MARKET STRATEGY         FOR ECC SUCCESSTeam 6                     1
EXECUTIVE SUMMARYANALYSISCAMPAIGNIMPLEMENTATION PLANKEY TAKE-AWAY                      2
EXECUTIVE SUMMARY                    3
ECC aims to help struggling coffee farmers by providing       gourmet coffee to consumers via e-commerce          Should E...
Do consumers know about the brand of        coffee they are drinking?        Can ECC rely on their customer to        cons...
B2C                                    B2B • Coffee by the cup • Gourmet coffee by                    • Caterers          ...
Criteria     Individuals   Restaurants   Caterers   CorporationsBrandingConsistency ofSalesHigh Volume ofBuyingHigher Marg...
ANALYSIS           8
• Coffee lover               DAVID • Brews his own coffee • Trendy high-income consumer • Tech-savvy • Socially consciousE...
C CorporationUsing corporations as a medium reaches more Davidssituation analysis campaign action risks             10
Socially Responsible  IC                  ECC                                ECC       CCC SSR     CCSA B2C               ...
$0.025            ECC B2C                                           $0.60                                             VH  ...
Assuming all contracts are acquired at beginning of yearScenario 1: One contract             Scearnio 2: Two contracts    ...
Lower                            prices                            ECC           Networking                      Socially ...
CAMPAIGN           15
GOOD                                       is the                                        new                              ...
ECC will recognise their corporate partnerssituation analysis campaign action risks      17
• Encourage current consumers                                             to establish contracts                          ...
CC                                 C  CorporationsECC will reach more Davids through their networksituation analysis c...
ACTION         20
Assign B2B contract                         manager           High                              Establish Incentive       ...
KEY TAKE-AWAY                22
MAXIMISING THEPOTENTIAL OF THE  ECC BUSINESS  MODEL WILLLEAD TO SUCCESS.                   23
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ECC

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ECC

  1. 1. MARKET STRATEGY FOR ECC SUCCESSTeam 6 1
  2. 2. EXECUTIVE SUMMARYANALYSISCAMPAIGNIMPLEMENTATION PLANKEY TAKE-AWAY 2
  3. 3. EXECUTIVE SUMMARY 3
  4. 4. ECC aims to help struggling coffee farmers by providing gourmet coffee to consumers via e-commerce Should ECC keep selling to individuals?ECC must employ a B2B sales strategy to remain competitivesituation analysis campaign action risks 4
  5. 5. Do consumers know about the brand of coffee they are drinking? Can ECC rely on their customer to consistently purchase their coffee? How much coffee can ECC sell to one customer? Can ECC charge higher margins to expand their business line? What is the effectiveness of ECC sales effort?situation analysis campaign action risks 5
  6. 6. B2C B2B • Coffee by the cup • Gourmet coffee by • Caterers ECC the pound • Restaurants • Commercial coffee • Corporations by the poundECC should tap into the B2B markets to increase salessituation analysis campaign action risks 6
  7. 7. Criteria Individuals Restaurants Caterers CorporationsBrandingConsistency ofSalesHigh Volume ofBuyingHigher MarginsEase of SalesEffortsECC should focus on selling to corporations to achieve successsituation analysis campaign action risks 7
  8. 8. ANALYSIS 8
  9. 9. • Coffee lover DAVID • Brews his own coffee • Trendy high-income consumer • Tech-savvy • Socially consciousECC’s business model can reach a greater audiencesituation analysis campaign action risks 9
  10. 10. C CorporationUsing corporations as a medium reaches more Davidssituation analysis campaign action risks 10
  11. 11. Socially Responsible IC ECC ECC CCC SSR CCSA B2C B2B CC VH KHC StandardECC will have a competitive advantage in the B2B marketsituation analysis campaign action risks 11
  12. 12. $0.025 ECC B2C $0.60 VH $0.26 ECC B2B Variable Costs Per Annual Contract Scale Up Price Per Gram Coffee $ 2,645.55 Additional Features Per Annual Contract Profit margin per gram 80% Tea $ 2,700.00 Machines $ 2,000.00 Price per gram $ 0.26 Delivery $ 379.50 Variable cost per gram $ 0.05 $ 7,725.05 Profit for one contract $ 5,900.19 Profit for two contracts $ 36,800.38ECC can raise per gram prices by 940% through B2Bsituation analysis campaign action risks 12
  13. 13. Assuming all contracts are acquired at beginning of yearScenario 1: One contract Scearnio 2: Two contracts Number of contracts 13.00Revenue $ 38,625.24 Revenue $ 77,250.47 Revenue $ 502,128.06Variable cost $ 7,725.05 Variable cost $ 15,450.09 Variable cost $ 100,425.61Maintenance $ 25,000.00 Maintenance $ 25,000.00 Maintenance $ 25,000.00Annual Profits $ 5,900.19 $ 36,800.38 $ 376,702.45Assuming contracts are obtained every 6 monthsJan 1 - 1st ContractRevenue July 1 - 2nd Contract $ 38,625.24 Revenue $ 19,312.62 13six yearsVariable cost $ 7,725.05 Variable cost $ 3,862.52Maintenance $ 25,000.00First Year Profits $ 5,900.19 $ 15,450.09 $ 21,350.28Rev/mo $ 3,218.77 $ 6,437.54To reach revenue target ECC must establish 13 partnershipssituation analysis campaign action risks 13
  14. 14. Lower prices ECC Networking Socially opportunity responsibleECC must leverage their three key selling pointssituation analysis campaign action risks 14
  15. 15. CAMPAIGN 15
  16. 16. GOOD is the new BAD.ECC’s campaign will leverage firm commitment to CSRsituation analysis campaign action risks 16
  17. 17. ECC will recognise their corporate partnerssituation analysis campaign action risks 17
  18. 18. • Encourage current consumers to establish contracts • For every 10 grams of business, ECC will give you 1 gram of free coffeeLeveraging ECC customers will allow for greater number of contractssituation analysis campaign action risks 18
  19. 19. CC    C CorporationsECC will reach more Davids through their networksituation analysis campaign action risks 19
  20. 20. ACTION 20
  21. 21. Assign B2B contract manager High Establish Incentive Program terms Create recognitionPriority page on website Medium Launch Incentive Program Explore tea opportunities around Carribean Low 3 Months 6 Months 1 Year + situation analysis campaign action risks 21
  22. 22. KEY TAKE-AWAY 22
  23. 23. MAXIMISING THEPOTENTIAL OF THE ECC BUSINESS MODEL WILLLEAD TO SUCCESS. 23

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