STRATEGIC MARKETING AUDIT

Strategic Marketing Audit for Chapel Down Vineyard

[Name of Student]

Strategic Marketing Audit for Chapel Down Vineyard

Introduction, Industry and Company Overview

Chapel Down Vineyard is one of the largest wine companies in the world, with a 1% global volume share in 2011. Chapel Down Vineyard's main regions are the mature markets of Western Europe, North America and Australian market; but, in recent years the company has also started developing its presence in fast-growing markets of Asia Pacific, such as China, Japan, Singapore and Malaysia. Over 2007-2011, the company's results were severely impacted by oversupply in its domestic market, which led to the devaluation of wines and continuous discounting in the company's main UK and US, markets as well (Basu, 2010, 78-83).

Chapel Down Vineyard is committed to volume growth in the markets and categories where it operates, but due to restricted consumer spending and heavy discounting in many of its core markets, it has shifted its focus from volume to value generation of its wine portfolio has been a major target for the company. In line with this strategy, Chapel Down Vineyard intends to increase net sales revenue ahead of volumes through selective price increases and by improving its price/mix. The company is committed to developing its presence in the region; however, establishing a major footprint requires significant investments, and it has to adapt to different cultural and drinking habits.

The Marketing Mix

Product

The products offered by Chapel Down Vineyard target premium and elite class consumers. The products in Chapel Down Vineyard's brand portfolio target the elite demographics that prefer wine to whisky and other luxurious substitutes. Nonetheless, there are some brands of Chapel Down Vineyard that also target middle class income segment. The products are prepared through sophisticated procedure with minimal chemical inclusion and pesticides. The products guarantee finest quality of wine and taste as compared to its competitors.

Price

Chapel Down Vineyard has adapted competitive pricing strategy in order to successfully target every possible market segment. The price offered by the products in Chapel Down Vineyard's brand portfolio is market compatible and target the consumers from elite to middle income class. Chapel Down Vineyard has adapted competitive pricing strategy as the competition is intense and the new entrants in the market are offering low-priced brands; hence, in order to survive in competition without compromising on quality competitive pricing is optimal option for Chapel Down Vineyard.

Place

Chapel Down Vineyard has strong distribution channel that operates not only in the markets of the United States but is also responsible for global distribution. Chapel Down Vineyard is one of the prime exporters of wine; hence, the availability of the brands offered by organization has strong impact on the brand. The distribution of Chapel Down Vineyard is realized in different geographic localities on the basis of the target market that company wants to target. The demographics selected as target market by the organization are the elite and middle class consumers dispersed in diverse geographic localities of the United States along with other global markets. Chapel Down Vineyard maintains strong ...