Wednesday, December 8, 2010

Week 10 EOC: What channels are you going to do to get your product noticed?


 “The company’s channel objectives are also influenced by the nature of the company, its products, its marketing intermediaries, its competitors, and the environment. For example, the company’s size and financial situation determine which marketing functions it can handle itself and which it must give to intermediaries. Companies selling perishable products may require more direct marketing to avoid delays and too much handling.” (Marketing : an introduction / Gary Armstrong, Philip Kotler. — 10th ed., printed page 322.) Being a small local Brewery the cost of distribution and marketing is a big deal, while it takes money to make money it is still important to maintain the bottom line. As a local brewery we plan on using our own people and trucks to deliver our products to the local retainers we serve. This serves two purposes for us as a company we can deliver our products at comparative prices rather than pay for that service, the second reason is that we can use our truck for free advertisements as we deliver our products. We will also be utilizing the internet thru internet ads to bring people to our website where they can learn how and where they can purchase our product, one of those ways is right from the website and have it delivered right to their front door. This service is of course for local costumers only, but serves for another advertising opportunity for us as a company. “Multichannel distribution systems offer many advantages to companies facing large and complex markets. With each new channel, the company expands its sales and market coverage and gains opportunities to tailor its products and services to the specific needs of diverse customer segments.” (Marketing : an introduction / Gary Armstrong, Philip Kotler. — 10th ed., printed page 320.)

Week 10 BOC: 1960 Volkswagen Lemon Ad

The 1960 Volkswagen Beetle ad that changed everything, you might be wondering what I’m talking about well let me explain. Volkswagen created an ad showing a 1960 VW beetle titling the ad or car rather as a lemon. This sounds like a dumb way to advertise, but to Volkswagen they saw the opportunity to use a negative word to capture people’s attention and cause them to stop and look at the magazine ad. When you stop to look at the ad and then start to read you find that Volkswagen explains to the reader how they inspect every car and what detail they put into producing a top quality product. I think that it was a brilliant way to advertise and see how it can be an effective why bring people in and interest them in their product.
"VW's approach is an education for anyone who makes or approves advertising. What's remarkable is that messaging created in 1963 has the power to convince you you're in the right dealership today. Can you imagine the work you're approving now supporting your brand in 2055? Just think of amortizing the cost of an ad over all those years." ("Pure Gold for Marketers" http://www.adweek.com/aw/content_display/community/columns/other-columns/e3ib1f5c256ca1b29dde7444e7d8ef8bdd2)

Wednesday, December 1, 2010

Implementation Evaluation Control

“Through implementation, the company turns the plans into actions. Control consists of measuring and evaluating the results of marketing activities and taking corrective action where needed.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 280.) The implementation of any plan is where the rubber meets the road. This is where we at Natures Blend Brewing Company put all or our research and strategy into play in the real world. If we have developed a proper business and marketing plan we should start to see our company grow as costumers learn about and try our new brews. “Organizing the sales force around customers can help a company to build closer relationships with important customers.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 418.) We at Natures Blend believe that all of our customers are important and strive to build those relationships through our service, quality, and value for those customers. “For effective implementation and control, the marketing plan should define how progress toward objectives will be measured. Managers typically use budgets, schedules, and performance standards for monitoring and evaluating results.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page MP2.) This statement is true for us here at Natures Blend Brewing Company we believe in being the best in service and experience and the only way for us to keep up with this standard is by consistently evaluating and monitoring our processes both internally and externally. By doing this we can achieve our goal, which is not to be the very best but to be the brew that people drink when gathered around with friends and family. We are a family based business that believes that thru the bringing the family back together and creating moments and memories we can be the makers of our own legend, as well as the legends of those who drink our brews. So come join us and start creating your own legend today.

Marketing Mix - Price

“What principle should guide decisions about what price to charge relative to those of competitors? The answer is simple in concept but often difficult in practice: No matter what price you charge—high, low, or in between—be certain to give customers superior value for that price.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 280.) At Natures Blend Brewing Company we are a service provider we don’t just sell a beer or lager, we sale an experience like no other. We off the chance to be a legend, a legend of your own making and the experience of bringing the family back together one backyard BBQ at a time. We offer our products in a four, eight and twelve pack, the four pack for our signature brew the “Autumn Harvester” is priced at $6.99 for a four pack, $9.99 for a eight pack and $14.99 for a twelve pack. “Economic factors such as a boom or recession, inflation, and interest rates affect pricing decisions because they affect consumer spending, consumer perceptions of the product’s price and value, and the company’s costs of producing and selling a product.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 284.) Factors like the economy are one of the reasons for us here at Natures Blend to do market surveys and to poll our customers. By listening to our costumers we can gain a competitive edge and find new ways to develop, promote and price our products giving our customers the most value for their experience with our company and its products. We at Natures Blend stand behind our product 100% with satisfaction guaranteed. That is why we stand behind our motto and believe “Legends are not born, Legends are made. Become part of the legend today."

Marketing Mix - Promotion

Promotion of a new product or company can be both an exciting and difficult time. Promotions are meant to do just that promote that brand or product, yet if done in the wrong way can turn away potential customers. “The point is that promotional pricing can be an effective means of generating sales for some companies in certain circumstances. But it can be damaging for other companies or if taken as a steady diet.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 294.) At Natures Blend Brewing Company we promote our products online and in the good old fashion way, by word of mouth. We also offer promotional items to go along with the sale of our products. Some of these products include things like mugs, t-shirts, key chains with bottle cap removers, etc. “In developing a sales promotion program, a company must first set sales promotion objectives and then select the best tools for accomplishing these objectives.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 432.) Our sales promotion objectives are to introduce our new brand in an every growing market. We at Natures Blend Brewing Company we believe by delivering superior experience and product our customers we promote our product allowing us to focus our marketing materials to the internet and places that people can access information about our company easily. By doing this and offering some simple give away items we believe that we can gain a foothold in the marketplace and expand our market shares in our niche market. “When the economy sours and sales lag, it’s tempting to offer deep promotional discounts to spur consumer spending. In general, however, rather than creating only short-term sales or temporary brand switching, sales promotions should help to reinforce the product’s position and build long-term customer relationships.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 433.) Our goal here at Natures Blend Brewing Company is not just to build long-term relationships, but rather life time relationships.

Marketing Mix - Distribution

“A company’s channel decisions directly affect every other marketing decision. Pricing depends on whether the company works with national discount chains, uses high-quality specialty stores, or sells directly to consumers via the Web.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 312.) As a small brewery we at Natures Blend Brewing Company will be utilizing the web for a majority of our distribution needs. Being a small company our focus is to cut out as much of the middle man as possible to be able to provide the most value for our customers. We are a neighborhood brewery selling most of our products to the local marketplace, yet with the power of the internet we are able to ship our products around the world. “In today’s global marketplace, selling a product is sometimes easier than getting it to customers. Companies must decide on the best way to store, handle, and move their products and services so that they are available to customers in the right assortments, at the right time, and in the right place.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 328.) Like many small breweries our distribution needs are not great, the majority of our distribution needs are to the local or regional marketplace. As our company grows and the need arises for greater distribution needs we will then look into distribution companies to move our products. For now we will employ a few individual that will do our distribution in our local area.

Marketing Mix - Product

“Developing the product concept into a physical product in order to ensure that the product idea can be turned into a workable market offering.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 251.)
So if you haven’t guessed by now my product is an alcoholic beverage made in part with the apples similar to those that Johnny Appleseed planted and became a Legend for. Our signature apple brew here at Natures Blend is a lager style beer, made with many of the traditional Lager ingredients with a twist of our own. We wanted our brews to have a nice blend of traditional taste mixed with apples and spices. We also brew all of our beers in the lager style utilizing the cooler temperatures and longer fermentation period to bring out richer flavors. We use a bottom fermenting yeast as is typical when brewing a lager and we also filter our lagers to make sure we remove any impurities left behind in the aging and fermenting process. Most people may or may not know that water is the largest ingredient in any beer product. So naturally we choose to get our water from a source high in the Rocky Mountains, when the water matters only the best and tastiest will do.
“Companies that market experiences realize that customers are really buying much more than just products and services. They are buying what those offers will do for them.” (Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing, Printed page 210.) Here at Natures Blend we understand that fact and offer our customers not another new beer or lager, but the experience of making their own legends and special experiences with family and friends. Become part of the Legend, try our signature lager the Autumn Harvester with it's rich and bold flavors and nearly 5% alcohol ratio it's perfect for hanging out with the family and friends.
“Legends are not born, Legends are made. Become part of the legend today.” - Nature’s Blend Brewing company