMT PARTICIPANTS
EXPENCES
general exences: 10000000
ADVERTIMENT EXPENCESS: 15000000
administrative expencess:
salaries 5000000
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A PROJECT OF UMT PARTICIPANTS
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