Executive summary
This report discusses
the detail of marketing analysis of RC-Cola (a Partex Beverage) which is a
product of Partex group. This report contains the company profile including
SWOT analysis, Strengths and weaknesses of product and service analysis,
factors influencing consumer’s buying pattern, data analysis (a questionnaire
survey with interpretation). In company SWOT analysis we tried to identify
about strength, opportunities, weakness and threats of this company. Then we
prepared a Marketing Memo explaining the company side and customer side with
interpretation.
Factors influence a consumer buying behavior says about
different types of factors. Marketing
mix analysis is the main part of this analyzing. Because in marketing mix part
we discuss about this company’s product which they produce, price range which
types of consumers can purchase its products. So this report is the total over
view of RC Cola (a Partex Beverage).
With the help of our course instructor and the brand manager of Partex Beverage
we are successful to finish this work.
INTRODUCTION
Businesses that succeed do so by creating and
keeping customers. They do this by providing better value for the customer than
the competition. Marketing constantly have to assess which customers they are
trying to reach and how they can design products and services that provide
better value. Today’s competitive and free business world Marketing is the essence
for any organization. In these days successful companies all levels have one
thing in common that is they are strongly customer focused and heavily
committed to marketing. For many business firms, a common important goal is the
long-term increase in the value of their common stock. Every manager must have
an effective marketing strategy. Marketing is more than any other business
function that deals with customers. Understanding, creating, communicating, and
delivering customer value and satisfaction are the very heart of modern
marketing thinking and practice. In this term paper we have tried to understand
marketing in practice by studying the marketing process and strategies followed
by marketing department of Partex Beverage and concentrated on the product
called RC Cola.
Objective of the study
Primary:
1.
We have tried to introduce the product
and the company from which it belongs.
2.
SWOT analysis of the brand from an image
perspective.
3.
Strengths and Weaknesses of the product
or service.
4.
Through SWOT analysis and creating a
Marketing Memo we tried to figure out the company side and the customer side.
Secondary:
1.
How the buying pattern is influenced of
consumers including cultural factor, social factor, personal factor,
psychological factor, buying decision process and defined the marketing mix.
2.
By doing above all the things we tried
to explain the company’s marketing activity, marketing implementation.
3.
Elaborating all the information tried to
clarify how the product is produced, what are the steps they follow to enhance
the production activity, how they handle their threats and opportunities and
interpreted the whole data we analyzed.
Methodology of the study
Ø Primary:-
·
Text Book Marketing Management 12th
edition by Philip Kotler & Kevin Lane Keller
·
Internet
Ø Secondary:-
·
Public Survey
·
Interviewing an employee of RC-Cola
SWOT analysis on RC Cola
SWOT analysis means an overall evaluation of the
Company’s strength, weakness, opportunities and threats. We analysis the SWOT of RC Cola (Partex
Beverage Ltd) which is given below with matrix:
Strengths:
1. Brand Image: The
name Partex beverage Ltd. Itself the premier beverage brand image. So as RC
Cola is their product then it’s able to create enormous goodwill by its quality
product all over Bangladesh.
2. Pricing:
RC Cola takes lower price than any other juices are taking. It is enough clear
that the price is quite reasonable to be succeeded.
3. Availability:
Generally available to the nearest retailer.
4. Excellent attention
tool: RC Cola first introduced the product called RC
Mobile that made brand knowledge in the mind of a customer. It was a catchy
name that helped to get benefit.
Weaknesses:
1. Lack of Competency:
Where Coca-Cola and Pepsi Company are dominating the market in that situation
RC Cola cannot achieve international wide market.
2. Weak promotional
activity: There are various ways of doing
promotion of the product but RC Cola just focused on the TV advertisement at
once. They are not doing any investigation to the fact that where is the
problem to get in touch with customers directly.
3. Barrier to the
development of product: As RC Cola is the franchise of USA
Royal Crown Cola then without their permission they cannot step up to the
worldwide marketing strategy. So, in this way they are being deprived from the
development towards international wide market.
Opportunities:
1. Changing customer
taste: RC Cola is changing customer taste in a way that
gives customer essence of Coca-Cola but little bit different. Some people say
its sugar level is different from the other drinks but okay with the taste.
2. Targeting new
geographic area: They are trying to reach every area as
much as they can because of customer’s positive response.
Threats:
1. Deprived from international event:
Pepsi has covered worldwide international event like World cup football,
Cricket world cup during this time. Its demand rising internationally it also
affects the customer of Bangladesh.
2.
Increasing
price level: Now-a-days the price of raw materials
is increasing and for this production cost is increasing. So, as a result the
price of the product will be increasing.
Strengths and weaknesses of the product or service
|
|
So from the above
research, it is found that RC-Cola has strong points in very few sectors like
Company Reputation, Customer Satisfaction, Product Quality, Pricing Efficiency
and Economic scale, but in all other factors go against them. The products are not
that much available, there is lack of innovation in products, there has not
been too much effort showed in their promotional activities for which the
company has had to suffer and now-a-days it is just too much lacking behind the
competition.
Factors influencing
consumer’s buying pattern
Cultural Factor:
The city celebrates a
variety of cultural programs and festivals which give RC cola the opportunity
to use their promotional activities during those festivals. For example, during
the time of Pahela Baishakh the weather is so hot that people get so thirsty
and try to have some lemon flavored drink which is then influence people to
have RC Lemon and at a cheaper price they purchase RC Cola rather Coca-Cola or
Pepsi.
Social Factor:
Sometimes it happens that a group of friends goes for
shopping and after a while everyone gets thirsty then they decided to have a
drink. Then anyone of the friends can influence his or her choice to other
friends. Then the others can be influenced by that person and when they taste
it they may become a regular consumer of RC Cola. Because it tastes different
to people who has always drink Coca-Cola or Pepsi. Sometimes a family member
can influence to have RC Cola. The person who has less income can be biased by
the RC Cola.
Personal Factor:
People change their goods and services over their
lifetime. Because sometimes people get monotonous to have the same kind of
feelings. So, the person who drinks Coca-cola every time may taste RC Cola to
change his or her taste. A person’s occupation may affect his or her buying
behavior. Lifestyle can affect buying behavior like; a person who is more likely
to be different from others may consume RC Cola rather than others.
Psychological Factor:
Hearing from the others that RC Cola tastes better than
any other drink may drive a person to the RC Cola. The advertisement saying
that it refresh people and has a freedom of choice can work as stimuli for a
person to consume RC Cola and its other flavors.
Buying Decision
Process
1.
Problem Recognition:
Our research shows that a person’s internal
stimuli like, thirst pushes him or her to consume RC Cola for cultural factors
depending on different festivals. Externally a person can be influenced by the
other consumption and TV advertisement.
2.
Information Search:
Most of the time friends and family members
become major information sources. Obviously TV advertisement, packaging and
past experience helps people to purchase RC Cola.
3.
Evaluation of Alternatives:
As urban areas are located very tactfully
by RC Cola then it’s easier to target the general people through hat-bazar, tea
stalls with little grocery. In this way Partex beverage Ltd. are being able to
grab the availability. Through the Slogan of the advertisement called “freedom
of choice” people understand the taste and flavor.
4.
Purchase Decision:
Unanticipated situational factor sometimes
happens that a buyer of Coca-Cola may consume RC Cola for different reasons
like; a salesperson may turn him or her off and drive his or her choice or
decision. In other way, attributes of others like evaluation of the product may
publish on the newspaper or magazines and can change a consumers mind.
5.
Postpurchase Behavior:
After consuming the product RC Cola the
customer may become disappoint to purchase it further or may not be. They start
following information on those kind of products to find out the best for him or
her.
Define the Marketing
Mix:
Product: RC Cola offers
different flavors in our country. It has two different flavors RC Lemon, RC
Orange and RC Diet.
Types of Products:
Product
Name
|
Flavors offered
|
Pet bottle
&
Can
|
Mission
Statement
|
RC:
|
1.
RC Cola,
2.
RC Lemon,
3.
RC Orange
4.
RC Diet
|
Liter (1000ml),250ml
Mobile (.5 L)
Mini (200ml)
|
Freedom of life
|
Product Features:
The Partex
beverage uses 5 flavors in for RC soft drinks and soft drink are provide in
quantity of 250ml, 500ml, 1000ml, and 2000ml. Among those quantities, which
are, provided by partex customer preferred mainly 250 ml can & pet 500 ml
bottle. Pet 200 ml are successfully known as RC mini.
Quality:
To ensure the quality international quality controller and as
well as international quality standard can be followed by partex. Since, as the
customers are not brand loyal they frequently change the brand as it necessary
in situation. So partex can use quality as a competitive strength for its
beverage
Labeling or Packaging:
Labeling in case of refreshment drink is
essential. The labeling can impulse some of the customer to change the brand as
in Bangladesh the customers are not loyal in respect of this type of product.
The label also requests the consumer to crash the bottle in the trashcan. It
also contains the company logo and the manufacturing date and expiry date of
the product to inform the consumer about the product. In addition they can give
some social massage in labeling. For mineral water they can use little quantity
mini pack. Full grade bottle can create
further utility to consumers. The pet bottle can create further utility
to the consumers. Most of the consumers do not crash the bottle rather using to
carry water or similar consuming things into the bottle. The marketing strategy
is emphasizing this behavior of the consumer and also designed the bottle
convenient for the consumer.
New or existing product
development:
Partex Beverage (RC Cola) is a franchisee of the “Royal Crown Cola” of USA. All the
flavors offered by the Partex Beverage are as same as the “Royal Crown Cola ”
of USA.
In case of product development they mainly mean the change of flavor and change
of packaging & labeling. Till now there is no change in the flavor and the
labeling of the product. But they have an idea to launch new Beverage product
like juice item, tea etc.
Pricing:
All the beverage products in Bangladesh are
delivered to the general consumer on an average. Demand of this type of product
is very price sensitive, as there are some other competitors such as Coca-Cola,
Pepsi, Virgin, Uro Cola, Mojo, Lemu etc. Hence Partex Beverage should very
careful about their pricing policies, strategies, approaches, influencing
factors etc. Pricing decision is very versatile as well as intellectual act for
the company. Partex beverage has already reached to the door of maximum
consumers more or less with a flexible price with positive response. They need
to continue that strategies.
Setting
the final price:
Most of our country people earn very limited income. But the
culture, the custom has been so like that a cold drink in a party or in meeting
or picnic is prestigious looking. Again if they are in an easily available
price, there will be no question. People will rush to it. But they also are
sensible about the quality level too. So, Partex Beverage emphasizes quality
and standard level.
Considering these, Partex Beverage follows psychological
pricing along with reference price. For example, Virgin had a wide market
for their can, which costs Tk 15 per cane, but whenever Partex Beverage
introduced can with Tk 12 (3 Tk less then virgin), demand of virgin can have
gone down. Those who purchased virgin can whenever they are in journey picnic
have mostly prefer RC mobile, RC plastic bottle they set prices less then
competition price.
Place:
As per
objective of the company they need to use very sound distribution channel to
increase their sale. In distribution their products Partex Beverage is very
conscious about their distribution channel. They do not sell their product
directly to the ultimate customers. They use middlemen in distributing their
Beverage products. Dealer, wholesalers and retailers mainly perform middleman’s
task. Here they also perform many other functions like information gathering,
promotion and contract with the customers, financing and also risk taking.
Company can introduce new products sharing ideas with middleman. So they use
indirect marketing channel.
Their main depot is sited at Rajendrapur.
Dealers purchase from factory depot with high margin. Wholesalers purchase from
those dealers in some small lots, they sell it to the retailers and finally
retailers sell to the ultimate customers.
About
distribution Zone:
Partex Beverage’s distribution is
spread over greater six divisions called Dhaka, Chittagong, Khulna, Rajshahshi,
Shylet and Barisal. Different districts are also included in those greater
zones. Day by day they are trying to increase their distribution area all over Bangladesh.
Export
Partex beverage products:
Partex Beverage initially starts
export their beverage products in abroad especially in India, Nepal, Indonesia,
UAE and the country of SAARC. We know Pepsi and Coke mostly cover the cold
drinks market in our South Asia. So it is very difficult for Partex Beverage to
create a position of their beverage product in abroad. But they try in little
scale.
Transportation
Modes:
We know that Partex Beverage try to
charge blanket price to the customer. In this case is Transportation mode is
one of the factors that have an effect on their pricing decision. There are
ranges of Transportation modes but Partex Beverage mainly uses their own van
just to transport their products from factory to depot, or depot to warehouse.
Promotion:
Promotion is like a wing for a product to fly high. It is the
sum total of activities of advertising, sales promotion and public promotion. A
true fact of the Bangladeshi soft drink consumers is, approximately 8o% of them
is not brand loyal. So they get attracted easily toward the brand, which comes
with big offers, and comparatively low price. Partex Beverage has realized the
fact and designed its promotional functions to influence the whole consumer
wing, most importantly that 80% brand UN loyal portion.
Advertising:
 |
The advertising objective of Partex Beverage should be
like:
|
Advertising message:
|
`Freedom of choice’ – is the advertising message of all RC
products. In their bottle label RC conveys a massage to its customers.
‘
|
|
Different
Advertising Media:
|
|
|
|
Data Analysis and Interpretation
Particulars
|
Strongly
agree
|
Agree
|
Neutral
|
Disagree
|
Strongly
disagree
|
1. RC-Cola
tastes good
|
5%
|
15%
|
30%
|
30%
|
20%
|
2. It
taste from other soft drinks available in the market
|
10%
|
20%
|
40%
|
20%
|
10%
|
3.
RC-Cola should extend its brand and introduce new flavors
|
20%
|
20%
|
30%
|
20%
|
10%
|
4. You
are satisfied with the packaging of RC-Cola (Different shapes (250ml, 500ml,
1000ml etc.)
|
5%
|
10%
|
35%
|
20%
|
30%
|
5.The
Price of RC-Cola is reasonable
|
20%
|
20%
|
40%
|
15%
|
5%
|
6. All
flavors of RC-Cola are available in nearby shops
|
0%
|
10%
|
30%
|
40%
|
20%
|
7. You
drink RC-Cola to keep you mind
fresh and become energetic
|
0%
|
10%
|
20%
|
40%
|
305%
|
8. The
Promotional activities of RC-Cola are satisfactory ((TV advertisement,
Newspaper advertisement, Billboard etc.)
|
0%
|
5%
|
15%
|
50%
|
30%
|
9.
Comparing with other soft drinks in
the market, RC-Cola can be considered better
|
5%
|
5%
|
30%
|
20%
|
40%
|
From the
survey the statistics we got clearly, we clearly understood that the taste of
RC-Cola is not better from or even close to give them any competition, the
Marketing of RC-Cola has been very poor for some last years, all of its
products are not available everywhere, there is no more innovation in its
product, so currently the condition of
RC-Cola is very poor and if necessary steps are not taken, it may turn
out into an alarming situation very soon.
Recommendations
RC
cola was launched with a vision to deliver the consumers the finest quality of
product.
Subsequently it has been highly accepted and appreciated by the consumers of
the country. Such acceptance has made the brand a market leader within a very
short time. To the target customers, RC cola now stands as a symbol of freedom
of choice.
1.
The Partex group management uses the
rational approach for their product’s promotion, which is basically emphasizing the product attributes in the ads rather
than emotional approach. So, to be
more effective in the ad campaign they should use emotional approach in
their ads to attract more customers.
2.
As RC cola losses
CO2
after opening the bottles and losses the
essence of cola taste, so they should come up with more new ways to keep the
sufficient CO2 inside the bottles. Ultimately it will give the customer
more taste to have a RC cola.
3.
RC should make
modifications in its budget determination process because a top down approach
is a weak form of determining budget. As a leading company it should adopt strong
and acceptable forms of budget determination.
4.
RC can also include
some more beverages in their product line such as RC juice items. This will
attract the children and health conscious people much more and create a new market
for their new product with special items like juice.
5.
We all know that
Coca cola and Pepsi has engaged themselves in some controversial issues in
recent years like, these companies are financing to Israel soldiers with
their profit earns. RC as a local product can create new
market by taking the advantage of this kind of issues.
Conclusion
With the help this
marketing mix analysis we can say that, the company may a achieved a strong
level of customer preference. Although there is a tough fight with its major
competitors but Company’s promotional activities played a vital role to create
this position in such situation. By preparing this term paper we learn about
how companies can analysis marketing mix and we think this work will help us in
our future when we are in professional life. We believe that this analysis will
help us to know about the Partex Beverage Company and how they achieve their
objective.
Sources:
2.
RC
Cola TV Advertisement
Marketing Management; Phillip Kotler, Kevin Lane
keller, Abraham Koshy, Mithileshwar Jha; 13th
edition; A South Asian Perspective Now if you want to download full Assignment, in PDF File, please click on Download baton bellow .
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