Kudler Fine Foods Marketing Research

Kudler Fine Foods Marketing Research

Kudler Fine Foods, a gourmet grocery store, needs to expand its services, improve operations efficiency and increase its consumer purchase cycle due to its recent significant growth. Marketing research in developing Kudler's marketing strategy and tactics is important. Areas where marketing research is needed and other issues affecting such research at Kudler's include advertising methods, consumer buying behaviors and demographics, funding, branding strategies and competition aspects. Knowing Kudler's competition and the competitive environment is essential to their marketing strategy and methods of how Kudler should gather and analyze information about their competition will be reviewed.

Importance of marketing research

Marketing research is important for Kudler Fine Foods to have a successful marketing strategy and for the company to remain strategically successful in the grocery store market. Research helps determine what demographical audience is appropriate for its products. Finding the right target market is essential in developing a company's strategic and marketing plans, especially for a gourmet grocery store like Kudler's. Research will be the backbone that makes those plans grow.

Market research will also let Kudler know who its direct competitors are and what advantages the company may have over them. Whole Foods, Trader Joes, small organic food stores and even the local farmer's market could all be considered Kudler's competition. Discovering the competitor's customers could help Kudler target this audience as well, by promoting itself as a better alternative.

Important marketing research issues

One marketing issue that hinders Kudler's ability for proper research is funding. Though Kudler's gross sales were over $10 million, when costs and operating expenses are considered, the company's net income is less than $700,000. Does Kudler have enough resources to launch the promotion of its stores? Reducing operations costs while increasing revenue, is an issue that will need to be resolved so Kudler can perform adequate marketing research. In order to grow, the company must be proactive in using its funds to reach more people.

Another issue important to marketing research is understanding consumer buying behaviors. Kudler executives may think or assume one thing about the company's customers, but reality may be different. Kudler's development and implementation of an integrated system of tracking customer purchases and preferences using customer relationship management (CRM) software will help the company personalize loyalty programs, marketing campaigns and other services, resulting in a loyal customer base (Kudler, 2007).

Three areas in need of marketing research

Kudler's started out as small, but has experienced rapid growth recently. This growth will be stopped in its tracks if adequate advertising is not implemented. New customers must be obtained to continue growth. Social networking and word-of-mouth are legitimate growth strategies, however, other avenues of promotion, such as television, radio, internet and print advertisements should be examined to reach a new customer base.

Research into Kudler's customer base is needed. Who are Kudler's customers and what are they concerned about? Is pricing more important than quality and can both be achieved? What demographic groups do Kudler's customers belong? What products and services do the customers want? ...