Marketing Plan for NFE: MRKT20052 Marketing Management, T2 2018

This report presents a marketing plan for Natural Food Evolution (NFE), an Australian producer of healthy food products. It includes a situational analysis, marketing strategy, and implementation plan aimed at strengthening NFE's market position. The plan details customer segmentation focusing on psychographics, target marketing of health-conscious upper-middle-class consumers, and positioning the brand as "food for life." Marketing and financial objectives include increasing product quality, strengthening raw ingredient supply, and boosting sales by 20%. The marketing mix strategy emphasizes high-quality products, value-based pricing, selective distribution, and effective promotion through social media. A budget allocation for promotional activities is also suggested to support the plan's implementation and drive business growth. Desklib offers a variety of solved assignments and past papers to aid students in their studies.

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Executive Summary
The natural Food Evolution, Australia is the producer of super healthy and nutritious food
products. This organization has been satisfying its customers who are extremely health conscious
for years. A wise marketing plan for NFE has been suggested in this paper along with the
situation analysis, marketing strategy, and proposed implementation plan for the company. For
securing a strong position in the market for organic and natural food products NFE requires to
develop a wise and fruitful marketing strategy. The market strategies including the customer
segmentation, target marketing and the set of tools of the marketing mix like products, prices,
distribution, and promotion were all discussed and proposed in the paper. The marketing and
financial goals and objectives of the company had been also focused on the discussion. The
implementation plan of the proposed strategy has also been highlighted. A budget plan has also
been suggested along with the detailed information of the required expenditure of different
resources. The recommendation regarding the growth of the business of the company has been
provided at the end of the paper. The company has already seen a profitable progress as more
people are getting attracted to the healthy eating. An effective marketing plan discussed in this
paper will help the organization to engage more customers leading the company to get more
profit.
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Table of Contents
Executive Summary.........................................................................................................................2
Introduction......................................................................................................................................4
Situational Analysis.........................................................................................................................4
Segmentation, Targeting and positioning........................................................................................5
Segmentation...............................................................................................................................6
Targeting......................................................................................................................................7
Positioning...................................................................................................................................8
Objectives......................................................................................................................................10
Marketing objectives.................................................................................................................10
Financial objectives...................................................................................................................10
Evolution of marketing mixstrategy..............................................................................................11
Marketing Mix...........................................................................................................................11
Marketing Strategy and proposed Implementation....................................................................13
Budget allocation for a promotional mix.......................................................................................14
Conclusion.....................................................................................................................................15
References......................................................................................................................................17
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Introduction
This paper deals with the company Natural Food Evolution, Australia along with its various
marketing aspects. NFE is an organization, which is famous for producing the natural food
products as well as beauty products. The quality of the products is very high and the customers
are satisfied with the products. The founder of this organization is Rob Watkins. This company
produces healthy foods but there is the company undertakes no wastage of the resources because
of the recycling process. The paper focuses on the situation analysis as well as the marketing
strategy of the company so that an effective marketing plan can be developed. The strategic
decisions are very important to beat the competitors in the market. The other food manufacturers
like Happy Tummy, The Deeks are the major rivals of NFE. To beat the competitor NFE should
provide distinguishing features and uniqueness of their brand with significant value for the
customers (Rodrigues et al., 2015). Effective marketing strategy is required for meeting the goal
of the company. In this paper, the marketing and financial objectives of NFE have been
explained properly and the analysis of customer segmentation and target marketing of the
company has also been discussed. This paper also presents the Marketing Mix, budget allocation
and other strategic plans of the organization along with the implementation concept of these
strategies (Patino, Pitta, & Quinones, 2012).
Problem statement:
NFE is a reputed food and beauty products manufacturer company, which has its satisfied target
customers who are too rich and well off to compromise on the quality of the products. They like
to prefer to buy the quality and reliable products rather than to but at a low price or on discounts.
The people can see and buy the products online as the company uses the social networking sites
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to promote their products and through e-commerce. The products can be available remaining at
home due to the online services. Hence, the marketing of the company has discovered a very
positive and promising business approach through these necessary tools. The customers are
being satisfied with the products of the company for years. The product reviews by existing
buyers influence to grab more customers and the customers tend to rely on the products of NFE.
The products also can be purchased via credit and debit cards (Kim, 2017).
Segmentation, Targeting and positioning
It is necessary for any company to opt for the appropriate customer segmentation, target
marketing for making an effective marketing strategy. The right decision of customer
segmentation and target marketing can secure a strong position in the company in the market-
beating all the competitors. These factors of market strategy are going to be discussed in this
segment.
Fig: Segmentation, targeting, and positioning
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Source: (Cross, Belich & Rudelius, 2015)
Segmentation
There are four types of customer segmentation such as demographic, geographic, behavioral and
psychographic. The geographic segmentation refers the selection of the customers based on
some places, demographic segmentation refers the segmentation of the customers based on age,
behavioral segmentation refers to the segmentation of the customers depending on the
behavioral pattern and taste, the psychographic segmentation depends on the lifestyle and the
mentality of the customers. In this case, the company has chosen the psychographic
segmentation. This is because it is the most valuable type of segmentation, which helps in
focusing in individual purchase intent and styles of the target segment and thus can focus
appropriately on production and marketing (Cross, Belich & Rudelius, 2015).
Fig: Marketing Segmentation
Source: (Cross, Belich & Rudelius, 2015)
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The Natural Food Evolution produces super healthy food products. The innovation and the
farming techniques of the process of food production cost much. Hence, the cost of the products
is also high. The people belonging to the rich and upper-middle class only can afford to buy
these products. The customers are too much health conscious. The customers of the NFE believe
in the healthy lifestyle. The company does customer segmentation according to the age. Some
products are produced for the children, some of the products are meant for the age-old people,
and some products are for the people who are in middle age. The age-old people are the more in
numbers, as they require the healthy foods as their digestive system are not as strong as the
young people.
Targeting
The super healthy products manufactured by the NFE are extremely expensive as the production
costs are high for applying the innovations as well as the new farming techniques. The farmers
who have the passion for growing the highly nutritious foods produce these food items. The
target customers of this company are highly health conscious and believe in a healthy lifestyle
and will involve a considerably big enough criteria size to justify the target segment. The
company knows very well that their products will not be sold to the people of all economic
classes and thus measurable differences exist between segments. The company has the very
selective target class of people who come from rich and upper-middle class who are easily
accessible. The doctors often prescribe the food products of NFE. The products should be with
the health value to such an extent so that these health conscious people can be satisfied (Ruiz-
Pava & Forero-Pineda, 2018).
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Fig: Targeting Process
Source: (Ruiz-Pava & Forero-Pineda, 2018)
Positioning
NFE holds a significant position in the market of the organic and healthy food products. The
positioning statement of the company will involve “food for life.” The competitors can be beaten
by an effective marketing strategy and proper promotion of the products. The products can be
displayed on the social media and the description of it should be available on the social
platforms. As the company provides the self-grown gluten free and dairy free products having
the distinguished value, the people are generally attracted to them. The uniqueness of the brand
lies in the fact that foods are processed at the self-harm of the company leads to secure a strong
position in the market. The responses and the feedback from the customers are quite satisfactory
and this helps to ensure the company to hold the top rank in the market for organic foods
throughout the world. The strategic decision regarding the promotion and branding must be
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effective to compete for the other rivals and for securing a high position in the market. Following
is the positioning map for the company (Liu, Liao, Huang & Liao, 2018).
Fig: Positioning Map
Source: (Created by the author)
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AldiIGANFEColesLess
Expensive
Moderate
quality
High quality
Highly
Expensive

Objectives
Every organization should have the particular marketing and financial objectives as the part of
the marketing strategy to make the business more profitable. NFE also has some particular
marketing goals and objectives for the growth of the business. The goals and targets should be
fixed deliberately and they must be implemented properly to be achieved. The marketing, as well
as the financial objectives, are being discussed below: (Saleh, 2015).
Marketing objectives
1. The company should produce more high-quality food product to satisfy the people who are
health conscious. The new innovations and farming techniques can be applied. For this
purpose, the company should engage the scientists and researchers for the new experiments.
The investments should be done in those scientific researches as they can give an outstanding
outcome in the farming procedure to grow the natural organic foods.
2. NFE must strengthen their own supply of raw ingredients to make the quality of the products
higher.
3. The organization may consult the doctors and the health practitioners to get a suggestion
regarding the food value of the products. The feedbacks and the responses of the existing
customers should be evaluated properly (Resnick, Cheng, Simpson, & Lourenço, 2016).
Financial objectives
1. The cost can be increased if the production cost gets higher. The customers are not at all
bothered about the price. Hence, the company can grow the prices by 2-3% if needed
2. The discounts should be rarely given on the newly launched products.
3. The sales of the organization to be increased by 20% within the coming year
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These objectives and goals should be achieved for the growth of the business. The fulfilment of
the objectives will lead the company to build its stronger brand value and make a more positive
image of the organization. The customer base can be increased if these objectives can be
implemented properly (Terkan, 2014).
Evolution of marketing mixstrategy
Marketing Mix
There are certain combinations of factors that can be controlled by the food organic company
like NFE to influence the consumers so that they can purchase their products. The Marketing
Mix is considered to be the foundation model in the marketing strategy. The set of marketing
tools that are used by any company like NFE refer to the four factors of marketing decision
namely product, price, place, and promotion (Baker, 2014).
Fig: Marketing mix
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Source: (Borden, 2015, p.15)
Product
The products produced by NFE are the super healthy organic natural food products. The products
are on high demands by the people who are health conscious. The foods are naturally grown at
the own farms of the farmers who are passionate about growing the natural highly nutritious
foods (Worsley et al., 2014, p.75). The quality of the products should be retained and controlled
becausethe company itself supplies all the ingredients and the self-grown raw materials. The
people who believe in a healthy lifestyle prefer the gluten free and dairy free natural food
products. The doctors often prescribe the food items produced by NFE. Hence, the quality of the
products must be more enhanced by applying the innovations and new farming techniques
(Helms & Nixon, 2010).
Price
The value-basedmodel has to be chosen in pricing the food products by NFE. The customers are
concerned about the quality of the product rather than the price of the products. The food items
are produced by the company specifically for the rich and health conscious people who can
afford the expensive price of the products. If the production cost increases, the company can also
increase the prices of the products but can never drop the quality of the foods (Solomon et
al.,2014).
Place/ Distribution
The food items produced by NFE cannot be sold at all the places. The company has to select the
locations where the rich and well-off people reside. The outlets of the products can be situated
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beside the doctors’ chamber the products are prescribed by many doctors also. The online
distribution can be most effective as the people can see the products and know about it
thoroughly in the social media. People can also order the products via online. The products are
mostly sold in the metropolitan cities and the posh areas of Australia and other countries
(Resnick, Cheng, Simpson & Lourenço, 2016).
Promotion
Promoting the brand and the products are the most essential part of the marketing strategy. The
food products naturally grown by NFE should be promoted along with the description of their
nutritious value on the social media and official websites. The advertisements can be given in the
newspapers as well as in medical journals and magazines. The doctors and the nutritionists can
be involved in the process of advertisements and promotions (Adom, Nyarko, & Som, 2016).
Marketing Strategy and proposed Implementation
To gain the profit in the business a proper marketing strategy should be fixed and implemented
properly with insight. NFE has to build an effective marketing strategy so that the quality of the
food products can be retained. The wastage of the resources can be avoided by recycling of
them.The management of the company should set the right expectations. The factors of the
marketing mix as well as the target marketing and the customer segmentation, positioning should
be well conceived and formulated. Besides formulating, the strategies they should be
implemented well (Ang, & Rusli, 2018, p.52). The contribution of the employees, teamwork and
the proper leadership will lead the company NFE to implement the strategies properly. The
implementation of the strategies must be monitored at regular interval. The market assessment is
quite necessary for making and implementing the strategies. NFE should always take and
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evaluate the responses and feedback from their customers and it is the duty of the management of
the company to satisfy all the needs of the customers. The quality control department of the
company should assess and monitor the satisfaction of the clients. The efforts of the company
should be overviewed by the managing board. The trust and reliability of the customers should
be the ultimate concern of the business (Olson et al., 2018, p.65).
Budget allocation for a promotional mix
The detailed information of the budget of an organization is one of the most important factors of
the marketing plan. The detailed estimate of the allocated expenses for all the required resources
of the company is presented through a budget to achieve the goal of the business. A budget plan
with the detail of the estimates of various required resources of NFE is being presented below
Resources and Marketing Activities Costs (AU$)
Market research for identifying digital
marketing media
5000
Digital marketingContent development 5,000
Paid Advertising expenses
Television commercial advertising 8000
Social media marketing
 Facebook
 Instagram
 YouTube
5000
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 twitter
Online advertising through website and popup
webpages
5000
Newspaper advertisements publishing 2000
Billboards, and leaflets distribution 6000
Branding 3000
Other expenses 1000
Total 40,000
Above is the budget plan for the company NFE. The estimated budget is AU $40,000. This is a
cost budget plan. For the market research and other marketing activities, the total allocated cost
is AU $ 5,000. The total cost of the content development is AU $5000. The paid
advertisingexpense is considered to be the highest cost in the whole budget. The cost for
branding, promotion and production launching has been provided in the above detail (Datta,
Ailawadi & van Heerde, 2017, p.15).
Conclusion
This paper has presented a satisfactory marketing plan for Natural Food Evolution, Australia.
The effective marketing strategy and the marketing plan influences the development of the
business and growth of the company. This paper has suggested the marketing objectives, goals,
and the essential marketing factors, which can grab more customers leading to the make the
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business more profitable. The marketing strategy including the customer segmentation, targeting
and the factors of marketing mix such as products, price, distribution and promotion of the
company have been discussed in this paper along with the detailed information of a budget plan
(Nagle & Müller, 2017, p. 62).
Recommendation
The management of the company NFE should be more thoughtful regarding the quality of their
food products. The new innovations and farming techniques can be tried. The new scientific
researches should be encouraged and invested by the company. The advertisements should be
more attractive. The opinion of the doctors and the medical experts, as well as the nutritionists,
can be taken for enhancing the quality of the products. They can be engaged in the promotional
activities also (Hullavarad, O’Hare, & Roy, 2015, p. 262)
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