Fruti Fruit, Inc. is currently offering the option to manufacture the products to contract licensees to produce and distribute in a respective region. As a licensor of branded imagery, packaging, and production patents, Fruti Fruit, Inc. will be able to access a large portion of the national and many international markets by establishing a diverse network of licensees. By contracting the production and distribution, the firm will be allowed to focus much of its efforts on increasing the number of licensees and retail sales through marketing efforts.
As a licensor, Fruti Fruit, Inc., will market the brand, develop new products, and seek out new markets for existing products. To achieve these goals, licensees will facilitate sales through all aspects of production and distribution. Fruti Fruit, Inc. will develop new markets through advertising and marketing efforts. Services provided to licensees will include fruit sourcing, packaging, marketing, and quality control. In the future, Fruti Fruit, Inc. hopes to access national and international markets through production across multiple licensees.
One of the most powerful forms of customer oriented sales promotion is sampling. Because Fruti Fruit products are new in market, consumers may need a first hand and direct experience with the products. Sampling is conducted more so on a local level, however, coordinating a sampling program that runs simultaneously nationally is advisable in the cities where retail distribution exists. Sampling can help to overcome tunnel vision while shopping, provide mass product exposure, product knowledge, and generate immediate and sustained sales.
Other forms of consumer oriented sales promotion include contests, freebies, prizes, coupons, and rebates. All of these promotional activities give consumers an incentive to try and buy products and potentially become loyal users.
Trade oriented sales promotion techniques such as in-store displays, allowances, price deals, and sales contests are also excellent ways to generate sales. These options create and strengthen relationships with wholesalers and distributors. Co-op marketing would be a win-win strategy for both Fruti Fruit, Inc. and the stores that carry the products. This type of marketing would include any direct mail pieces that companies send out such as catalogues, weekly sales and featured items. It would also include the inserts in the Sunday newspaper section with all of the weekly advertisements. It is recommended that Fruti Fruit, Inc. negotiate with licensees as to who will be responsible for the cost and execution of such promotions. Additionally, tradeshows are a great to market products while meeting potential licensees, wholesalers and distributors. Many trade shows provide the unique experience of connecting with people from all around the world in one central location. Fruti Fruit, Inc. could potentially facilitate these tradeshows themselves or individual licensees could attend on behalf of the entire company. This arrangement is negotiable.