On the 1st of June 2011, Chris Percy, Pacific managing director of Nielsen Consumer Group, said “It’s no surprise that consumers are increasingly concerned about their household budgets in response to such fluctuating economic conditions, and the cost-saving strategies currently being employed by consumers are likely to continue well into the year.”(Jessica Kennedy,2011) Due to the rising concern of the current unstable economic condition in Australia, the people have developed a tendency to save or spend only what is necessary. There is also a concern for the rising food and fuel prices and more and more people are looking for good deals and bargains for the basic necessities required to run a household. If this holds true to the working population then this will hold true even more to the student population in Australia who perhaps only have a part time job and live on a fixed budget. Market analysis:
The student population contributes a lot to the economy of Australia. In 2008, the total tertiary student community in Melbourne was around 208,800 people and international tertiary student population numbering was at least 28,150 (Melbourne City Research, 2010). These numbers have steadily risen in the past years and will continue to do so. From this situation analysis, it can be derived that it would be a successful venture if fresh and frozen fruits and vegetables were offered at a discounted price by Coles to students in Melbourne for a limited period of time. And if the response is successful in Melbourne it can be an option to expand to other cities as well. Sales promotion pitch:
Offering a 15% discount to students from the 1s of July to the 31st of July on all of Coles’ fresh and frozen fruits and vegetable line.
SWOT analysis :
Strengths: The current economic condition will help the response to a sale if it is held. It will attract the customers and increase revenue. It is also a healthy campaign as fruits and vegetables are being offered at a discount to students to encourage them to eat healthier and will boost the image of Coles. Weaknesses: The risk that the response may not be as enthusiastic as predicted from the target audience. Also that it is targeting a very specific segment of the market and that can be risky to the campaign if the response is not as predicted. Opportunities: The option to hold this sale every half year or more frequently if response is good and also in a larger number of cities. Threats: Competitors like Woolworths and Aldi may also put their items on sale to compete with Coles. Target Segment Demographics:
Treating the market as heterogeneous, as all the people of Melbourne are not being targeted and they don’t have similar wants, the target profile for the campaign would look like the following : * Age| * Late teens and above|
* Gender| * Male and female|
* Geographic area| * Melbourne|
* Occupation| * Students|
* Household size| * Living alone or with housemates| * Lifestyle and Habits| * Lives on a budget, tends to look for the most reasonable prices, prioritizes saving and has a slightly more healthy lifestyle.|
The typical profile of the segment being targeted would be a College student who Lives alone or with housemates or in a dorm and who purchases their own groceries. Within the target audience there will be different views and attitudes about fruits and vegetables. The types of opinions are usually four in kind. They are: * The appreciators: will be the portion of the target market that like eating healthy and enjoy eating lots of fruits and vegetables. These people may be more health conscious and aware of the fact that fruits and vegetables are a very important part of the diet. “ I love fruits and vegetables! They are a part of almost all of my meals for the day” * The acceptors: are the segment of students that eat a moderate amount of fruits and vegetables but also...