Omaha Steaks Executive Summary

Omaha Steaks was founded in 1917 as a family-operated company. The company has been very successful in establishing the reputation as a premium provider of the finest quality gourmet products such as steaks, meats, and seafood (“Corporate Profile”, 2015). Through its high quality products, its ability to adopt new technology and innovation, and various marketing channels to connect with customers, Omaha Steaks has grown from a single butcher shop to a national quality food provider (“Multiplechannel Strategy”, 2012).
Omaha Steak’s Marketing Strategy
Omaha Steaks focuses on four marketing channels to connect with its existing and potential customers; consumer direct, retail, incentive business, and online marketing. The principle behind Omaha

20). Omaha Steaks’ referral marketing strategy focuses on the paid referral program. The current customers can refer others to buy the products and get compensated for through the company’s E-Reward cards and Steaklover Rewards points. Additionally, the new customer will receive a special free gift of Omaha Steaks products with the first order of $50 or more (Omaha Steaks, 2012). The referral program serves as a way for the company to connect with customers and to express its appreciation to create customer-oriented image and positively influence customer’s buying decision, which in turn increases the company’s customer base and

consumers would pay more for a product or service to ensure a superior customer experience.” (Beard, 2014 & Berman, 2016). Examples of this type of business are gym memberships and internet and cable providers.
High-Risk Product and Service Business
A referral marketing is also suitable for organizations that provide products or services that have high safety or performance risk such as products and services related to health, safety, and performance (Berman, 2016, p. 20). For example, a doctor refers his/her patient to another specialized doctor who possesses specific knowledge and expertise to the patient’s illnesses (Zickafoose, Greenberg, & Dearborn, 2011).
Small Business with Limited Budget
According to a survey, more than 85% of small businesses gain their customers through word of mouth (Campbell, 2014). In a highly connected world, small companies can utilize the social platforms to allow their customers to spread their word of mouth online. Free and minimally-cost tools such as Facebook, Twitter, and crowd sourcing service can help small businesses market their products or services to wider audience without requiring large investment for marketing