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STRATEGIC MARKETING AND PLANNING

INTRODUCTION (ZARA)

STRATEGIC MARKETING AND PLANNING

COMPANY PROFILE
Hilal is the largest manufacturer of candies and bubbles in Pakistan. Hilal has been synonymous with excellent quality confectionery products for the past fifty years. Over the last half century, the company has diversified its product range, with a variety of popular new confectioneries for consumers all over Pakistan to enjoy. Hilal Confectionery is a market pioneer and leader with their classic range of candies and bubble gums - now newer, improved, and innovative products like chocolates, wafers and powdered drinks have also had a substantial impact on the marketplace. The extensive Hilal portfolio includes, but is not limited to, such recognizable products such as Amras Candy, Chooran Chatni, Khopra, Pan Pasand and Ding Dong at one end, to Milker Bar Bar, Line Up, and Sun Sip at the other end.

Hilal is an ever-advancing company, with its vision firmly entrenched in the future. The company has been busy looking at new ways in which to approach its market, and in line with such an innovative approach, is now consolidating the launch of packaged cakes, produced on the finest imported machinery. Taking into account Hilals stellar track record and appreciation from the customer base, Kake is destined to be another one of Hilals Halo brands.

STRATEGIC MARKETING AND PLANNING

Hilal Started Business in 1952. Presently Hilal is the largest confectionary producer, in the country. Hilal is renowned for Candies; Kings Sister Concern of Hilal manufactures Chocolate products, Chewing Gums "ZOOOM", Bubble Gums "DING DONG", and Jellies "PIZZA". The promotional campaign and advertising developed strong association in the minds of consumers. Hilal has given franchise to kings in order to produce products under the name of Hilal. Hilal is Pioneer in Presenting Traditional Flavor. Hilal feels proud to say that they are pioneer in presenting the traditional flavors for better customer satisfaction through the modern manufacturing techniques. Chooran Chattni, Hajmola Imli, Super Imli, Super Sour, Aamrus, Khopra, Pan Pasand, Hajmola Adrak, and Chatpata Adrak are the best examples of Hilals traditionally flavored candies. In response to consumer, Hilal has played its role to compete, in quality conscious market. Through continuous research and development for that quality consciousness Hilal is manufacturing the products by using the latest technology to fulfill the market demand. Hilal in its own well modern equipped lab does testing process and through expertise it launches good flavors to market. Hilal manufactured hard candies for almost 38 years from 1952 to 1990. In 1992 Hilals mega launch was PAN PASAND, then they started candies likeCHURAN CHATNI, HAJMOLA CANDY, KHOPRA CANDY and AMRAS. Then in 1993 Hilal started manufacturing bubble gums, major launch was DING DONG & it was a very good success. After that HILAL started chocolate business and its first chocolate was CHOCO 4 and mega success was MILKER BAR BAR which was launched recently in 2004, then FRESH UP was launched in 1995 .In 1996 Hilal started jelly business, major launches were PIZZA & EGG jelly.

STRATEGIC MARKETING AND PLANNING

In the year 2004 Hilal started powder business under the brand name of SUNSIP; mega launches were THANDA ORANGE, LIMOPANI and BODY CHARGER , LIMO PANI was a superb success. The Company believes that success requires the highest standards of corporate behavior towards their employees, consumers and the societies of the world in which we live. This is HILALs road to sustainable, profitable growth for their business and long-term value creation for companys shareholders and employees. Hilal has a portfolio of brands that are popular across the globe; its major global customers are Afghanistan, Congo, Bangladesh, Ivory coast, Jordan, Lebanon, Maldives, New Zealand, Saudi Arabia, South Africa, Sri Lanka and United Kingdom.

STRATEGIC MARKETING AND PLANNING

HILALS MISSION
Hilal confectionary (Pvt) Ltd is the largest manufacturer of candies and bubbles in Pakistan, their mission statement is:

To achieve customer satisfaction in response to changing market trends To innovate within existing products and technologies according to market trends To maintain its high market share and market leadership To be accessible to all segments in the market To constantly maintain its high quality standards

Hilal Confectionery (Pvt) Ltd has always given priority to consumer preferences in the market, appealing to different market segments inclusive of all demographic segments. Given the companys focus on high quality, food safety, nutritional value, and consumer appeal, Hilal has achieved the title of market leader in the Pakistani confectionery market.

STRATEGIC MARKETING AND PLANNING

HILALS VISION STATEMENT

Hilal along with its ancillary concerns, currently holds the title of market leader in confectionery, and it envisions to not only maintain this position, but also to replicate this success in new product categories also. Being number one means having to anticipate the customers needs and desires. No one does this well than Hilal.

STRATEGIC MARKETING AND PLANNING

MARKETING ENVIORNMENT OF THE COMPANY (ZARA)

STRATEGIC MARKETING AND PLANNING

ANALYSIS

OF

MICRO

ENVIRONMENT
COMPANY
Hilal has very centralized decision making. There is no as such innovation in marketing. They use third agency for marketing but the final decision rests with the Managing Director (MD). There are two departments under MD: Sales Marketing

Their marketing has moved Limopani positioning from a mere power drink to a refreshing drink for all occasions, emphasizing on a particular benefit of KABHEE BHI KAHIN BHI There are 450 people working in sales department under GM sales. They have regional controllers, town controllers to promote their products. Limopani is available all over Pakistan in both urban and sub-urban areas. They also have finance and administration department.

STRATEGIC MARKETING AND PLANNING

MARKETING INTERMEDIARIES
Distribution firms: They have their distribution firms to stock, invest and move goods from factories to ware houses. Marketing service agencies: They use third agency to promote and target their product to their markets and they are delivering the best of quality and service.

CUSTOMERS
Their customer market is the consumer market which consists of households and individuals who buy goods and services for personal consumption.

STRATEGIC MARKETING AND PLANNING

ANALYSIS

OF

MACRO

ENVIRONMENT
Hilal Confectionery Ltd operates in a large macro environment of forces that shape the opportunities and pose threats to the company. These forces are examined below to show how they affect its marketing plan.

DEMOGRAPHIC FORCES
VARIABLE
Density Age Gender Income Occupation

TYPICAL BREAKDOWNS
Urban, Sub-Urban, Rural 6 to 45 and above Male and Female Rs.6000 and above All

ECONOMIC FORCES
Hilal has positioned Limopani as a premium brand catering to all market segments since majority of population of Pakistan are white collar people who like to maintain a standard in low income. Consumers today have become very price conscious. Therefore, Hilal keeps Limopani prices at a minimum, charging very little brand premium in their bid to remain competitive and maintain market share. Hilal prefers to price its products in such a way that all targeted consumers are able to buy it easily. 10

STRATEGIC MARKETING AND PLANNING

CULTURAL FORCES

Hilal is a company, which is persistence of cultural values. It has been known to produce traditional flavors and the launch of Limopani proves it. It does not only relate to the older generation but also relates to the youngsters of today. Before the launch of Limopani people were used to the home made form of this drink. But powdered form of this traditional drink, Limopani, will make its mark in the instant everything culture, where everything is instant, from instant food to instant information to instant drinks.

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STRATEGIC MARKETING AND PLANNING

ANALYSIS

OF

MARKET

SEGMENTS
Market segmentation refers to putting together people with similar needs in distinct groups of buyers on the basis of needs, characteristics or behavior that might require separate products or product mixes.

SEGMENTATION FOCUS
HILAL has used strategies for Sun Sip Limopani, which was best suited. They did not have enough resources to attack TANG upfront. They focused on the segments which were ignored by tang. Since TANG was positioned as a premium brand, there was no credible brand for the middle and lower class of the society. HILAL capitalized on this weakness and targeted the lower, middle and upper middle class of the society for it. That is the main reason why Limopani was launched in sachets. Moreover Limopanis main focus is on teenagers as it is refreshing and energetic drink and basically its target audience is general public.

SELECTION OF TARGET MARKET


Sunsip Limopani is using an undifferentiated or mass marketing strategy. For this they have ignored market segment differences and they are targeting the whole market with one offer. HILAL has designed Limopani and its marketing

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program which appeal to the largest number of buyers. It relies on mass distribution and mass advertising.

SEGMENT MARKETING
There is no single way to segment a market. A market has to try different segments variables alone and in combination to find the best way to view the structure. Actually, the target market of Limopani is everybody. HILAL has segmented the market on the following basis: Geographic Demographic Psychographic Behavioral MAJOR SEGMENTATION VARIABLES FOR CONSUMER MARKET GEOGRAPHIC
COUNTRY REGION DENSITY Pakistan North Urban South Suburban East Rural West

DEMOGRAPHIC
AGE FAMILY SIZE GENDER INCOME 6 19 years Single Male Rs. 6,000 8,000 20 - 30 years Couple Female Rs. 10,000 20,000 Rs. 20,000 50,000 Rs. 50,000 and above 30 - 45 years Couple with children 45 and above Extended Family

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STRATEGIC MARKETING AND PLANNING EDUCATION Educated Uneducated Illiterate

PSYCOGRAPHIC
SOCIAL CLASS PERSONALITY Upper middle Class Trend -- conscious Middle Class Cultured. Lower Class energetic

BEHAVIOURAL
OCCASIONS BENEFITS USER STATUS USAGE RATE Regular. Refreshing Regular users Light (Single Occasional Energetic Potential users Medium(2-3 glasses per day) Medium Liking Strong Preference Absolute Desirous Special Occasion All seasons First time users Non users

glass per day) LOYALTY STATUS READINESS STAGE None Aware

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STRATEGIC MARKETING AND PLANNING

POSITIONING (SARAH)

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STRATEGIC MARKETING AND PLANNING

POSITIONING
Positioning is the perception of what a brand stands for in the minds of actual and potential customers. It defines the core expectations customers have of the brand. Market Positioning defines how a company wants the target segments to see their brands in a competitive market, and then deliver to the expectation that have been built.

POSITIONING OF LIMOPANI
HILAL feels proud in saying that they are pioneer in presenting the traditional flavors for better customer satisfaction through the modern manufacturing techniques. HILAL has always been on the move keeping in mind the consumers preference and changing taste. They have positioned themselves as one of the leading companies in the industry providing good quality at affordable price according to the customers needs and wants. HILAL has positioned Limopani as offering quality & taste at competition based price. They have been able to capture a chunk of market from their competitors.

COMPETITIVE ADVANTAGE
HILAL has positioned Sun Sip Limopani on competitive advantage of traditional flavour of lemonade as compared to TANG. HILAL has differentiated Limopani on the basis of PRODUCT DIFFERENTIATION.

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STRATEGIC MARKETING AND PLANNING

VALUE PREPOSITION
Value propositon refers to the full mix of benefits upon which the product is positioned. Sunsip limopani is positioned on the following characteristics: As an instant drink. A drink which everyone can drink at any time. As a refreshing drink. Associated with lifestyle. Provides traditional taste of lemonade. Keeps you cool.

The SUNSIP brand has established Limopani as energetic instant and refreshing drink.

POSITIONING STATEMENT

KABHEE BHI.. KAHEEN BHI.

UNIQUE SELLING PROPOSITION


Their unique selling proposition (USP) is providing an instant drink at any time any where.

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STRATEGIC MARKETING AND PLANNING

MARKETING MIX
PRODUCT (SARAH) PRICE DISTRIBUTION SAROASHA PROMOTION

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STRATEGIC MARKETING AND PLANNING

PRODUCT
Product Form
LIMOPANI is the first energetic drink to introduce the traditional flavor of lemonade in the market. Sun Sip Limopani is basically an instant drink; the basic idea behind Limopani isany time any where. Hilal entered the market because they realized TANG was not catering to 100% of the market.

LEVELS OF PRODUCT

Augmented Actual

Core
There are basically 3 levels of products: a) Core Product: It means benefits the consumer seeks from buying the product. Limopani is affordable, refreshing drink that delivers what it promises.

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STRATEGIC MARKETING AND PLANNING

b) Actual Product: It may have as many as five characteristics that are quality level, features, design, brand name and packaging. Limopani is energetic, instant, enriched with vitamin C, 100% synthetic, all seasons and high quality drink at economical prices under the brand name of SUNSIP, highly associated with lifestyle and occasions. c) Augmented Product: It is around the core and actual product by offering additional consumer services and benefits. Hilal does not offer any after sales service for Limopani.

CLASSIFICATION OF LIMOPANI
Limopani falls into the class of consumer product. These are products that are bought by final consumers for personal consumption. Consumer products include convenience product, shopping product, specialty product and unsought product. Limopani is a convenience product.

MARKET CONSIDERATIONS FOR LIMOPANI Marketing considerations Convenience product

CUSTOMER BUYING BEHAVIOR

Frequent Purchase, Little Planning, Little Shopping Effort

PRICE LOCATION PROMOTION

Low price, Affordable Convenient locations, widespread distributions Mass promotion

LIMOPANI DECISIONS
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STRATEGIC MARKETING AND PLANNING

ATTRIBUTES

BRANDING

PACKAGING

LABELING

SUPPORT SERVICE

ATTRIBUTES OF LIMOPANI Quality: High quality, Limopani is performing its functions well (performance quality) by delivering what it promises (conformance quality). Features: Energizing, instant, enriched with vitamin C, for all seasons, traditional taste of lemonade.

BRANDING The SUNSIP brand is a name-turnedsymbol. The name sunsip was initially just a name in the industry. But it quickly gained a name and a loyal following for itself. Through excellent traditional taste, sunsip caught for itself a large market share from TANG, the market leader at that time. Continued innovation through its Research and Development department helped sunsip to become a consumer preferred product within a short period of time.

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STRATEGIC MARKETING AND PLANNING

PACKAGING

They are following general trend in packaging by following major industries in powder business (TANG). A fully automatic facility is established at Korangi industrial area where packs are produced. At this facility limopani is packed in hygienic conditions, untouched by human hands, the packing technology keeps it fresh. Limopani is packed in primary containers. Limopani is available in sachets, boxes, jars and finally now also in tin containers to cater all segments and all occasions. Hilal has used bright green and yellow colours for the packaging in order to associate with the natural colour of Lemon.

LABELING Labeling identifies the product or brand, on limopani the name sunsip is printed which identifies its brand name. Limopani labeling describes several things about it like: LABELING

How to make it

Full Brand Name

Ingredients

Kings logo

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STRATEGIC MARKETING AND PLANNING

Made by KINGS FOOD (sister concern of HILAL ). Produced at sector 15, Korangi industrial area, Karachi. Ingredients. How to make it.

Finally the attractive graphics of limopani with the picture of lemon indicating it is a pure lemon drink. PRODUCT SUPPORT SERVICE No product support service is available.

Product line of LIMO PANI


Product line: A group of products that are closely related because they function in a similar manner and are sold to same customer groups, are marketed through the same outlets or fall within given price changes. HILAL produces five lines of powder drink: Limopani

Body charger

Shakerz

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Thanda Orange

Thandai

LIMOPANI in BCG Growth-Share Matrix


The BCG growth share matrix displays various business units on a graph of market growth rate v/s market share relative to competitors.

Limopani is high growth and high share product of Hilal. Its a star. It is generating cash but the market is growing rapidly so heavy investment is needed to finance its growth, which is provided by HILAL cash cows (choco4, churan chatni and ding dong etc).

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It is a major launch and its market attractiveness is high with HILAL strength in the market. Eventually it is expected that in coming 5 years it will become a cash cow when its industry matures.

PRODUCT LIFE CYCLE


A new product progresses through a sequence of stages from introduction to growth, maturity and decline. This sequence is known as product lifecycle. The following figure shows the course that a products sales and profits take over its lifetime.

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STRATEGIC MARKETING AND PLANNING

Limopani is in the growth stage of product life cycle. In the year 2004 the company decided to launch the brand. At present limopani is in the growth stage of life cycle. As it is in the growth stage HILAL is seeking to maintain its position and capture more market share. The impact of limopani life-cycle characteristics on objectives and marketing mix is as follows:

OBJECTIVES WITH REGARD TO MARKETING MIX:

CONSIDERATION

OBJECTIVE

Offering basic product, trying to


PRODUCT

establish its quality

Competition based price


PRICE

Intensive distribution
DISTRIBUTION

Situational
ADVERTISING

SALES PROMOTION

Using heavy sales promotion

BRAND DEVELOPMENT

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STRATEGIC MARKETING AND PLANNING

LIMOPANI

EXISTING BRAND

Hilal had created a new brand name Sunsip by entering a new product category of instant drinks for which none of its previous brand name was appropriate. Limopani is energetic drink and associated with energy (brand positioning Sunsip ------ energy)

PRODUCT CATEGORY
New New
Line Extension Multi Brands

Existing
Brand Extension New Brands

Existing

LIMOPANI

LINE EXTENSION

After the superb success of sachet launch of limo pani, hilal has introduced additional package sizes under the same brand sunsip. It has introduced jars and cartons to introduce it as an occasional drink.

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STRATEGIC MARKETING AND PLANNING

PRICE
LIMOPANI PRICING APPROACH
HILAL has adopted Competitive Pricing approach. They have adopted this pricing approach on competitor's on-going rates with less attention to their own cost. Compared to their major competitors, Hilal is offering product differentiation as traditional taste of lemonade (as people were used to of home made drink of this type) for same prices. Limopani promises to deliver traditional taste at same prices. Hilal has used this method to compete with their competitors. If they offered high price, consumers would not have purchased it. On the other hand, if they offered low price, consumers would have considered it as a low price product. Therefore, they adopted the competitive pricing approach to send a message that Limopani is at par with its competitors in terms of both quality and price. This pricing method has been extremely successful and has helped Hilal to achieve its objectives. List Prices of different package sizes of Limopani PACKAGE SIZE
Sachet(26.8 gms) Economical Pack (225gms) Economical pack (450gms) Glass jar (250gms) Tin pack (900gms)

PRICE
Rs. 6 Rs. 60 Rs.100 Rs. 110 Rs.180

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Hilal had set the initial price low in order to attract large number of buyers quickly and to win large market share. This is why they launched Limopani first in sachets in low price matching their major competitor so that consumers can easily try it.

FACTORS AFFECTING PRICING OF LIMOPANI

Internal factor Marketing Objective

PRICING DECISIONS

External factor
Competitors Price

INTERNAL Marketing objective Limopanis marketing objective is to cater all market segments, its a drink for any time any where. Due to this they have set their prices as easily affordable by all markets that was the main reason of sachet launch of Limopani. EXTERNAL Competitors price The major factor affecting its pricing strategy is competitors price, they have set prices following the general trend of its major competitor Tang, because setting lower prices would result in bad image and high prices would result in low sales.

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DISTRIBUTION
CHANNEL LEVEL
FACTORY DISTRIBUTOR RETAILER

DISTRIBUTION
Distribution refers to the steps taken to move and store a product from the supplier stage to a customer stage in the supply chain. Distribution is a key driver of the overall profitability of a firm because it directly impacts both the supply chain cost and the customer experience. Distribution creates time and place utility. Intensive Distribution Exclusive Distribution Selective Distribution

Since drink is a convenient product, Hilal uses intensive distribution to make sure that the product is widely available at as many outlets as possible.

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DISTRIBUTOR ORIENTED PROMOTIONS


The company offers incentives to distributors against which they are expected to achieve certain sales target.

ASSORTMENT
Limopani is easily available all over Pakistan. Sachets are available at every road corner store as well as at all big general stores, whereas Limopani cartons and jars are available exclusively at big general stores and all grocery stores. e.g Aghaz, Naheed, EBCO and Mottas for Karachi.

LOCATIONS
It is available all over Pakistan in all provinces, in urban, suburban and even in rural areas.

INVENTORY
They depot all the stock from factory to distribution centers, these centers invest and stock their goods and finally deliver to retailers.

TRANSPORTATION
They are using trucks for transporting goods from factory to distribution centers.

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PROMOTION
Hilal being the market leader has a very aggressive promotion strategy. Limopani takes out product promotions by its exclusive time checks on Radio and various Television channels. Its emphasis is on the major chunks of the market size, therefore to stays on its consumers mind it involves in effective advertising campaigns on Print and Electronic media, bill boards at different places which is also a part of its promotion strategy.

PROMOTION MIX STRATEGY


Initially Hilal adopted the pull promotion strategy that called for spending a lot on advertising and consumer promotion to build up consumer demand. The company promotes Limopani as a product which can be consumed by everyone to satisfy their needs.

TARGET MARKET
Limopanis target audience is basically the general public. On a more detailed note it targets the lower middle class and middle class. It tries to draw in potential customers, while trying to keep the current consumers happy.

COMMUNICATION OBJECTIVE
Initially, Hilals communication objective was to create awareness and knowledge about Limopani, an instant drink that replaced traditional method of making Lemonade.

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MESSAGE DESIGN
MESSAGE

Emotional Selling Proposition: positive emotional appeal concerning love & joy.

Attractive and popular models, displaying naturalness in their roles.

Multi-sided presentation: relates to younger generation as well as older one.

Print ad; uses bright shades of green, depicting an instant energy drink. Tv ads: quality family time is spent in a happy home, while drinking Limopani.

The great thing about the product is its name, Limopani The launch TVC of Limopani Caveman implied on the old trusted form of lemon mixed with water. Hilal established Limopani as a brand composed of natural ingredients. The message was overtly established through an ancient setting that transformed into contemporary situation. The follow up TVC based on the Family was the effort to establish that Limopani is meant for all age groups.

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Currently, Limopani TVCs depicts a homely environment of love and togetherness which shows that this instant drinks is meant for customers of all ages and for all occasions. It basically targets families as a whole. Therefore, an emotional appeal is being used to draw the audience. Later when sugar was out of the market then Limopani was promoted it as a drink which does not require addition of sugar. At present their TVC focus on scorching heat of summers. Their ads show that it is only instant drink that is refreshing and can be used any where like in shopping mall, farm houses, beaches etc. Moreover during month of Ramzan Hilal especially advertises it as a perfect drink for Iftaar. In billboard ads, the color theme is bright green. The captions are large and there is huge, attention grabbing picture of laughing, content family and the picture of the product itself is also very eye catching. The fonts are equally distributed and homogenous throughout. All the characters are well known models therefore, the audience feel associated with the product.

COMMUNICATION CHANNELS
Limopani uses a non-personal communication channel, i.e. print media, display and broadcast media.

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ADVERTISING
Brands are not only sold as physicals attributes but rather sold as perceptions; there fore the role of advertising can never be ignored. The success of Limopani goes to advertising agencies as they not only created a high brand image but also replaced the brand name as generic word Limopani. In the month of May 2004 even if some one havent watched TV they could not have missed to observe that a brand had been launched nationwide, because of effective use of Billboards. Limopani made effective usage of TV commercials on selective TV channels. Their ads reinforced the different occasions of the usage of the product. The idea of having Limopani in a sachet, anytime and anywhere was a great idea, just add water to the mix and there you have it, the freshness of Limopani. The idea and execution was very well done in a very fresh, funky and out of this world manner that appealed to the young as well as the old. The designs of the billboards were very eye catching with hoardings put up in every nook and corner of Karachi. Excellent photography and execution and the treatment of the product as well as the models were A class. According to the theme the colors used for billboards were very good. 35

STRATEGIC MARKETING AND PLANNING

Currently, Hilal advertises Limopani mostly through Radio and Television ads. Its objective is to satisfy all types of customers by focusing on their different need. For this they promote Limopani as a product which can be consumed at any time, whether u are out shopping, exercising, studying, or hanging out with friends. Their ads show love, care and affection among family and friend. The ads show that family and friends can spend good quality time together and can refresh themselves by having Limopani. Apart from focusing Limopani as a refreshing drink in their ads, Hilal is also highlighting their customers. Their recent ads deliver the message that Customer is always right. This is inline with their mission of satisfying their customers.

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COMPETITOR ANALYSIS (LUBNA)

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ANALYSIS OF COMPETITORS
Competitors are the major threat faced by every company in a market. Companies need to keep a careful check on its competitors. They have to keep into consideration that what other competitors is offering, at what prices, what quality, what benefits etc.

Limopani was a new concept but it has captured a very large market. However, all major powdered drinks are its competitors.

COMPETITION
For ease in analyzing competition, competition can be divided into four types: BRAND COMPETITION Competition that exists between several brand of the same company or different company in the same industry is called brand competition. Limopani faces tough competition from Tang, as it acquires a dominant place in the market. At a lower

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side it faces competition with Energile, Kwikool and Suncool. Recently, a new powder drink Frutility has been introduced in the market. INDUSTRY COMPETITION Competition that exists between several industries offering same product is called industry competition. Hilals major industry competitors are Kraft Foods who are producer of Tang and now they would face competition tough from National Foods who have come up with a powder drink recently called Fruitility. FORM COMPETITION All different products that are satisfying the same need is called form competition. Limopani have form competition with Energy Drinks (Red Bull, Bomba, Caution, Blue OX, etc), Frooto, Mitchells Squash etc GENERIC COMPETITION On the Generic side Limopani is competing with every consumer product that are available in the market from Candies and Bubble gums to powdered drinks.

SUNSIP LIMOPANI AS MARKET CHALLENGER


In Pakistan Hilal dominates the confectionery product market. Limopani being a market challenger is giving a tough competition to brands like Tang and has been able to gain a respectable market share. COMPETITIVE STRATEGIES Competitive strategy is the formal strategy that describes the method to destroy the competition in a business environment.

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Introducing Limopani in market was a risky because major competitor Tang, enjoyed market leadership and acquired a dominant place in the market. Hilal focused of segments which were ignored by Tang. Since Tang was positioned as a premium brand, there was no credible brand for the middle and lower class of the society. Limopani capitalized on this weakness and targeted the middle ad upper middle class of the society. In order to counter this they introduced Limopani in sachets to attract customers from all social classes.

COMPETITORS AND MARKET SHARE


PRODUCT
TANG LIMOPANI ENERGILE KWIKOOL OTHERS

MARKET SHARE
40% 20% 9% 5% 26%

TANG Tang is the global leader in Krafts powdered soft drink portfolio. By providing a nutritious, real fruitflavored drink at an affordable price, Tang has gained great popularity in Latin America and emerging markets in Central and Eastern Europe and Asia, including People's Republic of China.

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ENERGILE Unilever Pakistan Limited is the largest fast moving consumer goods company in Pakistan. Energile belongs to powdered drinks Rafhan Bestfood Ltd which is owned by Unilever. Energile is the only energy drink produced and marketed by Unilever. Over the years it has been able to retain a constant share how ever with growing consumptions and competition it is facing serious challenge to retain its customers. Energile with its new variants has not been able to register in the minds of it hard core consumers and with the launch of Limopani it is losing cutomers in the rural market also. SUNCOOL AND KWIKOOL Suncool and Kwikool were introduced in the competition after the launch of Limopani but they could not acquire dominant market share because of its low value. FRUITILITY Recently, National Foods has introduced a new powder drink by the name of Futility. Because National Foods is a well known brand among consumers, Limopani will have to face a tough competition from them in the future.

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PERCEPTUAL MAP OF THE BRAND COMPETITION FACED BY THE COMPANY


HIGH PRICE

TANG

FOSTER CLARKS
LOW QUALITY HIGH QUALITY

LIMOPANI ENERGILE KWIKOOL SUNCOOL FRUITILITY

LOW PRICE

The position which Limopani holds in the minds of the target audience is of high value. It offers people more value than just a flavored drink; however the competitors lead in the area of perceptions, as TANG is considered to be the best and of most high value. In reality the prices of Limopani and Tang are some what same but still it is not considered as a premium brand.

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SWOT ANALYSIS
STRENGTH
Sugar free Effervescent Small pack convenient for shoppers, takes less space Aluminum foil safe / hygienic Economical, easy to buy Separate foils, consumers can buy one or two sachets Refreshing and soothing effect Balance formulation provide supplement of mineral and vitamin c Easy to make and easy to serve

WEAKNESSES
No previous experience No brand image

OPPORTUNITY
Growing Market Health awareness Export in Myanmar, Bangladesh and India Future line extension in different flavors like pineapple, strawberry etc Less chances of WTO impact

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THREATS
Lower price brands Increased cost of advertising Imported raw material

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CONCLUSION
Kings Food (Pvt.) Ltd, the company behind Limopani, saw the huge market of flavored powdered energy drinks with only few major players life Tang and Energile. In Pakistans generally hot weather, lemon juice is traditionally consumed in water to provide refreshment from the sweltering heat of the sun. you will often find thailay walas near bus stops or populated places selling these drinks, locally termed as sikanjbeen or nibopani. Thus Kingd food gave birth to Limopani as a direct competitor of Tang and Energile in powdered energy drinks market. Since its launch, Limopani has captured 20% market share and has been a great success.

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STRATEGIC MARKETING AND PLANNING

RECOMMENDATIONS
Limopani has well defined segments and the products are targeted and positioned accordingly. However, according to our analysis, there are certain areas where Limopani can avail a lot of opportunities. Sun Sip should increase their product length of powder drinks by introducing flavors which are more popular among the masses these days, such as strawberry, pineapple etc as Limopani is a great success. There is a large segment of people at work who need drinks to refresh themselves. Limopani should focus on this segment and capitalize on it, targeting middle level companies and banks. Limopani is following the price trend of their competitors due to which they are losing on their costs, therefore they should adopt a cost based pricing approach. Frequent surveys should be conducted in order to assess the brand as is seen by the consumers. . Limopani can build more brand awareness and brand preference by sponsoring well-regarded events for example, art shows, cricket tournaments etc. Limopani should also focus on seeking international opportunity such as launching the product in India, Myanmar, Bangladesh, Nepal etc.

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