Ukrainian Pysanka is a Marketing Tool.
A contest of children's painting
quadrupled supermarket's turnover. The inventor of this idea won a $500
first prize at the contest "Mr. Cottler of Ukraine" which was organized
with participation of the Kontrakts Magazine
Nobody expected a student to be the winner of the contest of the best
example for "General Course of Marketing" book by Phillip Cottler and
Henry Armstrong. Margarita Boyko, then a freshman of the Ivano-Frankivsk
University of Oil and Gas Technology, told us her own story of success.
She offered her entrepreneur father a salutary idea on how to attract
customers to a new store.
The name of the winner was announced at the editorial office of the Kontrakts
Magazine in the presence of the contest organizers: Gennadiy Petrikovets,
deputy production manager of Dialectika Publishing House, Nina Orlovych,
head of the marketing and advertising department, Mykhail Waisberg, chief
editor of the Galytsky Kontrakts Magazine and Paul Hacker, attache on
cultural relations of the Embassy of the USA in Ukraine. Margarita Boyko
will get her $ 500 first prize. It is worthwhile to get to know this example
of marketing success, which is, in fact, pretty simple.
One cannot entice customers solely
by quality products and low prices anymore.
The story of Nadiya Company, Ivano-Frankivsk city, vividly supports well-known
scenarios from Phillip Cottler's book on necessity to promote sales and
select the right tools to do so (page 474). This is an example of a successful
marketing solution of a retailer in selecting promotional techniques (page
397): on top of determination of the right target market sector and positioning,
selection of diversification of goods and balanced pricing policy, the
success of the company was achieved by am unorthodox marketing move.
It should be pointed out that Nadiya Company is a multi-sector enterprise
specializing in baking and confectionary production, convenience foods,
and sausages. The company also owns and operates a hotel, two restaurants,
a hairdresser's salon and a parking lot. It is quite natural that in the
beginning of company's operation all efforts were put into development
of its own production capacities. Gradual expansion of retail sales followed
and own retail facility, "Delicates" supermarket, was opened. From day
one the retail outlet seemed to have everything to entice shoppers: a
wide choice of groceries (over 700 items), moderate prices (since everything
was produced from own facilities and factories).
Additional conveniences were in free parking and playground for kids.
However, there was a shy cry from a shopping spree. Traditional approach
was then used to "spin out" the supermarket: a widespread advertising
campaign in mass media, flyers. But customers did not swallow that bite
and profit did not grow substantially. That was not surprising because
there were many retailing outlets in town, which were boasting wide groceries
choices and good customer service. Only some sort of "break-through" could
boost consumers' activity i.e. a well-targeted action, which could attract
attention towards the "Delicatess" and distinguish it from the competitors.
Are you looking for profit?
Then play on parental sentiments.
It was decided to organize the action in relation to a certain event since
it was a pre-Easter season. The organizers managed to play on parental
sentiments: they involved children of potential customers into it by making
them take part in "Egg of Hope" contest of children's pictures. Paper
templates of Easter eggs with Nadia and Delikatess logos were handed out
to everyone at cash registers. Children had liberty to paint the eggs
as they liked and send or bring them back to the supermarket. Buyers took
templates for their own children or for kid of their friends, co-workers
and neighbours. Soon painted templates started to come back. Right before
the Easter, there were about 3,000 of artworks. The entire exhibition
was exposed underneath the ceiling of "Delikatess". It became an additional
element of interior design and attracted more attention towards the supermarket.
Almost everyone in town was talking about the contest because children
came back to have a look at their artworks and those of the others, they
brought their parents and friends. Adults came to show friends the artworks
of their children. At the same time visitors of the exhibition familiarized
themselves with what was on sale and used to buy something…. The
contest stirred interest of mass-media, the articles about amazing supermarket
often found their way on pages of local newspapers, even local and national
TV broadcasters considered that even worth showing. Free publication and
TV captures had advertising effects since holidays-filled shop-windows
of the supermarket were showcased. As a result of it, the business owner
observed an abrupt increase in sales. Children did what ad agents were
unable to do - kids literally open "Delikatess" for thousands of people
of the region. The turnover and customer stream quadrupled. On an average
daily basis the supermarket offers service to about 3,000 customers.
On top of pleasant recollections and increased profit, the company acquired
one more asset - a bunch of children's artworks. It was decided to publish
a book and this gave start to another profitable business. The administration
of the company was not thrifty in paying for luxurious publication of
"Prasent an Easter egg to me" book. Apart from children's' pictures, the book included
legends, traditions, kolomyikas (Gutsul folk songs), modern poetry about
pysanka. Publishing a book in Ukraine is not cheap, however substantial
expenses did not scare the entrepreneur. The book became a bestseller:
the first publication of 10,000 copies was sold over the course of three
months. Additional second publication of 20,000 copies was published and
11, 000 copies are already sold. Part of acquired profit was spent for
charities - a regional phthisiology and pulmonology health centre for
children, which is currently under sponsorship care of Nadiya company.
And all this started with the contest of children's pictures…
By Tetyana Mokrotovarova
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