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Fashion Marketing
Fashion Marketing
    Fashionable way of life
The Concept




   The concept is to introduce a fashion beverage from coca-cola

   Ingredients of the beverage is same as normal coca-cola with ginseng
    to enhance energy

   Fashionable , attractive packaging with new distribution strategies
Marketing plan
PURPOSE

• All Markets these days are saturated and competition levels
  are high because of the growing number of companies
  entering into the market
• Companies should be regularly innovative with strong
  implementation of the ideas. This Implementation can be
  done through a proper marketing plan
• Taking these things into account Coca-Cola is launching its
  fashion beverage
• So the purpose of this marketing plan is to introduce a new
  product from coca-cola in a refreshing new segment which is
  fashion
.
MISSION , VISION and VALUE

Mission
• To refresh the world …in body , mind and spirit
• To inspire moments of optimism…through our brands and
  our actions
• To Create value and make a Difference…everywhere we
  engage


Vision
•  People : Being a great place to work where people are
  inspired to be the best they can be
• Planet: Being a responsible global citizen that makes a
  difference
• Portfolio : Bringing the world a portfolio of beverage brands
  that anticipate and satisfy people’s desires and needs
• Partners : Nurturing a winning network of partners and
  building mutual loyalty
• Profit : Maximizing return to shareowners while being
  mindful of our overall responsibilities


Values
•   Leadership       : The courage to shape a better future
•   Passion          : Committed in heart and mind
•   Integrity        : Be real
•   Accountability   : If it is to be , Its upto me
•   Collaboration    : Leverage collective genius
•   Innovation        : Seek , Imagine , Create , Delight
•   Quality          : What we do , we do well
MARKETING ANALYSIS
Needs and Benefit sought by the Market :

   Thirst Quencher of a unique sought because of taste

   Various flavors and Diverse products

    Substitute to water in a way of color and taste

    Liquid combination for various meals
PRODUCT USAGE
Chart from the lesson
Who :
         All age groups from the age of 5 and above. Irrelevant to gender income,
lifestyle, region.



Why :
       Good taste.
       Regular innovation of product design.
       Beverage that help balance consumers sugar levels.
       Consistent quality delivered by Coca - Cola.

       Brand loyalty developed by Coca – Cola over the years.
When :
         Usually with meals
         Discotheques
         Special Events
         To quench thirst



How :
        With alcohol, and cocktails
        Just plain coca – cola.
PRODUCT POSITIONING
PRODUCT COMPARISON

100
 90
 80
 70
 60                                       CocaCola
 50
 40                                       Pepsi
 30
 20
 10
  0                       y



                                    y
                 e
        e




                       lit



                                    lit
      ag



              ic
            Pr


                     ua



                                  bi
 Im




                              ila
                     Q


                            a
                         Av
Market Size

• The market for our product is going to be a large fast consuming
  market. Mainly targeting the night time consumers as that is the
  maximum profit yielding market for the product.
• The market is going to spread across Discotheques and Fashion
  cafe’s around the world.
• It is also going to be spread in Fashion schools around the world
  for example IED in the different cities, FIDM – L.A, parsons N.Y.
• The product is going to be available in exclusive designer stores
  and designer café's.
ANSOFF MATRIX
Existing Products                     New product



Existing
Markets              Market                               Product
                    Penetration                         Development



New
Market               Market                          Diversification
                    Development


            As the product we are introducing represents a new product in a new
           market ( fashion) the marketing strategy applied falls within the
           diversification part of the matrix
Margin and profits

•  80 cents Production cost in Italy.
• We are considering 3.20 Euros to be the sales price to
  the Distribution
• Therefore the gross margin per can is 2.40 Euros.
SWOT Analysis

• Strengths:
 - Good brand image.
 - Customer loyalty.
 - Strong back up of funds.
 - Taste with energy enhancer ( ginseng)
 - Design
 - Efficient distribution capacity.
 - Excellent marketing strategy.
• Opportunities:
  - New product line
  - Enter into a new industry: fashion
  - Untargeted Market
  - New distribution channels


• Threats:
  - Strong competition from Pepsi in the Future
   - New market
   - Market Acceptability
Marketing strategy

• The marketing strategy behind this product is to
  develop a new market of fashion beverages

• The new product which is targeted to introduce to
  the customers the concept of a beverage being a
  fashion accessory. (e.g. : Carrying a star bucks
  coffee)

• This new product which is targeted to customers
  who are interested in fashion ( new customers and
  existing customers)
BRAND DEVELOPMENT
Fashionista
          EXISTING                    NEW

    e
    x
C   i
    s   LINE EXTENSION                BRAND
O   t
C   i                               EXTENSION
A   n
    g
C
O
L
A   n   MULTIBRANDS                 NEW BRANDS
    e
    w
MARKETING MIX
PRODUCT

  Fashionista – fashion beverage from coca-cola
                       Attractive , Stylish and different packaging
The product developed due to
 Opportunities
 Empty market
 Research
 Demand
 Fashionista differs from other coca-cola products in a way
  of places , prices and distribution
 Customers loyalty towards coca-cola is an advantage for
  Fashionista.
 Customers acceptance for new ideas encouraged the
  development in Fashionista
 Adding ginseng to Fashionista enhance energy level in
  consumers.
PRICE

• We are estimating 100, 000 cans of Fashionista to be sold in
  day all over the world
• The estimated cost of production of one can is .80 euros .
• The sale price of one can to the retailers will be 2.4 euros
• The gross margin per can will be 1.60 euros
• The gross margin income world wide in a day will be 16000

* These calculations have been made on the assumptions made by our
  group based on information collected by us from the internet in Italy
PLACE

• Types of channel
   Indirect – like Agent, Wholesaler, Retailer.


Level of marketing coverage
• Exclusive : The product is available only in selected places
  which are following
• Discotheques
• Fashion cafes
• Designer showrooms
• Fashion schools
• Fashion events
• High positioned bars and restaurant
• The changes in distribution is because of following reasons
• Because its positioned as a Fashion product
• Targeted customers are related to selected points of retail.

 Foreseeing the competition in the future, we will be making a
  mutual exclusivity agreement with the retailers stating that
  they will not introduce any competitive product in the same
  segment manufactured by a company apart from coca cola.
  For the first 6 months.
 For the first 6 months Coca-Cola will retaining its distribution
  rights of Fashionista. Coca-Cola will choose Fashionista’s
  retailers and decide the price with mutual consent of the
  retailers.
PROMOTION

• Launching party (inviting celebrities & important
  personalities).
• Sponsoring fashion shows & events.
• Special events in the night clubs sponsored by Coca-Cola
  Fashionista.
• Glow paint tatoos in night clubs
• Fashionista glasses supplied to retail points, in which
  Fashionista or other beverages will be served.
• Laser lights in night clubs.
ADVERTISING

•   TV Advertisements
•   Billboards
•   Fashion Magazines
•   Fliers
•   Posters in fashion schools, clubs and cafes
•   Direct marketing.
Briefing for advertising
 Focus on the bottle

 Connect the real thirst with fashion thirst


                             THE IDEA
 A fashion victim searching to quench her thirst and end up finding
FASHIONISTA which gives her a solution for her thirst and also
satisfaction for fashion needs
 The fashion society carrying FASHIONISTA as they carry fashion
accessories
 To create an image in fashion world that FASHIONISTA is a part of it
ACTION PROGRAMMS

            •  Initial production will be of stock of upto 4 months demand.
            •  next batch of production will start after 1 month of launch of
              the product, and response.
            • Coca – Cola sells 1.4 billion pieces in a day all over the
              world.
            • Fashionista will play a good role in this 1.4 billion because it
              will increase the percentage of sales because its addressing an
              untargeted market




Source : Article in The New York times
newspaper.
• Action plans for facing competition from Pepsi or other
  competitors are( counter attack )
 After the launch of the product in three months co-branding
  with, for example, dolce&gabbana and introduce a D&G gold
  Fashionista which will keep Fashionista alive in market
 More products from time to time like Fashionista Zero ,
  Fashionista Light etc…
 Different flavored product From Fashionista like apple
  flavored , orange flavored etc..
 Co- branding with absolute Vodka which again positioned
  themselves as fashion drink in alcohols

• Fashionista will introduce their accessories in tie up with big
  players in accessory market
• Also introduce their limited edition clothing line in tie up with
  designers
• Launch the Fashionista website which in connection with
  fashion because of the web-browsing nature of target
Marketing objectives

•   Target market objective for Fashionista is segmentation approach
    which is fashion

•   Expecting a percentage growth in customers who are interested in
    fashion and were not coke customers

•   Also high purchase rate by existing customers who is fashionable

•   Expecting a growth in company’s image as a global market player (
    by giving birth to a new segment - the Fashion Beverage segment)

•   To initiate a curiosity about how a beverage can be a fashion
    accessory (ex: as mentioned before carrying star bucks coffee as a
    fashion statement)
Financial objectives
• For many organizations the ultimate goal of the marketing
  plan is the effect it will have on the bottom line

• Fashionista’ s sales increase mainly in night because the main
  target for the product is to increase sale in discotheques

•    Also increase in sale where no other competitor is present
    (new segment) is an added advantage in sales ( new market )

• Higher price positioning affects and increase the margin and
  profit of the company
IMPLEMENTATION SCHEDULE
Task         Time          Responsibility      People in charge

Pre-launch       May. 2009 Prepare for the           Marketing
advertising                product launch            director
                           activity. Issue pre-
                           launch ads.
Product launch   Jun. 2009   Officially launch       CEO, Marketing
day - Europe                 Fashionista at Milan,   director
                             Italy.


TV and press     Jun-Aug.    Launch ads campaign     Marketing
ads campaign     2009        at entire Europe.       director
Product Launch   March       Officially launch       Marketing
day – Asia,      2010        Fashionista at          directors of
North America,               Shanghai, New York      different areas
Australia                    and Sydney.
Sponsor Milan    feb.2010    Support D&G spring     Marketing
spring fashion               fashion show at Milan. director, D&G
show – D&G                                          operation
                                                    director
Task            Time           Responsibility          People in charge
Budget variance    Dec . 2009   Analyze and adjust the      CFO, accounting
analysis                        budget according to the     department
                                actual performance of the
                                first quarter.
Advertising and    Jan 2009     To implement the            Advertising
promotion                       advertising and             company /
                                promotional plan            Promotion Agency

Website design and Mar . 2009   To Manage and update        Web hosting
managing                        the fashion trends and      company / Web
                                styles and also events      Design Agency
MARKETING BUDGET

           Marketing Cost Division for 1 can of Fashionista



Area                      Worldwide
T.V                       40 %              16 cents per can
Magazine                  40 %              16 cents per can
Other marketing           20 %              8    cents per can
activities
Total Expense             100%              40 cents per can.
MARKETING BUDGET

Period       Quarter 1     Quarter 2     Quarter 3     Quarter 4
Pieces       12000000      13200000      14652000      16703280
Cost         .40           .40           .45           .45
Total Cost   4.8 million   5.2 million   6.5 million   7.5 million


                       SALES BUDGET
Period       Quarter 1 Quarter 2     Quarter 3         Quarter 4
Pieces       12000000 13200000       14652000          16703280
Price        3           3           3                 3
Sales        36 million 39.6 million 43.9 million      50.1 million
Revenue

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Fashionista

  • 1. Fashion Marketing Fashion Marketing Fashionable way of life
  • 2. The Concept  The concept is to introduce a fashion beverage from coca-cola  Ingredients of the beverage is same as normal coca-cola with ginseng to enhance energy  Fashionable , attractive packaging with new distribution strategies
  • 4. PURPOSE • All Markets these days are saturated and competition levels are high because of the growing number of companies entering into the market • Companies should be regularly innovative with strong implementation of the ideas. This Implementation can be done through a proper marketing plan • Taking these things into account Coca-Cola is launching its fashion beverage • So the purpose of this marketing plan is to introduce a new product from coca-cola in a refreshing new segment which is fashion .
  • 5. MISSION , VISION and VALUE Mission • To refresh the world …in body , mind and spirit • To inspire moments of optimism…through our brands and our actions • To Create value and make a Difference…everywhere we engage Vision • People : Being a great place to work where people are inspired to be the best they can be • Planet: Being a responsible global citizen that makes a difference
  • 6. • Portfolio : Bringing the world a portfolio of beverage brands that anticipate and satisfy people’s desires and needs • Partners : Nurturing a winning network of partners and building mutual loyalty • Profit : Maximizing return to shareowners while being mindful of our overall responsibilities Values • Leadership : The courage to shape a better future • Passion : Committed in heart and mind • Integrity : Be real • Accountability : If it is to be , Its upto me • Collaboration : Leverage collective genius • Innovation : Seek , Imagine , Create , Delight • Quality : What we do , we do well
  • 8. Needs and Benefit sought by the Market : Thirst Quencher of a unique sought because of taste Various flavors and Diverse products Substitute to water in a way of color and taste Liquid combination for various meals
  • 10. Chart from the lesson
  • 11. Who : All age groups from the age of 5 and above. Irrelevant to gender income, lifestyle, region. Why : Good taste. Regular innovation of product design. Beverage that help balance consumers sugar levels. Consistent quality delivered by Coca - Cola. Brand loyalty developed by Coca – Cola over the years.
  • 12. When : Usually with meals Discotheques Special Events To quench thirst How : With alcohol, and cocktails Just plain coca – cola.
  • 14. PRODUCT COMPARISON 100 90 80 70 60 CocaCola 50 40 Pepsi 30 20 10 0 y y e e lit lit ag ic Pr ua bi Im ila Q a Av
  • 15. Market Size • The market for our product is going to be a large fast consuming market. Mainly targeting the night time consumers as that is the maximum profit yielding market for the product. • The market is going to spread across Discotheques and Fashion cafe’s around the world. • It is also going to be spread in Fashion schools around the world for example IED in the different cities, FIDM – L.A, parsons N.Y. • The product is going to be available in exclusive designer stores and designer café's.
  • 17. Existing Products New product Existing Markets Market Product Penetration Development New Market Market Diversification Development  As the product we are introducing represents a new product in a new market ( fashion) the marketing strategy applied falls within the diversification part of the matrix
  • 18. Margin and profits • 80 cents Production cost in Italy. • We are considering 3.20 Euros to be the sales price to the Distribution • Therefore the gross margin per can is 2.40 Euros.
  • 19. SWOT Analysis • Strengths: - Good brand image. - Customer loyalty. - Strong back up of funds. - Taste with energy enhancer ( ginseng) - Design - Efficient distribution capacity. - Excellent marketing strategy.
  • 20. • Opportunities: - New product line - Enter into a new industry: fashion - Untargeted Market - New distribution channels • Threats: - Strong competition from Pepsi in the Future - New market - Market Acceptability
  • 21. Marketing strategy • The marketing strategy behind this product is to develop a new market of fashion beverages • The new product which is targeted to introduce to the customers the concept of a beverage being a fashion accessory. (e.g. : Carrying a star bucks coffee) • This new product which is targeted to customers who are interested in fashion ( new customers and existing customers)
  • 23. Fashionista EXISTING NEW e x C i s LINE EXTENSION BRAND O t C i EXTENSION A n g C O L A n MULTIBRANDS NEW BRANDS e w
  • 25. PRODUCT Fashionista – fashion beverage from coca-cola Attractive , Stylish and different packaging The product developed due to  Opportunities  Empty market  Research  Demand  Fashionista differs from other coca-cola products in a way of places , prices and distribution  Customers loyalty towards coca-cola is an advantage for Fashionista.  Customers acceptance for new ideas encouraged the development in Fashionista  Adding ginseng to Fashionista enhance energy level in consumers.
  • 26.
  • 27. PRICE • We are estimating 100, 000 cans of Fashionista to be sold in day all over the world • The estimated cost of production of one can is .80 euros . • The sale price of one can to the retailers will be 2.4 euros • The gross margin per can will be 1.60 euros • The gross margin income world wide in a day will be 16000 * These calculations have been made on the assumptions made by our group based on information collected by us from the internet in Italy
  • 28. PLACE • Types of channel Indirect – like Agent, Wholesaler, Retailer. Level of marketing coverage • Exclusive : The product is available only in selected places which are following • Discotheques • Fashion cafes • Designer showrooms • Fashion schools • Fashion events • High positioned bars and restaurant
  • 29. • The changes in distribution is because of following reasons • Because its positioned as a Fashion product • Targeted customers are related to selected points of retail.  Foreseeing the competition in the future, we will be making a mutual exclusivity agreement with the retailers stating that they will not introduce any competitive product in the same segment manufactured by a company apart from coca cola. For the first 6 months.  For the first 6 months Coca-Cola will retaining its distribution rights of Fashionista. Coca-Cola will choose Fashionista’s retailers and decide the price with mutual consent of the retailers.
  • 30. PROMOTION • Launching party (inviting celebrities & important personalities). • Sponsoring fashion shows & events. • Special events in the night clubs sponsored by Coca-Cola Fashionista. • Glow paint tatoos in night clubs • Fashionista glasses supplied to retail points, in which Fashionista or other beverages will be served. • Laser lights in night clubs.
  • 31. ADVERTISING • TV Advertisements • Billboards • Fashion Magazines • Fliers • Posters in fashion schools, clubs and cafes • Direct marketing.
  • 32. Briefing for advertising  Focus on the bottle  Connect the real thirst with fashion thirst THE IDEA  A fashion victim searching to quench her thirst and end up finding FASHIONISTA which gives her a solution for her thirst and also satisfaction for fashion needs  The fashion society carrying FASHIONISTA as they carry fashion accessories  To create an image in fashion world that FASHIONISTA is a part of it
  • 33. ACTION PROGRAMMS • Initial production will be of stock of upto 4 months demand. • next batch of production will start after 1 month of launch of the product, and response. • Coca – Cola sells 1.4 billion pieces in a day all over the world. • Fashionista will play a good role in this 1.4 billion because it will increase the percentage of sales because its addressing an untargeted market Source : Article in The New York times newspaper.
  • 34. • Action plans for facing competition from Pepsi or other competitors are( counter attack )  After the launch of the product in three months co-branding with, for example, dolce&gabbana and introduce a D&G gold Fashionista which will keep Fashionista alive in market  More products from time to time like Fashionista Zero , Fashionista Light etc…  Different flavored product From Fashionista like apple flavored , orange flavored etc..  Co- branding with absolute Vodka which again positioned themselves as fashion drink in alcohols • Fashionista will introduce their accessories in tie up with big players in accessory market • Also introduce their limited edition clothing line in tie up with designers • Launch the Fashionista website which in connection with fashion because of the web-browsing nature of target
  • 35. Marketing objectives • Target market objective for Fashionista is segmentation approach which is fashion • Expecting a percentage growth in customers who are interested in fashion and were not coke customers • Also high purchase rate by existing customers who is fashionable • Expecting a growth in company’s image as a global market player ( by giving birth to a new segment - the Fashion Beverage segment) • To initiate a curiosity about how a beverage can be a fashion accessory (ex: as mentioned before carrying star bucks coffee as a fashion statement)
  • 36. Financial objectives • For many organizations the ultimate goal of the marketing plan is the effect it will have on the bottom line • Fashionista’ s sales increase mainly in night because the main target for the product is to increase sale in discotheques • Also increase in sale where no other competitor is present (new segment) is an added advantage in sales ( new market ) • Higher price positioning affects and increase the margin and profit of the company
  • 38. Task Time Responsibility People in charge Pre-launch May. 2009 Prepare for the Marketing advertising product launch director activity. Issue pre- launch ads. Product launch Jun. 2009 Officially launch CEO, Marketing day - Europe Fashionista at Milan, director Italy. TV and press Jun-Aug. Launch ads campaign Marketing ads campaign 2009 at entire Europe. director Product Launch March Officially launch Marketing day – Asia, 2010 Fashionista at directors of North America, Shanghai, New York different areas Australia and Sydney. Sponsor Milan feb.2010 Support D&G spring Marketing spring fashion fashion show at Milan. director, D&G show – D&G operation director
  • 39. Task Time Responsibility People in charge Budget variance Dec . 2009 Analyze and adjust the CFO, accounting analysis budget according to the department actual performance of the first quarter. Advertising and Jan 2009 To implement the Advertising promotion advertising and company / promotional plan Promotion Agency Website design and Mar . 2009 To Manage and update Web hosting managing the fashion trends and company / Web styles and also events Design Agency
  • 40. MARKETING BUDGET Marketing Cost Division for 1 can of Fashionista Area Worldwide T.V 40 % 16 cents per can Magazine 40 % 16 cents per can Other marketing 20 % 8 cents per can activities Total Expense 100% 40 cents per can.
  • 41. MARKETING BUDGET Period Quarter 1 Quarter 2 Quarter 3 Quarter 4 Pieces 12000000 13200000 14652000 16703280 Cost .40 .40 .45 .45 Total Cost 4.8 million 5.2 million 6.5 million 7.5 million SALES BUDGET Period Quarter 1 Quarter 2 Quarter 3 Quarter 4 Pieces 12000000 13200000 14652000 16703280 Price 3 3 3 3 Sales 36 million 39.6 million 43.9 million 50.1 million Revenue