Business English / Деловой английский язык
The test marketing results suggest that to increase sales Maxy sauce needs to be redeveloped and repackaged as a more up-market product. Stephen Sablon and Anton Hiltmann have been given the task of making it work within six months. Can they do it?
|Michael Tsatsos||is a marketing consultant. He is Greek.|
|Vocabulary||Market research; retail promotion and merchandising; the marketing mix: advertising, packaging, pricing, etc.|
|Skills||Questioning proposals in detail; negotiating a management decision; listening to figures being spoken.|
|Documents||A questionnaire; bar charts; a line chart; a pie chart; a memo.|
Planning a campaign
23.1 Listen and read
In Anton Hiltmann's office in Dusseldorf, Michael Tsatsos, a Greek marketing consultant, presents his findings to the Hiltmann management. Listen to what they say. What was the purpose of Michael's enquiries in Creek supermarkets? What sort of results would Hiltmann regard as encouraging?
|MICHAEL||First, the good news - we've got the results of the supermarket survey. You should have received a copy yesterday.|
|ANTON||On the face of it, I thought these figures looked encouraging. What exactly was the procedure, Mr Tsatsos?|
|MICHAEL||Twenty interviewers visited altogether one hundred supermarkets in five large towns on different days of the week, at different times of day. They interviewed a total of five hundred and thirty-seven women and twenty-four men.|
|ANTON||You say this is a summary - but you've also analysed these figures in more detail, haven't you?|
|MICHAEL||Well, yes, if you look on the second sheet you'll see we have got the computer to do a bar chart of the responses to question seven, broken down according to age.That's the bad news!|
23.2 Document study
This is the questionnaire, and the bar chart of the responses to question 7. What good news tor Hiltmann can you find in these figures? What bad news appears in the bar chart?
23.3 Writing practice: a customer profile
A profile is simply a short, factual description. Write a profile of the typical Creek food shopper, based on all the relevant information you can extract from the summary of responses and the bar chart.
23.4 Listen and read
The presentation continues. Listen to what they say. How is Michael going to try to reach the typical Greek food shopper as described in your profile in 23.3?
|ANTON||All right, Mr Tsatsos, the marketing mix. Let's hear what you propose.|
|MICHAEL||The main thrust of our campaign will be through television commercials. Some of these will be at peak viewing times in the early evening , but many will be screened during the afternoon when rates are low, but many housewives watch.|
|ANTON||Mhm. You've costed the whole thing, I suppose?|
|MICHAEL||Yes, and we expect to come in at ten per cent below budget, even allowing for contingencies.|
|ANTON||I've heard that one before.What are you doing apart from TV?|
|MICHAEL||We obviously have to target the housewife. So, to soften up the market, a series of half-page ads in the four most popular women's magazines, running from mid-March through to the middle of April.|
23.5 Listen and read
The presentation continues. Listen to what they say. Apart from advertising, what does Michael want to spend money on?
|ANTON||Just that? Nothing else?|
|MICHAEL||That's it as far as the media are concerned - except for some interviews I've got lined upon some local radio stations' cookery programmes. They're going to mention Maxy in their 'new products' feature, you know the sort of thing. That won't cost us anything.|
|ANTON||What about in-store promotion?|
|MICHAEL||Naturally, there'll be point-of-sale merchandising: show cards, special display stands - where we can find room for them. You must remember floor space in supermarkets is at a premium.|
|ANTON||Can't you slip the manager something - a little backhander?|
|MICHAEL||Well, there are ways of offering little incentives, yes. And talking of incentives - we have allowed for a certain amount of below-the-line expenditure.|
23.6 Reading for key words
Find the words or phrases in 23.1-23.5 that tell you the following:
|1||Anton Hiltmann thinks the questionnaire results look good, but he doesn't want to appear too enthusiastic in case they turn out to be not so good after all.
|2||The most important part of our effort.
|3||The times of day when the largest numbers of people watch TV.
|4||In my experience, statements like that are usually not true.
|6||Give somebody a small bribe.
Presenting the results
23.7 Document study
The test-marketing exercise produced many figures. The diagrams below show some of the results. Which of the diagrams is a bar chart? Which is a bar and line chart? Which is a line chart? Which is a pie chart? Which of the diagrams show a trend over a period of time? Which show an analysis at a given point in time?
23.8 Find the word: tendencies and trends
Choose the most suitable word from the box to fill each gap.
23.9 Listen and read
Stephen telephones Jerome Fantam to tell him about the test-marketing results. Listen to what they say, and to how Jerome asks for the figure to be broken down.
|STEPHEN||Stephen Sablon here. I've got the Maxy test-marketing results from Tsatsos.|
|JEROME||Oh, have you! So how do the results look?|
|JEROME||Oh, yeah? What was the retail sales total?|
|STEPHEN||Just over ninety million drachmas.|
|JEROME||Ninety million? How many people are there in Greece?|
|STEPHEN||A little under ten million.|
|JEROME||Oh, not as many as I thought. How does your sales figure break down, regionally? How many sales regions are there?|
|STEPHEN||There are five. Central Greece, with the capital, Athens, ...|
|JEROME||Just tell me which region got the highest sales total.|
|STEPHEN||Central Greece, easily. It's got nearly half the population. Sales were thirty-six million.|
|JEROME||And how about the other four regions?|
|STEPHEN||Well, Macedonia was about twenty million, Peloponnese sixteen million, Thessaly twelve million, and the Islands nine million.|
|JEROME||Are those the results you'd expect, taking into account the population of each region? Which regions got the best results per head?|
|STEPHEN||The Peloponnese did very well indeed. Thessaly did well. The other three were pretty similar.|
|JEROME||Uh-huh. That's interesting, Stephen, I look forward to seeing the detailed figures very shortly. I have to hang up now, I've got Tokyo on the other line. Bye.|
Key decision making
23.10 Listen and read
Patricia, Stephen and Leo are having a telephone conversation with Jerome Fantam. Listen to what they say. Does Jerome think that the test-marketing exercise has been a success? How do you know?
|PATRICIA||Good morning, Mr President. Can you hear me? We have some figures for the Maxy test-marketing scheme in Greece.|
|JEROME||I hear you, you don't need to shout. And I've seen the results. First of all I have to ask, is Sablon's resignation still on the table?|
|STEPHEN||My offer to resign from the board still stands, of course. However, I...|
|JEROME||Ah... I'm not going to let you off the hook that easy. Leo, can we have your comments on the exercise?|
|LEO||Obviously the problem is the lack of repeat orders. We must, of course, bear in mind that this was only a three-month trial, of a product which the market perceived as being quite a high-priced luxury item.|
|STEPHEN||Right. Where we failed was we didn't get them using it every day.|
23.11 Listen and read
The telephone conversation continues. Listen to what they say. What solutions to the problem of Maxy's future are proposed?
|PATRICIA||So, Stephen, you think we should go down market, knock twenty or thirty per cent off the price?|
|LEO||Just a minute. On Anton's behalf, as he can't be with us today, may I point out that Maxy is a quality product. It's produced in small batches from high-grade materials, and the overheads are correspondingly high. They can't cut the price just like that.|
|JEROME||They can sell at a loss for up to three years if that's what it takes to get established in the market. Also they could manufacture somewhere else than that expensive site in the middle of Dusseldorf - that would bring their overheads down.|
|STEPHEN||I agree we may have got it wrong over pricing. But I'd suggest just the opposite from Patricia. Let's take Maxy up market, but make sure people buy every flavour in the Maxy range.|
|LEO||Ah, product differentiation - that's what you're suggesting, is it?|
|STEPHEN||I said at the outset, you remember, that we ought to diversify the product, but everyone said we didn't have time. Now we've got even less time, but we're just going to have to do it.|
23.12 Listen and read
The telephone conversation continues. Listen to what they say. What solution has been chosen? What benefit is Jerome Fantam hoping to gain?
|JEROME||OK. I think we're beginning to see some light at the end of the tunnel here.This is what I'm prepared to recommend to the board. Stephen and Anton can have carte blanche to redesign , redevelop and repackage the product any way they see fit. They've got six months to do it in.|
|STEPHEN||I think Anton will accept that offer.|
|JEROME||It's not an offer. And there are strings attached.He's going to have to relocate. The new Hiltmann factory and offices will be sited at Essen. You've seen the site, Stephen, you agreed it was ideal, it's got laboratories, everything.|
|STEPHEN||Well, I think...|
|JEROME||Let me know how you get on.|
23.13 Find the right word: the marketing mix
Read the text below on the marketing mix. Write a word from the box to fill each of the gaps.
The marketing a is the combination of all the factors that affect the sale of a product. One of the most important is the product itself, its design, b and price. A lot depends on how the consumer perceives the product. c , like soap powder, are just as hard to sell as d items, like liqueur chocolates, but the problems are not the same.
Maxy, as a food flavouring, is somewhere in between these two extremes. People have to cook, and a high- e, low- f product that makes cooking easier should bring the customers back for more and bring plenty of g orders from the distributors. Patricia therefore assumes that Stephen wants go for the h end of the market, bringing the price i . But Stephen in fact wants to go j market. People who buy this type of product will go on buying it even if it k more; the problem is to make them buy another bottle before the first one is empty. This in turn means product l : Hiltmann must produce a range of sauces and flavourings under a name that already has excellent brand m .
23.14 Speaking practice: making a proposition
Listen to this conversation. Then listen again, and speak the part of the president.
|MAN||Good morning, Mr President. What can I do for you?|
|PRESIDENT||Good morning. I have a proposition to put to you which I think will interest you.|
|PRESIDENT||You'll be pleased to hear that the board have given the go-ahead on your plans for product diversification.|
|MAN||That is good news.|
|PRESIDENT||We said at the outset, you remember, that we ought to have a range of different flavoured sauces.|
|MAN||On the face of it, it certainly sounds like a sensible idea. But what about the time scale?|
|PRESIDENT||Yes, you're going to have to work fast, especially as you're also going to be relocated.|
|MAN||Oh. To that splendid new factory at Essen. Yes, I remember, we agreed it was ideal.|
23.15 Document study
Jerome Fantam sends this memo to Standard Can's managers world-wide. Read it carefully. Why do you think Jerome wrote point 3?