Marketing Strategies of Nynas Bitumen Company

The assignment provides an in-depth analysis of Nynas Bitumen Company's marketing strategies, focusing on its producer and reseller markets. It also explores different business situations, such as new companies, modified rebuy, and straight rebuy, and discusses the decision-making processes involved in each scenario. The document is a valuable resource for students studying marketing and sales, providing insights into the company's approach to customer relationships and loyalty.

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Nynas Bitumen Marketing Sales
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Nynas Company
Question 1
Nynas is a company located in the United Kingdom (UK) that deals with the refining and
supply of crude oil products such as oil, tar, and bitumen. Notably, Nynas produces bitumen,
an ingredient of Macadams and Asphalts, in different qualities depending on the needs of the
customers. These qualities may be premium, regular or extra and depend on the type of
customers available. Some are consumer-based requiring regular bitumen while others are
business-based requiring extra and premium bitumen. Example of business to business
customers are road construction companies that tarmac new roads or builders that construct
waterproof mews. Consumer-based customers include a consumer that buys bitumen to assist
in fixation of a damaged apartment pavement. Characteristics of business-based customers
include more quality products, prolonged decision making, more transactions, and recurring
sales. Business such as road and airport constructors require high-quality bitumen that will
provide a long-lasting effect. In addition, since purchase involves different departments,
decisions may take a long time before implementation (Rauyruen and Miller, 2007, 23).
Since a company buys products in bulk, more money is involved in transactions and buy
bitumen from a trusted seller regularly. For a consumer-customer trade, few transactions
occur since buying involves limited products. The customers do not specify the quality of
products hence allows them to use regular bitumen. Only a few people are involved in
decision making, which makes the purchase faster. In most cases, most customers buy
products on a one-time basis from the sellers.
Question 2

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Nynas Company has different types of business markets for their bitumen product.
Producer market involves customers that buy products in large scale from Nynas and use
these products to constructs new infrastructure. For instance, a road company may purchase
tonnes of bitumen to apply in the tarmacking of a new highway in a country. The other type
of market involves resellers. These are customers that buy products in large scale and later
sell to small-scale customers in smaller amounts. For instance, some customers intending to
purchase bitumen for roofing their houses, fixing apartment’s pavements, and strengthening
tiles do not require to visit the Nynas headquarters to obtain the product. They can just buy
from the retailers but at a slightly higher price than that in the store. Since both producers and
resellers purchase products in bulk, they require developing a buying process for efficiency in
the transaction (Somé, Ciryle, Pavoine, and Chailleux, 2016, p.368). The first step in the
buying process involves identification of the problem that needs the purchase such as poor
roads, new markets, and increased demand of bitumen by consumers. Afterward, the buyers
formulate a list that contains the general requirements of the products such as the quantities,
cost, time of delivery, and location of the distribution. The buyer then searches for the
appropriate seller such as Nynas Company, based on the quality, price, and efficiency of the
delivery (Johnston and Marshall, 2016, p.43). Before developing the final list, the buyers
review the supplier intended to evaluate the company. If they realize that the reviews of the
company are excellent, they proceed to the final step of preparing the list. This list contains
all the necessary instructions for the purchase.
Question 3
Some business customers of Nynas bitumen include road construction and house
construction. Different business situations exist for various businesses (Johnston and

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Marshall, 2016, 58). The first situation involves a scenario in which a company buys bitumen
from Nynas for the first time. For instance, newly-formed road Construction Company may
decide to purchase bitumen for the first time. Such a company does not have prior
knowledge regarding bitumen suppliers or their current price tags on the bitumen sales. Thus,
the decision making in this situation can be complicated since they have to involve both
experts from both sides. Managers, engineers, and financial experts decide on the best
delivery systems, cost of purchase, dates of these supplies hence requires more planning time.
The other situation involves modified rebuy company in which a company decides to buy
from the company due to an abrupt change of events. For instance, an engineer may detect a
crack on the road at night and may require immediate supply of bitumen to fill up the road
before the morning hours. In such a case, the decision process will be fast and may not
involve stringent measures as compared to a new company. Finally, there is straight rebuy
situation in which a company buys from Nynas over an extended period. For example, a road
construction company can purchase bitumen from Nynas, in a recurring sequence due to their
high-quality product. Such a company does not require undergoing numerous decisions
before purchase because the buyers have specification that they use during every transaction.

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Bibliography
Johnston, M.W., and Marshall, G.W., 2016. Salesforce management: Leadership,
innovation, technology. Routledge.
Rauyruen, P. and Miller, K.E., 2007. Relationship quality as a predictor of B2B customer
loyalty. Journal of business research, 60(1), pp.21-31.
Somé, Saannibe Ciryle, Alexandre Pavoine, and Emmanuel Chailleux. "Evaluation of the
potential use of waste sunflower and rapeseed oils-modified natural bitumen as binders for
asphalt pavement design." International Journal of Pavement Research and Technology 9,
no. 5 (2016): 368.