Strategic Marketing Report: Farsons' Diet Kinnie Soft Drinks Analysis

This report provides a comprehensive strategic marketing analysis of Simonds Farsons Cisk, focusing on its Diet Kinnie soft drink. It begins with an executive summary and introduction to Farsons, highlighting its role in the Maltese food and beverage market. The report explores the role and processes of strategic marketing within Farsons, emphasizing the importance of identifying strengths, weaknesses, opportunities, and threats through SWOT and PESTEL analyses. It examines the linkage between strategic marketing and corporate strategy, including the use of the Ansoff Matrix, and evaluates various marketing tactics. The report incorporates tools like perceptual mapping and the BCG matrix to analyze product positioning and market growth opportunities. It discusses the impact of the external environment on marketing strategy, identifies internal strengths and weaknesses, and proposes strategic responses to key emerging themes. The analysis covers market penetration strategies, the importance of brand positioning, and the merits of relationship marketing. The conclusion summarizes the findings, emphasizing how Farsons can optimize its marketing strategies to maintain competitiveness in the market.

Running head: MARKETING MANAGEMENT
Marketing Management
Name of the Student
Name of the University
Author note

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Executive Summary
The report has been able to analyse the different kinds of strategies which can be
implemented by the Farsons Company in the competitive business environment. It has been
noticed that the company has been capable of analysing the different strengths, weaknesses,
opportunities and threats which needs to be improved with the help of the SWOT and
PESTEL analysis. The BCG matrix helped in understanding the position of the different
products in different departments and it helped in improving their efficiency to a large extent.
Moreover, the marketing mix has been capable of analysing the position of the product in the
competitive business environment.

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Table of Contents
Introduction................................................................................................................................3
1.1 Role of Strategic Marketing in Farsons...............................................................................3
1.2 Processes Involved in Strategic Marketing..........................................................................4
1.3 Analysis of Linkage Between Strategic Marketing and Corporate Strategy.......................6
2.1 Analysis of Tools Used for Development of Strategic Marketing Aspect...........................7
2.2 Analysis of Linkage Between Strategic Positioning and Marketing Tactics.......................9
2.3 Analysis of Merits of Relationship Marketing in Strategic Marketing Strategy.................9
3.1 Analysis of Marketing Techniques for Ascertaining Growth Opportunities in Market....10
3.2 Utilisation of Marketing Strategy Options in Market........................................................11
3.3 Creation of Appropriate Strategic Marketing Objectives for Market................................12
4.1 Impact of Changes in External Environment on Marketing Strategy................................13
4.2 Internal Analysis for Identifying Strengths and Weaknesses in Marketing Strategy........15
4.3 Proposing of Strategic Marketing Responses to Key Emerging Themes in Marketing
Strategy....................................................................................................................................17
Conclusion................................................................................................................................17
References................................................................................................................................19

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Introduction
The report throws light in analysing the strategic management analysis of Simonds
Farsons Cisk which is commonly known as Farsons. The company is commonly known as
Maltese food and beverage company conglomerate present in Malta. The company is
headquartered at Birkirkara, Malta and it was incorporated in the year 1928. The areas which
are served by the company is Malta and the company has been focusing mainly on brewing,
selling and production of the different soft drinks along with beer and other food items which
are liked by the different customers present in Malta.
The main products which are sold by Farsons Malta include the different kinds of
alcoholic and non-alcoholic drinks and other food items such as sauces and condiments along
with cereals and snacks which help them in attracting customers. The product which will be
showcased in the respective report is Diet Kinnie Soft Drinks which is one such product that
is sugar free and especially prepared for the ones who are health conscious, yet prefer to
consume soft drinks. It is the zero-calorie variant of Kinnie and it is Malt’s own favourite soft
drink as well (Farsons.com 2020). Diet Kinnie has now become the integral part of the
Kinnie Portfolio and the sales have increased to a large extent in the last few years as the
customers are preferring such food items more than the regular soft drinks which are high in
calorie.
1.1 Role of Strategic Marketing in Farsons
As commented by Wahab et al. (2016), strategic marketing is helpful in proper
identification of the different strengths of the company that will be assisting them in
differentiating themselves from the other competitor companies that are present. The strategic
marketing plays a crucial role in the company as it will be assisting the company in achieving

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goals through utilising the different scarce resources in an efficient manner. In case of
Farsons, the company has been capable of introducing the zero calorie soft drinks which has
been the main attraction among the young generation who are working and college goers
especially, the ones who are conscious regarding their health and wants to consume food and
drinks which are tasty and healthy as well (Vilkey and Dehbid 2016).
1.2 Processes Involved in Strategic Marketing
As opined by Trivedi (2018), the process involved in strategic marketing includes the
following steps which will be effective in generating positive impact on the entire business
which are described as:
Planning the mission, objectives and vision is the first process that involved in
strategic marketing as the managers along with other stakeholders of the company needs to
define the same that will be propelling the strategic marketing. The objectives need to be
analyzed on SMART approach that enhances the appropriateness of the goals which needs to
be developed and achieved by the company successfully (Trigeorgis and Reuer 2017).
Secondly, analysis of the positioning in the industry is the other approach which needs
to be implemented by the companies through the help of SWOT analysis for understanding
the external opportunities and threats and internal strengths and weaknesses. In addition,
brand positioning, segmentation and targeting needs to be analyzed for establishing
memorable impression on different customers (Thieu et al. 2017).
Establishment of the marketing tactics is the other aspect which needs to be
implemented by the companies for generating a strong view on the marketing mix for
creating the strong brand image in the market (Tengeh and Nkem 2017).

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Putting the entire process in the work is the other element which needs to be
implemented forb development of schedules and executing process which will be capable of
gaining competitiveness (Soosay et al., 2016).
Lastly, evaluation and modification are the aspects which will be capable of critically
executing the SMART planning techniques in a successful manner.
In case of Farsons, the company is successfully in following their mission and vision
which includes the fact that “they want to create and nurture the world class brands which
will be inspiring the loyalty and trust among the different customers”. Moreover, the
company is aiming to employ more trained employees who have the capability to deliver the
quality as well as sustainable driven operations in the market successfully without much
issues (Reinecke 2016).
The company has been working towards their vision and it was effective for them in
managing their performance in a positive manner successfully. Additionally, Farsons is
working on the mission on a daily basis through achieving exceptional standards of
experience in introducing more such drinks and attract large group of customers through
focusing on the individual and collective efforts (Read and Sanderford 2016). The objectives
of Farsons is to act as the dedicated food and beverage partner wherein they are capable of
achieving and providing customers with myriad opportunities on offer, which includes both
taste and health fitness (Prajogo 2016).
In case of Farsons, the company has been able to work towards their mission and
vision and through understanding the needs and preferences of customers thoroughly.
Through the SWOT analysis, the company has been able to generate the low-cost airline
facilities to the customers through providing competent services.

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Figure 1: Perceptual Mapping of Farsons Organic Soft Drinks
(Source: Created by author)
From the perceptual mapping of the Farsons Organic Soft Drinks, it can be analyzed
that the different customers are preferring to consume the organic drink as they are less in
calorie and it will be improving the growth prospects of the company successfully. Farsons
Organic Soft Drinks are capable of developing the low aerated as well as less artificial soft
drinks which will be playing a vital role in managing the effectiveness of the company
successfully as the health-conscious customers are preferring to consume the healthiest as
well as tasty soft drinks which will be meeting their taste and preferences.
1.3 Analysis of Linkage among Strategic Marketing as well as Corporate Strategy
As opined by Postavaru et al. (2019), the corporate strategy is considered to be the car
engine of company and it helps in driving the business towards the long-term goals of the
company successfully. The company is mainly diversified when they are able to provide the

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customers with different kinds of products and services. The corporate mission of Farsons is
described as follows:
 Sourcing of the products and making soft drinks and food items which are zero in
calorie (Pomering 2017)
 Using of the sugar free substitutes in the different drinks and food which are produced
by them
 Not to spend in a heavy manner on advertising and the ones which are advertised are
ethically sourced in nature as well
Moreover, in order to generate the effective in the corporate strategy in the strategic
marketing planning, the company has been capable of developing different marketing
schemes which are as follows:
Bulk-Purchasing is one of the aspects which can be used by Farsons as producing
and delivering the food and soft drinks in large quantity will be cost effective and the
suppliers working with Farsons will be happy for working with Farsons in maintaining strong
relationship with the customers.
Low in Budget as well as Effective is the other aspect which can be used by Farsons
which will be efficient in advertising the products and the minimal amount of money will be
spent in the respective manner (Pogorelova et al. 2016).
2.1 Analysis of Tools Used for Development of Strategic Marketing Aspect
With the help of Ansoff Matrix, the marketing strategies of the companies can be
analyzed which will be impacting the performance in a possible manner. The four major
elements of the Ansoff Matrix include:
 Diversification

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 Product Penetration
 Market Penetration
 Product Development
In case of Farsons Soft Drinks Company, they follow the market penetration strategy
for developing their growth in the business prospects. The market penetration is assisting the
company and the respective soft drinks in increasing their market share in the existing
customer base. The same can be achieved by the company through selling the same organic
products in the existing market and it will be helpful for them in attracting the different
customers (Mišič and Podnar 2017).
Farsons Company firstly developed their first juice category in the year 1938 and in
the last few years, the organization has been constantly introducing various other series of the
soft drinks to the customers and attracting them. In such scenario, the organic Kinnie Organic
Soft Drinks and the most dominant kind of users are mainly from Malta. In addition, the
company has been capable of expanding their business in parts of The United States of
America, Australia and other emerging countries (Liu et al. 2017). However, as the soft
drinks market is highly dominating, therefore, the respective company is unable to attract the
large portion of market in different parts of other countries and it impacted their sales and
revenues to a large extent.
In the current scenario, the Farsons Company is trying to add in the different features
such as the adding the sugar free substitutes that will be beneficial for gaining the strong
market share and generate revenues for the company successfully.
2.2 Analysis of Linkage Between Strategic Positioning and Marketing Tactics
In the different kinds of business scenario, the proper linkage between the strategic
positioning as well as the tactics related to marketing plays a vital role in case of Farsons

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Organic Soft Drinks Company. Proper positioning is essential for understanding where the
product places the respective organic Kinnie Soft Drinks. On the other hand, marketing
tactics is wherein the organization utilises how the organization is capable of utilising
different actions for executing strategic positioning plan (Kraus et al. 2016).
In case of Farsons Kinnie Soft Drinks, they have been capable of successfully
positioning themselves as the lowest aerated and the highly healthy product which has been
implemented in minds of customers. The product is trying to suit the different needs of
customers specially the different health conscious customers in Malta. It enables the people in
staying healthy by consuming different kinds of products which enhances their growth
patterns in the market and it implements the different techniques which helps them in
improving the capabilities of marketing successfully (Ellram and Murfield 2019).
In addition, Diet Kinnie Soft Drinks is the product which helped the company
Farsons in gaining competitiveness in the competitive business environment. The product of
Farsons company has been capable of introducing them as the most innovative product as it is
entirely organic and it is healthy and market leader in Malta (Kraak et al. 2017). The most
effective feature of Diet Kinnie Soft Drinks is the flavours and taste as it tastes entirely like
the normal soft drinks, however it is healthy and therefore, it is liked by the wide range of
individuals in the Malta economy.
2.3 Analysis of Merits of Relationship Marketing in Strategic Marketing Strategy
The organic and diet sugar free soft drinks which are sold by Farsons Company is the
main aspect which has assisted the company in building strong relationship with the different
customers successfully. Through proper surveys which have been conducted, it has been
noticed that the company understood that healthy life style is the prime concern of the
different individuals in different parts of the world and therefore, they were able to develop

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value with their customers successfully (Jaminyasa et al. 2017). In most of the times, the
company used the relationship marketing for building strong bond with different customers
and gained the loyalty of customers.
It is highly essential for Farsons Company to stay connected with the loyalty of
customers for showing support as well as appreciation. In such scenario, the organization
tried in retaining different customers who are the existing ones and ensure that they are the
one who will be staying in the future. In the present scenario, there are different other
aggressive level of competition from Coca-Cola as they have been introducing Diet Coke,
however, the reviews are not up to the mark and it can be the advantage for Farsons Kinnie
Diet Soft Drinks (Jackson and Ahuja 2016). Through the help of relationship marketing, it
has been capable of enabling the fact that interaction among customers as well as company
are meaningful as well as effective. The organization Farsons Company can be investing
highly on research and development for innovating other soft drinks and health drinks which
are low aerated and high on organic ingredients which will be suiting the needs of the
youngsters as well the aged person (Houghtaling et al. 2019).
3.1 Analysis of Marketing Techniques for Ascertaining Growth Opportunities in
Market
In respective scenario, Farsons Company needs to analyse the different growth-related
opportunities in different markets with utilisation of effective kinds of marketing related
technique. The entire team of marketing is mainly responsible for conducting different
aspects such as collection of data, anticipating actual future trends along with satisfying
requirements of customers.
From the recent analysis of news regarding Farsons company, it has been noticed that
company is lagging behind in Australian and US economy as there are other competitors such

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as Coca-Cola or Pepsi which are going ahead. In such scenario, there have been different
instances wherein the company postponed the introduction of few soft drinks and it impacted
their growth in Australian economy and they have dropped the percentage of profitability to a
large extent (Hackley, Hackley and Bassiouni 2018). In the economy of Malta, the company
has been capable of attracting more than lakhs of customers who have the preference of
drinking the healthy yet tasty drinks which will be impacting their growth preferences in a
successful manner.
In the Australian economy, there are different other competitor companies due to
which it is impacting growth of Farsons Company largely. In such scenario, proper analysis
of the potential related to growth is required to be analyzed in the following manner:
The market analysis of the youngsters who are preferring to drink soft drinks need to
be analyzed in economy of Australia as it will be providing them with the view on
introducing new drinks that will be different competitors (Datta, Ailawadi and Van Heerde
2017).
The data related to the other competitor’s information is needed to be analyzed as the
company needs to be aware properly regarding their competitors such as Coca-Cola. After
analysis of the respective information, it will be helpful for Farsons Company to utilise the
capabilities for penetrating existing products such as the variety of soft drinks that can be
seen as the opportunity for market (Galli and Kaviani 2018).
3.2 Utilisation of Marketing Strategy Options in Market
In the current scenario, it is highly essential for choosing the appropriate kind of
strategy option for using in Malta and Australian economy. The strategy which has been
utilised helps in suiting needs as well as demands of target customers and target market is
considered to be the respective segment which is selected by company for focusing on