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International Islamic university Islamabad Marketing Management Project on Tetley Submitted to: Mr. NAVEED ALTAF

Submitted by: KHURAM SHAMIM ASIM FAROOQ M.IMMAD MAJEED

Muzammil Hussain

Faculty of Management Sciences

Contents:
1. History 2. Introduction 3. Objectives Vision Mission value 4. Current marketing mix (4ps) Product Competitors Price Promotion 5. New brand Product Brand name Packaging Price strategy Promotion 6. Target market Geographic: Demographic segmentation: Psychographic: Behavioral: 7. SWOT analysis

TEA HISTORY

2737 BC The Chinese emperor Shen Nung is sitting under a tea tree (camellia sinensis) while his servant boils drinking water. Some leaves from the tree blow into the water. So an accidental infusion takes place, and the cup of tea is born. Well thats the legend, anyway.

Tetley Tea History

Tetley Tea maintains a tradition of quality begun over 160 years ago in England. At the beginning of the 19th century, brothers Joseph and Edward Tetley founded Joseph Tetley & Co. in 1837, after successfully selling tea off the back of their pack horse for several years. In 1856, they moved the company to Londonthen the center of the worlds tea trade. They eventually parted, and Joseph unveiled the newly named "Joseph Tetley & Co., Wholesale Tea Dealers." In 1871, Tetley took his son Joseph "Junior" into partnership. Business flourished and the company extended its services to include blending and packing. By 1888, the company was ready to take its next major step-an agreement with American agents to distribute Tetley's teas throughout the United States

Tetley Expertise
Tetley purchases millions of pounds of tea each week for our different blends of tea. These teas come from as many as 35 different countries and as many as 10,000 different estates. Tetley selects only the finest tea leaves to produce our exceptional quality blends.

Tetley & t he Tea Bag

Though sales of tea in tea bags accounted for only 5% of Tetleys sales by the 1930s, the company accurately pegged them as the future of tea commerce. War interrupted immediate production plans, but the foundation was laid for the launch of the Tetley Tea Bag in Britain in 1953.Tetley continued to innovate with the introduction of the round tea bag to the U.S. in1992, that literally changed the shape of the market. Tetley further revolutionized the industry with the unveiling of the first drawstring tea bag, in 1997. Designed to squeeze every possible drop of flavor into every cup, Tetley drawstring tea bags have become a favorite with lovers of hot tea.

Tetley in Pakistan
Tetley in Pakistan is an interesting story, it failed to do well despite its established existence in the UK since1837.Even in UK tea is preferred more over coffee which caters to a different cultural set. Similarly, tea is more of a South Asian concept; it is consumed in a totally different manner as compared to the UK market, that is why flavored tea doesnt strike us well into its consumption, the cultural phenomenon cannot be ignored, orange tea or strawberry tea and that took a hot beverage cannot relate to the Pakistani market. For any brand to be known well awareness needs to be created when it is launched while the key to success is based upon three important factors: Differentiation Doing something with an Impact Creating publicity / Advertisement

OBJECTIVES
Company Mission
To make the world a better place through life-enhancing sustainable hydration.

Vision Statement
To become the leading beverage company for you. Value Our company values add up to something unique that gives a sense of responsible irreverence in all that we do.

MARKETING MIX OF TETLEY (4Ps)

PRODUCT:
Tetley has two types of products: Tea Coffee

Tetley tea comes in three different flavors and coffee has one flavor which is black coffee. elichi flavors specially for mature peoples , masala and ginger flavor for youngsters and teen agers. Flavor for we are launching a new product which is coffee bags.

PRODUCT TEA COFFEE BLACK ELICHI MASALA COFFEE BAGS GINGER

COMPETITORS:
Brooke Bond Supreme Supreme is Pakistans largest brand of tea, with over 30 million cups consumed daily and is made primarily from the worlds finest Kenyan tea. The success of Brooke Bond Supreme is based on this very insight, since tea is a part of the social fabric of Pakistanis. Brooke Bond Supreme was launched in Pakistan in 1984. Since then Brooke Bond Supreme has never looked back and today, is the largest selling tea brand in Pakistan. Tapal Tea Tapal chai family mixture is the pride of Tapal developed in 1947 and thus creating a new category of mixture in tea market. It is the blend that started the Tapal success story, and now the other tea companies are following Tapals footsteps by entering the market with similar blends. Danedar Leaf Blend Pioneer of the Danedar category in Pakistan, Tapal Danedar remains a firm favorite around the country with its grape-nutty appearances, rich golden color

Brook Bond A1 Karak Chai A1 is the individuals aegis. Launched in 1996 the brand has certainly come a long way to acquire national status. It has two variants catering to regional taste preferences, mixture for the South and leaf for Punjab. A1 has a unique standing thanks to its strong blend which translate into the strength of the common man. It mentally and emotionally revives, bolstering courage to face challenges and defy all odds.

PRICE:

WEIGHT 15 GM 100 GM 200 GM TEABAGS BAGS 160

TETLEY 15 52 105

SUPREME 20 65 125

TAPAL 18 60 115 LIPTON 260

LIPTON 25 65 130

TETLEY 230

PROMOTIONS:
1. Electronic media: Tetley promote its products through commercials on television and radio. 2. Print media: They place advertisements in news paper and magazines. 3. Internet: Official web site of tetley tea.

INTRODUCING NEW BRAND PRODUCT:

We are going to launch a new product which is coffee bags. The idea is taken from teabags.

Brand name:

Tetley coffee bag

Features:
It is product line extension from Tetley. It is made from pure coffee bean. Improved taste. It has low caffeine.

Packaging:
I60 tea bag in pack bag.

Ingredients:
Coffee beans mixed with cream.

Pricing:
Coffee bag packet.

Offered price Rs 8/- per coffee bag

Target Market:
Geographic:
Region: federal areas

City: Rawalpindi, Islamabad

Demographic segmentation:

The product we wish to launch is equally beneficially and attractive for the people of all ages gender and income group. Usually students and office workers whose job is mental exercise would prefer our product. Teen agers would like our product because its really an attractive innovation rather then fashion. People between 25 to 40 would be attracted to this product because of the ease we provide. It is a way to save time for business class people.
Psychographic:

Usually it has been observed that the people of selected region i.e. Islamabad/Rawalpindi such that the product will suit them according to their life style because most of the people drink coffee more than tea. The ease we provide for the usage of coffee will definitely attract them. You can relate this thing to local culture of the region. Behavioral: Coffee usage this region is regular. Also people like drinking coffee on special occasion too. Most of the time people are quality centered here. We will ensure the quality of our product such that it suits the demand of targeted consumer.

Promotion: Existing promotion methods:

1. Internet. 2. Print media. 3. Electronic media.

New promotion methods: 1. Initially we will offer free coffee mugs with Tetley advert printed on it for the customers who buy one pack of coffee bags. 2. In educational institutions like colleges universities and school we will place our stalls that will offer free coffee for try the taste. 3. Place our stalls outside cinemas theatres and other busy public places. 4. We will place over adds on billboards and hoardings.

SWOT ANALYSIS :
Strengths:
Our main strength is the innovation we introduce Time saving Easy to use Fashionable

Weaknesses: Not durable expiry date Opportunities: Suits the cultural values of the region.

Threats:
There are no present threats but there can be some potential threats. Our competitors can use our idea and work on it. SWOT ANALYSIS FOR TETLEY STRENGTHS One the oldest Tea Brand in the World: Tetley has been around since 1837, and is among the oldest living brands in the world and has been making tea for more than 160 years. Association with TATA Group It is owned by TATA Group of Co. which is the largest tea manufacturer and distributor of tea in the world. Pioneers:

Tetley has always been the pioneer in inventing new things when it comes tea. Their inventions include the tea bag and the round tea bag. Promotional strategies: Tetley is among those brands that have made a mark in very especially in the interiors. It battled with players like TAPAL and UNILEVER. I was only possible because of their strong promotional activities. Quality Quality has always been Tetleys strong point. The price driven market is now becoming a little quality conscious and it is helping Tetleys cause. Association with Lakson It is partly owned by Lakson Pakistan, which deals in many diverse products and has full experience and knowledge of the Pakistani environment & its consumer Promotional Activities Aggressive promotional BTL activities in the area have brought a lot of pressure on Tetley. They have to come up with the same or better BTL activities to keep up. OPPORTUNITIES Brand loyalty Since tea is one of those products which has a low switch over rate and is sold because of its unique features such as taste color etc. Tetley can use its rich experience to cater the desired features and capture the market Urban market: The urban market is dominated by two players only. Given tetleys experience,size and affiliations, Tetley can certainly give these players a hard time if it fully launches itself in the Urban areas

WEAKNESSES Market share Out of the total share Tetley has only been able to capture 7% of the national market. One reason is the fact that they have not entered the metropolis areas with full force as of now. Customer Preference Due to recent increase in recent tea prices many consumers have shifted to unrefined tea better known as kholi Chai Because of the cost factor. Since most of it is smuggled, so Tetley and other good brands are not able to compete with them. Customer Awareness Customer Awareness is another issue that the company needs to work on. A lot people are still unaware that Tetley is available in the urban centers. Distribution Their poor distribution is making matters worse. Tetley is either not availableat the stores, and even if it is there will only be one SKU available per store. Advertising

It only advertises in the rural areas and no mentionable efforts have been madeto capture the urban population.

THREATS
Infringements & Copyrights Everyday a new copy brand comes up with a similar logo, name or color. Tetley has to continuously look out for these copycats and deal with them. Competition Like any other industry, this industry is also very competitive. Local brands are also learning the western ways of marketing and are now copying large multinationals activities and delivering the same goods at cheaper price. Smuggled Tea No Measures have been taken by the government to stop this act. Smuggled tea is consumed in the same volume as all the branded tea combined