PTT Philippines Corporation

10 Step Marketing Plan for Gasoline Products

Sherwin Mar B. LabradorJuly 2012

PTT PHILIPPINES CORPORATION (PTTPC) is one of the wholly owned subsidiary companies in the Philippines of Petroleum Authority of Thailand Public Company Limited (PTTPLC). PTTPC primary business of marketing refined petroleum products and lubricants are focused on three major segments – retail, wholesale and commercial markets.

PTT Philippines Corporation

1. Describe the Primary Target Market;

Retail - private & public motorists;

Wholesale - Distributors example: Small oil companies like seaoil, jetti, phoenix

Commercial - Industrial plants, private & pubic companies like Cebu Pacific, NPC

2. My PTM’s NWD;

Oil product targets the first level of Maslow’s Hierarchy of Needs since it serves the transportation sector. Aside from Food, water and shelter oil is part of daily activities like going to work or school.

Several brands available in the market since oil is a basic necessity. PTT has difficulty in tapping new customers for many reasons specially PTT still a new player.

Presence in the market, since PTT is a new player they only have a few stations visible in the market. Comparing to other brands which is visibly present almost everywhere;

3. Direct and Indirect Products that address PTM’s NWD

3.a Direct and Indirect products that address my PTM’s NWD;

MARKET PRESENCE

  20% 40% 60% 80% 100%

Petron       X  

Shell     X    

Caltex     X    

Total   X      

           

Phoenix   X      

Seaoil   X      

PTT X        

PETRON Strong Marketing Presence PBA Team Extra Unleaded Different channels of distribution – Ordinary

gasoline stations for bigger market and Petron “Bulilit” for smaller areas.

Competitive product availability / brand visibility.

Gasul

SHELL Strong Marketing Presence Competitive product availability / brand

visibility. Save for every drop

CHEVRON Strong Marketing Presence Many sites are available Techron that cleans engine

PHOENIX Good Marketing Presence Current development of many sites

PTT Depot inside Tax Free Zone (Subic) Has the edge to lower the price

3.b Benefit Positioning

Pilipinas Shell

Chevron Philippines

Petron

Phoenix

4. Identify the gap between customers and competition;

Where is the marketing opportunity?Nowadays the development of putting up gasoline stations is in provincial areas. Since major cities are too crowded and congested with stations of different brands;

What NWD’s are not being addressed?

Presence of stations and marketing campaigns is major concern that the company must look into;

What can be the unique selling proposition for the new product (Totally new and repositioned);

PTT must strengthen its marketing campaign like new slogan or tag line. Get a celebrity that will carry out company’s brand name.

5a. Estimate the market size using competitor data

From official website of DOE

The major oil companies (Petron Corp., Chevron Phils. and Pilipinas Shell Petroleum Corp.) got 77.2 percent market share of the total demand, a slight decrease of 1.6 percent from 78.8 percent of 2009.

On the other hand, market share of the other industry players which include PTT Philippine Corp. (PTTPC), Total Phils., Cross Country, Seaoil Corp., TWA, Filpride, Phoenix, Liquigaz, Petronas, Prycegas, Micro Dragon, Ixion Corp. and Jetti as well as the end users who directly imported part of their requirement captured 22.8 percent of the market

6a. Photo of product category

7. Price

As of July 4, 2012Diesel Unleaded Premium

Petron37.45 45.80 46.70Caltex 37.65 45.95 46.85

Prices differs per area. Factors to consider are; Proximity from depot to site Financial capability of the dealer Price per barrel in the world market

8a. Which of these modes does your product use?

** Pls. rank most used, 1-highest use

Ranking 1-4 and 4 is the highest

Sales Promotion 2Advertising 2Public Relations 2Events & Experiences 3Direct Selling 4Interactive Marketing 1Personal Selling 3Word of mouth 2

I propose to strengthen Advertising by hiring celebrities and doing television commercials. Sponsoring events like pba;

9. Place

Where is your product available?

Along Molino Boulevard Bacoor Cavite

10. What is the generic winning strategy?

Which of the 4 strategies are being used? (bold and underline to most dominant strategy)

Low Cost ProducerSupply and Distribution Leverage

DifferentiationNiche

PTT Philippines Corporation

10 Step Marketing Plan for Gasoline Products

Sherwin Mar B. LabradorJuly 2012