Marketing Problem

Marketing 204 Consumer Behaviour Group Assignment

Section A: What is the Marketing Problem?

A current key marketing problem that has recently been formed in New Zealand is the re branding of the New Zealand owned and operated retail, oil and fuel company of Shell. Shell is a well known petrol station that has 229 service stations and 95 truck stops situated around New Zealand. They are one of the smallest brands of service stations in New Zealand holding 31.1% market share in 2010 (Greenstone Bond Holders Report, 2010). On the 1st of April 2010 The Guardians of New Zealand Superannuation Fund and the company Infatil through Greenstone Energy purchased Shell for NZ$695million (Bradley, 2011).

After the company changed hands it remained trading under ‘Shell’ until they performed one of New Zealand’s largest consumer surveys researching 17,000 motorists (First 'Z' Station opened, 2011). The costly survey revealed that New Zealanders felt organisations lacked an individual Kiwi identity (Bradley, 2011). Mike Bennett’s Greenstones chief executive wanted New Zealanders to have a sense of belongingness and association with the New Zealand owned company. Taking into consideration of the research results, Shell rebranded itself to ‘Z’. Along with the obvious name and appearance change the new owners shaped a fresh marketing campaign promoting the new benefits up for grabs to their consumers.

Z offers a range of incentives to the people of New Zealand to become loyal Z consumers which include being 100% NZ owned and operated, Z provides nearly a third of New Zealanders fuel, they offer friendly and helpful service from inside the retail store providing food and beverages right out to the pumps offering to assist with filling up or washing windows. (Z Homepage, 2012). The number one benefit that Z claims is “50% of profits will fill up the superannuation fund. (Z Investor centre,2012)”. “The superannuation fund invests money, on behalf of the Government,...