Re Positioning of Tapal

7/28/2019 Re Positioning of Tapal

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Market Management Page 1

Re launch of TAPAL ICE TEA

SUBMITTED BY:

Irfan Nayyar (15674)

SUBMITTED TO:


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ACKNOWLEDGEMENT

All Thanks to God Almighty, the benevolent and compassionate, who

blesses us with the power & capabilities and remained, contended on all

intricacies found during the successful completion of this report.

We are grateful to our family members whose heartfelt prayers and

appreciation have always been an asset and a great source of inspiration

of us. It could be complicated for us to accomplish our report without

their shadow of love.

We are also obliged to our respected teacher Mr. Ather Qadeer who

furnished us this prolific opportunity to avail a practical experience and

provided his full support and guidance in the completion of this report.


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TABLE OF CONTENT


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INTODUCTION TO TAPAL

MISSION STATEMENT:

To satisfy our stakeholders and as a guiding principle to our business; be

a benchmark for Quality, Creativity and Ethical values. Achieve

leadership in all categories of our core business and diversify in areas

which compliment the core business.

We want to excel ourselves not only in providing best quality of products

but also act as good corporate citizen.

We manage to acquire this excellence by recruiting and developing

exceptional quality individuals, providing them with good working

conditions and attractive benefits, opportunities for growth and high

degree of employment security.

VISSION STATMENT:

To provide value and quality to our consumers; our aim is constantly to

provide world class service for our customers, deliver value for our

products and make TAPAL a great place to work for our employees.

We aim to have a reputation for innovative thinking in the areas that

matter to our customers. To become a global brand, to be an innovative,

marketing and research oriented company.


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COMPANYS BACKGROUND:

TAPAL's remarkable success is the joint efforts of three lively

generations of the Tapal Family. In 1947, TAPAL started out as a family

concern under the personal management of its founder, Adam Ali Tapal.

Against tough competition Adam Ali's unique blend, later named Family

Mixture, became a hot favorite and ultimately the largest selling brand

in the unorganized tea market. From this favorable beginning, TAPAL

moved from success to success introducing tea brands to suit every taste

and pocket, sold from its retail outlet in Jodia Bazar, Karachi. The quality

of TAPAL tea soon became renowned and people from all parts of

Karachi started lining up at the outlet to purchase tea. For their ease,

Tea distribution was initiated to retail outlets around the city. The

company continued to grow under the supervision of the founder's son,

Faizullah A. Tapal.

Today the founders grandson, Aftab F. Tapal, manages TAPAL Tea. After

studying abroad, Aftab Tapal returned to Pakistan to introduce

professional management and unique production ideas to the business.

A well trained tea taster and tea specialist himself, Aftab Tapal

introduced new tea concepts and developed a broad range of tea blends

cuisine specifically to the tastes of people throughout Pakistan. His

progressive attitude resulted in giving further strength to the foundation

of quality laid by his family.

Today TAPAL has become the largest,100% Pakistani owned Tea

Company in the country. It has modern tea blending and packaging

factories, warehouses equipped with state-of-the-art equipment and a

team of highly active professionals headed by Aftab Tapal.


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INDUSTRY OVERVIEW:

Iced tea (sometimes know as ice tea) served in a glass with ice. It may or

may not sweeten. It is available in different flavors including lemon,

peach and lime.

Ice tea is a soft drink specially used in summers and this also can beserved as a alternative to carbonated drink. this drink is enriched with

vitamin c and vitamin d .

In Pakistan, tea is generally served as hot beverage and but tapal has

introduced the ice tea under the name of tapal iced tea in different

flavors. In Pakistan, only direct competitor of tapal ice tea is LIPTON ICE

TEA. However Lipton ice tea is available only limited general stores in

the Pakistan.

The total sales volume of tea market present in Pakistan is 150,000 tons

(organized = 80,000 tons and unorganized= 70,000 tons). This shows a

potential market in the Pakistan. Ice tea is a new product for Pakistani

market but there is a potential market available in the Pakistan


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PRODUCT OVERVIEW:

The R&D at tapal decide to introduce tapal ice tea for youthful market

segment. Tapal Ice Tea offers instant refreshment combined with the

health preserving properties of tea. Rich in Vitamin C and antioxidants,

it is non-carbonated, contains no preservatives and is low in sugar as

well. Its a healthy and trendy choice, for both the young and the young at

heart.

Product packaging:

Sachets:

25 gm powder sachets in three flavors:

Lemon Lime Peach

320 ml can in three flavors:

Lemon Lime Peach


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About Peach Flavor Ice Tea:

For the delicious taste of summer in a glass any time of the year, mix up

some Tapal Ice Tea Peach. Its the perfect blend of thirst quenching,

refreshing beverage and the sweet taste of peaches.

Made from real tea blends, Tapal Ice Tea Peach combines the goodness

of Tea antioxidants with no preservatives, no artificial colors and only

16% sugar which is much less than most regular soft drinks.

About Lemon & Lime Flavored Ice Tea:

Nothing beats a chilled, sweet, lemony glass of Tapal Ice Tea Lemon With

just the right amount of ingredients; our mix is going to quench your

thirst with a refreshing burst of Lemon and Lime.

Made from real tea blends, Tapal Ice Tea Lemon combines the goodness

of Tea antioxidants with no preservatives, no artificial colors and only16% sugar which is much less than most regular soft drinks.

Market Potential:

An estimated 103 million Pakistanis, or 63% of the population, fallunder the age of 25 years. this statistics regarding youth shows that

there is a potential market in the Pakistan. However, a strategic plan is

needed to cater the market.


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REASON FOR FAILURE:

Through research it has been found that tapal ice tea is failed due to

following reasons:

Unable To Create Awareness Regarding The Ice Tea:

Tapal is unable to create awareness in the market. In Pakistan, the

concept of ice tea is new and a detailed awareness marketing awarenesscomplain is needed to cater the youth of the country.

Distribution:

Tapal ice tea was not available in the shelf of the retailers because

distribution is everything if the product cant get the place on shelf, the

company cant outsell its competitors.

Limited target market:

Another reason of tapal ice tea failure is that they targeted the limited

markets in the country

Improper Advertisement:

Advertisement Is not proper to create the awareness regarding the ice

tea.


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SWOT ANALYSIS

Strength:

1. Good distribution network2.Adequate financial resources.3. Good Organizational Structure4. Research & Development5. Skilled & Trained Staff

Weaknesses:

1. Nature of the Product2. Packaging is not user friendly.

Opportunities:

1. Enter in to new market segments.2. Increase new ways of using ghee.3. Can attract health conscious people.


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4. Direct the oil users towards consumption of ghee by eliminatingmisconception.

Threats:

1. Increase in competitors2. Rise in Substitutes3. Increase in weigh conscious people.


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COMPETITATIVE ADVANTAGE

Energizes you:

its moderate caffeine content stimulates energy consumption, giving

your body a gentle physical boost that helps you keep going on your

workouts, sports or any sort of physical activity energetically.

2.1 mg of caffeine per kg body weight that equals 147 mg for 70 kg

person ingested prior to prolonged exercise delays fatigue. This amount

is available in approximately 3 Tapal Ice Tea cans.

Sharpens your wits:

A combination of caffeine and thiamine in tea gives you a relaxed but

fully alert state of mind and at the same time helps you to focus.

Hydrates you:

Drinking 8 glasses of water a day is a minimum requirement for a

healthy, active lifestyle.

Maintaining a healthy body fluid balance can become a challenge during

summers, especially when you move outdoors.


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our need to intake fluids becomes even more recurrent. In such a hot

weather, refreshing Tapal Ice Tea breaks are necessary time after time

to replenish the fluid that youve lost all day to the hot weather in a

delicious way and theyre a much better alternative than carbonated

drinks.


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Doesnt hurt your fitness :

Tapal Ice Tea contains very less calories, less than half the calories of a

common cola drink. So regular consumption of your favorite Tapal IceTea doesnt leave you with a guilt trip and its safe to enjoy it to the

limits!

An Anti-oxidant:

Body cells naturally produce free radicals (by-products) in the process

of using oxygen. These free radicals are known to cause damages such as

heart disease, diabetes, cancer etc.

Antioxidants are substances that prevent and repair the oxidative

damage to our body. Antioxidants may also enhance immune defense

and therefore lower the risk of cancer and infection.

A recent study revealed that 5 servings of fruits and vegetables reduce

the risk of stroke by 25 percent. Ice Tea contains at least as many

antioxidants as fruits and veggies such as strawberries and spinach!

Lemony goodness:

Lemon ice tea is not just another glass of soft drink; it offers the most

valuable benefits of lemon such as vision and digestion improvement,

relaxing of the nervous system, antibacterial properties and aid in

fighting colds and flu symptoms.

Most importantly, lemon contains the most effective type of vitamin C

that helps prevent cancer. Tapal Ice Tea brings all these benefits to you

in a delicious drink.


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MARKETING OBJECTIVES

The objectives of the marketing plan are strategically centered on 3

criteria;

To create a strong consumer awareness against unorganized tea

products To establish a wide brand recognition through the capture ofmarket share in the multi segment,

and To become the top market leader in that particular segment within

the strong research and development.

MARKETING STRATEGIES:

Create awareness among the consumer through strong positioning.We

will do mass advertisement in order to compete and increase market

share.

Introduction of the product (Tapal Ice Tea ) in new pet bottle packaging

Using tapal distribution network, get the maximum shelf for the product.


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TARGET MARKET SEGMENTATION

Demographics

Age 16-30 years

Income 30,000 +

Psychographics

Social Class Middle-middle, upper-middle

,upper class

Behavioral

Occasion Regular use and special occasions

Benefits Taste, Healthier, economy

User status Heavy users, and medium users


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Loyalty status Medium

Price:

We are intended to follow value price method. Value pricing is offering

the product at a fair and reasonable price that makes sense to thepurchasing customer.

Prices are as follows:

PRODUCT PRICE

25 gm powder

sachetsRs.15

320 ml can Rs.30

200 ml pet bottle Rs.20


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Place/Location:

Tapal here again uses 3PL logistics for movement of finished products

from manufacturing plant to the 6 designated Warehouses. This

movement is carried out in 14 to 15 feet containers. Tapal distributors

then place their orders at the warehouses.

Products then delivered to the distributor who further delivered the

product to wholesalers and retailers. The lead time of order fulfillment

is at most 6 to 7 days. Tapal use FIFO method for its inventory

management. Tapal has more than thousands of distributors in all over

the Pakistan. Tapal also have Vendor management contracts with Macro,

Metro, Imtiaz, Naheeds in Karachi and other Hyper Markets in other

cities of Pakistan.

Tapal also export its product in different countries. In Exporting when

an order is placed at Tapal from importers, Tapal packed the order in

pallets load it in 14 to 15 feet trucks delivered it to the port where Tapal

forwarding agent shipped the order to the importer country.


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Manufacturing

Plant of Tapal

3O TO 40 FEET

TRUCKS(3PL)

WAREHOUSE

14 TO 15

FEET

TRUCKS

(3PL)

Metro

Macro

14 TO 15

FEET(3PL)

14 TO 15

FEET(3PL)

Distributors

Export

Promotion

Methods of Promotion:

Advertising. Sales promotion. Mobile marketing Promotion Objectives:

To present information to consumers as well as others.

To increase demand.

To differentiate our store with others.


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(1) ADVERTISING:

Selected Advertisement Media TV News paper Outdoor advertisement Bill board

We are intended to advertise our product on the following media types:

Media vehicles:

News channel :

GEO TV at khabarnama time, 9:04. And it would be a continuous pattern;

1st 2 weeks, and then would pulsing; once a month. And in the followed

by every 1st week of every month continuously.


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News papers:

The placement of our product would be on the third page of DAWN, once

a month on weekends especially on Sunday for 4 months. Taking an add

size of [20 x 3]

Bill Boards :

Following locations are selected for bill boards:

DHA: Schown chorangi surroundings, punjab chorangi towards

ashiyana.

Reason: Preference of all multinational company, attractive place for

billboards.

NORTH.NAZIMABAD: Board office towards hyderi.

Reason: Shopping malls, restaurants, signals traffic & click of eye vision.


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SHARAH E FAISAL is the best road to advertise through bill boards,

Outdoor advertising:

Distribution of posters, broachers posters in the different area areas.

And on the basis on broachers consumption more printing would be

done.

SALES PROMOTION:

For promoting sales, we will give different weights to the different

products, when consumer buys the product he will get the points. On the

basis of the collected points, He/she will be given free items in

accordance with collected points.

MOBILE MARKETING:

We are intended to us our delivery vehicles as a means to mobile

marketing.


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FINANCE PLAN

TOTAL PROMOTIONAL BUDGET:


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Bill board10000000

TV promotion

25000000

Radio Promotion

On air Expense (Radio1 Fm 91 4 spots a day for 3 months)2500000

Magazine

(Full page A4 )1500000

News paper8000000

Other activities3000000

Total 5,00,00,000

SALES ANALYSIS

Expected sales analysis in units:


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M k M P 25

Month 1 2 3 4 5

Sales 20,000 24,000 30,000 39,000 39,000

% increase - 20% 25% 30% Nil

0

5000

10000

15000

20000

25000

30000

35000

40000

45000

1 2 3 4 5

Sales

Month

Documents

Re Positioning of Tapal