Selling Australian wine in any overseas market
Introducing a new substance in the market is always a tough task. Considering the fact that, you are attempting to offer a product whose worthiness’s has never been tested in the market being targeted. This calls for total commitment, concentrated promotions and advertisements as well as massive campaign that are designed to inform the intended consumers of the benefits associated with the product at hand. Therefore, am of opinion that, selling the Australian wine in overseas market calls for extensive research as well as market studies. Given that, wine unlike other beverages which are domestically consumed like common fruit juices, is typically linked to alcohol.
It is apparent to understand that, in most countries wine is a preserve of the rich and importantly is intricately associated with the affluent. However, Australian wine makers are considering expanding their tentacles to international markets and in particular English markets. The purpose of entering the British burgeoning wine market is to introduce their growing label hence capturing a scion of this market.
To introduce a new product to the target audience through concentrated advertisements campaigns. The product concept, the Australian wine produced by the country’s seasoned wine producers is aimed at adults. The principal message being carried by Australian wine maker is; Australian wine is healthy and nutritious.
Australian Vineyards, who are principally linked to wine production, have been in the market since 1889, this is an indication that, they have a vast wealth of experience in wine production. More so, it should be noted that, they have mastered the art of producing various brands of wine products that are valuable and satisfying. Therefore, going by what the Australian market is projecting towards their products, it is paramount to state that, their wine is of highest quality (Bradley, 1991). On market analysis, it is crucial to aver that, Australian winemakers have managed to create some of the fastest moving wines in the market compared to other wine labels in the country.
Therefore, due to its fresh and crisp looking glamour, this product has significant ratio of delving into the Britains wine market with a positive impact. Nevertheless, it would be wise to evaluate and compare other wines in the market and equally understand their impact as well as their position. Reflecting on the English markets which tend to attract diverse wine varieties from various global producers, it would be vital to look into the way they have affected the product distribution in order to have the required insight into the nature of the market the product is being introduced.
Considering that, the Britains market is far more developed than the Australian, it is crucial for any Australian wine maker to analyse all possibilities of driving his product to this market smoothly. Thus, it is paramount to employ the use of both print and electronic media in introducing the Australian wine to the British population. By employing the use of media, it is wise to note that, there is a possibility of facing stiff competition from the established Britains wine makers.
Therefore, with that knowledge, it is possible to launch a successful campaign which is well defined and with intended audience being targeted. Basically, for Australian wine producers to effectively delve into the foreign markets, it is important for them to consider the concept of positioning, this is due to the fact that, well calculated physical and fiscal positioning would give them an added advantage over their business rivals who might have well established local distribution networks as well as the financial backing from commercial banks.
Situation analysis plays a pivotal role in establishing and evaluating the situations and trends in a specific market. Therefore, it is vital for Australian wine makers to do rigorous study of the projected customers, costs as well as the impeding competition in the forecasted foreign market. Thus, the use of country reports would significantly provide a glimpse of information needed for both micro and macro market analysis (Dixie, 1991). This would help these firms to evaluate their capabilities as well as the importance of recognising favourable opportunities that would help in providing quality products. Therefore, the purpose of situation analysis in this case is to develop measures that are useful in relation to market environment which is more than often is dictated upon by such parameters as climate, company, collaborators, consumers as well as the competitors.
Also situation analysis is integral part of marketing in that it helps in establishing the strong and weakliness in any given market. Therefore, in case of Australian wine makers, it would be significant for them to understand the market environment in comparison to other previous markets they had dealt before. While considering their financial aspect which determines how a product is marketed. It would also be important where they analyse how their rivals brand and package their products. This is due to the fact that, branding plays a very crucial role in marketing a new product in foreign markets.
Approaching a new market calls for sincere and well cultivated promotional onslaught. It is on this line that it would be instrumental for Australian wine makers to think and evaluate all spheres associated with media marketing. This would entail investigating the diverse content consumption in all branches of the media which includes radio, TV, newspapers and magazines including internet.
Thus, the impact of newspaper in London is not the same as that created by both radio and TV, thus it would be paramount to carry the products advertisements in the local dailies during the days that have the highest ratio of leadership and this happens to be Saturday and Sunday when a significant ratio of the locals are off duty. Equally important is to understand that, the advertisement carried should be appealing to all. This is due to the fact that, most people are attracted to a product by the very design of packing colour as well as the presentation.
Therefore, am of opinion that, TV commercials would have far greater impact, consider the fact that almost 95% of London residents in one or the other time of the day watches TV. Therefore, it would be crucial to place the advertisement during the peak hours when most residents are at home watching their favourite TV programmes. Note that, during this hour when such popular happenings as a Film Launch, Race Carnival Fixture, foot star are being aired, there are tendency for a huge audience to turn to their TVs to follow the proceedings and this would be a crucial period of placing an advert.
More so, even radio commercials would be of importance in that; it is one of the key components of the marketing that has far more greater effect due to its accessibility. Thus, given the Australian wine makers projected budget is also vital to put more emphasis on radio commercials. This would have effect in that most people while driving have a tendency to switch on their radios, therefore by taking such an opening there is a possibility of securing a significant percentage of market share in relation to wine industry. Another crucial area that needs massive investment is the area related to internet. The contemporarily world today is critically sieged by diverse concepts of interaction which ranges from Face book, twitter and other venues of blogging, thus it would be important to invest in online advertisements and other associated marketing campaigns, this would significantly help in building a stable market share. Therefore, online campaigns would entail the use of animated graphics which would be posted on various but popular websites within Great Britain.
This would entail the middle income earners, corporate and individual entities who frequently use wine at least once or twice per week as well as resort clubs (Bradley, 1991). The purpose of targeting this group is due to the fact that, they are placed in a higher social status. This means that they are in a position to invest in diverse tastes and varied brands of wines that are exudes class and glamour that is associated with the affluent as well as the emerging market which is typically dominated young.
Thus by employing the use of well developed TV commercial that are both appealing and entertaining, it would be equally possible to capture and influence the opinion that this group holds in relation to wine. Therefore, putting into consideration that almost 70% of this class watches diverse TV channels daily, either for leisure or for business proceedings. So it would be wise to invest in this group in order to develop a stable market.
Given that, the Australian wine markers have to place their advertisements on radio, TV, newspapers, magazines as well as billboards and wall branding. It would be crucial to analyse the cost per advertisement in order to realise whether the intended impact have got any effect on the way the target audience is behaving towards the product (Malnight, 1995, pp 120). Thus allotting specific percentage of the projected budget per each medium of advertisement would be crucial. For instance, out of $1.5 million Australian should be distributed fairly along the lines of financing all spheres of product marketing and promotion. Thus:
Due to the importance placed on morning talk shows, placing short adverts in some of the leading broadcasting house such as BBC, which commands more than 50% of national listenship. Would greatly forge a strong impact within the target market. Thus allotting 20% of actual budget to this medium would help in establishing the Australian wine in the market. Therefore, radio commercial would be creative and captivating in order to complement for missing visuals.
All over the world, Britons are known for their love of football. Placing glamorous and catchy commercials during premier league as well as in EUFA championship matches would significantly tilt the wine market. Thus am of opinion that, despite placing the commercials during peak hours or at a time when this matches are being aired, it would also instrumental in playing a pivotal role of sponsoring some of the participating clubs (Terptsra, et al, 1994) Therefore, this requires 35 % of the actual budget to be directed towards building TV adverts as well as sponsoring specific clubs including the use of popular sportsmen in the commercial (Mkandawire, 1991).
This is due to the fact that, most people would rather buy a product that is allied to their adore hero whether in sports or entertainment. Basically, this is one opportunity that the Australian wine makers can vehemently utilize to reap total benefit. Note that, TV viewer ship is engaging than radio or any other mode of communication, thus, placing commercials with such cable TV stations as Supersport, Skytv, BBC as well as Dstv which commands the largest market share due to the content of their shows.
Newspapers and Magazines
Economist, Daily Telegraph, Guardian, Financial Times, Sunday People, and the Observer are some of the leading and most popular Newspapers and magazines in London. With almost 75% market share of print media they account for 65% of all business related transactions. Therefore, allotting 15% of the total cost would help in developing sensational commercials that are cool and romantic in nature (Philip, et al, 1994). Given that, significant ratios of Londoners are addicted to local and international news, it would be paramount to place a well developed advert with a theme that touches the tastes, styles as well as the glamour of a Londoner.
This is due to the fact that, Italian and French wine makers have overtime dominated the English wine market with their unlimited creativity in packaging as well as in labelling designs which are ever captivating and unique (Sandelands,1994). Therefore, it would be noted that, wine label determines the success or failure of a given brand in the market (Cain, 1970). Therefore, this has to be given more emphasis when designing an advert that is geared towards both print and billboards across all London and her neighbours.
Like any other consumer product, wine production is run under stiff competition from local and foreign brands. It is on this note that, the Australian wine makers have to under the strength and weaknesses of their competitors (Das, 1994, pp19). Given that, most foreign wines in London are either from Italy or France. Evaluating their market capability, it is apparent that, the local wine producers enjoys a significant percentage of market share due to the way they package and create promotional themes which reflects the real English glamour and etiquette.
Thus, the principal weakness in this market is that, most foreign wine makers borrow promotional themes from their country of origin; secondly, they attempt to present their products in a more sophisticated manner which is unfamiliar to the Londoners. Thus, capitalising on those facts would be of great value in that, Australian wine makers would be in a position to represent a product that sounds familiar and relates to English lifestyles (Carter, 1989). Though, the real threat lays in that, most Londoners purchases wines in relation to its origin rather than the quality. Thus, understanding what the client needs most in foreign market would help in pushing the product to the unexpected heights which the competitors have never attempted previously (Kimweli, 1991). Thus, after identifying the key competitors, it would be imperative to capitalise on their weaknesses through massive advertisements, give away promotional packs as well as giving distributors friendly discounts. And this would help in promoting the Australian wine in the competitive market (Berelson, 1971).
Despite competitor analysis, market and product survey would also play an instrumental role in helping the Australian wine makers understand the diverse tastes that are fast moving and are equally popular among the London wine users. It would be significant to do a concentrated survey in order to establish between the red and white wine which is more popular. This would help in cutting the cost of marketing the both or it would mean acquiring a new opportunity of marketing the two varieties simultaneously (Kwelepeta, 1991, pp 78, Paliwoda, 1993). Therefore, armed with gathered information pertaining to the competitor status including the strengths and weaknesses on the ground, it would be vital now to begin establishing orientation marketing which would include product sampling and market evaluation as well as identifying possible distributors of the given product(Axtell, 1989).
Diverse markets calls for specific approaches in marketing. Considering the fact that, wine is not a commonly found product, it would be paramount for Australian wine makers to establish their product in more sombre way, this is due to the fact that, branding plays a very crucial and significant role in conveying the message of the product owners(McGuiness et al,1981). Thus, to present a wine that is truly Australian, certain parameters have to be put into consideration, and this includes packaging and labelling.
Thus, if the Australian wine makers could create a unique and peculiar tagline that would resonate with their product, it would be easier for the targeted consumer to accept to be identified with them. Another aspect in the same line would include creating a product that would play the role of being the signature brand. Considering the fact that, there are other foreign brands in the English market that are held in high esteem due to the quality and distinctive branding and packaging. It would be appropriate, if the signature brand is create using the best Australians grapes (Elinder, 1989). Therefore, for the Australian wine makers to penetrate the English wine market, building a sound market base where locals would be given the first priority would be of great help in marketing their signature brands. Hence, capitalising on governments and public goodwill, there is a possibility that, as a member of commonwealth they would be in a position to edge a significant proportion of the wine market. Nevertheless, the determining factors would be greatly influenced by the way the utilize media in delivering the product to the audience that is surrounded by a school of foreign wines of which some are genuine and others blatantly poorly distilled and packaged.
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