MARKETING MANAGEMENT

Term Project

Sir Faisal K. Qureshi Wednesday, 3:00pm ² 6:00pm

Submitted by: M. Zubair Nida Zafar M. Umer M. Arsalan Mehla Ahsan Bham

(7971) (7980) (8028) (7989) (8117) (8106)

Wednesday, December 16, 2009

Letter of Authorization
Wednes day, December 16, 2009 D ear Rea der : As aut hor ized by our t eacher S ir Fais al K. Qur es hi , we deci ded t o intr oduce a new pr oduct na med BRIO Ener gy Chocolat e Bar . T his report contai ns compl et e inf or mat ion about t he pr oduct a nd t he company¶s strat egy t o achi eve s ucces s . Al s o i ncluded i n t his r eport is a det ailed analys is of t he company¶s pos it ion in t he mar ket and t he pr oducts it will be ma nufact ur i ng. All inf or mat ion is pr es ent ed in a ver y s i mpl e ma nner , for t he int er est of a common r ea der. T his r eport cons ist s of genui ne and compl et e s our ce of inf or mat ion on bot h t he compa ni es. You ma y cont act us for furt her quer ies or comment us on our wor k. Sincer el y, M. Zubair Nida Zafar M. Umer M. Ar sala n Mehla Ahs a n Bha m (7971) (7980) (8028) (7989) (8117) (8106)

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Letter Of Transmittal
Wednes day, December 16, 2009 Sir Faisal K. Qur es hi Facult y M ember, Mar ket i ng Mana gement Iqra Uni ver s it y, Def ence Vi ew Karachi D ear Mr. Qur es hi : We ar e s ubmitt ing her e our t er m r eport on t he launchi ng of a new pr oduct na med BRIO Ener gy Chocolat e Bar . Init ial pages of t his r eport als o cont ain t he br i ef inf or mat ion about compa ny¶s backgr ound and t he pr oduct it is off er ing. All t he inf or mat ion pr ovi ded i n t he r eport is compr ehens i vel y dis cus s ed wit h a sat is fact or y backgr ound of vali d fact s and figur es . If t her e ar e any ques t ions or quer i es you have about t he mat er ial pr es ent ed in t his r eport, we will be extr emel y glad t o appear bef or e you. Sincer el y, M. Zubair Nida Zafar M. Umer M. Ar sala n Mehla Ahs a n Bha m (7971) (7980) (8028) (7989) (8117) (8106)

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Acknowledgement
D ear Rea der : Wit h t he bles s i ngs of ALL AH t he al mi ght y, t he r eport encl os ed has r eached it s st age of fi nal compl et i on. T his r eport is a r es ult of exhaust i ve and much ent hus iast ic wor k. We ext end our heart i est t ha nks t o S ir Faisal K. Qur es hi, for conduct ing t his cour s e a nd maki ng it int er es t ing and knowl edgeabl e, wit hout her eff orts and co -oper at ion t he r eport woul d not ha ve been pos s ibl e. We als o t ha nk for her confi dence and tr ust s he ha d i n us, i mport ance of whi ch can in no wa y be under est i mat ed. We ar e equall y grat ef ul t o Iqra Uni ver s it y for pr ovi di ng us t he oppor t unit ies t o purs ue our endea vor. We als o appr eciat e t he st udent s of Iqra Uni ver s it y, who as s ist ed us in pr ovi ding us all t he neces s ar y inf or mat i on and feedback t hat we r equir ed for compl et i ng t his tas k. We hope r ea ders of t his r eport can compl ement t he dept h of t he st udy and eff ort s put i nt o it. T hanki ng You Sincer el y, M. Zubair Nida Zafar M. Umer M. Ar sala n Mehla Ahs a n Bha m (7971) (7980) (8028) (7989) (8117) (8106)

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Table of Contents
1. Introduction ................................ ................................ ................................ ...................... 1 1.1. 1.2. 2. Brand Name................................ ................................ ................................ ............... 3 Logo ................................ ................................ ................................ ............................ 3

Mission Statement ................................ ................................ ................................ ............. 4 2.1. Vision ................................ ................................ ................................ .......................... 4

3.

SWOT Analysis ................................ ................................ ................................ ................ 6 3.1. 3.2. 3.3. 3.4. Strengths ................................ ................................ ................................ ..................... 6 Weaknesses ................................ ................................ ................................ ................ 7 Opportunities ................................ ................................ ................................ ............. 8 Threats................................ ................................ ................................ ........................ 8

4. 5.

Ansoff·s Product-Market Expansion Grid ................................ ................................ ..... 10 Competitors Analysis ................................ ................................ ................................ ...... 11 5.1. 5.2. 5.3. 5.4. 5.5. Direct Competitors ................................ ................................ ................................ .. 11 Indirect Competitors ................................ ................................ ................................ 11 Market Share of Competitors ................................ ................................ .................. 12 Competitive Advantage ................................ ................................ ............................ 13 Perceptual Map ................................ ................................ ................................ ........ 14

6.

Target Market ................................ ................................ ................................ ................. 15 6.1. 6.2. 6.3. 6.4. Age: ................................ ................................ ................................ ........................... 15 Use: ................................ ................................ ................................ ........................... 15 Usage pattern:................................ ................................ ................................ ........... 15 Geographic Location: ................................ ................................ .............................. 15 v

7.

Marketing Mix ................................ ................................ ................................ ................. 16 7.1. 7.2. 7.3. 7.4. 7.5. Product: ................................ ................................ ................................ .................... 16 Place (Distribution): ................................ ................................ ................................ . 16 Price: ................................ ................................ ................................ ......................... 17 Promotion: ................................ ................................ ................................ ............... 18 Promotional Mix: ................................ ................................ ................................ ..... 19

8.

Promotional Budget ................................ ................................ ................................ ........ 21 8.1. 8.2. Media allocation: ................................ ................................ ................................ ...... 21 Media Schedule Charts ................................ ................................ ............................ 22

9.

Financial Projections ................................ ................................ ................................ ....... 25 9.1. 9.2. Estimated Demand ................................ ................................ ................................ .. 25 Company Sales Forecast ................................ ................................ .......................... 25 Conclusion ................................ ................................ ................................ ................... 27

10.

Table of Figures
Figure 1: Ansoff's Product-Market Expansion Grid ................................ .............................. 10 Figure 2: Market share of Competitors ................................ ................................ .................. 12 Figure 3: Media allocation based on sales volume ................................ ................................ . 21 Figure 4: TV Channels on which Ads will be televised ................................ ......................... 22 Figure 5: Radio Channels on which Ads will be aired ................................ ........................... 23 Figure 6: Advertisement hoardings in different areas ................................ ............................ 23 Figure 7: Magazines and Newspapers through which promotion will be done .................... 24

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Executive Summary
Our product is classified as ´new-to-the-worldµ product as its competitors may include both the company·s manufacturing chocolate bars and also that manufacturing energy -providing edibles but our product is only one of its kinds to be both a confectionary item and an energy-booster. Our target market consists of youth and professional adults because our product is what helps them to take back their energy-zapped afternoons after their school or college and offices. Initially, we have allocated a large promotional budget understanding the need to make the target consumers aware of the brand and product itself. Keeping in mind that our target market belongs to Pakistan, we have designed our advertising campaign to convey our concept efficiently as well as effectively. We do not expect to make huge profits in the first year but we are sure that if we successfully convey our concept and make our product stable in the market, enormous profits follow in the long -run.

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1. Introduction
´BRIOµ is a new confectionery product from its company that is ideally located in SITE Karachi, the largest industrial estate of Pakistan. BRIO Company is a small-scale manufacturer catering to high-priced segment. It is established to manufacture high quality confectionery products and establish a strong brand name in the chocolate industry in Pakistan. We have the most sophisticated process technology to produce one of the best quality chocolate in the market today. We realize the importance of efficiency and creativity to achieve growth in a competitive environment and keeping this in mind we have introduced ´BRIOµ ² an energy chocolate bar that is a major source of revitalizing energy among our target consumers. The slogan is ¶GET MORE GO· due to its high energy content. With BRIO you can give your energy a crunchy edge and enjoy every bite full of quality chocolate. Although the market for such products is small, but by developing a clear concept of an interesting product like BRIO it is predicted that there is a fair chance for profits to be earned. Such products are usually not successful in our market because firstly, the needs of the customers are not identified or catered in most efficient way. The consumers need to be made aware of the benefits and use of energy revitalizing products such as ´Brioµ properly so that the concept is not misstated. Secondly, they are usually not directed to the right target market segment. So through our marketing efforts and advertising programs/strategies we aim to achieve these objectives with BRIO·S launch in the market.

Page |2 We have decided to allocate a total budget of Rs. 15M, which is our own personal investments and borrowing a loan of Rs. 7.75M. Also, our company is a private limited company which includes six entrepreneurs whose inputs are as follows: Mr. Muhammad Umer: Rs. 3M Ms. Nida Zafar: Rs. 3M Mr. Muhammad Zubair: Rs. 2.5M Mr. Muhammad Arsalan Sheikh: Rs. 2.5M Ms. Mehlan Rs. 2M Mr. Ahsan Bham: Rs. 2M Capital investment of Land & Building, worth Rs. 12.5M, for setting up the plant was already bought by one of the entrepreneurs so no rent has to be paid. Machinery costs Rs. 6M, promotions were allocated a budget of Rs. 2M ATL and BTL activities. Research and development expense was Rs. 0.5M. A stand-by generator costing Rs. 1.5M has also been installed keeping in view the current electricity crisis. Rest is miscellaneous including labor, management, transport and distribution. Along with adequate amount left aside for worki ng capital and future investments. Further details have been discussed in the concluding part of the report alongside the demand and sales forecast for the next three years with a profitability analysis. The company also aims to establish a diversified portfolio of products in future if ¶BRIO· (energy) chocolate bar is a success.

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1.1. Brand Name
We are a newly established company launching our product that is a chocolate bar named as ´BRIOµ. The Italian word Brio means ´Energyµ. We have selected our brand name ´Brioµ as our product is not only an ordinary chocolate bar but an ´energy -booster chocolate barµ. Our new energy-booster chocolate bar satisfies two needs states, that is, Hunger and Energy. This quality is what makes our product different from all other available alternatives.

1.2. Logo

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2. Mission Statement
Our mission statement is dedicated to provide the best chocolate (energy) bar to its consumers that would keep them filled with energy throughout the day, giving them a unique experience of our quality service provided to them by anticipating and meeting their needs. ´BRIOµ aims to bring a change in consumer taste and lifestyle preferences. It is our intension, as a business to provide quality confectionery that enhances customer loyalty and our brand image.

2.1. Vision
Within a year BRIO wants to attain a significant market share and profits by providing its customers one of the best energy chocolate bars in Pakistan through its marketing efforts and creative advertising programs. We plan to follow a group of po licies that are designed to maintain a good reputation/brand image in the market and to ensure that the company operates in a way that meets or exceeds the requirements of our customers, all marketing operations and has an overall beneficial impact on the environment. Our mission statement emphasizes that with the launch of BRIO we should fulfill few objectives to achieve success quickly: 
Creating more awareness among customers about food or drinks

that revitalizes energy in their bodies 
Explain clearly the uses/ benefits of BRIO  Ensure availability of BRIO in all its target segments  Maintain ethical values and avoiding ethical dilemmas

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Continuing to provide good quality and Integrity in order to

encourage repurchases which would lead to maintaining brand equity in future. 
Fulfill social responsibility with honesty

Our company policy is inclined to achieve all these objectives and work in accorda nce with our mission statement.

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3. SWOT Analysis
3.1. Strengths
3.1.1. The unique selling proposition:
Ingredients of BRIO such as milk chocolate, vitaminB1, peanuts and almonds deliciously blend in together are to give a mouthwatering affect on the consumers in addition to the fact that it·s a healthy snack which gives an energy boost. Hence the products itself is distinct and will tempt the consumers to buy.

3.1.2. The organized distribution network:
BRIO·s another strength is its organized distribution network. We primarily distribute our product through wholesalers and retailers. We also distribute our product to canteens and cafeterias of almost all schools, colleges and universities that fall in our geographic location. Our qualified sales person makes it possible for BRIO to be available at the right place and in the right time. Our distribution network makes sure that there is no reported product shortage and there is adequate supply when demanded.

3.1.3. The trained and skillful personnel:
Our company has been successful in recruiting qualified and experienced personnel who eventually serves as a great strength. The staff being able to coordinate well with each other, meeting deadlines and accomplish tasks efficiently and effectively adds up o the company·s overall success.

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3.1.4. Adequate Capital:
Although BRIO is a newly established company but it does have enough capital investment and cash flow for the budgets that will enable us to achieve success in every possible way.

3.2. Weaknesses
3.2.1. Restricted target market:
Our target market is SEC A and SEC B which will not allow us to cater to SEC C which has a high proportion of teenagers and children th roughout the country.

3.2.2. Pricing strategy:
Our company uses a penetration pricing strategy that is, setting lower prices to increase demand for the product. As we have priced a standard bar of BRIO of Rs.45 and a smallsize bar for Rs. 25 and strong energy providing ingredients are costly thus it may not enable us to reap high profits in the beginning unless its bulk buying.

3.2.3. Geographically limited market:
Our company caters t the limited market of Pakistan. Products such as chocolates and energy boosters are seen to be more successful in the international markets. Pakistan being a developing country still comparatively has a smaller market. Also people, from our target segment, hesitate in accepting and consuming any such product especially if it is local. They doubt the quality because of the home-country image they have.

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3.3. Opportunities
3.3.1. No direct competition:
Our biggest opportunity is that none of the competitors has yet positioned a product similar to BRIO that is an energy-boosting chocolate, so far. It is goi ng to be a new concept with a ´Get More GOµ theme and hence opening new doors to success.

3.3.2. Attracting various total consumers consumer base:
Though our target market is youth and professional adults, we assume and foresee many middle aged working people eventually buying BRIO as their complementing mean for energy too because people who work are usually out of time to have their proper meals and needs energy to complete their tasks.

3.4. Threats
3.4.1. Hurdles in gaining market share:
With present well established competitors such as Cadbury and Candyland in the confectionery industry it is not that easy to not only penetrate the market but also to attract the consumers and hold the consumer attention in the longer run. Tactful promotin g idea will have to be applied all along our marketing campaign which could be costly.

3.4.2. Political situation:
Any sort of law and order situation in the country and political instability like the recent threats and associated strikes related to them especially in Karachi as our Manufacturing factory is situated here, could halt the production and the functioning of the business.

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3.4.3. Substitutes:
Emergence of substitutes could turn the tables around for us. In this rapid pace of development any other competitor in the Industry such as Candyland could immediately come up with an identical product such as BRIO. Also, present substitutes that are the energy-boosting products (such as: various energy drinks) available have already gained consumers trust, the possibility of substitution is relatively higher in the long run.

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4. A

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Grid

Marketing strategy we are going to use in relation to the Ansoff·s grid is the diversification strategy. The market is new for the company and no such product exists in the marketof Pakistan. So for innovation of a new product in the new market the whole process is to be followed from the idea generation and screening, testing and commercialization. Depending on exhaustive promotional strategies with a greater focus on attracting consumer company will , need to create achievable objectives which will strengthen consumer base and eventually a stable market for future products of the company as well.

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F gure 1 Ans
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's Product-Market Ex ans on Grid

 

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5. Competitors Analysis
The market for confectionery in Pakistan increased in 2000-2005, at an average annual rate of 8.5%. The leading company in the market in 2005 was Kidco manufacturers. The second-largest player was Candyland with Cadbury Schweppes in the third place. Then, market for Confectionery in Pakistan increased in 2002-2007, at an average growing annual rate of 7.3%. The leading company in the market, in 2007, was Candyland which is still continuing to progress at a rapid rate. The second-largest player was Kidco Manufacturers with Cadbury Schweppes plc in third place. Currently in the unique market where BRIO is being placed, there is no direct competition present in the local industry. However, imported products exist in the market fortunately such stocks are kept on demand basis and selective premium stores charging a premium price. Preliminarily our analysis considers Candyland·s ¶Sonnet· chocolate bar as our main competitor. Company aims to capture its market completely because as sonnet was launched, the bar did not properly cater to the consumers needs by explaining the uses and benefits of an energy chocolate bar clearly nor were they able to capture a large market.

5.1. Direct Competitors 
Cadbury Chocolate Bars  Candyland·s Sonnet Bar

5.2. Indirect Competitors 
Redbull energy drink  Rooh afza  Energile

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5.3. Mar

t har

tit rs

Market Share
Others 18%

Candyland 28%

Rooh Afza 22%

Cadbury 32%

Figure 2 Market share of Competitors

From the figure illustrated above we can infer that the highest market share is of Cadbury mainly, due to their diversified portfolio. Candyland has the second largest market share, although it also has a wide variety of confectionery items but they are not so compatible with Cadbury when it comes to quality and popularity. Rooh Afza on the other hand has the third largest market share and this was mainly achieved from the popular dairy milk chocolate that was sold out to even the lower class and lower-middle class consumer segment at a comparatively lower price prevailing in the industry, making it more attractive product. Otherwise it is a foreign merger and is not exactly a very direct competition for BRIO. Rest of the confectionery market comprises of competitors that are international and other local Pakistani firms that are still striving hard to achieve a major competitive share in the market.

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5.4. Competitive Advantage
The Competitive advantage of BRIO is its Unique Selling Preposition (USP) as an ´energy booster chocolate bar.µ Additionally, our product can have a highlighting attribute of serving as a snack bar. Pakistan's market has so far not come across many unique confectionary items. Our main direct competitor is Candyland's Sonnet Bar which failed to convince the consumers and could not achieve success due to lack of persuasive skills of the marketing team. The TVC of Sonnet chocolate bar even though showed a cricket match scenario in which a player after having Sonnet chocolate bar becomes totally energetic but the message was vague because the product itself was not positioned as an energy provider. We have positioned BRIO as the ultimate energy providing Chocolate Bar. Our marketing campaign is entirely based on this theme from Radio, TVC, Print ad etc. Our below the line marketing also completely promotes BRIO as a chocolate energy bar. Our marketing campaign is based on the concept of 'Super Heroes'. We have portrayed in the promotions that a normal individual after eating the BRIO Bar turns into a Super Hero, irrespect ive of the gender, color etc. As our target market is mainly kids and teenagers hence the idea is likely to be well accepted and successful. As discussed earlier, our major competitors are only the international products which are not commonly available in the local market. Therefore, our target market has been observed to consume international chocolate bars more than the local ones. In that case selected population, Snickers is considered to be taken by many young individuals for instant energy; however, Snickers is not positioned as an energy bar. Making our product as a high quality energy snack we intend to capture greater market share where we might be able to attract greater volume of consumer who will prefer buying our product. Thus we are to market BRIO to meet the local as well as international competition, thus a

P a g e | 14 considerable amount was set aside for Marketing budgets initially. In addition we have portrayed and promoted Brio keeping in mind both direct and indirect competitors. Thus our TVC and print ad even though shows a chocolate bar but give an effect of heroic energy seen by the indirect competitors such as Red Bull earlier before. Therefore our competitive advantage lies of our unique skill of covering all the aspects of competition but urging the consumer to buy the product.

5.5. Per eptual Map
Energy Provider BRIO RED BULL

ENERGILE

Dairy Milk

ROHAFZA Drink

SONNET

Chocolate

Jubilee NOW

Non-Energy Provider

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6. Target Mar et
6.1. Age:
Teenagers (College Students) Adult (University Students) Professionals & Sportsmen 13 ² to ² 19 20 ² to ² 26 27 ² to ² 45

6.2. Use:
BRIO is used as a snack. It is not in any case a meal replacement. To meet consumer needs and help millions of Pakistanis take back their energy-zapped afternoons, BRIO is proclaiming the post-lunch, pre-dinner hour between 2:00pm and 3:00pm which is the ¶RePower Hour·.

6.3. Usage pattern:
Our target consumers use it to boost their energy level and also to dilute the hunger between their meal intervals. It is primarily used as a snack bar chocolate.

6.4. Geographic Location:
BRIO, initially plans to cater the three main cities of Pakistan:
Cit Karachi l s 


Lahore

Islamabad

Defence Housing Authority, Clifton, Gulshan-e- q al (All private institution, i.e. School, Colleges, Universities) Defence Housing Authority, Model Town, Gulberg, (All private institution, i.e. School, Colleges, Universities) Defence Housing Authority, Sector F-6, 7 ,8 ,10, 11, Korangi Town, Wapda Town (All private institution, i.e. School, Colleges, Universities) 

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7. Mar eting Mi
7.1. Product:
Our product is a chocolate bar that not only provides taste but also boosts up energy leve l. New BRIO Energy-booster Bar satisfies Two Need States, Hunger and Energy.

7.1.1. Product Ingredients:
Milk Chocolate (20% - sugar, cocoa butter, full milk powder, cocoa, emulsifier: lecithin), peanuts, sugar, salt, guarana, dextrose, glucose syrup, invert sugar syrup, caramel (4.3 % sugar, humectants: glycerol, dietary fiber).

7.1.2. Benefits Ingredients:
Ingredients used in the product are all imported and have several benefits. The first benefit ingredient is ´Peanutsµ. Peanuts are high in fiber and provide energy according to a scientific research. It is packed full of roasted peanuts caramel and milk chocolate. Secondly, B-vitamins added to the great tasting nougat provides consumers lasting energy and hunger satisfaction. Thirdly, herbal plant powder known as ´Guaranaµ is included in the ingredient which has no side effects and is an energy booster. The plant origins from Portuguese, made popular by Brazilians.

7.2. Place (Distribution):
Initially, we are catering to two cities of Pakistan namely:
5 Karachi 5 Lahore 5 Islamabad

P a g e | 17 Because these cities happen to have large portion of SEC A and SEC B as compared to the other cities and also the population is more educated and aware to adopt or accept such product easily.

7.2.1. Distribution Route:
a) Manufacturer-Wholesaler-Retailer-Consumer: We manufacture the product and sell it in bulks to the wholesalers that in turn re -sell it to

the retailers. Retailers then sell the product in desired quantities (bundle or individual pieces) to the final buyers.
b) Manufacturer-Retailer-Consumer We also sell the manufactured product directly to the retailers who re -sell it to the final

buyers.
c) Manufacturer-Consumer The ways in which we directly distribute the product to the final buyers are through

campaigns and stalls at universities, colleges shopping malls like Liberty Mall and Park Towers along with stadiums and parks.

7.3. Price:
7.3.1. Competitors products pricelist:
a) Direct competitors:
Half-Size (Rs.) Candyland s Sonnet Bar Candyland s Now Mitchells Jubilee Cadbury Chocolate Bar 5 5 Full-Size (Rs.) 10 15 10 25 Standard (Rs.) Red bull (Can) Roof Afza (Bottle) Energile (Packet) 100 65 75

b) Indirect Competitors:

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7.3.2. Cost Distribution:
a) Full Size Bar: (Price Rs. 45)
(Rs.) Raw Material Labor Profit Margin Retail Price + Sales Tax (21%) 28 4 5.2 (37.2 + 7.8) = 45

b) Half Size Bar: (Price Rs. 25)
(Rs.) Raw Material Labor Profit Margin Retail Price + Sales Tax (21%) 16 2 2.7 (20.7 + 2.6) = 25

7.4. Promotion:
7.4.1. Short-term Promotional Objectives:
Our first short term promotional objective is to create Brand Awareness among our ta rget market for that will make it easier for them to accept and actually buy our product and gain market share. If people are aware of your brand, it makes you stable in the market too. Secondly, attracting a large consumer base is another short term goal to achieve. The more the consumer knows about your product the more is the urge to try and then eventually buy. As the demand will increase, the market share or market for the product wil l increase. Lastly, to attain the Consumer·s Attention. In the cluster of products available, promotions are essential to attract consumer·s attention and differentiate your product from other available substitutes.

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7.4.2. Long term Promotional Objectives:
The main long-term objective of any promotional activity is to Increase Sales of the product. In the same way, our promotional activities are guided to increase sales of our product. Promotions are designed in ways to encourage sales that ultimately add up to Pr ofit Maximization. It is the goal of any company to achieve and so is ours. After successfully attracting it is of utmost importance to hold the consumer·s attention. Our promotional activities make sure that our target consumer remembers our product and can recall it easily when making a buying decision. As consumers remember and recall your product, your Brand Equity builds up. We object to attain Brand Equity to enhance our customer loyalty which in future will help us to charge a higher-price for our product and not just gain but also retain our market share in case of fierce competition. As stated above, Increase in Market Share will help us to stand severe market competition & also to eventually become the market leaders.

7.5. Promotional Mix:
We adopted the following promotional mix:

7.5.1. Below-the-line Activities:
We have had our campaigns going on in different famous market places where we perceived to have found and directly interacted with our target consumers, that is, kids and teenagers from SEC A and SEC B. We had or stalls set up at The Forum and Park Towers where we made our target consumer taste the product and give their feedback both on the quality and the concept.

P a g e | 20 Secondly, the campaigns that we carried out in various schools and colleges included activities among kids and teenagers requiring energy (such as races etc.) and then rewarding them with BRIO merchandise. Both of the activities based on our overall marketing theme and our product·s concept.

7.5.2. Above-the-line Activities:
We paid a considerable amount of attention towards designing our above -the-line activities. These activities include an introductory promo creating an appeal among the viewers and listeners. These types of activities will lure the consu mer in bonding with the product. We used TVCs, print media (Newspaper, Posters etc.) and radio advertisements. These medium of communication with the customer will guarantee a higher demand of the product and will also create awareness among them as well. It will also be helpful to anticipate what is being expected and what necessary steps are needed to be taken for a more favorable outcome. Celebrities· representation is also being planned to give the product a better image. National heroes such as Cricket players are expected to be a part of such a campaign.

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8. Pr
8.1. Media allocation:

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Other 20%

Print 17%
Radio 5%

Televsion 58%

Figure 3 Media allocation based on sales volume 

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8.2. Media Schedule Charts
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e Mu ik 12%
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Geo Super 19%

Aag 21%

Figure 4 TV Channels on which Ads will betelevised

We have selected the channels such as MTV, THE MUSIK, Aag, HBO, Geo Super, etc. because these channels are famous among our Youth (teenagers) which is also our target market. WIKKID, Aag, and The MUSIK serves our large age-bracket, that is, teenagers from 12 yrs ² almost 23 yrs. Our target audience from 24 yrs ² 35 yrs watches and like our rest of the selected channels, that is, Geo, Geo Super, and HBO.   

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MTV 14%

GEO 12%

HBO 17% Wikkid 5%

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1 65 FE 4( D8 Q T (2 1 8B A ( 8

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Figure 5 Radio Channels on which Ads will be aired

We have selected radio stations such as FM91, FM89 and FM96 which are youth based stations. These channels represent the generation X, which mostly consists our target market. RJ·s also have a great fan following; therefore, listeners are also influenced with them.

Gulshan-e-Iqbal 5%
R

Others 7% Shahra-e-Faisal 6%
P

Clifton 5 %

Figure 6 Advertisement hoardings in different areas
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YOUNG NATION 3%

DAWN 97%

Figure 7 Magazines and Newspapers through which promotion will bedone

The YOUNG NATION is a magazine for teenagers it·s a weekly magazine our advertisement is more likely to reach our target audience via this magazine. We are also advertising in DAWN as it has a higher circulation rate as compared to other English language newspapers.

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9. Financial Projections
Based on the market research carried out by the company, suitable estimation of demand and necessary financial projections has been done. Necessary data is provided in the annexure to support this information. Financial evaluation, based on projected sales volume and necessary cost taken into account, shows that the project is a profitable venture. Working Capital of Rs. 2.75M has been employed with a cash balance of Rs. 0.28M and a 12% growth rate of increase in yearly projected revenues. The company comes in a tax bracket of 35%. The analysis is based on a 3-years venture, the scenario represents that the project will be liquidated after its tenure and all assets will be disp osed. After 3-years, if the project seems feasible to continue, owners of the company will have to make decision of restructuring. It might even include resolutions related to creating a portfolio and public ownership as well.

9.1. Estimated Demand
The demand of the product won·t be completely reflected in the company·s sales forecast in the initial years. As there will be an initiation in the production process, some discrepancies are expected therefore demand might not be efficiently met due to several reasons which will also be tried to overcome. As the production level will rise in the coming years of operations, demands will also rise gradually if everything goes as per planned .

9.2. Company Sales Forecast
In the initial year of business the annual sales revenue forecast is expected to be .64M units, with a Price per unit of Rs. 30, it aggregates a Net Revenue of Rs. 19.2M. With an expected sales growth of 16% annually the sales volume in units will be raised up to a million units in the end of third-year. These estimates are taken based on the research that has been carried

P a g e | 26 out by the sales team. Keeping in mind the potential consumer base for the product and the frequency of use these figures have been derived. Cash Flows statement based on the company·s sales forecast has been provided in the annexure with a detailed chronological pattern. Profit earned through the annual sales recorded, will be allocated to pay off debt and allocate the increase in the working capital based on the increase in annual sales forecast.

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10. Conclusion
For generating this report, our team efficiently utilized as a guideline, the much informative concept and skills of the Marketing Management course in order to achieve the goal of the task assigned to us. This incorporated coming togethe r as a group and firstly deciding on what type of business venture should be undertaken, and then deciding on the type of ownership for it. A thorough market need analysis was then done so as to study the different customer behaviors and their preferences regarding the proposed service which would be offered to a certain market segment. Competitors too, were scrutinized carefully and a location to launch the product at was selected, based on both qualitative and quantitative determinants. Then, responsibilities within the organizational hierarchy were decided upon and it was seen to that the required inventory and financial resources are properly listed so as to prevent any miscommunication with the respective suppliers. Also, an efficient pricing strategy assisted in calculating and organizing the financial requirements of the business. We believe that within a short time span, ¶BRIO chocolate energy bar·, although initially a small-sized enterprise is sure to reap in delightful profits. Once the product attains its desired position in the market, we plan to expand our portfolio both geographically as well as into new categories of product such as energy drinks, energy biscuits as well as energy products for old age. And by the time competitors do think of a pplying this idea, we believe that we would have captured a loyal target market, by providing highest of quality and results, finally actually launching the idea into the market and opening up ways for its bright future.

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Annexure

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