UNWINED A Closer Look byAntaya Jones Justin Cole Sakthivel Karunanithi (Stark) Sumit SyalEddie HuangBrandon Dartnall

Overview Environmental Scan Competitive Analysis SWOT Analysis

Environmental ScanQ1. Select and state five factor or trend? DEMOGRAPHIC FACTOR –refers to population statistic, age, gender,

standard of living, birth rate, family size.  The wine industry experienced an increase in sale during recession period.

This was contributed by the ‘baby boomers-age 55 and above”. These consumer base was the ‘repeat purchase and loyal customers’ who

spend thrift along with quality life styles. Young population age 30-40 are also being target as new consumer base for

an increase in sale. The buying behaviour towards wine tend to fluctuate due to its seasonal and

festive product by nature. Locations tend to play a vital role in reaching the targeted customer base. i.e.

Jim mown an out in the city as well another in the outskirt area of Windsor.

Q1. Select and state five factor or trend? TECHNOLOGICAL FACTOR/SOCIAL –CULTURAL FACTOR

In addition, the young consumer base age 30-40 were reached in social media-Facebook.

The baby boomers are brand conscious and brand loyal. Introducing loyalty programs i.e. rewarding loyal customers with

coupons, points redeemable gift item such as Glass Painting and DIY with your own bottle.

New trend setting to build strong customer relationship and brand recognition as well get closer to customer via organizing tours and sponsoring local wineries on social media.

Some customers are of opinion that homemade wines does not have the same image as the local wine-a negative brand perception that need to overcome.

Q1. Select and state five factor or trend? ECONOMIC FACTOR refers GDP, Demand , Supply, inflation,

Recession, Boom, Risk, exchange rate Recession is often perceived as threat with prices escalating, sales

declining with layoff in the industry. There will be inflation. The wine industry experienced a reverse phenomenon with increase in

sales from a segment –senior citizens(Baby Boomers) with their limited disposable and low income were patronising the wine outlets such as “UNWINED” and “Brew your own wine” at Windsor with repeat purchases and Mark and Jim capitalized on this loyal customers.

New competitors are also emerging i.e. “Just Cork-It” and posing similar products and prices that’s split the market and drain the demand of wine.

A saturated market with identical players and marketing strategic, growth could be at stagnant.

Q2. Explain why each of your chosen factors or trends is of important to “UNWINED”

Demographic Baby boomers have the hold on the majority of the money available to

them to spend on luxury goods during the recession, in this case: wine. This generation tends to enjoy a finer quality of life, so therefore they will

tend to buy more to satisfy that want. Even though these baby boomers are good business now, they won’t last

forever so as a company we need to expand on the next coming generation (aged 30-40) to fill the space they will leave.

During the more festive holidays (Christmas, New Years Eve) sales are expected to rise. Therefore these locations will need to maximise production and end up selling more to reach more before those seasons.

For their target market, their location is a great place where they are able to reach the sum population on the border of Windsor and the surrounding city. (both for the older generation who tend to collect wine and celebrate, and the young night-life lifestyle that attracts the younger crowd).

Q2. Explain why each of your chosen factors or trends is of important to “UNWINED”

Technological Factor/ Social- Cultural Factor It’s important for companies to know just how to communicate to their

target audience in the most efficient way with their generation. For example, those aged 30-40 were more able to be reached via the popular social media, Facebook. This is one of the easiest way to meet with this generation.

Unlike the Baby-boomer generation, this next generation is a fair amount less brand-loyal

By introducing a loyalty program, UNWINED plans on trying to create that loyalty with the next generation. This is a trend that adds value to its brand while creating a brand awareness. It reaches out to both the older and younger generation.

However, some customers have the opinion that the homemade wines are not as good, or will not be able to hold up against the local wines. This gives the company a negative view that they will need to overcome.

Q2. Explain why each of your chosen factors or trends is of important to “UNWINED”

Economic factors Recession, with most companies, will lead to hard times in their

businesses unless they are careful. However, this wine company actually managed to increase its sales through those who still wish to live a life of luxury, without paying too high of a price. Baby-boomers rose to be UNWINED’s top customers. They created this organization to intensify marketing strategies to push away competitors.

They had forged ahead with CRM to create a stronger bond with brand loyalty with the baby boomers. This in itself is quite the sustainable long term strategy to create brand recognition and to change he view on homebrewed wine, and to instead show that homebrewed wines are actually much better than the more fashionable brands.

Competitive Analysis

Q3.i. Identify two competitive

The two biggest competitors for “UNWINED” would be “Just-Cork-it” and other local wineries in the area. Just-Cork-it is a huge player against “UNWINED” because they have the same thing going as “UNWINED”. Which is a bottle your own wine company. As with its rebranding and growth in the area it poses a major threat towards “UNWINED”. With other local wineries they are a big threat as well because of the location it provides convenience for the locals in the area.

Competitive Analysis

Q3.ii. Identify two strengths?

JUST CORK-IT Many locations (5)

throughout Windsor and Essex County, Ontario.

Target market holds most of the wealth in Canada.

LOCAL WINERIES Offers variety to

customers. Consumers usually

perceive local wine to be superior to wine they make themselves.

STRENGTHS

UNWINED Strong customer

loyalty. Strategic

geographical location.

Q3.iii. Identify two weakness?

JUST CORK-IT Same concept as

UNWINED, “make your own wine”.

Only focused on the older generation.

LOCAL WINERIES

No customization option.

Limited distribution to locations other than the Windsor area.

WEAKNESS

UNWINED Business slows

down during the months of Jan, and from July-September.

- Little social media presence/impact Competitor’s Weakness’.

SWOT Analysis

Stre

ngth

s O

ppor

tuni

ties

Weaknesse

sThreats

Loyal Customer Base Experienced Owners 2 Locations in the Windsor

and Lakeshore areas Partnerships with local

wineries

Operates in a Niche market No presence outside of the

Windsor and Lakeshore areas Lack of product diversity Main product lacks consumer

confidence

Consumers tastes are shifting towards healthy alternatives

Nova Scotia now allowing imports of wine from other provinces

Toronto wine industry is increasing Growing interest in the craft wine

industry by younger demographics

Slow sales during the Summer Economy is starting to

stabilize “Just Cork It” gaining market

share Bottle your own wine market

becoming saturated

THANK YOU!!!Have a glass of wine?