Wednesday, November 30, 2011

Final Project: Marketing Mix

Product: As stated before our brand name is Pikané. We filter our vodka through black diamonds five times to achieve our signature smoothness. Our Style is elegance but at a cheaper price than most premiere vodkas. Our quality is top notch. We get only the freshest and best ingredients to use in our beverage. From the best hot springs to the best quality ginger and cinnamon in Poland. Safety is a big deal to us, we print "Please Drink Responsibly" and "Never Drink and Drive" on every bottle. Our two packages options will include the single bottle by itself, or an optional box with our logo printed on it. These two products will sell for the same price.
Our warranty is simple, if you are not completely satisfied with the product we are serving you can send it to us and we will refund it for you no questions asked. And as for accessories, somewhere down the line (hopefully within six months) we will have shot glasses and tumblers available for purchase.

Pricing: Each bottle of our beverage cost between $10 and $20 to produce (dependent on ginger crops/costs and cinnamon production). We will sell our beverage to the clients for $59 dollars a bottle in all of our markets. From LA to Miami and everywhere in between. When buying 50 or more bottles straight from our distribution center we will sell them to the consumer for $39 a piece, or $1,950 for a case of 50. While we are selling our product for that price, our suggested retail price is $79. This gets us our sales and our stores get their sales as well. With any company price flexibility will be handled by the owner and myself in a private discussion. No seasonal pricing will be in place. Our prices are firm all throughout the year. We also will provide a NET14 for our best customers, which essentially means that we deliver our product and collect within 14 days.

Place: Our main goal is to be in 75% of the overall market in 5 years. This includes bars, night clubs and liquor stores. Our main big city destinations to penetrate will be Las Vegas, Los Angeles, New York and Miami. These are our main targets and essentially the cities that will rake in the most profit for our company. We will be doing promotions in these cities while also trying to establish business relationships with other clients in other cities around the US.
We will have our distribution warehouse on site and I will have a team of 5 people to run it at first. We will be purchasing 2 distribution trucks for local deliveries and also to take to and from the airport for long distance delivery.

Promotion: Our promotions will begin in Las Vegas. Considering we want a wide array of consumers we will be running promotions in different bars and clubs throughout Vegas. I will be handing out our business cards and talking with the owners of each location at the end of the night to see if they are interested in carrying our product. Or first stop will be The Yard House and The Blue Martini in Town Square. We will take our brand ambassadors and provide free samples and talk with people about our product. After those stops we will stop by Coyote Ugly (NYNY) and Red Square (Mandalay Bay) to do the same promotions. The Ghostbar at the Palms will be one of our final stops. This will be an extravagant place to provide free samples and mingle with potential clients and consumers. Many celebrities visit this bar and that will also get word of mouth and potentially get down into our next city.

Los Angeles will be a big plateau for us. Our team will be visiting Area, Bar 210, Bar Centro and Bar Marmont handing out cards and samples. Once again we will make our presents known and use word of mouth to get our product out into the public. After Los Angeles will will make our way back east to New York. We will be visiting the 40/40 Club which is owned by Jay-Z,then to Bar Celona, Death and Co., Fifty Seven Fifty Seven, and finally Lavo. We then head south into the city of Miami where we visit Amendment XXI, B Bar, Level 25, Mynt and Opium. This will round out our big city penetration and we will then be able to work on getting our product into the smaller cities around the US.

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