The market research is about introducing a new brand of fruit shake that will serve the lower-end market. It includes comprehensive market research process; identifying existing brands; conducting market survey and generating possible market segments.

2. Outline
Market Research Process
◦ Fruit shake products in the market
◦ Market survey
◦ Market segmentation
Developing a Fruit shake brand
◦ Marketing P’s
◦ Cost classifications
Market Positioning

3. Type of research
Descriptive
◦ Who are the target market of fruit shakes
◦ What fruit shake brand customers buy
◦ Why are they drinking fruit shake
◦ When are they buying
◦ Where are they buying
◦ How much are they willing to pay
◦ How often do they buy fruit shakes

4. Market research
Research Methodology: Survey conducted in Quezon City
Instruments: Questionnaire with 80 Respondents
Data Source: Primary, Quantitative
◦ Open-ended: Answers are given and respondents choose the given answers
Sampling Method: Non-Probability, Simple Random

5. Demographic questions
Basic Question
Recently purchased brands
Serving
Flavor
Single fruit or
combination
Benefits
Price
Locations
Frequency
Buying schedule

6. Define the problem
How consumers rank fruit shake drinks?
◦ Treat
◦ Dessert
◦ Nutritional Supplement

7. Establish objective
Identify the consumption behaviour of “fruit shake drinkers” in Quezon City.

8. Survey Analysis
◦ Age 56 21-30 y.o
14 31-50 y.o.
10 13-19 y.o.
◦ Gender 45 Male
25 Female
◦ Occupation 12 IT Professionals
10 Engineers
9 Field workers
9 Appraisers
6 Doctors
5 Financial Advisor
5 Sales Agent
6 Self Employed
3 Photographers
5 OFW
2 Model
8 Nursing students

9. Survey Analysis
32
30
10
8
0
5
10
15
20
25
30
35
Fruitas Zagu Jamba Juice Big Chill
FREQUENTLY BOUGHT FRUIT SHAKE BRANDS

10. Survey Analysis
22
38
20
0
5
10
15
20
25
30
35
40
Small Medium Tall
FRUIT SHAKE SIZES

11. Top 10 Preferred fruit shake Flavours
1. Apple
2. Banana
3. Mango
4. Watermelon
5. Citrus
6. Pineapple
7. Melon
8. Water
9. Buko
10. Papaya
Survey Analysis

12. Size 33 Respondents 22 Respondents 13 Respondents 12 Respondents
Small 35 45 30 50-60
Medium 45 65 55 60-70
Large 55 75 80 90-130
Survey Analysis

13. Reasons for drinking fruit shake
1. Nutrition Value
2. Taste
3. Pick-me-upper
Survey Analysis

14. Top 4 Fruit Shake Placements
1. Malls
2. Near office
3. Stand Alone Stores
4. Convenient stores
Survey Analysis

15. Purchase Frequency Number of Respondents
Once a month 41 51%
Twice a month 28 35%
3-4 times a month 11 13.75%
Total 80 100%
Survey Analysis

16. Survey Analysis
Buying Schedule
80 – All respondents said they drink fruit shakes during afternoon snacks
18 – said they drink during breakfast
23 – said they drink during brunch
45 –during lunch
31 – during dinner
Advertising media can be apply during snack time, lunch and dinner

17. Target Segment Identified
Age
52 out of 80 respondents aged 21 – 30 years old.
Occupation
56 out of 80 respondents were identified as professionals (college graduate)
◦ Plus the possibility of other respondents to appear as college graduates.

18. Target Segment Identified
Price per serving
41.25% of Total Respondents will buy
◦ Small 35
◦ Medium 48
◦ Tall 55
Fruit concoctions
64 out of 80 respondents preferred two or more fruit combinations.

19. Target Segment Identified
Buying schedule
51% of the total respondents said they buy fruit shake at least once a month.

20. Summary of Market Segment
Treat
Diet
Usage
Objective
Economic
Health
conscious
Lifestyle
P 9, 500
to P 13,
600
Income
Working
Class
Social Class
21 and
above
Age
5%
Mkt Share
Q.C.
Geographic
“We are targeting people living within
Quezon City; Age 21 and above; belongs to
working class who have a monthly income of
P 9, 500 to 13, 500; who are health
conscious and spending frugally their
money. They drink fruit shake as part of
snacks and diet.”

21. Market Survey
BASED ON THE SURVEY CONDUCTED IN QUEZON CITY
WITH 80 RESPONDENTS, THERE IS A MARKET GAP WE
CAN FIT IN

22. Existing Fruit Shakes in
the Market
QUEZON CITY

23. Fruitas Zagu
Product Fruit Shakes Powder- flavoured shakes
Price P45-75 P35-60
Physical Environment Kiosks Kiosks
Placement
Located inside SM Malls, Robinson’s Malls,
Waltermart, EverGotesco Malls etc.
Located inside SM Malls, Savemore; Robinson’s
Malls, Waltermart, Pure Gold Food Courts
Promotions Affordable price Affordable price
Existing Brands in Quezon City

24. Fruitas and Zagu prices are less expensive than other fruit shake which in is already a promotion
on their part.
Its primary target market is low-income consumers and “value seekers”. People who just not look
after the taste but also for nutritional value.
They have kiosks inside malls (kiosks along mall pathways and food courts)
Their stores are at the right locations since these are the areas where low-income consumers hang around
and pass-by.
The right placement is another form of promotion because it is already a way of capturing the attention of
their target customers.
What are Fruitas and Zagu doing
right?

25. Big Chill Jamba Juice
Product Fruit shake/Smoothie
Fruit snacks
Fruit shake/Smoothie
Price • P 70-155 P110-210
Placement • Located at ABS CBN
• Eastwood
Located inside SM North EDSA and SM Megamall
Physical Environment • Bars and kiosks Bars and Stand Alone Stores
Promotions • Conveyed through social media
• Joining events (E.g. Franchise Asia Philippines
2013)
• Attractive design of cups
• Better dining experience
Existing Brands in Quezon City

26. The price is not too expensive yet not too cheap to be misconstrued as a low-
quality fruit shake.
Its target consumers are young professionals, working at the heart of Quezon City.
In addition, these people use Facebook to socialized. By chance, some get attracted
and attends trade conventions they found from Facebook.
Locations of Big Chill in QC are areas where people who have fair disposable
incomes thrive. They enjoy shopping or stopping-by the mall, watch movie and buy
lifestyle beverages worth more than P80.
What is Big Chill doing right?

27. The price of Jamba Juice matches its target market’s willingness to buy. It is higher than other fruit shake
brands since Jamba Juice are better in terms of:
◦ Taste and content. It comes with more selection of fruits such as strawberry, blueberry, peach and
raspberry.
◦ Nutritional Value: It also contains non-fat yogurt and sherbet which are rich in protein and calcium.
◦ Packaging: better design of cups.
◦ Dining experience in Jamba Juice is worth the money.
Unlike other lifestyle beverage and/or fruit shake brands that have kiosks, at Jamba Juice, you can drink
and stay at their store because they offer seats for customers. In addition, you can find Jamba Juice stores
in areas where upper class Filipinos those who have high disposable income thrive.
What is Jamba Juice doing right?

29. Product
Refreshing fruit shakes with the twist of tropical citrus fruits
 Tropic Duo: Specially formulated fruit shakes with citrus blend
Banana Blast (Banana+dalandan+honey) Dalandan Bliss (Dalandan+Papayahoney)
Pineapple smoothie (Pineapple+citrus+honey) Kalamansi Kraze (Kalamansi+milk+honey)
Mango Mania Jr. (Mango+citrus+honey) Luscious Apple (Apple+citrus+honey)
 Season Dazzler: Regular fruit blended with ice and honey
Apple Banana Coconut Dalandan Kalamansi
Mango Melon Papaya Pineapple Watermelon

30. Product Quality
 Based on the expectation of the target market.
 Taste test result
 Blunt
 Grainy because of apple skin
Market Segments
Characteristic Low-income consumers
Geographic by Size Quezon City
Area LRT and Bus Terminals
Age 21 years old and above
Socio-economic Status Middle-Working Class
Income P 9,500-13,500

31. Market Positioning
The Process of creating an image or brand in the market
High Price
Low Price
Poor taste Delicious
Most Available
Least available
Poor taste Delicious
Nutritional Value
Low Nutritional Value
Poor taste Delicious
Unique Selling Proposition of Frost Citrus
• Availability: High
• Affordability: Good
• Nutritional Value: Good
• Taste: Fair

32. Price
Variants Small Medium Tall
Season Dazzler drinks P 35 P 48 P 55
Tropic Duo drinks P 40 P 58 P 65
• The price is low that matches the fruit shake’s low cost.
• The price set is for its target markets who are low-income consumers belonging to working class, receiving a monthly salary of P9, 500 to P13,
500.
• Though fruit shake is more expensive than shakes like scramble, snow ball, banana split and mais con yelo, drinking Frost Citrus makes a
consumer feel more “conspicuous” of what he’s drinking. Besides, it has better nutritional value- that is why low income consumers will buy
this - as a treat, and as part of their diet.

33. Cost
Product Cost Small Medium Large
Direct Materials 14 22.45 27
Direct Labor 6.5 6.5 6.5
Manufacturing Overhead 2 2 2
Manufacturing cost 22.5 30.95 35.5
Add: 35.5% Mark-up 12.425 17.05 19.5
Suggested retail Price P 35 P 48 P 55

34. Sales Forecast
Year 1
Total Demand 10, 827.85
Units sold 210, 818.19
Sales 8, 334, 145. 88
Less: Cost of Sales 4, 743, 409. 28
Gross Income 3, 590, 736. 61

36. Promotions
 Participate in trade events
 Developing own website
 Sales promotions conveyed through social media such as Facebook page.

37. MRT Stations Bus Terminals
Placement
EDSA –Cubao and EDSA – BalintawakBalintawak, Munoz, North EDSA, Quezon Ave.,
Kamuning, Cubao, Santolan
Frost citrus will establish kiosks in high traffic areas in QC such as MRT Stations and along bus terminals.
Placement matches the product and price:
• Young professionals with low-disposable income travel using public transportations like MRT and buses.
• The temperature is hot in MRT and bus stations in addition to the stressful, high traffic place. This makes people thirsty. Once they see the kiosk of
Frost Citrus, they will buy it because it is a refreshing fruit drink that’s readily available and very affordable.

38. Physical environment
Kiosk Layout Design
1. Fruits
container
2. Stocks
1. Extension cord
2. Ice Box
Why Frost Citrus will vent using kiosk
• Frost citrus only sell fruit shakes no other than that.
• Frost citrus are vent in high traffic areas, where kiosk is the ideal structure to use.
• Since the price of fruit shakes are low, it has to find another way to earn and it is by minimizing rent expense. By
placing a kiosk in its target location, Frost Citrus will incur lesser rent expense than renting a bar inside a mall
and/or establishing its own store.

39. Process
No
Customer pass
by the store
Look for the
menu
Buy?
“Thank you
Ma’am/Sir”
Take the order
Prepare the
ingredients
Put it in the
Blender and
mix
Pour the shake
in the paper
cup
Give the order
to the
customer
Yes
Get the
Payment
Give the
change
“Thank you
Ma’am/Sir”

40. Process
Process when customer buys Frost Citrus
1.) Customer will see the Frost Citrus kiosk
2.) Customer will look for the menu
3.) Customer will select what fruit shake he/she prefers
4.) The kiosk personnel will prepare the order
-preparing the fruit ingredient/s and blending it with ice cubes and honey
-pouring the fruit shake into the cup
5.) The kiosk personnel will give the order to the customer
6.) The kiosk personnel will then get the payment

41. People
Kiosk Personnel of Frost Citrus should
-Encourage bystanders to buy saying: “Hi sir/ma’am, frost citrus po!”
-Be approachable customers when taking their orders and getting the payment.
-Always smiling when serving the customer.
• Kiosk personnel must be approachable because it is the way to capture customers and buy
instead of another fruit shakes.
• Kiosk personnel should always smile so that customer’s mood are aided from the noisy, hot and
crowded place.
(Happy Customer>Satisfied customer=Returning Customer)

42. Thank you
Alfonso Jr., Gil
Garachico, Aldous
Luyong, Rhian
Trupel, Reinell
Yap, Karen