CASE Study ( Baskin Robbin) PDF

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BASKIN ROBBIN...

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PRINCIPLES AND PRACTICE OF MARKETING CASE STUDY: BASKIN-ROBBINS FACULTY & PROGRAMME :

FACULTY OF BUSINESS AND MANAGEMENT & BACHELOR OF BUSINESS ADMINISTRATION (HONS) HUMAN RESOURCE

PREPARED FOR

:

PUAN NOR HAMIZA BINTI MOHD NOOR

PREPARED BY

:

NAME

:

NOR AZIRA BINTI AWIE

MATRIC NO.

:

2020994809

CLASS

:

M1BA2431A

SUBMISSION DATE

:

20 JUNE 2020

ACKNOWLEDGEMENT “In the name of Allah, the Most Gracious and the Most Merciful” I would like to express my deepest gratitude to Almighty Allah for giving me the strength and the composure to finish the task within the scheduled time. Peace and prayer be upon His Final Prophet and Messenger Muhammad, the ideal role model for human beings. Appreciation goes to my respectable lecturers, Madam Nor Hamiza binti Mohd Noor for giving me the knowledge and providing all guidance needed by me regarding the case studies I was required to submit.

Without her guidance and persistent help, this report would not

complete. May Allah reward her for all of her efforts. I would like to extend my deepest gratitude and special thanks to all who have directly and indirectly guide me in preparing this case study. I am expressing my deepest appreciation to my beloved parents, family, friends and college for their continuous encouragement were deeply appreciated.

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Table of Content

1.0 INTRODUCTION.........................................................................................................1 2.0 MAIN CONTENT.........................................................................................................1 2.1 Market Segmentation...............................................................................................1 2.1.1 Geographic Segmentation.................................................................................1 2.1.2 Demographic Segmentation..............................................................................1 2.1.3 Psychographic Segmentation...........................................................................2 2.1.4 Behavioural Segmentation................................................................................2 2.2 Market Targeting......................................................................................................2 2.3 Market Positioning....................................................................................................3 3.0 RECOMMENDATIONS AND CONCLUSION..............................................................3 4.0 REFERENCES............................................................................................................5

1.0 INTRODUCTION According to Pearson Education Ltd, marketing is where companies or firms create value and the strong customer relationship was built in order to capture value from them in return. In the United States, Baskin-Robbins is known as the best-frozen dessert and ice cream franchise by Entrepreneur magazine’s 31st annual Franchise ranking. It is the world’s biggest chain of ice cream specialty shops. In nearly 50 countries and more than 6700 retail shop, Baskin-Robbins provide their consumers with the quality and value of their premium ice cream and specialty frozen dessert. In 1945, Baskin-Robbins was founded by two fanatics of ice cream. The passion led to the creation of more than 1000 ice cream flavors and a wide variety of delicious treats.

Baskin-Robbin is popular for its 31 flavors slogan come out that their

customer could have a different flavor every day of months. They also have produced more than 1000 unique, delicious and tasty flavors of ice cream. Other than their main product, ice cream, Baskin-Robbins had launched a variety of cake for their customer.

2.0 MAIN CONTENT 2.1 Market Segmentation Market segmentation can be defined as a distinct group of buyers towards the division of a market that has dissimilar characteristic, needs nor behaviors and those who require separate products or marketing mixes. (Pearson Education Ltd, 2018). 2.1.1 Geographic Segmentation Nations, regions, states, countries, cities and even neighborhoods are an example of different geographical geographic segmentation. Currently, as for Baskin-Robbins, they already have more than 2800 locations in the United States and 5800 outside the country including Malaysia, Thailand and Indonesia. They also had been served for almost 150 million customers in the world. In Malaysia, Selangor recorded the highest total of 40 branches followed by Kuala Lumpur and Johor, each at 26 and 21 branches. 2.1.2 Demographic Segmentation Obviously, Baskin-Robbin is focused on age and income. They introduced some sugarfree ice creams and low-fat ice creams for those aged above 35. Thus, the prices of the BaskinRobbin brand are targeted at those in the higher middle to upper-income groups. The price for

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ice cream at any branch of Baskin Robbin was starting from RM7.90 per scoops and it could be up to RM150.00 per package that they are offers. Thus, customers from low-income groups will find it is not worth it for them to waste their money just for a scoop of ice cream. However, it still meets the criteria for any gender whether male or female and they stated that there is no target as such because all segments categories are welcome to try their products at least once in their life. Other than age and income, demographic segmentation was dividing the market into a variable of the segment such as lifecycle, gender, occupation, education, ethnicity, religion and generation. 2.1.3 Psychographic Segmentation While this segmentation was focused on different segments base on social class, personality characteristics and even lifestyle. To draw their consumer’s attention, they launched a premium ice cream set and thus consumers need to be part of a specific lifestyle segment. It would be among their customer itself and those who enjoy and loves their luxuries and indulgencies related with the particular mark. Yet, Baskin-Robbin is sold or targeted to the upper-class individuals. 2.1.4 Behavioral Segmentation Generally, behavioral segmentation is divided into a few segments which are knowledge and attitudes of consumers, uses or even responses to a product. In this case, on April 1 st, 2018, Baskin-Robbin launched their classical ‘Amazin Raisin’ ice cream flavor indulges in honey raisin swirled with softened raisin piece. As we know, raisin is good for us because it contains fiber, iron and even calcium. So, for those who make raisin as their favorite and at the same time want some sweet and yummy ice cream, Baskin-Robbins is the answer. Those who from upper income and love the taste of ice cream will purchase at least once or twice in a month.

2.2 Market Targeting Market

targeting

is

the

process

of

evaluating

each

market

segment’s

attractiveness and selecting one or more segments to enter. (Pearson Education Ltd, 2018). As for Baskin-Robbins’ targeting was focused on differentiated marketing.

Differentiated

marketing can be significant as different designs and market segments separate offers for each. Usually, it happened when the firm disregards the apparent segment differences that exist within the firm and marketing strategy. Differentiated marketing already concentrated on social media,

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broadcasting and newspaper as the channel to reach this broad audience in line with the era of technology today.

Stronger position and higher sales are the purpose and goal of this

marketing, thus no wonder it is more expensive than undifferentiated marketing. In line with this brand, Baskin-Robbins has been connected with numerous popular artists and celebrities over the decades. For instance, Pitcher Phill Hughes, Julia Roberts and many more. However, in Malaysia a very known and popular celebrity, Amyra Rosli has been appointed as ambassador of Baskin-Robbins in 2017. This does a little to help boost the sales of ice cream by appointing an influencer that has many fans and followers to attract customers to purchase BaskinRobbins’ ice cream. In the Guinness Book of World Record, Baskin-Robbins managed for creating the World’s largest ice cream scoop pyramid in 2000. Other than just selling ice cream, Baskin-Robbins also sell other categories such as sundae, beverages, and handpicked. This is in order to attract not only teenagers and generation z from both genders, but also, they offer a set of a family bucket for a whole family. Indeed, Baskin-Robbins not only focused on primary and secondary target markets such as upper-middle and higher income, teenagers and young adults yet also for the old generation.

2.3 Market Positioning Market positioning is referred on how a firm establishing their product, image or identity for consumer to perceive it in a clear way.

Baskin-Robbins position themselves as a luxury

status symbol of ice cream maker. For Baskin-Robbin, they had launched 31 flavor concept that known as an exclusive concept for their customers that has been designed in the logo. As a global company, they offered an extraordinary flavor to their customer in a month for every day. In facts, QSR or named Quick Service Restaurants leads Baskin-Robbins as part of the popular brand of donut, Donkin Donuts that was recognized for serving hot and cold coffee along with baked goods and ice cream. Baskin-Robbins get a bombastic result by operate with franchised model that give them strategic and financial benefit as they not conduct their restaurant by themselves.

Thus, this giving them an opportunity to control cost of production and in the

meantime to focus on the menus’ innovation, and other initiatives to lead the business with controlled resources and capital investment to fulfil unlimited wants from the consumer. Recently, Baskin-Robbins launched Eid edition named “Bungkus of Happiness” that cooperate with the popular local designer, Datuk Tom Abang Saufi in line with their initially “We sell fun, not just ice cream”. Product, service quality, brand value, price and convenience competed in the market based on the accessibility of the outlets.

As for pricing strategy, Baskin-Robbins

estimated the best price to get their tasty ice cream with a great quality rather than quantity to

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be positioned and bear in the mind of consumers. They also formed a group of expertise chef for creating a new menus to fulfill the ice cream demand of their consumer.

3.0 RECOMMENDATIONS AND CONCLUSION Recommendations that Baskin-Robbins could apply toward their business is trying to enhance their distribution. This is because, by doing this they will able to group their own loyal customer based on how much and where they do to purchase the ice cream such as online, face-to-face to the store or branches or whether through a catalogue. We are alert that the world not even Malaysia currently are facing such a hard time during this pandemic, Covid-19 yet it is not a barrier for the customer to get the yummy and healthy ice cream while staying at home. Thus, Baskin-Robbin should have their own delivery boy for their customer to purchase the ice cream without go outside. Another recommendation is trying to investigate competitor’s target markets and actual consumer. Secret recipes are the biggest competitor in selling cakes for Baskin-Robbins. In fact, Secret Recipes get the highest demand of cakes from consumers every day. Other than Secret Recipes, Dairy Queen and Marble Slab is also the competitors for Baskin-Robbins. Recently, during Mother’s Day, Secret Recipes offer a special promotion for their customer where they will get 15% off when they purchase from any outlet or even through online delivery. Other than combo, this promotion make consumers hits this brand always rather than BaskinRobbins. Not only that, Secret Recipes target market not only for young generation but also old generation. It offers not only for birthday cake but also for wedding cake. Thus, it does not need your birthday to get a cake, they still sell cakes. To sum everything up, Baskin-Robbin are applied segmentation consumer market such as geographic, demographic, psychographic and behavioral segmentation while for market target, this brand is using differentiated marketing. We will see in market positioning, brand and logo are currently used for consumers to perceive a good impression.

There are two

recommendation to apply in this marketing strategy which is enhance their distribution and trying to investigate competitor’s target market and actual consumer. To be concluded, based on this subject, Practice and Principle of Marketing (MKT420), I was able to assess the application on theories and concepts learned in an online class to reallife situations.

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4.0 REFERENCES Alzahrin Alias. (2019, June 14). Baskin Robbins Tampil Aiskrim Edisi Khas Raya. Berita Harian. Retrieved from https://www.bharian.com.my/bisnes/usahawan/2019/06/574209/baskin-robbins-tampilaiskrim-edisi-khas-aidilfitri

Baskin Robbin (2018). Break Time Baskin Robbin. Retrieved (June 6, 2020) from https://www.facebook.com/MYBaskinRobbins/posts/yes-we-heard-you-introducing-youour-classical-amazin-raisin-ice-cream-flavor-in/10157259728393835/

Baskin

Robbins. About Us. Retrieved (June 6, 2020) https://www.baskinrobbins.com.my/content/baskinrobbins/en/aboutus/history.html

from

CFI

(2015). Market Positioning. Retrieved (June 6, 2020) from https://corporatefinanceinstitute.com/resources/knowledge/strategy/market-positioning/

Gosling, Clive (2012). 5 Recommendation for Using Segmentation Online. Retrieved (June 12, https://www.experian.co.uk/blogs/latest-thinking/marketing/52020) from recommendations-for-using-segmentation-online/

Hitesh Bhasin (2019). Marketing Strategy of Baskin Robbins – Baskin Robbins Marketing Strategy. Retrieved (June 6, 2020) from https://www.marketing91.com/marketingstrategy-baskin-robbins/

Karlsson, Logi. (2012, July 31). Market Segmentation Introduction [Video]. Retrieved from https://youtu.be/luEQUFWJ6oY

Kesharia, Neel (2016). Marketing Strategy of Baskin Robbin. Retrieved (June 6, 2020) from https://www.slideshare.net/NeelKesharia/baskin-and-robins

North Highland. (2015, April 15). Behavioral Segmentation Made Easy [Video]. Retrieved from https://youtu.be/kSPI67SFSTU

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Paul Cselovszky. (2016, April 25). Market Targeting Strategies [Video]. https;//youtu.be/XOnAIOnsdNo

Udacity. (2016, May 2). Types of Market Segmentation: [Video]. Retrieved from https://youtu.be/zumYa-gC0BI

Retrieved from

Behavioral and Psychographic

Ukessays (2016). Marketing Plan for Baskin Robbin. Retrieved (June 6, 2020) from https://www.ukessays.com/essays/marketing/marketing-plan-for-baskin-robbinsmarketing-essay.php

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