Case text Growers cup essay

During the 48 hours he student must complete the assignment individually. The answer is to total a maximum of 24. 000 characters, including spaces, footnotes, text fields, endnotes and annexes). Throughout the written answer the student must argue for the use of relevant theories/models. However, the written answer should not comprise a section on methodology or a problem statement. The assignment must be handed in individually. Based on the written part the student must prepare a presentation and an oral defense of the solution handed in. A total grade will be awarded and transferred to the degree certificate.

The weight of the written and oral part is 50/50. The Danish 7;point scale is used. Below is an elaboration of requirements for the written and oral part. 1. 1 The written part The answer of maximum 24. 000 characters (including annexes) must contain a coherent answer to the exam questions regarding this case. Any restrictions and weighting must be outlined. Footnotes and references must be used. The assignment is based on the learning objectives of the compulsory curriculum of the 3rd semester with special emphasis on testing the skills and competencies.

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The written part must be completed individually and is tested or plagiarism. The company cannot be contacted during the preparation of the report. 1. 2 The oral part The oral part has a duration of half an hour. The test is carried out as a role- play where you must demonstrate skills in how to present, argue and discuss your ideas with the company management. You initiate by presenting the most important conclusions and proposed activities of the written report, in accordance with the scenario in English. You have Max. 10 minutes for this.

You are expected to dispose the presentation in accordance with the weighting and procrastination of the questions. During the presentation, no questions will be asked. Hereafter the internal and external examiners act as board of the company by questioning the proposed activities and you must anticipate that negotiation methods are integrated in the dialog. The questions could involve all elements from 3rd semester, as well as elements that are not included in the written report. It is expected, tattoo act professionally and that you are in control of disposition your ID-minute presentation.

The examination is completed with an evaluation of the written and oral performance, and an overall rating of the two parts is provided, weighted 50-50. . 3 The Grower’s Cup Case material The Growers Cup case material consists of: The scenario and background information Weighted examination questions In addition there are the following enclosures available: A. Coffee in Norway – Passport May 2014 B. Consumer_Lifestyles_in_Norway – Passport Cot 2014 C. Keep your dust- I’ll wait for the drip -Thank you D. Anyway Country profile – Marketing April 2014 Additional information: http://growers. Mom/ 2. The scenario You are, as a marketing consultant at Grower’s Cups, been asked to re- evaluate and design the strategy towards the Norwegian market. Below and n the enclosures you will find information to solve the task. However you are expected to do furtherer desk research on your own. 2. 1 History and company profile (SOUrce: www. growers. Com) Cobwebbier Nordic ASS is the company behind the Grower’s Cup brand. They are a small and innovative Danish company located in Midfielder that have decided to “battle” with the big boys and all their machines.

The company is founded in 2008 and their small office, artisan roasters, and packing facility is established in an old restored farm building, nestled in a hilly landscape, surrounded by forests and the sea. Innovator and Managing Director Lurid Savoyard Rasmussen states: “It all started an afternoon in 2002, I found out that I had run out of paper filters for my dressmaker and being pretty annoyed with the situation -? I thought, “why isn’t it possible to brew a decent cup of coffee without machines or special brewing equipment”?

After many years of research, development of a number of different brewing concepts, tests, thousands of prototypes, and the engineering of new production technology, we are now ready to launch what is probably the most innovative and revolutionary coffee concept seen for decades. Grower’s Cup has experienced rapid growth as illustrated below. However the company’s financial resources is still considered to be limited and at times it is a challenge for Grower’s Cup to keep match financial and human resources with own growth ambitions. 2. Products Today, Growers cup offers a wide variety of coffees and teas all with the characteristic brewing packaging design which is a great lightweight option into the back county coffee market. The product range covers specialty coffees, Fair trade & organic coffees all from around the world. Kenya, Mexico, Honduras, Bolivia and many more. Moreover they have introduced black, green and red teas in their product portfolio too. This brief focuses on Growers cup’s selection of coffees. The products are specially designed, PEE- coated paper bag that contains egg of fine ground coffee, as well as a specially positioned filter.

You’re supposed to open the bag from the top, pour in 0. AL of boiling water, let stand for 5-8 minutes and pour your fresh coffee out through the side opening. The filter will keep all the grounds inside; it’s almost like a portable French press. Only “almost” because once you’ve poured half the bag the remaining coffee will not even touch the rounds inside, preventing the coffee from going bitter over time as it does with a French press. This is a great idea anytime, but especially when camping or in other situations where carrying even the most basic coffee making apparatuses would be inconvenient.

To brew yourself a cup of coffee all you have dodo is: 1. Boil your water 2. Open the packet 3. Pull the red seal tab 4. Pour in your water 5. Zip the packet closed 6. Wait the allotted time. You then have a fresh brew waiting to be enjoyed Illustration of usage and coffee brewer design Not initially intended for the back country the company quickly saw a great rake to work with. The amount of water used and the great portability of the product is a perfect fit for hikes, skiers, students and basically “to go coffee”. 2. 3 Promotion The promotion effort has two angles.

One is based on their JSP (Unique Selling Proposition) and the other is based on the ESP. (Emotional Selling Proposition). As illustrated below in the advertisements, the USPS is focusing on the easy usage of the product, making it easy to enjoy a good cup of coffee on the go. Note that they make an effort to positioning the product away from instant coffees. The ESP. is related to their product range of fair trade & organic varieties and addresses the ethics in coffee production and trade (which is often accused of unethical behavior) meaning that the consumer can buy the organic variant with the fair trade label with a clean conscious. . 4 Hot Drinks in Norway – market overview (Source: Enclosure A; Coffee in Norway) Norwegian love their coffee; total per capita consumption, amounted to keg per person in 2013, with the recommended volume of water added to coffee, this corresponds to an average Of almost half a liter Of coffee consumed per person, per day. Despite the growing interest in healthier alternatives, such as tea and the throng participation in outdoor activities such as hiking and skiing, which have driven hot chocolate sales, coffee will continue to attract most innovation and marketing from manufacturers.

The coffee culture in Norway is entrenched, so manufacturers are expected to focus on new opportunities for growth in coffee, including fresh coffee beans and fresh ground coffee pods, instead of opting for other forms of hot drinks such as tea and hot chocolate. Other hot drinks is predicted to continue be driven by the cold climate and growth in the popularity of outdoor activities, while tea will be driven by the health and illness trend, along with increased immigration in Norway from regions where tea is consumed more extensively.

Quality and Convenience – the Drivers of Booming Specialist Coffee in Norway Quality versus comfort is two trends that have shaped growth in fresh coffee beans and fresh ground coffee pods in 2013. Standard fresh ground coffee has traditionally dominated sales in coffee, with the category accounting for 94% of volume sales of coffee in 2013. However, the high per capita consumption – the second highest in the world – has resulted in refined likings among Norwegian consumers. Grinding high-quality coffee at home or ring new flavors in trendy coffee pod machines have therefore become alternatives to traditional coffee.

With fast-paced consumer lifestyles increasingly the norm, takeaway coffee shops are very popular amongst Norwegian commuters. The fact that there are many coffee shops located near high-traffic areas makes it easy for consumers to buy takeaway coffee to take to work. Nor-ways cafe culture is growing stronger and even spreading to smaller towns. Capsule or pod coffee systems like Newspapers have also proven popular among time-poor Norwegian. The fastest growing category was fresh ground coffee pods, which registered 67% off-trade volume sales growth, followed by fresh coffee beans with a 28% off-trade volume sales increase in 2013.

Both categories have developed from a comparatively low base in the review period, however, maturity is occurring. The two categories have different consumer groups; where fresh ground coffee pods are attractive to the younger population who perceive coffee pod machines as trendy and convenient. The possibility of experimenting with different type of coffees, teas and other hot drinks has also become a key selling point for fresh ground coffee pods. Fresh coffee means on the other hand, primarily targets experienced coffee drinkers who search for higher quality coffee and are willing to grind coffee themselves to achieve this.

The main players such as Jog Johansson have pushed their coffee pods and fresh ground coffee using in-store advertising, online media and TV-commercials. Several coffee manufacturers displayed dynamic growth in 2013, primarily as a result of the booming growth in fresh coffee beans and fresh ground coffee pods. Domestic manufactures enjoy a strong foothold in coffee in Norway, many domestic manufacturers have been in the market for a long time, which as provided them with a strong understanding of consumer trends. Several new launches occurred in coffee in 2013.

Most of the products introduced were positioned as either premium or convenience. For example, Kafkaesque Frieze launched a new line consisting of four different espresso pods. Standard brands continue to constitute the majority of sales, where the bulk is derived from standard fresh ground coffee. However, as a result of increased competition from prominent private label players such as Coop, price promotions on the standard or mid-priced coffee brands have become commonplace The rising demand for more convenient and high-quality solutions will according to Remuneration continue to dominate trends in upcoming years.

While the standard fresh ground coffee will continue to constitute for the bulk of everyday consumption, sales will increasingly rely on promotions and discounts to ensure high volume sales. Norwegian demand for coffee will remain high, therefore premium and value added products will perform well. Additionally, the demand for organic and ethically positioned products has risen during the review period, not only for coffee but also in tea and other hot drinks. As Norwegian consumers become increasingly aware of social responsibility and the environmental impact of hot drinks, demand for ethical products will rise.

Consumer trends (SOUrce: Enclosure B; While recent job reports are serving as a warning for some observers, for the most part Norwegian feel secure and remain optimistic about their national and household financial conditions. According to a recent report from Bloomberg News, it is Innovating consumers and their high spending levels are the engine driving economic growth: -?Consumers are sustaining an expansion in Scandinavians richest economy per capita after home prices covered from declines in 2013 and as registered unemployment remains below 3%.

Norwegian consumers have always been keen on online shopping and this is expected to continue. While home delivery of goods bought online is generally preferred by Norwegian consumers, they don’t complain if they have to collect their orders at designated collection points. The online retailing landscape is expected to change as more consumers increasingly incorporate their smartness and tablets into their shopping experience. 2. 5 Growers Cup user situations (source: www. Resources. Com) Home coffee The quick and easy specialty coffee treat No machines, no cleaning, no maintenance Surprise your guests with a very special coffee experience You’ll get the story on the table and learn about the coffee Travel coffee A gourmet treat at your hotel Tasty refreshment on-the-go Perfect for the car Much better quality & much cheaper Office coffee Easy gourmet coffee at your office desk Enjoy good coffee during meetings Easy to take along – wherever you work?

Surprise your colleagues with a tasty treat Study coffee Perfect for a student lifestyle Very affordable premium gourmet quality Take it to your study place -? brew and enjoy anywhere Stay sharp and focused with a healthy and tasty refreshment Outdoor coffee Take it to your summerhouse or on the boat Your holidays and when you are skiing Any outdoor activity will benefit from a tasty coffee experience For climbers, hunters and sailors, who needs to stay sharp and alert 2. Strategic considerations of Growers cup The board of directors of Grower’s has recently had a meeting where they evaluated the market situation of Growers Cup and its possibilities for expansion. They board decided that it is not within the company’s current opacity to enter new markets. The marketing department therefore evaluated the current markets and the decision was that Norway had the greatest potential for furtherer expansion and growth. As a marketing consultant at Growers Cup you are asked to recommend the new/adjusted approach to the Norwegian market. . Your assignment 1. Your assignment – Global Economy – 20% Based on the report “Norway country profile – Marketing April 2014” (enclosure D) (and other sources Of your own choice) please identify key macro economy factors that has an influence on the Norwegian market for convenient coffee and hot drinks. I. E. Factors that have to be considered in evaluating the market and making a marketing plan. Explain why the factors are important. 2. Your assignment – marketing – 60% Growers cup is determined to strengthen its position on the Norwegian market.