MARKETING

PLAN PART 2

COCO FRESH TEA & JUICE

PRODUCT. LOW-CALORIES BUBBLE TEA
SECTION MRK 108 NKK
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TABLE OF CONTENTS
PRODUCT________________________________________________________________3
PRICE___________________________________________________________________4
PLACE___________________________________________________________________4
PROMOTION_____________________________________________________________4
BIBLIOGRAPHY___________________________________________________________6
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THE MARKETING MIX

PRODUCT
Low-calories Bubble Tea is an entirely new product line in the product mix of CoCo
Fresh Tea & Juice. This product line is developed from existing brands of bubble tea, which
naturally contain a high level of sugar and calories. All ingredients in the line Low-calories
Bubble Tea are carefully selected and ensured that their flavors are still tasty and similar to
the creamer-base milk tea, guaranteeing to satisfy the boba lover.
The company has made some changes in terms of each component in order to minimize
calories in a cup of milk tea. As a result of utilizing sugar-free, low-fat, and non-dairy
alternative ingredients, the degree of energy packed in a finished product is significantly
decreases that is less than 3 times compared to the regular full-sugar one. Instead of using
creamer or haft-and-haft (milk and cream) in producing fatty flavor, CoCo suggests
completely replacing it with fresh milk. Especially, there are many available dairy-free
options for consumers to customize their beverage, such as coconut milk, almond milk, soy
milk, or oat milk. These types of non-dairy milk would have a lower amount of calories per
cup than pure goat milk or cow milk. Therefore, this product line not only focuses on “boba
addicts” who are on a diet, in other words, who are health-conscious consumers but also
targets those who cannot absorb dairy products like vegetarians or dairy-allergic users
(Asri).
The second change is related to sweeteners. White sugar, brown sugar, and honey are
commonly used to make the sweetness of the regular bubble milk tea, and those are also
the main factors leading to the high sugar level in this beverage. Therefore, CoCo has bent
every effort to seek possible substitutes. Eventually, the business has figured out one type
of fructose, or fruit sugar refined and processed by the application of high technology, which
contains a lower level of sugar and is healthier. This form of sugar is also used in making a
variety type of toppings as an alternative to syrups that basically contribute to plenty of
calories in a full-toppings cup of milk tea. By replacing previous sweeteners, the degree of
calories in a signature pearl milk tea markedly reduces by in the range between 40% and
60%, depending on which levels of sugar and types of toppings the consumers choose to
add their cup of boba milk tea (Asri). In addition, customers can choose their favorite
flavors. The product line Low-calories Bubble Tea is still provided with 5 options of CoCo's
special flavored bases. They are original, taro, jasmine, chocolate, and matcha (“Our
Menu.”).
Whatever is improved, the tea leaves, as well as the producing process, are retained to
ensure that the unique taste of CoCo Fresh Tea & Juice does not change and is exclusive
and recognizable in the highly competitive industry of bubble tea.
Currently, this product line is operating in the introduction stage. It is popularly marketed
on a variety of social media platforms in which it can be quickly approachable to the youth,
the majority of the business, grab customers’ attraction, and increase its presence in this
industry.
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PRICE
Bubble tea is one of the most high-competitive sections in the food and beverage
industry. Therefore, competitive prices would be a great advantage for the business to
survive and develop in this market. So far, CoCo Fresh Tea & Juice has been operating
according to its mission statement that is to make every effort to provide the most delicious
and highest-quality beverages to everyone. Therefore, a drink in CoCo stores is always at
an affordable cost for all classes in society.
The new product line would continuously apply that affordable price strategy. In the
Canadian market, one plain medium cup of low-calories bubble tea costs $4.99 and $5.49
for a large size. The extra cost for the flavor is $0.99 and for each type of toppings is $0.5.
The overall price for the bubble tea would be in the range of $5.00 and $8.00 depending on
the favorite and selection of the customers (“Our Menu.”).

PLACE
The direct distribution would be the most effective strategy for this product line. Low-
calories Bubble Tea would not only be sold in the stores in the hometown of Taiwan but also
be present in over 4,000 locations around the world (Jonas). Based on provisions in the
agreement, the headquarter of CoCo Fresh Tea & Juice provide franchisees recipes as well
as ingredients needed for this product line. At the same time, franchisees have to comply
with the contracts about the ongoing royalties. Due to the globally broad influence, the new
brand product line would be more popular and increase its awareness in customers’ minds.

PROMOTION
There would be some special offers for customers on the first week selling the product
line Low-calories Bubble Tea. The first promotion is "Buy 1 get 1 free". By purchasing any
cup of Low-calories Bubble Tea, the customers will receive one plain regular cup of Low-
calories Bubble Tea of the same size as the ordered cup.
Additionally, there is one noticeable point in this marketing campaign. CoCo Fresh Tea
& Juice will implement a small contest to increase the bond between CoCo and its
customers. The rules are that the customers need to publish a post showing their feelings
with this new product line with one picture of a cup of Low-calories Bubble Tea on the
Instagram platform. The valid posts have to contain two hashtags: #CoCoFreshTea&Juice
and #Low-caloriesCoCoBubbleTea. Three winners randomly selected will reward a 1-month
free purchase of Low-calories Bubble Tea if they enjoy it in-store (“CoCo Case Study.”)
The final promotion is used for all drinks in CoCo stores. Consumers will receive 10%
sales off if they bring their own cups to contain beverages. This is aimed to reduce the
amount of consuming plastic cups at CoCo Fresh Tea & Juice branches, helping the
business tackle environmental issues and practice its social corporate responsibility. This
campaign would possibly make an impression on environmentally-conscious consumers,
contribute to improve the polluted environment and help increase the brand prestige.
Besides introducing Low-calories Bubble Tea on both domestic and internationally
official websites of CoCo Fresh Tea & Juice, the product is also broadly advertised on social
media platforms by taking advantage of the powerful spread of well-known influencers on
their personal accounts. This is the most quickly effective and low-cost way to bring the
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presence of products to a great deal of the youth who are both addicted with social media
and major potential customers. Additionally, the loyalty customers would receive
notifications about the new brand products through emails or CoCo App on their phones.
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BIBLIOGRAPHY

Asri, Ruiz. “Bubble Tea Calories, Is Boba A Healthy Drink?” Honest Food Talks, 13 June
2021, https://www.honestfoodtalks.com/bubble-tea-calories/. Accessed 6 August 2021.

“CoCo Case Study.” Tangoo, https://www.tangoo.ca/coco-case-study. Accessed 6 August

2021.

Jonas, James Ryan. “How to Franchise: CoCo Milk Tea.” Pinoy Money Talk, 13 May 2020,
https://www.pinoymoneytalk.com/coco-fresh-tea-franchise/. Accessed 6 August 2021.

“Our Menu.” CoCo Fresh Tea & Juice Ontario, https://cocofreshtea.ca/menu/. Accessed 6
August 2021.

“Our Story.” CoCo TEA, https://www.coco-tea.com/en/about/. Accessed 6 August 2021.