International Marketing

Germn Martnez Gmez. Noelia Via Varela. Diego Gmez Abal.

INDEX 1. INTRODUCTION 2. PRODUCT CHOICE 2.1. Why? 2.2. Description of product 2.3. Competitive situation of the company 3. ANALYSIS OF POLISH WINE SECTOR 3.1 The wine market in alcoholic drinks. 3.2 Local production. 3.3 Imports 4. ASPECTS TO ANALYZE IN THE MARKET 4.1. Risks 4.2. Competition 4.3. Laws 5. PRODUCT DEVELOPMENT IN THE MARKET 5.1. Target market 5.2. Adaptation 5.2.1. Adaptation Strategy 5.2.2. Mandatory adaptation 6. PRODUCT MARKETING STRATEGY 6.1. Ways to entry into the market 6.2. Segmentation and positioning 6.3. SWOT analysis 6.4. Objectives and strategies 7. MARKETING MIX INTERNACIONAL 7.1. Resources and export budget 7.2. Price strategy 7.2.1. Internal factors 7.2.2. External factors 7.2.3. Price establishment 7.3. Communication Process 7.4. Distribution Channels 7.5. Coordination and control 8. BIBLIOGRAPHY

1. INTRODUCTION The international marketing actions are aimed to obtain the satisfaction of consumers or users of the products / services in more than one country, in return for a benefit. Includes pricing, promotion and distribution of the product / service desired by consumers in different countries. In the case of a company that operated only in a national market and then decided to expand its activities to another country, previously, this company must satisfy development a correct marketing plan. 2. PRODUCT CHOICE The product that we are going to try to introduce in Poland is a wine, specifically a white wine. The type is Albario and the brand is Pazo da Boucia, this type of wine is made only in the north of Spain, concretely in Galicia. This wine is elaborated by the winery Adegas Arousa; the way of elaboration is very artisanal and natural because the company combines traditional methods and sophisticated methods, therefore the wine has a high quality. 2.1. Why? We think that the Albario's wine is a good product because Poland is a country that consume a lot of alcoholic drinks, and last years the habits of polish people are changing, and they prefer drinks with more quality and less alcohol graduation. The wine and mainly the fruity wine, as Albario, are increasing their sales. We can see that will be a product with acceptance by the Polish costumer. Furthermore wine is a product that is usually exported. Therefore it is easy to export, it is sent and arrives to the client almost ready for use, and it only needs a few minutes in refrigerator to consume in better conditions. 2.2. Description of product1 This wine is young and attractive, impregnated with Atlantic accent, exclusively produced with grapes of Albario variety. At sight, it offers a clear and shining appearance, pale yellow colour with greenish reflections. At bouquet, it is strong and excellent aromatic intensity with reminiscences of floral and fruit nuances inherent to the Albarios variety that confers upon it a sophisticated and elegant touch. And in mouth, It is ample with energy and at the same time oily and delicate, acidity balanced being common to the ripeness, selection and health of our grapes. It has long and pleasant aftertaste. The previous features are due to the variety of the grapes and the peculiar weather and peculiar ground that only exists in the region of Galicia. It differs from
1

http://www.adegasarousa.com/contenido.php?idget=inicio

other types of grapes for its high sugar and high acidity transmitting a unique freshness and character in wines. Cropland spans a number of areas of Galicia that have a number of common physical conditions and originate identifying the characteristics of their wines. These lowlands with altitudes generally less than 300 m., Near the sea and associated to the lower reaches of the rivers, which formally determines the climatic characteristics of Atlantic influence manifested in mild temperatures and high rainfall and well spread, falling water in the summer months. 2.3. Competitive situation of the company The winery "Adegas Arousa" as the name suggests comes from the famous Ria de Arosa, thus doing honor to the geographical area and the number of dishes that would produce this doing an excellent match with our Albario wine. S winery located in the heart of the valley of Salns, wine tradition legendary land where Albario grapes are grown for over 100 years. In the 80's starting off the Rias Baixas designation of origin and is currently recognized as one of the best white wines in the world. In 1999 the winery was created as society initiative of three young entrepreneurs winegrowers children rooted to the area, with Albario vineyards that had been developed by hand, giving birth to an elitist wine project. The economic activity of company is mainly in the autonomous community. Also the company works in other regions of Spain, such as Catalua, Pais Vasco, Madrid, and other important cities. Relative to the exports, our company introduced the wine in Belgium, Netherlands, France, Portugal, Italy and outside Europe, in Florida (USA). The winery has the capacity to produced 100.000 bottles of wine. And the annual budget is about 400.000 , which we use the 18% to marketing Plan development (72.000).

3. ANALYSIS OF POLISH WINE SECTOR 3.1. The wine market in alcoholic drinks. Actually the alcoholic beverage market in Poland is suffering the effects of the economic crisis. In 2010 has reached a size of 3906.6 million litters, representing a decrease in sales volume of 2.53% over 2009.

According to the graph above, the wine is up to 7% of total market sales alcoholic beverages, beer drinking being star with 85%. These data correspond to the historical trend of the market. However, we must not overlook the trend change that is occurring in this market. The taste of the consumers is changing and is currently seeking new flavors with a higher level of sophistication. This new trend in wine benefits compared with the beer, although the degree of change will depend largely on the economic capacity of Polish consumers, since wine has a very higher than beer or vodka. Currently on the market2 is reflecting his change in preferences. During 2010 the volume of beer sales fell by 2.53%, but the wine has remained, although moderately, growth of 0.73%.

Source: ICEX. Economic and Commercial Office Embassy of Spain in Warsaw. Wine Market in Poland. Available in: http://goo.gl/APq1j

It should be noted that the trend of the beer is what makes the general market trend, since it involves more than 85% of the total volume. Moreover, wine is the only beverage with a positive rate of change. But although positive growth is expected overall market, the wine will drink with higher annual growth. In 2010 the total volume of wine sales in Poland grew by 0.7% to reach 275.7 million litters for a total value of approximately EUR 829.22 million. In 2010, with an annual consumption of 2.4 litters of wine per capita, Poland occupies the lowest positions in the European ranking. The more forecasts estimate that per capita consumption exceeding 8 litters for 2015. It also notes that Polish consumers begin to opt for quality wines, less alcohol graduation and fruity wines. 3.2. Local production. Because of the peculiarities that present climate and farmland, Poland is not known for its wine-producing ability. According to the Agricultural Market Agency (ARR) there are currently 20 farms in Poland officially registered as grape wine manufacturers validly licensed for commercialization. Although Poland has no chance of becoming a major wine producer, could become profitable in the future when a good job offer number of people in certain regions of the country. Moreover, the Polish wine producers are unable to supply enough wine to become an attractive partner for retailers. According to the last data published by the ARR, the wine production grape Polish in 2010 totalled only 49,840 litters.

Regional authorities in south-eastern Poland are giving full support to the idea of the South as a region of winemaking tradition. In fact in the eleventh century the drink was produced in Zielona Gora region, but due to climatic changes and historical events, cultivation was abandoned. Today is trying to revive the tradition of wine waiting for the wine attracts tourists and local people can benefit from the production and sale this product. However, this production will not reach the levels that exist today in Galicia (Spain), let alone that this tradition already own.

3.3 Imports. Wine imports in 2010 reached the value of 133.31 million euros, representing a positive growth of 12.97%, while the volume of litters has been imported 73.08 million litters, representing a slight increase of 1.66% over 2009.

It is from 20083 when it starts to appreciate the true effect the crisis has had on imports of grape wine. As a result, between 2008 and 2009 reached a negative rate of change in both volume and value of -0.15% and -11.90% respectively that let you see clearly the decline in domestic consumption of grape wine. Finally, the growth rate of 2009/2010 increases positively (1.66% in volume and 12.97% in value). This means the recovery of the sector and provides necessary stability in the current economic environment. The behaviour of Spanish wine over its closest competitors is still very positive. In 2010 amounted to the first positions of the ranking, as it has been a positive rate of 7% in volume and 12% in value. In conclusion we can see that the wine market is currently highly concentrated. The first three powers grape wine exporters to Poland that are Germany, France and Italy account for almost 50% of total imports (in volume and value). If we add to Bulgaria and Spain, the share is increases to 75% of total imported grape wine.

Source: Euroestacom.

4. ASPECTS TO ANALYZE IN THE MARKET 4.1. Risks. As for the risks that we can find related to the distribution of our product in Poland we found the following:

The wine market in Poland is still a significant market presence even exists in it. Cultural differences and instability are factors that hinder business with these countries. Poland has a low per capita consumption, less than 3 litters, as traditional drinks like vodka, and beer or wine of fruit are the most consumed drinks.

4.2. Competition Based on this chart, we can say that grape wine maintains a positive rate of change of 1.4% in 2010 compared to 2009 and 2.7% in 2011 compared to previous year. Therefore we can speak generally of a moderate but sustained growth that has been taking place since 2006.

In the next chart, we can see that wines table wines are the most consumed regarding sparkling wines and vermouths; therefore, these would not be strong competitor for our wine.

In this chart we can see that the red wine is a strong competitor in the Polish market.

Finally, in this last chart, we can see that Spain is in the Polish market as one of the leading wine exporting countries over recent years. In addition, since 2007 there has been a change in our main competitors. French wines have lost market share and now the strongest competitor

4.3. Laws As to the legal requirements that we must follow to make our wine distribution in Poland we have to refer the following taxes: Special Tax (excise Accisa). This tax is for wines with an alcohol content not exceeding 22%. It is paid through the circulation label to be placed in the neck of the bottle. You can import these cigars must be purchased at the offices of Local Finance and send to exporters to be attached prior to shipment.The amount of the excise is 158 zlotys per hectoliter. (All this is reflected in the excise law: Dz.U. of January 12, 2009 # 3; Dz.U. of April 28, 2004, No.87, poz. 825; ROZPORZADZENIE MINISTER FINASOW April 19 2004r. Dz. Nr 80, poz 742 on clearance, shipping, and receiving the stamps use of movement as forms annexed to the Arrangement). Value-Added Tax (VAT). It is constituted by 23% since January 1, 2011.

5. PRODUCT DEVELOPMENT IN THE MARKET 5.1. Target market Who buys the product?4 Our product will target adult people, who are the main consumers of wine, because they opted for higher quality alcoholic drinks and healthier drinks. According to data from Euromonitor, the per capita consumption of grape wine in Poland in 2010 was 2.4 liters. Wine is not considered as a daily drink to accompany the meal, it is a product reserved for family events and dates. The times when consumption is increased are mainly Christmas, Carnival, Easter, First Communion, weddings and other social gatherings of relevance. When the product is purchased? The main companies that sell quality wine indicate that about 50% of total annual sales are produced during these periods. We can say that wine demand in Poland is marked by a strong seasonal component. Our product will be aimed to the adults and old people because these are the main consumers of quality wine. Where the product is purchased 5 The wines in Poland can be found in supermarket and hypermarket chains, which supply about 50% of the wine market. But usually offer lower quality wine, so it is not a good option for us. Then there are large, medium, small stores and specialty stores, with a large portion of market too. And finally we can find the wine at HOROTECA, namely, hostelry, restoration and catering. Why the product is purchased? The Polish media strengthen this new position in the consumption of wine, associating it to a healthy and sophisticated lifestyle. Also government policy aimed at reducing the consumption of strong alcoholic drinks has helped to increase the popularity and consumption of this product. In Polish consumer behavior was observed which are susceptible to promotions, offers and discounts.6 5.2. Adaptation 5.2.1. Adaptation strategy To achieve the adaptation of our product to the Polish market, we have to modify it according to their characteristics, such as conditions of use, consumption patterns, technical barriers, tastes, needs, languages etc.

4 5

http://www.icex.es/icex/cma/contentTypes/common/records/mostrarDocumento/?doc=4221353 http://www.icex.es/staticFiles/El%20mercado%20del%20vino%20en%20Polonia%202006_12033_.pdf 6 http://www.icex.es/staticFiles/El%20mercado%20del%20vino%20en%20Polonia%202006_12033_.pdf

About appearance of the bottle will continue the same shape, because it does not cause any problems in Poland and we saved money in the manufacturing process. In relation to the label, the logo will be the same, as it is known in Europe. We have the possibility to translate the label into English or Polish, in this case we will opt for the Polish. Although this could present an extra spending, we believe it can be beneficial to reach the consumer complicity. The wine packing will be made in boxes of 6 bottles, is used in Spain as well, but we introduce a modification in the box, the bottles will be put horizontally rather than vertically, so that the bottles traveling in a safer way and protecting the box against possible blows along the way. Inside each box, we will include a booklet in Polish and English, with the characteristics of wine, pairing and optimal conditions for consumption, such as temperature or type of glass. Wine in Poland is marked by a seasonal component, besides the Polish consumer is often seduced by promotions. Therefore we will do promotions and discounts on special dates, such as Christmas, Easter etc. To attract consumers. The wine will keep at an affordable price but the price will be concordant to its quality, because we want that is considered a prestigious wine. 5.2.2. Mandatory adaptation7 Labeled With the entry of Poland into the European Union entered into force automatically Community regulations concerning the wine market (for example Regulation (EC) No. 1493/1999 and 753/2002 of the European Commission, which fix certain provisions in regards the description, designation, presentation and protection of certain products). Regulation obliges us to set the bottle of wine the following information: product data unit volume, production batch number, percentage of alcohol content, country of origin or manufacturer data, address data that introduces the product market (importer). We will provide this information on a back. We also have to respect the Polish law on Polish legislation that requires four product information data are obligatory in Polish and in each bottle should appear:
7

Importer ("Importowane przez" / "Importer"). Data Importer. Country of origin, in this case Spain (Hiszpania). Sulphate content or "contains sulfates" (Zawiera siarczyny)

http://www.icex.es/icex/cma/contentTypes/common/records/mostrarDocumento/?doc=4221353

We don't have problems with the previous rules, because we decided to fully translate the label to the Polish language, except the brand name and the name of the type of wine (Albario). Taxes There are two types of taxes for wine, the first is the VAT, and the second is a special tax for graduation less than 22% (Accisa). This last will be explained later in the work. 6. PRODUCT MARKETING STRATEGY 6.1. Ways to entry into the market. There are several ways to export, the main export include direct and indirect exports. The indirect export has the following main characteristics: Was carried out similarly to the domestic sale. It has drawbacks as it loses contact with the customer / market. It creates a lack of control in the distribution channels. Information is lost on the market.

On the other hand, stand out as main features direct export of the following: The manufacturers develop export activity. This type of export reports higher sales / profit. Allows greater control. Acquired experience in Marketing. Allows direct information on the market. For the distribution of our product we have chosen the direct export, so our activity takes place directly in the foreign market, either through a branch or through a subsidiary. This form can also export a form of direct marketing, in which the firm can sell directly to customers and where to dispose of own sales representatives. In our case we have established this form of sale to a variant, do it only through Internet. The two main features that have the form of export that we have chosen are: The carrying it out by agents and distributors. The agent is the agent that acts in the name of the company. The dealer acting on behalf of itself, it is a customer of the company acting as an intermediary. At this point it should be noted that this type of export generates a number of costs as we shall see, the percentage of commission established dealer, sharing marketing costs, transportation and responsibilities. Agents and distributors are one of the formulas used by the company that first introduced into a foreign market.

The establishment of commercial subsidiaries. They're divisions advanced commercial export permit being in constant contact with customers, improving market knowledge and control while allowing a closer competition. Notably commercial subsidiary of factors including: the canalization of purchase orders, so that is sold directly; brings competitiveness: in terms of price, quick distribution and knowledge of consumers.

6.2. Segmentation and positioning Population of the 5 main cities: Warsaw: 1,714,446 citizens. Krakow: 754,854 citizens. Ldz: 744,541 citizens. Wroclaw: 632,240 citizens. Poznan: 556,002 citizens.

Population distribution by sex. Male: 48.28% (18,423,343 citizens) Female: 51.72% (19,730,046 citizens)

Age distribution8:

Available in: IDESCAT. Statistical Institute of Catalua. Web page: http://cut07.tk/bpN

Inside this segment, where we differentiate the different consumer groups, we decided to carry out the distribution of our product, focus on between the ages 25 and 69 years, which we believe is going to consume above the other, the product offered by the company "Adegas Arousa". To start our distribution will begin by focusing on the main areas of Poland, Warsaw, Krakow, Lodz, Wroclaw and Poznan, and this because: Are the best connected cities and so it will offer more facilities to get the distribution. Its in cities where there is a higher level of wealth and therefore greater purchasing power for consumers. It is where new trends come before consumption. It's where there are more sales opportunities. Another feature is that cities are more multicultural than other areas and therefore tend to be more open to foreign products. It is easier to provide a product in a city. It is easier to introduce a produce in a city as this involves less cost.

In terms of positioning, first we will say, is the relative character position that a product occupies in consumers' minds relative to other alternatives. In connection with our product we have to say: Our product has excellent quality in relation to price, resulting in a benefit to the consumer. On the other hand notes that in Poland dominates this wine, Albario, but most are fruity wines and red wines, so the market in this sector is untapped wine, benefiting largely to wine offer. This product is made the traditional way which reports greater benefits to consumers. Larger companies covering large amounts of this product will produce more industrial and so worse health.

6.3. S.W.O.T. Analysis Strengths. There is no possibility of competition in this type of wine as it is produced in a unique and integral in Galicia. The Albario "Pazo da Boucia" is considered by wine distribution professionals like fine wine. Overall presentation of wines is considered accurate and often attractive. In the last two years has won several awards at European level for its quality. Only producers of beverages containing between 8 and 18 degrees (12-13 degrees Albario) are allowed to advertise in newspapers, posters and invitations or events.

 Weaknesses. Distribution network small. Mainly engaged in the production of different varieties Albario. Despite having a large market share there is a group of lower priced wines with greater market share.

Opportunities. The Albario wine is considered the best of Galicia and one of the best whites from Spain. Polish consumers are demanding more elaborate drinks, and with lower alcohol content, which benefits the wine. The proximity and cultural exchange with these countries traditional wine consumption is one factor that has increased the popularity of this drink in Poland. Poland is increasing its consumption of grape wine and therefore import. As consumers demand the Poles, it focuses on white wines and red wines. Open market to the online sales.

Threats. There are ten wineries in the Wine Market Albario type that are stronger. Young people still consume little wine. Increase in the price of wine in general than other beverages substitutes. There is a law which states that beer can be promoted on television from 20:00, but no wine.

6.4. Objectives Short term Return on invested capital Win new market Keep alive in the market Maximize profits Increase sales Establish our wine in the main cities of Poland and start participating in the wine market. We seek to satisfy our customer with a quality product, good tasting and affordable even having to reach all audiences.

Long term Among other things we also seek to achieve an optimal level of profitability and achieve effective distribution for our product. On the other hand we pursue to achieve an increase in our sales of up to 30% thanks to our Polish export market within two years. Finally, our ultimate goal is to get to consolidate "Adegas Arousa" as a prestigious brand in the wine business in Poland working for our product recognized in the Polish market.

7. MARKETING MIX INTERNACIONAL 7.1. Resources. In this point we will talk about the Resources which our business is working to create out enterprise in Poland. First we will refer to material resources that our company has and these are: Transport. Machinery grape harvester for winemaking. Real estate. Raw material. Computer equipment and office supplies. With regard to financial resources are: Banks. Customers. Notes receivable. As for technical resources, our company has specific techniques for the development of our products and software for the upgrade of our techniques. In terms of market resources we have to note that we have promotions, advertisements and future development of new products and lines. Relative to the terms of human resources with which our company works should be noted that trade has three dedicated to the study of the wine market in Poland, a winemaker whose main role is the technical advisor responsible for managing the development process and wine storage, analysis, storage, bottling and marketing. Finally we have a computer technician, whose main function is to control the future sales of our product through internet and keep our website updated. 7.2. Price strategy To fix the price we will take into account two types of factors, the internal and the external factors.

7.2.1. Internal factors Our company works in a artisanal way and this produce more cost in the making process. Furthermore, the company doesn't make big amounts of wine; it has a medium capacity to achieve a better quality in the wine. We have to take into account the artisanal elaboration and the quality when we will put the price. Also, the price is influenced by company resources, product characteristics and objectives, such as return on invested capital, maximize profits, increase sales. 7.2.2. External factors Competitive environment Wine in Polish market: The polish market can be classified in three groups according to the price. 9 The first group is the wine less than 17.4 PLN The second group is the wine between 17.4 and 40 PLN The third group is the wine more than 40 PLN A special tax on wine in early 2009 represented an increase of 0.20 PLN in 0.75cl bottles. The biggest impact of this rise has been noted mainly in supermarkets and hypermarkets, as their offer is an offer of cheap wines and therefore they have a lower profit margin. Just the opposite has happened with specialty stores, which have a greater margin because they sell wine with a higher price.

The market is dominated by cheap wine (less than 4.17 PLN). They have enjoyed great popularity for many years, but with the new trends in consumer tastes, they are losing market share. The wines of medium price group (between 17.4 to 40 PLN) the situation changes completely. They have a growing trend, but nevertheless its
9

http://www.icex.es/icex/cma/contentTypes/common/records/mostrarDocumento/?doc=4221353

market share is only 9.8%. The wines of the high price group (above 40 PLN) also show positive growth. However, these represent low market shares. We must emphasize that the market share of high and medium price wines are increasing every year. Spanish wine in Polish market: In referring to the offer of Spanish wines, the segment with the largest share is located between 17.4 to 40 PLN, which is approximately 36%. The majority of Polish consumers consider this segment as the ideal value for money in Spanish wines. However, the segment with prices above 40 PLN, reaches the second place with 37.99%. This is one of the segments in which the Spanish wine is best considered and where has a great reception due to the competitiveness demonstrated in recent years. Definitively, we can conclude that the offer of Spanish wines in Poland is primarily aimed at the higher-priced segments.

In the polish market there is a lot of Spanish wine, which could be competition, but the most of this are red wines. Therefore our competition with Spanish wines will not be strong; due to our wine is a white wine. Local market: the competition of local wines in Poland isn't a lot because there aren't many wineries and producers; the market is based on the import. Other factors Besides the previous factors, we have to take into account to fix the price: Market conditions in Poland, Market tax (such as VAT and excise duties, excise), Country's economic conditions Change rate controls Cost of process communication Cost of distribution and intermediaries

7.2.3. Price establishment After considering all the conditions of price, we decided to set the price of our wine in 38 PLN; this price is within the medium segment, which is a quality segment that is growing in the sector. In this segment, the wine has a high price, but affordable to the great majority of the population. This price will allow us to obtain benefits and place it between the quality wines 7.3. Communication Process Communication is the marketing tool that seeks to inform, influence and persuade potential consumers in the target market about the possible benefits of a product or service. Chart 1: Communication process:10 WAY

EFFECT CONTROL

The factors, which influence in the communication process, are: Define the characteristics, typologies, and lifestyle of the consumers. Observe local laws and customs. Develop a message that consumers understand. Take into account the technical complexity of the product and seek the understanding of its benefits by the customer. Use the correct means to achieve to target customers. The international experience has showed that a unique sale argument in international markets doesnt work (paradigm adapting communication). In this way, we must choose different alternatives (Communication Mix) to obtain our objectives in the market. These alternatives are: 1. Advertising 2. Promotion 3. Sponsorship 4. Fairs and exhibitions 5. Merchandising 6. Sales forces
10

Source: Graph designed by the author.

1. Advertising In this point we must remember that: to prevent the high consumption of alcoholic beverages in Poland, was established the law forbidding alcohol advertising in different media. Only producers of drinks with graduation between 8% and 18% are authorized to publicity, through newspapers, invitations or posters. In this way, thanks to the lobbying efforts of domestic producers of beer, in 2003 this law was softened, allowing beer advertising on television after 20.00. Beer, through a special contribution to the state budget and a very limited manner, can also advertise on billboards. Nevertheless, wine can only be published in specialized magazines, which are marketed by subscription, or in restricted areas (specialty stores, wine clubs, etc.). Therefore, relative the advertising campaigns of our wine; we consider that the best option is focus on: a) Specialized magazines: the most important polish magazines in this area are: Magazyn wino: www.magazynwino.pl Rynki alkoholowe: http://www.rynki.pl Swiat alkoholi: http://www.swiat-alkoholi.pl Swiat win: http://www.swiatwin.pl b) Newspapers: as our wine has only 13% of alcoholic graduation, we can use this media. Nevertheless, we consider that best option is focus on local newspapers, for example: Warsaw: such as Warsaw Voice or New Warsaw Express. Wroclaw: such as Gazeta Wroclawska. Krakow: such as Krakow Post. Gdansk: such as Dziennik Baltycki. Lodz: such as Express Ilustrowany.

b) Posters and invitations: We consider that could be a good option give invitations in restaurants, specialized stores or also in the main streets and avenues; and paste posters in city areas in which it was seen properly by people.

Example of poster11

d) Internet and social networks: Furthermore of the webpage, where customers will be able to obtain all our product range and know the news and last promotions, about Pazo da Boucias wine; we also wanted reaching the Poles attention through the main social networks as for example: Twitter, Facebook, VK, Fotka, wine blogs, digital magazines and other kind of social media that could be appropriate for this target.

2. Promotion In this area, we have thought to make the next promotions events: Tasting for journalists and sommeliers. Commercial tasting campaigns for consumers and professionals.

11

Source: Image extracted from https://www.adegasarousa.com

3. Sponsorship Another way communication can be the sponsorship of sporting or cultural events and contests that allows wine tasting. 4. Fairs and exhibitions A good way to get our wine known would be going to the main fairs and exhibitions in this area; some of which are: EUROGASTRO (DRINK EUROSWEET) IFE POLAND POLAGRA-FOOD HORECA / ENOEXPO & BAR, WORLDHOTEL, CATERING,

5. Merchandising First, we must know that American Marketing Association (AMA), in its dictionary notes that the word merchandising has two distinct meanings: Can (1) refer to promotional activities that manufacturers make in stores, such as specific exhibitors for your items, or you can (2) identify the management and decision making of retails about a line item or items.

Considering this definition, we believe that we could carry out the following merchandising techniques: Negotiate with distributors so that our product to be placed in specific locations on the point of sale, such as shop windows, shop entrances, special exhibitors or shelves, and in this way attract potential customers. Another possible merchandising technique, could be, offering our wine with some added values, such as: Special limited production packaging Label the bottles for special occasions (e.g. Christmas) Promotional gifts: wine glasses, Christmas basketsetc. 6. Sales forces Here, we can carry out for example: Persuade the distributor about the chances of success of the product Support the importer in its promotion and training.

7.4. Distribution channels The distribution channel is responsible for delivering products or services to consumers for its use / utilization. Furthermore, the distribution channel affects other marketing mix decisions, such as: Pricing policy: decisions about the margin. Sales-forces: intermediaries formation. Communication: motivation and implication.

The structure of distribution channels is affected by: the nature of the product or service, our target market, the company, intermediaries... When we design our distribution channel, we must consider the following aspects: The channel always starts in the final consumer, determined by the shopping habits, culture... We must adapt the channel to the strategic marketing targets. The channel must be flexible in order to adapt to the characteristics of the destination country (Poland). The channel must be open to possible changes, which can appear due to new market tendencies or globalization.

The correct design of our distribution channel will come determined by next factors: EXTERNALS - Customer features. - Culture of distribution in the Polish market. - Competition analysis. - Grade of control. - Environment. - New technologies. INTERNALS - Goals firm. - Human and economic resources. - Channel coverage. - Channel continuity. - Communication.

This allows us to make decisions about which distribution channel we should take. In this case, we must consider that the distribution of wine in Poland is fairly concentrated, due to the existence of a limited number of large importers (oriented to the amount), and also, many small companies (oriented to product quality). The importer is a key figure in order to successful entry into the Polish market. At this point, we must consider the existence of two possible channels: 1. Commercial Channel: This is the main channel for the sale of wine in Poland, reaching 97.24% of sales in terms of volume, and 87.85% in terms of value. Within this we should differentiate: Specialized stores: small shops that doesnt belong to great international chains. These are the perfect place to purchase high quality wine. This sort of stores, have been affected by the economic crisis, but in a moderate way, because the specialized stores are aimed to high/medium rent customers. b) Supermarkets / hypermarkets: Tesco, Carrefour, Auchan, Biedronka, and Real are among the largest supermarkets operating in Poland, but their offer are cheap wines; so, we will not focus on this type of establishment because we try to introduce in Poland a wine of superior quality. c) Delicatessen supermarkets: We can find this type of establishment (for example: Alma, Bomi and Piotr i Pawel) on the biggest cities in Poland. Here, are sold the higher quality wines, such as the wine that we want to introduce in Poland. d) Sale of wine on-line: One of the latest trends, which have been observed in the wine market. Significantly reduces prices (sometimes up to 40%), wiping out intermediaries and selling directly to consumers via catalogues, webpages and offers via email. 2. HORECA (hostelry, restaurants and catering): It remains a difficult distribution channel for wine, due to high margins used, which can reach up to 300%. In addition, the economic crisis has worsened the situation, and Polish visit less the restaurants because their purchasing power is lowest.

Chart 112

Based on the above data, we believe that the best option is, on the one hand, centrate our atention on delicatessen supermarkets and specialized stores, for selling our wine, because this is the most appropiate channel for a high quality wine. On the other hand, we also consider important reaching the consumer through internet and on-line sale. However, always we must be opened to the possible changes that polish market can experiment, due to for example, trend changes, economic crisisetc. 7.5. Coordinacin and control13 To the coordination, there must be close cooperation among all components of an Extension organization. All participants in policy and strategy formulation, as well as programming, must take a market-oriented view of Extension's clients and other constituencies. Extension must take steps to become more responsive to its clients, such as conducting studies of client satisfaction and of clients' needs and preferences, as well as developing appropriate ways to respond to complaints and suggestions. The last section of the plan outlines controls that will be used to monitor progress. Review the results for each period, maybe each month or quarter, and determine if the plan is meeting goals. Modify where necessary. A successful marketing plan:14 Makes sure you possess the right services to meet the needs of your 'audience', be they donors, volunteers, members, helpers, fundraisers or special event attendees. Defines your niche in the marketplace and what your group can do to make the most of it. Introduces your organisation to new people and engages them as friends. Builds on existing relationships to convert 'friends' into supporters, donors, volunteers, members, fundraisers, etc. Builds sustainability, reduces risk and increases accountability.
12
13

Source: Graph designed by the author with Euromonitors data.

http://www.joe.org/joe/1994august/a5.php 14 http://www.ourcommunity.com.au/marketing/marketing_article.jsp?articleId=1510

8. BIBLIOGRAPHY Web sides

v http://www.adegasarousa.com/contenido.php?idget=inicio v http://www.icex.es/staticFiles/El%20mercado%20del%20vino%20en%20 Polonia%202006_12033_.pdf v http://www.joe.org/joe/1994august/a5.php v http://www.ourcommunity.com.au/marketing/marketing_article.jsp?article Id=151 v http://cut07.tk/bpN v http://www.icex.es/icex/cma/contentTypes/common/records/mostrarDocu mento/?doc=4221353 v https://www.adegasarousa.com v http://www.uv.es/~masterie/pdfs/Material_1-32011-12.pdf v http://www.euromonitor.com/wine-in-poland/report v http://www.retailpoland.com/100412/Polish-wine-market-expected-togrow-dynamically.shtml v http://www.eumed.net/ce/2012/roja.html v http://www.lawebdelemprendedor.com.ar/tps-mon/86-marke-inter.html Institutions v ICEX. Economic and Commercial Office Embassy of Spain in Warsaw. Wine Market in Poland. http://goo.gl/APq1j v IDESCAT. Statistical Institute of Catalua. v Euromonitor v Euroestacom.