Beruflich Dokumente
Kultur Dokumente
Marketing Project
A New Product
Marketing Plan for King
Car Group
Power Up
Energy Drink
四、 Motivation.....................................................................................................9
六、 Product ........................................................................................................15
七、 Price .............................................................................................................17
八、 Place.............................................................................................................18
九、 Promotion ...................................................................................................19
十、 Conclusion ..................................................................................................30
十一、 Reference.....................................................................................................30
Attachment .................................................................................................................32
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一、 Introduction Power In (威豹)
Power In is an energy drink that can make people regain power quickly when
they feel tired. Its primary customers are focus on students, office workers and labors.
But we find that young people seldom buy this product, and we think the reason is the
package is so ugly that young people do not put any attention on it. Therefore, we
want to replace its package and make it popular and be favored by young people.
is ROOT SARS that established the brand name of “King Car”. And in 1982, they
introduce the Mr. Brown Coffee that becomes the leader brand in the canned coffee
In 1992, King Car formed its second plant in 平鎮. Because the modern people
are always too busy to eat meals, this plant focus on instant foods like instant noodles
and porridge that make busy people convenient to eat something when they are
hungry.
Later in 1996, King Car formed the third plant in 員山. The plant primarily
produces all kinds of tea drinks like the famous Green Time tea (波爾茶), and Mr.
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Brown green tea and black tea. Besides, because of the clean wellspring of 員山, the
bottle water named Green Time Water is also one of their popular products.
King Car persists in managing the product quality strictly so they have got the
certifications of ISO9001 and IS0 14001. And in their future product development
strategy, they plan to produce more and better healthy drinks to make their customers
Figure 1
Market segmentation
King Car Corporation uses undifferentiated marketing for Power In. The
segmented market is energy drink market. The major variables which King Car used
are demographic variables and behavioral variables. King Car chooses occupation for
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below shows the variables respect to each major segmentation variable.
Table 1
Demographic variables
Behavioral variables
Market targeting
Before target the market, King Car must look at 3 factors: segment size and
1. Segment size and growth: In 2005, the energy drinks market in Taiwan was about
energy drink market such 蠻牛, come best (康貝特), 200P, 活力旺, red bull(紅
3. Company objectives and resources: King Car is the older food and drinks
Taiwan. Besides, King Car hopes they can occupy more market share in the
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energy drink market.
After targeted the market — energy drink market, King Car focuses on students,
Market positioning
taurine 1000mg (higher than other similar product in the exist market), they can
retrieve energy. The capacity of Power In is 200ml, priced NT$25. The price and
capacity ratio is middle value in the market. But the shape of bottle of Power In is not
so good. The value proposition shows in figure 2. King Car introduced Power In by
offering a comparable quality but at a medium price. We call it the same for the same.
Figure 2
Price
The
More same Less
More More More
for for the for
More more same less
The
Benefits The same for
same less
Less
for
Less less
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Product
Because customers won’t consider too much attribute when buy Power In. Besides,
When King Car developed Power In, they already made several product
Table 2
energy.
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vitamin C) from light, the company must
a strong leopard.
Price
When King Car sets a price for Power In, they consider some factors which can
influence the decision. The internal factor is marketing objective. Entering the energy
drink market is the major marketing objective, so King Car cannot set a high price for
Power In. The energy drink market is somewhat like a pure competitive market. In
this market you cannot set the price by yourself, you must consider the demand and
supply (the other competitors). Most of the existing product in the energy drink
Apparently, King Car set the price for Power In based on the prices that
Place
King Car still sells Power In via conventional distribution channel. The retailers
they also distribute the Power In via some kiosks and the vending machines at school.
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Promotion
Since the target market for Power In is students and office workers. At the
begging, King Car promoted Power In by distributing samples in the rest area near the
highway and cram school. They want to penetrate the energy drink market by
distributing free samples for Power In. They hope the consumer will like the product
after they drink the sample. Besides, King Car sponsors a billiards game and names
the game “Power In Super Cup ”(威豹超級盃). King Car also sets outdoors for Power
In at cross-street.
四、 Motivation
beverages with caffeine. The reports point out those energy drinks may replace
caffeine. Moreover, the sales of energy drinks are increasing a lot around the world.
More and more competitors entered and shared the market. Therefore, we would like
to research into energy drinks market in Taiwan. After comparison, we select Power
People have bad impression on energy drinks because it smells and tastes as
liquid medicine. Unlike others, Power In has good smell and taste as well as soda. The
idea they want to transmit on TV commercial is also special. But we think the
packaging and Chinese name called “威豹”of Power In does not appeal to target
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consumers, students and white collar, as TV commercial shows. For that reason, we
would like to maintain the original Power In for blue collar and develop new version,
“Power Up ”, for students and white collar. As we mentioned, Power In has good smell
and taste. We will use the same ingredients in Power Up with fashionable and modern
appearance. However, we confirm that Power Up will bring consumers surprising and
Segmentation
There are four major segmentation variables for consumer markets. We use
demographic and behavioral variables to segment our consumer markets for Power
Up.
often vary closely with demographic variables, we use age and occupation to
(2) Occupation: People with different occupation have different needs and
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wants. Therefore, excepting age variable, we also use occupation to divide
our market.
we use occasion variable to divide the buyer markets. This is because buyers can
product.
use multiple variables- age, occupation, and occasions-to segment the consumer
Targeting
people whose ages are between 16 and 35 years old. Besides, their occupations are
target at those people who feel tired and do not have time to take a break. Because
students need to spend a lot of time and energy on lessons and office workers need to
handle many affairs, they feel tired more easily than others. Therefore, they need
Power Up to rebuild their energy. Besides, energy drinks often give consumers an
image: that’s for labors to drink. So, we want to create a new image for Power Up and
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choose this group as our target market.
we decide to develop different products for different markets. The target market for
the original product (Power In) supposes to focus on blue-collar class (working class)
due to the image it gives. Therefore, King Car should promote Power In to the labors
since after Power Up is launched in the near future. Consequently, the target market
for the new product (Power Up) will focus on students and white-collar class
(employees, office workers), and those people who feel tired or need something to get
more energy. Table 3 below shows different products with different target market.
Table 3
Positioning
energy drinks. One dimension is price. The other one is appearance (i.e. product
“★”refers to new products which launching time is from January, 2005 to now.
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“? ”refers to old products which launching time is before 2005.
Figure 3
70
60 Red Bull
50
Price
40
30
蠻牛(新)
活力旺 Power In
Power Up
20
康貝特 200P 蠻牛(舊)
Original Novelty
Appearance
From this positioning map, though the price ($25) of Power Up is more
expensive than most energy drinks ($20), we think a $5 gap is not a lot comparing to
Red Bull. Besides, the appearance of Power Up is the most novel than others.
Therefore, we see Power Up with novel, fashionable and modern appearance as our
competitive advantage.
Because there are many energy drinks existed in this market, such as 蠻牛,
come best (康貝特), red bull(紅牛) and so on, we try to position Power Up as a
energy drink which the young people like to drink most, in order to attract our target
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market. We want to give consumers an image: What the young drink is what I want to
drink. Besides, the appearance of Power Up is very different from other energy drinks.
The bottle which is like a beaker and the label is colorful and full of fun. Therefore,
we see Power Up with novel, fashionable and modern appearance as the biggest
competitive advantage. In addition, the special flavor like the ice cream soda is also a
competitive advantage for Power Up. And, the ingredients of Power Up include
taurine 1000mg which is more than other energy drinks, so we can also refer it to our
competitive advantage. Therefore, the positioning strategy for King Car to introduce
Power Up into the market is more for the same . Figure 4 below shows the
positioning strategy.
Figure 4
Price
The
More same Less
The same
The
Benefits for
same
less
Less
Less for
less
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六、 Product
Our product, “Power Up ” is a new product of the King Car Group. We redesign
the appearance and the image of the original Power In. Power Up deeps the depth of
energy drink of King Car. Power Up falls into convenient product. It is because the
customer usually buys the product frequently and immediately. Following, I will
2. Appearance: We design the bottle which is like a beaker, and the label is very
colorful and full of fun, in order to attract young market. There are four style
labels which are 1.fight, 2.go ahead, 3.don’t fall, and 4.hold on. The bottle ’s
color of Power Up is designed with brown color. The One bottle is 200ml. Figure
Figure 5
3. Ingredient:
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human’s body. There is 1000mg taurine in Power Up. The 1000mg taurine is
l 碳酸水、砂糖、蘋果濃縮汁、檸檬酸、檸檬酸鈉、瓜拿納抽出物、香料
Table 4
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Power Up also has a special shape of the
bottle.
interesting.
product-support service.
七、 Price
Price
unique to the market, so we consider not only the value that consumers identify but
NT$20/200ml. On the other hand, the special taste and fashionable image will provide
customers different experiences of energy drinks. Above all, we price the “Power Up ”
as NT$25/200ml.
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Value-based pricing Competition-based pricing
NEW* Version-
Power UP
Budget
The sales of energy drinks is about 25 hundred million dollars a year, and 蠻牛
will obtain about thirty percent of market share in next year. After calculating, we may
obtain 7.5 hundred million dollars. According to the profit we expect, we can plan the
expenditure as follow.
Table 5
Materials 75
R&D 10
Channels 15
Promotion 90
八、 Place
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2. Convenience store: 7-11, family store, Hi- Life store, OK store, and 福客多.
Slot machine and convenience stores are the main distribution of Power Up. The
original Power In will lower shelf from slot machine of school and cram school, and
九、 Promotion
Promotion Mix
Once when the product is ready for the market, the price is set and distribution
has also been arranged, it is time to tell your consumer what the great arts you have
done for them and here comes to the most “front office” work- to communicate with
your customer: to inform, persuade, or remind them of what your product is, how
much and where to buy it. There are five communication tools in promotion mix
including advertising, personal selling, sales promotion, public relation, and direct
marketing. When deciding which communication tools to use, it may depend on the
factors such as the nature of the product, the stage in the product life cyc le, target
market characteristics, consumers’ buying decisions, and what kinds of strategy (pull
or push) to use. By scanning those factors, a firm may be able to know which
communication tools should be use in when and how so that the promotion will
effectively reach the targets and allocate the firm’s resource and capability properly.
Therefore, we firstly analyze the profile of factor consideration and then explain the
reason why the tools we choose are suitable for promoting Power Up.
Table 6
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Factors Power Up energy drink (NT$ 25)
16-35 years old, students, office workers, people
who are tired and need some refreshment
The nature of the product Consumer goods
Product life cycle Introductory
Target market characteristics Potential customers that are hard to locate, Internet
users, MRT or bus commuters, working overtime,
need to stay up at night… etc.
Consumers’buying decision Routine decision
Strategy Pull Strategy
According to the table shown above, we decide to use adverting, sales promotion,
and public relationship as our major communication tools and personal selling as
supportive tool. First of all, Power Up belongs to the category of consumer products
which means our consumers are the end users that distributed anywhere in this Island,
so it is better to use advertising to mass broadcast to our targets. Besides, with NT$ 25
per unit, the inexpensive product can not support the cost for personal selling. Second,
though the content of Power Up is almost the same as Power In, with target on
different consumers, with different position, it has its whole new life cycle. For that,
we need to start from getting customers’ attention and create awareness first. The
most effective way would be advertising since “For anybody introducing anything
who has to lasso audience in a hurry- a new product, a new campaign, a new movie-
the networks are still the biggest show in town, ” stated by a media service executive.
Meanwhile, we may also use sales promotion to induce trial and personal selling to
obtain distribution. Third, due to the fact that our target customer characteristics are
full of variety, the quickest way to reach them is to use advertising. Another reason is
that potential customers are hard to locate, so it is costly can even difficult to reach
them by personal selling or direct marketing. Fourth, compare with complex buying
convenient product with low price. Customers may buy it right away when they are
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tired or they need it, just like buying coffee or soft drinks. Therefore, such routine
buying decisions only needs advertisement and sales promotion to call attention to the
brand. Last but not the least, we focus on using pull strategy toward our target
markets which are also the end users because King Car belongs to B2C company and
since customers are dispersed, it is good to use advertising and sales promotion to
promotion is rather important for a “new” brand that is ready to penetrate to old
product class because a new product has difficulties in establish itself against more
mature products unless customers have recognition about it. Though customers are
quiet aware of energy drink in the market, their perceptio n of the online brands (蠻牛,
Power In, 活力旺, 200P… etc.) and products still remains in “for blue collar labor. ”
Therefore, since we create Power Up as somehow like a reposition from Power In, it
promotion. Persuasive promotion is heavily used in growth stage; however, it also can
we will use sales promotion to boost try out and purchase intention.
Period: A year run- we plan to have 5 months advertising promotion for introductory
stage and the following periods for growth to mature stage, it will depends on the
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To fulfill the task in the product introductory stage, the initial step we have to
take is to have Power Up get the attention and create interest from customers. We use
sales promotion to encourage target customers to have a free trial of Power Up and
launch publicity at the same time. This strategy is almost the same with Power In
(provide trials in the rest areas of freeway and cram school), but we make some
adjustment such as hold the free trial campaign during 10 to 12 at night since our
targets are also the one who feel tired and need some energy refreshment for staying
up at night. Before this, we are going to use teaser ad on Yahoo Home page to induce
customers’ curiosity. In the ad, we only put the information that implicitly associate
“Overtime working, study hardly” to “Energy, power, stay up.” When our teaser ad is
launched, potential customers might have attention and interest for it, and discuss with
others to figure what it really is. After they see our follow up publicity which answer
to the reason why employees want to work overtime is because they have energy
refreshment and also and students who can concentrate on cram school class is due to
Power Up, at that time, we have already done the first step of getting awareness.
Besides, our press relation and publicity afterwards will report to encourage them to
stop at the stands we set for free trial in front of cram school or office buildings so
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Besides, the reason why we only put this ad on Yahoo instead of MSN or Yam is
because according to AC Neilson, Yahoo has the highest visit rate and ranked as
leading entrance website in Ta iwan. Besides, refer to the following statistic, ARO
report shows that Yahoo possesses the potential customers we target at which means
in terms of age, 63% of our potential customers will visit Yahoo, and in terms of
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II. Introductory-pioneering advertising
As we have stressed the importance of advertising to a new product, the next step
is to use media as channels for implementing this communication tool. We adopt the
media of newspaper, magazines, radio, television, outdoor media, and the internet as
our major advertising channels by considering cost per contact for the specific media
vehicles. Moreover, we also concern for the advertising period since the promotion is
1. Dynamic advertising
b. Radio: the radio network of HitFm (Hito Radio), UFO, Kiss Radio
There are various radio channels in Taiwan, but we only choose those
networks that can broadcast our ad trough out Taiwan which means we are
not going to use regional radio stations, instead, HitFm, UFO, and Kiss
Radio are the networks that can reach the goal of mass communication.
Dynamic media such as tv commercial and radio have the most widely
broadcasting advantage, their vivid, pictorial, and audio attributes can catch our
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The reason why we choose to put our ad on Apple Daily and The Liberty
Times not only because they are the most popular newspaper in Taiwan due
to the ratings but also in terms of age, most of our target customers read those
two papers more frequent than Udn newspaper or The China Times.
The three magazines sell best to office workers or future elites instead of
executives or top managers. This shows that most of their audiences are still
striving for the success in the future. Therefore, once when our ad published
in those three magazines, it might create the feeling that Power Up is their
c. Outdoor media- Posters on the buildings (billboards) and cram schools, Bus
stop shelters, bus strap, MRT station platform and car cards.
Bus strap MRT car cards. Billboard
We are going to launch our printing advertisement, the posters, around the
shops or buildings that office workers would see, and also in cram school
since in the initial introductory, we have also cooperate with cram school to
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hold free trial campaign. Most of our targets are bus or MRT commuters,
reach above 70% of people who are between 12 to 39 years old whereas for
MRT media contact, it can reach 67.3%. Moreover, students and office
workers occupied 75.1% of MRT media contact which is really high and fit
Period: 4 Months
Figure 8 Distribution of age for Media contact of bus ads
Figure 9 Distribution of age and occupation for Media contact of MRT ads
3. Internet
a. Banner ads-Yahoo, Yam, MSN, Msn Messenger
Internet has ranked as one essential media type for young generation. Web
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encompasses the elements that traditional media have such as text, image, audio,
and even video content. The interactivity is also the most attractive advantage for
both marketers and target audiences since it has the advantage of one-way and
developing its brand awareness, great contact to mass is more important then for
Websites like Yahoo, MSN, and Yam. Due to the fact that MSN messenger and
Yahoo Messenger are popular among the targets, we also plan to launch our ad
Period: 3 months.
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to the competitive market of energy drink. Next, we are going to use sales promotion
be popularized by our targets since it symbolized the effort of Power Up which might
encourage their work harder spirit whenever they see the cheer up words on the figure.
Besides, if they do not collect the figure themselves, they may also send it as a gift.
Therefore, the badge is not only meaningful, but also with many usages for our
targets.
Public Relationship: Sponsor “Get your Power Up for Free Style ” competition
sponsoring its game competition in Taiwan. We choose this newly launched online
game is due to that fact that basketball game is favored by many people, especially for
students, both male and female. Therefore, Power Up and Free Style have the same
pursuit which is for young people. Second, playing online game could be fun but also
tiring. Thought players may enjoy the tiring, they still need some refreshment to
continue their enjoyment. Consequently, we offer Power Up for free during the game
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competition.
Before sponsoring this competition, we will have the sale promotion which is
related to it. We plan to have Power Up as a skill item of Free Style and the function is
that it can be switch to one of the capability value that players needs or become an
individual function skill which is to enhance the power of the player’s role. This game
item will be attached with each Power Up product so players may want to purchase
more than one glass of our product since the more they buy the more power they will
Period: 1 month.
The total budge that company will support for promotion campaign mentioned above
the maximum, and the sales promotion and PR sponsorship will be controlled in the
cost of 10,000,000 for the maximum. The rest of 10,000,000 is counted for
unexpected expenditure which means that is only used in case the maximum budget
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十、 Conclusion
The new version- Power Up will bring consumers fresh impression, not only the
image of bottle shape but also the amazing taste. Unlike other energy drinks in the
market, they taste like 維大力 or liquid medicine, Power Up drinks like ice cream
soda. We create quite different image of energy drinks in order to attract young people.
When they feel tired, they will first think of Power Up. It’s because Power Up could
refresh the tiredness body and the message on the package (撐住,拚了)give them
Though the goal that we set for our thirty percent of market share may be a little
difficult to achie ve, we may adjust our plan because environment is changing
十一、 Reference
Edition.
4. 奧美廣告公司 www.ominad.com.tw
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5. 台灣雅虎奇摩 www.yahoo.com.tw
6. 台灣雅虎奇摩廣告刊登 http://tw.emarketing.yahoo.com/kimoadv/
7. 台灣雅虎搜尋行銷廣告刊登
http://tw.emarketing.yahoo.com/ysm/advantage/index.html
8. 台北雜誌商業同業公會 http://www.magazine.org.tw/home.asp
12. http://www.tssdnews.com.tw/daily/2005/05/28/text/940528f5.htm
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Attachment
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