Market Analysis Value Conscious Consumer- Free Sample

Question: Describe about the Market Analysis for Value-Conscious Consumer. Answer: Introduction The company Baskin Robbins is an inclusive succession of ice cream parlors that was found and initiated by Irv Robbins and Burt Baskins in the year 1953. It was a merger of ice cream parlors in Glendale, California. It is now headquartered in canton mass. It is a part of the famous group Dunkin brands Inc. families of the company. It is said that Baskin Robbins is the world largest franchise that has more than 5800 locations in the entire world. In United State, there are more than 2800 stores and parlors of Baskin Robbins. It deals with approximately 34 countries that include Canada, Mexico, the United Kingdom, the United States of America, the United Arab Emirates, Egypt, Japan, South Korea, India, Pakistan, Panama, Thailand, Philippines, Australia, China, Malaysia, Saudi Arabia, Bangladesh, Vietnam, Taiwan, etc. Baskin Robbins caters in malls, hotels, leading channels, airlines, multiplexes, top retailing chains, etc. It is a diverse chain of famous brand Graviss foods Pvt. Ltd. and has an elite license for the SAARC area in which it is dealing prominently. The brand has global presence that has a similar brand strategy for all over the world, yet there are some differences according to the different countries. Market size of Baskin Robbins Baskin Robbins is a specialty brand for ice-creams shops, hard scoops, customized ice-cream cakes and pastries, and a wide range of beverages. In Australia, the Baskin Robbins has undergone through a significant amount of changes and transformations from the last two years. These innovations and changes not only focus on the designs of stores and practices related to the operations. But they also concentrate on the wide range of transformation in the entire business strategy and business model that includes the marketing plan and strategies (baskinrobbins.com. 2016). Baskin Robbins is a chain of high quality ice parlors as it is one of the largest ice cream specialty restaurants. The specialty of Baskin Robbins is the frozen desserts and the beverages that are served by them in a very decent way. Most of the items are made available in more than 7,000 restaurants that are across in 50 countries of the entire world. If we talk about Australia, there are more than 83 stores and ice cream parlors of this brand and more are growing on a very fast scale. The marketing strategy and the initial concept of Baskin Robbins in which they introduced new flavors on very first of day of every month, helps the company to have more than 1000 flavors of ice creams. The favorite and distinctive flavors of Baskin Robbins are Chocolate Mousse Royale, Praline 'n' Cream, Gold Meal Ribbon and Jamaica Almond Fudge. They are just few names and samples of innovation shoed by the brand Baskin Robbins (baskinrobbins.com. 2016). The market segmentation of Baskin Robbins has two types of categories that are namely demographic and psychographic characteristics. The demographic category focuses on the income of the customers. The target customers of this brand are highly income disposable customers and those belong to rich families. The other part is psychographic segmentation that focuses on the premium ice-cream and the customers who are apart of luxury consumption of ice-creams. These types of customers enjoy luxury and indulgencies that are associated with a particular brand. They have two targeted markets that are primary target market and secondary target market. Primary comprises of the upper middle class and higher income groups. The secondary target market is teenagers young adults and students (Sharma, 2004). Baskin Robbins growth Baskin Robbins is functioning beneath the sunshade of Dunkin brands that has partial services contribute in ice creams and other interrelated products of it to the clients. It has approx 67.7 % of total ice-cream sales in the US of America in the year 2010 according to the market line, an informer business (annualreportowl.com. 2016). The demand for Baskin Robbins is affected by the price of its ice cream decreases. If the value of the product is high, the demand of the manufactured goods increases (Vitell, 2000). The customers of Baskin Robbins are those whose disposable income is high and want to have premium taste and like for the ice creams. In this way, the target market for Baskin Robbins is also the upper middle class and high income people. The majority of the ice-creams of Baskin Robbins are taken home. This is the reason due to which the company is facing a competition related to the brands that sold at groceries like magnum, Breyers, Ben Jerrys, etc. (Vorhies, 2005). Financial years Year over-year growth 2011 4 2012 0 2013 10 2014 12 In the above chart, we can see that there is a growth in the business after the financial year 2012, 2013 and 2014. The entirety of the profits from the Baskin Robbins Australia with the international markets is accounted for approximately 14 % of the Dunkin brands sum of the profits. Almost of the Australian $165 million, $122 million came from Baskin-Robbins global market and $43 million came from Baskin-Robbins US market. If we look in the above chart, then we noticed that here is a growth of only 2 % year-over-year in the fiscal year of 2014 (Reinartz, 2004). Market share of Baskin Robbins Baskin Robbins is enjoying a top position in the markets of food and beverages as it is one of the premium brand for ice-creams and other related items. . It has about 67.7 % of total ice-cream sale in the United States of America in the year 2010 according to the market line, an informer business. Most of the items are made available in more than 7,000 restaurants that are across in 50 countries of the entire world (Yadav, 2010). If we talk about Australia, there are more than 83 stores and ice cream parlors of this brand and more are growing on a very fast scale. The marketing strategy and the initial concept of Baskin Robbins to new flavors on very first of day of every month, the company is able to introduced more than 1000 flavors of ice creams. This brand has positioned itself as a premium and luxury bands among the other famous international brands like magnum, Breyers, Ben Jerrys, etc. (Ailawadi, et.al, 2001) Top competitors of Baskin Robbins S. No. Brands PPC budget Keywords 1 Haagen-Dazs $13,435 2,576 2 Berries $33,110 16,586 3 Bake me a wish $2,746 2.946 4 Ben Jerrys $5,963 7,922 5 Breyers $2,359 2,600 Environment affecting the industry Socio-cultural factors As we know that people are becoming very health freak and health conscious. As a result, they look to the eatables that are health and can be enjoyed at a same time. This includes smaller portions, purchasing of less items, items that has less calories and fat, cholesterol free item, etc. these factors create a negative impact on the sales of Baskin Robbins. However, Baskin Robbins is trying to build up an image of health ice cream. But still, the myth and the perception of the people reading the ice0creams can be changes easily. They encourage customers to taste the ice creams, tell them about the ingredients and other material used in the production. Social media also plays a vital role in making or destroying the image of any brand. It is helping Baskin Robbins to develop the sales as people go with their families and post their pictures on social media. The other friends and family members get attracted and want to visit the Baskin Robbins parlors (Im, 2004). Competitive factors and forces Baskin Robbins is a brand that operated within a monopolistic competition. This means they have many competitors that offer almost the same products as them there are many indirect and direct competitors in the market that affects the position of Baskin Robbins. In monopoly, Baskin Robbins is enjoying the authority to decide the price only. If this company use effective tools for the marketing and promotion that it can enjoy a competitive advantage form the competitors as it is one of the prominent and premium brand (Luo, 2006). There are various other factors that influence the Baskin Robbins like technological factors, demographic factors, economic factors, regulatory factors, weather, etc. (Jones, 2015) Conclusion At last we can conclude that Baskin Robbins is enjoying a prominent place in the global market. It is categorized under as monopolistic market competition. We can observe that it is considered in one f the luxury brand for ice creams that has an elastic demand from its customers and consumers. The demand for Baskin Robbins is affected by the price of its ice cream decreases. If the price of the product is high, the demand of the product increases. The customers of Baskin Robbins are those whose disposable income is high and want to have premium taste and like for the ice creams. In this way, the target market for Baskin Robbins is also the upper middle class and high income people. Baskin Robbins is moving in a great direction while offering an excellent quality and quantity of the offerings. They have to use some new strategies and policies to expand their business in to new markets. They should be cautious regarding the premium brand as it does not depicted as the mass brand of Baskin Robbins. They should use some effective promotional strategies like magazines, television channels, lifestyles malls, airports, news papers, etc. that will do well for the brand. This brand has positioned itself as a premium and luxury bands among the other famous international brands like magnum, Breyers, Ben Jerrys, etc. The Baskin Robbins can increase its profitability and sale through creating premium ice cream parlors with tremendous ambience. This can help to generate word-of mouth which is one of the most powerful form of the positioning and reputation of the brand. References Ailawadi, K.L., Neslin, S.A. and Gedenk, K., 2001. Pursuing the value-conscious consumer: store brands versus national brand promotions. Journal of marketing, 65(1), pp.71-89. annualreportowl.com. 2016. Baskin Robbins annual report, [Online], Accessed on: 21 November 2016, Available at: https://www.annualreportowl.com/Baskin%20Robbins/Annual%20Reports baskinrobbins.com. 2016. Baskin Robbins history, [Online], Accessed on: 21 November 2016, Available at: https://www.baskinrobbins.com.au/about-us/history Jones, A., 2015. Dunkin brands: A franchise-heavy company, [Online], Accessed on: 21 November 2016, available at: https://marketrealist.com/2015/04/dunkin-brands-franchise-heavy-company/. Im, S. and Workman Jr, J.P., 2004. Market orientation, creativity, and new product performance in high-technology firms. Journal of marketing, 68(2), pp.114-132. Luo, X. and Bhattacharya, C.B., 2006. Corporate social responsibility, customer satisfaction, and market value. Journal of marketing, 70(4), pp.1-18. Reinartz, W., Krafft, M. and Hoyer, W.D., 2004. The customer relationship management process: Its measurement and impact on performance. Journal of marketing research, 41(3), pp.293-305. Sharma, P., 2004. An overview of the field of family business studies: Current status and directions for the future. Family business review, 17(1), pp.1-36. Sirdeshmukh, D., Singh, J. and Sabol, B., 2002. Consumer trust, value, and loyalty in relational exchanges. Journal of marketing, 66(1), pp.15-37. Vorhies, D.W. and Morgan, N.A., 2005. Benchmarking marketing capabilities for sustainable competitive advantage. Journal of marketing, 69(1), pp.80-94. Vitell, S.J. and Rose, G.M., 2000. Publications in major marketing journals: an analysis of scholars and marketing departments. Journal of Marketing Education, 22(2), pp.99-107. Wilkie, W.L. and Moore, E.S., 2003. Scholarly research in marketing: Exploring the 4 eras of thought development. Journal of Public Policy Marketing, 22(2), pp.116-146. Yadav, M.S., 2010. The decline of conceptual articles and implications for knowledge development. Journal of Marketing, 74(1), pp.1-19.