Marketing Plan: Virgin Cola

Submitted to: Mr. Bobby Torres Submitted by: Azores, Charmane Cadahing, Diana Arvi Cruz, Christine Adrielle Ngo, Raynald Sanchez, Jaynielynn 2-Alex

Background of the Brand

Virgin Group Limited is a British branded venture capital conglomerate organization founded by business tycoon Richard Branson.

Background of the Brand

At present, It has more than 400 companies under its helm. This includes Virgin Atlantic Airways, Virgin Drinks, Virgin Megastores, Virgin Mobile and Virgin Records, among others.

Background of the Brand Name

The brand name "Virgin" arose when Branson and a partner were starting their first business, a record shop. They considered themselves virgins in business.

Background of the Logo

The current Virgin logo was originally sketched on a paper napkin and remains largely unchanged since 1979.

Background of Virgin Cola

Virgin Cola was set up during the early 1990s in conjunction with Cott, a Canadian company that specializes in bottling ownlabel drinks.

Background of Virgin Cola

It was formally launched in the UK in the year 1994, to compete with Coca-Cola and Pepsi. Within a few months of its release, Virgin Cola had a 50% market share in the outlets that sold it. In its first year, more than 500 million units were sold worldwide

Background of Virgin Cola

It went on to be launched in France, Belgium, Switzerland and South Africa. Today, Virgin Cola is sold in Afghanistan, France, Italy, Japan, Kosovo, Malta, Nigeria, PR China, Switzerland, the UK, among others.

Worldwide Distribution of Virgin Cola

Virgin Cola in the Philippines

In 2004, taipan Lucio Tan invested P1 Billion to secure the license of producing Virgin Cola in the Philippines

Virgin Cola in the Philippines

It was positioned as a lower-priced alternative to the more established and pricier Coke and Pepsi.

Products

Virgin Cola is a carbonated cola soft drink produced by Silver Spring and is the flagship cola of the Virgin Group. It was launched in 1994.

Virgin Cola Regular and Diet

Virgin Colours

Virgin Colours
A brightly coloured range of fruit flavoured drinks, in fruitastic [sic] combos such as tutti frutti, banana pineapple, and cranberry & lemon, tingling the taste buds in over 10 countries worldwide

Softdrinks Industry in the Philippines

The Players in the Industry

The Players in the Industry

Company Coca-Cola Company Brand Coke, Diet Coke, Coke Zero, Sprite, Sprite Light, Royal, Pop, Sarsi, Diet Sarsi, Lift, Cheers, Jaz Cola, Sparkle

Pepsi Cola

Pepsi, Diet Pepsi, Pepsi Light, Pepsi Max, 7Up, Diet 7Up, Mountain Dew, Jazz, Mirinda, Mug
Virgin Cola Zesto Cola, Zesto Cola Zero Cal, Rootbeer, Rootbeer Light, Twist, Squiz Orange, Squiz Grape, Dalandan Fruit Soda, Calamansi Fruit Soda, Pomelo Fruit Soda RC Cola

InterBev Corporation Zesto Corporation

Asiawide Refreshments Corporation

Market Shares of the Companies

Market Shares of Softdrinks Companies
CCBPI CBC PCPPI Others
CCBPI Coca-Cola Bottlers Philippines Incorporated PCPPI Pepsi Cola Products Philippines Incorporated

10% 17% 50% 23%

CBC Cosmos Bottling Corporation (owned by CCBPI)

Packaging, Distribution and Pricing

Indicative Prices of Selected Softdrink Products, September 2008
Company Brand Packaging / Retail Price (in PHP)

2L PET
Coke Diet Coke Coke Zero 49.50 44.95

1.5L PET
34.00 36.75 33.50 35.25

500ml PET
21.00

330ml Can

20.00 22.50 18.50 18.50 21.00

Coca Cola Company

Sprite Sprite Ice Sprite Light Royal

34.50

21.00

18.50

Packaging, Distribution and Pricing

Company Brand 2L PET Sarsi Cosmos Sarsi Light Bottling Corporation Sarsi Rootbeer Light Packaging / Retail Price (in PHP) 1.5L PET 36.00 39.50 21.00 500ml PET 330ml Can 21.00

Packaging, Distribution and Pricing

Company Brand 2L PET Pepsi Pepsi Light Pepsi Max Pepsi Cola 7Up Mountain Dew Mirinda Mug Rootbeer 36.00 Packaging / Retail Price (in PHP) 1.5L PET 34.00 34.00 29.00 33.25 33.25 33.25 33.50 20.00 20.00 20.00 17.50 17.50 17.50 17.50 17.50 500ml PET 330ml Can 17.50

Packaging, Distribution and Pricing

Company Brand 2L PET Cola Cola Zeri Dalandan Soda Zesto Corp. Calamansi Soda Diet Squiz Rootbeer 29.25 31.00 17.50 17.50 30.75 30.75 18.75 17.00 14.50 15.95 17.00 Packaging / Retail Price (in PHP) 1.5L PET 31.00 500ml PET 18.50 14.50 17.00 330ml Can

Packaging, Distribution and Pricing

Company Brand 2L PET Asiawide Refreshments Corporation RC Cola Packaging / Retail Price (in PHP) 1.5L PET 31.50 500ml PET 330ml Can 15.95

*Source: Selected Supermarkets

Comparison of Physical Attributes