Running head: IMC STRATEGY 1

IMC Strategy

Students Name

University/College
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Contents

1.0 Target Market .................................................................................................................... 5

1.1 Geographic Segmentation ............................................................................................. 5

1.2 Demographic Segmentation .......................................................................................... 5

1.3 Psychographic Segmentation ........................................................................................ 6

1.4 Behavioural Segmentation ............................................................................................. 6

1.5 Benefit Segmentation ..................................................................................................... 6

1.6 Target Market Description Statement ......................................................................... 6

2.0 Competitor Profile ............................................................................................................. 7

2.1 Competitive Framework ................................................................................................ 7

2.2 Competitor Analysis Offerings and Communication .............................................. 9

2.3 Competitive Advantage.................................................................................................. 9

3.0 Message Review ................................................................................................................ 11

3.1 Current Message Strategy ........................................................................................... 11

3.2 Proposed Message Strategy Adjustments .................................................................. 11

4.0 Channel Review................................................................................................................ 12

4.1 Channel Analysis Grid (Chapter 2 and 4) ................................................................. 12

4.2 Proposed Channel Strategy Adjustments .................................................................. 13

5.0 IMC Campaign Development ......................................................................................... 14

5.1 Competitive Consumer Benefit Statement ................................................................. 14

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5.2 Message Strategy Statement ........................................................................................ 14

5.3 Message Strategy Approach ........................................................................................ 14

6.0 IMC Contact Strategy ..................................................................................................... 15

6.1 Company Contacts ....................................................................................................... 15

6.2 Customer Contacts ....................................................................................................... 15

6.3 Intrinsic Contacts ......................................................................................................... 15

6.4 Unexpected Contacts .................................................................................................... 15

References ..................................................................................................................................... 18
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Executive summary

The situation and brand analysis is an effective method of international marketing

communication (IMC). The Coffee Club is a popular establishment in Australia, and it has

enjoyed an increasing number of customers over the years. It serves meals and is well known for

its coffee. The company has international operations with over 400 stores. The company has

been effective in attracting customers. The profits raised are used in developing the stores, and it

has proven effective for the enterprise. Various variables will be considered such as the target

market, competitive profile, channel reviews, message review and campaign development.
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IMC Strategy

1.0 Target Market

The target market segment provides an analysis of the customers and clients that coffee

club targets. This will consider various variable that exists within the environment in which the

company operates. This also makes it possible for the enterprise to determine ways to gain a

stronger foothold in the market, and remain competitive. The coffee club has been in operation

since 1989. The company is among the largest coffee groups in the county, and it runs over 400

establishments worldwide (Atwal & Bryson, 2015). It is quite popular in the market, and the

international marketing communication (IMC) can provide a means to improve the companys

current position.

1.1 Geographic Segmentation

The Australian market is characterized by a rising number of people who take coffee.

Even though the habit has often been considered an American tradition, coffee is quite popular

among the working class and business people. The main Coffee Club branch is in Sydney and

other cities in Australia such as Brisbane and Melbourne. The company also operates in the main

cities around the world such as Indonesia, Dubai, Thailand, Malaysia, Abu Dhabi, and New

Zealand (Thbault, Picard, & Ouedraogo, 2013). Due to the popularity of the brand coffee, the

company has continued to increase the number of stores both within the home country of

Australia and abroad.

1.2 Demographic Segmentation

In regards to the demographic segmentation, the coffee club intends to segment the

market in regards to age, income, and family size. The coffee manufactured by the company

comes from high-quality seeds and brewing process. This means that a large number of the
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clients are within the age of 17-39. Additionally, these are high-income individuals from high-

income families. The company also attracts people with smaller family sizes and often prefers to

eat out. The coffee house has a variety of food and drinks on the menu besides its famous coffee

(Then, Teng-hee, Santovito, & Jensen, 2014). This segments the demographics.

1.3 Psychographic Segmentation

The rising number of clients who frequent the coffee club stores has been due to their

lifestyles. Coffee provides an opportunity to relax, interact with peers, and replenish the system.

Many people drink coffee daily, and it has emerged as part of their lifestyle (Taugher, 2007). The

company offers a variety of coffee to suit the different needs of customers.

1.4 Behavioural Segmentation

The coffee club produces one of the highest qualities in every cup of coffee. This has led

to an increase in consumer loyalty, and many customers visit the stores daily to purchase coffee.

The customers are also aware of the brand, and they have high involvement in its products

(Sharpe, 2000).

1.5 Benefit Segmentation

In the market, a significant number of consumers, about 60%, are attracted to the product

based on the price. The market is quite competitive, and a good price is of the essence.

Moreover, about 20% of customers visit the store due to the services offered such as helpful

personnel and free internet connectivity (Selmier Ii, Newenham-kahindi, & Oh, 2015). A further

6% are attracted to the quality of the product. The coffee beans used are among the best in the

market.

1.6 Target Market Description Statement

The target market is comprised of people who live in cities. Since the coffee house stores
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are located in towns, the target market includes employees and individual who reside in urban

areas. Coffee is a high involvement product. Moreover, a significant number of adults take

coffee than children. Children often visit the stores on weekends (Sandiford, 2014). Moreover,

many people are attracted to the additional offering in the stores such as sumptuous meals and

snacks.

2.0 Competitor Profile

2.1 Competitive Framework

Excellent quality of coffee

High price
Low price
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Poor quality coffee

Coffee is quite popular in the Australian market, especially in the major cities. A large

number of people drink coffee on a daily basis, and this has led to an increasing competition

within the market. Many companies are coming up to sell various varieties of coffee. In a

competitive context, the price, function, and quality of a product are important. Either this is an

ingredient that would attract customers, or it would repel them (Pierce, Weston, Levy, &

McMahon, 2014). According to statistics, the coffee industry in the Australian market grew by

tremendously, and Coffee House is the leading store in the country. Other companies include

Starbucks, Hudson Coffee, and Merlo coffee. Starbuck and Gloria Jeans Coffee have good

products that are cheaper and attract many clients. Coffee house also has an excellent quality of

the coffee. However, it asks for a higher price in comparison to the competitors. This is very

appealing, and the company has continued to enjoy an increasing consumer base. Among

consumers, the high-quality service and product are linked to the high price (Pablos, 2015). The

perceptual map details tow criteria, which include price and quality. This important variable

would determine the price of a product in the market.

The Coffee Club has considered a high price and high-quality product. However, coffee
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as a product has a high involvement and is quite popular in the market. When a consumer

chooses the product, they are faced with complex decisions due to the number of businesses in

the market that are offering coffee. In this regard, in the target marketing, Coffee Club is higher

on the perceptual map. An important issue is that the company ah not communicated as to how

the product trumps the competition (Collis, 2003). The media and communication strategy is

weaker than the competition. Since the company has gained popularity, it rarely markets itself

and relies on organic consumers. This gap needs to be utilized to the advantage of the enterprise.

2.2 Competitor Analysis Offerings and Communication

The product information can be detailed via effective communication. It is also essential

in establishing the image of the brand and promoting the target marketing. In the message

strategy, both Starbucks and Gloria Jeans Coffee rely on the characteristics of the product and

the way of life followed by individuals. Base on research, people prefer quality and price. In this

regard, Gloria Jeans Coffee has a gap when compared to Coffee Club and Starbucks. Coffee

Club as has more distribution channels (Christensen & Raynor, 2003). The other companies have

few stores. Based on the message strategy, Coffee club uses a variety of methods and channels.

This has made it attractive in the market.

2.3 Competitive Advantage

The company has an advantage since the parent company is a well-known supplier of

high-quality coffee beans to many suppliers. This critical linkage ensures that the firm is a leader

in the industry. Due to high quality, the company has maintained its position in the market. It

also offers the best service. The company operates in many countries and different cultures. Due

to differentiation, the company has attained a unique position in the market. Its brand is quite

popular among customers and has played a role in attracting potential customers and retaining
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them (Cheuk, Liew-Tsonis, & Ing, 2010). The advertising was characterized with effective

messages that detail the attributes of the product. Sales promotion is also used as a means to

disseminate information about the product

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3.0 Message Review

3.1 Current Message Strategy

Customers have different needs, and different strategies have to be sued to target these

clients. Coffee club applies push messages to customers. The advertising used by the company

show the importance of social linkages and friendship. The ads feature groups of people or

families visiting the stores to have a meal. This is a rational and emotional appeal. People will

link the experience in the stores as a means to enhance happiness. Moreover, the images detail

the inherent benefits that arise from eating for the Coffee Club. The company also uses a pull

strategy to communicate with consumers (Chao, Hsu, Hung, Lin, & Liou, 2015). In this regard,

the company introduces new products that get quite popular in a short time.

The companys advertising considers the importance of the social and health needs of

customers. The adverts often embody the health gains from eating and drinking from the

companys stores. Over the years, some issues have emerged that some of the products from the

company contained dangerous additives (Chaffey, 2011). However, advertising will prove

beneficial in dealing with the negative publicity.

3.2 Proposed Message Strategy Adjustments

The company should consider making adjustments and begin to use several kinds of

advertising. It can begin with improvements in the strategy of advertising so that consumers will

develop expectations about the company. The advertising can also create a link with the viewer

or listener, and this would develop the story (Bucci, 2014). The company should develop a

positive brand image through advertising.

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4.0 Channel Review

4.1 Channel Analysis Grid (Chapter 2 and 4)

IMC Tool Rating Detail

Advertising The coffee club has several communication avenues that attract a

(A1) wide audience. The adverts often include depictions of happy

individuals sharing a meal or drinking coffee.

Direct Coffee Club utilizes direct marketing in two ways. This is through the

Marketing company website and its physical stores. Moreover, the staff is

(A2) informed about their role in directing marketing, and they act as

representatives of the organization.

Interactive Coffee Club has utilized communication, computer and internet

& Digital technologies, and interactive media as a marketing strategy. This has

Marketing been effective in improving the brand image and awareness, and it

(A3) has also enhanced the push and pull ways.

Sales Coffee Club has been effective in promoting its products and serves

Promotion through sales promotions and meetings. Moreover, it has utilized a

(A4) variety of channels to ensure that new products become popular in the

market within a short time. The company also used redeemable codes

to promote sales.

Social The company has also enhanced and developed the social media

Media networks to communicate and convey messages about its products

(A5) and services. This creates an easier means of communication between

the company and clients and provides ways to gain feedback and
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make product improvements

Event The company has been making continuous efforts to arrange and

Marketing sponsor a variety of events such as the coffee club ball. This plays a

(A6) role in improving the brand image.

Personal The employees market the organization.

Selling

(A7)

Sponsorship The company finances a variety of events such as sporting events.

(A8)

Public Public relations can improve the companys image, especially when

Relations an occurrence ruins its reputation.

(A9)

High Mid Low

Performance Performance Performance

4.2 Proposed Channel Strategy Adjustments

The company should begin to use a tagline as part of the benchmarks. It should also

minimize print of purchase, and it should begin to focus more on initial marketing and interactive

media. Finally, the company should train its staff since they represent the brand and support its

image (Burns, 2011).

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5.0 IMC Campaign Development

5.1 Competitive Consumer Benefit Statement

A large number of Australians are looking for a store that offers quality, excellent

service, and low price all in a single package. In regards to the target market, Coffee Club

attracts the middle to high-income people due to the high premium price. Since it is a high

involvement product, many considers are attracted to the product and services (Abramowicz &

Mayr, 2007). The company has a clear target market, and it has retained this market making it

difficult for competitors to gain a firm foothold in the market. This also establishes the image of

the brand.

5.2 Message Strategy Statement

Coffee Club has confidence that its products remain attractive to all current and potential

customers. Due to the high-quality seeds used, the company conveys a message that it has the

best product. The company should also detail a message that its products are convenient and

healthy. They are an excellent choice for anyone who wants a quick, healthy meal or snack. The

company also has to create a strong image within the market to remain relevant (Abramowicz &

Mayr, 2007).

5.3 Message Strategy Approach

The message strategy approach is an essential aspect of the IMC. The strategy involves

the development of a brand image. This can arise by creating value for customers. In the third

section, the company utilizes advertising that detail messages about the advantage of the stores

and enticing tastes offered (Austin & Short, 2009). However, ads are an issue and might not

increase cognition among users.

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6.0 IMC Contact Strategy

In the current market, service and quality are more attractive to individuals when they

visit any restaurant establishment.

6.1 Company Contacts

Through interactive marketing, the company has built its social networks such as

Facebook and Twitter where it communicates with customers. Interactive marketing is effective

in meeting the needs of adapted services and clients (Cellich & Jain, 2012). It also improves the

brand image.

6.2 Customer Contacts

Effective contact is essential during an interaction. An email or phone call is done before

the start to determine the frequency of communication. There are a minimal number of

consumers who are interested in establishing contact (Sharpe, 2000).

6.3 Intrinsic Contacts

The company offers simple packaging, and the black coffee cups are quite beautiful and

popular among many clients. The company should also improve the skill set among employees.

(Bucci, 2014)

6.4 Unexpected Contacts

Need for unanticipated contacts has been seen among the consumers. The company has

been able to sustain a positive image. The consumers are regarded as a new channel.

Information is passed to clients (Thbault, Picard, & Ouedraogo, 2013). The company should

also be sure that consumers accurately detail the information about the enterprise.
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Primary research

1.0 Mystery Shopper

2.0 Services
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References

Abramowicz, W., & Mayr, H. C. (2007). Technologies for Business Information Systems.

Dordrecht: Springer.

Atwal, G., & Bryson, D. (2015). With luxury brands expanding their horizons to reach new

markets and sustain themselves there, we explore five key issues and trends that are

changing the business of luxury - See more at

http://www.luxuryfacts.com/index.php/pages/article/4346#sthash.36a9d. Retrieved April

1, 2016, from http://www.luxuryfacts.com/index.php/pages/article/4346

Austin, R. D., & Short, J. C. (2009). Case 1: The iPremier Co. (A): Denial of Service Attack

(Graphic Novel Version). New York: Harvard Business School Publishing.

Bucci, V. R. (2014). Leadership and Governance. Medicine and Business, 9-20.

Burns, P. (2011). Entrepreneurship and Small Business. New York: Palgrave Macmillan.

Cellich, C., & Jain, S. C. (2012). Practical solutions to global business negotiations. New York:

Business Expert Press.

Chaffey, D. (2011). E-business & E-commerce Management: Strategy, Implementation and

Practice (1st ed.). New York: Pearson/Financial Times Prentice Hall.

Chao, C.-Y., Hsu, H.-M., Hung, F.-C., Lin, K.-H., & Liou, J.-W. (2015). Total quality

management and human resources selection: A case study of the national teacher

selection in Taiwan. Total Quality Management & Business Excellence, 26(2), 157-172.

Cheuk, S., Liew-Tsonis, J., & Ing, G. P. (2010). An Establishment Of The Role Of Private And

Public Sector Interests In The Context Of Tourism Transport Planning And

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Development: The Case Of Malaysia. The International Business & Economics Research

Journal, 9(2), 59-67.

Christensen, C., & Raynor, M. (2003). The Innovators Solution. Creating and Sustaining

Successful Growth. New York: Harvard Business School Press.

Collis, J. a. (2003). Business research: a practical guide for undergraduate and postgraduate

students (2nd ed.). Basingstoke: Palgrave Macmillian.

Pablos, P. O. (2015). Knowledge management for competitive advantage during the economic

crisis. Hershey, PA: Business Science Reference.

Pierce, J. S., Weston, H., Levy, R. G., & McMahon, D. J. (2014). Insurance practice and

coverage in liability defense. New York: Wolters Kluwer Law & Business.

Sandiford, C. (2014). The enculturation of pre-service Emirati English language teachers.

Education, Business and Society: Contemporary Middle Eastern Issues, 7(1), 2-16.

Selmier Ii, W. T., Newenham-kahindi, A., & Oh, C. H. (2015). "Understanding the words of

relationships": Language as an essential tool to manage CSR in communities of place.

Journal of International Business Studies, 46(2), 153-179.

Sharpe, R. (2000). As leaders, women rule. Business Week, 74-84.

Taugher, M. (2007). No time like the present: More lawmakers, corporations decide it be better

to take action now to avoid worst global warming consequences. McClatchy - Tribune

Business News.
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Thbault, M., Picard, P., & Ouedraogo, A. (2013). Seniors and Tourism: An International

Exploratory Study on the Use of the Internet for Researching Recreational Information.

International Business Research, 6(3), 22-28.

Then, D. S.-s., Teng-hee, T., Santovito, R. F., & Jensen, P. A. (2014). Attributes of alignment of

real estate and facilities management to business need: An international comparative

analysis. Journal of Corporate Real Estate, 16(2), 80-96.

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Appendices and secondary research

1. Advertising

2. Direct marketing
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3. Interactive and digital marketing

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4. Sales promotion
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5. Social media

6. Event marketing
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7. Personal selling

8. Sponsorship
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9. Public relations
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