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Marketing Plan For Sprite Carbonated Drink

5136 words (21 pages) Essay in Marketing

5/12/16 Marketing Reference this

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This marketing plan is designed for Sprite, which is a carbonated lemon flavoured, caffeine free drink and one of the brands produced by Coca-Cola Company. This plan is produced in response to the declining market share of Sprite in number of countries including North America, China, Europe and some Gulf states to set up and present clear picture of future plan and strategies for marketing. The plan is centred around markets and customers analysis, marketing mix, integrated marketing communication strategies, target market summaries, product positioning and repositioning, essential marketing approaches and techniques and other related discussion and recommendations. As market share of Sprite is declined in various countries therefore the main aim is to regain the market share and to bring the product to the position parallel to the leading brands currently active in the market. Sprite will be launched with improved marketing under the same brand name but its formula will be enhanced by making it carbonated instant energy and nutrition drink and the objective of this planning is to provide strong foundations for communicating effectively to the world about Sprite and its enhanced features and presenting it as a quality drink, Actually it will be positioned as a product for people of all ages and fields because of adding vitamins and minerals in the product making it not only carbonated drink but also nutrition drink for children, young people as well as aged people. Multi-dimensional strategies taking into account the consumer behavioural issues are stated which will be pursued with the aim to achieve company strategic and marketing goals and objectives.

Sprite will be marketed as best carbonated instant energy drink while struggling to reinforce the company’s status as leader in quality and consumer health care. The marketing strategies will be pursued with the aim to regain the market share lost to competitors while meeting the needs of the still-unserved market for the carbonated energy drinks. Achievement of success will be regarded at a point of capture of significant achievement of market share at a global level within this market at the same time pushing the company towards the top point as the market leader in the drinks segment. Extensive marketing activities and business operations will be facilitated across the borders.

Marketing for Sprite will be carried out with the following ambitions

Identification of the local market conditions, target markets and promotional opportunities

Delivering clear messages to the consumer about the product and its enhanced features

Performing effective advertising and promotion that will derive sponsorships from possible strategic partners. Such promotions are critical to the strategy to increase the strategic alliances through cross-promotion.

The overall aim behind this plan is to set up strong marketing plate form and to align the product with the goals and objectives of a company of provision of quality product to satisfy consumer requirements around the globe.

Company Description

Sprite is carbonated drink and one of the brands produced by Coca-Cola Company which was introduced by the company in 1961in competition with 7Up which is also carbonated drink. The core undertaking of the company is to provide quality products to achieve consumers’ satisfaction. Company is working in the field of drinks for a long time with its head company is in United States and operations all over the world and number of employees working in its worldwide chain. Company has modern manufacturing facilities in number of countries, skilled human resource, good image and reputation; all these factors are providing strong foundations to the company and also good base for marketing because company has already famous on international level and having good reputation therefore carefully designed marketing can be very effective in increasing the sales/overcome declining trend in sales. (Sprite History and strategy) [1] 

SWOT Analysis

SWOT Analysis can be used in best way to assess, analyse and state the strategic situation of a Company in terms of its strengths and weaknesses and opportunities and threats


Well established organization

Strong product and brand image

Operations all over the world



Highly skilled staff


Lack of marketing in various countries

Highly complex and specialised business and manufacturing processes therefore costly

Brand dilution

Over focused on markets of developed countries

Little diversity in flavours then competitors


Increased fitness industry

Increased media available (Mobile/Internet)

London Olympics events coming to UK

Increased awareness of health and fitness


Competitors are extending their products

Threat of new entrants

Competitors could use aggressive marketing tactics, cut down prices

Drinks such as Red Bull, Lucozade, Milo and other chocolate drinks are becoming famous

(Business Recorder Newspaper) [2] 

Competitive forces

Sprite is facing intensive competition from manufacturers of Pepsi, 7Up and other drinks and increase in competition is creating number of problems. High intensity of competition is decreasing the margins of not only of individual company but also that of a whole sector. Bargaining power of customers is high they can easily switched towards the products of competing companies?

Sprite Campaign

New marketing initiative will be undertaken with the name of Sprite Campaign in response to declining sales of Sprite, under this new program every activity will be performed to make the product aligned with the objectives and goals of the company that is the objective of ensuring of provision of high quality products to the consumers all over the globe and to achieve the consumers’ satisfaction.

As awareness among people is increasing regarding healthcare and they are preferring to buy health drinks such as fruit juices and energy drinks and this trend of buying healthy drinks rather than simple carbonated drinks is increasing, In response to this increasing trend and declining sales of Sprite in number of countries, new enhancement program for Sprite will be started in which the first step will be to improve the chemical formula of sprite by adding some vitamins and minerals to make Sprite both carbonated and nutrition drink and in second stage the marketing strategies based on this plan will be pursued.

All this strategic and marketing program and planning will be centred on the following objectives

To become leader in the carbonated energy drinks segment with increased market share in both existing and target markets at international level

To strengthen and meet the requirements of more adventurous generation in terms of refreshment, enjoyment, energy and overall quality of product.

To make the company to stay at the point as the leading company in quality and innovative product introduction and successful launch of the product in the markets where the product is not currently available.

To make the product an ideal drink for people of all ages and for all events such as an ideal drink for Youngers, families, parties, social gathering, sports etc.

Increasing Demand for Drinks

It is true that some companies manufacturing drinks are facing decline in sales of its products but overall the demand for drinks is increasing. Some companies are facing decrease in sales due to decline in sales of their carbonated drinks. The overall increase in consumption in last five to ten years is due to increase in consumption of Fruit and vegetable drinks, energy drinks and bottled water. Research reveals that awareness of health and fitness is increasing more people are going for exercise, gym and sports and prefer healthy drinks.

(Global Drinks Consumption) [3] 

All this is presenting an opportunity for carbonated drink manufacturers to respond to increase in demand and should introduce dual products that can meet the requirements of both refreshment and nutrition for consumers. In responding to the situation Sprite can expand its offering through alliances and acquisitions while focusing on diversification. Today while it became clear that sales volume of simple cold drinks has declined due to large number of consumers who are adopting the trend towards healthier alternatives in soft drinks segment therefore company is required to pursue the introduction of new flavours and launch of health-conscious formulations, the market is expected to show sustained growth and consumers interest in the future years as consumption shift to more healthier products. According to the survey conducted by Association of Consumer Protection in United States in 2009, consumption of multi drinks i.e. drinks which are both carbonated and nutritional will be higher in all other drinks in 2011. In order to take benefit of this increasing demand Sprite should design effective marketing strategies for its enhanced product version and should try to clearly communicate to the world that Sprite is not only a mixture of water and CO2 (Carbon Dioxide Gas) but also a mixture of vitamins and minerals which are essential and beneficial for the human body.

Expected Drinks Consumption

(International Euromonitor Website) [4] 

New Channels of Marketing

Competitive rivalry among companies operating in Drinks segment is high, major competitors of Sprite include Pepsi, 7Up and other carbonated and sugar drinks. As a consequence market can be an ever-evolving test for the brands that wish to continue to grow in a category that is currently worth £3.55bn. In the segment of cold drinks the trend towards soft drinks in some countries declined. However, growth has been driven considerably by the drinks that are in dual form i.e. those which are not only carbonated drinks but also instant energy and nutrition drinks. Growth derived from instant energy drinks was equivalent to £952 million in 2003 and has grown by more than 27% since year 2001. (Financial Times Article on Drinks) [5] 

In general sales of number of companies involved in manufacturing of carbonated drinks declined in various countries therefore in response to declining sales revenue and profitability, it is expected that competitors will use new marketing strategies to strive for the market share therefore to avoid risk of further loss of market to competitors, marketing programs through new channels and media including internet, newspapers, magazines and other modern techniques will be adopted for Sprite. To participate actively in the war for market capturing and to avoid loss of market share and to ensure success of the product as compared to those of competitors, it is critical for the Sprite to design effective market strategies, it will be effective to pursue new channels of marketing in combination with channels which organisation is currently pursuing i.e. use of mix of both e-commerce based marketing and traditional ways of advertising will need to be followed in systematic way. Company has already strong and wide distribution channels, if will be combined with partnerships and channels in place together with more marketing efforts will lead to improvements in overall marketing initiative and ultimate business and financial results.

Target Market and Segmentation

One of the major things in marketing is to design the marketing strategies to recognise customer differences and present the offering in relation to the product to the consumers by taking into account the consumers behavioural factors in the context of consumers’ perceptions, attitudes, requirements, preferences and decision making.

Segment Identification

Sprite will be marketed with main focus on the consumers who not only want to drink mixture of water and carbonation but also prefer to gain some energy and revitalisation of physical and mental health therefore it will be marketed as carbonated energy drink for people of all ages but those with more active life styles will be specifically targeted.

Segment needs

Sprite will be cater to both physiological needs (Hydration, refreshment and energy) and social needs (perception of a social, enjoyable drink with a sense of belonging within peer and consumer groups)

Segment trends

The existing trend in consumers in relation to drinks is the shift away from junk foods and simple cokes to increasing interest for healthier nutrition products for the mind and body, the trend towards the availability of products for those with in an active lifestyle, as well as the trend for personalization through customization.

Segmentation Variables

Geographic segmentation;

All states and territories with focus on urban and metropolitan areas, both rural and urban areas.

Demographic segmentation;

Main focus on people with age range of 12 to 35 because research reveals that people with this range are one of the major consumer groups of drinks but marketing will also be carried out with target on elder people with the main aim to make the Sprite a product for all.

Behavioural Segmentation

Marketing will be performed in response to consumer behaviour and taking into account the trends in particular events and season for example in summer season by effective marketing more customers can be attracted and in the events such as sports events by sponsoring sports and players more people can be attracted.

Non-Personal Communication Channels

Nonpersonel communication channels will be followed that are channels directed to more than one person and include media, sales promotion, events and experiences and public relations.


Efforts will be made to obtain full benefits through marketing on print media including newspapers, magazines, broadcast media, electronic media and display media which include billboards, signs and posters.

Sales Promotion;

Consumer promotion will be carried out through samples. Coupons and premiums and trade promotion through advertising and display allowances and business and sales promotions (C

Events and Experiences;

Events and Experiences will include sports, arts, entertainment and cause events as well as less formal activities that facilitate creation of consumer engagement with the product and brand.

Public Relations;

Public relations will be built with the aim to create a way to the success of marketing campaigns and this will involve communication with employees, consumers, other companies and media and feedback will be encouraged.

Marketing Question marks

Before embarking on new marketing campaign for Sprite some marketing question marks will be set and marketing will be adjusted to centred around those marks;

How can we present offerings in differentiated and better way than competitors

How can we target the specific consumer groups

How can we enter the right market

How to compete with low cost, low price competitors

How to establish flexible and multi-dimensional marketing and supply channels

Market Positioning Strategy

Due to changes in consumers’ trends in drinks sector and decline in sales of Sprite in various countries, it is essential to devise effective marketing positioning strategy for Sprite. Currently it is famous and widely available in the market as carbonated drink but due to arrival of new more advanced products in the market, now it is a time for the company to make the Sprite an enhanced drink in order to make it in a strong position in the market as compared to other drinks available in the market therefore in response to this situation Sprite will be positioned as Carbonated instant energy and nutrition drink and strong foundations will be provided in the form of effective marketing . The objective will be to devise the offering of the company and image to occupy a distinctive place in the minds of the target consumers. The efforts will be made to make a place in the minds of consumers to encourage them to make decision to buy and drink Sprit and consider it as a drink of quality and taste.

Main Aims of Market Plan and Positioning

Marketing mix strategies should be directed towards the achievement of objectives of marketing and should facilitate contribution to the market capture at global level. There are number of purposes but most critical aims of marketing for Sprite are as follows

To deliver clear messages to the people about the Sprite and its enhanced features

To facilitate good image and reputation of the company and its product

To ensure attract more customers from all over the globe

To give impression to the world about company that its products are of high quality

Marketing Mix Strategy

Marketing Mix will be designed very carefully for the Sprite with the aim to present the Sprite in the market as one of the best drinks and to attract more people and to make the Sprite as one of the most attractive and ideal drink in the market.

Before implementation of marketing mix it is good to consider the modes of marketing communication mix which include


Delivering information about the product to the customers through various ways of advertising using both on-line and off-line media


Sponsoring events for e.g. sports events, celebrities etc.

Direct marketing:

Marketing through emails, telephone etc.

Personal selling:

Face to face communication

(Kotler’s Marketing Management) [6] 

Finally mix in terms of 4Ps will be designed


Sprite will be launched as more enhanced product with improved formula. As currently Sprite is available in only one flavour that is lemon flavour but after now the diversity of tastes will be widen to offer range of tastes to the people for e.g. Sprite will be made available in various flavours including orange, mango, pine apple etc.


Currently the problem is the declining sales in number of countries therefore as a part of quick response to this, at first stage product will be made available in the market at low price to attract customers and after this price will be increased slowly and carefully taking in to account the market conditions.


Promotion for Sprite will be carried out with more efforts. Special promotion campaign will be initiated in which events such as cricket, football and other games will be sponsored and also seminars and workshops organised by government authorities and colleges and universities will be sponsored.

As a part of promotion special offers will be made such as Buy Two Get One Free, Bulk discounts etc. will be offered.


Delivery of the product at right place will be ensures and product must be available all time in supermarkets and retail shops so that the product is under the view of consumers. Product will be regularly supplied to the shops through the company’s supplies transportation service

Plan Schedule and Implementation








Inform staff about new marketing Strategies














Acquisition of resources &

ensure capacity













Training of marketing staff














Provide support to local

wholesalers & retailers














Promotion & Advertising

campaigns through television, newspapers & magazines














Sponsor upcoming sports








Value offered and Critical Reflection on Learning Outcomes

This section of value offered by the company and critical reflection outcome includes description about value offered by the company reasons of decline in sales, and my achievement and link of this module with my previous knowledge and experience and how I apply that in the module.

Value offered by the Company

Sprite is the product of Coca-Cola Company which is well known company and operating on worldwide basis providing different types of beverages and drinks under various brand names and famous for quality and innovation. Company is struggling towards the achievement of its objective of provision of quality products to the people all over the globe. According to the survey conducted by Harvard, Coca-Cola is one of the companies got the position of distinction in manufacturing and supplying of drinks on global basis. Other sources of value offered by the company are discussed below;

Worldwide business operations

Company is not limited to one country but it is spread over the globe having manufacturing facilities, licensing, franchises etc. in number of countries therefore have ability to produce in each area according to the local consumers’ preferences, requirements, tastes and demand.

Modern Manufacturing Technology

Company is using modern manufacturing technologies and therefore having high capacity to produce more in less time and can produce products of high quality. Company is already producing quality drinks and therefore achieved various quality awards and recognition from International Organisation for Standardisation (ISO). Through company is carrying effective production with minimum wastage of raw materials and production of high standard products.

Competent human resource

Highly experienced and competent staff is always a back bone of every company and a great source of value. Company has highly skilled workers who are playing critical role in the success of the company. Company have not only skilled human resource in production and other department but also in marketing staff as they proved very successful in past but there is need of careful marketing planning and efforts.

Research and Development

Company is well established and have research and development centre that is the reason that the company have experience in research and development and have higher ability as compared to its competitors in developing and enhancing of products and in past it has also develop number of products which consumer found new and better therefore company have high ability to improve and that is the reason that it has reputation for innovation and quality.

Currently the sales of Sprite in number of countries is declining therefore it is a time for the company to capitalize on its expertise in research and development and to develop something new and better and to enhance the Sprite with more enhanced formula.

Reasons of decline in Sales of Sprite

This assignment is on the marketing in relation to marketing plan in response to the declining sales volume of Sprite in various countries including North America, China, Central Asian countries and some Gulf States, Here the question is raised that what are the reasons of declining sales volume of Sprite. There are number of reasons of this decline some of which are discussed below;

Sprite was launched by the company for the first time in 1961 as carbonated drink in competition to the other carbonated product namely 7Up in United States of America. That was the era of carbonated drink and Sprite got big market share very quickly. There were limited range of variety in drinks but now the drinks market is expended and varieties of drinks are available in the market, as variety in the market increases it is more difficult for the companies to keep the customers intact with particular brand. Another reason is that in past Health care Associations and Research Institutes such as UK Cancer Research Foundations and American Health Society made criticism on carbonated drinks that they are not healthy drinks therefore they have bad effects on human body; they affect oral health due to high level of sugar, Kidneys etc. After these criticism sales of various carbonated drinks declined.

Awareness among people about their health is increasing therefore they are more going towards healthy drinks in the form of fruit juices and energy and nutrition drinks . Other factor is that number of organisations manufacturing energy drinks entered in the market and carried out very effective market leading to diverting of consumers from carbonated drinks to nutrition drinks.

Coca-Coal Company have launched number of brands in short time resulted in diversion of a company’s focus from old brands to the new one. All these above factors are contributed to the decline in sales volume of Sprite.

Contribution of Marketing

Marketing is key to the market share and play an important role in the success of any product. Company has got market share, good image and reputation because of its marketing but when company reduced its focus on marketing for Sprite and become more focused on other products this resulted in fall in market share of Sprite and now marketing is also the only way to overcome further decline in sales or to increase its market share.

Critical Reflection on Module Learning Outcomes

This Module of marketing management which I have studied as a part of study for Masters in Business Administration was in more detail and highly professional and I found it very interesting as compared to the modules related to the marketing management which I have studied in previous qualifications. I studied Bachelors and also Masters in Economics and studied marketing management and consumer behaviour subjects. Marketing is one of my favourite subject areas that is the reason that I selected this marketing module to study because I want to study marketing in more detail to enhance my skills, knowledge and experience in relation to marketing and for gaining more knowledge it is clear that there is always need of in-depth study therefore I choosen this module with the aim to able to make study further in order to increase my study about marketing and various marketing concepts, theories, models, tools and techniques. My expectations at the beginning of this module was that study of this module will help me to know more about marketing subject area and will clarify my confusion in relation to number of subject sub areas.

Marketing concepts, theories and models

The marketing module proceeded step wise and according to the syllabus designed by an institute and lecturers. At the first stage of the module, student were required to make study of basic theories and concepts of marketing such as four Ps which are the strategies in terms of Product, Price, Promotion and Place and other marketing strategies, segmentation, communication mix, consumer behavioural theories and other basic concepts. I also studied various marketing concepts and theories in past in marketing subjects under graduate and post graduate level but those studies were not so waste as in this module, I also applied my previous knowledge in the module which assist me in understanding the concepts and theories but there were number of theories, concepts and models which were completely new for me because I never studied those before for example Product life Cycle model, Market and Product Development strategies, Integrated Marketing Processes, market positioning and repositioning, market planning, market analysis etc. At the start I faced problems obtaining full understanding of new marketing concepts but quality case studies provided by the lecturer and institution were very effective, case studies were from real world practical experiences, the studies of which help me in gaining in-depth understanding. The lectures delivered by the lecturer were of high quality and provided us a lot of knowledge and support to enhance our overall marketing knowledge.

My Past studies and experiences in relation to marketing

In past I was involved in jobs in marketing field and done some jobs as a member of marketing force for big companies therefore I already know that how marketing is required to performed in practice, in addition to this my previous university knowledge provided me good foundation for the study of this module and I applied my previous knowledge in number of areas in the module but as marketing is wider field and knowledge is like ocean it increases as we go deeper and deeper therefore I still feel that the module I have completed was not very vast therefore I think that I need to make further study to gain full grasp on marketing. Overall the module was very effective and gave me strong knowledge foundations but there were also some limitations such as lack of sufficient real world practical marketing case studies in syllabus and some case studies were very confusing on which students taken a lot of time to understand but on the other side this issue proved constructive because as a result of this students encouraged to make extensive use of internet and libraries for more research on marketing subject area resulted in enhancement of knowledge and understanding.

Students Groups and presentations

Group discussions and presentation were an important part of the module. There were groups of students, each consisting of four to five students from various backgrounds in terms of their previous educational and experience back ground therefore was good opportunity to make discussions with students from various backgrounds to share ideas and learn from one another. Group and individual presentations were helpful in improving communication and presentation skills.

Weekly and monthly assignments

There were need to perform weekly and monthly assignments during the study of module which proved very helpful in gaining more understanding and enco

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