Developing an International Marketing Plan for Australian Superfood

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This report outlines an international marketing plan for the Australian Superfood Company's expansion into the Indonesian market. It includes a STPD (Segmentation, Targeting, Positioning, and Differentiation) analysis to identify a definable target market. The report also details a marketing mix strategy based on the 4Ps (Product, Price, Place, and Promotion). Market segmentation focuses on demographic, geographic, behavioral, and psychographic factors to target health-conscious consumers aged 15-54, particularly in urban areas. The company aims to position itself as a provider of high-quality, healthy, and nutritious foods while supporting minority communities. Differentiation strategies emphasize unique product features and brand image. The report also assesses competition from companies like Archer Daniels Midland and Del Monte Foods, concluding with recommendations for e-sales and strategic collaborations to achieve financial goals and establish a strong brand presence in the Indonesian market. Desklib provides similar solved assignments for students.
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Running head: INTERNATIONAL MARKETING
Australian Superfood Company
International Marketing
6/7/2019
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INTERNATIONAL MARKETING 1
Table of Contents
Introduction................................................................................................................................2
Overview of Australian Superfood Company in Indonesia...................................................3
STPD Analysis.......................................................................................................................3
Segmentation......................................................................................................................3
Targeting............................................................................................................................6
Positioning..........................................................................................................................7
............................................................................................................................................8
Differentiation....................................................................................................................9
Marketing mix......................................................................................................................10
Product.............................................................................................................................10
Place.................................................................................................................................11
Price..................................................................................................................................11
Promotion.........................................................................................................................11
Conclusion................................................................................................................................12
References................................................................................................................................14
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INTERNATIONAL MARKETING 2
Introduction
In the present global economy, businesses of every size are expanding their processes
in the international/foreign markets. This type of business expansion can provide different
advantages, encompassing increased opportunities of market growth and diversification. As
per the results of the survey by Wells Fargo in the year 2016, it was recognized that over 87%
of the United State businesses believe that expansion of business at international level is
important for the long-term growth (Rossum, 2017). It has been analyzed that at the global
level there is a number of firms that have yet not extended their business operations out of
their domestic boundaries. From the analysis, it has been identified that business expansion
offer number of benefits to the companies such as New Market growth opportunities,
diversification, access to increased talent, and competitive advantage. (White, 2013).
There is a number of businesses that expand their businesses operations in order to
have diversified assets, this is also considered to be the action taken by the businesses to
protect the bottom line of the company against unforeseen events. The business expansion in
the international market offers the chance to achieve the growth opportunities of the
international market through adopting advanced technology, raw material, and labor force
(Management Association, Information Resources, 2018). Another key benefit of the going
global is the opportunity to get access to the new talent pool. This discussion highlights those
companies planning to go a global gain number of advantages and benefits. The intent of this
report is to suggest Australian Superfood Company expand its operations in the Indonesia
market by acting proper market analysis. The report is comprised of developing the
segmentation, targeting, positioning, and differentiation strategy for the company such that it
can get a definable target market in the Indonesia market. In addition to this, the report is also
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INTERNATIONAL MARKETING 3
comprised of a detailed discussion of the marketing mix based on 4Ps that are the product,
price, place, and promotion.
Overview of Australian Superfood Company in Indonesia
From the analysis of the previous reports, it has been analyzed that today with the
increasing number of diseases related to consumption pattern of the people food quality
provided by different businesses, customers in the market are increasingly demanding for
products that offer nutrition, natural, and health benefits (Gagliardi, 2015). From the research
conducted on the Indonesia market, it has been analyzed that the market is offering a number
of growth opportunities to the company. Superfoods are considered as the booming market
and the awareness of the customers is also increasing related to health benefits from these
types of products. It is a fact that the establishment of the Australian Superfood Company in
the Indonesia market is a complicated procedure, but if the management of the company will
follow each step carefully and conduct proper research and development in marketing, sales,
production, designing will provide positive results to the business. The proper development
of the services and product along with strategic collaborations with the manufacturers,
suppliers, and scientist in the Indonesia market will offer huge growth opportunity to the
Australian Superfood Company to gain increased share in the market. Furthermore, the
Australian Superfood Company must concentrate on the e-sales and exports as the key
portion of its strategy of growth. The new expansion in the Indonesia market is representing
the potential in order to meet its financial goals and introduce a strong brand in the global
markets.
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INTERNATIONAL MARKETING 4
STPD Analysis
Segmentation
Market segmentation is said to be the term of marketing that refers to grouping
potential customers in a segment or group with common wants and who react to the same
kind of marketing actions of the business. Market segmentation allows businesses to target
diverse groups of customers who notice the entire value of any service or product in a
different way from one another (Wedel & Kamakura, 2012). Market segmentation is not just
presented to recognize the most profitable segment for the business, but it also helps in
creating profiles of key segments to have a better understanding of their needs and motivation
to purchase. There are four types of market segmentation that are commonly used by
businesses. The four types of segmentation are demographic segmentation, geographic
segmentation, behavioral segmentation, and psychographic segmentation (Dolnicar, Grün &
Leisch, 2018).
Demographic Segmentation – It is one of the most common and simple types of
market segmentation used by businesses. Many businesses make use of it in order to get the
right group from the population for offering their products (Andaleeb & Hasan, 2016).
Australian Superfood Company will target the consumers in the Indonesia market
depending on different variables that are age and income. Under the age variable, the
company targets the customers between the age group of 15 to 54 years. The mean age is 30
years. Considering the increasing demand of the healthy and nutritional food in the market
the company has planned to target this age group as they are the one who is more inclined
towards having a healthy, nutritional, and tasty product such that they can live a disease-free
life.
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INTERNATIONAL MARKETING 5
In addition to this, the Australian Superfood Company will also target the market
based on the income variable. Under this variable, the company will majorly have two
segments that are primary segment and a secondary segment. Under primary segment
company will target middle class, elite and affluent customers who cover around 34% of the
country's population. On the other hand, the secondary target market of the Australian
Superfood Company is Lower class, they account for 66% of the population.
The company will target those customers from the primary and secondary segment,
who are more health conscious and inclined towards having a healthy diet.
Geographic Segmentation – This kind of segmentation is used by the businesses to
divide people based on geography. Under this segmentation, the potential customer possesses
diverse needs depending on the geography where they live. Under this Australian Superfood
Company will majorly target people who live in the urban area of Indonesia. The company
will majorly avail its products in the urban areas and regions closer to the cities and towns.
The urban region of the Indonesia market has been planned to target as most of the affluent
and middle-class households are established in these areas and they are the ones who highly
demand organic and health food products.
Behavioral Segmentation – This kind of market segmentation strategy of the
business divides the market based on their pattern of decision making, usage, and behaviour
(Dolnicar, Grün & Leisch, 2018). The company will target customers who search for the
products that give them high satisfaction. This type of target market, desire to have
experience of new products consumption and aim to gain satisfaction. The customers that are
more concerned about their health will be included in this segmentation.
Psychographic Segmentation – Through Psychographic segmentation businesses
make use of people lifestyle, interest, opinions, and activities to determine the segment.
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INTERNATIONAL MARKETING 6
Psychographic segmentation is said to be similar to the behavioural segmentation (Weinstein
& Cahill, 2014). However, psychographic segmentation also take into account the
psychological aspects of customer purchasing behavior. Under this Australia Superfood
Company will majorly target customers that have knowledge and awareness regarding the
new products introduced in the market. Besides this, the company will also target customers
that are health conscious and make use of organic as well as natural products for gaining
health benefits. This segment has been chosen since people nowadays have initiated to use
western and organic products in the Indonesia market. In addition to this, health-conscious
customers like to try different types of new products which can provide them positive results
of their workout and efforts for maintaining their health and balanced diet.
Targeting
A target market is said to be the group of possible patrons to whom a business desire
to sell its services and products. This customer group also comprised specific customers to
whom business focuses its marketing efforts. A target market is considered to be the one part
of the entire market for the service and good (Jaffe, 2010). Customers that make up the target
market are generally those who have similar characteristics comprising demographics,
incomes, buying powers, and geography. Categorizing the target market is one of the
essential steps for every business while developing the marketing plan. The businesses that
do not have knowledge regarding their target market have to cost a huge amount of money
and time (Klobnak, 2011).
The major target market of the Australia Superfood Company in the Indonesia market
will be the health conscious people who get attracted to the consumption of organic and
natural products. As discussed the company will be major focusing on the age group of 15 to
54 years of men and women of Indonesia urban region because 59% of the population of the
country lies under this age group. In addition to this, the company has a key focus on the
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INTERNATIONAL MARKETING 7
affluent and middle-class people are have more knowledge and awareness regarding the
benefits of natural and organic products. Besides this, the company will also target like
dieticians, professionals, and weight conscious people.
Positioning
Positioning determines where the company’s product stands in relation to another
similar kind of services and products in the mind of the customer and in the market. A good
and effective position of the service and product results in making the product unique and
inspire customer to use the product as a distinct offering. A good position of the product in
the market results in providing a USP (Riezebos & Grinten, 2012).
Australian Superfood Company will be positioned and included in the list of good
food product brand which is focused towards offering healthy and nutritious food to the
consumers. The company will also be positioned as one of the most respected business
because it is majorly involved in supporting society in developing minority communities.
This will assist business in gaining a unique position in the eyes of the Indonesia people
which will encourage them to purchase the products of the company.
Furthermore, with the help of its unique and effective strategies the company will gain
the leading position in the perceptual mapping in comparison to other players in the market.
Some of the key market players that can increase the intensity of the competition for
Australian Superfood Company in the Indonesia market are Archer Daniels Midland and Del
Monte Foods (Market Watch, 2018).
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INTERNATIONAL MARKETING 8
The Perceptual Mapping
The above perceptual mapping has presented the positioning of three market players
that can give strong competition to each other in the Indonesia market are Australia
Superfood Company, Archer Daniels Midland and Del Monte Foods along with the
positioning they will or have in the Indonesia market. From the above map, it could be
analyzed that Australia Superfood Company is focused towards providing high-quality
products to the patrons at low prices whereas; Archer Daniels Midland is offering high-
quality products to the customers at high prices. On the other hand, Del Monte Foods is
offering low-quality food in comparison to Australia Superfood Company and Archer
High
Quality
High
Price
Low
Price
Low
Quality
Australia
Superfood
Del Monte
Foods
Archer
Daniels
Midland
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INTERNATIONAL MARKETING 9
Daniels Midland. In addition to this, Del Monte Foods offer products at low prices in
comparison to Archer Daniels Midland Company.
Differentiation
As the name suggests, the differentiation strategy is said to be the strategy that is
focused on distinguishing the service or products, from similar kind of products provided by
the rivals in the marketplace. It involves the creation of the service or product that is
exclusive for the consumers, in consideration of product features, customer service, brand
image, quality, and product design. Differentiation strategy is one of the parts of Porter's
Generic Strategy (Kim & Mauborgne, 2014). The time a business adopts the differentiation
strategy, it tries to become a unique provider in the industry, by providing those services and
products which offer high value to the consumers. Differentiation is adopted by the company
on the basis of product, pricing, and organization (Scheele, 2014).
Australia Superfood Company will chase the differentiation strategy on the basis of
the product. The company is known in the Australian market for offering different and unique
superfood with unique features and attractive packaging. Some of the unique products of the
company are Kakadu Plum (with nutritional and exceptional antiseptic properties), Davidson
Plum (it is one of the nutritional fruit), QuanDong (it is comprised of around 20% of the
protein, and 70% complex oils). Other than this, the company is also involved in providing
Lemon Myrtle, Finger Lime, Mountain Pepper Leaf, Water Seed, Strawberry Gum,
Cinnamon Myrtle, and Aniseed Myrtle.
Furthermore, with the unique product offering company offers attractive packaging of
the products to attract a maximum number of customers in the market. In Indonesia, the
market company will offer all these products at a reasonable cost in comparison to other
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INTERNATIONAL MARKETING 10
players along with unique and attractive packaging. On demand, the company will also
provide the gift hampers to its customers.
Marketing mix
A marketing mix is comprised of a number of areas of focus are a portion of the
inclusive marketing plan. The marketing mix term is mostly determined as the common
arrangement that starts with the four Ps that is the product, price, place, and promotion.
Effective marketing strategy concentrates on the wide areas as contrasting to gripping on one
single message. Doing this support business in reaching to the broader audience, and by
considering the 4Ps, the professionals of the market are capable to increase their focus on the
key and important matters (Richter, 2012).
Product
Product is an item or service created to content the needs of the customers in the
market. To efficiently market the service or a product, it is very essential to recognize what
distinguishes it from the products or services of the competitors (Bowman & Gatignon,
2010). Australia Superfood Company has focused on offering effective and beneficial
products to its target market of the Indonesia market. The company has planned to target
health-conscious customers and consumers of organic and natural products in consideration
to its nature of service. The company will offer its unique products such as Kakadu Plum
(with nutritional and exceptional antiseptic properties), Davidson Plum (it is one of the
nutritional fruit), QuanDong (it is comprised of around 20% of the protein and 70% complex
oils) (Farmhouse, 2019). Other than this, the company is also involved in providing Lemon
Myrtle, Finger Lime, Mountain Pepper Leaf, Water Seed, Strawberry Gum, Cinnamon
Myrtle, and Aniseed Myrtle (Australia Superfoods, 2019). All these products are comprised
of proteins and nutritional ingredient which are good for the health and diet of the users. In
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INTERNATIONAL MARKETING 11
addition to this, to attract a maximum number of customers of the Indonesia market company
will make use of its attractive packaging.
Place
The type of product is essential to take into account while defining the distribution
area. General consumer product like paper products is mostly available in a number of stores.
However, the premium consumer products are accessible at only selected stores. The place is
also considered as the point of sale. In every industry, getting the eyes of the customer and
making it simple for the customer to purchase the product is the main aim of the place or
distribution strategy (Kapoor, 2011). Australia Superfood Company has planned to adopt the
indirect distribution channel under which it will come under the contact of different
distributors and wholesalers for distributing the products from manufacturing point to end
customer. The products of the company will be distributed in the Indonesia Superfood market
through hypermarkets, convenience stores, and supermarkets.
Price
Price is considered as the value that is charged by the business in exchange for the
product. The price of the product is decided depending on the production cost, target market,
willingness of the market to pay, and demand and supply of the product in the market. The
Australia Superfood Company will offer products at reasonable prices to the customers in the
Indonesia market such that Middle-class segment could also purchase the product and avail
the aids of the services of the company. It is known that the currency of Indonesia is
devalued, considering this; the company will charge the prices of its products.
Promotion
Promotion is encompassed of the activities that are adopted by the company to make
the product or service known to the target market and trade. This is comprised of word of
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INTERNATIONAL MARKETING 12
mouth, incentives, advertising, press conference, awards, and commissions. It can also
comprise direct marketing, prizes, contest, and consumer schemes (Bridoux & Kurki, 2014).
For the promotion of the products, Australia Superfood Company will adopt advertisement,
direct marketing, personal selling, sales promotion, and digital marketing. In addition to this,
the company will offer attractive gift packaging service for special occasions and events.
Advertisement – In order to have a wide reach company will promote the products
through television, radio, print advertisement, posters, banners, and hoardings.
Personal selling – It is the technique of encouraging customer to purchase the
product. Under this, the company will make use of sales representatives who will be
responsible to promote the products to different supermarkets and hypermarkets and even
persuade customers to purchase.
Direct Marketing – Through this promotion channel, Company will make use of
mobile messaging, email, online display, etc. for brand promotion (Kennedy, 2013).
Digital Marketing – It is product marketing done through digital technologies. In this
Australia, Superfood Company will promote the product majorly on social media sides
through display advertisement and another digital medium.
Conclusion
The above report has discussed some of the key portions of the marketing plan that is
used by the business to have a definable target market and effective planning of the services.
The report has initially provided a brief of the previous reports presented on the analysis of
Australia Superfood Company and the market analysis of the Indonesia market. The report
has further discussed the segmentation, targeting, positioning, and differentiation strategy that
will be adopted by the company in the Indonesia market. From the analysis, it has been
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INTERNATIONAL MARKETING 13
recognized that the company will target the age group of 15-54 years of the urban market of
Indonesia. In addition to this, the company will also target health conscious and dieticians
who are more inclined and interested in purchasing these types of Superfood. Further, the
company will be placed in the market as the high quality offered at affordable prices. The
report has also provided a detailed explanation of the marketing mix strategy of the Australia
Superfood Company in the Indonesia market. From the analysis, it has been recognized that
the company will offer unique products at attractive packaging to the customers.
Furthermore, the company will adopt indirect distribution for the supply of the products to
the end users.
In the end, it could be concluded that with the help of the segmentation and targeting
strategies the company will be effectively able to target the ideal segment for providing its
products. Further, with the marketing mix strategies, the company will be successfully
reached and attract a maximum number of customers.
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INTERNATIONAL MARKETING 14
References
Andaleeb, S.S., & Hasan, K. (2016). Strategic Marketing Management in Asia: Case Studies
and Lessons across Industries 1st ed. U.K: Emerald Group Publishing.
Australia Superfoods. (2019). Ancient Rainforest Berry. Retrieved from
https://austsuperfoods.com.au/products/
Bowman, D., & Gatignon, H. (2010). Market Response and Marketing Mix Models: Trends
and Research Opportunities 1st ed. U.S: Now Publishers Inc.
Bridoux, J., & Kurki, M. (2014). Democracy Promotion: A Critical Introduction 1st ed. U.S:
Routledge.
Dolnicar, S., Grün, B., & Leisch, F. (2018). Market Segmentation Analysis: Understanding It,
Doing It, and Making It Useful 1st ed. Germany: Springer.
Dolnicar, S., Grün, B., & Leisch, F. (2018). Market Segmentation Analysis: Understanding It,
Doing It, and Making It Useful 1st ed. Germany: Springer.
Farmhouse. (2019). The Australian Superfood Co. Retrieved from
https://www.farmhousedirect.com.au/theaustraliansuperfoodco
Gagliardi, N. (2015). Consumers Want Healthy Foods--And Will Pay More For Them.
Retrieved from https://www.forbes.com/sites/nancygagliardi/2015/02/18/consumers-
want-healthy-foods-and-will-pay-more-for-them/#1a88886b75c5
Jaffe, J. (2010). Flip the Funnel: How to Use Existing Customers to Gain New One's 1st ed.
U.K: John Wiley & Sons.
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INTERNATIONAL MARKETING 15
Kapoor. (2011). Service Marketing: Concepts & Practices 1st ed. India: Tata McGraw-Hill
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Market Watch. (2018). Global Superfoods Market 2018 Industry Trend and Forecast 2025.
Retrieved from https://www.marketwatch.com/press-release/global-superfoods-
market-2018-industry-trend-and-forecast-2025-2018-08-21
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Rossum, J.E.V. (2017). 5 benefits of international expansion. Retrieved from
https://www.bizjournals.com/bizjournals/how-to/growth-strategies/2017/12/5-
benefits-of-international-expansion.html
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