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"Pick The Tick" Logo: A Case Study From Australia.

2106 words - 8 pages

Introduction"Pick the Tick" program was designed by National Heart Foundation of Australia as a food & food products approval program. It is supposed to help consumers in decision-making process of choosing the right food products. It is considered that the consumers are not well versed with the encoded ingredient information on the product hence the NATIONAL HEART FOUNDATION tests the product and gives its approval for the nutritional contents of the product in form of a tick logo. The manufacturers on the products and in their advertisements can then use this logo. In return of this the companies manufacturing such products or requiring this logo on their products have to comply with the strict guidelines of NATIONAL HEART FOUNDATION and also pay a fees in form of 0.25% to 0.5% of the total expected sales revenue ( The approval by NATIONAL HEART FOUNDATION is valid for 12 months; this ensures constant quality maintenance by the manufacturer. NATIONAL HEART FOUNDATION also promotes this program through advertising in form of pamphlets, posters, shelf wobblers, ticket toppers, newspaper advertisements, etc. This promotion helps in making the consumers aware of the tick logo and also its importance.We are required to analyse the market segment, which the products with the tick logo are targeting, and also analyse how the consumers perceive the tick logo appearing on the products and in advertisements.1.SegmentationMass marketing or the "Shot gun" approach is very expensive, wasteful of resources and also risky (Kotler et al, 1994). One cannot please everyone at a time. Therefore marketers usually target a particular product to one or more particular groups. The process of identifying groups of consumers who are similar to one another in one or more ways, and then devising marketing strategies that appeal to one or more groups is known as Segmentation (Soloman, M., 2002, pg-7). Segmentation of market is an important tool used by marketers which helps them in efficient use of organizational resources by designing and developing products, using promotional techniques, distribution networks and pricing strategies based on its target market. For example, Lovedent toothpaste has kids as its market segment and they have developed different flavours like strawberry and orange to appeal to kids. Also the company has reduced its promotional costs by targeting this specific segment (Director, Neal Impex Inc. - Distributor of Lovedent Toothpaste).Primary step in segmentation is to identify possible bases for segmenting the available market (Subasinghe, S. & Butcher, K., 2002, - module1 pg.8). Most common bases are demographic, geographic, psychographics, behavioural and situational characteristics. Marketers often try to divide their market on the basis of above criteria. Once they have segmented the market, they plan and implement strategies, which would be most suitable for their segments of market.From the case study, it is found...

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