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Marketing Case Study: Blue Mountain Coffee In The World

1301 Words6 Pages

Blue mountain coffee is one of the most famous and classification coffee in the world. They have few hundred year history. In this case the biggest problem of Blue Mountain was facing at that time was how to increase its market share. In the 1950s, its market share reached 15%, but then it gradually decreased, especially in the last decade. Now President Lucinda stopped it from deceasing and kept it at around 5%. In 1994, the other president of Blue Mountain, James Anthony invited Reginald Van Tassel to the join the company as advertising manager. Van Tassel, who had plenty of marketing experience, especially in advertising, used to work in Netherland and Singapore. Blue Mountain decided to increase market share by increasing its expense on advertising. At first, Van Tassel proposed to increase the advertising budget by 20% quarterly but the result was not satisfactory. The increment of its market share was only 0.3%. The extra profit generated by such increment was far less than the extra expense on advertising. Therefore Blue Mountain needed to continue analyzing the market and advertising strategy.

Then discuss how the problems can be analyzed by decomposing them into some “small” answerable questions, and how data are obtained to answer the questions. There are a lot of aspects that need to be improved to increase the market share by advertising strategy. The weighted advertising needs to be increased by increasing and balancing three factors: adv dollars, media

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