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Contents
1. Executive Summary.................................................................................................................................. 3

2. Product Description:................................................................................................................................ 3

3. Situation Analysis...................................................................................................................................... 6

4. Market Trends & Growths................................................................................................................... 10

5. Market Needs:.......................................................................................................................................... 11

6. SWOT Analysis......................................................................................................................................... 12

7. Marketing Mix ......................................................................................................................................... 13

8. Competition............................................................................................................................................... 15

9. Marketing Objective............................................................................................................................... 15

10. Issue Analysis........................................................................................................................................... 17

11. Assumptions............................................................................................................................................. 17

12. Marketing Strategy:............................................................................................................................... 17

13. Product Policy.......................................................................................................................................... 18

14. Action Plan................................................................................................................................................. 19

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1. EXECUTIVE SUMMARY
The marketing plan includes the fundamental for the introduction of newcomer in the
Pakistan Tea market known as Royal Tea. The Internal & External analysis of the
organization, competitive environment enables the team to propose dynamic &
competitive strategy for Royal Tea. Royal Tea is an innovative product which is close to
herbal tea and black tea and this product can serve as body cleanser.

2. PRODUCT DESCRIPTION:

Intestinal wellbeing is essential to sustain a healthy body and should be preserved and
maintained daily.  This is the only product that does that safely and effectively. While not an
easy topic to address, Colon and Intestinal cleansing is a subject that needs to be dealt with
in the quest for weight management, vital health and longevity. Royal Tea is a safe, natural,
and powerful means of promoting the healthy elimination of potentially harmful toxins and
waste while opening the pathway to superior assimilation of important nutrients. It
promotes the health and longevity of many organs, systems, glands and metabolic
processes that are dependent on the condition of your digestive system.

The use of Royal Tea has many additional benefits: it improves overall digestion,
strengthens the immune system, reduces mucus congestion, makes the skin more emollient
and flexible, clears the eyes and provides an overall boost to the energy of your system. It
aids in cleansing and detoxifying the blood, kidneys, liver and lymph. As well, it helps to
eliminate parasites, bad bacteria, viruses and fungus on a daily basis by releasing heavy
metals and increasing the pH of the body.  Royal Tea is a safe and gentle cleanser that also
helps reverse the aging process.

The average person now has the ratio of “good bacteria” to fungus reversed; 15% good
bacteria, 85% fungus. When the small intestine fills with fungus, the organs and glands are

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deprived of their building blocks and systems begin to fail. Bad digestion and poor
assimilation of vital nutrients is the result.
Any undigested food (no matter how healthy) left in the digestive track is poison to your
body and will cause numerous health issues. The easiest and safest way to remove the
undigested food from the digestive track and to clean off the plaque from the intestinal
walls is to drink Royal Tea each and every day with your meals. Good intestinal health is
important and should be preserved and maintained daily.

Royal Tea is a unique blend of all natural ingredients. Persons who suffer with Acid Reflux,
Constipation, Indigestion, Bloating, Excess Gas and Belching should use Royal Tea. People
who would like to take inches off their stomach, clean out Nicotine & second hand smoke
and keep the Liver, Lungs and Colon healthy and clean will benefit from this product. It may
also be used as an element of a Weight Management Program. With continued use of Royal
Tea, you will experience clearer, healthier, younger looking skin, increased energy and a
happier outlook.
The objective is to regulate your bowel movements to two or three each day in order to
keep the waste flowing and not sitting in your digestive system, which will cause numerous
chronic health conditions. You may adjust the amount of tea you consume daily to suit your
body’s needs but make sure to drink enough vitalized water daily.

Royal Tea also helps in the removal of parasites, viruses, fungus and bad bacteria. As well, it
reduces acidity, not only from the digestive tract but from other organs and tissues. Royal
Tea tastes good and continues to cleanse and refresh, deeper and more effectively, the
longer it is used.

Royal Tea not only cleanses and refreshes the digestive tract but also supports the health
and wellbeing of the entire body; a formula with positive results that is safe to take on a
daily basis for a lifetime of protection.  Live a full and healthy life.

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Ingredients are a special blend of: Persimmon leaves, Malva leaves, Holy Thistle,
Marshmallow leaves.  It is a special blend that allows for the gentle cleansing of the whole
body with continued use.
ROYAL TEA IS A TOTAL BODY CLEANSE FOR TOTAL HEALTH AND WELLNESS.
ROYAL TEA INGREDIENTS:

Holy(Blessed)Thistle
Holy (Blessed) Thistle has been used medicinally for over 2000
years, most commonly for the treatment of liver problems by
supporting it in the release of toxins. It has been highly regarded
for therapeutic uses and was cultivated throughout Europe and
some say gained its moniker through its reputation as a 'heal-
all', even credited with curing the Plague. It was in known cultivation as early as the mid-
1500's. It is a plant of great virtue; it helps inwardly and outwardly; it strengthens all the
principal members of the body, as the brain, the heart, the stomach, the liver, the lungs and
the kidney; it is also a preservative against all disease, for it causes perspiration, by which
the body is purged...therefore, give God thanks for his goodness, Who hath given this herb
and all others for the benefit of our health." It is such a good blood purifier that drinking a
cup of thistle tea twice a day will cure chronic headaches.

Persimmon
Persimmon leaves are a good source of important dietary
antioxidants, such as vitamin A & C and flavonoids. It has been
widely used as a tea in oriental countries. Persimmon leaf is anti-
allergic in composition. It is also used topically in some beauty
products to help to clarify the skin and eliminate dull and dark
areas.

Marshmallow Leaf

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Marshmallow Leaf has been traditionally used to soothe and
support the intestines. Marshmallow, are often helpful for
symptomatic relief of coughs and irritated throats. Marshmallow
leaf relieves irritation by coating inflamed surfaces.

Malva Leaf
This plant is one of the earliest cited in recorded literature and
was considered a perfect plant. Dioscorides extols it as a remedy,
and in ancient days it was not only valued as a medicine, but was
used, especially the Musk Mallow, to decorate the graves of
friends. Many species are edible as leaf vegetables. As an herbal
mixture, it is commonly used for its colon cleansing properties and as a weight loss
supplement. As well, this herb can help soothe inflammation in the mouth and throat and is
helpful for earaches.

3. SITUATION ANALYSIS
Market Summary
History of Tea
It is said that tea was discovered accidentally by Emperor Shen Nung back in 2700BC. After
a large meal one day, he was relaxing in the garden with a cup of boiling water. At that time
some leaves from a nearby tree fell into the cup. Unnoticed he consumed the drink. He
enjoyed the taste of the tea and the pain relief of the drink was so much. Like this the cup of
tea was born.
The first tea used in England came from China. The English quickly developed an almost
unquenchable thirst for the drink and began searching for a way to get tea without having
to buy it solely from China. Tea was cultivated in various regions of India and Sri Lanka.

Government of Pakistan is now awakening to this massive demand of a massive population of 160
million Pakistanis. There are reports of a plan to grow tea locally in Pakistan on 4000 acres. This

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will be done in private sector. Semi Government sectors will also chip in by growing tea at 800
acres in NWFP, 200 acres in AJK and 50 acres in FATA.

Pakistan relies almost exclusively on imports to satisfy its internal consumption, which was
109 000 tones in 2003. It is the world’s third largest tea importing country, behind the
Russian Federation and the United Kingdom.

Manufacture
Tea manufacture is the process of converting young fresh tea shoots into dry black tea. This
involves a number of processes from plucking to packing. At the plucking stage, only the
top leaf tips are picked every 6 to 7 days. The tip leaves are younger and finer which
produce a better quality tea. The fresh green leaves now need to have the moisture
removed from them. This is done by blowing air through the leaves for up to 14 hours,
leaving a soft and pliable leaf. There are then two ways of treating the tea. Tea which is to
be used as loose leaf will normally be rolled gently to create a twisted appearance.

In contrast, tea which is to be used for tea bags, is shredded and crushed to produce a small
granular product. Rolling and crushing the leaves, results in the rupturing of the leaf cells
which allows oxidation to occur. This gives the tea its distinctive black color and flavor. The
tea is then dried at high temperatures to achieve the correct taste. When it has been dried,
the leaf tea is of differing sizes and will also contain pieces of fiber and stalk. At this point it
is processed to remove pieces of stalk which will then leave tea suitable to be sold as loose
tea. The tea is passed through varying sizes of meshes to sort it and has to be passed
through very fine ones in order to produce tea fine enough for tea bag production. This
process of sorting is a harsh one and it can cause the tea to lose some of its flavor. That is
why loose tea usually has a better flavor than the tea in a tea bag.

Types of Tea
There are several ways of classifying tea like the country or region of origin. The tea is divided in three
types:

 Black tea
Black teas are produced by withering, cutting, rolling, fermenting and drying the tea leaves.

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The infusion can be light or dark in appearance, varying in color from orange to brown and
Will usually have a strong taste.
 Green tea
Green teas are teas that have been picked and rolled before firing. This stops the veins on
the leaves breaking, preventing the fermentation process, so that the leaf does not turn
brown. The brewed tea is pale yellow or green in color.
 Oolong tea
Oolong teas are semi-green teas, produced by stopping the fermentation process just as the
Leaves start to turn brown. The leaves are then fired or dried and deliver a yellowish
infusion.

The different tastes of tea

There are nine main tastes of tea in the world:
 Original tea (from specific countries or regions)
 Standard teas
 Medicinal teas
 Organic teas
 Hot or cold teas
 Perfumed teas
 Seasoning teas
 Decaffeinated teas
 Exotic teas.

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 SEGMENATATION VARIABLES: DATA
Geographic:
World Region Asia
Countries Pakistan
Cities All major cities of given Pakistan
Density Urban
Climate Hot and Dry
Demographic:
Age 18-60+
Gender Male, female
Family life cycle Married, Unmarried
Family size 1-2, 3-4, 5+
Income Rs. 15000/=
Occupation From middle to upper class
Education School, college and universities
Religion Major religion of Islam, Hinduism and
Christianity and other small percentages
Race Asian
Nationality Pakistani
Psychographic:
Social class Upper class, middle class
Life style Actualizes, fulfilled, believers, achievers,
strivers etc.
Behavioral:
Occasions Parties and regular Occasions
Benefits Quality, test and treatment.

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User status First time user
Loyalty status Strong

4. Market Trends & Growths:

Tea imports, exports and consumption in Pakistan: 1994-2003

Year Imports Total consumption Per capita consumption

(‘000 tones) (‘000 tones) (Kg)
1994 116.1 114.6 0.84
1995 116.6 109.0 0.87
1996 114.8 114.8 0.89
1997 85.4 85.4 0.64
1998 111.6 111.5 0.82
1999 119.7 119.7 0.86
2000 111.4 111.4 0.78
2001 106.8 106.8 0.73
2002 98.0 98.0 0.65
2003 109.0 109.0 0.71

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Per Capita Consumption: The per capita consumption of tea in Pakistan is about one
kilogram. The factory set up at Shinkiari in Mansehra to be commissioned this year with its
limited production will be able to meet only a fraction of the country's requirements. But
with the passage of time the tea production in the country will continue increasing.

It is planned to undertake cultivation of tea on 15,000 acres in phases. With their efforts for
tea production, the prospects for a flourishing tea industry in the country are pretty bright.

This situation offers an excellent opportunity to both the individuals and the companies
wishing to reap rich dividends by undertaking the cultivation, harvesting, processing and
marketing of a lucrative product like tea in a country like Pakistan where already exists a
great demand for the commodity.

It may also be emphasised that tea is a highly rewarding cash crop that has a gestation
period of four years. From the fourth year onward the tea plantations can continuously
produce tea for 95 to 100 years. With the successful efforts of producing tea in certain
district of NWFP, it can be gathered that tea may be grown in certain districts of high
altitudes in Balochistan as well.

The Pakistan Agricultural Research Council (PARC) having expertise and financial
resources, may be called upon to carry on the required research on the possibility of
growing tea in Balochistan.

5. MARKET NEED:

Presently Pakistan is meeting its entire tea requirements through imports till 1971 it had a
surplus because of production of this commodity in the Eastern Wing (then known as East
Pakistan) in great volumes.

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Consequent on the loss of the Eastern Wing, it had no alternative other than importing tea.
It, thus turned into an importing country from an exporting one. This 'table-turned'
situation proved a blessing in disguise.
In order to reduce its dependence on imports, Pakistan planned to produce its own tea and
started to actually produce it on an experimental basis in 1980 in Mansehra district of
NWFP which has a favourable climatic and soil condition for tea production.

Till recently, Pakistan has been importing enormous quantities of tea each year footing a
huge bill in hard-earned foreign exchange.

6. SWOT ANALYSIS
Strength
 Local company that will be favored by the Pakistanis.
 Diminishment of Financial Risk (no exchange rates or import from other EU countries.
 Insider knowledge of Pakistan
 Uniqueness of the product - Benefits of product are outstanding and not offered by any
other product/company.

Weakness
 New company - needs to establish its position in the market place
 Brand name is little known.

Opportunities
 Shortage of tea supply unlikely
 Supply should remain stable over next 3-5 years
 Demand should remain in relative sync with supply
 Mass market tea prices will stabilize.
 Consumers are living a healthier lifestyle.
 Consumers prefer quality products that offer true value
 Modern technology in the tea industry will be able to increase productivity
 Growth in tea market due to promotional efforts of healthy attributes of tea

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Threats
 Limited number of raw materials.
 Unstable tea supply of high quality tea
 High quality tea prices will increase moderately
 Tea market is very competitive and relative elastic
 Strong local competition like Tapal and Coffee Products.

7. MARKETING MIX OF ROYAL TEA

1. PRODUCT
Royal Tea will be a high quality product offered as specially blended black herbs tea.
Contents of the Royal Tea are:
40 BAGS, 80 BAGS, 150 BAGS, 250 BAGS (FAMILY PACK)
THE AMOUNT OF BAGS REFERS TO DIFFERENT TARGET GROUPS. 40 BAGS FOR SINGLES,
80 BAGS FOR COUPLES,
150 BAGS AND 250 BAGS ARE FAMILY PACKS. (250 BAGS IS THE MOST FAMOUS)
Packaging:
Customer perception of a package creates brand equity and purchaser loyalty. The image
presented by the package largely determines success or failure of a tea line. Appearance
stimulates memories and emotions inside the purchaser, who oftentimes is female, often
buying for an entire family. Color, image and slogan all combine to facilitate customer
allegiance.
Top Left

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 Right

Left Half Right Half

PLACE
Final product will be distributed to Retailers such as Supermarkets and main tea shops so
the end consumer has easy access to it.
Place in supermarket:
On the middle and lower levels the Royal Tea should be placed according to the content of
tea bags. 40 bags should be placed higher than the ones containing more bags.

PRICE
Prices for the tea should be as the following:

Reasons for pricing policy: Royal Tea is competing against the main player on the Pakistani
Tapal and Lipton and Vital by setting a higher price but offering more value for it. Various
promotion activities, giveaways and advertising on radio and television will help to
establish the brand and gain market shares.

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PROMOTION
The promotion is the most important point to launch our products because we want to be
able to compete with our biggest competitor. We want to focus on this point because the
Pakistani like to purchase bargains or buy products that offer free gifts. Other brands do
not offer as many promotion and free gifts. This is why it is important to focus especially on
the Promotion activities of the marketing mix. We are going to set up original events in
order to attract new customers and consumers of other tea brands.
Advertisement
At the beginning, the strategy is to focus on the Internet, the radio and on daily newspaper
(The News, Dawn etc) to reach a lot of customers. These media are noticed by a large target
group which will help the firm to be known.
After six months or one year, we will begin a campaign on television, in magazines and on
airports.

8. COMPETITORS:
 Uniliver that produces Lipton Tea.
 Tapal Tea Private Limited.
 Vital

9. MARKETING OBJECTIVE
 To offer consumer best health advantage through Royal Tea.
 To establish as market leader in herbal tea industry
 To enable Royal Tea to satisfy, fulfill the consumer’s personality & lifestyle
 To increase Royal Tea’s popularity as an icon in Herbal Tea product.

The different managers should know the sales and marketing objectives of the firm in order
to achieve these objectives.
We are going to use the method SMART:

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 Specific: The objectives have to be clear. For example, in each shop, the company of
“Royal Tea” must achieve the selling objectives. The turnover to reach will not be the
same in the different shop because we make the selling objectives according to size of
the shop, the frequentation, the type of the clients.
 Measurable: The company has to follow the different targets in the sales outlets and if
each shop allowed to reach the objectives. To measure the sales we can calculate the
sales by day in order to understand how the client bought the product. With these data
we can improve the strategy and the sales. The commercials can ask to the supermarket
to put the product in a different way or to make more promotion.
 Achievable: The targets have to be realist. At the beginning the turnover would grow
slowly and after the promotion, it would have a faster expansion. If we reach to win
clients from our main competitor (in a first time) and from the others tea brand (in a
second time), the sales would grow increasingly. The firm should have a long term’s
vision and should be reactive in front of decisions or problems which can occur.
 Relevant: The objectives have to be founded on fact and not on suppositions. The firm
has to respect its general strategy and its image. The firm should take into
consideration the sales of its competitors in order to be based on relevant objectives.
 Timed targeted: Each objective should have a deadline. It can allow measuring the
different sales of the day, of the week, of the month, according to these data; the firm
can change the objectives or makes promotion to reach these objectives.

The objectives for the first year:

 Introduce company into the market, strengthen and improve its position
 Penetrate the black tea market.
 Penetrate health market with fruit and herbal teas.

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10. ISSUE ANALYSIS
Main issues that should be addressed in the Action Plan:
 Company needs to gain experience in the market place
 Aggressive promotion efforts to establish brand name and gain market share
 Create effective marketing mix
 Establish company image of high quality, great value for money
 Find distribution deal with main tea shops, supermarkets in Pakistan.

11. ASSUMPTIONS
With respect to the tea market climate it is assumed that:
 Strong competition in the market place will force price levels of products down
 Royal Tea will only be able to differ from its competitors by introducing aggressive
promotion tactics for their innovative product.
 Tea supply will remain relatively stable
 Demand should remain in sync with supply
 Prices for high quality tea will increase moderately
 Prices for mass market tea will stabilize.

12. MARKETING STRATEGY:

A. Market Gap
Regarding our research in Pakistan supermarkets we have come to the result that there is
no market gap in the tea market. It is important to point out that once the Maltese customer
decides to consume a certain brand he or she will be very loyal to the product and it will
therefore be hard to convince him or her to buy another brand. With the brand Royal Tea
we are going to introduce innovative products in an existing market and focus on Market
Development.

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 Existing Market New Market

Existing Market Product

products Penetration Development

New Market
Diversification
Products Development

Royal Tea need to spread awareness about the health betterment by consuming the Royal
Tea and capture the educated and health conscious class of people (usually from High Class
society & educated). Lifestyle of customer is changing who emphasize on health, Royal Tea
can capture this new rising market.

13. PRODUCT POLICY

Name of the local brand that is to be introduced in Pakistan Market

Royal Tea

Reasons for choosing Brand Name

Royal Tea is strong name, easy to remember and refers good brand because the
associations with royalty are “master”, “the best”, “the strongest”, “luxury”.
The crown represents the power because we want to be the no 1 on the market
It can be associated with quality, a luxury brand that is available & customers are receiving
a good value for their money.
There is also a “name-game” the brand name “Royal Tea” resembles the word “Royalty”
giving associations that our tea is made for the nobility.

Slogan

It is more than a tea…

…Rejuvenating Body Cleanse

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Reason for choosing slogan:
The slogan It is more than a tea… indicates that the Royal Tea is mere a tea but is
something more than that giving more values and benefits than any other tea in the market.

The Logo

Explanation for different choices:

Golden Crown: It is a common symbol that refers to the royal Kings and Queens; it is easy
to remember and catches the eye of the customer. The modernity represents a new birth
for the tea because the young people believe that the tea is a beverage for old people. With
this modernity it will attract a new segment (youth).

Golden Background: Golden color proves purity, wealth of the ingredients, the recipe, and
the taste & power. The power is linked with the crown which represents the status and the
sovereignty of the king.
Our focus is on converting black tea market and focusing on new immerging health market.

14. ACTION PLAN:

Marketing Action Responsibility Control Timing Costs
Strategy System INR
Marketing Advertisement Marketing Monthly Whole year 500,000
communication on TV, Managers sales
campaign internet, radio, figures
newspapers,
campaign ad on

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 the
street
Marketing Set up special Marketing Count Jan 2010 – 20,000
promotion stand Managers, Sales customers Feb 2011
campaign for personal managers, and
selling Counter staff monitor
Supervisors sales per
month
organize Marketing Count Feb 2011 50,000
promotional Managers, Participan
event in Mumbai Supervisors, ts
Hostesses
Promotional Marketing Produced Nov 2011 – 10,000
offers e.g. Managers, output Mar 2012
free gifts with Production figures
purchase Managers
Organize Marketing Jan 2010 – 5,000
sweepstake Managers Feb 2010
“Weekend trip to
London”
Loyalty scheme Marketing Customer Whole year 5,000
“Point Managers, s
system” Customer taking use
Service of point
system
Distribution of Marketing Count First week 5,000
free Managers, Customer of Nov
samples to Cashiers, s 2010
customers Supervisors
at cash point

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 THANK YOU.

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