Marketing strategy of Crown Distilleries Multi-Brand Extension

Posted by Zander Henry on Aug-22-2018

1. The vision of Crown Distilleries Multi-Brand Extension

The vision of Crown Distilleries Multi-Brand Extension is to be the leading quality service and product provider for customers. Being the best and the leading player means that Crown Distilleries Multi-Brand Extension marketing strategy and operations focus on:

• Providing high quality of products and services
• Providing value to customers
• Concentrate on building customer experience

2. The mission of Crown Distilleries Multi-Brand Extension

Crown Distilleries Multi-Brand Extension marketing strategy is grounded in its mission. The mission for Crown Distilleries Multi-Brand Extension is to be the favorite brand of the customers. This mission is essential for the marketing strategy of Crown Distilleries Multi-Brand Extension as it focuses on all operations and marketing activities in the direction of:

• Consumer centrism
• Using research to understand and influence consumers

3. Brand Equity of Crown Distilleries Multi-Brand Extension

Understanding and knowing the brand equity is vital for directing and giving meaning to the marketing strategy of Crown Distilleries Multi-Brand Extension. The knowledge of brand equity will help in shaping Crown Distilleries Multi-Brand Extension marketing strategy effectively – thereby facilitating the growth of business for Crown Distilleries Multi-Brand Extension.

3.1. Brand awareness

• Crown Distilleries Multi-Brand Extension has high brand awareness because of international operations
• The company focuses on higher budget allocation in the country of origin
• Each market for Crown Distilleries Multi-Brand Extension has modified marketing and strategic directives and plans

3.2. Brand association

• Crown Distilleries Multi-Brand Extension is directly associated with the brand name and product category
• Crown Distilleries Multi-Brand Extension has a broad product portfolio
• Crown Distilleries Multi-Brand Extension is associated with promising and delivering quality and innovative products
• Crown Distilleries Multi-Brand Extension is also associated with excellent customer service

3.3. Brand loyalty

• Crown Distilleries Multi-Brand Extension has been successful at gaining high consumer loyalty because of unique and influential marketing strategy
• Crown Distilleries Multi-Brand Extension has a global customer base
• Crown Distilleries Multi-Brand Extension keeps adding value addition to the products and product portfolio to keep consumers engaged

3.4. Brand asset

• Crown Distilleries Multi-Brand Extension has a substantial brand value
• Crown Distilleries Multi-Brand Extension also enjoys the high financial worth
• Crown Distilleries Multi-Brand Extension focuses on building a reliable and robust employee base

3.5. Brand element

• Crown Distilleries Multi-Brand Extension uses the brand element as a means of competitive advantage
• Uses adaptability in product, services, and marketing to meet different cultural demands

4. Situational Analysis of Crown Distilleries Multi-Brand Extension

The situational analysis will help in developing the marketing strategy of Crown Distilleries Multi-Brand Extension by conducting a thorough market analysis. This market analysis will aid in understanding the compatibility between external opportunities and other factors, and internal strengths – to be used to maximize the marketing influence of Crown Distilleries Multi-Brand Extension.

4.1. SWOT

4.1.1. Strengths

Crown Distilleries Multi-Brand Extension marketing strategy can benefit from the following internal advantages:

• Strong brand image
• Global distribution network
• Investment in market research
• Innovation

4.1.2. Weakness

Crown Distilleries Multi-Brand Extension faces challenges in marketing strategy because of the following weakness:

• Slow organizational processes
• High product prices

4.1.3. Opportunity

Crown Distilleries Multi-Brand Extension has the following possibilities of business growth:

• Green lifestyles
• Regional expansion
• Diversification

4.1.4. Threats

Crown Distilleries Multi-Brand Extension faces business threats because of the following factors:

• Increased competition
• Increased imitation

4.2. PESTEL

4.2.1. Political

• Crown Distilleries Multi-Brand Extension operates I markets with political stability
• Crown Distilleries Multi-Brand Extension has funding support from the government for small businesses

4.2.2. Economic

• Crown Distilleries Multi-Brand Extension enjoys high sales because of higher GDP
• Lower interest rates make business expansion and loaning easier for Crown Distilleries Multi-Brand Extension
• Low inflation strengthens the financial position of Crown Distilleries Multi-Brand Extension

4.2.3. Social

• Higher education and awareness increases sales of Crown Distilleries Multi-Brand Extension predict
• Crown Distilleries Multi-Brand Extension focuses on understanding consumers and fulfilling their demands through its offerings

4.2.4. Environmental

• Crown Distilleries Multi-Brand Extension has an active CSR program
• Crown Distilleries Multi-Brand Extension ensures environmental safety in all its operations

4.2.5. Legal

• Crown Distilleries Multi-Brand Extension is aware of local and global laws of business and human resource management
• Crown Distilleries Multi-Brand Extension abides by all statutes – especially labour law, discrimination law, and employee safety laws

4.3. Porter’s Five Forces

4.3.1. Threat of substitutes

• High risk of replacements
• Substitutes offer similar products at low prices

4.3.2. The threat of new entrants

• New entrants need high financial investment
• New entrants need updated technology for keeping par with industry progress

4.3.3. Bargaining power of buyers

• Sales made to end consumer directly
• Stocking of products at retailers, as well as own-controlled retail outlets

4.3.4. Bargaining power of suppliers

• Multiple suppliers of raw materials
• Suppliers are chosen after careful inspection, and through contracts

4.3.5. Industry rivalry

• High industry rivalry
• Players offer similar products
• Players compete through marketing to influence consumers

5. Marketing Objectives for Crown Distilleries Multi-Brand Extension: The Marketing Strategy of Crown Distilleries Multi-Brand Extension

Crown Distilleries Multi-Brand Extension marketing strategy has the following objectives for the current financial year:

5.1. Increased market penetration

• Increase top of mind recall for Crown Distilleries Multi-Brand Extension brand and products by 30%
• Increase sales for Crown Distilleries Multi-Brand Extension by 40% by the third quarter of the financial year
• Achieve a trial rate for new products of 10% during the first quarter of the launch
• Increase consumption rate of existing products by 45% during the current financial year

5.2. Enhanced brand recognition

• Increase top of mind recall by 65% during the current fiscal year
• Increase brand recognition by 80% during the first two quarters of the current financial year

5.3. Increased use of digital marketing

• Acquire 25,000 new online customers during the financial year
• Increase website traffic through using blogging and email tactics effectively by 505 during the first two quarters of the year
• Acquire 65,000 likes on the official Facebook page of Crown Distilleries Multi-Brand Extension during the first quarter of the financial year

5.4. Retail Growth

• Contract with five more leading supermarkets in the first quarter of the year to stock product at eye level shelving
• Contract with two leading online retail sites – eBay and Amazon – to stock our products, and increase accessibility for consumers globally by the second quarter of the financial year

6. Segmentation of Crown Distilleries Multi-Brand Extension

Crown Distilleries Multi-Brand Extension marketing strategy uses different means of segmentation to reach an increase in market penetration.

6.1. Demographic segmentation

6.1.1. Age

Crown Distilleries Multi-Brand Extension has consumers of age groups

• 20-45 years
• 45-60 years

6.1.2. Gender

• Crown Distilleries Multi-Brand Extension has a broad product portfolio for both males and females

6.1.3. Life-cycle stage

Consumers for Crown Distilleries Multi-Brand Extension, according to the marketing strategy, are in the following various life cycle stages:

• Single students
• Single graduates
• Single people living at home/not living at home
• Young couples without children
• Married couples with one to four children – all at home
• Married couples with one or two children in college
• Old married couples with an empty nest

6.1.4. Occupation

The marketing strategy devises the following occupations for Crown Distilleries Multi-Brand Extension consumers:

• Professionals
• Students
• House makers

6.2. Psychographic segmentation

6.2.1. Social class

• Crown Distilleries Multi-Brand Extension focuses on segments of middle-upper and upper social classes

6.2.2. Lifestyle

Crown Distilleries Multi-Brand Extension consumer segments have the following lifestyle characteristics:

• They aspire towards a better and higher living standard
• They want to be successful – professionally and socially
• They are not hesitant to try new things, products and services in life
• They are confident in their behaviour and attitude
• They are mainstreamers in their fields

6.3. Geographic segmentation

6.3.1. Region

• Crown Distilleries Multi-Brand Extension has operations spread across the western developed countries such as America, the united kingdom, and the Netherlands
• It also has operations in emerging markets such as Brazil, India, and China

6.3.2. Density

• The focus of Crown Distilleries Multi-Brand Extension remains on the urban part of the population

6.4. Behavioural segmentation

6.4.1. Personality

The marketing strategy defines personality characteristics for the consumers of the brand of Crown Distilleries Multi-Brand Extension, such as:

• Determined
• Confident
• Ambitious
• Hardworking

6.4.2. Usage frequency

• The consumer segments for Crown Distilleries Multi-Brand Extension are regular and frequent users of the product

6.4.3. Benefits sought

• Consumers seek functional benefits
• The focus, however, is more on the emotional benefits reaped from the consumption of the brand

6.4.4. Degree of loyalty

• Consumers are very loyal
• Have an emotional attachment with the brand

7. Targeting of Crown Distilleries Multi-Brand Extension Positioning of Crown Distilleries Multi-Brand Extension

The marketing strategy of Crown Distilleries Multi-Brand Extension targets consumer groups based on segmentation as follows:

7.1. Target market

• The target market for Crown Distilleries Multi-Brand Extension is from middle to upper class
• The target market is ambitious and desires to purchase high-end consumer products
• This target market also seeks affordability
• To meet target market expectations, the Crown Distilleries Multi-Brand Extension focuses on quality control

7.2. Mass marketing

• The marketing strategy of Crown Distilleries Multi-Brand Extension focuses on mass marketing
• This also requires unique marketing designs and product promotion programs
• Crown Distilleries Multi-Brand Extension makes use of one strategy to influence all segments

7.3. Undifferentiated marketing strategy

• Crown Distilleries Multi-Brand Extension does not differentiate between market segments
• It uses a single marketing strategy to target all segments and consumer groups
• Based on this, Crown Distilleries Multi-Brand Extension also created the marketing mix under the marketing strategy as a singular one for the whole market – regardless of the segmentation divides.

7.4. Focus on quality

• Crown Distilleries Multi-Brand Extension has created, developed, and maintained a brand that satisfies all consumers under the undifferentiated marketing strategy and mass marketing
• No compromise on quality has been made in the broad product portfolio
• To ensure the influence of a single marketing strategy, the Crown Distilleries Multi-Brand Extension has also adopted a consumer-centric approach in its overall marketing strategy and operations as well
• This was used for targeting strategy as well as for maintaining growth

8. Company Competitive Advantage in the marketing strategy of Crown Distilleries Multi-Brand Extension

The marketing strategy of Crown Distilleries Multi-Brand Extension stands out from the clutter and competition. Crown Distilleries Multi-Brand Extension has also achieved a sustainable competitive advantage in its marketing strategy. This is because of the following factors that Crown Distilleries Multi-Brand Extension has utilized:

8.1. Cost-effectiveness

• Crown Distilleries Multi-Brand Extension focuses on reaching consumers effectively rather than grandeur
• Crown Distilleries Multi-Brand Extension focuses on developing an integrated marketing approach
• The use of digital marketing efficiently and expertly has helped the company reach a wider audience at a lower cost
• Crown Distilleries Multi-Brand Extension has in-house copywriters for marketing campaigns which also helps in controlling costs
• Crown Distilleries Multi-Brand Extension also focuses efforts on ground activities – which are less expensive than commercial marketing tactics

8.2. Innovation

• Crown Distilleries Multi-Brand Extension has stayed updated with latest developments in marketing research and marketing knowledge
• Crown Distilleries Multi-Brand Extension makes use of new and innovative tactics to reach its target consumers
• Crown Distilleries Multi-Brand Extension also employs top of the field marketers to facilitate its marketing strategy and promotional campaigns
• Each marketing campaign launched by Crown Distilleries Multi-Brand Extension is effective catchier and more influential than the previous one

8.3. Strong market research and consumer understanding grounded

• Crown Distilleries Multi-Brand Extension marketing strategy is strongly grounded in consumer and market research
• Crown Distilleries Multi-Brand Extension makes informed marketing campaigns and goals based on consumers’ behavioural feedback
• Crown Distilleries Multi-Brand Extension also incorporates consumer feedback in its marketing strategy
• Crown Distilleries Multi-Brand Extension marketing strategy is based on market trends, and consumer needs and wants

8.4. Making effective use of emotional appeals

• Consumers’ emotional needs strongly influence all marketing objectives and marketing goals set by Crown Distilleries Multi-Brand Extension
• In addition to fulfilling functional needs, Crown Distilleries Multi-Brand Extension also tries to fulfil the emotional and psychological needs of the consumer
• Crown Distilleries Multi-Brand Extension tries to build a strong emotional bond with the consumer, which also results in high consumer loyalty

9. Distribution Strategy of Crown Distilleries Multi-Brand Extension

Crown Distilleries Multi-Brand Extension marketing strategy highlights the use of the following distribution strategy to maximize reach and accessibility for consumers.

9.1. Intensive distribution strategy

• Crown Distilleries Multi-Brand Extension makes use of intensive distribution strategy because it is mass marketing
• Crown Distilleries Multi-Brand Extension’s marketing strategy is based on undifferentiated segments, and thus an intensive distribution strategy allows high penetration and reaches in the overall market
• With the use of the intensive distribution, Crown Distilleries Multi-Brand Extension tries to maximise its coverage of the markets where it's present
• For achieving the intensive strategy, the company uses hardcore 360-degree integrated marketing strategy and campaign to reach all consumers, across all segments in the market.

9.2. Direct distribution strategy

• Crown Distilleries Multi-Brand Extension uses direct distribution country of origin as well as in locations where it has subsidiary operations
• The Crown Distilleries Multi-Brand Extension also makes use of modern retailing channels
• Also, Crown Distilleries Multi-Brand Extension makes use of e-commerce and makes a sale through online retailers, as well as through the company website
• Direct distributions have allowed Crown Distilleries Multi-Brand Extension to increase market penetration and accessibility for consumers

9.3. Indirect distribution strategy

• This strategy is largely used for offshore operations where the Crown Distilleries Multi-Brand Extension does not have a subsidiary
• In these offshore locations, Crown Distilleries Multi-Brand Extension largely works through the export model
• This makes use of several intermediaries in between, before the product by Crown Distilleries Multi-Brand Extension reaches the target consumers
• Intermediaries for Crown Distilleries Multi-Brand Extension include not only the end retail outlets, but also sales agents, retail agents, and distribution agents in offshore locations

9.4. Selective distribution strategy

• For some products of its portfolio which are premium in nature, Crown Distilleries Multi-Brand Extension makes use of selective distribution channel
• Crown Distilleries Multi-Brand Extension has maintained a few outlets in the country of origin, and in selected offshore markets for these products
• These placements and locations are chosen based on the niche market that Crown Distilleries Multi-Brand Extension has for its premium products
• These locations, placements, and marketing strategy helps make the company’s product selectively, but readily accessible for its niche target audience

10. Competition Analysis in the marketing strategy of Crown Distilleries Multi-Brand Extension

The industry in which Crown Distilleries Multi-Brand Extension operates is very responsive to market and consumer trends. Crown Distilleries Multi-Brand Extension, therefore, needs to be vigilant in its market strategy towards competition – to make sure that it maintains its competitive advantage.

10.1. Strategic Group Analysis

• Crown Distilleries Multi-Brand Extension competes with direct and close competition based on quality and price
• Consumers choose between different companies from the industry based on their functional offering
• Consumers have progressively evolved to strengthen loyalty and form an emotional bond with products that they consume
• Crown Distilleries Multi-Brand Extension also competes, thereby, with close competition for building stronger brand image, increasing consume loyalty, and for forming strong emotional ties with the consumer

10.2. Industry rivalry

• Crown Distilleries Multi-Brand Extension experiences high industry rivalry
• The barriers to entry for the industry are low, and new entrants gain easy access in the industry
• The number of local as well as global players is increasing

11. Marketing mix of Crown Distilleries Multi-Brand Extension

The marketing mix for Crown Distilleries Multi-Brand Extension as per the marketing strategy is the following:

11.1. Product

• Crown Distilleries Multi-Brand Extension has a broad product portfolio
• Crown Distilleries Multi-Brand Extension provides mass marketed products for all segments across the market undifferentiated
• Crown Distilleries Multi-Brand Extension also provides some selected, premium products to niche customer groups
• All products in the portfolio consistently maintain high quality
• All products are tailored to meet consumer specifications, demands and needs across different regional markets
• The Crown Distilleries Multi-Brand Extension maintains a high focus on innovation in products and introduces new products frequently to keep the consumers engaged

11.2. Place

• Crown Distilleries Multi-Brand Extension wants to have a close, emotional and personal relationship with its consumers
• The company maintains high control in its distribution strategies – especially through direct distribution strategy
• The company has a presence in leading supermarkets
• The Crown Distilleries Multi-Brand Extension also has company-operated stores in malls, and otherwise to make products accessible to consumers easily
• Crown Distilleries Multi-Brand Extension also makes use of e-commerce to increase penetration and sales

11.3. Price

• The Crown Distilleries Multi-Brand Extension prices its products so that its target consumers can afford it easily
• Crown Distilleries Multi-Brand Extension uses relative pricing strategy for its products
• The price of Crown Distilleries Multi-Brand Extension’s products include not only the high quality raw materials and value additions but also the enhanced customer experience they deliver
• The company’s pricing strategy allows it to enjoy stable revenue and profit growth

11.4. Promotion

• The Crown Distilleries Multi-Brand Extension has a high budget allocated towards marketing activities
• The Crown Distilleries Multi-Brand Extension invests substantially in digital marketing activities to reap high and effective results
• Use of digital marketing has also allowed Crown Distilleries Multi-Brand Extension marketing strategy to cap costs and expenses
• Crown Distilleries Multi-Brand Extension also takes part in direct consumer engagement through on-ground activities where the company initiates trials
• Crown Distilleries Multi-Brand Extension also invests in traditional media channels to reach maximum consumers in the market

11.5. People

• Crown Distilleries Multi-Brand Extension has a large workforce across different companies
• This workforce is continually trained to become experts in their respective fields of operations
• Crown Distilleries Multi-Brand Extension hires without discrimination
• Crown Distilleries Multi-Brand Extension ensures that its employees remain motivated through building an inspirational and creative organizational culture
• Crown Distilleries Multi-Brand Extension focuses on also building and maintaining organizational commitment and loyalty in its employees

11.6. Process

• All activities at Crown Distilleries Multi-Brand Extension - from raw material procurement to the final sale to the end consumer - undergo systematic processes
• The processes at Crown Distilleries Multi-Brand Extension are well defined, and well communicated to all employees
• All employees are trained to follow the processes internally to ensure consistently high quality as well as timely production and deliveries
• The systematic processes also ensure a smooth running of operations at the Crown Distilleries Multi-Brand Extension

11.7. Physical evidence

• The physical evidence for Crown Distilleries Multi-Brand Extension includes the company logo, company store designs, and the product packaging
• Satisfied and excited customers in the retail spaces of Crown Distilleries Multi-Brand Extension, as well as during product consumption create a bubbling and an inviting atmosphere
• The e-commerce website for retail by Crown Distilleries Multi-Brand Extension is also designed with a friendly customer interface to allow maximum interaction with the brand
• The store designs created by Crown Distilleries Multi-Brand Extension for its retail space allow consumers maximum interaction with the products directly.

12. Promotional tactics for the marketing strategy of Crown Distilleries Multi-Brand Extension

12.1. Digital marketing

• The company uses social media for reaching consumers effectively
• The Crown Distilleries Multi-Brand Extension interacts with the consumers directly, and engages with them, answers their queries and takes their feedback
• The company also shares information and build relationships with consumers through digital marketing
• Crown Distilleries Multi-Brand Extension also makes use of blogging, emails, and content creations as a means of digital marketing

12.2. Conventional marketing

• The company uses a 360-degree approach in its marketing strategy
• This means that the company makes use of traditional marketing channels as well – such as TV, magazine adverts, and out of house placements

12.3. Influencers

• For direct, on-ground engagement, the company uses influencers
• Influencers interact with consumers directly, or through their channels of communication as a means of content creation and endorsing the Crown Distilleries Multi-Brand Extension brand

13. Monitoring and evaluation of the marketing strategy of Crown Distilleries Multi-Brand Extension

13.1. Changes in sales

• Crown Distilleries Multi-Brand Extension regularly tracks its sales to identify the effectiveness of its marketing strategy
• Increase in sales reflect the success of marketing strategy of Crown Distilleries Multi-Brand Extension
• Sometimes, Crown Distilleries Multi-Brand Extension experiences increase ins ae after some time of the launch of the marketing promotions

13.2. Surveys and focus groups

• Crown Distilleries Multi-Brand Extension frequently conducts focus groups and surveys to identify its brand worth
• These methods also help the company identify brand value, brand recall, and brand recognition
• Focus groups allow Crown Distilleries Multi-Brand Extension to gather feedback on its marketing strategy and helps it understand consumers better

13.3. ROI

• Effectiveness of marketing strategy of Crown Distilleries Multi-Brand Extension can also be seen through the revenue and profit growth
• Return on investment allows Crown Distilleries Multi-Brand Extension to effective gauge the effect and influence of the marketing strategy, and measure its success

13.4. Attainment of marketing objectives

• All marketing objectives set by Crown Distilleries Multi-Brand Extension are SMART
• The quantitative set against each of the marketing objective can facilitate attainment evaluation for the overall marketing strategy
• Successful and timely attainment of these marketing objectives highlight the success of the marketing strategy of Crown Distilleries Multi-Brand Extension