Analysing Marketing Opportunities: BrizTek Company
Analysing Marketing Opportunities: BrizTek Company
Briztek Company is a company that specializes in different electric appliances such as oven toasters, washing machines, dishwashers etc. Recently the company had decided to expand their line of product by developing their very own refrigerator. The said line of product will be launched to the public within this year.
The aim of this paper is to show the different important factors and aspects that can greatly affect the marketing activities of the company towards their newly developed product. It will handle the different issues that pertain to the economic, demographic, cultural, natural, technological and political aspects that will have a great affect to the marketing strategies of the company.
The Macro Environment
One of the primary economic factors that might affect the demand for refrigerator is the growing industry of house construction and property development in the said country. The said demand for the said industry has a connection to the growth of the population of the country. New residents adapt into demand for new housing at a rate of about 2.7 persons per house. According to Salt (2006), there are total of 24,000 demands for new house in Melbourne alone. It is also affected with the urge of the people to reside in the in the city or metropolitan.
In Adelaide, there are total of 19,000 new houses that were built. In addition to that, in Brisbane there are total of 19,000. In general, there were about a total of 7.696 million houses and other establishments that are being built in the country, garnering a total number of 125,000 rates per year. The said rates signify the growth of the property industry of the country (Salt 2006).
The said statistics shows that there will be a great demand for new refrigerator due to the fact that the rate for the housing and property development industry in Australia is growing. It also means that the company will be able to target those said percentage of people as their market. That is due to the fact that, that consumer will be the one to pursue to own a new one.
In addition to that, the statistic shows that most of the people prefer to reside in the metropolitan, and shows that most of their target customers will be in the city. It gives the company the idea that they must focus their different marketing strategies such as advertisements and the likes in the city.
Population or the size or number of the people in a certain place is one of the most important factors that can affect the marketing strategy of companies. Australia is considered as somewhat large country that has an area that is similar to the United States (Harrington & Wilkenfeld 1997). As of September 30 of the year 2007, the population of the said country had increased to 21, 097, 100 persons. The said statistics had increased by 318,500 persons from the statistics of September 30 of the previous year (Australian Bureau of Statistics 2008) (see appendix A for the complete list of population per area).
The primary concern of the company when it comes to demographic factor is that most of the heavily populated areas in the said country has the climate that is very mild for a large part of the year, that is why few houses are centrally heated or cooled. That is why the company must develop a refrigerator that will operate satisfactory for extended periods for the temperature as low as 10 °C and as high as 35°C, and in some extreme cases as high as 40°C (Harrington & Wilkenfeld 1997).
Another important factor that might affect the demand for refrigerator is the fact that the percentage or the number of married men and women in the said county is declining. The Australian Bureau of Statistics had showed that the marriage rate for those unmarried population had fell during the 2001 to 31 per 1000 of unmarried men and 28 for 1000 unmarried women from 35 and 32 (Australian Bureau of Statistics 2003). In addition to that the number of the unmarried person had risen to 4.9 million in 2001. The divorced person had also increased to 1.12 million in the same year (Australian Bureau of Statistics 2003). The said statistics showed that the company will have to take consideration to their customers who are living alone. It means that they have to release refrigerators in small sizes. This is to meet the demand of their possible and targeted total of 6.02 million markets.
In addition to the said statistics, in the number of the households in Australia, the lone person household is considered as the fast growing. In connection to that, the ageing of the population is one of the most important factor, that is due to the fact that more particularly, older women are more expected to live alone than other. The Australian Bureau of Statistics had projected that in 2026, the number of the lone person household will increase by 57% up to 105% or between 2.8 million up to 3.7 million households (Australian Bureau of Statistics 2004)
Due to the effect of the hot weather, most of the families in Australia are spending their time together, outside their houses. Particularly, families are spending their time in their verandas and barbecue. This can be helpful for the company in creating small sizes of their refrigerator that will be useful and adaptive to outdoor environment. The company must also make their type or refrigerator that is good or appropriate for drinks and the like containers that will be a great help for those family who wants to celebrate and drinks in their verandas as well as outside their houses.
In addition to that, the company can also engage or sponsor different celebrated event in the country such as the Boxing Day that is celebrated after the Christmas day. Boxing Day symbolizes the foundation of Sydney by the use of Hobart Yacht race. In addition to that, tens of the thousands of the Sydney-siders will gather in order to see the Yachts begin their 628 naval mile drive to the Apple Isle (convictcreations.com n.d.).
Another important aspect is that the company can use the different thinking of the Australian to their preliminary advertisement. It is to use the history of the inventions skills and knowledge of the Australians. By connecting the history of James Harrison, when he first introduced his refrigerator by using the principle of the vapour compression to the current product of the company, it will create a dramatic effect to the Australian by boosting their egos and patriotism (convictcreations.com n.d.).
Australia is just like any countries that are located in the southern hemisphere that follows the four seasons: summer, autumn, winter and spring (Australian Government Culture and Recreation Portal 2008) (see appendix C for the details). Due to the fact that the country is a large nation, the weather varies from different part of the country. The north is considered as the tropical regions where in the people suffer from high humidity as well as high temperature and mostly distinct wet and dry season. On the other hand, the people in the center of the country are experiencing dry, desert with high temperatures as well as low amount of rain. Lastly, in the south region, the people are experiencing moderate rainfall and temperature that ranges from hot to cold. Generally, Australia can be considered as hot country. As a matter of fact, the Australian Christmas is celebrated in the middle of summer (Australian Government Culture and Recreation Portal 2008).
The said weather condition of the country shows that it is feasible for the company to sell their new line of product due to the fact that the hot weather will lead or push the customers to buy their own refrigerator in order for them to have cold drinks. In addition to that, the fact that the people are celebrating their Christmas during the midst of summer, it is important for them to stock different foods and raw food that they will be using for different celebration.
In addition to that, the company can use the theme of hot weather for their different marketing strategies such as television, radio, internet as well as billboard advertisements.
The use of the Internet will be the most helpful technology that will help to improve the market value of the product. According to the ITU or International Telecommunication Union, the number of the Internet users in Australia has reached 15,300,000 as of December of the year 2007. The said statistics is equivalent to 74.3% of the overall population (Internet World Stats 2007). In addition to that, according to the Organization for Economic Co-operation and Development, there are about 4,700,200 broadband subscribers as of September of the year 2007, taking the 22.8% of the entire population (Internet World Stats 2007).
The said statistics shows that more and more Australian are into the advent of the Internet, it means that e-advertisements is one of the most helpful marketing strategy or method that can be used in order to communicate with their customers. Advertisements in different popular or famous search engine such as Google, yahoo, msn, etc will be helpful for the company to let their target market to know more about their product.
Australia had implemented their labeling standard. Energy labeling for refrigerators as well as freezers became mandatory during the late 1986 (Harrington & Wilkenfeld 1997). The energy labeling program of the said country focuses on own standard of Australia. The said standard is use in order to test different procedures that will help to measure the energy consumption as well as to set the minimum performance criteria that a certain appliance must meet before it will be able to qualify for the labeling. The said law will affect the development of the product due to the fact that the refrigerator of the Briztek Company must comply with the standard that has been set by the standard giving body (see appendix B for the Performance Requirements). In the case of the product of the BizTek Company, they must make sure that their developed refrigerator must meet the performance requirement that had been set, and that is to be a operate in pull down manner. In addition to that, it must also reach the specified internal temperature or 43 °C ambient within 6 hours. Furthermore it must also maintain the specified internal temperature under the wide range of the external temperatures (Harrington & Wilkenfeld 1997).
Another important thing is the Minimum Energy Performance or the MEPS. MEPS is somewhat connected to the energy labeling, the primary focus of the said standard is to ensure that each and every appliances will follow to the specific amount of consumption of energy. With accordance to that law or standard, the new product line of the company must make sure that it will follow the given or the allocated energy consumption rate.
According to the analysis of the different macro-environmental aspects of the new product of the company, there are different features and issues that Briztek Company must focus in order to ensure that they will be able to launch their product in effective way, as well as they will meet the demand and the tastes of their customers. With accordance to the economic aspect, the main advantage of the company is the growing demand for housing and asset development industry. In terms of demographic, the statistics about the growing numbers of the loner household size indicates that most of the Australian will demand for a smaller or more personal refrigerator. The growing number of the unmarried Australian also shows that it will be appropriate if the company’s marketing mix will also focus to those bachelors and bachelorette of the said country. In terms of cultural, the hot weather of the country will serve as a motivator for the customers to have refrigerator. On the other hand, a special type of refrigerator, which is for bottled drinks alone, will also be a great help for the customers who wants to spend their time outside their houses with their family. Another thing is that the company must also focus in sponsoring or engaging in different events or festivals in the said country in order to inform the public about their product.
The hot weather of the country can be used by BrizTek as their primary theme for their different marketing activities. In terms of technological, the use of the Internet will be helpful in order to spread the information about the product in more convenient way. It will also help if the company will engage into direct online selling. In terms of political, the company must be able to obey the rules as well as the standards and protocols of the country with regards to energy issues and the likes.
Australian Demographic Statistics, Sep 2007 2007, Australian Bureau of Statistics, viewed 27, March 2008, from http://www.abs.gov.au/AUSSTATS/abs@.nsf/ProductsbyCatalogue /6949409DC8B 8FB92C A256BC60001B3D1?OpenDocument
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Australian Weather and the Seasons 2008, Australian Government Culture and Recreation Portal, viewed 27 March 2008, from http://www.cultureandrecreation.gov. au/articles/weather/
Harrington, L & Wilkenfeld, G 1997, Appliance Efficiency Programs in Australia: Labelling and Standards, Energy & Buildings, vol. 26, no. 1, pp. 81-88
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Salt, B 2006, Fridge Outlets Mark Hidden Growth Areas, The Australian Business, viewed 27, March 2008, from http://www.theaustralian.news.com.au/story/0,20867,20604390-25658,00.html
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