Inventory requirement
Raw materials
In the process of producing the soft drink, the firm will require a variety of inventories. The main raw materials will include different varieties of fruits to ensure that the soft drinks produced to meet the different tastes of the consumers. The large volume of clean water and sugar also forms part of the raw material requirement.
Supplies
To ensure proper packaging, the firm will contract a packaging firm to produce the desired packaging materials such as the packets and the bottles. It will also obtain supplies of stickers on which the product’s contents such as the ingredients will be included.
Finished goods
Upon completion of the production process, the soft drink will form part of the finished goods. These will be in various categories which include the energy drink for the sportspeople and the elderly.
Retained stock
The finished soft drink products will form the retained stock. The firm will ensure that it has a sufficient amount of retained stock to meet the market demand.
Rank Of Customer Service Factors Depending On The Customers Views
- Product Dependability
- Communication
- Time
- Convenience
The management has identified communication and dependability as amongst the most important factors to enable the firm to serve the customers efficiently. Communication will help the firm sample the feedback from the market on how to improve the soft drink. This will help the firm in innovating on how it can incorporate value addition to the product.
Dependability will help in the determination of whether the soft drink meets the desired health and energy needs of the consumers.
Retailing strategy
The firm will incorporate a two-dimension retailing strategy about product breadth and value addition.
Retailing mix
Physical Distribution
The firm will ensure that it establishes depots in various cities within the US. It will also incorporate the use of distribution agents.
Communication Mix
To create awareness of the soft drink, the firm will use advertising through various media such as television, radio, and the written materials such as the newspaper. The adverts will also be displayed by use of billboards that will be located at strategic points.
The Goods And Services Mix
The product pricing strategy will integrate psychological pricing to ensure that consumers perceive the fairness in the soft drink’s price.
Customer service will be of high quality to ensure that the consumers are satisfied.
The firm will ensure that it improves its image by constantly supplying the products to the market to improve customer loyalty.
Positioning statement
Broad Product Line And High-Value Addition
To effectively penetrate the market, the firm has developed an effective positioning statement. This is by selecting a broad product line and high-value addition concept.
The breadth of the product line is high because there are a variety of soft drinks that the firm produces. This is by using different fruits which ensures that the diverse tastes and preferences of the consumers are met.
About ensuring that the consumers changing tastes are integrated into the product, the firm will conduct continuous research and development to determine the improvements that can be made to the soft drink in the process of production.
Retail pricing
In pricing the soft drink, the firm will integrate the concept of markup. This means that in the determination of the soft drink’s retail price, a certain percentage will be added to the cost of production. The determined markup will have integrated a certain percentage of discounts. This will enable the firm to increase its volume of sales.
Store Location
The firm will establish 150 distributional centers amongst the various regions in the US. These stores will be distributing soft drinks to the various community shopping points. This will ensure that there is convenience in accessing the product.
Retail Communication
After the product penetrates the market, the firm will continuously conduct advertising to ensure that the consumers are aware of the product’s existence in the market.
Target audience
The advert will be designed in various fashions to drive the message effectively to all the customers. These include the elderly, youth, and children.
Promotion objective
The objective of intensive promotion is to ensure that there is the establishment of customer product loyalty. This will lead to repetitive buying.
Promotional tools
In the introduction phase, the firm will produce sample soft drinks that it will distribute as free samples in the market. As the soft drink penetrates the market, the firm will issue pens that are branded with the soft drinks brand name as gifts. The firm will also use caps and T-Shirts.
Design of the promotion
The promotion message that the firm will adopt is as follows;
“Get refreshed, get energized, live a healthy life, drink Suff soft drink products.”
Schedule of the promotion
The firm will conduct its promotion in the media thrice within a week. On the television, the commercial will be aired during the peak hours when many people are watching the television such as during the news time.
Pre-testing and post-testing procedures
To ensure effective implementation, the firm will conduct a pilot project to determine the response of the product before engaging itself with producing in large volume.
In conducting post-testing, the firm will use market feedback to determine whether the product is effective. This will help in controlling the quality of the soft drink.
Integration of the promotion tools
The free sample drinks will be of different flavors in line with the diverse soft drinks produced. Also, the pens, T-Shirts, caps will be of a different color to signify the variety of the product lines.