Marketing and Digital Communications - Assignment

This report is the continuation of first assessment that analyzed the external and internal environment of Nexba Beverages. Example to understand External and Internal Environment of any Organsiation. Strategic Marketing Plan of Nexba Beverage Marketing and communication strategies play a significant part in the growth and success of an organization.

Running Head: MARKETING AND DIGITAL COMMUNICATIONS 1
Marketing Management & Digital
Communications: Nexba Beverages

MARKETING AND DIGITAL COMMUNICATIONS 2
Executive Summary
This report is the continuation of first assessment that analyzed the external and internal
environment of Nexba Beverages. Nexba Beverages has been identified as one of the beverage
companies in Australia that provides international sugar free brand. The major objective of this
part is to prepare a marketing plan for Nexba Beverages. Marketing and communication
strategies play a significant part in the growth and success of an organization. So, it is very
important to manage all the marketing activities effectively. Nexba aims to expand its business
operations all over the world. The below report includes different marketing aspects in context of
Nexba Beverages which the organization can use to grow its business across the world. These
marketing concepts are like market segmentation, targeting, positioning statement, marketing
and financial objectives and marketing mix strategies. The given marketing mix strategies will
assist the organization to enhance its brand awareness among targeted customers. By considering
these strategies and marketing aspects, Nexba will be able to generate significant revenues and
profits in global food and beverage industry.

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Table of Contents
Introduction.................................................................................................................................................4
Situational Analysis Recap..........................................................................................................................4
Segmentation, targeting and positioning approach (STP)............................................................................4
Segmentation...........................................................................................................................................5
Targeting.....................................................................................................................................................6
Positioning Approach..............................................................................................................................6
Marketing Objectives..................................................................................................................................6
Financial Objectives....................................................................................................................................7
Formulation of a detailed marketing mix strategy.......................................................................................7
Budget allocation for promotion mix...........................................................................................................9
Conclusion...................................................................................................................................................9
References.................................................................................................................................................11

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Introduction
In assessment 1, after conducting situational analysis for Nexba Beverages, this report will be
preparing a marketing plan for its chosen products and services. Marketing plan is a significant
document of the organization that assists it in promoting its products and services in the
marketplace. It includes different marketing aspects of an organization (Kotler, 2015). The major
objective of this report is to develop a marketing plan for Nexba Beverages that has introduced
its product line of naturally sugar free soft drinks in Australia. There is the discussion about
different marketing aspects in context of Nexba Beverages.
These marketing aspects are such as segmentation, targeting and positioning statement,
marketing and financial objectives and marketing mix strategy and budget allocation for
promotional mix. The company has become very popular primarily due to healthy ingredients
which are used in its beverages. Through its business operations, the organization aims to fight
against different kind of sugar. Due to this, the mission of Nexba Beverages is to become fastest
growing global natural and sugar free brand in beverage industry. By introducing these
innovative products, it aims to change people’s lives.
Situational Analysis Recap
The situational analysis of Nexba Beverages shows that the organization has a favorable business
environment in Australia. There are various factors which are in the favor of organization like
changing needs and interests of people towards their health. In today’s modern environment,
people are becoming very conscious towards their health and they prefer to live healthy lifestyle.
The sugar free drinks of Nexba can drive the demand away from other carbonated drinks (Evans,
2017). Economy of the country is very stable and strong that is beneficial for the business of
Nexba. This analysis stated that wellness and fitness in the food and beverages sector is growing
continuously and no player is offering sugar free drinks. Considering this situational analysis, it
can be said that this company can grow its business as a leading player in Australian beverage
industry (Guthrie, Cuganesan & Ward, 2008).

MARKETING AND DIGITAL COMMUNICATIONS 5
Segmentation, targeting and positioning approach (STP)
When a company plans to bring its new products and services into marketplace, it needs to
identify its targeted customers and develop an attractive positioning statement so that it can grab
the attention of a large population. Nexba Beverages is targeting its potential customer by
analyzing the needs and wants of customers. The STP approach for Nexba Beverages is stated
below:
Segmentation
In the year 2010, Troy Douglas and Drew Bilbe aim to transform people’s lives by offering
natural and sugar-free beverages which assist them make better lifestyle choices. Nexba
Beverages is segmenting its customers by considering different characteristics like demographic,
psychographic and behavioral characteristics. The market segmentation for Nexba Beverages is
given below:
Demographic Characteristics
Under demographic segmentation, Nexba Beverages targets the customers on the basis of their
age and income. It considers the people from the age group of 20 to 55 years old who prefer to
take the healthy drinks. It is offering the drinks on modest price that is affordable for both lower
and medium income level people. It is one of the most popular bases of Nexba Company for
differentiating their customers (Davis, Lockwood, Alcott & Pantelidis, 2018).
Psychographic Characteristics
By considering the psychographic characteristics, Nexba targets the people who love to live a
healthy life style. Moreover, it segments the market their consciousness towards health.
Increasing interest and concern towards health is pushing the customers from sugar towards
sugar-free alternatives.
Behavioral Characteristics
Under behavioral segmentation, the organization offers the products by aiming the customers
who are suffering from different health issues like obesity, type 2 Diabetes and cardiovascular
disease. In Australia, this target segment is looking for the natural alterative which reduces the

MARKETING AND DIGITAL COMMUNICATIONS 6
sugar consumption and avoids the harmful ingredients like artificial sweeteners and high fructose
corn syrup (Young, 2014).
Targeting
Considering the above market segmentation characteristics, Nexba Beverages focuses on the
health and fitness needs of customers. The target market for Nexba’s sugar free drink is the
health conscious people and youth in the segmented market. The company offers this sugar free
beverage for the people who are suffering from different health issues like diabetes, obesity,
tooth decay and cardiovascular diseases. The marketing efforts of the company are totally
focused on its target market.
Positioning Approach
To position itself among targeted audiences, Nexba Beverages adopts an effective and attractive
statement that assists the organization to grab the attention of customers (Rosenbaum-Elliott,
Percy & Pervan, 2015). It is adopting the attribute positioning to promote its products. These
attributes are such as quality, taste, prices, healthy etc. The sugar-free drink is intended to be
positioned as “the only drink with the natural and sugar free ingredients”. It places itself as “the
product with no artificial sweetener and harmful ingredients”. The firm is proposed to give its
sugar free drink an edge over other carbonated drinks in terms of health in customers’ minds
(Harris, 2016).
Marketing Objectives
To bring its sugar-free drinks to the marketplace, the company establishes some marketing
objectives which it wants to achieve in the time frame of next three years (Percy, 2014). As the
sugar-free drink by Nexba beverages is new product in the market, so the company will decide
the marketing objectives accordingly. For this product, marketing objectives of Nexba are given
below:
 To increase the customer awareness towards healthy and sugar-free drinks.
 To attract more population to Nexba’s products by establishing a strong brand image in
global food and beverage industry.

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 To provide 100% customer satisfaction to the customers who need sugar-free drinks
(Mayer, Melitz & Ottaviano, 2014).
The marketing objectives of Nexba can be explained by using SMART objective framework.
The objectives established by the company are specific and related to its operations and future
growth (Lee, Kozlenkova & Palmatier, 2015). These objectives are realistic and company has
enough capabilities to attain these objectives. Nexba can measure the objectives considering the
number of customers increased, sales of sugar-free drink and consumption of drink among
targeted audiences. Nexba will be offering the drink with healthy and quality ingredients.
Financial Objectives
Apart from marketing objectives, Nexba Beverages will establish some financial objectives
which will help the company to attain its overall goals (Yadav, Joshi & Rahman, 2015). These
objectives can be measured in monetary terms. Financial objectives of Nexba Beverages are
mentioned below:
 Under this marketing plan, the company aims to increase its market share by 15% in the
timeframe of next three years. Through this, it wants to maximize the share owner value
over the time.
 Nexba Beverages aims to maximize its long-term cash flow so that it can gain sustainable
financial growth in coming years.
 The organization seeks to increase its sales by 15% and gain sustainable competitive
advantage over well-established competitors in food and beverage industry (Mytton,
Clarke & Rayner, 2012).
Formulation of a detailed marketing mix strategy
In order to attain the above marketing and financial objectives, Nexba Beverages should
formulate and implement effective marketing strategies by targeting appropriate customer group
(Nexba, 2018). It can develop the marketing strategies under marketing mix framework that is
given below:
Product

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Product is one of the most important parts of marketing mix that will help the company to
resolve the problem statement given in first statement. Nexba Beverages has been identified to
become one of the most popular beverage organizations in Australia, offering sugar-free brand. It
is a fresh and young brand engaging Australians to live a healthier lifestyle with natural products
and low calorie (Hanssens, Pauwels, Srinivasan, Vanhuele & Yildirim, 2014). The major
products of the company are such as soft drinks, Real Ice Tea, Sparkling Infusion, Flavored
Sparkling Water etc. In the future, the company should increase its product range by including
new products. The products should be sold in different sizes and packages which can attract
more customers towards Nexba’s products.
Price
Pricing strategy has a vital role in the marketing process of an organization. As the company is
offering a wide variety of products, the pricing is done on the basis of demographic and market
segment. Currently, the company is offering its sugar free drinks on $3.50 that is affordable for
all income level groups. In the future, Nexba should set its prices considering the pricing strategy
of well-established competitors like Dr Pepper Snapple Group. It should provide the discounted
offers to the customers and offer the discounts on the bulk purchases by even bundling the
products (Hristov & Reynolds, 2015).
Place
Recently, Nexba Beverages is offering its products and services into Australian cities. It is one of
the fastest growing beverage companies in the convenience and petrol markets (Ryan, 2016).
Still, the company does not have more popularity in the beverage industry. The people can
purchase the products from popular super markets like Coles and Woolworths. Considering the
competition in sector, it should establish a wider distribution network so that it can deliver its
products to a larger population. Likewise Coca-Cola, it should follow the FMCG distribution
pattern. It can enhance distribution network by delivering the products to rural areas also.
Opening more stores can assist the organization to increase its sales in different locations (Kumar
& Patra, 2017).
Promotion

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Promotion strategy is the most significant strategy under marketing mix framework. Nexba
Beverages should focus on this strategy so that it can enhance its brand presence worldwide. The
company should adopt different promotional and advertising strategies to create an enhanced
demand in the market by relating with the behavior and life style. The company should make
huge investment on marketing and advertising process (Godey, et al, 2016). The company should
use different modes of advertising like social media, print media and Television ads. It should
post the advertisement on social media platforms like Facebook, Twitter, Youtube etc. To
promote its products, the company should specify its healthy and quality ingredients so that it
can entice diabetic and health conscious people. In today’s modern environment, people are very
concerned towards environment and natural resources. So Nexba Beverages should engage in
different corporate social responsibility (CSR) activities to assist the social and environmental
issues all over the world (Camilleri, 2018).
Budget allocation for promotion mix
To implement its promotion strategy, Nexba Beverages will formulate a budget that will include
all the spending on promotional mix elements. Budget will be prepared considering the above-
mentioned objectives. The organization has projected that it will spend $100000 on promotional
mix elements. The budget shows that figure is allocated for different modes of promotion
(Karjaluoto, Mustonen & Ulkuniemi, 2015). This budget will enable the organization to attain its
marketing and financial objectives i.e. to increase its customer base. The budget allocation for
promotional mix is given below:
Promotional Mix Budget
Promotional mix elements Amount
Social Media Marketing
1. Facebook $6,000
2. Twitter $7,000
3. Google $9,000
4. Youtube $7,000
Total Social Media $29,000
Direct Marketing
E-mail Marketing $6,000
Internet Marketing $13,000

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SEO Marketing $3,000
Total 22,000
Print Media $9,000
Others
Television ads $10,000
CSR activities $15,000
Total $25,000
Events and Sponsorships $15,000
Total Required Budget for Promotion $100,000
Conclusion
From the above analysis, it can be concluded that marketing and digital communications play an
important role in the growth of an organization. It is very important for the organization that it
focuses on its marketing and promotional strategies. Nexba Beverages is a soft-drink brand in
Australia that started to offer sugar-free drink targeting the health conscious people. To enhance
its brand presence, Nexba Beverage needs to adopt effective tactics and strategies. It will help
the company to increase its customer base worldwide. The above analysis shows that company is
facing intense competition from Dr Pepper Snapple Group. By implementing new strategies,
Nexba will be able to attain more competitive advantage against other competitors. It should
expand its product range by including more healthy drinks and other beverages. It can be found
that this organization can achieve its marketing and financial objectives with the implementation
of this marketing plan.

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Routledge.
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http://www.afr.com/business/health/antisugar-drinks-firm-nexba-rides-woolworths-wave-
20170830-gy7okz.
Godey, B., Manthiou, A., Pederzoli, D., Rokka, J., Aiello, G., Donvito, R., & Singh, R. (2016).
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