Digital Marketing Strategies for KeepCup: Competitive Advantage Analytics Report
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Added on  2023/06/04
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This report provides insights on how KeepCup can implement digital marketing strategies to gain a competitive advantage. It covers STP, marketing mix, customer relationship, A/B testing, and multivariate testing.
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Competitive Advantage Analytics Report
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Table of Contents INTRODUCTION...........................................................................................................................3 MAIN BODY...................................................................................................................................3 DATA..........................................................................................................................................3 STP...............................................................................................................................................3 MARKETING MIX.....................................................................................................................4 MARKETING COSTS................................................................................................................5 CUSTOMER RELATIONSHIP..................................................................................................6 A/B TESTING AND MULTIVARIATE TESTING...................................................................6 CONCLUSION................................................................................................................................7 Statement of Intent.......................................................................................................................7 REFERENCES................................................................................................................................9
INTRODUCTION Digital marketing plays a crucial role in the business as it helps the organization to identify the new market by identifying the competition in the market and by analysing the needs of the consumer. KeepCup is known as one of the Australian companies who manufacture coffee cups which can be reused. Due to the ongoing pandemic situation in the country, the company wants to enhance there online marketing approaches to gain a competitive advantage. This report is going to contain the ways through which Keepcup can implement strategies for digital marketing. MAIN BODY DATA Data through public searching ï‚·KeepCup uses stainless steel and 35 % recycled material and also uses the technology with 75% oxygen furnace. ï‚·It uses carbon emissions in cup by using 11% of energy and 1% of water(Bala and Verma, 2018). ï‚·It uses plastic around 41% in each cup and it can be changes depending upon the size of the product. Further data, will include the profits and revenues earned by the company, current market share, employeesturnover,costincurredduringproductionofeachcupandcostincurredon researching the market. Additional Data needed to enhance the digital marketing will include the sales data, customer information, inventory data. The data will help the business to enhance the online marketing experience of consumers and by providing higher level of satisfaction. STP STP is a model that shows that how you market your products and to whom. It makes your strategies more relevant, focussed and personalized. It includes segmentation of audience and positioning of product to target audience. Financial datas, expenses incurred in creating a websites. SEGMENTATION In any business, it is not possible to satisfy the needs of whole world. Every product or service is not possible for everyone. The business need to identify the segments of market which
helps them in planning and creating of strategies for product. KeepCup will segment the market through geographic, demographic, psycho graphic or behavioural segmentation. The company will do demographic segment through both male and females and manufacture its products and services by analysing the behaviour and needs of the consumer. They also provide customized cups and bottles to the consumers. TARGETING After deciding the segmentation of the market, the next step is to identify the target market which will helps the business to increase the sales and earn maximum profit. To target the market, business looks at the several factors such as size of segment, profitability and reachability of product. KeepCup's targeted audience is people from the age group of 18-40 years , as this group likes to invest in aesthetic cups which the company provides(Camilleri, 2018). POSITIONING This is the last step to position the product in the chosen market. This helps the company in improving the efficiency of market. The positioning of the product can be done through symbolic positioning by improving the satisfaction of consumers, by functional positioning which helps in solving the problems faced by the consumer and by experimental positioning where the business tries to connect with the consumer at the emotional level. Keepcups will position its market by looking at all the factors mentioned above which will helps the company to accomplish the goals of company. MARKETING MIX Marketing mix are the actions and strategies which are performed by the company to promote its product or brand in the market. It helps the business in decision-making process and also in achieving the growth. It can be analysed properly by understanding and doing market research. It includes 4Ps which are known as the product, price, place and promotion strategy. These Ps are briefly discussed below: PRODUCT KeepCup deals in the reusable plastic cups. They designed their product by identifying the needs, planning the strategies and by testing the product. The company recently made some changes in the designs and made some alterations such as widening the lid of the and by creating a new lid. They also use reusable plastic in the cups which helps in preventing the environment
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and also in creating positive environment. They also expanded their product range by introducing a glassware range in the cups. PLACE KeepCups started selling its products to the Melbourne market for increasing the sales and to earn higher profitability for the company. Due to Covid19 situations, The company launches there website to provide online services to its customers to attract more customers and to increase the brand value of the company(Thabit and Raewf, 2018). The company also developed there direct sales channels by communicating with the coffee retailers and shops. PRICE The company is using the competitive based pricing method which means to set the prices of the product by analysing the prices that are prevailing in the market. The company offers high quality products to the consumers at the prices which includes the cost of raw material with the reasonable profit. They have different sizes in each product, so the prices od product also varies accordingly. For example, the company sell smallest cups for $11 and the largest one for $18. PROMOTION KeepCups use variety of tools to promote its products in the market. They collaborated with cafes by providing cups to them which helps in increasing there market share. They also focus on generating customer relations and also advertise there products through magazines. After the pandemic situation, the company launched their own website so, the customers can also get products through online platforms. This promotion strategy will help the company to gain market share and will also increase there market share. MARKETING COSTS ï‚·Fixed Cost: KeepCup's fixed cost includes the rent, salaries and wages of employees, taxes and insurance. ï‚·Variable Cost: The companies variable cost includes the expenses such as cost incyurred on raw material, packaging or any transportation expenses. KeepCup's variable cost depends upon the production(Gupta, Ivanov and Choi, 2021). If production increases then the cost also increases. ï‚·Marginalcost:KeepCup'smarginalcostwillincludethecostincurredtomake additional unit of production.
CUSTOMER RELATIONSHIP Customer relationship are the techniques used by the business to get engage with its consumers to get the ides of their needs and preference and to improve the consumer experience. Good consumer relationship provides long term solutions to the problems faced by the consumer which results in success of the business. KeepCup follows the customer relationship management tool to communicate with customers and to identify the potential customers out of it. It helps the company in managing the contacts, maintaining sales and productivity of the company. The company can maintain the customer relationship management through following ways such as; ï‚·EffectiveCommunicationbetweenteams:Effectivecommunicationisnotonly important in maintaining the relationship with customers but also with the team(Soltani and et.al, 2018). Communicating with the different teams in the organization helps in identifying the lacking areas of the business which helps the customer to retain for long time. ï‚·Encourage Rewards: The company can provide rewards to its existing customers by providing them with more benefits and referrals. This will maintain the relations in along run and will also help the company to get new customers. This will help the business to get more customers which will help to nurture and foster the existing relationships and also acquires new consumers. Acquiring New Customers ï‚·Developing Partnerships: KeepCup can develop partnerships with other business to acquire new customers. Fir example, KeepCup can make partnerships with the cafes, so it can helps the business in promotion and increase the customers(Itani and et.al, 2020). ï‚·Social Media Platforms: Having a presence at social media helps the business to get new customers. Business accounts at Facebook, Instagram and linked in is cost effective also. People get to know about so many brands through social media platforms only and also attracts customers. This can helps the business to get new customers. A/B TESTING AND MULTIVARIATE TESTING A/B Testing:A/c testing is the method to optimize the website by using the two version of pages, that is version A and version B which are compared to one another. It is utilized to test the two different designs against one another.
Multivariate Testing;it is the method of identifying the important areas and sections which helps in creating variations of whole page. By taking this test, the company understands the different versions of the webpages which helps in getting the idea most significant page. Keepcup will use the multivariate testing as it will give significant results by testing websites properly. It also plays important role in redesigning the website from time-to-time to attract the new customer. It changes multiple section of websites together which helps the company by saving there time. CONCLUSION From the above report, it can be concluded that digital marketing is important in promoting products and services through digital channels. It helps the business inearning higher profits and also helps in getting competitive advantage in the firm. Keepcup can enhance its digital marketing through social media platforms by analysing the needs and preference of the consumer(Ros and Runeson, 2018). Keepcup is also focussing on STP and marketing mix properly which will help the company to increase the brand value. The company should also focus on the Economy pricing method by keeping the prices reasonable which will helps in increasing the sales of the products. By following this strategy, KeepCup can earn higher online market share. Statement of Intent Statement of Intent Target audience is a group of persons which is identified by the company to whom they are going to offer the product and services. KeepCup's identified its market through demographic, geographic, behavioural and psycho graphic segmentation. Keep Cup's analyses the behaviours and preferences of the consumers and will target the audience accordingly. As the product is the reusable coffee mugs which are needed by all the people so, in general they are targetting people of all groups(Ma, Wang and Zhou, 2021). They are also providing customized option to people to gain maximum satisfaction. Keepcup's uses various techniques to reach out to its customers. They use direct selling methods to enhance customer experience. They also introduced their own websites for online shopping and also provides after sale services. Further, they also ask for customer details on there websites which helps them in maintaining the customer relationship by sending messages and emails to them regarding the new products and offers. They also use social media platforms
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REFERENCES Books and Journals Bala, M. and Verma, D., 2018. A critical review of digital marketing.M. Bala, D. Verma (2018). A Critical Review of Digital Marketing. International Journal of Management, IT & Engineering.8(10). pp.321-339. Camilleri, M.A., 2018. Market segmentation, targeting and positioning. InTravel marketing, tourism economics and the airline product(pp. 69-83). Springer, Cham. Thabit,T.andRaewf,M.,2018.Theevaluationofmarketingmixelements:Acase study.International Journal of Social Sciences & Educational Studies.4(4). Gupta, V., Ivanov, D. and Choi, T. M., 2021. Competitive pricing of substitute products under supply disruption.Omega.101.p.102279. Soltani, Z. and et.al, 2018. The impact of the customer relationship management on the organizationperformance.TheJournalofHighTechnologyManagement Research.29(2). pp.237-246. Itani, O.S. and et.al,2020. Social media and customer relationship management technologies: Influencing buyer-seller information exchanges.Industrial Marketing Management.90. pp.264-275. Ros, R. and Runeson, P., 2018, May. Continuous experimentation and A/B testing: a mapping study. In2018 IEEE/ACM 4th International Workshop on Rapid Continuous Software Engineering (RCoSE)(pp. 35-41). IEEE. Ma,X.,Wang,S.andZhou,W.,2021.Testingmultivariatequantilebyempirical likelihood.Journal of Multivariate Analysis.182.p.104705.