CREATING a MARKETING PLAN FOR NEW PRODUCT CRENOSA MILK TEA FLAVORED WATER IN THE PERIOD

Therefore, Gasaco will launch Crenosa milk tea flavoredwater with natural ingredients, low in sugar with the aim of bringing a product with a new,unique taste but safe to ensure the heal

UNIVERSITY OF FINANCE – MARKETING

-o0o -TOPIC: CREATING A MARKETING PLAN FOR NEW

PRODUCT CRENOSA MILK TEA FLAVORED

WATER IN THE PERIOD 02/2022 – 01/2023

Instructors: ThS Đặng Huỳnh Phương

Student implementation:

Ho Chi Minh city, 2021

TEACHER'S COMMENTS

Student implementation:

1 Hoàng Ngọc Hải Yến (Mssv: 1921005805)

2 Phan Thị Anh Thư (Mssv: 1921005683)

3 Phan Thị Thanh Tuyền (Mssv: 1921005757)

Score in numbers Teacher signature

Majors: MARKETING

I hereby declare that the results obtained in the essay with the topic" creating

a marketing plan for new product Crenosa milk tea flavored water in the period 2/2022-1/2023" is personal research In the whole content of the article, what is presented are either individual or aggregated from multiple sources All references are legitimate and appropriately cited I take full responsibility for my Assurance

Ho Chi Minh city, 2021

TABLE OF CONTENTS

EXECUTIVE SUMMARY 1

CHAPTER 1 GASACO COMPANY OVERVIEW 2

1.1 INTRODUCTION 2

1.1.1 Vision 2

1.1.2 Core values 2

1.1.3 Mission 2

1.2 STRATEGIC OBJECTIVES 2

1.2.1 Marketing objectives 2

1.2.2 Brand objectives 2

CHAPTER 2 SWOT & MACRO – ENVIROMENT ANALYSIS 4

2.1 SWOT OF COMPANY 4

2.2 CURRENT BEVERAGE MARKET SITUATION 4

2.2.1 Size and growth rate of Vietnam's beverage market 4

2.2.2 Trends of beverage consumption 5

2.2.3 Competition in the Vietnamese beverage market 5

2.3 SWOT OF PRODUCT 6

2.4 COMPETITIORS 6

2.4.1 Direct competitor 6

2.4.2 Indirect competitors 6

CHAPTER 3 STP 7

3.3 POSITIONING 9

CHAPTER 4 MARKETING MIX STRATEGIES 10

4.1 PRODUCT STRATEGY 10

4.1.1 Product’s attributes 10

4.1.2 Value propositions 10

4.1.3 Packaging 10

4.1.4 Branding 10

4.1.5 Labeling 10

4.1.6 Product support services 11

4.2 PRICE STRATEGY 11

4.3 DISTRIBUTION STRATEGY 12

4.3.1 Types of distribution strategies 12

4.3.2 Distribution channel 12

4.3.3 Distributor incentive policy 13

4.3.4 Distribution channel management 13

4.4 MARKETING COMMUNICATION STRATEGY 16

4.4.1 Advertising 16

CHAPTER 5 ACTION PLAN 20

CHAPTER 6 CONCLUSION 22

REFERENCES 23

APPENDIX 24

LIST OF FIGURE

Figure 3.1: Crenosa’s position 9

Figure 4.1: Distribution channel 12

Table 3.1: Crenosa's segmentation 7

Table 4.1: Prices of some beverage products on the Vietnamese market 11

Table 4.2 Online advertising on websites 16

Table 4.3: Online advertising on Facebook 17

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EXECUTIVE SUMMARY

Gasaco Company is one of the quality and reputable beverage manufacturers inVietnam with over 20 years of industry experience Today, consumers have more and morediverse needs for the taste of drinks, besides they are also interested in health, so thechoice of drinks is very cautious Therefore, Gasaco will launch Crenosa milk tea flavoredwater with natural ingredients, low in sugar with the aim of bringing a product with a new,unique taste but safe to ensure the health of consumers, at the same time, helping thecompany improve its market share, reputation and grow more and more Therefore, thetopic "Creating a marketing plan for new product Crenosa milk tea flavored water in theperiod 2/2022-1/2023" will be discussed The structure of the assignment including:

Chapter 1: Gasaco company overview

Chapter 2: SWOT & Macro - Environment Analysis

Chapter 3: STP

Chapter 4: Marketing mix strategies

Chapter 5: Action plan

Chapter 6: Conclusion

GASACO COMPANY OVERVIEW 1.1 INTRODUCTION

Established in 1994, with more than 20 years of experience in the beverage manufacturing and processing industry, Quang Minh Food Processing Co., Ltd (GASACO) has become one of the outstanding typical units chosen by consumers across the country today.

- Pioneer: Taking the lead in natural beverage management, creating clean

drinking water for Vietnamese people

- Differential: Creating different and humane products bearing GASACO's mark

- Companion: Gasaco always accompanies and develops for the health of the community

- Responsibility: Gasaco commits and fulfills its responsibility to society, partners, customers, and employees on the principle of mutual benefit

- Customers: Reaching target customers as well as exploiting more potential customers

- Market: Expanding the operating market in the coming time, building a reputable and quality brand.

- Coverage: Expanded coverage to more retail points across the country

- Product benefits:

+ Rationality: natural materials, clean and safe

+ Sentiment: Fresh, creative images and safe product, expressing personality when using Crenosa milk tea flavored water

- Associated with a dynamic, modern modern lifestyle

SWOT & MACRO – ENVIROMENT ANALYSIS 2.1 SWOT OF COMPANY

- Extensive product distribution system with agents and sales centers throughout Vietnam

- The company's products have been exported to countries such as the UK,

Australia, Taiwan, the Middle East,

- Gasaco's factories always operate with a stable capacity to ensure the needs of consumers

Weaknesses

- The company's products are not highly competitive yet

- Marketing communication activities are not strong

- Brand strength is not high

Opportunities

- Vietnam's economy has a high growth rate

- Vietnamese people's income is increasing

- People's demand for beverage products in Vietnam is high

- Vietnam is a country with a stable political regime and an open legal system

- Vietnam's intellectual level is relatively high, especially in urban areas The rate of people graduating from universities and colleges… is quite high compared to other countries; Moreover, the intellectual workers in Vietnam are excellent at technology, so this is also an abundant human resource for the company

Threats

- The government's family planning policy will make the young age older in the next few decades and the aging population structure will no longer be an advantage for Gasaco

- Pressure from substitute products

- Fierce competition from competitors

- Customers are increasingly difficult

2.2 CURRENT BEVERAGE MARKET SITUATION

2.2.1 Size and growth rate of Vietnam's beverage market

Vietnam has one of the highest per capita beverage consumption markets Compared to

2010, Vietnam's alcohol consumption has increased by nearly 95%, ranked first in the

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world, doubling the second-ranked country (India), and 16 times higher than the United States.

Vietnam’s beverage industry is rapidly expanding, aided by economic growth,advantageous demographics, rising tourism, and higher middle-class income.According to Euromonitor, the Vietnamese beverage market by 2020 has a revenue ofmore than 5.8 billion USD With an annual growth rate of 6%, the sector is a majordriver of Vietnam’s economy, with the highest production value and the 2nd highesttotal revenue The reasons for the high growth of Vietnam's beverage industry are due

to the hot and humid climate, diverse food culture, and the rapid development of foodservices These things have pushed the demand for beverages to increase rapidly overthe years In addition, Vietnam is a country with a young population, with the age group

of 15-54 years accounting for more than 62.2%; in which the age group 15-40 isconsidered to have the highest demand for beverages

2.2.2 Trends of beverage consumption

Nowadays, consumers are more and more demanding Their tastes have nowchanged Market research firm Mintel announced 12 new trends for the food andbeverage industry Accordingly, the trend of using healthy drinks with clear and naturalingredients as well as the requirements for proof of origin becomes more stringent If inthe past demand was more than supply, customers used products that were "innocent",more interested in taste and preferences, now they are fastidious and careful inchoosing products Now buyers are paying more and more attention to clear labels andstandard ingredients This requires businesses to be transparent about information,make more quality commitments and be more careful in communicating with users

2.2.3 Competition in the Vietnamese beverage market

The beverage market in Vietnam is fiercely competitive This is clearly shown in thenumber of enterprises involved in the production, supply, and import of beverage products.According to collected data, as of 2021, there are 519 enterprises operating in the field ofbeverage import and production The beverage market in Vietnam is fiercely competitive.This is clearly shown in the number of enterprises involved in the production, supply, andimport of beverage products According to collected data, as of 2021, there are 519enterprises operating in the field of beverage import and production.Currently, there aremore than 500 brands of bottled water on the Vietnamese market with many productssupplied by private manufacturers and foreign brands in the market Moreover, thecompetitive pressure from substitute products is very strong: carbonated drinks and fruitjuices are having a very high growth rate, especially the "boom" of bottled teas in recentyears leading to competition in the beverage market has become increasingly fierce

- Only focus on young customers => The target audience is narrow

- Gasaco brand is not a strong brand in the market

Opportunities

- Milk tea flavored water is an unpopular product => potential market

- Strong growth forecast for bottled water market

- The needs of consumers are increasingly diverse => milk tea flavored water creates a competitive advantage

Threats

- Beverage market fluctuates

- High competitive rate

- Retailers such as supermarkets, convenience stores, department stores have many strict requirements when importing products for sale.

- Various substitute products

2.4 COMPETITIORS

2.4.1 Direct competitor

Gasaco milk tea flavored water has to face directly with Goodmood drink including two versions: yogurt drink and orange extract drink of Suntory PepsiCo Vietnam Beverage Company (SPVB)

2.4.2 Indirect competitors

Indirect competitors to Gasaco milk tea flavored water are all beverage products fromother companies that jointly address the beverage needs of consumers Can be mentionedTan Hiep Phat Company with Number one strawberry products, zero degree green tea,squash tea, or products of salted lemonade, fruit juice, of Bidrico company

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CHAPTER 3 STP 3.1 SEMENTATION

Table 3.1: Crenosa's segmentation

Segmentation

Variable

Geographic

Demographic

Care about taste,

health health

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Brand loyalty

Preference group

convenient and

novel products

Low, easy to

friends, influencers

others,…, media

media

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The main target market that Gasaco targets for this product is segment 2 The audience

in this segment is from 23-30 years old, living and working in urban areas Segment 2 is apotential market for Gasaco because the characteristics of consumers in this segment areconsistent with the characteristics of Crenosa milk tea flavored water new products:

- Having a stable source of income, so be able to pay for themselves.

- Care about health and product quality

- Likes to explore and experience, like convenient and novel products

- Dynamic, modern, catching up with trends.

3.3 POSITIONING

- The positioning of Gasaco milk tea flavored water is "the taste is like enjoying a cup

of milk tea but with fewer calories" This is the strength of the product because other Vietnamesebeverage brands in the market do not have product lines with this flavor

- Gasaco will apply the "More for more" strategy to position Crenosa milk tea flavored water This means that Crenosa products will have higher quality and higher prices compared to other competitors.

CHAPTER 4 MARKETING MIX STRATEGIES

4.1 PRODUCT STRATEGY

4.1.1 Product’s attributes

Milk tea flavored water is made from real tea leaves, milk, and natural mineral water,

so it is safe for consumers' health The product is processed by the distillation method Thewater will be boiled, and the steam will pass through a layer of black tea to infuse the teaflavor This amount of steam is then cooled, leaving a layer of tea-flavored liquid that istransparent like water Transparent milk ingredients containing only lactose and fat-freeminerals are suitable for all audiences Combine transparent milk ingredients with the above

"transparent tea flavored water" to get milk tea flavored water

4.1.2 Value propositions

Gasaco is committed to bringing consumers a milk tea flavored water product that tastes like enjoying a cup of milk tea but with 20 times fewer calories, does not cause fat and is safe for consumers' health.

4.1.5 Labeling

The main color of the label is blue, which brings a sense of security, protection, andpromotes trust in the product The rectangular label will be affixed on the front of the bottle bodyvertically, on which will be printed the brand name, product name and company name Gasaco

will be printed clearly and in detail

4.1.6 Product support services

- The company will create a fan page on Facebook and an official website for the

Crenosa brand The information about the product will be posted and updated regularly so that

customers can refer and learn before buying the product In addition, the website and fan page will

provide a toll-free phone number and email for customers to contribute ideas and receive advice

before, during and after purchase

- Shopping support: For busy customers who do not have time to go to places that

sell Crenosa products, they can easily buy products through those two online shopping sites

Shopee and Lazada.

4.2 PRICE STRATEGY

In the new stage of launching products to the market, Crenosa milk tea flavoredwater will use the "flash skimming" pricing strategy, which means high prices and big

promotions With a high price to get high profits in a short time to compensate for the huge

investment costs for the production and launch of products to the market The big

promotions are aimed at attracting attention, stimulating the buying demand of consumers

to speed up the penetration and dominate the market When Crenosa milk tea flavored

water is newly launched on the market, the price of 1 bottle with a capacity of 455 ml will be

12,500 VND That is a price that is not too high compared to the use "like enjoying a cup of

milk tea but fewer calories, no fat and safe for health" of the product However, considering

the domestic beverage market in Vietnam, it is not cheap In general, Crenosa milk tea

flavored water still has a higher price than other beverage products

Table 4.1: Prices of some beverage products on the Vietnamese market

The higher price of Creosa milk tea flavored water is mainly due to the high cost of

input materials, fresh ingredients, technological processes with many complicated

processing stages These things increase the cost of the product.

In order for the price to be no longer an issue for consumers to consider, the company can choose from the following solutions:

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