To be able to make effective marketing strategy, and to know potential consumers of Sein-Talone, the author conducted market segmentation, targeting and positioning on Japan market.
Market Segmentation
In Demographic factors Income level, age, and population are considered,
⇨ Medium to high-income customers
⇨ Working adults to retiree
⇨ Highly populated urban area ⇨ High priced produce.
⇨ They have the stable source of income.
⇨ To get desirable customer traffic.
In Psychographic factors, values and beliefs are considered,
⇨ Quality driven
⇨ Health conscious ⇨ Sein Talone is the premium priced quality product.
In Geographic factors accessibility, customer traffic, and population density are considered
⇨ Tokyo, Shinjuku. ⇨ Easy access to
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Due to these elevated transportation costs, the company cannot survive if it pursues low price strategy. These high export costs make price competition impossible in Japan Market. The price of Vietnam imported mango in Japan is 5 dollars per pcs. (Tuoi Tre, 2015) As the company chooses premium-pricing strategy, its targeted price should not be lesser than 5USD (JPY 598) and the author’s targeted price is ten times of the price of a normal imported mangos. According to the above conducted segmentation, which is based on income level, population size, population density, and distribution channels, this price level is expected to be suitable for targeted mid to high-income consumers.
Product
Since the author advises Premium pricing strategy, the company must exert more effort on mangos’ quality, packaging, and presentation. In terms of mango’s quality, produces must be hand picked and critically selected based on tight QC scheme, will pick only top 20% of the all the bearings. Myanmar handicrafts will be used in Packaging to induce exotic image on products, such as lacquer wear boxes and embroidery bags as shown in
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⇨ Gifting and sampling.
Place
The author chooses Tokyo, Shinjuku as target market area. Especially within Shinjuku Station area, one of the most complex rail traffic hubs in Japan. The picture below shows the list of railways stationed in Shinjuku Station. The economic zone around the station is extremely famous for heavy rail commuter traffic and eccentric youth shoppers. Additionally, company’s targeted area is packed with giant department stores like Odakyu and Keiro.
Source: Google Map
The above-mentioned marketing mix is the future plan for after next five years, for now as a starter, the author chose to piggyback. Therefore, Sein Talone will collaborate with quality fruit retailers such as Sembikiya, and Takano (near to Shinjuku) fruit parlors. The author chose these two purposely because these two shops have stores in Shinjuku, so if the company makes strategy changes to pursue the direct exporting in the long term, it will be more convenient as the company has already established a significant customer base in a targeted market area. In the current situation, the piggybacking firm will control Sein Talone’s major marketing plans and actions. Hence, after the introductory 5 years of piggybacking, above presented marketing strategy will be