Question

You are the product manager in the Marketing department at York’s Premium Foods. The company markets high end food products throughout the USA, Canada, and Mexico. The company has purchased the rights to Ice Cream using very expensive cream and flavorings, all ingredients are organic. A half-gallon of this Ice Cream costs 50% more than what most consumers will pay for Breyer’s, Publix Premium or Mayfield. It costs the equivalent of 25% more than Ben & Jerry’s. The company has assigned your department with commercializing and launching of the product. Choose ONE of the four P’s of the marketing mix and in only one very short paragraph, describe what you would do in that particular area.

Answer 1

Answer - I would choose the Place mix to discuss. Placeox comprises of the distributional channels as to how the product will be distributed and will reach the ultimate customers. As per the above given scenario , I would prefer the shorter distribution channels. This is because the product is a consumer good and will need refrigeration throughout the way. This will result in additional cost and the price will have to rise. The longer distribution channels will also lead to high middlemen and distribution cost. Hence the price to ultimate consumer will high and therefore the demand for the company's ice cream may be discourages.