Marketing adapt its product range to suit

Marketing Mix

Product:

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In
order to successfully enter Sweden, Bigham’s may have to adapt its product
range to suit Swedish consumer needs. For example, they have 37 dishes mostly
based around meat except one. However, in Sweden over the past 5 years there
has been a 4% rise in vegetarianism and veganism (The Independent, 2014) therefore,
it is worth considering the possibility of expanding the product range to
create a wider appeal. Bigham’s will use a polycentric
approach whereby they sell what people actually buy and modify products for
different countries. For example, Bigham’s needs to consider the cultural
imprint of Middle Eastern immigration to Sweden where meat free meals are the
norm and how this may influence the future buying behaviour of Swede’s. One
challenge the company may face is that Sweden is ranked 5th highest
globally for recycling (WorldAtlas, 2018) however, Bigham’s packaging
‘ramekins’ are not recyclable. This will need to change as there is a strong demand
for products that are not only healthy to eat but healthy for the environment
too. 

 

Price:

When internationalising, Bigham’s needs to consider
traditional price factors such as fixed costs, variable costs and competitor
pricing. Alongside this are other considerations such as the cost of contract manufacturing,
distributing and marketing the products. Bigham’s pricing strategy will be aligned
to the price an international consumer is willing to pay for their products. The
average price of a ready-meal in Sweden is £6.63 (Statista, 2018) which is only
marginally lower than the average £7.00 price for Bigham’s products in the UK (mySupermarket,
2018). However, in order to make a profit Bigham’s will most likely have to
increase the price of their products in Sweden to balance supply costs which means
that they will be positioned higher than the average ready-meal in Sweden which
can be justified through it’s high-quality.

 

Promotion:

Bigham’s would need to adapt its current policy of
simply running on word of mouth with no advertisement when internationalising. Here,
utilising print advertising, specifically newspapers would increase brand
awareness and generate a buzz around the brand being introduced to Sweden. Another
method of generating awareness of the brand is to utilise the social media
phenomenon by contacting Swedish health and food vloggers and getting them to
advertise through various digital channels. 

 

Place:

Bigham’s will need to partner and sell its products
through a Swedish distributor as UK retailers that sell the products such as
Tesco, Sainsbury’s and Ocado do not yet operate in Sweden. The leading grocery
retailer in Sweden is ICA with around 430 stores (Icagruppen.se, 2016) and an
emphasis on a wide range of fresh food therefore Bigham’s would be well-suited
to this retailer. The products will be sold in store and should trial a few popular
UK products to see what Swede’s prefer for example a popular dish in Sweden is
meatballs therefore Bigham’s ‘meatballs al forno’ would be a logical start.

 

 

Conclusion

Overall
it is clear that Charlie Bigham’s is at the point of being able to
internationalise and become successful in other parts of the world, with
proactive motivation being the perceived profit advantage. In order to
successfully enter the Swedish market Bigham’s will need to concentrate on the
entry mode of contract manufacturing which will mean retaining control whilst maintaining
leverage when it comes to marketing and distribution. The main objective will
be to focus on building awareness and generating a buzz. This will create a
strong brand identity in the minds of the target market and word of mouth will
transpire so that consumers feel the desire to purchase the exciting new
products. Bigham’s will flourish if they adopt this international marketing strategy
rather than implementing a domestic strategy since every country has different
variables that will affect a business’s victory when internationalising.