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Am I sure that automatic coffee makers are all about marketing and nothing to do with them being great coffee brewers? Well, the name of the marketing game is “name recognition”, if you pardon the pun. A good example of this would be the familiarity of some automobile brands from the Far East as opposed to other brands from the same region the world.
Obviously the marketing of one brand has been more aggressive and successful as another. The same principle applies to the marketing of automatic coffee makers. Some of the brands of automatic coffee machines are for more popular than others. The reason could be that the brand name is simply more familiar.
In a very competitive market, smart marketing is worth a lot of money. Whether you are in competition with discount coffee makers or some of the more well known brand of commercial coffee makers, the ultimate goal of your marketing strategy must be improved brand recognition.
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Take the Sunbeam Heritage series or Kitchenaid Javastudio series as an example. Both of these brands are in direct competition with the Delonghi coffee makers.
They have low brand recognition in the market place. They fall in the same price range as the Delonghi machines, but hardly anyone knows them. The marketing strategy of these companies has not been as smart or as successful as the Delonghi strategy was.
It really does not matter what you are producing. Whether you are in competition with other drip coffee makers or vacuum coffee makers (by this I mean niche selling), the name of the game still remains clever marketing.
If you can market your brand name has a status symbol then you will be able to increase your domination of the market place. Whether you are selling a simple coffee filter or a luxury German automobile the principle still remains the same.
Your clients must perceive that owning your product gives them a social status. They must feel that they will become the envy of their friends when they have all your coffee maker.
It is said that a famous American soft drink manufacturer spends approximately 1/3 of its annual budget on marketing to maintain its dominant market share. I have been unable to verify this assertion.
It does however demonstrate a very important fact. Dominance of the market place is not cheap. Automatic coffee makers such as Delonghi have obviously invested significantly in their brand recognition campaigns.
The facts on the table prove that this strategy has been successful. If companies such as Sunbeam or Kitchenaid ever want to challenge the position of Delonghi, they will have to dedicate a substantial amount of money to this task.
So, the next time you thought of some coffee brewers as the best coffee maker, think about what it is that makes you have this thought...