Marketing Case Study: Amarula Cream

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Register to read the introduction… 2006:265).

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There are three major options that Amarula could adopt to do this: 2.1.1 Increase the current market share:

In this instance, Amarula should tries to gain market share either at the expense of competition or by drawing a greater proportion of the new consumers entering the market (Du Plessis et al. 2006:265). To increase the current market share Amarula should accomplish two important tasks: (1) retain repeat product (Amarula Cream) from its existing customers, and (2) continue to capture the major portion of sales to the growing number of new customers entering the market for the first time.

2.1.2

Increase the quantity of product usage

This implies that Amarula should understand the underlying reasons for purchase and should convince consumers that more of the product should be used (Du Plessis et al. 2006:266). Amarula could introduced lowalcohol cream, instead of 17% alcohol, they can reduced it to 13% for instance, to enable consumers to drink more than a pint of Amarula
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Grow. More customers, more sales, positive cash flow, larger deal sizes, higher volume, more billable hours, justication for higher prices, ect. Why business are looking growth? Because if they are not growing they are shrinking. People are in business to build or create something bigger than themselves. That said, I will recommend the following strategies, which I think would be most effective for Amarula to achieve a double-digit growth in volumes in the next three years. This strategies consist of:  Increasing the current market share: we recommend this strategy because it will help Amarula to increase its current market share by reaching new customers (1) with its existing offering (Amarula Cream) or (2) developing a new offering.  Increasing quantity of product usage: by default Amarula will increase the quantity of product usage when it increases the number of clients and frequency of purchase. But Amarula can also increase the number of units sold by understanding how to add value to Amarula Cream.  Increasing frequency of usage: the quickest path to increase the frequency of usage for Amarula it as easy as possible its existing customers to do business with them repeatedly. Another way to look at this is providing additional customer value-and ultimately building customer loyalty.  Growth through market development should be also a good strategy. Market development is a growth strategy where the business …show more content…
2008. Marketing success stories. 6 edition. Cape Town: Oxford University press. Colin E. Jan & Michael J. Thomas (eds). 1998. Strategic marketing: A practical guide for designing and implementing effective marketing strategies. Oxford: Butterworth Heinemann Du Plessis, PJ, Jooste, CJ, Strydom, Jw (eds). 2006. Applied strategic marketing. 2 edition. Sandown: Heinemann. Gross, S. & Schroeder, A. (Eds.) 2007. Handbook of Low Cost Airlines - Strategies, Business Processes and Market Environment, Berlin Orville C. Walker, jr, Harper W. Boyd, jr & Jean-Claude Larreche. 1998. Marketing strategy: Planning and implementation. 3 edition. Boston:

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