Marketing Plan: Case of Zokoko
BSBMKG609 DEVELOP A MARKETING PLAN
The entire study deals with the development of the marketing plan and in this regard, the study focuses on case scenario of Zokoko which is a new chocolate brand that delivers unique and amazing bean to bar chocolates in the Australian market. Hence, the study focuses on the market segmentation, marketing objective and target market for the concerned company. In the latter section, the study provides significant budget and action plan for the aforementioned company to make the market plan effective and significant.
Introduction: Organisation overview
For having business growth, it is essential for business enterprises to develop significant market plan which is a blueprint that outlines the business efforts and advertising of marketing for the years to come. Marketing plan basically describes the business activities that involve a range of specific marketing objectives within a set of time. In this regard, the study seels to identify the opportunities to develop marketing plan and for this purpose, the study selects Zokoko which manufactures and sells chocolate in the Australian market. The company wants to develop unique and amazing bean to bar chocolate that reflects the original taste of chocolate. Further, the company has cafe in the Blue Mountains in EMU Heights. The company wants to enter the entire market of Australia and in this regard, the researcher develops marketing plan by understanding objective, marketing environment and the competitors of the company.
Products or services of the organization
Zokoko mainly manufacturers dark amazing bean to bar chocolates that are basically dark chocolates. The company sources the finest cacao beans from around the world and utilise the traditional artisan methods in order to make the chocolate unique. The company has a wide range of artisan bean to bar chocolates for the customers. The products offered by the company include dark chocolate, milk chocolate, drinking chocolate and others. Sourcing unique cacao and working with the farmers are the first step in the process of creating artisan bean to bar chocolate and these make the company unique from the others (Davies & Kitchen, 2015).
Objectives with products or service
The objectives of the company includes
- To generate a foothold in Australian Chocolate industry
- To establish strong brand awareness of Zokoko in Australia
- To encompass a large customer base in the market of Australia
- To gain 4% more profitability by the end of the year 2022
The aforementioned company wants to redesign the brand and thereby, the company wants to create a foothold in the Australian chocolate industry and establish a large customer base amid the chocolate industry of the market.
Primary and secondary target market
The target market can be perceived as the group of customers that an organisational entity selects in order to enhance the business growth and the financial profitability. For the concerned organisation Zokoko, it is essential to develop target customers so that, it becomes possible for the company to do marketing and reach the specific customer segments (Gallo Antolin-Lopez & Montiel, 2018). Further, it can be stated that, the identifying the target market is one of the essential steps that help to develop marketing plan for the company.
|Primary target market||Zokoko can target the upper middle-class people in the aforementioned market Australia. The company maintains the quality of the products and thereby, the prices of the products are high. Thereby, it will be beneficial for the company to target the upper middle class people who can afford the chocolate. Further, the target customers become able to spend time at the cafe of the company (Bellucci, Mari & Picciaia, 2016). Thereby, the primary target customers of the company are the upper middle class people who can purchase the company’s milk and the dark chocolates for their kids. Thus, it can be stated that, the market segment that will be able to pay a premium for having better quality chocolates will be targeted.|
|Secondary target market||In terms of secondary market segment, the aforementioned company can target the psychographic customer segment. In this market segment, the company targets the customers who occasionally visit the cafe and like to have liquid chocolate. In this perspective, the company targets the customers who will be able to purchase the chocolate repeatedly and hence, the company provides dark chocolate for the customers who want to enjoy the liquid chocolate.|
Table 1: Target market for Zokoko
(Source: Created by self)
Major competitors and their products or service
There are a range of the competitors in the Australian market and thereby, the market for Zokoko is very competitive. All the major international brands that include Cadbury, Mars, Nestle and Mars are garbing the most of the market segment and gain the large market share. According to the viewpoint of Crichton et al. (2016), each of the brands comprises different tastes and in this regard, Lindt has a huge presence in the Australian market with lots of cafes. Apart from this, it can be stated that, Haigh’s is the one of the popular boutique chocolate companies in the market whereas the Koko Black is more recent chain that gaining popularity in the market.
On the other hand, Zokoko can get a tough competition from the bean to bar chocolate makers. Most of the renowned companies include Bright Chocolate Company, Cicada Chocolate, Spencer Cocoa, Monsieur Truffle and others. In addition to this, the company may get tough competition from the chocolates made by Aldi and Wools worth. Choceur Milk Chocolate (Aldi), Just Organic Fair-trade Milk chocolate (Aldi), Lindt creamy milk chocolate, Cadbury dairy milk and Moser Roth milk chocolate (Aldi) are the major competitors of the concerned organisation.
From the above held discussion, it can be stated that, the concerned company may get a tough competition from these brands significantly. According to the viewpoint of Trematerra, Kavallieratos & Athanassiou (2016), Haigh’s gains the large market share and thereby, it is one of the major competitors of the Zokoko.
One of the useful tools to develop marketing plan is the use of SWOT analysis that helps the company to have market analysis by gaining significant understanding of the strengths, weakness, opportunities and threats.
Zokoko mainly focuses on the development of dark chocolate and thereby, it can be stated that liquor chocolate is then mixed with the cacao butter and sugar in order to make the product unique.
Further, in terms of the market, it can be stated that, the buying behaviour of the customers is the strength of the market. Most of the people like to have dark liquid chocolates and thereby, it is the strength of the concept.
|One of the significant weaknesses of the company is that, the organisation does not buy Cacao in organised manner. Further, it can be stated that, the company sources Cacao from around the world and thereby, it is difficult for the company to follow all the trade policies while sourcing the ingredients. For establishing business in the Australian market, organisational entities have to follow a range of legislations and policies. Further, the political instability and high rate of inflation is performing as the weakness of the market.|
Zokoko mainly offers products such as dark chocolates and milk chocolates. However, there is an opportunity for the company to lies in the snacks section in the cafe to improve more customers.
|The company is facing threat in terms of cut throat competition. There are a number of competitors in the market such as Cadbury, Lindt, Haigh’s and others (Zokoko, 2018). Further, it can be stated that, people are becoming health conscious and thereby, it is essential for the companies to reduce the sugar level and offer more dark chocolate to the customers.|
Table 2: SWOT analysis of the considered strategy
(Source: Created by self)
Market opportunity options
One of the aspects of the marketing plan is to identify the market opportunities that include target market, market segmentation, positioning and the market penetration strategy.
Market segmentation can be perceived as the process of segregating the customers as per their buying behaviour.
|Geographic segmentation||The aforementioned organisation can segregate the market on the basis of geographic segmentation in which, the company targets the customers from rural, suburb and urban locations.|
|Demographic segmentation||In the demographic segmentation, Zokoko targets the young generation, kids and adolescent people (Scrinis, 2016).|
|Psychographic segmentation||In terms of psychographic segmentation, the concerned organisation targets the upper middle class people who prefer to buy premium quality chocolates.|
|Behavioural segment||In this section, the company targets school students, college goers and professionals.|
Table 3: Market segmentation
(Source: Created by self)
Zokoko can position itself as the luxury chocolate brand as it promises to deliver high quality and excellent tastes to the customers. It is worth mentioning that, Zokoko will use high price and high quality as the brand strategy so that, customers can easily differentiate the brand from the others. Further, it can be stated that, the positioning statement of the company will be premium quality and the competitive pricing so that, the company can improve the customer base.
Figure 1: Marketing position of Zokoko
(Source: created by self)
Market penetration strategy:
Market penetration strategy involves selling more to existing customers and to target customers in order to improve the market share significantly. Hence, the new demographic that is selling the products to the international visitors and the customer from the rural region will be beneficial for the company (Ramli, 2017). Hence, adaptation of the competitive pricing will be another approach for the aforementioned company.
Marketing mix of the plan
The company offers dark and milk chocolates to the customers. Hence, the introduction of liquid chocolate with added sugar and cacao will be effective product strategy for the company. Hence, the consideration of product modification strategy in which the organisation can improve the quality and the product features will be beneficial for the company.
From the above held discussion, the competitive pricing strategy will be effective for the company as there are a range of chocolate companies in the market. Further, it can be stated that, there are a range of similar products in the market and thereby, adaptation of skimming strategy will be beneficial for the company (Mosca, 2016).
Inclusion of social media sites in the product promotion will be effective for the concerned organisation. Social media will provide cost-effective promotion strategy to the company.
Australian marketing laws and marketing code of ethics
For doing business in the Australian market, it is essential for the company to comply a range of laws and code of ethics. One of the most essential laws that the company needs to comply with is consumer protection law. While evaluating marketing options, the concerned organisation needs to consider legal obligations to competitors and customers to ensure there is no risk of negative publicity, legal costs and conflict (Burkhalter, 2015). Apart from this, the company needs to comply with Trade Marks Act of the year 1995, Age discrimination Act of the year 2004, Sex discrimination Act of the year 1984 for avoiding any form of political obstacles.
Costs and budget for marketing plan
|Project name: Budget development for Zokoko|
|Promotion of the product||$5,900.00|
|Buying manufacturing parts||$31,500.00|
Table 4: Budget development
In the ever-awaiting conclusion part, it can be concluded that, the company has significant market opportunity to expand and thereby, the study has provided significant marketing plan for Zokoko. Further, the study has developed significant budget for the company so that, the company can utilise the market plan to heighten business growth significantly.