Detailed Marketing Plan: Analysis of Red Rose Tea Strategies

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Added on  2021/04/17

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This report presents a comprehensive marketing plan for Red Rose Tea, analyzing its internal strengths and weaknesses, as well as external opportunities and threats. It includes a SWOT analysis, market segmentation based on demographics and psychographics, and a discussion of the product mix (including product, price, promotion, and place). The report also examines the brand's positioning, competitive advantages, and potential for growth. It suggests strategies to enhance marketing efforts, improve distribution, and address challenges such as limited product variety and increasing competition. The report is supported by references to relevant marketing literature and provides a strategic overview for the brand's future.
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Running head: MARKETING PLAN
MARKETING PLAN
Name of the student:
Name of University:
Author Note:
Internal Strengths Internal weakness
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1MARKETING PLAN
The company has a great experience
in operating in the tea market of
Canada.
This beverage company has a clear
strategic direction.
The marketing department of the
company finds out creative and
innovative ideas for a successful
marketing of the product
(Redrosetea.com, 2018).
The company has a rich background
hence never fail to gain monetary
assistance.
The company provides free
collectible premiums with each
packet which attracts their customers.
Beside producing tea, the company
also sales the additional products
associated with their main products.
The company has several branches in
the business cities of the USA.
It utilities the digital platforms for
marketing and selling their products.
The company does not have a good management team that takes care
of the work culture within the organization. Therefore, many
employee issues are being emerging.
Red Rose Tea offers a limited number of variety or flavours which is
the main reason it is lagged behind in the competition in the market.
The brand does not want to change its product development plans
hence does not focus on the health benefits of drinking tea which
other parts are promoting.
The company does not have a strong market image which may
provide it a competitive advantage then other companies of similar
products
The company has limited offerings in compared to the other tea
producing organisations.
The management system of the company is not very positive in
having a change in the organisation.
The marketing strategies of the company is not very strong and it
does not use digital advertisements in the popular social networking
sites so that people know about it.
Due to weak marketing plan the customers do not have a clear picture
in their minds hence choose another popular brand while making
buying decision.
The company’s distribution channels are not very strong therefore, it
is not very popular among the mass segment.
The fixed cost of the company has been increased for the increase of
tax amount in the country.
The range of segmentation is very low hence cannot apply to large
market.
External opportunities External threats
Red Rose tea has a popular brand image among a large section of Red Rod Tea can face some serious
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2MARKETING PLAN
the Canadian market. Therefore, the company can get the
opportunity for new acquisitions, through this, the organization
will be able to develop new teams for marketing and innovation.
As the company offers a high quality premium tea leaves without
any flavours, it can have a huge market in the foreign countries
especially in the European countries.
As mentioned before, the company has enough capital if it wants
to venture new markets. It has available monetary assistance
providers which will help the company in new ventures.
Income level of the customers around the globe has been
increasing so also the level of living standards. More people are
being preferring tea as healthier alternatives among the range of
numerous beverages.
threats due to its poor line of products. It
does not have a range of flavours which
its competitors offer.
In different countries, it can face advance
government policies as the company
does not have any updated norms, fit for
doing business in the diverse markets.
Increasing costs is one of the most
dangerous threats which can affect the
company greatly.
Other tea sellers both national as well as
international have been entering the USA
market and these are having more
offering and flavours than that of Red
Rose Tea.
New companies are marketing their
products focussing on the health
perspectives hence gaining more market
penetration and popularity.
Segment name The young generation to middle age
Benefits sought Strengthening immune system, cleansing intestines, feeling fresh, cardiac problems, bad
breath and tooth decay.
Demographics Age: 20 to 40 years, Family size: both small and large families Income group: higher and
middle class groups Gender: both working men and women, Education: socially and
politically aware, well educated people.
Cohorts The baby boomers
Psychographics Comfort and convenience seeking people, Consumers active in the social discourses,
Luxury oriented people.
Usage rate 0.508 kg (17.9 oz.) per capita
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3MARKETING PLAN
Usage situation Regular in breakfast and in parties. Mainly to feel fresh and healthy
Example It will have a celebrity brand ambassador from the sports or music industry.
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4MARKETING PLAN
Positioning:
Red Rose Tea was established in Canada but has been existing in the United States since 1920s. The company is
owned by Redco Foods which is a subsidiary of Unilever in Canada and by Teekanne in the United States. This
tea brand was previously owned by the Brooke Bond Foods of the UK. The tea is one of the most popular
among all the traditional companies with great legacy of offering highest quality tea leaves along with different
flavours. As the company has enough capital to invest, it can enter the foreign markets without any barriers.
Moreover, despite it has been serving the markets of northern part of America, can venture in the European
markets also (Siguaw & Simpson, 2015).
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5MARKETING PLAN
Product mix:
This particular brand makes their product from the choicest tea leaves which are of best quality as well
as superior taste.
Red Rose Tea have always been graded for its quality. Each packet of this brand bears the heritage of
unique taste and fragrance of high quality tea leaves.
The western market has been preferring coffee to tea hence the market penetration has been gradually
increasing as tea has been granted as a healthier option.
Price mix:
This popular brand of tea provides cost advantages to its customers than any other popular tea brands
operating in the market of Canada.
The company always maintain competitive price, which is much lesser than that of its competitors.
High quality tea leaves are offered at low price that ensures propositioning of value
Promotional mix:
Tastes just like your favourite dessert campaign
Blossom tea collection
Online marketing and delivery of products
Promotion through tea cards and figurines.
Place mix:
The tea leaves are cultivated across the Red Rose Tea estates located in Little Falls, New York.
Packaged stock keeping units are sold at exclusive stores and convenience grocery shops.
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