Nexba: Marketing Plan for Australian Beverage Company

This report presents a comprehensive marketing plan for Nexba, an Australian beverage company, focusing on the analysis of its internal and external environment through tools like PEST, SWOT, and Porter's 5 Forces. The report identifies a problem statement, sets organizational goals and SMART objectives, and defines a segmentation, targeting, and positioning strategy. A strategic plan is developed using the 7Ps marketing mix, incorporating a promotional mix with five components. An action plan with a timeline and a budget plan are also presented. The report concludes by discussing the most suitable control and evaluation strategy for the marketing plan, providing a complete overview of the marketing strategy for Nexba.

Running head: MARKETING MANAGEMENT AND DIGITAL COMMUNICATIONS
Marketing Management and Digital Communications
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Executive Summary
In this paper the marketing plan for an Australian beverage company named Nexba has been
made. Initially the situation analysis has been done including both internal and external
analysis through PEST, SWOT, Porter’s 5 Force and others. The problem statement has been
made with organisational Goals and SMART objectives identification. The Segmentation
Targeting and Positioning strategy has been identified for current market plan. The Strategic
plan has been made with the help of 7P Marketing Mix. Promotional mix with 5 components
has been incorporated. In implementation part the action plan has been developed with
effective timeline. The budget plan has been made in tabular form. After this implementation
plan the most suitable control and evaluation strategy for this marketing plan has been
identified and discussed.

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Table of content
Introduction................................................................................................................................3
Situation Analysis......................................................................................................................3
Internal analysis:....................................................................................................................3
PEST......................................................................................................................................4
Porters 5 Force.......................................................................................................................5
Problem Statement.....................................................................................................................5
SWOT........................................................................................................................................5
Potential Market Segment..........................................................................................................6
Target Market Positioning..........................................................................................................6
Marketing Objectives and Goals................................................................................................7
Financial Objectives and Goals..................................................................................................7
Marketing Strategy and Marketing Mix.....................................................................................8
Implementation and Control......................................................................................................9
Action plan.............................................................................................................................9
Budget:.................................................................................................................................11
Control and evaluation:............................................................................................................11
Promotion Mix.........................................................................................................................12
Conclusion................................................................................................................................13
References:...............................................................................................................................15

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Introduction
The marketing plan is the most essential tool that can help to increase the profitability,
brand image, consumer satisfaction, customer base, potential buyers count, while launching a
new product or services in the existing or a new market segment (Armstrong et al., 2015). In
this paper the marketing plan for an Australian beverage company named Nexba has been
made. Initially the situation analysis has been done including both internal and external
analysis through PEST, SWOT, Porter’s 5 Force and others. The problem statement has been
made with SMART objectives identification. The Segmentation Targeting and Positioning
strategy has been identified for current market plan. After determining the financial
objectives the Strategic plan has been made with the help of 7P Marketing Mix. Promotional
mix with 5 components has been incorporated within the marketing strategy of Nexba. The
action plan has been developed with effective timeline as per the organisational structure and
resource allocation. The budget plan has been made in tabular form. After this
implementation plan the most suitable control and evaluation strategy for this marketing plan
has been identified and discussed.
Situation Analysis
In order to make a successful marketing plan for a beverage and processed drinks
company named Nexba, both internal or micro and external or macro situational analysis are
essential to find out the opportunities and threats in current situation (Berthon et al., 2012).
Internal analysis:
In production management Nexba focuses on the healthy soft drinks and sugar free
beverages. To ensure the strong and quality of inbound logistics the company maintains very
efficient partnership with their supply chain (Beverages, 2015). Similarly, Nexba beverage

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manufacturing department poses effective waste management system and eco friendly
manufacturing system that reduces the overall cost of the manufacturing and improve the
quality of the products. The company follows a matrix based organisational structure to gain
both of the facilities of hierarchical and flat structure (Chen, 2012). However the outbound
logistics of Nexba is not as strong as their inbounds logistics because of their comparatively
weak distribution network.
PEST
Political-Being a manufacturing company of non-alcoholic drinks the company faces
less political conflicts and complexities of regulations in accordance with national food and
safety standard.
Economy- In last five years the income level especially in urban areas has increased
13% to 15% that make wider situation to make profit as a beverage company. Similarly the
from 2006 the capital growth is making a incredible hike by increasing 36.6% to 42% (Ronit
& Jensen, 2014).
Social- Currently, Australians are becoming more health conscious that increased the
demand of the healthy beverage products. Despite that, in high pace lifestyle people prefer
consuming various beverage products rather than solid foods.
Technology- Instead of using eco friendly equipments in manufacturing function
other technological development like digital media increases the opportunities for
promotional activities (Sacks e al., 2015).

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Porters 5 Force
Nexba has high competitive rivalry in food and beverage industry where international
companies like Coca-Cola, Pepsi and others are the high profiled regulators. As a result the
company faced high level of competition and threat from substitutes as well. Henceforth,
Nexba also faces higher bargaining power from their consumers, because they have wider
opportunities to choose the beverage products in Australian beverage industry (Berthon et al.,
2012). However, in this higher competitive environment, there are several scops of suppliers
with low bargaining power. The food and beverage industry of Australia has lots revelry
while having strong boundaries of national food standard regulations. Therefore, threat from
new entrance is in low to moderate level.
Problem Statement
After launching the healthy and sugar free products by Coca-Cola and Pepsi the
market condition has been changed where the Australian consumers have sever substitutes
from strong brands in beverage industry (Hutt & Speh, 2012). At the same time the weak
distribution network and less cost effective channels to reach the end term consumers
reducing the strength of current consumer base. Therefore Nexba is facing a highly
competitive rivalry within the beverage industry of Australia while having weak outbound
channel and declining consumer count.
SWOT
Strength Weakness
Nexba produces sugar free drinks that are
highly healthy for consumers
Nexba has strong consumer base with
increasing number of loyal customer.
Nexas has many economical, political and
legal boundaries to reach the international
market.
The completion in beverage industry is

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The manufacturing department has advanced
resource management structure that reduces
the production costs and increases the
product’s quality.
increasing even including the healthy and
sugar free beverage products.
Nexba has weak distribution network and
less cost effective channels to reach the end
term consumers
Opportunity Threats
Nexus can focus on product diversification to
attract larger number of consumer groups
Effective consumer targeting and positioning
can give business advantage
Impressive cost effectiveness without
hindering the quality can expand consumer
base
Healthy beverage products of Coca-Cola and
Pepsi are increasing the market rivalry.
Narrow distribution channel can reduce the
outbound production flow (Jou &
Techakehakij, 2012).
Potential Market Segment
Segmentation is one of the most essential strategies where Nexba has to divide the
consumer groups into several segments with respect to their demographical individuality and
financial background. Other international high branded company are producing their healthy
beverage products specifically by targeting the middle age group (Järvinen et al., 2012). In
current beverage market there is very low product verities in health drinks for older people.
Apart from the due to higher competition and higher bargaining power of consumer the
potential buyers are becoming more price-sensitive. Therefore, the segmentation strategy of
Nexba’s new market plan should focus on the segmentation by age and by financial
background.
Target Market Positioning
After the segmentation of the market and potential consumer base Nexba has to select
their most profitable consumer segment as their target. From the above analysis it clear that in

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a price sensitive market the most compatible targeting strategy will be the customers with low
to medium purchasing power and behaviour (Kolios & Read, 2013). Therefore consumers
with low to moderate economical condition will be the target customer. At the same time,
people who are more than 60 years old will be the target consumer. Therefore, the market
positioning of the new product of Nexba is relied on the consumers of 60plus age group with
low to moderate purchasing power.
Marketing Objectives and Goals
The objective of the current marketing strategy of Nexba is described is SMART
objective form:
Specific To increase consumer strength as well as the efficiency of distribution
network
Measurable To Measure the potential as well as resultant revenue growth from the new
market plan
Achievable To achieve additional 15% consumer base growth and 6% of additional
revenue growth in next 12 months
Realistic To realistically enhance the work efficiency and productivity with appropriate
resource allocation
Timed To implement and evaluate execution procedure for next 5 years while
collecting real time feedbacks from market and consumers in each month.
Financial Objectives and Goals
The financial goal of this marketing plan is to improve the total revenue growth
without compromising the cost effectiveness of current production procedure and product
quality (Australia, 2015). Apart from that, increasing the basic capital without the changing
permanent assets value is another major goal of Nexba

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In order to achieve the Financial Goals of Nexba through this market planning, the company
need to accomplish some crucial objectives mentioned below:
 To additional revenue growth of 6 % in next 12 months
 To reduce the production cost by 13 % in next 6 month
 To enhance the market value of manufactured product by 13 %
 To build effective distribution channel by investing 45 % of total production expenditure.
 To increase the Return On Investment by 15 % in next 12 month
 To increase the permanent assets by 16 %
 To increase the basic capital by 20 % in next year
Marketing Strategy and Marketing Mix
In order to identify and implement the effective and profitable marketing strategy the
current market plan will focus on the 7P Marketing Mix for the new product of Nexba
(Srdjevic, Bajcetic & Srdjevic, 2012).
7P marketing mix for new product
Product Nexba will produce a specific health drinks for the older population. The drinks
will have all the basic nutrition components for older people while having
various attractive flavours and tests, such as Coke, Litchi, Mango, Strawberry
and many more.
Price The price will be same for all flavours of the drinks. The pricing strategy will
consider the pricing power of low to moderate economical segments of
consumers. However, some premium products will have slightly higher price.
Place The major outlets of Nexba will focus on busy area of market. Apart from that
the industrial area of the major cities across the Australia will be the main focus
for place strategy. The distribution channel will be designed as per the
placement strategy of Nexba.
People Nexba will make a strong communication with the labour market to ensure the
adequate workforce supply for their marketing and sales. The payroll for this

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new production will be made by keeping the employee motivation in mind. In
sales department Nexba will follow the flat organisational structure to gain real
time market information.
Process Nexba will implement Just In Time supply management and production process
to reduce the waste of raw materials. Apart from that the company will conduct
a efficient market research to find out the most cost effective supply chains eho
can supply top quality raw materials with lower cost.
Promotio
n
For promotion the company will implement online and traditional promotion
and advertising through TV, Radio, Banner and Flyers as well as through social
media. In indirect promotional strategy Nexba will introduce special offers,
discounts and coupons for loyal customers and for customers with higher
purchasing power.
Physical
evidence
Nexba will follow eco friendly plastic packaging process by wrapping the
containers with attractive images of fruits and flavours with attractive colour
combination. The nutritious value of the product will be mentioned on the cover
wrapper of the package.
Implementation and Control
Action plan
The action plan for the implementation of current market plan will start from the
appropriate market research to have real time updated information of the market and the
marketing process will be continued through next 5 months.
Parent activity Child activity Starting date
(week)
Duration
(week)
Updating Market plan 1 2
Conducting Market
research and analysis
1 1
Altering current plan 2 1
Communicating 3 3

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stakeholders
Arranging meetings 3 2
Decision making 4 1
Forecasting 5 1
Marketing and promotion 6 4
Online marketing 6 3
TV, Radio Advertising 7 2
Printed promotions 8 2
Product launching 11 2
Launching product 11 1
Collecting feedbacks 11 1
Making essential changes 12 1
Evaluation 13 3
Evaluation
Making essential changes
Collecting feedbacks
Launching product
Product launching
Printed promotions
TV, Radio Advertising
Online marketing
Marketing and promotion
Forecasting
Decision making
Arranging meetings
Communicating stakeholders
Altering current plan
Conducting Market research and
analysis
Updating Market plan
0 2 4 6 8 10 12 14 16
Duration of
parrent ctivity
Duration of
child activity
Week

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Gantt chart
Budget:
Parent activity Child activity Cost
breakdown
Cost
(AUD)
Expenditure
(AUD)
Updating Market plan 2200
Conducting Market
research and analysis
4 x 500 2000
Altering current plan 4 x 50 200
Communicating
stakeholders
1100
Arranging meetings 100 x 10 1000
Forecasting 20 x 5 100
Marketing and
promotion
11500
Online marketing 20 x 50 1000
TV, Radio
Advertising
500 x 20 10000
Printed promotions 50 x 10 500
Product launching 300
Launching product 500 x 4 2000
Collecting feedbacks 10 x 100 1000
Total 15100
Control and evaluation:
Nexba will maintain a real time control measure while providing the real time updated
information about the work functionality of the various departments along with the market