A Fresh Message Mike Jones began Coco Loco in 2006 and saw an opportunity to make some quick money and supplement his full time income

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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A Fresh Message

Mike Jones began Coco Loco in 2006 and saw an opportunity to make some quick money and supplement his full time income. He was able to source coconuts quite easily since he lived and operated out of the Manzanilla area, the heartland of the coconut estates. Mike began by acquiring contracts to service small scale supermarkets in the area. The company was always credited with being able to be the provider of the timeliest product to market (freshness). For the first 3 years, Mike and his pal, Sam, managed the operations with the use of two labourers. After acquiring additional supermarkets in other rural areas in the South land, Mike expanded operations and employed four additional employees.

“Up to that point, we had room to grow but we really had no advertising plan,” Mike stated. “We were relying mostly on word-of-mouth.”

By 2009, Mike hired three additional persons to focus on selling to rural pharmacies and small scale convenience shops (parlours and NP quick shoppes). The company was now a major employer in the rural community and often supplied water to formal events in the community.

“Competition was getting tough for both of our outlets at that point,” Mike added. Companies like Cedros Fresh were expanding operations and there was now imported coconut water on the market from Malaysia, which critics denounced as not tasty and not ‘national’. “We ran a national radio spot three times each week. Then we had an advertiser print flyers for insertion in weekend newspapers. That gave us a little more exposure.”

Mike and Sam now admit that they never realized the value of a sound promotional plan before now. “We wish we would have put together something catchy with a jingle way before now,” they said. For over a year, a regional radio station has been growing in

popularity. The station has been appealing to rural communities. Many manufacturers and other businesses have recognized the value of the station. The station had approached Coco Loco but Sam felt that the national advertising would be better.

Question:

e. Why might TV advertising be ineffective for this marketer at this point?

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