Case Study of Chase Wine & Beer: Importance of Marketing and Proposed Solutions
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This case study examines the importance of marketing for Chase Wine & Beer and proposes solutions to the issues faced by the company. It discusses the company's marketing communication channels, product range, competition, distribution challenges, and recommendations for improvement.
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Table of Contents INTRODUCTION......................................................................................................................3 1. Summary of the case..........................................................................................................3 2. Key issue in the case..........................................................................................................3 3 Secondary issues.................................................................................................................4 4 Two alternative course........................................................................................................4 5. Recommendation................................................................................................................4 6 Justification.........................................................................................................................5 7 Principles.............................................................................................................................5 8. Answer of all question.......................................................................................................5 REFERENCES...........................................................................................................................7
INTRODUCTION The present study is based upon the case study of Chase Wine & Beer which is marketer of beer and wine products. The study will help to determine the importance of marketing and examine the issues which is face by the company, along with proposed solutions. 1. Summary of the case Chase Wine & Beer is a boutique manufacturer and marketer of a beer and wine products, also sales small winery in Hunter Valley. The quoted firm is established from five years and working well. The company has a strong marketing communication channels which help the firm to meet the define aim. Such that it uses traditional form of marketing that assist to grab attention of many customers. Also, it sell range of beer product to their customers and divided the product range is different slots likeGran Castillo (premium priced),CWB Casa Grande (medium priced),CWB Casa (medium priced) and CWB De la Gente (lower end price). On the other side, company also face some problem such that due to strong competition, company did not sustain the brand image and its distribution is also not up to the mark. In addition to this, Zara Kiki who is a marketing manager also offer range of solution and change the marketing style in order to improve the marketing strategy which in turn improve the results and attracted range of customers as well. As there are many opportunities were identified through the case study in order to improve the problem and sustain brand image. 2. Key issue in the case Due to high competition in market, company did not develop effective marketing communication strategy which in turn affect the overall brand image of the firm. In addition to this, there are many competitors which a firm is also faces and as a result, company did not have a strategy which assist to compete in niche market. Further, it is necessary for the firm to compete in market due to maintaining brand image (Shah, Azhar and Bhutto, 2019). Company also faces another difficulty in order to obtaining the wide distribution and volume of sales which further allow them to grow further. The company’s owner also stated that there are many big buyers who are happy to stock but die to non-
availability of a stock, buyers are sometimes did not happy and this is a biggest problem which Chase Wine & Beer face. This need to be resolved in order to make changes. 3 Secondary issues Loss in the sales and distribution is the secondary issue face by the company because it affect the results in terms of financial. Therefore, it affect the business brand image in negative manner (Taoketao and et.al, 2018). Moreover, it is also analyzed that due to limiting budget, company do not invest much in the advertisement and they do take out full page ads in the trade press for the liquor industry in order to create the brand awareness. Moreover, it is also examine that due to this issue, company do not let others know about the offered product in appropriate manner. 4 Two alternative course In order to improve the problem, it is suggested to the company to use effective marketing strategy in order to stay ahead in the competition. For that rebranding and repositioning is consider the best strategy for the company which in turn attract the customers and increase the financial performance as well (Katsikeas, Leonidou and Zeriti, 2019). Further, Zara also suggested to the owner that they try to buy the licensing rights in ordertousethecharacterlikeHomerSimpson(TheSimpsons)andKenny (Southpark) in order to use the wine and beer labels. This in turn increase the promotion of a company’s product and increase the sales as well. 5. Recommendation The recommended course of marketing action is as follows- Zara suggested that the in- bar and in- club promotion at the New Castle and Sydney inner city bar and club will be helpful in promoting the beers and wine and the company products as well. Another major suggestion by Zara was the providing of free samples to be given outside the currently selected Liqour Land stores which are having the stock of the Chase Wine & Beer products (Mix and Brand, 2017).
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Further in addition to this another major suggestion was to increase the budget for the television and online campaign of the rebranded product that is Splash and Fella. 6 Justification All the three recommendation relating to marketing action are made as all these three actions are aiming at increasing the sales of the company. Thus, this is very assistive for the company in order to increase the new branded product of Splash and Fella along with other products as well. Further in addition to this the use of this marketing action will help company in increasing the goodwill within the market and beat the competition as well. In addition to this when the company will make use of the digital and online campaigning then this will attract a wide range of consumer all over the globe. 7 Principles The principles of marketing communication that are illustrated within the case study are Focusing on total consumer experience- this is followed as the company is planning to rebrand the products to gain more consumer satisfaction. Marketing communication activity- this principle is followed by the company as they make use of three marketing communication elements that is personal selling, public relation and advertising (Patrutiu-Baltes, 2016). Become a customer centric organization- this principle is also being followed by the company as they are majorly diverted towards the fulfilling of the need and requirement of consumers. For attracting a variety of consumer the company is trying to make use of different marketing strategies like free sample, in- bar promotion and many others. Use of outside in planning- this principle of IMC is also being followed by the company in the case study. The major reason for this is that Zara is trying to plan for the development of the product and rebranding to a great extent. For this she is being doing analysis of the market and the need of consumer and then makes changes and rebrands the product. 8. Answer of all question Q1 The problem faced by Zara was that the suggestions of Zara were thought to increase the marketing communication budget of company. thus, because of this owner Kaiser and Dakota Smith-Brownethoughtthatthiswillincreasethecostofthecompany.Forthe
implementation of the suggestion of ZARA the owners has to think very high in order to agree with all these suggestion. The opportunity for Zara was that she had good thinking and with help of this ability she can come up with more cost effective marketing ideas. Q2 With help of Balter Brewery website it is assistive for Chase Wine & Beer to make the website more attractive so that majority of consumers are attracted by viewing the website. For this company can add all the features of their wines and bear in attractive manner (Mothersbaugh, Hawkin and Kleiser, 2019). Q3 The major ethical issue which might be raised by Zara is that they must not focus on degrading the other competitors when they try to advertise their product and services within the market. This is because of the reason that Zara must focus on healthy competition instead of intense competitions. Q4 In case of rejecting the suggestion of Zara then owners of company must focus on digital or social media marketing. The major reason for this is that most of people are using the social media and if Chase Wine & Beer will focus on marketing with help of social media then this will assist company in increasing its consumer base.
REFERENCES Books and Journals Mix, M. and Brand, C.B., 2017. Marketing management. Mothersbaugh, D.L., Hawkin, D.I. and Kleiser, S.B., 2019.Consumer behavior: Building marketing strategy. McGraw-Hill Higher Education. Patrutiu-Baltes,L.,2016.InboundMarketing-themostimportantdigitalmarketing strategy.Bulletin of the Transilvania University of Brasov. Economic Sciences. Series V.9(2). p.61. Katsikeas, C., Leonidou, L. and Zeriti, A., 2019. Revisiting international marketing strategy in a digital era.International Marketing Review. Taoketao, E., and et.al, 2018. Does sustainability marketing strategy achieve payback profits? A signaling theory perspective.Corporate Social Responsibility and Environmental Management.25(6). pp.1039-1049. Shah, S.A., Azhar, S.M. and Bhutto, N.A., 2019. Halal marketing: a marketing strategy perspective.Journal of Islamic Marketing.