BUILDING EFFECTIVE BRAND MARKETING STRATEGIES · Developing your Strategic Focus Development of an...


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ENGAGEMENT COMMITMENT LOYALTY

DESIRED RESPONSE

ACTIVITY

BRAND AUSTRALIA

BRAND PROMISE –

CAPABILITIES

1. Assess global opportunities 2. Develop strategic focus 3. Best Practice Marketing Activities

View market opportunities through multiple data sources, as alternative lenses on the opportunity. Develop one’s own picture of the the size and nature of the opportunity.

Build on the strengths of Brand Australia, leveraging your own capabilities to develop a compelling offering that Champions the opportunity.

Based upon a deep understanding of your target customer, develop a series of market activities that progressively builds an enduring relationship.

PROPERTIES TO LEVERAGE

Development of an activity plan that will forge customer loyalty for the long term

Determine which opportunities you are best placed to take advantage of

Identify where best opportunities lie on a global scale


Viewing opportunities through multiple lenses

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QUANTITATIVE ASSESSMENT:

Market size & growth …

QUALITATIVE JUDGMENT:

Un-met needs & key trends …

OPPORTUNITY DEFINITION:

Which Market & what is the Sector focus?

In identifying opportunities, there is always a component which requires predicting the future. Inherently uncertainty & risks involved

Many data sources can provide a perspective as to how future opportunities will likely unfold

Astute strategic minds would be wise to utilise all perspectives in forming a picture of how opportunities will present themselves.


Building up a ‘best picture’ of future oriented opportunities:

-> A quantitative assessment of the scale of an opportunity

-> A qualitative judgment of key opportunity drivers

QUANTITATIVE ASSESSMENT:

Market size?Market growth rate?Value-add - $’s per Kg at end Consumers?Competitive intensity – how many ‘serious’ importers?Supplier power – how concentrated are intermediaries?

QUALITATIVE JUDGMENT:

What un-met or under-served needs exist?Key trends shaping the opportunity?Changing government regulations & Political factors?Ability to identify & profitably serve customers?How stable / sustainable is revenue likely to be?

OPPORTUNITY DEFINITION:

Market – Developed or Developing?Sector – What is the focus?

Opportunity assessment framework


Understanding consumption drivers

KEY QUESTIONS:

How much growth in Red Meat consumption will be driven by changes in Population &

Income?

What is the future focus for Australian exports – where will volume rise & decline?

How will price be impacted by the dynamics of supply and demand?

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Understanding competitor intentions

KEY QUESTIONS:

How hamstrung are competitors in their ambitions by supply issues?

How are they shifting their export focus –which markets will gain or lose volume?

What impact is domestic demand having on export desire (taking the easy option)?

How will these factors influence their own pricing dynamics?

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Market access

KEY QUESTIONS:

How turbulent is the regulatory environment – how quickly could it change?

How significant are these barriers in contrast to other competitive forces – is it worth

‘turning up’?

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Sector growth dynamics

KEY QUESTIONS:

How is overall consumption reflected through sector growth?

Is there a shift from traditional channels to more progressive alternatives?

Are new sub-segments opening up within a market sector?

Note: Reliable & detailed information is only likely available for developed markets

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UNDERSTANDING CONSUMER DRIVERS

KEY QUESTIONS:

What are the drivers when people buy meat – what is most important to them?

What are alternative proteins viewed? What role do they likely play?

How is Australian Beef / Lamb perceived compared to other leading exporters?

Can we access segments of consumers whose attitudes are more favourable?

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MLA | Meat & Livestock Australia | www.mla.com.auMLA | Meat & Livestock Australia | www.mla.com.au

UNDERSTANDING MARKET TRENDS

KEY QUESTIONS:

Which trends will have the greatest impact upon red meat & competitor proteins?

How will these trends re-shape the category: Evolutionary? Segment?

From a consumer / customer perspective, how will choices be made in future?

What are the opportunities for value-adding?

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What are the consumer drivers in each market?

CONSUMER DRIVERS

#1, KEY MARKETS SPLIT IN TWO FOR KEY CONSUMER DRIVERS

…AND PRICE IS NOT THE KEY FACTOR ANYWHERE

Q: HOW IMPORTANT ARE EACH OF THE FOLLOWING WHEN YOU ARE SELECTING MEAT?

Rank Indonesia Malaysia China Taiwan Korea UAE Saudi Australia US Average

1st Freshness Freshness Freshness Freshness Freshness Freshness Freshness Freshness Freshness Freshness

2nd Guaranteed safe to eat

Guaranteed safe to eat


Guaranteed safe to eat Taste Taste

Consistent quality

standardsTaste Taste Guaranteed

safe to eat

3rdHigh

nutritional value

High nutritional

value

High nutritional

value

High nutritional

value


Consistent quality

standardsTaste Guaranteed

safe to eatGuaranteed safe to eat Taste

4thConsistent

quality standards

Consistent quality

standardsTaste

Consistent quality

standardsCheaper

High nutritional

valueLow in fat

Consistent quality

standards

High nutritional

value

High nutritional

value

5th Low in fat TasteConsistent

quality standards

Is easy and convenient to

prepare

High nutritional

valueLow in fat Guaranteed

safe to eat

High nutritional

value

Consistent quality

standards

Consistent quality

standards


What are the relevant trends that are shaping market opportunities?

MARKET TRENDS


Why trends are an important guide

You don’t want to be playing where the market was

But in a space where there is: Strong growth Higher price & implied greater

margin Less competitors.


Lessons from other categories –Tomatoes

What trends drove the change within Tomatoes

By extension, what could happen to the dynamics of the Red Meat category?

THEN

Research confirmed that everyone likes a tomato that is- A good colour- Sturdy- Consistent size & shape- No blemishes

And most importantly good value @$3-49/Kg.

Research confirmed that everyone likes a tomato that is- A good colour- Sturdy- Consistent size & shape- No blemishes

And most importantly good value @$3-49/Kg.

A huge array of choice!- Varieties – Black Russian!- Process – On the vine, hydroponic- Sizes – Mini Roma- Origins – Byron Bay- Solutions – rainbow mixed

As a result, the price of tomatoes ranges from $3-49/Kg to $20/Kg

A huge array of choice!- Varieties – Black Russian!- Process – On the vine, hydroponic- Sizes – Mini Roma- Origins – Byron Bay- Solutions – rainbow mixed

As a result, the price of tomatoes ranges from $3-49/Kg to $20/Kg

NOW

WHAT TRENDS DROVE THE CHANGE?

Taste Expectations Sophistication

Repertoire behavior Trusted source


Traditional family in decline

Aging population

MGBs have NO TIME

Ethnic mix changing

Socio-economic mega trends


Rise of the ‘foodie’

Kitchen Media

Real Food/ Ethical eating

Food sector mega trends


Child friendly

Global Expansion

Small plates

Local sourcing

Foodservice trends


Label Conscious

Global Expansion

Product Integrity

Local Convenience

Developing market trends


Stage 2: Developing your strategic focus



How Australia will win in a Global Market

The world of our trade customers is becoming ever

more fragmented, increasingly wanting a distinct

offering in order to compete within their own sector.

The Australian Industry, with its inherently diverse

production base, is uniquely suited to meet these

spectrum of needs, so long as we can be smart about

where we each focus.


Developing your Strategic Focus

Development of an offering that Champions the targeted opportunity:

• Builds on the platform of Country of Origin –Brand Australia

• Understanding your Customers needs – both rational & emotional drivers

• Leveraging brand benefits to deliver a motivating brand promise

• Developing your Brand Story – building an Emotional overlay

(Taking a step back: The need to enhance your offering thru developing strategic capability)

BRAND PROMISE –

CAPABILITIES

BRAND AUSTRALIA


Developing your value-adding Brand Promise

Further to Quality vs. Price –what is the strength of your offer?

VALUE-ADDING BENEFITS:

SERVICE

RESPONSIVENESS

CONSISTENCY (TOLERENCE)

INTEGRITY STANDARDS

YEAR ROUND DELIVERY

COLLABORATIVE DEVELOPMENT

INNOVATION

STYLISH

BRAND PROMISE –

CAPABILITIES

BRAND AUSTRALIA BENEFITS:

THE IDEAL HOME

TRUSTED PARTNERS

PURE ENJOYMENT

BRAND STORY – EMOTIONAL OVERLAY:

PROVENENANCE

KEY CHARACTERS

BRAND AUSTRALIA


Knowing what is important to your customer is critical to

Championing the opportunity:

Hygiene factors, without which one won’t be considered

Rational factors shape the basis of one’s offering

Emotional drivers that are required to win them over

Further to this, what are the needs of your customers –

customer? Their real focus is what you can do for them!

Understanding your customers needs


Understanding the requirements of the opportunity, it

is possible to intelligently develop your offering

Whilst opportunities might appear attractive, they are

only worthwhile pursuing if one can profitable deliver

value-adding services that are appreciated and valued.

Developing your offering


From Nescafe to Nespresso

Brand benefits have evolved to meet the changing needs & expectations of customers:

EasyTrustworthy / Consistent

QualityPopular

Sharing – ConnectionTimeless

ConvenientTrustworthy / Consistent

PremiumStylish / Impressive

Sophisticated – TailoredContemporary


Developing a value-adding Brand Promise

Further to delivering a quality product (MSA) at an attractive price, a company can value-add along a number of other dimensions:

BRAND AUSTRALIA

BRAND PROMISE –

CAPABILITIES

CONSISTENCY (TOLERENCE)Deliver within a tight quality band so the

customer can build market trust

INTEGRITY STANDARDSProvide reassurance as to the products integrity

& environmental credentials

YEAR ROUND DELIVERYProvide ‘base load’ so that the customer can

rely upon as the primary supplier

INNOVATIONContinuously evolve the offering to reflect

the needs of a dynamic market

STYLISH / ADMIREDA brand that is aspired to be owned by the end user

– conveys sophistication, class and wealth to others

SERVICEAbility & willingness to trim & tailor product to

customers own specifications

COLLABORATIVE DEVELOPMENTDevelop the category and drive consumer desirability – i.e. own consumer brand

RESPONSIVENESSMeet changing requirements & address issues

as they arise – i.e. the need for local adaptation


Stylish / Admired: French wine example

Key CharactersThe inspiration and driving of the brand

ProvenanceSource of origin, as a basis for authenticity & quality


Assessing capability opportunity fit

Identifying where a Customer has value-adding requirements that can be efficiently fulfilled:

OVER DELIVERING:

Offering up value-adding benefits that are not relevant, adding extra cost.

COMPROMISE:

Short term gain, but long term pain, tarnishing the broader reputation.

VALUE-ADDING:

Where a value-adding offering is appreciated, beyond what others can deliver.

BASIC OFFER:

Race to the bottom –all is compromised in the pursuit of lowest price

CUSTOMER NEEDS

HIGH

LOW

MINIMAL COMPREHENSIVE

BRAND BENEFITS


Stories matter in life and in marketing.

The reason is simple.

Great stories make people feel something, and those emotions create

powerful connections between the audience, the characters within the

stories and the storyteller.

Stories are the perfect catalyst to building brand loyalty and brand value.

When you can develop an emotional connection between consumers and

your brand, your brand’s power will grow exponentially.

Brand Storytelling


Developing your own Brand Story

What is the basis for your Brand Story?Provenance – source of origin, as a basis for authenticity and qualityKey Characters – inspiration and driving force

What cause or set of beliefs is your brand championing?What is the brands purpose in beingWhat barriers need to be overcome along this journey?

What attitudes & personality transcend you Brand Story?Is this reflected in a distinctive character?


The basis of your Brand Story

Key CharactersThe inspiration and driving of the brand

ProvenanceSource of origin, as a basis for authenticity & quality


Australian Red Meat has similar characteristics


Stage 3: Developing best practice marketing activities



OverviewC

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DESIRED RESPONSE

ACTIVITY

BRAND AUSTRALIA

BRAND PROMISE –

CAPABILITIES










DEVELOPING BEST PRACTICEMARKETING ACTIVITIES

Development of an activity plan that will forge customer loyalty for the long term:

1. Clearly define your target opportunity & measurable objectives

2. Recognise your target customers needs – both rational & emotional.

3. Using the 3-stage model, develop an activity plan that progresses from initial engagement thru to loyalty

4. Leverage MLA & 3rd party activity to enhance activity effectiveness


What makes Effective Activity

Passionate explanation 3rd Party Endorsement

Successful outcome Personal Recommendation


Best practice relationship development

Contrasting customer focuses are underpinned by the same basic philosophies

B2B Business Development

Reaching a Mass Audience

A Funnel that feeds people along the stages:AwarenessTrialUsage

Engagement Commitment

Loyalty

The Business Development Process:Lead IdentificationLead GenerationAccount Management


The desired customer purchasing journey

A three stage journey that takes prospective customers from initial introduction to the development of an enduring relationship


In a world where customers are confronted with too much choice, how can our offer stand out & get noticed (awareness)?

Is it possible for our customer to discover something new or get some sort of inspiration of how to do things differently?

How can we demonstrate that our offer is relevant to their needs, delivering a uniquely memorable experience?

How deliver to the ‘moment of truth’ – the singular action that will sway preference and enable our offering to be considered beyond all others?

How can we cement loyalty, ensuring customers hold us in high regard? What barriers need to be overcome in securing ongoing usage?

How can we encourage newly loyal customers to vocally endorse their choice through recommendation to others?


Developing best in class activity

Determine the desired response – the behavioural

change we are seeking to make as we progress the

relationship towards establishing customer loyalty.

Determine the required activity that will achieve our

behaviour change, leveraging our differentiated brand

strengths.


The desired customer purchasing journey


DESIRED RESPONSE

What behavioural change are we seeking to make, that leads us along the path of establishing customer loyalty?

ACTIVITY

What key in-market activities would achieve our desiredbehavioural change, whilst also leveraging our differentiated brand strengths – tell our unique story.

A three stage journey that takes prospective customers from initial introduction to the development of an enduring relationship


ENGAGEMENT

Desired Response Action based words that initiate engagement:

Provide inspiration to first considerBuild product / service recognition by …Strengthen emotional associations (e.g. Trust) by …Teach people about the category by …Challenge category boundaries / perceptions by …Jolt customers out of an existing routineInspire interest by …Educate people about the brand by…

ActivityThe types of activity that can achieve our goal:

Retail trends – identifying key issues shaping decision makingFoodservice trends – dimensions for business developmentMarket drivers – understanding dynamics shaping market changeAdvertising – getting attention as to one’s unique offerWebsites – directing customers to relevant contentTrade shows – forging new relationships

ENGAGEMENT

In a world where customers are confronted with too much choice, how can our offer stand out & get noticed (awareness)?

Is it possible for our customer to discover something new or get some sort of inspiration of how to to do things differently?

DESIRED RESPONSE

What behavioral change are we seeking to make, reflecting the customers needs?

ACTIVITY

What key in-market activities would achieve our goal, leveraging brand strengths – telling our unique story.


COMMITMENT

Desired Response Action based words that initiate Commitment:

Encourage immediate conversions by …Remind customers about product benefits by …Promote appealing offer through …Recommend products across a rangeLimit the choice by highlighting competitors deficiencies Highlight product / service differences in an interesting wayDemo product / serviceExcite customers about their own business growth

ActivityThe types of activity that can achieve our goal

Trade Events – seminars on product usageSocial Media – leverage word of mouth from othersReferrals – direct 3rd party endorsement Trade shows – face to face exploration of customer issuesOne-to-one – direct messaging to deliver a targeted message

DESIRED RESPONSE


ACTIVITY


COMMITMENT

How can we demonstrate that our offer is relevant to their needs, delivering a uniquely memorable experience?

How deliver to the ‘moment of truth’ – the singular action that will sway preference and enable our offering to be considered beyond all others?


LOYALTY

Desired Response Action based words that initiate Loyalty:

Nurture new product /service habits by …Keep existing customers by …Capture detailed information to aid tailoringBuild a community around the brand by …Mobilise people who influence the decision process by …Enable peer-to-peer recommendationLobby the customers customer – asking for it by nameTrain new users to gain the maximum benefits by …

ActivityThe types of activity that can achieve our goal

Store Promotion delivered through retailers website or magazineAdvertising promote product benefitsStaff Training – enhancing front line staffs ability to on-sell the productTrade Missions – deep experiences to enable customers to fully

understand the offerProduct development – delivering enhancements that have been

requested by customersIn-store POS – highlighting the strength of the value proposition

DESIRED RESPONSE


ACTIVITY


LOYALTY

How can we cement loyalty, ensuring customers hold us in high regard? What barriers need to be overcome in securing ongoing usage?

How can we encourage newly loyal customers to vocally endorse their choice through recommendation to others?



DESIRED RESPONSE


High Profile must attend event, getting together the leading chefs, where product can be demonstrated in its best light

Continue momentum by taking the product into their world. Ensure the head chef gets the recognition for bringing the initiative into his own restaurant.

Cement relationship by ensuring the supply chain is able to service the new requirements. Generate ongoing demand through the hotel.

ACTIVITY

What key in-market activities would achieve our goal, leveraging brand strengths –telling our unique story.

Host a chef’s table eventNeed a draw card – known chef to add a little star power.Invite the media to ensure it gets coverage within Chef circles.

Seminar & cut demonstration for their entire cooking team, undertaken at their kitchens.

Promote your brand through the menu at the hotel to encourage consumers to order the item and raise the profile of your brand.

LEVERAGEWhat MLA activities or assets are useful platforms to use, or properties to leverage?

Utilise MLA’s chef networksLook to partner with other Australian products – wine, dairy

Utilise MLA’s resources to help generate interest and organisethe demonstration with materials

Utlise MLA’s media contacts to generate PR about the hotel promotion.

Example – Foodservice in Middle East

BUILDING EFFECTIVE BRAND MARKETING STRATEGIES · Developing your Strategic Focus Development of an...

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