Product Management: Marketing Mix

Product ManagementSWOT, Porter’s 5 Forces, and Marketing Mix Analysis

Presented by: Deal ClosersTatiana Ivanova (Sales Manager)

Nirmala Mohanan (Creative/Graphics)Pritsadang Patikorn (Researcher)

Oriane Pitah (Spokesperson)Sireetorn Sawasdeepon (Strategist)Manoucheher Sibdari (Researcher)

SWOT analysis

Strengths

Large selection of healthy, locally grown foods

Authentic, unique products and services

High quality all natural products

Weaknesses

Lack of experience

Limited channel to connect with suppliers

Capital intensity

Opportunities

Increasing awareness through town events

There is a need to build brand identity with fresh foods, eventually leading to the idea that when people think “fresh, natural" they will think of our Marketplace

Making a free rewards card, so customer can get a discount on the next purchase

Active implementation of social networking has potential to boost brand awareness

Access to America’s top fishing port

Threats

There is a doubt regarding availability and quality of work force

Low income means inability of increasing spending

Changing competitors’ strategy

Intense competition

Bargaining power of suppliers

SWOT analysis

Porter’s Five Forces

Threat of Entry

Customer Switching Cost

Capital Needs

Expected retaliation

Access to proprietary technology

Established brands

Closed distribution channels

Economies of product differences

Threat of Entry is LOW

Low (location)

High

High

Low

High

High

High

Power of Suppliers

Possibility of Forward Integration

No substitutes for suppliers’ products

Suppliers’ products are differentiated

Incumbents face high switching costs

Product is important input to buyer

Power of Suppliers is LOW

Yes

No

No

No

Yes

Power of Buyers

Few large buyers

Large buyers relative to a seller

Products are standardized

Buyers face few switching costs

Possibility of Backward Integration

Buyer has full information

Force down prices

Buyer price sensitivity

Power of buyers is LOW

No

No

No

Yes

No

No

Yes

Yes

Threat of Substitutes

Substitute is good price-performance trade-off

Buyers switching costs to substitutes

The Power of Substitutes will depend on quality of our fresh food, services, and entertainment activities

Low

Low

Rivalry among existing

competitors

Many competitors in the industry

Firms are equal size

Industry growth is slow or shrinking

Exit barriers

Contractual obligations

No

Yes

No

Yes

Marketing Mix

Product

Major items from adjusted product list

Price

Prices of major products based on local prices research

Place

Major sections of products within Marketplace

Promotion

Examples of promotional activities

Product Types of consumer products: High involvement

Product Life cycle

stage: Maturity

Product and Place

Grocery categories

Seafood

Meat

Produce

Diary

Bakery

Flowers

Deli

Café

Arts & Crafts

Entertainment

Price

Estimate demand and

Price Elasticity of Demand

(PED = %change in demand/ %change in

price)

Method for calculating price: Competition –

Oriented method; going-

rate pricing approach

Grocery categoriesSeafood: Fresh fish (price per pound)

The most popular:

• Salmon $8.99

• Cod $9.99

• Pollock $8.99

• Yellowtail $12.99

Other:

• Haddock $9.99

• Flounder $9.99

• Fluke $9.99

• Sea Dabs $9.99

• Swordfish $12.99

Grocery categoriesSeafood: Shellfish (price per pound)

The most popular:

• Quahogs $1.29

• Mussels $2.99

• Oysters $5.99

• Little neck $5.99

• Raw shell-on shrimp $9.99 – $21.99

• Cocktail shrimp $12.99 – $20.99

Other:

• Lobsters $10.99 – $14.99

• Diver scallops $19.99

• Sea scallops $24.99

Grocery categories

Meat (price per pound)

• Beef

• Rib eye steaks $10.99

• Steak sirloin $7.99

• Steak top rounds $6.49

• Ground beef $3.79

• Pork

• Pork chops $4.49

• Pork tenderloin $6.99

• Ground pork $3.99

Grocery categories

Meat

• Chicken

• Chicken breast $3.99/lb.

• Chicken wings $2.49/lb.

• Ground chicken $3.99/lb.

• Lamb

• Lamb chops loin $10.99/lb.

• Lamb chops rib $14.99/lb.

• Goat

• Leg (bone-in) and loin chops$14.80/lb.

• Shoulder chops $10.99/lb.

Grocery categories

Produce: Vegetables

• Bell peppers $0.89 – 1.50/each

• Broccoli (Crowns) $0.79/each

• Cabbage (Green) $2.49/each

• Carrots $0.99/lb.

• Celery $1.99/bunch

• Garlic $0.50/head

• Lettuce $1.79/head

• Mushrooms $3.41/lb.

• Onions $1.19/each

• Potatoes (White) $0.79/each

• Tomatoes $1.29/lb.

Grocery categories

Produce: Fruits

• Apple Fuji $0.75/each

• Apple Gala $0.75/each

• Apple (Golden) $1.09/each

• Apple (Red) $1.09/each

• Cranberries $4.79/lb.

• Grapes (Green) $2.49/lb.

• Grapes (Red) $2.99/lb.

• Pears $1.09/each

Grocery categoriesDairy

• Fresh white eggs (Large) $2.79/doz.

• Fresh brown eggs (Large) $2.99/doz.

• Butter $3.29/lb.

• Cheese: natural varieties $2.51/ 8oz.

• Milk $3.49/gallon

• Sour cream $1.70/ 16 oz.

• Yogurt $0.60/4 – 6 oz.

Grocery categoriesBakery

• Bagels $0.70/each

• Bread Italian $0.11/oz

• Bread multigrain $0.31/oz

• Bread whole wheat $0.17/oz

• Cookies $0.15 – 0.34/oz

• Croissants $0.36/oz

• Muffins $0.75/each

• Pies $0.27/oz

Promotion Facebook

Promoting the store on Facebook (and other social media

platforms) is a great way to spread the word!

Email, SMS or text message marketing.

These are perhaps the most underrated player in the game. keep

in touch with the customers.

The most important thing to remember is that there is plenty of

competition out there, so always we should make sure to give

customers a reason to try our business and plenty more reasons to

keep coming back.

Promotion

Discounts

Discounts are a great way to treat our customers while driving up sales. We

can create discounts to take a percentage or flat dollar amount off the total

sale or limit discounts to exclusive items.

Bundle Pricing

“Buy one, get one free” or a “3 for the price of 1”; a great tactic for making

customers feel that they're getting more for what they're paying.

Special offers

Monthly offers similar to those in IKEA.

Training sessions for the other services

Attract more customers by daily offers for services (arts and crafts, workshops)

in the market. Offer a free service to anyone that brings in a friend and we’ll

make the existing customers happy campers, while growing the business.

Thank you!