What promotion and marketing (target market, product, place, and price) strategies, should the owners of Southern Comfort follow? Defend your positions on why you selected the strategies you have chosen.
Southern Comfort is pouring its entire media budget into digital
In answering the question make reasonable assumptions, (clearly you won't have the same information available to you as the actual manager, e.g. about competitors, but make some assumptions and follow through in your analysis).
You should also bear in mind that a fundamental goal, as with all the cases you build in MKT501, is to stimulate your learning. Your answers should therefore aim to demonstrate that learning.
In preparing your CASE4, ensure that you demonstrate your learning of the marketing concepts and frameworks for analysis outlined in the modular learning objectives. In particular, in answering the question, ensure that you demonstrate your understanding of promotion and factors affecting promotion success, as well as your learning from previous modules.
In CASE4, given Southern Comfort's position in the market, what should be its target market(s)? Hint, how should its packaging (e.g. size of bottles) reflect those target markets? Should it be distributed more or less intensely than other liquors? Should it be priced higher or lower than competitive products? Should it advertise more or less than competitive products? Considering that liquor is limited in its use of where it can be advertised, is the move by Southern Comfort to place 100% of its advertising as digital good or bad? Defend your positions on any and all of the issues you tackle.
Note that this assignment does NOT require you to prepare a detailed essay. Instead use section headings for each of the topics you address in your paper followed by a discussion of that topic.
Case-related articles in the popular press
Mullman, Jeremy (2009, July 29). Southern Comfort Pours Entire Media Budget Into Digital: Move Allows Brand to Buy Popular Network Shows Online Instead of Overcrowded Cable Fare. Advertising Age
Southern Comfort is a neutral grain spirit based liqueur. It has a strong brand recognition and has a positive reputation with liqueur drinkers in the USA. Southern Comfort has a rich heritage is and is sought for making cocktails. Southern Comfort evokes rich perceptions of top class bourbon, cloves, cinnamon, cherries, orange, and honey.
The cocktails created by using Southern Comfort create sexual imagery like the princess peach, Sloe Comfortable Screw, Greek Sex on the Beach, and A Piece of Ass. However, most of these cocktails are not targeted at the youth. The current promotional strategy of Southern Comfort is to advertise on the internet rather than on TV or magazine. It has decided to target the young drinkers. The strategy being followed is to build brand equity with young drinkers so that the advertising investment pays in the long run. For this reason Southern Comfort has decided to go in for digital advertising. It has spent its entire promotional budget on digital advertising. It has sponsored the Playboy "Uncovered" series, it has sponsored 10 free downloading of songs at Spin, and has sponsored 10 pop-up sessions with local artists. It has a fan page at Facebook, e-newsletters at Thrillists, and "Faces in the Crowd" series at Pitchfork. There are several other digital sponsorships that Southern Comfort has undertaken. The strategic objective of Southern Comfort is to win over the young ...
This posting gives you an in-depth insight into Southern Comfort