BRAND MANAGEMENT

LIPTON
DELIVERABLE 2

GROUP 3
Hadia Butt - 21110092
Hassan Tayyab - 22110053
Sanya Imran - 21110009
Syed Nabeel Aamer - 21110130
Zainab Nadeem - 21110118
Zarrar Ahmed - 21110051
TABLE OF CONTENTS
03 BRAND INTRODUCTION
03 BRAND HISTORY
04 TARGET MARKET
04 MARKET SHARE
05 CBBE
05 BRAND KNOWLEDGE
06 BRAND AWARENESS
06 BRAND IMAGE
09 BRAND ELEMENTS
10 COMPETITORS
11 POINTS OF PARITY
11 POINTS OF DIFFERENCE
12 BRAND MANTRA
13 APPENDIX
19 BIBLIOGRAPHY
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Brand audit is a combination of brand inventory and brand exploratory. This deliverable focuses

on brand inventory and explores Lipton’s sources of customer-based brand equity, brand elements

and brand positioning.

Brand Introduction

Lipton is a brand with purpose with a prime focus on a brighter day and a brighter future. Lipton

creates a brighter day for its consumers by looking after their wellbeing, helping them relieve stress

and boosting their immune system so that they can be awake to build quality connections with

people around. Lipton also brightens up the future of all their tea farmers, consumers and the planet

by placing sustainability at the core of their tea factory. Every cup of Lipton tea is grown using

natural rain, wind and sunshine for people to enjoy their signature rich taste and aroma.

Lipton believes that in this world of indifference, pausing and taking time out to engage with others

feels good and helps to bring out the best of ourselves. It provides an opportunity to refresh, reset,

rethink and re-engage with others.

Lipton’s revitalizing taste is available in Yellow Label leaf tea, Danedar, Mega Daane, Black

Teabags and Green Teabags (Watermelon Mint, Lemon, Mint, Jasmine).

Brand History

The Lipton ready-to-drink beverages are sold by Pepsi Lipton International, a company jointly

owned by Unilever and PepsiCo. Lipton’s story began over 120 years ago with the vision of one

man - Sir Thomas Lipton. Lipton was first introduced in Pakistan in 1948.
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Target Market

Like all other tea brands Lipton targets the decision maker of tea buyer who are generally the

housewives ranging from 18 to 35 years of age.

Market Share

Unilever enjoys leadership with approximately 53% of the tea market. Tapal then comes next with

about 41% of the market share and is the direct competitor. Tetlay tea has approximately 6% tea

and Vital tea company has 8% of the market share. This is summarized in the picture shown below
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Customer based brand equity (CBBE)

The customer-based brand equity model can be used to assess the differential effect brand

knowledge can have on consumer responses. When conducting a brand audit, such a model could

be used to assess the extent to which consumers have brand knowledge which in turn can determine

a brand’s overall health. Therefore, in order to measure Lipton’s current standing, it is important

to understand how well Lipton has created brand knowledge.

The pyramid is displayed on the next page.

Brand Knowledge

Brand knowledge is a function of brand awareness and brand image. It is one of the fundamental

sources of brand equity for Lipton and so in order to assess brand’s current standing, it is

imperative we analyze the extent to which Lipton has created brand knowledge for its market.
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Brand awareness

Brand awareness for Lipton can be defined through brand recognition and brand recall. Lipton

creates this brand awareness through TV and the digital platform which help customers recognize

the brand and recall it when making actual purchases. TV penetration is above 90% in Pakistan

which is why it is the most important medium that has been used to create awareness. Coupled

with TV, digital media is used more effectively to increase recognition about specific variant or a

product benefit for a specific segment of the market. Digital media has allowed better segmentation

and thus, Lipton’s various products are promoted to the target market which is most relevant. In

other words, multiple facets of the product are promoted to maximize overall brand awareness.

Brand Image

Lipton’s brand image could be understood in terms of specific product attributes and benefits

coupled with strong, favorable and unique associations created with the customers.

Brand Attributes and benefits:

Lipton’s functional attributes include the unmatched quality of their tea, the strong taste and the

aroma that goes with it. These attributes benefit customers by providing them with an energized

start of the day filled with optimism and hope coupled with an opportunity connect with their loved

ones. In other words, these benefits are physical as well as emotional and provide a unique platform

to differentiate from other brands. Moreover, because of these unparalleled attributes and benefits,

customers are willing to pay a small premium when buying Lipton’s products as compared to other

available alternatives.
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Brand associations:

Over time, Lipton has created strong and unique associations with its customers. As a result if

these associations, customers have come to expect a certain level of quality from a higher priced

brand like Lipton, and its unique selling points like strong, rich taste and aroma reinforce their

image of quality.

Lipton has used multiple marketing strategies in order to build these unique associations. The most

prominent one includes the use of an integrated marketing communication. The tea brand has been

using the marketing communication channels effectively to build its Brand Equity.

Advertising and Promotions:

Lipton’s recent TVC campaigns have dramatically portrayed user and usage imagery, brand

personality, emotions and other brand intangibles. The campaign called “Be awake to quality

connections” or ‘Jaagien un kay liye jo waqai ahem hain’ shows a father daughter relationship to

appeal to the audience’s emotional side. The portrayed father-daughter relationship pointed

towards how in today’s day and age, the key relationships are being compromised due to an influx

of technology and work. Lipton entered the stage by providing a solution to the problem using a

cup of tea. It was made evident through a sip of the warm Lipton tea which reminded him of his

fatherly duties and hence compelled him to hug his daughter. It beautifully gave a message about

realizing the importance of maintaining strong connections with the family which is in line with

Lipton’s underlying brand image.

Along with that, the functional attributes of their product such as strong color and taste are aptly

highlighted. This TVC was praised throughout the country because everyone could relate to the
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scenario. In this way Lipton used transformational and motivational creative strategy to portray its

brand image while appealing to consumers’ emotions.

Online Marketing Communications:

With regards to online branding tools, Lipton’s primary focus has been on social media. This focus

was intensified during the Covid19 pandemic when they successfully established a prominent

presence on the Web. To market their green tea blends, they started consumer promotional

campaign of ‘to stay in stay fit’ which had exponential reach. They had fitness trainers give tips

and customized lessons on social medial channels when people were stuck at home. This campaign

complemented and reinforced their brand image of health synonymous with their green tea

product. It helped promote innovation for the brand while staying relevant to the market

conditions.

Lipton has also been involved in event marketing by partnering with PSL and cricketers such as

Ramiz Raja. This was done to identify themselves with a new segment of sports lovers and

facilitated in creating brand recall.

Through all the communication channels Lipton’s strategy remained the same. It consisted of two

things: higher product benefits and a need to give back to the community. This in turn helped

create strong brand associations.

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Brand Elements

Elements of a brand such as the brand name, logo and the color schemes complement the creation

of brand equity. Therefore, Lipton’s key brand elements have stayed consistent since the brand’s

conception and have facilitated in creating equity.

Since its early years, Lipton has been creating its logos in one and the same color palette — yellow

and red, a representation of warmth, love, and joy, a combination, evoking smile and a sense of

stability. The simple elegance of the Lipton logo made its badge iconic and instantly recognizable.

Lipton’s brand image is synonymous with its iconic Yellow Label product. Color Scheme of

Yellow Label is such that it includes the sunshine element i.e. the bright yellow. Even their

packaging and TVCs are in line with that image. Through this association Lipton invokes the

yellow color in the memory structure of customers’ mind when they recall the brand.

Brand Positioning

It is important to understand Lipton’s current position in the market to better assess its overall

health. In order to be successful, Lipton needs to create a distinct and valued place in the market.

This section will analyze Lipton’s positioning strategies keeping in view brand’s points of parity

and points of differences with respect to its key competitors.

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Lipton’s Competitors

The following table summarizes the key competitors of Lipton

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Points of Parity vs Points of Differences

Points of Parity

For the entire tea industry in Pakistan, there are a few attributes essential for the success of a brand.

The first is having strong and flavorsome black tea patti. Since the general public consumes tea as

a pick-me-up, it is essential that tastes match those of the average consumer, and a cup of tea makes

you feel rejuvenated. Moreover, tea must be packaged in different sizes such as tea bags, 450

grams, and 1 kg packs.

Secondly, with the rise in health consciousness, brands have expanded their product offerings to

green tea as well. Green teas are enhanced by flavours such as lemon, mint, and even fruity flavors.

They are usually in tea bag form.

Points of Differences

As compared to the product offerings of rivals, Lipton has an added range of ice teas, which have

not been emulated by local brands.

With regards to their marketing campaigns, aside from the commonly aired ads, Lipton performs

localized on-ground activities like sampling in areas such as KPK to be relatable and ensure brand

recall.

It is important to note that the differences created need to be desirable, deliverable and significantly

different. For this reason, it is desirable for Lipton to target different customer segments so that

the market could be divided on geographical grounds. With such a segmentation, it will be easier

for Lipton to deliver its products by choosing a variety of distribution channels. Finally, while
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Lipton’s product (chai patti) itself may be similar to other competitors’, the unique image Lipton

presents to each of its segments takes into account consumer perceptions about the role chai plays

in their lives which in turn makes it sufficiently different from other brands.

Lipton’s Brand Mantra

Lipton does not have an official brand mantra that can be quoted but “brighter days, quality

connections and wellbeing” can serve as a suitable brand mantra.

Current situation and the way forward

Lipton has constantly been innovating with its marketing activities in order to stay relevant to the

changing market conditions. In context of the COVID-19 pandemic, they came up with hashtags

such as #StayConnected, #YouMeTeaNow, and #StayHome. Their most recent interaction was to

get people to tag their ‘chai buddies’ to get customized images. (Exhibit 3.2)

Lipton has also rebranded its Mega Daane Label into just Danedar and have been advertising it to

receive feedback on how strong the tea is. (Exhibit 3.3)

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Appendix

Exhibit 1

Exhibit 2
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Exhibit 3.1

Exhibit 3.2
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Exhibit 3.3

Exhibit 4 (Interview of Mr. Shehryar Muzammil)

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SWOT Analysis (Exhibit 5)

Exhibit 6
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Interview Transcript

Following is the summarized transcript of the interview taken from Mr. Shehryar Muzammil,

currently working in Unilever as a senior brand manager.

Question: What is Lipton’s target Market?

Decision maker of tea buyers i-e female buyers ranging from 18-35 years of age

Question: Can you explain the attributes that the recent TVC campaign used?

Functional attributes of the product i-e waking up, quality and color of the product and emotional

angle from getting people to understand value of quality connections.

Question: What are the key Brand Elements in focus

Color Scheme of Yellow Label including the sunshine element i-e very bright, so the memory

structure is yellow in customer’s mind when he recalls. There is a lot of history of brand with

“sunshine” as in hope, optimism and positivity and that is found in all communications. Ads have

always been well lit and bright and never dark. The exact color of the cup in packaging also denotes

strength and quality of the brand.

Question: What are the key Strategies taken up to raise brand awareness?

TV penetration in Pakistan is above 90% way above the social media platforms. Lipton usually

focuses on TV medium.

Sampling is another part of campaigns where consumption of Lipton is low.

Question: Customer’s Perception

Best cup of tea and we want them to think Lipton is doing something of the value for the society.

We want to awaken the value of connections and make consumers realize that Lipton is creating a

difference.

Question: Is your target market only focused towards upper middle class?
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Its relevant to all the classes so we don’t exclude any classes. In the TVC paternal element can be

felt all the people.

Question: What are your thoughts about Pricing of your product?

Product quality is better than all the competitors, so consumers are willing to pay the premium

Question: Unique Value proposition

Best product quality with best grains available in the market.

Question: Who are your competitors?

We analyze the competition regionally instead of focusing on the national competition. Our

advertising and on ground activities are also tailored according to the regions

Question: Do you focus on a specific segment in your Social Media Campaigns?

Execution of posts is targeted towards a specific segment who we want to send the message to and

resonate with that message.

Question: How influential is your brand name?

Amalgamation of all the memory structures consumer has around it. Perception of quality and

emotion. The image made by customers is everything which we must develop.

Question: What has Lipton done recently during pandemic?

Execution of the campaigns was focused more towards staying home and staying relevant during

the lockdown. We had a lot of ration drives and we were giving back to the society.

Question: How do you assess Lipton’s current standing?

We want to keep increasing the quality and taste. In promotional material we want to stay with the

current message and play around with it because there is a lot we can do around the same message.

Globally Lipton is talking about quality connections as an anecdote to loneliness.

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Bibliography

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marketing-essay.php

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highlight-of-this-new-year

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10. http://vitalgroup.biz

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