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PROJECT REPORT: TARGET MARKET

BA- 412 Marketing Management & Research

Submitted To : Mr. Syed Karamatullah Hussainy


Submitted By : Sartaj Ahmed Junejo 6631

12/9/2012
Table of Contents
EXECUTIVE SUMMARY .................................................................................................................................. 3
ACKNOWLEDGMENT ..................................................................................................................................... 4
INTRODUCTION TO COMPANY ..................................................................................................................... 5
HISTORY OF TAPAL TEA ................................................................................................................................. 6
MARKET SHARE PICTURE .............................................................................................................................. 8
MISSION ...................................................................................................................................................... 10
VISSION ....................................................................................................................................................... 10
MARKETING OBJECTIVES ............................................................................................................................ 11
BRAND DESCRIPTIONS ................................................................................................................................ 12
Tapal Danedar The Success Story ....................................................................................................... 13
Tapal Danedar (Teabags) A Taste of Convenience.............................................................................. 14
An All Round Best Seller ...................................................................................................................... 14
Tapal Family Mixture Blending the Best ............................................................................................. 15
Tapal Shaded of Green A Healthy Lifestyle is a Green Lifestyle ......................................................... 16
Tapal Tezdum The Action Packed Favorite ........................................................................................ 17
Tapal Chenak A Golden Winner ........................................................................................................ 17
Tapal Mezban The Hospitable Choice................................................................................................ 18
Tapal Gulbahar A Tradition of Excellence ........................................................................................... 19
Tapal Special Tapals’ First Teabag .................................................................................................... 19
MARKETING SEGMENTATION ..................................................................................................................... 20
TARGET MARKETING ................................................................................................................................... 20
COMPETITOR ANALYSIS .............................................................................................................................. 21
SWOT ANALYSIS .......................................................................................................................................... 22
Strengths ................................................................................................................................................. 22
Opportunities .......................................................................................................................................... 22
Weaknesses ............................................................................................................................................ 22
Threats .................................................................................................................................................... 22

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Reason of Failure ........................................................................................................................................ 23
Alternative Solutions................................................................................................................................... 23
Selected Solution ........................................................................................................................................ 24
Reason of Selection..................................................................................................................................... 24
Source: ........................................................................................................................................................ 25

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EXECUTIVE SUMMARY

From the dimmest of history when around 2727 B.C. a few leaves of a wild
shrub tea blew into the royal bowl of boiling water being sipped by the legendary
Emperor Shah Nung, known as the Divine Husbander as well as a patron of arts.
Tapal Tea here brought tea from the royal bowl to the common man's cups as the
most sought after beverage the country over.

Under the management of the founder's son, Faizullah A. Tapal, the company
continued to grow and innovate. Currently it is being managed by the founder's
grandson, Aftab F. Tapal who has continued giving further strength to the
foundations of quality laid by his family. After studying abroad, Aftab F. Tapal
returned to introduce professional management and unique production ideas into
the business. His progressive outlook resulted in the total automation of the tea
plants in Karachi. Their motto "Never Compromise on Quality" remains the by word
on the lips of all engaged in producing Tapal Tea that has resulted in customer's
brand loyalty and their unflinching addiction. The testimony of their quality has
made them the first tea company in Pakistan to earn the ISO-9001:2000 Quality
Certificates.

Pioneer of the Danedar category in Pakistan, Tapal's Danedar remains a firm


favorite around the country with its grape-nutty appearance, rich golden color and a
strong refreshing taste. In fact its popularity is such that several multinationals have
launched their own versions, but Tapal remains the original and ultimate Danedar
because of its unique color, aroma and taste. Color and a strong refreshing taste are
its most significant attributes. Tapal is proud to have been a part of Pakistan's history
since its inception. As a company they have grown and flourished together with the
great nation. Founded by Adam Ali Tapal, the company first started marketing a
number of quality blends to Pakistani consumer market through continuous
innovation and research and development they gain 41% share of Pakistani market.
They still are growing and hope to be a leader in a market in coming years.

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ACKNOWLEDGMENT

Firstly, we would like to thank the AL- MIGHTY ALLAH, who gave us the
strength and ability to complete this report. We would also like to express our
gratitude to all those who gave us the possibility to complete this report by providing
us the information about the Tapal Tea which helped us in formulating this report
and guided us through out. We want to thank our teacher Mr. Syed Karamatullah
Hussainy which gave us the opportunity to commence this report in the first
instance, to do the necessary research work and to use local’s data. We are bound to
thank the honorable Mr. Rehman Afzal, (Brand Manager, Danedar, Tapal Tea Pvt.
Ltd, Pakistan) and Ms. Hafsa Farooq, (Assistant Brand Manager, Ice tea, Tapal Tea
Pvt. Ltd, Pakistan) who provided us with priceless information required for the
making of this report. We want to thank all of them for all their help, support,
interest and valuable hint. However, we accept full responsibility for any deficiencies
in the report.

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INTRODUCTION TO COMPANY

Tea is a truly international beverage that is savored by people worldwide


because it can relax as well as revive you – it’s a way to enjoy family time, bond with
friends or re-energize during a busy day.

Across Pakistan and now around the globe, more and more tea lovers are
choosing a heartwarming cup of Tapal tea! That is why Tapal with over 62 years of
experience in the art of tea blending has created an entire range of world-class
brands that can be savored in the morning, sipped at noon or relished at night. A
team of 300 professionals ensure that your favorite Tapal Tea meets and exceeds
international standards. No wonder this family concern is today a leading FMCG
company marketing some of Pakistan’s best-selling blends, with an ever-growing fan
base around the globe.

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HISTORY OF TAPAL TEA

The journey of Tapal's remarkable success is the combined efforts of three


dynamic generations of the Tapal Family. In 1947, Tapal started out as a family
concern under the personal supervision of its founder, Adam Ali Tapal.

Against tough competition Adam Ali's unique blend, later named Family
Mixture, became a hot favorite and eventually the largest selling brand in the
unorganized tea market. From this auspicious 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 teas soon became legendary and
people from all parts of Karachi started lining up at the outlet to purchase tea. For
their convenience,

Tea distribution was initiated to retail outlets around the city. The company
continued to grow under the management of the founder's son, Faizullah A. Tapal.

Today Tapal Tea is managed by the founder's grandson, Aftab F. Tapal. After
studying abroad, Aftab Tapal returned to Pakistan to introduce professional
management and unique production ideas to the business. A well trained tea taster

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and tea connoisseur himself, Aftab Tapal introduced new tea concepts and
developed a wide range of tea blends catering specifically to the tastes of people
throughout Pakistan. His progressive outlook resulted in giving further strength to
the foundation of quality laid by his family.

Making a modest beginning over half a century back, 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 dynamic professionals headed by Aftab Tapal
himself.

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MARKET SHARE PICTURE

Our main focus is on organized tea market. Where different companies like
UNILEVER and TAPAL are holding the main market share. Some other companies also
present in the market but having very low share of the market.

Tapal private Limited has 41% market share.

Unilever Pakistan limited has 43% market share.

Vital tea limited has 6% market share.

Tetley has 4% market share

The remaining 6% belongs to other market share in the organized


market.

Unorganized market also captures a good market share in the total tea market
of Pakistan. 70000 tons out of 150000 consumption is of unorganized tea.71% of
total population of Pakistan are living in rural areas. Due to illiteracy and lack of
awareness they are consuming unorganized tea which is mainly affecting the
organized tea market. Due to this they are enjoying a very big market share of the
total tea market.
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Organized segment mainly depend on the imported tea. Mainly big players are
importing tea from different countries like Kenya, UK, and Bangladesh. Last some
year’s imported figures for Pakistan is described in the chart below.

Unorganized tea is mainly smuggled from different neighbor countries of


Pakistan. That’s why it has a large proportion in total consumption of tea in Pakistan
which is 70000 tons of total 150000 tons.

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MISSION

“To satisfy our stake holders as a guiding principle in our principle be a


benchmark for quality, creativity and ethical values.”

VISSION

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 be an
innovative, marketing and research oriented company.

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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


product.
To establish a wide brand recognition through the capture of
market shares in the multi segment.
To become the top market leader in that particular segment
within the strong research and development.

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BRAND DESCRIPTIONS

01. Tapal Danedar


02. Tapal Danedar (Teabags)
03. Tapal Family Mixture
04. Tapal Shaded of Green
05. Tapal Tezdum
06. Tapal Chenak
07. Tapal Mezban
08. Tapal Gulbahar
09. Tapal Special

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Tapal Danedar The Success Story

Tapal Danedar is the flagship brand of the


company and the name has become synonymous
with Tapal’s reputation as a market leader and
innovator. First introduced in Pakistan in 1987,
this unique blend retains its leadership position
because of an extremely loyal following of tea
connoisseurs across Pakistan and the globe.

The name ‘Danedar’ is evocative and suggests a blend consisting of premium


quality Kenyan BP1s ‘danas’ or granules. These curled leaves are considered to be
the most premium form of tea and the Danedar blend is especially created to suit
the local taste buds combining a lively flavor with a rich color and a distinct aroma
making it a nationwide best seller. Its quality can be judged by the fact that a cup of
Danedar tea today tastes exactly the same as it did 30 years ago.

Tapal Danedar enjoys a leadership position in the Tapal portfolio by catering


to diverse income segments, from single serving sachet users to large
households. Every ‘dana’ of this unique blend delivers the wholesome richness of
flavor and taste that has become an essential part of the Danedar experience. So
whether it’s your morning pick me up or a relaxing evening cup, it is the preferred
choice of millions. No wonder Tapal Danedar is one of the biggest multinational
brands of Pakistan, with a growing fan base around the world.

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Tapal Danedar (Teabags) A Taste of Convenience

The Tapal Danedar success story set the stage for a sequel, inspiring the
company to market the brand in the teabag category. The popular, double chamber
Tapal Danedar teabags, are now a common sight at
homes around Pakistan and across the globe. With
a rich, aromatic and refreshing blend of quality tea,
packed at the state-of-the-art production facilities,
they put the art of brewing a perfect cup into the
hands of experts and novices alike. So at home or
away, they are the perfect choice.

Tapal Danedar teabags give you taste and


convenience without compromising on quality, so you can experience all the richness
of the Danedar blend wherever you maybe!

An All Round Best Seller

Another premium offering from Tapal are the Danedar Tea Rounders, the one
and only round, string-less teabags available in Pakistan. When strong, refreshing tea
needs to brewed in a teapot with maximum infusion and minimum hassle, these
teabags are just the right choice.

The unique “No Strings Attached” teabags are specially designed, at 2.5 gms
each, to deliver the ultimate tea in a teapot. So whether one is brewing just one cup
or serving several guests, Tapal Danedar Tea Rounders guarantee a hassle-free and
perfectly brewed pot of tea.

Fast becoming a favorite of tea lovers all over the world, the versatile Tapal
Danedar Tea Rounders are available not only in Pakistan but across the world from
USA to Europe to Australia.

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Tapal Family Mixture Blending the Best

1947 was a momentous year for Tapal and it


celebrated the birth of the nation of Pakistan, by
creating a pioneering blend of tea called Tapal Chai,
later renamed Family Mixture. Nurtured by 3
generations of the Tapal family, the brand that
launched the Tapal success story is an innovative
and unique mix of leaf and dust teas. It combines
the aroma and full bodied flavor of a leaf tea with
the strength and color of dust tea, to create a true
bestseller.

Today its superb quality and inimitable taste ensures Tapal Family Mixture
enjoys a unique status in every household. It is more than just a tea; it’s an
experience and over the years the brand has helped build bonds of family and
friendship, bringing people together to savor a heritage of excellence.

Tapal Family Mixture continues to be the pride of the company because it


appeals to an ever-growing section of the market and commands a leadership
position in Pakistan’s tea industry. It is regarded as one of the premier brands in the
southern parts of the country and is growing rapidly in popularity in Central and
Northern Punjab as well.

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Tapal Shaded of Green A Healthy Lifestyle is a Green Lifestyle

In the year 2000, Tapal became the


first tea company to launch a range of
flavored green teas in the country. The
real achievement lies in the fact that Tapal
has maintained the leadership position in
this category for over 10 years. Available
in refreshing Jasmine, Lemon, and Elaichi
flavors, Tapal Green Tea is blended using the finest tea leaves and specially selected
flavors, to create the perfect harmony of taste and aroma. A favorite of health-
conscious people, the brand delivers a wealth of benefits. It helps to soothe and
relax you whilst helping in digestion, enhancing metabolism and aiding in weight
loss.

Jasmine Green Tea was introduced first and is a winning combination of an


alluring fragrance and health-giving properties. Then came Elaichi green tea with its
unique nature that lifts your mood and helps you achieve a new level of clarity;
followed by Lemon, with its crisp taste and refreshing aroma. People of every age
enjoy cups of Tapal Green Tea after meals and in the evenings to soothe away the
cares of the day and enjoy a healthy lifestyle.

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Tapal Tezdum The Action Packed Favorite

The taste and identity of Tapal Tezdum is deeply rooted in


the culture and folklore of the Punjab. A strong, robust blend, it
appeals to the valor and bravery of the Punjabi people, and their
penchant for strong taste and color. Tezdum delivers a good
quality, strong tea (PF blend) that is rich in taste and color at a
very reasonable price. It is also the first tea brand in Pakistan to
be introduced in an attractive and economical silver foil
packaging.

Launched in 2003, Tapal Tezdum has created an action-


packed image that equates the power and strength of the blend
with the strength and moral courage of its user. In the fight
against evil forces, the Tezdum hero always triumphs, saving the
day with his athletic prowess. This entertaining approach has really hit home
nationally and especially with the people of Punjab. Today undoubtedly Tapal
Tezdum is the youngest, most action-oriented brand amongst the top-selling teas of
Pakistan.

Tapal Chenak A Golden Winner

An affordable dust brand in an


attractive saffron yellow pack, Tapal Chenak
artfully combines high grown teas and medium
grown Kenyan teas (this sentence needs fix up)
to create a unique blend. It was launched in
the mid 1990’s to cater to a niche that wanted
a strong yet affordable cup of tea. Chenak tea

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infuses very quickly to give the consumer a strong, richly colored cup and is in great
demand wherever tea lovers want to enjoy several economical cups a day.

That is why it is especially popular in Sindh and in the Tharparkar belt of


Pakistan. This area is home to many diligent agricultural workers and artisans who
appreciate a robust, yet affordable cup of tea after their labor. Its saffron colored
pack is also a big selling point amongst the Hindu section of the population that
regards this color as highly auspicious. Tapal Chenak has successfully combined
cheerful packaging and a satisfying flavor to become a favorite in its category.

Tapal Mezban The Hospitable Choice

An undoubted leader in the dust category,


Tapal Mezban is also the second largest selling
brand of the company. First launched in the mid
1990’s, it quickly achieved popularity in Sindh.
Only high grown Kenyan teas are used to create
the popular Mezban blend. The finest quality dust
is carefully selected for its quick liquoring
characteristics and irresistible aroma, making
Mezban the perfect cup of tea any time. In addition, just a small quantity of this
quality blend is enough for several satisfying cups, making it ideal for homes as well
as hot tea shop consumers.

The brand name Mezban truly captures the brand essence of fortifying
relationships through hospitality which is an essential part of the culture and
heritage of Sindh. With its legacy of impeccable quality and taste, Tapal Mezban is
indeed the preferred brand of the people of Sindh whose lives it has helped to
enrich.

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Tapal Gulbahar A Tradition of Excellence

The pioneering green tea brand of country,


Gulbahar was launched by Tapal to especially cater to its
northern market. The blend targets all those households
who have a liking for Kashmiri tea, a beverage that is
traditionally prepared with nuts and fragrant spices. These
homes also want good value for money since several cups
of green tea are enjoyed during the day, creating a
relaxing and refreshing lifestyle.

Gulbahar continues to build on its popularity in the north where it forms an


integral part of the tradition of hospitality.

Tapal Special Tapals’ First Teabag

Tapal Special teabags were the first in their


segment launched by Tapal. The unique
flavor of high grown tea leaves specially
selected from the finest tea gardens I the
world make Tapal Special teabags a treat at
any time. The combination of an extra strong
blend with the convenience of environmentally friendly metal-free tea bags has
made Tapal Special an instant hit with budget conscious consumers.

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MARKETING SEGMENTATION

As a whole when we see the market of tea in Pakistan, although it is not


clearly segmented but, Tapal did this thing very accurately that it segmented the
market very accurately. Its 9 brands in the current clearly shows the potential of
each brand in each segment define by the company. They clearly look at the nature
and extent of diversity of buyers needs and wants in a market. This thing offers a
great opportunity for Tapal to focus its business capabilities on the requirement of
one or more groups of buyers.

The main objective of this segmentation is to examine differences in needs


and wants and to identify the segments within the product market of interest.

TARGET MARKETING

The target market is that they are defining for our brand Tapal Chenak is the B
class and C+ class. The target of this brand is the rural areas of the Sindh and it is
used only in houses.

Target Market: Rural Areas of Sindh.

Target Class: Lower class of Villages

Niche Market: Land Former (HARI)

Slogan: ‫ ﻫﻤﺖ ﻭﺍﺭﻥ ﺟﻲ ﻧﺎ ُء‬،‫ﻣﺤﻨﺖ ﻭﺍﺭﻥ ﺟﻮ ﺍﻧﻌﺎﻡ‬


Reward of Hard workers,
to the name of Braves

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COMPETITOR ANALYSIS

The main competitor of Tapal Chenak is the Lipton Pearl Dust. And other
competitors are given below:

01. Tapal Tea


• Tapal Mezban Tea

02. Unilever Pakistan


• Lipton Perl Dust

03. Tetley
• Josh Dust

04. Eastern
• Vital Surhan Tea

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SWOT ANALYSIS

Strengths

The strength of the company would be the innovation and the high quality
products. Because of these the company is able to survive in the market and still
earning a good market share comparing to its competitors.

Opportunities

One of the greatest opportunity that Tapal has its huge market which is
increasing as the population is increasing. Tea has become a staple product in
Pakistan which cannot be denied at 20 to 60 year of age.

Per capita consumption is almost 1kg according to a recent research in


Pakistan.

Weaknesses

No major weaknesses were mentioned by the authorities of Tapal but its


intense competition as our analysis is one of their weaknesses as to stay alive against
a giant as Unilever and the other one new entrant as Tetley.

Threats

One of the major threats that Tapal has it is its area of the market which is not
educated and it is using the loose tea which may not be good for their health as well.
Tapal claims that it is not possible for them to create such a big awareness for them
but the Government should play his role so that these people should have some
awareness of the imported loose tea.

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Reason of Failure

01. Tapal Chenak has chosen a niche market of land formers (HARI) from target
market. Selected peoples are 95% uneducated and illiterate. The marketing
campaigns and advertisements are allocated to Sindhi newspapers and TV
channels, but unfortunately this market is away from newspapers and TV
channels.
02. Strong Competitors are already available in targeted market. Tapal Mezban
is brand of same company, so efforts distributed.
03. Due to illiteracy and lack of awareness most of them are consuming
unorganized tea which is mainly affecting the organized tea market

Alternative Solutions

01. Arrange and Sponsor the cultural programs at Union Council level with the
help of local singers and actors. And give prizes to little children who had
empty rapper of Tapal Chenak.
02. Run advertisements on radio channels.
03. Aware to market regarding health loses, due to usage of unorganized tea.

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Selected Solution

Arrange and Sponsor the cultural programs at Union Council level


with the help of local singers and actors. And give prizes to children
who had empty rapper of Tapal Chenak.

Reason of Selection

Because when programs will conduct at UC level, 95% of market


will attend the program.
In program market campaign could be easy.
Children are the permanent and long term consumer

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Source:

Visit to Market of Interior Sindh

Visit to Company’s Managers

www.google.com

http://commerceplus.blogspot.com

http://www.scribd.com

http://en.wikipedia.org

www.tapaltea.com

http://www.unilever.pk

http://www.tetley.pk

http://www.vitaltea.com.pk

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