International Marketing Management Case Study

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Introduction

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International marketing includes determining, targeting and supplying to the pReferences and needs of the customers across the several countries. The global marketing comprehends implementing the strategies of marketing, goods & services to the diverse economic, cultural and regulatory environments. In addition to this, report will be based on international marketing management of Graze. It is one of leading food Distribution Company within the UK and it was incorporated in 2008 by Graham Bosher. The parent organizations of this company are Unilever and Nd4A Limited (Graze,2024). The key focus of this organization is to provide healthy and delicious snacks to the customers. Now, Graze is looking to grow its business operation at global level by entering into new country i.e. Switzerland. Apart from this, the report will highlights the entry strategies within the international market, foreign trends and their influence on the local atmosphere as well as country specific communication.

Section 1: Market Entry Strategy

In the UK, Graze is leading company that manufactures and sells snacks and other goods related to food. Recently, this organization is gaining the huge success and now looking towards the growing and developing its business operation within new market i.e. Switzerland. It is challenging and comprehensive task for the organization to take the decisions for entering into the new market (Qi et al, 2020). When recognizing the entering in the Switzerland market, the direct arrangement option with the leading supermarket chain can be carefully estimated. It will be beneficial for Graze to enter in new market through direct arrangement with prominent supermarket chain in Switzerland which will provide the opportunity it to sell the goods in the physical stores. Selection of this option as an entry strategy will be beneficial for the business it provide the chance to sell the products in supermarket of chosen country which helps in gaining the competitive advantages

Along with this, it will be crucial for the Graze to recognise the retail and consumer environment in Switzerland at the time of estimating whether the option of direct arrangement is feasible or not. According to the statista research department, the market of food retail within Switzerland is highly dominating and competitive by the large retailers. In 2020, the turnover of retail sales of food amounted 2.6 billion euros (Statista research department, 2023). From this, it has been depicted that, the retailers of food industry have capability to set the prices and promotion as well as full control over the market. In the chosen country the customers are price-sensitive so cost-effectiveness will be regard as key element in the Graze product’s success. Moreover, the Swiss customers inclines to like local products so it will be significant for chosen business to recognize the localizing on its products in order to gain the competitive advantage over the competitors within the market of Switzerland.

It can be said that, the retail environment of Switzerland is highly competitive because it has capacity to upgrade and innovate the products so it will be essential for Graze to focus on differentiation of products to stand in front of competitors. It will be beneficial for Graze to choosing the option of direct arrangement with leading supermarket chain to develop its business operation within Switzerland. This is because it allows the chosen business to gain the admittance to wide number of consumer base and provide the opportunity to business with more control over the product placement, pricing and other significant aspects. Apart from this, if the supermarket chain is leading within Switzerland then it will be beneficial for Graze to build the strong relationships with the customers and suppliers as well as build the reputation in the new market. However, in some cases the direct arrangement will be risker for Graze to expand the business operation. The supermarket chains will not capable to provide the sufficient promotion and distribution so it will be impact negatively on the success and growth of Graze within chosen country.

Section 2: Global Trends and Their Application in the Local Environment

Trend 1

In the current times, people in all the countries are likely to purchase the sustainable products in order to protect the environment and for safeguarding their health (Rizzo et al, 2020). Sustainable and organic food is one of the key global trends that will be adopted by Graze because it is related to its brand proposition. This trend is particularly related to the Graze because it launched the box of organic snacks. This organization was also committed to provide the food products to the customers with the eco-friendly packaging to protect the environment and health of people. There is sign for the increasing significance of eco-friendly and organic food in Switzerland. For example, this country is majorly focusing on the implementation of sustainable techniques for the production that will help the organizations in reducing the environmental footprints (Lombard Odier, 2023). In the chosen country, the demand of sustainable food is rapidly increases. From last four years, the sales of sustainable or organic food have risen i.e. 22.5% in comparison to increase of non-organic i.e. 6.9% food over the similar period (SWI swissinfo, 2023).

The suggestion for given business in Switzerland will to emphasis on marketing its sustainable and organic snack boxes in order to attract more customers and develop the business operation successfully. To market the organic foods within the chosen country, Graze will need to increase its presence in the food stores as well as advertise the products through social media platforms. By doing this, Graze will successfully develop its reputed position within the chosen country.

Trend 2

Rise of vegetarianism and veganism is another trend that needs to be followed by Graze and it is related to its brand proposition (Tan et al, 2021). In the Switzerland, the people are also like to eat the vegan foods so it will be beneficial for this organization to implement this trend in order to gain the competitive advantages over the competitors and build the reputed position. For example, the vegan snack boxes of Graze will be the better option for it to attract the customers, increase sales and profitability. In Switzerland, 5% of the total population are eating vegetarian foods and it will increase in future (Mangold, 2021). So it will be beneficial for Graze to provide vegetarian foods to the people from that they are likely to make the purchase again and retain with them for the long period of time.

The suggestion for Graze in Switzerland will to more focus on promoting or marketing the vegetarian snack boxes which helps in attracting more customers and build the brand image within the new country. For marketing the vegan products in Switzerland, Graze will need to increase its presence in vegetarian restaurants and fostering the products with the help of digital platforms. By doing this, Graze will increase its presence in the new market and customer base which ultimately positively impacts the reputation and profitability.

Section 3: Country-Specific Communications

(i) Segmentation, targeting and positioning (STP) of Graze

Graze has decided to grow its business operation within the Switzerland. To make sure a follow-up strategy and success launch in Switzerland, organization will need to develop the effective STP strategy (Ad?güzel, 2020).

Segmentation

Graze can use wide range of methods of segmentation such as demographic, behavioural, geographic and psychographic segments to the Switzerland market. Geographical division is utilized to categorize the marketplace into diverse geographic regions. Demographic division can be utilized to classify the marketplace into gender, education, age and income. Graze can divide the market on the basis of lifestyles, attitudes, interest, culture and perceptions of the customers within psychographic segmentation. The behavioural segmentation is utilized to categorize the market on the basis of loyalty and usage.

Targeting

Graze can use the method of segmentation to determine its target market for goods in Switzerland. The determined target market can involve the customers from all genders and ages with the higher income who are usually looking for healthy snack options and health conscious products. Graze will technical savvy and use updated and latest technology in order to buy and research the products.

Positioning

Graze can build the position in the mind of the target consumers within the Switzerland by providing unique products with health benefits and better quality. Graze can also develop the position of its products as affordable, suitable and favourable snack options which are appropriate for all the occasions.

(ii). Marketing mix of graze

 For any successful business strategy, marketing mix is regard as one of the significant element and it is widely used by the organizations in order to gain the competitive edge over the rivals (Darmawan and Grenier, 2021). It is a mixture of price, product, place and promotion. In the global marketing, then it will be crucial for the organization to analyse the marketing mix for growth and development.

Product: Graze needs to focus on adapting its core products to the Switzerland market. This element of marketing mix will include localizing the product packaging and content which helps in attracting and retaining the Switzerland customers. To build the position within the market and attract more customers in new market it will be crucial for Graze to investigate the local needs to see if any additions and alterations to the variety of products that can be made according to the requirements of Switzerland market.

Price: In Switzerland, give business has wide range of competitors such as Vacopack, Vpick, Iswari etc., so it will be need to set the prices of its products according to the competitors. In addition to this, organization needs to make focus on offering more discounts. This in turn also helps in attracting more customers which ultimately directly impacts the profitability and sales.

Place: To increase the traffic and reach to the right customers, Graze is required to use right distribution channels. The organization can use both online and offline channels such as convenience stores and supermarkets.

Promotion: To advertise the products within Switzerland, Graze will need to use various marketing channels such as public relations, advertising, digital marketing or direct marketing. All marketing channels will be effective for marketing products within the new market because it helps in attract more customers. Advertising helps in attracting more customers and educate them as well as increase the brand awareness (Hanaysha, Al Shaikh and Alzoubi, 2021).

(iii) Social media communications

Social media is considered as most effective method to reach out the target audience. To make sure the successful growth and development of Graze within the Switzerland market, it is significant to adapt and standardize the social media communication. This organization will implement the social media communication strategy to fulfil the requirements of Switzerland customers and its culture. The organization can use numerous channels of social media such as Instagram, Facebook, YouTube to interact or communicate with customers (Manzoor et al, 2020). The channels will helps in translating the message into the languages which are used in this country and videos as well as images related to the Switzerland culture and lifestyle. With the help of social media communication, Graze will engage the customers of Switzerland effectively. Implementation of social media communication strategy will be beneficial for the organizations because it helps in educating the customers, provide regular updates and information to them about the products (Li, Larimo and Leonidou, 2021). It helps in surge the awareness of customers from which the customers are probable to make the purchase again that ultimately positively impacts the profitability and sales. To communicate with the customers about the products Graze will also use the social influencers because they are more probable to interact and trust with influencers who are conversant to them.

International Marketing Management Case Study

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 CONCLUSION

 In summarization, Graze can successfully enter within the market of Switzerland through direct arrangement with leading supermarket chain. To develop and growth the business operation within the new market it can be significant for the business to adapt the key international trends which are related to its brand propositions. It can be significant for the organization to develop STP strategy to determine the target customers and market. Additionally, Graze can use effective marketing mix channels involving social media to determine the needs and requirements of the consumers within the Switzerland market.

REFERENCES

Books and journals

• Ad?güzel, S., 2020. Market and brand positioning and sustainability strategies in international marketing. International Journal of Scientific Research and Management, 8(9), pp.9-24.
• Darmawan, D. and Grenier, E., 2021. Competitive Advantage and Service Marketing Mix. Journal of Social Science Studies (JOS3), 1(2), pp.75-80.
• Hanaysha, J.R., Al Shaikh, M.E. and Alzoubi, H.M., 2021. Importance of marketing mix elements in determining consumer purchase decision in the retail market. International Journal of Service Science, Management, Engineering, and Technology (IJSSMET), 12(6), pp.56-72.
• Li, F., Larimo, J. and Leonidou, L.C., 2021. Social media marketing strategy: definition, conceptualization, taxonomy, validation, and future agenda. Journal of the Academy of Marketing Science, 49, pp.51-70.
• Manzoor, U., Baig, S.A., Hashim, M. and Sami, A., 2020. Impact of social media marketing on consumer’s purchase intentions: the mediating role of customer trust. International Journal of Entrepreneurial Research, 3(2), pp.41-48.
• Qi, X., Chan, J.H., Hu, J. and Li, Y., 2020. Motivations for selecting cross-border e-commerce as a foreign market entry mode. Industrial Marketing Management, 89, pp.50-60.
• Rizzo, G., Borrello, M., Dara Guccione, G., Schifani, G. and Cembalo, L., 2020. Organic food consumption: The relevance of the health attribute. Sustainability, 12(2), p.595.
• Tan, N.P., Conner, T.S., Sun, H., Loughnan, S. and Smillie, L.D., 2021. Who gives a veg? Relations between personality and Vegetarianism/Veganism. Appetite, 163, p.105195.
• Online
• Graze,2024. About us. [Online]. Available through:< https://www.graze.com/uk/about/ >. [Accessed On: 15^th January,2024]. 
• Statista research department, 2023. Turnover of food retail trade sector. [Online]. Available through:< https://www.statista.com/statistics/531644/switzerland-turnover-food-retail-trade-sector/ >. [Accessed On: 15^th January, 2024]. 
• Lombard Odier, 2023. Sustainable farming in Switzerland. [Online]. Available through:< https://www.lombardodier.com/contents/corporate-news/responsible-capital/2023/september/the-clicr-chronicles-swiss-farmi.html#:~:text=This%20is%20evident%20in%20Switzerland,reducing%20the%20sector's%20environmental%20footprint.>. [Accessed On: 15^th January,2024]. 
• SWI swissinfo, 2023. Swiss-organic-food-sales-jump-sharply [Online]. Available through:< https://www.swissinfo.ch/eng/business/swiss-organic-food-sales-jump-sharply/48378918#:~:text=Sales%20of%20organic%20food%20have,Switzerland%20over%20the%20same%20period.&text=Between%202018%20and%202022%2C%20organic,68%20billion%20to%20CHF3.>. [Accessed On: 15^th January,2024]. 
• Mangold, H., 2021. Brief-history-of-vegetarianism-in-Switzerland. [Online]. Available through:< https://blog.nationalmuseum.ch/en/2021/04/a-brief-history-of-vegetarianism-in-switzerland/>. [Accessed On: 15^th January,2024].