Sperry in Tanzania

SPERRY IN TANZANIA

Marketing PlanSterling, Hannah, Collin

Brief Background Information of Tanzania■ Tropical Climate■ Largest Eastern African Country■ Family members act as both an economic and emotional network■ Parliamentary system of government■ One of the main products they are importing currently is shoes■ Swahili is the national language use to facilitate trade■ Christianity or Islamic religion

Business Practices

■ Proper attire■ Greet members of a meeting by seniority

and the women last ■ Speeches and prayers are common■ If invited to a business meeting in a small

home- bring a gift■ Big on relationships, formal appearance,

and punctuality

What is Tanzania's Need?

■ Target Market– Minimal income– Middle-aged farmer– Works the land, but also enjoys leisure activity

■ Relative Advantage– "All-in-one," comfort and affordability for a necessary item– Brand ready to be adopted

■ Consumers Need– Comfort– Versatility

Population Growth of Tanzania The most recent census lists

Tanzania’s population at about 49.25 million.

The population has more than tripled

positive direction over the next 20 years.

Population Growth Cont’d

Transportation ■ Road network is

86,472 kilometers■ The rail network

consists of 3,682 kilometers

■ Commuter rail service is in Dar es Salaam only

■ There are 58 airports

■ Ferries connect Mainland Tanzania with Zanzibar

Overview of Tanzania Market

■ As the largest eastern African country, Tanzania is also home to the largest eastern African city (by population), Dar es Salaam

■ Major Exports– Principal commodities including agricultural products like coffee,

cashew nuts, cloves, and tobacco■ Major Imports

– Machinery, petroleum, and clothing■ Tanzania has limited "brand favorites"

– Unsaturated market– Most stable East African Community (EAC) economy

Sperry's Value Proposition for Tanzania Market■ To be adopted by Tanzanians of various motivations and purposes (optimized for

farmers)■ Water repellant technology, breathability■ Shoes will have similar deep ridged tracks on bottom 

– For comfort of what is traditional – For practicality of working the land 

■ Compatibility– Product provides only what is needed, nothing extra, at an appropriate price– Sperry brand reimagined for new market

■ Complexity– Innovation Fulcrum – non-complex, simple, low variety of product offerings

Firm/Product and Market Fit

■ Penetrate market in Dar es Salaam– Farmers enjoying leisure time– Tourists who recognize brand

■ Move from major city into local markets and retail outlets■ Operating risk minimized due to brand variations

– Luxury in USA– Practical in Tanzania

Distribution ■Macro Analysis ■Strategy■Costs

Advertising 

■Objectives– Word of mouth – Television 

The Media and Our Promotional Strategy 

■Television■ Internet ■Print ■Radio ■Other ■Reach

Pricing

■ Tanzania is a price-sensitive market■ Because our consumers in Tanzania will have a smaller amount of

buying power, we expect to utilize a smaller markup to affect the market appropriately to benefit both ends of the market chain

■ We will accept all forms of payment (Shilling and dollar)■ The shoes will be priced at around $20