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1

MARKETING STRATEGY
PROJECT OF
AQUAFINA

Submitted to:
Mr.Hanif Shahzad

Submitted by:
Alishba Asghar
2

Acknowledgement

All praises for almighty Allah. The creator. Whose uniqueness oneness is
unchallengeable countless thanks to he the lords of lords who blessed us
with the courage and power to complete this report and all respects and
regards to Holy Prophet Hazrat Muhmmad (PBUH) for giving us the faith
paving us on the right path with the essence of faith in GOD

We feel great pleasure in expressing our profound and cordial gratitude to


our respected teacher and taught supervisors Sir Jawad Saleem for his
admirable cooperation guidance for us and sympathetic attitude which
enable us in the formulation of and compilation of report.

Our special thanks and favor for our esteemed friends for their ever lasting
cooperation and giving us the homely atmosphere. Last but not the least we
thank full to our parents and our family members for their cooperation
guidance and inspiration throughout the course.
3

Executive
Summary
The goal of this marketing plan is to outline the strategies, tactics, and
programs that will make the sales goals outlined in the AQUAFINA business
plan a reality in the year 2008.

AQUAFINA is the answer to an increasing demand. Marketing will play a


vital role in the success of AQUAFINA. AQUAFINA must build a brand
around the services it offers by heavily promoting itself through local
television, radio, and print advertising. Marketing efforts are just beginning
by the time a potential customer enters AQUAFINA for the first time. A
strong emphasis will be put on keeping customers and building brand loyalty
through programs focused on staffing, experience, and customer
4

TABLE OF CONTENTS

HISTORY OF AQUAFINA…………………………......5

HISTORY OF PEPSI……………………………………7

WORLD WATER MARKET…………………………..10

PAKISTANI WATER MARKET ……………………..10

ECONOMIC SURVEY…………………………………11

MARKET POTENTIAL………………………………. 13

INDUSTRIAL SWOT ANALYSIS…………………….14

MARKET ANALYSIS …………………………………15

COMSUMER …………………………………………...16

MARKETING MIX…………………………………….19

SWOT ANALYSIS OF AQUAFINA…………………..23

MARKET GROWTH OF AQUAFINA……………….24

BIBLIOGRAPHY………………………………………25

Final project: Marketing Strategy


5

HISTORY OF AQUAFINA

Aquafin
a

Type Water Beverage

Manufacturer PepsiCo, Inc.

Country of origin United States

1994
Introduced

Aquafina is a brand of bottled water. It was first distributed in Wichita,


Kansas in 1994, and was distributed across the United States, Canada,
Turkey Vietnam Pakistan and India. As of 2003, it had become the United
States' top-selling bottled water brand in measured retail channels. Aquafina
is sold in 12-fluid ounce, 500- milliliter (16.9 fl oz), 20-ounce, 24-ounce, 1-
liter, and 1.5-liter bottles.

Aquafina uses PepsiCo's own purification system, which it calls HydRO-7,


that includes charcoal filtration, reverse osmosis and Ozona ion. PepsiCo
states in marketing material that this system removes substances that may be
in other brands of bottled water. As of July 27, 2007, PepsiCo put a
disclaimer stating the water comes from a "public source" on each bottle.
Aquafina uses the term "Purified Drinking Water" on its label. In Canada the
current 1.5 L bottle of water displays "Dematerialized Treated Water". The
bottle also displays that the water is "From the public distribution of
Mississauga. ON. Michelle Naught on, a Pepsi-Cola North America
spokeswoman said, "If this helps clarify the fact that the water originates
from public sources, then it's a reasonable thing to do."
6

PepsiCo produces several other products under the Aquafina label:



• Aquafina Sparkling carbonated flavored water, available in Berry
Blast(Raspberry), and Citrus Twist .
• Aquafina Flavor Splash , flavored water (without carbonation), and
artificially sweetened with Scurrilous, available in Grap , Citrus
Blend, Wild Berry , and Raspberry . e
• Aquafina Alive , a low calorie, vitamin-enhanced water beverage,
available in Berry Pomegranate , Peach Mango and Orange Lime .
• Aquafina plus +, a low calorie (120 calories per 591mL bottle), vitamin
supplement water beverage available in "Blackberry Grape",
"Pomegranate Cherry","Passionfruit Citrus" and "Orange Tangerine".

Aquafina is an official sponsor of Olympus Fashion Week, Sundance


Film Festival, Tribeca Film Festival, Carolina Panthers, and the PGA.
7

HISTORY OF
PEPSI
Pepsi-
Cola

Type Cola

Manufacturer PepsiCo.

Country of origin United States

Introduced 16 June 1903

History

Origins

Pepsi was first made in New Bern, North Carolina, in the United States in
the early 1890s by pharmacist Caleb Bradham. In 1898, "Brad's drink" was
changed to "Pepsi-Cola" and later trademarked on June 16, 1903. [1] There are
several theories on the origin of the word "Pepsi".

The only two discussed within the current PepsiCo website are the
following:

1. “Caleb Brad ham” bought the name "Pep Kola" from a local competitor
and changed it to Pepsi-Cola.
2. Pepsi-Cola" is an anagram for "Episcopal" - a large church across the
street from Bradham's drugstore. There is a plaque at the site of the
original drugstore documenting this, though PepsiCo has denied this
theory.
8

The word Pepsi comes from the Greek word "Pepsi" (p ), which is a
medical term, describing the food dissolving process within one's stomach. It
is also a medical term that describes a problem with one's stomach to
dissolve foods properly.

Another theory regarding the name's origins is that Caleb Bradham and his
customers simply thought the name sounded good and reflected the fact that
the drink had some kind of "pep" in it because it was a carbonated drink.

It was made of carbonated water, sugar, vanilla, rare oils, and kola nuts.
Whether the original recipe included the enzyme pepsin is disputed. [2][3]

In 1903, Bradham moved the bottling of Pepsi-Cola from his drugstore into a
rented warehouse. That year, Bradham sold 7,968 gallons of syrup. The next
year, Pepsi was sold in six-ounce bottles, and sales increased to 19,848
gallons. In 1924, Pepsi received its first logo redesign since the original
design of 1905. In 1926, the logo was changed again. In 1929, automobile
race pioneer Barney Old-field endorsed Pepsi-Cola in newspaper ads as "A
bully drink...refreshing, invigorating, a fine bracer before a race".

In 1929, the Pepsi-Cola Company went bankrupt during the Great


Depression- in large part due financial losses incurred by speculating on
wildly fluctuating sugar prices as a result of World War I. Assets were sold
and Roy C. Mega gel bought the Pepsi trademark. Eight years later, the
company went bankrupt again. Pepsi's assets were then purchased by Charles
Goth; the President of Loft Inc. Loft was a candy manufacturer with retail
stores that contained soda fountains. He sought to replace Coca-Cola at his
stores' fountains after Coke refused to give him a discount on syrup. Goth
then had Loft's chemists reformulate the Pepsi-Cola syrup formula.
9

Aquafina is dealing with the water industry in Pakistan and tend to provide
the pure water to the consumer as there is no mineral water bottle company
in Pakistan we want to provide the mineral water for the first time in
Pakistan as our organizational process is continually improving

Reason:

When Auafina has been launched by Pepsi in local market their was only
few local brands and one multi national brand which is nestle

Overall Economic Scenario:

• With the population of 180 million (estimated July 2007) Pakistan


holds the ninth largest market with 34% urban population

• Increasing overall population with a significant increase in urban
population has resulted in more consumption of consumer goods
10

WORLD WATER BOTTLED MARKET

Annually consumption 189billion liter

Estimated sales $ 200 billion

Consumption growth 7 % per year

PAKISTANI BOTTLED
WATER

People using bottled water 7 to 8 %

Annually consumption 1.7 billion liter


water

Estimated sales RS 20 billion

Consumption growth 1.7 % per year


11

ECONOMIC SURVEY

Pakistan’s biggest consumer markets include:

CITES POPULATION
Karachi 15 million
Lahore 9 million
Rawalpindi 3.0 million
Faisalabad 2.6 million
Multan 1.6 million
Gujranwala 1.3 million
Hyderabad 1.3 million
Islamabad 1.3 million
peshawar 1.0 million
12

Population and growth:

180 population
million

4 Growth rate
.09%

Urban population 56million


Urban Population growth rate 2.10%

Size of middle class 82million


Middle class growth 3%

Age structure:

Age category Population %age


0-14 years 64.5 million 39%
15-64 years 94.5 million 57%
65 years and65 YEARS
over 7.0 million 4%
AND
OVER
4% 0-14 YEARS
0-14
YEARS
15 -64 YEARS
39%
15 -64
YEARS
65 YEARS AND
57% OVER
13

Market Potential

At an average , a Pakistani consumer spends 42 % of income on food.


Retail sales of processed foods are expanding by 10 percent per year.
Consumer often prefer branded food items for both quality and status
reasons
Demand for packager food is growing
Key factors are:
Changing lifestyle
Influence of foreign media
Increase awareness of health principles
Advertising is also helping to stimulate demand for branded food items.
Per capita real GDP has increased at an average of 5.6 % per annum during
the last three years
This increase has led to a rise in average income of people and a increase in
consumer spending
Targeted segment- youth and elders- is health conscious and thus adds to the
demand
14

Industrial SWOT Analysis

Strengths
:
The main strength of this industry is the lifestyle of the people is changing
and this is reason that some local and multinational companies are entering
in this industry. Demand is increasing day by day in the bottled water.

Weaknesses
:
Weaknesses in this industry is that the lack of awareness and the poverty.
Similarly there is lack of promotion and advertising is also the main
weakness. Some time the lack of availability in the remote areas is also the
strong reason

Opportunities
:
Big competition in this industry is big opportunity in this industry and
people are becoming more health conscious

Threats:

Trust of people is the main threats in this industry. So there should not be
any complaint in this industry.
15

Market
Analysis:
Major players in this industry are:

Nestle

Kinley

Sufi

First

Others

Market Share of Different Companies


in Pakistan:

7%4%3% nestle
aquafina
16% 48% kinley
sufi
first

22% other…
16

Nestle is the leader in this industry in Pakistan and the aquafina is the
follower.

Consumer Analysis

I did a small research on consumer analysis:

When you use bottled water?

25% on m eal

40%
at office or
univers ty
on travelling

35%

More people using bottled water, when they are on traveling and some
people use at office or university and 25 % use at meal.
17

Why preference you aquafina?

5%
15% quality
price
45%
availability

25% im age
other
10%

The quality of aquafina is increasing day by day, so the people who


preference aquafina is 45 % and other prefer on price, availability, image and
some people prefer in other reasons.
18

What is the brand power of Aquafina ?

5%
30%
25% excellent
good
average
poor

40%

Income level of Aquafina’s users:

9%

14% 20,000
32%
20,000 to 50,000
50,000 to 80,000

18% 80000 to 100,000


above 100,000
27%
19

MARKETING MIX

PRODUCT:

VISION:
To provide superior water to our consumer

MISSION:
To provide the healthy water in order to facilitate people
SLOGAN:

Fina nahi tu Pena nahi

Short term goals

To boost the sales


Creating value for customer

Long term goals

Make the brand loyalty As PEPSI Has


To give the awareness to use it
20

Product packaging

Plastic bottles
500 ml
1500 ml
Labeling

sticker containing ingredients


on the other side USP of the product is specified

USP

purity
Taste of Aquafina is taste of……. Water.
21

Pricing Policy

On going rate price


Almost the prices of all bottled water is same

500 ML 12-14
1500ML 24-26

DISTRIBUTION

PRIMARY DISTRIBUTION

Producer TOdistributor

SECONDARY DISTRIBUTION

Distributor TOretailer TOconsumer


22

PROMOTION

ADVERTISING STRATEGY

TV
RADIO
NEWSPAPER
MAGAZINE
BILLBOARD
BUSINESS TO BUSINESS PROMOTION
(YELLOW PAGES)
23

SWOT ANALYSIS OF AQUAFINA

STRENGT
H
Parent brand is PEPSI
Distribution channel is strong
highly preferable for health conscious people

WEAKNESSE
S
It is new thing for the user of PEPSI.
WEAK in TV commercial

OPPORTUNIT
Y
Apply the experience
GOOD MARKET GROWTH
Lack of pure drinking water over the country

Threats
High expectation of the consumer is associated with PEPSI
If not fulfill the expectation, might effect the reputation of PEPSI
Big Leader Nestle already exists.
24

MARKET GROWTH OF
AQUAFINA

25%
20%
15%
Series1
10%
5% 11% 14% 17% 20%

0%
SHARE SHARE SHARE SHARE
IN 2004 NI 2005 IN 2006 IN 2007

The growth of aquafina is increasing day by day. In 2004 it was only 11 % as


shown in above diagram and now in 2008 it has been reached at 22 %.
25

BIBLIOGRAPHY

CONSUMER SURVEY
Gallop survey
economic survey of Pakistan
met with Sajid Ali ( sales manager )
www.altavista.com
www.google.com
www.wikipedia.com

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