Marketing Audit Report of Bega Tasty Cheese - Case Study Example

MARKETING AUDIT REPORT OF BEGA TASTY CHEESE Name Institution Professor Course Date Marketing Audit Report of Bega Tasty Cheese Table of Contents Table of Contents 2 Introduction 3 A.1: The Australian Target Market 3 A.2: The Marketing Mix 5 A.2.1: Product 5 A.2.2: Promotion 9 A.2.3: Place (Distribution) 11 A.2.4: Price 13 A.3: Competitive Advantage 14 A.4: Assessment of Success of the Marketing Mix 15 Conclusion 16 List of References 16 Introduction The purpose of this market audit report is to research and examine the marketing mix of Bega Tasty Cheese within the context of Australian market. In addition, the report offers a detailed evaluation of the effectiveness of the marketing mix in response to the needs and wants of the Australian target-market. The report is organized in four critical sections. The first section focuses on evaluation of the target market in Australia with reference to composition and segmentation. The second section focuses on the marketing mix in Australia: product, price, place, and promotion. The third section and fourth sections of the report concentrates on the competitive advantage as well as effectiveness of the marketing mix in accordance with the needs and wants of the target market. A.1: The Australian Target Market Business entities have the obligation of understanding their target audiences with the intention of adopting and implementing effective and efficient strategies for the achievement of goals and targets in the course of the fiscal year. This information is essential in assisting the operations of the business entities in two diverse ways. In the first instance, the information facilitates making of changes to the product or services in accordance with the needs and preferences of the consumers. Secondly, the information informs the business entity on effective ways and strategies to reach different customers through advertising and promotion techniques. The purpose of this section of the audit report is to offer a short description of the Australian cheese market. This is through essential identification and description of the consumers in the target market in accordance with segmentation dimensions. In addition, the description focuses on incorporation of the needs of the consumers in this target market. From this perspective, the report will be essential in illustration of the detailed market segment profile for the customers in the target market. Cheese is one of the major products of the Australian dairy industry. From a domestic perspective, the industry makes more than $1.5 billion sales prior to making $715 million sales in the form of exports. Nevertheless, the importance of the product to the industry is diminishing regardless of its significant to the growth and development of the dairy industry. Some of the factors contributing to this diminishing importance include lower milk availability, decrease in production incidents, and shift from cheddar to non-cheddar cheeses. Bega Cheese Limited focuses on receiving, processing, manufacturing, and distributing dairy and associated products (Ferrell & Hartline, 2011). The organization concentrates in manufacturing natural cheese, processed cheese, powders, butter, and packages cheese products. One of the essential products of the organization for execution of this assignment is the Bega Tasty Cheese. The company focuses on marketing this product to diverse consumers in the target market. Some of the consumers in this target market include children, middle class, and elderly with the ability to exploit the content of the product to satisfy their needs and preferences. Demographic Attribute Characteristics Age 3-65 Gender Male and Female Marital Status All Applicable Education All Educational levels Income Levels Middle class and high income earners as well as dependent consumers Benefit Expectations Quality health, appropriate body weight, and adequate development of bones Brand Loyalty High Usage The usage of the cheese ranges from medium to high Religion All religious affiliation A.2: The Marketing Mix Marketing mix refers to the phrase demonstrating diverse kinds of choices business entities have to make in the whole process of bringing the product or service to different markets in accordance with the demands and preferences of the consumers. The best way to determine or define the marketing mix of an organization is to focus on the 4Ps: product, place, price, and promotion. The purpose of this section of the audit report for the Bega Tasty Cheese is to evaluate the marketing mix with reference to product, promotion, place, and price to understand the effectiveness and efficiency of the strategies in addressing the needs and demands of the stakeholders. A.2.1: Product In the execution of this audit, the focus was on the evaluation as well as assessment of the case of Bega Tasty Cheese aiming to address the needs and preferences of the consumers in diverse markets and industries of operations. The product exists in the market with the intention of addressing differentiation needs and demands of a certain group of consumers, hence massive contributor to the revenues and sales at the end of the fiscal year. Bega Tasty Cheese is a single product. In order to adopt and integrate an essential technique and strategy for maximization of sales at the end of the financial period, the organization focuses on offering diverse packs and flavours for the achievement of different goals and aspects of competitive advantage in the market and industry of operation. The product is packed in a green pack with elements of red and yellow for diverse purposes. For instance, consumers have the easiest opportunity to identify the product in the course of their shopping exercises in retail and wholesale outlets. In addition, pack sizes range from 100gm to 1kg with the intention of offering diversity to handle different needs and preferences by the consumers in the course of seeking to address their wants. Different pack sizes have the ability to offer diversity to consumers in accordance with their financial prowess. Nevertheless, the packs focus on marketing the brand among its major competitors in the market and industry of transaction with the aim of realizing competitive advantage. Figure 1 Bega Tasty Cheese is a good source of Protein, Calcium, and Phosphorus thus essential for the growth and development of an individual. However, it is essential to note that the cheese is very high in Saturated Fat, which might contribute to the incidents of obesity within the society thus deterioration of the health conditions of the society members. Consumers of this product focus on exploitation of its ability to offer protein, calcium, and phosphorus. In order to meet this need, the production of the product focuses on integrating diverse milk content and relevant food flavours. In addition, the product focuses on facilitating growth and development of bones among children while also supporting the elderly of the essential calcium for their growth and development. It is also critical for the business entity to meet the needs of the consumers in the target market through effective packaging and efficient delivery of the product at the disposal of the consumers (Ferrell & Hartline, 2011). In addition, consumers have the perfect chance to enjoy quality products in relation to the amount they pay for the product in the market and industry of operation. This has been critical in the rapid growth and development of the organization as well as the image and reputation of the brand in the market and industry of transaction. One of the attribute of the product that is most important to the consumer’s needs is the quality of the product in accordance with the demands and preferences of the consumers. It is also essential for the consumers to consider the content of the product to facilitate its provision of calcium, phosphorus, and protein for the growth and development of the individuals within the target market. The objective of the product is to initiate and facilitate weight loss, provide optimum health, and weight gain in accordance with the demands of the consumers in diverse markets and industries of operation (Peterson, 2007). Consumers focus on exploiting these attributes to address their needs and preferences in the market and industry of operation thus an opportunity for the business entity to maximize its revenues and sales at the end of the financial year. In the development of the product, manufacturers focus on integration of the core product, actual product, and augmented product. This is essential in addressing diversity in the preferences and tastes of the consumers in the context of the target market. In this context, the core product is the milk cheese, the actual product is the Bega Tasty Cheese, and the augmented product relates to diverse packs in accordance with the different needs and preferences of the consumers. From this evaluation, the product has an effective brand. This is because of the substantial market coverage and size it has within the case of Australia as well as other entities across the globe. In addition, the brand is at the top-of-mind of most consumers making it effective and efficient in the marketing of the product for the achievement of the goals and objectives at the end of the fiscal. Furthermore, the organization focuses on exploiting the brand and its market coverage to enhance its image and reputation while gaining competitive advantage in the market and industry of transaction. This is an essential attribute for the achievement of the goals and objectives in the course of marketing and promoting the brand in diverse target markets (Rodgers, 2001). The packaging of the product is in green, yellow, and red colours with the intention of attracting the interests of potential and actual buyers while shopping for their needs and tastes in retail and wholesale outlets. In addition, the packaging process focuses on enhancing the ability of the product to stand out among its major competitors in the market and industry of operation thus critical for the achievement of different goals and targets within the industry. From this perspective, packaging of this product focuses on achieving diverse functions. The first function is to facilitate effective and efficient handling of the product by the consumers upon procurement to address their needs and preferences (Finch et al, 2006). Similarly, the packaging focuses on enhancing the appealing nature of the product with the intention of increasing the level of sales and revenues at the end of the fiscal year. It is ideal for the consumers to know the product through its unique packaging with the aim of promoting the image and reputation of the business entity. It is essential to note that the packaging technique has the ability to deliver substantial differentiation in the market and industry of operation. This attribute is ideal for the achievement of competitive advantage while handling the needs and preferences of the consumers with benefit and satisfactory elements to increase the level of sales and revenues at the end of the financial year. There are four critical stages in relation to the product life cycle. In this context, Bega Tasty Cheese is at the maturity stage. In this stage, the product is established since the aim of the manufacturer is to maintain the built market share. Bega Tasty Cheese continues to experience the stiffest competition in its marketing because of the essence of being at a maturity stage. It is essential for the business entity to invest wisely in the case of marketing and promotion of the product in the maturity stage. In addition, business entities like in this case such consider any product modifications as well as improvements to the manufacturing and production process for the achievement of competitive advantage in the market and industry of operation. This is critical for the products at maturity stage for the achievement of the goals and targets at the end of the fiscal period. A.2.2: Promotion Promotion is an essential technique for the business entities to handle the needs and preferences of different customers. This is through enlightening consumers on the existing prices at their disposal within the industry and markets of transaction. Promotion is vital in increasing the awareness of the consumers on the existing as well as emerging or new products and services in the market, which is essential in increasing the revenues or sales at the end of the fiscal year (Amb et al, 2012). In the course of this approach, business entities adopt and integrate diverse techniques and mechanisms to enhance their market share and coverage in accordance with the demands and preferences of the consumers in diverse markets and industries of operations. It is ideal to note that the effectiveness and efficiency of promotion techniques and mechanisms by an organization are evident in the market coverage and volume of sales for the achievement of the goals and targets in the course of the financial year. One of the essential techniques in the promotion of the Bega Tasty Cheese in the context of Australia is the implementation of both impersonal and personal communication technique. The objective of the promotional technique is essential in the generation and development of quality relationship between the consumers and relevant business entities while enhancing the image and reputation of the company. It is also essential to note that the organization focuses on exploitation of diverse marketing and promotion techniques in the form of newspapers and television networks. In the aspect of newspaper advertisement, the organization promotes its products and services in the national newspapers and business journals for effective and efficient coverage of the objectives as well as goals in the course of the fiscal year. Some of these essential communication techniques include the Australian and the Australian Financial Review. In addition, the organization markets its products in weekly and monthly newspapers in the form of Business Review weekly, the Weekly Times, and the Monthly. This mode of advertisement substantiates television marketing, which are always in-between programs on the major television outlets and networks with reference to the case of Australia. Moreover, the organization incorporates new marketing techniques in the form of search engines as well as email marketing and affiliation marketing techniques. From this perspective, it is ideal to note that the organization focuses on incorporation of direct and online marketing and promotion techniques for the achievement of the targets and goals at the end of the fiscal year (Mills, 2002). Social media has been an essential attribute in the modern society working effectively and efficiently for the business entities to enhance their sales and the consumers in the cong their interactions with the consumers in the course of the fiscal year. In this context, the audit reveals that Bega Cheese Limited focuses on exploitation of the current as well as emerging social media platforms to enhance its market coverage and revenues at the end of the financial year. The prominent social media platforms for the promotion of the product in this target market include Twitter and Facebook. These social media platforms are critical in interaction with the business entities as well as monitoring the success and techniques of major competitors in the market and industry of operation. Bega Cheese Limited focuses on exploiting its Facebook and Twitter profiles to engage current and potential consumers while notifying consumers about existing and new products at their disposal in the market and industry of operation (Goi, 2009). The approach is valuable towards the achievement of the goals and targets in the market and industry of operation. The outcome of the social media platforms is evident in the massive increase in the global coverage of the company and its major product among global consumers. A.2.3: Place (Distribution) Distribution is one of the essential attributes for addressing the needs and preferences of the consumers in the market and industry of operation. Effective and efficient distribution channels are essential in increasing the market coverage of the product while reducing the cost of products at the end of the fiscal year. In this context, Bega Cheese Limited focuses on adopting and implementing both direct and indirect distribution channels in the course of offering its products and services to the consumers in different market contexts. For instance, the company focuses on selling its product within its stores, supermarkets, retail stores, and wholesale outlets as well as cafe outlets with the intention of achieving its goals and objectives in the market and industry of operation. It is essential for the business entity to exploit this type of distribution strategy to facilitate the achievement of the goals and targets in the course of the fiscal period. The strategy has been chosen for diverse reasons. In the first instance, this distribution channel is critical in satisfying the needs of the consumers in the target market. In addition, the strategy focuses on addressing the needs and preferences of the consumers through ensuring that the product is available at their disposal in relevant markets of distribution. Similarly, the organization focuses on adopting and implementing this distribution technique to facilitate increase in the market size and coverage of the product thus an opportunity to enhance the image and reputation of the brand (Gilaninia, Taleghani, & Azizi, 2013). This makes it essential for the company to use numerous outlets in ensuring that the product reaches relevant consumers or target audiences at the right time and place. The distribution strategy is essential in enabling business entity to satisfy the needs of the consumers through availing the product in adequate areas for procurement. The distribution strategy is essential for the product because it is in its maturity stage. In this stage, the company faces stiff competition hence the need to focus on handling the needs of the consumers through adopting and integrating quality mechanisms for effectiveness and efficiency in the product delivery. The strategy is ideal for the realization of competitive advantage in the market and industry thus enabling business entity to achieve its goals and targets at the end of the fiscal period. In selecting retailers, the organization focuses on incorporating effective criteria with the intention of increasing its market coverage as well as market size (Paley, 2006). Some of the key factors in the selection of the retailers include the volume of sales, reputation of the retailer, strategic position of the retailers, and frequency of visits by the consumers. These attributes are critical towards realization of competitive advantage while distributing different products at the end of the fiscal year. In addition, Bega Cheese Limited exploits these outlets to satisfy the needs of the consumers in diverse market locations with reference to the case of Australia. A.2.4: Price Pricing comes out as one of the most essential elements or facets of the marketing mix because of its ability to generate a turnover for the organization or business entity. It is essential to note that the remaining aspects of the marketing mix are variable cost for the business entity in pursuit of its goals and targets at the end of the fiscal year. For instance, the organization incurs costs in producing, designing, distributing, and promoting a product in accordance with the demands and needs of the consumers (Kotler, 2013). The organization focuses on adopting and integrating a pricing mechanism reflecting supply and demand. It is ideal to note that the pricing must not to too high or too low, which could translate into loss of sales for the business entity. In this context, the company concentrates on adopting competition-pricing mechanism. This is through setting a price in comparison with the competitors in three diverse options: lower prices, same prices, and higher prices towards the achievement of competitive advantage in the market and industry of operation. Furthermore, the organization focuses on exploitation of the size of the product in the market to determine its cost or price for the procurement by the consumers. This is essential in covering for the costs in promotion, production, and distribution as well as designing of the product. The attribute is essential for the achievement of the goals and objectives at the end of the financial year within the competitive market and industry of transaction. According to the research findings, there are no additional parts to the development of the product thus an opportunity for the consumers to focus on satisfying their needs and tastes within the target market. This makes it ideal for the business entity to focus on incorporating the pricing strategy to cater for the actual product rather than additional parts in its designing. In this aspect, the company concentrates on adopting and implementing the pricing mechanism while considering numerous factors. Some of the factors in the development and integration of the pricing strategy for this product include fixed and variable costs, competition, objectives of the company, proposed positioning techniques or strategies, and the target market as well as willingness of the consumers to pay for the quality products (Leonidour, Barnes, Spyropoulou, & Katsikeas, 2010). The pricing strategy is consistent with the stage of the product in relation to its life cycle in the maturity stage. Furthermore, the strategy is consistent with the company’s strategy for the other elements of marketing mix. This is because of the tendency of the strategy to focus on the achievement of competitive advantage while satisfying the needs and preferences of the consumers in the course of achieving its goals and targets at the end of the financial year. A.3: Competitive Advantage According to Kotler & Armstrong (2012), in the principles of marketing, competitive advantage refers to “an advantage over competitors gained by offering greater customer value, either by having lower prices or by providing more benefits that justify higher prices.” The marketing mix: price, promotion, product, and place are essential in the provision of competitive advantage in this market and industry of operation. The tendency of the business entity to adopt and incorporate competition-pricing strategy is an essential attribute towards accomplishing competitive advantage. This is through massive increase in the level of revenues and sales for the product in different market locations. In addition, the marketing mix focuses on integration of effective and efficient marketing or promotion techniques under the influence of technological advancements to facilitate appropriate communication with the consumers. The approach focuses on operation of the business entity at large economies of scale for the achievement of the goals as well as objectives in the industry and market of transaction. Moreover, the organization focuses on integration of etiquette and adequate interaction as well as engagement skills for the achievement of the goals and objectives in the course of the financial year. These attributes are essential in increasing the level of sales and revenues while encouraging consumers to purchase more in future. The outcome of such interactions relates to increase in the volume of transactions as well as realization of competitive advantage in the market and industry of operation. Consumers have the perfect opportunity to decide whether the attributes or elements are better in comparison to competitors, which is often reflected in the annual revenues. A.4: Assessment of Success of the Marketing Mix According to the findings of this auditing process, the organization has been successful in adopting and incorporating differentiated marketing mix towards the achievement of competitive advantage in the market of transaction. This is through the ability of the business entity to incorporate both direct and indirect promotion techniques and mechanisms for the achievement of the goals and objectives in the course of the transactional period. In addition, differentiation of the marketing mix has been essential in the massive increase in the revenues as well as the volume of transactions as evident in the enormous market coverage. This marketing mix has been essential in addressing and handling the needs and preferences of the consumers in the target market. The outcome is evident in the increase in incidents of sales as well as massive increase in the revenues from one fiscal year to another thus the achievement of competitive advantage. The organization has been essential in incorporating this marketing mix to enhance satisfaction of the needs of the consumers (Paul & Kapoor, 2008). Bega Tasty Cheese has been essential in handling diverse needs of the consumers seeking to exploit calcium, phosphorus, and protein for different reasons. Integration of this marketing mix has been crucial in enhancing the image and reputation of the firm. The approach is one of the platforms for the increase in the market coverage and size for the product, which seeks to maximize the effectiveness of the brand in the pursuit of critical goals and targets. Conclusion Bega Tasty Cheese has been essential in maximization of the marketing mix with reference to product, price, place, and promotion in accordance with the needs and preferences of the consumers. The company focuses on adoption and implementation of effective strategies for the achievement of goals and objectives thus competitive advantage in the market and industry of transaction. Conclusively, differentiation of the marketing mix has been essential in the massive increase in the revenues as well as the volume of transactions as evident in the enormous market coverage. List of References Amb, C. W., Hair, J. F., & Mcdaniel, C. D. 2012. Essentials of Marketing. Mason, Ohio, South-Western Cengage Learning. Ferrell, O. C., & Hartline, M. D. 2011. Marketing strategy. Australia, South-Western Cengage Learning. Finch, J. E., Ogden, J. R., Ogden, D. T., & Chatterjee, A. (2006). The best test preparation for the CLEP, principles of marketing. Piscataway, N.J., Research & Education Association. Gilaninia, S., Taleghani, M. & Azizi, N. 2013, "Marketing Mix and Consumer Behaviour", Kuwait Chapter of the Arabian Journal of Business and Management Review, vol. 2, no. 12, pp. 53-58. 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