Food Marketing Strategy Report: Greek Yoghurt in Australia

This report presents a comprehensive food marketing strategy for Greek Yoghurt, focusing on the Australian market and the Farmers Union organization. It begins with an introduction to marketing and the product, detailing its characteristics and health benefits. The report analyzes the food market, ...Read More

Food Marketing
(Greek Yoghurt)

Table of Contents
INTRODUCTION......................................................................................................................1
ABOUT THE PRODUCT..........................................................................................................1
FOOD MARKET FOR PRODUCT...........................................................................................2
Segmentation and targeting....................................................................................................3
CONSUMER DECISION MAKING........................................................................................4
Marketing initiatives related to consumer decision making..................................................5
MARKETING STRATEGY......................................................................................................5
Positioning strategy................................................................................................................5
Branding strategy...................................................................................................................6
Pricing strategy.......................................................................................................................6
Integrated marketing communication....................................................................................7
RECOMMENDATIONS...........................................................................................................8
Packaging and labelling.........................................................................................................8
Point of sale............................................................................................................................9
CONCLUSION..........................................................................................................................9
REFERENCES.........................................................................................................................10

List of figures
Figure 1: Greek Yoghurt............................................................................................................1
Figure 2: Demand for Yoghurt...................................................................................................2
Figure 3: Global Greek Yoghurt................................................................................................3
Figure 4: Consumer decision-making process...........................................................................4
Figure 5: Positioning strategy....................................................................................................6
Figure 6: Penetration pricing strategy........................................................................................7
Figure 7: Integrated marketing communication.........................................................................8

INTRODUCTION
Marketing refers to the development of a plan or strategy to create awareness about
the products and services in the selected market. The effective marketing terms can be
beneficial for the organization to improve the sales and brand value of the product and
services to achieve the goals. The report will develop a plan for the market of Greek Yoghurt
food product in Australia and identify the market segment for the product of Farmers union
organization. The report will analyse and discuss the consumer decision making for product
and identify the implications for the decision making for marketing. Moreover, the report will
develop a marketing strategy for Greek Yoghurt considering the positioning, branding and
pricing of the product. The report will also provide recommendations for a strategy to
interrupt routine behaviour at the point of the sale of the Greek Yoghurt in Australia for
Farmers union organization.
ABOUT THE PRODUCT
To make the Greek Yoghurt, the Farmer union using regular Yoghurt that is strained
extensively to remove the liquid whey and lactose, leaving behind thicker textured Yoghurt.
According to analysis, the Greek Yoghurt has double protein can be made as nonfat varieties.
The product has half the sodium of regular Yoghurt and carbohydrates. The Greek Yoghurt is
one of the famous food products in the food industry as it is a healthier substitute of the sour
cream, crème Fraiche and mayonnaise. The demand for Greek Yoghurt is increasing as it is
good for health and minimizes the fat in the body. The major health benefits of using Farmer
union Greek Yoghurt involve improving bone health, boosting the metabolism, reducing
appetite and hunger which is good for losing the weight. Moreover, the Farmer union Greek
Yoghurt is useful for encouraging mental health and building muscles mass and lowering the
blood pressure (Gyawali, and Ibrahim, 2016).
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Figure 1: Greek Yoghurt
(Source: Greek Yoghurt, 2019)
FOOD MARKET FOR PRODUCT
The Yoghurt production and demand is increasing as people are more concern about
health and giving preference to the healthy food products that could improve the health
condition without harming the body. By considering this fact, the production of Greek
Yoghurt is increasing and having a positive impact on the demand of the product within
Australia. According to the analysis of food market of Australia, the revenue of the dairy
industry is expected to rise at 1.3% annually. Moreover, the market of Greek Yoghurt is
reached up to $835.2 million. The demand for dairy products and services within Australia
is high and consumers are giving preference to the quality products.
The revenue of the Australian food industry is more than $10 billion and annual
growth of the industry is 6.7%. The product selected for marketing in-country is related to the
dairy segment. The dairy industry is benefited from the rising demand for healthy and natural
products. The key players of the industry involve Murray Goulburn, Saputo Inc. Fonterra Co-
op Group. There are many overseas companies are trying to make an entry in the industry by
offering high-quality products and services related to dairy (Richards, Kjærnes, and Vik,
2016).
Figure 2: Demand for Yoghurt
(Source: Demand of Greek Yoghurt, 2019)
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Figure 3: Global Greek Yoghurt
(Source: Global Demand of Greek Yoghurt, 2019)
Segmentation and targeting
The demand for Greek Yoghurt is increasing in urban areas of the country. The
people are giving preference to less sweetened and lactose-free products. However, many
brands are offering the Greek Yoghurt and it will be difficult for the Farmers union
organization to create the place in the market. The management could target the Queensland
and Victorian states for sales of the Greek Yoghurt. The demand for this product is increasing
by 10% annually and production of it will be beneficial for farmers to get a good price for
quality raw material (Mangan, and Lalwani, 2016).
The price of Greek-style natural Yoghurt in these areas is $6.30 per kilo and high
demand will help to increase the margin of profit. The segmentation criteria that could be
used for market the product will be behavioural segmentation. According to this type of
segmentation, the Farmers union organization will try to get the attention of customers by
using the consumer data related to buying behaviour for Greek Yoghurt in Australia, the
current price of the product and benefits. This type of segmentation will also help to create a
positive market place for Farmers union organization product of Greek Yoghurt.
The targeting strategy that the Farmers union could use for marketing of Greek
Yoghurt in identified locations of Australia will be Differentiated marketing. According to
this strategy, the organization will market Greek Yoghurt in the multi-channel by offering the
information related to the unique benefits, high quality and low prices of the food product.
This kind of targeting strategy for food production will help Farmers unionto gain
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competitive advantage and sufficient attention in the identified market to improve sales and
demand of Greek Yoghurt.
CONSUMER DECISION MAKING
The major requirements of Australian people for buying dairy products involve the
following attributes:
 Healthy
 Fresh
 Health star rating
 Date of manufacturing
 Fat and carbohydrate level
 Brand value of the manufacturing company (Granato et al., 2018)
Figure 4: Consumer decision-making process
(Source: Consumer demand process, 2019)
Problem recognition: The needs and wants of an individual related to Yoghurt is the first
stage of decision making. The needs can be based on income, culture, age and social status of
the people.
Collection of data: The market analysis and in-depth research related to best Yoghurt product
in the market based on income and requirements is helpful to make the decision. The analysis
of pro and cons as per the needs will be beneficial for an individual to buy Yoghurt product.
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Analysis of alternative: By sorting the 4-5 products or companies that offer the Yoghurt
products, the buyer is analyzing price, quality, health benefits and health star rating to choose
the best one (Maniatis, 2016).
Purchase: The purchase decision of an individual after analyzing alternative is influenced by
the marketing and availability of the product near them. The customers are not going to invest
a lot of time to buy the desired product related to Yoghurt which is daily need of the
individual.
Post-purchase: This is the review stage of the product, in which the individual compares the
promise made by the company has matched their expectation or not. If the promise has
matched the consumer will make the positive word of mouth for the product (Frederiks,
Stenner, and Hobman, 2015).
Marketing initiatives related to consumer decision making
Greek Yoghurt is a famous food product which is healthy for all age group people. To
encourage marketing and crate the awareness related to Yoghurt product, the management of
Farmers union could use the product benefits marketing strategy. According to this strategy,
the Farmers union will highlight the key benefits focusing on the behavioural segmentation of
their Greek Yoghurt such as reducing risk of type 2 diabetes, lowering blood pressure,
increasing mental health and improving the gut health. The awareness related to the product
will help to influence the buying decision of the customer and help to encourage the sales in
the Australian market as people are giving preference to healthy and quality Greek Yoghurt
(Karimi, Papamichail, and Holland, 2015).
MARKETING STRATEGY
Following strategies will be used by Farmers union organization for the marketing of
Greek Yoghurt in Australia:
Positioning strategy
The Farmers union organization will position the product by using the characteristics
and customer benefits of Greek Yoghurt manufacture and offered by Farmer union. This kind
of strategy will help to influence the decisions of potential buyers by offering the health
benefits of Yoghurt. This kind of positioning strategy will help to make the emphasis on
product quality and hygienic manufacturing process used by the company to meet the
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satisfaction level of the customers. The Farmers union management will promote is as ‘fresh
and healthy’ for all to the position in the market.
Figure 5: Positioning strategy
(Source: Poisoning strategy, 2019)
Branding strategy
To increase brand value and effective branding of Greek Yoghurt, the management of
Farmers union will use the emotional branding strategy. According to this strategy, the
company will try to develop an emotional relationship with the customers by maintaining
clean packing, less use of single-use plastic, consideration of the level of fat and nutrition in
the Greek Yoghurt offered by them (Valos et al., 2016). This kind of approach will help to
improve emotional attachment with potential customers.
Pricing strategy
To gain market share at the introductory stage of the product, the Farmers union
management will use the penetration pricing strategy. According to this strategy, the
organization will set the optimum price of Greek Yoghurt considering the prices of
competitors (Luxton, Reid and Mavondo, 2015). This kind of pricing strategy will increase
the customer base and allow the Farmers union to expand the market demand by maintaining
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a high quality of Yoghurt as well as create awareness using the behavioural segmentation
approach.
Figure 6: Penetration pricing strategy
(Source: Penetration pricing strategy, 2019)
Integrated marketing communication
The integrated marketing communication will play a critical role to manage the
promotion and marketing function of Greek Yoghurt. The Farmers union organization will
use consumer perception marketing approach for communicating about the product.
According to this strategy, the management will collect views and feedbacks from the
different potential customer of Greek Yoghurt and develop the product accordingly
(Blakeman, 2018). This kind of approach will increase acceptance of the product in the
market and develop a positive image of the Farmers union as the development of a consumer-
oriented product considering the behavioural segmentation approach to meet the marketing
goals and objectives. Moreover, this kind of process will help to deliver a clear and conscious
message to the customers by using the online and social media tools like website, Facebook,
Twitter and Instagram. Moreover, discounting offer and sponsorship of events and the use of
print media will increase the effectiveness of integrated marketing of Greek Yoghurt produce
by the Farmers union (Baltes, 2015).
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Figure 7: Integrated marketing communication
(Source: Integrated marking communication, 2019)
RECOMMENDATIONS
Packaging and labelling
To maintain the quality of Greek Yoghurt, the Farmers union management needs to
maintain hygiene packaging of the food product. The management will use recycled plastic
packaging option for proper packing and risk-free delivery of the Greek Yoghurt. This would
be beneficial for maintaining the eco-friendly approach and improving the quality standards
of the food product. In addition to this, the labelling of a food product will also have a
positive impact on decision making of target customers. The management will try to put the
image of fresh Yoghurt on packing and determine the ingredients and level of fat and energy
offered by the Greek Yoghurt produce by them. This type of packaging and labelling will
influence branding and marketing approach of food product and help to improve the sales.
The order processing will be done using online tools for billing and generating the invoice.
The inventory management will be done using order lead time and demand of the Greek
Yoghurt in the market of Australia (Christopher, 2016).
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Point of sale
To ensure high sales and influence decisions of target customers, the Farmers union
will display the Greek Yoghurt in leading grocery stores and offer through retail shops. For
example, the high footfall at supermarket stores is one of the most preferred areas for
displaying the food product like Greek Yoghurt. The management will try to cover all
supermarket stores at Queensland and Victoria states to improve point-of-sale marketing and
creating awareness related to the new dairy product.
In addition to this, the point of sale strategy that could be beneficial for the Farmers
union to increase the sales of Greek Yoghurt will be coupon and discount. According to this
strategy organization will offer reward points to the customers for every purchase of Greek
Yoghurt from their stores and other retail counters in cities and provide discount after
achieving the certain amount of points (Vigani et al., 2015). The attractive element of this
method is individualizing the offer for each customer based on the past purchases. Apart
from that, this strategy will allow the Farmers union to collect the data of the customers to
conduct the email marketing of the Greek Yoghurt food product.
CONCLUSION
From the study, it has carried out that marketing of food products requires extensive
market research and analysis as there is much similar product available in the market. The
report has analyzed the market of Australia for creating a market for Greek Yoghurt focusing
on the behavioural segmentation used by the Farmers union. The report has provided
information related to consumer decision making and developed the marketing strategies for
branding, positioning and marketing of the product. Moreover, the report has analyzed the
logistics function and packaging to maintain the quality and freshness of the dairy product.
Furthermore, the report has described the point of sale strategy to improve the market share
and retaining the customers for long time.
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