A& W Company is mostly recognized for its popular A&W Root Beer beverage. According to history, this is one of the major famous drinks in the United States and the same effect has also been experienced in the Canadian market. Since the 1990’s the concoction of root beer has retained a leading share in the American market despite facing fierce competition from Hires root beer products and Barq’s Dad’s. It is also evident that since 1960s the ownership of the famous beverage and also the franchise serving it has gone through a lot of changes .
Sales People
The company mostly use Franchises for reaching their customers and their franchises are sold throughout United States and into their new market in Canada. Selective market strategy is the most used market exposure by the company . The franchises started in California starting 1923. Tray boys are also used for attending customer and taking order in the restaurant. Since the 1960’s A&W Company used drive –INS but have now been fully replaced by restaurants which are contemporary standing free. The sales take place in various restaurants that the Company has put up in various parts of United States and Canada. The restaurants are created to attract customer with unique and attractive themes which enable them to outshine other Companies such as the McDonalds. Expanding into new convenient markets calls for higher profit margins in future and this has been experienced lately through the Company’s expansion to airports, shopping malls and other convenience locations in their markets thus making them more reachable to their clients. The success of the company has also been enhanced by industrious and aggressive sales team who in addition ensure high quality customer service is practiced and maintained in all branches of the company
Types of Mass Advertising
A&W Company is highly recognized due to their strategic promotion and advertisement methods such as television advertising, use of franchises and also online advertising and social media. The company holds free standing restaurants where customers are able to relax and enjoy the services. They use emotional TV Campaigns as a way of bringing back the rich memories of their consumers in their restaurants back to life. The new technology has enabled the Company to easily achieve effective advertisement strategies. The TV advertising has been termed to be the best means of media promotion for the Company. Social media has also become a very significant advertising tool for the company including use of website and face book.
Types of Sales Promotions
A&W Company has been offering the best prices for their products in the American market thus the wide market coverage. Their pricing major objective is to achieve good public image by making profits and attracting more customers. A good example is offering two delicious burgers for $6 as a form of promotion for their product. At some point the Company has used coupons as a form of promotion and this has evidently enhanced their market value. Their favorable prices have enhanced deeper penetration into both existing and new markets. The company has a profit margin of 2.45% quarterly. Their price strategy mostly includes low prices during market entry which is also considered a promotion strategy for A&W Company. The company uses push and pull promotion strategy whereby they spend a lot of money in advertising their products and consumer promotion in order to build up higher demand for their product. This strategy has been very successful in the entire yearly event since the demand flows through the distributing channel of the company. The customer will end up asking for the company’s product from retailers who then get them from the wholesalers whereas the wholesalers get the product from the producers. The company uses push strategy by selling to the customers directly and skipping other channel of distribution. Consumer advertising and promotions are the most likely used promotional tools where this strategy is used.
Types of Publicity
Consistent layout is the commonly used publicity means since it is considered very unique and it helps on repeating the element of advertising thus enabling the client to identify the company easily and in a blink. The more distinctive the elements of publicity are from those of the competitor the easier it is to stand out from the muddle.
Integrated Marketing Communication
Marketing communication is a very essential tool in marketing for any company. A&W Company has ensured that use of the current technology is highly adapted in order to help them achieve their integrated marketing communication. Their greatest contribution in achieving (IMC) has been intense involvement of the organization and management in the planning, implementation, analyses and control of all marketing communication messages, contacts, media and tools of promotion which are focused at selected target audience in a manner that derives the greatest effectiveness, enhancement, economy, efficiency and effort of marketing communication coherence in achieving the product which has been predetermined as well as the objectives of corporate marketing communications.
Work Cited
AWRRF. A&W Revenue Royalties Inc Profit Margin Quarterly Chart. 30 June 2013. 9 October 2013 <A&W Revenue Royalties Inc Profit Margin Quarterly Chart>.
Dr Pepper Snapple Group. A&W. n.a 2013. 9 October 2013 <http://www.drpeppersnapplegroup.com/brands/aw/>.
Hoovers. A&W Restaurants, Inc. n.a 2013. 9 10 2013 <http://www.hoovers.com/company-information/cs/company-profile.AW_Restaurants_Inc.b6cc6d478445a8ed.html>.
Smith, Andrew F. "Fast Food and Junk Food: An Encyclopedia of What We Love to Eat." Smith, Andrew F. Fast Food and Junk Food: An Encyclopedia of What We Love to Eat. California: ABC-CLIO, 2012. 166.
