Partial requirement of Prof. de Ungria for Marketing Management Class v54 for SY 2010-2011 at Ateneo Graduate School of Business

1. 10 STEP
Marketing Plan for
C2 Green Tea
Joseph Gabriel N. Morales
June 2011
1

2. Disclaimer
This 10 Step Marketing Plan is part of the mandatory
requirements of Prof. Remigio Joseph De Ungria’s
AGSB marketing management class.
The data included in this report are based on publicly
available data such as those on internet websites,
news, package declarations, public reports.
When appropriate, data are “masked” so as not to
create unexpected conflicts.
The reports are posted and linked on slideshare, blogs
and facebook so that there is easier sharing among
students from different marketing classes.

3. Steps 1 to 5
The C2 Life – Health &
Wellness
1. C2 targets Filipinos who want to live a healthy
lifestyle.
2. A refreshing delicious drink that is good for the
health
3. Competitors in the ready-to-drink green tea
segment are Nestea Real Tea, Lipton Green Tea,
4. C2 for a Lifetime
5. C2 is the market leader of a 6.712B
segment

4. Steps 6 to 10
What C2 did right…
6. C2: Imitated but never Intimidated
7. Most affordable RTD Tea per mL
8. C2 is active in TV, Promos,
Events, Facebook, Internet
9. Available in most retail outlets, even
abroad!
10. C2 has succcessfully positioned itself as a
lifestyle brand, addressing the health &
wellness trend

5. 1. The health conscious
Filipino is C2’s PTM
 Demographics:
 13-39yrs old; Male and Female; Social Class ABC
 Lifestyle
 From a high school student to a professional; the
working class; the health conscious
 Behavior
 Drinks C2 at least 1x-3x a day

6. 2. PTM wants to live a
healthy lifestyle
Self-Actualization
Having a healthy lifestyle Needs
will make me live longer, (Self-Development
maximizing God’s gift of life & Realization)
Esteem Needs
To boost my self-confidence by being fit & healthy (Recognition,
Status)
I need to be fit / lean / sexy Social Needs (sense of
belonging, love)
I need a drink that is safe Safety Needs (security, protection)
and natural
Physiological needs (food, water, shelter)
I need to drink
Reference: Maslow’s Hierarcy of Needs Marketing Management, 11th ed, Philip Kotler
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7. 2. PTM’s wants a healthy
drink to keep up with their
lifestyle
Needs: Being fit / lean / sexy satisfies the need to be
accepted by society’s perception of beauty
Wants: To keep up with an active, busy lifestyle; PTM
wants a healthy drink that is affordable and easily
accessible
Demands: The most suitable ready to drink product in
the market that meets their needs & wants

8. 3a. Direct and indirect
competitors
 Direct: Nestea Real Leaf & Nestea
Green Tea(Coca-Cola), Lipton Green
Tea (Pepsi), Alo Green Tea (RFM), One
White Tea (Zest-O)
 Indirect: Sodas, Bottled Water, Sports
Drinks, Energy Drinks
 Variables: Nutritional values, Pricing,
Availability, Various flavors

9. 3b. RTD Green-Tea
Consumption by social class
as of 2011
Price/ A B C
Social
Class
Matrix
High
price Nestea
Lipton
Low One
Price C2 Green Tea
Alo

10. as of 2011
3b. This is why C2 is market
leader
BRANDS
FUNCTIONAL BENEFITS C2 Nestea Real Leaf Nestea Green Tea Lipton Green Tea Alo Green Tea One
-Made from natural green tea leaves
-Brewed and bottled in the same day
-Contain Anti-oxidants
-Various Flavors
-Various Sizes
-Availability
-Sugar-Free line
-Price
-Fitness line (w/ L-carnetine)
Despite competitive clutter, C2 stands out

11. 4. URC took advantage of the
health & wellness trend
C2 was the first ready to drink tea in the
Philippines, which was widely accepted
by the consumers because of its health
benefits, taste, affordability and
availability

12. 4. Pre-C2: No product to
satisfy NWDs
Prior to C2’s entry, there was no product
that satisfied the PTM’s NWDs.
Healthy drinks were either expensive or
does not taste good.

13. 4. C2 for a LIFETIME
The C2 life can be an endless journey by
making C2 a part of everyday life.
The C2 brand will continue its
commitment to innovate green tea as to
be widely accepted by people who are
not “tea-drinkers”

14. 5a. RTD Tea Segment
% Share
18.6
C2 (URC)
10.2 Nestea (Coca-Cola)
Others
71.2
Source: 2009 Nielsen data

15. 5b. C2 is URC’s top brand in
their Beverage business
1. Based on URC’s 2009 Annual Report,
beverage business is Php 5.973B
2. Assuming C2 shares 80% of the
beverage business, C2’s volume is
worth Php 4.779B.

16. 5c. C2 Green Tea Consumer
usage
Drank:
1x / day
x 365 days
x 873K people (0.91% of 2008 Pop from NSO)
x 15 pesos per 350mL bottle =
Php 4.779B in C2 Sales in 2008

17. 5. Total RTD Tea Segment is
worth Php 6.712B
% Share
18.6
C2 (URC)
Nestea (Coca-Cola)
10.2
71.2 Others
4.779B

18. 6a. C2: Imitated but never
Intimidated

19. 6b. C2 – Cool and Clean!
Source: http://www.thec2life.com

20. 7. C2 is affordably priced,
with the most SKUs VS
other RTD Green Tea
PRICE BRANDS
Size C2 Nestea - Real Leaf Nestea Green Tea Lipton Green Tea Alo G1 One
230ml N/A
320ml 13.75
350ml 16.50
355ml 15.00
450ml 17.00 N/A
480ml 18.25 20.25
500ml 19.50 19.00
1000ml 23.25 25.00
1500ml 32.50
*based from Tropical Hut Supermarket prices & availability

21. 7. C2 is the most affordable
RTD Green Tea – for as low
as Php 0.022 per mL
PRICE per mL BRANDS
Size C2 Nestea - Real Leaf Nestea Green Tea Lipton Green Tea Alo G1 One
230ml N/A
320ml 0.043
350ml 0.047
355ml 0.042
450ml 0.038 N/A
480ml 0.038 0.042
500ml 0.039 0.038
1000ml 0.023 0.025
1500ml 0.022

22. 7. C2 Pricing Strategy
 C2 is very affordable.
 1L of C2 VS Nestea Real Leaf is cheaper
by 7% or Php 1.75
 C2 being part of the Filipino meal for its
patrons, make it more affordable for the
ordinary Juan with its 1L & 1.5L where
you can get value for your money.

23. 8a. C2 mostly uses
Advertising
3
1
2

24. 8a. The C2 brand has its
own website
 Regularly
updated
 Comprehen
sive info
about the
brand

25. 8a. C2 on Facebook
 C2 has a fanpage
in Facebook
 Regular updates
for customers to
be informed

26. 8a. Be fit, fab and loaded with Sarap
mag-C2, Sarap maging Milyonaryo
promo
 Most recent
promo from
C2. Duration
was from May
1-31, 2011

27. 8a. C2 has no top celebrity
endorser
 This simply proves that C2 does not
need a top celebrity to influence PTM.

28. 8a. C2 Sarap ng Summer –
Baguio 2011
 Like Baguio’s
rejuvenating
atmosphere,
C2 gives its
users a
refreshed
feeling with
the benefits
of green tea

29. 8a. C2 Sarap ng Summer –
Boracay & Puerto Galera
2011
 People prepare to be lean, fit,
and sexy when they go to the
beach so they can wear the
killer bikini or show off their 6-
pack abs. Living the C2 life
will give you that result.

30. 8a. C2 @ UA&P School
Opening
 C2’s booth at
UA&P last
June 8
 Promote
health &
wellness to
the youth

31. 8a. C2 has no top celebrity
endorser
 This simply proves that C2 does not
need a top celebrity to influence PTM.

32. 8a. C2 TVCs
 C2 TVCs showcase
various types of
individuals, which
can be found across
all PTM social classes

33. 8b. Nestea Real Leaf
(Coca-Cola)

34. 8b. Real Leaf Recent TVCs
 TVCs of Real
Leaf, 2 of the 3
by celebrities

35. 8b. Real Leaf – Recent
Promo
 Promo
duration was
March – April
2011.

36. 8b. Lipton Iced Tea (Pepsi)
- No ongoing
promos
- No ongoing TV
ads
- No own local
website unlike
C2

37. 8b. One White Tea (Zest-O)
 Despite the brand having
its own website, last
update was 2008.
 C2 updates its website
regularly which makes
them more advantageous
in reaching out to PTM
who regularly surfs the
internet.
 No ongoing promos

38. 9. You can buy C2 almost
everywhere in the Phils.!
 C2 is available in the ff. nationwide:
 Supermarkets (SM, Shopwise, Puregold, etc)
 Sari-sari stores
 Convenience outlets (7/11, Ministop, etc)
 Drugstores (Mercury, South Star, etc)

39. 9. … and across 32
countries and territories
Source: http://thec2life.com/c2-global-locator/

40. 10. C2 started & led the RTD Tea
category thru Blue Ocean
Strategy
URC saw the need for a healthy beverage that
will cater to the health conscious individuals
that are always on the go, regardless of age,
gender, and social class. Convenience and
affordability became of importance as well.
With the right marketing mix, URC’s C2 sparked
the growth of a new category - the RTD Tea
whilst increasing share of non-carbonated
beverage in the beverage industry.

41. SUMMARY
41

42. Steps 1 to 5
The C2 Life – Health &
Wellness
1. C2 targets Filipinos who wants to live a healthy
lifestyle.
2. A refreshing delicious drink that is good for the
health
3. Competitors in the ready-to-drink green tea
segment are Nestea Real Tea, Lipton Green Tea,
4. C2 for a Lifetime
5. C2 is the market leader of a 6.712B
segment

43. Steps 6 to 10
What C2 did right…
6. C2: Imitated but never Intimidated
7. Most affordable RTD Tea per mL
8. C2 is active in TV, Promos,
Events, Facebook, Internet
9. Available in most retail outlets, even
abroad!
10. C2 has succcessfully positioned itself as a
lifestyle brand, addressing the health &
wellness trend

44. 10 STEP
Marketing Plan for
C2 Green Tea
- END -
Joseph Gabriel N. Morales
June 2011
44