After meeting the Prof, and as I am working on the final report, here are a few adjustments to the plan:
1. Dynamic variable(s):
Reduced to only one - environment-friendliness - needs to be supported by data (which is available via LCA studies). This is going to be the only key differentiator to be used for promoting glass.
2. Simplified the 5-point positioning statement:
Current Belief - Plastic is more convenient, glass is not
Desired belief - Glass is environmently better than plastic
Consumer Proposition - Glass is more eco-friendly than plastic. For every bottle of glass you buy instead of plastic, you help save 72 grams of CO2 emissions. Plastic adds to environmental waste.
3. Product:
Bundle of benefits - going to only stress on the search attribute of glass being environment-friendly (supported by data and testimonials)
4. Communication Plan:
Message Focus: more on importance of recycling and environmental issues
It's been a fun journey doing all this analysis and going through the different stages... on the home stretch now....
Saturday, April 24, 2010
It's all in the data...
So given the main objective of earning share from plastic, we must quantify with data what are the real savings when using glass vs. plastic.
Here is some data:
According to a life-cycle assessment (LCA) study endorsed by AMR Research, for 12 oz (355 ml) bottle manufactured in the US, glass has a carbon footprint of 0.171 kgCO2 and plastic has 0.214 kgCO2. Translating that to an average 20 oz. soda bottle, it is a .072 kgCO2 lesser CO2 emissions for every bottle that is made in glass and not plastic.
Tying this to my business objective and the 4Bs calculation, we are looking at converting some 3.2 million people (1.7 billion bottles in 3 years) over to glass. That is a environmental effect of about 125,600 tonnes of reduced CO2 emissions in the atmosphere over the course of 3 years.
Since the communication objective is information, this will serve at the fundamental selling point in every communication to the consumers (the consumer proposition).
Here is some data:
According to a life-cycle assessment (LCA) study endorsed by AMR Research, for 12 oz (355 ml) bottle manufactured in the US, glass has a carbon footprint of 0.171 kgCO2 and plastic has 0.214 kgCO2. Translating that to an average 20 oz. soda bottle, it is a .072 kgCO2 lesser CO2 emissions for every bottle that is made in glass and not plastic.
Tying this to my business objective and the 4Bs calculation, we are looking at converting some 3.2 million people (1.7 billion bottles in 3 years) over to glass. That is a environmental effect of about 125,600 tonnes of reduced CO2 emissions in the atmosphere over the course of 3 years.
Since the communication objective is information, this will serve at the fundamental selling point in every communication to the consumers (the consumer proposition).
BP - Collaborators
Thoughts on the channel members (collaborators) who would play a vital part in promoting glass and add value in their own way:
1. B2B customers - these are the direct customers of O-I, who take the bare bottles shipped to them and not only put their beverage in it but add packaging/labeling before it reaches the market. Their key value add is product it two-fold:
a. packaging attractiveness
b. info on labels about benefits of glass vs. plastic
2. Restaurants/grocery stores - they add value in terms of place and time - i.e. giving appropriate shelf space and choices to the consumer in terms of glass bottles and also how easy it is for the consumer to buy them (time savings)
3. Communities/government - they provide place and time value in terms of recycling options - have enough recycling stations within easy reach so that people are able to recycle glass bottles easily and realize one of the key benefits of glass promised to them.
4. NPOs - they would add value in terms of product expertise - vouching for the earth-friendly features of glass and also adding credibility and third-party endorsement of O-I's message.
I think these are the 4 key collaborators which O-I needs to work with to get the most out this marketing plan execution...
1. B2B customers - these are the direct customers of O-I, who take the bare bottles shipped to them and not only put their beverage in it but add packaging/labeling before it reaches the market. Their key value add is product it two-fold:
a. packaging attractiveness
b. info on labels about benefits of glass vs. plastic
2. Restaurants/grocery stores - they add value in terms of place and time - i.e. giving appropriate shelf space and choices to the consumer in terms of glass bottles and also how easy it is for the consumer to buy them (time savings)
3. Communities/government - they provide place and time value in terms of recycling options - have enough recycling stations within easy reach so that people are able to recycle glass bottles easily and realize one of the key benefits of glass promised to them.
4. NPOs - they would add value in terms of product expertise - vouching for the earth-friendly features of glass and also adding credibility and third-party endorsement of O-I's message.
I think these are the 4 key collaborators which O-I needs to work with to get the most out this marketing plan execution...
Monday, April 19, 2010
BP - Evaluate
Given my straightforward business objective (increasing share for glass in the US non-alcoholic beverage (NAB) market by 3% by 2013), the evaluation of the marketing plan can be measured against that business objective.
Hence, here is an attempt at the evaluation metric:
"Every year, for the next 3 years, glass share of the US NAB market should increase by 1%"
Stating it year-by-year let's us measure the effectiveness of the plan on an ongoing basis, and make any adjustments if needed, rather than wait till the end of the 3 years.
Maybe this metric is too simple, but that is what the purpose of this marketing plan is in the end...
Hence, here is an attempt at the evaluation metric:
"Every year, for the next 3 years, glass share of the US NAB market should increase by 1%"
Stating it year-by-year let's us measure the effectiveness of the plan on an ongoing basis, and make any adjustments if needed, rather than wait till the end of the 3 years.
Maybe this metric is too simple, but that is what the purpose of this marketing plan is in the end...
The 4Bs data
Thinking through the Bodies > Beliefs > Behaviors > Bucks (Benefits) framework....
Collecting data on the 1st B (bodies) of the 4Bs has been a bit of a challenge. Given that my business objective was clear earn 3% share of non-alcoholic beverage (NAB) market for glass by 2013 - didn't think that Bodies portion would be that big a deal. But market data is very scattered around who and in what packaging and with what frequency is consuming NAB in the US. Still searching through many market sources (Mintel, etc.)
Once I have this, the next 3 Bs should be easy. The last B of Bucks and Benefits can be addressed as:
Bucks - revenue stream for O-I based on additional 3% sale
Benefits - carbon footprint reduction of glass vs. plastic/aluminum (have some numbers on kgCo2 per average bottle in each packaging type)
Continuing with the data search for the 1st B....
Collecting data on the 1st B (bodies) of the 4Bs has been a bit of a challenge. Given that my business objective was clear earn 3% share of non-alcoholic beverage (NAB) market for glass by 2013 - didn't think that Bodies portion would be that big a deal. But market data is very scattered around who and in what packaging and with what frequency is consuming NAB in the US. Still searching through many market sources (Mintel, etc.)
Once I have this, the next 3 Bs should be easy. The last B of Bucks and Benefits can be addressed as:
Bucks - revenue stream for O-I based on additional 3% sale
Benefits - carbon footprint reduction of glass vs. plastic/aluminum (have some numbers on kgCo2 per average bottle in each packaging type)
Continuing with the data search for the 1st B....
Sunday, April 18, 2010
Thinking of a NPO partnership
I really think it would be beneficial for O-I to enter into a partnership with an NPO to further the cause of glass. The key with any partnership is to find the right "fit" - one that is fruitful for both parties and leads to the realization of common goals.
With this in mind, following are some crucial determinants in picking an NPO partner for O-I. Ideally, that NPO organization should be:
1. Focused on climate change / global warming as a central mission
2. Very supportive of glass as an environment friendly product i.e. should be self-espousing its benefits
3. Have recycling programs as a main element of its agenda. Ideally, should have community, grassroots-level reclycing schemes. This element will help O-I get reclyced glass into its furnaces and would further help reduce energy consumption and carbon footprint.
4. Preferably have a good brand equity built in the national NPO space - good reputation et al.
Such a partnership also helps O-I's marketing communication efforts by having an NPO promote it alongwith lending further credibility, and hence precipitating the achievement of our business objective.
With these in mind, I'll be looking for any such NPOs and suggest that such a partnership be considered as another executional element in the marketing plan.
With this in mind, following are some crucial determinants in picking an NPO partner for O-I. Ideally, that NPO organization should be:
1. Focused on climate change / global warming as a central mission
2. Very supportive of glass as an environment friendly product i.e. should be self-espousing its benefits
3. Have recycling programs as a main element of its agenda. Ideally, should have community, grassroots-level reclycing schemes. This element will help O-I get reclyced glass into its furnaces and would further help reduce energy consumption and carbon footprint.
4. Preferably have a good brand equity built in the national NPO space - good reputation et al.
Such a partnership also helps O-I's marketing communication efforts by having an NPO promote it alongwith lending further credibility, and hence precipitating the achievement of our business objective.
With these in mind, I'll be looking for any such NPOs and suggest that such a partnership be considered as another executional element in the marketing plan.
Saturday, April 17, 2010
BP - Promotion
The attempt here is to educate the target audience about the benefits of glass (information) and get them to buy their beverages in glass bottles (behavior change). Awareness is already there about glass being a packaging alternative and top-of-mind awareness is not the suitable objective in this case. Hence, the focus will be on information objective.
Primary Communication Objective:
Information (followed by credence at later stages)
The information message will focus on:
a. search attributes - supported by data e.g. carbon footprint facts of glass in comparison to plastic, plus product placement which is visually appealing
and
b. experience attributes - supported by consumer testimonials, studies, etc.
Message Focus:
Importance and Perception
Get to increase the importance of environment-friendliness, recyclability and health and wellness in the consumer's mind - plus increase the perception that glass is the most earth-friendly, recyclable and inert packaging material.
Risk Focus:
Promotion (not prevention) - of what is good about glass, what can an average person do by using glass (e.g. carbon calculator of reclycing one glass bottle per week i.e. simple call-to-action), the health benefits of using glass vis-a-vis plastics, what others are saying about their glass experience (testimonials).
Media Types:
These are some options in my mind:
1. Local billboards in select high-population areas
2. TV ads
3. PR (e.g. articles in Wall Street Journal, National Geographic, New York Times, etc.)
4. Internet ads
I need to flush out some of these and focus on ones with biggest bang for the buck.
Partnerships:
With an environmental NPO - need to assess "fit" with glass.
Primary Communication Objective:
Information (followed by credence at later stages)
The information message will focus on:
a. search attributes - supported by data e.g. carbon footprint facts of glass in comparison to plastic, plus product placement which is visually appealing
and
b. experience attributes - supported by consumer testimonials, studies, etc.
Message Focus:
Importance and Perception
Get to increase the importance of environment-friendliness, recyclability and health and wellness in the consumer's mind - plus increase the perception that glass is the most earth-friendly, recyclable and inert packaging material.
Risk Focus:
Promotion (not prevention) - of what is good about glass, what can an average person do by using glass (e.g. carbon calculator of reclycing one glass bottle per week i.e. simple call-to-action), the health benefits of using glass vis-a-vis plastics, what others are saying about their glass experience (testimonials).
Media Types:
These are some options in my mind:
1. Local billboards in select high-population areas
2. TV ads
3. PR (e.g. articles in Wall Street Journal, National Geographic, New York Times, etc.)
4. Internet ads
I need to flush out some of these and focus on ones with biggest bang for the buck.
Partnerships:
With an environmental NPO - need to assess "fit" with glass.
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