Marketing Mix1

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COMPANY PROFILE....................................................2 1. VISION.........................................................4 2. MISSION STATEMENT................................................4 3. GOALS..........................................................5 4. VALUES.........................................................5 5. COMPETITIVE ADVANTAGES............................................6 6. PRODUCT LINE....................................................7 SITUATIONAL ANALYSIS...............................................8 1. MARKET SUMMARY..................................................8 2. MARKET DEMOGRAPHICS..............................................9 3. SWOT ANALYSIS................................................. 10 4. COMPETITOR ANALYSIS.............................................12 MARKETING STRATEGY................................................14 1. MARKETING OBJECTIVES............................................ 14 2. MARKET SEGMENTATION AND TARGET MARKETS.............................14 POSITIONING.......................................................16 MARKETING MIX.....................................................17 1. PRODUCT.......................................................17 2. PRICE.........................................................18 3. PROMOTION..................................................... 20 4. PLACEMENT..................................................... 22 Distribution....................................................22 CONCLUSION........................................................24 APPENDICES........................................................25 APPENDIX-I........................................................25 APPENDIX-II.......................................................27

Transcript of Marketing Mix1

Page 1: Marketing Mix1

COMPANY PROFILE..........................................................................................................................2

1. VISION.......................................................................................................................................4

2. MISSION STATEMENT.................................................................................................................4

3. GOALS........................................................................................................................................5

4. VALUES........................................................................................................................................5

5. COMPETITIVE ADVANTAGES..............................................................................................................6

6. PRODUCT LINE...........................................................................................................................7

SITUATIONAL ANALYSIS................................................................................................................8

1. MARKET SUMMARY........................................................................................................................8

2. MARKET DEMOGRAPHICS..........................................................................................................9

3. SWOT ANALYSIS.....................................................................................................................10

4. COMPETITOR ANALYSIS..................................................................................................................12

MARKETING STRATEGY...............................................................................................................14

1. MARKETING OBJECTIVES.........................................................................................................14

2. MARKET SEGMENTATION AND TARGET MARKETS..................................................................14

POSITIONING....................................................................................................................................16

MARKETING MIX.............................................................................................................................17

1. PRODUCT..................................................................................................................................17

2. PRICE.......................................................................................................................................18

3. PROMOTION..............................................................................................................................20

4. PLACEMENT.............................................................................................................................22

Distribution......................................................................................................................................22

CONCLUSION....................................................................................................................................24

APPENDICES......................................................................................................................................25

APPENDIX-I......................................................................................................................................25

APPENDIX-II.....................................................................................................................................27

Bibliography.........................................................................................................................................29

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COMPANY PROFILE

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Formed in 1965, PepsiCo is the world’s second largest Food and Beverage Company with its estimated worldwide retail sales of US$ 92 billion in 2006. In Pakistan, it is best known for its flagship product Pepsi-Cola.

The company consists of Frito-Lay North America – the largest manufacturer and distributor of snack chips, PepsiCo Beverages North America, PepsiCo International, and Quaker Foods North America. PepsiCo

brands are available in more than 200 countries and territories.

Many of PepsiCo's brand names are more than 100-years-old, but the corporation is relatively young. PepsiCo was founded in 1965 through the merger of Pepsi-Cola and Frito-Lay. Tropicana was acquired in 1998 and PepsiCo merged with The Quaker Oats Company, including Gatorade, in 2001.

PepsiCo offers product choices to meet a broad variety of needs and preference -- from fun-for-you items to product choices that contribute to healthier lifestyles.

Although it ranks second to Coke in worldwide beverage sales, PepsiCo holds the tops slot for snacks and chips through its Frito-Lay and Quaker Oats businesses.

PepsiCo International

PepsiCo International manufactures a number of leading salty and sweet snack brands through consolidated businesses as well as through non-controlled affiliates.

PepsiCo’s international business (outside USA) showed outstanding growth in 2004 and 2005. Its portfolio in international markets is both broadening and strengthening, as they deliver exciting new products tailored to local tastes. As such, PepsiCo expects its international business to

grow twice the rate of its North American businesses.

PepsiCo snack brands are distributed in about 170 countries, making PepsiCo the largest salty snack company in the world.

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1. VISION

PepsiCo’s responsibility is to continually improve all aspects of the world in which we operate – environment, social, economic – creating a better tomorrow than today.

2. MISSION STATEMENT

PepsiCo’s mission is “To be the world's premier Consumer Products Company focused on convenient foods and beverages. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate. And in everything we do, we strive for honesty, fairness and integrity.”

They believe that their commercial success depends upon offering quality and value to their consumers and customers; providing products that are safe, wholesome, economically efficient and environmentally sound; and providing a fair return to their investors while adhering to the highest standards of integrity.

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3.

GOALS

Non-Financial Goals- Sharply focus their financial and management resources on their core

businesses.- Build their success upon their key functional strengths – day-to-day

management of operationally intensive businesses; manufacturing, selling and distribution infrastructure development; and marketing and new product R&D.

Financial Goals- To obtain a real growth of earnings per share of 15% per year over

time.- To obtain a return on equity of at least 40%.

4. VALUES

Sustained Growth

“Sustained Growth” means consistent growth for our business as well as our people — growth year after year.

Empowered People

Decisions that drive the business come from tens of thousands of PepsiCo associates throughout the world who develop, manufacture and deliver our products. Empowered people act and think in ways that get the job done, and innovate to find new ways to achieve growth.

Responsibility and Trust

Acting responsibly and earning the trust of our shareholders, customers, consumers and other stakeholders is a necessity for growth. Winning is only worth it if is done the right way — acting in a responsible way that will build trust.

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5. COMPETITIVE ADVANTAGES

Strong Brands

PepsiCo brands and products are known and trusted by consumers around the world. PepsiCo constantly revitalizes these brands with packaging and product improvements and consumer promotions to keep them strong.

World Class Innovations

When an opportunity to add new products that complement their portfolio comes along, PepsiCo considers building them from within or acquiring new brands through smaller acquisitions, which can be integrated easily with their lines of business.

PepsiCo’s ability to innovate is another competitive advantage. They look for opportunities to capitalize on the value of its brands by creating new products and varieties. By innovating to meet

consumer needs and preferences, the company fill consumption gaps and contribute to creating both healthier and indulgent choices for consumers, and bringing more enjoyment to their lives.

Powerful Go-to-Market System

Bringing those products to consumers is where PepsiCo’s third major competitive strength comes into play: their strong, established delivery systems. They include direct-store-delivery, where associates deliver products directly to retailers as well as load and set up the shelves; warehouse systems, where retailers store and replenish product; and dedicated teams to supply foodservice.

The strength and span of their systems help them quickly introduce a product into the market – which helps them put their products within easy reach whenever a consumer is thirsty or hungry. Moreover, their direct-store-delivery system allows them to respond quickly to the marketplace and tailor their marketing and merchandising.

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PepsiCo is working with their retail customers to create promotions and improve productivity across their portfolio. PepsiCo’s goal is to have their products in arm’s reach whenever and wherever consumers want them. Whether they’re new or brand loyal consumers, each consumer must be able to find their products in order to buy them.

Each of these competitive strengths comes together to meet the needs of their consumers, shareholders and other stakeholders in creating sustainable growth on any day.

6. PRODUCT LINE

PepsiCo has hundreds of brands around the globe. Some of the best known available in Pakistan are as follows:

Beverages:

Pepsi Cola Diet Pepsi Pepsi Twist Mirinda Teem 7UP Mountain Dew Slice Tropicana Aquafina

Snacks:

Lay’s Kurkure Cheetos Doritos tortilla Quaker Oatmeal

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SITUATIONAL ANALYSIS

Obesity is a significant issue gaining increased attention and importance in many nations. PepsiCo’s focus on product reformulation – reducing sugar, fat or sodium or adding whole grains and healthier oils; their commitment to developing new products that support healthier eating; and their passion for promoting active lifestyles, all illustrate PepsiCo’s drive to make it easier for their consumers to make choices that are part of healthier lifestyles.

Pakistan's food sector is also changing significantly as lifestyles and traditional eating habits are shifting. It is becoming a developing and modern country at an extraordinary fast pace. This change is being viewed positively and is being capitalized by entrepreneurs.

1. MARKET SUMMARY

With the population of 166 million (July 2006 estimated), Pakistan holds the world’s ninth largest market. And it is estimated that Pakistan’s total population will reach 169 million by 2007 with 34% urban population. And by the next decade the population is expected to exceed 176 million.

This increase in overall population and a significant increase in urban population will result in more consumption of consumer goods given that the use of consumer goods is more in urban areas as compared with rural areas. The consumer class is estimated at 41 million people out of 166 million people which is about 25 percent of the total population. While poverty continues to be a persistent problem in Pakistan there is an active and growing market.

Although poverty does exist, 70% of the population lives above the poverty line, which is enabling the consumer base to grow and diversify. Due to the influence of Western media, Pakistan’s food sector has seen some significant changes as traditional lifestyles and eating habits are shifting.

The 3 major cities and the biggest consumer markets in Pakistan are Karachi with a population of 15 million people, Lahore with 10 million people and Faisalabad with 2.6 million people. Other major cities include Rawalpindi, Multan, Hyderabad, Gujranwala, Islamabad, Sukkur and Peshawar where there is an emergence of middle-class.

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2. MARKET DEMOGRAPHICS

Pakistan’s economy is undergoing structural shifts that are fuelling rapid changes in consumer spending patterns. In particular, the middle classes are becoming an increasingly dominant force.

Population and Growth

Population 166mGrowth Rate 2.09%

Urban Population 56mUrban Population Growth Rate 2.1%

Size of Middle Class 82mMiddle Class Growth Rate 3%

July 2006 estimated

Age Structure

Age Category % share0 – 14 Years 39%15 – 64 Years 57%65 Years & Over 4%

July 2006 estimated

Market Needs

At an average, a Pakistani consumer spends 42 percent of income on food. Retail sales of processed foods are expanding by 10 percent per year in recent years. Popular food items include canned fruits and juices, snack foods, confectionary, cereals etc.

Although Pakistan is generally considered to be a price-sensitive market, consumers often prefer branded food items for both quality and status reasons.

Market Trends

Demand for packaged (branded) food is growing, particularly among educated, middle and upper class urban consumers due to changing lifestyles, influence of foreign media and increasing awareness of health principles. Supermarkets are increasing in popularity and currently account for 10% of retail food sales. Health and dietary food items are gaining in popularity, which is a result of foreign media influence on Pakistani lifestyle.

Consumers tend to eat out more often due to the fact that economically, income is showing a rising trend. Advertising is also helping to stimulate demand for branded food. Increasingly these items are becoming available in small towns and more rural areas. However, income constraints, traditional eating habits, limited marketing and a lack of consumer awareness continue to be significant

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impediments to increasing demand for consumer-ready foods for much of Pakistan’s population.

Market Growth

Pakistan economy’s average growth rate during 2000-2006 has been one of the highest in the world. Pakistan’s per capita real GDP has increased at an average of 5.6 percent per annum during the last three years leading to a rise in average income of the people. Such increases have led to a sharp increase in consumer spending during the last three years. As opposed to an average annual increase of 1.4 percent during 2000-2003, the real private consumption expenditure has grown at an average rate of 10.9 percent per annum during the last three years.

3. SWOT ANALYSIS

The following analysis shows the internal and external factors affecting the market opportunities for PepsiCo:

Strengths

Experienced management with broad base of interests and knowledge

Unique products, good taste and competitive pricing

PepsiCo holds the top slot for its snack products like Lays and Kurkure and has established market presence and brand recognition in the market

The image PepsiCo has created by making its products conveniently available at every small and major sales outlet

One of the strengths that have developed Pepsi into such a large corporation is a strong franchise system. The strong franchise system is the backbone of success along with a great entrepreneur spirit

Low costs and liabilities due to outsourced manufacturing

PepsiCo’s reach provide a competitive edge when introducing new products and distributing their brands

Retailers are eager to stock PepsiCo products because they know its brands provide quality, variety, great taste, and move quickly off the shelves.

PepsiCo brands’ size and popularity gives them the confidence to introduce new flavours and launch entirely new varieties with trusted brand names that deliver constantly great taste.

PepsiCo products are the choice of New Generation, but it is also famous among other generations as well

PepsiCo remained an innovator in the food and beverages market by coming up with differentiated products. The continuous effort of their R&D has proven to be creative in capitalizing opportunities with changing market trends.

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Already established snack food manufacturing units in Pakistan

Weakness

With outsourced manufacturing, the company has little or no control that may affect product quality and distribution

Reliance on independent distributors to assist in distribution and promotion of products

Large organization size may lead to internal conflicts and lost focus

Opportunities

For PepsiCo in Pakistan, the market for snack food products is not new and is open for expansion

The largest segment of Pakistan population falls in the age bracket of 15-64 years and accounts for 57% of total population. This segment is health conscious and thus adds to the demand for branded snacks

Target market is youth and elders. This segment is not being targeted very well by any other snack brand

Opportunities for new-to-market products are high as consumer food sales are expanding at a rate of 10 percent per annum

Low cost of manufacturing due to locally produced low cost raw material and cheap local labour

Pakistanis are more inclined to products that are made from natural ingredients, and prefer natural products over artificial

In urban population, quality and safety are important decision variables

The accession of Pakistan into the WTO is a positive scenario that can help the long term stability of the Pakistani economy

Comparable competition not yet exists in branded products

Threats

PepsiCo must constantly look up for changing taste of the consumer and respond to that need immediately or risk losing market share

Regional tastes and preferences vary that may affect the sales

It may happen that consumers do not recognize and adopt a totally new taste

Consumer preferences may shift due to changes in social trends, changes in vacation or leisure activity patterns, or a downturn in economic conditions, that may reduce consumers’ willingness to purchase their products

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There is some competition by existing unbranded snacks of this kind available at Nimko Stores

Competitors may adopt the recipe and start producing it

Success is also dependent on the effectiveness of advertising campaigns and marketing programs.

Induction into the WTO opens the doors for other branded snacks companies to enter this market

The raw materials and energy used in the production is subject to price volatility caused by changes in supply and demand. If commodity price changes result in unexpected increases in raw materials and energy costs, we may not be able to increase our prices to offset these increased costs without suffering reduced volume, revenue and operating income.

Failure to successfully launch this new product could decrease demand for their existing products by negatively affecting consumer perceptions of existing brands. Moreover, any damage to their reputation could have an adverse effect on their business, financial condition and results of operations.

4. COMPETITOR ANALYSIS

PepsiCo’s business operates in highly competitive markets. They compete against global, regional, local and private label manufacturers on the basis of price, quality, product variety and distribution.

PepsiCo’s snack brands hold significant leadership position in the snack industry worldwide. Their snack brands face local and regional competitors, as well as national and global snack competitors. Success in this competitive environment is dependent on effective promotion of existing products and the introduction of new products.

Increased competition and anticipated actions by its competitors could lead to downward pressure on prices as well as decline in market share, either of which could adversely affect their results.

PepsiCo being a consumer product company relies on continued demand for their products. To generate revenues and profits, it must sell products that appeal to their customers and consumers. Any significant changes in consumer preferences and any inability to anticipate and react to such changes could result in reduced demand for their products.

PepsiCo, however, believes that the strength of their brands, innovation and marketing, coupled with the quality of their products and flexibility of their distribution network, allow them to compete effectively. Its success depends upon their ability to respond to consumer trends, such as consumer health concerns about obesity, product attributes and ingredients.

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Major Competitors

Category PepsiCo Products Competing BrandsChips Lays

CheetosKolsonSuper CrispsPringlesSnackCityGeneric

Biscuits None Generic

Other Snacks KurkureDoritos TortillaQuaker Oats

Super CrispsGeneric

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MARKETING STRATEGY

PepsiCo’s strategies are aligned with the interests of their consumers. To help these consumers achieve energy balance, PepsiCo is providing them with convenient, healthier products they want to consume and that fit their busy lifestyles. The company also encourages them to engage in physical activities they enjoy.

PepsiCo’s strategies are centred at:

Building on snack leadership position Focusing on strengths Taking advantage of scale

PepsiCo is building up its existing business by offering consumers more variety and convenience, including flavours tailored to local tastes. It has to work relentlessly to keep its brands strong, exciting and locally relevant, with a continuous flow of product news, package innovations and exciting marketing programs.

1. MARKETING OBJECTIVES

PepsiCo's marketing intent is to take advantage of its brand potential while building a base from which revenues can be generated.

Promote snacks category in Pakistan Focusing on strengths increase overall sales volume in PepsiCo’s snacks category increase market share to actively support continued growth and profitability through effective

implementation strategy

2. MARKET SEGMENTATION AND TARGET MARKETS

PepsiCo has an extremely large customer base due to the wide spread popularity of its beverages and snacks. It is therefore necessary to segment the market and look at particular trends in the snacks market.

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There are two key trends in the snacks market:

the growing demand for healthier and branded snacks; and the mostly untapped market targeting youth and elders with specific

snack food products meeting their interest

Kurkure targets those consumers who prefer light snacks that have spicy or chatpata taste, are conveniently taken, and are of good quality.

Segment being targeted is consumers of age 15 and above.

The profile of target market, based on geographic, demographic, and behavioural factors, is as under:

Geographic

Our immediate geographic market is Pakistan with total population of 166m.

The total population of initially targeted cities is estimated at 38 mil-lion. These cities include Karachi, Hyderabad, Sukkur, Lahore, Faisal-abad, Gujranwala, Rawalpindi, Islamabad, Peshawar and Multan.

Demographic

Age: 15 and above, targeting youth and elders making targeted population 21.5 million.

Income: Consumers with average monthly income of Rs. 15,000/- or above

Behavioural

Benefit sought: Light, spicy, branded and healthier snacks

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POSITIONING

Customers concentrating on health had to settle for a less appealing variety and taste in branded products.

The umbrella image of Pepsi also gives this product a better positioning as the consumers can immediately relate the name to the benefits of the product.

Finally, the colours and packing of product package will also help position the product.

The way the product is defined by consumers on important attributes – the place the product occupies in consumers’ minds relative to competing products. As for as the Kurkure is concerned there are some sort of attribute defined by the costumers given below

“I eat kurkure because it is tasty” it is sentence which said by every one. “I eat kurkure because it is made up of potato’’ ‘’I eat kurkure because it is light’’ ‘’I eat kurkure because it is crispy’’ ‘’I eat kurkure because it is product of Pepsi’’

Unique Selling Proposition

Its new tastes and its shape.

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MARKETING MIX

1. PRODUCT

Features & Benefits

Unique product with new tastes. Light food. High quality conforming to the safety standards.

Variants

Kurkure – Red Chili Jhatka Kurkure – Chutney Chaska

Main Ingredients

Vegetable oil, natural flavour, sugar, citric acid, wheat flour mixed spices, flavour enhances (E635), whey powder(from milk), permitted food color (E160c) and salt.

Useful Life

Best before four months from the date of manufacturing

Branding

The name ‘Kurkure’ has been devised considering the wavy shape of the product

Pepsi and Lays logos are being used as an umbrella brand Distinct name, easy to pronounce

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Packaging

Recyclable material Large carton will have 48 packs, while small carton 24 packs

Labelling

Vibrant coloured exterior base. Red colour represents ‘Red Chilli Jhatka’ flavour while Blue colour represents ‘Chutney Chaska’ flavours

Brand name - KURKURE Product image Pepsi logo and title ‘Lays’ The ‘Halal’ sign Product Price - Rs. 10/- Product Quantity - 10 grams Available varieties with images - Red Chili Jhatka, Chutney Chaska. From the makers of Lays and Cheetos with brand images Ingredients Nutritional facts Manufactured by & Address Manufacturing date & expiry The ‘Recycle’ sign

2. PRICE

Product price is based on offering high value, best quality and freshness to our customers. Pricing strategy is made relatively moderate i.e. within the financial reach of an average-income consumer. Rs. 10/- is the proposed price for 50 grams pack. This ensures competitive pricing and eventually strong margins.

Cost-Plus Pricing Strategy

After analyzing the consumer feedback received from our initial consumer survey (without product), we have applied the cost-plus based pricing strategy, calculation of which is given below:

Fixed costs:

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Installed capacity : 20,000,000 units per month Total Fixed Cost : Rs. 4,000,000/- per month Fixed Cost per Unit : Rs. 0.20/-

Variable costs:

Manufacturing Cost: Rs. 2.75/- per unit Packaging Cost: Rs. 1.25/- per unit Total Variable Cost: Rs. 4.00/- per unit

Price Calculation:

Expected sales: 20,000,000 units Desired Sales Markup: 42%

Unit Cost

Variable Cost + (Fixed Costs/Unit Sales) = Unit Cost4.00 + (4,000,000/20,000,000) = Rs. 4.20/- per unit

Markup Price

Unit Cost / (1 – Desired Return on Sales) = Markup Price4.20 / (1 - 0.42) = Rs. 7.20/-

Retail Price

Markup Price + Margins + Sales Tax = Retail PriceRs. 7.20 + 1.50 + 1.30 = Rs. 10.00/-

Retail Price Constituents:

Manufacturing Cost Rs. 2.75/- Packaging Cost Rs. 1.25/- Fixed Cost Rs. 0.20/- PepsiCo Margin Rs. 3.00/- Distributor Margin Rs. 0.50/- Retailer Margin Rs. 1.00/- Sales Tax Rs. 1.30/- Total Rs. 10.00/-

Substitute Snack Prices:

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Samosa Rs. 8 (1 Pcs) Nimco Rs. 10 (125 grams) Chips & Like Rs. 10 Fries Rs. 15 (Medium Pack) Cookies / Biscuits Rs. 15

As such, this price also contests with the prices of competing products. Moreover, this price also meets the value accepted by consumers, as is evident from our second consumer survey (with product).Payment terms:All sales shall be made on cash basis only, as per existing PepsiCo policy.

3. PROMOTION

Promotion Objectives

To create awareness among masses and encourage trial Communicate product differentiation including taste, quality and

convenient packaging

PepsiCo will implement a moderate advertising and promotion strategy. The media types and media vehicles chosen have a wide-spread reach and popularity among urban families. Moreover, peak time-slots have been chosen to cater masses.

Media Type Media Vehicle Frequency Time Slots

Satellite TV Geo, ARY Digital, Daily 5:00pm – 10:00pm

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KTN(5 times)

Radio FM-100, FM-101, FM-103, FM-107

Daily (8 times)

8:00am – 10:00am & 4:00am – 10:00pm

Cable Cable Operators Daily 11:00am – 11:00pm

Newspaper DAWN, Jang Weekly

Magazine Akhbar-e-Jahan, Family Magazine

Fortnightly

Outdoor Activities

Following outdoor activities are carried out:

Kurkure PostersKurkure posters are placed at retail stores. This task is outsourced to distributors.

Hanging TagsKurkure hanging tags are displayed at all supermarkets. This task is outsourced to distributors.

Three-Tier CartWith the addition of this product, the company provide a three-tier exclusive style cart, with each stack prominently displaying the brand images of product – Kurkure.

Tagline

‘Tera hai but Mera Hai’

Sales Promotional Activities:

Consumer Promotion:

In the first six-months of the product launch, there was no consumer promotion schemes, as PepsiCo brands and products already have a widespread recognition. Moreover, we have come up with this product after due considerations and analyzing consumer tastes and preferences.

After six-months, in order to increase market share, the introduces another variant of this product ‘Podina’. Which was not a success.

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Trade Promotion:

2 additional packs of Kurkure were provided free to Retailers with each carton , to encourage bulk buying.

4. PLACEMENT

Distribution

Product is distributed through PepsiCo’s existing distribution network as illustrated below:

Availability

The product is made and conveniently available at all major and minor retail stores.

Replacements

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PepsiCo’s policy is to remove and replace damaged and out-of-date products from store shelves to ensure that consumers receive the product quality and freshness they expect.

Promotional Budget

Target Market Population

City Total Populatio

n

Targeted Population (Age 15-

64)

Expected Turnover

Karachi 15,000,000 8,550,000 2,565,000Lahore 9,000,000 5,130,000 1,539,000Rawalpindi 3,039,550 1,732,544 519,763Faisalabad 2,582,175 1,471,840 441,552Multan 1,586,502 904,306 271,292Gujranwala 1,525,056 869,282 260,785Hyderabad 1,348,288 768,524 230,557Islamabad 1,323,400 754,338 226,301Peshawar 1,273,322 725,794 217,738Sukkur 1,000,000 570,000 171,000Total 37,678,29

321,476,627 6,442,988

Estimated 2006

Expected Sales Per Month

Turnover: 30% of targeted populationAverage sales per customer: 3 unitsSales in Units: 19-20 million

Budget Allocation

Media Type

% Allocated

Satellite TV 69.7%Radio 18.4%Cable 1.5%Newspaper 3.9%Magazine 1.0%Outdoor 5.5%

Gross Profit/Loss calculated @Rs. 3.00/- per unit sale

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CONCLUSION

Kurkure is a potato chips which is launched by Pepsi in july-2006. It has good image in the market due to quality. It is identified with the name of Kurkure. It used individual branding strategy, which helped the Kurkure in developing the brands image in the market. Kurkure is for all the people and families. Even younger or older want to eat the Kurkure. The promotional activities are not so good as compared to the competitor of the Kurkure it should increase its promotional activities. They should provide good packages for its costumers means gift hampers, prizes and, cash prizes etc.

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APPENDICES

APPENDIX-I

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SUMMARIZED QUESTIONNAIRE FEEDBACK - Consumer :

Responses %age

8 What if someone comes up with something new and different like Kurkure?a. Would be great 20 71%b. Don’t care 7 25%c. Unanswered 1 4%

Total 28 100%

9 Which producer of this new snack would you prefer?a. Doesn’t matter 16 57%b. Any Existing Producer 5 18%c. Pepsi 3 11%d. New Producer 2 7%e. Unanswered 2 7%

Total 28 100%

10 In what sizes should these snacks be made available?a. Small 6 18%b. Medium 18 53%c. Jumbo/Family 8 24%e. Unanswered 2 6%

Total 34 100%

11 Which flavours do you recommend for these snacks?a. Cheese 8 15%b. Chicken 7 13%c. Chilli/Spicy 6 11%d. Ketchup 6 11%e. Lemon 4 7%f. Plain 3 5%g. Bar-B-Q 3 5%h. Garlic 3 5%i. Salt & Vinegar 3 5%j. Saltish 3 5%k. Chatpata 2 4%l. Ginger 2 4%m. Black Pepper 2 4%n. Vegetable 2 4%o. Sweet & Sour 1 2%

Total 55 100%

Demographics Count %age

1 Gendera. Male 18 64%b. Female 10 36%

Total 28 100%

2 Age Groupa. Children 1 4%b. Youth 22 79%c. Elders 5 18%

Total 28 100%

Questions

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APPENDIX-IISUMMARIZED QUESTIONNAIRE FEEDBACK - Retailer :

Responses %age

1 What type of snacks consumer prefer most? a. Chips 16 89%b. Biscuits 2 11%

Total 18 100%

2 Which are the most demanded brands/products in snacks?a. Kurkure 13 22%b. Slanty 13 22%c. Kurleez 11 18%d. Lays 10 17%e. Super Crisps 9 15%f. Bakery Biscuits 1 2%g. Pringles 1 2%h. Top Pops 1 2%i. Kararay 1 2%

Total 60 100%

3 Which age groups of consumers demand Kurkure?a. Children 15 58%b. Youth 11 42%c. Elders - 0%

Total 26 100%

4 Which size of Kurkure pack is demanded most?a. Small 16 64%b. Large 9 36%

Total 25 100%

5 Which flavour of Kurkure pack is demanded most?a. Red Chilli Jhatka (Red pack) 16 53%b. Masala Magic (Green pack) 14 47%

Total 30 100%

6 Is Kurkure displayed exclusively in the store?a. Yes 9 56%b. No 7 44%

Total 16 100%

7 What if Pepsi comes up with something new and different like Kurkure?a. Would be great 15 94%b. Don’t care 1 6%

Total 16 100%

8 Would you prefer having separate shelf to display such type of snacks from Pepsi?a. Yes 15 94%b. No 1 6%

Total 16 100%

9 In what sizes should these snacks be made available?a. Small 15 43%b. Medium 15 43%c. Jumbo/Family 5 14%

Total 35 100%

10 Which flavours do you recommend for these snacks?a. Plain 12 32%b. Chilli/Spicy 12 32%c. Saltish 8 21%d. Chatpata 4 11%e. Vegetable 1 3%f. Chicken 1 3%

Total 38 100%

Questions

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Retailer Details Count %age

1 Retailer Typea. General Store 9 56%b. Super Store 7 44%

Total 16 100%

2 Localitya. Residential 15 94%b. Commercial 1 6%

Total 16 100%

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BIBLIOGRAPHY

[1] PepsiCo, Company Overview, available at http://www.pepsico.com/PEP_Company/Overview/index.cfm

[2] PepsiCo, Annual Report 2005, available at http://www.pepsico.com/PEP_Investors/AnnualReports/05/index.cfm

[3] PepsiCo, Annual Report 2006, available at http://www.pepsico.com/PEP_Investors/AnnualReports/06/index.cfm

[4] Ministry of Finance, Government of Pakistan. Economic Survey of Pakistan 2005-2006, available at http://www.finance.gov.pk/survey

[5] Wikipedia, the free encyclopaedia, Pakistan, available at http://en.wikipedia.org/wiki/Pakistan

[6] Wikipedia, the free encyclopaedia, Economy of Pakistan, available at http://en.wikipedia.org/wiki/Economy_of_Pakistan

[7] Wikipedia, the free encyclopaedia, Demographics of Pakistan, available at http://en.wikipedia.org/wiki/Demographics_of_Pakistan

[8] Ministry of Economic Affairs and Statistics, Government of Pakistan. Population Size and Growth of Major Cities, available at http://www.statpak.gov.pk/depts/pco/statistics/pop_major_cities/pop_major_cities.html

[9] Brand Synario, Television, Radio, Newspaper and Magazine Advertising Rates, available at http://www.brandsynario.com

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