rashid khanHewlett-Packard[Company address]

VIBGYOROrganic Health Juices

VIBGYOROrganic Health Juices

1. Executive Summary:

The juice category is the second fastest growing part of the beverage industry after bottled water.The rising number of health conscious is giving a boost to fruit juices, it has been observed that consumer are shifting from fruit based drinks to fruit juices as they consider the latter a healthier breakfast/snack option.VIBGYOR juices is a company which produces 100% fruit juices which entered market in 2012 with a vision of offering nutritious and superior quality fruit juices and to be the best in term of consumer value customer service. VIBGYOR juices are combinations of fruits and vegetables, extracted from their fibres and condensed into a smooth liquid. Because they are unheated or unprocessed (no added chemicals or concentrates), they are juices in their purest form.A Competitive Landscape Dabur is the market leader in the Indian packaged juices market with its brands Real and Real Activ. It accounts for ~55% of the total packaged juices market, and is followed by PepsiCo with a ~30% share. Other players include Parle, Fresh Gold, and Godrej. Some of the other brands of fruit juices and drinks include Frooti, Appy, Mazza, Minute Maid, Slice, Fresh Gold, and Del Monte. Considering the attractiveness of the segment, such diversified consumer food companies as ITC are working towards a foray into Packaged Juices.

1.1 TARGET MARKET: Primary Market Kids- Fond of fruit juices Teens- More Experimental Youth Experimental and more buying power Working People Housewives Elderly people

Secondary Market Travel Industry Airlines & Railways Movie Theatres, Malls, Amusement Parks. School, Colleges Hotels, Restaurants, Bars etc.1.2 WHY THE TARGET MARKET NEED THIS PRODUCT

VIBGYOR juices are combinations of fruits and vegetables, extracted from their fibres and condensed into a smooth liquid. Because they are unheated or unprocessed (no added chemicals or concentrates), they are juices in their purest form. These juices are bursting with vitamins and minerals. Juices can be enjoyed by all! They are delicious and easy to digest. We wish to make the highest quality juices possible. When you drink juices that taste good, you feel good!

2. COMPANY BACKGROUND

2.1 COMPANY HISTORY

VIBGYOR believes that nutrition and health should not insinuate that we have to sacrifice taste and flavour. With all natural ingredients we are able to produce nourishing juices in which flavour is not diminished. Our mission has been and will always be to gratify our customers by dispensing superior quality, healthy, as well as enticing juices. Using the best choice that nature has to offer and the best technology in the market today we at VIBGYOR are determined to grow to be the number one producer in the region. It is a company which produces 100% fruit juices which entered market in 2012 with a vision of offering nutritious and superior quality fruit juices and to be the best in term of consumer value customer service.It is an environment friendly company which focuses on service to society and preservation of nature.

2.2 MISSION STATEMENT

VIBGYOR believes that nutrition and health should not insinuate that we have to sacrifice taste and flavour. With all natural ingredients we are able to produce nourishing juices in which flavour is not diminished. Our mission has been and will always be to gratify our customers by dispensing superior quality, healthy, as well as enticing juices. Using the best choice that nature has to offer and the best technology in the market today we at VIBGYOR are determined to grow to be the number one producer in the region.

3. SITUATION ANALYSIS

3.1 ENVIRONMENTAL ANAYSIS

3.1.1 SOCIAL ENVIRONMENT

Society shapes a belief, values and norms. There are various ethnic group in the population of interest. For example: Marathi, ethnic group in Mumbai,Bengali, Kashmiri, Konkani, Rajput, Parsi. With growing urbanization and dual earning families, social contacts are losing the personal touch and becoming more Gadget Dependent and less frequent.The people are becoming more educated and the education level is increasing which is providing opportunities for our product. The core cultural values held by the population of interest is that they prefer loosed juices i.e. juices that are sell in stall or by street vendor, because they believe that juices are fresh and pure.

3.1.2 ECONOMIC ENIVRONMENT

The available purchasing power in an economy depends upon the current income, prices, savings, debts and credit availability.Consumers spending depends on the disposable income, socio economic profile, aspiration and expectation from the futures.The main factor in economic environment is the income distribution basically they are divided into five main categories:1. Very low income 2. Mostly low income3. Very low, very high incomes4. Low , medium , high incomes5. Mostly medium incomes.When we see the target people for our product it generally ocmes under the category four ie Low , Medium and High incomes. The people are tend to buy the good quality product at reasonable or low price.

3.1.3 Political-Legal Environment

Fruit Products Order (FPO), 1955- promulgated under section 3 of the Essential Commodities Act, 1955, it provides for regulation of sanitary and hygienic conditions in manufacture of fruit and vegetable products. It aims to ensure that hygienic and good quality products are manufactured and sold. It is implemented by the Ministry through the Directorate of Fruit and Vegetable Preservation.3.1.4 Technological environment

There is a chance of shortage of raw materials in this product category. i.e.; Fruit Juices because fruits are seasonal goods and there may be a possibility of shortage of these juices at some point of time. That is why we have variety in our products which are available in different seasons.Since our product is 100% natural and environment friendly thus there is minimal or no possibility of pollution that harms the environment.

3.2 SWOT ANALYSIS

3.2.1 STRENGTH 100% Real juices No added sugar or preservatives Adequate availability of raw materials High consumer retention rate Location 3.2.2 WEAKNESS Seasonal availability of fruits Brand acknowledgement Limited financial resources Late entry into the market Expensive product Low product advertising3.3.3 OPPORTUNITY Participation with a growing industry. Competitive advantage over carbonated soft drinks Trend toward health conscious life style3.3.4 THREAT Highly competitive market. Competitor like Real, Tropicana and many more. Natural disaster Local juice vendor Government regulation and pricing policies4. SEGMENTATION STRATEGY

4.1.1 PRODUCT LIFE CYCLE

4.1.2 PRODUCT TYPE

Convenience goods are often the products of habit or impulse, as they are easily found by consumers and are inexpensive enough for most consumers to purchase.VIBGYOR juices come under the convenience goods.

4.2 MARKET SEGMENTS

Market segmentation is the process in marketing of dividing a market into distinct subsets (segments) that behave in the same way or have similar needs.Variables Used for Segmentation Geographic variables Demographic variables Psychographic variables Behavioural variables

4.2.1 Geographic VariablesVIBGYOR has no set geographic target area. By leveraging the benefits of liberalization and integration of the markets of the world, VIBGYOR will seek to serve both domestic and international customers. Metropolitan Cities, major cities of the states and towns. Density of Area: Urban, Semi-urban and Rural. Climate: Tropical

4.2.2 Demographic variables

Age all age group gender Both Male and Female family size - doesnt matter Education - doesnt matter Income middle & hi end consumer occupation student, working and retired people religion doesnt matter nationality/race doesnt matter language - doesnt matter

4.2.3 Psychographic variables

Personality No

LifestyleYes

ValueYes

Attitude Yes

4.2.4 Behavioural variables benefit sought product usage rate brand loyalty profitability income status

4.3 SELECTION OF TARGET MARKET

VIBGYOR will focus on the following market:- Fitness Health Lifestyle Sports

5. Strategic Focus and Plan

5.3 GENERAL MARKETING STRATEGIES By increasing awareness about o fruit juice By creating an image in the minds of people about the health aspects of fruit juices. Retain and grow customer value.

6. MARKET RESEARCH

Marketing research is a form of business research and is generally divided into two categories: consumer market research and business-to-business (B2B) market research, which was previously known as industrial marketing research. Consumer marketing research studies the buying habits of individual people while business-to-business marketing research investigates the markets for products sold by one business to another.Consumer market research is a form of applied sociology that concentrates on understanding the behaviours, whims and preferences, of consumers in a market-based economy, and aims to understand the effects and comparative success of marketing campaigns. The field of consumer marketing research as a statistical science was pioneered by Arthur Nielsen with the founding of the ACNielsen Company in 1923.6.1 Role of marketing research

Traditionally, marketing researchers were responsible for providing the relevant information and marketing decisions were made by the managers. However, the roles are changing and marketing researchers are becoming more involved in decision making, whereas marketing managers are becoming more involved with research. The role of marketing research in managerial decision making is explained further using the framework of the DECIDE model:D - Define the marketing problemE - Enumerate the controllable and uncontrollable decision factorsC - Collect relevant informationI - Identify the best alternativeD - Develop and implement a marketing planE - Evaluate the decision and the decision processThe DECIDE model conceptualizes managerial decision making as a series of six steps. The decision process begins by precisely defining the problem or opportunity, along with the objectives and constraints. Next, the possible decision factors that make up the alternative courses of action (controllable factors) and uncertainties (uncontrollable factors) are enumerated. Then, relevant information on the alternatives and possible outcomes is collected. The next step is to select the best alternative based on chosen criteria or measures of success. Then a detailed plan to implement the alternative selected is developed and put into effect. Last, the outcome of the decision and the decision process itself are evaluated.

6.2 TYPES OF MARKETING RESEARCHMarketing research techniques come in many forms, including:

The marketing researchWhile there are many ways to perform market research, most businesses use one or more of five basic methods: surveys, focus groups, personal interviews, observation, and field trials. The type of data you need and how much money youre willing to spend will determine which techniques you choose for your business. 1. Surveys. With concise and straightforward questionnaires, you can analyse a sample group that represents your target market. The larger the sample, the more reliable your results will be. In-person surveys are one-on-one interviews typically conducted in high-traffic locations such as shopping malls. They allow you to present people with samples of products, packaging, or advertising and gather immediate feedback. In-person surveys can generate response rates of more than 90 percent, but they are costly.2. Personal interviews. Like focus groups, personal interviews include unstructured, open-ended questions. They usually last for about an hour and are typically recorded. Focus groups and personal interviews provide more subjective data than surveys. The results are not statistically reliable, which means that they usually don't represent a large enough segment of the population. Nevertheless, focus groups and interviews yield valuable insights into customer attitudes and are excellent ways to uncover issues related to new products or service development.

7.2 PRODUCT STRATEGY

7.2.1 Brand name

Our brand name is VIBGYOR juices.The reason behind the brand name is that our product provides a large variety of juices with different types of fruits and colours.7.2.2 Points of differentiation

VIBGYOR juices are combinations of fruits and vegetables, extracted from their fibres and condensed into a smooth liquid. Because they are unheated or unprocessed (no added chemicals or concentrates), they are juices in their purest form. These juices are bursting with vitamins and minerals.

MARKETING MIX

PRODUCT

PRICE As a new comer our pricing strategy is to introduce our products in the market at lower prices so as to create huge demand in the market and then compete with other competitors.PRICING POLICIES Apply the concept of providing quality product at optimum price Provide Lucrative discounts, deals and schemes Adopt sales oriented objective Have one price policy to maintain goodwill among customers.

Pricing Strategic Matrix

Penetration Pricing Our product will be lie on penetration strategy with high quality & low price For introducing new product Price low to capture market share Expect to make profit in volume

PLACE

DISTRIBUTION CHANNELTo insure the availability of products, Vibgyor Juices will establish effective network of registered dealers. Our main focus market will be Pune and surrounding areas.The end consumer will purchase Vibgyor Juice from retailers. The distributors enjoy flawless reputation combined with business relation with numerous retailers. This has ensured that Vibgyor juices would be made available all over Pune.

Mode of TransportationAll product distribution will take place through roads only.PROMOTIONAs the product is in introductory phase, well promote it widely to make our product visible in current juice market. Well use various promotional tools:1. SamplesProvide free samples in the malls and marketplaces for brand awareness among consumer.2. Tie-ups We will tie up with various Movie Multiplexes all over pune to increase our branding. Apart from that we are also planning on tie ups with airlines and railways. Also we can put our vending machines at airport and railway stations for easy availability to consumers.PACKAGINGAs per studies, the most preferred pack size is the individual (small) pack which is convenient, and easy to carry and consume. These are in great demand as out-of-home consumption is on the rise. Consequently, there is a growing consumer base, and also intense competition.We will provide Vibgyor Juices in two types of packaging- PET BOTTLES We will use high-quality, transparent PET plastic for the bottles. Transparency is key as it will enable us to utilize a sleek, trendy design. All of the packages will exhibit a uniform Aesthetic language. We will not use fruit imagery, but instead will let the vibrant fruit juice Hues speak for themselves behind our transparent bottling. The juices will be flash-pasteurized to preserve quality and taste.

TETRA PACK Tetrapaks are most popular among manufacturers as well as consumers. As we want to lower Our production cost they are most cost effective way of packaging effective.AdvertisingFor our product we will use the following advertising tools: Print Ad Television Ad

Personal selling

Personal selling is an important element of promotion mix and an effective promotional tool.The role of personal selling are:(1) Prospecting- trying to find new customers(2) Communicating- with existing and potential customers about the product range(3) Selling- contact with the customer, answering questions and trying to close the sale(4) Servicing providing support and service to the customer in the period up to delivery and also post-sale(5) Information gathering obtaining information about the market to feedback into the marketing planning process(6) Allocating in times of product shortage, the sales force may have the power to decide how available stocks are allocated.

Sales promotion

Public relationObjectives of public relation program: Building Product Awareness When introducing a new product or relaunching an existing product, marketers can use a PR element that generates consumer attention and awareness through media placements and special events. Creating Interest Whether a PR placement is a short product article or is included with other products in round up article, stories in the media can help entice a targeted audience to try the product. For example, around the holiday season, a special holiday food may be promoted with PR through promotional releases sent to the food media or through special events that sample the product. Providing Information PR can be used to provide customers with more in depth information about products and services. Through articles, collateral materials, newsletters and websites, PR delivers information to customers that can help them gain understanding of the product. Stimulating Demand A positive article in a newspaper, on a TV news show or mentioned on the Internet, often results in a discernible increase in product sales. Reinforcing the Brand In many companies the public relations function is also involved with brand reinforcement by maintaining positive relationships with key audiences, and thereby aiding in building a strong image. Today it is ever more important for companies and brands to build a good image. A strong image helps the company build its business and it can help the company in times of crises as well.