lipton vs tapal by tusbeeh 2nd semester

INTRODUCTION:

Tusbeeh UllahMuhammad KashifHayat UllahRabia Khan

LIPTON

VS

TAPAL

A truly international beverageA way to enjoy

TEA:

_____________________A product of Unilever

Has became number one tea in the world today because of Sir Thomas Lipton's vision to provide the best quality tea.

Offers an option to tea lovers to enjoy their favorite drink in an exciting and refreshing way.

HISTORY OF LIPTON:Created at the end of the 19th century by a grocer, Sir Thomas Lipton, in Glasgow, Scotland.

In 1893, Thomas J. Lipton Co., a tea packing company was established.

Acquired by UNILEVER in 1972

In 1991, Unilever created a first joint venture with Pepsi Co, the Pepsi Lipton Partnership.

Sir Thomas Lipton, founder of Lipton Tea.

TAPAL Tea (Private) Limited is one of the largest tea companies of Pakistan.

Have number of brands both in black & green tea. 

Also exporting tea to North America, Saudi Arabia, Oman, UAE, Spain, Italy, Greece.

HISTORY OF TAPAL TEA:Mr. Aftab Tapal, founder of TAPAL

He shifted his father’s ordinary tea shop into a large tea selling company.

In 1979, he went to Sri Lanka to spend time with M/s. Hebtulabhoy & Company to get professional information about the world of tea trading and blending .

AFTAB TAPALOWNER AND CEO OF TAPAL

MARKET SEGMENTATION:

Geographic segmentation

Demographic segmentation

• Age and life cycle segmentation

• Gender segmentation• Social class• Religious

Segmentation

Geographic segmentation

Demographic segmentation

• Age and life cycle segmentation

• Family size• Social class • Religious

segmentation

TARGET MARKET TARGET MARKET OF LIPTON:

Lipton has targeted its market successfully and it has selected the following sections of the international market to be targeted. Geographically

Age group

Gender

Social class

TARGET MARKET OF TAPAL:Tapal has targeted its market successfully and it has selected the following specific sections of Pakistani market and some sections of international market:

Geographically

People of all behaviors in Pakistan

Age group

Social class

MARKET POSITIONING POSITIONING OF LIPTON:Some of successful steps taken by Lipton in order to position its target market are following:

Acquired by Unilever.

Joint ventures with Pepsi

Received a Corporate Green Globe Award

POSITIONING OF TAPAL:Tapal has positioned its target market by its excellent performance from the very beginning. Some of its achievements, due to which people started preferring Tapal’s products are:

Pakistan Advertising Society (PAS) Award 2011- Campaign of the Year: Tapal Danedar “Har Mizaaj se Ashna”

All Pakistan Newspaper Society (APNS) Award 2010- Best Print

Pakistan Advertising Association Excellence Awards 2005

CONT…

Export Excellence Award of Sri Lanka 2003

Mr. Aftab Tapal was made Chairman of the Pakistan Tea Association 

THE MARKETING MIX:The Concept of the Marketing Mix, consists of the four categories that today are known as the 4 P's of marketing, depicted below:

PRODUCT: PRODUCTS OF LIPTON:

LIPTON YELLOWLABEL TEALipton Yellow Label has been sold since 1890, when Sir Thomas Lipton created the first version of the Yellow pack with a red Lipton shield, which to this day typifies the Lipton Yellow Label brand.

Lipton Iced Tea:Lipton Iced Tea, in many markets known as Lipton Ice Tea, is an iced tea brand sold by Lipton.

Lipton Pyramid Tea:

Lipton also produces tea using the pyramid bag format as seen in other tea brands.

PRODUCTS OF TAPAL(DIFFERENT BRANDS):TAPAL Danedar:Tapal Danedar is the flagship brand of the company.

TAPAL Family Mixture: Tapal Family Mixture continues to be the pride of the company.

SHADES OF GREEN:In the year 2000, Tapal became the first tea company to launch a range of flavored green teas in the country, which is available in refreshing Jasmine, Lemon, and Elaichi flavors,

Tapal tezdum:The taste and identity of Tapal Tezdum is deeply rooted in the culture of the Punjab.

Tapal ice tea

TAPAL INSTEA

TAPAL CHENAK

TAPAL MEZBAN

TAPAL GULBAHAR

TAPAL Special tea

PRICE:PRICES OF LIPTON’S PRODUCTS:The products of Lipton are costly.Their are no discounts and allowances on the products.The tea is available only in large packets and that costs high.

PRICES OF TAPAL’S PRODUCTS:Prices of TAPAL tea products are much less as compare to Lipton tea.LIPTON’S 1kg packet costs Rs.600, while Tapal’s 1kg packet costs Rs.375.

PLACE:LIPTON:Available in 110 countries b/c of its accossiation with UNILEVER.In Pakistan, Lipton is largely available in superstores but not in all outlets.

TAPAL:Main office is in Karachi Pakistan.Have a strong network of distribution all over the country.Available almost in all outlets in Pakistan.

PROMOTION:LIPTON:Initially their was no effective promotional strategy for their products.Now Lipton is emphasizing on advertising of their products to change the negative perception about some of their brands , e.g. Lipton Ice Tea.

PROMOTION OF TAPAL:A large part of their advertisement and compaigns reflects its local market Pakistan.They have got a strong position in Pakistan b/c of their strong advertisiment.

STRATEGIES FOLLOWED BY LIPTON:

Market development:available almost in 120 countries of the worldcontinuously introducing their current products into new markets

Product Development:introducing new products time to time in order to create new customers,introduced new amazing flavors in Lipton iced tea, Lipton tea and honey and green tea with super fruit tastes.

STRATEGIES FOLLOWED BY TAPAL:

Cost leadership Strategy:Has reduced costs due to having the best tea manufacturing technology in Pakistan

Product development:Introducing new products into new areas of Pakistan

SURVEY ANALYSIS:

A Survey Was Conducted Through

Questionnaires

Questionnaires Were Distributed Amongst 50

People

vs.

WHICH AGE GROUP DO YOU BELONG TO?

Age

Frequency Percent

Valid 12_19

8 16.0

20_29

13 26.0

30_39

21 42.0

40_49

4 8.0

50_59

4 8.0

Total

50 100.0

ARE YOU: MALE OR FEMALE ?

Gender

Frequency Percent

Valid male

30 60.0

female

20 40.0

Total

50 100.0

WHAT IS YOUR OCCUPATION?

Occupation

Frequency Percent

Valid student

6 12.0

Govt employee

16 32.0

self employee

20 40.0

private

employee

8 16.0

Total

50 100.0

WHICH BEVERAGE YOU PREFER TO TAKE IN ORDER TO GET RELAX?

Preferred beverage

Frequency Percent

Valid tea

45 90.0

cofee

3 6.0

soft drinks

2 4.0

Total

50 100.0

YOUR FAVORITE TEA COMPANY:

FAVOURATE TEA COMPANY

Frequency Percent

Valid Lipton

22 44.0

tapal

23 46.0

anyone available

5 10.0

Total

50 100.0

WHAT DO YOU THINK, THAT PRICES OF WHICH COMPANY’S PRODUCTS ARE SUITABLE:

Suitable Prices

Frequency Percent

Valid Lipton

10 20.0

tapal

35 70.0

both of them

3 6.0

Don’t know

2 4.0

Total

50 100.0

ACCORDING TO YOU, PRICES OF WHICH COMPANY’S PRODUCTS BEST MATCHES ITS QUALITY ?

Price Vs Quality

Frequency Percent

Valid Lipton

22 44.0

tapal

20 40.0

both of them

6 12.0

don’t know

2 4.0

Total

50 100.0

WHICH OF THESE PRODUCTS IS EASILY AVAILABLE TO YOU IN THE MARKET:

Availability

Frequency Percent

Valid Lipton

20 40.0

tapal

28 56.0

both of them

2 4.0

Total

50 100.0

WHAT DO YOU THINK, WHICH COMPANY’S PROMOTING STRATEGY IS EFFECTIVE?

Promotional Strategy

Frequency Percent

Valid Lipton

12 24.0

tapal

32 64.0

both of them

6 12.0

Total

50 100.0

WHICH COMPANY’S ADVERTISEMENTS ON TV ARE ENTERTAINING?

Entertaining Advertisement

Frequency Percent

Valid Lipton

17 34.0

tapal

23 46.0

both of them

6 12.0

don’t know

4 8.0

Total

50 100.0

WHICH COMPANY OFFERS YOU THE DESIRED PACKAGING SIZE?

Desired packaging size

Frequency Percent

Valid Lipton

13 26.0

tapal

17 34.0

both of them

16 32.0

don’t know

4 8.0

Total

50 100.0

IN YOUR POINT OF VIEW, WHICH COMPANY IS REFLECTING OUR CULTURE?

Cultural aspects

Frequency Percent

Valid Lipton6 12.0

tapal34 68.0

both of them

3 6.0

don’t know

7 14.0

Total

50 100.0

IN PAKISTAN, WHICH COMPANY PARTICIPATES IN SOCIAL ACTIVITIES?

Participation in social complains

Frequency Percent

Valid Lipton

19 38.0

tapal

23 46.0

both of them

5 10.0

don’t know

3 6.0

Total

50 100.0

2- 43

BCG Growth-Share Matrix for Lipton

BCG Matrix

High RelativeMarket Share

High Marke

t Growt

h

Low Marke

t Growt

h

Lipton ClearLipton Yellow

Label Tea

Lipton Iced Tea

Lipton Tea and Honey

Low RelativeMarket Share

2- 44

BCG Growth-Share Matrix for Tapal

BCG Matrix

High RelativeMarket Share

High Marke

t Growt

h

Low Marke

t Growt

h

Shades of Green

Tapal Danedar,

Tapal Family Mixture,

Tapal Tezdum.

Tapal ice tea

Tapal Instea

Low RelativeMarket Share

________________________________

Lipton has large international market share, while Tapal has large market share only in Pakistan.

Lipton focuses on the quality of its products, while Tapal focuses on the segmentation of its products.

Lipton has got a very strong financial position, while Tapal is developing now.

Today in Pakistan, Tapal has the best tea manufacturing technology as compare to Lipton.

Lipton is making tea for people all over the world, while Tapal is producing tea for Pakistani people and for some other countries.

Products of Lipton are for upper class people, while Tapal’s products are for people of middle and lower class.

In Pakistan, Tapal’s products are easily accessible to customers as compare to Lipton’s products.

In Pakistan, Tapal has strong promotional strategy as compare to Lipton.

RECOMMENDATIONS FOR LIPTON:

should reduce its costs by using same technology in its plants all over the world

make an effective network of distributors in order to make its products available in maximum rural and urban areas

For every country separate advertisements should be made.

RECOMMENDATIONS FOR TAPAL:

Should also concentrate on KPK Market

Keep the prices as they are

Start online selling

Advertisements should be of international standard.

YOUR QUESTIONS NOW ?

THANK YOU