Situation analysis
This report argues about the PR plan of the company called Coca Cola Amatil. This company is to franchise name of Coca Cola in Australia. The PR planning is done basically to develop the relation with the public or the target customers to enhance the customer base of the company. The report initiates with the discussion of situation analysis of the company that facilitates the management to develop the plan (Smith, 2013). It continues with the discussion of SWOT analysis, product analysis and target market analysis. It also throws light on the PR strategies, their budget and the time duration required completing the activities associated with the PR strategies made. The last part of the report focuses on the evaluation of the success of the plan.
Coca Cola products are sold in Australia with the license name of Coca Cola Amatil. This licensing has been done in 1964. This company is considered as one of the largest bottlers of soft drink and I also considered world’s fifth largest Coca Cola bottlers. Coca Cola Amatil has its operation in six countries. The countries are Australia, New Zealand, Indonesia, Fiji, and Samoa, Papua New Guinea. The company first stepped into Australia as a tobacco company named British Tobacco. After that, the company started its operations into soft drink business in 1964. The main focus at that time for the company is soft drinks and snacks (Moriarty, Mitchell, Wells, Crawford, Brennan and Spence-Stone, 2014).
SWOT analysis can be defined as the analysis of the company that facilitates the company to know its strength, weakness, opportunities and threats. This is the approach that allows the company to take corrective actions according to results of the analysis.
Strength:
Leader in soft drink market:
Coca cola is considered as the best brand among all soft drinks brand. The above data suggests that large number of people is consuming coca cola in comparison to other drinks such as sprite, Pepsi etc.
Effective delivery management system: The delivery system of the company is very effective. There are fewer mediators in their delivery system. The product directly reaches to the point of purchase from the warehouse or from the bottling house. Other companies not interfere with the products once they left the company’s warehouse but this is not the case with Coca Cola (Hastings and Domegan, 2013). The retailers handle the products only when it reaches to their refrigerators and not before that.
JIT (Just In Time): JIT is the approach that helps the company to reduce its cost of transportation and inventory. This approach is defined as the process in which the company transports of deliver the product at the time when the retailers or the market demands for the product (Dodge, 2015).
Unable to match the changing demand of market: It has been observed that Australian soft drink market is constantly changing. The demands of the people and the changes regarding the taste of soft drinks are dynamic. CCA and its competitors are constantly bringing new products to the market but CCA is not able to match up the changing demands as it does not have time to establish the new products’ image just as Coca Cola.
SWOT analysis of the company
Only concentrating of young market: The Company is only producing drinks for the young age people and the constantly ageing population of Australia is not facilitation the ales for CCA product. This is because the target market o the company is reducing day by day (Dozier, Grunig and Grunig, 2013).
Diversification of product: As discussed that company is only focusing on the young generation of population. This company has the opportunity to cater its services also to other age people by diversifying its products by including health concerns and taste concerns of older age people.
Brand extension: Not only product diversification, but brand extension is also a great opportunity for the company (Stacks, 2016). As the company is already producing and serving the customers with different new products such as vanilla coke and cherry coke, but most of the popular think that if the new products are coming in the market with same brand name then they may have same characteristics and they try to go for innovation and new taste. So, extending the brand can help the company to attract the customers and rejuvenate the old brand.
Competitors: Competitors act as the biggest threat for nay of the company. Pepsi is considered to be the most immediate competitors for coke. For being among the top players of the industry the company needs to introduce new products, new brands and unique tastes to its products (Smarandescu and Shimp, 2015).
Changing health concerns of customers: Customers these days are very such heath conscious and thus do not prefer soft drinks. They generally go for drinks that are tasty as well as healthy such as fruit drinks. So, it is important for the products
Research and development is the tool that has been used to analyze the market and then to develop the products according to the market requirement. This includes analysis of the competitor’s products than the analysis of the products that needs to be released in the market from our company (Hoy, Eddy, Manning, Tungatalum, Hoy, Mott and Ball, 2014).
Competitor’s analysis:
The closest and the immediate competitor for CCA is Pepsi. Therefore, it is mandatory for CCA to analyse the strategies of Pepsi and the products it is releasing so that CCA can thought for a counter products to release in the market that can give competition to competitor’s product. The Australian franchise of Pepsi is called as PAH (Pepsi Australian Holdings). It has been identified that Pepsi is the company where all the franchises have different marketing team and operates differently from each other. Thus, it is very difficult to determine its strategies as a whole.
The competitor’s analysis suggests that Pepsi is targeting not only the younger generation but also targeting the teenagers. To compete with this strategy, CCA has planned to release the products called strawberry coke to target the young teenagers and also to the old age people who are fond of drinking soft drinks but cannot drink because of sugar content (Flynn and Okuonzi, 2016).
Product analysis
The new product that the company is releasing is Strawberry coke. It is the drink that has no sugar content, has strawberry extracts and no caffeine at all. The drink is developed mainly by considering the health conscious customers these days. It has been decided by the company that the product should packed in different bottles. This is just to make the people aware that this do not contain any carbonate and is simple a fruit favoured juice that will not affect their health in negative way. The product would be released with the same brand name because the company does not have time to create awareness about the product’s different brand (Wang, 2015). It is a thought of the economy that if the product would be released with the same brand name than company need it to spend money on positioning the brand in the minds of the customers.
As discussed above that the company needs attract group of people other than young generation and also to position itself as the healthy brand and brand fir all. So there are following objectives of the company according to the requirement:
- To position the brand as a brand for all
- To increase 15% market share by acquiring new market segment
As discussed earlier that the new product of the company has low sugar content, no caffeine and fruit extract. Lowering of sugar content is one in order to target the health conscious people of older age and the fruit extract is included in the products just to attract and target the children or the teenagers. So according to the analysis of the products characteristics, it has been analyzed that the target market segment of the company would be children and old people or people in their early forties (Coombs and Holladay, 2013). For targeting the customers, the company will not position the product as a children’s product by providing childish image and sort of things but it targets the whole family. Younger generation is already targeted by the company, so now left are children and the parents. So, the company is overall targeting the family.
For attracting the customers or can say for involving the customers, different PR strategies and tactics should be used by the company. Following are some of the PR strategies that can help the company to relate with the customers directly.
- Family snap contest: As discussed that the product that the company is releasing is targeting the whole family. So, the family snap contest is the contest to involve all the family members. Under this contest, the families have to upload their family picture with the new products in everyone’s hand on the portal made by the company by signing in. the best 10 picture would be selected and posted in the bottles for next three months (Lloyd and Toogood, 2014).
- School campus clubs: This is tool that has been used to attract the teenagers and the children of schools. The club has been made with the schools and various activities would be done in school campus for a week to promote the products. Gift hampers would be given to the winners under those activities. The gift hamper includes the stickers, colors, and a photo frame.
Media releases involve the elements that are showcased in order to conduct the public relation activities in action (Szybiak, Swanson, Shilton, Pratt and Slevin, 2013). These elements need to be showcased by the media. The media releases in this case are posters that are shown thought social media websites as well as the e-mails sent to the audiences. No other media tool is used in this PR plan.
The time schedule involves the activities that are required to be conducted under the PR strategy and the time duration required to complete those activities. Two schedules have been made for two strategies of public relations.
Budget is made to determine the cost that has been required by each and every activity that needs to be conducted in order to conduct the overall PR plan (Sandhusen, 2008). Allocation of the cost is done and then the finance department of the company needs to approve the budget plan so that activities can be put into action. Following is the activities and the cost associated with it.
Target market analysis
Buying space for conducting events………………… $800
Gift hampers…………………………………………..$15000
Other miscellaneous props for events…………………$300
Family snap contest:
Posters………………………………………………… $400
E-mails…………………………………………………no cost
Printing cost……………………………………………. $ 600
Evaluation is the important part of every plan. This is because it is used to evaluate the success of the plan that has been made or conducted in order to achieve the objectives. Evaluation is done by matching up the actual level of achievement with the objectives that has been set up for the plan. The first objective of this plan was to position the brand as a brand for all that means brand for the whole family. This can be evaluated by monitoring the sales records and by monitoring the portal that has been made for uploading pictures of the families (Ccamatil, 2017). Surveys can be conducted from retailers to know about the buying behaviors and response of the people towards the product. Another objective that was set up for the plan was to increase the market share by acquiring new market segment. This can be evaluated by analyzing the market share. Market share can be calculated by identifying the share of the competitors and by analyzing the sales reports of the company itself.
Conclusion:
Coca Cola Amatil is the company that has developed a PR plans for targeting the customers for its new products that is, strawberry coke. The company has analyzed this situation of the market and decided to target the teenagers and the old age people as well as the family as a whole to compete with Pepsi’s strategy. Two strategies have been framed to target the customers. One of them is the family snap contest and other is the campus club. The time schedule given to both the strategies collectively is 5 weeks. The evaluation plan has also been made to evaluate and monitor the activities conducted so that level of success of theory plan can be identified.
Ccamatil, 2017. Our Businesses. Available at: https://www.ccamatil.com/en/our-businesses-and-brands/our-businesses. Accessed on: 6 Apr. 2017.
Coombs, W.T. and Holladay, S.J., 2013. It’s not just PR: Public relations in society. John Wiley & Sons.
Dodge, A. ed., 2015. Public relations: Strategies and tactics. New York, NY: Pearson.
Dozier, D.M., Grunig, L.A. and Grunig, J.E., 2013. Manager’s guide to excellence in public relations and communication management. Routledge.
Flynn, A. and Okuonzi, S.A., 2016. Coca-Cola’s multifaceted threat to global public health. The Lancet, 387(10013), p.25.
Hastings, G. and Domegan, C., 2013. Social marketing: From tunes to symphonies. Routledge.
Hoy, W.E., Eddy, D., Manning, R.W., Tungatalum, L., Hoy, P.W., Mott, S.A. and Ball, P.A., 2014. Coca Cola? the New Tobacco. In Nephrology (Vol. 19, No. Supplement 4, pp. 77-78). Wiley-Blackwell.
Lloyd, J. and Toogood, L., 2014. Journalism and PR: News media and public relations in the digital age. IB Tauris.
Moriarty, S., Mitchell, N.D., Wells, W.D., Crawford, R., Brennan, L. and Spence-Stone, R., 2014. Advertising: Principles and practice. Pearson Australia.
Morris, T. and Goldsworthy, S., 2015. PR today: the authoritative guide to public relations. Palgrave Macmillan.
Sandhusen, R. (2008). Marketing. Hauppauge, NY: Barron’s Educational Series.
Smarandescu, L. and Shimp, T.A., 2015. Drink coca-cola, eat popcorn, and choose powerade: testing the limits of subliminal persuasion. Marketing Letters, 26(4), pp.715-726.
Smith, R.D., 2013. Strategic planning for public relations. Routledge.
Stacks, D.W., 2016. Primer of public relations research. Guilford Publications.
Szybiak, M.A., Swanson, M., Shilton, T., Pratt, S. and Slevin, T., 2013. Coca-Cola media campaign: Securing the transnational bottom line in the name of obesity. Obesity Research & Clinical Practice, 7, pp.e30-e31.
Wang, M., 2015. Brief Analysis of Sports Marketing Strategy Adopted by Coca Cola Company. Asian Social Science, 11(23), p.22.