Essay About January 2019Problem Statementjim Wells And Direct Mail

Mk 5113 Cases in Marketing Management & Strategy – Shoes for Moos: Case Study
Shoes for Moos: Case Study 1[pic 1]MK5113: Cases in Marketing Management & StrategySubmitted to: MacDara HostyWord Count – 1200Submitted by: Vikash Kumar Singh 18234890 Tarundeep Singh 18234200Sohini Mitra 18232530Hita Prem 1823119427 January 2019PROBLEM STATEMENTJim Wells found out that cows had foot infections due to which the milk production was affected. He then went on to create ‘Shoes for Moos’ which was a specially designed footwear for cows to combat this issue.With limited capital and lack of industry experience, he has to bring into factors such as analyzing the competition, determining his ideal selling price and understanding the potential for this market.Primary Problem: Is it profitable to start the business?If it is established that he must go ahead with ‘Shoes for Moos’ Wells must tackle the Secondary problems: Choosing the right promotion and strategic distribution planSITUATIONAL ANALYSIS (SWOT Framework)[pic 2]FIRM ANALYSIS (Through 4Ps Framework)Product: The company Shoes for Moo’s has a stellar approach to protecting the infected cow’s feet from getting worse and spreading, a distinctive feature amongst other competitors. Along with Kaufman footwear, he was able to offer high-quality shoes that fit the description. The unique selling point was the rubber exterior of the shoe that kept the moisture and dirt away because cows tend to roam around in ponds or wet pastures which increases the infection. Place: The two options he has considered for distribution is direct mail and dealers. The direct mail was through The Foundation for the Mentally Handicapped that charged $2 per shoe along with varying costs. The dealers required a 40% margin, which Wells was not ready to pay. The cost comparison between direct mail and distribution is shown in Appendix.Promotion: Wells explored various options for promoting the product through trade shows, magazines, flyers, and videotapes. There are 1.1 million dairy cows in Canada with 70 % of them in Ontario and Quebec and 9.2 million in the US. The opportunities for promotion are vast with this impressive census. There are 16,772 dairy farms in Ontario and Quebec alone. If Wells can leverage this data and create a stellar marketing plan, he must be aware about his target audience. It was noticed that although the dairy farms reduced in Canada, the size of them grew larger. This meant more cows would be in close proximity and the infection would spread at a faster rate. Having a broad approach in targeting the customers, might be a threat as he may miss the needed segment. Hence, sticking to Quebec and Ontario in the initial stage is best. The cost for promoting in trade shows including miscellaneous costs is $6035, on magazines is $1565, flyers are $6744, videotape is $2200 and handing out shoe samples is $285.