BU352 Lecture Notes - Lecture 1: Inventory Turnover, Target Market, Costco
Document Summary
Problem is that there"s not enough exposure of the product in terms of marketing (main problem) External: profitability of garlic and herbs cubes are not as high as expected market share in the industry (low at 2. 5%) Distribution channel members profitable market share inventory turnover brand loyalty/ recognition competitive advantage cost of goods sold sara is educated and experienced in advertising brand recognition is strong. Garlic and herb cubes known for it ease of use, convenience and freshness. Current strategy comprised of in store promotions, active store samplings and coupons. Current marketing mix: premium pricing to differentiate quality, distributed through grocery store and warehouses, uses coupons and sampling to promote product. Target market women between ages 25 54 (primary) the company has exclusive right to sell garlic and herb product in. Canada the grocery industry is growing (3% over the past year) opportunities to expand into a secondary market (the jewish community)
