Marketing Management and Digital Communication: Nexba Beverages

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This report presents a comprehensive marketing plan for Nexba Beverages, a sugar-free soft drink company operating in the Australian market. It begins with an executive summary, followed by a recap of the situation analysis, highlighting the company's innovative approach to cater to health-conscious consumers. The discussion section delves into the problem statement, market segmentation, and target market selection, emphasizing Nexba's focus on parents seeking healthier beverage options for their children. The report then outlines marketing and financial objectives, including SMART goals and financial targets. A marketing mix analysis, including product, price, promotion, and place, is conducted to identify effective strategies. The report concludes with an evidence-based research section, offering insights into the effectiveness of digital communication and customer relationship management. The report also includes a structured budget and references to support the analysis. The report emphasizes the importance of transparent communication and building a strong brand image for Nexba Beverages in a competitive market dominated by giants like Coca-Cola and Pepsi.
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Running head: MARKETING MANAGEMENT AND DIGITAL COMMUNICATION
Marketing Management and Digital Communication
Name of the Student:
Name of the University:
Author Note:
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MARKETING MANAGEMENT AND DIGITAL COMMUNICATION
Executive Summary
The study is also focusing on preparing a structured marketing plan for Nexba Beverages. The
information gathered from the situation analysis would identify the extent to which the company
has been facing the challenging scenario created by the direct competitors like Pepsi and Coca
Cola. The concern about their health parameters creates the greater motif among the customers to
purchase the soft drink which tastes naturally sweet yet the sugar and gluten are eliminated from
it
The company achieved almost 36% growth and enlisted the name among the fastest growing
beverage brands. The company then established the partnership with Coles for attracting more
customers to create a positive essence of high reliability and high quality product image The
maintenance of the communication transparency with the customers is most effective since the
company would be able to convey the ingredients that are used while preparing this soft drink.
The development of the social media promotional strategy is also effective in such context.
The evidence based research also provides the insightful ideas about the effectiveness of digital
communication in developing high level of customer base. This transparent communication with
customers creates the effective brand image, which is the major focus of each business marketer.
Nexba Beverages has the positive point in search segment. If the company can develop a greater
level of communication, it would be much helpful to convey the message to the targeted
customers.
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MARKETING MANAGEMENT AND DIGITAL COMMUNICATION
Table of Contents
1. Introduction..................................................................................................................................3
2. Recap of the Situation Analysis...................................................................................................3
3. Discussion....................................................................................................................................4
a) Problem Statement...................................................................................................................4
b) Identification of the Market Segment......................................................................................5
c) Selection of Target Market and Positioning............................................................................5
4. Marketing and Financial Objectives............................................................................................6
SMART Objectives.....................................................................................................................7
b) Financial Objectives................................................................................................................8
5. Marketing Mix Analysis..............................................................................................................8
a) Marketing Mix Components....................................................................................................8
b) Research Strategies................................................................................................................10
6. Structured Budget......................................................................................................................11
7. Conclusion.................................................................................................................................11
8. Evidence Based Research..........................................................................................................12
References......................................................................................................................................14
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MARKETING MANAGEMENT AND DIGITAL COMMUNICATION
1. Introduction
A structured and well developed marketing plan is considered as the most significant
aspects of creating a recognised brand image to attract a larger amount of customers towards any
offered product or services (Boelsen-Robinson, Backholer & Peeters, 2015). Business marketers
need to identify the need and demands of the customers and accordingly structure the appropriate
marketing plan. The effective approach in such context would help in satisfying the basic needs
of the potential customers. In addition to this, the company can also increase the revenue of their
profit level.
The study is also focusing on preparing a structured marketing plan for Nexba
Beverages; a sugar free sweetened Soft Drink Company. The major Moto of the company is to
bring more innovation to the products and gather more responses from a larger population. The
information gathered from the situation analysis would identify the extent to which the company
has been facing the challenging scenario created by the direct competitors like Pepsi and Coca
Cola. The development of marketing mix analysis would help in understanding the segments and
specific areas associated with the product, which can generate the sense of loyalty among the
customers.
2. Recap of the Situation Analysis
The sugar and gluten free soft drink is absolutely new in Australian market. Nexba
Beverages has availed this opportunity of building an innovative friends image, which
concentrates the needs and health of the Customers (Boelsen-Robinson, Backholer & Peeters,
2015). Majority of the parents in Australia perceive that their kids should consume a lesser
amount of sugar in their drinks. In fact, people have been suffering from obesity, diabetes, and
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high sugar level. The current generation is also much health conscious that provides a beneficial
scope for the company to grow in this Australian market. The company offers the high quality
sweet and soft drinks, which include natural ingredients, some sweetness and tasty flavors as
well as the substitute of the zero sugar.
The situation analysis provides the insight that the society is quite excited to consume
such soft drinks, which taste sweet but are free from high sugar level and gluten. The high
quality ingredients are quite healthy for the customers. Stabilized scenario in the political field is
contributing effectively towards sustainable business practices (Kelly et al., 2015). Moreover, the
supports received from the government are beneficial for the company to avail the opportunities
related to the economic factors. On the other hand, the larger Australian economy is quite
profitable for the business to develop their competitive position. However, it is identified from
the in-depth analysis of the external market forces that the company has been facing real
challenges from the two giant competitors like Pepsi and Coca Cola. Considering the effects of
these highly recognised brands, Nexba Beverages needs to develop a structured and effective
marketing plan to sustain their position and remain competitive in this dynamic as well as
challenging scenario.
3. Discussion
a) Problem Statement
Nexba Beverages has captured the leading position in the soft drink market of Australia.
In spite that the high quality sweetened tea and soft drinks to the customers, the company has
been facing enormous challenges from Coca Cola and Pepsi, which hold the dominant position
in the international market (Cooper, 2017). It is true that the company offers a vast range of
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MARKETING MANAGEMENT AND DIGITAL COMMUNICATION
product differentiation starting from the sweetened flavored iced teas to the healthy soft drinks.
In fact, establishing partnerships with some of the supermarket chains like, 7-Eleven and Coles is
also quite profitable for the company to sustain their position. However, it is essential for the
company to develop a better marketing and digital communication plan to participate in this high
competitive market. The development of the effective customer relationship would also be
helpful in such context.
b) Identification of the Market Segment
After introducing this naturally sweet tea to the Australian market, Nexba Beverages has
already attained many of the customers’ interests. The extensive market research implies that the
parents in Australia is looking for the solution to cut down the sugar level from the soft drinks
that their kids are consuming every day. The concern about their health parameters creates the
greater motif among the customers to purchase the soft drink which tastes naturally sweet yet the
sugar and gluten are eliminated from it (Hanssens et al., 2014). It is reported that by the year of
2016, the company has already generated a high amount of revenues, which in ensured 300%
growth after the transition period (Byrne, 2017). Observing such higher demand of the parents,
the company can anticipate the future growth as well only if the product is promoted and
marketed in a fruitful way. The higher opportunistic market segment determines the future
growth for Nexba Beverages.
c) Selection of Target Market and Positioning
The extensive market research based on the demands of soft drinks in Australian market
highlights that the customers are much interested in purchasing a sugar and gluten free and
naturally sweet and soft drinks. Nexba Beverages has strengthened their position by developing
high concerns about low calorie soft drinks. therefore the company is not targeting the Australian
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MARKETING MANAGEMENT AND DIGITAL COMMUNICATION
parents who are quite conscious about the consumption level of sugar by their kids in the soft
drink products. Especially, the company is targeting the customers who prefer low calorie sugar,
sweetened flavoured and fizzy drinks (Convenienceworldmagazine.com.au, 2017). The
observation of this target market would be beneficial for the company to strengthen the brand
image.
Nexba Beverages entered into the grocery market at the initial stage of introducing the
product in the Australian market. The company could achieve the market share of almost 4.8%
by selecting Petrol and Convenience (P&C) as the distribution center of the products sold by the
company. The company achieved almost 36% growth and enlisted the name among the fastest
growing beverage brands. The company then established the partnership with Coles for attracting
more customers to create a positive essence of high reliability and high quality product image
(Karjaluoto, Mustonen & Ulkuniemi, 2015). Currently, in order to establish the strengthened
position in the Australian market, the company is now focusing on the most convenient place
that would be easily accessible to the customers. Therefore, the company is now targeting the
local grocery shops where the customers visit on a daily basis. On the other hand, the company
has also tied up with 7-Eleven and Woolworths, the most renowned retail giants in Australian
market.
4. Marketing and Financial Objectives
The development of the clear focus on the marketing and financial objectives would help
the company to understand the potential level of the business to sustain and gain profit in this
competitive scenario. The determined objectives are as follows:
a) Marketing Objectives
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To develop the business potentiality to undertake fruitful business activities
To implement the effective marketing strategy to attract existing and new customers
To investigate the customers’ needs and preferences to introduce more product
differentiation
SMART Objectives
SMART Objectives
S-Specific The objectives have the clear focus on the product,
target customers, and the location that are making
them specific.
M-Measurable The estimated profit amount structured by the
company is measurable.
A-Attainable Considering the higher demand level of the society
towards the soft drink offered by the company, it
can be implied that the objectives are quite
attainable.
R-Real The realistic approach is made by concentrating on
the demands and current customer profiles that
would eventually bring profits to the company.
T-Time Bound The marketing activities will be completed within
the stipulated time that had made these objectives
time bound.
Table: SMART Objectives
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(Source: Created by the Author)
b) Financial Objectives
The following financial objectives are determined for this marketing plan.
To achieve almost 36% of the market share of the entire soft drink industry by 2025
To ensure at least 20% cash back on invested capital
To expect 15% growth of the market size in next 2 years
5. Marketing Mix Analysis
The idea get it from the potentiality level of the business ensure that the implementation
of the effective marketing strategies would be much beneficial for the company to increase
market share. The analysis of the marketing mix components would help in identifying those
fruitful marketing strategies for the future prospects.
a) Marketing Mix Components
Leeflang et al., (2014) defined that marketing plan is based on the identification of some
specific factors that are contributing to the business profits. The marketing mix model identifies
four major areas such as product price promotion and place. Nexba Beverages needs to identify
the factors that are creating the significant impacts on the business profits.
Price
Price is one of the most impactful factors that are needed to be taken into account. The
company has targeted the Australian parents who understand the value of the healthy soft drink
and naturally sweetened tea that would not harm the health of their kids. The company has
therefore set the moderate prices of the product that would be available to customers from all
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MARKETING MANAGEMENT AND DIGITAL COMMUNICATION
levels. This moderate pricing structure is quite effective to attract those customers who are much
fond of availing high quality products with reasonable prices.
Product
Product is the most significant aspect of marketing mix. A company should always be careful
about the product that is going to be offered to the target customers. Similarly, Nexba Beverages
has brought innovative product segment by introducing naturally sweetened tea and soft drinks.
This soft drink is prepared by using natural ingredients and free from sugar and gluten. The
natural sweetness like Stevia and Erythritol are blended to prepare a sweet soft drink for the
customers (Amit 2018). Considering the higher concerns regarding the obesity and high sugar
level from the early childhood, this unique product feature has been introduced to the Australian
market. The parents are quite interested to purchase such product that can reduce sugar from the
drinks consumed by their kids.
Place
Selection of the convenient place from where the customers can easily get access to the
product increases the chances of making profits in this segment (Siguaw & Simpson, 2015).
Therefore, the suitable location is one of the major focuses of every business. Nexba Beverages
is also looking for the appropriate location where the customers often pay a visit for purchasing
they are grocery, foods and beverages. In Australia, people tend to visit the supermarkets more
often for purchasing their daily commodities. The company has established the partnership with
Woolworths, Coles, and 7-Eleven. These Supermarket chains have already gain the positive
brand image for the high quality goods and services. Selling the soft drinks introduced by the
company what does create the high level of water smart as well as the positive brand image
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which can generate the sense of Reliability among the target customers. Accordingly, the
company can even promote the plant with the help of such renowned supermarkets.
Promotion
Development of a sound promotional strategy creates the effective brand image, which helps
a company to sustain the competitive position by gathering more customer responses. Nexba
Beverages also needs to identify the most suitable promotional marketing that can attract larger
amounts of customers towards purchasing these soft drinks. Nexba Beverages is currently
concentrating upon the direct selling process to convey the product ingredients and quality
parameter to the targeted and concerned customers.
b) Research Strategies
Company has already gained a huge market share in the Australian beverage industry.
However, the direct competition imposed by Coca Cola and Pepsi is quite threatening to the
company in order to ensure the high level of business profits. The company therefore needs to
put more stress on developing the high level of communication with the target customers.
Especially, in this competition driven market, the company needs to select a set of promotional
activities, such as social media promotions, TV and advertisement, and personal selling
procedure (Perrone & Wodonga, 2015). The maintenance of the communication transparency
with the customers is most effective since the company would be able to convey the ingredients
that are used while preparing this soft drink. The development of the social media promotional
strategy is also effective in such context. Gathering the responses from the customers about their
needs and demands would also help the company to identify the product potentiality in
sustaining in this competitive landscape.
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6. Structured Budget
Elements Budget (Assumed)
Establishment of digital communication platform A$1500
Communication tool for gathering the messages
from the customers
A$1500
Installing necessary software A$3000
Animated design of the website A$5000
Customer care executives A$2000
TV Advertisements A$3500
Total A$16,500
Table 2: Budget
(Source: Created by the Author)
7. Conclusion
Nexba Beverages has introduced the natural sweet and soft drink in Australia. The
company has achieved the higher market share already since the customers are much Pound of
consuming a less amount of sugar in their soft drinks. However the direct competition with the
Coca Cola and Pepsi is creating the obstruction in making a sustainable approach. The study
have has formulated the structured marketing plan that can develop more customer base and
create the opportunity for a longer time. Accordingly, the company can accomplish the
predetermined objectives both in the marketing and financial segments.
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