mapping and benchmarking - soegijapranata catholic...

MAPPING MAPPING –– BENCHMARKINGBENCHMARKING

Dairy & Beverage

Market Opportunity

versi

TETRAPAK

Key TrendsKey Trends

Urbanization50% population

will live in big

cities

HealthLooking for value

of quality and

freshness

Cost

ConsciousnessAffordability and

convenience

Fragmented

DistributionAvailable and

accessible at both

traditional and

modern outlets

IndonesiaIndonesia

3,000 Outlets

Modern

15 Million A & B Consumers

A & B

Premium, Value

210 Million C, D & E Consumers

AND

C & DConsumers

2,000,000 Outlets

AND

TraditionalTrade

ANDEmerging Portfolio

Indonesia Indonesia

Packaged Ready To Drink 2003Packaged Ready To Drink 2003

Water

67%

JNSD

2%

CSD

9%

RTD Tea

13%

LDP

4%

Beer

3%Sport & Energy

2%

Soya

0%

Consumption in million liter

(exclude powder, concentrate,

syrup and bulk)

Water 3,585.7

Liquid Dairy Product 215.1

JNSD 108.3

CSD 507.3

RTD Tea 672.3

Sport & Energy 109.2

Beer 146.8

Soya 10.3

Total 2003 5,355.0

Source : Tetra Compass 2004

• Basic quality

• Functional benefits

• Nutritional benefits

• Branding

• Availability• Ambient products

• Traditional trade

• Infrastructure

• Branding

• Attractiveness• Impulse purchase

• Fun elements

• Branding

HEALTHGROWTH

PLATFORM

SafetyHealth

Nutrition

ON-THE-GOGROWTH

PLATFORM

UrbanizationMobility

KIDSGROWTH

PLATFORM

Big and Young

Population

Growth PlatformsGrowth Platforms

Players in RTD tea categoryPlayers in RTD tea categoryPlayers in RTD tea category“Which are the top global players for RTD tea today?”

1. Unilever Group

2. Kirin Brewery Co

3. Nestlé SA

4. Suntory Ltd

5. Ito En Ltd

6. Asahi Breweries

7. Coca-Cola Co

8. Uni-President

9. Ting Hsin Int.

10. Sinar Sosro PT

10%8%0% 6%4%2%

Source: Euromonitor IMIS 2000

10.4 %

7.8 %

7.6 %

6.7 %

5.4 %

4.9 %

4.8 %

4.5 %

4.5 %

3.5 %

1/ Global IKAM 2/ Regional IKAM

NB: Other players: 39.9%

What trigger Indonesian Consumer What trigger Indonesian Consumer

to consume RTD Tea?to consume RTD Tea?

RefreshingRefreshing

ThirstThirst

quencherquencher

AvailabilityAvailability

DrinkingDrinking

habithabit

GenericGeneric

productproduct

Non Non

carbonatedcarbonatedAffordableAffordable

Tea Drinks Opportunities & Tea Drinks Opportunities &

ChallengesChallengesCategory Size (mio litres)

Category drivers and opportunities

� Segment expected to reach 781 mio liter in 2008, driven mostly by Sosro, followed by Coke & Pepsi.

� Growing segment & healthy competition.

� Modern Trade drive one way pack penetration.

� Moisture tolerant pack can enter traditional trade.

� Segment expected to reach 781 mio liter in 2008, driven mostly by Sosro, followed by Coke & Pepsi.

� Growing segment & healthy competition.

� Modern Trade drive one way pack penetration.

� Moisture tolerant pack can enter traditional trade.

729755

781

704685672685

655

584

0

100

200

300

400

500

600

700

800

900

2000 2001 2002 2003 2004 2005 2006 2007 2008

Target Market by Age

Children Teen Young Adult Adult

BASIC

INDULGENCE / TREAT

Strong

Healthy

Appeal

TREND (COOL)

REASON/MOTIVATION

FOR CONSUMPTION

Product Positioning OpportunityProduct Positioning Opportunity

Green TeaGreen Tea

Fruit Flavored

Junior Tea

RTD JNSD MappingRTD JNSD MappingP

rice

Lev

elP

rice

Lev

el

Market SizeMarket Size

LowLow MediumMedium HighHigh

Low

Low

Med

ium

Med

ium

Pre

miu

mP

rem

ium

A,B

A,B

C+

C+

CC-- ,D,D

Junior Juice

Value Added Juice

100% Juice

FortifiedJuice Drink

Flavored Drink

Understanding

Soya Bean Milk MarketSoya Bean Milk Marketin the

Copyright Taylor Nelson Sofres © 2002. All Rights Reserved

Indonesian ConsumersIndonesian Consumers

2002

Qualitative = 2 FGDQualitative = 2 FGD

Quantitative = 507 interviewQuantitative = 507 interview

Indonesian Consumer :Indonesian Consumer :

Reason for never drink Soya Milk at allReason for never drink Soya Milk at all

0

10

20

30

40

50

Don't like

the taste

Don't like

the

smell/aroma

Difficult to

obtain

Indonesian Consumer :Reason for not drinking Soya Milk in the past 1 month

Indonesian Consumer :Indonesian Consumer :

Reason for not drinking Soya Milk in the past 1 month Reason for not drinking Soya Milk in the past 1 month

0

10

20

30

40

Don't know

the product

Don't like

the

smell/aroma

Don't like

the taste

Difficult to

obtain

Soya MappingSoya Mapping

HealthRefreshment

Health Traditional

AffordablePremium

Traditional Soya Market

Non Soya Drinker Market

Fortified Plain Soya Plain Soya in TCA/TFA(Distribution driven)

Modern

Flavored SoyaFlavored Soya in TCA/TFA

(Distribution driven)

Liquid Flavored MilkLiquid Flavored Milk

292.5

251.2

214.5

183.8

157.0

132.6

113.2

93.580.5

0.0

50.0

100.0

150.0

200.0

250.0

300.0

350.0

2000 2001 2002 2003 2004 2005 2006 2007 2008

Millio

n L

iter

The market is expanding at 18% p.a

More segmentation and value added

milk had been introduced, extension

from powder milk

Mostly packed in portion size,

interestingly smaller kiddy pack (in

125 ml) becoming popular

Chocolate is still the most popular

flavor, followed by strawberry

Increased penetration of affordable

milk for lower segment including

school feeding program

Intensive marketing campaign

toward the nutritious and

convenience

Source: Tetra Compass 2004


29.8

76.9

25.9

UHT

Sterilised

Chilled

21.8

29.8

80.40.5

CartonHDPECanCup

Consumption 2003 By Process Consumption 2003 By Packaging

The DriversMainly considered as “beverage” milk, but increasing volume of GUM and value added milkUHT growing at around 18% mainly targeted to childrenChilled segment is mostly supplied by the milk cooperatives through direct distribution (low cost & low quality)Sterilised milk is expanding due to higher penetration to traditional trades

The Packaging DriversCarton continues lead the market mainly in 200 ml sizeHDPE is gaining the share through distribution driven by 2 big playersPlastic cup in chilled form mainly being used by few milk cooperatives for direct distribution targeted to lower income



56.4 65.5 73.6 79.5

117.024.2

28.139.6

53.0

175.5

0

50

100

150

200

250

300

350

2000 2001 2002 2003 E2008

Value Added

Basic

Dynamic of Value Added Milk

Fortification and product

enrichment are strongly

expanding

More segmented products

targeted to different age group

Stronger pace of extending the

GUM powder into liquid

Dominated by portion pack (125

and 200 ml) and chocolate flavor

Higher penetration into rural

areas through traditional trades



292.5

251.2

214.5

183.8

157.0

132.6

113.2

93.580.5

0.0

50.0

100.0

150.0

200.0

250.0

300.0

350.0

2000 2001 2002 2003 2004 2005 2006 2007 2008

Millio

n L

iter

AffordabilityAvailability

Differentiation


Leading Brands

Yakult (Yakult)

Calpico (Ajinomoto Calpis)

Nice (Indomilk)

Vitacharm (Orang Tua)

Market DriversGoing toward the functional drinkChilled will continue to growIncreased penetration of direct sellingNew players in ambient segment

Packaging DriversPlastic bottle still dominates the category in chilled distributionCarton is increasing for ambient

Liquid Cultured MilkLiquid Cultured Milk

78%

14%

8% 0%

Plastic Bottle

Carton

Can

Cup


BASIC

INDULGENCE / TREAT

ENHANCED NUTRITION

Target Market by Age

TREND (COOL)

100%

Juice

REASON/MOTIVATION

FOR CONSUMPTION

Product Positioning OpportunityProduct Positioning Opportunity

GUM

Milk Shake

Value AddedMilk

Smoothie

Yogurt DrinkLAD

Opportunity MappingOpportunity MappingP

rice

Lev

elP

rice

Lev

el

Market SizeMarket Size

LowLow MediumMedium HighHigh

Low

Low

Med

ium

Med

ium

Pre

miu

mP

rem

ium

A,B

A,B

C+

C+

CC-- ,D,D

GUMMilk Shake

Value AddedMilk

SmoothieYogurt Drink

LAD

EconomicMilk

RTD Dairy RTD Dairy -- Target of OpportunityTarget of Opportunity

Growing Up Milk (GUM) or Junior Milk• Nutritional• 3-10 year old• Full cream & flavored• Mother influencing

Teenager Milk• Healthy treat• 11-17 year old• Being unique and fun• “Active” positioning• Independent

Young and Adult Milk• Value added• Good start for the day• Seek convenience• Premium = Value for

money

BASIC

INDULGENCE / TREAT

ENHANCED NUTRITION

TREND (COOL)

100%

Juice

Market Dynamic 2003Market Dynamic 2003--20042004

2003 2004

MociMoci Es Es KrimKrim


BASIC

INDULGENCE / TREAT

Strong

Healthy

Appeal

TREND (COOL)

PermenPermen EntingEnting--EntingEnting


BASIC

INDULGENCE / TREAT

Strong

Healthy

Appeal

TREND (COOL)

PRODUCT CONCEPT (DEFINITION)PRODUCT CONCEPT (DEFINITION)

Product Concept Product Concept –– Children MilkChildren Milk� Product: Growing Up Milk

� Target market: 4-8 years (A&B class)

� Flavors: Plain, Vanilla, Chocolate, Strawberry, Honey

� Distribution: modern trades, provisional shops, school canteen

� Price: IDR 1,200 - 2,000 per pack

� Package: TBA125S and/or TBA 200S

� Lifestyle and emotional value:

- Exciting and unique taste experience- Fun, cool and trendy- Truly satisfying, anytime, anywhere

Product Concept Product Concept –– Teen MilkTeen Milk� Product: Teenager Milk

� Target market: 10-17 years (A&B class)

� Flavors: Chocolate, choco malt, fruit based, yogurt drink

� Distribution: modern trades, provisional shops, sport complex

� Price: IDR 1,500 - 2,500 per pack

� Package: TBA 200S or TBA 250S


- New indulgence experience- The milk I can enjoy- Convenience for on the move

Product Concept Product Concept –– Adult MilkAdult Milk� Product: Young and adult Milk

� Target market: >20 years (A&B class)

� Flavors: Plain, chocolate, yogurt

� Distribution: modern trades, provisional shops, convenience stores

� Price: IDR 2,500 – 3,000 per pack

� Package: TBA 250S or TBA 1000S


- Contemporary- Maintaining good efficiency- Restoring vitality- “Enjoy my life”

Low Cost Milk Low Cost Milk

�� Economical MilkEconomical Milk

�� White MilkWhite Milk

�� Flavored/Sweetened MilkFlavored/Sweetened Milk

�� Target Segment: SES B & CTarget Segment: SES B & C

�� Children Children

�� Mother (decision/action)Mother (decision/action)

�� DistributionDistribution

�� Traditional, ModernTraditional, Modern

�� Direct DistributionDirect Distribution

�� Pricing: Pricing:

�� RpRp. 1,100 (between cups & . 1,100 (between cups &

TBA 200 S)TBA 200 S)

�� Packaging: TFA 180/200 ml Packaging: TFA 180/200 ml

with Straw Holewith Straw Hole

PENGEMBANGAN PRODUKPENGEMBANGAN PRODUK

versiversi

NESTLENESTLE

Researchers

recommendation

Marketing’s

take out.Technical Brief

What

Management

approved

Promised to

the trade

After it’s been

through legal

What the

factory came

up with

What the

agency billed

us for

How it was

supported

What the

consumer really

needed….

What What is it?is it?

It is an organized process for the idea It is an organized process for the idea generation and conceptualization of generation and conceptualization of product/packaging innovations combining product/packaging innovations combining Consumer inputConsumer input, , IdeationIdeation and and Product/Package Product/Package prototypingprototyping resulting in a creative/innovative resulting in a creative/innovative solution in a short period of time.solution in a short period of time.

ConsumerInput Ideation

Session

Rapid Prototyping

Consumer evaluation/feedback

Solution

Consumer Input

�Consumer complaints

�Focus groups

�In-home testing

�Previous consumer research

�Other sources

Consumer Research

•The overall shape of the NesQuik package does not warrant a re-design. The shape is ergonomically friendly and it is easy to store.•The closure on the NesQuik package can be optimized. Opportunity areas for improvement include:�A one-piece, flip-top lid; some consumers consider the current lid to be too difficult to remove.�The lid should close with an audible “click”; this enhances freshness perceptions.�Pouring is an appealing option for many consumers, but it should not replace spooning. Some consumers prefer spooning, since it is less messy and gives the product user, especially children, better control of dosing. The ideal closure would offer consumers the option of spooning or pouring.�There is little interest in lid mechanisms that provide a pre-measured serving of NesQuik. Most consumers want to “customize’ the amount of NesQuik that they use to prepare chocolate milk for themselves and their children.•Consider increasing the rigidity of the walls of the NesQuik package. Some consumers claimed that when they squeezed the package, powder leaked out from under the lid.•The inclusion of a scoop in the package is a “nice to have”, but not essential. It would probably not justify a higher price.•Do not pursue package options that provide “play value” as a reusability option. “Play value” does not appear to be a relevant benefit for consumers. Also, the options shown to consumers (i.e.,buckets, building blocks) had ergonomic disadvantages which outweighed and potential child appeal.


Session

Rapid Prototyping


Solution

Ideation/Brainstorming

�Identify Goal/Wish/Challenge

�Gather Data

�Clarify the Problem

�Generate Ideas

�Select & StrengthenSolutions

�Plan for Action


Session

Rapid Prototyping


Solution

Rapid Prototypes

�Trial Kitchen for Products

�Outside Agency/Supplier for packaging mock-ups

�Speedy visualization of concepts

�Allows immediate consumer feedback


Session

Rapid Prototyping


Solution

Consumer Evaluation/Feedback

�Immediate feedback onconcepts

�Qualitative information forconcept optimization


Session

Rapid Prototyping


Solution

mapping and benchmarking - soegijapranata catholic...

Documents