Marketing report topic marketing plan for nut milk tea

Realizing those potentials, our company - Felicia, an F&B business specializing in tea and coffee production, decided to launch a new product called "Fatty Not Fat Milk Tea".. In the fut

MINISTRY OF EDUCATION AND TRAINING

HO CHI MINH CITY OPEN UNIVERSITY

II

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MARKETING REPORT

TOPIC: MARKETING PLAN FOR NUT MILK TEA

Proffesor: Đỗ Khắc Xuân Diễm

Students: Dao Phat Huy

Nguyễn Minh Hữu

Nguyễn Mai Hoàng Linh

Trần Thị Kim Ngọc

Trần Mai Xuân Thy

Summary

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TABLE OF CONTENTS

I Marketing plan milestones 38

A, EXECUTIVE SUMMARY

After the COVID-19 epidemic, health issues are increasingly concerned by people In particular, in Vietnam, many Vietnamese people are now tending to use healthy foods and drinks that are good for their health.Strong Therefore, more and more businesses are targeting the market of clean, healthy food, low-fat and nutrient-rich foods and drinks Besides, in Vietnam, one of the most consumed beverages in Vietnam is milk tea, ranked 4th

in Asia (according to Singapore The Straits Times) At the same time, Vietnam is also one of the countries with the largest tea production in the world (Vietnam ranks 5th in the world in tea exports, 7th in tea production - according to the New Hanoi newspaper Realizing those potentials, our company - Felicia, an F&B business specializing in tea and coffee production, decided to launch a new product called "Fatty Not Fat Milk Tea" Below, we have analyzed

more clearly the micro and macro environment, to see the strengths, weaknesses,

opportunities and challenges to launch new products We have also outlined our target markets and also how we price our products Besides, we also come up with new ideas for the product promotion campaign, introduce the company's new products to customers, as well as the cost for us to do that With a scheduleThis plan we hope will attract more new customers, long-term loyal customers of the company and diversify our company's products

B COMPANY INTRODUCTION

I About us

Coffee business is one of the hot industries of the Vietnamese market today With a series

of brands, many large and small coffee shop chains at home and abroad appear and compete with each other Coffee shops cover all provinces, from big cities to rural areas, from main roads to alleys, everywhere you go

With that reason and passion for the beverage business, we have established Felicia Trading Production Co., Ltd 2018, in the form of a partnership with 5 members as the owner Felicia means luck and success We named the company Felicia with the hope that the initial start-up will operate effectively and without many difficulties and obstacles In addition, we

have a strong desire that the company in the future will be very successful and more people will know the tea and coffee brand "Felicia"

Before establishing Felicia, we were just university students with dreams and ambitions, after graduating from school, we would set up a company together And finally, after many efforts, we made it in 2018, Felicia Trading Production Co., Ltd was born From 5 people with an initial capital of 500 million and a small number of employees But at the end of

2018, we opened our first store in the center of District 1

3 years later, thanks to the effort to discover and create new drinks, fortunately, it attracts

a lot of customers We have opened 3 more branches in other central districts: districts 3, 5, 7

In 2023 the company developed more stores in Binh Thanh Felicia's drinks are increasingly diversified in product categories: tea, coffee, milk tea Currently, we are researching to develop a new product collection called "Nut milk tea" with ingredients of 100% vegan and pure Vietnamese ingredients, towards the health of consumers In the future, our company plans to open more branches in other cities in Vietnam and bring Felicia's beverage products, especially the new "vegan, pure Vietnamese" product line to many customers

II Business field

Trading in tea and coffee products

Beverage service business at the store system: Beverage, door-to-door delivery service III Mission

Become a pioneer in the field of tea and coffee with innovative ideas

Together bring the brand shine with drinks from pure Vietnamese ingredients to customers with the desire to protect the health of consumers

Create high value with understanding, empathy and real value propositions, satisfying customer satisfaction

IV Core Values

For customers: Committed to providing the best products and services

For employees: Build a dynamic and creative working environment, create conditions for development and equal opportunities

For society: Highly active contribution to community activities, showing a sense of responsibility towards society

2 Service quality

Not only care about product quality to protect the health of customers, but our company also invests in quality of service so that customers feel satisfied and comfortable when enjoying our drinks First, understand and know that the employee will be the person to

contact and communicate with customers, is the face of a store, when recruiting we must

select and train very carefully Our company will have 3 training sessions to train employees and | session to check and evaluate whether that employee is really suitable for the job we

require or not Fortunately, since the establishment of the company until now, the staff at the stores have always been rated by customers as agile and understanding customers In addition, staying at the company's stores has many forms of payment: cash, momo, zalopay, bank card for customers’ convenience in payment At each checkout counter, we always have

a qr code so that customers can evaluate the service quality of the store so that we can try to improve the disadvantages and promote the advantages to be better every day Third, all branches of milk tea with full products of our brand are available on all e-commerce platforms so that customers can more conveniently and order online to save time In each store, we always arrange many employees, divide the work reasonably to be able to complete the dishes fastest for customers without having to wait Therefore, our brand has also been appreciated by customers for its good and fast delivery service, without having to wait too long for the item Although the company has been formed and developed for 6 years, we are trying every day, taking into account the comments of our customers so that the company can become better Therefore, Felicia aims to become one of the companies selling milk tea with the best service quality and the most loved by customers

4 Effective promotion

In order to attract customers to use and get closer to the new product, "Fatty Not Fat", the company decided to have promotions such as: The company will set 1 or 2 drinks If you buy

old drinks with a new drink, you will get a discount of 1,000 VND, 50% discount on new

drinks for loyal customers, Increase in cup size when customers refer friends or relatives, According to the results of the company During the past 6 years, when implementing such promotions, the company always reaches a lot of customers using new products Thanks to effective promotions, every time our company brand launches a new product, it is always supported and expected by customers

5 Geographic scope

Felicia Company chooses to develop in Ho Chi Minh City in central districts with people with stable economic conditions and circumstances such as: Districts 1, 3, 5, 7, Binh Thanh Because Ho Chi Minh City is a densely populated city with the highest standard of living in Vietnam and a developed economy, health always comes first It has special advantages to develop the commodity market compared to other localities in the country On the other hand,

Ho Chi Minh City has a rich and diverse distribution system of goods such as supermarkets, commercial centers, restaurants, milk tea shops, etc It is the above factors that have helped the city Ho Chi Minh City becomes an attractive geographical area to attract large and small businesses to invest in it Moreover, the customers we target are those who have stable income and living standards, so we have selected central districts to develop the milk tea brand and provide drinks suitable to the needs of customers their demand

On the other hand, because Ho Chi Minh City has such favorable conditions, it means that the level of competition between businesses is very fierce and harsh Therefore, our company must always maintain a firm stance and stance to face the disadvantages and accept

to deal with the unfortunate risks that will happen to our company

6 Finance

a) Expenses or available funds

To launch the "Fatty Not Fat" seed milk tea product, the company prepared and carefully calculated costs and capital sources clearly The available capital from the company's sales business during the past 6 years is currently: 50 billion We believe this is a reasonable amount of capital to be able to invest in the strategy to promote this new product

These are the amounts we expect to pay to invest in the new product "Fatty Not Fat" milk tea The company has divided the items and the appropriate amounts, which items need a lot of money, which ones need a small amount, we have planned it clearly and practically after careful discussion together:

>» Cost or availability of capital

Available capital: 50 billion VND

> Cash flow

Amount spent: 4 billion (for 30,000 products)

Amount to be spent: 2.488.930.000 (for 30,000 products)

— Positive net cash flow: 1.511.070.000 VND

> Materials and packaging for cups

- Thai Nguyen green tea from Xinjiang supplier: - 150.000d/kg

- An Giang palm sugar:- 30,000 VND/kg

- Simply sunflower oil: - 50,000 VND / 1 liter

- Seed:

+ Almond: Organic almonds: 300,000 VND/kg

+ Walnut: Vietnamese wild walnuts: 200,000 VND/kg

- Thai Nguyen Green Tea: 120 gram - 18,000 VND

- An Giang Palm Sugar: 25 gram - 750 VND

- Simply Sunflower Oil: 100 VND/cup

- Average price of nuts: 233.000 VND/kg

— Per glass: 30 grams of seeds: 7,000 VND

26,650 VND/1 ly

> Cup of 500ml:

- Thai Nguyen Green Tea: 150 grams — 22.500 VND

- An Giang palm sugar: 35 grams — 1.050 VND

- Simply Sunflower Oil: 150 VND/cup

- Average price of nuts: 233.000 VND/kg

— Per glass: 45 grams of seeds: 10.485 VND

35.185 VND/I ly

» Transportation costs:

All materials: 100 million/month

— New product materials account for 30%

— Shipping cost for new products: 30 million/month

— Shipping cost for 3,000 cups/month: 30 million VND

— Shipping cost for 1 cup: 10.000 VND

> Workers cost:

- Fixed salary of 50 employees (branch of parent company): average 12 million/person/month

— 600,000,000 VND

- Solid salary for part-time employees at the store (10 employees rotating shifts at 1 location

— 5 branches: 50 employees): 2 million 880/person/month —> 144.000.000

- Total: 750.000.000 (hard salary + bonus)/month

>» Fixed costs:

- Expenserent root cause: District 1: 100 million/month, Binh Thanh: 30 million/month; Districts 3, 5, 7: 50 million/month — Total: 280,000,000/month

- Staff cost for 50 employees: 600,000,000 (hard salary + bonus)/month

- E-commerce floor fees (ShopeeFood, Baemin, Grabfood): 30 million/month

- Tax: 360.000.000/month

— Fixed costs: 280.000.000+600.000.000 + 30.000.000 + 360.000.000 = 1.270.000.000/month

— Fixed cost for new products is: 381.000.000/month/3.000 new products (Because new products account for 30% of all products)

— Fixed cost for 1 product: 127.000 + 650 = 127.650 VND

> New equipment:

- 3 Bulk grain mill (320kg): 300.000.000/machine — 3 machines —> 900.000.000 VND

>» Marketing expense

Marketing with Viral Clip Fatty Not Fat

- Animated video cost: 20,000,000 VND

- Run advertising ADS:

+ Facebook: 10.000.000 VND/ 14 days

+ R&F Tik Tok: 4.800.000 VND/4 weeks

Healthy Ladies Tea Campaign

- Run promotional hashtags in TikTok: 900.000.000 VND/70 days

7 Manufacturing (R&D)

a) Facilities

To launch "Fatty Not Fat" nut milk tea with the following criteria: delicious and healthy for customers We learned about new machines and equipment to make the best nut milk tea for our customers We bought and invested inNew modem equipment: a grain mill In addition, old equipment such as milk tea maker, tea filter, etc are still used and preserved Our company always puts food safety and hygiene for customers on the top, so the equipment and machines to create products are always 100% disinfected by us All machines and equipment in our store locations are subjected to rigorous hygiene checks every day Every month, they are checked for damage or problems to promptly overcome and handle In addition, we also have a checklist Products need to be renewed every day Rigorous in the management of such facilities, the purpose is to give customers a great experience

b) Economies of scale

When our company decided to spend a sum of money to invest in new machinery and equipment, we also calculated it very carefully Not only brings efficiency in product quality for customers, but also gives the company higher productivity and efficiency in the process of processing and creating finished products The advantage of investing in modern machinery

and equipment has helped the company save costs for human resources That means that the investment policy in modern machinery and equipment is completely correct Because it will help the company in the long run to save a lot of costs but still bring good productivity c) On-time production ability

The investment in current equipment ensures the production of products on time to serve the needs of customers We have listed a few items that are currently maintained at the stores

so that the creation of the finished product is always on schedule but still ensures the quality such as: stocking materials in advance to ensure correct progress to serve customers’ needs, make sure to train staff's skills in using machines and serving customers to ensure on-time production schedule

8 Organization

Felicia Company was born in the form of a partnership: owned by 5 individuals Each individual will be responsible for maintaining and ensuring the performance of employees in each department We understand that maintaining the company must go hand in hand with staff management During the past 6 years, our company's organization has always been within the framework of dedicated, understanding employees, doing their jobs well Because

we always put ourselves in the hands of employees to listen and understand understand As a result, after so many years of efforts, we have a company with more than 1000 employees, including employees in the company and employees at stores located in areas in Ho Chi Minh City Chi Minh Our company has 5 departments, each department performs and is in charge

of its own work

» Business Department

Its function is to guide and direct research and development activities to improve mouthwash products to meet market needs These activities will contribute to the expansion and development of the target market for the business

» Engineering department, production

Responsible for the smooth running of the product production line In addition, it also plays an important role in solving problems when incidents occur and providing timely remedial measures

Finance and accounting department

Helps track revenue (money in) and expenses (money out) while ensuring compliance with all legal requirements They also provide quantitative financial information to management, lenders, investors and other stakeholders

» Marketing department

Planning, pricing, promoting and delivering products/services to consumers The marketing department will market products and attract customers to the company for the purpose of optimizing profits

> Quality control department

Fulfill quality requirements Quality control is the control of the processes that create products and services through controlling factors such as people, machines, materials, methods, information and working environment

Thanks to such a division into 5 divisions, every time the company prepares to launch a new product, the departments work very efficiently Employees know the work, so when we ask, they will set up the work right away and solve it together We firmly believe that the most successful and proud thing my company wants to affirm is the organization within the company With a large size and number, but they always try to support, help each other and get the job done very well Above all, the management team and executive board in our company are always stable, hardworking, and creative It is important to know how to work together to develop the company better every day

II Customer analysis

1 Social factors

» Reference group

Years before we started our business, we interviewed people who came to our store to enjoy milk tea A small part of the group of people said that because they saw that the brand was promoting, they came to try it, the rest of them said that because they had friends and family around, it was delicious, so they recommended it to them Until now, we still realize that word of mouth from the reference group when going to a certain store is a very important factor Typically, reviews from KOLs on social networking platforms: Tiktok, Facebook, Youtube, etc Because customers now most of them will easily trust the people around them, who have used good products certain services will have an objective view and a more honest description Grasping that mentality of customers, our company invests a lot in good service and product quality so that the reference group has an objective view and will bring great experiences from the brand We spread it to the people around us

2 Personal factors

> Occupation and economic situation

According to Professor Douglas Kenrick of the University of Arizona, Maslow's tower is

so attractive and permeable because our brains love simplicity I love shortcuts to understanding the complex world Especially when Maslow's theory can be easily observed

in the surrounding life So, dBased on 5 levels in Maslow's hierarchy of needs: physiological

needs, security needs; safe social needs, esteem needs, self-expression needs, we easily

analyze customers’ desires for products

In the past, people only had a need to "eat well - dress warmly" and when this need is satisfied, people will want a higher need than "eat well - dress well" That is to say, when people have a better standard of living and economic conditions, what they care about is not only the food they put in their body, but they also care about its quality, because it will have long-term effects on their health Typically today's upper class, they are very interested in food and health issues, they aim to live a healthy and balanced life, care for the smallest things that affect their health, because for them their economic condition is too good coupled with their desire to pay large sums of money in exchange for good health That's why there are now a lot of functional foods on the market for the body, the purpose is to serve the needs

of people with good conditions, they are willing to pay large amounts of money with the desire

>» Lifestyle and values

The highest need and the last need in Maslow's pyramid is to be able to express themselves, which means that businesses are required to make customers feel confident in themselves and feel the decision to use services or buy goods of your business is correct To

do that, we learned about the lifestyle of the brand's target customers, who are healthy and balanced lifestyles We launched the "Fatty Not Fat" nut milk tea product with the desire to bring an objective view of people who are afraid of being fat, have diabetes but can still drink milk tea Because the ingredients in our nut milk are from organic seeds and diet sugar, customers can enjoy it with peace of mind We believe that these things will be the link between the brand's new product and potential customers with a healthy lifestyle, helping them to be confident in their decision to use Felicia's products and the company's products be with it

3 Motivation

The company's target customers are people from the wealthiest and most developed places in Ho Chi Minh City That's why all stores are located in central districts: 1, 3, 5, 7, Binh Thanh That means that their need to eat well and dress well while living in this area has

been fully met Therefore, their biggest concern is about health They not only want to eat well and dress well, but their needs are even higher than that of finding products that meet their health needs and desires This is what stimulates customers to use Felicia's "Fatty Not Fat" nut milk tea

Currently, there are many milk tea shops in Ho Chi Minh City But for many reasons it does not meet their health needs, so it will cause disappointment for customers for milk tea products in the market For example, in The Coffee House's healthy tea product portfolio, they only have fruit tea, not a variety of products That leaves customers with no choice, because if they want to enjoy healthy milk tea, then The Coffee House cannot meet their needs They will look to brands with more variety of dishes and meet the needs of the desire

to enjoy both tea and milk tea, but must ensure the safety factor for health Therefore, "Fatty Not Fat" nut milk tea was born with the mission of overcoming customers’ disappointment, giving them a fresher look at the current milk tea category available on the market In addition, their disappointment with milk tea products on the market because the quality of milk tea of most current brands has not yet met the health needs of customers For example, the Phuc Long brand still uses fat as fat and milk powder to make milk tea, which leads to diabetes In contrast, "Fatty Not Fat" nut milk tea has a breakthrough in a new formula: not using powdered milk, but sweet; Fat is from organic seeds that are pureed and mixed with soybean oil, using jaggery instead of granulated sugar for the purpose of good health and not causing disease for customers

Therefore, to meet the demand for healthy drinks, replace milk tea products on the market That is the driving force behind our company's launch of the "Fatty Not Fat" nut milk tea product with the desire to serve customers who are aiming for a healthy and balanced life Ill Competitor analysis

Analysis of competing brands in the product category: The Coffee House's Healthy Tea, Naila Nut Milk Tea, YuTang Nut Milk Tea

1 Targeted customer

- The Coffee House (Hi-Tea): Beautiful skin and slim body

After Covid-19, healthy drinks took the throne and became the first choice of many people With many good health benefits, Hi-Tea Healthy 1s considered a collection of drinks that catch up with user tastes Not only is it suitable for Gen Z standards, Hi-Tea Healthy is also suitable for diners of all ages

- Naila nut milk tea: Fresh tea with nuts

Naila's customer target is diners of all ages who aim for healthy products

- YuTang nut milk tea:

YuTang's vegan milk tea category is aimed attheThe guest has strict dietary requirements and looks for products that guarantee health

mild taste are many campaigns

for the community Naila nut Product Expensive | Located in the | Use KOLs to promote milk tea variety, central district: | brands and products

bold taste District 3 and | on social networking

Binh Thanh platforms: Tiktok,

Facebook, Youtube

Yutang nut No Expensive | The storesare |Do not use media milk tea product spread in the campaigns

variety, North, there is medium only | location

taste 1n the suburbs

of the population was shocked There, youth from 10-24 years old, accounting for 21% of the population These are the age groups that consume the most milk tea in Vietnam Therefore, the milk tea market in Vietnam is an extremely open market At the same time, the young population density shows that Vietnam is a labor-rich country and therefore, our business does not have to worry about labor shortage

5.17% of the same period in 2020 and 2021, but lower than than the growth rate of the fourth quarter of the years 2011-2019

It shows that the living standard of Vietnamese people is increasing People will have more needs for food and drink used in life This is an opportunity for the company to develop more new and better quality products to meet the needs of customers

From Popular news site in Singapore The Straits Times Vietnamese people spend about

362 million USD (equivalent to about 8,400 billion VND) to drink milk tea in a year This is

a huge number and according to this news site, Vietnam ranks 4th among Asian countries that consume the most milk tea

That shows that the company can hit hard on this type of product and launch more new products about milk tea

3 Nature:

Natural conditions such as soil, water, and climate are factors that greatly affect the quality of tea If the climate changes, unfavorable weather will affect tea cultivation, supply is not guaranteed, and directly affect the business activities of businesses like ours

A research team led by biologist Colin Orians from Tufts University has been studying the effects of climate change on the health and quality of fish They concluded that “Tea quality is determined by many chemicals, which are climate dependent, so climate change could have serious consequences for the tea market,” said Professor Orians know “People buy tea and drink tea for some special reason Without those assets, they probably wouldn't buy tea."

The Covid-19 epidemic situation is a threat to the business of many stores and businesses But we have seen a favorable point to develop new products after the epidemic It is after the last epidemic, that we humans tend to care more about health, eat healthier and move towards healthy products Therefore, the company has developed new products that are good for health but still ensure the taste

Environmental protection is also a concern of businesses, especially F&B companies like

us Therefore, the company has strongly focused on reducing plastic waste, we have completely replaced plastic objects with natural ones such as using paper cups, straws made from bagasse and even bags paper container

4 Culturally:

Tea has appeared and is associated with the life of Vietnamese people throughout its 4000 years of history Tea drinking culture is part of Vietnamese life and soul

This is considered a cultural feature because it is widespread, reflecting the customs and character of the Vietnamese people Drinking delicious cups of tea while chatting is also one

of the Vietnamese customs People often spend a lot of time going to coffee shops to study, work, Going to coffee shops to drink a cup of peach tea or milk tea is becoming a habit of modern people

According to statistics of the Vietnam Tea Association in 2020, each Vietnamese person uses 0.47 kg of tea per year on average, equivalent to 45,000 tons, reaching a revenue value

of 7,245 billion VND (315 million USD)

That shows that Vietnam is one of the major tea consuming countries And this is a very potential market, a great advantage for the company to develop the tea market in Vietnam At the same time, creating more novel products to add diversity to Vietnam's tea market

5 Technology:

Doing business in the F&B industry needs to apply a lot of scientific and technical achievements From machines for dispensing, serving, to technology to reach customers, promote, expand influence.,

According to a survey by the Ministry of Industry and Trade, currently, about 61% of Vietnamese enterprises are still standing outside the Industrial Revolution 4.0 and only 21% have just started preparing for operation

Today the number of Internet users is very large, in Vietnam the rate of Internet users is 73.2% - an increase of 4.9% compared to the same period in 2021 By February 2022, the number of social network accounts has been activated active is 76.95 million This number increased by nearly 5 million accounts over the same period last year and sharply increased

by nearly 12 million accounts over the same period That's why selling and advertising on social media and apps is becoming more and more popular

Therefore, our company must be extremely flexible to fully apply technology to its business We have to keep up with the trend of young people using social networks, propagating and promoting our images on social networking sites At the same time, it must

be combined with large e-commerce sites to trade the company's products on it

E SWOT

I Strength

- As a company established and developed before, we have had a certain position in the market of F&B industry in general and milk tea industry in particular in Vietnam, our brand