Natural Kitchen - Sustainability-Led Marketing - Case Study Example

Company Mission Statement

The mission statement of the organisation is designed in a manner that emphasises on business ethics and sustainability. The primary philosophy in the mission statement of Natural Kitchen is ‘Ethical foods, sustainable sources’ (Natural Kitchen London, 2016). Natural Kitchen has selected a handful of suppliers where it sources the foods that are served in its outlets. Ideally, the providers ought to meet set certain criteria for them to be enlisted to work with the company.

The foods that are supplied to the enterprise have to meet certain standards while the suppliers and the agricultural mechanisms that have been an employee in the production of that produce have to be sustainable and ethical. Natural food segment is very sensitive given the fact that the foods are rare and expensive and thus unscrupulous suppliers opt to indulge in uncouth business practices to supply substandard produce to the market. Natural Kitchen’s emphasis on ethics and suitability in its operations makes it open for public scrutiny since the clients will receive the best available services as promised. The fact that the company tracks its ingredients right from their place of origin ensures sustainable practices since the customers will be sure that the quality of the food they consume meets the quality standards proclaimed by the Organisation and other health agencies (Natural Kitchen London, 2016).

Key Stakeholders

Natural Kitchen has four primary stakeholders that dictate the manner in which the company runs its operations. To begin with, the clients of the company form the largest and most sensitive group of the stakeholders. Ideally, the organisation is in business because of its customers. All the efforts and initiatives that Natural Kitchen implements are solely aimed at ensuring their clients receive the best service possible as they enjoy health and naturally sourced foods. To sustainability operate, the company has a proactive customer service department that deals with all queries and concerns from is esteemed clients. Any issue regarding the quality of service, food or any other business practice of the company that may be of concern is succinctly addressed to ensure customer satisfaction. In the past, issues have been raised concerning the limited nature of Natural Kitchen’s menu as well sustainability in the manner in which its natural foods are sources (Natural Kitchen London, 2016). In that perspective, the company has cut down the number of suppliers to a handful so as to manage their practices and align them with ethics and sustainability that the organisation upholds.

Conversely, the suppliers are the other crucial stakeholders of Natural Kitchen since they make sure the supply of food products is uninterrupted for customers to continue enjoying their favourite meals. The company has developed a cordial relationship with its suppliers by ensuring prompt payments as well as monitoring their agricultural practices to ensure they conform to the laid down standards and business ethics. It is prudent that Natural Kitchen tracks its food supplies right from the farm to ensure all due diligence is conducted for its customers to enjoy natural and high-quality meals. The natural food market is highly regulated given its sensitive nature. Numerous legislations and health standards have been instituted to ensure the industry is streamlined, and the clients are offered with safe and quality products. Over the years, Natural Kitchen has maintained a close relationship with all the relevant authorities since it has conformed to all the legal requirements in the industry. That notwithstanding, the organisation often incorporates some of the regulatory bodies in the organic food sector to inspect some of the agricultural practices of its suppliers to ensure they meet the required standards with the aim of providing quality foods for its customers (Jones et al., 2008).

Corporate Strategy

Natural Kitchen has presented itself as an organisation that exclusively deals with natural foods that are sustainable. The company prides itself of having employed comprehensive initiatives to ensure that the food that it clients consume have been developed under sustainable and ethical conditions. In that light, Natural Kitchen promotes a corporate strategy of a firm that is not only sustainable in its practices but employs high levels of ethical standards. However, the sustainability of the firm is evident from the nature that its tracks its produce right from the farming techniques that its suppliers employ to provide those food supplies (Bridges and Wilhelm, 2008). Given the fact that Natural Kitchen conducts monitoring of its raw materials it is evident that the customers of the company will be sure that the food that they consume has been produced under environmentally sustainable conditions and thus will not be of any harm. With the advent of genetically modified organisms, a majority of firms purporting to be offering natural foods have resorted to these products in the disguise of natural foods since they are cheap and readily available. With such development, it is prudent for Natural Kitchen to distinguish itself corporate image from the other industry player by embracing ethical and sustainable operations (McDonald and Oates, 2006).

The increase in the incidents of lifestyle diseases and other terminal illnesses in the twenty-first century have led to a significant number of people to resort to natural foods to boost their health and general body well-being. In that light, Natural Kitchen has positioned itself as the ultimate provider of safe and quality natural foods that have been sustainably sourced. The company is not only focused on generating revenue out of its operations but alleviating the healthy well-being of the society through its quality products.

Customer Segments

The natural food market is quite sensitive and thus, market players ought to target and segment their customers effectively to leverage the benefits in the industry. Natural Kitchen targets majorly vegetarians and individuals that are keen to lead healthy lives through the consumption of healthy natural foods. In that light, the company does not serve or use processed foods in its ingredients thus assuming an all-natural look for its meals. With the advent of lifestyle diseases, a majority of people are opting for natural foods to boost their health and general body wellness. Ideally, these are some of the clients that Natural Kitchen targets to help them transform their lifestyle (Emery, 2012).

Natural kitchen’s market has been segmented in the sense that it targets upscale consumers since all of its outlets are located in affluent neighbourhoods to tap from clients that have more disposable income to purchase its premium foods. In essence, Natural Kitchen’s target market is the rich that are well-educated in matters concerning natural foods and healthy lifestyles. Ideally, some individuals may have more disposable income, but the lack of knowledge on natural foods may hinder them from embracing the products offered by Natural Kitchen. In that light, Natural Kitchen has segmented its market based on education since only those with knowledge of natural foods and healthy lifestyles will justify the prices for the products and services it offers.

Natural Kitchen has made efforts to reduce its supply chain as possible to cut on the time it takes to reach its warehouses. In that regard, it reduces its operational cost since fewer intermediaries’ means reduced logistical costs and the produce will arrive faster and in required quality. Additionally, the move to cut on intermediaries was informed from the fact that the produce will not be tampered with in any way whatsoever since the company operates trucks that provide logistical services for its raw materials from the far to its warehouses. In that regard, only two partners ensure the produce reaches to its target market promptly.

Customer value/Solution

In marketing, the basic assumption is that the customer satisfaction leads to the profitability. A satisfied customer will lead to the creation of the strong relationship with the company hence leading to the relationship longevity, customer loyalty and customer retention. Customer value can be defined as the difference between what the customers get from the services or products and what she or he has given in order to get it (Manning et al., 2015). The essential elements of the customer value include price, image, service and quality. The primary research shows that Natural Kitchen’s customers are highly satisfied with the overall customer services that the company offers. In order for Natural Kitchen to ensure that there is excellent customer value, the company has been able to develop, retain and as well as implement the competitive advantage. The company offers healthy, well portioned, and multiple options for the food. Additionally, the quick services that are characterised by the Natural Kitchen is one of the basic components of its customer. The strategic location of the Natural Kitchen along the high street quieter position in the central London sums up the company’s extraordinary customer value.

Although Natural Kitchen’s prices are relatively higher as compared to its competitors, the excellent customer value through its attentive and very helpful staff, great food and well-presented means that the customers leave smiling. The main determinations for the customer value include branding, quality, and promotion, taste of the products, price, and physical environment. Natural Kitchen has put measures to ensure that the customer are fully satisfied through the implementation of the aforementioned determinants of the customer value. The company has maintained excellent relationship with the suppliers to ensure that there is continued supply of the food products.

Natural Kitchen is always aiming for its business sustainability through the implementation of the mix C’s. The mix C’s include consumers, costs, convenience, and communication (Ebert et al., 2014). In order to ensure consumer needs and wants are met, Natural Kitchen has carried extensive research on the consumer needs and wants. This is clearly reflected in its menus. Cost is also an important element of the mix C’s that Natural Kitchen has worked on to ensure business sustainability. The company has achieved this through implementation reasonable prices in its foods. Natural Kitchen has exercised convenience through careful study of the various subsets of the markets to understand their varied needs. Natural Kitchen has used communication (as one of the mix C’s) by ensuring creative advertisements of its food and improvement on its website. As part of communication to realise sustainability, the company has developed the brand through brand development to enhance its competitive position and hence promote sustainability.

Marketing Planning/Administration/Organisation Any Sustainability Signals?

Marketing planning, organisation and administration is without no doubt one of the effective tools for the sustainability of the business. The contemporary business environment that the organisations find themselves in has stimulated the organisations, especially in the food industry, to conduct more aggressive business strategies that are oriented to the creation of the attractive brands (Carroll, and Buchholtz, 2014). In actuality, Natural Kitchen has not ignored its branding policy that is boosted by excellent planning and administration in order for the company to maintain a successful competitive position in the market. Owing to its excellent planning, Natural Kitchen has accelerated its brand development so as to ensure that it enhances its competitive strategy and attract more customers. For instance, the company’s shift towards the intensive implementation of the new branding strategy is not only as a reaction to the tightening competition in the industry, but also demonstrated excellent planning and administration of the company to ensure sustainability. As part of ensuring its sustainability through planning, administration, and organisation, Natural Kitchen has shifted its focus into the further development of its branding strategy and also create the attractive and popular brand so as to maintain the competitive role through its attraction of the customers. As such, it can be conclusively said that Natural Kitchen is strategically positioned to send a strong signal for the business sustainability.

Conclusion

In conclusion, Natural Kitchen has a lot of opportunities to develop its business sustainability. However, the company should enhance its brand image because the brand of the company is vital for the successful business. The brand can influence the perception of the customers something that can subsequently influence the competitive position of the company (Ebert et al., 2014). As a recommendation, Natural Kitchen should not only exploit other markets, but also consider using the branding agency’s services so as to reach the target customers and create the attractive and strong brand that is recognised globally. However, the company’s position in the market still remains relatively strong.