As a project in Marketing, we were asked to research on Company Background & VMOs. Here's a my work on RC Cola.
III. Company Background
A. Company ProfileRC COLA is a franchise of Alfredo M. Yao (owner of Zest-O/Asian Spirit) from Royal Crown Cola International. Asiawide Refreshments Corporation (ARC), the country’s licensed bottler manufacturer and distributor of U.S. Best Tasting Softdrink, known as RC Cola, since 1905. It has bottling plants in NCR, Davao, Southern, Central and Northern Luzon to respond to the demands of an ever increasingly competitive environment in the bottling industry.
“In the 1970s, R.C. cola was popular in the Philippines with its franchisee Asiawide Beverages, after the brand disappeared for 3 decades, R.C. Cola was relaunched and now became the third largest-selling cola brand, toppling Coca-Cola's Pop Cola, and now behind Pepsi-Cola and Coca-Cola. It also started advertising with a "smooth, laid back" image that it portrayed since the 60s.”
B. Company’s Vision and MissionThe company does not have a written formal vision statement. The succeeding information is based on Zest-O Corporation’s Vision and Mission.
Vision
To be the leading food and beverage Filipino company competing with the multinational companies.
Mission
Our mission is to be the leading manufacturer and distributor of juices, dairy and related food products that best satisfy the growing needs of the customers. This, for us is the means by which we can effectively participate in the social and economic development of the communities we serve, promote professional growth and well-being of our employees, maintain mutually profitable relationship with our trade partners and achieve growth level equal to or better than the norms of the food industry.
Current position of the company in the market/industry, market share
The leading company in the market in 2005 was San Miguel Corporation/CCBI. The second-largest player was PepsiCo, Inc. with Nestle S.A. in third place.
Coca Cola shares 80% market share from its acquisition of Cosmos Bottling Corp.
Top Sellers: Coke Sakto, Sparkle, Coke Zero, Pop
Pepsi Cola shares a market share of 15%.
Top Sellers: Pepsi, Mountain Dew
RC Cola shares a market share of 4%
Others share 1%C. Company Analysis (Strengths and Weaknesses)The strengths of RC Cola are as follows:
1. Concentrated Brand Identity. Focused on mass market only & most advertising are placed in areas where common people can see it. Recto Manila has a big billboard done by MacGraphics Carranz and TV Sponsorship ads on Eat Bulaga.
2. Product Price. It’s affordable for a product that tastes great.
3. Availability. With Increasing number of plants RC Cola is catering every wholesaler to provide retailers a fruitful business
4. Sales Promotions. To draw more attention to the product RC Cola creates contests for people to purchase more.
5. Social and Community Assistance. RC Cola sponsors organizations with their events and gigs.
6. Proper Placement of Materials. P.O.S. advertising is placed in the right market to achieve proper brand identification.The weaknesses of RC Cola are as follows:
1. As a competitor in the carbonated soft drinks industry, RC Cola is limited only to lower class markets. It cannot cater to high-end customers.
2. As a franchise and owned by the no.1 juicer in the country, marketing may not be pushed very well. Only selected advertisements and exposure.
3. Poor bottling design and less volume of bottles available.
4. Not available on Fast-food chains where large crowd eat.
5. It doesn’t follow much with the global marketing strategies of RC Cola International.As a growing company and adding more bottling plants in the southern part of the country, the opportunity to boost sales is 100%. The product is affordable and has a feel of what the common people are. Promoting the product has been easy for the mother company, so penetration of the lower class public isn’t a big deal.
Ongoing campaigns of some soft drinks that are developed and priced for the lower class market poses a threat. But in a healthy competition, RC Cola knows its targets well and caters to what they need. Coca Cola will always be on the top, so RC Cola will produce to accommodate its tied consumers and create more promos to double the purchase of their products.
Sources: http://www.rccolainternational.com ; http://www.zesto.com.ph ; http://www.answer.com ; http://www.marketshareresearch.com ; http://www.cott.com ; http://www.bestjobs.com ; http://www.businessmirror.com ; http://carranzoutdoor.com.i-ph.net/
