Ethiopia is the single largest African producer of coffee with about half of its production going for export. It plays a central role in Ethiopia’s economy and as the country’s leading export is an important source of foreign exchange. The coffee bean export business reserved for Ethiopia citizens. Out of the total number of coffee exporting companies, 93 percent are private companies, 5% are coffee growing farmers' cooperatives, and 2 % are governmental enterprise. The extent to which cooperatives and private, including previous Ethiopian Grain Trade Enterprise (EGTE) now named Ethiopia Trading Business Corporation (የኢትዮጵያ የንግድ ሥራዎች ኮርፖሬሽን) and state farms, play a role in coffee exports from Ethiopia. Currently coffee generates less than 35 percent of the total export earnings. For the last several years its relative predominance in the export sector is decreasing because of increased contribution of other agricultural products like horticulture and floriculture. Consequently, only a little over 26% percent of the total export earnings is contributed by coffee during the year of 2011 (FDRE, 2011). This is the lowest share earned from export of coffee in the history of economy.
Table of Contents
- Preface
- Marketing Strategy Overview
- Introduction of Ethiopian Coffee
- Brief History
- Vision and Mission
- Core Value
- Corporate Beliefs
- The Coffee Global Value Chain
- Coffee Marketing Strategy in Ethiopia
- Analysis of Ethiopian Coffee Mix Marketing Strategy
- PRODUCT STRATEGY
- Product Segmentation
- Product Diversification Strategy
- Productivity & Quality
- Packaging
- Branding
- PRICE STRATEGY
- Price segmentation
- Minimize cost through boosting productivity
- Comply with international market price
- PLACE STRATEGY
- Distribution Channels
- Warehouse and processing unit
- PROMOTION STRATEGY
- Public Relations
- Coffee Museum
- Coffee Festival
- National and International Trade fair and Expo
- Launching of new export promotion strategy
- PRODUCT STRATEGY
Objectives and Key Themes
This study aims to describe the current state of the Ethiopian coffee market and to apply the 4 Ps of the marketing mix (product, price, place, promotion) to analyze and evaluate the marketing strategy within Ethiopia's coffee processing and trading sectors for the next 5-10 years. The scope is limited to Ethiopian coffee and the Ethiopia Trading Business Corporation.
- Analysis of the Ethiopian coffee market
- Application of the 4 Ps of the marketing mix to the Ethiopian coffee industry
- Evaluation of current marketing strategies in Ethiopian coffee processing and trading
- Strategic recommendations for improving the marketing of Ethiopian coffee
- Exploration of the role of Ethiopian coffee within the global coffee value chain
Chapter Summaries
Marketing Strategy Overview: This chapter introduces the concept of marketing strategy, defining objectives and strategies as interconnected components. It emphasizes the importance of selecting target market segments, defining key positioning, and effectively blending the marketing mix (product, price, place, promotion) to achieve organizational goals. The framework presented highlights the interrelation between market segmentation, target market selection, positioning strategy, and the four Ps of marketing.
Introduction of Ethiopian Coffee: This section provides a brief history of Ethiopian coffee, highlighting its significance in the global coffee market. It emphasizes Ethiopia's historical role as the birthplace of coffee and its continued production of high-quality Arabica beans for both domestic and international markets. The chapter also underscores the substantial economic and cultural importance of coffee to Ethiopia, noting the significant portion of the population whose livelihoods depend on it and the large volume of coffee produced annually.
Analysis of Ethiopian Coffee Mix Marketing Strategy: This chapter delves into a detailed analysis of the marketing mix strategy employed for Ethiopian coffee. It explores each element of the 4 Ps, examining product strategy (segmentation, diversification, quality, packaging, branding), pricing strategy (segmentation, cost minimization, international price compliance), place strategy (distribution channels, warehousing), and promotion strategy (public relations, events, trade fairs, new export strategies). This comprehensive analysis assesses the strengths and weaknesses of each element within the context of the Ethiopian coffee industry and the global coffee market.
Keywords
Ethiopian coffee, marketing mix, marketing strategy, 4 Ps, product strategy, price strategy, place strategy, promotion strategy, global value chain, Arabica coffee, market analysis, export strategy, productivity, quality, branding, price segmentation, distribution channels.
Frequently Asked Questions: Ethiopian Coffee Marketing Strategy
What is the purpose of this document?
This document provides a comprehensive preview of a study analyzing the marketing strategy of Ethiopian coffee. It includes a table of contents, objectives and key themes, chapter summaries, and keywords. The study aims to describe the current state of the Ethiopian coffee market and apply the 4 Ps of marketing (product, price, place, promotion) to analyze and evaluate its marketing strategy for the next 5-10 years, focusing on the Ethiopian Trading Business Corporation.
What are the main topics covered in the document?
The document covers various aspects of Ethiopian coffee marketing, including a brief history of Ethiopian coffee, an overview of the global coffee value chain, a detailed analysis of Ethiopian coffee's marketing mix strategy (product, price, place, promotion), and strategic recommendations for improvement. It also explores the role of Ethiopian coffee within the global coffee value chain.
What is the scope of the analysis?
The analysis focuses specifically on Ethiopian coffee and the Ethiopian Trading Business Corporation. It examines the current marketing strategies within Ethiopia's coffee processing and trading sectors.
What are the key objectives of the study?
The key objectives are to analyze the Ethiopian coffee market, apply the 4 Ps of marketing to the Ethiopian coffee industry, evaluate current marketing strategies, provide strategic recommendations for improvement, and explore the role of Ethiopian coffee in the global value chain.
How does the document analyze the marketing mix (4 Ps)?
The document provides a detailed analysis of each element of the 4 Ps:
- Product: This includes product segmentation, diversification strategy, productivity and quality, packaging, and branding.
- Price: This covers price segmentation, cost minimization strategies, and compliance with international market prices.
- Place: This examines distribution channels and warehousing/processing units.
- Promotion: This explores public relations, the Coffee Museum and Festival, national and international trade fairs, and new export promotion strategies.
What are the key themes explored in the study?
Key themes include the analysis of the Ethiopian coffee market, application of the 4 Ps of marketing, evaluation of current marketing strategies, strategic recommendations for improvement, and exploration of Ethiopian coffee’s role in the global value chain.
What are the key chapters and their summaries?
The document includes summaries for the following chapters:
- Marketing Strategy Overview: Introduces marketing strategy concepts, emphasizing target market selection, positioning, and the marketing mix.
- Introduction of Ethiopian Coffee: Provides a brief history of Ethiopian coffee and its significance in the global market, highlighting its economic and cultural importance to Ethiopia.
- Analysis of Ethiopian Coffee Mix Marketing Strategy: Offers a detailed analysis of the marketing mix strategy employed for Ethiopian coffee, examining each element of the 4 Ps.
What are the keywords associated with this study?
Keywords include: Ethiopian coffee, marketing mix, marketing strategy, 4 Ps, product strategy, price strategy, place strategy, promotion strategy, global value chain, Arabica coffee, market analysis, export strategy, productivity, quality, branding, price segmentation, and distribution channels.
- Quote paper
- Researcher Dereje Tesfa (Author), 2019, Marketing mix and strategy for Ethiopia's coffee marketing, Munich, GRIN Verlag, https://www.grin.com/document/494501
