Introduction
In order to launch a new product, it is crucial for organizations to build proper strategic planning and adopt effective marketing strategies to be successful in the market (Kotler, 2006). This paper will describe strategic planning process, SWOT, market segmenting, targeting, positioning and offerings for the company, which is interested to offer fruit product in UK market.
Strategic Planning Process
Mission: Mission of the company is to meet the expectations of customers by adding values through continuous development of fruit products in energetic and health perspectives.
Vision: Vision of the company is to achieve a leading position in UK juice product market and develop its products to establish its business globally (Ferrell & Hartline, 2010).
Objectives: Company will launch healthy fruit product namely “Refresh Drink” in various flavors and packaged sizes in UK market as per customers’ taste and preferences. In order to be successful in market, following objectives will be significant to attract customers for fruit product and develop competitiveness over its rivalries:
To become a market leader globally by getting entry into different locations in UK.
To develop awareness among public about health drinks.
To develop customer base by 25% for fruit product within one year.
To increase the revenue up to 40% for grabbing a larger portion of total market share in next 3 years.
Environmental Analysis: In order to know market conditions, it is necessary to analyze environmental factors such as political, economical, social, technological, legal, environmental, etc. for successful launching of new product. Government policy and business regulations can affect marketing decisions related to new product. In economical environment of UK, change in interest rate and inflation rate, budgetary aspects can affect business operations of company. Aged demographics in UK can increase the demand of health and fruit drinks in market. Availability of advance technology can be beneficial for the company to produce the fruit products at low cost with high quality. It will be essential for the company to comply with various rules and regulations related to business and employment in order to operate the business successfully in UK market (David, 2008). Environmental aspects like climate and weather conditions will be favorable for the company to launch fruit products in UK.
SWOT
Strength: This fruit product is a health drink that can fulfill increasing demand of fruit juices and health drinks in UK market. High level of health ingredients like vitamins, proteins, essential health supplements, etc. and less sugar content in the product are more beneficial than competitors’ fruit products such as Diet Pepsi, Tropicana, Appy Fizz, Umego, Xango, Ribena, Boost, flavored milk, soft drinks, etc. It is a natural product that is made of 100% real juice of various varieties of fruits and provides higher nutritional value and long lasting energy (Pahl & Richter, 2009). Low price of product also provides a competitive advantage over competitors.
Weakness: Company is launching new product that creates a need for brand acknowledgement. In addition, late entry of company into the market and limited marketing budget can be a greater weakness for this product.
Variation in seasonal demand and supply can also have an adverse impact on new product (Onkvisit & Shaw, 2008).
Opportunity: Increased demand of fruit juice and healthy drinks over carbonated soft drink due to public awareness can provide more opportunities to this product in UK market. Aged people in UK demographics can also create demand of fruit product and health drinks.
Threats: Cut throat competition and health issues can be big threats for the product. Global warming issues and poor weather conditions can affect the quality of fruits and products.
Market Segmenting
On the basis of geographical market segmentation, company will focus on tropical areas of UK having hot conditions that will help to attract more customers. Urban areas, metropolitan cities and major towns in UK will be main target for the company to offer new product. On demographic basis, company will concentrate on customers between the ages of 5 to 70 years, male and female both, middle and high income people. Through psychographic segmentation, company will segment its market to find middle and high class customers, who can be interested to buy this product (Jones, Comfort & Hillier, 2003). By behavioral segmentation, firm can target customers, who are regular user of fruit products and get benefits from these products.
Target Marketing
Target market for this product will be customers between the ages of 5 to 70 years. Primary target market for health fruit drink will be kids, teens, young generation, households, working people, sick and aged people. The people between ages of 5 to 35 years are mainly foucsed towards health and physical fitness. The customers more than age of 35 years are not interested to take soft and carbonated drinks due to physical and health problems (Pride, 2013). Secondary target market will be transport places, hotels, restaurants, colleges, schools, malls, amusement parks, theaters, etc. that can provide prospect customers for new product in market.
Product Positioning
In order to develop a positive image about the product among target customers, company will get feedback about healthy fruit drink. It will also use proper promotional tools such as social networking sites, advertising, personal selling, sales promotion, etc. and effective distribution system that will help to achieve positioning in market. Firm will get position through enlightening the characteristics of fruit product like varieties of flavors, health improving ingredients, originality of juice, use of fresh fruits, etc. that will be significant to attract more customers in market in compare to competitors (Kotler, 2006). New innovations in flavor and taste of fruit product will also help to obtain positioning in market over competitors.
Offerings
Product: in order to develop wider market for the product, company will focus on varieties and quality aspects of fruit product. Benefits of drinking health fruit juice and competencies of product will be explained by marketing manager to target customers. Through this, company will be able to introduce new characteristics and ingredients in existing product to make the product more palatable for customers (Westwood, 2006).
Price: Marketing manager will use competitive pricing strategy to make the product more competitive by charging lower price in comparison to its competitors in the market. Firm will adopt recycling process to reduce operational cost and provide the product at low price.
Service: Company will use conventional marketing channel, in which its product will be distributed by specified distributors to wholesalers and retailers and ultimately consumers. It will also provide effective customer service that will allow customers to send feedback and complains regarding new product effectiveness (Weinstein, 2004).
Conclusion
As per the above discussion, it can be stated that through effective strategic planning process and marketing planning, company can introduce a new product in market successfully. Environmental analysis and SWOT are helpful in making successful marketing plan. Market segmentation, targeting, positioning and offerings are important aspects to make result oriented a marketing plan.
References
David, J. (2008). Selling And Sales Management. UK: Pearson Education Inc.
Ferrell, O.C. & Hartline, M. (2010). Marketing Strategy. USA: Cengage Learning.
Jones, P., Comfort, D. & Hillier, D. (2003). Retailing fair trade food products in the UK. British food journal, 105(11), 800-810.
Kotler, P. (2006). Marketing Management. USA: Prentice Hall Pvt. Ltd.
Onkvisit, S. & Shaw, J.J. (2008). International marketing: strategy and theory. New York: Taylor & Francis.
Pahl, N. & Richter, A. (2009). SWOT Analysis – Idea, Methodology And A Practical Approach. Germany: GRIN Verlag.
Pride, W.M. (2013). Marketing 2014. USA: Cengage Learning.
Weinstein, A. (2004). Superior Customer Value in the New Economy: Concepts and Cases. USA: CRC Press.
Westwood, J. (2006). How to Write a Marketing Plan. UK: Kogan Page Publishers.