Case Study Report For Tyrrells Potato Chips Marketing Essay

Tyrrells Potato Chips has had a big success in Britain since 2002. In 2002, Will Chase find the best production method for the special chips of Tyrrells Potato Chips. 8 years later, Tyrrells Potato Chips has attracted a lot of fans. Tyrrells Potato Chips also kept its profit increase the 8 years. In the report, I will try to find the best way for Tyrrells Potato Chips to develop new customers without either changing or losing the perception of it products coming from a Herefordshire farmer. I will give a marketing strategy and some actions to develop the long term customer relationship. I will try to explain the success of Tyrrells Potato Chips in a declining potato crisp market. I will also explain the relationship marketing of a declining potato crisp market and I will finally try to give a plan for Tyrrells Potato Chips for its communications tools to develop new customers.

How to develop and grow its customer base amongst customers from the higher social grades, without either changing or losing the perception of it products coming from a Herefordshire farmer?

I have see the website of Tyrrells Potato Chips and learned the process of the production of the chips. The success, for Tyrrells Potato Chips, I think is the sustainable development of the chips. Will Chase has found the best soil, the best weather to grow potatoes. He also knows the expertise of making the healthiest chips. Meanwhile, he has the cycle system of making use of the used water. This is the most attractive points for the customers. One is that the chips are specially made, in a more flavor and healthier way. The other one is that Tyrrells Potato Chips has the sustainable development plan. The whole process of making seed to food all has the sustainable principle. Since people are becoming more and more interested in environmental protection and sustainability, sustainable development of a company is a very good example to attract more customers.

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From the above discussion, I have an idea that Will Chase can find a place to grow potatoes. This place has the same conditions as in Herefordshire farmer. Then there are nice weather, water, soil and nearby facilities that can help Tyrrells Potato Chips to deliver. There are many places in Britain that has nice weather for plants. There are several ways to find the best places. Firstly, find the place that can grow the same potato in Tyrrells Potato Chips. Will Chase can find Tyrrells Court Farm, so he can find another Tyrrells Court Farm. This is quite possible. Secondly, there are different kinds of potatoes, so to find a place that can grow another kind of potato, and can make the same effects as Tyrrells Potato Chips is a very good choice. This is also a way for Tyrrells Potato Chips to develop more different products.

If we use the first way of find another Tyrrells Court Farm, Will Chase can set up another Tyrrells Court Farms in all Britain or other countries. This method is called the copy of Tyrrells Court Farm. So the development plan of Tyrrells Potato Chips is to copy the same mode in the town. For example, after detailed research and experiment, Will Chase find Tyrrells Court Farm NO.2 in a place in Britain. The first step for him to do is try to promot for the products in the region and do a market research. If the market test is good, then he needs to try to set up the factory and at the same time set up new stores in the nearby places. The growing process of the stores and the factory is almost like Tyrrells Court Farm and its nearby stores. This is like the copy of the whole mode in London, and there will be more different regions.

If Will Chase use the second method, there are more risks. He needs to spend much more on research and development of new products. The problem will be find the same potato seed and the nice growing environment and at the same time keep the tradition of healthy and sustainability of Tyrrells Potato Chips. But this method can give more fresh ideas to Tyrrells Potato Chips. New ideas can have more influences on development of Tyrrells Potato Chips. This is also workable, especially in other countries. Because different countries has different growing environment for different potatoes. This method can help Will Chase set up some new regions in places with different weather, soil and natural environment.

The above two methods can be used together. This can maintain the customer of wealthier and old customers. I suggest that Tyrrells Potato Chips should use tailor-made marketing strategy to attract more high social class customers. Tailor-made strategy means that for different big customers, if they order a certain quantity, there can special chips for them. This can increase the interest of high class customers. Young people and those middle-aged people love to show themselves and be different. This tailor-made strategy is a good way to attract more customers, not only old and wealthier people. If the idea can attract them to learn more about Tyrrells Potato Chips, they will like to eat Tyrrells Potato Chips because Tyrrells Potato Chips show their special social status, their care about the environment and their care about their health.

What specific sales strategy and structure might ‘Tyrrells Chips’ employ eventually, to further develop long term customer relationship and equally long term value with its customers?

No matter what sales strategy Tyrrells Chips choose, one important thing is find the right market and find the right customers. Right now Tyrrells Chips has mainly old and wealthier customers, and in order to expand customers, the high social class is a target. The trend of a healthy and sustainable Tyrrells Chips is right choice. The history of potato chips have show the life change of British people. People love the flavor of potato chips. But later they found it unhealthy. Potato chips make people become fatter and fatter. Obesity becomes a serious problem for people, either old or young. As edited by BBC, the trend for healthier chips and crisps is the future way for potato chips industry (online).

The supplies of healthy and sustainable potatoes are solved by choosing the right place as the Tyrrells Court Farm. Use the same production method or come new methods, the products are ready for customers. Later is the problem of sales and marketing team. The key for Tyrrells Chips is to develop long term customers and keep good relationship with them. Thus I suggest a relationship marketing for the old customers and tailor-made marketing for new young and middle-aged customers.

Tyrrells Chips is a high brand. People buy its healthy and sustainable products as well as the services. Thus the branding activities are more important. Thus in sales and marketing function, marketing will be more important. Below will be the simple sales and marketing structure for Tyrrells Chips. In a region, there is one Farm provide potatoes, and different shops or supermarkets that sell Tyrrells Chips. Relationship marketing team is for the retention of old customers and introducing more new customers. Tailor-made marketing strategy is for expansion of new customers. Relationship marketing and tailor-made marketing should work closely with each other, because as pointed out in book Relationship Marketing for Competitive Advantage- winning and keeping customers, the referral of new customers from old customers are quite important and the relationship marketing lies more on the old customers.

Sales team and support team are for the direct communication with customers.

One Region

with one Farm

Relationship Marketing

Tailor-made Marketing

Sales Team in different stores or different channels

Support Team including service team

Relationship marketing is a method that can increase 50% customers without increase budget, according to Laura Lake (online). Nowadays more and more companies are competing with each other to win more customers, but not every one of them try to retain their customers. Customers give up buying the products because they felt the price was too high or unfair, they had an unresolved complaint, they took a competitors offer, or they left because they felt they are not cared (Laura Lake, online). Thus these are the keys for Tyrrells Chips to maintain good relationship with the old customers. What’s more, old customers can also bring new customers to the company and also become fans of Tyrrells Chips. It is almost like the mode of Amway products, but the real business is not the same. In this way, there will be more and more old and wealthier customers.

Tailor-made marketing is new marketing method. Mars is a very big candy company. It has the tailor-made service for different customers. For example, Mars provide big corporations with special design candies for any use or weddings of different people. People can design by themselves or just choose some of the designs. The result is that Mars has really kept the high social class customers. These customers include some big companies and some people from a higher social class. Tyrrells Chips can also use the same methods. Healthy and sustainable chips are still the topic for Tyrrells Chips, but people can choose different healthy and sustainable way of eating chips. Each shop can open the tailor-made service stop and give ideas to different people. At the same time, e-marketing is a must. Since mobile phone and internet are the main tool for young and middle-aged people, to use e-marketing will be a nice choice.

Relationship marketing, tailor-made marketing and a team with good service is my suggestion for the sales strategy and sales structure for Tyrrells Chips. And this will be a good way to maintain old customers and development new long-term relationship with different customers.

3. Critically evaluate the success to date of ‘Tyrrells Chips’ in a declining potato crisp market.

In the history of potato chips, it is the cause of obesity for people. Since 1950’s, people became interested in this kind of oil food. All these years, people have found this led to obesity. And recent years people become not like potato chips because of health problems. Young people are quite influenced by potato chips and old people also. Walkers are today’s market leaders in the UK, with sales topping an amazing 180million (BBC, online). But after the crazy of chips, people become realized the importance of health. Thus since last decade, there was a declining in potato chips market. But the trend for potato chips is always healthy.

Will Chase succeeded because he has take the chance to develop individual and public healthy potato chips.

Firstly, the chips made by Tyrrells Chips is healthy. Will Chase has the best farm to grow the potato seed. The best weather, the best soil, the best people take care of the plants. Then Will Chase has the best method to produce chips. His process was simply to cut the potato thicker so that it retained more potato flavor, kept its natural juices and natural starch. In the frying process the chip absorbed much less oil so produced a much healthier product. Finally, because of the near distance between customers and the farm, these chips are the fleshiest. This whole process has made sure the healthy chips. And Will Chase has made this known to every customer, thus it is quite popular among customers.

Secondly, Will Chase has the sense of a sustainable company development. Will Chase quite concern the sustainable development. He has the cycle system in the farm to make good use of some used things, like soil, water, etc. All these chips are hand-made. This saves the energy of machines, which is quite sustainable. At the same time, Will Chase held many activities with different customers to promote the idea of sustainable development (see from the website of Tyrrells Chips). Will Chase make people feel the importance of protecting the earth.

The biggest success of Tyrrells Chips, I think, is the right marketing way – relationship marketing. Will Chase has attracted the wealthier and old people. These customers are quite loyal to their brands. Since old people are attracted, young people will feel more like it. Will Chase also has the long-term customer strategy. To develop Tyrrells Chips is also a long-term thing. Thus Will Chase try to hold all the old customers and try to develop more customers through these customers. This relationship marketing really helped Tyrrells Chips to be high-end brand with a very good concept, healthy and sustainable. This kind of marketing cause less money but receives much more effects.

However, more and more chips companies are competing for the healthy chips market, and some of them also produced some new brands. Will Chase should be quite clear about the fast decisions he needs to take. Because there will be more and more healthy and sustainable chips made by other factories. Tyrrells Chips also have developed different taste to meet different customers’ needs. Tyrrells Chips is doing well right now, with different tastes and different packages. The next step for Will Chase to decide is to find the right track for Tyrrells Chips, not just expansion of customer. To maintain a long-term relationship with different customers is much more important.

Tyrrells Chips’ relationship marketing and its importance

Tyrrells Chips succeeded in providing healthy and sustainable chips to the group of wealthier and old group, and this success is due to the relationship marketing.

Relationship marketing was first defined as a form of marketing developed from direct response marketing campaigns which emphasizes customer retention and satisfaction, rather than a dominant focus on sales transactions. (Wikipedia) In other words, relationship marketing focuses more on the long-term value of customers. And by using the customers, they can introduce more and more customers. It is reported that companies can increase their 50% sales through the long-tern customers. And at the same time they don’t need to add any cost to their products.

The declining of the chips market during the recent years. People are seeking some ways of new chips. Traditional mass production of chips can not meet the needs because people think that machine-made chips are fat, oily and not healthy. Mass produced chips aim at the common majority of people, thus to use a general marketing strategy is OK. But Tyrrells Chips has the concept of healthy from seed to product, thus it is special for some group of people. And since Will Chase is very pay attention to sustainable development, Tyrrells Chips in fact is a high-class chips. All in all, the product orientation of Tyrrells Chips thus needs a special marketing. Relationship marketing is a good choice.

Firstly, relationship marketing for Tyrrells Chips can give Tyrrells Chips a higher-level brand. When customers get to know Tyrrells Chips, the first impression is that Tyrrells Chips is totally different from other chips. Tyrrells Chips is healthy from seed to product, Tyrrells Chips is hand-made, Tyrrells Chips is sustainable because it has the sustainable development system. And the most important is that Tyrrells Chips has wealthier and old customers. In other words, when old and wealthier people praise Tyrrells Chips, Tyrrells Chips is in fact very good. This is very useful when Tyrrells Chips want to expand its customer to another group.

Secondly, customers’ referral shows the super quality of Tyrrells Chips. Amway has the traditional direct marketing strategy, and only people who know has the access to its products can buy their products. Thus Amway has a very good reputation among customers. Just imagine, if your good friend strongly recommend a product to you, and you really are in need. Will you buy it? The answer is YES. This is also the same with Tyrrells Chips. In 5 Steps to Relationship Marketing Success, the core for the relationship marketing is to set your mind at your customers, and as an expert, give any services or consultancy to your customers to meet their needs. In other words, services in relationship marketing is quite important. That is also why most of the sales people would like to keep a good touch with their key customers. Because keeping good relationship with old customers can bring more business. This is also the principle of develop new customers based on your 20% key customers.

5. New marketing communications tools that can help expanding customers for Tyrrells Chips

There are many new marketing communication tools to choose. But for Tyrrells Chips, the marketing strategy is relationship marketing and tailor-made marketing, thus the tools cannot like the traditional tools, like newspapers, TV, internet, etc. and there cannot so massive advertising. The new marketing strategy should also be sustainable and use the least media to achieve the most effect.

Firstly, in order to attract more and more young and middle-aged customers, internet is a must tool. Tailor-made services can really attract those customers. So to publish the tailor-made service of Tyrrells Chips on some high-class websites, like some forum, some personal on-line community for people from the same field. The key selling point of Tyrrells Chips is healthy and sustainable, and approved by most of the old generations. Secondly, there can be some on-line forums for customers to communicate with each other. This is a good way for old and new customers to communicate, and is also a good way to develop new customer. The forum can improve the number of long-term customers and form a good environment of passing the healthy and sustainable ideas to new comers. Finally, there should be on-line satisfactory surveys for customers. One way to retain long-term customers is to give more care to them and ask them for any improvements (Laura Lake, online).

Secondly, high-end magazines is a choice. Since the target customers are high social class people, to publish some passages on some high-end magazines will be very good. The content of the passages can be simply an attractive poster of Tyrrells Chips, some interview with old customers, or interviews with employees of Tyrrells Chips, or even an exclusive interview with Will Chase. Anything that can help readers know the healthy and sustainable of Tyrrells Chips can be used in the magazines. For example, they can buy one page poster from Financial Times, and the poster should be attractive and at the same time expressing the healthy and sustainable sense of Tyrrells Chips to the readers.

Finally, different events can help Tyrrells Chips to introduce more customers by the old customers. All these events can be introduced by one old customer with another new customer. As for the form of events, I have two suggestions. The first form is DIY Chips Days. Since Tyrrells Chips has the tailor-made marketing strategy, to hold DIY Chips Day is a must. This event want to increase more customers by old customers. DIY Chips Day will attract more young people and middle-aged people with their families. What’s more, to learn the making process of Tyrrells Chips is also a very good way to learn the healthy and sustainable of Tyrrells Chips. This is a good method to develop more and more long-term customers. Another form is to hold more and more sustainable events. Since the world is becoming more and more interested and care the global warming issue, to co operate with customers to work for the earth is a good idea. There are many choices for the sustainable events. Organize a professional meeting about the global warming, make a event of planting trees in the morning, plan an activity to pick up trashes in the open air with students, work with any non-governmental organizations in their activities. The best way is to work with different NGOes to organize more and more sustainable events. The core is also introduce more and more new customers by the old customers.

Different marketing tools can have different effects on the expansion of customers. But the principle for Tyrrells Chips is that they never forget about their healthy and sustainable principles. With this healthy and sustainable principle, Tyrrells Chips can succeed in the expansion of markets.

In conclusion, the real success of Tyrrells Chips lies in the principles of Will Chase, healthy and sustainable chips. Healthy has caught the main trend of the chips development. Sustainable development has caught the whole world’s attention. Nowadays more and more companies and organizations are paying more attention to sustainable development because of the global warming. The biggest success would be the relationship marketing and try to earn the like of old and wealthier people. Wealthier and old people accept the chips, more and more young and middle-aged people will eat Tyrrells Chips. because old people are more focusing on the health of chips. thus the later marketing strategy for Tyrrells Chips would be easier. Tailor-made marketing and sustainable events can help in attracting more and more long-term customers. E-marketing and mobile marketing can help branding to more and more readers. However, since Tyrrells Chips is doing in quite a limited region, more and more competitors will also look on this market. As a result, this is only the beginning of new chips era. Will Chase need to have more actions more quickly and rightly so that no other competitor can compete with Tyrrells Chips.

Relationship and tailor-made marketing would be a very good method for Tyrrells Chips to expand its customers and set up new market regions. And more and more young and middle-aged high class people will become eating Tyrrells Chips.