Lays company

Week 2.6 Services Marketing; Modifying the marketing mix for business markets, services and international marketing     Chapter 13,21

Lays company can provides pre-sale service and after sale service. For the pre-service, it worth mentioning that they provides the quality control service. ‘The potato chip production line has nine critical checkpoints throughout the process for quality’(Frito-Lay's Quality-Controlled Potato Chips, 2016). According to the research, the SPC chart will control the production of Lays chips. They will track the sample of Lays potato chips to make sure the quality. Lays company also provides after sale service, as it can be shown on the package of Lays potato chips. There are some contact information provided in case the customer has any question or suggestion for Lays chips.

The new service could have more contact with customer. For example, for me as a customer, I really interesting on the different tastes potato chips in one package. Lays company already mixed two tastes of potato chips in a package. I think it could be better if more taste can be mixed. In term of customer contacting, it means the customer has more chance to join this brand. For example, designing the special package, mixing the most customer’s favorite tastes.   

There are four service characteristics, intangibility, variability, inseparability and perishability. The intangibility service means that this kind of service cannot seen, tasted, felt, heard, or smelled before purchase; the variability means that quality of service depends on who provides them and when, where, and how; the inseparability service means that services cannot separated from their provides; the perishability service means that service cannot be stored for later sale or use(Dibbs, 2012). The lays potato chips belongs to intangibility service, because it is a kind of snack, which cannot be tasted before purchase.

Lays company sets up a homepage on the Facebook. In this homepage, the consumers from different locations can find their own information to contact or   leave their suggestions. The Lays company can also update the information about the product on this homepage, such as the new taste of chips, the discount on the products and the activities of the products. It will help all the consumers to get the newest information about the products even they live in different places. Another service that the Lays company provides for consumers is the size of chips. Lays company provides different sizes of chips for the consumers with different needs. For example, Lays company has a small size chips which is designed especially for the people who is busy for work and this size of chips is easier for them to take with.

First of all, Lays company can put advertisements on TV, Internet, bus station and many other public places. For example, for the advertisement on TV, we can invite some famous local stars to attract local people’s attention and increase the popularity of our product. Then, we can provide some chips for local people to try in some public places like cinema , train station and shopping mall.

For perspective of personal, the buyer of Lays chips is young people, they like to eat snack during free time. They more like to enjoy the taste of Lays chips instead of pay attention on heath issues.

Lays company

Week 2.5 Channel players and physical distribution   Chapter  15

Lays potato chips almost sell on each supermarket, I visit two supermarkets in Deventer, which named Dirk supermarket and Jumbo supermarket. I find Lays potato chips  has different presented in those supermarket.

Comparing two supermarkets, Jumbo’s atmospheres is more better that Dirk. There are some reasons following. Firstly, the size of two supermarkets are totally different, Jumbo is big than Dirk. So that the generally atmosphere in Jumbo is good than Dirk. Secondly, when I visit Jumbo, I can listen some soft music. In contrast, there are only noisy in Dirk. Thirdly, Jumbo has many staffs and they all wear labour suit, moreover, if you have any problem, you can find the staff immediately. However, there are few staffs in the Dirk. In term of Lays chips, Jumbo has many shifts are selling Lays chips. Customer can find Lays products quickly. Surprisingly, In my visited Jumbo, I saw that  some of the Lays chip were put nearby entrance(see picture one). But Dirk in Deventer only sells few tastes of Lays potato chips, some of Lays potato chips were covered by the wall(see picture 2).  

  

Picture 1                                                                    Picture 2

In the Jumbo supermarket, the Lays potato chips are located on the snack area. I this the Lays potato chips also are put on the most eye catching place(see picture 3). Customer can find it easily, there are many different tastes Lays potato chips offering in Jumbo.

(Picture 3)

There are only few brands surrounding Lays products, the Croky, BIO and Jumbo producing products(see picture 4). But those brands of product all put on the top or the bottom of shifts. Therefore, the Lays potato chips has more competitive.

(Picture 4)

The relation between transportation, packaging and communication is really important for all product(Dibbs, 2012). I think the most important parts for Lays potato chips are transportation and packaging. Because the Lays chips is gas flush package in order to keep the good quality and tasty of the potato chips. The packing is really important. Moreover, the transportation of gas flush package also need to be careful. The manufacture of Lays to produce potato chips, than the wholesaler packagings and transports  potato chips to the retrial. The retail transports to the different supermarket. So that the transportation is most important stage. However, there are less communication for Lays potato chips. Because it belongs to convenience good.  

Lays chips

Week 2.4 Marketing channels     Chapter 14

   

  

As it can be shown in above chart, the Lays company uses indirect marketing channel , applying a vertical marketing system for distribution(Lay’s Classic Marketing Mix: Place, 2016)wholesaler channel. There are three steps from Lays potato chips to final customer. The wholesaling is a really important aspect of distribution, the wholesaler needs to persuade retailer to buy products. As I did research, the Tradavo is one of the largest selections of wholesale Frit-Lay items(Wholesale Frito-Lay, Chips, Pretzels and More, 2016). The wholesaler of Lays chips also provides marketing information. For example, they collect information about which tastes are customer favorite, this information all collected from retailers and gives it to manufacture. However, the wholesaler also takes risks, like the demand Lays chips is decreasing. In term of retailer, the retailer need to sell the product. The retailer of Lays chips need to advertise the product, sometimes even retailer needs to provide the services for customer and wholesaler.    

For Lays chips, I think the retailer can use promotion strategies to expand the reputation of Lays chips. Because more people are family with lays chips, the potential buyer will increase. The intensive distribution is using for Lays products, because this is convenience goods. People searching for Lays product only spend minimum time, because it can be brought in a normal supermarket.