MKT 201 Complete
MKT 201 Complete
SECTION- Q2210
TYPE: PUBLIC
INDUSTRY: TRANSPORTATION LOGISTICS
FOUNDER: CHARLES HENRY ROBINSON
HEADQUARTERS: EDEN PRAIRIE, MINNESOTA, US
SERVICES: TRANSPORTATION
THIRD PARTY LOGISTICS
INTERMODAL RAIL
GLOBAL FORWARDING
SUPPLY CHAIN CONSULTING
NUMBER OF EMPLOYEES: 16,877
REVENUE: 2310.2 CRORES USD
NET INCOME: 84.42 CRORES USD
TOTAL ASSETS: 702.8 CRORS USD
American transportation business C.H. Robinson also offers third-party logistics
(3PL). The business provides brokerage, warehousing, freight transportation,
and transportation management. It offers intermodal, air freight, truckload,
less than truckload, and ocean transportation. With more than 300 locations
and over 15,000 people in North America, Europe, Asia, and South America,
the corporation has its headquarters in Eden Prairie, Minnesota. More than
66,000 transportation firms, including motor carriers, railroads, air freight, and
ocean carriers, are parties to contracts with the company. Additionally, it
offers services including supply chain analysis, freight consolidation,
management of the core carrier programme, and information reporting.
Robinson Fresh, another company owned by C.H. Robinson, purchases and
distributes produce to the food service sector from independent produce
growers and suppliers. About 94% of C.H. Robinson's total net revenues come
from the transportation of commodities; the remaining percentage comes
from procuring and marketing fresh produce.
This section offers ocean, air and rail freight transportation services to and
from every country in the world.
Ocean Freight: This service offers transportation for shipments sent by sea.
Air Freight: Transportation is provided for items made by air using this
service.
Rail freight: This service offers delivery for shipments made by train.
With around 35% of its total sales, the second-largest segment for C.H.
Robinson is global forwarding. Exporters, importers, and retailers are just a
few of the many types of clients this industry serves.
ROBINSON FRESH
For fresh produce, other perishable goods, and other products, Robinson
Fresh offers sourcing and logistics services.
Sourcing: This service aids clients in locating the top vendors for their fresh
produce need.
Logistics: This service aids clients in controlling the shipping, storage, and
distribution of their fresh produce.
With only 20% of C.H. Robinson's overall sales coming from it, the Robinson
Fresh division is the company's smallest. Grocers, eateries, and distributors
for the foodservice industry are just a few of the many clients this market
supports.
MARKET SEGMENTATION
The requirements, wants, and demands of consumers in the miscellaneous
transportation sector vary, as do their resources, geographic regions, access
to technology, cultural preferences, attitudes towards purchases, and how
they intend to use the goods and services. The technique of market
segmentation is the method used by CH Robinson to divide the overall
market into smaller segments and groups that have similar characteristics,
purchasing patterns, socioeconomic backgrounds, etc. This is done to more
effectively and efficiently connect with the target audience of consumers.
GEOGRAPHIC SEGMENTATION
The term "geographical segmentation" refers to the process of breaking
down the total market into different geographic units, such as states,
countries, trading blocks, cities, and neighbourhoods. Due to the diverse
cultures, preferences, and administrative systems of the prospective clients,
geographic segmentation is quite effective for CH Robinson in the
international markets. Second, it is wise to undertake regional
segmentation if the cost of transportation is a crucial cost in the delivery of
the value proposition because the costs of providing clients in various
places would vary greatly.
DEMOGRAPHIC SEGMENTATION
Based on factors such as gender, income, occupation, age, life cycle stage,
ethnicity, religion, and generation, demographic segmentation divides the
mass market into smaller segments and groupings. Given that CH
Robinson's products offer a superior value proposition, the company should
divide its clientele into groups according to two primary demographic
factors: potential clients' income levels and life cycle stages. PRIZM is one of
the frameworks for demographic segmentation that is most frequently
utilised in the United States by different marketers.
PSYCHOGRAPHIC SEGMENTATION
Psychographic variables are used in marketing to describe interests,
behaviours, and opinions that are lifestyle-oriented. The potential
customers of CH Robinson can be divided into many segments using
psychographic segmentation based on personality traits, purchasing habits,
consumption preferences, opinion on social issues, leisure pursuits,
hobbies, and many other factors. People in the same demography can have
a variety of psychographic traits depending on their particular life
experiences and upbringing, making psychographic segmentations
effective.
To do consumer psychographic analysis, one of the most used frameworks
for customer behaviour is - The adult population of America is divided into
eight separate subgroups using the segmentation technique known as
VALS: innovators, thinkers, achievers, experiencers, believers, strugglers,
makers, and survivors.
BEHAVIOURAL SEGMENTATION
Based on their attitudes, product knowledge, product uses, and other
responses to a product, purchasers are divided into groups by behavioural
segmentation. A lot of marketing professionals think that behaviour factors are
a smart place to start when creating consumer categories. For instance, a
freemium model is a much more effective segmentation approach for any
service than a geographic, demographic, or psychographic one. The
organisation can concentrate on critical features with the use of behaviour
segmentation, and can give customers features they are more likely to utilise.
Higher customer satisfaction ratings and a high net promoter score result from
ongoing interaction.
EVALUATION
▪ Legal and other barriers to entry - Are there any legal and
technological barriers that CH Robinson will face if it decides to
enter the market.
▪ Presence of the right collaborators to successfully market the
target market - Is there enough infrastructure to target certain
▪ customer segments. For example, everyone knows that there is an
environmentally conscious segment in the auto industry that can
outbid electric vehicles, but no major automaker has succeeded in
targeting this segment. This is because there is no collaborator
ecosystem. Tesla has succeeded in building this ecosystem.
MARKETING STRATERGY
▪ PRODUCT
▪ PROMOTION
Here are some specific examples of how C.H. Robinson has helped clients
meet their needs by:
✓ The manufacturing company was able to comply with the new customs
regulations by using C.H. Robinson's knowledge.
JUSTIFICATION
Here are some ideas for new product opportunities for C.H. Robinson, keeping
in mind the changing needs of customers:
➢ Sustainable logistics solutions: As companies are increasingly concerned
about the environmental impact of their transport activities, the
demand for sustainable logistics solutions is increasing. C. H. Robinson
could develop new solutions to help companies reduce their carbon
footprint, such as the use of electric cars or renewable energy sources.
In addition to these new product options, C.H. Robinson could also expand
into new markets. The company could expand, for example, into the health
sector or the manufacturing industry. Expanding into new markets, C.H.
Robinson could reach new customers and grow his business. Ultimately, the
best way to identify new product opportunities is to conduct market research
and understand your customers' needs. By understanding the changing needs
of your customers, you can develop new products and services that meet
those needs and generate new revenue for your business.