Principles of Marketing: Marketing Planning, Segmentation, and Targeting for a New Soft Drink Product

This report covers the principles of marketing and how they apply to a new soft drink product. It includes components of the marketing planning process, PESTEL analysis, micro-environmental factors, and the importance of adopting a marketing orientation. The report also covers segmentation and targeting methods for B2B and B2C markets, including demographics, benefits, behavioral, and lifestyle characteristics.

Principles Of Marketing

Table of Content.
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Marketing planning process components and the marketing of new soft drink product...........1
Importance of adopting a marketing orientation..........................................................................3
PESTEL analysis for the new soft drink and highlighting the relevant micro environmental
factors such as dominant competitors in the industry..................................................................3
Micro-Environmental factors.......................................................................................................4
Importance of 7Ps model for effective marketing planning .......................................................4
SECTION – 2 .................................................................................................................................5
Elaborate segmentation for new soft drink for B2B and B2C market and it's.............................5
differentiation...............................................................................................................................5
Targeting methods that could be used for the B2C market including demographics, benefit,
behavioural and lifestyle..............................................................................................................6
Targeting consumers Characteristics ..........................................................................................6
Discuss the meaning of positioning and explain who this new soft drink has made it's position
in the mind of customers..............................................................................................................7
SECTION-3.....................................................................................................................................8
Analysis Of Marketing Mix.......................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
An idea of marketing which is followed by the businesses for developing the marketing
strategies are termed as principles of marketing. The principles of marketing are separated into
four major or three minor class. In 1940s, the 4p concept was developed and in early 1980s the
7p concept was introduced. This project report is prepared in the context of soft drink. It is a
drink which usually contain water, sucrose as well as natural or artificial flavouring agents. The
scenario are given, which discussed that the customer are paying more attention towards the
intake of healthy products. The company decided to launched the healthy soft drinks in order to
grab this opportunity. 'health plus drink' is the name of a soft drinks suggested by the company.
This health plus soft drinks is made of 100% fruit extracts or juice along with zero addition of
sugar. As honey is the healthier substitute of sugar. So, the company use honey as a substitute of
sugar while preparing the soft drinks. This project report including the component of marketing
planning process. The project also include the PESTEL analysis or competitor analysis of new
soft drinks. Apart from this, segmentation of new drink on behalf of B2B and B2C market is
explained in the project. Along with that the STP and marketing mix analysis is also explained.
MAIN BODY
Marketing planning process components and the marketing of new soft drink product
The marketing planning process is a method for developing the objectives, planning some
strategies as well as have implementation in the businesses. In order to attract the more customer
for gaining more profit its main focus is to identify the customer need and wants.
Some components of marketing planning process are mentioned below:
 Marketing research- It is the first as well as the most important components of the
marketing planning process. This process is used to identify the requirement of the
market, to know the current situation of the market as well as the future trends of the
market. The company perform this research with the help of its research and development
team (Kuehnl, Jozic and Homburg., 2019).
 Target market- This is also the important component of the marketing planning
process. This process identify that whom the products are to be sold. As per customer
taste and preferences, the whole population are divided into different segment.
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 Product- The company which introduced the product in the market. It should be related
with the market trends as well as among the customer, it should have some value. The
company launched their products according to the current marketing trends.
 Competition- The company should focus while making the products that it have some
uniqueness. As the substitute of each and every products in the market are easily
available. The company continuously involve in the conceptualising the products
(Watson and et.al., 2018).
 Mission Statement- The objectives of the company achieved by a path is a mission. In
this statement the company has its objectives towards selling the products such as whom
they want to sell while providing the uniqueness in products.
 Market Strategies- The companies has to build some strategies in front of customers for
selling the products. As producing the products is not enough they need to promote the
products for selling out the product. The publicity can be done through various different
channels of promotion. The company used various marketing strategies for selling the
products are direct marketing, advertisement, social media marketing as well as many
other strategies.
 Pricing- The products price is to be set in such an order so that it can be fair for both the
customer or for the companies. The company divided the products in such a range so that
it can be affordable to every individuals.
 Budget- The company should have to decide some budget limit while investing. They
have to select their preferences such as they want to prefer in house sourcing or they want
to prefer out house sourcing (Konkina and Martynushkin., 2020).
 Marketing Goals- The company have to decide their goal at initial phase. So, in order to
achieve such goal the organisation work hard. The businesses goal of soft drink is that
they can provide the soft drink at affordable price to the consumer of all over the world.
 Evaluation of result- It should be necessary to monitor the products, machine, or many
other things by higher level authorities to check either they are on correct path or not,
after the implementation of the strategies. For evaluation, the company used different
tools or techniques.
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Importance of adopting a marketing orientation
 Revenue generation- Before manufacturing of the products, the marketing orientation
identify the need of the customer for generating the revenue or growth for the company.
Consumer prefer only that products which is useful for them.
 Increasing market share- when the products are the first choice of customer or useful
for customer. Then large amount of consumer foundation will developed. From that, the
market share for the company will also grow simultaneously.
 Brand loyalty- The marketing orientation aim to focus on customer need or their
satisfaction. When customer need or satisfaction is fulfil by the company. It results in
promoting the products or increasing the brand loyalty (Hanson and Yuan., 2018).
PESTEL analysis for the new soft drink and highlighting the relevant micro environmental
factors such as dominant competitors in the industry
The key factor which affect the operations of the establishment internally as well as
externally is the PESTEL analysis. The PESTLE analysis for new soft drinks are mention below:
 Political factor- The products which are injurious to health are strictly prohibited from
selling that product in the countries. The government of the countries has taken some
initiatives in order to control those companies products which are injurious to health.
 Economic factor- The economic factor are the factor which are directly connected with
the economy. The economic stability is important for growth of the company.
 Social factor- An organisation examine that the people are focusing towards the healthier
products. So, they made a decision of making the new products which are affordable as
well as healthier. The company introduce a new soft drink which has zero percent sugar
content (Lee and et.al., 2018).
 Technological Factor- In order to attain competitive advantage, the company use
different tool and technique to increase the efficacy as well as the efficiency.
 Environment factor- The soft drink company uses different techniques or strategies in
order to protect the environment. They use many different methods such as waste
disposal strategies for saving the environment.
 Legal factor- There are many health and safety laws which are associated with products
are governed by the legislative body. The soft drinks company should obey the rule and
regulation which are made by the legislative bodies.
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Micro-Environmental factors
 Competitor- The soft drinks company have many competitors. There are large number
of substitute are available in the market. In order to get competitor advantage, the
company should have to add some uniqueness in its products. The soft drink company
should use honey instead of sugar for sweetness (Vogt., 2020)(Li., 2018).
 Suppliers- The supply chain of the soft drink company is very wide or broad. The soft
drink company supply the soft drinks all over the world.
Importance of 7Ps model for effective marketing planning
 development of new product- from the market orientation, the get to know the current
trend of marketing. So that, they can start the development of new products according to
the customer new or the new marketing trends. In order to grab the attention of the
customers.
 Differentiation- when the companies came to know about its consumers are using the
marketing mix strategies. They can examine the products as well as can make the
differences in their products. This can help the company from competitive advantage
along with the growth of the company.
 Business improvement- In improving the working efficacy the establishment get help
from both the process or the people. As the weakness of the organisation is easy to
recognised as well as necessary to improve (Kooduvalli and et.al., 2019).
 Product portfolio development- The marketing mix strategies helps in examine the
products which are necessary for the organisation growth as well as in increasing the
liability of the company. The product which are generating the revenue for company will
be more focused. Where as the product which are generating the loss for the company
will be closed permanently or its production will be in less amount.
SECTION – 2
Elaborate segmentation for new soft drink for B2B and B2C market and it's
differentiation.
According to the homogeneity, the market place is divided into various groups are termed
as segmentation.
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Business to customer (B2C)- The commercial activity in which the establishment sells
their products directly to the customers are said to be business to customer.
Business to Business (B2B)- Business to business refers the transaction which are related
to sale and purchase done between the one business unit with the other business unit (Takwi.,
2020).
Basis Business to Business (B2B) Business to Consumer (B2C)
Sales The soft drinks company sell
its products in a bulk to
business units. Here the
customers are the mediators
not the end users. They further
made the sales to end users.
In this the company directly
sell the products to the
customers. Therefore the
products sell is low. As it
depends on the consumers
quantity.
Time period The soft drinks company have
contract with the other
business units. This indicates
that either business unit is able
to sale the products along with
that they do not have to pay
the full amount to the soft
drink company till the contract
get over. Whereas the contract
is usually done for the longer
period of time (Mariyudi.,
2019).
In this the customer do not
make any kind of contract with
the retailer. Customer directly
purchase when they want. Also
the time period of the
transaction is for very short
time from the retailer to the
customers.
Price The products price is very low
for the businesses. In the
businesses, products purchases
in bulk so the price charge for
businesses is low.
In this, the price from the
customer is high because they
purchase in small quantity
(Pan, Yu and Liang., 2021).
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Targeting methods that could be used for the B2C market including demographics, benefit,
behavioural and lifestyle.
The identification of potential needs of the customers for the businesses to whom the
goods or services can be sold are termed as targeting. There are mainly three ways form which
the soft drink company reach out to maximum customers are mentioned below:
 Profitability- Products is produce according to the needs of the customers. For that the
company should have to focus on the customers needs and satisfaction. When the
products are according to the customers needs then they will ready to spent some extra
money on the products. From this the company make a lot of money or a profit. The
company identified that the customer are paying more attention towards the healthy diet
or health. So, they decided to launch the soft drink which has zero percent sugar content
in the drinks and also target the younger customers.
 Size- The company should have to over view the market size. The company should have
recognised the people, as how many of them are looking for the products. Along with that
whom are interested in consumption of products. The company identify the consumer
who are interested in purchasing of soft drinks (Vernuccio and et.al., 2022).
 Reachability- As per taste or preferences it is not possible for the company to reach out
every customer. The company categories the people in different group. Then they target
the people who are interested in their products to reach out the maximum number of
people.
Targeting consumers Characteristics
 Lifestyle- According to the living standards and their income the customers are divided.
The company target the customers for their products such as soft drinks who have high
standards of living as well as interested to spent some amount of their income on soft
drinks.
 Benefits- The consumer who are interested in new soft drinks are health conscious. They
are ready to pay some extra money on new soft drinks when they want to stay healthy.
Hence, company charges high prices on such products. The profit margin is also very
high on such products (Chinelato and et.al., 2021).
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 Demographics- The customers are categories on the basis of their age, gender, location,
education as well as occupation. The company made soft drinks divided its customer on
the basis of age or location.
 Behavioural- As per perception, the customer are categories or grouped. For example, as
what they are looking in products or what they prefer. The company identified that the
customers are looking for healthy products. Hence, the company made the 'Health plus
drink”.
Discuss the meaning of positioning and explain who this new soft drink has made it's position in
the mind of customers.
In the customer mind, building the image of the brand are refer to as positioning.
Positioning is the ending stage of STP model. The process which is followed by the company in
order to build the image in the customers mind are given below:
 Customer identification- The first or the important step to set the image of the products
in customers mind is that to recognised the needs and satisfaction of the consumers.
According to the need the company made the products for customers. The company
recognised that customers need healthy products. So, company launch new soft drinks as
a substitute of healthy drinks.
 Competitor evaluation- As the competitors is already in the segment or not is important
to recognised by the company. When the competitor is not in the segment line then it
create an opportunity for the company. Along with that the company add some
uniqueness in the products before selling. The company recognised that the other
company are not in the line of health plus drink, so it create an opportunity for them.
 Customer evaluation- It is important to examine the buying pattern as well as behaviour
of the customer. Analysing the factor which the customer looks earlier while buying the
products. The company has examined that healthy products is the need for customers, as
customers are interested towards the health products (Hult and Kelly-Holmes., 2019).
 Establishing place- The company deliver its message about the new products by using the
media. The company use different mode of media for promoting their products to
establishing its place in the market. The media used by the company are advertisement,
social marketing, direct marketing.
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 Observing Place or position- The over all process which is performed by the company
for manufacturing, delivering etc. of the products are need to be monitored at each step as
the work is done properly or not. When any kind of lackness is recovered then within the
time the action is taken against in order to correct it. For observing the place of the
company, they check or regularise at evey step of working such as sale indicators,
observing tools or techniques.
SECTION-3
Analysis Of Marketing Mix
Soft drink production
Product The things which can be touched, feel or can
be concrete are said to be product. The new
product which are launch by the company is
'health plus drink'. This 'health plus drink' is a
soft drink which is prepared by the extract of
real fruit juice with non added sugar. The
honey is used as a substitute of sugar.
Place The area where the products are ready to sell is
considered as place. The company selling the
soft drinks to various places such as stores,
mall, theatre or in small venture. From this, the
company approaches a venture and made to
sell the products. In order to sell the company
use both direct or indirect media for selling
their products such as also use online media for
selling the products (Pheunpha., 2021).
Price The rate at which the company ready to selling
out their products in the market are termed as
price. The products price is depend or included
the total cost of the products. From raw
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material to the final manufacturing along with
packaging cost, excise duty etc. the company
include all the charges before selling out in the
market. The company divided there products
price in different categories. For example, the
higher price for high income people or lower
price product for low income people. The
company set a two price of a product. The
basic price products for middle class people or
premium price products for high class people.
Promotion Promotion helps in promoting the product. It
create the positive image in the mind of the
people or the customer. The company use
different strategies for promoting their soft
drinks. The company avail the different offer to
the customer who are buying the product
online. The company also give them a reward
point as a motive to attract the customer to
purchase the product in next time.
People The manpower who are working on the
establishment are the representative of the
company are said to be people. People are the
important asset of the company.
Physical evidence The infrastructure as well as the physical
appearance of the company is the physical
evidence of the company.
Process The way in which the company complete its
work are said to be process. The company the
soft drinks in very favourable way.
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CONCLUSION
From the above discussed project, it is concluded that the principles of marketing will be
helpful in recognising the needs and satisfaction of the consumers. The project also concluded
that the marketing plan can be helpful in deciding or making the strategies in advance. There is
also a conclusion about the PESTLE analysis that it is helps in finding the factor which are
affecting the work of the company. The factor may be externally or micro environment factors
such as competitor or suppliers. The project report also concluded about the 7p's of marketing
mix model. With the help of marketing mix model the company understand the purchasing
pattern of the consumers. From the help of STP model, the company can categories the
customers.
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