tea leaves for rural area in bangladesh

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Analyzing the external Environment Business environment is very dynamic and changing. In order to come up with good marketing strategy marketers need to understand the business environment. There are two types of environment: a. Macro environment b. Micro environment Macro Environment Analysis Demographic Environment: Population Age Mix: Total Population: 158,185,472 (Bangladesh Bureau of Statistics (BBS), 2015) Population Growth Rate: 1.6% (The World Factbook, 2014) GDP growth rate: 6.12% (Bangladesh Bureau of Statistics (BBS), 2013) The population is expected to grow at 1.6% and GDP is also growing at 6.2% hence it can be said that there will be more customer on the market with more buying power. In other words, market will grow and market is attractive to serve on. Rural population (% of total population) is 71.11 (World Bank, 2012) Age Structure Age Group %of total Rural Population 1

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Promotional strategy for introducing a new tea brands for rural area in Bangladesh.

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Page 1: Tea leaves for rural area in Bangladesh

Analyzing the external Environment

Business environment is very dynamic and changing. In order to come up with good marketing strategy marketers need to understand the business environment. There are two types of environment:

a. Macro environment

b. Micro environment

Macro Environment Analysis

Demographic Environment:

Population Age Mix:

Total Population: 158,185,472 (Bangladesh Bureau of Statistics (BBS), 2015)

Population Growth Rate: 1.6% (The World Factbook, 2014)

GDP growth rate: 6.12% (Bangladesh Bureau of Statistics (BBS), 2013)

The population is expected to grow at 1.6% and GDP is also growing at 6.2% hence it can be

said that there will be more customer on the market with more buying power. In other words,

market will grow and market is attractive to serve on.

Rural population (% of total population) is 71.11 (World Bank, 2012)

Age Structure

Age Group %of total Rural

Population

0-14 39.73

15-29 25.94

30-54 25.21

55-64 5.36

65+ 4.36

In rural areas around 39.73% of total population is below 14 years and around 25.94% of

people are in between 15-29 years. Furthermore, 25.21% people belong to age group 30-54.

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(Bangladesh Bureau Of Statistics (BBS), 2008). If we target age group 15-29 and 30-54 then

we can cover almost 55% of total people live in rural areas.

Median age: (National wide)

Total: 24.3 years

Male: 23.8 years

Female: 24.8 years (2014 est.) (Central Intelligence Agency, 2014)

Ethnic Market:

Ethnic Group % of Total Population

Bengali 98%

Others ( Tribal groups like Meitei, Khasi, Santhals, Chakma,

Garo (tribe), Biharis, Oraons, Mundas and Rohingyas.

2%

(Central Intelligence Agency, 2014)

Around 98% of total population is Bengali so we need to come up with products that match

with Bengali culture or tradition. In addition, we can come up with products for other ethnic

groups for their special occasion.

Religious Market:

Religion % of Total Rural Population

Muslims 89.1%

Non-Muslims 10.9%

Around 89.1% of total rural population is Muslims whereas only 10.9% are Non-Muslims

(Hindu, Christians, Buddhists). (Bangladesh Bureau Of Statistics., 2008)Therefore marketers

need to make sure that the ingredient, raw material and packaging material of the product is

Halal.

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Educational Group:

Education Level % of Total Number of Enrolment

Illiterate(Rural) (Bangladesh Bureau of Statistics

(BBS) , 2011)

47.18%

Primary School Dropout (Nationally) 21.7%

Secondary School Dropout 44.41%

Secondary School Completion 55.59%

Higher Secondary Dropout 21.80%

Higher Secondary Completion 78.20%

University

(BANBEIS-Educational Database, 2013)

According to Bangladesh Bureau of Statistics (BBS) around 48% people in rural areas are

still illiterate hence we need to choose such a communicating media so that we can reach to

our target customer.

Household patterns:

Household patterns mean the study of the family. In Bangladesh we can manly see 3 types of

household. They are joint family, nuclear households, and single family. In the rural area of

Bangladesh we can mainly see the joint family where there is large number of family

members living together happily.

Natural environment

Bangladesh is a developing country where most of the people are dependent on agriculture or

other natural resources for their livelihood. At the same time, productivity of nature is

necessary to meet the food demand of a huge population. On the other hand, Bangladesh is

one of the most climate changes impacted countries (CPD, 2001). Geographical position of

Bangladesh makes it more vulnerable to natural disaster. Increase frequency of various

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natural disasters, and the continuation of environment pollution warrant the necessity to

evaluate present environment policy of Bangladesh.

Bangladesh is facing severe environmental degradation in various areas. Though the

population growth of Bangladesh has been reduced significantly but still it is very populous

country. Increase of population increases the demand for consumption and which ultimately

exploits and degrades natural resources. Severe land pollution, water pollution, air pollution,

degradation in natural resources, bio-diversity, and forest land occurred in Bangladesh.

Nature is the source of raw materials for the production of a product. The raw material may

be renewable, infinite or consuming. In all the cases the raw material will be preserved and

wastage must be minimized. The natural environment involves natural resources that are

needed as inputs by marketers or that are affected by marketing activities. During the past

two decades environmental concerns have grown. Some analysts labelled the specific areas of

concern were:

Shortages of raw materials:

Staples such as air, water, and wood products have been seriously damaged. Non renewable

resources such as oil, coal, and various minerals have been seriously wasted during industrial

expansion.

Increased pollution:

Concentration of huge population in urban area and their activity pollute the urban

environment of Bangladesh. On the other hand agrochemical fertilizers are polluting the rural

environment. Pollution is more acute in the urban area of Bangladesh than it is in the rural

area.

Major causes of pollution that aggravate water quality are industrial effluents, agrochemical,

fecal pollution, and spillage and low water flow in dry season. Water pollution is

compounded by the low flow situation in dry season.

Air pollution is more in urban areas than in rural areas. The main sources of air pollution are

emission of harmful gaseous matters from vehicle, industrial sectors, and construction and

open dumping of garbage. Some other sources are brick kilns and wood and biomass

consumption.

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Land degradation occurs in the form of loss of soil quality through salinity intrusion, fertility

decline, nutrient imbalance and top soil loss through erosion. However, high cropping

intensity, loss of organic matter and imbalanced use of fertilizer and pesticides have taken a

very serious toll on overall soil health. Soil quality or productivity is on decline.

Wetlands are valuable resource for agriculture-based economy of Bangladesh. Wetlands

support huge production for fisheries sector. With the loss of wetlands, the open water

fisheries production is declining in Bangladesh. Besides, the fisheries, wetlands function as

retention area that controls floods, recharges the ground water, work as irrigation water

source etc.

According to the forestry master plan drawn in 1993, the actual forest cover of the country

will not exceed 6%. Per capita forestland in Bangladesh has shrunk to a 0.022 ha, one of the

lowest in the world. The annual deforestation rate in Bangladesh is 3.3% (Gain, 1998). There

has been a great of deforestation in the Chittagong hill tracts, Sundarban area and other areas.

Bangladesh has lost about 10% of its mammalian fauna, 3% avifauna and 4% reptile during

the last 1000 years. IUCN Bangladesh has identified 201 species of wildlife in the country are

threatened under different degree of extinction risk. Loss of species is mostly coupled with

loss of habitat. Forest cover, is also under constant threat. Forests are increasingly being

degraded and denuded by encroachment and faulty management practices. Wetlands are in

worse condition compared to that of forests.

Implementation of policy:

Day by day the landscape of Bangladesh is changing, some rivers are drying, some parts of

the country are becoming desert, seasons are changing, areas of forest are reducing, and

productivity of the nature is declining in Bangladesh. All these environment issues which

should be effectively addressed in the environment policy. The government has adopted a

number of policies where environment and development issues have been addresses.

Important policy documents in this respect are the environment policy (1992), the forest

policy (1994), the fisheries policy (1998), the water policy (1998), the new agriculture

extension.

Political and Legal Environment:

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The political and legal environment consists of laws, government agencies and pressure

groups that influence various organizations and individuals. The government of Bangladesh

has established the Bangladesh Standards and Testing Institution (BSTI) with the merger of

Bangladesh standard institution and the Central Testing Laboratories in 1985 through

promulgating “Bangladesh Standards and Testing Institution Ordinance 1985 (Ordinance

XXXVII of 1985)”. BSTI is entrusted with the responsibility of formulation of national

Standards of industrial, food and chemical products keeping in view the regional and

international standards. BSTI is responsible for the quality control of the products which are

ensured as per specific national standards made by the technical committees formed by BSTI.

BSTI is also responsible for the implementation of metric system and to oversee the accuracy

of weights and measures in the country (BSTI functions, n.d.). There are environmental Laws

for the conservation and protection of the environment and ecology. The Agricultural and

Sanitary Improvement Act, 1920 was enacted to consolidate and amend the law relating to

the construction of drainage and other works in certain areas. The Agricultural Pests

Ordinance, 1962 was announced to prevent the spread of agricultural pests in Bangladesh.

In recent years leaders in rural areas are younger in age, educated and they have good

economic standing based on business and affiliated in the development programs and to

implement these programs they maintained linked with major political parties. Today there is

a less rigid, more complex rural power structure which under certain circumstances such as a

strong local economy, the presence of new or diversifying elites, and a high level of diversity

of governmental and non-government actors allows some ‘room for manoeuvre’ for weaker

sections of the community to advance their interests, and for action by local government

leaders and ngos to open up space for propoor change. In rural areas, people suffer from

various problems such as malnutrition, illiteracy, unemployment etc. There are growing

numbers of NGOs in rural areas including BRAC, ASA, Proshika etc. These NGOs are

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working exclusively in rural areas by providing information about health, nutrition and other

things. Rural people are not that much aware of laws and about their rights. Whenever they

face some sort of big problem they try to solve it by going to the chairman or elderly people.

And in case they cannot solve the problem then they go to local police.

Economic environment:

Economic factors are basically the factors that affect the purchase decision of the people. At

the rural area of Bangladesh most of the people earn very low. Mainly the men of the houses

are the earners and the wives stayed at home. Most of the children are dropout after class 5 to

8. Most people live from hand to mouth. These families of the rural areas live on agriculture

and fishing. Most of them do not have their own land. They worked on others.

There are also aged people who are depends on their others to take care of them. The people

who lived in the rural areas can not enjoy the luxuries of life. The look for products with

lesser priced. They have a very weak purchasing power. They spend very less on any types of

goods other than daily foods.

Their main spending is on daily foods, specially “vat” (boiled rice). They are second major

spending is on the seeds and fertilizers (for the farmers) or for foods of fishes and nets (for

the fisher men). So they spend very less for the non-durable products. Though there are some

families earn moderately good monthly and lead a higher class of life (establish farmers and

the politicians). Sometimes they spend even more than the middle class or higher middle

class of urban areas.

Socio Class Income

SEC A Tk 40000>

SEC B 10000 – 30000

SEC C 6000 -- 20000

SEC D 5000 – 15000

SEC E 3000 – 10000

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Industry structures:

The people of rural areas depend on natural resources for their basic needs. But some

established families now a day’s do try to enjoy some of the products apart from their

previous trends. There are some new middle class and very few higher middle class in the

rural areas. They do like to spend for goods that are popular in the urban areas specially

Dhaka city.So basically it is a mixture of subsistence economies and Industrializing

economies. The opportunities for the marketers are moderate but due to the increase is

economy there will be a better opportunity in future.

Technological environment:

The rural areas of Bangladesh have advanced technologically in recent years. It helped

different companies to go through their target customers with products who usually target the

socio economic class D and E. The rural area people fall into the group D and E of socio

economic class. Generally the people who live in rural areas are uneducated and poor, but the

number of educated people are getting increased day by day. As they are uneducated, can’t

read newspaper and magazine. It is also because they are poor and can’t afford to buy.

According to Bangladesh Bureau of Statistics (BBS) around 48% people in rural areas are

still illiterate, so the use of newspaper and magazine for promotion in rural areas are not

appropriate. Instead of using those mediums need to use technologies like television, radio,

mobile etc. These mediums will be more effective to get in touch with the rural people.

According to Bangladesh Bureau of Statistics (BBS) around 48% people in rural areas are

still illiterate hence we need to choose such a communicating media so that we can reach to

our target customer.

Media %of total Rural Population

Newspaper 12.74

Radio 3.88

Television 39.07

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Internet 0.45

Mobile phone user 73

Mobile money transfer user 52

Statistics shows that around 13% people read daily newspaper so we can air our message in

newspaper. However, we need to keep it min that around 48% of people are illiterate in rural

areas. Interestingly, 39.07% of people watch television but only 3.88% people listen to radio.

Unfortunately, only o.45% people have internet access (Bangladesh Bureau of Statistics

(BBS), 2011) In final words, we should heavily focus on TVC since Around 40% people

watch television and we should go for RDC as well since in rural areas when people don’t

have electricity then they mostly listen to Radio. However, it would not be handy if we go for

online advertisement or social networking site like Facebook.

Television has become the most established entertainment medium for rural people. That’s

why television is the best medium to reach them. According to Human Development Report

2010, 92 percent people watch only BTV in the rural areas. So, the best way to reach the

target customer should be using BTV. Bangladesh's mobile networks reach 73 percent of

rural households, according to a survey by the International Food Policy Research Institute

(IFPRI. Mobile money transfer services were targeted at rural people, but 48 percent of

mobile money users reside in urban areas, according to a study by PI Strategy Consulting in

partnership with the CGAP (the Consultative Group to Assist the Poor) of World Bank. But

around 70 percent of urban users are the rickshaw pullers who take the service to send money

to the rural areas. The use of mobile phone for promotion will also be very effective. In that

case, the users of mobile phones can easily listen to radio. Only 42.49 percent people in rural

areas in Bangladesh have access to electricity. So, radio is yet a very good source to reach

people in rural area.

Socio-cultural environment:

In rural parts of Bangladesh, some shared beliefs, values, and principles can be noticed

among people. These cultural factors shape the thinking process and consumption pattern of

rural people. Their culture involves certain core beliefs and values and a number of secondary

beliefs and values.

Core Beliefs and Values:

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Rural people have strong religious views. Their belief in religion is a core belief. They build

their life on the basis of religious principles which are adopted from families and cemented

by religious institutions and schools. Since most of the people are Muslims, they are greatly

influenced by Islamic principles. They are particularly conscious about their food being

‘halal’. Having faith in marriage and family are among their core beliefs. These beliefs are

instilled in the minds of people from an early age and they grow up with the idea of getting

married and having family. Rural people believe in unity. They lead their life in harmony

within communities and cooperate with each other. They strongly believe in hard work to

survive in life. Furthermore, hospitality of rural people towards their guests can be

recognized as yet another core value. They are well-known for their warmth and openness

while greeting and attending guests.

Secondary Beliefs and Values:

Believing in early marriage is a secondary belief of rural people. They usually support early

marriages especially in case of girls with 71 per cent of girls being married before the age of

18 in rural areas. (Child Marriage in Bangladesh-Findings from a National Survey, 2013)

During these early marriages, illegal practice of dowry takes place. They are not much

believers of family planning either. That is the reason the general family size is large in

villages. Besides, they consider that having more sons is more beneficial than daughters.

They presume sons to be valuable whereas daughters to be burden. Education is also

secondary for them. They are not enthusiastic to get their children educated. Even if they

send their sons to school, they prefer girls to perform household chores only rather than

studying. It is their belief that a son will support his aged parents whereas a daughter will

serve another family after her marriage. Because of this illiteracy, they cannot grasp new

technologies. Men and women in rural areas have their own traditional dressing style

including ‘Saree’ for women and ‘Lungi’ and ‘panjabi’ for men. Moreover, they have a

preference for folk music like Bhatiali, Baul, Marfati, Murshidi, Bhaoaiya and Gombhira, as

they can relate to the lyrics of folk songs. Though their diet largely consists of rice and fish, it

varies depending on different occasions. Subsequently, colorful festivals are imperative part

of rural life. They have their own unique celebrations during different festivals like Nobanno,

PahelaBaishakh, etc. However, these traditional values and beliefs may change with western

influences and take a different shape.

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As the core beliefs remain unchanged, they can be utilized constructively while the secondary

beliefs and values can be reshaped if required.

Micro environmental Analysis

Customer Analysis:

Our target customers are actually tea sellers in the area stalls, bazaar and also the households

of the rural areas who belong to the social economic class D and E. We are going to provide

same quality products at lower price. The main concern for our target customers is price. As

we are going to ensure them good quality product with lower price, we think it will definitely

work.

In case of our target customer, they usually don’t pay attention to the quality of the product.

But through our advertisements and campaign we will let them know about how the good

quality effects in many ways. The regular customers of a tea stall in a village usually don’t

look for the specific brand while buying tea. It does not really matter to them, because their

perception is the taste of tea depends on making rather the quality of tea. We will create a

strong brand value for our brand through changing their perceptions. We will make them

understand that if they use good quality product like we are going to serve, then they will find

the outcome. Sometimes pressure of physical labor keeps people away from their work or

they become inactive. Our product will simply make the target customers understand that

‘SHOTEZ’ the brand name itself signifies the freshness. By taking a sip of our tea they will

get refreshed will last it for longer time, we will show it them through our TVC. Our product

will also efficient in its manner. It will provide great taste, color and most importantly while

making tea it will required fewer amounts than our competing brands require.

Our primary survey revealed the following consumer insights:

When they buy tea, most of the time they buy non-branded tea. This is because they

want it with in a very minimum price.

Available branded tea usually they find costly.

They don’t even find good quality tea in the retail shops located nearby.

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Fathers are the main customers who buy tea for their family and the shopkeepers

usually buy themselves.

For family 50gm sized pack is more preferable and for shopkeepers it is 400gm pack

size.

The main benefit while buying tea, they look for is low price.

Our survey revealed that most of the people usually take tea three times a day.

We got actually neutral answers from the target customers while asking them question

about where they usually take tea. So we will target both the shops in Bazaar and

home.

Most of the people answered they take tea because they want refreshment. So we

focused on longer refreshment.

Their main entertainment media is Television. But we find that they use radio as an

alternative entertainment media when occurs load shedding. So we tried to reach them

both through TVC and RDC.

Most of our target customers prefer watching Bangla movies. Sometimes they also

like to watch cricket games live and news as well. So we will take this opportunity to

sponsor cricket games. We will also take the time slot of Bangla movies and News to

air our TVC and RDC.

Most of our target customers like to go to a festival called PahelaBaishakh and

Victory day. So we will sponsor those programs to promote our product.

Actors involved in the process

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Initiator: The individual who begins to search for a solution to the customer’s problem.

Here, in case of family father can be the initiator, for the tea stall located in the bazaar the tea

maker can be the initiator and for the area shops the shopkeeper can be the initiator.

"SHOTEZ" tea will be promoted and distributed extensively so that they can get the product

whenever the need arises.

Influencer: Individual who may have some influence on the purchase decision. Influencer

always has a deeper impact on the minds it also lead to actual purchase of the product.

Sometimes the word of mouth of influencer affects consumers purchase decisions. In this

case, neighbors, the individual customers of tea stalls and area shops can influence.

Decider: They are the individuals who listen to the initiator and influencer and then decide

which brands to purchase. That means taking into account the views of the initiator and

influencer, an individual will actually make a decision as to which product to purchase. The

consumer himself or the elder member of the family especially father or mother of a family or

the tea stall owner and shopkeeper can be the decider of purchasing our product.

Purchaser: The individual who actually buys the product or service is also known as

purchaser or customer. Mainly purchaser is the individual who spends money to make

purchase. For our product deciders are the purchasers.

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Purchase, use and

consumption

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Consumer: Individual who actually uses the product means the end user of the product. The

members of a family, the customers of a tea stall located in the bazaar and area shops are the

consumers.

Who is involved in buying and consuming?

“Who” are the people involved in buying, consuming and purchase decision process of tea.

“Who” are mainly influencer, initiators, decider, customer and consumers? In this case, it

refers to the members of a family, tea stall owner and shopkeepers who belong to socio-

economic class D and E, especially living in slums and rural areas and use non-branded tea or

our competitor’s product. Most of them are actually who buy non-branded tea because of the

price.

What are their choice criteria?

“What” indicates the benefit that consumer are searching towards our product. Our survey

revealed that customers seek lower priced good quality tea.

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Customer

WHO

WHAT

WHENWHY

WHERE

HOW

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When do they buy/use the product?

In case of family they buy the product usually in a week but for tea stall located in a bazaar

and area shops they buy monthly basis. The number of packets they need to buy varies from

person to person according to consumption.

Why do they buy/use the product?

Our target consumers, who belong to the social economic class D and E, seek good taste. As

the non-branded tea does not worth it and the branded one they can’t afford, so it creates

good opportunity for us to do the business in this market. It can be done only if we satisfy

their need of good taste by ensuring good quality tea at lower price.

Where do they buy?

From our survey we got to know that our target customers usually buy tea from Bazaar. As

we mention before most of them buy non-branded tea, but who buy our competitors tea they

usually don’t find it over there. The amount is actually inadequate. So we will ensure

sufficient distribution not only in the bazaar but also in every local store.

How do they use the product?

Actually our target customers use the product frequently. Almost everyone knows how to

use. But as we mention it in our labelling we will provide the best possible instruction how to

do the best use of our product.

Competitor Analysis:

It is important to know about competitors to enter into a market. By knowing competitors

company can set up their strategy. Analysis of strategies followed by competitors often

reveals their strengths and weaknesses that can be helpful in designing the right marketing

strategy.

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Strategic Group:

Strategic group signifies a group of firms in the same industry, following the same or a

similar strategy in a given market aimed at identical group of customers.

The tea brand SHOTEZ, belongs to the strategic group of Fresh tea and Muskan tea. These

companies follow the same strategy that is undifferentiated marketing strategy. Their target

segment sec D and sec E. Our brand SHOTEZ also falls under the same strategic group as it

is aimed at the same socio economic class and consumer needs.

Direct competitors:

The competitors operating in the market within the same product category, addressing the

same need of the selected segment, are the direct competitors of our brand SHOTEZ. In the

market, there can be observed numbers of competitors that exist in the tea market, addressing

same need. Among them the most popular brands are-

IspahaniMirzapore Tea (market leader)

Taaza Tea by Brooke Bond

Fresh Tea by Meghna tea company limited

Muskan Tea

Finlay Tea

Indirect Competitors:

The Competitors who serve the same need, but do not fall in the same product category are

the indirect competitors. These competitors are basically the substitute products that fulfill

the same consumer need our product serves. In the tea market, the major indirect competitor

can be coffee.

Competitor Assessment:

Our research revealed:

Which market segment our competitors are targeting?

What strategy they are following?

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What are their strengths and weaknesses?

Our main competitors are IspahaniMirzapore tea, Taaza tea, Fresh tea and Muskan tea. They

are targeting the same customers. IspahaniMirzapore tea and Taaza tea target all the segments

of consumer through their differentiated marketing strategy. Fresh tea and Muskan tea follow

the undifferentiated marketing strategy to attract customer. Finlay follows the differentiated

marketing strategy. Ispahani is the market leader right now in the tea market. They have the

highest market share. Taaza also has the second highest market share. But we have the

opportunity to make market in rural market. All the competitors give most importance in

urban area. That’s why we choose cost leadership strategy to capture the market. We will be

doing that by providing our customers better quality product at lower price. We will build a

good relation with our distributors so that they store our product in a large volume. That will

be our one of the major strengths.

IspahaniMirzapore Tea:

It is the largest tea trading company in the country. It dominates the domestic tea market,

capturing approximately 50% of the national branded tea market and 80% of the branded tea

bag market. Its best selling brands such as Mirzapore best leaf, Mirzapore double chamber tea

bags, IspahaniZarreen Premium are household names. Ispahani is following the differentiated

marketing strategy. They are targeting all the segments so that they can go in everywhere.

That’s why customer can get their product easily wherever they are. They produce different

pack sizes. They have priced 20g for BDT 6 tk, 50g for BDT 20 tk, 100g for BDT 40 tk, 400

g for 140 tk, and 50 teabags for 70 tk.

Their major strengths include:

1. Its quality and achieves a high customer satisfaction

2. Unrivalled distribution network of over 300 sales centers

Their weaknesses are:

1. Do not have strong distribution channel in rural area

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Taaza Tea:

Taaza stands for premium quality and refreshment bringing in the world famous tea blending

expertise and heritage of the Brooke Bond House. Brooke Bond Taaza consistently delivers

its promise of freshness with the help of Unilever’s world-class buyers and blenders. Taaza is

made from the finest tea gardens of Bangladesh. Taaza is following differentiated marketing

strategy. They are second largest market share after Ispahani. Its best selling brands are

Brooke Bond Taaza Danedar and Brooke Bond Taaza teabag. They have priced the 50g tea

pack size at BDT 20, 400g at BDT 139 tk, 50 teabags at BDT 70.

Major strength:

1. Established brand in the market

Major weakness:

1. Lack of variety in the product line.

Fresh Tea:

Fresh tea was established in 2000. Fresh tea is one of the best tea blends of the country with

the best raw tea carefully chosen from the finest gardens of Bangladesh. Fresh tea has great

strength, mouth fullness and taste. Along with bright liquor, attractive color and natural flavor

it gives you the best freshness. Fresh is following the undifferentiated marketing strategy.

Brand: fresh premium tea, fresh danedar tea, fresh dust tea, no-1 leaf tea, no-1 strong

tea.

Sources of raw materials: Sylhet, Chittagong, Bangladesh tea board auction.

Pack sizes: 500 gm, 400 gm, 200 gm, 100 gm, and 50 gm.

Customers: household, superstore, grocery shop, hotel, restaurant, tea stall.

Major strength:

1. Best tea blend of the country

Major weakness:

1. Don’t have strong distribution channel.

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Muskan Tea:

Muskan tea vouches for the sensation and comes in a special moisture-proof pack that

preserves the aroma and freshness of the tea leaves inside. Its unique blend has maintained its

place in the hearts of consumers with the most refreshing and revitalizing cup of tea. Each

grain of muskan tea has been selected from the finest tea gardens of Bangladesh, giving a

blend with exceptional color, taste and aroma. Muskan tea is packed under the supervision of

tea experts within a clean environment. Currently they are serving 500 gm for BDT 156 in

the market. Muskan tea sources the best tea leaf from around the country and provides a

perfect blend, packaging its rich aroma and color in branded product. They are experts in

providing the right cup of tea for your everyday need, with around the clock quality check in

all its processes from choosing the right leaf to packaging. Muskan is following the

undiffrentiated marketing strategy.

Product: Black tea

Pack size: 200 gm and 500 gm sizes.

Major strength:

1. Price is lower than competitors

Major weakness:

1. Not popular in consumer market

Finlay tea:

Finlay is a global integrated tea company focusing on the manufacture and sale of black tea,

green tea, instant tea and decaffeinated tea. It also has other significant interests including

coffee trading and packaging. Finlay is able to supply an entire of leaf teas specially

formulated for particular customers’ requirements and able to manufacture tea with certain

color, taste, and characteristics. Finlay is following the differentiated marketing strategy.

They have priced the 200 gm at BDT 85. Other pack sizes like 100 gm and 500 gm also

available.

Major strength:

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1. Well known and popular in consumer market.

Major weakness:

1. Don’t distribute their product that much in rural area.

Competitive Marketing strategy:

The primary competitors of our brand are Ispahani Mirzapore Tea, Taaza Tea, Fresh tea and

Muskan tea. As such, we have chosen to implement the “market challenger’s” strategy in

launching our brand into the tea market. There exists a tremendous market share to be gained

from the rural segment. Tea has a great demand in rural area. Most of the tea companies don’t

give that much importance in rural area. That’s why it’s a big opportunity for us to make our

product profitable through different promotion campaign and distribution channel.

The primary strategy would be attacking the presently residing brands and grab their market

share through “side attack”.This would be effective in capitalizing on the weaknesses of both

rival brands through:

1) Lower price, so that consumers can afford it.

2) Strong distribution channel so that all the rural consumers can get our product.

The successful implementation of this strategy calls for effective distribution channel which

is currently the prime weakness of the rival brands.

Brief overview of the opportunity and threats in the market

Opportunities:

Since rural economy is swiftly developing and becoming an industrializing economy,

living standard of rural people is also rising. They are moving towards a better and

healthier lifestyle.

Tea stalls are kind of hubs in rural areas. They spend most of their free time in

conversing and discussing different issues over tea there. If we can convince these tea

stall owners that our product will be a better choice for them than the existing ones, it

can be a great prospect for our business.

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With the emergence of mobile phone technology, rural people have become more

attuned to the events around the world. It can be an effective medium to reach the

rural consumers.

None of the existing competitors target only rural market. So, there exists great

demand for tea in rural area and tremendous market share to be gained from the rural

segment.

Special events like religious occasions, other festivals and celebrations may

encourage more tea consumption as people are more open to spending money at these

times. Since days during the harvest season are really exhausting and tiring for rural

people, we can inspire them to consume tea in order to feel rejuvenated and energetic.

Threats:

As most of the rural people earn very low, they might feel spending money on

consuming tea regularly in households as unnecessary expenditure.

Price of the complimentary products milk and sugar are much higher together than tea

which increases the cost of drinking tea.

There are many underdeveloped small villages where people are not exposed to most

of the IMC tools. They are completely detached from modern civilization. Hence, it

might be challenging to reach those target consumers.

Enormous number of people in rural areas is still illiterate which makes it difficult to

choose the right communication media to reach the target consumers.

Considering the recent scenario, political instability of our country can be a roadblock

in regulating business effectively.

Market Segmentation for “SHOTEZ CHA”:

Geographic

Urban Villages around

Dhaka Chittagong

Sylhet Barishal Khulna Rajshashi Rangpur

Rural Villages

Dha

Chittag

Sylh

Barishal

Khuln

Rajshahi

Rangpu

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around

ka

ong

et a r

Demographic:

Age 0-14 15-29 30-54 55-64 65+Gender Male Femal

eEducation

Uneducated

SSC HSC Bachelor’s Master’s PHD

Occupation

Student Housewife

Working Women

Working

Men

Unemployed

IncomeReligion

Muslims

Hindus

Christians

Buddhists

Others

Household Pattern

Single Individuals

Nuclear Family

Joint family

Ethnicity

Bengalis

Others

Marital Status

Married

Single

Socio economic Class (SEC)

A B C D E

Income 40000 tk and more

10000-30000 6000-20000 5000-15000

3000-10000

Psychographic segmentation:

Personality Loving Compulsive Sociable Imaginative AssertiveLifestyle Trendy Healthy Sporty Fancy

Behavioural Segmentation:

User Status

Current Customer

Ex-Customer Competitors customer

Potential customer

Usage Rate High Medium Low

Buyer Involvement

High Low

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Loyalty Status

Hardcore Loyal

Split Loyalty

Shifting Loyalty

Switchers

Benefit Segmentation:

Benefits Refreshment Low Price

Weight Loss

Less Cholesterol

Target Market Profile for “SHOTEZ CHA”:

Rural Villages Around

Dhaka Chittagong Sylhet Barishal Rajshahi

Khulna Rangpur

Age 15-29 29-44 45-54 54+Gender Male FemaleEducation Uneducated SSC HSCIncome 40000 TK

and more10000-30000

6000-20000

5000-15000

3000-10000

Occupation Student Housewife Working Women

Working Men

Religion Muslims Hindus Christians

Buddhists Others

Household Pattern

Single Individuals

Nuclear family

Joint family

Ethnicity Bangalis OthersMarital status

Single Married

Socio economic Class (SEC)

D E

Lifestyle Healthy

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User Status Competitors Customer

Potential Customer

Usage Rate High Medium

Buyer Involvement

Low

Loyalty Status

Switchers Split Loyalty

Shifting Loyalty

Benefits Refreshment Low Price

How many segments to enter?

We are going to utilize undifferentiated target marketing strategy or mass marketing whereby

we’ll serve the whole market socio economic class D & E with one marketing mix. However,

from the mass market we have decided to not target socio economic class A, B, C.

Which segment offers the most?

Sales potential: The total domestic Tea consumption was 64 million kg which worth around

TK 12122.24 million. So the attractiveness of the market is high. (Bangladesh Tea Board,

2013)

Growth potential:The internal consumption of tea has been increasing rapidly in last era. In

2001, internal consumption was 36.95 million kg and in 2013, it is increased to 64.00 million

kg. (Bangladesh Tea Board (BTB), 2013)

Competition: Though there exists intense competition in the tea industry, the sales and

growth potential overcomes this intense competition.

Positioning Strategy

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Brand positioning is nothing but the superior value or the unique benefits that reminds the

consumer about such brands. The positioning of a brand provides consumers a compelling

reason to choose the brand in place of the competitors.

Point of difference (POD) association:

It is such benefits or attributes that a brand provide to the consumers to portrait themselves

different than their competitors. The point of difference is strongly favorable for the brand

itself. It creates strong positioning of the brand in the consumers mind. But creating a strong

brand’s point of difference is a tough job.

A point of Difference must possess 3 Characteristics –

1. Desirability: Desirability states that the brand POD must be attractive and appealing

to the customers. Our main point of difference is better refreshment for a longer

time. For the people who live in villages their most premium priority is the price. So

we are also offering the lower price than that of our competitors. So our target

customers of Socio economic Class

2. Deliverability by the company: refers to the ability of a company to deliver the

value proposition of the brand to its customers. We are utilizing the best possible

raw materials at a lower price. We will buy our direct materials in a bulk, which will

allow us a lower production cost. And thus we will be able to deliver the product to

the consumers at a cheaper price. And as we will use better quality of raw materials,

the caffeine of such materials will provide better refreshment of mind and soul for

the rural people.

3. Differentiating from the competitors: our main differentiating point from the

competitors is our pricing. We are offering lower price than the other brands, such as

Isphanai, Taza etc.

Point of pairity (POP) association:

All of our competitors are offering a good refreshing time. Like Ispahani is offering a

healthy and relaxation time with friends. The point of parity association has two basic

forms.

1. Category point of parity: it refers to those benefits or attributes that a product

or service must have to stay in that industry. In one word they are the necessary

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benefits that are required by the industry. For the tea industry the category point

of parity is hot drinks, which provide refreshments. As we are purchasing the

best raw materials available at the cheaper price, those materials will provide

such benefit to the consumers.

2. Competitive point of parity: they are the benefits that neutralize the

competitor’s point of difference. For our ‘SHOTEZ tea’ the competitive point

of parity is its different packed sized, specially the small sachet we are

providing.

Positioning Statement:

Positioning statement is the sentence that describes the brand position of the brand. For our

product the positioning statement is “To the consumers belonging to the SEC D and SEC E,

in the rural area of Bangladesh, who is looking for a better refreshing tea time, SHOTEZ tea

provides a longer and refreshing moment from their stressful and hardworking life.”

Differentiation strategy:

1. Employee differentiation: for our brand SHOTEZ tea, we would like to higher those

people who are accustomed to the rural environment. They will be provided with

training of how to convinced rural people. They will provide the consumers information

about our product and its benefits.

2. Channel differentiation: more effective and efficient distribution strategy can be a

valuable asset for the brand. As the tea market is competitive, we will pursue a different

distribution strategy than our competitors. Rather using whole sellers or retailers, as our

prime customers will be the tea stalls, well will hire a person for each Union and that

person will personally keep contact with the tea stall owner and always provide the

product on order. No financial intermediaries will allow us to sell the product at a price

that will be a win-win situation for both the company and the tea stall owners.

Value proposition:

For our SHOTEZ tea the value proposition strategy we are following is the same for less.

Such value proposition is stand for providing the same benefits at a lower priced. We will

be providing the same attributes as our competitors but we will charge lower price than

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them. And as the rural people are mainly concern about the price of products, and they

mostly look for a cheaper one, our value proposition will lead us to a higher sell in volume.

Product Strategy

The Different Levels of the Product

There are five different levels of a product such as: Core benefit level, Basic Product level, Expected product level, augmented product level and potential product level

1. Core benefit levelThis is the first level of the product. It is the core customer value and the core customer need that is being provided/fulfilled by a product or service. Our product gives refreshment for a longer period of time.

2. Basic product level These are the basic different attributes of a product which deliver the core benefit to the customers. Our product is hygienic and natural. It gives the maximum refreshment. No harmful chemical is used.

3. Expected product level

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Potential Product

Augmented Product

Expected Product

Basic Product

Core Benefit

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The different attributes and performance marks which a consumer expects from a product or service. Usually from our product consumers can expect good quality at low price.

4. Augmented product levelThese are the additional customer services and benefits that a company provides to its customers. For our brand there’s no augmented product level.

5. Potential product level This is the final level of a product. These are all the possible augmentations and transformations the product or offering might undergo in the future. We expect to come up with more variants of tea in future.

Durable or Non-durable Product

1. Durable ProductsDurability signifies the expected economic life of a product. Durable goods are tangible in nature which survive many uses. These products require more personal selling. Their profit margin is high and require more seller guarantee.

2. Non-durable ProductsTangible goods are normally consumed in one or few uses. As these goods are frequently purchased, the appropriate strategy is to make them available in many locations. Profit margin is low. Advertise heavily to induce trial and preference.

Here we can say “SHOTEZ CHA” is a non-durable product as consumers can’t re-use it and they need to purchase once/twice a month depending on the pack size.

Consumer Good Classification

1. Convenience Goods Products that are purchased frequently, immediately, and with minimal

purchasing effort and comparison shopping. These products need mass promotion and widespread distribution. The product price should be less. Habitual or variety seeking buying behavior occurs in case of purchasing

convenience goods.2. Unsought Goods

These are the products which consumers are not aware of or haven’t thought of buying until they need them.

Aggressive promotional effort is required by the marketers to build brand awareness.

After discussing after discussing these consumer goods we can say that our product falls under convenience and unsought goods. Because:

Tea is used and purchased frequently, immediately and with minimal purchasing effort. Consumers usually don’t compare among brands or style of tea. They go to the

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shop and purchase available brand without any differentiation. The price is also very low. So, we will say that “SHOTEZ CHA” is a convenience good.

As we are targeting socio-economic class D & E, most of our target consumers are not aware of our brand. They previously purchased other competing brands. So, our product also falls under unsought goods.

Brand Development Strategy:

Co-branding: Two or more well-known brands combine to introduce a single product.

After analyzing all the brand development strategies it can be said that our product is a new product in a new product category (TEA) and we have given our product a new brand name ( SHOTEZ CHA).

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Line Extension Brand Extension

MultibrandsNew Brands

(SHOTEZ CHA)

Existing

Product Category

New

Brand Name

Existing

New

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Ingredient Branding: Ingredient branding is a special case of co-branding. It creates brand equity for materials, components, or parts that are necessarily contained within other branded products.

But “SOTEZ CHA” will not fall under ingredient branding because there is nothing to create brand equity for materials, components, parts or ingredients used.

Packaging & Labeling

We vacuum seal all our teas into our vacuum packs as soon as we get them. We have special vacuum packing machinery, which seals the tea into a vacuum pack by removing all the oxygen from it. This process ensures that the tea does not loose its freshness, aroma & flavor by preventing the growth of microorganisms that spoil food products. Thus, the shelf life of tea is increased considerably making sure it remains fresh during storage and transportation.

We pack all our teas in superior quality three-layered aluminum packets to protect the tea from being exposed to air or moisture, thus increasing its shelf life.

Considering our target customers, we have tried to keep our packaging as simple as we could along with maintaining the standards of a good packaging. Our brand name “SOTEZ” is short, and it is a familiar word to our target customers. We have used “Sonar Bangla” font so that it is easily understandable and readable from distance. We have used vibrant colors to make it more attractive to our consumers. We made sure that it looks attractive enough for our consumers to make them feel the difference. Compared to our nearest competitor brands our packaging is better yet cost effective.

Convenient Pack Sizes

We deliver our teas in convenient pack sizes of 20g, 50g, 100g & 400g so consumers do not have to order large amount of tea of one type.

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Benefits of Packaging:

1. Packaging protects tea inside and keeps the quality intact.

2. Standard quality, long lasting package of SOTEZ will help product transportation, protection and storage.

3. Packaging helps consumers identify the brands.

Benefits of labeling:

1. Helps consumers gain information about our product. Consumers will be able to make a perfect cup of tea by following the guideline. It also provides details about the ingredients.

2. Helps consumers identify the brand, as it contains the logo of our brand and our tagline.

Pricing Strategy for “SHOTEZ CHA”

Price is the only revenue generating element of the marketing mix. There exists a significant

link between the perceived quality and price. Consumer understands that the higher the price,

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the better the quality and use price as an indicator of quality – concept is called price- quality

inferences. There exists a link between brand equity and price. If consumers value the brands

more, in other words the brand has strong brand equity then they will be ready to pay higher

price. We’ll provide moderately good quality products at low cost. Hence, customer value

proposition is same for less whereby we’ll provide same benefits that our competitors are

providing but at low price.

Pricing Objective:

We want to maximise our market share that is our pricing objective. We’ll follow market

penetration strategy whereby we’ll set the price very low thus pursuing cost leadership

strategy. We’ll go for mass production and sale at large quantity thus grabbing the large

market share.

Justification: The reason why we have chosen market share maximising as our pricing

objective is that we have large customer pool. We have targeted rural people in Bangladesh

who are in between 15-54 years old that cover around 70% of total rural population in

Bangladesh. We’ll identify what are the drawbacks of our competitors facing and work it and

capitalize on it.

Price sensitivity of demand: signifies what happens to buying behaviour when price

changes. From our customer analysis part, we have found that our target consumers are very

much sensitive to price. In other words, if we charge lower price with same level of benefits

then they are more likely to switch to our brands.

Estimating cost and price:

1. 20gm pack size

Packaging and labelling cost: TK 0.4

Cost of producing per gram tea: TK 0.20

Total Cost for 20 gm pack size: 20gm* TK0.20+ TK 0.4= TK 4.4

2. 50gm pack size

Packaging and labelling cost: Tk.0.8

Cost of producing per gram tea: TK. 0.20

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Total cost for 50gm pack size: 50gm* TK. 0.20+ 0.8= TK 10.8

3. 100gm pack size

Packaging and labelling cost: Tk.1

Cost of producing per gram tea: TK. 0.20

Total cost for 100gm pack size: 100gm* TK. 0.20+ TK 1= TK 21

4. 400gm pack size

Packaging and labelling cost: Tk. 3

Cost of producing per gram tea: TK 0.20

Total cost for 400gm pack size: 400gm* TK. 0.20+TK 3= TK 83

Trade price (TP):

Pack Size TP

20gm TK 4.5

50gm TK 12.6

100gm TK 24.5

400gm TK 92.4

Justification: Weare charging different profit margin for different pack size.

Pack Size Profit Margin= TP-TC/TC

20gm (TK. 4.5- TK4.4)/ TK4.4= 2.5%

5ogm (TK. 12.6-10.8)/ TK. 10.8= 16.67%

100gm (TK.24.5-21)/ TK. 21= 16.67%

400gm (TK. 92.4-83)/ TK. 83= 12%

Since we are going to launch our product in the rural areas and have targeted people who are

mostly in the socio economic class D & E. we assume that they will buy more 20gm pack,

therefore we are charging only 2.5% profit margin. Furthermore, consumers who are in the

joint family tend to buy more 50gm or 100gm pack size so we are charging 16.67% profit

margin. Customers like tea stall owners will buy more 400gm pack size and we will earn

12% profit margin.

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Market retail price (MRP): Cost of per Unit Purchase/ 1- Desired Profit Margin

Pack Size MRP

20gm (TK 4.5/1-0.11)=TK 5

50gm (TK 12.6/ 1-0.3)=TK 18

100gm (TK 24.5/1-0.3)=TK 35

400gm (TK 92.4/1-0.3)=TK 132

Justification: We have decided to set our MRP at which our marketing intermediaries can

earn 30% profit margin except for 20gm pack size. If we allow them to earn 30 % profit

margin by setting TP TK. 3.5 then we will incur loss of (Total cost 4.4- TP 3.5)= 0.9 TK per

unit. Therefore, we allow them to earn only 11% profit margin by setting the TP TK4.5. That

may lead to arise to a problem like marketing intermediaries will be less likely to buy 20gm

pack even though customer demands 20pack more. Hence, to overcome this problem we have

decided to give more trade promotion to our marketing intermediaries for 20gm pack size.

When customer buys large pack size, per gram purchasing cost goes down.

Pricing Methods:

Penetration pricing:is a pricing strategy whereby we are going to set a relatively low initial

entry price, usually lower than the intended established price, to attract new customers.

Hence, we’ll encourage customers to switch to the new product because of the lower price.

Justification: Penetration pricing strategy is most consistent with our pricing objective of

increasing market share by selling at a large volume. We may face lower per unit profit since

we charge lower price for our product but the fact if we can sale at large volume then our

total profit will be high in the long run. Furthermore, if we can sale at large volume by setting

the price low then it will lead to capture a big portion of the market share.

Price Adoption Strategy

Price Discount and Allowances:

Seasonal Discount: We’ll also follow time based pricing whereby we’ll charge different

price based on the time like season. In summer in between April to July, people are less likely

to have tea so we’ll provide them an incentive to buy our brand say for 12:2 whereby we’ll

provide 2 extra packs of our 20gm tea pack if they buy 12 piece of 20gm packet at a time.

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Promotional Pricing:

Special events pricing: We will pursue special event pricing during some special events like

Eid, Puja, rural election to encourage customer to buy more tea. We allow our customers say

for a tea stall owner to buy at 6:1whereby if they 6 pack of 400gm our brand then we will

provide a 100gm pack free.

Differentiating Pricing:

Product Form Pricing: we’ll charge different price for the same product based on the

different pack size.

Channel Strategy for “SHOTEZ CHA”

Marketing channels are the stake holders of the company who are responsible to make the

product available for the consumers for the consumptions. They are a very important part of

the organization as they deliver the value to the customers.

Marketing channels are the responsible organization for making the product available for the

consumers

Push vs. Pull Strategy:

Push strategy is providing incentives to the marketing intermediaries, who resulted more

demand from the intermediaries and thus the product is pushed down the channel. On the

other hand marketing pull strategy is providing incentives to the consumers, so that they

demand more.

For SHOTEZ tea, as it is a new brand in the market, we will follow the push strategy to

attract the marketing intermediaries and make our product available in their shops and stores.

Our first target is to attain more position in the distributers shell, thus try to move away our

competitor’s product. As from our visit to a village we had witnessed that the rural people do

not have a very high brand royalty. Rather they would like to buy the available product. So if

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SHOTEZ tea becomes the most available product then they will buy it more. Even for higher

incentive the shopkeepers will buy our brand more.

After convincing the

distributers we will also follow the pull strategy to attract the consumers to us. As the rural

people are very much price concern we will provide 20% extra in the packages at the same

price.

A conventional marketing strategy- Indirect marketing:

We will follow the conventional marketing strategy. We will hire independent marketing

intermediaries. For hiring the Distributers we will analyze their success and ability to reach to

the maximum area. We will hire a distributer for each sub division and that distributer will be

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Manufacturer

Independent

Independent

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those who have good reputation in those sub divisions. These distributers will take the

product from us and supply it to the shopkeepers and the tea stall owners.

And finally the shopkeepers and the tea stall owners will deliver our brand to the consumers.

For delivering our product we will follow two independent intermediaries --- Distributer, who

will distribute the product to the retail shop keepers and the tea stall owners. And the tea stall

owners will deliver our brand SHOTEZ tea to the consumers. As we will sell our product in

as many shops and tea stalls as possible, the consumer can have our brand whenever they feel

the need.

Intensive distribution:

We will follow intensive distribution to deliver our product to consumers. We want to reach

as many outlets as possible so that rural consumers can get our product in everywhere. That’s

why we will build good relationship with our intermediaries so that they store our product in

large quantity. As our product tea is durable, and it is everyday usage product we follow the

intensive distribution strategy. Even in rural area there are a number of people who drinks tea

every day, at least once. And the brand itself is with a lower profit margin.

Integrated Marketing Communication

IMC is the most effective and efficient promotional tools and media to communicate with the

target consumers only by delivering clear, consistent and compelling message.

Target Audience: signifies people who will hear, see or expose to our message. Generally,

our target customers are our target audience.

Communication Objective: Since we are new in the market, our target audience are not

aware of us and don’t know much about our brand’s attributes and benefits. So our

Communication objective is to build brand knowledge in our target audience through brand

awareness and brand image and to provide information to the target audience about the

attributes and benefits of our brand.

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Message strategy: answer the questions what do we want to communicate to our target

audience.

Message strategy can be of three types:

Cognitive message strategy

Affective message strategy

Conative message strategy

We are going to utilize cognitive message strategy.

Cognitive message strategy: The message that we are communicating to our target audience

will explain the functional benefits and attributes that SHOTEZ will provide the benefits of

refreshment for the longer period of time. In other words, message posses the rational

arguments. The goal of a cognitive message strategy approach is to design an ad that will

have an impact on a person’s knowledge structures. Our message contains the information

that SHOTEZ is a TEA brand that provides refreshment for longer period of time through its

good quality but at a lower price than the competitors. Hence, you will remain active for a

longer period of time and keep working your task smoothly.

Message execution: Message Execution signifies how a marketer will explain the message.

Message can be executed through animation, slice of life, demonstration, testimonial

evidence, fantasy and information. We will execute our message through slice of life

commercial and information commercial whereby we will provide as much information as

possible since we are new in the market.

Slice of Life:

In slice of life commercials, advertiser’s shows everyday scenario and what the problems that

consumers are currently facing and then how our brand can actually solve these problems.

Slice of life commercials have four phases, these are:

Encounter

Problem

Interaction

Solution

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Encounter phase shows an everyday scenario that the target audience face. Problem phase

shows how consumers are facing problems. In interaction phase the brand is introduced and

in solution phase it is shown that how the brand solve the problem.

A teacher usually takes tea from a nearby tea-stall before going to his class (Encounter

Phase). In addition, after taking two classes he takes another cup of tea for refreshment as he

has to take two more classes (Problem phase)

But, on that very day after taking tea for the first time he didn’t come to take another cup of

tea. (Solution Phase) On the way back home the teacher went to the tea stall and asked the

shopkeeper about the tea that he (SK) used. The shopkeeper replied that He used “SHOTEZ

CHA” (Interaction). He also said that “SHOTEZ CHA” gives refreshment for a longer period

of time. Then the teacher realized why he didn’t have to take tea for the second time and took

a 200g “SHOTEZ CHA” for his family.

Information

Since we have targeted SEC D & E, we will use informative message execution strategy for

RDC, print advertisement and in shop posters whereby we will present the information in a

straight forward manner so that they can easily encode or understand our message.

Message Source: We have chosen Mr. Jahid Hassan as an endorser for our products

SHOTEZ CHA. He is very popular and possesses likeability in the rural areas. According to

our customer analysis, in rural areas most people prefer to take advice from and trust a

teacher. Therefore, we have decided to give him a Teacher’s role thus we’ll ensure

trustworthiness.

IMC of SHOTEZ CHA

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We are utilizing both above the line (ATL) and below the line (BTL) communication. We

have planned to make TVC which will be BTV focus because SEC D & E are our target

audience and majority of them lives in rural area and watch BTV most we telecast mostly

during bangle movie time and when cricket match is going on. We also telecast our TVC in

cinema hall during bangle movie. We will also make RDC which will be broadcasted in

Bangladesh Betar because majority of our target audience listen to Radio during loadsh and

to Bangla movie songs which are broadcasted in Bangladesh Betar.

We will also utilize sales promotion whereby we will provide some incentives to generate

immediate sales. During summer in between April to July, people are less likely to have tea

so we’ll provide them an incentive to buy our brand say for 12:2 whereby we’ll provide 2

extra packs of our 20gm tea pack if they buy 12 piece of 20gm packet at a time or during

EID, Puja We allow our customers say for a tea stall owner to buy at 6:2whereby if they 6

pack of 400gm our brand then we will provide two pieces of 100gm pack free.

Promotional Mix: are comprises of five promotional tools and we are going to utilize:

Advertising

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RDC Betar Focused

Cinema Hall Exposer

Public Relations

In Shop Poster

TVC BTV Focused

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Public relations

Sales Promotion

ATL strategies will be implemented through traditional mass media mostly advertising:

Advertising: We will use this form of non-personal communication whereby one

message is not designed for one audience rather for many audience hence we will

communicate message to large population. For our IMC, we will make use of TVC

that will be aired on BTV. Furthermore, we will broadcast our RDC that we have

made through Bangladesh Betar. At the same time, we will disseminate print ads that

would be posted on shops, market place (Hat-Bazar) and cinema halls since these are

areas frequently visited by the SEC D and E people.

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BTL strategies will be implemented through personal public relations:

Public Relations: We will sponsor a program “SHOTEZ CHA Krishoker Abishkar”

where the farmer will come up with their ideas of how to produce more by protecting

the environment like new ways cost effective ploughing or controlling insects

naturally. Since farmers fall under socio economic class D & E, we are well

connected our target audience. Furthermore, we also sponsor various cultural program

like Pohela Baishakh, Victory day in rural areas whereby we will give our target

consumer SHOTEZ CHA and let them experience our product.

Together ATL and BTL will create a 360° branding campaign that addresses all touch

points hence we will surround our target customers with the message.

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