Marketing Plan: Submitted By: Bsba Marketing Management 3-D Jolo, Jessa Huquire, Ross-Jell Quiachon, Justine
Marketing Plan: Submitted By: Bsba Marketing Management 3-D Jolo, Jessa Huquire, Ross-Jell Quiachon, Justine
Marketing Plan: Submitted By: Bsba Marketing Management 3-D Jolo, Jessa Huquire, Ross-Jell Quiachon, Justine
PLAN
SUBMITTED BY: BSBA MARKETING MANAGEMENT 3-D
JOLO, JESSA
HUQUIRE, ROSS-JELL
QUIACHON, JUSTINE
SUBMITTED TO:
MR. JESSIE R. TAMAYO
COCACOLA
BOTTLERS
PHILIPPINES,
INC.
EXECUTIVE SUMMARY
The following marketing plan forms the basis for the products of the Coca-Cola Company.
The analysis allows us to outline the best strategies to follow for the achievements of the
companys strategic goal.
The Coca-Cola Company (TCCC) is engaged in the manufacturing, Distribution and marketing
of non-alcoholic beverage concentrates and syrups.
The company owns the world's most valuable brand: It offers also a portfolio of more than 3,300
products in over 200 countries worldwide.
They primarily produce sparkling beverages, variety of still, and also manufacture finished
beverages.
TCCC owns or licenses nearly 500 brands, including diet and light beverages, waters, enhanced
waters, juice and juice drinks, teas, coffees, energy and sport drinks.
Furthermore, the company has ownership interests in a number of bottling and canning
operations, most of which are independently owned and managed.
Most of TCCC's products are manufactured and sold by bottling partners, who convert them into
finished packaged products for sale to distributors and other customers.
All these products were packaged in cans, glass and plastic bottles, and sold to wholesalers and
retailers.
CHAPTER 1
INTRODUCTION
1.1 THE HISTORY OF COCA-COLA BOTTLERS PHILIPPINES, INC.
Year 1912 marks the beginning of company's products distribution in the Philippines when
American businessman, M.A. Clarke decided to bring out business offshore.
The Coca-Cola made history in the Philippines when the first documented soda fountain was
established in Manila. Later he opened a bottling plant --- the first in the Philippines and the first
ever in ASIA. The famous contour bottle -- a packaging innovation introduced in 1916, started to
become familiar site and slowly become a part at the dinner's table of Filipinos.
As the Philippines leaped into the 1920's, the United States of America sank into the Great
Depression. But Coca-Cola, with the marketing genius of then Coca-Cola president Robert
Woodruff, Helped reinvent that period's marketing, advertising and packaging approaches. And
in 1927, San Miguel Corporation secured the first non-US national Coca-Cola bottling and
distribution franchise.
The company owned 70 percent of the joint venture, which grew to become Coke's sixth largest
operation by then. Coca-Cola Company in the Philippines has not been stagnantly resides long to
San Miguel Corporation's full ownership control. In April 1997, Coca-Cola Bottlers Philippines,
Inc. was merged into the Australian-based Coca-Cola Amatil Ltd After San Miguel exchanged its
70 percent interest in a Philippine-only operation for a 25 percent stake in Coca-Cola Amatil
Ltd., which had operations in 17 countries.
In 2001, San Miguel decided to buy back Coca-Cola business in a transaction involving Php 60
billion that Soriano III sold to Amatil. San Miguel ended up owning 65 percent of CCBPI.
However in 2006, San Miguel has sold its 65 % stake of its Coca-Cola Philippine venture
including its subsidiaries cosmos Bottling Corporation and Philippine Beverage Partners to the
Coca-Cola Company (TCCC) for $590 million. TCCC however ended up only a five-year
business control over CCBPI after Coca-Cola FEMSA acquired 51 percent majority ownership
share.
Today, Coca-Cola Bottlers Philippines, Inc is the premiere soft beverage company in the country,
one of the top ten bottlers of Coca-Cola in the world, and one of the top 20 corporations in the
Philippines in terms of revenue. With subsidiaries Cosmos Bottling Corporation and the
Philippine Beverage Partners, Inc., Coca-Cola Bottlers Philippines, Inc., refreshes some 85
million Filipinos throughout the country.
To date, Coca-Cola in the Philippines operates with enormous manufacturing plants and more
serving sales offices to offers customers the widest selection of beverages.
CHAPTER II
MARKETING ENVIRONMENT
2.1 THE MARKET
When it comes to the consumer market, Coca-Cola has a very broad market base. The company
focuses its efforts on many different people. Cokes core business, which has been carbonated
beverage, has been targeting a large audience of soft drink consumers. Throughout history, the
company has targeted many generations of people. The ages of these people has ranged from
young to old. Coke has always been known as a classic, which has appealed to the older
audience.
For the Coca-Cola Company, there is a need for them to focus on certain demographical
characteristics of the population. The characteristics they consider include: age, income, and
family. The other demographic considerations such as, education and ethnically are not as large
of a concern. When we look at age, the company tries to keep their image hip and cool to appeal
to younger generation people. But also target the older generations by keeping the classic CocaCola image. Since age has a large impact on income, it would be expected that this would be an
issue for the company. This is not necessarily true. The products they offer are affordable for
most people, even young teens without a job relying on parents. This brings us to the idea of
targeting different family types. Since age is not necessarily prohibiting family differences
should not hurt.
The sales of their products, but only help it because of the appeal to most people. It does not
matter if you are single, married with no children, or even married with children. Their products
are suited for all people.
In Coca-Cola news they tell us that they are working on efforts to, develop new drinks and to
make juices, coffees, and teas (Coke, 2001) by implementing these changes, they are
targeting parents of children for their juices, older people with coffees, and people who want a
healthier alternative to carbonated beverages, with their teas. While Cokes core business will
remain carbonated beveragesaccording to Mr. Heyer, we dont want to be limited.
Also included in deciding a market for a product are geographical considerations, psychographic
details, situation and behavior/usage. Coke targets people throughout the world and of many
different cultures. Because of this, their scope for geographical area is very broad. Although they
advertise Coke as refreshing beverage, which would be needed more in warmer climates. It
would be unwise of me to assume that advertising is different in other, warmer, climates, but it
would only make sense. They would need to target someone wanting to quench their thirst rather
than just enjoy a beverage.
DIRECT SELLING
In direct selling they supply their products in shops by using their own transports. They have
almost 550 vehicles to supply their bottles. In this type of selling company have more profit
margin.
INDIRECT SELLING
They have their whole sellers and agencies to cover all area. Because it is very difficult for them
to cover all area of Pakistan by their own so they have so many whole sellers and Agencies to
assure their customers for availability of Coca Cola products
2.5 PROMOTION
The Coca-Cola Company has a lot of promotions some of these are:
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CHAPTER III
ANALYSIS OF ISSUE
3.1 THE SWOT ANALYSIS
STRENGTHS
The success of the soft drinks industry in the country hinges on several strengths (S). For one,
Coca-Cola brands are well-established and have been in the market for several decades now.
The local base licensees also enjoyed strong support from the mother company offshore. Other
than the brands have already developed a loyal customer base, the company established also
extensive facilities and distribution networks all over the country.
Further, the company spent heavily on marketing and multi-media advertising support. Targeted
advertising has been a major strength of the brand that it has the greater control over who sees
ads and when they are seen. While Coca-Cola offers wide array of choices for the consumers,
they also continuously pursue product innovations to cater to changing demands and lifestyle of
the market.
From the use of innovative packaging techniques to social networking, to the use of advance
technology, Coca-Cola has also big distribution network to operate and serve the market from
any major points of the country.
WEAKNESSES
In terms of weaknesses (W), sales have been declining in recent years due to reason potentially
linked to employees who are not executing well their function effectively.
They are just complacent that the products no longer require efficient personal representation as
marketing and advertising propagation are already seen in the multi-media outlets. Also, CocaCola products are relatively high compared to other brands that the present target markets (class
B, C, D) preferred most to one with much lower price.
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OPPORTUNITIES
An opportunity (O) for growth is seen in the introduction of new variants of soft beverages.
Offered for those health-conscious driven individuals. The increasing incidence of eating-out
among Filipino families also present opportunity as it may translate to more orders of carbonated
drinks.
Indeed, the Filipino culture and long traditional practices and gatherings like fiestas, picnics,
reunions, gimmicks, etc have all standing capability to increase strike rate of the product in the
market. Moreover, the growing economy of the country also poses possible chance to increase
the purchasing capability of the consumers.
THREATS
Brought about by much intensified competition in the market, not only within the industry itself
but also coming from other non-carbonated beverage such as bottled water, ready-to-drink teas,
fruit juices, sports and among others.
The shift in consumer preferences towards soft beverages tied to health and wellness also offers
threat to the company.
Scarcity of quality water which is one vital component in producing soft drinks.
As graph exemplified expenditures in global perspective, Coca-Cola advertisement in the
Philippines is undoubtedly striking fast as one among the leaders in terms in terms of
advertisement publicities.
In the Philippines, soft drink industry is relatively disjointed as most of the market share is being
dominated by the top players.
The market has the presence of leading players like Coca-Cola Bottlers, Philippines, Inc.,
PepsiCo, and Nestle.
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CHAPTER IV
OBJECTIVES OF THE MARKETING PLAN
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CHAPTER V
MARKETING STRATEGIES
The importance of strategy formulation is coping with competition and submission to the recent
in the market trends.
Customers variation is also critical for the company to be identified in order for them to
determine who their target markets are.
And the company should establish a strategy attuned to that compliance.
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5.2 PRICING STRATEGY
Price basically play relative role in consumer demand for soft drinks. Customers are price
sensitive.
Basically the perception of the buyers that when a product is expensive, the quality of a product
is good, and this holds true that even the use of price-quality approach has still banging impact
on the consumers.
This is important to impart a message that Coca-Cola is a company categorically producing
superior brands that deliberately attempt to offer more in terms of quality, service and or
performance.
On the note, because the company is perfectly viable to maintain economies of scale, other nonperforming brands can be offered in a price at par with the existing players to shy them away and
gain dominant control over the market. Setting the price low attracts customers and gain market
share.
Posed by perceived ominous health threat and other factors, the demand for CSD has been
negatively affected.
Consumption of carbonated soft drinks in the Philippines has been in steady decline over the past
years.
The profusion of these substitute beverages in the market are gaining consumer favor over
CSDs.
Coca-Cola in this respect should vigorously position their substitute brands by making product
known to the public.
Posed by perceived health benefits, these must be displayed at the leading business outlets, sarisari store, convenience store, and retail trade partners to have consumer the preference over
plethora of refreshment beverages in the market.
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TABLE OF CONTENTS
Executive Summary .
CHAPTER I INTRODUCTION
1.1 The history of Coca-Cola Bottlers Philippines, Inc
2-3
9-10
11-12
13
14
15
15
16
16
17
18