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to Business Marketing – A Marketing Plan
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Contents
1. Introduction
2. Recommendations on the channels of distribution that Canterbury
Spice Man should use
3. The market offerings proposed for intermediaries/channel
members
4. Recommendations as to specific strategies that Canterbury
Spice Man should use
5. Conclusion
6. Bibliography
Introduction
Nowadays, the world economy tends to globalization. Nonetheless,
regardless the strong trend to the unification, the ethnic
specificities can still be successfully used to promote certain
goods and services and develop a successful business. In this
respect, it is worthy of mention the food market, which is
traditionally considered to be extremely conservative because
food habits, preferences and food culture are believed to
be not very susceptible to substantial changes. In such a
situation, it seems to be quite problematic to introduce and
successfully promote new products in the food market. At the
same time, it is necessary to underline that this view on
the food market is not fully correct.
Naturally, it is necessary to agree that food habits and culture
are quite conservative but this does not necessarily mean
that any changes in the industry are impossible. In fact,
it should be said that, despite the current processes of globalization
that implies economic unification that contributes to cultural
similarities between different peoples, including similarities
in food consumption, the food industry often tends to diversification.
To a significant extent, this trend is determined by the growing
interaction between different cultures and national cuisines.
Obviously, this contributes to the mixture of food traditions
and change of habits. At the same time, such countries as
the UK are characterized by the large ethnic communities widely
represented throughout the country which have preserved their
national identity and their traditional food culture. As a
result, people representing such communities prefer to consume
traditional food, instead of the local food or, to put it
more precisely, they prefer national cuisine to the local
one.
Obviously, in such a situation, different ethnic communities
have a strong demand on dishes and products typical for their
ethnic cuisine. At the same time, it is necessary to remember
that different ethnic groups with their unique cuisine cannot
live in a total isolation from the rest of society. In stark
contrast, they constantly interact with representatives of
other ethnic groups that include not only communication, professional
cooperation, social interactions but it also implies certain
changes in food traditions and culture. As a result, people
having different preferences get used or tend to consume food
products and dishes which are not typical for their own ethnic
cuisine as well as the local population tends to change their
traditional tastes and try new products and readily experiment
with the food, especially this is a characteristic of the
younger generation.
In such a situation, the decision of Mr. Rizal Ahmad to launch
the distribution of spicy sauces in Great Britain seems to
be quite logical since this country has large Asian communities
which could be the major consumers of these products, while
the rest of the society also is susceptible to changes in
its food preferences. This is why, potentially, the national
market of the UK can be quite perspective for the implementation
and development of “Canterbury Spice Man” products.
At the same time, it is necessary to remember that the development
of the brand’s positive and popular image recognizable
among customers and the distribution of the products are quite
complicated processes. This is why, in order to effectively
realize the strategic goal, i.e. to launch the distribution
of spicy sauces, which actually are totally to the local food
market, it is necessary to develop the market plan that would
provide an opportunity to analyze and carefully organize the
essential steps that should be taken as well as the strategic
directions of the work of the company on the distribution
and promotion of the new products. To put it more precisely,
it is necessary to clearly define possible ways of distribution,
take count for the major distributors and interaction with
them, and develop effective strategies of the further promotion
of the new products in the market. In such a way, it will
be possible to clearly define in what way the products will
be distributed, by whom and what the customers will be attracted
by and the relationship with the partners.
Recommendations on the channels of distribution that Canterbury
Spice Man should use
Obviously, the products that Canterbury Spice Man is supposed
to sell are quite specific and unique. Moreover, these products
are new and, apparently, unusual for the vast majority of
British consumers. This is why it is possible to presuppose
that it will be quite difficult to rapidly and effectively
promote these products and distribute them. In fact, it is
quit natural that distributors would rather prefer to sell
traditional products than take risk and launch the sales of
new spicy sauces offered by Canterbury Spicy Man.
However, it does not necessarily mean that the distribution
of these products will be practically impossible. In stark
contrast, while choosing the potential distributors of the
spicy Asian sauces, it is necessary to take into consideration
the specificity of these products. To put it more precisely,
these products are typical for Asian cultures and cuisines
mainly. Consequently, its distribution should be oriented
on the communities and regions where the share of Asian population
is high enough to evoke interest of customers and, thus, distributors
to these new products.
In this respect, it should be said that the larges cities
of the UK seem to be the most perspective regions for the
distribution of the new products offered by Canterbury Spice
Man. To put it more precisely, it should be said that such
cities as London, Birmingham, Manchester and Bradford are
the most appropriate for the distribution of spicy sauces
since Asian communities are quite numerous in these cities.
In actuality, these cities may be viewed as centers of Asian
communities. Consequently, it will be easier to distribute
the new products in these cities due to the presence of Asian
communities which have not lost strong connections with their
cultural heritage and which food habits fully correspond to
the offering of Canterbury Spice Man since the spicy sauces
are typical for various Asian cuisines.
Also it should be said that the distribution of the new products
in the largest cities would be easier because, as a rule,
the rates of consumption are higher there compared to smaller
cities and towns of the UK. On the other hand, it is also
necessary to remember that spicy sauces offered by Canterbury
Spice Man are unique and original products which are practically
unknown for the local population of Great Britain. This is
why these products will not be just new products but they
will be absolutely unusual and totally unknown for the local
customers.
In such a situation, the advantage of large cities is quite
obvious since due to the permanent interaction between various
ethnic groups, the larger number of people gets acquainted
with different cuisines, including Asian one. Consequently,
the probability that the larger number of customers will learn
about the new products faster in large cities is higher compared
to smaller ones.
Furthermore, it is worthy of mention that, in recent years,
the trend to the growing popularity of Asian cuisine remains
quite stable that means that the new products, being distributed
as original Asian spice, could become quite popular among
the mass customers.
Nevertheless, to gain the popularity and recognition the spicy
sauces offered by Canterbury Spice Man should be accessible
to customers that means that they have to be effectively distributed.
Otherwise, all the efforts of the company to increase sales
rates will be doomed to failure. In this respect, it should
be said that, while choosing the distributors of the products,
it is necessary to take into consideration the specificity
of the product. Practically, it means that, for the spicy
sauces offered by Canterbury Spice Man are of the Asian origin,
it would be quite logical to use distributors that are closer
to Asian communities of the large cities mentioned above.
In other words, the distributors should be well-known to and
popular among Asian communities so that the distribution of
the new products would not face any apprehension or resistance
from the part of the major target customers, i.e. Asians.
This is why it is possible to recommend focusing on local
shops of a small or medium size which operates specifically
for the local market within areas where Asian population constitutes
a substantial part of the entire population of the area.
In fact, it is necessary to underline that often such shops
of the small or medium size are quite popular among Asian
communities, especially if they focus on the trade of traditionally
Asian products. In such a situation, local customers, being
basically Asian, would readily buy products in these shops
as they feel the strong correlation between these products
and their national preferences and tastes. Consequently, Asian
customers, which are the target customers of Canterbury Spice
Man, taking into consideration Asian origin of its products,
naturally prefer such small and medium shops where they can
buy the products they know well and which they really like.
Moreover, it is possible to presuppose that the introduction
of the spice sauces by the company will meet the interests
and expectations of customers because this niche of the market
remains practically empty, while the offering of Canterbury
Spice Man can fill this gap in the market.
Furthermore, it will be also possible to offer some particular
sauces to such shops depending on the community they are oriented
on. For instance, Rendang sauce and fried rice may be offered
to shops that orient their sales on Indonesian customers,
or ethnic groups of customers that have similar cultural and
gastronomic tastes, while various curry sauces may be oriented
on communities where Thai, Malaysian, or Indian population
dominates.
Another potential way of distribution of the new products
may be the use of ethnic restaurants which are specialized
on a particular national cuisine. Obviously, this can be very
effective distributors since the restaurants, which are specialized
on Asian cuisines, would readily buy the sauces offered by
Canterbury Spice Man and sell them to their visitors. In such
a way, the company can find reliable and permanent distributors
which could need the constant supply of the Asian sauces that
are sold by the company. What is even more important here
is the fact that Asian restaurants are quite perspective and
potentially the demand on the new products of Canterbury Spice
Man can increase. The reason for such an increase of demand
seem to be quite obvious since, at the present days, the popularity
of Asian cuisine constantly grows. In fact, in modern Great
Britain, Asian food is considered to be not only exotic but
it is often associated with healthy food different from the
more conventional junk food offered by many fast food restaurants
in the UK. It should be pointed out that Asian restaurants
are popular not only among Asian communities but also among
British society at large.
In this respect, it should be said that the distribution of
the sauces through the network of Asian restaurants is quite
effective and may be very profitable not only because it will
be a stable and quite popular distributor of Asian sauces
offered by Canterbury Spice Man but also because it will help
to shape a customers habits or tastes to these new products.
In other words, customers will acquire essential experience
of consuming the new products in such restaurants. Practically,
it means that if a customer of British origin, for instance,
tastes some of the sauces offered by Canterbury Spice Man
and he/she likes it, than it is highly probably that he/she
would prefer to buy these sauces for a more regular consumption
without going to the restaurant, i.e. the customer would simply
go to the shop and buy these sauces.
In such a situation a logical problem arises: if a non-Asian
customer is willing to buy the sauces originating from Asia,
he/she will need to have access to these sauces. Obviously,
in such a situation, the small and medium specialized shops,
mentioned above as the first group of distributors, do not
seem to be the best solution of the problem of distribution
because non-Asian customers do not always know well enough
such shops or, what is more, such shops may be remote from
their residences or places where they regularly shop. Consequently,
a logical solution of this problem appears – it is necessary
to use a larger retail networks to distribute the new sauces
offered by Canterbury Spice Man. For instance, it may be such
large networks as Tosco, for instance, where customers can
buy a variety of products they are looking for. The advantage
of such distribution is obvious since the number of customers
of such networks is substantially larger and such networks
cover the entire territory of the UK.
Naturally, using large networks will inevitably face certain
difficulties, among which the lack of information about the
new products introduced by Canterbury Spice Man will be probably
among the most significant ones. This is why it is possible
to recommend introducing the Asian sauces in large networks
only when they become popular enough not only among Asian
communities but non-Asian as well.
In fact, it is possible to speak about different stages of
distribution of the new products. To put it more precisely,
at first, it is necessary simply to introduce the new products
to customers. Naturally, Asian communities will be the first
customers that will consume these products because it is more
typical for their national cuisine, food preferences and culture.
Consequently, the distribution should mainly occur through
small and medium size shop focusing on the sales of typically
Asian products and situated in the areas inhabited by predominantly
Asian communities.
At the same time, it is necessary to launch the new products’
distribution through the network of Asian restaurants where
customers will have an opportunity to taste and appreciated
the new products. In this respect, it is worthy to point out
that it will be not only Asian but also non-Asian customers.
In fact, Asian network can be used as an indicator which should
signal the moment when the distribution of Asian sauces of
Canterbury Spice Man should get started in large national
networks, such as Tosco.
In such a way, it is possible to say that the distribution
through large networks is the final stage in the distribution
of the new products of Canterbury Spice Man entering the market
of the UK. It is important to underline that the use of this
distributors is possible only on the condition that the company
is sure that the demand on the new products is high enough
not only among Asian communities but among people of British,
or non-Asian origin as well because the distribution through
large networks implies the orientation of the company on mass
customers and large sales rates. This is why this variant
should be viewed as a potential perspective but not as an
immediate solution of the problem of the distribution of the
new products.
The market offerings proposed for intermediaries/channel
members
However, to find the possible ways of distribution and potential
distributors does not mean that Canterbury Spice Man can really
use these distributors. In actuality, distributors must be
interested in the cooperation with the company before they
agree to distribute the new products offered to them by Canterbury
Spice Man. This is why it is necessary to develop effective
ways to make the distributors that are considered to be the
most perspective interested in the distribution of the Asian
sauces.
In fact, there may exist different ways of cooperation with
the distributors which may be profitable for both parties,
i.e. for distributors and Canterbury Spice Man. It proves
beyond a doubt that the profit may be the most important and
decisive factor that can make distributors to agree with the
company’s offer to cooperate in the distribution of
the new products. At the same time, it should be pointed out
that in order to persuade a distributor that the sales of
the sauces will be profitable for both parties, it is necessary
to prove that the demand on these products can be really high.
In such a situation, it is worthy of mention that small and
medium shops oriented on Asian customers as well as specialized
Asian restaurants would, in all probability, readily cooperate
with Canterbury Spice Man since the products offered by the
company are really traditional for national cuisines of Asian
countries and, consequently, customers will buy these products
in order to satisfy their gastronomical needs and tastes.
It should be pointed out that the use of the original names
of the products may be quite important here because Asian
customers are more accustomed to traditional names of the
products. Moreover, this will emphasize their Asian origin.
In other words, customers will be sure that the products distributed
by the partners of Canterbury Spice Man are produced in Asia.
As for the products that will be labeled by the brand of the
company, it should be said that Asian customers could have
certain apprehensions concerning the authenticity of the products.
Nevertheless, it seems to be quite possible to convince distributors
that the demand on the new products will be quite high. At
any rate, at the beginning of sales, it is possible to make
a special offer to the distributors providing them with a
larger share of income from the sales of the Asian sauces.
In such a way, the company will attract the distributors and,
at the same time, it will stimulate them to increase the rates
of sales of the new products. However, it should be said that
the use of this approach to large networks as distributors
could hardly be effective since it will be quite difficult
to find an individual approach to each network as it is possible
to do to smaller distributors.
Nevertheless, it is possible to make other offerings to the
distributors in order to increase the effectiveness of cooperation
and stimulate them to distribute the new products. Unquestionably,
this is very important to make distributors feel that the
distribution of the products will accompanied with certain
advantages compared to the major competitors. In this respect,
it is possible to offer to the company’s distributors
some exclusive right to the sales of the product. For instance,
small and medium shops can get exclusive right to sell the
new products offered by Canterbury Spice Man in a particular
area. It should be said that this will stimulate these distributors
as they will receive a competitive advantages compared to
other similar shops situated in the area or nearby. The same
effect this offering may have on other distributors, such
as Asian restaurants which also would readily accept the offer
to sell unique products that could not be find in any other
restaurant nearby. As for the large networks, it is possible
to recommend focusing on the use of only one large network
as a distributor. For instance, it is possible, choose Tosco
as a distributor of the product and it possible to offer to
this distributor that it will be the only large network operating
nationwide that have the right to sell the Asian sauces offered
by Canterbury Spice Man.
Furthermore, it should be said that the distribution of the
new products should be thoroughly planned and regulated. In
other words, it is necessary to develop clear schemes and
contracts which would clearly define the conditions of the
distribution and right and responsibilities of all parties.
It should be pointed out that contracts should focus on the
stability of relationships of Canterbury Spice Man and its
partners because it is one of the major condition of the stable
development of the company and promotion of its products in
the market, and thus, growing sales rates. On the other hand,
distributors will also realize that the company is quite reliable
and, consequently, it is possible to cooperate with Canterbury
Spice Man for a long period of time that is very important
in the current economic situation. Obviously, it is very important
that the contracts were signed for possibly longer terms because
it will provide both the company and its partners to make
a long time forecast and create strategic plan of the development
for a long term. Anyway, the basic goal of the company at
the first stages of the introduction of the new products should
be the involvement of possibly larger amount of reliable distributors.
This is why it is possible to sacrifice short-term benefits
for the sake of a long-term cooperation. At the same time,
it is necessary to use the uniqueness of the product for the
British market in order to draw the attention of the distributors
to this characteristic of the new products offered by Canterbury
Spice Man.
Recommendations as to specific strategies Canterbury Spice
Man should use
Obviously, on defining the major distributors and developing
the offerings the company can make for them in order to draw
their attention to its products and increase the cooperation,
it is necessary to analyze possible strategies that can be
used by Canterbury Spice Man in order to successfully introduce
and promote its new products. In this respect, it should be
said that the company should particularly focus on the customers
and their interest to the product.
Speaking about the introduction and promotion of the new products,
it is necessary to emphasize that one of the main strategic
goals of Canterbury Spice Man should be the development of
the positive customer experience. It should be said that in
the modern world the formation of positive customer experience
to the brand is extremely important since the loyalty of customers
to the brand can increase the sale rates and even the value
of the company in the market.
In this respect, it should be said that the creation of a
positive customers experience by Canterbury Spice Man may
be quite effective marketing strategy that should be based
on a clear plan which should imply five major steps. First
of all, it is necessary to analyze the experiential world
of customers. This means that it is necessary to analyze socio-cultural
context of customers that includes the analysis of customers’
needs, wishes, habits, preferences and lifestyle in general.
Practically, it means that before introducing the new products
it is necessary to carefully analyze the potential markets
and local customers. To put it more precisely, it is necessary
to clearly define the areas where Asian communities reside
and analyze the extent, to which these communities got assimilated
in order to understand whether the Asian sauces will be popular
or not. In actuality, Asian communities in large cities of
the UK have preserved their national traditions, especially
in relation to food preferences and national cuisine still
plays an important role to them. This is why it is possible
to presuppose that the new products will meet the tastes and
preferences of customers.
Secondly, it is necessary to build the experiential platform.
This means that it is necessary to take into consideration
such fact as the connection between strategy and implementation,
which specifies the value which customers can expect from
the product. Practically, this implies that Canterbury Spice
Man should concentrate on the analysis of customers’
interest in the new product. In other words, it is necessary
to assess the extent to which the Asian sauces will be valued
by customers. Basically, on introducing the new products,
it is possible to benefit from the customers’ nostalgia
and national traditions which naturally increase the value
of the Asian sauces imported to the UK from the Asian countries
supplying the sauces.
The third step implies the designing of the brand experience.
This step means the development of the brand experiential
features, product aesthetics, a so-called ‘look and
feel’. Practically it means that it is necessary to
create a recognizable logo of the company and its products
which could be easily identified with Canterbury Spice Man
and its sauces. In this respect, it is possible to use some
traditional Asian symbol as a logo which could be easily recognized
by Asians and adequately perceived by non-Asian which also
may be the potential consumers of the new products introduced
by the company. This step is apparently extremely important
to the further promotion and development of the company, its
brand and products in the market. It proves beyond a doubt
that a successful logo is a constituent part of the product
itself. This is why Canterbury Spice Man should pay a particular
attention to the development of its logo, but, in such a situation,
the fact that the company can label only some of the sauces
by its own name, it may be a problem to make all the products
that the company sales equally popular and recognizable by
customers. This is why it is necessary to make the unification
of products under the common label the strategic goal of the
company.
The fourth step includes the structuring of the customers
interface. What is meant here is the development of all sorts
of dynamic exchanges, and contract points with customers’
intangible elements, among which may be emphasized such elements
as customers’ values, attitudes, bahaviour and others.
Practically, it means that it is necessary to constantly research
customers’ preferences, values, attitudes etc. In other
words the initial research of customers needs, preferences,
and food culture should be continued after the introduction
of the new products. To put it more precisely, after the Asian
sauces are introduced it is necessary to research what sauces
are more popular, define the geographical distribution of
different sauces, i.e. what sauces are more popular depending
on the region. For instance, Rendang sauce may be more popular
in Indonesian communities, while sweet and sour sauce may
be more popular among Thai communities. As a result, it is
necessary to change the supply respectively increasing the
supply of Rendang sauce to areas with predominantly Indonesian
population and sweet and sour sauce to areas with predominantly
Thai population.
Finally, it is necessary to undertake the fifth step to realize
the strategy of the development of positive customer experience.
This step implies engaging in continuous experiential innovations.
Obviously, this step is oriented on a long-term perspective
relationship between customers and the company. The basic
goal of this step is to improve customers’ life or,
at least, to make customers feel as if their life is changing
for better if they buy the new products. Practically, it means
that it is possible to promote the new Asian sauces as healthy
and natural products that produce a positive impact on the
development of human organism and protect people’s health
from negative influences of the environment. At the same time,
it is necessary to remember that in a long run, Canterbury
Spice Man will inevitably face the necessity to enlarge the
number of products that the company sells.
However, the enlargement of the products sold by the company
may also affect its strategic relationships with its distributors.
Obviously, at first stage as the new products, i.e. the six
Asian sauces are introduced the use of the existing network
of Asian restaurants, small and medium shops will be sufficient
for normal functioning of the company, while the cooperation
with a large national network like Tosco can make its operations
even more profitable.
However, in the course of time, as the company will enlarge
the number of products imported from Asia and sold in the
UK market, it will be necessary to increase the cooperation
with the distributors in order to increase sales rates. In
this respect, it is possible to recommend integrating the
company and its distributors. Practically, it means that Canterbury
Spice Man can acquire some small shops specialized on the
sales of original and unique Asian food and products, as well
as it is possible to acquire some Asian restaurants. Or optionally,
it is possible to develop the network of distribution due
to the merger with the existing chain of shops or restaurants.
Alternatively, it is possible to develop an independent network
of its own shops where customers could by original products
from Asia. However, it is worthy of mention that at the beginning
the creation of its own network will be extremely expansive
and unreasonable since the products sold by the company are
really few. On the other hand, as the number of the products
increases, it will be quite useful to create the new network
of shops that may be very effective and provide Canterbury
Spice Man with serious competitive advantages since the company
possesses the exclusive right to distribute the Asian sauces
in the UK. Consequently, its competitors will be unable to
offer the same products, at least of the same quality.
Nevertheless, this strategy of the development of the company,
i.e. the creation of its own network of distribution, seems
to be not the best way since it is quite expansive and, basically,
it should be viewed as a long-term perspective. Instead, the
use of existing networks and alliances with them seems to
be perspective in short- and meddle-terms. At the same time,
such a strategy may be more cost saving.
Conclusion
Thus, taking into account all above mentioned, it is possible
to conclude that Canterbury Spice Man has a really great potential
due to its exclusive right to distribute the Asian spicy sauces.
Obviously, this exclusive right may be a serious advantage
compared to its competitors because the popularity of Asian
cuisine and sauces is constantly growing. Anyway, Asian communities
in the UK constitute a significant part of the population
of large cities and Asians will readily buy the new products,
as well as Asian restaurants will also use these products
in their own business in order to emphasize their uniqueness
and original Asian style. Nonetheless, in order to achieve
really good results, the company needs to develop and successfully
implement the strategy of introduction and promotion of the
new products like the one described above.
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