Smith’s Home Foods:
Bringing Home The Bacon
1A. First, Smiths targets are upper-middle income households; since buyers enjoy
the packages of Smith’s Home Foods, they should have a freezer or they have the option to buy from SHF. Smith’s offers packaging prices ranges between 655$ reaching to $1532. The prices include tax and finance charges excluding the variable cost of the delivery, which is $30. To make the payments easier, SHF also provides facilities to its loyal customers through the Fair Finance Company of Akron, Ohio.
Second, the distribution strategy that they used is storing their products in the
SHF’s country hams warehousing and cold storage facilities. They have a one-ton ...view middle of the document...
They also think that it is relieving to customers because they don’t have to go to the market each time they need something, in fact they could just simply order the package that suits them the best and will be enough for them for time needed.
2 and 4. Target market gap: They only target people with upper-middle income and still having trouble in making them buy their products; they can add the after sale strategy, which for example when each time they buy a package they receive points when using SHM loyalty cards. When points reach a certain number, they can get discounts or gifts related to home foods.SHM can add up another line to the packages making it smaller quantities with lower prices to attract people of lower income, since they are the only in Ashton, they could use a full-coverage marketing strategy in the food area for all kings of people. And to be able to do this, they should use the method for evaluating the various segments of the market place and to decide which segments want to cover fully and with this strategy they can use the low cost marketing strategy.
Promotional strategy gap: They use the telemarketing strategy and the salespeople would go meet the customers in person and give them a whole briefing about the services and packages provided. If we put ourselves in the customers’ shoes, we would find out that spending two hours with prospects would make them lose interest. The salespeople must be quick and straight to the point of the offer in order...