MARKETING STRATEGY

Marketing Strategy of Kraft Foods



Marketing Strategy of Kraft Foods

Introduction

Market orientation is the mechanism that creates the environment in the organisation to listen, understand and respond to the market and competition, creating strong competitive advantages, so this approach is considered a key success factor. In this age of globalisation, it is necessary for an organisation to transform its routines and use the unusual ways of serving the sector, in which the company is working. In this paper, Kraft Food's marketing strategy is discussed focusing on the marketing strategy and persisting trends in the market, which has seen a tremendous growth in contemporary times due to the presence of potential competitors, striving to make their mark in the ever-growing industry.

Company Description

The Company, since its establishment by James L. Kraft in Chicago in 1903 is one of the major players in food and confectionary business. Kraft Foods is an independent company. Today, Kraft Foods has about 90,000 employees and is one of the largest food and beverage companies in the world, with annual revenues of more than 34,000 million dollars and a broad portfolio of iconic brands marketed in 155 countries (Fritscher, 2002, 61).

Mission/Vision

Kraft Foods wants to be for them the "Preferred Partner" by establishing relationships with them honest, stable and lasting, fulfilling the commitments undertaken strictly in terms of service and quality so that products reach shelves in excellent condition and are supported through advertising and promotions that make them more attractive to consumers (Contreras, 2008, 50).

Market Analysis

The rapid evolution of markets requires constant analysis of the same, in order to identify and evaluate opportunities; we must establish and use a reliable marketing information system. Market research is essential to understand their needs, desires, location, buying habits, etc. The research objective is to collect information about the marketing environment relevant to the company. Also, attention will be needed to identify and monitor competitors (Borch, 2006, 1). The key is to develop and maintain good and updated competitive intelligence system, finally do not forget the assessment of threats and opportunities posed by changes in environmental factors and actors.

The company, before launching a product, must first know the needs and tastes of customers and thus focus on a segment of people which is known as market segmentation it triggers in a market which is where the company directs its product (Bluestein, 2008, 35). The smaller market segmentation should be directed towards the activities of the micro market, niche markets for micromarketing.

Kraft Foods first must understand what customers need and want the product. Usually, different customer groups have varying needs and expect different things from their products, demand is heterogeneous. The aim is to understand what they need and expect customers of the product. Customers who need to get different things from the same product are called market segmentation. A target market is the specific group of customers which the company is directed. Each of the target segments can be formed only by a single customer or may be so large that ...