Вы находитесь на странице: 1из 15




Refreshing Tea for Tea Lovers


First of all, our most sincere thanks are due to our Allah, the merciful, without whose
benign consent this piece of project work would have been impossible. Our special
thanks goes to our parents and kind teachers whose help and support and special
prayers went along each and every stage.

Then of course, our beloved teacher Mr. Farhan Aslam who was generous enough to
spare his precious time and was always accessible, and respected Supervisor Mr.
Yawar Abbas who made himself available every minute we met him for questions
regarding to project.

Company Profile
Vision Statement:
Mission Statement:
Product Innovation Charter:
:New Product Development Process
Need Identification
:Need Identification Test
Concept Generation

Concept Testing
Concept Generation
Concept Evaluation
Technical Task
Marketing Task
Marketing Mix Strategies:
Swot Analysis


Building an excellent reputation over the years, RARE Foods
continues to be at the forefront of product and packaging innovation. By the grace of Allah, it has
achieved market leadership in several food categories with a very strong portfolio, consisting of leading
national brands.
RARE Foods has the distinction of being the first company in Pakistan to offer ready made tea. RARE Foods has
also introduced a number of unique products previously unknown to the Pakistani market, like RARE Labban, delicious
traditional lassi (buttermilk) prepared with pure thick milk and yogurt.


Most Innovative and fastest growing food company offering products enjoyed
in "every home every day"


RARE FOODs mission is to create highest standards of product, providing
high quality.It creates and promotes delicious, truly healthy, organic beverage. We will strive to grow our
product, with sustainability and great taste for to satisfy the consumers.
The Group caters to the premium segment of the market and conscious about the standards of quality. So
stringent are the quality specifications at every stage, it will be a habit rather than being mere procedure.


Tea is the second largest beverage after water in the world. On average about 2 million metric tons of tea are produced
The per capita consumption of tea in Pakistan is around one kilogram and is on the increase due to rising demand. As we
know that world is progressing rapidly and people are indulging in their lives too much day by day. They want every
thing prepared. Life of this world is very furious that if some one wants to survive in this hasty world he has to run with
the fast time. Life has become so much busy that if some one wants to get some pleasure even sometime he has to pay for
this. This is commonly known as Nothing is free of cost. Even if we see the natural things like water and Oxygen we
have to pay. But it is something else that the shape of the price changes according to the conditions.
Firstly, I would like to explain that why the need of this product urged in our minds.
What are the reasons behind this?
Why we decide to produce this product?
Why we want to bring this product in market
These are some questions that I would like to explain. Again the answers of these questions lie in the fact that life has
become very much fast in order to prevail the pleasure of life, it is necessary to find ways which can fulfill the
requirements. This is also a short attempt tried by us to save time and give gratification in your life through this product
which will be helpful in saving your precious time.

A Product Innovation Charter:

Building an excellent reputation over the years, RARE Foods continues to be at the forefront of product and packaging
innovation. By the grace of Allah, it has achieved market share in several food categories with a very strong portfolio.
RARE Foods which has entered into rare tea segment, plans to launch its tea in large cities
of Pakistan including Islamabad,Karachi, Lahore , Faisalabad etc.

"This new INTENSE tea solution is only for tea lovers. Our main target segments are officials and students of different
universities. "Tea is one of the fastest growing segment in the beverages market and our plan is to capitalize upon the
rising health consciousness associated with tea among people in Pakistan".

We aspire to capture at least 60% market share each year by expanding our own efforts and increasing our offering
associates. our mission is provide new products by delivering high quality tea to our customers. Our claim is to provide
unique taste through high quality to maintain our reputation as owned by other companys product.

Our goals will be achieved by creating the unique service approaches that are based on current field service resources,
hopefully protected from quick competitive emulation, without extensive development expenditures either inside the
firm or outside. The company plans to launch its branded Intense tea in the Pakistan by February of this year .


A manufacturer says to customer, I have produced this new product you have to buy it.

A customer says to manufacturer, I need this thing, produce this for me
This is a very important step now a day to produce a new product. In our product we have kept this in our mind that first
well have to satisfy our customers desires and then well offer this product in the market after getting suggestion of
customer because Customer is King.
We have produced our product keeping in mind the customers will.


After the idea generation we wanted to check it whether it is suitable or economical for
other people and also whether they want it or not. To fulfill this, we conducted a survey in offices and hostels.
Amazingly, we found that it is a very keen and intense need for people who work in offices and for students living in
hostels. In order to conduct survey we prepared a questionnaire that is shown below;


It is a market survey for need identification carried by the students of DBMS. All the
receivers are requested to respond fairly.

Gender: Male/female

Profession: Student/worker/

I. How many cups of tea you take daily?
a). less that five b) greater than five c) 5

II. Which difficulties do you face in making tea?
a). unavailability of ingredients b) process of making tea c)both
III. You like tea served by
a)yourself b)by other
IV. How much sugar do you like in a cup of tea?
a)1 spoon b) 1 and half spoon c) two spoon d)..
V. What sort of tea do you like?
a)strong b) medium c) light
VI. Are you interested in making tea if
a) availability of ingredients in one sachet b) ingredients separately?
VII. Which one is more difficult for you in making tea?
a) preserving milk b) preserving sugar c) preserving tea d)all
VIII. During days of work load making tea with separate ingredients is a difficult process
a)Yes b) No
IX. Any difficulty while making tea, briefly explain

According to the result, the need of tea bags is very high. The survey also showed that people want to prepare tea easily
without wasting their precious time.


Testing new product with the group of target consumers to find out, if the concepts have
strongly consumers appeal
In order to check our concept whether it is according to the demands and fulfill the requirement we prepared a
questionnaire. Not only this but we also took our product in physical form to some of people for the concept testing. This
questionnaire is given below.


An efficient and refreshing Tea Bag that contains all ingredients in
appropriate proportion at one place. This tea bag provides an easiest way to make tea in less time and is economical.

Do you think all ingredients in one bag is a good concept?
a) Agree b)Disagree
If agree, will it be working well?
a) yes b) no
What are the major benefits of this product?
a) time saving b) convenience c) both
Keeping in view the price of cup of tea in different Hotels, what should be the price of the bag having all ingredients

For what purpose tea bag can be used in best
a) to make tea in less time b) to reduce the burden c) both
Would you like to buy this?
a) yes b) no
Do you think it has advantage over common tea bags?
a) yes b) no
What suggestions do you think necessary to increase the efficiency of this bag? Please mention:

The results are highly appreciable. People liked the idea very much and the results were in our favor. We also got some
suggestions from people to enhance the quality and efficiency of our product.


Now come to this point from where this idea has come. As it is commonly known as that
there is a stimulus behind every invention. Similarly, there must be some stimulus behind this idea. One is this that as we
are living in hostels, it creates problems to make tea. Here I would like to explain that in initial time, tea had been using
for medicine purposes but now it has penetrated in our lives so much that it seems difficult to live without this.
So to fulfill this desire we brought this product. Most of time as we friends gather it often creates problems among us that
who would make tea but no one is ready to make tea. Because it is a time killing process and especially during days of
exams it becomes more difficult to waste time. So we thought that there should be some way which can save our time. In
this way the idea of tea bags struck our mind.

We had many other ides about tea product but select ready
made tea idea then concept resulting high score getting from the users.The idea selection is one of the most important and
critical moment in the front end process. In fact, choice an idea at this point means to evaluate some things like probably
business, technical and commercial success considering limited information. Despite that, a formal decision process is
indispensable.A small group of persons look at few information about the idea; then if its attractive, more information
are requested from the author or other people. Then when from a set of ideas only few of them come on, the best one is
selected on the basis of company priorities.

After the concept evaluation, we enter in development phase.In this phase we undergo two very
important aspects.The technical task and marketing task.

(a) Technical Task

Intense Tea, tea bag is in vertical shape and its length is 7cm and width is 3cm.
The weight of the bag is 12 grams. In these 12 grams 5gram is milk, 5gram is sugar and 2gram is tea.
The tea bags are available in 2 packets.
Smaller one contains 25 tea bags and larger one contains 50 tea bags.

Ingredients Net Weight per bag(in grams)
Milk 5
Tea 2
Sugar 5
Total 12

(b) Marketing Task
In marketing task, we cinsider the marketing plane.


20-55 years
Both male and female
Upper-upper and upper middle class

In big 6 cities as Islamabad, Karachi, Lahore, Faisalabad, Rawalpindi and Bahawalpurwhere
offices, hostels and posh areas are located.

Time conscious, health conscious, fashionable, quality conscious , educated

Brand loyal, high usage rate

Market mix strategy for the product



As there are always rumors about new products that their quality will not be as good as the existing
products but our mission is to change this concept about new products by delivering high quality tea to our customers.
Our claim is to provide unique taste through high quality tea.


The design of INTENSE TEA is like common tea bags. Only difference which it has is that unlike other
tea bags we have tea, sugar and powdered milk in one sachet. The only thing you have to do is to dip the tea bag in a cup
of hot water and shake it for a moment and your tea cup is ready.


The packets which are made for tea bags are very easy to carry and protect the tea bags from damage
like pressure. Inside the external packaging, the tea bags are further covered in plastic sheets to save sachets from weather
conditions and moisture.


Our point of difference is that we are providing all the ingredients necessary for making tea, in one bag. It
is very easy to store and easy to use. You dont need to store all ingredients separately. We are proving all ingredients
only in one bag for the convenience of our customers.
Sometime you want to take tea but change your mind because of the fear of time wastage. But with our INTENSE TEA
there are no more fears of such type.


Now days, customers view brand as an important part of product and branding can add up value to
the product. Branding is so strong that today hardly anything goes unbranded. So we have choose the name of our
product which clicks in mind very sharply and have a good and energetic impression, INENSE TEA. Intense means
Extreme or being specific a lot of Action in a short period of time. So the brand name truly represents the functions of
our product and also gets attraction

(f) SIZE

Intense Tea, tea bag is in vertical shape and its length is 7cm and width is 3cm. The weight of the bag is 12 grams.
In these 12 grams 5gram is milk, 5gram is sugar and 2gram is tea. The tea bags are available in 2 packets. Smaller one
contains 25 tea bags and larger one contains 50 tea bags.


Companies usually adjust their basic prices to account for various customer differences and changing
situations. Here are different adjustment strategies.

Discount and Allowance
Segmented Pricing
Psychological Pricing
Promotional Pricing
Geographical Pricing

Analyzing these strategies we have set a price for one sachet. The ingredients used are milk, tea and sugar. The cup of tea
on cafeteria is of Rs.10. It varies cafeteria to cafeteria from Rs.10 to 15. we have analyzed this price while making price
strategy for tea bag.
The cost of raw material

Ingredients Price
(in rupees per kg)
Net Weight per bag(in
Price per bag
(in rupees)
Milk 390 5 1.95
Tea 550 2 1.1
Sugar 66 5 0.33
Total 1006 12 3.38

Here is price distribution in pricing strategy.

Packaging and Expense = 2.12
Marketing Expense = 2.5
Profit = 5
Total Retail Price =13
Incentives for Retailer = 2

Consumers Price = 15

Small packet contains 25 bags and retail price of this packet is Rs.350 and Rs.25 is retailer incentive and consumers price
is Rs.360 there is Rs.15 incentive for consumers.

Large packet contains 50 bags and retail price of this packet is Rs.700 and consumers price is Rs.720. there is retailer
incentive of Rs.50. and large packet contains a Tea Mug having companys logo. That is incentive for our customers.

3. Placement

We will follow the production concept for our product means that we will follow intensive distribution
and place the product in all sorts of store ranging from super markets to single shop. In super market we place a separate
rack for our product.

Analyzing consumer needs

As our target consumers are mostly students and office workers. They definitely want the
product near their hostels and workplace and will not travel more to purchase the product so we place our product in
hostel and factory cafeterias.

Furthermore, as our target market is very large so we reach the customers through wholesalers because it is more
convenient for company to deal with 4 or 5 wholesalers instead of dealing with loads of customers.

4. Promotion

The promotion strategy of our product is based upon truth about the product as it is the only product
available in the market which is more convenient in making tea. You just have to drop the bag in hot water and enjoy the
simply refreshing tea. In promotion we will follow these steps:


A specific communication task is to be accomplished with a specific target audience during specific period of

Types of Advertising

As our product is new in the market so will follow two types of advertisement
1. Informative
2. Persuasive

Informative Advertising

As our product is totally a new one public dont have much awareness about it. So first of all we
set the advertisement informative. Tell the public that how our product works and how they can get the fresh tea in low
A three in one product, milk, sugar and tea all in one bag. Now you dont have to other about taking care of milk and sugar, just drop
the bag in hot water cup and enjoy the energizing and tasteful tea.

Persuasive Advertisement
It is actually a comparative advertisement in which we will compare our product directly with
tea bags.

Sales Promotion

Sales promotion consists of short term incentives to encourage purchase or sales.
We will use two different approaches in sales promotion.
1. Consumer promotion
2. Trade promotion

Consumer Promotion
In consumer promotion we promote our product sale by offering premium and samples in the very start of development.

Samples are a sort of free trial of the product.
In order to introduce our product to customers and to show its convenience we will do free sampling only in the
university and factory cafeterias.

Premiums are actually goods offered either free or at low cost as an incentive to buy the product.
So in the very start we will offer a family pack of biscuits with the one box purchase of our tea bags because usually every
one in Pakistan try biscuits with the tea so it will be very attractive offer for them to buy bags of our tea.

Trade Promotion

In this sort of promotion we will directly give incentives to retailer s and wholesalers.
We offer a special package for the retailers who will buy our product i-e we offer them to design their sign board if they
reserve a rack for our product.

Advertising Media

Our goal is to familiarize 60% target markets in first 3 months. So in order to achieve that goal we decide the media which
Sign boards near institutes

But more emphasize will be on radio advertisement because the great part of our target market is students and radio
broad casting is very much popular in them. We have contracted withFm 103, Fm 90, and city Fm 89,Fm 101.

Direct Marketing

We will also use direct marketing for this purpose our specially designed vans move to different areas and show directly
to customers how to make refreshing tea in not more than 2 minutes.

Online Marketing

The role of internet cannot be denied in the present era. So, we will develop our own company website.
This will be helpful in a sense that when any student or officer visit that site and if he is very tired of hard works our ads
will give him the solution to be refreshing again.
We also use direct mail marketing.

Placing of hoardings at main roads of our target cities and just launch. We will commercialize our product
in predefined areas. After that, we will properly manage our launching strategy so that our product may capture expected
market share.
Just commercialization is not enough but managing the market properly, is necessary because many products fail due to
poor management regarding market situations.


Any organization which is well aware of its weaknesses and opportunities can
prevail in rapidly changing market. Same is the case of with our product as our product is new in market and a new thing
always has some room for improvement. So in order to keep an eye on our products weaknesses and strength we have
done SWOT analysis.

Our strength is our point of difference. i-e; it is more convenient for making tea
Time saving
Price is also our strength as it contains necessary for making and is affordable.

As a new product it has a low market share.
Our company is also new so we have not much experienced sale force.

We will train our sales force
We may add some flavor in our product.
We may add brown sugar in tea to make it drinkable for sugar patients.

We do not have any competitor yet but Lipton which is market leader can launch a new product to increase the