Lip Ton

STRATEGIC Marketing Lipton Yellow Label Tea Presented To: Sir Sajjad Mohsin Presented By: Aqsa Malik Muhammad Yasoob Khan Ali rizwan

History 

Founded in 1897, Unilever has provided superior products for millions of people throughout the world. Generations after generation of satisfied customers have continued to maintain Unilever’s reputation as an innovative manufacturer and marketer of family and health care products. Today it is a multibillion-dollar company whose products are distributed in 140 countries worldwide.

Vision 

“Lipton's vision is to available within an arm's reach of every individual's desire."

Mission Statement 

Our purpose in Lipton is to meet the everyday needs of people everywhere to anticipate the aspirations of our consumers and customers to respond creatively and competitively with products which raise the quality of life.”

Brief History of Lipton           

1948- Lipton launched in Pakistan in tin pack 1949- Lipton discontinued 1955- Lipton reintroduced in Pakistan 1974- Lipton was discontinued due to the government price embargoes 1984- Lipton re-launched in Pakistan with a big bang 1987-Tea bags were added to the Lipton portfolio 1989- Lipton merged with Lever Brothers 1995- Lipton introduces Danedar 1998- Lipton re-launched 1999- Lipton re-launched with improved blend in smaller pack sizes 2000- Re-launch scheduled of Leafier Blend

Objectives of Lipton 

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The aim is to provide quality tea that is safe for the health and energizing for the mind and body with an unforgettable flavor. Lipton has to retain its position as a market leader against all its competitors especially Tapal who is its challenger. It has to interact directly with the consumers in order to be aware of the requirements and expectations of its consumers. It has to maintain the highest satisfaction standards and goodwill amongst the consumers. It has to maintain its brand name and loyalty.

SWOT Analysis of Lipton STRENGTHS         

Unilevers is a multinational company Powerful heritage of Lipton as present in the Pakistani market since 1948 Familiar with psycho-graphics and demographics of the local consumers Strong brand image and brand awareness in Pakistan Market leader as it has a 70% market share in branded tea. Larger sales force Strong and long-term relationship with distributors, wholesalers and retailers. Sound and experienced management. Excellent marketing department assisted by a highly regarded marketing research unit.

SWOT Analysis of Lipton 

WEAKNESSES  Loss

of market share to Tapal in Karachi and Multan  Low market share in N.W.F.P.  Positioning of Lipton Yellow Label as a premium product to which consumers have a weak emotional attachment

SWOT Analysis of Lipton 

OPPORTUNITIES High rate of population growth  Rising literacy  Tea was added to the smuggled goods list in March 1998 and import duty was reduced from 45 to 25 percent. This has collectively placed the entire organized tea business in a more favorable position.  Market opportunity of Lipton Yellow Label in rural areas 

SWOT Analysis of Lipton 

THREATS Threat from cheaper tea smuggled into the country via border areas of NWFP and Baluchistan, seriously affecting Levers’ sales and earnings.  Possible increase of Tapal and loose tea market shares  Rising inflation, which reduces disposable income of consumers.  Increasing import duties since a lot of raw materials are imported would raise the price of its end products. 

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Lipton’s profit margin is exposed to rupee devaluation.

VALUE DELIVERY NETWORK Raw materials imported (Bangladesh, Singapore, and Sri Lanka)

Production of the tea (Factory)

Wholesalers

Retailers

Consumers

COMPETITIVE STRATEGIES 

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Lipton has enough resources to compete directly with Tapal is using a frontal attack to cut through the competition even though Tapal has been beating Lipton mainly due to the prices it offers. Lipton has also concentrated on extending its product line by introducing different flavors in its teabags (caramel, vanilla and cookies ‘n’ cream) as compared to Tapal that offers only green tea.

TARGETING 

Lipton Yellow Label basically has targeted the urban areas and has concentrated on the upper and middle classes {preferable age group ranging from (15 – 60)}. Even in its marketing approach for Lipton Yellow Label itself, the product is presented in a different way for instance the teabags are targeted toward the upper high class, while soft packs and jar packs are targeted for middle and middle lower class. Today as both men and women consume equal amounts of tea the age group segment selected for Lipton is between (15 – 60), for they want to target those people who are young, trendy, cosmopolitan, hip, and cosmopolitan.

VIEW OF THE PROMOTIONAL MIX 

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The promotion mix for Lipton Yellow Label comprises of around seven main activities. Different media’s are used to increase effectiveness of promotion mix. Television Advertising: Outdoor Advertising: Print: Radio Discounted Selling and Free Samples: Miscellaneous Promotion Activities:

CURRENT STATUS OF POSITIONING: Form Differentiation  Features Differentiation  Performance Differentiation  Conformance Differentiation  Services Differentiation  Image differentiation 

CURRENT STATUS OF THE PRODUCT: LIPTON

Thanks All of You For Paying Attention