INDEPENDENT UNIVERSITY BANGLADESH

Course Title: MKT201

Section: 04
Group Name: UNIFIED
Submitted To:
Sheikh Mohammed Fazlul Azim.
Lecturer of Bachelor of Business Administrations
School of Business & Administration.

Submitted By:
Name ID
RAFID HASSAN 2110807
ASHRAFUL KARIM CHOWDHURY 2231132
RIDOY SAHA 2130028
MAHIDUL ISLAM PROTTOY 2220087
TAMANNA AKTER 2110587

Date of Submission: April 26, 2023.

 i

Letter of Transmittal

April 26, 2023

Sheikh Mohammad Fauzul Azim
Lecturer, Department of Marketing
School of Business and Entrepreneurship (SBE)
Independent University, Bangladesh (IUB)

Subject: Submission of Marketing Plan for “Royal Tiger Chococharge Energy Drink”

Dear Sir,

With due respect, we would like to submit our Term Paper on a Marketing Plan as a mandatory
requirement for Principles of Marketing. This report is the result of the knowledge which has
been acquired from the course.

We have worked on a renowned energy drink brand called "Royal Tiger.” This academic project
could not have been completed without the teachings and instructions of you, our respected
faculty. While preparing the report we could relate what you taught us in class and got the
opportunity to implement those learnings in it. We used material from our textbook, pertinent
research articles, interviews, and the Internet to supplement our knowledge

Therefore, we sincerely hope that our Marketing Plan would meet your respective requirements.
Once again, we thank you for giving us this opportunity and your guidance, both without which
this report would not have been possible.

Sincerely,

Rafid Hassan
Mahidul Islam Prottoy
Ashraful Karim Chowdhury
Ridoy Saha
Tamanna Akter
 ii

Acknowledgement

This report is a part of our current course Principles of Marketing (MKT201). The report is the
result of many people's hard work. First of all, we would want to express our greatest gratitude to
the Almighty Allah for providing us with the strength and capacity to complete the assignment
on time.
We'd also want to express our gratitude to our course instructor, Sheikh Mohammad Fauzul
Azim
Sir for being very helpful both in class and during office hours. He made the course much more
interesting and engaging. For all of us, taking this course with him was an educational and
fulfilling experience. He gave us direct and clear instructions which helped us complete this
report. Thank you again, Sir, for being patient with our queries and for leading us through the
completion of this report.
Then we would like to extend our appreciation to all of our group mates for their excellent
contribution during group talks, which encouraged us in generating new ideas. Their valuable
comments and suggestions played a key role in the completion of this report. We could not have
finished our report without everyone's help. Lastly, we would like to thanks those who took
participated in our survey, helped us with interviews, and to anyone who has helped us directly
or indirectly.
 iii

Executive Summary

The energy drink industry in Bangladesh is growing at a rapid rate. Royal Tiger energy drink
was launched by Globe Pharmaceuticals Ltd. and quickly went on to become the number one
energy drink in the country because of its taste, quality, and effect. Seeing the opportunities in
the energy drink industry, several competitors emerged but Royal Tiger has remained
unmatched. The objective of this report is to analyze the current market situation of Royal Tiger
energy drink and to come up with a new version of the product to sell in the market. From the
survey we have conducted, we found that most people would prefer a chocolate-flavored energy
drink. Thus, we are introducing “Royal Tiger Chococharge Energy Drink,” a chocolate-flavored
energy drink, that would not only be popular among the current market segment Royal Tiger has
but will also be successful in the new target segment we’re expanding to. In line with this, new
targeting, segmenting, and marketing strategies have been developed to ensure the success of this
new product. We have elaborately explained the 4Ps, including individual product decisions and
outlined our promotional strategies in depth.
 Table of Contents

Letter of Transmittal.........................................................................................................................i
Acknowledgement...........................................................................................................................ii
Executive Summary.......................................................................................................................iii
Introduction......................................................................................................................................1
Market Description..........................................................................................................................2
Competitive Review........................................................................................................................3
Strengths and Weakness of Major Competitors...........................................................................3
Assessment of 4Ps...........................................................................................................................4
Product.........................................................................................................................................4
Price.............................................................................................................................................4
Place.............................................................................................................................................4
Promotion.....................................................................................................................................5
Current Market Segmentation and Targeting..................................................................................5
Royal Tiger Chococharge Energy Drink.........................................................................................6
New Segmentation Strategy............................................................................................................7
New Targeting Strategy...................................................................................................................7
4Ps of Royal Tiger Chococharge.....................................................................................................8
Product.........................................................................................................................................8
Price.............................................................................................................................................9
Place.............................................................................................................................................9
Promotion...................................................................................................................................10
Conclusion.....................................................................................................................................12
References......................................................................................................................................13
 1

Introduction

Globe Pharmaceuticals Ltd., was founded in 1986 with a vision of providing people with a
healthier, longer, and carefree life. Ever since, Globe Pharmaceuticals have went on to become
one of the industry leaders in the production and supplying of medicines. Following its
trailblazing success in this industry, the company expanded and became the mother company of
Globe Pharmaceuticals Group of Companies. Under this company, 8 other industries have
formed, now providing hundreds of popular, household products both locally and internationally.
The industries are as follows:

1. Globe Pharmaceuticals
2. Globe Soft Drinks and AST Beverage
3. Globe Biscuits and Dariy Milk
4. Globe Edible Oil
5. Globe Bio-Tech
6. Globe Drugs
7. Globe Fisheries
8. Globe Agrovet

“Royal Tiger” energy drink was launched and introduced under the Globe Soft Drinks & AST
Beverage industry in the early 2000s. After the immense success of soda drinks like Uro and
Fizz Up, Globe introduced the energy drink in the Bangladeshi market with its unique flavor,
unmatched tonic effect, and high quality, which instantaneously became a consumer favorite and
took the market by storm. Seeing the market opportunities and growth for expansion, Globe
opted to export Royal Tiger energy drink abroad in 2007. According to the Globe Pharma
Groups of Industries website, Royal Tiger energy drink is No. 1 when the Energy Drink
Category.

The Quality Policy of Globe’s products, including that of Royal Tiger Energy Drink, is of the
highest standards. They strictly follow local and global standards, particularly the Goods
Manufacturing Practices (GMP) guidelines set by World Health Organization (WHO). Starting
from sourcing ingredients to delivering the product, all is handled by Globe Pharmaceticules Ltd
 2

and the whole process is in compliance with the International Standard of various regulatory
guidelines.

Market Description

Over the next five years, the Bangladesh energy drink market is expected to expand at a
CAGR of 12.30%. The energy drink market in Bangladesh is expanding very quickly and has a
very high growth rate overall. Furthermore, a sizable portion of the market is made up of low-
income segments. Additionally, young Bangladeshis prefer locally made energy drinks as
opposed to imported drinks such as Red Bull since the former is more affordable. This makes the
Bangladesh energy drink market concentrated by local energy drinks. Additionally, these
products' low prices are boosting sales in rural areas. Although demand for energy drinks in
Bangladesh is in the lower income bracket, local energy drink companies utilizes the bottom
strategy and market their products in such a way that the general consumer base accepts them.
Domestic energy drink brands that cater to low-income consumers include Royal Tiger, Speed,
Black Horse, PRAN Power, and Big Boss. According to industry insiders, energy drinks
currently account for 10 to 20% of the beverages market, which is valued over BDT 6.5 billion
(USD 83.30 million) each year, Existing energy drink brands, such as Royal Tiger, Pran Power,
and Speed, all have the same amount of 250ml. And the foreign brand Shark has a capacity of
150ml. The amount - 250ml - is more mainstream. Each company's distribution efforts are - at
least once a week per market.

According to World Bank, the urban population of Bangladesh had a growth rate of 3.1% in
2021 and is continuously growing, Since the 1990s the popularity of energy drink is growing
amongst teenagers in urban areas. The persistent high temperature rates of Bangladesh coupled
with continuous product innovation further drive the sales of refreshing energy drinks amongst
the growing young urban population.
 3

Competitive Review

The Bangladeshi energy drinks industry is dominated mainly by few firms holding a major share,
such as ourselves, Globe Soft Drinks Ltd with Tiger, which remained the market leader with the
greatest percentage, followed by Akij Group. Other players include Osotspa Co with shark. Ltd,
Thailand (Shark), and PRAN Foods Ltd (Pran Power), as well as other domestic players in the
country. The companies' key plans include a better distribution route for their products, backed
up by excellent transportation infrastructure to reach even the most remote places with market
potential. Transcom Beverages Ltd (TBL), Akij Food & Beverage Ltd (AFBL), PRAN Foods
Ltd, and Partex Beverage Ltd are among the Bangladeshi beverage firms competing for
market share. Under PepsiCo, TBL launched the Sting energy drink, AFBL launched Speed,
PRAN Foods launched PRAN Power, and Partex Beverage Ltd debuted Big Boss. Some regional
players have marketed their products as soft drinks rather than energy drinks in order to enhance
sales, given the latter has a bigger consumer base. As a further benefit, advertising in such a way
saves them from additional Value Added Taxes (VAT). Among the international brands, Royal
Tiger energy drink’s competitors include Red Bull, Monster, Gatorade, Powerade along with a
few others.

Strengths and Weakness of Major Competitors

Akij Food and Beverages Ltd - Power

Strength: Strong advertising, Strong brand awareness, Strong brand recall and recognition

Weakness: Less number of products visible at outlet,

Transcom Beverages Ltd - Sting-

Strength: Wide range of products, High quality of products, strong financial position

Weakness: Lack of brand awareness, no promotional activities, lengthy process in taking major
decisions
 4

Red Bull

Strength: High brand awareness, Strong customer loyalty

Weakness: Does not cater to the lower income to middle class consumers/expensive, little to no
promotional efforts in Bangladeshi market.

Assessment of 4Ps
Product

Brand Name - Globe Pharmaceuticals Ltd. unveiled and launched an energy drink named "Royal
Tiger," back in the early 2000s. With unique flavor, taste, and “tonic effect” in its arsenal, Tiger
rose to prominence as the nation's first ever energy drink brand (Business Inspection BD, 2022).
The brand name is synonymous with the Royal Bengal Tiger, which is a symbol of power and
strength.

Brand sponsorship/endorsement - Since the manufacturer are selling the product in the same
name we are Manufacturer brand.

Quality Level and Features - Considered the Bangladeshi equivalent of Red Bull, Royal Tiger
claims to boost energy levels like none other, offering a sweet, addicting, citrusy flavor, which
when first launched, was the first and only local energy drink in the scene to provide a combo
package such as this. To this day, Royal Tiger, with its extremely successfully established brand
name, continues to be the market leader in the country.

Packaging and Design - The product’s packaging comes in two forms: a plastic bottle and a can.
Both the bottle and the can come in different quantities, priced differently. Their product label
includes all of the ingredients used to maintain full transparency.

Price

As mentioned, Royal Tiger energy drink comes in either a bottle or a can. The 250mL plastic
bottle is priced at 25 BDT and the 250mL can comes at 30 BDT. This low pricing caters to the
lower income segment which makes up most of the market.
 5

Place

Royal Tiger energy drinks are mostly found in the rural areas of the country. Overtime, the
company slightly shifted the product to urban areas, supplying it to supermarkets, general stores,
and local stories in the cities. Thus, Royal Tiger energy drink uses a multi-channel distribution
strategy, which involves selling their products through various channels such as retailers like
convenience stores and supermarkets, vending machines and online stores. Since they use several
intermediaries to deliver their product to the customers, they use an indirect distribution channel.

Given its extreme popularity and vast opportunities in the market, Royal Tiger energy drink
started exporting their products abroad, as well.

Promotion

For their advertisements, Royal Tiger uses a combination of appeals, including emotional and
rational appeals. Under emotional appeal, feelings such as joy, fun and energy are highlighted to
support brand image. The lyrics in the jingle illustrate how drinking Royal Tiger helps to
recharge energy. The slogan “Recharge energy” reaffirms the ideas of gaining energy and
excitement associated with Royal Tiger. They also have used TVCs for seasonal festive holiday
appeals on Eids, wishing a happy Eid to their customers (www.youtube.com/watch?
v=FBT2H9nWHdU).
Another advertising showed how the singer Mr Ayub Bachchu drinks Royal Tiger to solve a
problem, which electrifies the whole scene (https://www.youtube.com/watch?
v=mgh5FugZAjM). Mr Bachchu was chosen as the brand ambassador for Royal Tiger as he was
considered a youth icon of Bangladesh and was known for his powerful voice. In a nut shell,
starting from the high-pitched jingle to using the sports car that represents an ‘on the go’ life,
every prop communicates the hyped up life of energetic young adults to support the slogan and
positioning of Royal Tiger.
Their print advertisements are mainly product images that highlight their slogan. Royal Tiger
uses advertising in TV, radio, print, and billboards as their major tools of promotion, as well.
They also endorse sportspeople like Shakib Al Hassan to further incorporate their brand message
of being active and energetic.
 6

Current Market Segmentation and Targeting

Demographic
Tiger energy mainly targets teens and students in their early and late 20s. We appeal more to the
lower income segments, since the demand for energy drinks locally is dominated by this
segment. However we are trying to break into the middle class segments as well as we are
supplying/promoting our products in urban areas, particularly in supermarkets and local. Though
the product is targeted towards both the genders, interviews by retailers have made it apparent
that the customers comprises mainly males.

Geographic

As mentioned earlier, although found in supermarkets and general stores in cities like Shwapno
and Meena Bazar, local energy drinks are most popular in rural areas. As a result, Royal Tiger
has established itself predominantly in those areas. Additionally Globe Soft Drinks also export
Royal Tiger in Dubai and Qatar.

Behavioral

Most of our customers are energetic teens and students, people who are tired after their day of
studying/working but would also still like to continue enjoying their day, be it by playing sports
with their friends or video games, or would like to get more work done. Moreover, our cheap
price and availability encourages impulsive purchases.

Psychographic

Our targeted customers are lower to middle class active teens who are physically active and
rather hyper. They tend to be extroverted and enjoy playing/watching sports and likes to attend
concerts.

Targeting Strategy:

Royal Tiger uses concentrated marketing for their campaign, this is because they focus on one
segment. Since the primary audience for their ads are students in their teens and people in their
20s they do not have to use different ads catering to different segments.
 7

Royal Tiger Chococharge Energy Drink

As mentioned before, from the results of the survey we have conducted, most respondents
desired a chocolate-flavored energy drink. With that in mind, we are introducing the “Royal
Tiger Chococharge Energy Drink” to meet this demand. Moreover, we are aiming to popularize
this new version of the product amongst both the rural and urban population between the ages of
18 to early 30s.

New Segmentation Strategy

Demographic
With our new flavor we will be focusing on the current lower income segment, as they already
make up a significant portion of the market and our brand is already familiar with them.
Furthermore, we will expand and also focus on the middle income segments since there is a huge
potential in that segment. Thanks to YouTubers Logan Paul and KSI, both of whom have
launched “PRIME Hydration” energy drink and have huge fanbasse in Bangladesh, there has
been a rise in popularity and peaked curiosity in energy drinks among the middle class teens.
Red Bull and Monster have done a pretty good job in breaking into this segment in Bangladesh
proving that there is a profitable market in this segment, but a local company has yet to capitalize
on this.

Geographic
Since the Royal Tiger brand is pretty popular in rural areas and have a loyal consumer base there
we believe it is worthwhile to put marketing efforts in that region. With our new flavor we are
also trying to make our brand more mainstream amongst the urban population.

Behavioural
The core behavior of our target customer would be the same as our previous customer base.
Psychological
The psychography of our customers would be the same as well but we would focus more on
people with a sweet tooth.
 8

New Targeting Strategy

We will be using differentiated marketing strategy for our product. This is because we will be
targeting three different segments;

1) Lower-class rural population

2) Middle to upper middle urban population.

Further details on how we would target these segments will be in the “promotion” section under
4Ps

4Ps of Royal Tiger Chococharge

Product

Beliefs and Values: Our product aims to give the youthful, active, and health-conscious people
the boost needed to fuel their energetic lifestyles, all the while satisfying the cravings of their
taste buds.

Brand Name: For our brand name we have chosen “Chococharge” as it has a nice ring to it, and
since it is an alliteration, it rolls off the tongue well. As such, because of the catchy name, the
name stays in the minds of customer longer and is easier for the customers to remember it.
Furthermore it conveys the customer exactly what they are getting; the “choco” signifies the
flavor they are buying, and the “charge” signifies energy, which signals the drink type.

Feature: The feature that differentiates us from the competitors is we are the only local brand in
the market that provides this flavor for energy drink, moreover we are the only brand in
Bangladesh that provides this flavor of energy drink.

Quality: Since Royal Tiger is known for their high quality product and proven to be very safe for
the consumers; we aim to be consistent with the same level of quality and safety level for our
new product.

Benefits: With this new unique chocolate flavor, our customers can enjoy the taste of chocolate
and get their required energy at the same time.
 9

Packaging: With our packaging we plan on using two different styles of packaging for the rural
and urban segments. We aim to supply our product in plastic bottles in villages and for urban
areas, we will provide it in cans. This is because, according to some of the rural shopkeepers we
interviewed, people in rural areas prefer bottles. We believe this is because it is more
convenient. Cans are more popular in cities, likely because people in the cities tend to be
environmentally conscious and it is more aesthetically pleasing as well as keep the product fresh
longer.

Design: The color scheme for our new version is black, brown, and hints of gold because they
are aesthetically pleasing. The bold color scheme would, we think, attract the youth. Furthermore
the mix of using black and gold is often associated with “premium” products.

Product mix decision: We will follow a product depth decision as we are launching a new variety
of an existing product line.

Brand development strategy: Although we are launching a new flavor, as it falls under the same
product category by the same brand, we will be using line stretching.

Product line decision: To cater to the rising potential in the middle class segment in the urban
population, we will be giving our product a sense of “premium-ness”. For this we will be
increasing our price. Thus we will be following a line extension strategy.

Price
Another reason for us to package our products in bottles for the lower income and rural
population is, it allows us to price it lower to make it affordable to this demographic. As for
middle-upper class, we can price our canned product higher. Therefore we will be segmenting
our pricing.

Price for bottled: BDT 30

Price for canned: BDT 50

According to our survey most people usually spend within this price range on energy drinks.

Place
 10

We will be using mixed channels in distribution and sell our products in rural and urban areas.
For physical stores we will be using indirect distribution. In the rural areas we will be selling in
the different marketplaces/bazars. In the rural areas we will be selling our products in local
convenience stores, small shops and supermarkets. As the small shops attracts a lot of customers
from the lower income segment we will sell our bottled products there. As for the cans we will
be selling them in supermarkets where the customers are mainly of the middle-upper middle
income segment.

We will also be implementing a multichannel distribution system as we will provide customers

to buy our products online through third party sellers. We will also be using a direct distribution
channel as we plan on selling our products through our company website.

Promotion

Identifying the target market: Since our target audience is mostly teens and people in their late
20s, most of our campaigns will focus on them. Our customers are mostly students and some
office goers in their late 20s. Our target market more specifically includes people in rural and
urban areas with lower to upper middle income.

Communication Objective: Since we are launching a new flavor our primary objective is to raise
awareness, create demand, approach and retain customers for our product. We need to highlight
the unique flavor of our product and the benefits our customers will get from using our product.

Designing a message: To promote Tiger energy drink we will be using emotional and rational
appeal to get our message across. The message we want to send is: After drinking Royal Tiger
Chococharge our customer will feel energized to tackle any task they desire to complete or felt
was out of reach, be it completing their studies, being better at sports and videogames or party; if
someone is having a long tiring day, our product will help them recharge. Moreover, not only is
it energizes the consumer but it is also delicious, especially for people who enjoy the taste of
chocolate. Our ads will also inform that our product will provide a healthy alternative which does
not make them gain weight to those who seek to gain their needed energy while satisfying their
sweet tooth by having heavily sugared snacks like some chocolate products.
 11

Choosing media: We would increase our online presence by advertising our products on social
media such as Instagram, Facebook, Youtube, Tiktok. This will be the most efficient way for us
to expose our product to consumers across the nation. In addition, we would show our ads on
different Bangladeshi channels such as BTV which has a massive viewership of our target
audience, especially in rural area. We would especially put ads on Bangladeshi sport channels
like T-sports, GTV, etc. We would also be sponsoring sports events on local (university/college
events) and national (cricket/football matches that are broadcasted) level. By displaying our
product during sport matches we would attract the attention of people who would be sporty and
active. Furthermore, this would associate our product with health.

In addition, we will provide shops and vendors with fridges with wallpaper of our product. We
would also put banners of our product above shops in busy markets. This would be effective in
familiarizing our product with the customers.

Selecting the message source: We would sponsor athletes, artists and young and popular social
media influencers to promote our product. We find that these people have the most influence
over our target customer. Sponsoring athletes is a great way for us to make our product
trustworthy in terms of health and energy. Music artists and influencers would help make our
product look hip and popular amongst the youths.
 12

Conclusion

Royal Tiger has been in the scene since the beginning and because of its high affordability and
availability, they have consistently held the market share amongst the local companies. Because
of its immense popularity, the company began to export the product abroad as well. They had
celebrities and sportspeople like Ayub Bacchu and Shakibul Al-Hassan endorse the energy drink
to maintain their relevancy amongst the youth as well as new customers.
Given the Royal Tiger energy drink is the number one local energy drink in the industry, we
believe launching and new version of this product will be well accepted in the current market as
well as the new market we are aiming to expand.
 13

With the launch of our new product, we are attempting to get our product accepted in the urban
energy drink market. To cater to this new segment we have developed a new packaging with
cans as well as a new style and design with a black, gold and brown colour scheme, this will
make our product look sleeker and aesthetically pleasing to make it more appealing to the
middle-income urban youth. We will also distribute bottles at cheaper price for our existing
lower-income segment.
We also plan to increase our marketing efforts to raise awareness of our newly launched product
variation. For this, we will make use of Athletes, artists and social media influencers to have the
most reliable message source for our product. Our ads will be shown on Bangladeshi TV
networks, especially ones broadcasting sports, such as BTV and Tsports, as well as online
through social media apps and websites. In addition, we will display our product's poster and
banners through billboards, store fridges and banners

References

Ahmed, J. U., Iqbal, M., SherinaIdrish, & Chowdhury, K. M. K. (2017, January 4). Royal Tiger:
Energy Drink Marketing Strategy in Bangladesh. Sage Knowledge. Retrieved April 26,
2023, from https://sk.sagepub.com/cases/royal-tiger-energy-drink-marketing-strategy-in-
bangladesh

Bangladesh Energy Drinks Market Size & share analysis - industry research report - growth
trends. Bangladesh Energy Drinks Market Size & Share Analysis - Industry Research
Report - Growth Trends. (n.d.). Retrieved April 25, 2023, from
https://www.mordorintelligence.com/industry-reports/bangladesh-energy-drinks-market
 14

Business Inspection BD. (2022, September 22). Top beverage companies in Bangladesh.
Business Inspection BD. Retrieved April 25, 2023, from
https://businessinspection.com.bd/top-beverage-companies-in-bd/

Introduction. Globe Pharma Group of Companies. (n.d.). Retrieved April 25, 2023, from
https://www.globe.com.bd/

Market potential of new energy drinks in Bangladesh. Assignment Point. (n.d.). Retrieved April
25, 2023, from
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