GREWIA SAUCE MARKETING PALN

Submitted To:- SSSSSSSSS SIR FAROOQ JAMALSubmitted By:-

QAISAR ABBAS

09-NTU-5044

SAJJAD MAQBOOL

09-NTU-5048

SOHAIL PERVAZ

09-NTU-5053WASIM YOUSAF

09-NTU-5060

ACKNOWLEDGEMENT------------------------------------ 04Dedication-------------------------------------------------------05Current Marketing Situations--------------------------------06

Market Review-------------------------------------------------07

Product Review------------------------------------------------09

Competitive Review------------------------------------------12

Distribution Review-------------------------------------------17

S.W.O.T Analysis---------------------------------------------21

Objectives and Issues-----------------------------------------24

Marketing Strategy--------------------------------------------27

Pricing----------------------------------------------------------36

Action Program------------------------------------------------45

Budget----------------------------------------------------------47

Milestones-----------------------------------------------------49

References-----------------------------------------------------

50

Current market situationsWhenever we are talking about the fast or spicy food the first thing came in mind Sauce with out sauce taste cannot come. The current marketing situation of the edible items does not remain sustainable because the different types of products are available in the market. It is just because the available flavors are too much. Our sauce has also a very different flavor of grewia and this flavor is not available in the market. Many vegetable flavors like tomato, garlic chilly ketchup sauces are available in the market but the flavor we produce is the new one. This sauce contains high level of portions, vitamins. Our sauce formula contains completely natural extracts of fruits.Yet the Pakistani edible market remains sustainable, with the annual sales of 5 to 10 million units per year. There is no single way to segment the market. A marketer has tried the different segmentation variables alone and in combinations to finalize the best view of the market structure. We can target the customer and makes segmentation of this product in the way of mass marketing. Here only the one Sauce covers all gender, demographics, and psychographics of the people. Competition is therefore more instance the demand of such type of sauce is low but in Winter season it may be high and pricing pressure squeeze profitability. To gain market share in this dynamic environment, our company must carefully target specific segments with features that deliver benefits valued by each customer group.Market Highlights of Edible IndustryAs we discussed before that Pakistani Edible industry remains sustainable and the annual sales of such types of Sauces are possibly 5 to 10 million units per year. Now another thing that of these units sold in the winter season. It is because in winter season no one wants to go out to the market thats why sauce is in every kitchen.Market ReviewOur company`s consists male and female of all ages who want to have a new flavor of sauce and also want to have different features. We next discuss a table in the plan, highlights the needs and demands of targeted customers.

First we launch Grewia Sauce in Faisalabad city. We made a survey in the whole of Faisalabad and the demand of such type of product is too much high in the winter season. After this we have a plan to deliver the product in the whole Pakistan.

We assumed that our Sauce will easily prevail in the whole of Edible market. It is only because our 1 product covers all the customer needs. Our mission statement will create complete and effective positioning. We will introduce our product in winter season. We are a profit oriented company as others are, but in starting we have to minimize the sale price. For this purpose we have to reduce the cost price first. Before minimizing the cost we also have to study customer mind. When we identify the customer need then we must provide the quality product by building a standard with the minimum costMarket segmentation:-

First of all we are introducing our product in four big cities Faisalabad, Karachi, Lahore, and Multan. First we will make segments of these cities. After making these segments we will evaluate each segment to analyze which segment is beneficial for us or not. We will make each segment on such basis.

1. Geographic

2. Demographic

3. Psychographic

4. BehavioralGeographic segmentation:-In geographic segmentation we will divide each city into different segments according to Areas, States, Regions, and Markets. First of all we made the division in Faisalabad city in different segments like D. Ground, Madina town, Peoples Colony and Samanabad. With this segmentation we can easily understand the Needs, Wants, and Demands of the people of Faisalabad. With the help of a short survey we finalized this decision. We made a questionnaire for the general public and had filled through them. It was the only tool for us to know the people that what they want?Demographic Segmentation:-In Demographic segmentation we will divide people according to their ages and life cycle. We will divide our customers regarding their ages as Children, teenagers, twenty plus, thirty plus, and so on more than sixty years oldBut when we think about the Children they are more interested to eat sauce in with spicy& fast food.

Age Groups:-

5-10 years

11 20 years

21-60 yearsGender segmentation:-We need not to make the search on gender segmentation because our Sauce is for both male and female.

Income Segmentation:-

We easily made the division according to the income of the people. Through the income segmentation we divide the people into different levels of groups regarding their income. Such like

Rs 5,000 To Rs 10,000Rs 10,000 To Rs 15,000

Rs 15,000 To Rs 20,000

Psychographic Segmentation:-

To analyze the psyche of the people of Faisalabad we divide them in social class, Lifestyle, and Personality. According to the social class the available types in Faisalabad are five which are

Upper class.Upper middle class.Middle class.Lower middle class.Lower class.

For making the best marketing structure we set a reasonable price which suits all types of social classes in Faisalabad.Behavioral Segmentation:-Behavioral segmentation divides byres into groups, based on their Knowledge, Attitude, Uses, or Responses to a product. We also believe like many marketers that behavior variables are the best starting point for building the best market segmentation. In Faisalabad we see the behaviors of the people with the help of the questionnaire. After filling the questionnaire we easily determine the values like Occasions, Benefits, User Status, User Rates, Loyalty, Readiness stage, and Attitude towards the product.Many of the people want a Sauce like Grewia sauce. But the problem is that no Edible company focuses on these needs, wants, and demands of the people.Product Review:-

Product Name:-

Grewia sauceIntroduction:-

Our company`s 1st product, Grewia sauce, keep the following standards and features multi vitamin and Sauce proteins for skin and body glow. Grewia Sauce contains Grewia, sugar, Black pepper, stabilizer, and permitted preservatives. These ingredients provide the body 8 hrs energy.Ingredients:-Grewia, water, modified starch, mixed spices, vinegar, salt, sodium citrate, food colors, sugar, Black pepper, stabilizer, and permitted preservatives.Levels of product:-

Levels of Product:-

Core Benefit:-

Actual Product:-

Augmented product:-

Core Benefit:-Core benefit of our product are Flavor, Strong Bones, and 8 hrs energy.Actual Product:-Grewia Sauce is actually the Sauce of winter season and use for the purposes defined before. It relates to the Edible market. Actual product in detail is

Features:- Grewia Sauce have a new fruit flavor. Make the bones strong. Gives 8 hrs energy. Glow the body and skin. Repair the dead tissues of the body. Source of creating blood. Having high amount of sugar, Vitamin C, Carbohydrates. Digested friendly.Brand Name:-

We launch a new product in the market and with the help of this product we establish our business. We dont have any brand till now.Quality Level:-

We made the best quality product. its because it is a new product and also for getting more and more response, and to gain the best level of goodwill in Faisalabad and Pakistan. It is a valuable Sauce for all kind of people living in Faisalabad. The standard of Grewia Sauce is quiet match with the high level of SaucesDesign:-Color of our Sauce is natural color of the fruit and we provide the Sauce in a round conical bottle & pouch packs which looks like it.

Packaging:-

Packing of Grewia Sauce it like

Labeling:-

Label is quiet like this

Grewia SauceType of Product:-Basically Grewia Sauce is a convenient good. Less buying effort is required to purchase this product. It is our daily routine product which will be available at general stores, Departmental stores, Edible market stores, and super markets.Competitive Review:-If we make a close look to the Edible industry then see that a lot of companies which facilitate the people by providing such types of products. There are lot of big and small companies which compete each other. Each and every of them want to defeat their competitors. For this purpose they facilitate their customers more than others. Now the problem is that we are launching a new product in the winter season. Many of the companies launches their such types of products in the winter season. It means these companies are as a hurdle for our Sauce. For this purpose we made a strategy discussed later in the plan.Our Key Competitors:-In Edible market industry there are many companies which produce the Sauces but all of them are not our key competitors. It is because they do not produce the Sauce of our level. Now our key competitors are

Shezan Sauces`.`.`.`.`.`.`.`.`.`.`.`.`.`.`.

National Sauces`.`.`.`.`.`.``.`.`.`

Industry Competition:-In Industry there is not only one firm or company who produce the Sauce. It means there in no monopoly but there is perfect competition. Perfect competition means that many firms and companies are working as the competitors of each other.

Now if we see the competitors of Grewia Sauce then we see the name (Shezan) first. Why the Shezan first? In answer to this question we can say Shezan is the largest selling company of Sauces. We can see that Shezan made many Sauces like Shezan Tomato, Garlic, Chili, and Mix.

On the other hand if we see the other types of companies like National Sauces also made the good sale. These companies also produce like National Sauces of Tomato, Garlic, Chili, and Mix.It means we have to face lot of problems at the time of launching of Grewia sauce. There is already much competition and we also be with them in near future after introducing Grewia sauce.

Competitive analysis:-

The Competitive framework of Sauces and their companies isCompetitive Framwork

Company & Brand NameProduct NameCategoryProduct _ClassSize in GMPrice in RsOverall Market Share

ShezanTomatoPaste (sauce)Jar and Balti4020010004078350%47

GarlicPaste (sauce)Jar and Balti40

200100040

78

350

ChiliPaste (sauce)Jar and Balti40

200100040

78

350

Tomato +ChiliPaste (sauce)Jar and Balti40

200100040

78

350

MixedPaste (sauce)Jar and Balti40

200100040

78

350

National saucesTomatoPaste (sauce)Jar and Balti40

200100035

65

275%29

GarlicPaste (sauce)Jar and Balti40

200100035

65

275

ChiliPaste (sauce)Jar and Balti40

200100035

65

275

MixedPaste (sauce)Jar and Balti40

200100035

65

275

Competitor`s Profile:- Shezan International Limited The Shezan International Limited was incorporated on May 30, 1964 as a Private Limited Company. Shezan International Limited was conceived as a joint venture by the Shahnawaz Group, Pakistan and Alliance Industrial Development Corporation, U.S.A. in 1964. Shezan is the largest food processing unit having developed and installed the capacity to meet the country's local as well as export needs. In 1971, Shahnawaz group purchased all the shares of Alliance Industrial Development Corporation with the permission of the Government of Pakistan. In 1980-81 a separate unit was installed in Karachi which now caters for Karachi, Sind and export demand.A bottle filling plant was set in 1983 in Lahore, Punjab. An independent Tetra Brik plant was commissioned in 1987.In the year 1990 it was decided to install a juice factory at the Hattar in North West Frontier Province of Pakistan. Shezan International's Head Office Located in Lahore, Pakistan. In Canada, Target Foods, is the authorized distributor for all Shezan Products. The items they are producing now a days are:

* Juices* Sauces* Pickles* Chutneys* Sauces* Syrups* SquashesDistribution Review:-Distribution means to distribute the product through different channels. Extension is in the nature of every business. For extending a business we use some channels to distribute the Grewia sauce. Mostly this cycle is used for the distribution of the product.Mostly companies changed their strategies day by day due to development of distribution channels. These days all the well dressed organizations adopted the distribution channels.

In Conclusion to this for a successful business we determine some standards to make a very right decision. Not all, but some of them are as follows

How far the customers are?

The type of product being transported

Lead time required.. Cost associated with transportWe have to select the most suitable distribution channel which will be completely helpful for us against our competitors. As we already discussed that first we launch our product in Faisalabad, after that we will be in other big cities of Pakistan. Our distribution channels in Faisalabad are Distributers, Wholesalers, than retailers. We will make the easy access of Grewia Sauce in the Super Markets, Super Stores, Departmental Stores, Edible market Stores, and General Stores. We mainly focuses on the retailers because they are the only people which deliver our product to the final consumers. If we have the strong parties (Retailers) then we can easily achieve our objectivesMarketing channels:-These are known as the set of independent organizations involved in the process of making a product or service available for the use or consumption. These channels perform the work of moving the goods from Manufacturer to the final consumer. It is the only way through which we can provide the goods to the final consumer at the right time and right place according to the needs, wants, and demands of general public. Mostly these channels perform the functions like They collect the information about the potential and current customers, competitors, and other acts, facts, forces of the marketing environment. They develop the disseminate persuasive communication to stimulate the purchasing. They place an order to the company. They provide best place for storage and movement of physical products.

They evaluate and clarify the customer`s needs, wants, and demands properly.

In conclusion to all these actions we can say that they perform their self as a platform on which all the work activities are handled between the customers and manufacturersChannel Levels:-

It is a two-level channel, we will have our own distributors which are suppose to deliver the Grewia Sauce to the wholesaler as well as the retailer.

Distribution Situation:-

We will use two channels for distribution of Grewia Sauce Retail outlets (Indirect channel)

Sale Promotion officers (Direct Channel)

Retail Outlets (indirect channel):-

We will target many big retail outlets which will provide Grewia Sauce to the consumers. 80% of Grewia Sauce sales would be through indirect channelsSale Promotion officers (Direct Channel):-We will distribute Grewia Sauce to the Edible market related instaurations like Government offices, Universities, Collages, Edible market stores, Departmental stores, and even up the Medical stores. 50% of Grewia Sauce sales would be through direct channel.Distribution Outlets:-We use the distribution outlets to increase the distribution of Grewia Sauce in the remaining untapped retail outlets.

Sales Force:-

Our company will arrange 15 sales promotional officers who will be responsible to the direct sales in the institutions, colleges, and Edible market stores etc

Sales Promotion Team:-

Actually we develop a team of 40 sales promotional officers, which will completely be responsible for the direct sales. Each of them will be responsible for promoting Grewia Sauce at the assigned locality.

Distribution and Warehousing:-

There will be 25 authorized distributers of Grewia sauce. Each of them having 10 to 15 warehouses to store the Grewia Sauce. Company have its own network of Rickshaws, which easily deliver the Grewia Sauce to the retailers

S.W.O.T Analysis:-With the help of S.W.O.T Analysis we know the strength, Weakness, Opportunities, and threats of Grewia sauce.

Strength:-

The strength of Grewia Sauce is as follows

Grewia Sauce is spicy with natural taste No preserving chemicals that effect health Give 8 hour energy It is a time saving product Skilled and trustworthy workersWeakness:-Some weaknesses of Grewia Sauceare given below We have less resource as compared to our competitors We have not strong brand image We have not strong distribution channels We have less market share value as compared to or competitors

Pricing Pressure squeeze the profit of Grewia Sauce in the 1st year We have less budget as compared to our competitors

We have less technical resorces

Opportunities:-There are also some opportunities for Grewia sauce

There in no any product in the market having the features of Grewia sauce

It is an innovative product in the market

People will appriciate such type of productThreats:-There also are some threats for Grewia sauce

National sauce is willing to work on this product and Shezan has strong brand image. Due to this national sauce can capture our market share

National sauce has more resources than us. If National sauce entered in the market with this product before us than it will be very difficult for us to enter in the market with the same product...

Due to less resources it is very difficult to give awareness of Grewia Sauce to the customer

If we have to do all this perfectly than we have to made a huge promotionSuggestions for Weaknesses and threats:-First of all the company has to reduce its weaknesses and then move on to the threats .There are some suggestions or some positive or negative to reduce the burden of weaknesses and threats. These ideas or suggestions are First the company has to create a brand and then focus on it

by advertise more and more to get the best positioning level in the minds of the general public. If company create a strong brand image then it is very easy to remove the weak point In second company have to made strong relations with the distribution channels. If the company does so then all the hurdles are removed which suppose the cause of reduction of sales. For this purpose company have to give margins by giving bonuses, incentives, and gift hampers. The company have to give packages to them such as if they made a sale of Grewia Sauce of 500 units then they will get 75 units free. It means to give them 1000 units and charge the price of 950

3rd things are threats that our competitors are strong. They have strong brand image. The company has to make the Quality level, Design, Packaging, and label of Grewia Sauce same like its competitors. We do not mean to same like that but there will be a slight difference. Such like the design of jar have a very light difference, Packaging is of same color, and label is with the same text type.If the company does so then it can easily get the best positioning level in the mind of consumer. By following these three suggestions the company can easily remove the big problems that it will face in the near futureObjectives and Issues:-Every Company has objectives and issues regarding their product. Different companies have different objectives like some companies want to increase their sale, some want to maximize their profits, and some want to increase their market share value etcWe also have some objectives and issues according to our product. For this purpose we made a three year strategy in which we define our objectives clearly. Our objectives are divided into market terms. These objectives areObjectives:-

Market Objectives:-1st year Objectives:-

In 1st year we want to capture 20% market share value. For this purpose we have to promote our sales. Our satiations made forecasting and says that we will capture the required level of market share after promoting the sales volume.2nd year objectives:-

We will capture the 35% of market share value of Edible market industry in the 2nd year. For this purpose we will launch 1 new product having same brand. We will follow this strategy if we get 20% share value of Edible market in the 1st year otherwise we will change our strategy. We will start work on it after launching Grewia sauce.3rd year objectives:-We want to capture 45% of Edible market share value in 3rd year. It is compulsory for us to increase our sales by launching new products in the same brand, to capture the required level of market share.

In 3rd year we will completely change our strategy. We will launch a Grewia Jam in the winter season. It might be the best way to achieve the required level of market shareSales Objectives:-

As we already discussed in the market objectives that we will increase sales year to year. We cannot tell perfectly that how much sales could be made within our strategic year but our target is 15 millionsProfit Objectives:-

We are committed to earn 25% profit on sales in 1st year. For this purpose we will reduce our cost and maximized our profitOur company will commit to attain our objectives and goals in defined time period. All the objectives and goals are supposed to be a great challenge for us and we will accept all of them. For the achievement of these goals and objectives we have to face some key issues which

areKey Issues:-Market Competition

There is a sound competition in Grewia Sauce market. It is very difficult to entre into the market with a new product in this lot of competition between Shezan, and National Sauces. It is a great issue for us.Sound Brand Images of Our Competitors:-Each and everyone know about our competitor`s brand. People have lot of awareness of their brands. Another great issue for us is that they have strong brand image as compared to Grewia sauce. It means we have to face a lot of problems while entering in the market.

Heavy Promotion of Competitors:-

Our competitors already made heavy promotion of their brands and products. To compete our competitors we have to make a heavy promotion otherwise we fail to achieve our objectives.Permanent Customers:-

Our competitors already have lot of customers. Those customers who believe in our competitors and a good position in their mind. It is because our competitors provide them the things that they want.

Suppose some people believe in Shezan that it is used for health and also Pakistan`s no.1 Sauce. It has its permanent customers and it is very difficult for us to create a better sketch in the minds of those customers about Grewia Sauce.Marketing Strategy:-Our marketing strategy is based on these three elements Segmentation... Targeting.....

Positioning..

These three elements are defined in detail below

Segmentation:-

We segmented the market on the following basis

Evaluating Market Segments:- Segment Size and Growth:-

Segment Structural Attractiveness:-

Company Objective and Resources:- Level Of Competition:-

Substitute Product:-

Power Of Buyers:-

Power Of Suppliers:-

\

Evaluating Market Segments:-

First of al we must evaluate the various segments and we will decide how many and which segment we can serve best. Here we evaluate target market segments.

Segment Size and Growth:-Before selecting any target market first we will evaluate segment size and growth. We will first collect and analyze on current segment sales, growth rates, and expected profit from segment. We will be interested in that segment which have right size growth.Segment Structural Attractiveness:-

We also need to examine major structural factors that affect long run segment attractiveness. A segment may be less attractive if it already contains many strong and aggressive competitors. The existence of many actual or potential substitute products may limit prices and profit that can be earned from that segment. The relative power of buyers also affects attractiveness.

Company Objectives and Resources:-After evaluating segment size, growth and attractiveness we will evaluate company objectives and resources. Some attractive segments may be dismissed quickly because they did not match with company long run objectives or company may lack of skills and resources needed to succeed in attractive segment. We will access that our objective may fulfill in this segment or not. Our resources will meet the requirements of the segment or not.

Level of Competition:-. We will evaluate the level of competition in the segment. Competition may be less or more in the segment. There may be pure competition, monopolistic competition, oligopolistic competition, or pure monopoly in the segment.

Substitute Products:-We will evaluate the substitute products in the market regarding our product. There may be some substitute products in the segment which affect the demand of our product.Power of Buyers:-We will also evaluate the power of buyers in the segment. We will also access the per capita income of our buyers rather they can purchase our products or not.

Powerful Suppliers:-In this we will evaluate the suppliers in segment that they are powerful or not.Targeting:-After evaluating different segments, now we will must decide which and how segments we will target.

A target market will consist of buyers who share common needs or characteristics that we will decide to serve.

Undifferentiated Marketing:-We will not select undifferentiated marketing because we will not enter in the market with one offer for all customers. In undifferentiated marketing the difficulties arises in developing a product or brand that will satisfy all consumers. The companies which select mass marketing often face trouble competing with more focused firms that do a better job of satisfying the needs of specific segment and niches. Due to this we will not select undifferentiated or Mass marketing.

Differentiated Marketing:-Using differentiated marketing strategy we will decide to target several market segments and designs separate offer for each.

By offering product and marketing variations to segments, we will hope for higher sales and a stronger position within each segment. We will develop stronger position within several segments which will create more total sales than undifferentiated marketing across all segments. We will satisfy the needs of each segment according to their requirements and wants.

In differentiated marketing the cost of business also increases. It is so much expensive to produce goods according to need of an individual segment. The promotion costs also increases to give aware about product to segments separately. But we are committed to achieve our market objective and especially we want customer satisfaction. For this purpose we will select differentiated marketing.

Concentrated Marketing:-We will not select concentrated marketing because we have so enough resources to meet the needs of an individual segment. Through selecting concentrated marketing segment we will not achieve our objectives.

Local Marketing:-We also select Local Marketing to satisfy the needs and wants of local customers groups, cities, neighborhoods, and even specific stores. We will do Local Marketing with differentiated marketing.

Considerations when Choosing Target Market Strategy.

Considerations include:- Company Resources

The degree of product variability

Product life cycle stage

Market variability

Competitors marketing strategies

Choosing a Differentiation and Positioning Strategy:-Differentiation Tools:-Differentiation is a set of meaningful differences to distinguish the company offering from competitors offerings. Our brand will be a specialized Industry for the Edible market products items with the state of the art technology. It has huge plant for processing and manufacturing the Edible market products like Sauce, Our brand will emphasize on the following tools:

1. Product Differentiation:-Form:-Our product is totally a Sauce which is used for Breakfast and bread. In our promotion we will focus on product differentiation. Through our promotion we will tell our customers main differences of our product from our competitors. We have a Sauce in the market which is a multi purpose Sauce.

Features:-Already discussed on page # 10Performance Quality:-We made the best quality product its because it is a new product and also for getting more and more response, and to gain the best level of goodwill in Faisalabad and Pakistan. It is a valuable Sauce for all kind of people living in Faisalabad. The standard of Grewia Sauce is quiet match with the high level of SaucesDurability:-It gives 8 hrs energy to your body.2. Service Differentiation:-Easily Available:-Grewia Sauce is easily available in the whole market of Faisalabad first. After that we will provide it in the other cities of Pakistan.Customer Consulting:-We will arrange a customer consulting program which will be telecast on some well known TV channel. Through this program we consult with our customer and ask some questions regarding our product. We will try to solve the problems of our customers.

3. Personnel Differentiation:-Companies can gain strong competitive advantage through having better trained people. Our Brand will have an edge over its competitors in the personnel differentiation because its personnel have competence to serve its customers, are friendly, respectful with its customers. The personnel performance is credible because of their commitment with the customer.

4. Channel Differentiation:-To serve the customers at the priority level, our brand will have8 distributors and 18 sales promotion Officers in Faisalabad. They are well expertise, and have batter coverage than others. Same like this we will arrange sound distribution channel in other cities like Karachi, Multan and Islamabad. We create differentiation in our product through our channel .

5. Image Differentiation:-Our company will be a national company, and will have batter image in all over Pakistan due to its performance and is so far the only Edible market company in Pakistan to get ISO 9002 Certification - a Quality Management System. While adhering to this Quality Management System, the company is committed to strict quality standards in all its operations. With existing products success in the market and increasing demand of its products day by day its image is increasing. Due to its distinctive services and distribution channel its image is different from the existing products. And through launching this innovative product the image will be differentiate from its competitors.

Positioning Statements:-Save your moments and enjoy your moments

Make your life so easy and comfortable

Make your life quick and fast

Level of Positioning:-Basically there are three level of positioning through which we will position our products in the customers minds. For positioning of our product we will use these three levels.

1- Positioning by Attributes

2- Positioning by Benefits

3- Positioning by Values

Positioning by Attributes:-We will position our product on the basis of attributes and features of our product. We will focus on attributes and features of Grewia Sauce which it contains. Through our positioning we will try to set and fix the features of Grewia Sauce in the minds of our customers. In positioning we will focus more on the features and attributes of our product.

Positioning by Benefits:-We will also focus on the benefits of the product when we will position our product. Through positioning we will tell our customers how many benefits they can get from our product. Our product has main benefit that it is a multi purpose product which we will target in positioning of our product.

Positioning by Values:-We will also position our product on the basis of customer values. Like this, If you want to look Halthy than use Grewia sauce.

Reason:-Our product lies in FMCG category; due to this our main focus will be on two levels, Attributes and Benefits. For FMCG, these two levels are very beneficial. We will talk on values but little bit, because in FMCG category value is not concerned more. FMCG category is lying in convenient goods, in this type of goods values have not so enough weight age. Values are mostly concerned in shopping goods and special goods. So due to this our main focus will be on two levels Positioning by Attributes and Positioning by Benefits.

PRICING:-Price is amount of money which we will charge from our customers in return.

Factors to consider when setting price:-During setting the price we will consider these factors.

1-Internal Factors

2-External factors

Internal Factors:-During setting the price we will first consider internal factors, like

Marketing objectives

Marketing mix strategies

Cost

Organizational consideration

Marketing Objectives:-When we will set the price of our product then from internal factors we will consider the following factors.

Survival

Current profit maximization

Market share leadership

Product quality leadership

Marketing Mix Strategies:-We will carefully coordinate price with other marketing mix elements. We will use target costing to support product positioning strategies based on price.

Cost:-During setting the price we will access the cost, variable cost, fixed cost and total cost.

Organizational Consideration:-We will create price setting department which will set the prices.

External Factors:-After considering the internal factors we will access the some external factors as,

1-Nature of market and demand

2-Competitive costs, prices and offers

3-Other environmental elements

Nature of market and demand:-Before setting the price we will access the nature of market and demand. We will assess that which type of market is existing. Rather there is pure competition, Monopolistic competition, Oligopolistic competition or Pure monopoly. After accessing these types of market then we will set our price.

Competitors cost, prices and offers:-We will also access the cost per unit, prices and offers of our competitors. We will access the pricing strategies of our competitors. We will access that what is per unit cost of our competitors and what prices they are charging from customers. We will also access the competitors offers related to price. After accessing these factors we will set our price.

Other Environmental Elements:-Before setting the price we will access the economic condition of Pakistan. We will also access the inflation rate in Pakistan. We will also access the market condition like boom, recovery or recession.

We will evaluate the Govt restrictions regarding price.

Pricing Approach:-Value Based Pricing:-We will choose value base pricing, we will charge fairly low price for a high offering. Value pricing says that the price should represent a high-value offer to consumers. Value based pricing uses buyers perception of value, not the seller cost as the key to pricing.

We will set its target price based on the customer perceptions of the product value. The targeted value and price then drive decisions about product and what cost can be incurred. As a result, pricing begins with analyzing consumer needs and value perceptions, and price is set to match consumer perceived value.

Value pricing is not a matter of simply setting lower prices on ones products compared to competitors. A matter of re-engineering the companys operations to become a low- cost producer without sacrificing quality, and lowering prices significantly to attract a large number of value-conscious customers.

ReasonDuring the past decades, marketers have noted a fundamental shift in consumer attitude toward price and quality. Many companies have changed their pricing approaches to bring them into line with changing economic conditions and consumer price perceptions. More and more marketers have adopted value based pricing strategies, offering the just right combination of quality and good service at fair price. Due to this changing economic environment we will choose Value Based Pricing.

Break Even:-It is the point where we will cover our total revenue and our total cost in terms of units and volume. It can be verified by the following formula

Break Even Volume = Fixed Cost / Price Variable Cost

We will struggle to get our break even point to cover our cost in terms of units and sales.Our Prices schedule

Name of ProductQuantity in GMPrice in Rs

Grewia sauce6021 Rs

Grewia sauce

300105 Rs

Grewia sauce1000349 Rs

Grewia sauce2600529 Rs

Pricing Objectives:-There are many general pricing objectives which include survival, current profit maximization, market share leadership, product quality leadership and relationship building. From these objectives we will select two pricing objectives which are very clear

1-Market Share Leadership

2-Product Quality LeadershipMarket Share LeadershipWithin this price we want to capture great market share. Our product price is reasonable. It is not too much expensive. People of middle class easily afford its price. We set such normal price of our product because we want to capture market share. Through this price we will capture the market share.Product Quality Leadership:-We believe in quality as well as in quantity. Within this price we will make sure the quality of our product. We will not compromise with quality. Our product is quality based product. We will charge from our customers by giving them superior quality. In the market we are assured to get product quality leadershipReason:-Reason is that we have marketing objectives of first three years. In this objective we mention that we want to capture high market share in first three years. So we select the market share leadership objective.

We select the product quality leadership because we are promised to give quality, satisfaction and value to our customer.

Distribution Strategy:-Extensive Distribution:-We will make extensive distribution of our product in Faisalabad like. We will target only metropolitan areas of these Faisalabad. We will distribute our product only in the urban areas. We will not target the rural areas of the Faisalabad. We will distribute our product to supermarkets, Edible market Stores, Departmental stores, and General Stores etcReason:-The reason is that in start we will make extensive distribution because we will increase our distribution with the passage of time .As people will get awareness about our product and as the demand of Grewia Sauce will increase we will increase its distribution area. We also want to know the response of people about it. In start we have fewer resources due to this we also select extensive distribution channel.

MANAGING ADVERTISING AND SALES PROMOTION:-DEVELOPING AND MANAGING ADVERTISING PROGRAM:-Ads are cost effective way to disseminate message, whether to build brand preference or to educate people. Most companies use an outside agency to help create advertising campaigns and select and purchase media. Our company will contract with some agencies to develop advertising campaign for Grewia sauce. These companies will guide us what should be the next move and also giving them feedback regarding the market and competitors. We will contract with these three advertising Agencies.

Star Advertising Agency

Asian Advertising Agency

Asiatic Advertising AgencyAdvertising Objectives:-Advertising objectives can be classified according to whether their aim is to inform, persuade, or remind.Selecting Specific Vehicles:-The media planner will search for the most cost effective, dominant, and frequent vehicles within each chosen media type. The planner will have to rely on media measurement service that will provide estimate of audience size, composition, and media cost. Our Company is a customer oriented company; its aim is to serve maximum number of customers. For advertising its products we will chose advertising vehicles that are cost effective, covering large number of audience.Electronic Media:-The electronic media will be only Radio and Television. In Radio vehicles we will advertise in FM 100, FM 101, FM 99, FM 103 and Radio Pakistan. In Television vehicle will be PTV, PTV World, Geo Television (Cable), Express News and at ARY Gold (Cable).

Print Media:-The print media will Newspapers (Front Quarter page), i.e. Jang, The News, Dawn, and Magazines (Quarter page) i.e. Akhbar-e-Jehan, Family magazine, Khwateen Digest, Sunday magazine.Deciding on Media Timing:-We will have to advertise Grewia Sauce on TV 3 times in a day and almost 5 days a week in first three months. The ad will go on air in the prime time broadcasting like Drama hours; it will also be advertise daily in the mid break of KHARBANAMA. Instant Tea Pack will also be advertised in the sports matches like Cricket Matches which are very keenly seen in our community.Advertising Budget:-In this advance age, business cannot be successfully done without advertisement and promotion. Advertisement and promotion are life blood of an organization. So to make our business quite successful we will have to make advertisement and promotion. So for this purpose we want too much budget.Reason:-We have selected these tools because these are essential for advertisement and promotion. These are the basic tool for the advertisement. All our competitors are using this tool for their advertisement and promotion. These tools are directly affect on behave of customers. Customers mostly communicate with these media channels. These tools are the source where customers get information about new different products which are introducing in the market.

Web siteOur website include brief introduction of our product its features and complete information about the packaging and distribution channel.

www.grewia.com.pkAction Program:-Here we are showing the action plan which will guide us in performing our activities.

ActiitiesAugSepOctNovDecJanFebMarAprilMayJuneJuly

Launch Grewia sauce

promotion

Sale office

Sponsor sports

Explanation:-After making the plan of Grewia sauce, we will make its Action program that how we will perform our activities. In Action Program we will implement our marketing strategies. We will assign duties to each employee regarding his specialization. Sales Department will enter in the market to get orders. Promotional team will start its work of promotion. Our top management will handle each department. Our main Head office will be in Faisalabad, our CEO,s office will be in Faisalabad. Our Directors will handle our Regional Managers.Launching Time:-We will launch Grewia Sauce in the winter season. Promotion:-We will promote our product before launching and we will promote it whole the year.

Sale Office:-Our sale office already be open before launching Grewia Sauce and will work through out the year. Our sale officers will visit the market and will introduce our product in the market before launching in the market. They will collect orders from market and will provide them supply.

Budgeting:-Budgets:-Expected Income StatementFresh and cool.

Expected Income Statement

For the period

PARTICULARS Rs Rs

SALES expected

30,000,000

LESS: sales return allowances 22,50,000

Sales discount

6, 60,000 Net sales 27090000 Less Cost of merchandise sold 18150000Gross profit

8940000Operating expenses

Selling expenses /Market expenses

Sale salaries expense 55000Advertising expenses 200000Depreciation expenses 50000

Store supplies expenses 40000Total selling expenses 345000Administrative expenses

Office Salaries Expenses 550000Rent Expenses 55000Insurance Expenses 97500Desperation Office equip 70800

Office supplies expenses 55000Total administrative expenses 828300 __1173300_

Income from operations 1799500Other income

RENT income 75000Interest received 50000 125000NET Income

Milestones:-Mile StoneStart dateEnd DateBudgetManagerDepartment

Marketing Plan completion01/02/201012/04/20100Khurram ShahzadMarketing

Website completion04/02/201012/03/2010Amir Abbas KhanMarketing

Advertising Campaign103/02/201012/0405/201025000Shahzad Hasan and M.ZubairMarketing

Advertising campaign225/02/201020/07/201030000Outside firmMarketing

Retail Channel01/02/201015/08/20100Shahzad HasanMarketing

Total55,000

References

Sir Farooq Sauceal

(G.C University Faisalabad)

Philip Kotler

(Principle Of Marketing)

Journal of Marketing

Journal of Advertisement

Mickinsey Quarterly

Websites:

www.mickinsey.com www.wikipedia.com www.Nestle. Com www. Haleeb.com

www.Angrofoods.com

Survey from different people

TABLE OF CONTENT

I wish to thank the various people who help me in this project. The most closely involved in this project PROFESSOR FAROOQ JAMAL who supervised me over all plan. With out help of Sir. Farooq I cant complete this plan. I learn a lot of things during this plan.

I also thank my class fellows who provide me extremely useful guidance.

Dedicated

to

"OUR BELOVED PARENTS"

Whose prayers, sympathy, affection and guidance are always with us all the time

19245400

18Sir Farooq Jamal