Marketing Management and Digital Communications Report for Nexba

This report provides a detailed marketing plan for Nexba, a sugar-free beverage company, focusing on the Australian market. It begins with an introduction outlining the objectives and scope of the marketing plan. The report includes a company analysis of Nexba, highlighting its mission, vision, and product offerings. It then delves into customer analysis, emphasizing the importance of understanding target markets and customer needs. A competitor analysis identifies key rivals like Coca-Cola and Pepsi, along with indirect competitors. A PESTLE analysis examines political, economic, social, technological, legal, and environmental factors influencing Nexba's operations. A SWOT analysis assesses the company's strengths, weaknesses, opportunities, and threats. The report analyzes the Australian market, followed by an examination of the marketing mix, including product, place, price, and promotion strategies. The report concludes with a discussion of marketing implementation and evaluation, offering insights into how Nexba can achieve its marketing objectives. The report highlights the importance of digital communications in the marketing strategy.

Marketing management and digital communications

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Contents
Introduction.................................................................................................................................................2
Company Analysis......................................................................................................................................2
Customer Analysis......................................................................................................................................3
Competitor Analysis....................................................................................................................................4
PESTLE Analysis........................................................................................................................................4
SWOT Analysis...........................................................................................................................................6
Market Analysis..........................................................................................................................................8
Marketing Mix.............................................................................................................................................9
Marketing Implementation........................................................................................................................11
Marketing Evaluation................................................................................................................................11
Conclusion.................................................................................................................................................12
References.................................................................................................................................................13
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Introduction
The marketing plan is a report which includes the identification of the current marketing
situation, plan of actions, threats and opportunities of the organization, marketing strategy and
objectives, financial statements, and the projected budget. It assists in noting the performance of
the activities of the organization. It is recommended that while creating a marketing plan, three
objectives should be kept in mind, which will assist in formulating the systematic marketing
plan. Putting down more objectives leads to shortage of resources and dilution of efforts for the
organization. This report is written to include the marketing plan for Nexba in the Australian
market. Nexba offers naturally sugar free beverages that don't compromise on taste. The Nexba
product ingredients include a mixture of Erythritol, Stevia, fruit extract and natural flavors.
Company Analysis
Nexba has been formed by two Aussie boys Troy and Drew in the year 2010 to offer sugar free
beverages to the customers. In the year 2015, Nexba has won award for Innovation and
achievement by Telstra Australian Business Award. In the year 2016, the company has made an
alliance with Coles and reinvented soft drinks by taking a step beyond the it has also won the
product of the Year award in the year 2017 for natural sugar free drinks. The mission of the
Nexba is to build a sugar free brand and be a fast growing natural beverage company in the
international market. The vision of the Nexba is to change the life of the human beings by
delivering them naturally sugar free products. Nexba offers naturally sugar free beverages that
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don't compromise on taste. The Nexba product ingredients include a mixture of Erythritol,
Stevia, fruit extract and natural flavors(Nexba Beverages, 2018).
Customer Analysis
The marketing is a process of evaluating the needs of the customers into services and products. It
begins with customer requirements and end with customer satisfaction. It is about analyzing the
social and human needs profitably. It is also very important for the organization to choose the
target market to succeed and must prepare a marketing plan with customized options. The target
of the company can be carefully defined by understanding the requirements of the customers as it
is a very difficult and complex process. To fulfill the requirements of the customers, it is required
to analyze the contrast between anticipated marketing, responsive marketing and creative
marketing which needs to be contemplated.
The responsive marketers try to analyze and fill the stated requirements. The anticipative
marketers search for the needs of the customers which may arise in the future and stipulate an
innovative solution. The professional marketer’s helps in creating the solutions that customers
may not have thought of or did not ask for. The organizations are nowadays; endeavor to become
market oriented and is putting more determined attempt in retaining the end users. The customer
retention is becoming a prominent part than attracting the customers because customer attraction
requires 5 times more efforts than the existing one(Morris, 2010).
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Competitor Analysis
The most critical factor in the management of marketing is the competition which includes all
the potential and actual offerings and the consideration of the buyers on the substitutes. The
competition can be classified into the following bracket on the basis of substitutions:
The Brand competition: It includes the competitors that offer similar products at competitive
prices(Douglas, 2017).
Industrial competition: These are the companies offering products in the same industry.
Generic competition: This includes the companies that compete with the industry for similar
customer buying power.
Form competition: This also includes the substituents and includes the companies that offer the
same services.
Major direct competitors of the Nexba in the natural drinks and beverages as per the market
segment in Australia are Coca-Cola and Pepsi. Nexba is also competing with natural product
makers like Lipton and Nestea. In addition to this, there are also indirect competitors of the
Nexba which provide various substitute products in the market(McDonald, 2015).
PESTLE Analysis
It is the environmental analysis of the company which focuses on identifying the macroeconomic
factors which influence the demand and supply of the product and deals with the cost of business
activities. The ongoing and radical change which occurs in the society builds an undefined
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environment and has an effect on the organization functions. Thus, various numbers of checklists
have been developed to analyze various aspects that are going to impact the industry or
organization. One of the frameworks used to identify the macroeconomic factors is the PESTLE
analysis which helps in analyzing various aspects that are going to impact the organization or
industry. The PESTLE analysis of NEXBA is as follows:
Political Factors: Australia follows liberal capitalistic democracy and uses various fiscal
policies to interfere in the economy. The taxes of the state also keep on varying from time to
time, which impact the currency exchange rate and consequently affect the global market.
Economic factors: In Australia, the customers have high buying power which reflects
comparatively higher prices. Also, the manufacturing sector is weak due to high value of the
Australian dollar. As demand in Asia has been increased, especially in China, it has consequently
resulted in the benefits of Australia from rising commodity markets. Australia is a big exporter of
food and energy and has abundant natural resources. Also, the country has no restrictions on
import and is comparatively open market. It also has bilateral free trade agreements with Chile,
Singapore, New Zealand, Malaysia, and the United States of America, and has regional free trade
agreements with New Zealand and ASEAN countries. The country is also negotiating the
agreements with pacific neighbors and the Asian countries including Indonesia, China, India, the
Republic of Korea, and Japan.
Social Factors: It has been analyzed that approximately 41% of the people in Australia in the
age of 14 to 35 are health conscious and thus self assess them in very good health. The major risk
factors of the customers to Nexba are high blood pressure, smoking, being overweight, and poor
diet and nutrition(World Bank Group, 2017).
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Technological factors: The sale of eCommerce has been increased from 27 million in the year
2010 to 37 million in the year 2013. It has been seen that the there is a continuous increase by a
margin of 3.5 billion each year, which bring the benefits of eCommerce in terms of higher
quality, reduced costs, larger market, and new products. The average e-spending of the
Australian people has increased from Australian $ 1048 in the year 2006 to $ 2108 in the year
2013.
Legal Factors: Australia follows the financial regulatory structure that allows the organization
to invest without excessive delays. The startup business can be established in 2 days in Australia
when compared with 20 days in other countries. The ease of doing business in Australia makes it
rank 11 out of 189 countries.
Environmental factors: Maximum population in Australia is strenuous in coastal regions and
the middle parts of the Australia are too dry for inhabitation. Also, Australia suffers variations in
climatic conditions which range from zero to 50 degrees Celsius.
SWOT Analysis
The SWOT analysis is the comprehensive identification of the strengths, weaknesses,
opportunities, and threats of the company. It is the method or way of analyzing the external and
internal environment of the market or organization. It is a tool which is specifically created to be
used in the initial phases of decision making and in various kinds of strategic planning. The
SWOT analysis studies the external and internal environmental factors which may impact the
business at any point of time. The external environment identifies the threats and opportunities
for the organization and should monitor the macroeconomic and microeconomics aspects that
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may impact the ability of the organization to generate and maximize the profit. The internal
environment is responsible for analyzing and evaluating the strengths and weaknesses of the
company. The SWOT analysis provides an illustration of how the external aspects like the
threats and opportunities can be matched with the internal aspects like weakness and strength in
possible alternative while creating the strategy. It helps the managers create different
retrenchment and growth strategies(Gretzky, 2015).
The matrix of the SWOT includes the strategies which focus on:
SO: It defines the methods on how to utilize the strengths of the industry to get benefits of
opportunities.
ST: It also includes the strategies which use the strength of the company to neglect the threats.
WO: These approaches specifically designed to remove the weakness of the industry to open
new opportunities
WT: These strategies mainly act to minimize the weakness and are basically defensive to avoid
threats.
The SWOT Analysis of the NEXBA is as follows:
Strengths
 Alliance with great retailer like Coles,
Celtex, Dominos, 7/11, BP, Aldi and
many more.
 Producing sugar free products
Weakness
 Brand name
 Water management
 Sales are limited within Australia
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containing nothing artificial.
 Comparatively cheaper price than its
competitive rivals, and
 Producing millions of profit by
increasing sales every year(Kotler,
2002).
 Value addition
Opportunities
 Diversification
 International approach
 Extended reach
 Increasing awareness of health issues
among people
 Advertising products using social
media like Twitter and Facebook.
Threats
 Change in government rules and
regulations about changing Water use
in Australia.
 Consumers are more faithful to big
brands like Pepsi and Coca Cola.
 Big companies like Pepsi and Coca
Cola nowadays producing sugar free
drinks like coke zero, diet coke, and
diet Pepsi.
Market Analysis
The porter's five forces theory is used to analyze the competition and formulate the strategies. As
per the energy drink market in Australia, the porter's five forces identification is as follows:
Threat of new entrants: This is high and there are low barriers to entry in the market of energy
drinks.
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Bargaining power of Suppliers: This aspect is low and there is a huge availability of suppliers
in Australia(IBC, 2008).
Bargaining power of customers: The bargaining power of customers is low and there are
various options for the customers to choose brands from.
Threat of Substitutes: This aspect is high as there are different options for the customers like
diet coke, soft drinks, fresh juices, protein supplements, herbal teas, etc.
Marketing Mix
Marketing mix identifies the data from various sources such as company shipment data, retailers’
scanner data promotion spending, data pricing media, to contemplate more details on the impact
of particular marketing activities. The marketing mix includes 7P’s.
Product or service: The brand and product managers implement many decisions to build the
best product and communicate their value and features to the customers. The product of the
Nexba includes the characteristics like Natural flavors, nothing artificial, and no sugar fruit
extracts(Convenience World, 2017).
Place- Distribution: It means delivering at the right price and right time in the right quantity to
the right place. It includes 7 attributes known as delivery, availability, inventory, location,
transport, channels, and coverage. The distribution manager emphasis on relationship marketing
and transaction based selling. The correct distribution strategy assists in managing, controlling
inventory and recognizes the prominence of intermediary customers and managing supply chain.
It has been analyzed from the PESTLE that the product is having success in Australia and
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eCommerce is the main medium for distribution. Apart from eCommerce, the products are also
distributed in the retail markets and supermarket like Coles, Woolworth, Andy, etc.
Price: Price is the measure of value to both sellers and buyers and the main objectives of the
pricing are SMART, profit, ROI and buyer and seller benefit. It is very important for Nexba to
make the product price genuine and competitive to get the success. It is prominent to consider
the pricing strategy before implementing like market share, long term prosperity, positioning,
and profitability(Dias, 2017).
Promotion: It is important for Nexba to promote their products so that the customers should be
aware of the available Nexba products. The promotion refers to the practices which are tackled
by the industries to promote and communicate the target market. Though the promotion is not
limited, but the common techniques for the promotion are advertising, sales promotion, public
retailing, and direct marketing.
People: It helps in analyzing the skills of the organization and abilities of the customers in the
industry. The value of the people can be improved by support, resources training and
development, and informal and formal motivation. Nexba follows the tactics like good service,
great product, and good value for the price. The Nexba offers the products to the customers
which are healthy for them along with competitive value.
Process: The process is very prominent in the smooth functioning of the product life cycle. It
assists in the initiation, strategizing and execution of the services and product and helps in
analyzing the development cycle. The product development process of Nexba is idea generation,
evaluation, business analysis, screening concept, marketing strategy, product development, test
marketing, and commercialization.
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Physical evidence- Packaging: It evaluates the packaging ability of the product and considers
the spatial layout, standardization, brand identity, and packaging. The product of Nexba comes in
the bottles.
Marketing Implementation
Marketing implementation is implementing the strategies of marketing by evaluating what is
required to achieve by the industry, its strategic marketing goals, and in a specific environment
of the organization. It involves the managers to implement the change in plan in the organization
by providing a useful initial point as part of logical, relational, and sequential flow of goals,
missions, tactics, and strategies, which are needed to be implemented. It is a process that
converts the plans of marketing into actions to complete the objectives of the marketing(Blahová
& Knápková, 2011).
Marketing Evaluation
The marketing control is the evaluation and measurement of the results of strategies
implemented and the action plans to correct the strategies by making sure that the objectives of
the industry are achieved. The Nexba can control the implementation of marketing by setting
specific marketing goal, measuring performance, evaluating the difference between actual and
expected situation of the company, and implementing innovative practices to close the gap
between performance and goals(Schrage, 2012).
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Conclusion
It has been scrutinized from this report that Nexba has its unique features of creating the natural
sugar free beverages with nothing artificial and no sugar. Nexba is offering the products like soft
drinks, iced tea, sparkling infusions, and flavored sparkling water. The products of Nexba
compete against the existing competitors like Pepsi and Coca Cola, which offers sugar free
drinks like diet Coke, Coke zero, and diet Pepsi. However, with its unique features, and
innovative strategic marketing plan along their collaboration with Coles to launch the flavors of
lemon, and orange help them to grow their sales exponentially in 2016-17.
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References
Blahová, M., & Knápková, A. (2011). Effective Strategic Action: From Formulation to
Implementation. Retrieved from http://ipedr.com/vol2/13-P00027.pdf
Convenience World. (2017, February). Nexba gains global retail adviser. Retrieved from
https://www.convenienceworldmagazine.com.au/nexba-gains-global-retail-adviser/
Dias, D. (2017, April). Sydney startup Nexba secures major partnership with Domino’s: “We’re
both taking on the risks and benefits”. Retrieved from
https://www.smartcompany.com.au/startupsmart/news-analysis/sydney-startup-nexba-
secures-major-partnership-with-dominos-were-both-taking-on-the-risks-and-benefits/
Douglas, T. (2017). Nexba's mission of beverage disruption. Retrieved from
http://www.packagingnews.com.au/news/live-2017-nexba-s-mission-of-beverage-
disruption
Gretzky, W. (2015). Strategic planning and swot analysis. Retrieved from
http://www.ache.org/pdf/secure/gifts/Harrison_Chapter5.pdf
IBC. (2008). Strategy Formulation and Implementation. Retrieved from
http://www.swlearning.com/ibc/daft6e/pdf/Daft_ch08.pdf
Kotler, P. (2002). A Framework for Marketing Management. Retrieved from
http://dl.ueb.edu.vn/bitstream/1247/2250/1/Marketing_Management_-
_Millenium_Edition.pdf
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McDonald, C. (2015). Who's Doing What in the World of Commercial Creativity. Retrieved
from https://www.nexba.com/blogs/news/18001800-the-stable-how-nexba-is-defying-
the-odds
Morris, R. (2010). Marketing Plan Outline: Red Bull. Retrieved from
https://robinmorris.files.wordpress.com/2010/02/red-bull.pdf
Nexba Beverages. (2018). Naturally Sugar Free: Nexba. Retrieved from www.nexba.com:
https://www.nexba.com/pages/naturally-sugar-free
Schrage, C. (2012). Planning, Implementing, and Controlling Marketing Strategies. Retrieved
from https://uni.edu/~schragec/Chapter%202.pdf
World Bank Group. (2017). Doing business 2017: Equal Opportunity for All. Retrieved from
http://www.doingbusiness.org/~/media/WBG/DoingBusiness/Documents/Annual-
Reports/English/DB17-Report.pdf
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