Jolly Smoothies Marketing Plan

Jolly’s marketing plan and sales strategy will comprise of various facets that the business will have to consider at all times if objectives are to be achieved (Abrams, 2010). The plan and the sales strategy will also help Jolly Smoothies to position its products in the market in a bid to attain competitive advantage (Abrams, 2010). This marketing plan will summarize various approaches that the business will use to positions itself in the market and secure sales for the first six months. The proposed methods will first focus on marketing Jolly's smoothies in the nearby community, for instance, within a radius of 25 miles from Richmond, Virginia.

How Jolly Smoothie Will Be Positioned In the Market

The business recognizes the need to send an appealing message to customers so that they can purchase the products that will be offered. The company's positioning will be communicated through the business marketing mix, for instance, the four P's.

Product

The business will offer a variety of frozen drinks ranging from smoothie, milkshakes, to yogurts. Jolly Smoothie will create customer value by selling products that accommodate all consumers' distinct tastes and preferences. For instance, the smoothie bar will cater for consumers who value healthy lifestyle by using ingredients that offer medical benefits and observing the best hygiene.

Price

The business acknowledges the need to adopt a competitive pricing strategy if it is to succeed. Considering that Jolly Smoothies is still new in the market, the company will implement a penetration pricing strategy. The aim of using a penetration pricing strategy is to capture the market share within the first six months of operation by charging low prices compared to the competition (Pride & Ferrell, 2017). The idea is that the smoothie bar will be able to raise awareness and get the nearby community to try the products.

Place

To enhance effectiveness, Jolly Smoothie will use more than one channel of distribution. The company will sell its smoothies and other drinks directly to consumers residing within a radius of 25 miles from its only store in Richmond, Virginia. The business will also use an online store, for instance, the company’s websites where consumers within 25 miles radius can place orders.

Promotion

Jolly Smoothie will use various promotional initiatives that support the business strategy. Among the approaches that will be used include personal selling, online marketing, direct mail, and print media.

Marketing Strategy

The focus of Jolly's marketing strategy will be on how the business disseminates information to potential consumers (Abrams, 2010). Also, the emphasis of the approach will be on how the company’s products will meet consumers’ needs by creating long-term and profitable relationships with the buyers (Mughal, Mehmood, Mohi-ud-deen, & Ahmad, 2014). As mentioned above the business’ marketing strategy will involve various approaches. Besides, the proposed plans are based on their effectiveness.

Personal Selling

Personal selling, in this case, will involve promoting the products through a face-to-face meeting with consumers at the point of purchase (Pride & Ferrell, 2017). The approach will entail creating a need-based relationship between the sales-force and customers with an aim of encouraging repeat purchases. When engaging in personal selling, consumers will be given a chance to ask questions about the products and to share any concerns regarding the offerings. Using this approach will also provide the business with an opportunity to follow-up with prospects. During personal selling, potential customers will even get a chance to test free samples during the first month so that they can have a taste of the smoothies and comment on the quality. Personal selling will be useful for the company because it is less costly and helps in creating a seller-customer relationship at no extra fees.

Online Marketing

The business will also use online marketing platform to build product awareness and relationships with customers. For instance, Jolly Smoothie will utilize social media sites such as Facebook and Twitter to create awareness with the primary target being individuals from Richmond, Virginia. Using social media is useful because it provides access to a vast pool of prospects at low costs (Mughal et al., 2014). With social media, I will only need time to create a social media account and start interacting with prospects. Also, a well-designed website is an online marketing platform that will go a long way in setting the company apart from other smoothie business owners. The site will provide the startup with an opportunity to display photos of top selling drinks as well as detailed product information. The website will also act as a platform where consumers can place orders.

Direct Mails

Direct Mail is also an effective marketing method that will be used by the business to build product awareness. The approach will mainly involve the use of well-designed brochures and flyers (Abrams, 2010). For instance, jolly Smoothie considers pamphlets as effective means of building awareness because they offer a visual reminder of the business. Moreover, customers will take brochures home along with their drink menus. The company will also use brochures to list each smoothie's ingredients and their nutritional content. Also designing a flier will be an effective means of creating product awareness and encouraging consumers to try my products. Fliers will offer the business a cost-effective advertising solution for reaching target consumers. The company will design colorful fliers to attract attention and place them at strategic points within Richmond. For instance, Jolly Smoothie will target places where target consumers gather, such as near schools, fitness centers, and supermarkets.

Print Media

The business will also utilize print media platforms that offer extensive coverage at a reasonable cost. For instance, I will partner with colleges and small institutions that are within a radius of 25 miles from Richmond, Virginia so that I can advertise my smoothies in their magazines that they issue from time to time. Also, business cards are forms of print media that the business can use to increase awareness and provide crucial information to prospects. I will print business cards and hand them out regularly to improve the company’s exposure. The distribution of the business plan will mainly take place when smoothie bar customers visit. The business cards will be crucial in providing information on the business location and hours of operation.

Other Strategies

Apart from the strategies mentioned above, Jolly Smoothie will also utilize tactics such as customer referral incentive program. The business will use the program to encourage existing customers to refer prospects to the store. For instance, I will use incentives such as free smoothies and discounts as a way of encouraging first-time buyers and loyal consumers to refer other people, for example, their neighbors and schoolmates to Jolly Smoothie. Utilizing a customer referral program is efficient and less costly because it leverages the client base as a sales force (Mughal et al., 2014).

Sales Force and Sales Procedure

Given that the business is new and will serve a relatively small market, I do not expect massive traffic. Therefore, the sales force will only comprise of one assistance and I. The actual transactions will be mainly achieved through mail order and on-site sales. For instance, a customer will have to come physically to the store to purchase their drinks or place an order, and the smoothie will be delivered to his or her home.

Marketing Budget

The marketing budget will comprise of the total cost that the business will incur in procuring marketing materials and disseminating information to the target consumer. Below is the detailed projection of the marketing budget for the company.

Table 1: Projected Marketing Budget for Jolly Smoothie Bar

Vehicle

Frequency

Cost per month

Personal Selling

Creating need-based relationship between the sales-force and customers

Daily Basis

$0

Following-up with prospects

Regular Basis

$400

Free samples

Once a week

$800

Online Marketing

Social Media

Daily Basis

$450

Website

Regular Basis

$750

Direct Mail

Brochures

Daily Basis

$300

Fliers

Once a week

$100

Print Media

Magazines

Once a month

$150

Business cards

Daily Basis

$200

Other Tactics

Customer referral incentive program

Once a week

$150

Total Marketing Cost

$3,300

The above table shows monthly estimates of marketing expenses that Jolly Smoothie Bar will incur if it is to market its offerings and build a significance product awareness efficiently. However, the business might make changes from time-to-time based on the efficacy of a given approach to attaining company goals.

References

Abrams, R. M. (2010). Successful business plan: Secrets & strategies: America's best-selling business plan guide! Canada: Planning Shop.

Mughal, A., Mehmood, A., Mohi-ud-deen, A., & Ahmad, B. (2014). The Impact of Promotional Tools on Consumer Buying Behavior: A Study from Pakistan. Journal of Public Administration and Governance, 4(3), 402. doi:10.5296/jpag.v4i3.6680

Pride, W. M., & Ferrell, O. C. (2017). Foundations of marketing. Boston, MA: Cengage Learning.