Wednesday, November 21, 2012
Creative Content
A man and his pet Cobra were sitting inside a bar in Egypt. The man would be talking with friends about an adventure he had just went on. The scene would turn from a friendly surrounding to two men into an all-out bar brawl. The fight would have started because one of the men call Phelia's a liar. There's know way he could have killed all the snakes at the Tomb shouted one man, another sitting in the rear of the bar just looked on, but he was listening intensely while munching on a bag of chips, snake skin chips to be exact. As the argument heated up several others surrounded Phelia and said it’s because of your kind and your comments that tourists are afraid of visiting the Valley of Kings, and this is how we make our money off of tourists. You need to stop telling that story and stop now. Phelia stood up, pushed his chair back from where he and his friends were earlier having a conversation about his latest adventure and said “if I don’t stop telling the story who will stop me?” as he stood the circle of men who had just been fighting tightened up around Phelia. All of a sudden one of the men lifted a large stick above his head as if he were going to the strike Phelia to substantiate his point about Phelia keeping his mouth shut, when from the back of the room the stranger who was looking on shouted, “he’s right” that’s exactly what happened because my half-brother an Egyptian Nubian was the one who came to Phelia’s rescue while surrounded by the den of cobra’s in the tomb which was located in the Valley of Kings and my brother is the one who took Phelia back to the village where he discovered that the snake skins were used to make chips, so you see Phelia is not a liar and his story is legendary. So tourists have no need to worry the site has now been marked properly and visitors can no longer go into that chamber which has now been resealed. Now let Phelia and his companions enjoy their libations and you over there go about your business. Phelia and his friends gave toast to the stranger who sat in the corner in the dark and as a glimmer of light shown in his direction
Price
In pricing Phileas’
Snake Skin Chips the pricing will take into account where the Chips will be
sold. If the Chips are sold individual wrapped snack size then the pricing will
be slightly higher than if the product is bought in one of the Big Box Stores,
i.e. Costco, Sam’s Club where the product will be sold in bulk. “Today’s
squeezed consumers are seeking greater value—just the right combination of good
quality and service at a fair price. The distribution of income also is
shifting. The rich have grown richer, the middle class has shrunk, and the poor
have remained poor, leading to a two-tiered market”. (Pg. 95) Pricing of
the snack food will take into account how the display of the product will occur
and where the product will be sold.
World Market selling Phileas’ Snake Skin Chips
will sell the chips at a higher price point that those who go to the big box
stores and buy in bulk. “Although costs
are an important consideration in setting prices, cost-based pricing is often
product driven. The company designs what it considers to be a good product,
adds up the costs of making the product, and sets a price that covers costs
plus a target profit. Marketing must then convince buyers that the product’s
value at that price justifies its purchase. If the price turns out to be too
high, the company must settle for lower markups or lower sales, both resulting
in disappointing profits. Value-based pricing reverses this process. The
company first assesses customer needs and value perceptions. It then sets its
target price based on customer perceptions of value.” (Pg. 276) Buying in bulk generates a lower price point that buying items in
individual snack size portions, so the advantage will go to the shopper who is
price contentious and who may even be buying for a local coop where families
who pull their purchasing power together are more apt to buy based products
based on emotion and where they believe there is cost savings. Phileas’ Snake Skin
Chips found at the World Market, or Whole Foods will priced higher than those
the Snake Chips found in the Big Box Stores.
Promotion
Promoting Phileas’ Snake Skin Chips begins with comparing the quality, taste, and packaging with other competitors in the market place. Phileas’ Snake Skin Chips will go head to head where the competition resides, going where they are least expected to show up. “Why do producers give some of the selling job to channel partners? After all, doing so means giving up some control over how and to whom they sell their products. Producers use intermediaries because they create greater efficiency in making goods available to target markets. Through their contacts, experience, specialization, and scale of operation, intermediaries usually offer the firm more than it can achieve on its own.” (Pg. 312) Promoting Phileas’ will also include a multi prong approach, from Guerilla promoting tactics (sandwich board sidewalk hawking) to tactics where the chips are offered as a “taste test” in the Big Box Stores on Saturday afternoon. Phileas” will promote the chips during an awards banquet and offering a sample of the chips in gift bags that are given out at the show to attendees, coupons will be added to the bags driving the consumer to purchase more, purchase can then be tracked back with the coupon code to actually see who like the chips enough to buy more. Then you go for the big gusto and you adopt a new way of promoting by using the newest onramp for direct marketing, using a mail piece that has an irresistible offer that is coupled with radio, newspaper ads and billboard promotions, thus using media choices that have a range using different market demographics. “Vertical Marketing Systems For the channel as a whole to perform well, each channel member’s role must be specified and channel conflict must be managed.” (Pg. 315) Using an agency that can support these various promotion plans will be the way Phileas’ Snake Skin Chips will be able to saturate the marketplace.
Distribution
Phileas’
Snake Skin Chips will use a logistics company that can hold, pick and ship
their product for a negotiated price.
Having another company such as UPS provide a bundled freight package and
take on the cost of moving the product will be easy onboarding getting the
Snake Skin Chips to market quickly.
“Thus, UPS does more
than just ship packages for its business customers. It develops entire
solutions to customers’ transportation and logistics problems. For example, UPS
bundles a complete system of services that support Nikon’s consumer products
supply chain—including logistics, transportation, freight, and customs
brokerage services—into one smooth-running system.” (Pg. 162) Using UPS or a similar
vendor will take the work out of trying to piece together a delivery network
from scratch; it will eliminate the need for putting together a team for the
various functions which UPS already has in place. “Companies often pay too little
attention to their distribution
channels, sometimes with damaging results. In contrast, many companies have
used imaginative distribution
systems to gain a competitive advantage.” (Pg. 312) Phileas’ will even have UPS pick the product
from the manufacture and then place the product into the shipping stream while
also doing the delivery. As Phileas’
Snake Skin Chips grows in popularity then the contract with UPS can be modified
and UPS can then affect the delivery for the Chip maker instead of working the
entire Distribution Channel.
Product
Phileas’ Snake Skin chips will offer a product that stands out amongst the rest, the value of the product is precious because it has been created from a remote part of the world where few have been known to travel. The mere chance of purchasing the chips will make you one of the precious few in the world to experience the delectable treat. “Product is a key element in the overall market offering. Marketing-mix planning begins with building an offering that brings value to target customers. This offering becomes the basis upon which the company builds profitable customer relationships.” (Pg.209). This spicy, tangy, sweet experience will leave you wanting more, just like Chipsy Egypt (Lay’s) I’ll bet you can’t eat just one. Phileas’ chips will jolt you back to the days of travel the taste will bite into your sole and have you reminiscing of Phileas’ thoughts when he was trapped in the tomb with the cobra’s nipping at the site of him. Exciting, adventurous, the taste and the WOW factor don’t get any better. Serving this delectably unique chip to your guests will have you the King or Queen of party snack favorites. “Today, as products and services become more commoditized, many companies are moving to a new level in creating value for their customers. To differentiate their offers, beyond simply making products and delivering services, they are creating and managing customer experiences with their brands or company.” (Pg.209) Phelia’s Snack Skin chips will take you on a magic ride that puts you right in the action, whether it’s defending your position or exploring new things with family and friends, don’t miss out on this exciting new snack. Worried about your waist line, don’t, just cover yourself like an Egyptian King in a shroud that is sure to feel comfortable after eating a bag full of Phileas’ Snake Skin Chips.
Target Market Strategy
Phileas’
Snake Skin Chips concerns for their market are no different than the next
provider of “fun treats” dietary trends have
been leaning toward healthier eating. “Top marketers
all share a common goal: putting the consumer at the heart of marketing. Today’s marketing is all about
creating customer value and building profitable customer relationships.” (Preface xxii) Customers who are adventurous are the segment of the
population that Phileas’
chips will be marketed to. With a bent on creating a healthful
adventuresome snack Phileas’ Chips will work
toward reducing the fat content. In
reducing the fat content but maintaining the flavor we can still attract all
those who enjoy adventure, an option that is fun to share with friends and
seems exotic enough that even the toughest of guys and gals can enjoy these
chips. Some of the latest trend has been
to market towards men, Phileas’ Snake Skin Chips will market
to the entire consumer base and then Phileas’ will let the “Chips” fall where they may. “It starts with understanding consumer needs and
wants, deciding which target markets
the organization can serve best, and developing a compelling value proposition
by which the organization can attract, keep, and grow targeted consumers.” (Preface xxii) Phileas’ will bring in
consumers from a local community, carefully choosing a group of consumers from
and around a nearby College, this will provide a cross section of the
community, jocks, sports enthusiasts, well-traveled intellects, men, women,
children and foreign exchange students, the focus group will help Phileas’ to
narrow their focus on how well the
chips were received by the various groups within the marketplace. Once this is complete then a promotion can be
developed with the targeted group in mind.
Situation or SWOT Analysis
Phileas’
Snake Skin Chips are unique they will become a part of the 48 existing chips
brands that currently exist in today’s market place. Positioning amongst the 26 types of chips
would also be an easy challenge. The name alone evokes a curiosity that begs
the thought that you should at least try one. The strength of Phileas’ Snake
Skin Chips is the unique name, and taste along with its association with the
tombs of the Kings and Queens of Egypt.
Known weaknesses to marketing Phileas’ Snake Skin Chips would be that it
would require large amounts of capital to promote the chips. “Strengths include internal capabilities, resources, positive situational factors that may
help the company to serve its customers and achieve its objectives.” Weaknesses
include internal limitations and negative situational factors that may interfere with the
company’s performance. (pg55)” Opportunity for the chips
being entered into the marketplace can hinge upon taking your consumer on an
adventure, sort of a staycation if you will sitting at their home dreaming of a
trip to Egypt while consuming chips with an exotic flavor along with an
adventurous tale written on the side of every bag to go along with every bite.
Threats to the chips would be the emotional feelings that are evoked during a
time of civil upheaval and unrest in Egypt, consumers may not want to associate
a snack food while so many people are perceived to be struggling for civil
rights. “Opportunities are favorable factors or trends in the external environment
that the company may be able to exploit to its advantage. And threats are
unfavorable external factors or trends that may present challenges to
performance.” (pg55) What type of consumer would delight in wanting a
bag of Phileas’ Snake Skin Chips, while consumers in Egypt like Chipsy which is
a Lay’s Brand of chips, the consumers in the region and worldwide might revel
in the thought of a “chicken skin” chip making it a unique standout in the chip
world and could very well give Chipsy a run for its money. The salty snack industry in 2005 was worth
approximately $24 Billion dollars, move over world get ready for another salty
spicey snack choice.
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