Our marketing plan for “Cozy’s new product - Cozy Self Brewed Milk tea” is honest and has not been published in any form before.. Mission The mission of Cozy tea and the ECO Products are
INTRODUCTION
Eco Products Joint Stock Company ECO Products is a New Generation tea group, a leading manufacturer and exporter in Vietnam established in 2003 With the tea material area developed methodically in most of the famous tea regions of the country, ECO Products has invested in the most modern technologies to build the Cozy brand With almost
20 years of experience in the tea industry, Cozy has become the leading Vietnamese tea brand in Vietnam
Picture 1.1: Logo of ECO Products Company
Constantly creating and improving to bring tea product lines with attractive, unique and different flavors to satisfy the needs of Vietnamese consumers to enjoy tea In addition, the company also has a policy to take the lead in creating modern consumer trends and styles, committing to bring clean, environmentally friendly and healthy tea products to consumers
The Cozy tea brand has oriented its business to combine the quintessence of Vietnam and modern technology with the adoption of world tea cultures to create truly valuable products and imprint not only in the domestic market but also ready to make a mark in the international market Besides, they are also committed to bringing clean, environmentally friendly and healthy tea products to consumers No matter who you are, at any age, prefer traditional or modern tea flavors, there are product lines to satisfy your tea drinking needs
The mission of Cozy tea and the ECO Products are to become a leading corporation in Vietnam in the field of tea, bringing the Vietnamese brand off in the integration period, to not only succeed in the country but also reaching out to the world market, affirming the
As a Vietnamese tea brand with nearly 20 years of age, Cozy is loved and known by many people Cozy is too famous for products such as tea bags, instant tea However, those products are almost unable to meet the needs of the current Z generation youth, at the time of 2018 the epidemic had not broken out, milk tea was always the top favorite product of young people So, with home-brewed canned milk tea, we hope to reach about 60% - 80% of today's young people, especially students
Expanding cozy's brand awareness among Vietnam's Gen Z Developing into a tea brand for both students and college students Always at the forefront of consumer trends, providing a full range of traditional and modern tea products, suitable for all ages Besides, it strives to become the number 1 tea brand in Vietnam and is known in many countries around the world
In the first year, sales of about 9,088,500 tea boxes earned about 318 billion VND
Marketing costs are about 5% - 10% per year.
SWOT OF COMPANY
• Have a long existence: With nearly 20 years of experience in the tea industry,
Ecological Products Joint Stock Company has developed Cozy becoming the leading tea brand in Vietnam
• Advanced and modern production lines: Imported processing and packaging lines according to modern and leading technology in Italy, Germany and Japan, having the leading scale of machinery in Southeast Asia
• Recognized in the international market: Won a gold medal in the “International
Tea Competition” held in Canada Won the award "Typical Brand of Asia - Pacific 2018"
• Having a diverse distribution system: It has appeared in almost every region of the country Besides Cozy also cooperates with big distributors such as Tiki, Highland Coffee, Lotte, Coop mart, Central Group Vietnam,
• Source of quality ingredients: Cozy has invested in many areas of clean tea ingredients and cooperated with farmers in traditional tea areas The process of taking care of tea from planting to harvesting, preliminary processing is accompanied by enterprises, and guides farmers carefully to ensure that they get the best ingredients
• Lack of innovation: Although Cozy has the advantage in product quality, they have little improvement, lack of freshness and modernity
• Difficulty in managing distribution channels: The distribution is too wide, making distribution channel management difficult
• Choosing the right audience: The generation that Cozy targets is the Millennial generation (from 25-35), with convenient refreshments and drinks habits
• Green living trend: With the emerging movement in green living, healthy living, consumers are tending to use products from nature
• Going beyond the international market: Having gained international recognition, won many awards in tea competitions, Cozy has succeeded in building a good image with international friends
• “It's time for Vietnamese agricultural products to take off”: The success story of Cozy Jasmine Tea in the US market is expected to open doors for Vietnamese agricultural products to confidently enter the world Experts also affirmed that this is the right time for Vietnamese agricultural products to "take off", with appropriate steps
• The alternative: Cozy brand creates products that are packaged teas, this is a market that can be said to have fierce competition
• Increasing competition: When Vietnamese agricultural products have been recognized, new businesses will appear that can compete directly with Cozy.
CURRENT MILK TEA MARKET SITUATION
2.2.1 Size and growth rate of Vietnam's milk tea market
Milk tea has appeared in Vietnam a long time ago, but it was not until 2013 that this market really developed and exploded with a series of brands both at domestic and international According to a beverage market study conducted in 2018, milk tea ranks second among the most popular beverages in the Vietnamese market, after ground ice drinks and above coffee The biggest drinkers of milk tea were women (53%) and young people aged 15 to 22 (35%) (Marketing AI, 08/2020) Despite being a potential market and tending to continue to grow However, with the emergence of Covid-19 at the end of 2019, the milk tea market was also affected quite badly According to some food and beverage (F&B) industry reports in 2019, the milk tea market in Vietnam will slow down in the near future and is expected to remain at only a natural growth rate of 5.7% per year That means the growth rate dropped sharply to only a quarter compared to the peak period two years ago, when the growth rate reached 200%
In 2019, 4 high-end milk tea brands: The Alley, Koi Thé, Gong Cha, Phuc Long all expanded their market share throughout the country But a year later due to the great impact of the COVID-19 epidemic, many milk tea brands had to relocate and have to return the rental premises Although a new normal has now been established, people are still afraid to eat in crowded places ð This is a great opportunity for home-made milk tea products
2.2.2 Trends of milk tea consumption
According to a recent Nielsen study, consumers are being affected by four new patterns of behavior and socioeconomic patterns that are forming after the pandemic According to these models, in the future, consumers will tend to buy health products, spend on more necessary products and form a lifestyle at home While it has been damaged by Covid, there is no denying that it opens a new era
The majority of consumers will pay more attention to the issue of immune enhancement And when it comes to the basic ingredients in milk tea processing, black tea is the leading ingredient, followed by green tea, olong tea and white tea High in vitamins
E, C, B2, minerals and rich in antioxidants (much higher than green tea and olong tea), black tea helps reduce the risk of cardiovascular disease, reduce cholesterol levels, lose weight, is good for the digestive and immune systems Currently when buying milk tea at chains such as Phuc Long, Tocotoco, toocha, Although there is a discount code, to own a cup of milk tea at home, customers have to spend a fairly high price from 50,000 VND to 90,000 VND In the past people were willing to spend but now they tighten their spending and choose more carefully than they used to buy Therefore, products such as homemade milk tea or homemade milk tea at a cheaper and safer price are gradually becoming a new trend of the milk tea market in the coming time
2.2.3 Competition in the Vietnamese milk tea market
Currently, the country has about 1,500 milk tea shops with about 100 fiercely competitive brands It is a profitable market so it is not uncommon for not only famous brands to enter this market but also many individual and small stores The market can be divided into three main groups:
• First group: Vietnamese brands with franchise policy such as Bobapop, Toco
• The second group: milk tea brands from other countries or the average of about
50 stores nationwide such as DingTea, The Alley, Koi Thé, Gongcha, Phuc Long
• The third group: is a small and medium-sized group, take away
In Hanoi, with the monopoly of Ding Tea brand always leads with 195 stores nationwide, followed by brands such as Tocotoco or Gongcha In Ho Chi Minh City, the three biggest brands can be mentioned: The Coffee House, Phuc Long, Highlands Coffee has developed tea or milk tea and topping for drinks on the menu such as golden lotus tea, peach tea, macchiato black tea, Phuc Long milk tea…
Due to the epidemic situation, recently packaged milk tea companies, homemade milk tea is also thriving The first is NESTEA Milk Tea, a product of Nestlé Group, VTea Thai Milk Tea, Mr Brown Homemade Milk Tea, In addition, there are two products that are loved by many young people today: Hillway homemade pearl milk tea and The Alley homemade milk tea These two types are considered by consumers, especially young people to have a taste that is no different from the restaurant but the price is very cheap from 10,000 VND - 20,000 VND to own a glass of milk tea at home
It's a very competitive market Although there are many products ahead, due to the taste, convenience and price is quite high, so it is less popular and known In Vietnam, two fast-growing products after the epidemic and are direct competitors of Cozy are probably Nestle, Lipton, Dilmah
As a profitable market, there will be many big people in the industry involved in this pastry To meet the desired needs of users, brands such as: The Coffee House, Phuc Long, Ding tea, Ready to launch a product that can be used at home Or even big corporations like Lipton, Dilmah,
SWOT OF PRODUCT
• Origin, ingredients are clearly printed: Currently, in the market there are many milk tea shops selling milk tea that have unknown origin and ingredients, which makes consumers feel unsafe for their health Self brewed Milk Tea will be a good choice for consumers because they can know the origin and ingredients printed clearly on the box
• Environmentally friendly materials: Self brewed Milk Tea box is a very eco- friendly paper box
• Bringing convenience: Convenient and always available whenever customers crave milk tea as well as saving their time and money to make a cup of milk tea by themselves more than when ordering a cup of milk tea at shops
• Make in the way customers want: Self brewed Milk Tea can satisfy fastidious consumers because they can adjust the sweetness according to their personal preferences
• Milk tea boxes made of paper, when pouring hot water into the cup, it can heat the consumer's hands
• Not diverse in taste because there is only one traditional milk tea flavor
• There are no specific instructions for use, so consumers may not know how to make or make it in the wrong way
• Origin, ingredients are clearly printed: Because of the Covid-19 epidemic, consumers tend to establish a ‘Home Lifestyle’ which means they form the habit of
"doing everything by themselves" and have a greater need to experience the brand at home They want to find products that are more suitable for their lifestyle at home Instead of ordering a cup of milk tea from the shop to drink, consumers want to experience making a cup of milk tea by themselves
• The milk tea market is extremely potential: Milk tea has long been a very familiar drink for not only young Vietnamese but also middle-aged people And gradually enjoying milk tea is likened to a new culture because it is not only a drink for refreshment but also an enjoyment to satisfy people's passion for cups of milk tea
• Consumers now are very concerned about environmental issues: They tend to use products with environmentally friendly packages instead of products packed with plastic
• Consumers are increasingly concerned about their health: They are willing to pay more for a cup of quality milk tea instead of buying one with unknown origin and low quality
• Retailers such as supermarkets, convenience stores, department stores have many strict requirements when importing products for sale
• There is no specific guidance so the customer can do it the wrong way
SO - ST - WO - WT Strategies a) SO Strategies
S1 - O4: Printing clearly and accurately the origin and ingredients of milk tea on the package, committing that the ingredients are not harmful to health, bringing trust to consumers
S2 - O3: Giving environmental protection messages through the production of eco- friendly paper milk tea cups to attract consumers who care about environmental issues (Đưa ra thông điệp bảo vệ môi trường thông qua việc sản xuất ly trà sữa bằng giấy thân thiện với môi trường nhằm thu hút người tiêu dùng quan tâm đến vấn đề môi trường)
S3 - O2: Expanding distribution channels so that products can easily reach consumers, serving their needs and preferences for drinking milk tea b) ST Strategies
S4 - T3: Running advertisements about the taste of Self brewed Milk Tea and its flexibility in adjusting the sweetness to show customers that the product has the same taste as a cup of milk tea at the shop and it can even change the taste according to personal preference c) WO Strategies
W1 - O3: Advertising about the material of Self brewed Milk Tea is a very environmentally friendly paper box that will make consumers accept the weakness of heating their hands when adding boiling water to the product
W3 - O1: Promote communication strategies, propagandize home lifestyle for consumers d) WT Strategies
W2 - T1: Focus on developing and perfecting the quality and taste of milk tea to bring a good impression in the hearts of consumers.
SEGMENTATION
The market is always diverse with different customers and one business cannot meet all the needs of all customers Businesses need to understand the needs of their customers Market research helps businesses divide the market into many small segments and then choose a segment to focus on Cozy divides the market into the following 3 main segments
Region: Concentrated in big cities, near schools
Region: Concentrated in big cities, high-rise buildings, concentrated in a large number of offices , apartments,
Region: Concentrated in big cities, high-rise buildings, concentrated in a large number of apartments, parks,
Gender: Male, Female Gender: Male, Female
Occupation: Officers, Workers and Employees
Occupation: Officers, Workers and Employees
Family: Single Family: Newly married or having small children
Family: Stable, raising children.to independence
Income: Have low income ( depend on parents )
Lifestyle: Dynamic, modern, easy to change, grasping fast trends
Lifestyle: Busy, attentive, catching up with trends
Lifestyle: Calm, care about health, catching up with trends slower
Personality: Like to explore and experience new things, like to hang out with friends
Experiencing new things, preferring to spend time alone rather than hanging out with friends
Personality: Quiet, stable, difficult to accept innovation, less like to experience
Motivation: care about taste, product quality and health
Motivation: care about taste, product quality and health
Attractive taste, reasonable price, eye- catching design
Attractive taste, product quality, health benefits , less interested in product design
Attractive flavor, Product quality and health benefits, less interest in product design
Loyalty: Low, easy to change to catch up with new trends
Loyalty level: High, once they put their trust in them, they rarely change
Price sensitive: High Price sensitive: Medium Price sensitive: Low
Friends, influencers like youtuber, idol, KOL, tiktoker, others,…, media
Family, colleagues, friends, social networks
Reference group: Family, friends, colleagues
Table 3.1: Divide Vietnamese market of Cozy
TARGETING
The main target market that Cozy targets for this product is segment 2 The audience in this segment is from 23-30 years old, living and working in urban areas Segment 2 is a potential market for Cozy because the characteristics of consumers in this segment are consistent with the characteristics of Self Brewed Milk Tea Cozy new product :
• Having a stable source of income, so be able to pay for themselves
• Care about product quality and health issues
• Tends to use products that are readily available and convenient due to the nature of the work.
POSITIONING
From the brand positioning of "Vietnam's No.1 Tea" or "Proud of Vietnamese tea" and an ecological product, Cozy commits to customers: Cozy tea is clean tea in all production processes, bringing health and wellness, healthy for consumers Affirming the high quality Vietnamese tea brand with perfect customer care service, meeting the diverse requirements of customers Cozy is always a pioneer in creating new products, creating a new consumption style to add value to the tea drinking culture of Vietnamese people in a dynamic, modern and integrated life while always ensuring the elements of ecology, food hygiene and safety for the health of consumers
With the familiar slogan "From the Tea Garden", Cozy tea brand has positioned its product as a "homemade" product born from the quintessence of the S-shaped strip of land
A "home made" product Of course, it will bring much better safety than industrially produced products Cozy products are selected from carefully selected ingredients, under strict supervision in the production process, so product safety has been positioned by Cozy
In addition, what happens when you have a craving for milk tea and you have a cup of homemade milk tea? The first thing you feel is convenience Indeed, the convenience that a cup of homemade milk tea brings is enormous This is a very potential market, but there are few fast moving consumer goods (FMCG) companies that have officially entered this market Therefore, when positioning for convenience, Cozy's milk tea will compete with F&B brands that have entered the market
Picture 3.1: Positioning Cozy's products with other brands
PRODUCT STRATEGY
Self Brewed Milk tea is made from 1 tea bag filter that made of woven fabric instead of paper like other bags, 1 bag of milk tea powder, 1 bag of black sugar topping with standard sugar brown and 1 bag of black bubble All are made from safe materials, so it is safe for consumers' health The product is processed by the distillation method The water will be boiled, and the steam will pass through a layer of black tea to infuse the tea flavor This amount of steam is then cooled, leaving a layer of tea-flavored liquid that is transparent like water Transparent milk ingredients containing only lactose and fat-free minerals are suitable for all audiences Combine transparent milk ingredients with the above "transparent tea flavored water" to get milk tea flavored water
Cozy is committed to providing consumers with Self Brewed milk tea products that taste as good as enjoying a cup of milk tea at shops but the sweetness can be adjusted according to consumers' preferences and is safe for consumers' health In addition, for busy customers, convenience is what Cozy wants to bring to them so that they can both satisfy their crave for drinking milk tea and save their time
Cozy Self Brewed Milk tea box is a very eco-friendly paper box The size is equal to the size
L milk tea cup at shops with a capacity of 700ml, on the box is printed the brand logo of Cozy milk tea brand The lid is designed with plastic material, the straw consists of two segments: a large and short segment, a smaller and longer segment, inserting the small tube into the large tube will form a straw of the right size This package design has a prominent feature that it is very difficult to pour and easier to store drinks
Picture 4.1: Cozy milk tea Packaging
With more than 20 years of experience in the tea industry, Cozy has become the leading Vietnamese tea brand in Vietnam Cozy is written in a modern font with green tones This color represents the green color of the tea fields - the source of fresh ingredients and also the pride of the Cozy brand
The main colors of the labels are green and white, which bring a feeling of freshness to consumers The hexagonal label will be affixed to the front of the paper cup horizontally, with the brand name and product name printed on it The back of the paper cup will be affixed with a label of the same size as the front, which contains information such as ingredients, expiry date, instructions for use and storage, product capacity, name and address manufacturer or distribution company, including street address, a general overview of the nutritional value of the product will be clearly printed and detailed
The company has created an official website for the Cozy brand The information about the product will be posted and updated regularly so that customers can look for products information and exchange it with Cozy’s staff directly before buying the product
In addition, the website and fanpage will provide a toll-free phone number and email for customers to contribute ideas and receive advice before, during and after purchase
Shopping support: For busy customers who do not have time to go to places that sell Cozy Self Brewed Milk tea, they can easily buy products through online shopping sites such as Shopee, Lazada and Tiki.
PRICE STRATEGY
In the new stage of launching products to the market, Cozy self brewed Milk tea will use the Price Skimming Strategy, which means setting a high price to influence consumers' perception (desire to buy high-quality, positional products) Since then, Cozy has confirmed the quality of its products to competitors and consumers With a high price to get high profits in a short time to compensate for the huge investment costs for the production and launch of products to the market When Cozy self brewed Milk tea is newly launched on the market, the price of 1 box with a capacity of 700ml will be 35.000 VND That is a price that is not too high compared to the use "like enjoying a cup of milk tea but more convenient and safe for health" of the product However, considering the domestic instant milk tea market in Vietnam, it is not cheap In general, Cozy self brewed Milk tea still has a higher price than other instant milk tea products Here is the competition between a few instant milk tea companies with Cozy in terms of price:
Birdy instant milk tea 3in1 25.000 VNĐ
The price of Cozy self brewed milk tea is higher mainly because the company focuses on product quality that is safe and healthy for customers The high cost of input materials, fresh ingredients, technological processes with many complicated processing stages, these increase the cost of the product.
DISTRIBUTION STRATEGY
Because Cozy self brewed milk tea is a popular consumer item, consumed regularly, consumers do not waste effort when deciding to buy, so Cozy will use an extensive distribution strategy for its product
For goods to be consumed, there need to be different individuals involved in the distribution of the company's products, including manufacturers, distribution intermediaries, and consumers/customers Below is the distribution channel structure Cozy will apply to distribute its milk tea product to consumers:
• Distribution channel length: One level
• Type of intermediaries joining the channel: Retailers
• Distribution channel width: a/ Traditional distribution channel
Vietnamese people have the habit of buying everyday consumer goods, so for their convenience and speed, Cozy will distribute milk tea flavored water to consumers through intermediaries such as markets, grocery stores This makes it easy for them to buy products quickly, saving time b/ Modern distribution channel
Nowadays, Vietnamese people tend to prefer to buy consumer goods in modern distribution locations such as supermarkets, buffet stores and online shopping channels, especially in the context of the Covid-19 epidemic, consumers tend to shop more through e-commerce channels Therefore, Cozy will distribute its product to consumers through these retail channels Cozy Self Brewed milk tea product will be distributed at:
- 4 retail supermarket chains that are Big C, Co.op mart, Emart and Vinmart
- 5 convenience store chains Circle K, Ministop, Family mart, 7-Eleven, GS25
- 3 major online shopping sites, Lazada, Shopee and Tiki
At these supermarkets, convenience stores, and online shopping sites the product is delivered directly to the end consumers This distribution channel focuses on the end consumers, consuming in small quantities but often
Because of the very important role of distributors in the market, Cozy will implement policies to encourage distributors to strengthen cooperation and ensure a longterm relationship between the company - the end customers To encourage distributors, the best policy that Cozy will apply is to use a discount rate that increases gradually according to sales Cozy may provide a higher discount to distributors who guarantee to sell a larger volume of products and give priority to fewer deposits when purchasing products or prepayment of orders for large distributors
The first is the receipt and processing of orders When receiving orders, Cozy tries to satisfy customers as quickly as possible in terms of quantity, price, and service and then deliver goods as quickly as possible to customers
In addition, Cozy regularly encourages channel members so they can work at their best Cozy can learn the needs and aspirations of the members, try to establish a close relationship with them to meet their needs to the best of the company's ability At the end of each operating period, there should be accurate assessments of the business results of each channel member Thereby, there is an appropriate material reward if they complete the job well On the contrary, the members do not complete the task well, make many mistakes in the process of operation, Cozy will find out the reasons to have solutions such as warning, dismissal, or additional help
To be able to perform well the distribution process also requires appropriate investment to get the highest profit The company will invest 10-12% of its revenue In addition, it is necessary to try to exploit the full potential of storage and warehousing to reduce distribution costs
Build the brand image of Cozy self brewed Milk tea by supporting beautiful and prominent banners, signs, and product display shelves at retail locations to create attraction and interest in the product of consumers.
MARKETING COMMUNICATION STRATEGY
Through two main media, which are social networking sites and news sites, convey information Use effectively to boost brand awareness and new product launch information Cozy is a Vietnamese tea brand, but social media advertising activities have not yet attracted many consumers in Vietnam Through the launch of new products to expand the coverage of the Cozy brand even more
Cozy's new product will focus on target customers with a relatively young age, from
23 to 30 years old Currently, in Vietnam, there are mainly three main social networking channels: Facebook, Tiktok, and Instagram In each separate social channel, Cozy will use different advertising strategies to promote brand image In the past, Cozy has not promoted the development of products for young people and social networking sites much, so this time is an opportunity for Cozy to develop more strongly in the domestic as well as international markets In addition, advertising by hanging banners on buses also attracts a lot of attention for new products Nowadays, with the development of information technology, websites are interesting and often used by people, so small banners can be used through websites to promote to more people
Table 4.2: Cozy’s social networking channel
Conveying information to consumers is extremely important, so that consumers know that Cozy will launch a new product that is a homemade milk tea that can be drunk immediately, then Cozy needs to rely on social networking sites for young people to convey information to themselves According to our observations, today's young people are fond of information sites specializing in life, psychological things they often encounter, articles on self-development and self-discovery Therefore, we decided to rely on three main websites, which are Vietcetera, Spiderum and Zing
Regarding Viecetera and Spiderum, we will ask them to create a podcast or talk about how milk tea can also be good for us Cozy will share their views on tea products and share stories about how Cozy can reach the world… About Zing, we suggest that Cozy will ask Zing to write an article about the new milk tea product, to introduce its functions and share some thoughts on the lifestyle of making drinks at home
Regarding the PR segment, we will let Cozy do five main activities
Activity 1: Sponsor a contest to share family memories
In order for home-brewed milk tea products to be more connected with consumers, we propose to organize a contest to share memories with customers' families They will post on social media about family photos with Cozy cups of homemade milk tea and share happy and sad stories with their family, and they will attach the hashtag #Cozyganketyeuthuong Cozy will accept the best stories and give everyone a few gifts
Activity 2: Use Influencers and Reviewers
In today's developing technology era, the appearance of Influencers or Reviewers plays a very important role for a business's Marketing campaign, this is a reference group that will directly affect product buying behavior of consumers Cozy will be looking for Influencers or Reviewers with a green and healthy lifestyle who will evaluate and comment on this new product Besides, Cozy will ask you to propagate information, Cozy will deduct a small part of the price of the product to add to the charity fund and support people in difficulty during the epidemic season
Activity 3: Organize a charity fund to support those facing difficulties during the epidemic season
New product, Cozy also has a separate slogan, "green journey, starting to take off" Indeed it is, "starting to take off" is the message that we will recommend to Cozy We want to help the little ones who have difficulties in their lives, we want to give them wings so that they can fulfill their dreams and desires Therefore, a homemade milk tea product of Cozy will have an average price of 35,000 VND, Cozy will deduct a profit of 10% of the selling price of each product to help disadvantaged children unfortunately became orphans because the Covid -19 epidemic took their parents
Activity 4: Organize exchanges with universities in Ho Chi Minh City
Up to now, the customers that Cozy is targeting are those in the Millennials (between
22 and 30 years old) but milk tea cups are more attracted to Generation Z That's why , organized exchange activities with young students at the university to help Cozy expand its potential customers
Activity 5: Implement the program "Cozy green genius"
At the end of the year, people's demand for consumer goods is higher, so Cozy launched a small program to stimulate consumers' purchasing behavior
Promotion activities are carried out with the aim of encouraging consumers or distributors to buy more products in order to stimulate demand and bring profits to businesses
Allows consumers to experience the product at display counters in supermarkets or at sales locations That is, for customers to try new products of the company
• Purpose: With the aim of letting people feel the new taste of the Cozy tea brand, sales assistants can advise customers on the true value of the product Then review and give your own opinions
• Quantity: Quantity for the program is about 1000 boxes nationwide
Reducing the purchase price of products for distribution intermediaries, thereby promoting the number of goods they buy more Not only that, but it also expands the popularity of the product so that everyone can buy it
• Purpose: Through incentives for distributors to stimulate demand and increase product consumption
Get 1 convenient makeup box when buying 2 Cozy milk tea products
• Purpose: A small gift on women's holiday, thereby creating a stimulus to make customers buy more Cozy milk tea products
Print on the packaging a QR code with a few different wishes on Valentine's Day so customers can scan and receive random emotional wishes on it
• Purpose: Create a surprise when customers receive their own wishes From there, they can share their feelings and thoughts and spread them to those around them
Organize promotional activities for customers on special occasions
ACTION PLAN
Use cozy's facebook page to post articles about new products and profit- extraction activities to set up a fund to sponsor the program "Hành trình xanh, khởi nguồn cất cánh"
Use Instagram ads as Story about a short
Run ads on Tiktok with short clips of new product launches 1/1 – 15/1 30,000,000
Run video ads for new products with the message "Vui khoẻ tại nhà, Tết trọn yêu thương" on Facebook
Hire Influencers to review Cozy's new product and demonstrate its healthy milk tea properties In addition, call on people to donate money to charity
Sunhyun (466,000 followers) Phan Nu Uyen Nhi (423,000 followers)
Vegetarian diet (383,000 followers) Tebefood (474,600 followers)
Promotion Consumers try products at stores Super cool display counters at sales locations 16/1 – 31/1 200 boxes of
Run video ads for new products with the campaign "Hành trình xanh, khởi nguồn cất cánh” on youtube
Post on information sites like , 2022, 2022Vietcetera, Spiderum and Zing 20/2 30,000,000
Promotion Organize QR code scanning activities on valentine's day 1/2 – 15/2 None
Run video ads on youtube for new products with the campaign “Hành trình xanh, khởi nguồn cất cánh”
Give away a convenient cosmetic bag on March 8 when you buy 2 products of
Because of applying Price Skimming Strategy strategy, right from the first month of the first quarter, advertising, public relations and promotion activities will be promoted at the same time to promote people to know more about new products First in January, by using cozy's Facebook page to post articles about new products and profit extraction activities, set up a fund to the program "Hành trình xanh khởi nguồn cất cánh" and then run ads For this article with the goal of reaching about 10,000 interactions on this world's leading social networking site The message "Hành trình xanh khởi nguồn cất cánh" with the hope that each cozy product sold will be able to partly help the difficult situations after the pandemic, start a new beginning, start a new life of happiness and love After the program Cozy will announce specifically the revenue and how that money is used Besides, running video ads for new products with the message "Vui khoẻ tại nhà, Tết trọn yêu thương", in the hope of being able to bring delicious milk tea cups at home while still ensuring safety in the epidemic, the goal is to reach about 5000 clicks on tiktok and 7000 clicks on facebook to transfer to the e-commerce site With the hope of being able to bring delicious milk tea at home while ensuring disease safety
In parallel with Facebook is advertising on two other major platforms, tiktok and instagram, with short clips to launch new products, with an estimated 300,000 views on each platform In addition, hiring five famous influencers specializing in food review such as Sunhyun and Phan Nu Uyen Nhi on youtube and Vegetarian Kitchen, Tebefood on Tiktok will introduce cozy's new products, you will easily have a Milk tea at home Not only that, the influencers also introduced Cozy company's charity activities to help difficult situations after Covid Each influencer will be given 1000 30% discount codes to give to their channel followers With this strategy can reach up to 200,000 consumers
And in a month from January 16, 2022 to February 16, 2022, the trial program will be deployed at Cozy's points of sale There will be staff members advising on products and usage, and each person who comes to the booth will be given a small and pretty cup of milk tea by Cozy so that they can taste Also during this time, there is a festival called Valentine's Day, by attaching a QR code on the packaging of each product and lightly scanning it with your phone, the female friend will receive loving wishes
Besides, it is also publishing articles in newspapers such as Vietcetera, Spiderum and Zing to introduce people to the health benefits of milk tea ingredients, the process and stages of making a cup of Cozy milk tea In March, ran a video ad on youtube for a new product with the campaign "Hành trình xanh, khởi nguồn cất cánh" with 5 million views Another strategy that is also applied from February to the end of March is advertising with banners on buses On the occasion of March 8, Cozy and all men will have a small gift for girls on International Women's Day, when buying two cups of homemade milk tea, they will be given a convenient makeup box Decorate with cute stickers
Public Relation Influencer Have 4000 of sales 30% off code and reach
Scan QR code Reach 20,000 people
Running ads on facebook about organizing a contest Cozy bonding love, 15/4 - 30/4 20,000,000
Hold a press conference to announce revenue and contribution amount and funding
Sponsor a contest to share family memories with Cozy
Run ads on Tiktok with short clips "Hành trình xanh, khởi nguồn cất cánh" 1/5 - 15/5 20,000,000
Public Relation Contest prize announcement 25/05 7,000,000
To banner on websites specializing in health and beverages such as health and life, healthy living 1/6 - 30/6 10,000,000
In the second quarter, when consumers have a certain awareness of Since Cozy has launched a new packaged milk tea product, this time Cozy has won the trust of consumers The charity fund organization in January lasts until March, then April is the time to announce the charity amount contributed by users Besides, Cozy will stop running ads on social networking sites and start investing in advertising with banners on buses
After the charity event, Cozy will start organizing a contest for its Through two TVCs "Vui khoẻ tại nhà, Tết trọn yêu thương" and "Hành trình xanh, khởi nguồn cất cánh", consumers can also realize the value that Cozy is aiming for is health and affection of family during the pandemic Organizing a contest to share happy memories with family will contribute to the community as well as Cozy will establish a closer relationship with its customers They will create a very good corporate image, especially FMCG businesses when the market has fierce competition
Public Relation Sponsor Reach about 1000 families, about 4000 consumers
Advertising Continue to use banners on buses 1/7 - 30/9 21,000,000
Share stories accumulated from the campaign "Hành trình xanh, khởi nguồn cất cánh"
Promotion Organized an exchange program with 5 universities in Ho Chi Minh City 15/9 – 30/9 50,000,000
As mentioned above, we focus more on Skimming pricing strategy, so the first half of the year (in quarter 1 and 2) we focused a lot on communication to consumers to know the new Cozy product as much as possible At that time, in the third quarter, Cozy's communication tools were becoming more and more saturated, so we propose to limit these tools and keep them at a moderate level so as not to be forgotten in the market All three months, we propose to use all three communication tools: Advertising, PR and Promotion
In the form of advertising, we will continue to use banners on bus routes to maintain the vitality of the message "Hành trình xanh, khởi nguồn cất cánh" For the Online aspect, Cozy will summarize the stories in the contest they have organized before, so that the good stories can be spread to more people And about Promotion, we propose to support Cozy product distribution agents to stimulate demand to make them import more Cozy new products And in September, Cozy will hold talks with students at universities such as University of Finance - Marketing, University of Economics, Open University, University of Industry,
University of Economics - Law to give gifts and exchange, talk about drinking milk tea properly for good health
KIP Quarter 3 Public Exchange Reach about 3000 students from universities
PR Organized the program "Thần tài xanh
Promotion Buy three cups of Cozy milk tea and get one free 1/10 – 30/10 None
,November Promotion Follow the line of 11/11 sale events 11/11/2022 None
Run ads on youtube about changing Christmas packaging for Cozy milk tea products
At the end of the year, due to many festivals, this is the time to stimulate demand for products, helping buyers to buy more On the first day of October, the program "Thân tài xanh Cozy" will be held When you buy a cup of milk tea, there is a piece of paper under the lid of the box, and on Sunday, a draw will be held to choose about 50 lucky customers will receive a discount code worth 300,000 when buying any Cozy product, this program will take place within 3 weeks Not only that, on the occasion of the end of the year, to stimulate product demand, increase sales, deploy 10% discount for distributors and buy 3 get 1 free in the fourth quarter And moreover, we suggest Cozy will follow line of events across the country, it is Sale 11/11 near the end of the year On November 11, Shopee succeeded in creating new behavior for consumers, on this day consumer demand increased extremely high, Cozy applying discount codes on commerce platforms on 11/11 is extremely reasonable In December alone, Cozy will run a facebook ads about changing product packaging to match the Christmas festival
Advertising Youtube Reach 3 million views
Public Sponsoring Reaching about 2000 people
Promotion buy 3 get 1 free 2000 products
Introducing new products on Facebook platform 1/1 - 28/2
Introduce the site on Instagram as a Story 1/1 - 15/1
Run banners on health and beverage websites 1/6 - 30/6
Hold a press conference, announce the amount of the grant 10/4
Sponsor the contest to share memories with family 15/4 - 22/5
Share the stories accumulated from the contest 7/2022 – 9/2022
Organize “Thần tài xanh Cozy” 7/10 - 28/10
Organize QR code scanning activities 1/2 - 15/2
Give away a bag of cosmetics on
FINANCE
• Number of products sold by quarter: 2,272,125 products
• Average revenue per product: 10,500 VND
• Average variable cost per unit: 4,500 (VND)
• Estimated quarterly fixed costs: 45,442,500,000 (VND)
Unit Cost = variable cost + (fixed cost / unit sales)
Markup price = unit cost/ (1 - desired return on sales)
The expected profit forecast after one year is: 95,770,500,000 (VND)
Format Process Quanity Unit Cost
Information Page 3 Post/ Video 30,000,000 Dùng cho Vietcetera,
Banner 2 Picture 52,000,000 Dùng cho trên các xe bus và website
Total fee of Advertising 265,000,000 (VND)
Using 2 influencers on Youtube and 2 influencers on TikTok
Deduct 10% of profits to support charity 3550000 Product 3,727,600,000
Exchange in 5 universities inh HCM city
Total fee of Public Relation 3,817,600,000 (VND)
Discount for distributors 10000 Product 35,000,000 Sales 11/11 3000 Product 31,500,000
Total fee of Promotion 124,500,000 (VND)
New product development strategies are based on analysis of instant milk tea market opportunities as well as advantages, difficulties, challenges and the possibility of success of Cozy Self Brewed Milk tea With the feature of self brewed milk tea in eco-friendly paper cups, adjustable sweetness and full of convenience, Cozy is looking to build its image in the minds of consumers, not only as a drink that satisfies personal taste but also safes for consumers' health
The implementation of the new product strategy needs to be taken care of by the Board of Directors and adjusted to suit the needs and development of the market It is necessary to closely monitor promotional activities and train dynamic staff to make products easily accessible to consumers In the following years, the company needs to continue to implement various action programs to make the product familiar to consumers
For a new product to be effective and acceptable to consumers, the company will have to be agile in seeing, understanding customer needs, and understand the characteristics of the company's potential segments In addition, the company must study the market carefully, make appropriate development policies for new products If the company performs well and fully the above tasks, Cozy will develop more and more, have a firm foothold in the market, and in the future will be a strong beverage company
1 EZCOMCLASS (2020) 5 điều nên biết về trà sữa tự pha The Alley
Truy cập ngày 4/12/2021 tại: https://ezcomclass.com/5-dieu-nen-biet-ve- tra-sua-tu-pha-the-alley/
2 Marketing AI (2020) Nghiên cứu thị trường trà sữa Việt Nam: “mỏ vàng” của các doanh nghiệp Truy cập ngày 5/12/2021 tại https://marketingai.vn/nghien-cuu-thi-truong-tra-sua-viet-nam/
3 Toplist (2021) Top 8 trà sữa hòa tan được yêu thích nhất hiện nay Truy cập ngày 4/12/2021 tại: https://toplist.vn/top-list/tra-sua-hoa-tan-duoc- yeu-thich-nhat-hien-nay-43053.htm
NO FULL NAME JOB DESCRIPTION CONTRIBUTION
Cozy’s website
Shopping support: For busy customers who do not have time to go to places that sell Cozy Self Brewed Milk tea, they can easily buy products through online shopping sites such as Shopee, Lazada and Tiki
In the new stage of launching products to the market, Cozy self brewed Milk tea will use the Price Skimming Strategy, which means setting a high price to influence consumers' perception (desire to buy high-quality, positional products) Since then, Cozy has confirmed the quality of its products to competitors and consumers With a high price to get high profits in a short time to compensate for the huge investment costs for the production and launch of products to the market When Cozy self brewed Milk tea is newly launched on the market, the price of 1 box with a capacity of 700ml will be 35.000 VND That is a price that is not too high compared to the use "like enjoying a cup of milk tea but more convenient and safe for health" of the product However, considering the domestic instant milk tea market in Vietnam, it is not cheap In general, Cozy self brewed Milk tea still has a higher price than other instant milk tea products Here is the competition between a few instant milk tea companies with Cozy in terms of price:
Birdy instant milk tea 3in1 25.000 VNĐ
The price of Cozy self brewed milk tea is higher mainly because the company focuses on product quality that is safe and healthy for customers The high cost of input materials, fresh ingredients, technological processes with many complicated processing stages, these increase the cost of the product
Because Cozy self brewed milk tea is a popular consumer item, consumed regularly, consumers do not waste effort when deciding to buy, so Cozy will use an extensive distribution strategy for its product
For goods to be consumed, there need to be different individuals involved in the distribution of the company's products, including manufacturers, distribution intermediaries, and consumers/customers Below is the distribution channel structure Cozy will apply to distribute its milk tea product to consumers:
• Distribution channel length: One level
• Type of intermediaries joining the channel: Retailers
Cozy’s distribution channel
• Distribution channel width: a/ Traditional distribution channel
Vietnamese people have the habit of buying everyday consumer goods, so for their convenience and speed, Cozy will distribute milk tea flavored water to consumers through intermediaries such as markets, grocery stores This makes it easy for them to buy products quickly, saving time b/ Modern distribution channel
Nowadays, Vietnamese people tend to prefer to buy consumer goods in modern distribution locations such as supermarkets, buffet stores and online shopping channels, especially in the context of the Covid-19 epidemic, consumers tend to shop more through e-commerce channels Therefore, Cozy will distribute its product to consumers through these retail channels Cozy Self Brewed milk tea product will be distributed at:
- 4 retail supermarket chains that are Big C, Co.op mart, Emart and Vinmart
- 5 convenience store chains Circle K, Ministop, Family mart, 7-Eleven, GS25
- 3 major online shopping sites, Lazada, Shopee and Tiki
At these supermarkets, convenience stores, and online shopping sites the product is delivered directly to the end consumers This distribution channel focuses on the end consumers, consuming in small quantities but often
Because of the very important role of distributors in the market, Cozy will implement policies to encourage distributors to strengthen cooperation and ensure a longterm relationship between the company - the end customers To encourage distributors, the best policy that Cozy will apply is to use a discount rate that increases gradually according to sales Cozy may provide a higher discount to distributors who guarantee to sell a larger volume of products and give priority to fewer deposits when purchasing products or prepayment of orders for large distributors
The first is the receipt and processing of orders When receiving orders, Cozy tries to satisfy customers as quickly as possible in terms of quantity, price, and service and then deliver goods as quickly as possible to customers
In addition, Cozy regularly encourages channel members so they can work at their best Cozy can learn the needs and aspirations of the members, try to establish a close relationship with them to meet their needs to the best of the company's ability At the end of each operating period, there should be accurate assessments of the business results of each channel member Thereby, there is an appropriate material reward if they complete the job well On the contrary, the members do not complete the task well, make many mistakes in the process of operation, Cozy will find out the reasons to have solutions such as warning, dismissal, or additional help
To be able to perform well the distribution process also requires appropriate investment to get the highest profit The company will invest 10-12% of its revenue In addition, it is necessary to try to exploit the full potential of storage and warehousing to reduce distribution costs
Build the brand image of Cozy self brewed Milk tea by supporting beautiful and prominent banners, signs, and product display shelves at retail locations to create attraction and interest in the product of consumers
Through two main media, which are social networking sites and news sites, convey information Use effectively to boost brand awareness and new product launch information Cozy is a Vietnamese tea brand, but social media advertising activities have not yet attracted many consumers in Vietnam Through the launch of new products to expand the coverage of the Cozy brand even more
Cozy's new product will focus on target customers with a relatively young age, from
23 to 30 years old Currently, in Vietnam, there are mainly three main social networking channels: Facebook, Tiktok, and Instagram In each separate social channel, Cozy will use different advertising strategies to promote brand image In the past, Cozy has not promoted the development of products for young people and social networking sites much, so this time is an opportunity for Cozy to develop more strongly in the domestic as well as international markets In addition, advertising by hanging banners on buses also attracts a lot of attention for new products Nowadays, with the development of information technology, websites are interesting and often used by people, so small banners can be used through websites to promote to more people
Table 4.2: Cozy’s social networking channel
Conveying information to consumers is extremely important, so that consumers know that Cozy will launch a new product that is a homemade milk tea that can be drunk immediately, then Cozy needs to rely on social networking sites for young people to convey information to themselves According to our observations, today's young people are fond of information sites specializing in life, psychological things they often encounter, articles on self-development and self-discovery Therefore, we decided to rely on three main websites, which are Vietcetera, Spiderum and Zing
Regarding Viecetera and Spiderum, we will ask them to create a podcast or talk about how milk tea can also be good for us Cozy will share their views on tea products and share stories about how Cozy can reach the world… About Zing, we suggest that Cozy will ask Zing to write an article about the new milk tea product, to introduce its functions and share some thoughts on the lifestyle of making drinks at home
Regarding the PR segment, we will let Cozy do five main activities
Activity 1: Sponsor a contest to share family memories
In order for home-brewed milk tea products to be more connected with consumers, we propose to organize a contest to share memories with customers' families They will post on social media about family photos with Cozy cups of homemade milk tea and share happy and sad stories with their family, and they will attach the hashtag #Cozyganketyeuthuong Cozy will accept the best stories and give everyone a few gifts
Activity 2: Use Influencers and Reviewers
In today's developing technology era, the appearance of Influencers or Reviewers plays a very important role for a business's Marketing campaign, this is a reference group that will directly affect product buying behavior of consumers Cozy will be looking for Influencers or Reviewers with a green and healthy lifestyle who will evaluate and comment on this new product Besides, Cozy will ask you to propagate information, Cozy will deduct a small part of the price of the product to add to the charity fund and support people in difficulty during the epidemic season
Activity 3: Organize a charity fund to support those facing difficulties during the epidemic season
New product, Cozy also has a separate slogan, "green journey, starting to take off" Indeed it is, "starting to take off" is the message that we will recommend to Cozy We want to help the little ones who have difficulties in their lives, we want to give them wings so that they can fulfill their dreams and desires Therefore, a homemade milk tea product of Cozy will have an average price of 35,000 VND, Cozy will deduct a profit of 10% of the selling price of each product to help disadvantaged children unfortunately became orphans because the Covid -19 epidemic took their parents
Activity 4: Organize exchanges with universities in Ho Chi Minh City
Up to now, the customers that Cozy is targeting are those in the Millennials (between