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Kudler Strategy Essay

1417 words - 6 pages

Kudler Fine Foods: Strategy
Discriminating palates demand the best, and Kudler Fine Foods is there to provide that for them. Kathy Kudler's vision of a one stop shop for everything gourmet, from locally grown organic produce to top-of-the-line cooking utensils has been resounding success. In just a few years she has expanded her business to three stores with future plans to add additional locations. The strategy for improving her business will now hinge on building customer loyalty. Kudler will also implement changes to their website which will allow them to access other markets by making a selection of their products available for online purchase, and they are implementing a plan to track ...view middle of the document...

They are expanding their website to include the ability to sell over the web. The website is also to be used as a means of communicating with their loyal customers and a means of contact for those seeking catering event services.
Strategy
Kudler Fine Foods is differentiating itself as a means of improving its business. The strategy listed on their Intranet is as follows "Kudler Fine Foods has experienced significant growth and is now focused on expanding the services, improving the efficiency of its operations and increasing the consumer purchase cycle as a means to increasing the loyalty and profitability of its consumers”(University of Phoenix, 2009). There are several means they have chosen to accomplish this. Their frequent shoppers will be able to redeem loyalty points for luxury items like specialty foods or upgrades to first class on airline flights. This strategy allows them to offer value added purchases as opposed to resorting to discounting like other rewards points programs. Kudler is providing catering services for those who want the gourmet experience with out all of the prep time and clean up. The product offered in their stores represent the best available, indeed the company logo is subtitled “Shopping the world for the Finest Food “(University of Phoenix, 2009). Their recent decision to offer locally grown organic foods has enhanced their product lineup and allows them to offer an additional means of attracting high end customers. Kudler holds “cooking class socials” where local celebrities, chefs or Kathy Kudler teach people how to prepare gourmet dishes. The marketing department sees these socials as a key way to increase traffic in their stores- by leveraging the “event feeling” and social aspects to build customers one at a time through word of mouth.
Tactics
Kudler’s approach to implementing their business strategy consists of three major tactics. The tactics are: 1.Strategic Sales Objectives, 2.Tactics by marketing mix, timing, and relationship to strategic sales objectives, and 3.Customer Relationship Management Strategies and Tactics. The strategic sales objectives include the Cooking Class Socials and Rewards programs described above, and two other initiatives: “targeted awareness building through direct marketing and word of mouth”, and “Increased behind the scenes efficiency” or cost cutting. Direct marketing will be implemented by sending flyers to addresses within zip codes with high end incomes. Kudler will feature information about Kudler Fine Foods products and services to generate greater awareness in the community of their locations. The plan is position Kudler as a “place to interact with others interested in exceptional quality foods for entertaining and everyday use” (University of Phoenix, 2009). Increased behind the scenes efficiency refers to improving costs in several aspects of the operation. The first area of concern is inventory levels. Since product on the shelves that is not being sold...

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