Nexba Beverages Marketing Management Plan: Australian Market Analysis

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This report provides a comprehensive marketing plan for Nexba Beverages, focusing on its strategies within the Australian market. It begins with a contextual analysis, including PESTLE and SWOT analyses, and examines the company's strengths, weaknesses, opportunities, and threats, with a particular focus on competition from major brands like Coca-Cola and Pepsi. The report details competitor and stakeholder analyses, identifies a core problem statement, and explores market segmentation based on demographics, behavior, and psychographics. It outlines market positioning, marketing and financial objectives, and proposes a marketing strategy and mix. The implementation and control mechanisms are discussed, alongside the promotion mix, with a goal of increasing brand awareness and sales in a competitive market. The analysis underscores the importance of understanding customer preferences and leveraging digital communication to achieve marketing goals.
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Running head: MARKETING MANAGEMENT
Marketing Management and Digital Communication
Name of the Student
Name of the University
Author Note
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Table of Contents
Introduction................................................................................................................................2
Situation analysis.......................................................................................................................2
PESTLE analysis....................................................................................................................2
SWOT analysis.......................................................................................................................3
Competitor analysis................................................................................................................4
Stakeholder analysis...............................................................................................................5
Problem statement......................................................................................................................5
Market segmentation..................................................................................................................6
Market positioning.....................................................................................................................8
Marketing objectives..................................................................................................................8
Financial objectives....................................................................................................................9
Marketing strategy and mix.......................................................................................................9
Implementation and control.....................................................................................................10
Promotion mix..........................................................................................................................11
Reference List..........................................................................................................................12
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Introduction
The main idea behind this assignment is to create a marketing plan for Nexba
beverages that started its journey in Australia under the guidance of two founders. The
assignment will consist of the contextual analysis and the major problems that the company is
facing in the market so that viable solutions can be provided. It is important for the company
to identify the various segments that are present in the market so that it can be targeted and
the sale of the products can be increased. The positioning of the company in the market is
also important, as it will allow them to offer the products at a competitive price to the
customers. Another focus of this assignment will be to throw light on the strategies and the
promotional mix that needs to be taken up by the company to sustain in the Australian
market.
Situation analysis
PESTLE analysis
The products that are manufactured by the company are under the rules and
regulations that are present within the country and set by the government, which allows the
products to be liked by the customers. The labour laws in the country are also strict so that
the employees can work in a proper environment. This allows the companies to conduct their
businesses in an efficient way (Armstrong et al., 2015).
The distribution of the products by the company is equal throughout the country that
has resulted in increasing the profit levels. The needs and preferences of the customers are
taken in to account by the company so that it helps them in developing a better understanding
of the market demand. The health drinks that are manufactured by the company have resulted
in increasing the attraction among the customers that are available in the market (Lidstone &
MacLennan, 2017).
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The availability of the products are within the country and are in accordance with the
tradition and customs that are present within the country. The health products that are
manufactured has resulted in increasing the product demands within the market as well. This
is due to the fact that the company has a better understanding of the trends that are customers
are following regarding maintaining good health, which has helped in developing the
products according to the tastes of the customers (Wrenn & Mansfield, 2014).
The company has established itself in a recent manner within the market, which has
helped them in adopting the latest technologies that are present so that the level of
productivity can be increased. The adoption of these technologies has resulted in decreasing
the cost of production and increase the level of outputs as well (McDonald, 2016).
The legal policies that are present in the country are also followed by the company in
a strict manner so that it can avoid the legal implications. This helps the company in working
in a better way in the market so that the level of output can be increased.
The environmental factors are also taken in to consideration by the company, which
allows them to monitor the level of pollution within the country. It also protects the water
sources due to the greater use of the resource within the organization. This allowed the
company in maintaining a goodwill in the market (Tanner & Raymond, 2015).
SWOT analysis
The main strength that is present within the company is the way in which the products
are being manufactured. The company makes it a point to manufacture the products in a
natural manner by not adding any sucrose ingredients. This makes the beverage authentic in
nature as well. The advertising that is done by the company is also extensive in nature, as it
allows them to enjoy a strong presence in the market. The major strength of the company is
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that it has a loyal set of customers that helps them in improving their brand image in the
market and satisfy the customers in an increased manner (Mulhern, 2013).
The weakness of the company us that the available resources in the market are not
used in an appropriate manner, which decreases the popularity of the company in the market.
The competition factor is also present in the market with brands such as Coca-Cola and
PepsiCo who have also launched beverages with no added sugar ingredients. These
companies are big and own a major share of market as well (Dibrell, Craig & Neubaum,
2014).
The opportunities that are present in the market are that the company needs to provide
the products according to the target market so that it can result in gaining more customers
towards them. The product diversification will also allow the company in providing
alternatives that will result in giving options to the customers. The launch of the products in
the developing markets will allow the company in growing as well due to the economy that is
available in these markets (Ayub et al., 2013).
The threat that the company faces is the stiff competition from companies like Coca-
Cola and PepsiCo, as most of the customers are loyal towards these brands and will not be
attracted towards the products that are offered by Nexba. The raw materials that are sourced
in the company also decreases due to the power of the suppliers towards the competitive
companies (Chaffey & Smith, 2013).
Competitor analysis
The competitors of the company are mainly Coca-Cola and Pepsi, as they have doing
their business in the Australian market for more number of years. This has led them in getting
a better loyalty of customers within the market as well. The products that are provided in the
market by them has been liked by the customers, which has resulted in increasing their level
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of profits. The factor of price will also be affecting Nexba beverages, as the competitors can
provide the products at a cheaper rate and increase the demands among the customers as well
(Andreasen, Kotler & Parker, 2016).
Stakeholder analysis
This analysis will help in getting a better understanding of the stakeholders that are
responsible for the company to be successful in the market. The major stakeholders of the
company are the suppliers who will be supplying the raw materials to the company so that the
production can take place in an efficient manner. The suppliers need to provide the raw
materials at a cheaper rate so that the price of the products can be competitive as well.
Another major stakeholder of the company is the customers who will be purchasing the
products. This will allow the company in increasing their level of profits. The feedback from
the customers will also help the company in developing the products according to their needs
and preferences (Cravens & Piercy, 2013).
Problem statement
The major problem of the company is that it is facing stiff competition from the
companies like Coca-Cola and Pepsi. These particular companies are carrying on their
business in the Australian market for a long duration that has enabled them in studying the
market in a proper manner. They have also introduced a product that does not contain any
additional sugar, which is a direct competitor of Nexba beverages. Another problem that the
company is facing is with respect to the marketing of the products due to the adoption of
wrong strategies (Lee et al., 2013).
This problem needs to be resolved so that the products of the company can be
marketed in a proper manner, which will result in increasing the attractiveness in the
Australian market as well.
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Market segmentation
It plays an important role for the company to increase its product output in the market.
It is very important for the company to deliver the products to the right customers within the
population so that the sale of the company can be increased to a great extent. The target
population that is present in the market needs to be understood in a better way so that it can
result in increasing the level of profit as well. The demographic segmentation needs to be
done based on the religion, income, age and gender of the population so that it can help the
company in understanding the right customers who would be interested in the product. It will
also help the company in evaluating the needs and demands of the customers so that the
products can be manufactured accordingly and satisfy their needs as well (Mooradian,
Matzler & Ring, 2013).
The segmentation that is based on behavioural attitudes will allow the company in
understanding the right population who will be interested in purchasing the product from the
market, which influences their process of decision making as well. This type of segmentation
will help the company in providing the products to the customers who needs it. The
customers who want to stay fit and healthy will be interested in these products, as the
beverages that are made by Nexba are free of sucrose content (Proctor, 2014).
The segmentation that is based on the psychographic attitudes of the customers will
allow the company in determining the lifestyle of the customers so that their interests can be
taken in to consideration by the company as well. It will also result in increasing the level of
supply in the market as well. The psychological needs of the customers has to be understood
by the company in a proper manner so that it can result in increasing the level of sales for the
company (Smith, 2013).
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The segmentation based on geographic locations will allow the company in
segregating the location of the customers so that the products can be delivered to them in a
proper manner. The country mostly experiences hot and humid weather, which will give a
better advantage to the company in selling their products across all the locations and meet the
needs of the customers (Chaffey & Smith, 2013).
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High Quality
Low Quality
High Quality Low Quality
Nexba
Beverages
Market positioning
Market positioning graph
(Source: Created by Author)
The main aim of the company is to keep the price of the products lower and maintain
a better quality so that it can provide the customers the best drinks that are available in the
market. This technique will also allow the company to increase its sale in the market and gain
a competitive advantage as well. The company will be in a better position to penetrate the
market so that the level of profit for the company can be increased as well. The products that
are of good quality will help in attracting the customers so that they can switch their brands
and become loyal to the company (Lee et al., 2013).
Marketing objectives
The main marketing objectives that the company needs to take up are as follows:
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1. The company needs to use a story so that the customers can get attracted towards the
product. This will allow the company in using the storytelling marketing policy so
that the company can gain a better position in the market.
2. The company also needs to use the social media in an extensive manner so that it can
result in increasing its attractiveness in the market in a proper way. It will also help
the customers in gaining a better knowledge regarding the products that are being
manufactured by the company and are provided in the market as well.
3. The use of influencer marketing is rather new in the marketing strategy, as it help the
leaders of the company in delivering a proper message of the brand so that the
customers can be attracted towards it.
Financial objectives
The financial objectives of the company will be as follows:
1. The profit of the company needs to be increased by 30 percent in the financial year of
2018-2019. This can be done by adopting better marketing strategies and decreasing
the overhead cost of the company.
2. The cash flow statement of the company also needs to be maintained so that the
operating capital of the company can help in covering the basic expenses.
3. The company also needs to set short financial goals so that it can result in improving
the operations of the company over a period of time.
Marketing strategy and mix
The use of marketing mix in a proper manner will result in using the different options
that are present in the marketing strategy so that the product launch can be done in a proper
manner. The product that will be provided by the company in the market will contain the
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original fruit ingredients with no additional sugar contents, which will result in the product
being natural and authentic.
The place where the products will be sold will be the Australian market so that it can
provide the customers with the benefits of the drink. The products will be available in the
supermarket stores so that the customers can get a better idea of the product and purchase it
as well (West, Ford & Ibrahim, 2015).
The price of the products will be relatively low so that it can increase the market
penetration for the company. This would result in getting a competitive advantage by the
company so that the product sales can increase to a great extent.
The right promotional techniques needs to be used so that it can result in increasing
the knowledge of the customers regarding the products that are available in the market. It will
also result in increasing the sale of the beverages in the market as well (Foxall, 2014).
Implementation and control
The market research has to be conducted in a proper manner so that the company can
control the risks that may arise in the economy. The profit levels of the company has to be
kept flexible till 5 percent so that some of the contingencies that cannot be avoided can also
be taken in to account. This will result in gaining a better control of the market share by the
company as well (Kotler, 2015).
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Promotion mix
PROMOTION MIX BUDGET
Advertising Expenses Per unit price($) Total price($)
Magazines and Newspapers 15 45000
TV Channels 15000 300000
Cinema Budget Nil 400000
Banners 25 150000
Sponsorship events 350000
Total 15040 1245000
The budget for the company has been given where it can be seen that the average per
unit cost of advertising in magazines and newspapers will be $15. The television channels
will be charging an amount of $15000 on an average and the company will also advertise
their products in movie theatres as well where the customers will be shown the product on the
movie screens when they are inside the movie halls. The company also needs to sponsor
sporting events, as the health drinks that are provided by the company are original in nature
with no added sugar content (Proctor, 2014).
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