The secondary information retrieved has told me what products are already available and if there are any existing liqueur ice creams (only available in America, it is called Blend’s). There are some luxurious ice creams available in many different flavours, but none with the same amount of alcohol content as this product, this tells me that this product has a good chance of selling as there is no other like it already on the market. The competitors Websites were used to gain information about their products, some research into what products were available was conducted by going into some supermarkets and shops and visually seeing what products were available on their shelves within the freezers. I have included a list of products within my Appendix, (Evidence that I have done this). Trends and growth within the ice cream industry was also researched into.
A list of available liqueurs was obtained so that when I conducted the questionnaires the respondents could be told and shown what liqueurs are available on the market. Information was obtained from the Advertising Association of UK Expenditure and costs to ascertain what these were. Also information from some of the relevant places of the media, that would be used to promote the product.
Reliability of Research
A1a
The primary research that has been conducted is reliable in regards to the reasonable knowledge of liqueurs that the respondents had, only those who drank liqueurs more than once or twice every six months were asked to complete the questionnaires. Although some aspects of the questionnaires may be unreliable as some respondents may make up the answers that they have put.
The questionnaires were reliable in the aspect of demographic segmentation as it was asked only of respondents over the age of eighteen. The main groups that this product would be aimed at are the young professionals and housewives, so the demographic segmentation is not very reliable as most respondents from my questionnaires were aged between 18-30 and some did not fall within these two groups. The reliability of the geo-demographic segmentation is questionable as the questionnaires were only asked of a small number of people within one supermarket in Middlesex. The opinions of these people may differ from the opinions of the population as a whole.
The reliability of the questionnaires that were asked of the manager/proprietors of licensed premises would be more reliable. The information that these respondents have given would tell me whether this product would sell well within their shops, as they know what ice creams and liqueurs are already the best sellers and because their answers are based on actual statistics relating to the sales within their premises. The replies that these respondents gave regarding the best selling liqueurs within their premises would be the equivalent of asking hundreds more people what their favourite liqueur is. Although they are slightly unreliable in the aspect of geo-demographic, as the questionnaires were only asked of a number within a small area of Middlesex.
The information about the Advertising Standards Codes is reliable because the website is an official website (www.asa.co.uk) that is publishing the Codes and Practices adhered to by advertising Agencies nationwide. The information obtained about the advertising rates that were relevant to the aspects of promotion to be used would be very reliable, as these rates are what are being charged for advertisements. The laws that have to be adhered to when selling this product were also researched; these were obtained from a government website. (www.culture.gov.uk/alcohol). This information is very reliable, as this is a government website about the laws of alcohol and entertainment.
The research into the rival firms that was also retrieved from the Internet would be questionable because the competitors are not obliged to submit any information about their activities or products. Whereas the research that I conducted by going into the supermarkets and shops to see what types of products were for purchase, is reliable as this is what is available and the public are willing to buy. The list of available liqueurs was retrieved from the Internet (This is included within the Appendix). This is reliable as the website I retrieved it from sell these products and have a list of liqueurs that are currently available to purchase.
Validity of the Market Research
A2a
The primary research of the questionnaires asked of the staff and customers of Sainsbury’s is valid as only respondents aged over the age of eighteen with a reasonable knowledge of liqueurs (those who drank liqueurs more than once or twice every six months) were asked to fill in the questionnaires. The questionnaires were carefully devised and thought out to make sure that all the aspects of the strategy were covered. So that all the answers that were received were relevant, the questions needed to ask the preferences of the respondents. To ascertain the best possible areas in which to sell, launch and advertise this product.
The questionnaires that were filled by the managers/proprietors are valid because their answers are based on actual statistics relating to the sales within their premises; this would show actual tastes and preferences of customers within the immediate area. Also their opinions of whether this product would sell. These were valid, as they would know if a luxury ice cream liqueur would appeal to their consumers. Although the opinions of the managers/proprietors are valid, it is constrained in the fact that they are only on what the trends are within their own small area.
The research into the competitor products that entailed going into the shops to see what was available, was valid because it is what I saw with my own eyes as to what was being sold, and the dates on which the information was retrieved from the Websites is shown. Some of the information I retrieved about the established company in America (Blends) was published in the Business Journal on 10th December 2001. Although this information is two years old it is still valid as the company are still in operation, and this report was about the launch of the product.
The list of liqueurs is valid as it was retrieved from a website that is selling these products and is up-to-date; it was last up-dated 1st January 2003. The data that was retrieved about the trends and growth in the ice cream industry is valid, as it is up-to-date; the information was published on 29th May 2003. It was retrieved from a website called www.euromonitor.com.
All of the information has the dates of when I retrieved them on the bottom of the page.
Evidence of Research Information
C2a
The evidence of the research information is all included within the following pages. This includes all the copies of both of the questionnaires that I devised and conducted. Also the secondary information that I retrieved, including a list of liqueurs, the research conducted into the competition within the ice cream industry and the trends and growth within the industry.
External and Internal Influences
E2
The external influences that would affect the viability of the liqueur ice cream would be the marketing model of P.E.S.T.L.
Political influence – There are no political influences affecting the viability of this product (e.g. A ban on alcohol, change of government)
Economic influence – This is how good or bad the economy growth and prosperity within the U.K. are influencing the sale of the liqueur ice cream.
The figures from the government on the state of the economy, interest rates and the unemployment figures were researched and evaluated to see whether it would affect the sales of liqueur ice cream. The facts and figures regarding the state of the economy was to ascertain whether there is a prosperous enough economy to uphold the sales of this product. The interest rates and the unemployment figures were obtained to ascertain whether the public would have the disposable income to be able to purchase this product.
The inflation rate is at an all time low and the economy is predicted to continue to be prosperous well into 2004. The unemployment figures show that these have been steadily falling since August 2003. This shows that there is high employment and the disposable incomes of the public are high and all the figures show that therefore a luxurious liqueur ice cream should not have any problems selling. Excise duty is another influence. This would affect the price that the product would be sold at. At the moment the duty that is paid per litre of alcoholic spirits is £19.56. Graphs to show these figures are all within C2b.
Social influence – This is the influences of society, changes to the environment and lifestyles. The biggest influence would be the risk of children obtaining this product, to overcome this problem several factors must be put into place, this would include:
A constant stress that this product is only for adults (over eighteen’s)
The advertisements would also need to stress this fact
Vigilance by staff of licensed premises (although not always reliable)
The packaging should be labelled that the product should only be sold to over eighteen’s because of the alcohol content (6%)
Till scanning would be implemented in those premises that have it installed (Till scanning is a reminder to staff to obtain I.D. from the purchaser)
The changes to the environment do not have a direct influence to the marketing of this product. The changes to lifestyles would influence this product only if it was a national drastic change.
Technological influence – The technological influences would be the knowledge of how the process of liqueur ice cream is done, and within the manufacturing and distribution logistical areas. As we are an already fully established manufacturer and distributor the technology required for these methods are already in place and therefore are not a problem.
Legal influence - The laws of the land affect the Marketing Strategy, in this case the licensing laws governing the places that the product can be sold and when. Only licensed premises can sell this product because of the alcohol content, and at only specified times. These times are: Monday – Saturday between the hours of 11am to 11pm
Sunday –12pm-10.30pm
The excise duty that is required by law to be paid on alcohol will influence the price that will be set. Also the Value Added Tax (VAT) is another legal influence that has to be addressed.
The internal influences and some external influences that would affect the viability of liqueur ice cream would be the marketing model of S.W.O.T.
Strengths influence – This is an internal influence; this would be the business strengths. These are:
- Have an already established good reputation
- Good portfolio of established products
- Established efficient manufacturing and distribution premises
- Good relationship with established customers
- Good management and staff
- Resources available for new venture
Weaknesses influence – This is an internal influence; this would be the business weaknesses. These are:
- No experience in alcohol industry
- Deals in limited market
Opportunities influence – This is an external influence; this would be opportunities made outside of the business. These are:
- Totally new product within UK, new market opportunities
- First on the market with this type of product
- Development of further varieties
Threats influence – This is an external influence; this would be any threats made to the business. These are:
- The competition from rival ice cream companies within the United Kingdom
- Recession leading to poor demand in the economy
- Competition from foreign companies (Blends)
Evidence of Research Information
C2b
The Evidence of the research done on the internal and external influences is included in the next few pages. This includes the research conducted into the economy, inflation rates, interest rates, unemployment figures, Excise duty, and legal constraints.
Validity of research into external and internal influences
A2b
The secondary research information regarding the state of the economy and employment figures was retrieved of the Internet from the government’s Website; this would be to ascertain its reliability and ensures it is up to date as the date of issue written on them. (The evidence of these documents can be found within C2b)
To ensure the figures for the state of the economy, and unemployment figures are valid as they were retrieved directly from the government’s own website, the dates of this information is recent and up-to-date. The information was all received and compiled for the website between the 6th and 15th of October 2003.
The figures that were retrieved about the interest rates were obtained from The Bank of England Website, these figures are valid, as it is the Bank of England that sets the rates and they are up-to-date. The last entry being October 2003.
The research that was retrieved about the laws governing the times and places that alcoholic substances can be sold was obtained from a government website. This information is valid as these laws have been implemented since 1964 and have been recently reviewed (Licensing Act 2003). The information that was retrieved about the excise and duty is reliable as it came from The HM Customs and Excise website.
The Marketing Mix
E3
The marketing mix (4p’s) that would be used to launch and run the project has been dictated by the results of the questionnaires and would entail the following;
All outlets to be informed of product launch by Easter, Aim to have product recognition one month after launch, and 500,000 products to be sold nation-wide within six months of launch date.
The Launch date should be set for the end of May, to coincide with the start of good weather (hopefully the British summer will oblige). Distribution of the product should be completed to all outlets by the launch date.
Product
The product that should be made and launched is the Bailey flavoured liqueur ice cream, (if a second flavour were to be launched at the same time or in the future then the Tia Maria flavour should be done). The branding that the product would have is the company brand name, as it is already an established and trusted name. The packaging and labelling should have the feel of luxury and also have a warning that only over eighteen’s may purchase the product.
Price
The price to be charged for the lolly that would be cost effective and reasonable would be £1.99. As the product closest to this product that is already in the market, is the magnum (by walls), and is priced at between £1.10-£1.40, this price should be satisfactory.
The price that should be charged for the pack of four individual portions should be £3.99. The products that are closest to this that are already established and popular products are Vienetta and Carte D’ or.
Place
The main places that should stock this product (both the lolly and the pack of portions) should be all the supermarkets. The local licensed shops should also be considered, as this was a popular place of purchase for the lolly. According to the results of the questionnaires there would also be a market for this product within restaurants. Also within this ‘P’, is the factor of the distribution and direct marketing. The distribution is the way in which the product will reach the market; in this case it will be through the use of our own fully refrigerated lorries.
With the Direct marketing the best methods of communication would be with
Direct mail-This would be used to alert established customers of the new product arriving on the market. (Promotional Literature)
Exhibitions-The best exhibitions that should be used are Trade shows, Ice cream conventions and The BBC Good Food Show and The Ideal Home Exhibition. Through all of these a stand should be set up and display all of the products available. I have allocated £175,000 to enable this to be carried out.
Promotion
The promotion and advertising should be conducted at the same time as the launch of the product. This should include advertising on television and radio, within magazines and newspapers. As an established company, it is to be the potential customers that should be targeted, rather than the retailers.
The budget for the rest of the advertising is £4.3 million. The advertising rates that I have followed were obtained from the website-www.adassoc.org.uk/inform/in6.html. These rates are typical of 2001. Also rates were researched and obtained from the appropriate company’s website and all of the documents can be found within C2c. This is to be distributed within the following areas;
Television advertising-The most popular times to advertise would be within Friends and Sex in the City on Channel Four, and within the programmes of Coronation Street, Inspector Frost and between the times of Eight-nine p.m. on ITV.
Newspaper advertising- The Mirror was the most popular newspaper according to the results of the questionnaires. The Guardian was also selected as it is mainly bought by the same sort of substantial segmentation that our product is aimed at.
Magazine advertising-Television magazines and women’s magazines have a great deal of potential customers as their readers include the demographic and psycographic groups that this product would appeal to.
Radio advertising-Cheaper than television, but still have a wide variety of potential customers as listeners.
If this were a real situation then I would be able to bargain with the advertising media to obtain a reduced rate for all of the advertising that I would be buying. As this is an assignment I have to rely on some out of date rates and therefore my advertising costs are not entirely accurate because of this. On the next page I have laid out a table illustrating an Eight-week advertising campaign that I would use to promote this product.
As the advertising campaign has cost me £4,499,968 I am left with a remainder of £32.
C2c
Evidence of Research Relating to My Marketing Mix
Within the following pages is the evidence of the research that I have conducted that is relevant to my marketing mix. This was information about what the Advertising Association rules and regulations are, and all of the advertising rates that were used.
Reliability of the Marketing Mix
A1b
The different components of the marketing mix are based on the results of my questionnaires. As only a small number were devised, (30), they are only the preferences of a small number of people within a small geo-demographic area. The reliability of all of my marketing mix is questionable because of this, although some of the following aspects are reliable.
The reliability of the Product is reliable, as the flavour liqueur that I chose was the most popular with both the respondents and managers/proprietors.
The Reliability of the Price that I have chosen is reliable. As the closest lolly product to our product is priced at between £1.10-£1.40, the price that I have chosen of £1.99 had to be cost effective and reasonable to take into account the extra costs that the alcohol content would incur. The ice cream products that are closest to our individual portions product are the Vienetta and Carte D’or. As the price for the Vienetta stands at between £1.50-£2.00, and the price for the various Carte D’or flavours stands at between £1.79-£2.79, the price that I have chosen that is cost effective is £3.99.
The reliability of the Places that the product would be sold in is reliable but restricted because these premises must be licensed and laws need to be adhered to.
The reliability of the Promotion that has been used is questionable because this was decided upon after evaluating the answers obtained from the questionnaires that were devised. Although some of the promotion that I have used was decided upon because of the social class that the material was aimed at.
The information that I obtained regarding the UK Advertising Expenditure and costs is valid and reliable as it was taken from the Advertising Association website (. This information was last updated in August 2003. Although some of the figures that I have used as a basis for the costs that would be incurred when advertising, are based on the 2001 rates. This makes these figures a little bit out of date and unreliable. If this were a real situation these figures would be made available to me when I had decided what level of advertising I wanted. The figures that I retrieved from the actual Websites of the different aspects of the media that I decided to use are very reliable, As these figures would be the ones available to potential customers of these companies the figures must be kept up-to-date. Although if this were a real situation then bargaining would be used to obtain a better deal because of the amount of advertising that would be bought.
The Links between Internal and External Influences and The Marketing Mix
C3
The links between the internal and external influences that I have discovered and my marketing mix are the marketing model of P.E.S.T.L. The first link is the Political influence and whether this affects any aspect of launching and selling the liqueur ice cream. There are no political influences with this product.
The link between the marketing mix and the Economic influence is whether the economy would be able to sustain and be strong enough for this product to be viable. This would also be an influence on the price that would be charged; if the economy is in a recession or slumps then this type of product would not make enough sales for it to be viable.
The Social influence links with the places that the product are to be sold and to ensure that minors would not be able to purchase the product. Also whether the product would be accepted by society through the promotional activities. This is also an influence with the type of promotional advertising that should be conducted, Society has unwritten rules that apply to advertisements. Careful design is needed, if there are a lot of complaints concerning the advertisements then the Advertising Standards Authority will withdraw the Advertisements.
The technological influence link with the product itself and whether the technology is in place to sustain the product through the manufacturing and storage of the product.
The legal influence also links with the constraints on the places and times that the product can be sold. Only licensed premises can sell this product and within certain times, the laws about this are very tight and there are penalties for proprietors if they are discovered to be flaunting them. There is also a link with the Price, as the legal laws of paying VAT on alcohol must be adhered to.
The internal influences that would be considered with the marketing mix are how the company will cope with the launch of this new product. These would include:
Production- This is whether the company has the machinery and knowledge already in place for the production of this product
Promotion- This is whether the company have the funds in reserve to be able to sustain a full and detailed promotional package.
Distribution- This is whether the company has the logistical knowledge and effective resources available.
Packaging- This combined with the branding will differentiate the product. The packaging will need to be designed and made. Therefore the resources need to be available to be able to do this.
Finance- The finance is probably the most important aspect of the internal influences; this must be available before any other aspects of the marketing have been conducted. The company needs to be financially secure to launch a new product, as it is very expensive to do so. Long financial planning is crucial to be able to sustain the costs that are incurred during the marketing.
Explanation of how the 4p’s are linked to the information I have discovered
C4
The information discovered within my marketing research has linked to the decisions decided upon within the 4p’s. These are addressed in the following:
Product- The research showed that the most popular flavour liqueur preferred by the respondents was Baileys, the most popular selling liqueur that the managers/proprietors reported was also Baileys. The second popular liqueur according to both respondents and managers/proprietors was Tia Maria.
Therefore the link is that these results have influenced the decision of which flavour liqueur ice cream should be produced and marketed. Baileys should be the first and when a second flavour would be considered to market Tia Maria would be the best one.
Price- This is linked to the price decided upon to sell the products. The price most favoured within the marketing research for the lolly was £1.30, as the price charged for our closest competitor is between £1.10-£1.50, our most popular price was ignored because it was not cost effective.
The price that the research showed was the most popular for the individual portions was between £2.50-£3.00. This price was also not cost effective. The price that is charged for our closest competitor to this product is between £1.50-£2.79. Other reasons that influenced the decisions to ignore the most popular prices were that in order to be viable all round, the price must be higher, this would be to take into account the higher costs that would be incurred because of the alcohol content. Also as this product is to be marketed as a luxurious product then it would need to have a price to reflect this. (If a product has a high price then it is seen to be high quality).
Place- The research showed that the most popular place the respondents would purchase both products was within the supermarkets. As these places are already license holders and we have to comply with the licensing laws with this product, this is not a problem. Therefore the link of the information discovered through the market research to the p of the place in which to sell this product, is the decision to place these products within the supermarkets.
Promotion- The research showed that the most popular places in which to promote this product were within the television programmes of Friends, Coronation Street, Sex in the City, Inspector Frost and between the hours of eight and nine at night. The newspapers of The Daily Mirror and The Guardian. The magazines of Elle, Take A Break, Woman’s Own and Glamour. These results are linked to the decision of what forms of promotion that I decided to undertake. Although because there were so few questionnaires asked of respondents these most popular aspects may not be valid.
PRINCIPLES OF MARKETING
Understanding Customer Needs
E4
The principles of marketing have been used within my strategy by understanding the customer needs through the primary research that has been conducted. This has been through the questionnaires that I have devised and filled. The questionnaires have been aimed at the general public and the managers/proprietors of licensed premises. The questionnaires that I have devised include questions to ascertain the age structure of the population (although because this product contains alcohol, it is only applicable to over 18’s). Their tastes and preferences of liqueurs, what types of media they watch, advertising they see, their yearly income, where they are likely to purchase the product and the price they would be prepared to pay.
All of which are included within the Appendix. Customer behaviour is also included within the secondary research conducted into the trends within the ice cream industry.
If more time and manpower were available then the research that I would like to do would involve setting up some focus groups and panels to get their opinions of this new product. I would also like to obtain some samples and conduct some field trials and pilots.
Keeping Ahead of The Competition
The research that I have done to understand and keep ahead of the competition is to look at the other luxurious ice creams that are on the market, and the price at which they are sold. This `is the secondary research that has been conducted into the competitor activities and products, sales trends for existing products and product substitution. As there is a product of this type available in the United States of America I have looked into their website to ascertain what this product entails (evidence of which is included within the Appendix).
Market research companies should also be explored, this would be to get information that has already been conducted about the different types of ice cream that consumers buy and rival companies manufacture and sell. This is expensive and in a real situation this type of research is very useful, but because of this being an assignment the funds required for the information are not available to me.
As there are no luxurious liqueur ice creams available within the UK, this would give an advantage over rival ice cream companies. Another contribution to long-term success of this product would be the quality; this would give the product an overall edge.
The on going activities that would need to be conducted were this product marketed would be to continuously advertise and promote the product, conduct surveys (maybe included within the packaging of the product), to continuously research rival companies and their products The marketing orientation should be based on customer needs and quality of the product.
Effective Communication With Customers
The communication is all the different types of advertising and promotion that will be conducted.
The Marketing Research that I have done so that I can effectively communicate with the customers was included within the questionnaires that were compiled. This was in the form of questions on the different types of media and advertising within the media that were the most watched, listened to, and read. Also secondary research into the most listened to radio station.
All of the advertising and promotion I have chosen to use are as a result of the questionnaires conducted. So I am using the media and programmes that are most often seen read, and heard by our customers/respondents.
Co-ordinating Marketing Functions to Achieve Aims
We have planned to efficiently co-ordinate the marketing functions to achieve our marketing aims to fill the gap in the market with liqueur ice creams. The primary aim being to ensure those potential customers will buy the product.
We will ensure that at the time of the launch of this product, manufacturing will have produced enough of this product to maintain supplies to meet demand. Distribution will get the product to all our designated retailers. Advertising will have their campaign ready for the launch date. Finance will be up and running with the costs that have been accrued before product launch and to back any unforeseen costs that may occur. On going research will coincide with the launch date and be constantly analysed. Further products, if they are to be considered, should be starting the process of production by launch date.
Constraints on Marketing Activities
The constraints that the marketing will come up against are internal and external. The internal constraints are strengths and weaknesses within the company; the strengths that are already in place are a major fact on whether the company can sustain the financial and labour costs that the launch of a new product will entail. As we are an established company we do have the resources available to do just this. The weaknesses within the company that I have come up against are the limited knowledge of alcoholic products, but because of this product being a completely new product being introduced into this country, then this can be overcome. Other internal constraints include the limitations within the market in which this product would be sold (The limits within the ice cream market).
The external constraints that the product would come up against would include the marketing model of P.E.S.T.L. This external information that I have retrieved has influenced my decisions on where the product can be launched, how and if it would be a good saleable product. These would include the constraints that are placed upon the places of retail, the technology needed, the economic and monetary situation of the country and within the advertising campaign, with compliance to the advertising codes. All of these aspects must comply with the laws and codes that are in place.
An Evaluation of The Likely Success of My Plan
A3
The likely success of my marketing plan working would be dependent on the facts that were ascertained within the initial market research. As I have ensured that my initial primary and secondary market research were conducted properly and fully, this has given me a good sound basis on which to continue. The questionnaires within my primary research, asked questions that detailed all that was needed to know about the customer’s tastes and preferences. This gave me a good knowledge of what the 4p’s should be. The best liqueur flavour ice cream to market. Also the best places in which to sell this product and the best promotions and advertising in which to do, and also what the best cost effective price to sell this product at.
The secondary research gave me a substantial knowledge of what competitor products were good sellers, and whether there are any existing products like this on the market. As there are none like this product, the likelihood of this product being a success within the luxury ice cream market are fairly good.
The secondary research of the marketing models also told me about the state of the economy, interest rates, the trends of the ice cream industry and the unemployment figures, as these are favourable and the disposable incomes of the population are high, a luxurious product would sell well. The laws that surround the retail of alcoholic products, the advertising rates that are from the sources of promotion that are to be used, available liqueur flavours, the advertising codes that need to be adhered to, any internal constraints that would conflict with the marketing of this product. These were also researched and evaluated so that we could ensure that as many avenues as possible were covered and no mishaps would arise with the marketing of this product.
To be able to sustain this product once on the market we would need to look at the Boston and Ansoff Matrix. These examine the life cycles that a product goes through, the market developments and opportunities. As the markets and their structures are changing all the time, the different phases help us to identify any changes that may be needed to the marketing mix.
The Boston Matrix developed by The Boston Group identifies four types of products in an organisation portfolio. These are:
Problem Children- These are related to products that have just been launched. Such products are often referred to as Question Marks, as many fail to move beyond this first phase.
Stars- These are products that have successfully reached the growth stage. These products require large financial support, but will also provide high cash returns.
Cash Cows- These are products that have reached the maturity stage and are known as ‘yielders’. They have a high market share in stable markets. They provide a positive cash flow but only require few fresh injections of capital.
Dogs- These are products in decline. They have a low market share within a declining market
The Boston Matrix
Market Share
HIGH LOW
As we are launching a new product, we have a problem child, we want the product to turn into a star and then a cash cow, and stay level at this point.
The Ansoff Matrix developed by Igor Ansoff suggests five alternative marketing strategies that hinge on whether the product is new or existing and whether the market is new or existing. These strategies are;
Consolidation- This implies a positive and active defence of existing products in existing markets.
Market Penetration- This is a further penetration of existing markets with existing products. This involves a strategy of increasing market share within existing segments and markets.
Product Development- This is the development of new products for existing markets.
Market Development- This is using existing products and discovering new markets for them. Better targeting, market research and further segmentation will identify these markets.
Diversification- This will lead to a move away from core activities. A totally different venture to what the company normally does.
The Ansoff Matrix
Our product will use the Product Development aspect of the Ansoff Matrix, as it is a new product being introduced into an existing market.
Summary of Marketing Strategy
A4
To summarise my whole marketing Strategy, research was carried out and the results were analysed so that I could then ascertain what the best way would be in which to apply these results to successfully launch and promote this product.
Firstly the primary research was conducted. This was the division of questions relevant to the product that we are marketing. Within the questionnaires were questions to ascertain the Customer Requirements, the questions asked whether there actually would be a market for the product that we are proposing to launch.
Questions were also needed to find out what The Right Product to Develop to Meet Customer Needs would be. These questions were about the tastes and preferences of consumers with what liqueur flavours, and the different aspects of the media (television, radio, magazines and newspapers) that were preferred.
The Right Marketing Mix was ascertained from finding out the preference of places of purchase, price and the product itself that appealed to the respondents. Also the best areas in which to promote this product, which were discovered from the questionnaires. The answers from all of the questionnaires were noted and I related them to the 4p’s that I used.
The secondary research that I conducted was to find out about How to Position the Product in Relation to Other Products, this included looking at what the other products were that are already established on the market, and the trends within the ice cream industry.
The advertising rates, The advertising Codes that need to be observed and The available liqueur flavours all needed to be investigated and analysed. The marketing model of P.E.S.T.L., (Any political aspects that would apply to this product, the state of the economy, interest rates, unemployment figures, Any rules of society written or unwritten, that need to be observed, Technological constraints and The laws that have to be adhered to when retailing alcoholic products) was researched into to ascertain any aspects that would deter this product from being sold or promoted. The marketing model of S.W.O.T. was also researched to see if there were any other constraints and strengths to do with this product.
After the results of my questionnaires were analysed, and I had decided on my strategy I came to the conclusion that this product, if launched and promoted would become a favourable product. It is a new idea to this country and with the alcohol content would appeal to a varied amount of consumers. The only down side to this product is the laws that must be adhered to when this product is to be sold.
APPENDIX