Marketing Strategies For Agricultural And Resource Economics - Coca-Cola Amatil Case Study

Discuss about the Marketing Strategies for Agricultural and Resource Economics.

Coca-Cola Amatil is among the leading bottlers for non-alcoholic beverages and has been among world’s five major bottlers in Coca-Cola. The operations of the company are in New Zealand and other countries which are diversified as per the portfolio created by the company for its products offered to the customers. The well-known products include the sports drinks, carbonated drinks, iced tea, coffee and tea all over the world. Even ready to eat foods and vegetable snacks are available by the company (Geller, 2013). The company has a large chain of its products all over the world and the coca cola company has employed more than 15,000 people in almost six countries that are located in the Asia-Pacific region.

The market analysis here includes the growth rate of the company and the market hindrances that are being calculated with an immense report of the success of the company. Coca-Cola has operated in more than 200 countries and this is being observed that there are a number of products that are being offered by the company (Goins, 2011). The business is operated globally and there are operations that need to be undergone with the strengths and weakness to analyse in the given market. The market analysis includes the size of the market and growth rate, population and market barriers and market drivers.

The size of the market has been enlarged with the efficient capacity of the resources that are utilized by the company. This seems that the company has large operations that are undertaken in almost 200 countries with more than 500 brands all over the world (Lapp et al. 2014). Specifically, about the Coca-Coal Amatil, it is observed that the business operations are undertaken in six countries and this is believed that the growth rate of the company is increasing due to the market analysis and the market drivers that engage itself into the growth factors for the company.  

Population

Population as per the Australian market and the analysis of the given company has made an impact on the overall growth in the market (McDonald & Mike, 2007). There are some external and internal factors that are considered to be the leading role that plays in the consumption of the products offered by the company.

Market barriers for the company are specifically the factors that hinder when external factors are not controllable. The market and the industry analysis has been an insight into the research that was conducted for the Australian market. As far as possible, there are market size, statistics and the growth factors that engage in the development and analysis of the company. Market barriers consist of cultural and political factors that are specifically the main reason for the intense hindrances that are created in the global market (Oly, 2006). The growth factors are actually placed with the medium focus that helps to build the credibility of the partners and the existing competition. Market drivers are the customer satisfaction and focus on productivity that helps to increase the market that enhances the growth in terms of the financial and economic progress of the company.

Customer Audit and Buyer Behavior

Size of the Market and growth rate

Customer audit includes the market segmentation and helps to recognize the consumers who are willing to buy the products. The main occupants of the products include the young age generation who are fond of non-alcoholic beverages, thus the customers are segmented according to the demand and value that enhances the competitor's policy by analysing in brief about the rivals and their strategy for growth purpose. The benefits that the customer seeks is measured and needs to be audited for knowing the demand of the buyer behavior and the influences that sum up to buy a product (Mitchell, 2014). The product performance is an important function by observing the need of beverages that are according to the demand of the customers. For Example, Coca-Cola Amatil provides Diet coke and snacks that are easily carried out even while traveling or getting to some place with an ease. The buying decisions are the main criteria and the buying behavior engages customers to get influenced by the demand and the supply of the product.

Buying behavior is commonly analysed in the Audit by the first decision as of the buying of product with an intension of a positive impact on the behavior that may have influenced with the repurchase of the products. The products by the customers for Coca-Cola is repurchased when the customers are satisfied with the beverages offered to them while applying some of the marketing strategies. Customers buy and choose a brand because of the knowledge of the awareness that has already been created by the company with special efforts to introduce the product.

Product

With the new history, the company has sustained in the market due to its products that have a brand name and are influenced by customers. The target market of the company is huge and this summits that the high marketing strategy has given a young generation as a basis and segments its market to those who consume the product every day. There are people who take the product as per the demand and thereby product is being the main strategy that helps to create  more demand among the customers. The basic targets are the regular consumption of the coca-coal product and this needs to be analysed in the market while reporting and preparing a market segmentation.

Price

The pricing strategy is again an important dynamic for the competitors that has valued the product with its international market and the intense competition all over the industry while talking about the food and beverages. The competitors of Coca-Cola is Pepsi and this is why the pricing strategy needs to be analyzed in a way where customers find the product more profitable while comparing to the other competitors. There are pricing strategies that are relevantly managed by the company when it comes to market share and the stability factor since years. Pepsi has been suffering from several bankruptcies and this became a successful factor for the Coca-Cola. Since then Coca-Cola has become a benchmark in the food and beverages industry.

Market barriers and market drivers

There are market prices that are higher in some regions and are still valued due to the brand equity and again some different soft drinks as their main product. The situation prevailed that the market accepted the company to sell its products at a higher price due to market stability and the marketing communication that involves the brand equity with an intense demand for product stability.

Promotion

There is a consistency and promotional activities are carried out by the company which applies to the dependability of the market and the market share. The pattern advertising is being used when it comes to marketing strategies applied for the growth of the market and the development purpose. The marketing communication and the messages forwarded to the public at large are easily communicated with some character selection or some audio visual adjustments that matter the most (Daniels, 2009).

Place

The company has operations in all over the world, yet the Australian market has an immense strategy that creates a marketing communication for the public at large. The other brands in the area have now been marketed with some channels that are exclusive and have retail venues to bid at some point in time. The brands of Coca-Cola are even sold in the supermarket as an easy availability of brands with a super edge and a relative buyer with some display which attracts the customers to buy at the point of purchase (Solomon et al. 2014).

Description of Major Competitors (S/W) and market share if found

The major competitors that are in intense competition are Pepsi which again provides the similar market strategy as it has been used by Coca-Cola. The strength of competitor here involves the pricing system and the availability of the product with its description. The marketing strategies are used immensely and this is a gain for Pepsico that has attained the second largest position in the world while comparing these products in the food and beverage industry (Jekanowski et al. 2001).

The competitor advantage of the product is specifically the business strategies that can be compared at the time of marketing plans. The intense competition has led to the sustainability and growth of the market, this helps to provide an advantage while comparing it to the rivals (Hale, 2011).

Positioning Map of Competitors - draw a graph, put in the competitors and discuss the market opportunities

The macro environment consists of the major factors that hinder in the market while providing the basis for the market share. There are demographic factors, economic factors, natural factors, technological factors that hinder the growth of the company and at the same time these factors may be helpful for the growth of the company while analyzing them and reporting them as per the need of the company.

Porter five forces model

Organisational Analysis

The five forces model of Porter includes the threat of entrants wherein there are many competitors in the food and beverage industry. Competition is intense when there are many threats and many entrants, but with Coca Cola, there is less competition that may be due to high and intense capital investment. Around 48 percent of the market share is earned by Coca-Cola and this proves that the company has managed to prove in the competitive advantage (Dolmetsch & Henry, 2013).

Barriers to entry are among the five forces that shape in the company’s development. There are barriers when commencing a new business or even the existing business has a particular competition when it comes to the supply side that is offered by the Porter’s forces model in its economies.

Competitive rivalry is about the competition and the report states that there is an intense competition between two rivals and this helps to satisfy the consumers while new products are introduced with a glance and the other market may fail (Jackall & Janice, 2003).

The power of buyers says about the buying behavior and the repurchase of the product. These are all involved in the consumer audits that are being translated and made reports for the buying behavior and the intense role of distribution process with the important role of strategies to be implemented to engage in the business (Dahr et al. 2005).

The power of suppliers is again one of the important forces that are in the process with a high power due tot eh reason that serious damages can be felt when the company switches over to the suppliers with some kind of cost and relationship factors.

The value chain as measured by the customer satisfaction and the other development factors is being analyzed as per the preferences and the reported form (Cox & Jessica, 2009). Value chain comprises of the sustainability when it occurs from the agricultural and ingredient sourcing, coca cola company, marketed with the bottling partners and distribution, it at the end reaches to the customers, while even the next stage of the recycling process is done. 

SWOT Analysis

The strength of the company includes the brand recognition, market leadership and the customer loyalty that has been analyzed. The weakness of Coca-Cola Amatil is growing customers who are now actually health conscious about the products (Howard, 2015). The future vision is the growth opportunity for the company and threats are its competitors that have a strong market share and have commodity prices.

Conclusion

The opportunity that has been identified for the country and the product development has been immense and this states that due to competition and the market analysis the products can be marketed globally.

References

Cox, J., (2009). ‘Why Coca-Cola’s Fictional Lawsuit Against Coke Zero for Taste Infringement is a Losing Battle’, Journal of Intellectual Property Law, Vol. 17 (2009): 121.

Dahr, Tirtha, Jean-Paul Chavas, Ronald W. Cotterill & Brain W. (2005). ‘An  Econometric Analysis of Brand-Level Strategic Pricing Between Coca-Cola Company and PepsiCo’, Journal of Economics & Management Strategy, Vol. 14 (2005): 905–931.

Daniels, J. (2009). ‘Marketing Strategies within the Baby Product Industry’, Honours Thesis. (Eastern Michigan University, 2009).

Dolmetsch, C & Henry G. (2013). ‘New York Soda Size Limit Statute Barred by State Judge’, Bloomberg Business, 12 March 2013.

Geller, M. (2013). ‘UPDATE 4 - Coca-Cola to return some distribution to U.S. franchisers’, Reuters, 16 April 2013

Goins, J. (2011). ‘Marketing Works: Why I Drink Coke Zero,’ Goins, Writer (blog). Posted 12 May 2011.

Hale, M., (2011). ‘Gender-Targeted Advertising, Or “Coke Zero Is For Bros!”’, Miranda Hale (blog). Posted 6 November 2011.

Howard, T. (2015). ‘Coke finally scores another winner’ USA Today, 4 November 2011. abcnews.go.com/Business/story?id=3788224.

Jackall, R & Janice M. (2003). “Image makers: Advertising, public relations, and the ethos of advocacy.” (Chicago: University of Chicago Press. 2003).

Jekanowski, M., James K. & James E., (2001). ‘Convenience, accessibility, and the demand for fast food’, Journal of Agricultural and Resource Economics, Vol. 26, No.1 (2001): 58–74.

Lapp, J, William H. & Amy L., (2014). ‘College students, vending machines, and improving nutritional choices: the effects of adding healthier foods on perceptions of vending machines’, International Journal of Food Safety, Nutrition and Public Health, Vol. 5, No. 1 (2014): 16–33.

McDonald, M &Mike M., (2007). “Marketing in a Nutshell: Key Concepts for Non-specialists.” (Oxford: Butterworth-Heinemann, 2007).

Mitchell, S., (2014). ‘Coca-Cola puts lid on new product Coke Life until April’, The Sydney Morning Herald, 30 October 2014

Oly, N., (2006). ‘Effect of gender on customer loyalty: a relationship marketing approach’, Marketing Intelligence & Planning, Vol. 24, No. 1 (2006): 48–61.

Solomon, M, Andrew H, Bill C, Greg M & Elnora S., (2014). “Real People, Real Choice: Marketing.” 3rd ed. (Frenchs Forest, NSW: Pearson, 2014).