3.0 which people will get a premium brand with

3.0
Critical Success Factors and Prioritisation

CSF1. “Focus on expansion in the international
market, by exporting more overseas and use marketing campaigns”

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By increasing the number of export overseas, Chapel Down
would increase their sales, brand recognition and international exposure. It
might benefit them in terms of meeting their organisational goals, however, the
ambiguity is whether it will match their corporate strategy and marketing
strategy. In other words, business functions and new market segments might not
work together. As Chapel Down currently planning on launch their brand in the
US (Chapel Down PLC, 2016), they will face with the struggles, as their brand
will be competing with the already known local brand, which people are aware
of. They should focus on marketing strategy, as the US is in the top 4
wine-producing countries (Mintel, 2017), which also leads to an increase in the
cost.

Thus, this CSF classifies as the most important one,
because Chapel Down set this as their current top goal.

CSF2. “Age restrictions limit sales and demand for
the product, therefore produce a new product line for a different market
segment”

It is illegal for people under 18 to buy alcohol in a pub,
off-licence shop or elsewhere (BBC News, 2007). Therefore, Chapel Down is
following this law with the products they offer.  However, based on the statistical research of
the trends in consumption of alcohol, the percentage of the demand of people
over 18 consuming alcohol is decreasing every year (Mintel 2010). Thus, Chapel
Down should contemplate a possibility of the reduction on their product line,
which would lead to the depletion in sales.

As Chapel Down is showing strong growth in sales from the
high demand for their products, this critical success factor can be taken to a
second place. However, if this will start effecting their business, they could
consider a production of the new product line. This will allow them to aim for
higher sales, the same as introducing themselves to a new target audience.

4.0 Recommended Changes

4.1
Recommended Product

As it was mentioned in the second CSF, age restrictions
limits Chapel Down’s business opportunities. Therefore, I would recommend them
to produce a new product line, such as grape juice, production of which can
target a new market segment, specifically young audience, the same as
non-drinking millenniums. Meaning that Chapel Down will be able to enter a new
market, as non-alcoholic beverages, in which people will get a premium brand
with a reasonable price.

4.2
Recommended Price

In terms of the price, I will recommend keeping the same
price frequency, as Chapel Down is focusing on the international market. Based
on the first CSF, I will say that they should use a pricing penetration
strategy, as with the entrance to a new market they need to attract new
customers which they can do by offering lower prices. However, these prices
should be set by considering the international tariffs, the same as
competitors’ rates.

4.3
Recommended Promotion

As it was mentioned in Current Marketing Mix, Chapel Down
is increasing their funds in crowdfunding campaigns, so they can attract new
customers. However, the use of a different advertisement approach will come
handy, for example, by introducing a new market segment (younger audience), and
using marketing research, they will see that most people of this audience is
using internet. Therefore, I would suggest Chapel Down to make an accent on
promoting their brand via social media (Facebook, Twitter).

4.4 Recommended Place

As the new product line will be released, Chapel Down could
implement it to the stores, which will be applied to retail distribution
(grocery stores, supermarkets). Based on the statistics, supermarket sector
remains the dominant grocery channel, accounting for as much as 52.7% of sector
sales in 2016 (Mintel, 2017). Thus, it will be beneficial for Chapel Down to go
into this channel, as it will lead to a brand growth.

4.5
Recommended People

If we go back to the first CSF, then I can assume that it
would be beneficial for Chapel Down, to expand their team, specifically
marketing department by hiring global marketing managers, who is specialised in
product development which will meet international demand and establishing
profitable pricing strategies. As Chapel Down is focusing on the quality of
their products, another recommendation is that recruitment and rewarding scheme
should be applied within their business, as it will have a positive effect on
the business environment in which production can be improved.

4.6 Recommended Physical Evidence

Essential evidence can be developed in Chapel Down. Hence,
my recommendation is to open a bar or a restaurant in the lucrative area, which
will give customers a better recognition of their brand, as they will be able
to try products, as well as make their purchasing decision based on their
preferences.

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