Organization Behavior Marketing Strategies for Odi Lens

Organization Behavior

Marketing Strategies for ODI Lens

MARKETING PLAN

Target Customers and Market Segmentation

Major Target Groups

Pricing Strategies for ODI Lens

Introduce at the minimum possible price

Convincing the potential farmers

Selling and Promotional Strategies for ODI Lens

Promotional mediums

Forecasting Unit of Sales for the Next Three Years

Optical Distortion Inc. is a small scale business corporation that manufactures contact lenses for chickens to impair their eyesight. The lenses manufactured by ODI are used by chicken farmers in order to reduce chicken cannibalization and trauma which occurs after debarking process. It also improves the feeding efficiency of the chicken farm. Optical Distortion Inc. has brought revolutionary change in the chicken farm management by replacing the traditional techniques of reducing cannibalization with the usage of ODI lenses.

ODI lens is a thin plastic or glass lens that is placed on the Cornea of a chicken's eye and restricts their eyesight. It is a proven technique of getting the maximum output and reducing the costs to their minimum level (Optical Distortion 2012). This paper presents a set of marketing strategies which ODI can use to sell and market its product in the most effective and efficient way. The paper covers market segmentation, pricing and promotion strategies, and forecasting for the unit of sales in the next three years period for ODI lenses. The figures used in the forecasting are completely based on assumptions.

2. TARGET CUSTOMERS AND MARKET SEGMENTATION

The target customers for ODI lens is all the chicken farmers that are doing business with more than 10,000 chickens. Most of the farmers who are operating with less than 10,000 chickens always face financial difficulties due to heavy business costs. Therefore, the major group of target customers will be the farmers that operate with flock sizes of 10,000 and want to manage their business costs with innovative techniques and products. ODI lens have shown remarkable success since its introduction in the industry (Optical Distortion 2012).

Major Target Groups:

The target market can be segmented into two major groups; medium scale and large scale. The chicken farmers that have flocks of 10,000 to 50,000 chickens fall under medium scale group whereas those who operate with more than 100,000 chickens are from large scale group. The medium scale group is professionally operated business that can have severe financial difficulty if mortality and fatal diseases hit their chickens. On the other hand, large scale group can support its business by investing in the implementation of technology in its processes. On the basis of this analysis, both of the groups can be a potential target market for ODI lens (Beauchamp 1983).

3. PRICING STRATEGIES FOR ODI LENS

Introduce at the minimum possible price:

ODI will not only have to convince the farmers to buy its lenses, but also ensure that they are satisfied with their purchase decision. For this, it should charge a fair price which not only covers its manufacturing and promotional expenses, but also give an attractive profit. ODI lenses are not currently being sold to a large target consumer segment; it has a limited demand due to lack of its awareness among chicken farmers in many regions. To penetrate the market successfully and earn good returns for the business, ODI should sell its product at minimum possible price which may not give a high return on its investments, but can attract a greater market segment to buy it. After it gets a positive response in the form of high sales growth, it can increase its price and earn good returns (Clarke 1999).

Convincing the potential farmers:

ODI has a competency that it can reduce the business costs to a considerable extent by reducing the mortality rate and increasing the feeding efficiency of the chicken farm (Optical Distortion 2012). Therefore, the company can convince the farmers to use these lenses for an improved operational and economic performance of their business. However, it will face big difficulty due to lack of awareness of this technology among chicken farmers (Star & McNair 1977). ODI is a quite new technology in the chicken farm management which has not been tested by a large number of farmers. This thing creates a sense of risk or extra business costs in the minds of farmers due to which they avoid purchasing these lenses.

Although ODI does not have a direct competitor in the market, but the debarking services companies use heavy marketing and promotional campaigns to attract farmers towards their services (Smith & Quelch 1996). Therefore, ODI will also have to set its price keeping in view the prices of alternative products and services. Currently, it can be recommended that ODI should sell one pair of lens at $7.15 which will cover all its business costs as well as give handsome profit margins.

4. SELLING AND PROMOTIONAL STRATEGIES FOR ODI LENS

ODI can create awareness of its product using effective marketing strategies in the potential target markets. The major target group, farmers operating with more than 10,000 chickens can be convinced by communicating the various benefits which ODI lenses can bring to their business. The promotional mediums which can be used to create awareness of the product include both print and electronic medium. The advertisements can be made in farm management magazines and journals, chicken farm management books, veterinary medicine stores, veterinary health care centers, television channels, and daily newspapers.