Recommendation and Implementation plan - Essay Example

1 Introduction The Canadian Diamond Industry is the latest addition to the world of Diamond World Trade but already produces 12% of world production. Its Product branded as Canadian ArcticTM has gained acceptance in the all important US market but faces competition from the Retailers who wish to use the certification of Canadian Origin issued by the GNWT but brand the Diamonds with their private Labels. We have been retained to recommend the marketing strategy for branding as Canadian ArcticTM and to devise an Implementation Programme for this strategy.

2 Recommendations It has been established by Market Research that the Customer buying is influenced by Quality of the Diamond, Retailers Goodwill in the market, knowledge and honesty of the Salesperson and recommendation of family and friends, in that order. Perception of Brands is curiously absent from the customer’s perspective and a strategy needs to be devised as a unique selling point (USP) of Canadian ArcticTM. Diamonds are expensive products and it is recommended that Market Segmentation is done for the US market where the company wishes to market it product.

It has been observed that there are four kinds of potential buyers in the market viz., Baby Boomers (37-55 years/78 million), Generation X (25-36 years/45 million), Generation Y (18-24/71 million) Gifters, Self Gifters, and Retailers. Of these the Baby Boomers are wealthy and lovers of luxuries but demand value for money. As opposed to this the Gen X and Y spend less on luxuries but are impulsive spenders. The Gifters are casual buyers and the Retailers buy for mostly promoting their own private brands.

The most promising are the Baby Boomers and special marketing campaign should be directed towards them. The brand Canadian ArcticTM can be easily promoted as they are value and image conscious. Next emphasis should be placed on the areas where marketing efforts should be concentrated. It has been observed that maximum sales take place in California and New York with Texas a distant third. The number of outlets also follows the same pattern. It is therefore desirable to concentrate more on these areas as they will provide the maximum turnover.

In these territories, particularly in the high exposure retail showrooms, the company should participate in Trade shows and offer retailer and salesperson promotion kits. They should also get celebrity sponsors to endorse the product for value effect. Similarly advertisements should be carried in glossy and glamour magazines which have high percentage of circulation among the wealthier population. 3 Implementation Strategic Marketing Plans will not be of much use unless there is a solid implementation process in place.

It is imperative that the amount of $ 300,000 is well spent. It has been seen that for luxury items there is nothing more effective than celebrity endorsements. The high profile individuals are icons and living legends and their choices are highly regarded. At least one should be appointed a Brand Ambassador. This will serve twin objective. Firstly the buyers will be able to relate the product quality with the high celebrity status and secondly they will become brand conscious which will augur very well for the company and product image in the long run.

Television and Magazines are the best mediums for this kind of a campaign and maximum funds should be allocated here. Next the Trade shows will offer the potential the opportunity to see and be exposed to the high value products and will raise the level of appreciation. This will help in promoting sales at the retail counters. The certification of the Canadian Arctic TM diamonds by GNWT as well as registration facilities by Gemprint Corporation must be highlighted in all advertisements, endorsements, and Trade shows to impress the discerning buyers that they are getting a high quality and genuine product from a civilized country.

When this is expressed by a celebrity, it will be convincing and will register on the minds of the buyers who will then recognize this as a worthwhile cause of purchase.