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ASSESSMENT COVERSHEET – Individual (VET)

STUDENT DETAILS:
Student Name Student Number

ASSESSMENT DETAILS:
Course Name BSB50215 Diploma of Business
Subject name C5MK01V15 Marketing Planning
Unit Name and code BSBMKG502 Establish and adjust the marketing mix
Trainer

Block and Year C,18 Due date

EXTENSION INFORMATION: (Details of separately submitted and approved Assignment Extension Application)
Extension Granted No  Yes 
Revised due date
Extension approved by
Approval date

Declaration:
1. I hold a copy of this assignment, which can be produced if the original is lost/damaged.
2. This assignment is my original work and no part of it has been copied from any other student’s work or from any
other source except where due acknowledgement is made.
3. No part of this assignment has been written for me by any other person except where such collaboration has been
authorised by the trainer/assessor concerned and is clearly acknowledged in the assignment.
4. I have not submitted this work for any other past or present course/unit.
5. This work may be reproduced and/or communicated for the purpose of detecting plagiarism.
6. I give permission for a copy of my marked work to be retained by Kent Institute Australia (Kent) for review by external
validator.
7. I understand that plagiarism is the presentation of the work, idea or creation of another person as though it is your
own. It is a form of cheating and is a very serious academic offence that may lead to expulsion from Kent. Plagiarised
material can be drawn from, and presented in, written, graphic and visual form, including electronic data, and or oral
presentations. Plagiarism occurs when the origin of the material used is not appropriately cited.
8. Enabling plagiarism is the act of assisting or allowing another person to plagiarise or to copy your work.

Note: This assignment will not be marked unless the student do the declaration during submission time!

TRAINER/ASSESSOR SECTION:
Trainer’s/Assessor’s Initial: Result (Tick One) O C O NYC

VET Assessment Coversheet-Individual/October 2013, V1.2


-A

Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

Final Assessment
Duration: 2 Weeks.

Assessment Instructions for Assessor and Student

 This assessment consists of Three Tasks and must achieve a Satisfactory outcome in each task
of this unit.
 To achieve a Competent result, each student is required to achieve a Satisfactory outcome in
each marking criteria of the task.
 Student can refer to book(s), notes and other reference materials.
 Research the internet for resources that may assist you with this task.
 All ideas must be well explained and should be supported with references.
 Write your answer/s at the end of the questions for each task (just before the marking criteria).
 Plagiarism is strictly forbidden. NYC (Not Yet Competent) will be provided for plagiarism for all
involved.
 Students may be asked to explain their assessment work on a regular interval to the trainers to
ensure that the relevant competency standards are being met.
 Student is required to redo the task in class, if outcome is Not Yet Competent due to Not being
Satisfactory against any marking criteria of the given task.
 The Assessor is required to explain to the students the assessment task’s instructions and
required outcome to the students before conducting assessment in class.
 The Assessor is required to fill out and attach the re-assessment coversheet for the student’s
repeated task due to a Not Yet Competent outcome.
 The Assessor is required to record the result (Competent/Not Yet Competent) of the
assessment task into the Official Result Sheet and on to the Marking Criteria sheet attached
with this assessment, in accordance with the marking criteria of the assessment tasks for the
student and enter the final results into RTO Manager System of the Kent Institute Australia.
 The assessor must check the student’s work on each Assessment Day and provide on-going
feedback to the student in class.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

Assessment Outcomes:
1. Your performance will be assessed against the set Marking Criteria (Refer to the marking criteria in
‘criteria for evaluation’ provided after each task).
2. Your assessor will record your performance as “Satisfactory” or “Not Satisfactory” against each
criterion.
3. You will receive face to face feedback on the outcome of the assessments from your assessor.
4. Your result for this assessment will be “Competent (C)” if your performance is satisfactory against
all criteria.
5. Your result for this assessment will be “Not Yet Competent (NYC)” if your performance is not
satisfactory against any one or all criteria.
6. If you are assessed as “Not Yet Competent (NYC)”you might be given another chance to re-submit
the assessment on an agreed-upon policy and procedure of Kent Institute Australia (KIA).

Submission Method:
To be submitted into Moodle during the assessment time period.
Submission Date:
The Final Assessment tasks are to be submitted by the ond of week 2.
Late submission will incur the following penalty:
Assessments will not be accepted unless evidence of compassionate or compelling circumstances is
submitted. Late submissions will not be accepted and students may be liable to pay an ‘applicable
subject fee’ which may also lead to the extension of the student’s COE.
Assignment Extension Form:
A Student Assignment Extension Form may be completed by student wishing to apply for an extension
due to exceptional circumstances. This is available to download and print via the SIS >> Docs >>
Student Policies and Forms page, or you may collect this from the VET Administration office at Level 1.
Completed Forms are to be provided to the VET Administration Office, Level 1, (10 Barrack Street,
Sydney NSW 2000 Australia).

Student Complaints and Appeals Form:


A Student Complaints and Appeals Form may be completed for those students wishing to appeal a
result. This is available to download and print via the SIS >> Docs >> Student Policies and Forms page,
or you may collect this from the VET Administration office at Level 1. Completed Forms are to be
provided to the VET Administration Office, Level 1, (10 Barrack Street, Sydney NSW 2000 Australia).

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

This Assessment is designed to assess competency in the following unit:

BSBMKG502 Establish and adjust the marketing mix

 Evaluate each component of marketing mix


 Determine marketing mix for specific markets
 Monitor and adjust marketing mix
Assessment Requirements:
 Case Study McCain Foods (answer the questions);
 Determine Marketing Mix for Specific Market;
 Short Research Report.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

Task-1 Case Study: McCain Foods

McCain Foods was founded in 1957 in Canada by the McCain brothers Harrison, Wallace, Robert and
Andrew. McCain Foods is now the largest chip producer in the world with a market share of almost 33% and
more than 20,000 employees working in 57 locations worldwide. Since 1968 McCain GB has been
operating from its UK base in Scarborough, North Yorkshire.

McCain prides itself on the quality and convenience of its product range and for over three decades has
been making healthier versions of favourite staple foods. The McCain brothers had a simple philosophy
'Good ethics is good business'. This lies behind the McCain brand message 'It's All Good'.

It is not just the food that is good. The philosophy also refers to the way McCain works with its suppliers and
builds its relationship with its customers. McCain believes it is important to take care of the environment, the
community and its people. It works with around 300 farmers in the UK , chosen for the quality of their potato
crop. McCain factories are located in key potato growing areas, which helps to reduce food miles.

Corporate responsibility

A further example of the way McCain is reducing its impact on the environment is the installation of three
125m high wind turbines to generate electricity for its Whittlesey factory near Peterborough. McCain is the
first major UK food manufacturer to use alternative energy to help power a large factory.

McCain also gives back to the community by committing resources to both local and national projects.
McCain supports a wide range of local charities and good causes. Nationally, McCain has a five-year
agreement with UK Athletics to promote track and field sport in the UK.

The marketing mix

McCain strives to be a company making good, simple food in an increasingly sustainable way, while
meeting business objectives. To achieve this, the business ensures that it balances the four elements (the
four Ps) of the marketing mix.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
A product or service will have its own different mix of the four Ps. The right mix will achieve marketing
objectives and result in customer satisfaction:

 Product - this has to look and taste good and be made from wholesome ingredients
 Price - the price has to be attractive to ensure enough sales to generate a profit
 Place - the place and position of the product in the market is important to compete for market share
 Promotion - this has to fit the company’s objectives for the product.

McCain Foods is the world's leading manufacturer of frozen potato products. Although McCain is perhaps
best known for producing Oven Chips, its product lines are much wider. In the UK they include various other
potato products such as McCain Wedges and McCain Home Roasts, as well as McCain Sweet Potato and
McCain Micro Pizza. In other countries McCain sells a variety of foods including frozen vegetables, ready
meals and desserts.

Some products, for example, McCain Oven Chips, captured the public imagination immediately and
continue to sell well without needing to be changed. Other products change through time or are adapted to
create new variations, e.g. curly fries or thin and crispy fries.

External influences

Changes in the range are driven by a number of different factors. For example, microwaveable snacks take
account of changing lifestyles, where people are looking for food that does not take long to prepare. McCain
has also been responsive to market needs for healthier options and its products support the government’s
Change4life campaign. This encourages people to 'Eat Well, Move More, Live Longer'.

The company's philosophy supports the 'calories in/calories out' principle. This states that to maintain a
healthy weight, calories consumed should not exceed calories used. This also forms part of the 'It's All
Good' message - not only does McCain food taste good, but it fits in with current thinking on healthy diets.

McCain now only uses sunflower oil in the preparation of its chips. It knows that customers want to eat
healthily without compromising on taste and it is careful to use wholesome ingredients in its products.
Having a wide range including healthier options, such as Oven Chips, as well as products developed for
taste, e.g. Wedges, means the company can meet different consumer needs for different meal occasions.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

Managing quality

To protect quality throughout the whole supply chain, McCain manages its own potato seed development.
After specially selecting the seeds, McCain works closely with around 300 farmers to ensure the potatoes
are grown to a high standard and harvested at their peak. Only the best potatoes are chosen to make
McCain chips and potato products.

McCain Foods' product offering extends outside the home to include food service. This provides products
specially designed for use in restaurants and canteens.

Price

In pricing its products, a business must consider four things:

1. Business objectives. The business may set its pricing to achieve a number of different objectives.
These may be to:

 maximise profits
 achieve a target return on investment
 achieve a target sales figure
 achieve a target market share
 match the competition.

2. Costs. In order to make a profit a business must make sure that its products are priced above their cost.
The total cost of a product includes overheads such as research and development, investment in
equipment, people and technology, as well as direct costs, such as raw materials and ingredients.

3. Competitors. If there is no competition the business can set whatever price it chooses. On the other
hand, if there is perfect competition then the business must accept the market price for its products. In most
cases the reality is somewhere in the middle.

4. Customers. The business needs to consider what its customers' expectations will be. For example,
customers may be prepared to pay more for a product that is unique or produced in an ethical and
sustainable manner. This would place it as a premium brand above its competitors.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
Pricing strategies

McCain uses a range of pricing strategies associated with adding value for money. For example, 'extra-fill'
packs can give the customer up to 30% extra free. This rewards regular buyers of a particular product.
McCain may also offer its products at a special promotional price using price-marked packs to encourage
people to try the product.

Place

Place describes the channels McCain uses to position its products in the marketplace.

As a business-to-business (B2B) organisation, McCain does not sell directly to its consumers. Instead it
places its products with wholesalers and retailers, such as major supermarket chains. McCain may then be
able to influence how its products reach the consumer at the point-of-sale. For example, it may secure key
positions for its products in stores. By paying for end-of-shelf positions for its products, customers are more
likely to see and buy them.

McCain does not use its own vehicles to distribute products to its customers. Transportation is outsourced,
which means another organisation carries out the deliveries. Products are delivered directly to retailers'
central depots for onward distribution to their stores. Alternatively, they may go to wholesalers, who sell
them on to other businesses such as restaurants.

McCain takes the need for sustainability and reducing its impact on the environment into consideration in
transporting its products. For example:

 Where possible local farmers are used to reduce food miles.


 Double-decker trucks are used, saving in the region of 2,000 lorry journeys a year.
 The lorries have built-in solar panels which helps to provide additional power, for example, to help
with the internal lifting mechanism.

Promotion

A further demonstration of the 'It's All Good' ethos is McCain Foods' ethical stance on promotion. McCain
makes a commitment not to advertise to children under 12 years old.

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Unit Name: BSBMKG502 Establish and adjust the marketing mix

It also ensures that the retail labeling on its products carries clear information on levels of fat, saturated fat,
salt and sugar to help shoppers choose healthier options. Its labeling is in line with the Food Standards
Agency (FSA) traffic light scheme and the food industry's Guideline Daily Amounts (GDA).

Promotion falls into two main categories:

 Above-the-line promotion
 Below-the-line promotion.

Above-the-line

Above-the-line promotion is paid-for and includes traditional advertising routes such as television, radio and
the press. These are good for carrying marketing messages to a large audience. However, it is less easy to
measure the impact of these channels, for example, whether a TV advert has increased sales.

Special displays or positioning in stores or advertising on supermarket trolleys are also examples of above-
the-line promotional activity at McCain Foods.

Below-the-line

Below-the-line promotion can take many forms and is usually more under the control of the business.
Typical examples include events or direct mail. McCain uses a combination of below-the-line activities
including:

 Door-to-door leaflet drops or books of vouchers which give customers discounts over a period of
time. These help to attract consumers and establish brand loyalty so the consumer buys the product
again.
 Email newsletter for consumers. This creates a relationship with consumers, which is unusual for a
B2B organisation. It not only allows McCain to communicate directly with and listen to consumers, it
also enables the business to collect information, for example, about their lifestyles and product
choices. This is used for feedback, research and promotions.

PR and sponsorship

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
Public relations (PR) is a form of promotion that is concerned with developing goodwill and understanding
between organisations and the public. For example, McCain uses its relationship with UK Athletics to deliver
'Track and Field' roadshows across the UK. These emphasise the link between healthy food and healthy
lifestyle. Again, this aligns with the 'It's All Good' message.

McCain also takes part in different types of sponsorship, such as:

 TV show Family Fortunes. This brings the McCain brand to a wide audience through a popular
family programme.
 McCain Athletics Networks which encourage young people to get involved in the sport through local
clubs. This further supports the company”s approach to balancing calories in with calories out.

McCain also aims to promote better understanding of where food comes from through initiatives such as
The Potato Story. This is an educational resource that helps teach children about how potatoes grow and
their place in a balanced healthy diet.

Conclusion

'It's All Good' is a message that is embedded in all aspects of McCain Foods' marketing mix.

Not only are the products designed to look and taste good, they are produced from good quality crops in a
way that addresses people's concerns about issues such as health and the origins of their food. This helps
to ensure that McCain remains a trusted brand.

McCain also takes great care to minimise its impact on the environment. Its products are placed in the
market in a way that reduces both food miles and carbon emissions.

Promotion of the products focuses on the positive relationship between McCain food and a healthy diet and
reinforces the importance of food and exercise in a healthy lifestyle.

(Source: The Times 100 Business Case Studies)

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

Read ‘McCain Foods’ case study, and answer the following questions:
a) Identify the characteristics of products and services provided by McCain Foods.

characteristics of products and services McCain Foods

Brand is a brand with 61 years in the market and a 33%


market share, also has 57 plants worldwide, it is
recognized by the quality not only of its products,
of the entire supply chain
Product loyalty the loyalty of its clients is due to the excellent
  philosophy that "Good ethics is a good business",
it is a company that has been able to adapt to
global changes and presents varied options to its
clients, and also implements good practices in its
chain of Submission and production which allows
the client to identify and prefer a product according
to their ethics
Compatibility with other products McCain is a company that adjusts to external
influences sells a variety of foods, including frozen
vegetables, prepared dishes and desserts.
also products like McCain Oven Chips, are striking
because they do not require oil which makes it
healthier and its cooking is quite fast

Other products change over time or are adapted


to create new variations, p. fries fries or thin and
crunchy fries.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
Design It has different psychologically striking designs that
catch the attention of the client

Innovation Innovation is reflected in the added value in all


processes, from the selection of caretakers to
potato seeds, the use of sunflower oil to reduce
saturated fats, the use of renewable energies in
their processes, and the implementation of frozen
food at customers in this accelerated time
Reduction of health and safety risks McCain has also responded to the market's
healthier options needs and its products support
the Change4life government campaign. It has
product lines such as frozen vegetables, oven
potatoes and the use of sunflower oil in its
processes. McCain has a five-year agreement with
the United Kingdom of Athletics to promote the
sport of athletics in the United Kingdom.
Pollution reduction use of renewable energies in the manufacturing
and transportation process

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

b) Discuss the McCain Foods pricing policy.

The choice of an appropriate price strategy is a fundamental step in the "pricing process" because it
establishes the guidelines and limits for:
1) Setting the initial price
2) The prices that will be fixed throughout the life cycle of the product, all of which points to the
achievement of the objectives that are pursued with the price.

Among the strategies McCain implements, he uses a variety of pricing strategies associated with
adding value for money. The price of value means that you get a great value for money, that is, the
price you pay makes you feel that you are getting a lot of products. That is why "extra-filled"
packages can give the customer up to an additional 30% discount.
It also uses a promotional price strategy using special price packages to encourage people to try the
product, this strategy is very common when wanting to introduce new products.

He could say that the strategies are good and are focused and shaped for the target market, I think
the company could implement prestigious price strategies to the best and healthiest products it has
(high status) due to the position of its brand

c) Analyse the promotional methods to determine their importance to marketing outcomes.

The company presents 2 methods of promotion

1. Promotion above the line


2. Promotion below the line.

 Over the line


The promotion above the line is defined by the traditional advertising routes such as television, radio
and the press.

When you transmit an advertisement by traditional means you can create an environment with the
notice, that possesses the ability to express the message effectively and attract the viewer.
Depending on the time of day the ad is broadcast, you can reach a certain audience goal. Among

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
the disadvantages of this medium is the current trend of the young population by other sources of
communication such as the Internet which is displacing traditional media.

It is clear that, as the company mentions, it is less easy to measure the impact of these channels.

 Below the line

 This kind of promotion is usually under the control of the company such as coupons, events,
electronic bulletins, this kind of advertising requires more staff and dedication but is effective to
measure the level of impact on consumers, in addition to information that serves to Market research,

I believe that the company plans to continue to have a market in the new generations and have a
higher percentage in promotions below the line without forgetting the loyalty of current customers.

d) Evaluate channels of distribution and estimate their significance in relation to marketing outcomes.
distribution channels

Due to the nature of B2B business McCain does not sell directly to its consumers. On the other
hand, it places its products in wholesalers and retailers, like the main supermarket chains.
Therefore, the position of the products within the supermarkets is key to attract the attention of the
customers.

In addition, transportation is done by subcontract and the merchandise is delivered to central


deposits of retailers for subsequent delivery.

  The relationship of the distribution channels is very important for the success in marketing since
everything must work in a way that does not find delays in the process and affects the perception of
the final consumer

e) Propose an additional distribution method, and evaluate that method.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
Alternative distribution channel.

Dropshipping is a type of retail sale where the retailer does not keep the goods in his inventory, but
takes and passes the order (and shipping details) to the wholesaler, who then dispatches the goods
directly to the final customer.

  for the company the role of retailer is omitted and an area for this type of online sale is included,
In this type of sale you can show the wide range of products of the company and increase the
possibility of global purchase of the consumer.

f) Briefly explain how McCain Foods maximise customers’ value.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
the company Mccain food maximizes the value of customers by offering a product of excellent quality
designed to offer the customer a healthy product made of selected seeds, a strictly monitored process and
with the use of clean energy, use of sunflower oil that provides less fat saturated, also among its range of
products you can find frozen vegetables and healthy food.

Most consumers are smart people concerned about the environmental impact, therefore the philosophy of
the company is fully compatible with the ethics of the consumer now, which is summarized in the success of
the business

g) Evaluate components of marketing mix, and provide suggestions for improvement.


The combination that the company presents is the following:
  • Product: this has to look and know well and be made of healthy ingredients
• Price: the price has to be attractive to guarantee sufficient sales to generate a profit
• Location: the place and position of the product in the market is important to compete for market share
• Promotion: this has to conform to the company's objectives for the product.

  In general, I can mention that the market segment is very clear and all the variables that are relevant due
to the company's success, have a clear philosophy within the themes of quality and healthy food, the
company is at the forefront of the new generations concerned about renewable processes, healthy and fast
food, I believe that the company should put efforts in capturing the attention of young people through the
use of mobile platforms, social media advertising

Criteria for evaluation: Task 1 – Case Study: McCain Foods


The Final grade for this assessment task must require being Competent by achieving Satisfactory in
each task.
Did the student demonstrate ability to: Satisfactory Not Satisfactory
Place a tick(√)
Identify key characteristics of products or services and
estimate their significance to the market
Review pricing policy and analyse pricing variables to
determine their effect on demand
Explain promotional methods to determine their importance to
marketing outcomes
[

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
Review channels of distribution and estimate their significance
to marketing outcomes
Identify and analyse level of customer service provision to
determine its significance to marketing outcomes
[

Identify potential customer base and key pressure points


Analyse and test effects of components of marketing mix on
each other, and establish their relative importance to customer
base.
Final Grade Satisfactory / Not Satisfactory
Feedback to student:

Task 2: Determine Marketing Mix for Specific Market

Kandos Chocolates Limited is a leading producer of cocoa products such as chocolates, cocoa milk powder.
The company was established in 1995. Currently it holds a 30% market share with its sales growing rapidly.
The brand is very popular due to quality.

The company’s current marketing mix is as follows:

Product

This element relates to how the company offers meet the changing needs and wants of customers. and it
markets its product under the brand name of ‘Coco Leaf’ brand. The growth in sales, creates opportunities
for Kandos to increase the number of products for this segment.

Price

The amount a company charges for its product is important in determining sales. The company uses a cost
plus profit margin pricing method.

Place

Where customers can purchase the product is also an important factor in determining sales. The company
distributes its products through the supermarket, where most purchases are made by customers..

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
Promotion

Communicating the availability of a product is essential for sales to be made. Kandos uses advertisement,
and sales promotional activities for promotion. TV advertising and below-the-line promotion (e.g. on-pack
promotions and sampling).

Now the company is planning to introduce a new product (chocolate breakfast drink) to the Australian
market. Preliminary research reveals that there is strong competition and the market is growing rapidly. The
company’s marketing objectives are to penetrate into the market and increase its sales volume and profit in
the long run. Assume you are a marketing consultant and the management has requested you to prepare a
report to determine the appropriate marketing mix for the new product.

Your report should cover the following information:

i) List all variables that can be used to segment the market. Give reasons for your chosen
variables.

ii) Identify the target market for the new product.


iii) Determine a marketing mix that best satisfies the target market.
iv) Identify all the environmental factors and their impact on the marketing mix.
v) Ensure the marketing mix decision meets the organisational marketing objectives.
vi) List factors that can be used to evaluate marketing performance.
vii) Discuss the adjustments to be made to marketing mix, when there is poor marketing performance.

REPORT

Introduction
  The following report aims to define the appropriate marketing combination for the new product (chocolate
breakfast drink) of the company Kandos chocolates that is intended to be introduced in the Australian market.
The marketing objectives of the company are to penetrate the market and increase its volume of sales and long-
term benefits.

As a marketing consultant, this product will be analyzed in the market segment, analysis of environmental
factors, definition of the marketing mix and definition of evaluation methods

Segment the market.

    The criteria for segmenting the chocolate beverage market are:

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

VARIABLES TARGET MARKET


Behavioral variables Expected benefits: aimed at families
wishing to eat healthy and at the same time
  meet their expectations in taste, quality, and
price.
The behavior of people directs their
behavior and guides their buying  
actions. We not only talk about the
mere fact of buying, but of the The selective demand is focused on the
behavior variables that can presentation of individual or six-pack
influence the perception that the packaging which is striking for housewives.
customer has of a product.

Psychographic variables lifestyle: active school children

  personality: children with energy that


practice sports and require high quality
Psychographic variables refer to supplements
lower values of segmentation,
according to their personality and
customs.

Socioeconomic variables income: High socio-economic stratum

   

The purchasing power of a client


will limit his preference over a
product, in relation to the economic
amount of its price.

Demographic variables Age: product destined to youth sector


between 4 and 13 years
Demography is a very important
factor in the commercial sector, sex: both genders
since it conditions the lifestyle and,
occupation: children in school
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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
therefore, the type of product that location: the product will reach all major
will be attractive. cities in Australia  ( Sydney/ Melbourne/
Perth/ gold coast/ Canberra/
  Brisbane/Adelaide/ Cairns) and will be
located in the sectors with the best lifestyle

 Marketing Mix

PRODUCT

 This product is a delicious flavored milk drink that includes milk and chocolate-flavored sugar. It is enriched
with vitamins A, niacin B1 and B2 and has no preservatives.

 
It is a long life product (UHT), so it does not require refrigeration, making it a practical and delicious product
to take anywhere, it is a very nutritious flavored milk since it provides 12% of daily protein needs per serving
of 200 ml, and has an important contribution of calcium, vitamin A, phosphorus, vitamins B1, B2 and Niacin.
Nutritional benefits (Per portion of 200ml)

Ingredients:
Filtered Water, Skim Milk Powder, Cane Sugar, Wheat Maltodextrin, Soy Protein, Vegetable Oils (Sunflower,
Canola), Inulin, Hi-Maize Starch, Corn Syrup Solids, Fructose, Cocoa (0.5%), Oat Flour, Mineral (Calcium), Food

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
Acid (332), Flavours, Vegetable Gums (460, 466, 407), Stabiliser (452), Salt, Vitamins (C, Niacin, A, B12, B6, B2,
B1, Folate)

PRICE

The product is aimed at a high segment due to variables such as the quality of the product and packaging,
an analysis of the prices of the competitors such as UP & GO, MOO, OAK, FRESH MILK.

A cost per unit of AUD 3.80 per 200 ml is defined, this amount includes the profit margin.

PLACE

The sale of the product will be in wholesale and retail stores in the main cities of Australia, alliances will be
made to position the product strategically to the client.

PROMOTION

 Promotions will be used above the line, in television mediums in the afternoon, where the children's strip
and traditional media and promotions below the line are very likely, such as:

Samples: in this case, small presentations are presented, explaining the benefits of the product. Tastings
are also made in supermarkets

2 X 1: in this case with the purchase of a product you can access another one for free. It is also common
that with the purchase of a product the second will have a discount, for example, ten, twenty, fifty percent.

Exchanges: your package or some part of it can be used to exchange for an equal product or a gift.

Environmental factors 

Environmental factors inherent in the organization

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
 

         Vision, mission, values, beliefs and shared expectations of the organization


         Culture, structure and governance of the organization
         Availability and geographical distribution of facilities, resources, infrastructure and
materials
         Industry or government standards that affect the organization
         Internal rules, policies, methods and procedures
 

Human-type environmental factors

         Existing human resources, their skills and knowledge


         Personnel management, motivation systems and incentives
         Perception of leadership, hierarchy and authority relationships
         Tolerance to the risk of the organization
         Stakeholders in the project, or stakeholders.
 

Technological environmental factors

Operating environments and systems of authorization of works of the company

The formal and informal communication channels established in the organization

The available databases

The information system for project management

Source: http://www.itmplatform.com/es/blog/factores-ambientales-de-la-empresa-que-
afectan-a-la-gestion-de-proyectos/

Marketing mix and marketing goals of the organization.

 The best way to measure the performance of the marketing mix is with the definition of KPI. The
indicators of a good marketing plan go through the measurement of aspects related to business
management (effectiveness, efficiency and effectiveness standards). efficiency), and marketing

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
indicators that address the cost per lead, the value of the client, the return on investment, the
convertibility of leads into customers, the origin of traffic among others.

MANAGEMENT INDICATORS

Effectiveness. This indicator measures the performance of sales and the trends of the results
obtained with the activity developed.

Efficiency: The KPI of efficiency evaluates the relative costs to obtain potential clients as well as
the costs in human resources, intermediaries, marketing actions, etc.

Effectiveness-Efficiency: Measures the results against costs.

MARKETING INDICATORS

Among the essential indicators in a marketing plan, you should evaluate:

 Cost Customer Acquisition

The customer acquisition cost or CAC is a ratio used to determine the average cost that your
company invests to make a potential consumer become a new customer and acquire our products
or services.

Marketing ROI

The return on investment, or ROI, allows you to measure the amount of revenue generated by a
specific marketing campaign, compared to the costs of running the campaign. ROI can be
considered the most important indicator to monitor and evaluate.

(Sales growth - Marketing investment) / Marketing investment = ROI

Client value

 allows you to evaluate the contact with potential customers to keep customers happy

(Average sale per customer) x (Average number of times a customer buys per year) x (Average
retention time in months or years for a typical customer)

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
source: https://www.impactbnd.com/the-10-marketing-kpis-you-should-be-tracking

Factors to evaluate marketing performance.

The multiple factors that must be considered to evaluate the performance are:

 Sales levels
 Levels of complaints
 Quality levels
 Financial reports
 Industrial sector reports

 This information is obtained through the following activities

 After-sales service
 Call center support
 Electronic customer service
 Personal service one-to-one
 Sales assistance for problems or just consultations

 These activities not only complement the sale but it is essential in the collection of data for the
indicators

Adjust the marketing mix when the performance is poor.

Because all the factors of the company that influence the marketing plan are changing in the same
way should be the marketing plan, therefore should always schedule periodic reviews to evaluate
the result of the indicators, if it is poor must be redefined:

marketing plan
market segment
marketing objectives
marketing mix

Find the cause of the deficiencies, example can be promotional, you must redefine other promotional
methods that focus on the market segmentation, that is, the cause must be found by analyzing the
information of the indicators to determine which the right method to meet the objectives is.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

Criteria for evaluation: Task 2– Determine Marketing Mix for Specific Market
The Final grade for this assessment task must require being Competent by achieving Satisfactory in
each task.
Did the student demonstrate ability to: Satisfactory Not Satisfactory
Place a tick(√)
Identify and assess environmental factors, and their impact on
marketing mix
Identify consumer priorities, needs and preferences affecting
marketing mix
Consider product, pricing, promotional, distribution and service
variations, and evaluate these against marketing objectives,
target market characteristics and desired positioning
Select marketing mix that best satisfies target market and
meets marketing objectives
Ensure marketing mix decision meets organisational, strategic
and operational marketing objectives
Monitor marketing mix against marketing performance and
isolate components for testing
Evaluate implications of altering one or more components of
marketing mix in relation to market factors and consumer
response
Adjust components of marketing mix in response to test results
and market-response evaluation
Ensure adjusted marketing mix meets budgetary requirements
Ensure adjusted marketing mix continues to meet
organisational, strategic and operational marketing objectives,
and desired positioning.
Final Grade Satisfactory / Not Satisfactory
Feedback to student:

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

Task 3: Short Research Report

Select any two competitive industrial products, and prepare a report about variables used to develop
marketing mix for these products.

Your report should cover the following information:


a) Introduction to your selected products.
b) Definition of the marketing mix.
c) Information about marketing mix variables of your selected products (Product, Pricing, Promotion,
and Place).
d) Product (Image, features, warranty, colour, brand name, quality, package, customer service).
e) Pricing (Price, discounts, payment methods, credit facilities).
f) Promotion (Advertisement, sales promotional activities, publicity).
g) Place (Channels, coverage).
h) Evaluate both products’ marketing mix.
i) Discuss all possible adjustments that can be made to the marketing mixes. Provide reasons for your
suggestions.
(Maximum: 550-600 words)

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
REPORT

Introduction

The following report shows the development of a marketing mix for the products weet
bix (cereal) and sportswear of the brand cotton on, the reason for the selection of these
products is due not only to my perspective as an immigrant but to the statistics about
the high life expectancy of the Australians and one of the main reasons is due to the
good eating habits and the healthy style of the people, therefore I shrug these products
that are within the consumption and daily use of the Australians.

MARKETING MIX
WEET BIX SPORT CLOTHES COTOON ON
PRODUCT

Weet-Bix ™ cereal number one in New Zealand and


positioned in Australia is a product that is full of
97% goodness, and provides a good source of iron
and vitamins B1, B2 and B3 to help release energy,
as part of a balanced diet. Providing a natural
source of fiber, Weet-Bix ™ is also low in fat and
sugar and contains 5 essential vitamins and
minerals.

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

Available in 1.4kg,

Price

The company manages two skimming and


penetration pricing methods.

Price skimming is a pricing strategy in which a


marketer sets a relatively high initial price for a
product or service at first, then lowers the price over
time.

Penetration prices in the market is a strategy that


establishes a low initial price for a product. The goal
is to quickly attract new customers based on their
low cost

Weet-BixSanitarium Weet-Bix 1.4kg

Add Add1 Sanitarium Weet-Bix 1.4kg for $4.50

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
Place

The distribution is widespread and available in the


main supermarket chains (for example,
Woolworths, Coles and IGA), convenience stores,
service stations and corner stores.

PROMOTION

The main method of promotion is based on line, a


method that includes traditional advertising.

Sources: Television advertisements, print media,


website, even sponsorship, word mouth, past
experiences .

Celebrities in advertising as source of message

even sponsorship: AFL, Cricket Australia, Kids


thriathon classical conditioning reflect Australian
sports

PRIMARY TARGET MARKET

Current target customer group: Mothers with children aged 0-12 years

- Current target consumer group: Children aged 4-8 with interests in sport

SECONDARY TARGET MARKET

Adolescents between 9-14 years

Adolescents within this age group are capable of applying logical thought when it comes to processing
information

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

https://prezi.com/rwzhzdq1pg5v/sanitarium-weet-bix/

dennisadu20@hotmail.com

Criteria for evaluation: Task 3 – Short Research Report


The Final grade for this assessment task must require being Competent by achieving Satisfactory in
each task.
Did the student demonstrate ability to: Satisfactory Not Satisfactory
Place a tick(√)
Identify key characteristics of products or services and
estimate their significance to the market
Review pricing policy and analyse pricing variables to
determine their effect on demand
[

Analyse promotional methods to determine their importance


to marketing outcomes
[[

Review channels of distribution and estimate their significance


to marketing outcomes
[

Consider product, pricing, promotional, distribution and service


variations, and evaluate these against marketing objectives,
target market characteristics and desired positioning
Select marketing mix that best satisfies target market and
meets marketing objectives
[

Ensure marketing mix decision meets organisational, strategic


and operational marketing objectives
Adjust components of marketing mix in response to test results
and market-response evaluation
[

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix
Ensure adjusted marketing mix meets budgetary requirements.
Final Grade Satisfactory / Not Satisfactory
Feedback to student:

Summary of Assessments:
C5MK01V15-A Marketing Planning
Subject Name & Code

Unit Name & Code: BSBMKG502 Establish and adjust the marketing mix

Assessment Tasks The student’s performance is:

 Task 1 Case Study: McCain Foods  Satisfactory  Not Satisfactory

Feedback/ comments on Task 1:

 Task 2 Determine Marketing Mix for Specific  Satisfactory  Not Satisfactory


Market
Feedback/ comments on Task 2:

 Task 3 Short Research Report  Satisfactory  Not Satisfactory

Feedback/ comments on Task 3:

UNIT RESULT:
 COMPETENT  NOT YET COMPETENT
The student’s overall performance is:

□ YES □ NO
Is re-assessment necessary?

The End

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Subject Name: C5MK01V15-A Marketing Planning


Unit Name: BSBMKG502 Establish and adjust the marketing mix

32 Kent Institute Australia– BSBMKG502, Establish and adjust the marketing mix Version 3.1 Mar,2018

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