Omega Paw Inc Case Study
Omega Paw Inc.Executive Summary   Michael Ebert is the president of the company Omega Paw Inc. The company sells a product — self-cleaning litter box which Ebert invented to help cat owners to dispose the cat litter in a better and efficient way. After one year running the company, it has reached a significant sale level with $1 million sales.  Ebert thinks the company can potentially target a larger market with the current resources and the fact that a rising cat population. Therefore, Ebert has to think of a great way to expand its marketing initiatives and seek diverse channels of distribution.Problems:How to expand the marketing initiativesConsider alternative channels of distribution in order to grow the business quicklyMarketing strategy Alternative:Reconsider mail order channelsPursue mass distribution outletsFocus on the untapped market — sell to grocery storesAs a recommendation, the company should take the alternatives of pursuing mass distribution outlets and selling to grocery stores. In the mass markets, there are more consumers which can potentially increase the amount of sales, but the competition in the mass market should be considered. In addition, the grocery stores are the untapped market, which is really a good opportunity for Omega to grow the business.Problem Statement   After a year of operations in selling the product—self-cleaning litter box, the company has reached an impressive sale level. The president of Omega Paw Inc. — Ebert was trying to expand its marketing initiatives and thinking of alternative channels of distribution in order to grow his company quickly.
Problems / Sub-problems / IssuesWhich advertising mediums should be used to promote the products?Omega Paw is a new company that has experience of only a year, and there are number of competitors that make the market more intense. Therefore, Omega must think carefully to make decisions in order to be prominent in the intense market.There are three main consumer groups that existing in the current market, so Omega has to decide which can be the major target group.The company has to plan and implement creative marketing and distribution techniques to increase efficiency and productivity, and then increasing sales.What is the retail price of the “Self-Cleaning Litter Box” in different channels of distribution?Objectives    The personal and company goal would be the same: to grow the business quickly and enter a larger market.AnalysisConsumer analysis:Segment1Segment 2Segment 3WhoThe “new pet owner” who had just get a cat or a kitten.The “existing cat owner”. The “gray zone” who own a variety of pets.What They need all the applicable pet care and maintenance product. They also want good quality, long lasting productsWell stocked with the traditional cat care and maintenance supplies They usually only concerned about the cat food.When They usually buy when they just get a new cat or a kitten.They usually buy when are doing shopping.They usually buy when the food is finished.Where Local pet stores or veterinarians officeA variety of locations such as pet stores, the veterinarian’s office, household supply stores and grocery stores.The places where are convenient for them to get cat food.Why They have no experience of pet caring and maintenance, so they need all applicable products.They have rich experience of taking care of their pets.The cats are not only pet that they have, and they do not concern about with specific cat products.How They usually do their own pet research or get experience from friends. They usually use their rich experience to decide which product to buy.As long as it is cat food.Market Size$4.21 million cats in NA    (84.2m *5%)$67.36 million cats in NA (84.2 million * 80%)$12.63 million cats in NA (84.2 million * 15%)