Marketing Strategy And Target Market For Ayurvedic Anti-Depression Pills In Australia

Target Market

Business Strategy of Ayurvedic Drug Company.

New product introduction is the process of launching a new product or service in a specific country market by using different marketing aspects such as; target market, value proposition and marketing mix theory. This essay includes different marketing aspects in relations to Anti-depression Ayurvedic pills, which will be introduced in Australian market. According to a study, about 1 million Australian people in one year have depression issues and more than they experience anxiety. Currently, it has been estimated that 45% of Australian population will confront mental health and depression issues in their entire lifecycle (Beyond Blue Limited, 2018). So, it will be profitable to introduce this new product in Australia. This product will be launched under a brand name, i.e. Ayurveda Drug Company.

This essay discusses all above mentioned marketing concepts, target market, value proposition and marketing mix. Target market is a group of customers at which an organization aims to offer its new products and services. After targeting a specific market, organization develops value proposition that clearly indicates the benefits and advantages, which customers will get after buying its products. In addition to this, marketing mix is also an important strategic framework that includes various marketing strategies, i.e. product strategy, price strategy, place strategy and promotion strategy (Rad, Akbari, 2014). To introduce Anti-depression Ayurvedic pills, the company will use appropriate marketing strategies and integrate marketing theories. In this way, the essay will overall process, through which the organization will market this new product to Australian customers.

When a company plans to introduce a new product or service in a new market, first it needs to target the customers for this particular product offering. An organization targets its customers using different variables of market segmentation process. Through market segmentation, an organization can categorize the people considering similar characteristics, i.e. demographic, psychographic, behavioral and geographic characteristics (Aghdaie, & Alimardani, 2015). There are various theories, which are introduced to understand the concept and purpose of market segmentation (Baker & Saren, 2016). From them, one of the most important theories is economic theory of market segmentation, which aims to show how a company that is selling homogeneous products in market characterized by varied demand can maximize the profits. This theory states that a firm can attain optimal profits, if it adopts effective strategies and considerations while determining its market segmentation variables and targeted audiences (Lobigs, 2015). Thus, the marketers adopt the concept of market segmentation for the purpose of profit implications and maximization.

Value Proposition for Ayurvedic Anti-Depression Pills

After making research, it can be analyzed that Ayurvedic Drug Company will also implement market segment approaches to target customers for its Anti-depression pills (Cross, Belich, & Rudelius, 2015). The major target market for this product will be 16 to 25 years old people, who are facing the issues of depression and anxiety. The customer segmentation profile for this new product is created below;

Segmentation Variable	Primary customers	Secondary customers
Demographic Variables	·         16 to 25 years old people ·         Both males and females ·         Unemployed people ·         Patients with depression and anxiety issues	·         Middle and old age people ·         Business professionals ·         Patients with other mental health issues
Psychographic Variables	·         Unhappy and dissatisfied people ·         People who have feeling of sadness, irritation, guilt, worthlessness, hopelessness, tiredness and lack of motivation ·         Loss of interest in social activities ·         Lower, middle and upper classes of society	·         Emotional issues ·         Physical issues ·         Social exclusion ·         depressive disorders and suicide attempts
Geographic Variables	·         Urban and rural areas in Australia ·      Major cities in Australia	·      Nearby countries of Australia.
Behavioural Variables	·         Depressed people ·         Changes in behaviour ·         Irritated people ·         People having mental illness	·      Minor illness ·      Light usage of these medicines

Thus, the company will target customers for its products by considering above segmentation variables. Above customer segmentation profile indicates that psychographic variables are the major characteristics, which are considered for targeting audiences for Ayurvedic Anti-depression pills.

After determining the target market, the organization will create an effective value proposition, through which it will communicate the major reason why this product is most appropriate for target customers. By looking at company’s value proposition, the people will be able to understand that why they should purchase its products. In this, organization is offering anti-depression pills to the people, who are suffering from the issues of depression and anxiety. For a new product, establishing an effective value proposition is very important, so that it can develop a positive mindset towards its products. According to contemporary theory of value proposition, customers will not purchase the products, if they are not influenced by it positively. It is a common human behavior to perform any action in order to gain some benefits. They always feel that they get complete value for their money. Thus, value proposition is very important marketing concept to consider (Alon, Jaffe, Prange & Vianelli, 2016).

Moreover, Ayurveda Drug Company will also create value proposition for its anti-depression pills in Australia. The customer value proposition of the company is to assist the people, who are facing the issues related to depression and other mental health problems. It is offering ayurvedic pills, which will not have any side effect on health and they will not feel sleepy after taking these pills. Before prescribing these pills, the organization will offer the counseling facility to targeted customers. This counselor can assist the patients in getting right dose of medicines on right time.  In addition to this, this product will be manufactured by including healthy and natural ingredients, which will improve mental health of depressed people (Covin, Garrett, Kuratko, & Shepherd, 2015). The value proposition of this new product will attract a number of customers towards this medicine. In this way, this value proposition will be beneficial for Ayurveda Drug Company over other medicine providers in Australia.

Perceptual Positioning Map

Moreover, the organization will draw a perceptual positioning map to show the perception and interest of customers towards its products and services over its competitors. The organization is introducing Ayurvedic anti-depression pills, so it will place itself in an effective way to develop a positive image among target customers. The perceptual positioning map for this anti-depression pill is drawn below

From the above diagram, it can be stated that Ayurveda Drug Company is going to introduce a new product in Australia, which is more effective and natural than other players in the industry. Herbal extract is a company, which is offering similar products in country (Holttinen, 2014).

After the determination of targeted customers and value proposition for products, each and every company adopts a theory of marketing mix. This marketing mix theory includes four elements of marketing strategies such as; product, price, place and promotion. It is a theory that is used by the marketers to determine the product and service offerings. It assists the organization in attaining its marketing objectives and goals in competitive business environment (Wang, Xie, Jagpal & Yeniyurt, 2016).  

According to marketing mix theory, product is one of the most important elements of marketing mix. In the process of product development, the company needs to ensure that product fit into the needs and wants of targeted audiences. This is the first component, which means anything that is offered by an organization to its potential customers to fulfill their demands and expectations. Every type of product follows a product life cycle, which can enhance its competitive advantage over competitors (Ahmed, 2016). The organization focuses on developing a product that fulfills its value proposition. It assists the brand in fostering customer loyalty and differentiates it from competitors. Under this element, the current organization is introducing anti-depression pills in Australia because about 1 million Australian people in one year have depression issues and more than they experience anxiety. By considering this statistics, it is planning to manufacture the pills by using herbal and natural ingredients. The company aims to assist the people, who feel unhappy, unsatisfied, hopelessness and tiredness. This element will assist the organization in communicating its value proposition to target customers. By doing this, the company will be able to attract a large population of Australia towards new products (Kyhnau, & Nielsen, 2015). Introduction of this product will improve the lives of many people in Australia as many of them are facing depression issues. It can be analyzed that product element functions as the most important element of marketing mix theory.

Marketing Mix Theory

After developing products and services, each and every organization thinks about setting affordable pricing that will be beneficial for both organization and customers as well. Under marketing mix theory, pricing is one of the significant components, which is required to pay by the customers while purchasing the products of an organization (Goi, 2009). This element functions in an effective way as it is the only marketing mix strategy that generates turnover for the company. It is necessary for a company to formulate an attractive pricing strategy, so that it can encourage the people to purchase its new products. For its Anti-Depression pills, Ayurvedic Drug Company will implement an effective strategy to set the prices of products. In the beginning, it will use penetration pricing strategy and keep its prices lower than its competitors. In Australia, it can use competitive pricing strategy for the promotion of new product. It will conduct market analysis and cost-benefit analysis in country (Isoraite, 2016). The major aim for using an appropriate pricing strategy is to enhance profits and revenues while ensuring that this new medicine is available to those people, who actually need it. In its marketing mix approach, the organization should be flexible with its pricing element. It will assist the organization to quickly adopt the new strategies of competing brands.

Once an organization has set the prices for its new products, then it plans to place in the market using different distribution channels. In addition to product and price, place is also an important element of marketing mix theory. This is the process or method, through which products and services are delivered to potential customers. This element of marketing mix include actions and decisions, which are related to delivery of goods from manufacturer to end consumer. Thus, it can be said that place or distribution may work as functioning system, where brokers, manufacturers, trade and customers’ interest are completely compatible with one another in business environment. To introduce its anti-depression pills, this organization will adopt different distribution channels for delivering products to customers (Huang, & Sarigöllü, 2014). In Australia, the organization will establish a wide distribution network and use different channels to reach a large population in short time duration. It will tie up with some well-established firms in Australia. This pill will be available both online and offline as well, so the people will be able to order from their home. In addition to this, the organization will connect with medicine suppliers and distributors. It will conduct a market research in the country, so that it can get the data about depressed people. Under this element of marketing mix, the company will try to establish and manage an effective supply chain and delivery of products. It will ensure the efficient performance of the suppliers (Shukla, 2018).

When it is about introducing new products in the market, it is necessary to adopt effective modes for promotion and advertising. Promotion element of marketing mix theory refers to the processes, which are used to communicate its brand message to targeted customers in a way that they will like to hear, whether it is just informative or appealing to their feelings. Under promotion element, a company ensures that it is able to communicate its value proposition of new product to targeted customers. The functioning of this element lead the company to enhance customer awareness, create brand loyalty and maximize the sales (Andrews, & Shimp, 2017).  To promote its Anti-depression pills among Australian population, the prospective organization will conduct events, so that it can make the people aware about these ayurvedic medicines. The promotion in its marketing mix will use both traditional and modern media channels such as; TV, print media, online ads, and social media networking sites and billboards. It will use every possible way, so that it can approach every depressed person and cure them by its pills. In the beginning, it will use lower pricing strategy to promote the product and give some discounted offers. It will give a significant discount, when the medicines will be purchased in bulk. Thus, the company will be able to communicate its brand message and value proposition by using the above promotion mix element.

In this way, marketing mix theory is one of the most important marketing concepts, which should be used by each and every organization to deliver its value proposition. By doing this, it will be able to increase its customer base and attain its marketing objectives.

Conclusion

Thus, it is hereby concluded from the above analysis that Ayurvedic Drug Company is making every effort to implement marketing mix concepts for introducing its new product, i.e. anti-depression pills. It has successfully integrated different elements of marketing mix to deliver the value proposition to targeted audiences. Under its marketing mix, the organization will use effective strategies, so that it can attract Australian population towards its new product. However, there are so many players in Australian Pharma industry, who are supplying anti-depression pills, but it will offer the pills of natural and herbal ingredients. These pills will not have side effects on human body and system. From the above analysis, it can be concluded that Ayurveda Drug Company will be able to enter into Australia and establish the business successfully.

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