Marketing Communication Report: The Social Cup Hamper Range Promotion

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This marketing report focuses on formulating a promotional plan for the launch of a hamper range of coffee and tea products by The Social Cup, an Australian company. The report analyzes the marketing mix, internal and external factors using the PESTEL model, and conducts a SWOT analysis. It identifies target markets and formulates marketing, communication, and sales objectives. The situational analysis includes a marketing mix analysis covering product, price, place, and promotion. Internal factors such as departmental coordination and external factors like customer and competitor analysis are also examined. The report includes a PESTEL analysis of political, economic, socio-cultural, technological, and environmental factors. A SWOT analysis identifies the company's strengths, weaknesses, opportunities, and threats. The report concludes with a market segmentation and target market identification, providing a comprehensive overview of the promotional strategy.
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Running head: MARKETING COMMUNICATION
Marketing Communication
Name of Student
Name of University
Author Note
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Executive Summary
The report focuses on the formulation of a promotional plan for the launch for a hamper
range of products. In order to discuss this, the report takes into consideration The Social Cup,
is a coffee beans and tea leaves manufacturing company in Australia. The hamper range that
needs to be focused consists of coffee as well as tea. The report identifies the Marketing mix
strategies required for the promotion of the hamper range. A comprehensive analysis of the
internal as well as the external factors using PESTEL model is conducted in the report. Based
on this a SWOT analysis is also developed of The Social Cup. Target markets are identified
and objectives based on marketing, communication and sales are formulated in the report.
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1. Introduction
The report focuses on the problems of promotional plan required for launching a
hamper range. For the purpose of the report, The Social Cup is taken into consideration. The
hamper range of the products is considered and the reason behind the popularity of gifts is
analysed. The duration of the promotional strategy is for one week by which the managers of
the company formulate plans to make the brand famous. An analysis of the marketing mix,
internal and external analysis, SWOT analysis is done to understand the scope of the product
in different geographic areas. Apart from this, the report also segregates customers based on
preferences and formulates the objectives relating to communication, sales and marketing.
2. Situational analysis
2.1 Marketing mix analysis
Product- According to Luxton, Reid and Mavondo (2015, p.37), product is the
ultimate output that results in the success of manufacturing organisations. Every organisation
needs to develop a unique product that signifies its brand. The product either can be new and
innovative or can be a trademark product of the company. In the case of The Social Cup, the
company needs to launch a new product in the market. The product to be promoted is the
hamper range for the items of the company.
Price- The price of a product is determined based on the cost required for
manufacturing the products and a proper market analysis. Prices need to be formulated
strategically so that a company can earn a profit as well as satisfy customers. Proper pricing
strategies need to be applied in order to ensure success from both ends (Parente &
Strausbaugh-Hutchinson 2014, p.344). In this regard, The Social Cup needs to adopt the
Value-based pricing strategy in order to attract customers. Such a strategy helps in the
formulation of strategies required for the development of a product and price it properly in
order to meet the demands of the customers while gaining profit. For example, a market
survey needs to be conducted by the managers of The Social Cup in order to determine the
reasons behind the attraction towards hamper gift. Based on this the price of the hamper
range can be formulated.
Place- In order to distribute a product effectively in the market, it is important that a
proper place be considered. The distribution or sale of a product has to be in a place that can
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be easily accessed by people (Armstrong et al. 2014, p.78). The product is sold directly to the
buyers by transporting it to the required place. This can help in the proper promotion of the
product and increase the reputation of an organisation. The destination for the distribution of
product also needs to be strategically chosen. The Social Cup needs to identify the best place
to sale its hamper range that consists of the demands made by the customers.
Promotion- According to Hollensen (2015, p.67), promotion helps in identifying the
brand image of a company or product. The method of promotion adopted by a company is an
important factor for the success of itself or a product manufactured by it. In the modern era,
promotion in the net via social media is a strategic move every organisation can make. The
Social Cup can use this medium in order to promote its hamper range. Apart from this, the
fact that the company is associated with a social cause, the promotion of the hamper range
can be done via such a medium. The company can provide varieties of tea and coffee as gifts
to the people for the promotion of its hamper range.
2.2 Internal factors
In order to ensure a successful promotion of a product, initiatives and actions are
required to be taken by the members of an organisation. In most cases, it is seen that the
united effort of the members of an organisation help in the successful promotion of products.
According to Blakeman (2014, p.67), every department that exists in an organisation
contributes in making the promotional campaign a huge success. In this regard, the support
for external analysis is also required. External agencies include support from the
Government, striking a partnership deal, support from customers and the society is required
(Finne et al. 2017, p.445). In the case of The Social Cup, such support and coordination
among the departments exist.
The Social Cup is an organisation that is dedicated to retail coffee beans and tea
leaves in Australia. Along with this, the organisation also helps in providing education and
empowerment to women and children. Thus, the responsibility for the promotion of its new
product needs to be taken by the entire organisation (Belch et al. 2014, p.90). The
departments of the company need to work in harmony for the promotion of its hamper range.
For example, the marketing department needs to analyse the market in order to identify the
target customers. The managers can formulate strategies and finance for the promotion of the
product. The finance department can also analyse the finances that the organisation has. Thus,
the company have the required resources to promote the product. The partners associated
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with the company like Child Fund Australia and Australian Indigenous Education Foundation
can help in the promotion of the product by acting as external agencies (Jin, Ji & Gu 2016,
p.61). These organisations are selected in order to provide support to the cause that The
Social Cup believes in. Thus, support from external agencies is needed.
2.3 External factors
Customer analysis- Every business organisation needs to identify a target market so
that it can prosper in the sales of the product. The Social Cup manufactures coffee beans and
tea leaves. However, the focus of the company is on the promotion of its hamper range that
consists of its products (Phillips & Gully 2015, p.34). The company need to use the economic
model of customer behaviour in order to identify the customers. This can help in analysing
the economic price effect, substitution effect and the income effect. Hence, the company can
gain considerable profit by selling the products to customers that believe in a good package
system.
Competitor analysis- According to Grant (2016, p.112), competitors of a company
help it to grow and understand the areas in which it lacks. This means that the drawbacks of
the companies can be analysed by comparing it with the competitors. It helps in developing
strategies to out-compete the competitors and increase reputation in the market. In the case of
The Social Cup, the three main competitors of the company are Aroma, Belaroma and
Coffex. These three companies are coffee manufacturers and producers that have a huge base
in foreign countries like India, Brazil and Tanzania. According to Kopalle et al. (2017, p.
114), one of the biggest advantages of these companies is the fact that these businesses exist
since a long time. Aroma uses a strong promotional policy such as involving famous people
in its promotional campaign. Belaroma have its competencies by setting up business in core
social areas like in office place or parks. Coffex provides coffee of various tastes to attract the
competitors. Hence, it can be said that the competitors provide serious threats to The Social
Cup. However, one advantage that The Social Cup has over its competitors is the fact that it
also sells tea and has access to modern equipment in manufacturing the products and creating
an attractive hamper range.
Environmental analysis- According to Calvasina, Calvasina and Calvasina (2014,
p.51), environmental analysis is the ability to take a complete evaluation of the environment.
Every business organisation needs to make a thorough analysis of the environment in which
they set up the business. Based on these analyses, strategies are made that can help in
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addressing the challenges posed by these factors. For example, the political factors of the
country need to be analysed in order to understand the political scenarios in the country.
Similarly, the economic condition of the country justifies the financial capability of the
people (Meredith et al. 2016, p.1874). The Social Cup needs to keep in mind that the
manufacturing of the hamper range does not degrade the environment.
Political factors Economic
factors
Socio-cultural
factors
Technological
factors
Natural
environment
The trade
restrictions that
exist in
Australia may
have a severe
impact on the
business.
Currently, the
population of
Australia are on
the rise. As per
reports of 2015-
16, it is seen that
more people are
coming and
settling in the
country.
The diversity of
the population
can play a huge
role in the
marketing of
products. Based
on the demands
of the people
The Social Cup
can manufacture
and sale its
products or
innovate new
products.
In the modern
era, technical
expertise in a
field of work is
important as
technology does
about 40% of
the work.
The materials
used for making
the hamper
range can
degrade the
environment.
Materials like
plastic can
hamper the
environment.
Table 1: PESTN Factor
(Created by author)
2.4 SWOT analysis
Strength
Technical expertise
Coordination between employees
Popularity of the product in general
Weakness
Lack of expertise in employment
Lack of promotional techniques
Poor place for organisation set up
Opportunities
Expansion into global market
Make a better place for the country
Increase the level of competition in
Threat
Existing brands
Legal and political factors of
Australia
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the market Demography
Table 2: SWOT analysis
(Created by author)
After the SWOT analysis, it has been seen that the main weakness of the company is
the lack of expertise of the employees. This is mainly because the company does not employ
mane people due to lack of proper financial stability. Apart from this, a poor promotional
technique hinders the progress of the company in the country. The threats from competitors
are a challenging factor and the political issues that exist also hinder proper trade. The fact
that Australia is not a densely populated country also proves as a decisive factor for The
Social Cup. However, opportunities can arise from the strengths. One such opportunity is the
expansion into global market. This can be done by overcoming the weakness and the threats.
The use of technologies for making the hamper range can help in increasing the level of
competition in the market. The social benefits that the company can also help it to expand in
the world.
3. Target marketing
3.1 Market segmentation
According to Hanssens et al. (2014, p.534), market segmentation is done in order to
divide customers based on various groups. This segmentation is done in order to identify
target markets and manufacture products accordingly. The table provides the market
segmentation of The Social Cup.
Segment name Sensualists Sociable Worries Interdependent
Demographic Children Young people Price Common
people
Behaviour Good reception Needs for
products
Fade away from
products
Maintain
reputation
Personality Highly involved Emotionally
instable
Hypocrites Autonomous
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Table 3: Market segmentation base
(Created by author)
3.2 Target market
Based on the analysis of the market segmentation, the target customers of The Social
Cup can be determined. The Social Cup targets to expand itself every state of Australia. The
company targets customers of various age, income and education. The Social Cup needs to
target young people that enjoy the tastes of beverages and provides gifts to the people.
(Aghdaie & Alimardani 2015, p.262). The current and future markets of the company need to
be determined based on the reception of the hamper range.
3.3 Target audience
Target audience defines a group of people at which a particular product is aimed
(Dietrich et al. 2016, p.34). This helps a business to manufacture products and gain profit by
satisfying that brand of customers. In the case of The Social Cup, the influence on the target
audience can be such that the company can increase its reputation. Gifts are often exchanged
in order to display affection and a sense of gratitude to people. It can also be given to
customers from the company as a reward for loyalty.
3.4 Positioning statement
After analysing the target audience and the market of the business, the positioning
statement of Queensland Black can be determined.
“To enjoy the richness of coffee and tea at home, visit The Social Cup in order to
experience the hamper range of the company”
4. Objectives
4.1 Marketing objectives
The Social Care aims to take control of 30% of the market share with its hamper
range within the next 6 months by selling the brand manufactured from its region. For this, a
SMART objective can be formed in order to meet the marketing objective.
Specific The goal is to spread the hamper range
among the general people of Australia via
cafes
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Measurable This can be measured from the amount of
sales that the cafes are making of the product
Achievable This needs to happen among customers
interested in gifts
Realistic The resources required are the employees
with a sense of creativity
Time bound The goal needs to be achieved within a
period of 6 months
Table 3: SMART objective
(Created by author)
4.2 Communication objectives
After analysing the SWOT, it can be said that The Social Cup needs to improve the
promotional technique. For this reason, the communication objectives need to be setting
proper channels for promotion and spread awareness among the local people. Different
models can be used to guide communicators in an effective manner.
4.3 Sales objectives
The company can provide short-time discount promotions in order to attract
customers and increase the image of the product. It can also help to monitor progress in an
effective manner.
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Reference
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Kopalle, P.K., Fisher, R.J., Sud, B.L. & Antia, K.D., 2017. The Effects of Advertised Quality
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