ZIP TOP Marketing Plan Harvard Case Solution & Analysis

ZIP TOP Marketing Plan Case Study Solution

Market Analysis       

Segmentation Strategy

Under the segmentation strategy, the company will target the male and female both between the age group of 15-55 years, who are working or studying indifferent sectors and field. It will also include the market that is health conscious and finds it difficult to carry the meals for the whole day in Lunch boxes, since it covers more space. In addition, it will also target consumer who are single parents or have kids aged between 3- 6 years old or more. Moreover, it will also reach for the customer who are always on the go, and thus requires something handy and flexible to fit in their “on the go” lifestyle.

Target Segment        

On the average, one family utilizes 500 plastic zip lock bags per year. Keeping such number in mind and the rising trend of the eco-friendly product and organic waste control techniques, it is estimated that the number of zip Top bags in the market will be 700 units per family, since it is multi-purpose and can offer multiple handling service to the customers. Such makes the growth to lead the markets by 10% annually.

Such increase is due to the hassle the lunch boxes, plastic bags and other containers posit to the consumers, leading to hassled handling. In addition, such containers or plastics bags have been hard to fit in small space such as kitchen cabinets, car cup holder or even nags, making it difficult to maintain the discipline in home and the personal life through proper organization of work. However, the Zip top offers the customer with ease of handling, no leakage easy fit, low space and above all eco-friendly solution, that allows the customer to prepare multiple meals and carry in bags without weight and extra space or maintain the organized setting in home of daily predicts used, making the life easier and flexible.

 PESTEL Analysis

Political Factors

The US government is stable government, tat allows the business to expand in the market and penetrate into different regions effectively. Perhaps, the US government strictly controls the regulating the products that may directly affect the environmental stability and consumer health. It regularizes the spread and distribution if the products leading to controlled operation of the firm in the market. Also, the tax bracket is reduced for the new businesses that makes the operation of the new business easy in the market.

Economic factors

The economic condition in the US market have improved after the financial crisis. Such has made the people to spend more on the good and services. In addition, the business have started to offer the extensive range of good and services due to changing life style and preferences of the customer ,mainly due to the availability of the disposable income.

In addition, it is seem, that the ability of the disposable income and growing middle class in the US market has shifted the customers to opt for organic food which cost higher than the faster food, however, the availability of Disposable income and reduced unemployment rate has made the market attractive.

Social Factors

The consumer in the US market have started to consume the organic food and   have opted towards the eco-friendly products. Such trend has been due to the increasing impact of the CO2 on the environment and creating awareness and concern of the public, making the opt for the eco-friendly goods.

Technological Factors

Technology has greatly affected the business in US market. It has enhanced the operation efficiency and reduced the dependence on human resource to manufacture the product. In addition, the latest innovation and technology has allowed the business to break through the market with innovative products, thus pursuing the blue ocean strategy in the market.

Environmental Factors

The US laws are strict towards the environmental doing so, the US government strictly regulated the business in emitting limited amount of co 2 and poisonous chemical smoke in the market. Also, the trend of using Greener product has be amplified n the market, leading to the use of eco-friendly products and technology in order to access the markets efficiently.

Legal Factors

The Legal factors such as Consumer law and health and safety allows are strongly implemented in the market, making the organization to have  particular way so to secure and respect the consumer law leading to the non-pursuance of the  products that may harm the customer in the long-term. The government holds the righto suspend or even sue the organization for not complying with the laws and putting the lives of consumer in risk (HBR, 2013).


Needs Wants Features Benefits
Ease Flexibility Easy Zip lock, Handy pouch, Fit design The easy lock will allow customer to carry any kind of liquid or food without any hassle and will keep the food fresh.

It will also allow the Customers to store more food or material in less space due to exquisite design that covers the material or food yet takes low space.

Convenience Durability Washable and Durable It will allow the customer to wash and reuse it multiple times, thus reducing the consumption of shoppers and ultimately less wastage production.


Drivers of Demand

There are following drivers of demand:

  1. The market is shifting towards the eco-friendly products that causes less damaged o the environment.
  2. The ratio of health conscious and fitness club is increasing, making the use of organic product more significant especially during the meal Preparations.
  3. More and more people are adopting the organic and health habits so to secure the environment and the sea life.
  4. The disposable income of the consumer have increased and markets have stabilized after the financial crisis.

Demand Constraints

  1. The discoloration of the Bags over the long period usage may reduce the demand for it in the market.
  2. The increased competition and better design may overrun the profitability of the company.

Willingness to Pay

The customer will pay affordable price for the product such as $10 to %25 due to the increasing social awareness of using eco-friendly products, and the impact of plastic usage on the addition, there is a rising trend in the market for using the organic products so to secure the environment and the eco system. Hence the customer may pay middle price for the Zip top bags.............


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