A Marketing plan for Del Monte tomato catsup

In an effort to improve its share in the tomato catsup market, Del Monte Philippines has been trying to consolidate all its marketing activities towards the preparation of a good marketing plan for the product. In this respect, the practicum group assigned at Del Monte Philippines has prepared a plan to serve this purpose with the following salient points: Current situation: The total catsup market has as estimated market size of 15,532,388 kilograms. Tomato catsup accounts for only 10% of the total catsup market, of which 9.9% belongs to Del Monte Tomato catsup. Current marketing efforts for Del Monte Tomato catsup are focused on the following: Product: superior product quality and taste. Price: premium pricing strategy. Promotions: extensive advertising support. Distribution: employment of exclusive distributors. Goals of the Marketing Plan: The proposed marketing plan has the following goals: -to achieve market growth for tomato catsup vis-a-vis banana catsup - to encourage trial and repeat usage of Del Monte Tomato catsup - to broaden the market base for Del Monte Tomato catsup. These goals can be achieved with the proper implementation of the researchers\u27 proposed strategies. Proposed strategies: The following strategies are designed to increase tomato catsup share in the catsup industry and to maximize Del Monte Tomato catsup\u27s share in the tomato catsup market. a) Reformulation of Del Monte Tomato catsup - This involves the reformulation of the taste of the catsup, for it to appeal also to the banana catsup users. This new formulation will carry another brand name. b) Repackaging - This involves the use of alternative packaging such as tetrapak that would make Del Monte Tomato catsup more affordable to the lower classes. c) Use of extensive advertising - This involves media support for the product aimed at maximizing brand awareness and trial. d) Promotions - This involves promotions to wholesalers, supermarkets, groceries, direct users and salesmen, all aimed at increasing Del Monte Tomato catsup sales to meet projected values. Cost and return: Costs for the various activities involved in the implementation of the proposed strategies, amount to P 10,821,936. With this cost, sales for the following year is expected to reach 1,497,663 kg or an increase of 2% from previous years\u27 sales. This will result to a net profit of P 13, 961,798 or 16.9% of net sales. Evaluation: Evaluation of these strategies basically involve post-promotion researches and close monitoring of sales progress