Devising the Marketing Strategy Flashcards
What are the 5ps?
P roduct
P rice
P eople
P lace
P romotion
Product
What 4 things need to happen in product marketing?
- Communicate charactersitics of product that will appeal
- Present the product in appealing way (e.g. label)
- Describe the experience the product will deliver
- Explain how product is different
Price
What are 3 common pricing strategies?
- Set low price on launch
- Set higher price (consumer enjoy more!)
- Hit particular price points (e.g. 9.99)
People
What are 2 ways that people is interpreted?
- Attitudes and behaviours of target consumers
- Relationship between company, staff, partners, customers (knowledge and consistency)
Place
What are 3 types of choice when it comes to place?
- Choice of retailer
- Choice of distribution channel
- Choice of country
Place
Name 5 types of markets with an example of each
- Mature - UK
- Established - HK
- Growth - USA
- Emerging - China
- New Emerging - India
Place
What are the advantages and disadvantage of mature & established markets vs. emerging & new markets?
- Mature & Established - Saturation & low growth BUT reliable trade structure, route to market, established wine culture
- Emerging & New - High growth potential BUT risk & few structures
Promotion
What needs to be considered before conducting promotional activity?
- Consumer segmentation
- Constraints by country
Promotion: Point of Sale
Name 6 types of promotional actitivities at the point of sale
- Price promotions
- Competitions
- Limited edition packaging / presentation
- Consumer tastings
- Staff incentives
- Staff training
Promotion: Point of Sale
Why are price promotions used?
- Increase sales of existing products
- Volume sales for new products (penetration)
- Shift old stock (“bin ends”)
Promotion: Point of Sale
What are the risks of price promotion?
- Won’t build loyalty
- Train people to buy on deal
- Damage image (e.g. Champagne in UK)
Promotion: Point of Sale
What are the 3 types of price promotion that aren’t directly linked to price discount?
- Multi-buys and volume discounts (but banned in some some countries e.g. Sweden)
- “Link saves”
- Delivery costs
Promotion: Point of Sale
Give an example of a competition. What is an additional advantage of competitions?
Buy a bottle - win a holiday to NZ (high value opportunity to win something exclusive)
Collect 1st party data
Promotion: Point of Sale
Name 3 types of limited edition packaging / presentation
- Elaborate limited edition packaging
- Event based limited edition packaging
- Regular (e.g. Lanson & Wimbledon)
Promotion: Point of Sale
What are the advantages of consumer tastings (inc. winemaker telling story, wine tasting dinners at restaurants)?
- Reduce uncertainity about buying
- More likely to be repeat buyer
- May buy something else while in shop
Studies show effective
Promotion: Point of Sale
When are staff incentives and hospitality a possible option?
Possible option for high-volume wine in hospitality
Promotion: Away from POS
Describe the range of alcohol advertising laws with an example of each
- Total prohibition - UAE / Qatar
- Strict control - Loi Evin France
- Self-regulation - UK
Promotion: Away from POS
What are the 14 away from the point of sale options mentioned in the book?
- Television or cinema
- Radio
- Press
- Billboards
- Digital advertising
- Social Media
- Websites
- Smartphone apps
- Reviews & Awards
- Wine Tourism
- PR
- Sponsorship
- Events & Festivals
- Free merchandise
Badly organised in the book and not how media are segmented
Promotion: Away from POS
What are 12 different possible aspects of wine tourism?
- Cellar doors
- Vineyard & winery tours
- Visitor centres
- Shops
- Cafes
- Dining
- Accommodation
- Experience packages
- Event Spaces
- Partnering with other businesses
- Wine trails
- Tourist attractions (e.g. Napa wine train)
Promotion: Away from POS
What are 6 types of PR activity?
- Company reps attending events or appearing on TV
- Press releases
- Newsletters
- Social Media
- Brand Ambassadors
- Influencers
Promotion: Away from POS
What are 3 examples of sponsorship activity?
- Logo on billboards or clothing
- Exclusive rights to be served in bars / etc
- Television sponsorship
Subject to legal restrictions
Suitability in sports
Promotion: Away from POS
What are 3 examples of sports sponsorship?
- Cono Sur - TDF
- Mouten Cadet - Ryder Cup
- Carbon - F1
Promotion: Away from POS
What are some of the advantages of promoting at events & festivals?
- Attract high involvement customers
- But also…attract consumers who might not visit vineyards
- Attract new customers
Both even more so if not at wine-focused fairs (e.g. music festivals)
Promotion: Away from POS
What are some of the disadvantages of promoting at events and festivals?
- Pay to exhibit
- Pay staff to run the stand
- Use stock for tasting samples
- Cost of preparing the stand
- Competition for attention
- People ‘drinking’ rather than ‘tasting’ (so vouchers given)
Implementing and monitoring
What does the book call “measurement”?
“Marketing research” (i.e. measurement)
Promotion: Away from POS
What are 5 potential options for carrying out marketing?
- In-house
- Outsource
- Blended (i.e. what all companies actually do)
- Part-time
- Industry association (e.g. consorzio) / Trade body (e.g. WInes of AU) / Trade grouping (e.g. VIGNO in Chile)
Promotion: Away from POS
What are the benefits of carrying out marketing as part of an association?
- May have marketing team
- Benefit from combined knowledge and experience of members
- Cheaper despite membership fee
- Benefit from being marketed as part of a larger portfolio of wines
