1. UNIT
CODE: HBU
TITLE: MARKETING
ENVIRONMENT
PROJECT/TEAM NAME
CASE STUDY MARKETING ANALYSIS
NAME OF LECTURER
KIM AHINO
DUE DATE
24/05/2016 5PM
TOPIC OF ASSIGNMENT
OREO MARKETING ANALYSIS
Group or tutorial
GROUP
Course
ASSOCIATE DEGREE OF
BUSINESS
Campus
BENTLEY
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NI PUTU DEA PRADNYA (4Ps) 131603522 24th May 2016
ZOE MITCHELL (SEGMENTATION, TARGET, MARKETING
ENVIRONMENT)
131603533 24th May 2016

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OREO MARKETING ANALYSIS REPORT
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3. OREO MARKETING ANALYSIS REPORT
BY DEA PRADNYA & ZOE MITCHELL
INTRODUCTION
Oreois a brand name of cookiesproducedbyNabisco,foundedin1912 witha worldwide market, the
divisionof MondelezInternational whichalsoownsandcontrolscountlesseverydaybrands.Nabisco
manufacturesanddistributescookies,crackers,andotherfoodproductsinthe UnitedStatesand in
certainforeigncountries.Oreohasitsownmarketingmix andstrategythatdifferentiate fromthe other
brands,but still inthe same supplychainasfellow companybrands.
TARGET AND SEGMENTATION STRATEGIES (ZOEMITCHELL, 131603533)
SEGMENTATIONAND TARGETING STRATEGIES
Target strategyis brokenup intofourdivisions,geographical,demographical,psychographicand
behavioral whichhelpdetermineastrategyforthe product.
Geographical:The geographical breakdownsforsegmentationstrategiesinclude the worldwide region.
Urban densityandclimate wouldvaryfromcountryto countryas theyare a global company.
Demographical: Those ages6 plus.Insayingthisthe targetmarketand primarybuyersare those in
university,teenagersandyoungeradolescents.Those inthe workingclassare alsotakeninto

4. consideration,whodonothave a lotof time tospare will be more obligedtosnackingcomparedto
those whohave more time.
Psychographic: Teenagers,universitystudentsandyoungadolescents.
Behavioral: For the primarybuyerswhoare those inuniversity,teenagersandyoungadolescents
influencingtheirparentschoice.The benefitssoughttrustinthe qualityinthe productand loyaltystatus
wouldrange anywhere fromaware tointendingtobuy.
The primarybuyersare those whoare spendingthe mostontheirproductyouwill notice thisiswhythe
advertisingiscateredtoa youngeraudience withthe catchyphrase "twist,lick, dunk".
In sayingthisthe secondarybuyersare justas importantbecause theyare consideredsoontobe,
primarybuyersforthose youngadolescentswhoare drawntothe advertisements.
As a large,international companyOreohasthe competitive advantage of offeringarange of products
that stemfromthe original Oreoto serve all marketsegments.Between2012-2015 Oreohas released
over20 newflavorsof Oreoson the marketto meetthe needsof eachsegmentitservesandeventually
seekfull marketcoverage asa global brand.
MARKETING ENVIRONMENT (ZOEMITCHELL, 131603533)
MICRO ENVIRONMENT:
 Customers:One of the Main actors that influence the marketingstrategyforOreoare the
customers.Oreo istargetingtheirmarketof customersfroma youngage. The customers
purchasingtheirproductsona dailybasis,aroundthe globe createsnotonlydemandinthe
productsbut an increase inthe revenue.
 Employees:There wouldbe nobusinesswithoutthe employeeswhoworkforOreo.The
employeesall playaveryimportantrole startingfromthe factoryworkersto the CEO of the
company.
 Competitors: The biggestcompetitorisfellowbrandsproducedbyKRAFT,headcompanyof
Nabisco.The competitiveadvantage isthatthere isnothingelse onthe marketlike Oreowhich
createspowerabove itscompetitors.
 Media:With 95% of all teensinvolvedinsome formof social media,andthe primarybuyers
include teensitisclearthatthe mediawouldinfluence Oreos targetingstrategy.With32million
followersonFacebookalone Oreoiscloselymonitoringandupdatingtheirsocial mediaforums
on a regularbasis.
 Suppliers:Main source of revenue forNabiscoandincrease the demandforOreo'sworldwide.
Withthe strategicmarketingplansputinplace bythe suppliers,consumersare spendingmore
and Oreosglobal salesare increasingperannum.

5. ("Supplyof Oreo,2016)
MACRO ENVIRONMENT:
The actors thatplaya huge role inthe micro environmentonthe marketingstrategy:
 Demographic forces:The adsare consciouslytargetedtothose atan adolescentsage.
 Economic Forces: Generallya middle income,usuallyabusyfamilywhoisworkingfull time
withchildreninfluencingtheirpurchasingpatternsandconsumerbuyingbehavior.The lowprice
appealstothose whodo not have a highincome suchas universitystudentsandteens,whoare
consideredprimarybuyers.
 Cultural Forces: ReducedfatOreo stemsfromtheiroriginal Oreocookie.Thesecookiesare
reducedinfat whichappealstothose whoare healthconscious.Thiscreatesawhole new
marketcateringto a newsegmentinthe marketingstrategy.
MARKETING MIX (4Ps) (NI PUTU DEA PRADNYA, 131603522)
PRODUCT
Theircore productisto produce a nutritional snack.Whilethe mainfocusof the brandis the actual
product,whichis;(Oreocampaignanalysis,2015)
- Qualityof goodtaste, premiumcookiesandconsumablewithmilk.
- Design and packaging; bright blue and white, easily carried.
- Branding;theirbrandingstrategyiswithfamousslogan'twist,lickanddunk'whichattract their
target consumer(children) toeat Oreowithmilk.

6. Co-branding;cooperate withseveral companysuchas Cadburry, Baskin&Robbins,etc.With
addingOreoas additional flavorsincrease the consumptionandmake the consumertaste Oreoinany
kindof product.
ProductLine:more than 90 varietiesand30 flavorsaroundthe world,to satisfyconsumer'sdifferent
taste to cookies.
Their development of the actual product which include branding and co-branding help to create an easy
concealnutritional snack in lots of varieties and flavors which they can taste even with different brand of
food and the brand appeal to suggest kids that mostly still drink milk daily to consume it
with Oreo. (Patel,2014)
PRICING
As international brand, Oreousedvarietiesof pricingstrategies,astheircost-based,they
use competition-basedpricingwhichtheychargedsimilaramountastheircompetitorwithinthe same
company(Chips,Ahoy!).
Target costingisone of the toolstheyuse, because theirconsumerisprice-sensitive sotheykeepthe
price lowand affordable.
Promotional pricingisone of strategytheyuse,theyhave limitededitionof Oreoprice-markedpacks
whichgive consumerfeelingthatitis the fairprice directlyformthe company.Theyalso
have discountwithcouponstoattract consumer.
("Oreo price-marked", n.d.)
Price adjustmentstrategy
Segmentedpricing-geographical
CHINA and INDIA astheirbiggestrevenue maker
Productdevelopmentstrategy
As theyare alreadyan establishbrand,the time theypenetrate ChinaandIndiamarketisnot
successful.
- Ideascreening;marketresearchinChina,the current Oreocrème istoosweetwhile the biscuit
istoo bitter,14 Oreosfor72 cents istoo expensive
- Test-marketing;with20 prototypesof Oreonew productline,reduced-sugar, fewerOreosfor
29 cents
- Commercialization;publicrelation ->Oreoapprentice programtointroduce Americanwayof
pairingcookie withmilk
Create newproductline ->Oreowaferstickand waferrolls.

7. In India,byusinglocally-sourcedingredientsmakesthe productscheaper.
Those pricingstrategieshelp Oreo'scostaslow and fairfor theirqualityandthe affordable forthe
consumer. (Koellmann,2013)
PLACEMENT
OreosupplychainisincludedinitsHeadcompanywhichisNabisco.Asmanufacturerstheycollectthe
inventoriesinwarehouses,Nabiscoused multichanneldistributionnetworks;
Theirtargetplacementisinconveniencestore,supermarketandgrocerystore whichare reachable for
the consumer.Asa convenience snack,theirplacementhelpsthe brandtobe visible forthe
consumer. (Distribution and sales, 2014)
PROMOTION
Advertising
a. Usingmagazine ads(time, entertainmentweekly)
b. TV commercialswhichairedduringprimetime toreachthe targetconsumer
c. In itswebsite theyupdate varietiesof foodandbeverage recipestoattractconsumerthat they
can consume Oreoinmany wayssuch as birthdaycakes,milkshakes,etc.
Salespromotion
a. Usingcouponsand discounttoattract customerto buyinthe future if theyare goingto retailer
b. Making variouscontestsrelatingtoeatoreosandgive outpresents,todraw consumer
Publicrelation
a. Pressrelation:
- Oreowonderfilled:give the message that Oreoasa brand has a veryclearpointof view interms
of seeingthe worldwithopennessandcuriosity,thatsomethingassimple ascookie canchange
something(Diaz, 2013),it isto show that thisbrand isengage withnotjustconsumer'sneedfor
snack butcampaignto showthat Oreois indeedthe biggestcookie brandinthe
world. https://www.youtube.com/watch?v=XFsZ6BO4LU0
- Daily-twistcampaign;for100 days, Oreosharedan image of a cookie depictingall thinkable
(andunthinkable) eventsof the dayinquestion,suchasimportantmilestonesorcurrent
events.
MANUFACTURER
WHOLESALER RETAILER CONSUMER
RETAILER CONSUMER

8. ("Oreo daily twist campaign", n.d.)
- 2013 Superbowl blackout;duringthe suddenblackout, Oreoposted'youcanstill dunkinthe
dark' picture intheirsocial mediaaccount.Asa real-time marketing,itcreatesan image tothe
brand thatOreo isrelevantanda real-time brand.
("Oreo superbowl", 2013)
Oreo already has a strong brand awareness in the society, instead of pouring too much budget on TV
commercials, they know that consumers are into internet and social media nowadays, so by fast-respond to
current events and active in social media they areactually maintaining the brand strength, thus the efforts
they making in promotion are to remind again the public that this brand is still here and always follow the
trend. (Oreo campaign analysis, 2015)

9. CONCLUSION (NI PUTU DEA PRADNYA, 131603522)
The brand valuesof Oreoisto appeal as a child-like cookies,bringtogethernesstothe family,soit'snot
onlyto attract childrenbutthe alsothe parentsas the actual buyer,toremindthemtheirchildhood
moments.The marketingmix of Oreohave helpthe brandtonot onlyintroduce itinthe past butas it is
goingstrongoverthe yearsand Oreohas secure the place as the biggestcookie brandinthe mindof its
consumerandpart of the world'sculture.Inthe otherhand,the marketingenvironmentswhetherit's
the micro or macro helpsthe companytobe aware not onlythe demandof the consumerbutalsoall
otherthingsthat affectthe decisionmakingof the brandwhichleadtomaintainitsbrandimage tothe
consumer.(America'sgreatestbrand,n.d.)

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