SILVERA & SONS MARKETING PLAN

Silvera & Sons Marketing plan



Silvera & Sons Marketing plan

Marketing plan

Executive Summary

Silvera & Sons (S&S) prepares green Arabica coffee beans grown in Brazil for exportation to American specialty roasters and sells to wholesalers on the Brazilian market as well. S&S will expand production capacity from 72,000/60kg bags per year to 120-160,000/60kg per year. The coffee stands out from that of the competition. S&S prepare the top five percent, in terms of quality standards, of all Arabica beans on the market. S&S' customers seek this product as it provides them with a point of differentiation to specialty roasters. In the past six years, demand for the coffee has exceeded the amount S&S is able to supply and have been forced to refuse requests for larger shipments.( P. Sethi, 2002 20)

In year three the plant will run at maximum capacity. S&S has positive indicators from current importers that the additional amount of beans will be sold.

The keys to success are:

1. Establishing and maintaining working relationships and contractual agreements with American importers and Brazilian coffee brokers and wholesalers.

2. Bringing the new facility to maximum production within three years of operation.

3. Increasing the profit margin with the use of improved technology in the new facility.

4. Effectively communicating to current and potential customers, through targeted efforts, our position as a differentiated provider of the highest quality Arabica beans in the world.

Coffee has been a growing industry for the past five years. The most notable growth has been in the American market where imports have increased almost one-hundred percent and the market price has nearly doubled. The number of specialty roasters has increased from a handful of well-known companies to thousands of independent entities. There is a constant struggle within this market to produce the best coffee and serve one or more niches within the larger market. Brazilian coffee producers and exporters have made great efforts to improve agricultural techniques, processing methods, and distribution in order to better serve this growing market. Demand for Brazilian coffee is currently greater than supply.

By providing the finest species of coffee, Silvera & Sons has taken the first step towards a differentiated product. To further distinguish their coffee, S&S adheres to higher quality standards than approximately ninety-five percent of the market. In addition, all of the beans are of the Bourbon Santos variety. The "Bourbon" strain is considered one of the finest Brazil has to offer. It is grown in the mountains surrounding Sao Paulo and is highly sought after by specialty roasters from around the world. S&S has assumed the position of a specialized provider of this exceptional coffee. The customers, American and Brazilian specialty roasters, recognize Silvera & Sons for their ability to provide the type of beans they require to produce award winning coffee.

Situation Analysis

S&S has been in business for six years.  The business has been well received and marketing will be key to elevate the business to the next level.  The basic market need is a source of high ...