An Analysis of Twisted Sistuhs’ Marketing and Competitive Environment

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Twisted Sistuhs is a wine company based in Nashville, TN, which is actively promoting its products on the Internet using social media such as Facebook and Instagram, as well as its official website. The company does not have an extensive assortment of wines and sells only several ones, including Cabernet and Barbera. Nevertheless, Twisted Sistuhs’ wine undergoes proper aging procedures and is left in barrels for at least three months to ensure that it gains its distinct taste and flavor. The wine produced by Twisted Sistuhs has its unique branding, which is based on four Zodiac signs of the initial owners and four elements associated with these signs. The wines of the business do not leave hangovers and are capped instead of corked, which keeps them fresh. The company does not sell its wines directly on its website and prefers to distribute its products through two flagship stores. Thus, it is important to analyze the current marketing approach of the company to discover possible improvements by assessing the marketing environment, competitors, and pricing strategy.

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The first step in the analysis will concerning conducting an assessment of the marketing environment of Twisted Sistuhs and determining the essential factors affecting the business. Economic forces are key factors impacting the business, and namely, clients’ willingness to spend money on wine. Research shows that wine consumption in the United States has been growing steadily for the past decade (“US wine consumption,” n.d.). In this regard, the situation is favorable for Twisted Sistuhs, and the increasing consumption rate can help the company sell its products. Another major factor is the legal forces and taxes in particular imposed on wine producers. In the United States, wine taxes start at $1.07 per gallon, which is a substantial sum which can potentially undermine Twisted Sistuhs ability to offer affordable prices for its products (Marley, 2021). Sociocultural forces also play a major role in today’s world, for example, in 2020, Yelp registered a 7,000% increase in the number of searches for black-owned businesses (Gross, 2020). Since Twisted Sistuhs’ owners are African Americans, the company can state it openly to attract clients who want to buy from black merchants.

Additionally, technological factors have to be considered when analyzing the marketing environment, despite the fact that the wine industry usually relies on traditional production techniques. Technologies such as DNA profiling and near-infrared spectrometry already have been implemented by wineries around the world to improve the quality of their products (Sullivan, 2019). Twisted Sistuhs also can utilize these technological advancements to enhance its operations and make wine which is more in demand by customers.

To develop a distinct positioning strategy, the company has to consider the approaches employed by its competitors. Amber Falls Wines and Grinder’s Switch Wines are two wineries located in the same state as Twisted Sistuhs constitute its direct competitors. The main strength of the two companies is the fact that their clients can buy their products not only in stores but also online, which Twisted Sistuhs’ customers cannot do (“Amber Falls winery,” n.d.). Additionally, they both offer discounts to clients who order large batches of wine. They also have their membership programs for people who want to receive the latest updates about the companies’ activity and special rewards such as discounts and tastings. Both wineries sell wines at prices in the same range, from $14 to $28 a bottle (“Grinder’s Switch Wines,” n.d.). The companies promote their products on social media and their websites. Finally, Amber Falls Wines sells many different wines with various brandings, which in general draw their inspirations from 19th century American history. Grinder’s Switch Wines sells thirteen types of wines with varying flavors, and each of them has its distinct branding.

Twisted Sistuhs also has to maintain a certain pricing strategy, and to discover the most relevant one, a market research process must be designed. The market research process will involve defining the objective of the study, which is finding the ultimate pricing strategy for Twisted Sistuhs. The second step is developing a research plan and research methods, which will include surveys and observations. Surveys will involve demonstrations of wines at malls where people can try the product for free and tell the price for which they would buy the wine they tasted. Observations can take place in wine shops and will involve monitoring wines bought by the customers to discover which price range is the most popular one. Such research methods will allow gaining an insight into how much money clients are ready to spend on the product. The third stage is implementing the plan by conducting the two research activities in several locations in Nashville. Finally, the last stage is interpreting the data collected during the research and making a conclusion on the pricing strategy based on the results.

Twisted Sistuhs is a company which produces wine in Nashville, and to gain a competitive advantage, it has to assess the marketing conditions. The current external factors are favorable for Twisted Sistuhs because the consumption of wine has been growing steadily, and the interest in black-owned businesses is increasing. Competitive analysis showed that the company’s competitors actively use online distribution channels and membership clubs as distinct marketing tactics. Twisted Sistuhs can implement a market research process to develop its pricing strategy by conducting surveys and observations in Nashville.

References

Amber Falls winery. (n.d.). Amber Falls Winery.

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Grinder’s Switch Wines. (n.d.). Grinder’s Switch Wines. 

Gross, E. (2020). Support for black-owned businesses increases more than 7,000%, Yelp reports. Forbes. 

Marley, J. (2021). Taxes, tiers, and other ways prohibition still restricts U.S. wine. Wine Enthusiast.

Sullivan, S. (2019). Top winemaking innovations. Wine Enthusiast.

US wine consumption. (n.d.). Wine Institute.

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BusinessEssay. (2022, September 3). An Analysis of Twisted Sistuhs’ Marketing and Competitive Environment. Retrieved from https://business-essay.com/an-analysis-of-twisted-sistuhs-marketing-and-competitive-environment/

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BusinessEssay. (2022, September 3). An Analysis of Twisted Sistuhs’ Marketing and Competitive Environment. https://business-essay.com/an-analysis-of-twisted-sistuhs-marketing-and-competitive-environment/

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"An Analysis of Twisted Sistuhs’ Marketing and Competitive Environment." BusinessEssay, 3 Sept. 2022, business-essay.com/an-analysis-of-twisted-sistuhs-marketing-and-competitive-environment/.

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BusinessEssay. (2022) 'An Analysis of Twisted Sistuhs’ Marketing and Competitive Environment'. 3 September.

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BusinessEssay. 2022. "An Analysis of Twisted Sistuhs’ Marketing and Competitive Environment." September 3, 2022. https://business-essay.com/an-analysis-of-twisted-sistuhs-marketing-and-competitive-environment/.

1. BusinessEssay. "An Analysis of Twisted Sistuhs’ Marketing and Competitive Environment." September 3, 2022. https://business-essay.com/an-analysis-of-twisted-sistuhs-marketing-and-competitive-environment/.


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BusinessEssay. "An Analysis of Twisted Sistuhs’ Marketing and Competitive Environment." September 3, 2022. https://business-essay.com/an-analysis-of-twisted-sistuhs-marketing-and-competitive-environment/.