Presentation Plan

Introduction• Tapal• Lipton

Marketing Strategies• Segmentation• Distribution• Promotional• SWOT

Market Share• Product Life

Cycle Stage

• Conclusion

Started operati ons in 1947Mr. Adam Ali Tapal was the founderBecome largest 100% Pakistani companyFirst tea company to be awarded ISO 9001 certi fi cati on in Pakistan.Located in Korangi Industrial Area , Karachi

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

Its headquarters are in Scotland, New Jersey. Factory in Hoboken.

It was launched in 1948 in PakistanQuality and reliability are main two things for Lipton.

Acquired by Unilever in 1972.

Target consumers for Tea

First groupThe employees, students

and other consumers who are busy in their

daily routine life.

Second groupThe other group is health

conscious consumers, those who want to make themselves physically fit

and healthy

Segmentation for Tapal• Tapal did very accurate segmentation in the

tea. Their main objective to focus on the upcoming and present capabilities of requirements in tea sector. Tapal was first to introduce the soft packing.

Segmentation for Lipton• Lipton has a number of products launched in

the country and worldwide. In Pakistan, there are only those brands are present which are proved to be financially beneficial to the company.

Channels of Distribution For Tapal

It has 5 main warehouses in Pakistan which are located in:• KARACHI• HYDERABAD• SUKHUR• MULTAN• Lahore

Tapal has a wide distribution network of 410 distributors across Pakistan. Tapal has a

wider distribution coverage in the South.

14%

34%

18%

22%

12%

Coverage

Karachi Lahore Islamabad Sukkur Hyderabad

Universities, offices, homes or people from any other working place gets the brand at their own location.

Then from those whole-sellers, retailers get the Lipton brand.

From manufacturer is send to the whole-sellers through different channels.

Unilever has channelized its brand Lipton in such a way that it is having one of the strongest distribution in the country.

Distribution for Lipton

Promotional strategies

Internet (online ads and promotions)

Free Sampling (sampling of new flavors)

Sponsorships (to be sponsors in sports tournaments and other activities)

ATL & BTL VANS (special flexes printed vans etc.)

Wobblers (free side gifts e.g.: key rings, mugs, clocks etc.)

Strength• First to introduce soft

pack in the country,• The pioneers of

introducing Jasmine Green Tea in Pakistan

• Strong R&D team• Good distribution

channels• Loyal customers

Weakness• Weak management for

maintaining its product standard

• Not strong enough to support exports.

• Have to import some of their products from other countries, which increase their costs.

Tapal

Opportunity• The markets in Punjab,

KPK and Baluchistan, which are still to be explored

• To develop more strategies on supply chain

Threats Strong marketing

campaigns of competitors

High import duties encourage smugglers of tea to grow.

Continuation

• Strong Ethical value (culture and heritage)

• Strong company image• Quality & variety• Rich taste and flavor• Experienced and

quality management

Weakness• Relatively higher prices• Lesser varieties of tea

in the country

Strength

Lipton

Continuation

Competing tea brands. Preference for people

having coffee or other beverages.

Strong competition in rural and urban areas.

High inflation in the country can negatively affect the brand.

Threats Competing tea brands. Preference for people

having coffee or other beverages.

Strong competition in rural and urban areas.

High inflation in the country can negatively affect the brand.

Opportunity

Product Life Cycle stage for Tapal

P r o d u c t s s t r a t e g y I m p r o v i n g a n d u p g r a d i n g t h e p r o d u c t b y i n t r o d u c i n g n e w v a r i e ti e s

P r i c i n g S t r a t e g y C u r r e n t l y d e c r e a s i n g t h e p r i c e s t o h a v e m o r e a n d m o r e s a l e o f p r o d u c t s i n t h e c o m p e ti ti v e m a r k e t

D i s t r i b u ti o n S t r a t e g y

To d i s t r i b u t e t h e p r o d u c t s t h r o u g h m o r e c h a n n e l s b y h a v i n g l o w p r o fi t m a r g i n s .

P r o m o ti o n s t r a t e g y

To c r e a t e t h e a w a r e n e s s o f u p c o m i n g p r o d u c t s . T h e c o m p a n y h a s i t s g o o d i m a g e o n a d v e r ti s i n g . T h e c o m p a n y u s e s “ P r o d u c t A w a r e n e s s P r o m o ti o n a l S t r a t e g y ”

Tapal is on Growth stage so this company would follow the following strategies.

Product Life Cycle stage for Lipton

Products strategy Launched the maximum products of the targeted market.

Pricing Strategy Using the defensive pricing strategy to maintain its current image worldwide.

Distribution Strategy Distribution to the maximum channel members in order to sustain and not losing its market.

Promotion strategy To maintain the loyal consumers is the priority in this stage. The company uses “Product recall” strategy to remind about their current products

Lipton stands at Maturity stage so it follows the following strategies.

43%

41%

6%4%

6%

SalesMarket Shares in Pakistan

UnileverTapalVitalTetleyOthers

CONCLUSION• Lipton has developed image due to its past history. • It has been working in true sense of generati ng profi ts and earning

customers’ feedback. • There are many factors which are to be considered in the success

story of Lipton. Like their brand loyalty, their taste, label of the brand etc.

• Tapal has innovated their products in Pakistan.• The company has comparati vely bett er pricing strategy in the

competi ti ve market which shows the signifi cance of the brand. • The company has been looking for something new and diff erent for

the country in order to make value. On the other side, the company is now moving towards its neighbor countries and is now looking toward new target market in diff erent countries.