Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1. Choose a product or service that is marketed based on each of the four types of variables; Demographics, Geographic, Psychographic, Behavioristic. (For example, if

1. Choose a product or service that is marketed based on each of the four types of variables;

Demographics, Geographic, Psychographic, Behavioristic. (For example, if you are a new parent, you may receive coupons in the mail for diapers.) You should identify four products or services in all. For each one:

  • Choose a product or service and identify the type of variable used to segment its market segment.
  • Give specific examples of how the marketing for that product or service targets its market segment. Do you think the targeted marketing is effective in general?
  • Identify market segments of two other types that your product or service might be targeted toward. For example, if your product is targeted to Baby Boomers (demographic), perhaps it could be targeted to adults who enjoy sports (psychographic) or to people who live in warm climates (geographic).

Evo: The Challenge of Going Global Summary:While Bryce Phillips, founder of active sports retailer evo, was skiing in Japan, he was surprised to learn that several skiers at the lodge owned evo products. Although it is evo's intention to become a more global company, the organization does not regularly export to other countries. Yet, even with little export activities, customers from other countries are seeking out evo sports gear.

Evo, short for "evolution," was founded as an online retailer in 2001 and opened its Seattle-based retail store four years later. While the retail store provides customers with a physical location to look for products, the online store allows evo to carry a greater selection and extend its global reach. The company caters to active sports enthusiasts with products like ski gear, wakeboards, snowboards, skateboard gear, and street wear. From the beginning, Phillips wanted to use the Web to spread the word about evo worldwide. "When we think about the future, we think about being a global brand in the context that, for the kind of customers that we'd like to attract, we'd like to attract them all over the world," Phillips said. "And being on the Web, the word travels, and your brand can travel very, very quickly."

Approximately 5 percent of evo's business comes from outside the United States, and the Web's global reach has increased demand for evo's products. Yet, despite these favorable global prospects, evo has been constrained somewhat in its ability to ship internationally. "We are confined in some ways by a lot of our dealer agreements," said Nathan Decker, senior director of e-commerce at evo. He provides two reasons for why vendors create exclusive dealer arrangements with evo:

(1)to avoid saturating markets overseas; and

(2)to maintain control over their products in order to compete fairly in the global marketplace.

By limiting distribution, manufacturers are able to exert some control over other elements of the marketing mix, such as price. The evo website contains a list of brands that the company cannot ship overseas due to contractual agreements. If consumers from foreign countries try to order these brands, they will receive notification that their order has been canceled.

Because retailers often do not own many of the brands they sell, manufacturers can maintain the right to determine where their products are sold and how much to distribute to the company. This represents a major challenge for retailers that want to go global. On the other hand, large retail companies that have a lot of power, such as Walmart, have a better ability to negotiate with manufacturers on global distribution. As evo grows as a brand, the company may gain the power to negotiate more favorable distribution terms with its vendors.

Additionally, dealer contracts cannot prevent consumers themselves from sending the products overseas. As Phillips found out firsthand, the company's popularity has spilled over into other countries. Technology has enabled the company to engage in viral marketing, which aids in increasing the company's global brand exposure. For instance, when mountain gear manufacturer Rossignol decided to launch its skis globally through the evo website, the news was posted on ski websites throughout the world. Evo has also been featured in magazines that have international circulations.

Evo hopes to work with its vendors to make global selling more feasible. "Once we kind of work through that and get the green light from some of our bigger vendors, I think that it'll become more of a strategic focus," Decker said. In the meantime, evo is finding additional ways to increase its global presence. For instance, the company launched evoTrip as a service for adventurous sports enthusiasts who want to travel. EvoTrip arranges the trips with the goal to connect people to local cultures, communities, and sports. In addition to increasing its customer base, evoTrip allows the organization to form relationships with consumers overseas.

Global opportunities are likely to increase as evo continues to grow. In 2011, the company released its first customer catalog, and Phillips has expressed a desire to open more stores across the nation. The organization is also exploring the possibility of expanding its own line of evo-branded products. In doing so, the organization would not be constrained by contractual obligations from its vendors. Creating a global brand remains an important part of evo's endeavors. According to Phillips, "Everything we do, whether it be something we buy or something we sell [or] something we invest in, is connected globally."Footnote

  • What are both the positive and negative outcomes of using exclusive dealer agreements that restrict global distribution?
  • What are the unique product features that could make evo a global brand?
  • what should evo's marketing statergy be to go to global?

  1. What should evo's marketing strategy be to go global?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Services Marketing Concepts, Strategies, & Cases

Authors: Douglas Hoffman, john Bateson

4th edition

1439039399, 978-1439039397

More Books

Students also viewed these Marketing questions