Marketing Mix consist of 4 tools, namely Product, Price, Place and promotion which are available to a business that want to gain the reaction this business want from its target market in relation to its marketing objectives. All the decisions made by the business should be based on market research. Levi Roots with his business of spicy Caribbean sauces is going to launch a new soft fizzy drink. However, he might come across with a problem of identifying the target market and the satisfaction of them and therefor the future of this product.
First of all, as a Levi Root’s soft drink is obviously a consumer product, it has to have a very strong USP. It actually already have, because this kind of product is absolutely new in the market of fizzy drinks, however, as we talk about European market, even if, the Caribbean product is new in the European market, it does mean that it will be met by the consumer with enthusiasm because not everybody prefer Caribbean foods. On the other hand, if look at the success of other Levi Root’s products, probably the new one will repite the result of a whole product group of this company if an appropriate design and taste will be offered.
Additionally, it is very important for Levi Roots to choose the most appropriate price strategy for his new product. As it is an firstly-established mass-market product, penetration pricing will be one way of achieving high volumes and give to the customers an impression of value for money and it might also undermine possible problems with people not interested in such Caribbean new products. They are more likely to try it. Furthermore, the market of fizzy drinks in Europe is still extremely competitive and most of the products of Pepsi or Coca-Cola already have millions of loyal customers. That is why, the usage of Predatory pricing strategy can be very useful. Levi Roots may offer a reduced price at the beginning of sales or offer free gifts or presents which might be his companies’ other products.