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Marketing

Executive Summary
This report has been designed to provide an understanding of the viability of Hunter Foods
introducing OH MY COCO as part of its products. It analyses the global market for coconut chips and
its increasing popularity due to their health benefits. These health benefits have been used as an
opportunity for the company to further explore this product. A SWOT (strengths, weaknesses,
opportunities and threats) has been perform a full internal and external analysis of the company.
Hunter foods competitive advantage has been considered which evidently shows that the company
widely uses a luxurious and unique product brands within their range of various products. Thus, the
analysis concluded that Hunter foods is positioned as a high-quality snack compared to other
commercial snacks. Several objectives were formulated to set future goals of the product, among
this a surge in social media and online presence is greatly envisioned. The target market was
strategically chosen to fit the premium lifestyle of the brand. The segments which will be further
discussed within the report include psychographic, demographic, benefit sought and usage rate. The
extensive research that was performed concluded that the Australian snacking industry is growing
the fastest among all other snacking industries therefore the main aim is to target the Australian
population to increase sales and reach a wider variety of consumers. Subsequently the product will
target the global population within the near future. The pivotal market that has been chosen to be
targeted are those who have middle to high income and are more conscious about living a healthy
lifestyle. This analysis was primarily the base of the product which made the 4Ps (product, price,
place and promotion) fall into place perfectly. The product design used is ecofriendly and is suitable
for the company as it suits is luxurious premium lifestyle and way of living, further it effortlessly suits
the high-end look which is portrayed by Hunter Foods. Three versatile and unique different products
of OH MY COCO are to be introduced to the market. The pricing strategies which are used for these
products include bundling, discounts and penetration pricing. The distribution of the product is
expected to ensue in several markets which also includes the HORECA segment which is the main
distribution channel for the main company Hunter Foods. Promotion for the product will occur
though various channels and platforms which are paid and unpaid. An analysis of the
implementation of the product, control and evaluation plan have been disclosed within this report.
This details fully on the steps which will be implemented the product till product launch within the
market. As new products face various problems, we entail on how these problems will be solved
once they occur. Lastly, a brochure will be enclosed at the end of the report.

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Marketing Objectives
A marketing objective is a measure of sales of a product and to whom that product is being
consumed (Hardy 2018). Marketing objective ensures that there are set goals and plans and when
those goals are to be accomplished within a given timeframe. If objectives are neglected and not
implemented any strategic decisions or following plans will occur within a vacuum and there will be
no goal or guide to fulfil the purpose of the product (Alabdulkader et al. 2017) (Kosaka 2020). The
criteria that has been used to formulate and plan our goals can be identified with an acronym
commonly known as SMART. This acronym can be decoded as follows:

Smart- (the goal is meant to be clear concise and sensible)

Measurable- (the goal is to fall within a specific timeframe)

Achievable- (the goal is meant to be realistic and attainable)

Relevant- (the goal is meant to be reasonable)

Time Bound- (the goal is to be time limited)

By introducing this new product our goal is to accomplish:

1. Sell 1200 units within 1st month of launch: As selling a new product requires a superior
concentration and time, throughout the first month sales cycle, 35% of the time will be
dominated to interacting and communicating with customers about the product and its
benefits. 32% of the time will be used for face to face meetings with potential and existing
distributors. Moreover, new products require greater coalition to be successful, this will be
required as to achieve the goal.

2. Improve social media presence: Social media is important for marketing new and upcoming
products. Social media will improve communication with consumers, increase brand
awareness and improve product sales and profits (Marchand, Hennig-Thurau and Flemming
2018). To drive product growth and create lasting and loyal relationships with customers, we
would like to increase the following existing social media platforms:
a) As Facebook has 1.5 billion daily active users, 2.5 billion monthly active users, 7
million advertisers with 75-95% advertising efficiency (Ali 2020). We would like to
increase the Facebook followers to 7 000+ more followers within 4 months of
launch.
b) Instagram statistics states that they have 500 million + daily users, 1 billion +
monthly users, 25 million + businesses, 500 000 active influencers and 70% of
shoppers who use Instagram to discover new products (Mohsin 2020). Therefore,
with this gathered information we would like to increase Instagram followers to
10 000+ more followers within 6 months.
c) On twitter there are 330 million monthly users, 135 million daily users, 63% of users
being between 35-65 years old and 67% of businesses using the platform as a
marketing tool (Lin 2020). Moreover, we would like to increase the twitter following
base to 2000+ more followers within 3 months.

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By doing so the improves social media presence will provide Hunter foods as well as the new
product more exposure as well as a variety of new customers.

3. Increase brand awareness/consumer health conscious by 20% within 30 days: Increasing


brand awareness will ensure that consumers are able to differentiate our product with other
competing products within the same field. Brand awareness increases repeat purchases and
boosts market share which is incremental for product sales. Educating customers to be more
health conscious will allow consumers to be aware that what they consume within their
bodies can have long term health effects such as cardiovascular diseases. This goal will be
achieved by using the social media platforms while using campaigns to encourage
consumers to eat healthier as well as posting health beneficial pictures and quotes.

4. Expand the supply chain to Australia within 1 year: Australia is the 2nd wealthiest country
in the world with one of the sturdiest economies (Statistica 2020). These dynamics make
Australia an appealing option to expand to as the sales and the revenue of the product will
increase. Australians are known to have a busy lifestyle; this leaves little to no room to
prepare home-made food which increases the consumption of snacks as follows:

Source: (Statistica 2020)

However, the snack market is expected to grow by 3.5% between 2020-2025. The Australian
population placement is approximately 24million with 89% residing in the urban areas
(Statistica 2020). Moreover, targeting the densely populated regions will ensure that a solid
logical customer base is established by developing a proof of retail concept while targeting
the “low hanging fruit” (De Lange and Fritsche 2017).

5. Distribute 2500 brochures in 20km radius from all Hunter Foods distribution shops within
3 weeks of launch: A brochure is known as a vital literature of the products that are being
sold that customers can take away with them, this keeps the product visually integrated
within their minds and hands. Brochures serve a purpose of accurately introducing the
product to the targeted consumers, expand the visibility of the introduced product, helps to
develop a new customer base, positive press about the product and provides network
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opportunities. A well-designed brochure will help reach new customers and sell the product
(Jaiswal 2018).

6. Increase online traffic presence by 20% within 5 months: Website traffic is defined as the
number of visitors that visit the website. Increasing the website traffic will increase
conversion numbers as more people will be interested. An increased conversion provides a
wider range of customers who are willing to purchase the product. Sales can easily be
tracked, and marketing budgets are not strained this increases qualified opportunities and
consequently helps improve the product (Maegele 2017).

7. Receive UAE organic certification by 2 years of launch: This organic certification will make
consumers aware that the product they are buying is health beneficial and does not contain
any harmful substances. The certification follows an arduous task that ensures customers
that the product follows the appropriate organic rules and regulations which are constantly
being verified and inspected by authorities. Consumers will become confident in purchasing
the product as they are aware that all ingredients used are clean safe and free from all
unprohibited substances or harmful chemicals.

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Analysis and Evaluation of brand (SWOT Analysis)

Strengths Weaknesses
1.Strong Supply Chain 1. Weak online presence

2.Strong brand equity 2.One location

3.Halal certified 3.Prices are relatively high

4. SQF and HACCP accreditation 4.Products not globally shipped

5. Variety of snacks

6. Internationally recognized

7. “Better for you” commitment

Opportunities Threats
1.Healthy alternative 1.Increase in competition

2.Consider Franchising 2.Distribution may occur in tariff increase

3.Increase product awareness 3.Product unpredictability

4. Expand product lines

It is a strategic tool used by various organizations to measure their internal strengths and
weaknesses whereas Opportunities and threats focus on external factors (Gürel 2017). Hunter Foods
is one such brand that has various internal and external factors.

Strength
There provide a range of snacks, from chips, crackers, superfoods, and many others (Hunter Foods 1
2020). This is a strength they have as the different types of snacks are meant for different customers
who may have various preferences, and since the brand caters for everyone’s flavours, they may be
able to attract more customers.

They have Hazard Analysis and Critical Control Points (HACCP) and Safe Quality Food Institute's (SQF)
accreditations (Hunter Foods 2 2020). SQF is a food safety management system is internationally
accepted standard that certifies that the food was correctly produced and stored whereas the
HCCAP is documentation that follows the internationally recognized standards of food processing
(Newslow 2016). This indicates the company gives outmost priority to the health and safety and
makes the best snacks available in the market meeting all the essential criteria.

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The brand produces products that are Halaal certified (Hunter Foods 2 2020). These are foods that
Muslims can consume as prescribed in their holy scriptures (“What Is Halal? A Guide for Non-
Muslims” 2016). This shows that the brand produces foods that meet all the cultural differences as
various faiths have their own set of rules and guideline, hence they cater for their beliefs.

Weakness
They have a weak online presence on social media, Facebook page has over 2000 followers and their
posts only get about 30-40 and they do not post often (Hunter Foods 3 2020). This indicates they
have a weak online presence since they do not post frequently on social media however these days
more companies opt to use social media because of the massive audience presence.

Their company is only based in one physical location that is Dubai and they export their snacks to
over 25 countries (Hunter Foods 2 2020). There are some customers who have a perception of not
trusting a foreign brand unless they have a physical store therefore some clients may not trust the
brand initially if it wants to enter a new marketing, hence this is a great drawback.

They produce high quality premium products hence their products are of high prices (Hunter Foods
1 2020).Hence they only target the high income segment of the market which makes their market
very limited, and some customers may go for alternative products due to high pricing of the existing
products (Grabowski 2015). Therefore, their highly priced products are very volatile as they only
target a limiter market.

Opportunities
The company can increase product awareness for their health products in their product line.
According to research 70% of the consumers worldwide are now switching to natural and non-GMO
foods as they want to follow a healthy lifestyle (Wiley 2019).Therefore, since there is a greater
market looking for healthy alternative the brand can promote itself on various platform like
Facebook, so as to make people aware about their existing products.

They can further grow their market share using internet mediums and tools. A great example of the
scenario would be Oreo Pakistan that used Facebook for business to reach 29 million users in 4
weeks and this led 5% increase in their sales (Facebook for Business. n.d.). Therefore, Hunter Foods
can use Facebook tools on their existing page to reach/attract prospective clients and earn greater
profits.

The company can consider franchising their business to broaden their market, franchising is is an
arrangement whereby the franchisor (owner) gives the franchisee (dealer) the right to distribute and
sell their goods or services and use their business name and model for an agreed period of time
(Sorensen Jeff, and Gene 2020). The main advantage of this method is a firm can have instant
growth by opening offshore stores and generate more capital and the company will also have
knowledge about the taste of local markets (Rainford 2020). Through franchising, Hunter Foods will
be able to extend their market share and would not have to do a lot of research when entering a
new market, additionally they get more revenues from dealers across the globe.

Threats
There are a lot of powerful brands that offer healthy snacks, for instance Enjoy Life Foods brand
offers non-GMO foods that are highly nutritious and of great quality (Enjoy Life Foods 2020). This
shows that Hunter Foods would have existing competitors in the market that offer the same range of
snacks and have already established a customer base.
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Many countries across the globe place high tariff rates on imports from other nations, for example in
Bahamas have 17.1% tariff on their imports (Hansen 2020), these import rates are usually imposed
by countries to generate revenues (Hayakawa 2014). This is a threat to Hunter Foods as they may
have to pay high tariffs to export their products overseas leading to some extra costs.

As some countries place high tariffs on imports the firm may have to pay these charges to export
their products, however this will be an additional cost for the brand. Hence, to meet these costs
brands usually hike their rates to meet up with all the costs in their country of trade (Senay and Alan
2015), some local people may not be interested in buying expensive products and opt for local
produce. Thus, exports may be affected due to increased tariff’s causing the pricing of the products
to rise.

Competitive Audit
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PepsiCo

It is a multinational company bases in the United States found in the 1965 and produces range of
snacks and beverages (Pepsico n.d.) they are a massive competition to Hunter Foods since they
manufacture the same range of snacks as them. Their competitive advantage is that they are widely
available in over 200 countries worldwide and hence they have created a brand image which attracts
more loyal customers. Furthermore, most of their products are very affordable hence they manage
to attract the low and high income target (Young 2017), for instance their sales in 2011 increased by
selling healthy chips were priced $2.99 I unlike their competitors who priced them higher (Teams
2011). Hence, they use the concept of penetration pricing that is selling goods at a lower price to
attract more customers (Kenton 2019), to have a greater market share over its competition.

Enjoy Life Foods

This firm is a subsidiary of the infamous American based giant Mondelez International who are the
leading pioneers of the snacking industry serving vegan and allergy friendly snacks (Enjoy Life Foods
2020). This brand was formed with the main aim of serving the more underserved segment of the
market that is the vegan and allergy friendly foods. Niche marketing is defined as targeting a portion
of the large market in which specialized goods or services are sold to the clients (Ward 2020)
henceforth this brand uses this concept to serve a precise target market. A lot of companies sell
snacks, but the brand saw an opportunity in the allergy free/vegan snacks and customized a product
for that specific target market.

Pringles

This renowned brand founded by P&G in 1956 and later owned by Kelloggs since 2012 yet they make
makes simple potatoes chips but rose to fame (Pringles n.d.). The snack firm’s competitive
advantage is through its innovative packaging that they advertise in television (telemarketing) which
makes it stand out and appeal to most people. Their chips have a distinct uniform shape, are not not
greasy or broken and they come in a can like packaging unlike the usual air-filled chips (Bokaie 2005).
Differentiation is establishing specialized goods or services to have a competitive edge in a segment
of the market (R.L Wiliams and Williams 2017), therefore Pringles uses differentiation as they have a
unique packaging as well as well-defined chips.

Kettle Brand

It is an UK based snack producing company that specializes in all natural and non-GMO processed
chips (Kettle Brand 2018). This firm specializes in making various flavours of chips that meet the
different tastes of their various clients, moreover their products are produced naturally without any
chemicals. Furthermore, they have introduced fat free and Organic flavoured chips which the clients
find very attractive as the public is more health conscious these days (Schupak 2019). Hence they
have a competitive edge through Customer focus, as they analyse the needs of their clients and
make customized products to satisfy their needs.

Nestlé

It is a multinational Swiss company that produces food and beverages globally present in over 197
countries (Nestlé Global n.d.). Nestle currently has various brands such as Kit-Kat, Carnation, Nescafe
and Stouffers, the company aims to make nutritious product focus with less impact on the natural
environment through their activities (Payaud 2014), so the company’s major focus is to promote in
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environmental sustainability through their practices and innovate to produce high quality products.
To emphasise sustainability the company promotes on reduction of waste material for instance their
YES! Snack bars packaging is made with recyclable wrappers to avoid waste and are high in fibre and
protein (Nestlé 2019). This indicates that the company not only concentrates on their product but
also at the nature around them, hence the consumer will be willing to buy this product so as to
reduce their overall carbon footprint as well as for wellbeing of the environment. Therefore, their
competitive advantage is differentiation as they do provide healthier and sustainable products
through innovation.

Positioning

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Positioning is when firms to formulate a market mix to create an impact on the consumers’ minds on
how they perceive a product (Janiszewska, and Insch. 2012), hence the position of a business is
based on how classify or place a company’s products or services in their minds against potential
competition.

The Perceptual map is often used to show a company’s position in the market against other
competitive brands (Chipoco 2016). Perceptual maps are referred to as the multidimensional scaling
method to determine the customer perception on brands and products the perception of people on
brands and products. Below is the perceptual map of Hunter Foods.

High Price

Low Quality High Quality

Low Price

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In the perceptual map above we see Hunter Foods and its competitors, they have been
differentiated in terms of price and quality of their offerings. Enjoy Life Foods has a high quality but
also is very high-priced product, mainly because the company is targeting a smaller target market
and producing premium goods (Ward 2020). Furthermore, our company at focus Hunter Foods
products are of high quality but that of high price as well (Hunter Foods 1 2020) but lower price
when compared to Enjoy Life Foods because they serve a premium customer base but don’t want to
overly price their products.

Moving on, focusing at Nestle their products are of high quality but available at a discreetly low-price
bracket. This is because Nestle is a very large cooperation and focuses on mass audience through
setting their price low (The Financial Express 2019), they use this strategy to target more potential
buyers. Also, looking at Pringles their chips are of moderate quality as they are simple potato chips
but are high priced, this is because they are more focused on their packaging then to focus on selling
it a higher price. Lastly, Kettle brand is that of low priced but as well as low quality, this is because
some of their chips are cooked like the usual cooked ones (Novak 2019), henceforth they carry the
same value as the normal chips.

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Target Market
This is defined as a group of customers to which are picked out by the firms and brands to
which they will have directed their forces such as market resources towards their consumers
(Cahill 2016).Furthermore, firms and brands usually aim numerous number of customers in
their market which may include depending on the life style, age and gender, benefits of the
products. The proposed targeted market for our product at Hunter foods is as follows:

For our demographic segmentation base, we targeted consumers from all age groups, starting
with the younger generation which included teens, tweens, millennials and generation X
(Powers et al 2008). Our product will be consumed by all age group as you have seen, Each
age group has their own preferences from the products, an example is the reference from the
Hunter foods website they had the campaign which targeted babies who did not like veggies
which was known as ‘Easy eat for kids’ as quoted from Hunters food website. Moreover, we
also targeted people from both genders’ male and female, since all genders require snacks at
different time. As marketers our snacks are aimed for all people whether it is a female or a
male, since our snack is nutritious will be a healthy product to all our consumers regardless of
their gender. On the other hand, we targeted people from medium income to high income. As
marketers our aim was to reach all people regardless their income starting from the lowest
earner to the highest (Martinez 2015). Our prices included 1 unit of 125grams which will be
sold at 2.50 dollar, this makes consumers able to afford the price even the ones whom their
income is low on which they can satisfy themselves.

Geographic segmentation is usually the location we set that our customers will get the
product which is either local within the country or exporting the product (Houpis et al 2011).
The introduction of our product we will first distribute it all over the country then export
more worldwide. As Hunter foods distributes across 30 different countries around different
continents, we used Middle east as our starting distribution point. We plan to distribute the
products of Oh my Coco all around the country first then move on to international market in
the world. Hunters food have branches all around the world and distributing a new product
requires some international rules to check upon we will require more time and so as we
distribute it all over around the continents (Houpis et al 2011).

In psychographic segmentation base, we targeted people with healthy motives, altitudes,


people who live with certain lifestyle (Heo 2009). Our product Oh my Coco we are targeting
consumers who are health conscious like vegetarians and teens as it stimulated the appetite.
We also targeted people who enjoy living luxurious life. Our product is produced in packs of
12 and priced at 25 dollars some of the customers who enjoy living the expensive life and
luxurious life would be buying them more just to show off and pride.

Usage rate segmentation base is usually setting up the target market through looking on
consumption of the product by the customers from the previous years (Weinstein, 2002). For
example, our product we have targeted people due to increased demand of our product, oh
my coco whereby about 2/3 of the distribution facilities had increased in terms of demand
due to our product’s healthy benefits to our consumers. We have also estimated that our
products would increase in terms of purchasing power with estimated around 150% of our

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product. Based on this information as marketers we targeted our customers in terms of their
spending and those who consume the product on daily basis and those who consume our
product maybe occasionally (Weinstein, 2002).

In benefit sought, the segmentation base is simply setting up the target market by looking on
the significances the product will have to the customers after the consumption of the product
(Park 2011). As marketers our product of Oh my coco made with coconuts has a lot of
advantageous to our consumers on which for example Coconut contains manganese, It has
iron, copper and selenium provide our body with strong cells in fighting diseases which is
vital for our consumers.

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Product strategy
A product strategy defines the vision and states what the product offers. It gives an overview of what
the product is, why that product was chosen, what design was used for the product packaging of the
product and why and why this product will be successful. It also provides the success criteria for the
product. A product strategy is important as it helps identify the steps required for the product to
succeed and prepares responses to competitors and in any case if the market is to change. It helps to
develop and set the product on an autonomous path with periodic interference in case of changes
(Kuyucu 2016) (Jing 2020).

Overview of Product:

The chosen product is known as OH MY COCO, this snack consists of chips which are made using one
ingredient which is coconut. Coconut consumption dates to the 15th century where coconuts were
discovered in the Western world by Portuguese explorers, they learnt that this fruit had abundant
growth in along the Indian Ocean (Rajasekhara and Shantha 2018). Commercially coconut is sold in
the form of oil, milk, snacks, water etc as it is known to benefit the skin as well as health. The
product chosen is made by simply mixing the required ingredients on a baking sheet and baking the
contents for a certain period depending on the additional ingredients for the different flavours. The
ingredient coconut has been chosen as the world consumption of coconut has increased as
consumers consume 52% of coconuts as oil, 39% as fresh a fresh fruit, 6% consume coconut after
being desiccated and the a relatively small amount being consumed by a long list of other products
by volume (Research 2020).

Due to the increased popularity for a healthy lifestyle and consumers becoming more aware of the
effects of consuming harmful substances, there has been an increase of 800% of coconut
consumption between 2016-2018 (Research 2020).OH MY COCO is a 100% natural and organic
product with no artificial additives or chemicals that can potentially harm the body.

Why “OH MY COCO”

The main reason for choosing to introduce OH MY COCO to Hunter Foods is the growing popularity
of coconut consumption within the global market. Coconuts were incorporated as a snack due to the
increase in demand for snacks with the statistics showing 60 % of consumers buying snacks as part
of their weekly groceries, 57% replacing meals with snacks, 48% snacking because they are in a rush
and on the go and 21% snacking more than they did in the past 5 years (Statistica 2020). Due to the
increase in consumer health awareness, coconut chips are anticipated to reach a significant CARG as
the industry continues to grow (Research 2020).

Coconuts are globally grown with Asia producing 90% of the coconuts which are exported world-
wide. The Middle East (main location for hunter foods) has coconut producing tropical such as
Dhofar region of Oman, Persian Gulf, Arabian Sea and the red Sea coasts. Middle East and Asia are
already home of a few companies which produce coconut chips such as Bett’r and Tong Garden
which have been profitable ever since they began operating (Transparency 2020). This analysis
concluded that coconut chips are well known within the main host countries of Hunter Foods and
therefore the product will not be subject to scepticism. Additionally, the main ingredient (coconut)

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used can be easily retrieved and no money will be required for imports unless the product is to
expand to regions which do not provide the fruit.

Internationally the increase in awareness and consumption of organic substances complements the
product strategy for OH MY COCO. This is supported by Mobium Group who reported that in 6 or
more in 10 consumers purchase organic products. Coconuts and healthy snacks are becoming a
trend globally therefore, this amplified growth has provided a golden opportunity for Hunter foods
to introduce OH MY COCO within its range of various products as it upholds and supports the
company’s concepts and values.

Hunter foods has a commitment which is “better for you”. OH MY COCO supports this commitment
as the product is:

a) 100% organic with no artificial colouring, artificial flavours, artificial preservatives or


chemicals that can potentially harm the body.
b) Non - GMO as no chemicals or genetically modified ingredients will be used within the
products. All ingredients are 100% fresh and natural.
c) Gluten free which helps to manage celiac diseases as well as many other glutens associated
conditions.
d) It supports Paleo, Keto and Vegan lifestyles as all ingredients used are highly supported with
all these lifestyles due to their nutrients which are health beneficial.

OH MY COCO upholds the Hunter Food commitment by providing healthy chips snacking alternatives
to customers as well being implies good health, prosperity and happiness. Hunter Foods customer
base are snack lovers who are ready to purchase chips at a higher price for a fundamental
experience of different flavours while consuming the chips. the implementation strategy includes OH
MY COCO introducing 3 new flavours with ingredients that are not used by Hunter Foods. These
flavours are namely, pure chocolate coconut chips, caramel coconut chips and toasted seeds
coconut chips. The use of these unique flavour blends gives the company snootiness and uniqueness
compared to its competitors.

Below are some images of the product:

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Benefits of all flavours and ingredients

The main thing which sets us apart from consumers is the burst of flavour consumers will experience
while consuming the product and the significant health benefits the product will provide to the
consumers. This will significantly appeal to our target market as the consumers will not only
purchase an ordinary snack, but they will purchase a snack which contains health beneficial
ingredients and nutrients. The main ingredient which is coconut has the following health benefits:

i. Highly nutritious: coconuts are high in healthy fats; these healthy fats contain Medium-chain
triglycerides (MCT’s) which helps those that would like to loss body fat. It contains abundant
essential minerals namely copper, iron, selenium and manganese (Healthline 2020).
ii. Heart beneficial: studies have shown that Polynesian Islands residents consume coconuts
frequently and therefore have a reduced heart disease percentage as compared to those
that rely on a western diet. Further a study of 1 837 women in Filipino stated that eating
more coconuts has a positive effect on cholesterol levels which is consequently beneficial to
the heart. Coconuts also reduces excess fat within the body which can result in heart
diseases as well as diabetes (Healthline 2020).
iii. Controls blood sugar: coconuts are naturally low in carbohydrates yet high in protein, this
combination stabilizes a consumer blood sugar level. A rat study conducted by Lonstein
(2017) exhibited that coconuts have a positive effect on those that are diabetic as it contains
arginine which is important for the pancreatic cells. The level of insulin blood sugar reduced
for diabetic rats that were fed coconuts along with the glucose level which reduced
accordingly. Therefore, coconut improved the pancreatic beta cells which help regulate the
blood sugar produced increased insulin production (Healthline 2020).
iv. Has powerful antioxidize: A phenolic compound called antioxidants; these protect the cells
from oxidative damage. Tests have proved that coconuts not only contain antioxidants but
also contains free scavenging radical activities. Combined with coconuts are known to be
friendly with all dietary lifestyles (Healthline 2020).

Alongside containing this main ingredient, the ingredients will vary with the different flavours that
OH MY COCO has to offer. The ingredients will however differ as follows:

o Pure chocolate coconut chips: This flavour will be made from cocoa powder as well as pure
chocolate. These two ingredients contain flavonoids, polyphenols and niacin which help in
protecting the cells from any bacteria and damage, prevents cancer, decreases
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inflammation, improve brain and hearth health and controls weight and promotes healthy
skin (Facts 2020).
o Caramel coconut chips: The caramel sugar is an added ingredient for this flavour. Caramel
sugar contains no saturated fats and is extremely low in cholesterol. Anti-oxides within this
ingredient is good for the heart, digestion as well as providing strong bones. Caramel sugar is
also known for increasing energy levels and helps with obtaining a balanced diet ("Caramel
Benefits" 2020).
o Toasted seeds coconut chips: this flavour is made from various seeds which are rich in
nutrients and are beneficial to the health. Pumpkin seeds contain rich antioxidants as
discussed earlier which help protect the body against diseases as well as reduces
inflammation, iron, zinc, magnesium which helps with regulating blood pressure, blood
sugar levels and bone health. 1 ounce of pumpkin seeds contain 151 calories. Pumpkin seeds
are high in fibre which are good for diets as there are associated with health benefits that
reduce heart diseases, obesity and diabetes. Pumpkin seeds contain tryptophan which
promoted good sleep (Green 2018).
The second type of seeds used are sunflower seeds which are rich in complex vitamin B and
are crucial for a nervous system that is healthy, it is a good source for magnesium, calcium,
potassium, phosphorus, protein, iron and vitamin E. The minerals contained are manganese,
chromium, carotene, zinc, monounsaturated and polyunsaturated fatty acids (help protect
arteries) (Green 2018).
The last seed type used is chia seeds which are high in zinc, magnesium, phytic acid and
calcium all while containing low carbohydrates. They contain substances which lower
cholesterol levels and encompass vitamin E, omega-6 and fats that are monosaturated. This
helps with prevent the arteries from furring and boosts skin elasticity (Green 2018).

Packaging

The packaging is strategically designed to match the luxurious, classy and premium style that Hunter
foods portrays through its online platforms and products. The choice of recyclable plastic primarily
pertains that the packaging is ecofriendly which helps improve the environment while decreasing
carbon footprint. The packaging used is elegant yet attractive to which is a positive outlook to all to
the target market. As a start-up only the 250gram packets will be used however the long-term vision
includes larger packets of 750grams and smaller packets for 125grams which all depends on the
long-term product investments.

Different colours have been chosen the various flavours for easy and swift distinction. Each colour
was chosen based on the ingredients that each flavour consists of. Brown was chosen for the Pure
chocolate coconut chips as it stimulates the appetite although it is considered as dull it embodies
resoluteness, ease, pleasantness, trustworthiness and health. Yellow was chosen for the caramel
coconut chips this colour implies that the packaging is innovative, original and fun. It is a youthful
vibrant that epitomizes positive energy. It attracts all age groups as it is pleasing to the eye. Turquois
was chosen for the toasted seeds coconut chips; this colour was chosen as it represented abundance
purity. This flavour consists of various seeds which are all pure and health beneficial. The colour is
closely connected to happiness which is a feeling we are expecting our consumers to experiencing
while consuming the products.

The minimalistic, catchy and appealing label intents to attract target market which is composed of
medium to high income individuals who opt for a luxurious and healthy lifestyle. All the words used
17
were carefully chosen; to portray that the product is not just a snack but rather an everlasting
experience. ‘Oh’ means to be surprised with a range of emotions “my” which is used in a various
expression of surprise and “Coco” which is simply a cool and classy was of pronouncing coconuts. As
illustrated the label suggests that it is more than just a snack but rather an experience.

18
Pricing strategy
Pricing strategy is a technique in which companies use when setting prices to their products and
services. Companies of all sizes sordid their pricing of the goods and services on expenses incurred
while advertising, producing the product and add on a percentage to come up with a profitable price
(Kuyucu 2016) .

The international coconut chips market industry was valued at 14.2 billion in 2018 and is expected to
reach 25.5 billion by 2022 due to the changing market for healthier snacks. During the period of
2018, Lumina Intelligence collected data on the coconut snack market which included that there are
just over 90 different brand variants and 36 brand owners across 23 different countries. Snacking
industries have made efforts to create and sell products as the market continues to change and is
recently demanding a healthier lifestyle (Statistica 2020). Due to this alteration, coconut have been
turned from just simple fruits into all ultra-health sentiment snack product produced for the mass
market. Currently the market is at its growth stage as consumers are becoming more aware and
conscious of the various health benefits of coconut chips.

As coconut chips are organic and considered as a premium snack, the product that we would like to
introduce to the market is more expensive as compared to commercial snacking chips. The objective
is to use a pricing strategy known as penetration pricing, price bundling and discounts for our
product. Penetration pricing infiltrates the market with a cheaper price than the ones offered by
competitors. It is often used by starting up products just like OH MY COCO that are new to the
market and do not have an elite origin of original customers. However, competition is therefore
discouraged due to the low profit margin that penetration pricing sets. A relatively large target
market is required to have, high sales volume which is a requirement when expecting to achieve set
revenue objectives for the company and the product. Price bundling is the combination of numerous
services and products for a comprehensive package at an all-inclusive price. A discount is the
reduction of prices upon purchasing a product or service, this is done to encourage consumers to
purchase more of the of the product, this increases profits as more of the product is being
purchased at a time.

The gross average total for producing coconut this is $0.75 per ounce and $1.75 per ounce,
production and operation costs are applied as these are the costs of producing the product. Costs
include employee wages, overheads, raw materials and consumable supplies. The largest coconut
chips seller in the Middle east as well as Asia is known as Koita and they sell their 250-gram chips at
$30-$40 for a pack of 12 and other competitors such as Dang and Bare who sell individual packets
ranging at $3-$5 for 250-grams. OH MY COCO will sell its coconut chips at $2.50 for individual packs
of 250 grams and a pack of 12 will be valued at $25. Discounts (decreased prices) will increase the
competition with all the top brands which produce the product therefore giving consumers a
compelling advantage as to why one should purchase the product from hunter foods instead. The
discounts that will be offered will be between 30%-70% depending on the number of products
purchased.

The lowered price that has been used enables consumers to purchase other additional products
which reduces the impact on the losses occurred. As Hunter Foods has a successful customer base,
assuming the product is successful in providing consumers value for money, consumers are expected
to switch from products offered by competitors to the products offered by Hunter Foods. Moreover,

19
like all the other competitors, we provide virtuous quality and a lower price, this provides us with a
competitive advantage and increased sales during the introduction phase of the product. The
strategy used is based on offering a lower price as equated to competitors irrespective of the
demand of the market or the cost of producing the product. Although this produces a perception of
lower quality in the eyes of the consumer within the long run, while brands with premium prices yet
providing the dame performance level as our product will experience larger volumes of sales.
Likewise, this can be circumvented through focusing on marketing mix such as distribution and
promotion.

The pricing marketing strategy will use the following slogans and price differentiation:

OFFERED PRODUCTS: Slogan:


❖ To experience the taste a no guilt
snack and taste of a lifetime, try brand
new Hunter foods OH MY COCO
CHIPS.

Pricing:

❖ Buy a 1x250grams packet from any of


these tasty flavours for as little as
$2.50.
❖ For those who are more adventures
but 12x250grams for only $25. This
combination includes 4 packets of
caramel coconut chips, 4 packets of
toasted seeds, and 4 packets of
coconut chips.
❖ Buy OH MY COCO in bulk and get 30%
to 70% discounts depending on the
number of products that will be
purchased.

The pricing has been used to suit the pricing strategies which are used by Hunter Foods as shown
within their brochure.

20
Place strategy (distribution) (Where would you distribute? Would the product be
accessible to your target market? Does the distribution fit the product and brand?)

Place strategy, it involves the distribution areas in which our product will be sent and
delivered before being consumed by our customers (Thode 1998). Furthermore, our product
Oh my coco we are planning on distributing it to various places within the middle east,
Moreover our strategy at Hunters food was set at HORECA model which means will be
distributing our products through HO means Hotels Re stands for Restaurants and CA
meaning catering.

Firstly, Hotels we as marketers, we will be distributing our oh my coco products to various 5


star hotels across around the UAE, Distribution to the hotels will get us a lot of foreign
customers even the local people who will be going to Hotels either for Lunch, Dinner or
breakfast, hence our product will be easily sold to our consumers, The hotels might include
Atlantis the palm which has a lot of people, Moreover we have Palazzo Versace, these are
among the hotels we good reputation

Secondly, Restaurants and Coffee shops , Hunters Food already has a good distribution
channel to various restaurants in the middle east, On the other hand we have good partnership
with all major coffee shops in the UAE with reference from the Hunters food websites. In
coffee shops such as Starbucks Dubai and restaurants usually, people enjoy having a snack by
side on which will get our product sold at large stores in the country.

Thirdly, Catering, Oh my coco products will be distributed to catering companies which they
have a lot of events happening on daily or weekly basis, During these events people who will
be attending will have an opportunity to consume the product on which through place we will
have also expanded our product in terms of sales (Gert 2004).

Fourthly, Airlines, Our product will also be distributed to different airlines who are based in
Dubai, for example Dubai based Emirates airlines which travels to different parts of the
world will make passengers consume the product at different times of the journey which will
market our product internationally.

Fifth, Hospitals Oh my coco products will also be distributed to hospitals all around Dubai,
since at times patients at hospitals require snack for the appetite and oh my coco made with
coconut, it has a good taste which will make the customers and patients to demand it in
around the hospitals.

Lastly, Online websites this is usually marketing our product through the use of online
platforms, for instance we can use Hunters food website to place products online in which
people within the country Dubai will be accessing the product through ordering and paying
online on which the product will be delivered to a respective consumer within couple of
minutes. In this era since most of the consumers buy their product online, it is important to
place our product oh my coco online to attract and influence our online users.

21
In addition in long-term basis our product will be distributed Internationally to all over
around the world, on which currently we just have 30 countries in all over the world, on
which through Oh my coco we are planning to expand more.

22
Promotion Strategy
Promotion is a strategy used by advertisers to educate, influence or prompt consumers as well as
B2B users to influence their opinions or elicit a response from the targeted market. As company
goals vary with the different types of businesses the promotional strategies will vary depending on
the goals that have been set. The goal is to arouse action in consumers and businesses to endorse in
purchasing the product especially within profit-oriented organisations. Promotional objectives also
include raising awareness, incentivising users to start using different goods by providing adequate
information and finding ways to create a long-lasting customer base. Using various advertising
platforms such as posters, newspapers, radio, television can provide awareness about a new
upcoming product (Kuyucu 2016).

The promotional mix is a blend of traditional advertising, public relations, sales promotion, direct
purchases, social media and e-commerce which are all elements used when advertising a product.
For different products companies create different and unique marketing blends which are all aimed
to convey the company’s message to the targeted market clearly, effectively and efficiently.
Traditional advertising is defined as a paid non-personal advertisement provided by established
supporters through non- traditional outlets. Sales promotion is a common promotional strategy that
encourages consumers to purchase a product through discounts, promotions, shows, exhibits,
events and many various purchases ingenuities. Social media platforms are used to create a “buzz”
about a company or brand. Using social media as an advertising platform requires highly
experienced skills and levels to create awareness while protecting the company from (“viral”)
incriminating videos that could harm the reputation of the company. Tactics that can be used
include having social media influencers advertise the product on their page as this reaches more
customers as people are highly influenced by anyone who is deemed to be famous (Osaremen 2019)
(Putri 2014).

Hunter Foods will use the following promotional mixes to provide the target market with awareness
of the new product which is OH MY COCO. Social media is highly used therefore, Hunter Foods will
use this advantage to their good by advertising OH MY COCO on platforms such as Twitter,
Instagram and Facebook. Brand influencers will be used as they have the power to lure consumers
into purchasing new products, this is due to the consumers loyalty and trust of the product
recommendations that are made by their favorite influencers. This strategy will be used to influence
consumers decisions while producing a “buzz” and conversations about the product. The return on
investment for using influencers as part of the marketing strategy is as high as 650%. This type of
advertising will be done through hunter foods asking not only influencers but current customers to
post eating a packet of OH MY COCO, posting this on their social media page and tagging the Hunter
foods page. This creates a sense of curiosity within consumers who will eventually purchase the
product.

A hunter foods representative will be asked to stand at the entrance point of all existing distribution
stores and provide free sample tastings for the consumers. As consumers will not have trust on the
product as it is new and whether they will enjoy consuming it within the comfort of their homes,
sample tastings will minimize the doubt in new customers as we allow consumers to have a taste of
the product without experiencing any financial loss. With studies that have been run in recent years
73% of consumers responded that they would be willing to buy a product after sample tasting .
Sample tasting with further provide the consumers with information on the health benefits of the
23
product will providing real time responses for any questions the consumers may have regarding the
product, moreover consumers will be easily directed to the aisle or shelf where the product and
found and given a business card for any further purchases, questions and business enquiries.

Newspapers, billboards, televised adverts, health magazines will also be used as our promotional
strategy. This provides awareness and information to a wider customer base while creating a
positive image for the brand and creating an impressive market share within the future.

Hunter Foods will rely on IMC’s to launch its first campaign upon launch of OH MY COCO. Integrated
marketing communications involves using all the available promotional mixes to produce a constant
yet amalgamated message to the target customers. This concept will involve managers to carefully
analyses and set the roles that each promotional mix is expected to play within the advertisement.
The timing of the promotion will be carefully synchronized, and results of the campaign will be
monitored carefully as to find ways to improve the promotional mix tools within the future. A
marketing communications director will be appointed to have full responsibility of this marketing
strategy.

The campaign to be launched using IMC will be known as “Go Green” campaign. This campaign will
be integrated and promoted on Hunter Foods website and will involve a recycling competition of OH
MY COCO chip packets. The consumers are to collect as many packets of the consumed packets
create an innovative design with the packaging (Gitman et al. 2020). The winner of the competition
will be the new face behind the OH MY COCO chip brand which comes with various benefits. This
competition will be paired with a BOGOF (buy one get one free) promotional strategy to encourage
consumers to purchase the product. This campaign will resonate with the consumers as it will show
that Hunter Foods has products that are eco friendly and which care about the environment as all
proceeds 30% of the proceeds will be donated to making the environment a better place. This
integrated marketing campaign will be in collaboration “EnviroServe” and occur annually after the
success rate of the product has been established upon the 3-month review after launch. This
promotional campaign will show the authenticity and commitment to not only protect human
bodies but the health of the environment.

24
Implementation Plan, Evaluation and Control
Implementing new products such as OH MY COCO, Hunter Foods requires the managerial team to
formulate effective and efficient plans which enable the achievement and completion of the set
goals and objectives. The implementation plan will be based upon the results will be based upon the
prospective on how the consumers will perceive the product after launch. Before implementation
extensive data referencing will be required and this includes targeted consumers and competitors
which gives an overview of the market competition and what consumers expect from snacks as OH
MY COCO. Implementation success therefore lies within the dedication and eagerness for the
company to sell this new product within the market.

The Gannt chart below shows the comprehensive steps that will be required for the product launch
of OH MY COCO within Hunter Foods:

Potential Problem Evaluation


Moreover, challenges that can be faced by the product while marketing the product due to
inefficient research. Although we are aware of the product characteristics and procedures, products
required and implementation, if the product is not fully understood or described effectively to the
consumers this becomes a problem. Employees are to educate consumers in depth about the brand
and training will be provided as to how the product is to be effectively sold within the markets.

Challenges are to be faced when advertising which include inadequate funds for advertising, and this
limits the company from exposing the product to a wide range of customers. A budget is to be set
and kept for the advertising requirements which will be used when advertising. Prior advertising

25
activities are to be investigated and analysed as to see the techniques and tactics used. Having a
guide on the budget used for advertising will help in setting an approximate budget for the
advertising which will not spill over other costs. Advertising the product will benefit the consumers
and the product as it hopes to increase its brand image through the introduction of new flavours to
not face recession within the product life cycle (PLC)

Providing enough information to identify the authenticity of the product will be a problem. This
means that the product is not setting unrealistic expectations that the consumers would end up
questioning the products authenticity if these expectations are not met. To overcome this the
product is to be crystal clear with all each consumer and not promise consumers of things, they will
not be able to live up to. This brings about a sense of trust and loyalty within the customers.
However, reliability testing using a prototype can offer a brighter vision to consumers on how
realistic and believable the product context is which inevitably encourages them to purchase the
products.

Post launch refinement is required as this address the biggest issues which could affect the product
prior to launching. The products profitability and effectiveness are only measured immediately after
the consumers purchase or use the product. But vigilance is required when eliciting this information
as to achieve accurate post launch sales and information provided by customers. These sales will
include whether the sales rates are meeting the expectations and if the consumer perceptions are
panning out as previously planned. Although this process is extensive and expensive, the long-term
benefits will outweigh the negatives. Moreover, the post launch action is a continuous enhancement
and progression should be developed at a relatively early stage.

26
“OH MY COCO” Chips Brochure

27
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