Product_Launch

Product Description Wine would go well with a fine homemade gourmet meal. KFF is packed with some of the finest wines from around the world. Wine selections are collected from around the world and sold to customers at affordable prices (UOP, 2009). The wines from KFF are selectively chosen. The description of wine is not so easy; because every individual has his or her own taste that he or she is looking for in a wine. Common description for wine would be the flavors, balance, bright, clean, bold, crisp, dry, dull, elegant and so on. In the marketing perspective in selling wine KKF should differentiate their wine from their competitors. Targeting and Positioning When selling wine Kudler must focus their business competence on the specific groups and buyers. Kudler will need to target those segments their other competitors cannot offer. This will be their differential advantage. KFF needs to target those who have the ability and willingness to purchase wine. Once KKF has targeted their market, they need to position their wine products. When positioning the wine products, KFF needs to see the mind of their customers and they need to distinguish their company’s product and brands from those of their competitors. In a winery’s perspective positioning the wine should involve the developed, price, promotion and distribution. SWOT The reasons for a SWOT analyses is to help examine the environment the KKF is in. |Strength |Weakness | |Personal relationship with staff |Specialty shops with high payroll | |Repeat customers |Small management teams with overwhelming responsibilities | |Affordable prices |Hours of operations (11 am to 12 am) | |Quality of product | | |Small organization | | |Customer oriented | | |High selection of products (wines) that come from around | | |the world | | |Opportunity |Threats | |Global environment |Competitive forces in the US wine industry | | |Economic recession | |Catering services |New regulations | |Additional product lines as the company grows |Bars operation hours are 11 am to 2 am and even 4 am with | |Acquired by a larger organization |license | | |Taxation may be introduced on the product or service | | |Price war | | |Bargaining power of buyers | | |Bargaining power of suppliers | In analyzing the opportunities and threat, one should look at the overview of the general environment in the wine industry that includes the political, technological, economic and global segments. There are many factors that can contribute to the SWOT like the age of drinking, the health or fitness of an individual and the blood alcohol level for DUI. Market Needs Kudler will need to establish that the wine product is suitable for Hawaii market. Best way to understand the market needs is to have a local study and compare Kudler products with those of their competitors. Kudler is known that they highly appreciation their customers; they have a high customer service atmosphere. Kudler main concern for the market needs is to continue providing service and value to the customer. Additional market needs would be to participate as an active company in all the communities in which Kudler is located and to create a positive work environment for all employees. Increase the market needs in the local market. Market Potentials and Market Growth The probable demand for wine would be during Christmas season in Hawaii. To determine if the wine would be profitable in Hawaii, Kudler needs to analyze the wine product, brand, and the purchase pattern. There is an up an down, slow and steady in the wine market, especially with the table wine. Kudler needs to consider the changes and expansion to continue to grow in the domestic market. One can assess market growth by forecasting product demand, price, and product satisfaction. In order to reach a high level of profitability or production Kudler would have to attract the sophisticated drinkers. Competition Selling wine in Hawaii, Kudler will experience some threats with the supermarket, restaurant, and bars. Not all supermarket, restaurant, and bars carry the same wine, so the advantage that KFF would have if they carry a variety of wines is a one stop-shopping store. KFF store specializes in specialty of fine wines from all over the world. Selling wine in Hawaii can be a threat. Depending on the store hours, most Hawaii supermarkets stop selling alcohol beverages by twelve midnight. Most of the bars stop selling alcohol by 2 am and some with license stop selling by 4 am. The direct competition would be if the customers would rather go out to drink than stay home.