Bottlemart is an independent group of 700 members established in 1977. The 700 members are from Victoria, Queensland, Northern Territory, New South Wales, Western Australia, and South Australia. Each bottleshop as well as hotel is managed and owned independently. Bottlemart bottle shops have best selection of wine specials as well as beer specials. These shops are located over 180 independent bottle shops and hotels in the cities across NSW and Sydney towns. It continuously update its wide variety of great deals on imported beer, Australian beer as well as spirit specials like vodka, rum, champagne and whisky specials (Bottlemart, 2017).It is committed to provide the retail convenience at best possible level as well as hospitality services whether it is the atmosphere of public bar, value, and quality of food service. In order to gain the market share, it must create the value of its product through value proposition.
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Strength |
Weakness |
Opportunities |
Threat |
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• Bottlemart has 700 members so the resources of their company is high that is helpful in reducing the treats from various local bars. •Variety of products. •Strong market base. •Ecommerce facility is the major strength of Bottlemart (Bottlemart, 2016). |
• More dependent on alcoholic drink. •Catering to customers of only one category. •Similar theme for the bars that is not suitable sometimes for the young people (Bottlemart, 2016). |
• It can do expansion in various other brand of beer. •There are different opportunities lies with Bottlemart in other countries (Bottlemart, 2016). |
• Competition in Australia puts a major threat to Bottlemart •Changing customer preference •Local bars put a major threat for Bottlemart (Bottlemart, 2016). |
Bottlemart is serving various customer groups in Australia. It supplies it beers to various hotels, bars. Its major purpose is to provide the best quality beer to the customers in hotels, restaurants. It has various liquor stores in Australia where it serves the customers above the age of 18. In Australia, people love to consume wines and beers for their relaxation (White et al, 2018). Besides it, they also consume alcohol on occasional purpose. Among wine, spirit specials and beer, the per capital consumption of Beer is high compare to others. Due to this reason, Bottlemart should start more focusing on selling of beer.
Various members who all are serving large number of customers in Australia started the liquor-marketing group. All the members are serving their special and wide variety of beers in the 180 independent hotels. It has various local shops where it is serving large number of customers. These members themselves are supplier of various brands of beer. It seeks to help the customers by assisting the customers that which beer best fits with their chosen dish. Various members have collaborated with each other and formed an independent liquor-marketing group (Hakala, 2015). It has various distributors who have the responsibility of picking the products and sending it to the respective destination. It also has significant suppliers for raw materials.
Various organizations of Australia are dealing in the liquor industry. Due to the growing liquor market of Australia, it has made various investors to invest money in this industry. The main competitors of Bottlemart are Just Wines, Armadale Cellars, The Vine press, and My Cellars. All these competitors are popular in Australia (Jiang, Livingston and Room, 2015). In a report, it is stated that all these competitors deliver premium services to their customers in Australia. Based on their strong position in the market, Bottlemart is required to work hard in order to gain priority position. There is possibility of new entrants to enter in the market due to support of government as well increasing demand of alcohol consumption among Australian people.
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Political factors |
Economic factors |
Social factors |
Technological factors |
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Australia political country is stable as compare to various other countries. Government of Australia has also enforced many laws that benefit the liquor industry. After this observation, it is seen that government of Australia supports the liquor industry. |
The liquor business is suitable in Australia. This sector is the second place in generating revenues for the nation. Various norms and tax rates also implemented in favour of liquor industry. |
Social values are an important element in order to get positive outcome from the business. It is mentioned that people of Australia love to take drinks on many occasions as well for their relaxation (Yusuf and Leeder, 2015). In this way, social values of people are in favour of the liquor industry. |
In the present business environment, liquor industries have implemented various innovative techniques. Business of liquor has also implemented tools in order to provide safety as well as reducing unhygienic elements from the drinks. |
In today’s business environment, it is important for the organization to keep them updated regarding their customer’s needs, competitors that pose threat as well as any new opportunity available in the outside environment. Bottlemart make use of market research technique. By using this technique, it collects the data, analyse, and interpret the information regarding target market, competitors, past as well as probable customers. Its objective is to collect the clear data in order to get success in the market. With the help of market research, it comes to know all the possible challenges that the organization might face in the future. In order to address those challenges, it plans a strategy so that problem can be solved quickly.
Market research helps the company in identifying various problems that are presenting threat for the company. It provides the information about competition, level of customer satisfaction, information regarding market share, distribution channel, as well as sales performance. Bases on the findings, it formulates the market strategies as per the changing trends and demand of the customers (Jackson, 2018).
Besides knowing customers and competitors, it is also essential for the company to know the various opportunities that are available in the environment. The company to know the opportunities that are lying in the market uses market intelligence. Before investing in any specific market, it first collects the data and analyse it in detail. It assists the company to use specific tactics that will help it further. In a report, it is founded that Bottlemart have different point of sales (POS). Every system of POS collects the customer data and provides it to liquor marketing group in different way. Therefore, it needs to process the “member purchase data” from its wholesale supplier (Informatics, 2018). It takes the help of external provider to process the data collected. Based on those collected data’s, it provides a report that is used to manage promotions and member stocks. The liquor marketing group was needed the solution that can integrate the data from various business streams as well as members. By getting the solution, it will be able to provide quick intelligent information regarding stock level, sales, and promotion. After reviewing the various solutions, it selected “Informatica Platform” as its backbone for data integration (Bottlemart, 2016).
“Informatica” has implemented a data strategy for the liquor-marketing group in order to benefit from its member as well as business. This strategy secures the outside data into the Bottlemart data warehouse. Besides this, it assures the quality while exchanging data. For satisfying the customers, it provides real time access to them. By using all techniques, it is able to collect the valuable information regarding its customers, competitors, and opportunities that are available in the outside environment (Sammartino, 2018).
As mentioned above Bottlemart is one of the most famous liquor organizations in Australia. The company offers wines, beer and spirit across the country for a longer time. This liquor company targets its customers on the basis of different characteristics like demographic, psychographic, geographic and behavioral characteristics (Armstrong et. al, 2014). The choice of target market for Bottlemart can be understood by analyzing below-given characteristics:
Under this dimension of market segmentation, Bottlemart should focus on the people who love to drink for the relaxation and entertainment purpose. It can target both males and females of the age group of 18 to 49 years as official drinking age in Australia is 18 years. Women are also in the targeted demographic for the consumption of beer, wines and spirits. As per a survey, it is founded that 67% of females between above age group drink the alcoholic drinks. It indicates that Bottlemart should offer some special drinks for by focusing on its female segment. The company should reach the young people as their targeted audiences. Moreover, the company can target the customers based on their income. The prices of Bottlemart’s beer and wines are not very much higher so it is affordable for both higher and medium income level groups (Jones, et al, 2015). Furthermore, this firm should sell its drinks by emphasizing on young generation, single people, couples etc.
Under this, the company should target the customers based on different characteristics like life style and personality characteristics. It should focus on the people who love to do parties and who are fond of doing night out at bars, clubs and pubs. Moreover, it can look for the people who like to consume the alcoholic drinks of premium standards and enjoy tasty beer. Under the category of social class, Bottlemart should consider the interest of upper and medium class people (Weinstein and Cahill, 2014).
Currently, Bottlemart is operating its business by focusing on Australian customers only. It has more than 700 branches in different locations of the country. Now, this organization should expand its business in nearby countries like New Zealand so that it can increase its customer base. Additionally, it should target the people from both urban and rural areas of Australia.
Behavioural segmentation focuses on different characteristics of a population like user status, loyalty, interest, and preferences. In Australia, customers are very much choosy about their demands and preferences. Among wine, spirits, and beer, the consumption of beer is very high. Therefore, it is very important for Bottlemart to focus on the customers who buy beer on regular basis (SBS News, 2018).
Thus, it can be recommended that Bottlemart should target both males and females between the age group of 18 to 50 years who like to consume alcoholic drinks for entertainment and leisure purpose.
Value proposition is a statement which explains how the products and services of a company fulfill the demands and expectations of customers. This statement defines that why the customers should buy company’s products and not from the competitors. The value proposition of Bottlemart is to provide an attractive ambience of bars to its customers. The core of its value proposition lies in offering the best taste and quality of premium drinks of different varieties. Currently, this company has an outstanding choice of wine specials, beer specials and spirits in its different stores. In order to enhance its business operations, Bottlemart should plan to deliver thee customers more value of their money (Osterwalder, 2014). In coming years, it should offer the products on reasonable rates so every income group can afford them. Additionally, it should give discounted offers to regular consumers. It should diversify its product range by including some more products like whiskey, cider and champagne so that it can increase its customer base. Value proposition will help the company to retail existing customers and attract new customers.
Positioning statement is a statement that expresses how a product and service meets the needs and demands of customers which its competing brands do not (Gengler and Mulvey, 2017). By this, a company places itself in the market that gives positive thoughts to the customers about its new products and services. Bottlemart Company needs to position itself as a tasty, premium and quality beer provider among Australian customers. It should place itself in the way that it associates the customers with the class and style while drinking Bottlemart’s drinks. Currently, the position of Bottlemart in beer, wine and spirit market is at premium level because of comparatively higher prices. Now, it should introduce some new drinks on lower prices which can be afforded by lower income group’s people. It advertises its products by using different positioning statement like “Better Get to Bottlemart” and “Looking to Party” which assist it to entice more people (Financial Review, 2015).
Looking at the above component, Bottlemart Australia should develop its marketing tactics by using marketing mix framework (Huang and Sarigöllü, 2014). Different marketing strategies are discussed below:
The shops of Bottlemart have an excellent collection of wine specials, beer specials and spirits. In order to remain competitive in Australian alcoholic beverage industry, it should emphasize on improving the brewing of its products (Bottlemart, 2018). It should brew the drinks considering the taste and preferences of customers in the country. Moreover, it should regularly upgrade a range of great deals on the imported and Australian beer. It should give offers on other products like wine specials, spirit specials like vodka, rum, cider, whiskey and champagne. Additionally, it should manufacture the drinks by using fresh and quality raw materials so that it can provide best quality drinks for customers’ money (Bottlemart, 2018).
Price is one of the most considerable components of a company’s marketing strategy. Currently, Bottlemart Company is selling its beverages on premium prices which cannot be afforded by all income groups. This organization should implement penetration pricing strategy where the prices of products should be low in the initial stage so that it can reach to wider population rapidly. It will assist Bottlemart to enhance its number of customers. It should provide the discounts and offers on weekdays. It should reduce the online prices of its products than shops, clubs and bars. It will help this firm to gain a larger customer base.
Currently, Bottlemart has a limited presence in alcoholic beverage market so it needs to establish extensive distribution channels to approach a larger population. It shops are situated at more than 180 independent bottle shops and hotels across Sydney and different cities all over New South Wales. It should offer its products online so customers can buy them more conveniently. The bottles can be sold through local shops in the countries (Kraftchick et. al, 2014). Now, it should plan to spread its business in its neighboring nations like New Zealand.
Promotion is the most important marketing tactic where a company can attract more customers by using different advertising and promotional techniques. However, currently it is using different techniques like TV commercials, social media sites etc. In the future, it should implement more promotional sources like its official website, magazines, radio advertising, free gifts to regular customers etc. It will enable the Bottlemart to entice more people towards its alcoholic beverages. It should provide offers on Saturday night parties. It should analyze the promotional strategies of competitors like Just Wines, My Cellars, The Vine Press and then formulate its own. In this way, it will be able to attract a larger population and increase the sales (Atkinson, 2012).
Processes of Bottlemart are the biggest contributors to effective delivery of alcoholic beverages. The brewing process of company is very efficient as it has installed updated and advanced machinery for brewing wines, beer and spirits. In this process, it is using fresh and quality raw materials so that it can produce tasty and quality beverages for its targeted audiences. In the future, it should upgrade its technologies and processes so that it can reduce the production tie and delivery of bottles to the shops of Bottlemart (Wagner and Hollenbeck, 2014).
Human resources are one of the most important components which supports the operations and activities of a company. At Bottlemart, the employees are managed in an effective manner. This company should conduct effective training and development program for its employees. They should be trained regarding the usage of brewing machinery (Stead and Hastings, 2018). The training should be related to learning the manufacturing processes. Thus, the company should make huge investment on the development of its employees so that its operations and processes can be smoother.
In any product and service industry, there should be physical evidence that the products are delivered. It defines how a business and its products are perceived in market. Under this marketing strategy, Bottlemart Organization should manage its physical evidences very effectively. The company should have an effective team in its stores and shops from where company sells its products to customers directly. It should focus on the branding and communicating its message to final customers. Currently, it has 180 stores in Australian cities. It should focus on establishing more stores in the country. Thus, the company should improve its physical presence among its targeted population (Wells, 2016).
In this way, Bottlemart Company can use above marketing strategies and tactics in order to improve its marketing processes. These marketing strategies will help this company to attract more customers towards its alcoholic beverages. It will enable the organization to gain more competitive advantage against competing brands. Marketing mix framework will play a significant role in the growth and success of Bottlemart in Australian brewing industry (Argent, 2018).
Conclusion
From the above analysis, it can be concluded that Bottlemart is a popular organization in Australian liquor industry. The company is operating its business by using effective value proposition and slogans. The above report includes the environmental analysis by using 5Cs framework. This environmental analysis indicates that Australia provides a good business environment to Bottlemart in terms of political environment, legal and cultural environment. It is a developed economy that can assist this company to grow its business even in highly competitive environment. This company is using effective marketing strategies to attract its targeted customers.
Furthermore, it is recommended that company should make some improvements in its marketing efforts and processes. It should make changes in different marketing strategies of 7Ps framework i.e. product, price, place, promotion, processes, physical evidence and people. The above report suggests that Bottlemart should target a diverse market for its products. It should target the people of 18 to 50 years. Moreover, the company should enhance the brewing process so that it can manufacture the beer and other alcoholic beverages in short time duration. In order to attain competitive advantage, the company should focus on enhancing and upgrading the marketing processes. These processes will allow Bottlemart to become one of the largest liquor company in Australia and international market as well.
References
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