Temperate Climate of New Zealand - Case Study Example

New Zealand lies in the Southern hemisphere which heightens the dangers from the ultraviolet radiation (UVR) from the sun. In addition, the people of the country are fair skinned. Even though the region has temperate climate, the UV levels are high. All these factors are responsible for New Zealand having the highest rate of skin cancer (melanoma) in the world. New Zealand had so far been using Burn Time (BT) to communicate the danger from UVR. BT just indicates the time that would be taken for skin to burn if it exposed to direct sunlight. BT differed with different skin types and the burn time was different in each case. It was felt that something more efficient was needed for the benefit of the people. They wanted to come up with some tool for the people that would indicate the level of UVI intensity. Their goal was to provide the ultimate sun safety so that the number of people that suffered from skin cancer in New Zealand could be reduced. With these goals in mind, they came up with offering the Ultraviolet Index (UVI) – a tool that measures the level of solar UVR. They came up with a scale or index with integer numbers and color coding which could forecast the maximum skin damage that could occur from the UVR at solar noon. The index range moves from zero upwards and the higher the index number the higher the chances of skin and eye damaging due to exposure to the sun. WHO recommends protection when the UVI reaches over 2 whereas in NZ the UVI reaches 6 on most days between October and March and is much higher in the other months. To make their offering capture the market, and to make UVI an effective tool for health care, they conducted an extensive research on how the sun protection information are presented during the weather reports and identified the most effective method of presenting such information. They wanted that NZ accept the WHO UVI international guidelines and that UVI be used all over the country while presenting the summer weather reports. They wanted that UVI be supplemented with sun protection messages over the nation. After further research and refinements of the product in collaboration with the key stakeholders in NZ, they came up with the tool suitable for the NZ environment. The focus today has shifted to the consumer, on learning what the people want and need rather than persuade them to buy something. It is necessary to understand the target audience because it helps to develop strategies and effective messages for marketing. This leads to segmenting the market as the strategies differ for different segments of the market. CIM (2005) suggests effective segmentation of the existing market can play the trick. Segmentation as a marketing tool involved dividing the market into homogenous groups (segmentation), selecting one or more segments (targeting), and devising a marketing program for the selected group (Danneels, 1996). According to Goller, Hogg and Kalafatis (2002), market segmentation is a proactive process which involves the application of analytic techniques. With this is mind, for promotion of UVI, they segmented their target audience which comprised of the media and the general public. The media was important because they would reach the message to the people about the UVI through different channels like the print, television, outdoor signage and the radio. To increase the awareness, understanding and acceptance of the UVI as a scientific, accurate and relevant measure of skin damage risk, the media was important. The ultimate beneficiaries were the people of the nation and it was essential they increase the use of UVI as a guide to sun protection behavior. Segmentation helps to focus on the specific market and its needs. The goal of segmentation is not to have just any customer but to select a homogeneous group of customers and focus on servicing their needs. The organization can then decide on the right marketing mix for the services or product offered. Knowing the attitudes help advertise in the right market and in order to satisfy the needs of the customers more successfully, and to reach them in the most effective and efficient way, service companies benefit by identifying groups of customers with homogenous characteristics and behaviors (Diaz-Martin et al., 2000). After segmentation an action plan has to be developed targeting the areas to be covered, the customers to be reached and the advertising budget to be allocated (Daneels, 1996). Targeting helps in employing the right marketing mix. The concept of marketing mix emerged from the notion of the marketer as a ‘mixer of ingredients’. The marketer blends the elements of the marketing mix to optimize profits. The product (which includes services) is priced according to the buyer’s ability, made available to the customer (place) and is promoted to make the customer gather as much information as required before the purchase takes place (Bennett, 1997). Thus the marketing mix of any product would include the right product at the right time in the right place with the right sales and promotion strategy and at the right price. Products include services or conveniences that are offered to consumers. Product decisions include aspects such as appearance, packaging and warranty (Facweb, n.d.). In the case of UVI, the design, graphics and the wording have been selected so that it is suitable to the environment. The importance of the product is enhanced as it is developed in collaboration with the Cancer Society of NZ, Health Sponsorship Council and other important institutions. Price means anything that a person must do to get the product. It need not necessarily be monetary and could require time or effort to obtain the product. If the benefits are great, people would adopt it at the cost of time and effort (Gregory, 2006). UVI requires effort on the part of the media and the general public for long-tem gains. Their marketing strategy was very effective in selecting the place and the promotion. For an intangible product or service, the place is the channel through which people are reached with information and awareness, says Gregory. UVI used the media to reach the information to the people. In their promotional strategy they involved the national media as their allies in UVI. They used the education approach in making the people aware of the benefits of using the UVI. This approach helps to change the beliefs of the target audience (Gregory). They provided the media with free, regular, standardized format containing UVI information which was in synchronization with their regular news and weather delivery. This strategy helped avoid any reluctance that could arise on the part of the media in carrying the information. Their public relations were very strong and they used as many channels as possible to reach the information to the general public. Even their timing was right as they introduced this information in the weather news just at the start of the summer in the southern hemisphere on October 1st, 2003. In the last few years they have been able to achieve the goals that they set out at the beginning. BT has been totally eliminated from NZ and UVI dominates the national media weather forecasting. UVI has also been able to generate extensive media interest. They started with a particular goal in mind and achieved it. They involved the administration and the health council which added weight to their efforts. The projected UVI as a health promotion tool and constantly monitored it. The design and appearance was suitable to the mindset of the local people as they need to attract the people initially. Only once the people are attracted would they venture to use it. They wanted that people use the UVI index as their behavior guide but the results are yet to be know. SWOT analysis of UVI reveals that its strength lies in their product and promotion. They have been able to totally eliminate the BT from NZ which is a great achievement; they have also been able to get the support of the numerous channels of media in creating awareness and projecting the benefits of UVI to the general public. Their weakness lies in lack of funds to launch an information campaign. This weakness has been overcome by using media as allies. Another marketing weakness was that they considered the general public as one segment. They have opportunities for expanding their services by reaching out to different target groups like the youth, the school children the aged population and the companies – all with a different marketing approach. It is essential to conduct a survey to determine to what extent the awareness in people has been created and to what extent it has altered their behavior patterns. The results of the survey would help decide the next strategy for enhancing the marketing of UVI. Research suggests that even though the UVI level in winter months in NZ is not particularly high, but the summer/winter contrast in UVI is large (McKenzie, Bodeker, Scott, Slusser & Lantz (2007). This is important from the health perspective. This consciousness has to be brought among the public how the contrast can adversely affect health and precisely why precautions need to be taken during the summer months. The ability to compare the UV levels with other countries already exists. These statistics should also be conveyed through the media to the public so that they know the dangers and would take precautions. Children are exposed to the direct sun during midday meals or during a game of tennis. A research to this effect has been conducted by NIWA (NIWA, 2007). Research suggests that contrary to normal belief, the UV level on a person would be higher early morning than mid day as the sun is lower at that time. Information like these has to be generated and circulated widely for a wider reach of the product. Leading marketers pursue new growth opportunities by adopting analytical perspectives (Wise & Sirohi, 2005). They make fact-based decisions about the customer segment and about the messages and media that help disseminate information. They first need to segment the general public into different homogenous groups. For instance, they must reach out to the schools in a different way and the Corporates in a different way. A heterogeneous group of customers must be segregated into homogeneous groups or segments. Each of these segments requires a different marketing mix to service their needs (Goller, Hogg and Kalafatis, 2002). Gregory (2006) contends marketing talks to the consumer and not about the product. Knowing the UVI levels is important for the schools to decide on the program for the day. Marketing UVI in schools is very important and should be taken up immediately. Children and the aged visit the parks very often and UVI should be available at all such locations. Along with the UVI index, guide to behavior is essential. They lack funds for an information campaign but there would be many organizations willing to sponsor such projects. The government should exempt such expenses from being taxed or added back to the profits since it is in the larger interest of the society. It is important to highlight the exposure to skin cancer and how exposure to sun can be avoided. UVI need not be marketed; the need of the customer has to be met. Once a person is convinced of the disadvantages of being exposed to the sun, he would automatically take precautions. This would require gathering statistics of the past few years relating to the incidence of cancer caused due to UVR. Facts and figures sink in better rather than cold claims. Thus, opportunities exist for UVI and they need to alter their marketing strategy. While it has been an effective move to use the national media as their allies, it is not sufficient to circulate information merely during the weather forecast. It requires real time information at strategic locations and through media that is widely available at all times. Segmentation procedure too has been lacking as the general public cannot form one segment. References: Bennett, A. R., (1997), The five Vs – a buyer’s perspective of the marketing mix, Marketing Intelligence & Planning 15/3 [1997] 151–156 CIM (2005), The Devil and the Deep Blue A, B or C: Segmentation in the maturing marketplace, The Chartered Institute of Marketing, 14 Oct 2007 Danneels, E (1996), Market segmentation: normative model versus business reality, European Journal of Marketing, Vol. 30 No. 6, 1996, pp. 36-51 Diaz-Martin, A M (2000), The use of quality expectations to segment a service market, Journal of Services Marketing, Vol. 14 No. 2 2000, pp. 132-146 Facweb, (n.d.). The Marketing Mix - (The 5 P's of Marketing), 14 Oct 2007 Goller, S Hogg, A & Kalafatis, S P (2002), A new research agenda for business segmentation, European Journal of Marketing, Vol. 36 No. 2 2002, pp. 252-271 Gregory, E., (2006), Social marketing: selling education to your clients, 14 Oct 2007 McKenzie, R., Bodeker, G., Scott, G., Slusser, J., & Lantz, K., (2007), Geographical differences in erythemally-weighted UV measured at mid-latitude USDA sites, 14 Oct 2007 NIWA (2007), How much UV are New Zealand schoolchildren getting? 14 Oct 2007 Wise, R., & Sirohi, N., (2005), Finding the best marketing mix, Journal of Business Strategy, VOL. 26 NO. 6 2005, pp. 10-11 Read More