December 1, 2011 Presentation by Richard Bussanich, Biologist

Okanagan Nation Alliance

Overview

Enviro scan Strategy Process Behaviour QVS model Promotion Pricing Resources

Marketing

DEFINITION

“Marketing is an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders. ”

American Marketing Association

“It is the art of creating genuine customer value. It is the art of helping your customers become better off.”

Dr. Phillip Kotler

Environmental Scan

TRENDS

• Globalization

• Hyper-competition

• Internet

• Biotechnology (protein-oils)

• Fish Industry Defragmentation

SOLUTION - Offering the best value: • better targeting -select customers • differentiation –”product

Positioning” • branding – “the image” • strategic allies - customers,

suppliers, providers, public • performance metrics • quality assurance • real time solutions

Farmed Atlantic Salmon

Prices have come down again significantly over the last week due to increased harvests in all areas and an influx of European fish from Scotland and Norway.

Norway has been banned from selling fish to China and will continue to send fish to the US for the time being.

Prices are at a 2 year low, but should remain soft for the next few weeks. Expect pricing to remain steady over the coming weeks. Prices are soft, but not expected to decrease again dramatically over the coming weeks.

Supply is good in all areas and there are good opportunities on European fish.

SOURCE: http://www.indexmundi.com/commodities/?commodity=fish&months=120&commodity=fish

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Farmed Atlantic Salmon Price Trend

Model: Relationships Legitimacy Long-term

RELATIONSHIP

BUILDING:

• “The story”: Product is not just a fish…

• Meaningful: What is your way?

• Limited stock, limited availability, exclusivity

TOOLKIT • Primary survey questionnaire • Taste panel (focus groups) • Observational studies (in-store demos) • Expert referral-audit • Client relations management system • Customer audits • Co-branding • Cross merchandising

Bowman’s Strategy Clock

Tag Statements: Okanagan Sockeye Salmon Select

• Wild, Local, Sustainable, OceanWise approved

• Responsible Trade Salmon

• Lake-to-Plate in less than 24 hours

• A good news story:”Cause to come back”

• Available…First time in over 75 years

• Partial proceeds to fish conservation * local jobs

• Okanagan’s best kept secret!

Key Integrated Marketing Process

$100 + Sockeye

Cultural Events

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Biodiversity Credits

Tourism (Eco-Interpretive

Tours, Nk’Mip RV Park)

Intellectual Property

Supplier – Value Chain

(1) opportunity identification,

(2) new product development,

(3) client attraction, (4) client retention

and loyalty building, and

(5) value fulfillment.

Marketing Inputs 7 P’s

• Product

• Price

• Promotion

• Place

• People

• Planet

• Politics

CONSUMER Purchase Decisions

• Product Choice

• Location Choice

• Brand Choice

• Other Choices Psychological Inputs

Culture

Attitude

Learning

Perception

Customer Buying Behaviour

100, 200, & 300 Mile Diet Winter, Spring, Summer, & Fall

Retail Direct Marketing

Food Service Direct

Marketing

Implementation

First Nation Vision: QVS River Branding Inland Salmon Fisheries

Vision Statement: To promote inland salmon fisheries, the river fishing cultures, and the high quality natural and wholesome food that is produced, as certifiably sustainable, healthy, and good value.

Quality Okanagan Wine Industry Model

Authenticates origins

Effective traceability

Quality management

Certification

COUNTRY FRANCE CANADA CANADA

Q AUTHENTICATION D.O.C VQA QVS

REGION BORDEAUX OKANAGAN HARRISON

PRODUCER WINERY X ROAD 13 STS’AILES

WINE MARGAUX FIFTH ELEMENT FILLET

VARIETAL GRAPE BLEND SOCKEYE

Responsible Trade

Responsible Trade

Respect | Relevance | Relations

Sustainability

• FAO Code of Conduct for Responsible Fishing (CCRF) • Consumer acceptance and demand: 1 in 3 respondents willingness to

purchase with eco-label • Consumer willingness: 1 in 15 respondents pay 10-20% higher margin

for eco-label; • Domestic Food service #1 Ocean Wise • Domestic Food Retail #1 MSC • anadian Okanagan Basin Technical Working Group (1997)

• Okanagan Nation – Colville Tribes

• Ad-hoc Bilateral Okanagan Basin Technical Working Group (2001)

• Various partnerships with governments and NGOs

Eco-Label Factoids: the green fish consumer in the Okanagan Region

Promotion

Awareness/Interest Personal selling Telemarketing Direct mail (CRM) Trade fairs and exhibitions Web, ListerServers, Social Media Commercial television Newspapers and magazines Radio Kiosks Point of sale displays Packaging

Change Behaviour Personal selling Direct mail (CRM) Point of sale displays Packaging Social Media Testimonial’s

© One Wild Earth © Kevin Dunn

Pricing Strategies – Researching Value

Revise the discount structure Change the minimum order size Charge for delivery and special services Charge for rushed orders Collect interest on overdue accounts Produce less of the lower margin models in the

line Write penalty clauses into contracts Change the physical characteristics of the product

(i.e. portion size)

© One Wild Earth © Kevin Dunn

Pricing Strategies

Food Service • Premium pricing (high quality) • Price skimming (intro) • Psychological (emotional) • Optional extras (+ caviar) • Product bundling (multi-species) • Geographical (Okanagan)

Food Retail • Penetration (lo-to-hi) • Product line (lb vs ½ lb) • Captive product (salmon on plank) • Geographical (Okanagan)

© ONA

Resource Kit

Branding http://www.marketingpower.com/Pages/default.aspx

Strategic planning http://www.balancedscorecard.org/

Strategic Management http://www.blueoceanstrategy.com/

Strategic planning-porter http://www.isc.hbs.edu/

http://www.indexmundi.com/commodities/?commodity=fish&mont

Fish pricing trends hs=120&commodity=fish

Lim Limpt – Thank you

For More Information

Richard Bussanich, Biologist

Rbussanich@syilx.org

Toll Free 1.866.662.9609

www.okanagannation.com