The marketing plan presentation is for a new flavored chip called Chippy Mango. The plan introduces the new product, analyzes the current market situation and competitive landscape, identifies target customer segments of children and youth, and outlines the product, pricing, distribution, communication, and organizational strategies. The objectives are to sell 500,000 units in year one and break even early in year two.
4. Executive Summary
Launching a new flavored chips
Offering unique flavor and nutrition
Targeting segments
Making profit
The primary marketing sales
objectives
5. Current Market Situation
Started at 1992 named as Amin enterprise
then it renamed as Akij Corporation Ltd.
Founded by Late Sheikh Akijuddin.
At first Akij business was Jute trading
business.
manufacturing handmade cigarettes
popular known as “bidis” and made a great
profit.
Akij food & beverage Ltd. present products
Market Leader and Follower.
6. Market Description
Our market consists of various types of customers but our
target customers are specially children as well as the
youths. Who prefers always new flavors. So, we are
introducing a new flavor of Chips. That is totally new in
market.
It is very important to target our segment because we have
many chips business competitors. For the various classes
of people in Bangladesh, we make product packet in
different sizes. In the side of children, they are like some
eye catcher sites. In this way, we provide a mango shape
packet for our customer. Also children want some extra
from anything that is why; we also give them a bonus in the
packet that is a Tim Ball. Youth want to pass time and
some delicious and new taste. So, we make our big packet
size.
7. Targeted Segment
Target Need Feature
Segment
Children Color, New look, Provide orange color
Gift, Taste chips, sweet, Tim ball
and mango size packet
Youth Flavors, time Provide delicious tasty
pass, flavor, new flavor
arrangement mango chips, big
packet size
8. Product Review
New flavor
Delicious & Nutritious
High performance human fuel and a perfect high energy
snack for home and office
High in fiber, fat free, sweet and moist
Enrich with vitamin C
Easy to bear
Anytime eating
Always offer able
We plan to introduce two new products, Sugar free Mango
chips & Green mango Chips. The product offering the following
features-
•No sugar for Diabetics Patients
•New taste of green mango & nutritious.
9. Competitive Review
According to our survey consumer’s most prefer brands are:
Sales
Potato Crackers
Meridian
Potato Crackers
20% 35%
Meridian Mr.Twist
20% Mr. Twist
Ring Chips
11% Ring Chips
6% 8%
Lay's Lay’s
Others
Others
13. Objective and Issues
First-Year Objectives
During the Chippy Mango’s initial year on the market, we are
aiming for unit sales volume of 500,000.
Second-Year Objectives
Our second-year objectives are to sell a combined total of one
million units of our three modified flavored chips and to achieve
break-even early in this period.
Issues
In relation to the product launch, our major issue is the ability to
establish a well-regarded brand name linked to a meaningful
positioning. We will have to invest heavily in marketing to create a
memorable and distinctive brand image projecting
innovation, quality and value. We also must measure awareness
and response so we can adjust our marketing efforts as necessary.
14. Marketing Strategy
Chippy mango’s marketing strategy is based on a
positioning of product differentiation. Our primary
consumer target is children and youths who need new
and delicious flavor. There is a gift for catching children
position and attractive packet is for all type of people.
This segment can be described for all type of people
but especially for children and youths.
Our primary business target is mid- to large- sized chips
companies that want to offer a new flavor and
delicious chips. This segment consists of companies
with more than Tk 500 million in annual sales. We are
targeting children and youths.
17. Pricing Strategy
Chippy Mango will be introduced at Tk 10
wholesale/ Tk 12 estimated retail prices per unit.
Our have 3 type size product. Those prices will be
12 Tk (14 gm), 24 Tk (28 gm) and 48 Tk (56 gm).
We expect to lower the price of this first product
when we expand the product like by launching the
Green Mango chips, to be priced at Tk 10 whole
sales per unit and Sugar Free Mango chips, to be
priced at Tk 12 wholesale per unit. These prices
reflect a strategy of (1) attracting desirable
channel partners and (2) taking share from
Lay’s, Meridian, Bombay and other established
competitors.
18. Distribution Strategy
Our channel strategy is using selective
distribution, marketing Chippy Mango chips through
well known stores and retailers. During the first
year, we will add channel partners until we have
coverage in all major area and the products included in
the major local stores and everywhere else. In
support of our channel partners, Chippy Mango will
provide mega box, bonus packet, product features etc.
Finally, we plan to arrange special payment terms for
retailers that place volume orders.
19. Marketing Communications Strategy
By integrating all messages in all stores, we will reinforce the
brand name and the main points of product differentiation.
Researches about media consumption patterns will help over
advertising agency choose appropriate media and timing to
reach prospects before and during product introduction.
Thereafter, advertising will appear on a pulsing basis to
maintain brand awareness and communicate various
differentiation messages. The agency will also coordinate public
relation efforts to build the Chippy Mango brand and support
the differentiation message. To attract, retain, and motivate
channel partners for a pull strategy, we will use trade sales
promotions and selling. Until the Chippy Mango brand has been
established, our communications will encourage purchases
through channel partners rather than from our advertisement.
20. Marketing Research
Using research, we are identifying the specific
features and benefits that our target market
segments value. Feedback from market
tests, surveys and focus groups will help us
develop the Green Mango Chips and Sugar Free
Mango Chips. We are also measuring and analyzing
customers’ attitudes toward competing brands and
products. Brand awareness research will help us
determine the effectiveness and efficiency of our
messages and media. Finally, we will use customer
satisfaction studies to gauge market reaction.
22. Action Programs
August, Launching a trade sales promotion.
September, Formal production launch
October, A trade sells contest
November, Celebrities experience with Chippy Mango
December, The results of customers satisfiction
23. Budgets
First-year sales revenue Tk 500 million
average wholesale price of Tk 10 per unit
variable cost of Tk 8 per unit
sales volume of 50 million for a unit .
sales volume exceeds 70 million early in the product’s
second
first-year fixed costs of Tk 140 million
140,000,000
= 70,000,000 units
Tk 10 – Tk 8
24. Controls
Tight Control Measures
Early Warning Signals
Given the market’s validity