Today, Posada’s market is the bigger areas Indonesia, such as Garret and other cities throughout Java, Central Java, now owns Jakarta, Sumatra, Claimant, East Banding and other regions and cities throughout Indonesia. Pupa’s a big factory and 2 shops in Garret. It produces more than 1 ton of Doll per day and a total revenue of more than RPR 5 billion per annum. Considering that it manages to sell and distribute its products in many places in Indonesia, the director, Hindi Safari is planning to expand its market to Singapore and the Middle East countries.
Penthouse Safari has had an export experience, when he exported his Doll to Dubbed, I-JAKE during the early 2000, but he admitted that they still lack of marketing knowledge and skills to do a potable export business. Currently, Pupa’s produces only 3 variant of Doll. The traditional one, with the taste of brown sugar and 2 other variant, with the taste of strawberry and sours. The price of Posada’s Doll on average is RPR 30,000 per a small box with 24 pieces of Doll and RPR 60,000 for a bigger box with 50 PC’s. In this strategic planning, APT.
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Pupa’s want develop their market to the middle east, focus to Jordanian. APT. Pupa’s want to export their product to Jordan because there are a lot of opportunity that can reach by APT. Pupa’s for developing their market. COUNTRY PROFILE OF JORDAN Location and Geography Jordan has an area of about 35,475 square miles square kilometers) I . T lies in the center to the Middle East, snaring its northern border with Syria, eastern border with Iraq, it’s southern and eastern borders with Saudi Arabia, and western border with the Jordan River, the Dead Sea, and Israel. Its only seaport is the port of Saba.
Jordan has barren deserts, fertile valleys, and colorful rock and sand mountains. It contains the lowest point on earth, the Dead Sea, and the Great Rift Valley, which was created twenty million years ago when tectonic plates shifted, stretching from Lake Tuberous south through Jordan and into eastern Africa. Demography In 1946, the population was about 400,000; in 1997, it reached 4. 6 million, a figure twice that of 1981. After the 1967 war with Israel and Iraq’s 1990 invasion of Kuwait, there were sudden and massive influxes of Palestinian Arab refugees, who now make up more than two-thirds of the population.
In 1996, Palestinian refugees living in Jordan were registered with United Nations; 50,000 Palestinians continue to live in ten refugee camps. Nomadic people, predominantly Bedouin, account for more than 10 percent of the total population. The population is young, with a birthrate that is double the world average; 43 percent of the people are under age fifteen. By the year 2012, the population is expected to double. Food in Daily Life An ancient legend tells of an Arabian shepherd who six thousand years ago put his supply of milk in a pouch made from a sheep’s stomach before making a Journey across the desert.
The rennet in the lining of the pouch, imbibed with the heat of the sun, caused the milk to form curds, and cheese was discovered. Bedouin farmers keep herds of goats and sheep whose milk is used to produce cheese and yogurt. A popular cheese is called holmium (similar to feta), made from goat or sheep milk and often served in a sandwich of pita-style bread or cubed in salads. Rice, legumes, olives, yogurt, flat breads, vegetables (cauliflower, eggplant, potatoes, okra, tomatoes, and cucumbers), lamb or chicken, and fruits (apricots, apples, bananas, melons, and oranges) form the basis for most meals.
Main sizes of rice with spices are eaten almost daily. The main meal typically is served during the middle of the afternoon. A covering is placed on the floor, with a large tray of rice and meat placed in the center surrounded by small dishes of yogurt and salad. Torn pieces of bread are folded in half and used to scoop the food. The left hand is never used to feed oneself. Food Customs at Ceremonial Occasions When people visit family and friends, tea, Turkish-style or Arabic-style coffee, or fruit Juice is served.
Often this meal includes sweets, especially on holidays. The national main dish is Manias, which consists of iamb cooked in dried yogurt and served with seasoned rice on flat bread. Manias is always served on holidays and special family occasions such as visits to relatives or friends, engagements, and weddings. MARKET DEVELOPMENT STRATEGIES For growing their business, APT. Pupa’s using market expansion and product diversification strategy for develop their business concept because the product of APT. Pupa’s are same with the others producers of doll.
Hence, APT. Pupa’s must make an expansion for the product by develop new product to reach the market. This strategy developed base on the concept of strategic planning for marketing. Strategic Planning tort Marketing Process Before implementing the strategy of marketing for their business, APT. Pupa’s make strategic planning for develop their product based on the market for decide the strategic action for marketing strategic. Firstly, APT. Pupa’s examine the current situation of their market to finding their inch market in Jordan.
Then, they identify the opportunities for developing their strategy and also analyses the threats focus from the competitor. After that, they set the objective of the market such as who is the consumer and where is the market. Then the develop strategic and execute their treated in Jordan However, the popularity of APT. Passaic good. Everyone in Indonesia knows APT. Pupa’s is the most popular producer of doll garret. They do not know how can be occurred if APT. Pupa’s export their product to Jordan For prepare that expansion, APT. Pupa’s develop a marketing strategy by developing corporate business strategy.
They develop new strategic business unit for develop their market by developing product expansion strategy. APT. Pupa’s develop new business unit for reach the market by make a new business concept for their strategic business unit. They develop a new product to enter the market in the Jordan. The product is “Choctaw (Chocolate-Doll Garret)”. This product made from chocolate that combine with doll. By this product, APT. Pupa’s try to penetrate the market in Jordan by making some diversification product of chocolate. The purpose of this strategy is introduce doll in Jordan.
It is difficult if APT. Pupa’s Just unreduced focus on doll, because doll is the new product in Jordan. APT. Pupa’s Doll Garret Product Choctaw and Sweetest INDUSTRY AND MARKET ANALYSIS Market Segmentation Demographic The segment market of APT. Pupa’s in Jordan is not restricted by woman and man. It also not restricted by age. APT. Pupa’s focus on the Jordanian people with the age between 18 to 40 years old for the sweated product because a lot of people in Jordan need sweet snack for getting together with the others to spare their leisure. APT.
Pupa’s also focus on the Jordanian people with the age between 5 to 15 years old for the Choctaw product because children are have more purchasing power to buying a chocolate. Cryptographic Target Market for APT. Pupa’s in Jordan tends to the consumers who make a decision to buy by reference from their friends, family or the others. But APT. Pupa’s also use marketing tools such as poster, flyer, and exhibition. Market Trends Based on the trends and situation of Jordanian people, they usually spend their leisure by getting together with their friends at the snack cafe.
Based on the trends and situation to Jordanian children, they usually get a chocolate trot their parents Market Growth for Chocolate and Sweet Snack One of the primary demand drivers for chocolate and other sweets is consumer taste, and consumers continue to love chocolate. Long a beloved treat in the western world, a recent study in Great Britain showed that 91% of females and 87% of males consume chocolate products. But the taste for chocolate is now expanding into highly populated nations with a growing middle class.
Rising disposable incomes and changing tastes will continue to drive growth in the industry overseas, Just as improving domestic economic conditions increase sales at home. The candy and confection industry remained strong through the recent recession, with the chocolate and sweet snack industry in particular having strong sales despite belt tightening. Considered a luxury, chocolate surprised many industry observers with continued sales strength over the last several years. Though people spent less on big ticket items like vacations, consumers refused to give up the little ways they spoil themselves at home.
A chocolate and sweet snack bar is often considered an “affordable luxury. ” Profitability for large confection and candy producers is derived from manufacturing and supply chain efficiency, as well as effective marketing. Smaller companies look to offer premium or specialty products. For all companies involved in the chocolate industry, however, rising commodity prices can be cause for concern. Cocoa prices can be exceedingly variable as it is largely grown in developing nations with often unstable political situations. Recent turmoil in the Ivory Coast, the largest producer of cocoa, has caused prices to skyrocket for the beans.
Lack of access to modern insecticides and fertilizers also makes production less predictable. Large producers of cocoa manage and absorb much of this risk, but will begin to pass on higher prices beyond a certain point. Industry Trends There are a number of trends within the chocolate and sweet snack industry that are driving growth; and product innovation in 2010 brought a 16% increase in new product releases over 2009. Increasing disposable incomes as well as hanging public sentiments regarding health and our global community are the driving forces behind this growth in innovation.
Premium and specialty items have shown strong growth over the long-term. During the recession, there had been a shift away from premium items, but as the economy has continued to recover, sales of premium items have taken the lead again. Weighed varieties can be baked on the premises, come from a renowned region or have a hidden secret recipe. Seasonal and boxed assorted chocolates have been experiencing the fastest growth, and sales are expected to expand 13% between 2010 and 2015. Holidays, birthdays, retirement parties and more, chocolate and sweet snack is a versatile gift for many occasions focus in Jordan.
Over the last several decades there has been increased understanding of what constitutes a healthy diet, and there has been a dramatic increase in sales of sugar free, reduced fat and reduced calorie offerings. Dark chocolate is known to lower both blood pressure and cholesterol, and has nearly 8 times the number to antioxidants as toned in strawberries. A recent survey toned that 35% of respondents believe dark chocolate to be healthier, and it shows: sales grew 9% in 2009 versus 3. % for the chocolate industry as a whole.
Fair-trade certified chocolate is another fast growing segment of the market, where consumers pay a premium to ensure goods are produced in an ethical manner. As our global community grows smaller with the communication revolution, it becomes glaringly obvious that goods produced in developing countries are often subject to horrible labor conditions or controlled by dominant industry participants. Fair Trade is an social movement aimed to promote sustainability in developing countries, and generally requires a higher price but conforms to higher social and environmental tankards. (Source: Chocolate Industry Analysis in 2013 at a Glance) S.
W. O. T Analysis Strength Expertise gained from more than 40 years of experience Innovative Choctaw and Sweetest develop a new concept for chocolate and adding new composition for sweet snack in Jordan Low Price The price of the product is more cheaper than the existing product. Opportunity Market and Price Leaders Because APT. Pupa’s is the only one company that export the product of doll to Jordan, they can lead the market and the price Weaknesses No experience in Jordan market Perishable Product This product have a fast time expired Threats Followers The biggest threats is followers that can be a competitor.
BUSINESS AND PRODUCT MARKETING STRATEGIES The STOP (segmenting, Targeting, and Positioning) of APT. Pupa’s Segmenting APT. Pupa’s divide the segment of their consumer by age and consumer decision ability to buy a product. This segment based on the characteristic of buying habits of the customer based on their age. Segment A B C D E F Age …. -14 14-17 18-24 25-34 35-44 45-… Consumer Detections Individual and Parents Individual Individual Individual and Family Individual, Family, and Peer Individual, Family, and Peer Variety Seeking Low Medium Medium High Very High High In general, the product of APT. Pupa’s are for all ages, but APT.
Pupa’s more focus and concentrate on the market with an age range 25 to 45 years old. It is based on consideration of age range are needs something that give them extra value from the product. Beside that, the segment is based on purchasing power of consumer. Consumer with age 25-45 years old are have more purchasing power than the others. By this segment, APT. Pupa’s focus on the segment C and D because based on consumer decision and variety seeking, segment C and D are the most potential segment for the Product from APT. Pupa’s. Targeting All of the consumers are the target for the product of APT. Pupa’s because APT.
Pupa’s have not specific target for their product. The product of APT. Pupa’s are for everyone who needs a chocolate with new taste and a snack Hi sweet taste by different product and concept. Positioning Low cost and different taste are the positioning of APT. Pupa’s. APT. Pupa’s stressing strategy low cost are able to press operational costs that result in low yield product that offered to customers. Through a strategy of this, APT. Pupa’s expected to infuse their brand in consumers mind as a product that consumers need same like housecoat or sweet snack but with different taste Strategic Marketing Objectives Product The main product of APT.
Pupa’s is Choctaw (Chocolate with Doll Garret). This chocolate is very different than the others chocolate. This chocolate have a special and unique taste that combine with Doll Garret. Doll Garret is a traditional culinary from Indonesia. It is like a sweet snack. The chocolate combine with doll garret for developing product concept from chocolate. This product try to develop a concept of Indonesian Chocolate. For the supporting product from APT. Pupa’s is Sweetest (Sweet Snack Doll Garret). It same like Knaves (traditional sweet snack in middle east).
Knaves is a sweet snack that made from flour combined with cheese. The Sweetest product are designed and concocted same like knaves and the different is knaves is combined with cheese and sweetest is combined with Doll Garret. Place / Distribution For Choctaw For Choctaw Product, because of APT. Pupa’s using export strategy to enter the market in Jordan, they choose one of the biggest wholesaler in Jordan for distribute their product in to the market. This product distributed to the supermarket in all of area in Jordan. For Sweetest For Sweetest Product, APT.
Pupa’s choose the biggest producer of sweet snack and set APT. Pupa’s position as supplier of doll to combine with their sweet snack product. Price APT. Pupa’s using maximum market share for pricing strategy. The action is by setting the lowest price to win market share (assuming the market is price sensitive) believing that a higher sales volume will lead to lower unit costs and higher long-run profit. By using this strategy, APT. Pupa’s focus to reach high target for the quantity, because there are competitor product such as knaves and others chocolate with high price. Hence, APT.
Pupa’s use low price to reach a competitive advantage with pursue the target sales by quantity. Price for Choctaw: to 1,5 Jordanian Diners Price for Sweetest: Jordanian Diners per 10 gar. APT. Pupa’s set the price under the price of existing product in Jordan. The price is almost a half from the price of the existing product Promotion Develop good relation with distributors is also omnipotent, because the main target is the distributor in Jordan. Hence, APT. Pupa’s not only promote about their product to the distributor, but also promote the sustainability for production.
For the product to consumer, APT. Pupa’s using promotion strategy with direct promotion by word of mouth and door to door action for reach the consumer and also using indirect promotion by using social media, website, and flyer. Because Doll Garret is new product in Jordan, others strategy that will be developed by APT. Puss aka by making some event such as exhibition or competition for making a culinary that made from doll for promote their product. This competition held to make some research for developing the product of doll in Jordan. People The people from APT.
Pupa’s for running their product Just divided into 3 division which is: 1. Technical Experts This is the man behind screen of APT. Pupa’s or the key people for running the business, because the technical experts is the most valuable asset in APT. Pupa’s. The technical expert produce the main product which is Doll Garret. They must consistent with the taste and quality. Without the technical expert, APT. Pupa’s can not running their business process. 2. Suppliers The most important people for running the business process of APT. Pupa’s are the suppliers of raw materials.
The suppliers supply all of the raw material focus the flour such as glutinous rice flour and wheat flour and also housecoat for making Choctaw products . Without flour and chocolate, APT. Pupa’s can not do anything 3. Management APT. Pupa’s also need management for organize the technical experts and organize all of the business process until export process. 4. Wholesaler and Sweet Snack Producer APT. Pupa’s need a wholesaler and sweet snack producer as their distributor for their product Process Choctaw Sweetest Physical Evidence The physical evidence for the product from APT.
Pupa’s such as The product packaging The Brand Logo The Place STRATEGIC MARKETING Product Development Strategy A main source of business Roth is through product innovation. New products often come from ideas. These are either new ideas or ideas for extension strategies for existing products. An idea is a plan, a scheme, method or a thought process. By their very nature new ideas are creative. They often provide solutions to problems. They help to meet the needs of customers and they also make products distinctive from those of the competition.
For growing their business, APT. Pupa’s make some expansion to export their product to Jordan. Their product still have a competitive market, because their product is one of the group of chocolate business, hence, APT. Pupa’s need some innovation for develop their product to reach the market. The strategy that they implement to this planning is making Choctaw and Sweetest product as the innovation to their product. APT Pupa’s using this strategy because they see a potential market area that the Jordanian people habitually consume a sweet snack almost everyday.
They consume the sweet snack like knaves and chocolate. By this situation, this is the opportunity for APT. Pupa’s for entering that market by develop their doll to combine with the chocolate or concept it as a sweet snack. The others opportunity that make APT. Pupa’s should use this strategy is based on the price. APT. Pupa’s should make some price that the price is under the existing product in Jordan. By searching the information of the existing product, the product from APT. Pupa’s such as Choctaw and Sweetest are cheaper than the existing product because of the raw materials.
The existing product such as knaves and chocolate have a high price because knaves is combine widthwise cheese and the chocolate is combine with the peanut which is the price is higher. Maximum Market Share Pricing Strategy APT. Pupa’s choose low cost strategy for selling their product . APT. Pupa’s focused on the quantity and also focus on the quality. This strategy automatically set the business mind of APT. Pupa’s that price is sensitive for customer, so APT. Pupa’s must careful about pricing to reach the maximum target for get the consumer and focus get consumer loyalty.
Push and Pull Strategy The term ‘push strategy’ describes the work a manufacturer of a product needs to perform to get the product to the customer. This may involve setting up distribution channels and persuading middle men and retailers to stock of the product and develop good relation with distributor. The push technique can work particularly well for lower value items such as fast moving consumer goods (FMC), when customers are standing at the shelf ready to drop an item into their baskets and are ready to make their decision on the spot.
This term now broadly encompasses most direct promotional techniques such as encouraging retailers to stock your product, designing point of sale materials or even selling face to face. New businesses often adopt a push strategy for their products in order to generate exposure and a retail channel. Once the brand has been established, this can be integrated with a pull treated. ‘Pull strategy’ refers to the customer actively seeking out your product and retailers placing orders for stock due to direct consumer demand.
A pull strategy requires a highly visible brand which can be developed through mass media advertising or similar tactics. If customers want a product, the retailers will stock it – supply and demand in its purest form, and this is the basis of a pull strategy. Create the demand, and the supply channels will almost look after themselves. By this situation, APT. Pupa’s using pull strategy by attract all the supermarket to buy the product of APT. Pupa’s in the wholesaler for Choctaw product. And for Sweetest Product, APT. Pupa’s encourage the producer of sweet snack to buy the doll as a raw materials for their product.
APT. Pupa’s also using push strategy by push the consumer to buy this product in the supermarket or sweet snack shop. For supporting the strategy, APT. Pupa’s do some action to reach their market such as Word of Mouth Word-of-mouth (WHOM) marketing refers to promotional activities that leverage social interactions and word to mouth n between consumers. A distinction may be made between “active” and “passive” WHOM marketing. Active WHOM campaigns usually involve giving free samples to influential customers, or hiring professional “agents” to promote a brand, product or service.
Passive WHOM marketing activities usually consist of observing conversations that are naturally taking place, primarily on the internet. These observations may be qualitative or quantitative. Qualitative analysis of online social interactions relies on studying discussion boards, blobs, forums, review sites, newsgroups, social networks, etc. Quantitative analysis of online WHOM consists in collecting various metrics on specific keywords, based on reach volume, number of blob posts, number of tweets, etc. Such signals may be used to track, analyze and forecast the diffusion of a new product.
Passive word of mouth strategy by collecting a questionnaire about consumer satisfaction and publish the positive result. This action can also measure the product of APT. Pupa’s For Active word of mouth strategy, APT. Pipsqueaks to their consumer to be an agent for marketing by giving information to their friends or family about the product of APT. Pupa’s. Direct Promotion For the direct promotion strategy, APT. Pupa’s take an action y making a direct promotion to consumer by face to face to consumer and introduce the business and the product. Usually, APT.
Pupa’s take this action when there are an information about the social gathering or event that there are more woman audience. Beside that, APT. Pupa’s also using word of mouth action by delivering this business concept and business product to potential consumer that can be the promotion agent. Word of mouth is the most effective action for promoting the product. For developing direct promotion, APT. Pupa’s make an action strategy to reach their market by making exhibition of their product and making event competition for making some culinary from doll.