MARKETING PLAN

Prepared by:

Alberto, Dominic
Enriquez, Grachel
Macapagal, April
Yasol, Luella
Raagas, Brandon
Villa, Reygien
Demontano, Shiela
 I. EXECUTIVE SUMMARY

Infinitea Milk tea shop is a strong milktea shop which aims to provide customers with quality at
reasonable and just price. Our company targets the students and young professionals. As a
newcomer in the Milktea market, Infinitea seeks to come up with products that will distinct us
from our competitors, a product that provide satisfaction, quality taste and new variety of
Milktea. Thus we present Sorbetea, a taste beyond Milktea. Sorbetea is soft served ice cream
made from Infinitea’s Milktea this infuses the milk tea flavor that’s a craze among the younger
generation and the classic dessert ice cream. Infinitea wants to create a product that will help
survive the downfall of the trend of Milktea once it happens. Currently there is a tough
competition in milktea industry. As time passes and as the popularity of milktea grows many
competitors are entering the market. We at Infinitea, integrated and reviewed our past strategy
in able for us to exceed past performance and increase our efficiency. Sorbetea as a product will
bring consumer the new taste of the revolutionizing milktea. As a new product, Infinitea aims to
shift customer’s unawareness to awareness through advertising, to build up sales through our
new product and build and establish strong reputation in milktea industry.

The launching of Sorbetea aims to bring new and old customers to enjoy this product together
while generating profit to be used to innovate and improve the products being offered by
Infinitea.

II. THE CHALLENGE

Sorbetea is an ice cream made from Infinitea’s milkteas

This infuses the milk tea flavor that’s a craze among the younger generation and the classic
desert ice cream.
The product’s goal is to enhance the current reputation of infinitea and to bring a new
sensation that will be a new source of sales for the infinitea.

III. SITUATION ANALYSIS

COMPANY ANALYSIS

Mission
Our mission is to promote healthy lifestyles by selling premium teas and beverages with the
highest quality. We will provide the highest quality and excellent value and service to our
customers.

Vision

To provide consumers with tea that exceeds their expectation and gives them the ultimate
satisfaction

Goal

Long Term Goals:

 To be the largest Milktea shop in the Philippines

 To be the best well-known tea shop in the Philippines
 To branch out to other countries

Short Term Goals:

 To develop a unique product that is not offered by the other competiors for not less
than a year
 Increase sales for the current year

Focus
The focus of Infinitea is to improve the taste and quality of their tea and be at par with the best
tea brewers in the world

Strengths

 At par with the quality service of other leading tea shops in the Philippines
 More variety of products available to consumers

Weakness

 Information about the company is not readily available

 Brand name awareness among the customers is not strong

Positioning

High Quality Milktea made affordable for students without sacrificing the taste

The company’s strategy in achieving this positioning knows what the target consumers’ needs
and constantly improve the product while innovating to cut down the cost. The targets markets
of Infinitea are students and young professionals who look for great tasting tea and an
atmosphere to match. Since one of our target markets are students, we need to give always
consideration on how much is a student’s allowance. Infinitea is a shop that provides good
quality food and service to customers who are looking for place to socialize with each other
without burning a hole through their pockets. If compared to other Milk tea shops, Infinitea’s
prices are much lower. It also includes the pearls in its beverage price in contrast with other milk
shops that separates it from the beverage price. Infinitea offers you a Milktea with pearls for an
amount that will cost you in other tea shops for just their medium drink without pearls. Lastly,
Infinitea will offer you the same great taste, in cases even greater, for the lesser price. Infinitea
wants to be close to the students’ heart that is why it choose its positioning statement that its
products will be low cost but high in quality

CUSTOMER ANALYSIS

Number

There are 3,500,000 people in the NCR that fits that target market of Infinitea of 13-25
years old

Type

Customers of Infinitea are mostly students and young professionals

Value Drivers

Price and Quality of Milktea

Decision Process

Size, taste and influence of friends

COMPETITOR ANALYSIS

SERENITEA

Marketing Position

It is one of the elite Milk Tea shops in the Philippines. It also has the most number of
branches locally.

Strengths

 Large Volume of Branches (In and out of Metro Manila)

  Brand name has already a strong impact in the market
 Has good promotions and advertisements

Weakness

 Their price is high when benchmarked with the other competitors

 Less variety of products when compared to competitors

Gong-cha

Market Position

Gong cha was established in 2006 in Taiwan. Since then it has been branching out to
Singapore, China, Macau and lately the Philippines. Therefore, Gong cha is one of the
most experienced tea makers out there. In addition, Gong cha values high quality milk
tea.

Strengths

 Has the most experience in the tea market compared to other competitors in the
Philippines.
 It has branches in other countries
 It values its freshness of tea severely. Unsold tea is thrown away every four hours

Weakness

 Less branches compared to other competition

 Lacks advertisements

Chatime

Market Position
Chatime was established in 2005. It targets health conscious and face paced youth.

Strengths

 It has branches internationally

 Offers a variety of products

Weakness

 Prices of toppings are doubled when benchmarked with the competition

 Branches in the Philippines are few

CLIMATE

 Political and Legal Environment

 The government has implemented substantial trade and investment policy reforms
during the last two decades following a three-track approach involving unilateral,
regional and multilateral modalities towards freer trade and investment. The
reforms resulted to improvements in domestic resource allocation, increased
productivity, increased competitiveness of manufacturing industries, expansion of
exports and the increased integration of the country in the global market. Yet the
growth of the industry sector, particularly manufacturing, has not been as robust as
many had expected, leading some sectors to question the reforms. This requires
some hard thinking but at the same time pose a great challenge to policymakers.
 Economic Environment
The GDP of the Philippines increased by 6.8% in the last quarter of 2012 compared
to last year’s 3.7% growth. It is higher than what is expected by the market players,
economists, and the government. The growth is profited from the benign inflation
and from the Services sector, particularly from Trade and Other Services.
It was much higher than the local and international economists prediction of 5.4
percent.
 Social and Cultural Environment
Filipinos are not typically found of the bitter tea. But since it became a hit in the
countries and Filipinos love to copy international trends, they adapted Milktea. It
started to boom around late 2011. After that Milktea shops started to sprout
everywhere.
 Technological Environment
In a fast paced society, innovations and new technologies are very present. They can
positively and at the same time negatively affect a business, an organization and or
a product. For Infinitea, it can be an opportunity for us to improve and enhance it.
Use of transportation, can play a role in expanding the Infinitea, it can be delivered
into different places and be more known to other consumers, and also, through the
use of transportation there will be an easy access to buy the ingredients. New mix of
ingredients, we can open Infinitea to new flavors and other varieties for customers
to choose from.Social networking sites, one of the tools in making Infinitea be
known by everyone. Almost everbody has a facebook and twitter account. It can
spread like a wildfire and invite more customers to try our product. Communication
through mobiles, internet, avp commercials, it can help capture more attention to
the consumers and will leave them to curiousity to buy Infinitea.
 SWOT ANALYSIS

Opportunities
Popularity of Milktea in our
generation that complements
that climate in the Philippines
Threat
Tight Competition in the Market
Experts say Milk tea is a “fad”
Strengths
Great Variety of Products
Lack of knowledge of Employees
Launch a “product line” that will
complement the climate in the
Philippines
Launch a product that combines
Milk tea flavors with Classic
Filipino Favorites
Weaknesses
Brand Name Awareness is not
strong
about the Company
Implement promotions that
target the student population
Focus on Marketing Promotion

IV. MARKET SEGMENTATION

Geographic
Region NCR
City or metro size 12,000,000
Density Urban
Climate Tropical

Infinitea’s target market is within the region of NCR. In particular it wants to target locations
near schools. It has an urban density with a tropical climate.

Demographic
Age 13-25
Family Size Any
Family life cycle Young , single ; Young, married
Gender Male and Female
Income P300/ Day
Occupation Students ; Young Professionals
 Education Any
Religion Any
Race Any
Generation Y,Z
Nationality Any
Social Class Class A and B

Infinitea’s target markets are people, both male and female, between the ages of 13 and 25
years old since the main target of Infinitea are students and young professionals. The Young are
the target market of Infinitea. The amount P300/day is the typical daily allowance of a student
belonging in the middle class. The occupations of the target market are students and young
professionals. It is the target occupation because students and young professionals are the ones
who buy drinks and food that complements their taste. Typically, they prefer sweet foods and
drinks. Infinitea targets students and young professionals who love to eat/drink while they are
taking a break from the stresses of school life or work life. Religion and Race can be addressed
to all. The Generation Y (80’s to early 90’s) are in their early 20’s or middle 20’s which is the
target age of Infinitea. Generation X (Late 90’s to present) is in their teens which also fall in the
target age. The Philippines has a lot of foreigners around and Infinitea does not prefer any
nationality. They will give good quality product and service whatever their race might be. The
Social Class being targeted in the Middle and Upper Class because lower class will not feel the
necessity to buy Infinitea’s product. Also, income of the Lower Class might not meet the price
set by Infinitea.

V. Alternative Marketing Strategy

 Sorbetea will be offered through delivery, ice cream trucks and partnership with other
restaurants.
 Sorbetea will not be sold directly and will be distributed through restaurants.

VI. Selected Marketing Strategy

Product

SORBETEA LOGO
Sorbetea is soft served ice cream made from Infinitea’s milktea

This infuses the milk tea flavor that’s a craze among the younger generation and the classic
desert ice cream. Infinitea wants to create a product that will help survive the downfall of the
trend of Milktea once it happens.

Sorbetea will be offered first in five flavours composing of Okinawa, Wintermelon , Caramel,
Green tea, and Oreo

Pricing

The cost of this product will consist of the prices of raw materials, add-ons and additional
delivery fix charges. In able to achieve efficient cost, we must be able to specify the
measurement of each materials and resources that will be using in long-run. Breakdown of cost
is furthermore elaborated below:

Measurement Cost Allocation

Milk 12 oz. P23.22
Sugar 1.0 oz. P1.7
Black Tea 1.5 oz. P19.55
Heavy 2.67 oz. P16.65
Cream
Total 17.34 oz P61.12

COST PER OUNCE

3.52
(MILK TEA ICE CREAM ONLY)
 Cost Per Piece
Cups P1.6
Spoon P0.95

Please refer to Appendix 1 for the computation of the cost allocation per ingredient.

Cost per serving Price

Sprinkles P3.92 5
Cookies P3.5 5
Chocolate chips P4.06 5
Mallows P3.22 5
Chocolate Syrup P2.50 5
Stick-o P3.09 5

SMALL ( 4 OUNCES) MEDIUM ( 6 OUNCES) LARGE (10 ounces)

PRICE 29 39 59
COST 16.63 23.67 37.75

Selling Price per Ounce P6

Comparison with Competitors

Characteristics Sorbetea Tutti Frutti California Mochiko Selecta Nestle

Berry (Magnum) (Heaven)

Product a wide a Our luscious, A Japanese Magnum is Nestle Heaven

variety of revolutionary mouth- dessert an ice Ice Cream is a
tasty and self-service watering made out cream line of
refreshing model that yogurt is a of special brand that premium ice
authentic allows growing craze technique. originated cream with
pearl milk customers to across the It was in different
tea ice- get a good- world and there that Denmark. flavors you
cream for size cup and sure to be a we learned probably have
all you serve popular to use only never tried
fanatics out themselves menu item the best before in
there. as many for you. ingredients commercial ice
yogurt flavors and that is cream brands.
as they want why our
mochis are
chewy and
smooth.
Price 10 per 20 per ounce Small- - 90 grams -P50 for -P37 for 5.07
ounce and original:70 70php 4.23 oz oz
the price of personal:75 each.
add ons Medium-o:95
depends on p:100
their chosen Large-o:125
toppings. p:130
Advantage New Dispense They use Offers The Top Nestle is an
product Delicious 100% non-fat Unique leader international
offering and Frozen yogurt milk variety of when it company and
wide Dessert in comes to interconnected
MilkTea PH ice-cream with its Parent
taste in a headquarter
Ice-cream
Disadvantage Information The price per The stores The price The price is Its ice cream is
about the oz is high. are limited. per scoop too high for easy to melt
company is is high. its quantity. than the other
not readily brands.
available

Approach

The approaches to be used are Value based pricing and Competition based pricing. Since
Sorbetea is new in the market it doesn't a reputation for being a high quality ice cream.
 The price is set low compared to the other competitors so that we can penetrate the
market and also taking into consideration. As stated above, the price set by Infinitea is
substantially lower than its competitors. We also took into consideration the price that a
student will be willing to pay for an ice cream.

Distribution

One of the most important and critical factors in one’s business is the location. Location is the
key for the business’ success for it attracts the customers to purchase the product.
ESTABLISHMENT OF KIOSKS/ STALL IN THE FOLLOWING LOCATIONS:

1. In Schools and Universities like San Beda College Alabang, Ateneo De Manila
University, Miriam College, etc.
Placing booths or stalls inside schools and universities around Metro Manila will be a
good start for Sorbetea. The youth and teenagers are one of the target markets of
Sorbetea since the younger generations today are very fond of sweet foods.

2. In Malls inside Metro Manila like Glorietta, Megamall, Market-Market, etc.

Setting booths or stalls inside malls will give convenience to the customers.
Malls have the most volume or number of people especially during weekends.
These people that are seen inside the malls are from the different walks of life
and ages that can definitely afford and will surely love Sorbetea.

3. Beaches like in Boracay, Puerto Galera, etc.

Setting booths or stalls in beaches like Boracay is a perfect way to increase the
number of customers. Sorbetea is a perfect drink in beaches, especially in
Boracay and Puerto Galera where most of the people nowadays go to relax and
have a break from all the stress left in their homes. It is a perfect drink in
beaches because it is very refreshing and it gives extra healthy benefits to the
customers.
Promotion

Our promotion will focus on advertising, which is used to develop attitudes, create awareness,
and transmit information in order to gain a response from the target market. There are many
advertising 'media' such as newspapers (local, national, free, trade), magazines and journals,
television (local, national, terrestrial, satellite) cinema, outdoor advertising (such as posters, bus
sides).

Integrated Marketing Communication Tools

1. Free Taste

 Schools – Infinitea choose this as one of our selected places because our main
target markets are the kids up to the young adults. For school this is the place
where children go to learn, it compromises preschool up to college, which are
target market are.
But if InfiniTea are to be more specific of which level, college schools or
universities would be our main spots for this. Why? Because our target market
and target audience are both present at this place, teenagers and some parents
are enrolled here. They are also the ones who are always at the malls, mostly
after class, so that they would relieve their stress or have a break from school
works. And they have higher allowances compared to elementary or high school
students. That is why they would be able to buy or afford our products more
often if they crave for it, unlike for lower batch’s student budget.

 Grocery Stores – This is a good idea because when the parents are done with
their grocery shopping, they usually look for a treat (pasalubong) for their
children who are left at home. When we offer our free taste and it suits their
preference, they might buy our product. This is a great opportunity to reach out
and build our name to adults and children.

The weight of the ice cream will be giving away will be just 2 ounces only and a limit
of 300 ounces per day.

2. Student Discount

Students may get a 10% discount on all Sorbetea ice cream only. This discount
can be applied on the total amount of Ice cream that they buy. It cannot be
applied on every item. So for example, if their ice cream totaled to an amount of
Php500, they will automatically have a Php50 discount. They will only pay
Php450.
 Other stores also offer this 10% discount to their students. One example is Dairy
Queen. So what we did is we patterned our discounts to them. We didn’t make
it lower than 10%, because students will compare Infinitea discount offer to
other stores who offer the same product. We didn’t also make it higher than
10% because if we will make it, then it will be too much or too high. Yes it will
attract students but it can only generate less profit.

The valid date of discount is subject to an extension. It will be based on

company’s decision.

The target of student discount is the students. Our target segment is the
students. That is why Infinitea wants our message to be really communicated
well with them. The objective of this promotion is to get their attention by
offering them a discount. We want them to be aware of the product.

3. Web Page
Infinitea’s current site lacks the vital information the consumer normally looks for.
Therefore, a major reconstruction must be done to its further cater to the
information needs of its consumers and strengthen their promotional efforts with
the use of the web page.

Infinitea’s website will also be utilized in promoting the free taste of our product.
We will establish a logo where it will lead them to a printable coupon that gives
them a free taste of Sorbetea.
4. Print Ads

These print ads will be posted at

 Infinitea Stores
 Malls
Target Audience
 Students
 Parents
 Regular consumers of Infinitea

The posters will be strategically placed in places where people typical wait.
Terminals are where also where people from work wait. Usually, these people
are stressed from work or school. Infinitea aims for them to see this poster and
receive the message we are promoting. When you are stressed, sorbetea is here
to alleviate it.
VII. Short and Long Term Projections
SHORT TERM PROJECTION
 Sales Revenue will increase
 Recognition of the Infinitea brand will increase
 Number of Flavors being offered will increase
LONG TERM PROJECTION
 Sorbetea will be the leading milk tea ice cream
 Sorbetea branches will increase specifically in Provinces
 Sorbetea will go international
 Sorbetea will be offered in tubs in grocery stores

VIII. Conclusion:
With all of this being presented, we have decided to first distinct ourselves to our competitors by
offering a distinctive milktea which is the Sorbetea. In order to penetrate the market the price is set
lower than the normal selling price. We also have to focus on our target markets by giving them
incentives and focus the advertising on them. In order to achieve the short term goal, the market
planning talks about building a strong foundation of the company by strengthening the menu offering
of the Infinitea. This plan is also about providing the alternative for Infinitea in case that the popularity
of the milktea will not be so booming as now and also to create the image of Infinitea as being an
innovative milk tea shop among its competitors.
APPENDIX
Appendix 1:

BLACK TEA

MTEA-LICIOUS MILK TEA SUPPLIER

BLACK TEA 500g = P230.00

230/500 = P.46/gram
1 ounce = 28.35 grams
Cost Allocation for Milk Tea=(28.35)(1.5)(0.46)= P26

SUGAR

Victoria refined sugar 250g = P15

15/250 =P.06/gram
1 ounce = 28.35 grams
Cost Allocation for Sugar =(28.35)(1)(.06) = P 1.7
MILK

Alaska 1 Liter =P64.50

64.50/1liter=P64.50/liter
1 ounce = 0.03 liter
Cost Allocation for Sugar =(.03)(12)(64.50) = P 23.22

Heavy Cream

Nestle cream 300 g

65/300g =P0.22/g
1 ounce = 28.35 grams
Cost Allocation for Sugar =(28.35)(2.67)(0.22) = P 16.65