3. PORTFOLIOGO-TO-MARKET:
1/JANUARY/2018
VENDEX
● Seeking to grow and serve Metropolitan cities
& university campuses.
● One main office/HQ in Miami
● See current company side on right
○ Design working with engineers
○ Marketing/sales developing strategies
○ Legal fixing entry into Brazil
4. INDUSTRY DETAILSGO-TO-MARKET:
1/JANUARY/2018
VENDEX
● 100,000 machines in Brazil including OCS
(Office Coffee Service) Only 1000-2000 mid
size machines
● Few to no large machines
● VENDEX CAN HELP
● Ratio very low
○ VENDEX to lower 2500:1 ratio
● First brought to Brazil in 1992
● n 2013, estimated number of vending machines
operating in the country stood at 80,000, according
to ABVA or Associação Brasileira de Vendas
Automáticas.
○ 65% selling hot drinks
○ 21% for cold drinks,
○ 13% for snacks
○ 1% for selling other products.
○ VENDEX seeks to leverage percentages
of snacks sold as well as introduce ‘other’
products such as mobile & computer
accessories
5. EXTERNAL FACTORSGO-TO-MARKET:
1/JANUARY/2018
VENDEX
● Sector increasing 20% per year in Brazil
VENDEX will implement acceptance of
debit and credit cards in addition to
cash and VENDEX member cards in
order to provide a wide variety of
payment methods to its consumers.
● Chip not swipe
○ Security
● By nature, Vending machines are placed in
metro stations and hotels, hospitals etc…
● VENDEX will focus mostly on
university and areas where nightlife is
present
7. STRATEGIC TOOLS
SWOT
GO-TO-MARKET:
1/JANUARY/2018
VENDEX
Weaknesses
- Lack of brand reputation
- Lack of capital: most will come
from investors and bank loans
Strengths
- Convenience
- Variety of products offered (hot,
cold, frozen, and warm food,
drinks, and electronic accessories)
- Strong logistics management
- Strong marketing division
- Easy to use and maintain
8. STRATEGIC TOOLS
SWOT (cont.)
GO-TO-MARKET:
1/JANUARY/2018
VENDEX
Threats
- Competition (supermarkets,
convenience stores, and other
vending machines)
- Crime rate
- Change in consumer buying
habits and lifestyles
Opportunities
- Growing population
- Developing market
- Lack of similar products
- 2500 machine per inhabitant;
with room for growth
10. VENDEX
MANAGEMENT ORIENTATIONGO-TO-MARKET:
1/JANUARY/2018
We use a Polycentric orientation because:
● Every country is unique and needs a
localized approach to match cultural and
societal norms.
● VENDEX together with local wholesaler
Companhia Brasileira de Distribuição
● This allows consumers to identify that
VENDEX is local, not foreign, leading to
greater sales and reducing/eliminating
nationalistic backlash.
13. VENDEX
DEMOGRAPHICSGO-TO-MARKET:
1/JANUARY/2018
● The population of Brazil is
207,847,528 (2015)
● About 84% of the population live in
the urban area of Brazil
● Three big cities in Brazil: São Paulo,
Rio de Janeiro, and Brasília as these
cities have a large population
● Big age groups City Population
São Paulo 11,244,369
Rio de Janeiro 6,323,037
Brasília 2,570,160
14. VENDEX
PSYCHOGRAPHICSGO-TO-MARKET:
1/JANUARY/2018
● Brazil's high score of 59 marks it as an Indulgent
society.
● Indulgent People in societies classified by a high score
in Indulgence generally exhibit
○ a willingness to realise their impulses
○ desires with regard to enjoying life
○ having fun
○ a positive attitude
○ optimism
○ a higher degree of importance on leisure time
○ acting as they please
○ spending money as they wish
15. VENDEX
TARGET MARKETGO-TO-MARKET:
1/JANUARY/2018
● People who are 15-29 years old
(=about 27% of the entire population of Brazil)
● People in this segment are
○ high education level/work force
○ dominance on social media
○ strong independence
○ large emphasis on relationships
16. VENDEX
TARGET MARKETGO-TO-MARKET:
1/JANUARY/2018
● People with a high education level & high work
force
○ always on the go
○ need quality products they can get fast &
bring home to their families
○ provide a healthy income to purchase our
goods without disrupting their lifestyles
● By using social media & talking with people
○ positive word of mouth
17. VENDEX
MARKET ENTRYGO-TO-MARKET:
1/JANUARY/2018
● Retailer: City municipality
○ VENDEX to lease public space
● Wholesaler: Companhia Brasileira de
Distribuição
○ Local Expertise
○ Choice of merchandise
○ Inventory maintenance
● Marketing efforts
○ Banners & Posters
○ PR events
18. VENDEX
MARKET ENTRYGO-TO-MARKET:
1/JANUARY/2018
Automatic goods-vending machines (for example, postage
stamp, cigarette, food or beverage machines), including
money-changing machines possesses Mercosur Common
Nomenclature product code 8476.21.00 which correlates
to the following tax rates:
19. VENDEX
CONCLUSIONGO-TO-MARKET:
1/JANUARY/2018
We have four plans to expand VENDEX successfully to Brazil:
● Cooperation with Companhia Brasileira de Distribuição
○ Local Expertise
● PR events
○ Brand publicity
● VENDEX DESCONTO member card
○ Incentive
● Go Green
○ CSR and Brand Reputation
● Through these four plans, we believe that VENDEX can overcome issues (such as lack of brand
reputation or competition), exploit our opportunities (such as growing population or lack of similar
products), and finally achieve our goal of being market leaders in the vending machine category of
Brazil.
