GSK Marketing Plan

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GSK Marketing Plan

• Derrick Fung, Keith Chiu, Thien Dam, and Stephane
  Li Chee Ming

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Problem Premise

• PROBLEM How to create product awareness and
  drive traffic to the Ribena website?
• PREMISE Increase usage and website traffic
  through providing awareness and incentives

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Macroenvironment

• Headquartered in the UK and with base operations
  in the US, GlaxoSmithKline (GSK) is an industry
  leader
• As a corporate leader GSK takes it upon itself to
  develop drugs for countries with debilitating
  diseases
• Every hour GSK spends US562,000 to find new
  medicine
• Operating in perhaps on of the most competitive
  and fast growing sectors in todays market, GSK
  continuously outperforms many of its major
  competitors.
• GSK in 2004 is ranked as the second largest
  pharmaceutical company, right behind Pfizer

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Market Analysis

• GlaxoSmithKlines (GSK) operates in the
  international pharmaceutical market, holding 7
  market share
• The only pharmaceutical company to tackle the
  World Health Organizations three priority
  diseases
• GSK does not participate in a demographic market
  segmentation, but rather targets its market by
  behavioral and psychographic variables (benefits,
  lifestyle, product end use etc.)
• GSKs main competitors include Pfizer,
  Sanofi-Aventis, Johnson Johnson, Merck,
  Novartis and AstraZeneca

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Consumer Analysis

• At the Dragon Boat Competition, our main target
  is Asian families out to watch the event
• The average age group for people who come to the
  event is 30 years old
• We are also targeting consumers who are health
  conscious, because of the nature of the drink
• The fresh taste of the drink also enables us to
  target the actual Dragon Boat competitors
• The idea is that buyers will expect something
  refreshing on the day of the competition and the
  motivation we will provide will be that our
  drinks are cold, refreshing, and healthy
• Since our brand is widely recognized, we are
  convinced that we will be able to attract
  attention and further promote awareness of
  passersby

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Current Internal Situation

• GSK currently employs 110,000 employees in 80
  different countries producing roughly around 25
  of the worlds vaccines
• In 2004, GSK had 8 products in the worlds top 60
  pharmaceutical products, helping sales top over
  US 31 billion
• Mission Statement to improve the quality of
  human life by enabling people to do more, feel
  better and live longer.

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Summary of Situation Analysis - Threats

• A sudden outbreak of a pandemic may cause mass
  hysteria and result in a shortage of medical
  resources
• Merck currently signed a deal with a Canadian
  based company in Vancouver, worth up to 500
  million CAD to replace the recently criticized
  Viox drug that was pulled off shelves
• Civil lawsuits that may cause serious financial
  losses
• A ban on a substance or chemical product may
  cause GSK to take a different approach on
  producing a certain drug

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Summary of Situation Analysis - Opportunities

• More people today are health conscious and try to
  use products to better themselves
• The mortality rate of baby boomers is beginning
  to increase and therefore the need for medical
  supplies are increasing
• Third world countries are continuously seeking a
  way to care for the millions of sick people
• Certain countries lack awareness on the necessity
  of medical supplies, and therefore GSK may be
  able to open itself in virgin markets

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Summary of Situation Analysis - Strengths

• GSK takes pride in being the only pharmaceutical
  company to successfully tackle three of the
  priority diseases identified by the World
  Health Organization (WHO) Tuberculosis,
  HIV/Aids and Malaria
• They have locations in over 80 countries which
  allows for easy access to different markets in
  the world
• Supply 25 of the total worlds vaccines
• Over a 100 countries have benefited from their
  humanitarian donations

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Summary of Situation Analysis - Weaknesses

• Due to the size of GSK, a lack of control in its
  resources and quality of products could result in
  a large liability creating a loss of brand
  loyalty to GSK
• In the pharmaceutical industry, quality is a huge
  factor and even a slight decline in quality
  management can cause consumer uproar

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Product Ribena

• Grown in Britain on the country side
• Harvested in July once the blackcurrants have
  turned from green to a purple color
• 95 of all Britain black-currants are picked and
  squashed within 24 hours, giving it a fresh taste
• Weight for weight black-currants contain almost 4
  times the vitamin C as oranges
• Bursting with antioxidants, Ribena aids your
  bodys cells from attack and helps your skin to
  look healthy and radiant
• Similar products from competitors include Cokes
  Fanta BlackCurrant

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Product Horlicks

• Horlicks is another product developed by GSK and
  is classified a nutritional health drink
• A nourishing malted drink which combines the
  wholesome goodness of malted barley, wheat and
  dairy ingredients
• It has been scientifically proven that Horlicks
  has a positive effect on sleep quantity and
  quality
• Horlicks aids in restful sleep, caffeine free and
  is rich in calcium
• Horlicks biggest market is the Asian community
  South and East
• Similar products from competitors include
  Ovaltine and Nestles Milo

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Marketing Strategy Market-Share
ObjectivesIncrease usage and website traffic
through providing awareness and incentives

• Increase overall marketshare through market
  penetration by improving consumer awareness and
  giving away free products
• Appeal to a broader consumer base through using
  multi-lingual product packaging
• Develop a strong market segment within the
  Greater Toronto and Vancouver Area through
  flawless execution of marketing plans
• Use a multi-format approach to maximize market
  share over the longer term

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Marketing Strategy ProductIncrease usage and
website traffic through providing awareness and
incentives

• Given that the weather will most likely be hot
  during the Dragon Boat Race, Ribena will be more
  appealing to the target audience
• Distribute Ribena drinks throughout the Island
  through the Ribena booths. Two (2) main booths
  will be strategically placed throughout the
  island.

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Marketing Strategy PriceIncrease usage and
website traffic through providing awareness and
incentives

• The pricing strategy will essentially be
  penetration. This provides consumers with
  extremely low prices (including even giving away
  free products).
• The demand for cold beverages on the day of the
  Dragon Boat Race will be inelastic due to
  potentially hot weather. Although we could take
  advantage of this situation by increasing price,
  the need to increase awareness means that prices
  must be low.

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Marketing Strategy PromotionIncrease usage and
website traffic through providing awareness and
incentives

• Promotional Goal To increase the awareness of
  Ribena Photo Hunt on the day of the Dragon Boat
  Race.
• What is Ribena Photo Hunt? Photographs of those
  in attendance will be taken on the day of the
  Dragon Boat Race. They will be given a special
  unique number and will be told to visit the
  Ribena website. If their picture is shown on the
  website, they will be given a prize.

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Marketing Strategy PromotionIncrease usage and
website traffic through providing awareness and
incentives

• Promotional Mix TTC advertisements, Radio
  advertisements and Newspaper advertisements
• TTC Advertisements (5000) Given that majority
  of the people attending the Dragon Boat event
  will be taking public transportation, 5000 will
  be allocated to increase awareness of the Ribena
  Photo Hunt. These advertisements will include
  subway advertisements, bus advertisements and
  streetcar advertisements.

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Marketing Strategy PromotionIncrease usage and
website traffic through providing awareness and
incentives

• Promotional Mix TTC advertisements, Radio
  advertisements and Newspaper advertisements
• Radio Advertisements (2500) The Dragon Boat
  event is known to be a family event. Statistics
  have proven that the target audience of Toronto
  and Vancouver Chinese radio stations is the Baby
  Boom generation. By increasing awareness about
  Ribena Photo Hunt on the radio, families will be
  given more prior knowledge about the events held
  by Ribena on Centre Island.

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Marketing Strategy PromotionIncrease usage and
website traffic through providing awareness and
incentives

• Promotional Mix TTC advertisements, Radio
  advertisements and Newspaper advertisements
• Newspaper Advertisements (2500) To further
  increase the awareness of the Ribena Photo Hunt
  event, it is essential to target a broad audience
  base. Though the younger generation does not read
  the Chinese newspaper, we believe that it is
  crucial to focus the targeting on Asian parents.
  The reason behind this is simple the increase of
  parental awareness will rub onto the kids.

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Marketing Strategy DistributionIncrease usage
and website traffic through providing awareness
and incentives

• All products will be given away free of charge on
  the day of the Dragon Boat race
• This strategy will give the target market a way
  of trying out the product without having to pay
• Awareness of the product will be fostered it is
  a win-win situation for consumers
• The product will be given away at booths. These
  booths will have cooling-zones where consumers
  may cool off from the hot weather

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Implementation - Volunteers

• 5-10 volunteers on the days of the event to
  promote visitors to come to our booths where they
  will get involved with our marketing activities
  in order to entice them to visit the Ribena and
  Horlicks website
• These volunteers will be recruited out of local
  high schools where the incentive for them will be
  an opportunity to earn hours for their compulsory
  40 hours of volunteer service. The volunteer who
  attracts the most visitors to the both will
  receive a prize at the end of the event in
  addition to the volunteer hours as an incentive
  to put a strong effort
• On the first day of the events, we will train
  them on what our promotion is and what they
  should know about Ribena and Horlicks to attract
  visitors to the booth

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Implementation - Agenda

• On the day before the event, we will come to set
  up the booth and make sure all our systems are
  fully operational
• The day of the event, all volunteers and
  marketing personnel will come in early around in
  the morning. They will leave when a large
  majority of the visitors have left which will be
  determined by their supervisors.
• There will be routine breaks and rest periods for
  all personnel and volunteers so they dont
  overwork. This will allow everyone to maintain a
  level of energy and enthusiasm throughout the day

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Implementation - Agenda

• On the day of the event
• We will be at the Center Island three hours
  before the competition is to take place to do the
  following
• Set up booths
• Display banners and signs in clearly visible
  areas
• Volunteer attendance, training reminder, and pep
  talk
• Stock count
• Systems setup and check

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Follow-Up

• After the event we plan to do the following
• Clean up the area and pack up systems
• Collect signs
• Count and pack up unused merchandise
• Thank volunteers and staff
• Sign forms for volunteer hours
• Finish paperwork for the day, and finalize
  business transactions

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Implementation Financial Requirements and
Monitoring Results

• With a budget of 50,000 CAD, we have established
  how it will be distributed in the previous slides
• In regards to monitoring the results and the
  methods to be used, we have decided to use a
  system of barcodes. A barcode will be on each
  slip handed out and will also be used as a way of
  to determine the winners

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Implementation - Contingencies

• Our greatest possible liability on the day of
  this outdoor event, would be poor weather (i.e.
  rain or gusting winds)
• In order to prepare for this, our booth will be
  fully covered using tent so that our visitors and
  our equipment will be safe from water damages
• Also a small back-up power supply (i.e.
  generator) will be installed in case of any power
  outages or malfunctions

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Financial Summary

• Expenses
• TTC Advertisement Expense 5000
• Newspaper Advertisement Expense 2500
• Radio Advertisement Expense 2500
• Product Distribution Expense 2500
• Booth Equipment Expense 2500
• Booth Rental Expense 5000