MARKETING ANALYSIS ON READY-TO-DRINK TEA

Bottled Goodness

Alalay Cailao Mallari Martin Ogilvie

The Taste & Price is Right

Game #1!

“You don’t really need to C2 believe!”

3 different green tea brands (Lipton, Nestea, C2) Which is C2?

The Taste & Price is Right

Game #2!

“Which is your flavorite?” 3 different C2 flavors

Determine 2 out of 3

The Taste & Price is Right

Game #3!

“Name the price to get the prize!”

Name the price

IntroductionLearning Activity

Methodology Analysis

Marketing Mix

Brand Focus: C2 Market Leadership Marketing Strategy

Conclusion

Outline

Tea, in general, is perceived to be a healthy product. Fewer calories Fewer additives

Iced tea provides a convenient, healthy alternative to softdrinks.

Why RTD Bottled Tea?

Reference: Maslow’s Hierarchy of Needs

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Why RTD Bottled Tea?

Learning Activity

Category: RTD Bottled Tea

Brands: C2; Lipton; Nestea; Zesto One;

Alo

Similar Size: 450 ml – 500 ml

Outlets: Small – Sari-sari Stores; Mini-

grocery Medium – Convenience Stores Large - Supermarkets

Learning Activity

DataC2 Apple Big Sari-

Sari StoreMercury

DrugstoreLandmark

Supermarket

Pasig Makati City Makati City

Similar Size Price (500ml)

None Php 20.00 Php 18.90

Most Common Size Price

Php 10.00(230 ml)

Php 20.00 (500ml)

Php 15.00(355 ml)

    Php 15.75 (355ml)

 

Zesto One White Tea

Budget lane 7-Eleven Rustan's Supermarke

tSan Mateo Aurora Blvd

CubaoGateway

MallSimilar Size Price (500ml)

Php 18.50 Php22.00 Php19.25

Most Common Size Price

Php 18.50(500 ml) Php22.00

(500 ml)Php19.25(500 ml)

DataLipton

Green Tea

Sari-Sari Store

Mercury Drugstore

Rustan's Supermarke

t

  V. Luna

Quezon CityMakati City Gateway

MallSimilar Size Price (450ml)

Not available Php17.50 Php19.50

Most Common Size Price

Not available Php17.50(450 ml)

Php19.50(450 ml)

Alo Green Tea

Sari-Sari Store

7-Eleven Rustan's Supermarke

t

 Monte Vista Quezon City

Marikina Riverbanks

Gateway Mall

Similar Size Price (500ml)

Not available Php 25.00 Php 19.25

Most Common Size Price

Not available Php 25.00 (500ml)

Php 14.00(320 ml)

      Php 19.25(500 ml)

DataNestea

Green Tea

Sari-sari Store 7 Eleven Shopwise

 Alabang

MuntinlupaAlabang

MuntinlupaAlabang

MuntinlupaSimilar Size Price (480 ml)

Not available Php25.00 Php21.25

Most Common Size Price

Not available Php25.00(500 ml)

Php14.95(330 ml)

Analysis

Product Strategy (Positioning) C2- Positioned as a lifestyle brand,

promoting health benefits of green tea through educating consumers to maintain active and well-balanced lifestyle.

One White Tea/Plus - Positioned as the key to a healthier and younger life, preserving/renewing youth for a more active lifestyle and a more beautiful glow.

Lipton Tea- Positioned as a healthy refreshing alternative to soft drinks.

Alo Green Tea- Positioned as a refreshing new beverage for healthier and youthful skin with Aloe Vera bits for added mouth feel with health benefits.

Nestea- Positioned as a lifestyle product for the young adult.

Analysis

Cool and Clean (C2) by URC

One White Tea by Zest-O

Lipton Tea by Pepsi

Alo Green Tea by RFM

Nestea by Coca-Cola

Price according to outlet category (500ml)

Big Php 18.90 Php19.25 Php19.50 (450ml)

Php 19.25 Php21.25 (480ml)

Medium Php 20.00 Php 22.00 Php17.50 (450ml)

Php25.00 Php25.00 (480ml)

Small None Php 18.50 Not Available Not Available Not available

Size most common

Big 355ml (Php 15.00) 500 ml 450 ml (Php19.50)

320 ml500 ml

330 ml (Php14.95)

Medium 500ml (Php 20.00)355ml

500 ml 450ml (Php17.50)

500 ml 480 ml (Php25.00)

Small 230ml (Php 10.00) 500 ml Not Available Not Available Not available

Analysis

Priceo Prices for the five brands are relatively

same in price range that is Php17.00 to P20.00 for the specific size of 500ml.

o However, the cheapest is C2 under the big category outlet, One White Tea/Plus for Medium outlet while indeterminate for the small outlet because of the unavailability of the other brands.

o SRP Per Size –One White is the cheapest for the 355ml and 500ml sizes.

Analysis

Placing Strategy (Distribution) C2 and One White Tea brands consumes

large space shelf with high visibility in supermarkets, groceries, sari-sari store and convenience store.

Moderate visibility for Lipton and all other brands in supermarkets while some brands such as Alo and Nestea are not available in the smaller scale.

Analysis

Analysis

Brands with different variants and sizes for RTDs are commonly available in large retail outlets with cheaper prices compared to medium and smaller scales.

Suggested Retail Price (SRP) may vary on some range according to the scale of distribution and the target segment

C2 has been highly visible among the scales of distribution with prices relatively the same as its competitors with the most number of ml sizes catering to the different needs of the market.

Analysis

Brand Focus

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Brand Focus: C2Similar Size Most CommonC2 Apple 500

ml Content PriceSmall Outlet

Sari-Sari Store - MonteVista Subd. Php25.00 500 ml Php25.00Sari-Sari Store - V. Luna none 230 ml Php10.50Sari-Sari Store 3 none 230 ml Php10.00

Medium OutletWatson's - Marikina Php23.00 355 ml Php18.75Mercury Drug Php20.00 500 ml Php20.007 Eleven - Aurora Blvd. Php24.00 355 ml Php19.007 Eleven - Alabang Php25.00 500 ml Php25.00MiniStop Php25.00 355 ml Php19.00

Big OutletSM Supermarket - Marikina Php18.50 355 ml Php14.50SM Hypermarket - Quezon Ave. Php19.00

1000 ml Php22.50

SM Hypermarket - Cavite Php18.50 355 ml Php14.50SaveMore - Alabang Php18.50 500 ml Php18.50Shopwise - Cubao Php19.00 355 ml Php15.00Shopwise - Alabang Php19.00 355 ml Php15.00Shopwise - Taft Php19.50 355 ml Php15.50Rustan's Supermarket - Farmer's Php19.50 355 ml Php15.50Landmark Supermarket- Makati Php18.90 355 ml Php15.00

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Brand Focus: C2Similar Size Most CommonC2 Apple 500

ml Content PriceSmall Outlet

Sari-Sari Store - MonteVista Subd. Php25.00 500 ml Php25.00Sari-Sari Store - V. Luna none 230 ml Php10.50Sari-Sari Store 3 none 230 ml Php10.00

Medium OutletWatson's - Marikina Php23.00 355 ml Php18.75Mercury Drug Php20.00 500 ml Php20.007 Eleven - Aurora Blvd. Php24.00 355 ml Php19.007 Eleven - Alabang Php25.00 500 ml Php25.00MiniStop Php25.00 355 ml Php19.00

Big OutletSM Supermarket - Marikina Php18.50 355 ml Php14.50SM Hypermarket - Quezon Ave. Php19.00

1000 ml Php22.50

SM Hypermarket - Cavite Php18.50 355 ml Php14.50SaveMore - Alabang Php18.50 500 ml Php18.50Shopwise - Cubao Php19.00 355 ml Php15.00Shopwise - Alabang Php19.00 355 ml Php15.00Shopwise - Taft Php19.50 355 ml Php15.50Rustan's Supermarket - Farmer's Php19.50 355 ml Php15.50Landmark Supermarket- Makati Php18.90 355 ml Php15.00

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The country’s most popular ready-to-drink green tea.

Filipino-made product manufactured by Universal Robina Corporation (URC).

Total market size for RTD tea is approximately P6.712 B.

Universal Robina Corp maintained its lead in RTD tea with an off-trade value share of 63% in 2010. (Euromonitor)

Brand Focus: C2

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Blue Ocean Strategy Pre-C2: No product to satisfy NWDs

Prior to C2’s entry. Healthy drinks were either expensive

or does not taste good.

URC started & led the RTD Tea category thru Blue Ocean Strategy.

URC saw the need for a healthy beverage that will cater to the health conscious individuals that are always on the go, regardless of age, gender, and social class. Convenience and affordability became of importance as well.

Marketing Strategy:C2

Primary Target Market Demographics

10-45 years old Male and Female Social class: A, B, C, D

Lifestyle “Health conscious” people People on the go People that are on a diet Diabetic Athletes

Marketing Strategy:C2

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C2 tea drink contains antioxidants that comes in variety of flavours.

Competitive price

Music videos, commercials, and booths.

Distributed globally across 32 countries.

Marketing Strategy:C2

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C2 has no top celebrity endorser This simply proves that C2 does not need a top celebrity to influence PTM.

C2 TVCs showcase various types of individuals, which can be found across all PTM social classes

Marketing Strategy:C2

Conclusion

Brands with different variants and sizes for RTDs are commonly available in large retail outlets with cheaper prices compared to medium and smaller scales.

Suggested Retail Price (SRP) may vary on some range according to the scale of distribution and the target segment.

For a 24 hr convenience store, RTDs are sold more expensive as compared to supermarkets because of its nature of business, while for a smaller scale such as sari-sari store, prices tend to be expensive and the availability of the brand, variants and sizes may also tend to be minimal or not available at all because it only caters the neighborhood or the community demand.

With this activity, C2 has been highly visible among the scales of distribution with prices relatively the same as its competitors with the most number of ml sizes catering to the different needs of the market.

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Conclusion

Thank You.