communication and advertising group project cozy tea

● Research on Cozy''''s communication strategy.● Research on the development strategy of the competitor.● Customer Segmentation: Evaluation of consumer demographics based on age, personalit

COMMUNICATION AND ADVERTISING GROUP PROJECT

COZY TEAI TABLE OF CONTENT

1.Group Introduction2.AN EXECUTIVES SUMMARY3.Brand’s Analysis

3.1 BUSINESS/ COMPANY CONTEXT:3.2 BRAND’S TARGET CUSTOMER:

3.3 EVALUATION OF MARKETING ACTIVITIES:3.4 COMMENTS:

4 Marketing Research

4.1 Secondary research4.2 Primary research

4.3 Key insights about target customers4.4 Current issues and Challenges

5.Campaign Proposal

5.1 Marketing Communications Objectives5.2 Big idea

5.5 Budget and timing5.6 Evaluating and Monitoring

1 Introduce group 2

Đặng Quang Huy - HE170834 Lê Minh Sơn - HE160182

Phan Khánh Hà - HE171950 Đinh Yến Nhi - HE173157

Nguyễn Thế Cường - HE161692

- Key Insights: Teenagers prefer drinks that are new and unique but also still have to

provide the sweet and fresh taste of traditional tea flavour.

- Primary Research: Research on the popularity of the product in the market, factors

influencing purchase decisions, and challenges in product understanding.- Secondary Research:

● Market trends in the tea industry in Vietnam● Updates on Cozy competitors in tea ● Research on Cozy's communication strategy.● Research on the development strategy of the competitor.● Customer Segmentation: Evaluation of consumer demographics

based on age, personality analysis, occupation, social class, and lifestyle

● Current Issues and Challenges:

- Compete with dozens of competitor brands to answer why their products are better and worth customer money.

- Packaging is still not as pleasing to both younger and older compared to other companies.

- Does not have many campaign focus on young customer

● Communication objectives:

- Increase Cozy Brand recognition among teenagers.- Increase the total number of new customers.

- Create a message that empathetic with Genz customer difficulty in early life.

● Campaign Proposal: Presenting a detailed plan for the proposed advertising

campaign, including objectives, campain’s big and main idea, brings out key message, projected costs and timeline, and evaluation and implementation.

3 Brand’s Analysis

3.1 BUSINESS/ COMPANY CONTEXT:

● Establishment : Cozy was founded by Eco Product Inc - a company founded by

FGC FGC was founded in 1996 , and Eco Product Inc was founded in 2003 Until now, FGC has become the largest tea company in Vietnam , and Eco Product Inc is one of the leading corp of tea production in Vietnam

I Current status:

- Until now, Cozy has produced more than 20,000 ton of tea and exported them to 60 countries like Japan, Germany, Beside that, Cozy is identifies asthe no 1 tea brand in Vietnam because of their contribution and development.

II Business status:

- In 2003 , Cozy was founded In the same year, Cozy published Cozy Black Tea withother scented tea bag products Due to that, they set a new breaking move in Vietnam's tea market

- In 2010 , Cozy published Pyramid Gold Tea black tea products and 365 tea products.They utilised various of filter bag crafts for these products, and due to that, Cozy set another new breaking move in Vietnam's tea market In the same year, Cozy accomplished National Brand - Vietnam Value award

- In Sep 2020, in order to get more acquainted with young people , Cozy decided to published Cozy bottles / boxes of tea products Since that moment, Cozy had executed more and more advertising campaign to attract young audiences

3.2 BRAND’S TARGET CUSTOMER:

+ Targets including : Students, adults who are in labour age, has not got a

stable income and looking for a safe delicious products to consume or gift fora special occasion or elderly who always look for a drink which can make them feel relaxed

+ Main target audience: Recently, Cozy’s main target audiences is young

people , including Gen Z and Millenials people These are the people who arealways stressful of working and studying, so they always need a constant drink that can help them feel refresh and have a short break Beside that, all of Cozy’s constant drink tea products’ prices are pretty low, especially the bottles/boxes ones, so many young people can afford them

3.3 EVALUATION OF MARKETING ACTIVITIES:

+ Problems : Cozy is one of the largest tea brand in Vietnam , and it has

developed for more than 20 years But as the time pass by, both the output value of the tea bag and bottled tea industry (RTD Tea) have grown steadily, and it is expected that the tea industry scale will increase 7.3 times by 2023 Due to that, more and more brands participated in tea industry, and it does mean that Cozy had to compete against more rivals than it used to do to stay in Vietnam’s tea industry

+ Solution: Although Cozy had been famous for their high - quality and

eco-friendly products, but they also lack freshness, and modernity - the key materials that can help them set a clearer position in their target audiences ‘mind Therefore, in lat 2020, Cozy decided to re-brand by launching many advertising campaign that can attract young audience

+ Influence: Cozy has already been one of the largest tea brand in Vietnam

since a long time ago Due to that, after re-branding, Cozy had a wide influence throughout the country and their products were trusted and used by many celebrities such as: Ninh Dương Lan Ngọc, Trúc Anh,

I Company marketing activities

A Communication objective: Cozy realized that their main target audience are

the people who are always stressful of working and studying, so they always need a constant drink that can help them feel refresh and have a short break Therefore, in late 2020, Cozy published their bottles / boxes of constant drinktea products, in order to fullfill their target audience’s need Until now, Cozy still executes many advertising campaign to promote their bottles/boxes of constant drink tea products to increased recognition among their target audience

B Business goal: Increasing 3.3% of total tea products sales comparing to 2021

GoalsC : After more than 3 years of re-branding, Cozy has excecuted several advertising strategies to attract more and more customers , including: putting advertisements on many Billboards all over Vietnam, collab with other brands, Most of them are Branding and Performance Marketing activities.

+ Social media : After realising the influences of social media on young people, especially Gen Z and Millenials- Cozy’s target audiences, Cozy has promoted their products on many famous social media platform, including: Youtube, Facebook, Tiktok….

Process:E Cozy promoted their products on social media and in real life at the same time On social media, they posted the images of their products with captions which are full of many trendy phrases/ slang to attract many young audiences

Beside that, Cozy also promoted their products with a lot of energetic images, so thatthe customers would have the feeling they could get that refreshing and energetic feeling after drinking them Moreover, Cozy’s constant drink tea products are sold inalmost everywhere, both online and offline, so it will be very convenient for the customers if they want to to buy the products, customers can get them in the markets, convenience stores,supermarkets…

II Some campaigns are already on the market:

“ Ngon rõ vị, vị rõ ngon” campaign

● In late 2022, Cozy launched a campaign named “ Ngon rõ vị, vị rõ ngon” to advertise their latest fruit flavor bottles of tea for summer They executed the campaign by started putting their advertisements on all Billboards everywhere in Vietnam from March 2023 to March 2024 Beside that, Cozy also put their advertisements on all taxis in Hanoi to promote their products more effectively

“ Ngon rõ vị, vị rõ ngon” is a short catchy phrases that Cozy used to promote their products Because of the catchiness, the phrases can became more and more viral There are more than 1000 posts on Facebook contains this phrase on each day.

Cooperate: In order to promoting their products more effectively, Cozy collaborated with many influencers (especially the Gen Z and Millenial ones)on many social media platforms such as Chuyện thằng F.A,Chau Bui,

Sponsorship: In 2023, Cozy participated “Những thành phố mơ màng”

summer tour 2023 and “Fire Up 2023: stellarous” as the exclusive sponsorwith the desire to understand and connect with the young generation.

● Fire Up 2023 post with Cozy:

3.4 Comments

Those are very effective advertising strategies, especially when Cozy’s main target audience is Gen Z and Millennials They not only successfully re-branded themselves and stay firm in Vietnam’s tea market, but they also set a clear position in their main target audiences’ mind As the result, in 2022, Cozy’s bottles/ boxes of tea products increased 3.3% of total tea products sales comparing to 2021

4 Marketing Research

4.1 Secondary researchI Category Research

A.The situation of the domestic bottled water market:

The situation of the domestic bottled water market

+ Average production in 2022 will grow slightly compared to the same period in 2021 Totalbeverage production in 2022 in Vietnam is about nearly 10 million litres.

+ Soft drink production faces difficulties such as:● Input raw material costs increased dramatically.

Profit margins of manufacturing enterprises decreased compared to the same period last year.

+Importing Vietnamese beverages

– Vietnam's beverage imports decrease in 2022

● Import turnover of carbonated beverages in 2022 will reach about 137 thousand USD, down about 14% compared to the same period in 2021.

● The import turnover of non-carbonated beverages in 2022 will reach about 67 thousand USD, down about 35% compared to the same period in 2021.

Current demand situation of Vietnam's beverage industry: +The situation of beverage consumption in Vietnam

● Demand for soft drinks grew steadily after the Covid-19 pandemic Retail sales of soft drinks in 2022 will reach about 4.5 thousand liters, an increase of about 5% compared to the same period in 2021.

● Vietnam's beverage market is concentrated when the total market share of the 5 largest enterprises in 2022 is only about 57%

● Pepsico maintains its leading position in segments such as carbonated drinks, fruit juice, bottled water and sports drinks.

● 2nd place Coca-Cola Vietnam; holds a large market share in the segments of carbonated drinks, bottled water and fruit juice.

● Tan Hiep Phat and URC Vietnam are leaders in the Instant Tea segment

+ Exporting Vietnamese beverages:Soft drink exports increased sharply.

The export turnover of carbonated beverages in 2022 will reach about 44 thousand USD, an increase of about 42% compared to the same period in 2021.

Export turnover of non-carbonated soft drinks reached about 167 thousand USD, an increaseof about 42% over the same period in 2021.

B.The RTD Tea market in Vietnam:

According to the International Business Inspection Organization (BMI), Vietnam is one of the markets with potential for food and beverage consumption In particular, food and beverages currently account for the highest proportion of consumers' monthly spending structure with 35% and about 15% of GDP.

According to Euromonitor data, Vietnamese people consumed more than 2 billion liters of bottled tea products in the most recent year because they believe in the uses of pure green tea powder in the product.

C Famous brands of bottled tea are famous in the Vietnamese market

- Green tea 0 degree ( Tan Hiep Phat ) - Tea Plus ( Suntory Pepsico ) - C2 ( URC Vietnam )

D RTD Tea growth rate in Vietnam

● Tropical climate is an invisible lever for the beverage industry: Vietnam is a country with a hot and humid climate and a very diverse culinary culture, so beverage consumption demand is growing rapidly At the same time, the density of young population (15-50 years old) is high, accounting for 63% of beverage demand within15 years.

● The market for producing drinks extracted from pure green tea powder tends to growafter the third outbreak Research on the Vietnamese beverage market shows an encouraging growth index of 16.1% (year-on-year growth).

● For Statista, the revenue of this category in Vietnam was 3.37 billion USD in 2020.

II Competitor Research

Ingredient Purified water, cane sugar, green tea leaves, synthetic natural

Purified water, refined sugar, green tea leaves, synthetic

Purified water, refined sugar, fermented tea leaves, OTTP

flavour, natural tea leaf extract

flavouring, synthetic colour Sometimes there is pureed tea residue in the product.

Volumen 350ml-445ml 225ml - 445ml 320ml- 450ml Design Simple, with the

green colour of the tea hills as the main theme

The logo is large and has no main colour because each position hasits own colour

The logo is large and has no main colour because each position hasits own colourTypes 4 types of fruit tea

2 types of milk tea

4 types of tea c23 types of c2 freeze tea1 type of milk tea

4 types of tea: original, lemon flavour, unsweetened andmatchaPrice 8,200 - 9,000

VND 6,000 - 10.000 VND 8,200 - 10,500 VNDPlace Currently, Cozy

products are available in all provinces and cities across the country.- Not only in big cities like Hanoi, Hai Phong, Hue, Nghe An, Ho Chi Minh City but also in small towns.

C2 products are also distributed throughout provinces and cities nationwide.- Not only concentrated in big cities but alsoin suburban areas.

Spanning all three regions: North, Central, and South.- Not only concentrated in big cities but alsoin the suburbs.

Promote Focus on promoting image through talk shows like Cozy Balcony Sponsor a number of programs at universities to promote products.

Using singers Hoang Dung, BuiCong Nam, ThuyTien to promote the new product line: C2 Freeze (2023) To emphasise the young target group.

Mainly using exclusive KOLs Bich Phuong to promote and JTee and PhuongLy to introduce new products (2019).In particular, Tea

Attract new customers throughfamous tiktokers and kols among young people to reach more people.

It not only helps consumers know about the productbut also attracts new potential customers to the product.

Plus promotes advertising during holidays It not only helps consumers know about the productbut also attracts new potential customers to the product.

4.3 PRIMARY RESEARCH : ● Consumer research● Survey

4.3 Key insights about target customers

● Teenagers prefer drinks that are new and unique but also still have to provide the sweet and fresh taste of traditional tea flavour.

+ Safety for the user and for the environment due to the C2 incident in 2016 which contained a large amount of lead, led to young customers growing alert to the same products line.

Connection needs: KOLs who are influential and active on social networking platforms

cooperate with dynamic fashion brands - users who follow and pursue entertainment trends.Programs such as "Wings for the Future" donating transportation to poor students demonstrates the brand's commitment to the community Thereby helping to connect consumers with target groups

4.4 Current issues and Challenges● Current issues

-Too many products line

- In recent years Cozy has developed many product lines and continuously launched new product lines This strategy has caused the brand to "dilute" its strengths compared to other competitors

● Lack of commercial and campaign