Cutco Direct Marketing Strategy

To: Richard Sullivan From: Team Odyssey Date: 15 January 1992 Subject: Detroit Plant- Heavy Equipment Division Wriston Manufacturing Corporation is loosing sales from last three years. This has put pressure on its HED to perform well. With nine plants on stream and tenth under construction, the management is scrutinizing the company’s investment proposals for these plants very carefully.

Cabela’s is the leading specialty retailer and the world's largest direct marketer of hunting, fishing, camping and related outdoor merchandise. Since its founding in 1961, Cabela’s has grown to become one of the most well-known outdoor recreation brands in the world and has long been recognized as the World’s Foremost Outfitter®. Through its established direct business and growing number of destination retail stores, Cabela’s offers a wide and distinctive selection of high-quality outdoor products at competitive prices while providing superior customer service (Cabelas.com). Cabela’s target market is any outdoorsmen and outdoors women. They target many demographics: the hunter, angler, the boater, the outdoorsman, the hiker and the camper.

Focusing on the needs of the buyer is also a focus of the firm, they can create products that specifically cater to the needs of their customers. This can be seen when the begin rotating season goods for their customers or bringing in more natural foods due to trends involving customer fitness and eating healthier foods. This strategy is appropriate, this was the firm’s original strategy when it was founded in the late 60s, and it hasn’t changed all that much. The corporate-level strategy resembles that of an organic growth strategy. Rather than opting for an external approach and follow say an Amazon by acquiring Whole Foods to enter the business, Trader Joe’s has followed an internal approach for their corporate-level strategy.

Diversification: Upstream integration with suppliers, Sephora exchanges data collected from their digital channels with their manufacturers for new products development. Role of Sephora digital channels in company’s marketing mix Product: Sephora has more than 250 brands with approximately 13,000 products which include skin care, makeup, bath, fragrance, beauty accessories, hair products as well as other beauty and body care products and each of these categories has various sub-categories (CNBC, 2017). The company's product offering is able to meet the diverse customers' needs. Even though most of the products sold by the company were manufactured by so many other brands, each of these brands have a different product concept which aligned

Market Segmentation: To be of value market segments must be measurable, substantial, accessible, differentiable, and actionable (Kotler & Keller, 2012). Segmentation of demographics for Costco is vast as the current product offerings include all genders, ethnicities, incomes. age groups, and social classes. When considering demographics, it is important to consider the average or typical characteristics of the target market. As mentioned earlier the target market or focus for this company is supplying the small- to medium-sized business and targets the middle- to high-end consumer with its private label brand Kirkland Signature.

3.0 Concepts 3.1 Resources and Capabilities In order to achieve and sustain competitive advantage, a business needs both resources and capabilities. Resources are assets that are owned or employed by an organization. The organization utilizes and uses these assets to carry out their business operations. Resources can be grouped either tangible assets or intangible assets.

The policies regarding its employees in aspects such as: annual incentive bonuses, stock option schemes (making employees the owners), medical and post retirement plans, the piecework pay system, the collaborative employee- supervisor relationship, the open door policy, the job security; these policy aspects regarding the personalized care of the employees may be considered to be one of the biggest competitive edge and core competency of LEC which has produced extremely committed workforce who would go to any achievable limits to fulfill the firm’s objectives. This was clearly evident from the employees’ interviews where they described how they go to extra mile within LEC and how other companies in the industry might not command the same dedication and commitment. The principles guiding the policy of reducing the cost of procured inventory and its operational emphasis for minimized wastage reflects how LEC is a conscious establishment which does its best to reduce the burden of prices from its customers while at the same time being able to maintain the highest standards of quality

Specifically, Ralph’s (similar stores are Vons and Albertson’s) and Whole Foods (similar stores are Gelson’s and Trader Joes) are two firms that utilize cost leadership and differentiation. On one hand, we have Ralph’s using cost differentiation by providing a broad range of merchandise at a decent price. On the other hand, we have Whole Foods that has implemented a differentiation strategy by marketing their merchandise as healthier (organic). The trade of for both companies is that they are attracting less consumers by just marketing to a specific crowed. For instance, if Whole Foods had lowered their price and still sold premium merchandise, soon Ralph’s would be in trouble.

3. What were the key decisions taken by P&G in relation to the distribution channel? Could a mid-sized manufacturer have used this effort? P&G made three major decisions in relation to the distribution channel. The first decision was the implementation of CRP, which was focused on improving supply logistics and reducing channel inventory.

4.4 Pricing Strategy For a number of reasons, price is one of the most important aspects of an effective marketing strategy (Gerstein & Friedman, 2015). First, price is the only marketing variable that generates revenue. Second, buyers see price as an attribute of value (Tanner & Raymond, n.d.). Consequently, an organization must carefully assess its internal and external environment to choose the most effective pricing objective, which—in turn—will drive a product’s initial pricing strategy.

2.0 Introduction Starting with branched out from Binariang GSM Sdn Bhd as a subsidiary, Maxis Communiations Berhad (Maxis) is a service provider company for telecommunications and internet technology in Malaysia. It was begun in 1995 where the company used the dialling prefix identifier of ‘012’, ‘014’ and ‘017’. The company offered 900 and 1800 MHz Global System for Mobile Communications (GSM) band. After that, the company uses the 2100 MHz Universal Mobile Telecommunications System (UMTS) band in July 2005. Besides, Maxis was the first to introduce 3G services in this country.

Largely, the entry of the company into the distribution channels has limited the threat of major or powerful suppliers. The company has created its own retail stores and online web marketing. This approach aims at capturing the consumers that would want to order the product directly from the manufacturer. In fact, the online marketing model does not only enable the firm to sell directly to the respective consumer, but also enables the firm to identify the unique needs of the consumers. The direct link between the consumers and the company is critical to continuous growth of the company.

Moccona coffee makes use of that advantage, their coffee is cheaper than those that are available in the coffee shop and yet a very statisfying taste can be experience. Not to mention having a buy one take one strategy in their price and some penny off in other products. Promotion The core of marketing is its product and the goal of marketing is targeted if the right and appropriate promotion had done. Recently Moccona coffee make used of their TV advertisement , Awaken is their latest TV campaign shot in Rome.

Pizza Hut was established by Dan and Frank Carney in Wichita, Kansas, USA in the year 1958. Pizza Hut Inc. is one of the prevalent pizza companies worldwide. It was a subsidiary of Pepsi Co Inc. from the year 1977 – 1997. It is a wholly owned subsidiary of YUM! Brands since 1997 to present.

MARKETING MIX OF LIFEBUOY PRODUCT: Lifebuoy is a brand of UNILEVER among many other brands, whose main aim looks to promote health and hygiene around the world through different ways such as imparting knowledge, coming up with products that enable the elimination of germs and by making these products reach even the most remote areas. A brand that had started over a century ago for the UK market and has now become the preferred soap brand for mothers and the most favorable soap brand in over 44 countries across the globe. They have been really innovative in coming up with various products which range from soaps to hand sanitizers and soaps, and even to body care products for men and women. For example, lifebuoy has been able to come up with