Introduction to Marketing | Desklib

INTRODUCTION TO MARKETING

CONTENTS
Executive Summary...................................................................................................................1
Situational Analysis...................................................................................................................1
Market size.............................................................................................................................1
Market needs and trends.........................................................................................................2
Analysis of the competitors....................................................................................................2
Internal analysis......................................................................................................................3
External analysis.....................................................................................................................3
Market Segmentation.................................................................................................................4
Segmentation..........................................................................................................................4
Target market..........................................................................................................................5
Positioning..............................................................................................................................5
Measurable marketing objectives...............................................................................................5
Marketing Strategies..................................................................................................................6
Product decision.....................................................................................................................6
Pricing decision......................................................................................................................7
Place decision.........................................................................................................................7
Promotional decision..............................................................................................................7
Integration and links...............................................................................................................8
Coordination and Control...........................................................................................................8
Conclusion..................................................................................................................................9
References................................................................................................................................10

Executive Summary
In any business, marketing is the most vital aspect. It is, in fact, the main process of
selling, promoting and researching the products and services to the market to be targeted. For
each and every business, the bottom line is just the profit which can be attained through
successful sales. This can be made possible with effective marketing process in place that
significantly helps in informing, attracting as well as convincing people about the products
and services and their values to the potential customers (Cooper, 2010). The current research
report also aims to understand varied marketing strategies for meeting out the ultimate goals
of the products of the firm. Starbucks is being chosen as a case company for the current
study. Focusing in relation with the Starbucks, it is one of the leading retailer, marketer and
roaster of speciality coffee all throughout the globe. The firm is planning to introduce a new
product known as “Bubble Tea” in the markets of New Zealand. Bubble tea is a famous non-
alcoholic drink of Taiwan and Hong-Kong. It contains fruit flavours and chewing balls and is
being accepted by many people all across the world. As a marketing manager of Starbucks,
the main task is to create a marketing plan for the firm for this new product and analyse
present environmental factors and situations in New Zealand.
In addition to this, the report will also throw light on segmentation, targeting and
positioning strategies of the new product. Furthermore, marketing mix tools that the firm will
use to market the product will be evaluated effectively. The bubble tea will be a premium tea
in the market of New Zealand which will offer a high-quality product with extraordinary
services to their customers. Additionally, the store environment will also be outstanding,
which will help in a fascinating large number of customers. The marketing plan will also state
measurable marketing objectives and will suggest the design of the product, pricing,
promotion and distribution of Bubble Tea. The promotion will include an outdoor display,
internet advertisement, sampling, free coupons and signs. The final part of the research report
will throw light toward coordination as well as control of the marketing plan.
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Situational Analysis
Market size
Focusing in relation to the market size for the bubble tea, it is a new market in the
western nations. In New Zealand, most of the people prefer to have traditional English tea
and thus, will have a decent market base for the beverages which are based on tea. In addition
to this, the population of New Zealand is below two times of London’s population. Taking
into account the sales of Bubble tea in London, it is around £4.5 million in the year 2013
(Davids & Newcomb, 2010). Therefore, the market size of bubble tea in New Zealand will be
around $2 million every year. These figures are quite decent for Starbucks which has done a
sale of NZD26.5 million in the previous year. Considering the sales figure for the last of the
company, it can be assumed that the average spending per person will be around NZ$8. In
addition to this, the firm also accommodates more than 2 million customers in each passing
year. However, it is not obvious that all these 3 million customers will purchase this new
product, this customer base will still offer a market potential for Starbucks for promoting its
new product in the market of New Zealand (Snyder, 2016).
Market needs and trends
In recent decades, there has been a trend within the drinking industry that people in
western nations are very open in nature and started liking tea-based drinks. In most of the
supermarkets and shops in New Zealand, products such as Lipton Iced teas, ready to drink tea
products, iced tea etc. are readily available (Jain, 2013). Because of the fast development of
Lipton in the markets, bubble tea gets the advantage of unlocking the preconceived notions in
regards to the tea. People in the nation are accepting new products which are based on tea like
bubble tea. They are even aware of the benefits of drinking tea such as it helps in reducing
the chances of heart attacks and cancers. However, people in the present age are more
concerned about their health and just prefer to have healthy drinks. Starbucks has recognized
this trend and thus, decided to offer the most popular drinks of Taiwan and Hong Kong
(Kang et al, 2012).
Analysis of the competitors
The main competitors of the company's new product are the bubble tea shops in the
market of New Zealand. Most of these shops are being located in the Asian as well as
Chinese restaurants. Further, they are quite popular among the bubble tea lovers and Asians
and this is their major advantage. Moreover, the prices of these tea shops are very low and
many other Asian cuisines are also being served to the customers (Lee & 2016). The other
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