MKX5955: Marketing and International Consumer
[键键键键]MKX 5955 Marketing Assignment [键键键键]
Executive Summary
This paper mainly focus on the marketing planning for introducing Cobram Estate into
Chinese market. Firstly, the olive oil industry and the Cobram Estate company
background will be described. And then, SWOT analysis and Porter’s five forces analysis
will be used to evaluate the key issues of Cobram Estate entering into new market and the
potential industrial competition in the market. Secondly, we focus on segmenting the
consumer market in four major segmentation variables — geographic, demographic,
psychographic and behavioural. Furthermore, the target market, positioning and
marketing objectives will be determined. Thirdly, the marketing mix strategies will be
provided which include brand strategy, product strategy, pricing, distribution, service and
promotion strategy. Finally, the annual schedule and measurement will be implemented to
evaluate the performance of the marketing planning in the new market.
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[键键键键]MKX 5955 Marketing Assignment [键键键键]
Content
Executive Summary………………………………………………………1
1. Introduction
1.1. Industry background…………………………………………..4
1.2. Company background…………………………………………5
1.3. SWOT Analysis……………………………………………….5
1.4. Porter’s five forces…………………………………………….7
2. Marketing Segmentation, Targeting and Positioning
2.1. Marketing Segmentation………………………………………9
2.2. Target Market…………………………………………………10
2.3. Positioning…………………………………………………….11
3. Marketing Objectives………………………………………………..12
4. Marketing Mix Strategies
4.1. Brand Strategy…………………………………………………13
4.1.1. Brand Element…………………………………………..13
4.1.2. Holistic Marketing Activities……………………………14
4.1.3. Internal Branding……………………………………….14
4.2. Product Strategy and Pricing Strategy………………………..14
4.2.1. Product Introduction………………………………..14
4.2.2. Product Level………………………………………..15
4.2.3. Pricing Strategy………………………………………16
4.2.4. Product and price…………………………………….17
4.3. Distribution Strategy ………………………………………….19
4.3.1. Push Strategy……………………………………………19
4.3.2. Pull Strategy…………………………………………….19
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[键键键键]MKX 5955 Marketing Assignment [键键键键]
4.4. Service Strategy……………………………………………….20
4.4.1. Ordering Ease………………………………………..20
4.4.2. Delivery……………………………………………..20
4.4.3. Returns………………………………………………21
4.4.4. Other Service…………………………………………21
4.5. Promotional Mix Strategy
4.5.1. Advertisement……………………………………………21
4.5.2. Direct Marketing…………………………………………22
4.5.3. Interactive Marketing…………………………………….22
5. Implementation, Control and Measurement
5.1. Annual Schedule……………………………………………….23
5.2. Control and Measurement Tools……………………………….24
6. Conclusion…………………………………………………………….25
References……………………………………………………………..26
Appendix 1: Perceptual Map…………………………………………..28
Appendix 2: Product Levels……………………………………………28
Appendix 3: Budget Plan……………………………………………….29
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[键键键键]MKX 5955 Marketing Assignment [键键键键]
1. Introduction
1.1. Industry Background
Olive oil is one of the most important components in cooking for western countries
especially for the EU, America and the Mediterranean countries. The reason why olive oil
is popular in these countries is not only because of the climatic conditions, but also its
edible value. The edible value of olive oil is that it is an unsaturated fat which has been
promoted to be healthier than other edible oil and lower the rate of heart disease. Based
on this reason, olive oil consumption is increasing in the world, although it is not the
traditional edible oil in many countries. On the other hand, the needs for healthier life are
growing in the world, and this situation in the developing countries is more obvious such
as our target market China. The rapid economic development and increasing demand of
high quality life are also the factors for the growing consumption of olive oil. This
indicates a huge potential market for olive oil producers.
In Australia, olive oil industry started from early 1970s, and the demand of cooking needs
shifted from butter to this unsaturated oil (Blery, E., & Kapsopoulou, K., 2007). The
quality and quantity produced by Australian brands are accepted around the world.
However, the EU still has the largest consumption and production of olive oil in the
world up to 2013, and Spain, Italy and Greek are the most famous olive oil producers.
They are the main competitors in the target market (China), and others are the traditional
edible oil producers.
1.2. Company Background
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[键键键键]MKX 5955 Marketing Assignment [键键键键]
Cobram Estate is the major brand of extra virgin olive oil established by Boundary Bend
limited in 1998. They insist the products aim to be good food, good health and better life.
Since the brand entered the domestic market in 2001, Cobram Estate has become the lead
brand of olive oil production in Australia. The market share of the company reached 57%
of the total olive production in 2012, and Cobram Estate was also the No.1 retail market
share for extra virgin olive oil (Boundary Bend, 2012). With the success of domestic
market, Cobram Estate entered the international market in 2003 including Canada, the US
and Hong Kong.
1.3. SWOT Analysis
SWOT analysis is a measure to evaluate the key issues of a company or a brand when it
is introduced into a new market. It focuses on the strengths, weaknesses, opportunities
and threats of the company in the new market. Table 1 shows the SWOT analysis about
introducing Cobram Estate olive oil products into Chinese market.
Table 1: Cobram Estate SWOT analysis
Strengths Weaknesses
1. Compared with traditional edible oil,
Cobram Estate olive oil is the
unsaturated fat which is indicated to
be healthier and more nutritious.
2. Compared with other foreign famous
olive oil brand, our price is slightly
lower than our main competitor (EU
olive oil brands), but our product
1. Lack of consumer loyalty in the new
market.
2. Low brand awareness in China
3. It will take times to understand the
need of consumers in the new market
and change their dietary habit.
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[键键键键]MKX 5955 Marketing Assignment [键键键键]
quality is also at the top of the world.
3. Increasing recognition of Australian
healthy and pure products in China
4. Successful marketing experience of
olive oil in Australia
Opportunities Threats
1. Increasing standard of living and
needs of high quality products in
China is expanding the local
market for foreign brand.
2. The large population in China
indicates a huge potential
1. Compared with traditional edible oil,
olive oil is much expensive than
traditional edible oil. Otherwise, it is
hard for our brand to increase market
share and build brand awareness
because of different dietary habit.