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INTM65LON Digital Marketing

Individual Assignment
Coursework 2

Name: Wong Ying Wei

Student ID: J16022784

Module Leader: Mr Shanmuga Sundram A Samy

Submission Date: 2 August 2017

Word Count: 3300 words


Table of Contents
Introduction ............................................................................................................................................ 4
Pestle Framework ................................................................................................................................... 5
Political Factor..................................................................................................................................... 5
Economy Factors ................................................................................................................................. 5
Social Factor ........................................................................................................................................ 6
Technological Factor ........................................................................................................................... 6
SWOT ...................................................................................................................................................... 7
Strength .............................................................................................................................................. 7
Weakness ............................................................................................................................................ 7
Opportunity......................................................................................................................................... 8
Threat .................................................................................................................................................. 8
Porter 5 force .......................................................................................................................................... 9
Threat of New Entrant ........................................................................................................................ 9
Competitive Rivalry among Existing Firm ........................................................................................... 9
Threat of Substitute .......................................................................................................................... 10
Bargain power of Buyer .................................................................................................................... 10
Bargain Power of Supplier ................................................................................................................ 10
Objective ............................................................................................................................................... 11
SMART Marketing ............................................................................................................................. 11
Strategy ................................................................................................................................................. 12
Segmentation .................................................................................................................................... 12
Target Audience ................................................................................................................................ 12
Pay per click advertising strategy...................................................................................................... 13
Facebooks Audience Network STRATEGY ........................................................................................ 14
INSTAGRAM AD STRATEGY ............................................................................................................... 15
Email Marketing Strategy.................................................................................................................. 16
TACTICS ................................................................................................................................................. 17
Marketing Mix Strategy of Berly Chocolate ...................................................................................... 17
Product .......................................................................................................................................... 17
Price .............................................................................................................................................. 18
Place .............................................................................................................................................. 19
Promotion ..................................................................................................................................... 19
Action .................................................................................................................................................... 20
E-CAMPAIGN INITIATIVE SCHEDULE ................................................................................................. 20
Responsibilities and structure........................................................................................................... 21
Control .................................................................................................................................................. 22
BUDGET ............................................................................................................................................. 22
KPI ..................................................................................................................................................... 22
Control Plan ...................................................................................................................................... 22
Contingency plan .............................................................................................................................. 23
Conclusion ............................................................................................................................................. 23
Reference .............................................................................................................................................. 24
Works Cited ........................................................................................................................................... 24
Introduction
Beryl Chocolate and Confectionery SDN Bhd is well known chocolate manufacture
enterprise in Malaysia and it establish in 1995. The goal of the company is focus produce the
fabulous chocolate for global market. In 1995 , Beryl is start out their manufacturing industry
in Desa Serdang and producing consumer- packed chocolate that sold in duty free shop and
hypermarket across the country. In 1998, Beryl chocolate is relocated their new factory in
Seri Kembagan industrial area. Beryl chocolate is targeting to fulfil the promise of high
quality chocolate to their loyalty customer with increasing production line to provide diverse
range of chocolate product. Currently, Beryl Chocolate is become a well-loved consumer
brand throughout in Malaysia and global market. Beryl chocolate product was gained a
recognition of discerning customers both locally and oversea. (Chocolate, B. 2016)
Pestle Framework

Political Factor
Political Factor is an element of Pestle framework that related to any news in the government and
country policies. Government will obliged every organization to running their business operation in
compliance with a laws that government decide through on Parliament of Malaysia. With those laws
and rules, the organization will be acquainted in the functions performed. The organizations strategic
plan must cater the political impact of the country, therefore, it will achieve effective strategy that
built to make proper alignment (Porter, 1998).

The mainly political factors is Malaysia government cant provide a preciseness laws and regulation to
protect food manufacturer industry. In 28 Nov 2016, Famous Auntie Anne restaurant was denied to
gained a halal certificate because one of product name is unqualified the laws of Halal A. JALIL, M.
(2016). Therefore, the law and regulation that agree by government could be change frequently in
Malaysia. In instability law protection, chocolate industry will be easily to offend the Halal law and
rules.

Hence, if the company is had competency to handle political matters of Malaysia, it is possible to
minimised the impact that affected by political issues.

Economy Factors
Economy Factors is most essential factors of analysis on every country, it can decided the successful
and failure of business profitability (Worrell, 1998). Every Business refer the core concept of economics
to explaining their demand and supply on their business model. .

The first economic factors in Malaysia is currency fluctuation in every day. In instability economics,
raw material of chocolate costing will be increasing because it due to imported from another country.
Beryl Chocolate is carry from cocoa bean on Africa - Ghana. Ergo, Beryl chocolate company will
require to increase their costing for currency exchange to import the cocoa bean from Ghana.

Furthermore, Malaysia government will addition taxing on product and service in frequently. In 1 April
2015, government had announce to collect GST tax from consumer and retailer for every product in the
market. With this tax issue, it had effect Malaysia cost living to increase and consumption pattern of
consumers has changed. By this impact, beryl chocolate will require to have strategy plan to
adjustment the price of their chocolate product to attractive consumer purchase.
Social Factor
Chocolate industry has to concerning health issues by penetrate in the market with all factors. Therefore,
chocolate will has in depth relation with health yielding of food product. In Malaysia, consumer will
more concern product health conscious and prefer chocolate makers could diversify their chocolate
product to different flavours (vanilla, orange, fruit, or yam) and healthy ingredient.

The consumption of chocolate will be young age children and teenager. With this reflect, Chocolate
industry can concentrate producing the taste of chocolate would suitable for teenager age. For instance,
the more popularity of confectionery in Malaysia will be chocolate product.

Technological Factor
In technology era, a lot of enterprise or Manufacturer Company will emphasize to investment into
technology to achieve greater success and competitive advantage in the market. (Porter, 2004). In
Malaysia, Chocolate factory will rely on technology to advance their product development,
advertising and promotion. With those technology, it can reducing the expense cost of production and
can yield high quality chocolate product. Moreover, digital media technology can support the
chocolate factory to building a strong brand name and promoting chocolate product.

In Malaysia, Artificial Intelligence will be high recommendation of technology can implement into
manufacturing factory. A.I Technology can manipulate the production machine for 24 hours
automatically produce and packing chocolate product to achieve increase their productivity. However,
the investment on those technology will be expensive and require skilful worker to maintained the
technology (Viechnicki, D. and D. Eggers, W. (2017)
SWOT

Strength
1. Well known chocolate manufacturer company in Malaysia.
2. A good cocoa bean is producing from Ghana, it was a globally recognized source and Beryl
chocolate product is create by this source.
3. Beryl chocolate is belong affordable prices and wide varieties of flavours to chosen.
4. Easily purchase on duty free shop and any supermarket across the country
5. Beryl chocolate able acceptable by public and large amount product export to another
country.
6. Provide ingredients to professional users such as chocolatiers, pastry chefs, bakeries, hotels,
restaurants and caterers.
7. Beryl chocolate well known as a successful chocolate manufacturers in Malaysia.

Weakness
1. Over varieties of chocolate flavours in one product
2. Not all chocolate flavours will accepted by consumer
3. Packaging design is traditional and unattractive the consumer
4. Not focusing to advertising product through media
Opportunity

1. As convenience of E-ecommerce, Beryl Chocolate able to selling their chocolate on online store
to generate more sales.
2. Beryl Chocolate can promotes sales for bulk purchases / hampers in Malaysias Festive Season
3. Beryl Chocolate had opportunity to expand on global operation. Currently Beryl Chocolate
already exported to Middle East Country.
4. Beryl Chocolate can promote their chocolate during food fair which help improve brand
recognition

Threat
1. Hersheys, Cadbury, Kraft Foods, and Nestle will be main competitor of Berly Chocolate
2. Raw chocolate ingredient price are soaring in Malaysia
3. Healthy trend will affecting the demand of chocolate product because consumer prefer healthy
snack bar more than chocolate product.
Porter 5 force

Threat of New Entrant


In Malaysia, the entry barriers for new entrant competitor will be high because there are plenty
of high awareness industry (Nestle, Beryl, Hershey, Ferrero and Cadbury) is already well
established in the market. For the new entrant chocolate company, it will difficult to compete
with those existing industry and survival in the market. In 1 April 2015, Malaysia Government
had announcement to public that each of manufacturing product will be charge GST tax (Zheng
Zhou, L. 2013). Therefore, it will be a biggest challenge for new entrant competitor because
new entrant company will require high initial capital to operate their business.

Competitive Rivalry among Existing Firm


In Malaysia, there are many business competing against beryl chocolate and planning to take
over the supremacy the company has for several years. Nestle and Cadbury well known as
biggest competitor in market. Those chocolate competitor will had their own manufacture
industry and high brand awareness in Malaysia. Therefore, Beryl chocolate will had the high
threat on competitive rivalry among existing firm.
Threat of Substitute
There are numerous substitute products that can be threaten chocolate and cocoa industrys
profitability. In Malaysia, non-chocolate snack is more diversify compete with chocolate
product. For example: peanut butter, fruit, potato chip and etc. Further, consumer will be
consider chocolate is unhealthy and willing to substitute it readily. In additional Malaysias
supermarkets or retails shop will tend to copycat popular chocolate and provide their own
brand on the shelves at a cheaper price. Moreover, with the trend of healthy lifestyle,
chocolate industry will release a healthy protein snack bar with chocolate favourite to replace
a chocolate bar in the market.

Figure 1 Substitute Product Tesco (2017)

Bargain power of Buyer


In the bargain power of buyer, beryl chocolate had high amount of loyalty consumer compete with
their competitor. Beryl Chocolate is well known chocolate factory and establish in 1995. It has a strong
foundation on chocolate market. Moreover, all of beryl chocolate product is easily accepted by
Malaysian consumer and the price is affordable. However, there are no switching cost for consumer,
in the market, there are much of chocolate product that sold in retail shop and supermarket and
chocolate product is not unique product in Malaysia. For the level of bargain power of buyer for beryl
chocolate, it will consider low.

Bargain Power of Supplier


The bargain power of supplier for beryl chocolate will consider high. The source of chocolate
as well as known is cocoa bean. In Malaysia, there are no farm to producing the cocoa bean.
Furthermore, the raw material of beryl chocolate is require import from Ghana. With this lack
of substitute on raw material, it will increases the bargaining power of the chocolate and cocoa
industrys suppliers.
Objective

SMART Marketing
Smart Goal Winning customer confidence and building long term loyalty

Specific Targeting chocolate lover consumer and increase customer confidence and
loyalty rate in Malaysia within 12 month
Measurement Increase customer confidence and loyalty rate toward beryl chocolate will
increase above 10 % per monthly
Achievable Run advertisement and online engagement about beryl chocolate product
on social media platform.
Realistic Beryl Chocolate company had to ensure customer confidence and loyalty
rate will be increase 10 ~ 15 % per month before August 2018
Timed Bound This digital marketing objective require to accomplish before August
2018.

Smart Goal To raise Facebook awareness and increase fan following from 25,500 to
100,000 by 31st December 2017
Specific Raise Beryl Chocolate Facebook awareness and increasing page followers
reaching 100, 000 before 31st December 2017

Measurement Beryl Chocolate fan page followers will increasing 10 , 000 and per
monthly
Achievable Using Facebook ADS to promoting or hosting a lucky draw event on beryl
chocolate Facebook page
Realistic Beryl Chocolate company had to ensure increase 10,000 ~ 12,000
followers per month and subscribe the page before August 2018
Timed Bound Beryl Chocolate Fan Page must reaching above 100,000 followers before
31st December 2017
Strategy

Segmentation
Demographic segmentation Users of Facebook and Instagram
Above 12 years olds children
Chocolate lovers
Above Lower class income consumer
Psychographic Offering chocolates with different flavours , varieties of
segmentation choices , tastes and sizes
Affordable prices
High quality ingredients and raw materials
Attractive packaging with labelling
Suitable for Malaysia and international markets

Behavioral segmentation Gifts on social and religious occasions like Christmas,


Muslims feasts, Chinese New Year and other festivals of
the year.
Visiting relatives or patients, returning from travel.
Parents want to bring for their children to cheer them up.
Chocolate gifts to celebrate special occasions like
weddings, new born babies, anniversaries and more
Chocolates lovers who like to eat good quality chocolate
with affordable price.

Target Audience
For the target audience of beryl chocolate product, it will consider target above low income family and
chocolate lover. Beryl chocolate is affordable price and easily acceptable by local and global market.
Therefore, the range of target will be expand to world wides customer.
Pay per click advertising strategy
Pay per Click (PPC) advertising is an advertising system that allow advertisers to pay for each click
on their advertisements. It was revolutionized the online advertising industry and Google revenue had
generates by this advertising system. With this advertising system, Beryl chocolate can promoting their
product information on Google website and increase customer acquisition.

Figure 2 Payperclick example (payperclickadvertising, 2017)


Facebooks Audience Network STRATEGY
Facebook Audience Network is a new innovate of Facebook ADS that develop by Facebook, it
provide a new way for advertisers to extend their campaign into mobile apps. Facebook Audience
Network will give a powerful features to additional app- based mobile experience and provide
marketers more scale for their Facebook Campaign. In this strategy, Beryl chocolate can collaborate
with Dessert bloggers to integrate Beryl chocolate and promoting by Facebook Audience Network
Feature to attract more viewers to views the beryl chocolate blog information to achieve brand
awareness and increase customer acquisition.

Figure 3 Facebook Audience Network (Facebook for Business, 2014)


INSTAGRAM AD STRATEGY
According Instagram research, Instagram had competency to engage audience out of all
social sites and show ad recall from Instagram sponsored ads is 2.8x higher compare another
social network.

Figure 4 Diagram of Instagram (Instagram Advertising In 2017 , 2017)

In Instagram Ads strategy, Beryl Chocolate can creating some attractive account on Instagram
and continuous posting fabulous beryl chocolate product images and video and image of
customers indulging in Beryl Chocolate. In special occasion season, beryl chocolate can
organize an event to allow consumer gained prize by hashtags the beryl chocolate product.

Figure 5 Instraram ADS example (Instagram Advertising In 2017 , 2017)


Email Marketing Strategy
Email marketing is act of sending out emails to customers. There are three component of email
marketing Direct Email, Retention Email and Email Place Ads. Direct Email is the advertisement
emails will directly send to existing and potential customers.(Hartemo, M. 2016)

Retention Email is frequent and regular emails send to existing customer and Email Place Ads will
placed with email and send to customers. In this email marketing strategy, Beryl Chocolate can
announce their event or new series of chocolate product by email to their loyalty customer and potential
consumers.

Figure 6 Email Marketing example (Email Marketing , 2017)


TACTICS

Marketing Mix Strategy of Berly Chocolate


Product
Beryl chocolate has different categories of chocolate product like tiramisu series, crunchy series and
jar series. The strategy of beryl chocolate on product will continuous improvement in the quality and
taste of chocolate product. Moreover, beryl chocolate could release some customize flavour chocolate
in special season. In additional, Beryl chocolate also innovate different type of chocolate series is
related luxury or healthy ingredient for consumer to chosen. With these strategy, it will help beryl
chocolate expanding their production lines and enhancement the brand of chocolate product.

Figure 1 Left (Tiramisu series chocolate product) Middle (Crunchy series chocolate product) Right (Jar series chocolate

product) (Chocolate, B. 2016)


Price
The price for chocolate product will determine the consumer purchasing behaviour. Consumer will
compare the chocolate product price before purchase it. If beryl chocolate competitors charge the
price lower than beryl chocolate product in same series. It will attractive consumer to purchase
competitors chocolate product.

On the Price strategy, beryl chocolate factory need focus and run marketing research about all
competitors chocolate product price range in the market. With the reasonable and affordable price
in the market, it can help beryl chocolate factory generate more sales. For example: Beryl chocolate
bar previous price is RM 10, and currently, two of beryl of chocolate bar is costing RM15. By this
strategy, it will attract the consumer purchase more with lower price instead purchase one chocolate
bar

Figure 7 Price strategy on Beryl Chocolate image price 2017)


Place
Beryl chocolate had many own outlet and retail to selling their chocolate product. In Malaysia, Beryl
chocolate can purchase on duty free shop in airport, tourist place or petrol station. Therefore, the
placement strategy of beryl chocolate is encourage to selling on online e-commerce store and event
booth. With the event booth, beryl booth can easily engage with consumer and collecting consumer
feedback for improving. On Online e-commerce store, it will convenience for consumer purchase
and effectiveness to expand beryl chocolate products sales.

Promotion
The purpose of promotion is encourage the potential and actual consumers to purchase beryl
chocolate series product by different promotional tactics. On promotion strategy, Beryl chocolate can
used press and electronic media to motivate the consumer. Furthermore, Beryl chocolate can doing
some special occasion for discounting the product price and release out some special gift on special
period. In the additional , Beryl chocolate can collaborate with third party agencies to advertise their
new type of chocolate to gained more potential consumers. With this strategy, beryl chocolate will
easy get awareness on their brand and chocolate product.

Figure 8 Beryl Promotion (Kang Tao, H, 2014)


Action

E-CAMPAIGN INITIATIVE SCHEDULE


Responsibilities and structure
In the responsibilities and structure, each of participator will had their responsibilities with their
position.

Position Responsibility Executive & Evaluation


Chief Marketing Officer Set an objective and vision Provide an objective or Goals of
for Beryl Chocolate can Beryl Chocolate
increasing customer Develop an vision on Digital
Acquisition Marketing
Finalize Decision Marketing on
Proposal
Digital Marketing Ensure the Beryl Develop an Digital Marketing
Chocolates objective and Plan
vision that set by CMO is Tracking the progression of
achievable. advertisement
Manage the marketing team able
achieve objective and vision

Social Media Specialists Support the manager to Using SEM , SEO marketing
achievable the beryl tools
chocolate missions Analysis the Website traffic
Collecting data from Google
analysis or third party website
analyzing software

Bloggers Posting an attractive image Posting image and video in their


or video, and write precise blog weekly
product information on their
blog.
Control

BUDGET
In the budget, Beryl chocolate had to spend around RM 58,000 for advertise their brand and product to
increase customer acquisition.

Expense List Cost of Expense Total Expense


Pay per click RM 1000 RM 1000 X 6 = RM 6000
Facebook Ads RM 4 per Post RM 4 X 2500 post = RM
10000
Instagram Ads RM 1000 RM 1000 X 12 = RM 12000
Email Advertise RM 2000 RM 2000 X 12 = RM 24000
RM 58000

KPI
Expense List Target Achieving Time Frame
Annual Sales Revenue Increasing 30 35 % 6 months
Active User Amount in Social 100,000 users 4 months
Media (Facebook &
Instagram User)
Customer satisfaction on Increasing 50 % 6 months
Product
Brand Awareness Rate Increasing 40 % 6 months

Control Plan
Control How to achieve
Analysis customer satisfaction Collect genuine customer feedbacks.
Analysis data from customers satisfaction
feedback
Collect rating information about Beryl
chocolate product from customer feedback
Provide free try on Beryl chocolate product for
customers

Employee Training Provide a effectiveness training to employees


Using some sales cases as training assignment
for employee

Contingency plan
Contingency plan is being formed to address the possible difficulties and risks that Beryl Chocolate in
Malaysia

Difficulties and risks Possible responses


Problems generating visibility Increase Marketing Budget by 15 % for increase
brand awareness through aggressive media and
collaborations with local food blogger
Customer acquisition is below Increase the expense of digital marketing budget
expected by 20 % and collaborate with third parties agency
like Mindshare, GroupM to increase the awareness
of Beryl Chocolate.
Sales volume below expected Promotion strategies is essential on this issue ,
Beryl Chocolate will running special occasion to
boost the sales and develop new taste of chocolate
to attract more consumers..

Conclusion
With this digital marketing plan. , researcher will understand the micro & macro analysis of
the beryl chocolate factory. Beryl chocolate current is position as affordable chocolate brand
product, but, if Beryl Chocolate is lack of promoting or advertising their brand and chocolate
product, it will difficult to achieve high customer acquisition and brand recognition.
Reference

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