COMPREHANCIVE

SUBMITTED TO:

Mr.Abdul Ghaffar

SUBMITTED BY:
Rizwan Ullah Danish

MBA GROUP-B
SEMESTER 5TH
DATED: 11-02-2015

IM|SCIENCES, HAYATABAD, PESHAWAR

Q1

As the crescent has planned to launch in three states which have 15%
of the national functional beverage demand. According to the case
study there is some financial constraint for PDB to launch the crescent
in 2014. But I recommend a strategy that can be apply. As crescent
already have griped some market and also they can do more by
changing their price strategy. They should target the energy drink
market and also have soft launch. Crescent already have a distribution
channel which is a plus point for the PDB. According to the survey some
retailers had risen up the price and still they have a nice demand. So if
crescent maintain their price then their sales will increase as their
demand will increase. As crescent is a healthy an organic drink so it can
increase its market easily.

For launching new product the crescent should strove to build buzz
about the product through its seeding program. Where the company
should target mico- targeted in shops, bars, stores, restaurants. This
should enabled the culture elite to access the product and promote it
through the word of mouth. Which was best marketing strategy applied
by top energy drink companies like “Red Bull” and “sting”. Crescent
should target the opinion leader as well, who can easily influence there
customers. Which included sports athlete, action heroes and
entertainment celebrities. They should make it available at sports
competitions and other sports and related events. Sponsorships for
sports events.

For their target market they should not they should not define a
specific demographic or psychographic for its target market. It will help
the company to sought out to reach extended level of customers. They
should have two dimensions people who are mentally fatigued or who
are physically fatigued or both.

They should pursued premium pricing strategy. Because they company

it self have to believe that they are offering premium product, if they
charge like other cola drinks it would not explain it to customers.

The advertisements which they should do is which should cover all the
product attributes to the customers. Like extreme sports. Which will
show the effectiveness of the product.

Question no2
Factors influencing the positioning of crescent
The brand is basically targeted to sports and as energy drink and it
promoting in the sense of as both and targeted for athletic type of
people. But the factor influencing the brand was the according to the
survey of the crescent product attributes, consumer perception about the
product and the price of the product. And there were noticed that kids
and female users of the drink were more than expected.
Product attributes: the customers were more concern with the taste of the
product, many were ok with the unfavorable reaction.
Consumer perception: the old age consumer perception about the
product was that it is healthier product then other energy drinks the the
coffin funded in the drink was about in the of coffee. But the younger
consumer concerns that it is less energy drink then other.
The positioning of crescent marketed as sports drink but it with the
survey it finds out that there are major portion of users are females and
kids, and house hold which is abounded in the positioning of the
product. They only targeted and associated with male users. Like how
Red bull and sting marketed there self. It can be point of difference for
the crescent in the united states market, targeting the gaps of that’
segment.
Q3:

According to the case study the market is segmented in two main

categories which are energy drink and sport drink. The market is
segmented just because of their ingredients and the nature of drink.
The segment crescent should target is Energy drinks market. The main
reasons for targeting the energy drink market are the new prices,
ingredients. The new price is low as compare to other energy drink in
the market and also through the survey as the market size for energy
drink is larger as compare to that sport drink market. The growth rate in
the energy market is the main fact to accept as every age group of
people is using energy. Sport dink market is only limited to the group
people that is involve in the gaming or any other exercises. The
ingredients that are use in crescent are mostly organic and natural.
Crescent contains lime juice, lemon juice and green tea which refresh
the consumer. Energy stimulants like guarana and ginseng boost the
concentration and relieved the fatigue. On the economic side I see that
crescent is cheaper as compare to other energy drink products.
Economics market growth of energy drink is 40% as compare to that of
9% of sport drink market. According to the market research about 15%
of the market is split between national and regional competitor. Which
can be easily grip by crescent as it is a local drink producer and also due
to locator moment the local residents love to have healthy and organic
foods and drinks. Other reason to target the energy drink market is the
up growing forecasting figure that will reach $13.5 billion in 2018. The
opportunity to gain in the energy drink market is that crescent is the
first to provide drink with lower level of caffeine and also can fulfill the
demand for the healthier beverage. That’s all the reason why I
recommend that crescent will target the energy drink market.
Q4:

Energy market:

Pros

Market growth: Energy drink market has an upward growing trend and
is predicted to grow more in future.

Larger market: Energy market is a large market which grabs every age,
gender consumer and a large geographic area.

Cons:

Prices: Energy drinks have higher prices than that of sport drinks. As the
ingredient is change then that of sport drinks.

Sport market:

Pros:

High calories: As the sport drink producer has target the sport men and
the consumer involve in gyms and others games, so the calories level in
those drinks are high as compare to the energy drinks.

Prices: Price level of the sport drinks are low as compare to energy
drinks that’s why it’s mostly purchased.

Cons:

Inorganic: The ingredients in sport drinks are water, sugar and salt so
there in no any healthy and real product so that’s why it’s in risk that
will be remove from schools vending machine as its not good for kids
health.

Growth: The growth of sport drink market is too show as its only
targeted on sport men as compare to energy market with is a healthy
drink.