10stepmarketing makeup sarmiento

10 STEP Marketing Plan for

Coca-ColaJay Sarmiento

February 2011

1http://jayalvinsarmiento.blogspot.com

This 10 Step Marketing Plan is part of the mandatory requirements of Prof. Remigio Joseph De Ungria’s AGSB marketing management class.

The data included in this report are based on publicly available data such as those on internet websites, news, package declarations, public reports.

When appropriate, data are “masked” so as not to create unexpected conflicts.

The reports are posted and linked on slideshare, blogs and facebook so that there is easier sharing among students from different marketing classes.

Disclaimer

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1. 15-30 years of age both male and female, has an active lifestyle. Social class AB and C.

2. They want to feel confident and happy.3. They can choose Pepsi or RC cola4. Gap is all other brands are more known for their

sweet taste and savings5. The market size is Php 91B, Php 70B is coke’s

niche (75% market share)

Steps 1 to 5

Coca-Cola, open happiness

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6. Coke is a sparkling drink in a defined and unique bottle

7. Priced at a premium compared to other competitors

8. Uses TV, print, web and events9. Nationwide distribution10. Uses supply and distribution leverage to

win

Steps 6 to 10

Happiness in a bottle

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1. Coca-Cola PTM are teens

15-30 years of age both male and female, single without kids

Has an active lifestyle, studying or beginning to work.

Drinks 3 times a day, during major meals ( lunch, merienda and dinner)

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Describe your PTM needs

6

Self-Actualization Needs(Self-

Development & Realization)

Esteem Needs (Recognition,

Status)

Social Needs (sense of belonging, love)

Safety Needs (security, protection)

Physiological needs (food, water, shelter)

Reference: Maslow’s Hierarcy of Needs Marketing Management, 11th ed, Philip Kotler

I want to be “in” and beaccepted by my friends

I enjoy a happy and fun life

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2. Coca Cola’s PTM’s needs, wants & demands

Teens need to feel acceptance and belongingness with their peers, gain self esteem and happiness in life.

Teens prefer, to choose Coca-Cola because of its familiarity, taste and price. The brand promises confidence and happiness.

Teens demand, the Coca-cola experience of happiness and peer acceptance.

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3a. Coke’s formidable competitors

Direct: Pepsi Cola, RC Cola

Indirect: Sports Drink, Tea, Juice, Coffee and Water

Variables: Price, consumer age, packaging, specific use, availability, occasion of use, brand promise of happiness and acceptance.

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3b. Coke’s competitive position map

Price/ ClassMatrix

Upper Class

Middle Class

Lower Class

High price

Low Price

Coca-Cola

RC ColaPepsi-Cola

Class vs Price

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Coke’s unique position based in a competitive map

Functional Benefit Coca-Cola Pepsi-Cola RC Cola

Price affordability      

No sugar      

Diet, No calories      

Availabilty of different flavors      

Benefit Positioning vs. Brand Matrix

4. Coke’s position in the market is that of a product leaderCoca-Cola is the only soft drink that: has established a globally recognizable brand has pioneered the industry for more than a 100

years Offers the experience rather the taste of the

drink.

Its closes competitor (Pepsi) has yet to gain its market position.

Expand its reach in distribution and market more healthy drinks

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5a. Estimate the market size using competitor data1. Top 7000 Corporation Data or news

◦ Total Sales from 1 product companies◦ % of sales from multi-product

2. vs. known Industry size comparisons3. vs. 1-1 suppliers4. Visual observation- warehouse5. Pirating personnel or garbage6. Illegal interview7. “Share of Shelf”

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5a. Based on company data and interview. Market size Php 91 Billion

1. Market size of softdrinks Php 91B

Php 70B is Coke’s niche (75% market share)

RC Cola 26% market share Pepsi Cola 41% market share

2. Coca-Cola is the market leader is sparkling drink, with a market share 75%

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5c. Estimate the market size using customer data

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5. Decide on market size in pesos, not in number of people

1. Competitor data=Php 82 Billlion

2. Company data = Php 91 Billion

3. Customer Usage data = Php 93 Billion

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6a. Competitor Products

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6a. Photo of product category

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Coca-Cola Pepsi RC

200 ml Php 5.50 na na

240 ml Php 7.00 Php 6.00 Php 5.00

500 ml na na na

800 ml na na Php 12.00

1 liter Php 24.00 Php 20.00 na

330 ml (in can) Php 23.00 Php 21.00 Php 18.00

500 ml (pet bottled) Php 25.00 Php 23.00 na

1.5 liters (pet bottled) Php 34.00 Php 33.00 Php 28.00

2 liters (pet bottled) Php 45.00 Php 40.00 na

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6b. Products and price

8a. Coca-Cola uses all these modes

1

2

3

4 567

9

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8a. Coca-Cola’s products Promotions

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8b. Competitor’s products Promotions

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9. Places products is available Product availability

◦ Sari-sari stores, convenience outlets, drugstores and supermarkets

◦ Nationwide dsitribution◦ Total of 23 plants and installations◦ Distribution is reached through retail outlets,

direct sales, distributorship and wholesaling.

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10. Coca-Cola uses supply and distribution leverageNumber of Plants/Installation GMA= 7 Luzon = 7 Visayas= 5 Mindanao= 4

Having a total of 23 plans/installations in the Philippines, Coca-cola has dominated the distribution of their products. Dwarfing any competition thus incurring the 75% market share.

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SUMMARY

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1. 15-30 years of age both male and female, has an active lifestyle. Social class AB and C.

2. They want to feel confident and happy.3. They can choose Pepsi or RC cola4. Gap is all other brands are more known for their

sweet taste and savings5. The market size is Php 91B, Php 70B is coke’s

niche (75% market share)

Steps 1 to 5

Coca-Cola, open happiness

http://jayalvinsarmiento.blogspot.com

6. Coke is a sparkling drink in a defined and unique bottle

7. Priced at a premium compared to other competitors

8. Uses TV, print, web and events9. Nationwide distribution10. Uses supply and distribution leverage to

win

Steps 6 to 10

Happiness in a bottle

http://jayalvinsarmiento.blogspot.com