Exotic Meat Marketing
David Zimet
University of Florida
Gainesville, Florida
The marketing of exotic meats requires a perspective different from that when marketing commodities, even those that are sold as high end products. Due to exotic meats being relatively unknown or because there is a good deal of market resistance to them, for example, the marketing of ostrich meat is different from the marketing of vine-ripe tomatoes. The differences lie in the fact that they are in different positions in the hierarchy of market development. The stages of market development are:
It must be remembered that patience is very important and that there is a need for substantial financial and/or labor resources when initiating an enterprise.
In the automobile industry for example, the Japanese decided to establish a sales and service network and train its personnel thoroughly in a limited region before it aggressively marketed its vehicles in that region. It took a number of years to implement the strategy in a given region. Thus, when customers received service they were pleased and compared it very favorably to the service received from U.S. manufacturers and dealers. The Japanese automobile experience in the U.S. illustrates two other points. The product (Japanese cars) was imbued with higher quality than that found in U.S. vehicles and thus the product itself compared favorably. Because of their fuel economy, it was not until the fuel crisis of the mid-1970s that Japanese cars really took hold in the U.S. It was because of superior quality and service that the Japanese were able to hold their market and expand their customer base.
Identification of Opportunities
Opportunities reside inherently in an industry or product -- low fat meat, for example -- as well as in the market itself -- increased fish prices, for example. Producers generally have selected the industry and product, but have done little regarding marketing other than sales (usually direct sales to restaurants or consumers). Although it is better to perform a range of evaluations prior to production and market entry, the evaluations should be performed even after production starts. The evaluations could reveal product and/or market opportunities.
Premarket Entry activities
This will help the producer learn more about the product or industry. Issues such as the meaning of low fat and low cholesterol and the relative position of the product with regard to those variables should be addressed in this stage. It might be discovered, for example, that the product has more fat than previously thought by the producer, but still has excellent cholesterol and saturated fat profiles. Such a finding could help to define the potential market or sales approach. It is during this stage that information regarding the market is also gathered. Is demand seasonal and, if so, how does that fit with the production schedule? What types of features do customers expect to find in the product -- packaging, size units, degree of processing, etc. During this phase the producer should establish a general idea of who the consumer or customer is and with whom initial sales contacts should be made and establish a marketing strategy.
Market Entry
Once product supply is established, a marketing strategy developed and potential customers identified, the producer is ready to enter the market. Pricing and quality of service are of critical importance when entering a market. Customer service must be impeccable. A customer should never be disappointed. Producers must be warned not to promise products or services they cannot (or even might not) deliver. It is much easier to lose a new customer than it is to get one. Depending upon the industry and local circumstances, it might be possible to work with competitors. For example, ratite producers might be able to share market or customer information with deer producers. They might even act as customer service representatives for each other.
With new products pricing is very important. Price, however, reflects service as well as product. Price should be based upon some percent (greater or less than) of the price of the dominant competitive product. The standard price should be quoted, but introductory prices or pack-ages (a specific price discount, two for one, etc.) may be offered. During this phase logistical problems in distribution systems and customer service should be addressed.
Market Penetration and Maintenance of Market Share
Once the market is entered the producer may expand his customer base. However, expansion should not be accomplished at the expense of other customers. Nor should it go beyond the producer's ability to provide a quality product or service. If the quality of either the product or service decreases, expansion should cease. The producer may even want to let some customers go before they quit. There should be a strong relationship between price and quality of product or service.
Good quality and service are not all that is necessary to maintain market share. Good quality product and service is expected, especially for products such as exotic meats.
Consistency in quantity, quality and service are critical. Orders must be filled exactly as requested and when they are promised. After one or two unhappy experiences it is not unusual for a customer to say, "Who needs this headache?" and stop carrying the product. The customer's business is not based upon a particular source for a given product or even a particular product such as exotic meat. The producer should provide a money back or free replacement policy for all customers. To keep market share the producer must exceed customer expectations, not just meet them.
Conclusion
The beef industry is an example of the development and decline of the market for a specific type of meat. In the United States, prior to World War II, pork consumption was greater than that of beef.
Seizing upon the wide spread affluence and changing demographics of the post war period, the beef industry promoted the concept of "beef as king." It delivered a quality product with good customer service promoted by advertising. Beef has lost market share in part because the industry stopped innovating and promoting its products.
It is better to produce too much than disappoint a customer. Expansion should be step wise rather than straight line so that customers are obtained after production is expanded to carry new customers without losing old ones.
Good customer service means listening to customers and developing or adapting some innovation. The changing market environment must be monitored regularly.
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