Perdue Model of Building a Brand

Frank Perdue built a chicken brand in US 40 years ago. Chicken was a commodity when Perdue took over his father business. Perdue noticed how to deliver Value to the customer. It could be done through 2 ways 1. Quality product or service 2. Price Frank Perdue had used a typical text book definition of brand building. He used the following steps of brand building process: 1) Attribute Research. 2) Competitor Research. 3) GAAP Analysis. He started by understanding consumer demand based on quality and perception. Designed value is what they provided; perceived value is what customer saw. Manufacturer should persuade the buyer to see the same quality as he has designed into the product. Value = (Product Quality + Service Quality) / Price = Right Value for Money The brand we have chosen for this model is Nimbooz and we will be comparing it with an unbranded lemon water (nimbu pani) The non-carbonated beverage segment is growing at double the rate of carbonated one in the Rs 7,000-crore domestic beverages industry . Industry experts estimate the nimbu paani market to be at least around a billion cases by volume in 2010. The juice and juice drinks market is pegged yearly at Rs 1,500 crore or 500 million cases by

volume. Also the ready-to-drink packs, along with the price points, will support the growth of the segment. NIMBOOZ EKDUM ASLI INDIAN NIMBOOZ is Indias first nationally available packaged Nimbu Pani. It was launched in India in 2009 by PepsiCo India under its 7Up brand to expand its non-carbonated drinks portfolio. Nimbooz is a non-carbonated lemon drink which contains no artificial flavors and contains real lemon juice. Scorching weather conditions added to the demand for the product across the country Brand History Nimbooz was launched in India on the 28th of February 2009. It is the latest addition to the Pepsi beverages portfolio. Brand Advantage The brand delivers very strongly on certain expectations. These are: Locally Relevant Tas-te Nimbooz is a great tasting product. It has capitalized on the existing familiarity with and high consumption of unpackaged / home-made nimbu pani. It has remained true to its authentic Indian Identity by using the traditional Matka (Earthen Pot) and Squeezer in the manufacturing process.

Convenience and Great Value The product is available in three convenient formats, 350ml PET, 200ml RGB and 200ml Tetra at the remarkable price points of Rs15, Rs 10 and Rs 10 respectively. Accessibility Nimbooz is Indias first nationally available packaged Nimbu Pani. Hygienic It is just like home-made nimbu pani. You can enjoy its natural and delicious lemony refreshment anywhere you go.

Marketing Mix Nimbooz Product: PepsiCo India launched a packaged nimbu paani offering Nimbooz under its 7Up brand to expand its non-carbonated drinks portfolio. Nimbooz is a non-carbonated lemon drink which contains no artificial flavors and contains real lemon juice. Price: Nimbooz is available in three packaging formats of 200ml returnable glass bottles, 350ml PET and 200ml Tetra priced at Rs 10, Rs 15 and Rs 10, respectively. Promotion: PepsiCo has drawn up an intensive consumer activation campaign to market Nimbooz. The 360 degree marketing communication plan has build awareness through multi-city launches and road shows, 3D activation, leveraging Out-of-Home (OOH) media, radio, press and outdoors, TV commercial that reflects Nimboozs Ekdum Asli Indian proposition. A special Nimbooz Highway Gadi has also been created that visits the four major highways connecting Delhi to Jaipur, Dehradun, Agra to drive trails and consumer education. Place: PepsiCo already has well established distribution network for its other brands so it becomes easier for them to cover the entire Indian market and place Nimbooz in retail outlets and restaurants. Competitors Meanwhile, this summer, the market is flooded with lemon-flavoured drinks, with several companies such as Parle Agro and Zydus Cadilla having launched their products. While Parle Agro has launched LMN, available in a 500 ml PET bottle priced at Rs 23, Zydus Cadilla launched a carbonated lemon drink called, Sugar Free DLite, also available in 500 ml at Rs 30. Cokes Nimbu Fresh, under the Minute Maid brand, will be initially available in 35,000 outlets in Tamil Nadu. The plan is to reach 90,000 outlets in 2010. The lemon juice content in Minute Maid Nimbu Fresh brand is 5.7 per cent. For the moment, Coke will import the juice from Israel and the concentrate will be made at the companys plant in Pune. It will then be sent to the companys plants at Gangaikondan in Tamil Nadu and Chittoor in Andhra Pradesh. The following table will help in understand how NIMBOOZ has helped brand cakes Key purchase criteria Hygene Relative importance Weightage .20 Perform. Rating(scale of 110) Nimbooz Others local 9 6 Rating Difference 3 Weighted Rating .60

Flavor Brand Image Sizes Packaging Taste TOTAL

.10 .15 .20 .20 .15 1.00

8 9.2 8.5 9 8.2 8.65

7.8 6.5 8 7 8 7.21

1.2 2.7 .5 2 .2

.12 .405 .10 .40 .30 1.925

The weighted Rating comes to 1.925 which is 26.69% higher than local nimbu pani drinks served in restaurants and shops. Thus the higher value offered by Nimbooz is responsible for a quick switchover from other Local nimbu pani drinks. The demand for Pepsis recently launched non-carbonated lemon drink, Nimbooz, has outstripped supply by as much as 30 per cent.