MooStastic’s Target Market
The diverse combination of the Raleigh, North Carolina population is a market segment in which there is potential sales of the non-alcoholic beverages especially the wide covering milk drinks MooStastic offers. The coverage of the distribution pattern of milk beverage supplied by MooStastic would be spread across the general population of Raleigh, North Carolina. This is because of the general acceptance of the milk drinks of the company across the young and the old of Raleigh City. This would cover a population figure of an estimated figure of 431746 of the general 9,848,917 of the entire North Carolina population. The supply and distribution of the company’s products will cut across the various Raleigh City, North Carolina religious population which constitute 46.41%of the population and even the non-religious population too (North Carolina, 2009).
The consumption of the milk drinks just like any other dairy product within this city has got no religious boundaries and would cover the 11.30% Catholic affiliates, 6.68% Christians and 0.99% LDS, 1.31% Eastern faith, 0.38% Jewish, and 1.14% who affiliate with Islam. The consumption coverage of the milk beverages produced by MooStastic would maneuver across the city’s ethnic composition of whites who constitute 57.5% of the population, 29.3% African Americans, 0.5%American Indians and Alaska natives, 4.3% Asians, and 11.4% Hispanics or Latinos. The beverages of MooStastatic is affordable across the varied income distribution of the Raleigh’s population from the lowest earning of $10,000-$20,000 which constitutes 9% of the Raleigh population to the high category of over $200,000 (5%) earners(North Carolina, 2009). Both the female (53.8%) and male (46.2%) composition of the Raleigh population is a target market at equal measure as the milk beverages have no specific gender affiliation.
Age range: 2 and above
Income range: $10,000 and above
Gender: Both males and females
Occupation: Not specified
Marital Status: Any
Family Size: Any
Ethnic Group: All
Level of education: Any
Home Ownership: Not specified
Industries: Non-alcoholic Beverages Industries.
Sector: Milk Drinks
Years in Business: Six months
Company Revenues: Milk drinks sales, $1,000,000 for the past 6 months.
Number of Employees: 547
Number of Branches: None
Square Footage:97 square meters.
Company Ownership: Sole Proprietorship
The Company’s Market Competition
MooStastic marketing plan takes into account the competition posed by the market it operates, Raleigh, NC. The competitive analysis of the plan gives focus on the identification of:
The soft drink industry in Raleigh experiences a stiff competition from the various competitive firms in the market. The market of soft drinks in this market calls for a clear strategic positioning in which MooStastic would find its grounding to remain competitive and achieve continuity in such a competitive market (Fisher, Pride & Miller, 2014). The magnitude of Raleigh, NC soft drink competition comes from major firms like Variety Beverages Llc. which isa large producer of energy drinks, S & D Coffee Inc. Of Raleigh, Stockton Graham & Co., and Tasty Beverage Company Llc.
The basis on which MooStastic Company competes takes a large spectrum of aspects. These include firstquality. The company puts lots of emphasis on the quality of its products to ensure that its consumers get value for their money as a result of consuming the best of all non-alcoholic beverages in the city(Luther, 2011).Secondly, the other area of creating competition is the emphasis of health concerns that the company has given much weight in making sure that the products the company produces has less health effects.
The competition in Raleigh City’s non-alcoholic beverage firms has always been at its top notch. This makes the company to scale out its competitive edge in an explicit manner in which it maintains its market share and ensure business continuity. Though, the industry’s competition is high, companies like MooStastic ensures that it fits within such challenges in order to continue doing business in this market(Fisher, Pride & Miller, 2014).
The potential future competitors of MooStastic Company are Grapes Expectations Wine, Variety Beverages Llc, Alternatives Wines Inc. and Ararat Import Export CO.
The non-alcoholic beverage industry of Raleigh, NC experiences barriers to entry for the new competitors in particular areas. These include the huge capital needed for establishing the business which many among the new competitors find unsustainable. Another barrier is the expertise involved in the production of non-alcoholic beverages. Only a few firms and individuals have patents to these expertise and such production rights.
Another aspect of barrier to entry include the economies of large scale production. The Raleigh’s non-alcoholic beverages firms operate in a market with significant economies of scale which the incumbents have already exploited, thereby deterring new entrants.
MooStastic would explore on the elements of branding in order to heighten its competition against the market leaders within this market segment. The company would ensure that it develops a company’s brand, which include identity system, name and the messaging platform (Luther, 2011). The marketing strategy of branding offers a creation of a differentiated image and name with an aim of establishing a presence in the minds of consumers and make sure that they attract and keep customers. Branding ensures creating a bond among the various business partners and provide a basis submissive perspective from customers.
Market share Distribution
MooStastic is managed towards a plan to differentiate it from the entire competitive rivals in the market.
|Competitor||% of Total Revenues||% of Total Units sold||Trend of market Share (Increasing or decrease?)|
|Grapes Expectations Wine||$208,622||65%||Increasing|
|Alternatives Wines Inc.||$99,027||49%||Decreasing|
|Ararat Import Export CO.||$156,345||58%||Increasing|
|Pepsi Bottling Ventures LLC||$255,000||44%||Increasing|
What Customers Want: The Five Fs
The company gets to understand, assess, analyze and conveniently strive to come up with what would be the exact need of the various customers.
- Functions: The milk drinks produced by MooStastic meet the customers’ needs by being put available in different flavors thereby offering a wide variety of consumers’ choice.
- Finances:The pricing of the company’s milk drinks is relatively cheap as compared to the prices of other non-alcoholic beverages in the market. The customers find the price affordable and with this low price they can save and invest part of their remaining earnings.
- Freedom:The choice that the company’s product to its customers creates a greater freedom among the customers. The easily accessible distribution units across the city helps in ensuring timely reach of the products to their respective customers. This helps them spend less time and resources to get the products and thus ease of life operations at a relax atmosphere.
- Feelings: The Company’s products heightens the bar to create a greater feeling from their consumption among its customers. The milk products are everybody’s preferred Non-alcoholic beverage and this per sie creates a higher self-esteem among its consumers. The affiliation that the customers create with the brand of the company’s products has made the customers to have respect for the salespersons and the entire company in general(Westwood & Institute of Directors, 2002).
- Future:the consumption of the milk drinks that the company has been producing has experienced an increasing trend in consumption as they are considered healthy and safe for consumption. This indicates that the consumption of the products would still be promising even in the future.
Among the Five F’s, Feeling is the most important motivating factor to ensure that the company’s target market make purchases. The feeling of safety, healthy and long living aspects of the Milk drinks make customers to feel part and parcel of the products and thus feel at ease purchasing similar products day in day out.
The Company’s Marketing Platform
MooStastic Company would exploit on the online marketing. The advancement in technology has been the basis of change in the world of marketing among the various competing firms in an industry. The online marketing has been advanced further with the emergence of social media category in reaching every aspect of the target market that businesses would want to incorporate in their system.
The Online Marketing Tactics
- Website: The Company’s website is the foremost avenue on which its products get to firstly create an impression on their consumers. The consumers would find every information they need on a product on the company’s website. The company’s website is set to maintain the company’s image and every information fed through this site holds the greatest level of credibility. The website is operated on the basic objectives of integrity and reliability.
- SEO/SEM: The Company will ensure driving of traffic through a paid search engine marketing. The company will lease such search engine from vendors at a fee to facilitate effective online marketing.
- Email Newsletter: The Company will provide a weekly email newsletter on the company’s new product, promotions among other operations (Westwood& Institute of Directors, 2002).
- Blogs: The Company has not contemplated using blogs, though there greater flexibility in its undertakings and incorporating such elements will just be instilled when deemed necessary.
- Social Media: The capitalization of the social media platform is an area that MooStastic would fully exploit as the IT world is changing to social avenues like Twitter, Instagram and Facebook for a worldwide exploration, information dissemination and networking.
- Other Online Advertising: MooStastic will invest in any other online advertisement as would be fit for the operations of the business.