The importance of marketing and market research for ZESPRI®

NCEA level 2 Business Studies: Market research – Developing skills to explore Asian markets© Asia New Zealand Foundation (www.asianz.org.nz)

ZESPRI® is the most successful horticultural marketer in the world

because they…

•know and understand their consumers•earn a price premium in markets with a quality branded proposition

•use brand differentiation to earn the price premium in market.

The only way ZESPRI® can compete with others is through a differentiated market position based on a

high-quality branded product. This is because:

• the relatively high cost of bringing kiwifruit to Asian markets (land, labour, freight)

• kiwifruit is a seasonal product that has a limited shelf-life, so there is a narrow selling window.

• ZESPRI® has well-defined marketing objectives and a range of marketing strategies.

• Multiple touch points provide breadth of experience for the consumer and reinforce brand. These touch points include….

Billboards

Celebrity endorsement (Norika Fujiwara for brand awareness in Japan)

CPM: 620

HZ

Bus shelter

s

Metro LCD

BJ

CPM: 130

ZESPRI

Online

promo

All markets

CPM: 20-25

• Capping frequency by 5

• With 0% reach

Bus LCD

BJ, CD, CD

CPM: 70-120

Taxi LCD

SH

CPM: 500

Bus bodies

NB, XM

Office LCD

BJ, SH, SZ

CPM: 50-90

Trade fairs in China

Product sampling

Consumers want to be able to experience a product before purchasing.

When doing in-store samples, Zespri® sells 5 times more fruit – sampling is the trigger of trial usage.

…but marketing is expensive!

ZESPRI®’s total investment in brand marketing in 2009 was $86 million.

For Japan alone…2010 budget = ¥1.5 billion (NZ$25 million)

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Target users who have viewed client’s ads or visited client’s site

Returned customer targeting

广告浏览和互动历史

网站浏览和互动历史

Maximise cost effectiveness by Adnetwork (online promotion)

Targeting specific audience by closely observing the content and keywords they follow

Content targeting

Covers more than 300 cities

Geo-targeting

Find target audience via their online behavior

Behavior targeting

Frequency cappingFrequency capping

Frequency ： 1 2 3 Capped

Creative sequencingCreative sequencing

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• Significant growth opportunity but requires careful management and strategic development.

• For example, China has a population of nearly 1.4 billion people. It is both large and diverse.

• Country diversity makes understanding customers and consumers a significant challenge.

Asia is a sophisticated and diverse region – marketing must be targeted and establish a

point of difference.