INDUSTRY ANALYSIS:

Fast Moving Consumer Goods (FMCG), also known as Consumer Packaged Goods (CPG), are products that have a quick turnover, and relatively low cost. Consumers generally put less thought into the purchase of FMCG than they do for other products. Though the absolute profit made on FMCG products is relatively small, they generally sell in large numbers and so the cumulative profit on such products can be large Fast-moving consumer goods (FMCG) or consumer packaged goods (CPG) are products that are sold quickly and at relatively low cost. Examples include non-durable goods such as soft drinks, toiletries, and grocery items. Though the absolute profit made on FMCG products is relatively small, they generally sell in large quantities, so the cumulative profit on such products can be substantial.ge. The term FMCG refers to those retail goods that are generally replaced or fully used up over a short period of days, weeks, or months, and within one year. This contrasts with durable goods or major appliances such as kitchen appliances, which are generally replaced over a period of several years. FMCG have a short shelf life, either as a result of high consumer demand or because the product deteriorates rapidly. Some FMCGs such as meat, fruits and vegetables, dairy products and baked goods are highly perishable. Other goods such as alcohol, toiletries, pre-packaged foods, soft drinks and cleaning products have high turnover rates. The Indian beverages market, be it beer, vodka, soft drinks or juices, is on the target list of many players. market survey in Delhi by Food Industry India.com reveals that the market leader in the (North-) Indian energy drinks segment is Red Bull, the fancy drink from Austria, which provide wings, according to their advertising messages (in Austria, Red Bull-voka mixes are calles Flgerl or small wings). Boxes with Red Bull are stapled even in smaller shops in local markets. Worldwide, Red Bull has a market share of around 70% in the energy drinks segment. Several other energy drinks have been launched in the last time or are imported, like the fighter brand which is produced in the Netherlands for Virgin Islands located company smart drinks ltd., and Power Horse, a brand imported from Austria. Two others, the X35 from UK and another energy drink from Austrian Global Beverages plan to hit the Indian market soon.
Padmashree Dr. D.Y. Patil Universitys Department of Business Management

The concept of an energy drink and how they are produced is similar to carbonated soft- drinks, and also similar to branded sports shoes, like Nike, for example. Nike doesnt produce any shoes, the production is outsourced. Instead, Nike sells fitness, or fashion, or whatever is highlighted in their ads. Also smart energy does not produce energy drinks. This company has gone a step further and gets drinks produced on demand, according to the customers requirements. Drinks can be delivered in many can designs and brand names. The most critical aspect in the energy drinks business is the right promotion, in order to create the right fancy image and link it to an energy drink. Red Bull is doing that through sponsoring car races, by having given its name to a sports stadium in Austria, and extensive ads, especially on TV. It has to be seen what the various players in India will do in that regard. A total different question is whether a new energy drink brand should be created to boost sales of a relatively unknown vodka brand. That seems to be an equation with several unknowns. The energy drinks market in India is expected to double in size over the next couple of years as a host national and international players venture into the segment. The market for such drinks is expected to double in size to Rs 1,000 core over the next two years from Rs 500crore presently. Energy drinks in India till a year back were dominated by players such as Rhinos, Bullet, Cloud 9 and Red Bull among others has suddenly spruced. Sales, however, started picking up post the entry of established players such as Pepsi and Amway. Pepsi has been marketing its energy drink Sober since November last year while Amway XL has been around for nearly seven months now. Red Bull and Power Horse, who have been around for a couple of years now, perhaps were the only existing players to be marketing such product effectively

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

COMPANY PROFILE:
HOTCANE INDIA. PVT LTD The HOTCANE was founded in 24may 2009 in Mumbai. The factory facility has been founded on 25 canal area of land in the industrial area Andheri Lokanwal complex. We have ensure the installation of modern sophisticated and efficient equipment confirming to the very latest standard of Good Manufacturing Practices Our first juice launched in Mumbai i: e Power Up Mango juice and Power Up lemon juice in 10 Aug 2010, our both products are very popular among the people, now this product are doing well business all over India. Because the success of our previous brand company plan to launch new product i:e Power Up energy drink. Vision Be the global leader in customer value

Mission To set world class standard in juice industry through providing a diverse range of high quality products that are prepared in according with Indian principals serving to satisfy customers tasting and need and serving the society

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

Introduction to Power up Energy

People started too perished under the scorching the heat of summer in our country they need of energy drink to refresh them Power up is a fresh juice product. It provide energy and keep fresh when feel weak and tired after doing lot of work in whole day. It contains vitamin and proteins which is useful energy sources. Vitamins gives freshness and proteins are the energy cells that are recharge the human body so they work at their maximum. The students employee and workers all field of humans become tired due to the work burden and sunlight which make them feel lose. They need an energy drink that make them energize so they may be able to perform better again and feel fresh. Slogan

Ingredients are: Objectives

Mango apple pine apple banana grapes mix Artificial colors Stabilizers Ascorbic acid Beta carotene Sugar

To increase market shares To increase the length of product line To increase profit To satisfy customer To face the strong competitors

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

Current Market Situations

POWER UP is fresh juice product that is going introduce in Mumbai domestic market. We are focusing to all levels are generation. The price of Power Up is moderate because it is for all

Our competitors
The Power Up is currently facing very competitive environment. Because already in market following compotators are: Red Bull Burn Monster AMP Energy Rock star Full Throttle

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

SWOT Analysis of HOTCANE Strengths

Updated technology plant Quality product Specialist available for specialize task jobs Hire experience staff Medical income of employee India made Targeted to low and middle class people Reasonable price Expiry date above six months annum

Weaknesses
New in juice industry Small distribution network Strong competitors No market share Limited experience of customers

Opportunities
Increase the distribution network Acquiring the new technology Market is very big and attractive Take over the distributor Increase demand of high quality of product due to Lahore being a develop city

Threats
Political instability New entrance of exiting competitors So many competitors Retaining consumers Economic instability Increase of general sales tax Development of plant

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

Comparison with Red Bull

SWOT ANAYLS OF RED BULL

Strengths
Strong, fresh, fashionable brand identity Dangerous ingredients add edge Consumer recognition through sponsorship of High revenue as price is set 10% higher than normal soft drink due to drinks function adding value Shareholder investment minimal due to huge turnover 29% global market share selling in 70 countries. 4 billion cans sold globally per annum

Weaknesses
Red Bull may have lost its edge as it is now accepted as being safe by most governments. Lack of patent on Red Bulls recipe means that anyone can copy it Red Bull having to sell Toro Rosso due to F1 rules may decrease marketing opportunities.

Opportunities
Turnover increased through: New products Carpe Diem, Red Bull simply Cola and Red Bull energy shots Expanding into developing markets such as Asia and Africa Consumer recognition through sponsorship of extreme sports and events

Threats
Turnover decreased through: Consumers purchase other more Illegal energy drinks containing more taurine and caffeine. Accepted as being safe Red Bull may lose its edge. Changing buying habits of Red Bulls largest market (18-24) Market share reduction due to competition from the 228 other energy drinks.
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Padmashree Dr. D.Y. Patil Universitys Department of Business Management

Marketing Strategies of Red bull;

Product: Red Bull combines well thought-out brand image, playful advertising, media-rich events and sponsorship not only to cultivate their edgy image, but also to ensure every consumer can relate to the product in some way. Qualities of Red bull: large promotion and market coverage large range of flavors high availability

Pricing: Red bull pricing of 250ml of Rs 70 Rs

Promotion: Red bull gives add for many electronic media to attract large number of customer.

Place: Red bull has a large market share in India

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

Marketing Strategy and Objectives:

The marketing strategy is based on positioning of product in the mind of consumers. Providing high quality juice to the customers. We will distribute our product on mass level so that we can maximize the profitability.

1. Positioning strategies
We want to put our image an on in the consumers mind as compare to competitors product. We want to target the high school college and graduate students and government sector that have to work hard and need to Refresh them an instant,

2. Segmentation
We made the market segmentation on following basses Geographic Demographic Psychographic Behavioral

Geographic segmentation
Region City Rural and semi urban areas

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

Demographic segmentation
Age Family size Gender Income Occupation Education

Psychographic segmentation
Socioeconomic classification (SEC) Life style Personality

Behavioral segmentation
Occasions Benefits User status Usage rate Loyalty status Readiness stage Attitude towards the product

Targeting
We will target the following customers Kids Youngsters Mature Old age persons

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Marketing Mix
Product Price Promotion Place

1. Product strategy
Develop the long term relationship with customers Give values to the customers to delighting them Do whatever it task not satisfy the customers but retain our customers In order to accomplish this objective, the company has established sales, marketing and support teams.

Product variety
Our product would be available in following flavors
Orange Mango Mix fruit

Brand name
The name of our product is POWER UP

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Quality
High quality assurance would be our first priority. This would be ensured by Implementing high quality standards Total quality management Acquisition of high quality raw materials

Design
Power Up is the sweet, Power Up juice with an eye catching tetra pack

Features
Here are some features of our product Fresh original fruit juice Provide proteins and minerals Provide vitamins Beneficial for kidney Excellent in taste Gives freshness Tetra pack protection packing

Packaging
Product units are packed in 6-layered Tetra Brick Aseptic.

Size
Our product is available in 250 ml pack.

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3. Pricing Plan
Our price includes custom services and other expenses. Passage through its life cycle changes its price strategy. To attain large market share prices should be at moderate level to seek attraction of large number of consumer

Pricing in India Rupees

Fruits cost Factory over head Miscellaneous Retailer margin Profit Total price Rs 6/Rs 8/Rs 5/Rs 3/Rs3/Rs25/-

According to our above pricing plan we have decided to offer the product to customers at Rs.14.The price is very much competitive and offer is feasible enough to catch a large percentage of market shares.

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

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PRICE AND QUALITY GRID:

This grid shows what pricing strategy a firm is perusing;

LOW

PRESENTATION

PRODUCT DEVELOPMENT

PRICE

HIGH

MARKET

DEVELOPMENT
LOW

DIVERSIFICATION
HIGH

QUALITY:
According to the above grid we are offering high quality with low rate.

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4. Communication plan: Promotion:

Actually promotion is the first step when we are launching a product. But we make its strategy in last because we want our good image in the mind of our customers. Criteria for promotion: Our main objective to provide:

Awareness Knowledge Liking Preference purchasing

Core sources of promotion:

print media cable network billboards hoardings

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

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PRINT MEDIA:
NEWS PAPER PAGR COLOR OR BLACK & WHITE
NAVBHARAT TIMES MUMBAI MIRROR Maharashtra Times MID MID BACK COLORED COLORED COLORED STANDARD SIZE STANDARD SIZE STANDARD SIZE DAILY DAILY Weekly 10500 7000 8000

SIZE

DAILY BASIS

WEEKLY BASIS

CHARGES

TOTAL

25500

HOARDINGS:
LOCATION BANDRA ROAD MALL ROAD TOTAL SIZE 3090 3090 DURATION 1 MONTH 1 MONTH TOTAL COST 600000 800000 1400000

CABLE NETWORK:

LOCATION LOCAL CABLE

TIME 6:00pm to 10:00pm

COST 30000

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BENEFITS:
Following are the additional benefits which are offering to the customers to give them values:

Give five rappers and get one juice pack Purchase ten pack & get one free juice If you purchase one crate of juice then you would able to participate in lucky draw for following:

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PLACE:
Distribution reviews To assure the availability of its product POWER UP juice has established affective dealer network

The main target of these juices is Lahore.

Manufacturer

DISTRIBUTOR

RETAILER

CONSUMER

The end consumer would then purchase fresh from the retailer. The distributors are the most reliable distributor in the region.

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

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BUDGETING:

S. No 1 2 3 4 6 7 8 9 10 11

Description

Amount

Cost of land Raw material Stationary Office expenses Staff salaries Freight inward charges Repair & maintenance Research & development Technology Marketing & media expenses TOTAL

2500000 250000 35000 50000 50000 60000 150000 50000 500000 1225800 4870800

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

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CONTROL:
This is the main and last element of the marketing planning by using this we can check the standard of our product for the purpose of correcting any error if occurs There are three main functions are performed under this element of planning:

Measuring Comparing Correcting

Measuring
We can check marketing condition through meaning in which different type of task may be performed like

Surveys

Survey for the future:

In order to learn whether people would like to buy our product, we have decided to conduct a market survey in future so that we can assure that people like our product or not.

Comparing:
In controlling process we compare our product with our standards

Correcting
If any problem occurs then correcting process will take place in which we found that from where the problem will arises.

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

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1. Marketing organization:
POWER UPs chief marketing officer, hold overall responsibility for all the companys marketing activities so. There are other subordinates with him to help the sales campaigns, trade and consumer sales promotion, and public relation efforts. 2. Action programs: The POWER UP will be introduced in April .following are summaries of the programs we will use during this summer session to achieve our stated objectives. May we will initiate 80,00,000 rupees trade sales promotion campaign to educate dealers and generate excitement for the product launch , and provide sample crates to our selected product reviewers, opinion leader and celebrities as part of our public relation strategy. June we will start with integrate print /television campaign. The campaign will show how many features the POWER UP have for users to reenergize them. July as the juice advertisement continues, we will add consumer sales promotion by including them to our message. We will also support or retailer to increase our sales. August we plan to roll out a new advertisement having new views of customer through survey that has used our drink which will help to promote our juice.

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

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Bibliography:

www.wikipedia.com www.marketing.com www.redbull.com

Padmashree Dr. D.Y. Patil Universitys Department of Business Management

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