Vitas began to introduce different fruit products to its industry and market. This was a successful attempt to extend their market not only within Hong Kong but also internationally. ‘Vitas’ became popular because of its convenience and a wide variety of different beverages. Ever since the late sass’s, Vitas began to produce traditional beverages such as ‘Lemon Tea’ and ‘Red Bean Fleece’ which was originally introduced in a smaller cafe known as ‘Chaw Chain Ting’. This emergence struck the market because customers did not need to walk into a ‘Chaw Chain Ting’ to enjoy their favorite beverage.
They old also appreciate their favorite drink in a smaller, cheaper and non-time consuming environment. ‘Vita’ is one of the oldest brands in selling traditional Hong Kong beverages in the market so therefore we have chosen ‘Lemon Tea’ as our aim. 2. Major Competitors Ever since ‘Vita’ was introduced in our society, there were a number of competitors that followed. One major competitor in the beverage industry is Hi- C from the ‘Coca-Cola Company’. Over the years, Hi-C has also introduced the product ‘Lemon Tea’ to the Hong Kong market.
Its product also followed the same trend as ‘Vita’. Their products were also of the same appearance, Tyler and selling point. In terms of packaging, Hi-C has also followed the trend Of a smaller box set which is available in convenience stores such as 7-11 and Circle K and supermarkets like Park Nosh’s and Welcome. This has also made it convenient for customers to buy this product. According to price, it ranges from $4 to $5 dollars which is a financially decent price for students, teenagers, business class individuals and the elderly.
The difference in competition between Hi-C and Vita is that Hi-C is from the Coca-Cola industry which is a large manufacturer from the united States that was popular for its DOD products such as Coke and 7-up. On the other hand, Vita began its industry in Hong Kong where its products were produced and manufactured around the world. Since, the products produced by Vita were originally made in Hong Kong, the people who buy the products will build up a stronger sense of belonging to the Chinese tradition/ culture.
From our understanding, even though Hi-C and Vita share the same products, the demand for Vita Lemon Tea is higher because it is well-known in our community in terms of its long history and uniqueness. 3. Brand’s Target Segment and its positioning Vita (VOLT) – Market targeting and positioning From our perspective, ever since the ‘bean’ concept was introduced in the sass’s it has given the company an ideal to bring all customers together and to provide them with an active and healthy lifestyle.
From this viewpoint, we decided that the market segment groups are people of all ages such as the elderly, adults, adolescents and children. There are two reasons underlying this justification. First of all, the product is convenient; customers are able to buy Vita products in almost every store or supermarket available in Hong Kong. Secondly, the price is reasonable, the average price per product ranges room $4. 00-$5. 00 HACK dollars. Vita products are advancing and becoming a tradition, this extends the customer target range to people of different class such as business employees and school students.
Vita tends to target people who have a common interest. For example, customers who like to drink lemon tea and have no time to go to a local Chinese restaurant may always consider buying a box of Vita lemon tea from their local convenience store for less the amount of money and less time consuming. In this project, we have chosen a single target group from out of the majority that has given Vita a throng competitive edge in the market. This target group are ‘local Hong Kong students’ ranging from age 11-18. Try to use more segmentation variables) For over years of selling and promoting advertisement on television, we have noticed that Vita has held back from its original sell point of ‘health’ to sell ‘style’ and ‘image’ to its customer. Nowadays, there are many commercials and magazine advertisements showing young / popular idols holding a Vita product to persuade students to buy their product. Through advertisement it shows that the target group has changed over the past few years. Mentally, students have been captured by this image in the magazine and are persuaded to buy the product because Of their famous idol. . The Brand’s current Marketing Mix a) Product and Service- The products major offering to its customers include its convenience, its health assurance and its taste. First of all, the product is very convenient because its packaging is small, easy for storage and it does not weight a lot. The packaging is very delicate because inside of the beverage is a layer of foil which keeps the drink refrigerated (within room temperature), it seals the freshness of the taste of the contents inside.
The packaging is also environmental friendly which the customers can decide to squish the package itself and have it recycled or used for other purposes. Secondly, Lemon Tea is health assured. Vita Lemon Tea is divided into two flavors, one that is VOLT- Lemon Tea which is the original taste and the other is Lemon Tea- Light. Lemon Tea- Light is a beverage with less sugar and artificial flavorings. This is suitable for customers that do not wish to select a beverage with too much sugar or want to maintain a healthy body or lifestyle.
Vita’s Lemon Tea is a beverage that guarantees its quality and taste to its nonusers. Thirdly, Lemon Tea has a stronger fruit taste to its product. From Our comparison to other products such as Hi-CO’S lemon tea and Nested, Vita’s Lemon Tea consists of a stronger lemon taste to its product which brings a bitter flavor to its original product. It is also said that the amount of additional flavorings has been reduced to suit the bitter flavor and to maintain its fruity and healthy contents.
Last but not least, the design of the drink is storable in the refrigerator which means that the product can be consumed after a period of time after it has been opened. B) price- The rice of the product is reasonable. The perceived value does not exceed the amount of a regular glass of lemon tea at a ‘Chaw Chain Ting and moreover the net volume is mall which is more or less the same volume of a glass of lemon tea. The price is around $4 -$5 dollars which is less than half the price of a regular glass of lemon tea offered at a cafe. You may try to have more in- depth study on the perceived value: price vs.. Product) c) Place- There is a number of places where you can buy Vita Lemon Tea. These places are convenience stores, supermarkets, department stores and also vending canines. According to the channels of distribution, the producer and also the distributor is Vitas Limited which they sell their products directly to their wholesaler. After that, the wholesalers sell the product to their customer. At the supermarket where the product is sold is in large packages in so they do not have to be sold individually.
In most cases, prices in supermarkets are reduced for these beverages in packages of half a dozen to a dozen so they can gain an equal amount of profit if individual packages are not sold. Most consumers insist to buy a large amount of packages because t is relatively cheaper and it can be stored. D) Promotion- There is a diversity Of different communication tools that are used to promote Vita Lemon Tea. The most frequent tool of promotion is advertisement such as television, radio, magazines, MET billboards, music, bus advertisements and the internet.
Vita has been promoting Lemon Tea with famous idols such as MS Jinn. It attracts teenagers to buy the product. The selling point is that teenagers think that Vita Lemon Tea is cool when you drink it. And besides that, Volta uses an abbreviation symbol such as VOLT’ to make the brand easier o pronounce to customers as a means to make it a habit for teenagers and to carry out a new trend when drinking Vita Lemon Tea. There is also a slogan said by MS Jinn which is rapped that also promotes the product to its consumer. There are advertisements located everywhere in Hong Kong.
From our perspective, we think that the newspaper ads in the morning papers which are free, are the most successful this is because everyone in the morning reads the paper and when its free, everyone will have a chance to have a look at the advertisement. There are also some pop- up advertisements on the internet which appear once in a while when you surf he net. In all, I think Vita Lemon Tea (VOLT) has made a great impact to our society and has used all channels of communication to set its message across about their product to their customer. 5.
Strategic Actions for Improvement There are three aspects of improvement for the product Vita- Lemon Tea: First of all, think Vita Lemon Tea should focus on improving their image. For many years now, Vita has been using the same appearance of Lemon Tea. In a way, I think a change of its image towards the millennium will help promote Lemon Tea even more. From all the investment and the money that the many is profiting towards advertisement, I think they can find a new innovative way to attract their customers. In addition, a new image (what is it? May help them reconstruct a new flavor of lemon tea from the original. Furthermore, I also think a good way of promoting Vita- Lemon Tea would be to include other benefits or gifts to their consumers. To an extent, the Coca- Cola Company has been doing this very successfully and I think that if Vita- Lemon Tea had done the same thing, they would gain a better profit from their consumers. A good example of this would be a lucky draw or a reward room drinking Vita;lemon Tea such as free movie tickets or a free trip to Hawaii.
In some ways, this would increase the amount of people buying the product at an exchange off low cost for giving out free prizes. Next, I think Vita Lemon Tea should expand and increase their area of imports. The ratio of one lemon tea to a Coke in the united States or other countries is 1:10. And moreover, it is also very unlikely that foreign customers would visit China Town to enjoy a glass of lemon tea at a ‘Chaw Chain Ting. The popularity of drinking lemon tea overseas is very low and think ‘Vita’ should do a better bob at promoting their products around the world.
One way of doing this is to invite a Chinese idol such as ‘Jackie Chain’ or ‘Jet IL’ to make a commercial or post an advertisement on billboards in America to promote the beverage. It should also be easier to get a hold Of a box Of lemon tea, so vending machines would be a good choice of selling it.