Running Head: MARKETING
Assignment 3: Part C: Your Marketing Plan
May 28, 2018
A branding strategy is an approach that includes a name or design that a business uses to distinguish its products from those of its competitors so that customers can easily recognize them (Brassington & Pettit, 2008). It is essential to use an effective branding strategy so that products can stand out. The branding strategy for Lite Vine focuses on the uniquely shaped bottles for the non-alcoholic beverage. This makes it easily identified among other brands. In simple terms, it is important for business organizations to utilize branding to differentiate the products from the rest of the market. This gives them an advantage since their products can be easily pointed out.
The pricing strategy is simply a method that a business organization uses to set prices for its products and services. Depending on the nature of the business as well as its position in the market, different pricing strategies can be used. Whichever the strategy a business decides to utilize, should be capable of enabling it to make sustainable profits. For the interest of gaining a share of the market, Lite Vine will utilize pricing for market penetration. This is a business strategy whereby prices are set low to attract customers.
A distribution strategy is a means that a business uses to avail its products and services to its customers in different geographical locations. The nature of a distribution strategy determines the ease with which customers can access a company’s products. For the best outcomes, Lite Vine will utilize two distribution strategies: Directly to the consumer and through intermediaries such as wholesalers and retailers.
Classification of major competitors
The company’s major competitors are intra competitors. These are competing for firms that engage in the same business. Lite Vine majorly competes with other firms that operate in the non-alcoholic beverages industry. This is one of the toughest forms of competition as it requires individual business or organization to utilize the most effective strategies to stand out. Companies have to take into consideration the strategies that the competitors are applying as well as their chests and preferences of the customers. Combining this concept enables an organization to come up with an effective competing strategy that puts it ahead of its competitors.
Competitors’ Major Strengths
1. Already established market
One of the major competitors of Lite Vine is Sutter Home. This is a firm that has been in business for quite some time and has managed to establish itself. One of the major strengths of this competitor is an already established market. The company has a consistent market that creates demand for its products and services. This is considered as a strength because businesses depend on the market for them to sell the products. Having a well-established market is an advantage as competitors use this to boost their power and the share of the market.
2. Competitive workforce
Sutter Home also boasts of a competitive workforce that is primarily made by highly experienced employees. Keeping in mind that the ability of a business being successful in the market highly depends on its employees, this is considered as one of the greatest strengths of Sutter Home. The company has an effective recruitment strategy that enables it to hire an employ individuals that possess the relevant skills and techniques that will enable the company to achieve its goals and objectives. This place a significant role in ensuring that the company maintains its competitive advantage thereby outdoing its competitors by a wide range.
As much as Sutter Home enjoys various strengths, there are also weaknesses that work against his efforts to be successful in the market.
1. High-employee turnover
The company has a weakness of employees joining and leaving the company at a high rate. This is considered as a weakness because every other time the company has to hire new employees after losing some of its best talents. This leads to the problem of the inconsistency of the workforce, and it weakens the ability of the employees to work together. With a high rate of turnover, an organization cannot retain its employees for a long time, and this affects its ability to achieve its targets. It is necessary to ensure that employees are retained so that the company can make the best use of them to achieve its results.
2. Lack of employee motivation
When employees are not effectively motivated, they cannot deliver the duties and responsibilities that have been assigned to them (Roger, 2012). The failure to motivate employees has proved to be a weakness at Sutter Home because it has a potential to affect me the performance negatively. It is important to motivate and empower employees so that they can see a reason as to why they should keep working. Businesses need to clearly understand the employees to come up with the best methods that you can use to motivate them.
A differentiation strategy is an approach that a business organization utilizes to come up with unique products that can be distinguished from others in the market (Baker & Hart, 2016). Considering a market where there are many businesses that sell the same products and services, differentiation is the key factor that will determine whether or not the business will be able to attract any demand in the market. Concerning the closest competitor, Lite Vine’s differentiation strategy majorly relies on the packaging of the product. That man alcoholic beverage will come in a variety of containers and cans that are uniquely designed so that they can stand out. Lift is an effective strategy to differentiate products as they can be noticed even if there are among many competitors.
The Company’s Intention
Lite Vine intends to be a leader and not a follower. As much as it is a new entrant into the industry, the company is using effective and study strategies to make sure that it climbs the ladder to the top. The company looks forward to being a leader in various areas such as the quality of its non-alcoholic beverage. It intends to provide the best quality that will be preferred by a majority of the customers in the market. In addition to this, the company is also focusing on attracting and retaining the best employees in the market. This is intended to enable it to offer the best services to its customers. Lastly, Lite Vine also wants to be a leader regarding motivating its employees. For a company to be a leader in the market and industry in general, it has to rely on its employees heavily, and this can only be achieved if they are motivated in the right manner.
Social Media Tools
Social media tools play a significant role in enabling businesses to create different strategies that will enable them to be successful and industrial leaders. Below are some of the tools that Lite Vine will use to develop the strategy.
The first social media tool to be used as a Facebook. This is a social networking site with the largest number of subscribers. This provides a large potential market that Lite Vine can promote its products and services. This is an effective tool as it will enable the company to reach out to the online community especially the youth that is active on Facebook.
Instagram is a tool that will enable the company also to promote its product, especially regarding pictures and videos. This makes it possible to provide detailed information about the various varieties that are available for different customers. It is necessary to utilize different approaches to make sure that a business can achieve its plan.
Integrated Marketing Communications
Integrated marketing communications is a strategy which ensures that all the types of communications that a business makes are closely linked together (Lynn & Close, 2011). In simple terms, it involves integrating promotional tools so that they can function together as one unit. Through the integration of marketing tools, goals will be achieved more effectively. The suggested marketing communications, in this case, is to ensure that all departments related to marketing and communication have a central point whereby they co-ordinate.
Relation of marketing communication to company’s strategy
As aforementioned, the company’s primary strategy is to be an industry leader and not a follower. Integrated marketing communications will play a significant role in ensuring that this goal is achieved. The marketing communication will involve intense promotion of different products and services that the company sells. The communication will also involve the provision of all relevant information so that customers are well informed about what they should buy.
Sustainability of effective marketing plans
The sustainability of effective marketing plans implies that the strategies should be still applicable in the long-term. To make sure that this is achieved, it is important to adjust the integrated marketing communication plans from time to time in response to the dynamics of the business environment. This will make sure that the management team of Lite Vine can come up with effective ways that can be applied at any given point in time. The plan should not only be useful in the short term but the long term as well.
Monitoring effective marketing plans
It is also necessary to monitor marketing communication plans to make sure that they work according to the strategies put in place (Baines & Page, 2013). Through monitoring, the performance of the marketing plan can be taken under control and then assessed to see how well it is responding to its purpose. If there is a need, adjustments are made to ensure that everything runs according to plan.
Baines, P. & Page, K. (2013). Essentials of Marketing. Oxford: Oxford University Press.
Baker, M. & Hart, S. (2016). The Marketing Book. London: Routledge.
Brassington, F., & Pettit, S. (2008). Principles of marketing. Harlow, England: FT/Prentice Hall.
Lynn, R. & Close, G. (2011). Consumer behavior knowledge. New York: Routledge
Roger, A. (2012). Marketing: The core. New York: McGraw-Hill