Republic of the Philippines

CAVITE STATE UNIVERSITY

Bacoor City Campus

SHIV, Molino VI, City of Bacoor

DEPARTMENT OF MANAGEMENT STUDIES

BS Business Management Major in Marketing Management

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 PRODUCT RELAUNCH

Delivered to

Ms. Maria Fraces Caloobanan

Prepared by

Crespo,Shiela Ayra

Domingo, Reigner

BSBM 4-1

January 25 2021
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 In Partial Fulfillment of the requirements for the

Elec 1•1st Semester S.Y. 2020-2021•

Table of Contents

1. EXECUTIVE SUMMARY.................................................................................................... 4

2. INTRODUCTION.................................................................................................................... 4

SCOPE AND LIMITATIONS..................................................................................................... 4

3. SITUATION ANALYSIS....................................................................................................... 4

3.1 MARKET SUMMARY...................................................................................................... 4

3.2 SWOT ANALYSIS............................................................................................................. 5

3.3 COMPETITION................................................................................................................. 5

4. MARKETING STRATEGY.................................................................................................. 6

4.1 OBJECTIVES...................................................................................................................... 6

4.2 TARGET MARKETS........................................................................................................ 6

4.3 POSITIONING................................................................................................................... 6

4.4 MARKET RESEARCH..................................................................................................... 6

4.5 STRATEGIES..................................................................................................................... 7

4.5.1 PRODUCT...................................................................................................................... 7

4.5.2 PRICING......................................................................................................................... 7

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 4.5.3 DISTRIBUTION........................................................................................................... 7

4.5.4 PROMOTIONS.............................................................................................................. 7

5. FINANCIALS............................................................................................................................. 7

5.1 BREAK-EVEN ANALYSIS.............................................................................................. 7

5.2 SALES FORECAST........................................................................................................... 8

5.3 EXPENSE FORECAST..................................................................................................... 8

5.4 PROFIT AND LOSS.......................................................................................................... 8

6. CONTROLS............................................................................................................................... 8

6.1 RACI/DACI......................................................................................................................... 8

6.2 IMPLEMENTATION....................................................................................................... 8

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 1. EXECUTIVE SUMMARY

I.

This Marketing plan shows the various studies and results that we have
conducted and the proposals on the effects, income distribution and strategies
for the Re-launching and sustaining our product. We also recommended
strategies and studies that our company will follow in the near future to
maximize the impact and income that this product will possibly bring.

We encounter a lot of hesitant to our Vicks VapoRub sachet while

conducting a survey. We made more research so the consumer like as; will
accept our new Face of Vicks VapoRub. The range of our target market are
the typical working Filipino family at the age of 18 years old and above. Who
are experiencing cough and muscle pain to their body. It can also be used for
kids and athletes that suffers minor muscles and joint pain. Our product is
New to the market but we sure that the consumer will adopt it.

The objective of this product is to help people relieve minor pain in their
body. Will make sure to reach the expectation and needs of our consumer.
And also our company will accumulate all expenses and to obtain profit in
every year.

Vicks VapoRub focus on innovation and the increasing popularity of

Vick’s, this product takes advantage of a lasting trend and the increasing
population of health conscious consumer that always seek various outlets to
maintain a healthy lifestyle in order to reach out to our target market and

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promote our product intend to use a multi-marketing channel approach to
utilize varying from of promotional strategies. We use social media specially
Facebook, twitter and Instagram

2. INTRODUCTION

Vicks VapoRub is a mentholated topical ointment,part of the Vicks brand

of over-the-counter medications owned by American pharmaceutical company
Procter &Gamble. VapoRub is intended for use on the chest ,back and throat
for cough suppression or on muscles and joint minor aches and pain .It has
also been used to treat mosquito bites.The purpose of this product re-launch
is for innovation Vicks VapoRub .The new product packaging is cheaper than

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the old packaging that the low class income consumer can buy product at the
same time a good quality. Our product is convenient to carry, affordable and
recyclable to the target market we choose which is low class income. The
range of our target market is 18 and above who is typically working Filipino.

SCOPE AND LIMITATIONS

 This research is focused in packaging and make an affordable product

that the low class consumer can buy.

 First,There is a doubt because of the lack of resources

 Second,Its new to consumer and to the market place there a (what if

consumer will not adopt the new face packaging of Vicks Vapo Rub).

 Third,We make this based and survey we made while making it.

3. SITUATION ANALYSIS

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 3.1 MARKET SUMMARY

VapoRub: our new innovative product under American pharmaceutical

company Procter & Gamble.. incorporated. In the present day market there
are many products that cater on the same kind of services but our new
VapoRub stands out as a product for the family that can be used by working
and athletes to relieve a cough; muscles and joints that has minor aches and
pains. The price of VapoRub caters lower income class customers. We aim
that our product will be known that can satisfy the needs of our consumers.

Targeted Segment Customer Need Corresponding

Feature/Benefit

Office Workers Relieve the pain while Calming the muscles

on the go
(18 years old and
Above)

Students Relaxing while studying Can give relax feeling

(In college ) smelling the scent

Family members Safe from annoying Stay away from

rashes irritation

Farmers Insect bites Repellent of insect

Athlete Relieve the pain of Muscle pain reduction

bruises

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 3.2 SWOT ANALYSIS

Strengths Weaknesses Opportunities Threats

(Internal) (Internal) (External) (External)

1. Leading 1. Quality control 1.Developing 1. Competitors

market position problem markets
2. Increasing
2. Increasing 2. Seasonal 2. Increasing cost( as high
demand in past Health problems prices of
years 3. Weak (specially cold menthol)
Compared to problem in winter)
3. An innovative other drugs 3. Possible
product 3.Adult & controversies
4.Over Athletics
4. No. 1 cold rub dependence on 4. Shortage of
brand VapoRub product Essential oils
/raw materials

3.3 COMPETITION

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VapoRub is an innovating cold season medication. Although here are few
companies that do a product for muscle pain, VapoRub will give you a “The
gentle love of rub”. Based on the attributes, features, style and design our
innovative product has a big difference to other competitors.

Possible Competitors:

 Katinko. Used for temporary relief of minor pains and itch associated with
muscle strain, neck and shoulder stiffness, back pain, sprain, rheumatism,
headache, cold, sea, sickness, lumbago, bruises, flatulence, insect bite,
skin itch.

 Betet is a product to provide soothing pain relief for everyone in your

family, from adults to children to babies.

Brand Vicks VapoRub Katinko Betet parrot green

balm

Price Php. 53 (10 grams) Php. 35 (10 grams) Php. 20 (17.5)

Scent Regular lemon Mint Menthol

eucalyptus

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 4. MARKETING STRATEGY

The way of knowing and promoting our product,that we made based of our research
studies.

4.1 OBJECTIVES

 to help people to relieve their pain in their body in every season

 to reach their expectation and their needs of our consumer

 accumulate all expenses and obtain high profit in one year of our
company January to December of 2020.

4.2 TARGET MARKETS

VapoRub’s target market are the typical working Filipino family

working at the age of 18 years old and above. Who are experiencing cough
and muscle pain to their body. It can also be used for kids and athletes that
suffers minor muscles pain.

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 4.3 POSITIONING

Vicks VapoRub is an ointment that you can use in your skin. We will
position itself as high quality but in a low price because we change the
packaging using aluminum sachet.

High
Quality

High
Low Price
Quality

Low
Price
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 4.4 MARKET RESEARCH

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 4.5 STRATEGIES

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 Vick’s product are most commonly used by those consumer that
felt sick to prevent illness. We are using both social media and traditional
media to promote Vick’s VapoRub. The social network we will focusing
to include twitter, facebook, and Instagram. By the usage of social media
,we are going to targeting the younger crowd of prospective consumer
,this is great technique to create buzz communication.

4.5.1 PRODUCT

Product we will derive to this idea because we all know that Vicks
product is so pricey so we decide to make it in a low price also affordable
so the customer can buy.The price of Vicks VapoRub in 10g is Php.
29.57.We change the packaging of Vicks VapoRub into Aluminum sachet
to help our environment and we made this packaging to recycled and
reused again .If the costumer has the container we give 2% discount .We
design our product to refillable and eco-friendly .

4.5.2 PRICING

The new price of Vicks VapoRub aluminum sachet is so affordable

in every 10grams the price will Php. 29.57 and 50grams will Php.99.00
and 100grams price Php.160.00.One of the our competitors is Betet the

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 price of this product is Php.20 in 17.5 g and the Katinko is Php.35 in 10
g.

4.5.3 DISTRIBUTION

Our product will be distributed to the malls, watsons and other

pharmacies. We also want to distribute our products to those small
businesses like spa that needs an ointment for body massage. We will also
distribute using online platforms like Shoppe, Lazada and other social media
platforms.Transport Network Vehicle Services (Grab, Angkas, Lala move etc.)
will be also used to help accommodate busy Filipinos.

4.5.4 PROMOTIONS

 Premium

We make strategies that will attract the customer to buy; which is

premium “BUY 2 TAKE 1 (Christmas Blowout)” it is two months blowout for
our customer that in every 2 VapoRub product they buy they will get 1
VapoRub for free.

 Advertising Specialties

In every 40 boxes of VapoRub product will give 10 pcs. of VapoRub T-

Shirts that we will give to our loyal customers; indicating the logo of our
product.

 Contests

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 This kind of strategy of VapoRub “ Sing and Dance Battle Fest”; It is
open for everybody. We all know that Filipinos are talented and versatile in
terms of performing. The priced that would be given our VapoRub T-Shirt,
VapoRub, and also they have privilege to know on how to make the
VapoRub.We post it on Social media and spread a fliers for this contest to
know of all interested.

 Trade Promotion

Point of purchase (POP) VapoRub we will be located near the side of

actual buying decision.Shelf display to see of our costumer the new
packaging of our product the Vicks VapoRub .

5. FINANCIAL

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 5.1 BREAK-EVEN ANALYSIS

Break-Even Analysis

Monthly Units Break-Even 5,266

Monthly Sales Break-Even 126,389

Assumptions:

Sales Price per Unit 24.00

Variable Cost per Unit 9.60

Estimated Monthly Fixed Cost 75,833.33

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 5.2 SALES FORECAST

Forecast: Vicks VapoRub

In pcs. 2019
PTT w/oVAT Per case w/o VAT PTT w/VAT SRP JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER Total
Box aluminun sachet x 12 24.00 288.00 26.88 29.57 300,000 280,000 200,000 150,000 100,000 300,000 300,000 350,000 400,000 500,000 550,000 700,000 4,130,000

2018
REVENUE PTT w/oVAT Per case w/o VAT PTT w/VAT SRP JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER Total % share
7,200,000 6,720,000 4,800,000 3,600,000 2,400,000 7,200,000 7,200,000 8,400,000 9,600,000 12,000,000 13,200,000 16,800,000 99,120,000
Box aluminun sachet x 12 24.00 288.00 26.88 29.57 7,200,000 6,720,000 4,800,000 3,600,000 2,400,000 7,200,000 7,200,000 8,400,000 9,600,000 12,000,000 13,200,000 16,800,000 99,120,000 100%

5.3 EXPENSE FORECAST

JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER Total % share vs FC
Marketing Budget 250,000 200,000 150,000 150,000 100,000 200,000 200,000 250,000 300,000 300,000 350,000 400,000 2,850,000 3%
3% 3% 3% 4% 4% 3% 3% 3% 3% 3% 3% 2%
COST OF GOODS SOLD Total
Box aluminun sachet x 12 9.60 2,880,000 2,688,000 1,920,000 1,440,000 960,000 2,880,000 2,880,000 3,360,000 3,840,000 4,800,000 5,280,000 6,720,000 39,648,000
2,880,000 2,688,000 1,920,000 1,440,000 960,000 2,880,000 2,880,000 3,360,000 3,840,000 4,800,000 5,280,000 6,720,000 39,648,000

5.4 PROFIT AND LOSS

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PROFIT AND LOSS SUMMARY JANUARY FEBRUARY MARCH APRIL MAY JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER Total
GROSS REVENUE ######## ######## ######## ######## ######## ######## ######## ######## ######## ######## ######## ######## 99,120,000
COST OF GOODS SOLD (2,880,000) (2,688,000) (1,920,000) (1,440,000) (960,000) (2,880,000) (2,880,000) (3,360,000) (3,840,000) (4,800,000) (5,280,000) (6,720,000) (39,648,000)
GROSS PROFIT 4,320,000 4,032,000 2,880,000 2,160,000 1,440,000 4,320,000 4,320,000 5,040,000 5,760,000 7,200,000 7,920,000 10,080,000 59,472,000
ADVERTISING EXPENSES 250,000 200,000 150,000 150,000 100,000 200,000 200,000 250,000 300,000 300,000 350,000 400,000 2,850,000
OPERATING EXPENSES 50,000 45,000 40,000 40,000 35,000 40,000 60,000 70,000 80,000 100,000 150,000 200,000 910,000
NET INCOME BEFORE TAX 4,020,000 3,787,000 2,690,000 1,970,000 1,305,000 4,080,000 4,060,000 4,720,000 5,380,000 6,800,000 7,420,000 9,480,000 55,712,000
INCOME TAX EXPENSE 1,206,000 1,136,100 807,000 591,000 391,500 1,224,000 1,218,000 1,416,000 1,614,000 2,040,000 2,226,000 2,844,000 16,713,600
NET INCOME 2,814,000 2,650,900 1,883,000 1,379,000 913,500 2,856,000 2,842,000 3,304,000 3,766,000 4,760,000 5,194,000 6,636,000 38,998,400

6. CONTROLS

We value and respect our customer. We gathered survey in our new

packaging to know the loyalty in our product. We know that not all of our
consumer disagree to the new packaging and most of them they like the old
packaging. But we push the new packaging because some of consumer
preferred to spend Php. 20-30 in the ointment.The Vicks VapoRub in
aluminum we not lessen the volume of Vicks we lessen the cost of packaging.

Control activities must be in place to monitor the range of accepting the

new packaging .And we accept feedback and opinion in using aluminum
sachet.

6.1 RACI/DACI

RACI

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 TASKS MEMBER 1 MEMBER 2 MEMBER 3 MEMBER 4

APRIL DONITA SHIELA MYRA

ONLINE SURVEY I R/A C I
DOCUMENTATION C I A R
MARKET RESEARCH R C
ADVERTISING I A C
PROMOTIONAL C/R I
STRATIGIES
MARKETING C R/A I I
STRATIGIES
PTT DATA C I I
ENCODER
PRODUCT I R C
RESEARCH
MAKING PRODUCT C C R R
FOOD INCHARGE R/A/C/I
R- RESPOSIBLE A-ACCOUNTABLE C-CONSULTED I-INFORMED

DACI
TASKS MEMBER 1 MEMBER 2 MEMBER 3 MEMBER 4

APRIL DONITA SHIELA MYRA

PRODUCT FEATURES
I C D I
PRODUCT PRICING
A I C D
PRODUCT SAMPLING
C I A D
TEAM BUDGET
D I C C
ADVERTISING
C C D D
MARKETING COMMUNICATION
MIX D C A I
PRODUCT DISTRIBUTIONS
C A D I
PTT DATA ENCODER
I C A D
PRODUCT LAUNCHING
I I D C
D- DRIVER A- APPROVER C- CONTRIBUTOR I-INFORMED

6.2 IMPLEMENTATION

1. We will hire workers that will monitor the quality of our product and adhere
to the highest standard as per company’s policy.

2. We will use the most advance technology available in the industry.

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3. Strict implementation of the standards as set by the government.

4. Train and compensate people so that they will maintain the high quality of
standard of the company.

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