MKT4001D - Principles of Marketing: 'Stay Fit' Soft Drink Analysis

This report provides a comprehensive analysis of the 'Stay Fit' soft drink using principles of marketing. It begins by outlining the components of the marketing process, including market research, target market identification, positioning, competitive analysis, market strategy, and budgeting. A PESTLE analysis examines the political, economic, socio-cultural, technological, environmental, and legal factors impacting the soft drink industry, alongside micro-environmental factors like competitors and global conditions. The report then evaluates the extended marketing mix and its contribution to effective marketing planning. Furthermore, it discusses market segmentation for the new soft drink, targeting methods in the B2C market, and positioning strategies for 'Stay Fit' within its target market. The analysis concludes with a detailed examination of the marketing mix elements (7Ps) as applied to 'Stay Fit'.

Principles of
Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
SECTION01.....................................................................................................................................1
Components of marketing process and advantages................................................................1
Pestle analysis of soft drink industry as well as micro environment factors.........................2
Extended marketings mix along with its contribution to effective marketing planning........4
SECTION02.....................................................................................................................................4
The market for new soft drink product may be segmented for business and consumers market.
................................................................................................................................................4
Evaluate targeting methods used in B2C market...................................................................5
Explaining the positioning and suggest how the Stay Fit product will be positioned in target
market.....................................................................................................................................6
SECTION03 ................................................................................................................................6
Marketing Mix Analysis ........................................................................................................6
CONCLUSION................................................................................................................................8
REFERENCES ...............................................................................................................................9

INTRODUCTION
Principles of marketing refers to the managerial framework that is used for marketing as
well as running the business successfully. There are four types of marketing principles such as
promotion, place, price, and product. These 4P are important for launching the organizational
product so the company needs to consider them. (Jiawei, 2019) Marketing plays a crucial role in
enhancing the relationship between customers and the organization so that company keeps the
top of new marketing techniques. The company will introduce the soft drink namely “Stay fit”.
The report will cover the discussion about the marketing planning process with the benefits of
selecting a marketing orientation. Along with this, this report will also discuss external factors
through PESTLE analysis. In addition to this, critically evaluate the marketing mix 7ps as well as
the implementation of effective marketing through segmentation, targeting, and positioning.
SECTION01
Components of marketing process and advantages
Market research: In this step, research plays a vital role in the marketing plan so that
company initially starts with the local area. In this research, the company has to examine the
consumer’s preferences, present trends, and buying attitudes (Yaneva, 2020). Moreover, the
company also focuses on market growth, industry, and market size. The company will focus on
the innovative taste of soft drinks with a high touch of healthy drinks so that they can easily
cover a huge part of the market. Effective marketing research allows the company of “Stay Fit”
to have a better understanding of external factors that may help to cover the huge market share.
Target market: In this component, the company aims at the targeted market so that they
can allure the consumers towards the fresh product. The company will focus on the youngster
who prefers healthy drinks instead of traditional drinks. Target market enhances the focus of the
company of “Stay Fit” on the valuable customer instead of focusing on the whole market area.
Positioning: Positioning is an important element of marketing as it helps to analyze the
present market positioning of particular brands. (Fahy and Jobber, 2019) The company designs
particular strategies as per its current position and introduces the new product to enhance the
brand value. The company will introduce the “Stay Fit” soft drink that improves the brand image
as it mainly focuses on the health of consumers.
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Competitive analysis: The analysis of the current competition is the most difficult task
for the company as the present market is dynamic. (THIS, T.M.I.L., 2020) The company
understands and examines the entire market of soft drinks company to seize competitive
advantages. The competitive analysis allows the company of “Stay Fit” to more know about their
competitor's strategies.
Market Strategy: The strategies of the market are the roadmap of the company as they
define the plan and goals with the help of tactics. The company “Stay Fit” will set objectives for
a new soft drink so that they can use different marketing strategies such as digital marketing and
social media marketing. The market strategy is important for selecting the most appropriate
market strategy from several marketing strategies.
Budgets: Every organizational activities or functions need an appropriate budget to fulfill
the common motive. (Stevens et. al., 2021) The company has to detailed examination of each
aspect so that they can easily outline an effective budget to fulfill the future requirement in
marketing. It is an essential element of the organization of “Stay Fit” to perform different types
of activities smoothly.
Particulars Cost (US Dollar)
Advertising 1600
Human resource 2400
Research 1500
Promotional 2500
Pestle analysis of soft drink industry as well as micro environment factors
PESTLE analysis is essential for examining the external factors that can impact
organizational operation. It can be helpful for the company to decide as per their external
environment's analysis. It helps to company to enhance the market value as it mainly focuses on
the latest trends.
Political Factors: The company can be impacted by laws and regulations imposed by the
government. (Alanzi, 2018) The political conditions of the US are more stable that help to
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enhance the trading in different countries. After the US-China trade war, the respective company
of “Stay Fit” have majorly impacted the prices of the company's canned so that it makes the
difficulty to provide the product at a nominal price.
Economic factors: The economic factors involve interest rates, inflation rates, economic
growth, and other economic factors. The consumption of precious water is high in demand
which may impact the company in different ways. The organization of “Stay Fit” have to spend
huge capital of its budget to mitigate the water crisis problems so that it increases the cost of the
product.
Socio-Culture Factor: It estimates the different determinants such as population
analytics, demographics, cultural trends, etc. The current generation prefers energy rather than
carbonated soft drinks because of health concerns. The long consumption of traditional soft
drinks has increased the risk of obesity as it changes the mind of an individual to move toward a
healthy lifestyle which is beneficial for a firm of “Stay Fit” to increase their sale in the target
market.
Technology: This factor influences the operational work as it technological awareness,
automation, development, and research. (Shall and et. Al, 2018) Social media-based marketings
are top most effective marketing that allows enhancing the true followers through different social
media platforms such as Facebook, Instagram, Twitter, etc. So, the marketers of “Stay Fit” can
use these to spread awareness about their innovation.
Environmental factor: This factor is influenced by the changes in the environment that
create risks and opportunities for the company. The soft drink industry produces a high amount
of plastic waste that impact the whole environment so the company “Stay Fit” have to take
immediate step to mitigate such issue to maintain the environment healthy.
Legal factor: This factor is influenced by modifications in legal laws of the country so
that organizations have to be bound to follow such rules and regulations such protection of
employment law, industry regulation and license and permits for an operation, etc. The company
“Stay Fit” have followed the different type of laws that help to run the business smoothly.
Micro-external environmental factors
Dominant competitors: There are wide numbers of competitors present in the soft drink
industry such as Coca-Cola Co, Fanta, Sprite, Red Bull, etc. These companies have held a huge
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market share in soft drink sectors across multiple countries. The company “Stay Fit” have to
analyze its competitor company to take grab the competitive advantage.
Technology: Technology is always changed to offer innovative ways to improve the
efficiency of the workforce. (Vallati and Grassi, 2019, July) Most companies have moved toward
artificial intelligence that helps the company “Stay Fit” to perform the task with less workforce.
Global condition: After the global pandemic, the people are more concerned about their
health which may impact the entire business market. The respective company of “Stay Fit” have
to consider a global condition to mitigate such type of global issues.
Extended marketings mix along with its contribution to effective marketing planning
Marketing mix refers to a set of tactics and approaches that help the organization promote
its brand and products to value customers. It ensures that the company offers consumers the right
product, at the time and the right palace at the best price. The extended marketing mix assesses
the organization in defining the clear frameworks of each portion of the mix. It is important for
making the strength of the company as well as it was also important for an organizational
manager to keep monitoring targeted markets. (Le Meunier‐FitzHugh, Cometto and Johnson,
2021) There is the various contribution of marketing mic that helps the company to instruct
ineffective allocation of resources. It offers various innovative and creative ideas so that
company differentiates its presence from its competitors. The effective improvement of the
company requires to be dynamic nature to face external changes. The marketing mix maintains
the balanced approaches as well as keeps the company on the right path. The marketing mix
focuses on the entire function of the company so that it eliminates the unnecessary cost of the
ineffective task. With the help of this tool, the company converts its weakness into strengths as it
mainly focuses on internal activity.
SECTION02
The market for new soft drink products may be segmented into the business and consumer
markets.
Segmentation is a process for separating an organizational business market into the
segmentation of valuable audience behavior as well as needs. (Minaee et. al., 2021) It will help
supply each consumers groups by using different strategies to meet the consumer's needs.
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Business (B2B)- Business to business is a kind of electronic commerce as it involves
wholesaler retailers and manufacturers. It is a transaction between one business to another
business to maintain an effective supply chain.
Consumers(B2C)- B2C marketing refers to marketing that helps the company to
communicate effectively with valuable consumers. It is the retail model where services and
products are from company to consumers. The company of “Stay Fit” can use social media
platforms as it does not require a huge amount when compared with traditional advertisements
such as TV, Newspaper, Radio, etc.
The company “Stay Fit” will use B2C so that they directly deal with their consumers.
The customers seek out the service and product in an urgent manner so that purchasing is fast
with less research. (Kirillov et. al., 2020) The B2C is important for a given organization as it
eliminates cost agents and other companies which supply the product to consumers.
The difference between B2B and B2C
 Business to business aims at the market to value chain on the other side, business to
consumers aims at a market to end user.
 Business to business buying cycle is required much longer time, on the other hand,
business to consumer buying cycle is not required much time
Evaluate targeting methods used in the B2C market
Targeting is a different-segment of marketing that includes examining the particular
market or persons for the particular product. (Berl, 2020) The company uses target marketing in
context to analyze their consumers as well as establish the advertisement for their valuable
groups to enhance the response. Therefore, choosing valuable customers for selling their
products to improve the business of the company. It is important for segmenting the market
along with selecting the appropriate segment for the market with help of determining
commodities for every segment to offer. There are many approaches to targeting for “Stay Fit”
drink commodity in the B2C market with characteristics that involve benefits, demographic and
lifestyle will mention below.
Target audience: B2C organizations are in a large group of valuable audience of
individual customers, the organization of Stay fit calls supply products to the valuable customer
with main decision-making for organizational operation.
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Behavioral Targeting: Behavioural targeting is an effective marketing approach that
uses web user data or information to strengthen promotional campaigns. The technique includes
collecting data from different types of sources of valuable customers' online browsing as well as
shopping. (Lipyanina and et. al., 2020, April)The main purpose of this approach is to transfer the
promotional content to target marketing that has displayed a strong interest in them.
Regarding the organization of stay fit, the company can mainly focus on such consumers
in the US where people are preferring to balance their immune systems. They mainly focus on
younger age groups people who are more like exercise and fitness. The organization can target
its consumers based on their earnings of the consumers. About behavioral targeting, the
organization can target such consumers whose behavior is to prefer only one brand for a longer
duration so that they easily can acquire the loyalty of the consumers.
Explaining the positioning and suggesting how the Stay Fit product will be positioned in the
target market
Positioning is an essential element of the STP analysis as well as it is explained the
approach of the company, as well as commodity, are positioning in the target market. This will
assess the company to meet their valuable consumers and enhance the promotion of their
offering. (Fayvishenko, 2018) In relationship to “Stay fit”, the company needs to implement
different marketing strategies to promote their commodity and service in the fresh area in less
time. Such strategies are easily available on online platforms such as social media marketing,
email marketing, and others. Hence, positioning the product or brand is highly important for
meeting the desire and needs of customers in time along with enhancing the positive relationship
for longer periods.
SECTION03
Marketing Mix Analysis
The marketing mix is a framework of tactics that are effectively utilized by the company
for the promotion of its brand and product in the market. (Thabit and Raewf, 2018) The company
can easily improve the awareness of their fresh product in a larger area with the help of effective
analysis of the marketing mix. In relationship to “Stay Fit”, the company analyses the marketing
mix that will mention below.
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 Product: The product of the marketing mix will suggest the characteristics and features of
the company. In the context to Stay Fit, they will offer a soft drink that is made up of all-
natural ingredients and eliminate artificial color. This soft drink will assess the consumers
to improve their health system so that they stay fit for a longer duration. After Covid,
most people prefer healthy food and beverage so the company introduced this product
that will meet the demand in the present market. They have a wide range of flavors such
as turmeric, basil, and lemons juice. In addition to this, they are offering soft drinks in
different quantities such as 200ml, 500ml, and 750ml. They are using packing with
natural recycling material that can be easily decomposed and recycled over time.
(Donndelinger and Ferguson, 2020) The company is using the English language which is
most popular across the globe.
 Price: This element of the marketing mix are based on the monetary value that is
supposed to be paid by the consumers to purchase the service and product. The company
uses different types of pricing strategies that may help to accomplish the common
objectives. The organization of “Stay Fit” focus on competitive pricing strategies that
help to maintain the low price from their competitive company.
 Place: This component of the marketing mix suggests the selling area where the company
can sell its commodity and services. The organization of Stay Fit will sell its soft drink
through online platforms such as websites, e-commerce websites, and other social media
platforms. The company also targets supermarket that plays a crucial role in enhancing
sale.
 Promotion: The promotion of the marketing mix guide the promotional tool or techniques
that will assess the organization to promote their product to targeted consumers.
Therefore, it enhances the influence of the consumers toward the specific product. The
company of Stay Fit will use digital marketing as it may not need much amount when
compared with traditional advertising such as TV, Radio, and newspapers.
 People: The people of the marketing mix alludes to the importance of individuals or
people who relate to the organization. The company of “Stay Fit” focus on its workforce
which may help enhance the revenue and also asses in enhancing the skills for the
company's development. The company provides effective training to their workforce so
that they can learn different types of skills that may help to resolve the grievances. The
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company has maintained a good relationship with their consumer to maintain long-term
relations.
 Process: The process of the marketing mix suggests the procedure followed by the
organization to deliver the commodity to its consumers. The organization of stay fits
acquire the natural raw material from a native supplier by using contracts. The company
has used tools and machinery which help to prepare the soft drink and filled in the bottle
and cans. After the completion of the soft drink, the company transfer to their supplier.
 Physical evidence: The physical evidence is proof of the company as it enhances the
trueness and loyalty in the market.(Anjani, Irham and Waluyati, 2018) The physical
evidence is proof so that it eliminates the fraud and illegal activities toward the
organization. The company of Stay Fit uses a logo, designing of bottles, packing, and
bills that make the authenticity of the company. These physical elements play a vital role
in improving the brand image of the organization as well as nurturing the positioning of
the company.
The above examination of the marketing mix plays an essential role in examining the
actual desire of consumers instantly. After the examination of such desire, the company has the
advantage to make a necessary change in their commodity.
CONCLUSION
From the above report, it has been concluded that it is very important for the company
management to analyze the internal well as the external environment in a proper manner. This
not only assists them in attaining a successful position in the market but also helps them in
improving their sustainability. This report concluded that the marketing planning process plays a
very important role in launching a new product in the market. This report also concluded the
external environment with the help of PESTLE analysis along with the detailed segmentation,
targeting, and positioning of the chosen product. This report also concluded with a detailed
market analysis of the product through the marketing mix framework.
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REFERENCES
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