DATA4700 Digital Marketing and Competitive Advantage Report 3 Sample

DATA4700 Digital Marketing and Competitive Advantage Report 3

Assignment Details

You have been engaged as a consultant to advise Bundaberg ginger beer, the iconic Australian non-alcoholic beverage. Bundaberg is looking for your advice on how to enhance their digital marketing approaches, especially given that a new generation of young adult consumers in Australia are increasingly likely to be ordering their groceries online instead of browsing the shelves of supermarkets. This is a timely opportunity for Bundaberg to consider how to be top of mind amongst this target segment, when compared to other non-alcoholic beverages that these young adults might also be thinking about.

The first step in your consulting services to Bundaberg is to visit the brand’s website and also to understand a bit about its history:

o Website: https://www.bundaberg.com/

o History: https://www.bundaberg.com/about-us/

Assessment Instructions

Your report should have the following headings and address the topics below:

1. Introduction:

A brief summary of the situation in the case study and what you, as a consultant, have been tasked with doing for your client

2. Data: An indication of:

- What data you are able to obtain through public searching about Bundaberg

- What further data you would like to receive from Bundaberg directly

- What additional data you will have to collect for your consulting work

3. STP: Your recommendations on:

- How to approach segmenting the market

- Which segment you wish to target

- How to position Bundaberg for that target segment

4. Marketing mix: After you have positioned Bundaberg, indicate:

- What your proposed product or service should be (e.g., should it remain as is, or do you have suggestions on how to change it to pursue a stronger competitive advantage?)

- How you will promote the product or service to the market (e.g., using your digital assets)

- The place that customers should access the product or service (e.g., digital channels of distribution)

- Pricing strategy for the product or service (e.g., tactics to use; understanding value to the customer)

5. Marketing costs:

What fixed, variable and marginal costs are most relevant to this case study?

6. Customer relationships:

Your recommendations on:

- What Bundaberg should do with customer relationship management

- What Bundaberg can do to acquire new customers

7. A/B testing and Multivariate testing:

State what A/B testing and multivariate testing you would like to conduct, and why

8. Conclusion:

Summarise the most important recommendations you are proposing that Bundaberg should address first, and what metrics Bundaberg should look at to understand whether your advice has produced beneficial outcomes

9. Statement of Intent:

You will write a short statement of intent which addresses: (1) who your target audience is for the report, in the context of your consulting activity for Bundaberg; and (2) what techniques you have used to connect with that audience and improve the readability of your report for that audience.

Solution

Introduction

Brief Summary

The popular Australian non-alcoholic beverage company Bundaberg Ginger Beer is looking to improve its digital marketing methods to keep up with shifting customer preferences. The preference of young Australian adults for online grocery buying versus in-store browsing is notable. Bundaberg has a problem and an opportunity as a result of this change. If the company wants to keep selling to tech-savvy young adults, it has to make sure its product stands out when compared to competitors' drinks (bundaberg.com, 2020). To begin this consulting project, it is necessary to familiarize oneself with Bundaberg's rich history and to peruse the city's website. Bundaberg hopes to gain an edge in the market by capitalizing on the disruptive potential of digital transformation in the beverage retailing industry.

Task as a Consultant

Bundaberg Ginger Beer has hired me as a consultant to revamp their digital marketing techniques so that they can better appeal to the growing demographic of young working individuals in Australia who prefer to do their grocery shopping online. The mission is to increase Bundaberg's online visibility maintain its status and reach as a preferred destination for this target audience.

Data

Type of Data gathered from public search

Searchable information about Bundaberg reveals the company's long and storied history, charting its rise from a modest Australian family business to a household name throughout the world. The website includes information on the company's products, ingredients, brewing methods, and core beliefs. Consumer opinions and preferences may be gleaned via reviews, testimonials, and social media activity (Forth, 2021). Their market standing, partnerships, and innovations may all be better understood with the help of news stories, press releases, and industry reports for MBA assignment expert.

Data like to receive from Bundaberg directly

Sales Data: Breakdown of sales channels, highlighting online vs. offline revenue.

Customer Demographics: Age, location, and purchasing behaviors of their primary and secondary audiences.

Website Analytics: User traffic sources, bounce rate, average session duration, and conversion rates.

Digital Ad Reports: Past and current campaigns' performance metrics, ROI, and target demographics.

Social Media Insights: Engagement metrics, audience growth rate, and content performance across platforms.

Customer Feedback: Any surveys or feedback tools capturing consumers' online shopping experiences.

Competitor Benchmarking: Insights into competitors' digital marketing initiatives and their performance.

Bundaberg's digital footprint and growth potential may be better understood with this information.

Additional Data that needs to be collected for consulting works

Consumer Behavior Insights: Studies on the evolving preferences and online behaviors of young Australian adults.

Market Trends: Current and anticipated digital trends in the non-alcoholic beverage industry (dcencompass.com.au, 2021).

UX Analysis: User experience metrics of Bundaberg's website and mobile platforms, identifying pain points.

Customer Journey Mapping: Analyzing the touchpoints customers interact with from awareness to purchase.

SEO Performance: Rankings on keywords relevant to Bundaberg and its competitors.

Affiliate and Partnership Data: Performance metrics of any online partners or influencers.

Feedback Loops: Mechanisms to continually capture and analyze feedback during the digital transformation process.

STP

Segmentation

Bundaberg's market must be segmented using many criteria for maximum efficiency. The company should start with some basic information, such as age, gender, income, and employment, focusing in particular on the online shopping-inclined young adult group. Consumption habits and brand allegiances may be better understood with the help of behavioral segmentation. The company should distinguish between consumer habits in urban and rural areas and their access to the Internet. The segmentation may be refined even further by taking into account the desired advantages, such as health, flavor, or brand philosophy.

Targeting

Bundaberg would do well if they focused on the growing population of young individuals who are more likely to do their food shopping online. This age group, roughly spanning from 18 to 35 years old, is not only tech-savvy but also trend-aware and healthful. They want drinks that don't sacrifice flavor for health, and Bundaberg's all-natural brewing method fits in with the current trend towards more genuine and wholesome beverages.

Positioning

Bundaberg has to emphasize its genuine brewing technique and healthier, all-natural ingredients to appeal to today's tech-savvy young people. The company needs to use narrative to take advantage by focusing on Bundaberg's Australian history and this will appeal to their audience because they respect originality and customs. The company needs to promote the drink and educate this audience about the brand's values and what makes it special via interactive internet campaigns to increase digital engagement.

Marketing Mix

Proposed Product or Services

While regular Bundaberg ginger beer certainly has its appeal, the corporation would be better off launching a "Bundaberg Lite" variety if it wanted to acquire a competitive edge among today's tech-savvy young people. The original method of brewing will be preserved, but the natural sugar content will be lowered to appeal to health-conscious consumers. By redesigning the packaging to use sustainable and eco-friendly materials might pique the interest of green-minded buyers. Also, to increase participation and a feeling of belonging, the company can create limited-edition flavors based on current events or requests from the public. The company should introduce a subscription service with regular delivery and unique online content focusing on health, well-being, and sustainability to elevate the digital experience. By refreshing the product range in this way helps Bundaberg maintain its competitive advantage in the market by keeping up with the changing tastes of its core demographic.

Promotion of the Product

Bundaberg's real story, from brew to bottle, deserves to be told in an entertaining video campaign that spans several channels. The firm would be smart to form partnerships with well-known health and lifestyle influencers since the credibility of the brand would be boosted by the influencers' genuine endorsements. Inviting people to share their own Bundaberg experiences via interactive social media challenges or competitions is another way to increase user-generated content and engagement. Users of social media sites like Instagram and Snapchat might be given a virtual tour of the Bundaberg brewery with the use of augmented reality (dcencompass.com.au, 2021). Subscribing customers would be informed of new products, discounts, and brand backstories through targeted email marketing campaigns.

A Place to Get the Product

Bundaberg has to put a premium on being sold on major online grocery platforms and on its direct-to-consumer e-commerce website to appeal to the tech-savvy young adult demographic of today (Chanthadavong, 2022). This guarantees that the product may be found in stores frequented by its intended consumers. Incentives for online purchases could include unique sets, subscription packs, or limited-edition flavors. The 'Bundaberg Chill' option, which allows customers to add a refreshing drink to their meal orders, may also be introduced via partnerships with food delivery apps.

Pricing Strategy

Bundaberg should implement a tiered price structure to encourage repeat business and test out their product. For instance, a special introductory price could be available for new customers or subscribers. Offer discounts when buying in bulk by purchasing numerous bottles or flavors.

Marketing Costs

Maintenance of digital platforms, the salary of digital marketing staff, and the price of maintaining long-term relationships with online influencers and other platforms are all examples of fixed costs. Digital advertising budgets are an example of a variable cost, as is the price of making new product iterations like "Bundaberg Lite" and using sustainable packaging materials. The expenses connected with special pricing and limited availability sales are included here as well. When manufacturing ramps up owing to increased demand from the new target market or the launch of new product lines, the marginal cost per unit of the beverage becomes more important.

Customer Relations

Recommendations for Customer Relationship Management

A strong customer relationship management system will allow for customized messages, depending on a customer's interests and previous purchases. Bundaberg can foresee its consumers' buying habits and proactively include them with suitable promotions by analyzing this information. Incentivize repeat business via a loyalty program that allows customers to earn points towards prizes like freebies or price reductions on future purchases. In addition, CRM may be used to solicit comments, making customers feel heard.

Recommendations to acquire new customers

Bundaberg may reach a wider audience by partnering with influential people and making use of their large followings. Young, tech-savvy people might be attracted to digital advertising campaigns on Instagram, TikTok, and YouTube if they have eye-catching imagery and compelling narratives (sbs.com.au, 2023). First-time purchasers might be encouraged to try a product by taking advantage of special promotional offers, such as cheap trial packs. Bundaberg can reach more people via strategic alliances with major online supermarkets or food delivery applications.

A/B Testing and Multivariate Testing

Bundaberg might use split-testing to discover which of two ad creatives or messages performs better with its online audience. One advertisement may highlight Bundaberg's illustrious history, while another may highlight the beverage's all-natural composition. On the website's landing page, multivariate testing might be used to determine the most effective mix of call-to-action (CTA) buttons, product photos, and testimonials to increase user engagement and sales (sbs.com.au, 2023). To maximize the return on investment (ROI) of marketing efforts, it is essential to do both A/B and multivariate testing on various aspects of the digital experience.

Conclusion

Bundaberg has a long history, but the company must connect with today's generation of digital natives. Brands may attract their target audience by using techniques like market segmentation, product positioning, and digital tactics that are specifically designed for them. Bundaberg is kept nimble, current, and ready for expansion using continuous optimization via A/B and multivariate testing.
 
Statement of Intent

The executive and strategic teams at Bundaberg are the key readers of this report. This group includes those with a stake in marketing, product development, and digital changes. The study was written with these decision-makers in mind since they need data-driven insights and practical suggestions to improve Bundaberg's strategy for reaching the city's youthful, tech-savvy population. I have used a methodical approach, reducing abstract ideas to concrete steps, to make a stronger connection with this audience and improve the report's readability. The document has been edited to reduce the amount of jargon used while keeping a businesslike tone appropriate for the target audience. This report seeks to be useful for Bundaberg's strategic efforts by providing relevant information in an approachable style. The goals of each part are stated at the outset to help direct the reader and highlight the most important points. The audience's demands and queries will always be met because of the iterative nature of the feedback mechanisms that were taken into account. By covering all bases, this strategy increases the likelihood that the report will be implemented, which will benefit Bundaberg in the long run.

References

bundaberg.com, 2020. about us. [Online]
Available at: https://www.bundaberg.com/about-us/

Chanthadavong, A., 2022. Woolworths to expand e-commerce offering with 80% stake in MyDeal. [Online]
Available at: https://www.zdnet.com/article/woolworths-to-expand-e-commerce-offering-with-80-stake-in-mydeal/

dcencompass.com.au, 2021. How digital transformation is revolutionizing the Australian retail industry. [Online]
Available at: https://dcencompass.com.au/blog/how-digital-transformation-is-revolutionizing-the-australian-retail-industry/

Forth, P., 2021. The Success Formula for Australian Companies to Digitally Transform. [Online]
Available at: https://www.bcg.com/publications/2021/digital-transformation-in-australia

sbs.com.au, 2023. Young Australians are drinking less. Why is Gen Z so sober-curious?. [Online]
Available at: https://www.sbs.com.au/news/article/young-australians-are-drinking-less-why-is-gen-z-so-sober-curious/yr8i6a75u