BRAND EXTENSION PAK FAN

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Pak Fans, a brand of Wahid Industries Pakistan enjoys absolute popularity and fame
in consumers minds. It not only enjoys premium pricing but also enjoys greater unaided recall in
minds of consumers, despite having lowest advertising budget from competitors. In fact, Pak
Fans commercials are rare. The latest TVC was aired recently (April 2014) almost after 3 years.
The last TVC was aired in early 2011.
Keeping in mind, the current needs and wants of consumers, Pak Fans always led the Fan
Industry of Pakistan by offering unique, quality products, which are technologically advanced
from other competitors. The competitors follow Pak Fans but neither of them has yet achieved its
standard or quality measures.
The Fan Industry of Pakistan is very saturated. Fans being used in every household and every
corner of Pakistan. But in urban areas, most fans have been substituted by Window-ACs or Split
Air-conditions. Fans are now considered a commodity product and are regarded as low-
involvement purchases among consumers. In rural areas, there are no such substitutes for fans.
Pakistan is a developing country and is currently facing energy crisis. Due to energy crisis,
Electricity load shedding is a major problem for rural as well as urban areas of Pakistan. Load
shedding is painful in summers where ever increasing hotness ruins everything.
Keeping the traditional trends, Pak Fans has come up with an answer to load shedding. Pak Fans
is introducing, 1-Unit UPS Fan to address the needs of the consumers. This fan comes in two
variations, Ceiling Fans and Standing Fans. The UPS unit is in-built. It is installed along with the
fan and charges in one hour. It has the capacity to run ceiling and standing fan for more than an
hour and due to its compact size, it gets charged again in one hour.
Brand Architecture of Wahid
Industries
Lets take a look at current Brand Architecture of Wahid Industries. Wahid Industries brand their
products under the name of Pak for example, Pak Fans, Pak Washing Machines, and Pak
Room Coolers. In fact, Wahid Industries is known by the brand name of Pak in the consumer
market. So, Wahid Industries come under the Monolithic Branded House architecture. It has
a single Brand name Pak attached to its all products. This is referred to as Umbrella
Branding as well.
So, new product, 1-unit UPS Fan will also be branded under the same brand name. The main
reasons for this are:
High Brand equity of Pak Fans
Brand awareness among the consumers minds
Cashing on the brand equity of Pak Fans
BRAND EXTENSION PAK FAN

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Introducing a newer product will help Pak Fans to leverage its brand as a
whole
Leveraging Strategy to be used
Line Extension strategy will be followed to launch the new product in the market.
Rationale for using Line Extension

Product-Market Matrix
When the brand is strong in current market and it is saturated, one way to diversify is to
introduce another product (or variant) with the same brand name. Another product may be in
same product line (Line Extension) or a completely different product line (Brand Extension).
From the above Product-Market matrix, we can see that Line Extension is used in Market
Development, when an old product (or its variant) is introduced in new market segment. The
product may not be new to the company, but it has added features for the consumers
1
. 1-unit
UPS Fan is variant (UPS unit installed) of the original product (Pak Fans) directed primarily to
suburban and rural markets of Pakistan where there is no substitute of fans. Hence, the strategy
used is Line Extension.


1 http://www.businessdictionary.com/definition/product-extension.html
BRAND EXTENSION PAK FAN

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Product Features
Product Name
Pak UPS Fan
Product Specifications
1-Unit UPS Fan. The UPS attached will have output power of 12 volts supporting 60-100 Watts.
A usual ceiling and standing fan consumers 11.6 volts (60-100 Watts). UPS will be installed
right next to the fan in case of ceiling fan.In case of standing fan, the UPS unit will be installed
below the fan pillar.
Target Audience(s)
Primary Target Audience:
Suburban and Rural population of Pakistan
Detailed Description
The important characteristics of Primary target audience are:
Income level: PKR. 18712.00
Socioeconomic class: SEC C (Lower Middle class)
Family size: 7
Our main focus will be our Primary Target Market. Pak Fan wants to cater this market for this
specific product.
Secondary Target Audience:
Urban Population and B2B Market
Brand Elements/Visual Identity
Name
Pak UPS Fan

BRAND EXTENSION PAK FAN

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Logo


Colors
The Brand Color is Blue and Green. The background is blue while the green color is represented
in the two trees. Blue color signifies trust, dependable and sincereity where as Green color is
used to show patriotism. The brand wants to associate itself with these colors to connote its old
heritage as well as its sincerity with its products and dependability among consumers.
Brand Positioning
For Suburban & Rural Market, Pak UPS Fanoffers1-unit UPS Fan that willprovide with cool-air
even in times of leadsheding due to its unique in-built UPS that gets charged with electricity and
does not let it die with loadsheding.
Brand Personality
The Brand Personality of Pak Fans is built on attributes like dependability, reliability, innovative
and trust-worthy. New product will be built on same characteristics. Pak UPS Fan is Innovative
because its the first of its kind. Its Dependablebecause loadshedding wont effect its usage. Its
Reliable because it will get charged in one hour for next hour. Its Trust-worthy because its parent
brand is Pak Home Appliances.
Marketing Campaign
Objectives
The main objectives of the campaign is to communicate to consumers directly. The Features
and Attributes of the Brand will be highlighted. Brand image will be built using Functional
Benefit Representation Model. This model will be used to highlight the important features of
the brand which are catering to the current needs of target market.
BRAND EXTENSION PAK FAN

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Positioning Strategy
The brand will be positioned on Features and Attributes model. This is because the product is
adressing the current need of the primary target audience. The load-shedding is an issue that is
persisting in Pakistan. People living in Suburban Areas and Rural areas of Pakistan do not afford
expensive UPS. Average UPS price along with battery is around PKR. 20,000 (market based
pricing).
So, Pak UPS Fan provides unique fans with in-built UPS. The UPS has ability to run a ceiling
and standing fan for an hour after being charged in an hour. The output voltage of UPS is 12
volts. The voltage required by a household fan (standing and ceiling) is 11.6 volts.
Message
The message will be very simple. The message will be conveyed in Urdu language so that
consumers could understand and relate to it. The message will highlight the UPS Feature of the
product. We will make Testimonial type print ads. The ads will depict the load-shedding
(problem) and Pak UPS Fan as its solution.
Ad Campaign
The ad campaign would strictly target the neeeds of the target audience. The campaign would try
to convince the consumers that Pak U.P.S fans is the product that will help solve the problems
they are facing. Load shedding is the most critical issue that is currently at hand in Pakistan at
the present moment. Both the rich and the poor have been hit or atleast affected by this crisis.
But the poor are the ones who have been directly affected since the rich could afford expensive
U.P.S and generators. The poor are facing upto 18 hours of load shedding daily in the sub-urban
and rural area. So the primary target audience for our ad campaign would be this sector.
Proposed Marketing Strategies & Channels
Rich Media
For Pak U.P.S fan to enhance consumer linking capacity, use of rich and thorough media is vital.
It should advertise through mediums like TV, radio and newspaper. The campaign would include
TVCs and print ads for this purpose. Pak U.P.S fan should create its official face book page thus
providing the customers that are not part of the target primary audience a platform where they
can share their views about different offerings and the brand itself. This would help in grabbing
the maximum attention of its audience and would make adaptation process slow. It would also
be helpful for the audience to recall and to recognize the brand more easily because they would
come across a lot of stimulus.
Advertisements
TVCs:
The major purpose of this whole advertising or promotion campaign will be to condition the
customer is such a manner that they can automatically associate Pak U.P.S fan as the solution to
BRAND EXTENSION PAK FAN

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the Load shedding related problems. The TVC would highlight the various segments
of life that have been affected due to this issue. We would be showing a poor villager who is
suffering in heat without electricity. Then a small businessman who seems worried about his
business as his workers cannot concentrate on their work due to non-availability of electricity.
Then we show a student who cannot keep up with his studies as a result of this issue. As a result
of this TVC we would try to convey that a Pak U.P.S fan is the solution to these problems.This
brand is the one that takes care of you even when there is no electricity.
Print Ads:
The font of tag line, the logo, the theme, the pictures used in print ads should above threshold
level so that messages should be conveyed to the audience properly. We would be using these
print ads as posters for the distributors to display in their shops and as flyers which they handout
to clients when they visit their outlets. We would be using flyers for the simple reason that the
purchase of this commodity has become a low involvement one as a result you need to educate
the audience about the benefit of purchasing your product over your competitors.
Radio Ads:
Another channel which Pak U.P.S would be utilizing radio channels to broadcast or air its
messages. This could be a very efficient source to promote a brand like Pak fans because
majority of the rural population rely on radio as a source of information and entertainment. So
what better opportunity to promote Pak U.P.S fan then to sponsor these broadcasts?
Consumer/ Sales Promotions:
Consumer Promotions are the incentives that are directly offered to a firms customers or its potential customers.
Consumer promotions are directed towards those clients who actually use or are the end-users of the products.
Now lets discuss the various types of consumer promotions the Pak U.P.S Fan offers. These
types of consumer promotion would be highlighting both the benefit to the customer as well as
its impact of the promotion on the brand image of the firm.
Contests:
The success or failure of this tool of consumer behavior depends on the prize list on offer. The
prizes on offer should be deemed desirable by the target market in order to entice them into
participating. Pak U.P.S fan will regularize features of contests of various natures from time to
time.
The purpose of these contests will be to create an experience for the customer so that they could
increase their frequency of their purchases. Pak fan would be organizing contests that would be
based on the concept of Lucky Draws. In order to gain an entry of the Lucky draw the customer
BRAND EXTENSION PAK FAN

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will have to Purchase any Pak Fan Product and more the purchases the more the
entries. These sorts of contest would be tied with prizes such as a Pak U.P.S Fan.
Discount:
Discounts would be offered to the target audience on two bases initially. The first discount would
be offered during the initial launch of the UPS fan in order to attract the desired audience. Once
the clientele has been established then discounts would be offered on the basis of seasonality.
Discounts would be offered only during off seasons when the sale of the product fluctuates.
Trade Promotions
Trade Allowances:
Pak U.P.S would be willing to offer its distributors trade allowances. Trade Allowances will help
Pak fan rope in the distributors for its newly launched variant. The major problem that Pak Fan
faces is that some retailers are not willing to buy its products due to low margins offered. Pak fan
hopes to attract retailers and wholesalers financial discounts on each order in the form of Off
Invoice Allowance.
Trade Shows:
Pak Fan would be taking its U.P.S fan to various trade shows throughout the country in order to
promote their product. Participating in these trade shows is essential for Pak Fan as many
potential clients would be there in form of Buying teams or solution seekers. This could be the
most opportune moment to impress them with a quality product like Pak U.P.S fan so that they
could take the product to their senior management. These are the events in which business
relations are developed and used in future times.
Point of Purchase:
Pak Fan would be willing to pay its distributors and retailers to set a display which is very
attractive to the consumer. An attractive display can attract a lot of eyeballs which is key for a
product which is being introduced into the market. Point of Display is mostly ineffective but this
should not be the case with Pak U.P.S fan as the success depends on the eye contact the
consumer makes with the product.
BRAND EXTENSION PAK FAN

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TVC Schedule
Pak Fans will use Flighting Schedule for TVC campaign. The reason to use this schedule is
that Pak Fan is a seasonal product. Its peak season is Summer season in which it has the highest
amount of sales. This schedule will have maximum advertising in peak season (summers) and
least advertising (or may be, none) in non-peak season. This will be cost effective as well as
helpful in increasing the sales in peak season.
Executional Framework
Now the executional framework to be utlized would be Slice of Life. We could communicate to
the target audience how the use of Pak UPS fan makes a difference in their life. We can show
that what aspects of your or your families lives are affected due the use of this product.
Informative executional framework could also be utilized. We could communicate the features of
our product to the target audience. The benefits can be highlighted so that it is easy for the
consumer to differentiate Pak UPS brand from other rival brands.
Appeal
The appeal that we would be using in our promotional campaign would be the rational appeal.
The reason for this is simple we are trying to communicate the features and benefits of our
products to our target audience. Another reason for using the rational appeal would be that this
appeal is basically in line with the appeal used by Pak Fan in its previous campaigns. This
basically delivers a consistent message to the audence. Rational appeal suits our message due to
the nature of our product. The consumer makes the purchase decision on the basis of these
features so we communicate the aspects to them to draw attention
Media Buying and Planning
Major News Papers:
Jang
Nawa-e-Waqt
Dunya
Days Location Size
No of
Insertions
Jang Nawa-e-Waqt Dunya News
All Week Main Page 7cm X 1 Col. 1 5250 5500 4850
All Week Main Page 7cm X 1 Col. 1 5250 5500 4850

BRAND EXTENSION PAK FAN

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Radio Advertisement Budgeting

Days Time Slot Spot Time
No of
Insertions
FM 100
(Network)
Per 30 Sec
FM 101
(Network)
Per 30 Sec
FM106.2
(Network)
Per 30 Sec
Sunday 1-10 Pm 30 Sec 6 7000 2500 3450
Monday 3-9 Pm 30 Sec 4 6000 2500 3450
Tuesday 3-9 Pm 30 Sec 4 6000 2500 3450
Wednesday 3-9 Pm 30 Sec 4 6000 2500 3450
Thursday 3-9 Pm 30 Sec 4 6000 2500 3450
Friday 3-9 Pm 30 Sec 4 6000 2500 3450
Saturday 1-10 Pm 30 Sec 6 7000 2500 3450

TVC Budgeting

Geo News
Rate/ Min Rate/ 30 Sec
6-9 PM 165,000 82,500
PTV Home
Rate/ Min Rate/ 30 Sec
7-10 PM 130,000 65000
Punjab TV
Rate/ Min Rate/ 30 Sec
7PM -12 AM 20,000 10,000
BRAND EXTENSION PAK FAN

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Sindh TV
Rate/ Min Rate/ 30 Sec
7PM -12 AM 30,000 15,000

Q1 Report (Budgeting)


For the Period Ending
12/31/2014
Quarter 1 (4
th
Quartile April till June)
Advertising Expenses % Total
Print 1310400 4%
Radio 1027800 3%
Television 34920000 94%
Totals 37258200 100%
Sales Promotion Expenses % Total
Trade Promotion* 2420000 65%
Consumer Promotion** 1275000 35%
Totals*** 3695000 100%
Grand Totals 40953200 100%


* Trade Promotions will be offered in Peak Season (4th Quartile having 35% of annual sales)
to increase sales
** Consumer Promotions will be offered in same quartile to penetrate market
*** The Figures are calculated using SBP Fan Industry Report
http://www.sbp.org.pk/departments/ihfd/Sub-Segment%20Booklets/Fan%20Industry%20Report.pdf
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References
http://www.pbs.gov.pk/sites/default/files/pslm/publications/hies10_11/tables/table11.pdf
http://www.pbs.gov.pk/sites/default/files/social_statistics/publications/hies07_08/table1.pdf
http://www.advertiseinpakistan.com/hum-tv-channel.php
http://arynews.tv/en/advertisement/
http://dunyanews.tv/index.php/en/adwuhttp://www.geo.tv/geopages/ratecardgeonews.htm
http://econsultancy.com/pk/blog/63077-businesses-now-spend-24-of-total-marketing-budget-on-
paid-search
http://www.cmocouncil.org/facts-stats-categories.php?category=direct-marketing