Marketing plan Artisanal raw milk cheese - Slow Food Nederland

Marketing planArtisanal raw milk cheese- NorwayAntonio GrecoMarcel KoelewijnSabrina LütkebohleCamille QuernadelleSharon WelgravenIBS1 Project 1“Dutch Raw Milk Cheese Project supported by Slow Food”

Marketing plan ‘Artisanal raw milk cheese - Norway’Table of ContentsManagement Summary ......................................................................................................... 3Chapter 1 ‘Introduction’ ......................................................................................................... 51.1 Context ........................................................................................................................ 51.2 Structure ...................................................................................................................... 51.3 Working methods ......................................................................................................... 5Chapter 2 Macro Analysis ..................................................................................................... 62.1 DESTEP analysis ......................................................................................................... 62.1.1 Demographic ......................................................................................................... 72.1.2 Economic .............................................................................................................102.1.3 Social ...................................................................................................................132.1.4 Technological .......................................................................................................152.1.5 Ecological .............................................................................................................172.1.6 Political .................................................................................................................202.2 Import regulations .......................................................................................................222.3 Current issues .............................................................................................................242.4 Attitude towards food in general ..................................................................................252.5 The Hofstede Model ....................................................................................................26. ............................................................................................................................................262.6 Norwegian image of Holland .......................................................................................29Chapter 3 Meso analysis ......................................................................................................303.1 Current export barriers ................................................................................................313.2 Market segments ........................................................................................................323.2.1 Demographic ........................................................................................................323.2.2 Geographic ...........................................................................................................333.2.3 Psychographic ......................................................................................................333.2.4 Behavioral ............................................................................................................333.3 Competitors ................................................................................................................343.4 Distribution channels ...................................................................................................373.5 Norwegian motivations to sell Dutch raw milk cheese .................................................393.6 Norwegian consumer attitude towards Dutch raw milk cheese ....................................403.7 Relevant publications ..................................................................................................413.8 Societal participants in Norway ...................................................................................433.9 Places where business people meet ...........................................................................44Chapter 4 Potential target group ...........................................................................................454.1 Target group and motivation for buying Dutch raw milk cheese ..................................454.2 Personas.....................................................................................................................47Conclusion and recommendations........................................................................................491

Marketing plan ‘Artisanal raw milk cheese - Norway’Appendix 1: ‘Project Group Management’ ............................................................................51Appendix 2: ‘Literature list’ ...................................................................................................57URL Blog ..............................................................................................................................582

Marketing plan ‘Artisanal raw milk cheese - Norway’Management SummaryThe purpose of this report is to find out how Slow Food can support Dutch producers of raw milkcheese successfully in marketing their products internationally. The report is written for the NGO SlowFood Company. Slow Food is a global, grassroots organization with supporters in 150 countriesaround the world who are linking the pleasure of good food with a commitment to their community andthe environment. It is taken into account how the Slow Food philosophy of good, clean and fair foodand concepts like presidia, Ark of taste and food communities can be used as marketing tools tosupport the Dutch producers of raw milk cheese.The main points in this report are a macro based analysis, a meso based analysis and defining atarget group for Dutch artisanal raw milk cheese.Most Norwegian people are aged between 30 and 40 years. Norwegians are living in goodcircumstances and the life expectancy is therefore high (HDI index). An important fact to know is, thatthe population destiny in Norway is the lowest in Europe and most Norwegian people are living in thebig cities in the South of the country.The Norwegian economy is very stable and very healthy – also in comparison to other countriesworldwide. Norwegian people have a really high income (based in GDP), compared to Dutch people orpeople from other European countries.The Netherlands and Norway trade a lot and they are both part of the WTO, which approves trade.Therefore, the exchange rates are very stable. In contrast to the Netherlands, Norway is not a part ofthe European Union. However, for this state there are no import and export barriers for theNetherlands concerning cheese.Norway has a very open economy (joins AFTA), however Norway tries to stimulate the agriculture inthe home country. The Norwegian protection tariffs on agriculture are about 40% tax extra on theimport price, and there are documental barriers.Good and important to know is also that Norwegian people prefer sustainability and nature. And thesefacts have also influences on the sight of food. Norwegians like to buy and eat fresh food andproducts. The romantic sight of sheep/goats and farmers is preferred above mass production. Andbecause of the fact that sustainability is important for Norwegians, there are always new technologiesand new innovative advanced technologies to work as sustainable as possible.There are a lot of possibilities to communicate with Norwegians: Television, radio, magazines,newspapers and mostly the internet and social media. Also cooking magazines and special cookingtelevision programs are a main part for communicate a product to Norwegian people.The eating habbits of Norwegian people are really `cheese-friendly`: Norwegian people eat cheese asa dessert cheese, table cheese and also for breakfast/lunch. Cheese can be used in slices on bread,but also as desert in small pieces. Dessert cheese is for after dinner, to drink with a glass of wine.However, table cheese can be eaten at mornings, afternoons or evenings as a ‘snack’.As already said before, Norwegian people have a really high income and they prefer products withhigh quality. High prices are seen as a secure for good quality. Labels and other signs of good qualityare therefore recommended. Other important factors are the origin of the product and that it is fairtrade.Healthy components/ingredients are also very important.The Norwegian and the Dutch culture does not really differ, as appeared of the comparison of theHofstede Model of both countries. It is important to be on time and to say directly if there is a problem,because business is really direct and time costs money. Moreover Norway is the second mostfeminine country in the world.3

Marketing plan ‘Artisanal raw milk cheese - Norway’Norwegians trend to like Dutch products, because they import a lot things from theNetherlands and know that these products have a high quality. The Netherlands are characterized forcheese making, and also being world champion approves this fact. Norwegian people also think thatDutch people are open and friendly.Supermarkets, cheese shops, delicatessen, restaurants and web shops are a good choice fordistribution Dutch raw milk cheese.The competitors for cheese production and selling in Norway are several large scale producers.Important to know: TINE is kind of a monopolist in the Norwegian cheese market, but there are alsosmall scale producers of cheese. All of these producers are competitors. However, all kinds of cheeseare substitutes.The target group for raw milk cheese in Norway includes men and women from the age of 35 – with noage limit. Mostly a higher age is needed, because as said before, the cheese will be positioned as aluxurious product above the ‘mid segment’. Artisanal made raw milk cheese is seen as a delicacy.The fact that this cheese is positioned as a luxurious product provides a social class element. Peoplewill eat this cheese, for one of the reasons, to have a certain feeling of status. They will eat the rawmilk cheese with friends after dinner, at dinner or in a restaurant. The feeling of being able to buy thecheese and status is then important.People that are going to restaurants and having dinner with friends, with a glass of wine and cheese,are elderly people. The younger generation will not care about this cheese in a certain way of status.Level of education does not really matter. A normal worker or a farmer could eat this cheese just as amanager or a professor. There is not really a connection between the reason to buy raw milk cheeseand the education level.Family life is not important either. It does not significant if a person is married, has two children or isliving in a single household. Social background and working situation are central factors of the targetgroup and they are connected with each other. That means for the work situation that there should bea high income to be able to buy these special cheeses.Part of the target group is also retired people who had a high income. Some characteristics and valuesof the target group in general are a high level of living. Members of the target group also like strongtastes, exclusive food and they all prefer a healthy life. Important factors for buying raw milk cheeseare the special taste of this product and that it is made by farmers and not by machinery.Figure ‘Slow Food’Source: google pictures ‘Slow Food’4

Marketing plan ‘Artisanal raw milk cheese - Norway’Chapter 2 Macro AnalysisThe macro environment involves factors outside of the direct control of the business. The severalfactors can have a significant effect on a firm’s success. For example, a change in the exchange ratecan affect the ability of a firm to sell abroad.The macro environment can be analyzed by using a DESTEP-analysis.This external analysis shows threats and opportunities for the company. With help of this analysis it ispossible to respond better to the market you’re in.2.1 DESTEP analysisIn this paragraph the DESTEP-analysis is discussed. DESTEP stands for the following dimensions:demographic, economic, social, technological, ecological and political. Companies cannot influencethese dimensions. However, these dimensions determine opportunities for the company. Because ofthat, the company considers this analysis as important.6

Marketing plan ‘Artisanal raw milk cheese - Norway’2.1.1 Demographic 12PopulationIt is important to know about the population, because this is the potential consumer market. Importantinformation is, for example, where do people live: in the city or at the rural area? How many people areliving there?In 2009, there were 4.691.849 people living in Norway. 3The population is structured as follows:Age Percentage Men Women0-14 year 18% 431.111 412.86415-64 year 66% 1.568.729 1.529.79965 year and older 16% 326.711 422.635The population pyramid of Norway is structured as follows:Figure 2.1 ‘Population pyramid’Source: cia factbook1 https://www.cia.gov/ (19-2-2012)2 www.ssb.no (19-2-12)3 indexmundi.com (8-2-2012)7

Marketing plan ‘Artisanal raw milk cheese - Norway’Through good living circumstances is the life expectancy relatively high. 4Total populationMenWomen80,20 year77,53 year83,02 yearIn addition to this the HDI (Human Development Index) rank is also important to mention. The HDI is acomparative measure of life expectancy, literacy, education and standards of living for countriesworldwide and lies between 0.0 and 1.0. It is used to distinguish whether the country is a developed, adeveloping or an under-developed country, and also to measure the impact of economic policies onquality of life. The HDI of Norway was the highest in 2011 and was 0.943. 5The population is spread over an area of 323.802 km2, which means a density of 12,1/km2. This isconsidered to be very low. To compare: The Netherlands have a density 401,4/km2. 6 The Norwegianpopulation density is stated as the lowest in Europe. 7Figure 2.2 ‘population density in Europe’Source: CBS4 https://www.cia.gov/ (19-2-2012)5 http://www.igbp.net/ (14.02.2012)6 Unstats.un.org (22-2-2012)7 www.iselinge.nl (1-3-2012)8

Marketing plan ‘Artisanal raw milk cheese - Norway’The population density differs a lot over the country, as seen in the following figure:It can be stated that most people live in the southern part of Norway. Mostpeople live in the coast regions, and in the coast regions in the west.In Norway, 79% of total population is urbanized (2010) and the rate ofurbanization is 1.2% (2010-15 est.). 8Figure 2.3 ‘Population density in Norway’Source: annawaterkristal.mijnwebadres.nlConclusionMost people are aged between 30 and 40 years old. People are living in good circumstances, and thelife expectancy is therefore high. However, the population density is the lowest in Europe and mostpeople live in coast regions in the south or east. This information is important, to make decisions aboutthe target/consumer market.8 www.indexmundi.com (19-2-2012)9

Marketing plan ‘Artisanal raw milk cheese - Norway’2.1.2 EconomicEconomicThe economic situation of Norway is important, to be able to estimate risks for exporting products.With use of this information, a company can evaluate the stability of the economy.Norway is one of the world's richest countries and its economy is wealthy and has shown greatnesssince the start of the industrial era. Norway provides a combination of free market activity andgovernmental intervention, because the government controls the key areas of the main industriesofNorway.Another important fact about Norway: the country owns a lot of natural resources like petroleum,hydropower, fish, forests and minerals. The profits of agricultural activities are very high, incomparison to the small area of agricultural land.The main industries of Norway are petroleum and gas, food processing, shipbuilding, pulp and paperproducts, metals, chemicals, timber, mining, textiles and fishing. The most important agriculturalproducts in Norway are barley, wheat, potatoes, pork, beef, veal, milk and fish.ExportsFigure 2.4 ‘export portfolio norway’Source: Norway embassyHow does the export pattern of Norway looks like? Do they export to the Netherlands (in order to knowor there is a trade relation)?Norway’s export commodities are petroleum and petroleum products, machinery and equipment,metals, chemicals, ships and fish and they so earned in 2011 $ 159.8 billion with their export goods.Their most important export partners in 2010 were UK (26.7 %), Netherlands (12.1 %), Germany (11.4%), Sweden (7 %), France (6.6 %) and USA (5 %).In 2009 the total export of oil and gas from Norway to the Netherlands had a total value of € 9.2 billionof which almost 7.2 billion was oil exports. This was 74% of the total exports from Norway to theNetherlands. 9Another export good of Norway, to other countries is cheese. The Norwegians produce so muchcheese that they export 20,000 tons a year. About 7,000 tons of this is shipped to the United States. 109 http://norway.nlembassy.org/ (14.02.2012)10 http://www.chron.com/ (14.02.2012)10

Marketing plan ‘Artisanal raw milk cheese - Norway’ImportsFigure 2.5 ‘import portfolio norway’Source: Norway embassyHow does the import pattern of Norway looks like? Do they import from the Netherlands (in order toknow or there is a trade relation), and do they especially import cheese from the Netherlands?Almost three quarters of Norway's land is unproductive; less than 4% is cultivated. In this way Norwayhas to import more than half of its food needs. With higher living standards, this includes higher foodvalue. In 2005 Norway imported food and live animals amounting to $ 2.8 billion. 11Imported cheese from the EU has boosted the Norwegian domestic market, by bringing progressivelymore competition and a wide quality choice for Norwegian consumers. This resulted in an increase ofper capita consumption, leading to an increase in Norwegian dairy production and upgrades ofNorwegian cheese products to match competition. There is still potential for growth on the Norwegiancheese market, when comparing per capita consumption in Norway with neighbor countries. Toprevent too much dependency from import, farmers are heavily subsidized and the prices ofagricultural products are artificially kept high.Other import commodities of Norway are machinery and equipment, chemicals and metals. Most ofNorway imports come via freight transport from their import partners (in 2010) Sweden (14.1 %),Germany (12.4 %), China (8.5 %), Denmark (6.3 %), UK (5.9 %), USA (5.4 %) and Netherlands (4.1%). The top 3 Dutch exports to Norway were machinery, fuels, electrical and electronic equipment. 12MembershipsIt is important to know about memberships, economic and political. This is accompanied with forexample import regulations. Also the exchange rate is important for exporting and importing, sinceNorway doesn’t have the euro.Norway is a member of WTO (World Trade Organization), NATO (North Atlantic Treaty Organization),UN (United Nations), EFTA (European Free Trade Association) and EWR (European Economic Area),but it is not a member of the European Union (EU), because it chooses to stay out of the EU. (moreinformation to be found under politics). Norway does not have the euro (EUR). Their currency is calledNorwegian kroner (NOK) and has an exchange rate of 7.6225 NOK : 0.131191 EUR. 13 But as amember of the European Economic Area it administers important incomes to the EU budget. Onereason therefore is that Norway is the world's second-largest gas exporter and sixth largest oilexporter.11 http://www.indexmundi.com/ (14.02.2012)12 http://norway.nlembassy.org/ (14.02.2012)Figures: http://www.ssb.no/ (14.02.2012)13 http://www.x-rates.com/ (08.02.2012)11

Marketing plan ‘Artisanal raw milk cheese - Norway’Key dataThis part contains some key data, which is useful to get a view about the country.An important ratio is the Gini index. The Gini index measures the extent to which the distribution ofincome (or, in some cases, consumption expenditure) among individuals or households within aneconomy deviates from a perfectly equal distribution. A Gini index of 0 represents perfect equality,while an index of 100 implies perfect inequality. The distribution of family income was 25 (in 2008) andNorway was on rank 137 in the world. 14Another important thing to know about this country is the GDP (Gross Domestic Product). The GDPper capita was 53,300 dollars in 2011. The Norwegian GDP per capita is rated 7 in the world.Compared to The Netherlands it is higher, because the Dutch GDP per capita is the 16 th in the world.The GDP refers to the market value of all final goods and services produced within a country in a year.It amount to € 311.5 billion in 2011. 15 In comparison to the world, Norway was on rank 47. The growthrate of the GDP from 2010 to 2011 adds up to 1.7 %. That is very stable.The GDP composition by sectors shows that agriculture is with 2.7 % the least part; industry earned38.3 % and services 59 %. So services are the most important sector for Norway and its GDP.The Unemployment rate of Norway was 2011 3.4 %, thus Norway was on rank 29 in comparison toother countries in the world. The average household income was in 2008 between 3.9 % (lowest 10%) and 21 % (highest 10 %). The average monthly earnings of full-time employees were in 200938,400 NOK for men and 33,300 NOK for women. 16Cheese marketIn Norway agricultural cooperatives hold 96 % of the market for raw milk and 55 % of the cheesemarket.ConclusionIt can be concluded that the Norwegian economy is very stable, and Norwegian people do have ahigher income (based on GDP), compared to the Dutch people. This is important information, becauseNorwegian people are considered to be rich. Norway trades already a lot with the Netherlands.Norway is also a part of the WTO, and approves trade. Therefore, the exchange rate is very stable.14 https://www.cia.gov/ (08.02.2012)15 http://trade.ec.europa.eu/ (08.02.2012)16 http://www.ssb.no/ (14.02.2012)12

Marketing plan ‘Artisanal raw milk cheese - Norway’2.1.3 SocialLanguageWhat are the main and most important languages, in order to communicate with Norwegians?The main and official languages 17 are Bokmal Norwegian and Nynorsk Norwegian. Further existinglanguages are Sami and Finnish. This information is important for the company for communicationalreasons.ReligionAre there any religions that have eating conditions, in Norway?Overview of religions in Norway 18 :‣ Church of Norway 85.7%‣ Christian 2.4%‣ Muslim 1.8%‣ Pentecostal 1%‣ Roman Catholic 1%‣ Other 8.1%‣ Non-religious64,9% of the total populationThe church of Norway is a church on itself. The church is derived from the former Luther church. TheLuther church is a Protestant Christian church. Further people aren’t very religiousOne can conclude that religion is not a barrier in Norway, for the cheese industry. For the reason thatonly in Jewish religions people need to separate food, to be ‘kosher’. Since this religion is not popularin Norway, this is not an important factor.Eating habitsWhat are general eating habits in Norway? 19Norwegian people eat 4 times a day: breakfast, lunch, dinner and after dinner. After dinner is mostly asnack, such as knackebröd, waffles or a slice of bread. This is daily eating moment, it is even equallyimportant as dinner, lunch and breakfast.Norwegians eat potatoes, vegetables and meat/fish for dinner. Fish is more preferable as meat. Lunchis between 11.30 and 12.30, dinner time is around 4 or 5 o`clock and after dinner is around19.00 tillwhen you like.Eating habits do not differ a lot of the ‘European habits’, concerning spoons/knifes/forks and plates.Furthermore the snacks and sweet are comparable to Dutch habits. In Norway even Dutch sweets,like licorice, are available.17 https://www.cia.gov/ (15-2-2012)18 https://www.cia.gov/ (15-2-2012)19 http://noorwegen.placement.nl/ (15-2-12)13

Marketing plan ‘Artisanal raw milk cheese - Norway’Cheeses and habits in NorwayWhat kind of cheese is popular in Norway, and when do Norwegian people eat cheese?There are different types of Norwegian cheeses 20 :‣ Brunost is a Norwegian specialty. Brunost is available in different types, and is made of goatmilk (sometimes added with cow’s milk, depending on types). Brunost is seen as a delicacy,tastes a bit like caramel and has a brown colour. Brunost can be used as a dessert cheese ortable cheese, in thin slices on bread.‣ Geitost is the national cheese, made of cow’s and goat’s milk. It is semi-hard, dark brown andtastes a bit like caramel. Geitost is also a dessert cheese that must be sliced paper-thin andplaced on Norwegian flat bread. Children eat this cheese also for breakfast.‣ Gammelost is also a goat’s milk cheese. It is a creamery, hard, blue cheese and looks brown.The cheese contains a very low fat content, of only 5%. Norwegian people eat this cheesemostly after dinner.‣ Gjetost is a creamery, semi-hard brown cheese, made of goat’s and cow’s milk. The cheesehas a unusual aromatic taste. Gjetost is the most popular cheese in Norway! People often eatthis cheese for dessert.‣ Jarlsberg is a creamery, hard cheese and is comparable to Swiss Emmental cheese.Jarlsberg can be used as a table cheese, dessert cheese or sandwich cheese. The cheeselooks yellow, and is exported all over the world.‣ Nokkelost is a creamery, semi-hard cheese. It is a factory-made version of the Dutch cheeseLeiden. Nokkelost can be used as Jarlsberg.ConclusionNorwegian people eat cheese as a dessert cheese, table cheese and also for breakfast, but onlychildren eat cheese for breakfast. Cheese can be used in slices on bread, but also as desert in smallpieces. Dessert cheese is for after dinner, to drink with a glass of wine. However, table cheese can beeaten at mornings, afternoons or evenings as a ‘snack’. Furthermore, Norwegian people prefer goat’smilk instead of cow’s milk.Also an important fact to know, Norwegian people prefer sustainability, nature etc. This has also aninfluence on the sight on food. Food should be fresh, according to Norwegian people. The romanticsight of sheep/goats and farmers is preferred above mass production. 21In Norway a cheese slicer is used, but to cut thicker slices than in Holland.Figure 2.6 ‘Brunost sliced with a cheese slicer’Source: www.cheese.com20 www.cheese.com (8-02-2012)21 http://www.foodprocessing-technology.com/ (2-3-2012)14

Marketing plan ‘Artisanal raw milk cheese - Norway’2.1.4 TechnologicalCommunicationThis part deals with the communication in Norway. What are ways to communicate with Norwegianpeople?Telephone“Norway has the highest number of mobile phone subscribers in the world, in comparison to thepopulation number (with neighbor countries Sweden and Finland). 22 A lot of money has been investedin the development of modern telephone communication, through satellites and undergroundnetworks. The Norwegian network is even a leading network in the world, concerning fiber optic linesand ISDN connections. “ 23Telephones – mobile cellular: 5.525 million (2010) 24RadioNearly 75% of households have access to multi-channel cable or satellite TV systems and 2 privatelyownedradio stations and another 240 local stations. (2008). 25Internet“In June 2011, there were 4,431,100 internet users in Norway, according to Internet World Stats.These users represent 94,4% of the population. In total, only 5% of the Norwegian population had noaccess to the internet. This group mainly consists of people aged over 64 years. Moreover, one in fourpeople in Norway had access to the internet by mobile connections.Figure 2.7 ‘Internet use Norway’Source: Noorwegen placementNowadays, internet is used very often. In 2011, 82% of the internet users used the internet every day.Internet is used for reading online newspapers, searching for information, for example goods, services,travelling and accommodations etc.Social networks, such as Facebook and Twitter, are generally more popular among the youngergeneration of the population. 59% of the population was participating or had participated in socialnetworks, in 2011.” 26Nowadays, reaching people through internet (including social networks) is very effective. It can bestated that, in Norway, almost all people use internet almost every day. In addition, almost all people inNorway use a phone (mobile or main line).Internet country code: .no22 Noorwegen.placement.nl (21-2-2012)23 Noorwegen.placement.nl (21-2-2012)24 https://www.cia.gov/ (21-2-2012)25 https://www.cia.gov/ (21-2-2012)26 www.newmediatrendwatch.com (21-2-2012)15

Marketing plan ‘Artisanal raw milk cheese - Norway’Knowledge economyWhat about the education level in Norway? For corporations with other companies, it is useful to knowor the education level is comparable, for example cooperating with an advertising company.“Literacy: people above 15, who can read and write: 100%School life expectancy (primary to tertiary education): male 17 years / female 18 years (2008)” 27“About 80 percent of the Norwegian population is medium or high-skilled. The government attachesimportance to a well-trained and internationally competitively population. Therefore, a lot ofinvestments into adult education and internationalization of the education have been made. Theeducation level is considered to be higher as in Germany, Belgium and The Netherlands. Thus, thebusiness environment is attractive.” 28Cheese production 29The cheese production is to be found in factories, but also through farmers. The cheese productionhas the same structure as in the Netherlands: mass production in factories and artisanal productionthrough farmers. As readable in the social factor artisanal is preferred above factories. In addition, asreadable in the ecological factor, Norwegian people consider environment as important. Therefore,new technologies are developed to reduce water and power consumption. These technologies are thenewest innovative advanced technologies of Europe.27 https://www.cia.gov/ (21-2-2012)28 www.agentschapnl.nl / www.nuffic.nl (21-2-2012)29 http://www.foodprocessing-technology.com/ (2-3-2012)16

Marketing plan ‘Artisanal raw milk cheese - Norway’2.1.5 EcologicalGeography 30 09Norway is in the northern part of Europe. Norway is a neighbor country of Sweden and Finland, butalso a small part of Russia!Land boundaries:Total: 2.542 kmBorder countries:Finland 727kmSweden 1.619kmRussia: 196kmNorway has a lot to do with water. The country is surrounded by the North Sea, the Barents’ Sea,Atlantic Ocean and the Arctic Ocean.31 32Environment and climateThe land consists of water and land, which is divided as follows:Total: 323.802 km2Land: 304.282 km2Water: 19.520 km2 (6 percent of the total surface)The country is surrounded with amazing islands and fjords.Mainly in the center and the northern part of the country, are a lot ofmountains and plateaus. However, one can also find glaciers androcky parts.Figure 2.8 ‘Norway’Source Google picturesThere are a lot of different climates to be found in the country. The Northern part consists out of atundra climate, which is very cold and bushy. The coast regions have a more temperate climate. Thesummers are warmer, but winters are cold. The average temperature is around 7 degrees in theseregions. The coast regions know mild periods, because of the warm Gulf Stream.The relief influences of course the accessibility.30 https://www.cia.gov/ (21-2-2012)31 https://www.cia.gov/ (21-2-2012)32 http://www.noorwegen.nl/ (1-3-2012)17

Marketing plan ‘Artisanal raw milk cheese - Norway’The richest vegetation is found in the southeast around Oslo fjord, which is dominated byconifers (spruce, fir, and pine); at lower levels, deciduous trees such as oak, ash, elm, and maple arecommon. Conifers are seldom found at altitudes above 1,000 m (3,300 ft). Above the conifer zoneextends a zone of birch trees; above that, a zone of dwarf willow and dwarf birch, and a zone oflichens and arctic plants. In areas exposed to salt sea winds, there is little tree growth. Of the largerwild animals, elk, roe deer, red deer, and badger survive, as do fox, lynx, and otter. Bird life isabundant and includes game birds such as capercailzies (cock of the woods) and black grouse. In therivers are found trout, salmon, and char.SustainabilitySustainability is a very important point in Norway.‘Children are the future’.Therefore, a lot of agreements have been made to support sustainability. Companies and its factorieshave to apply these agreements.Recently, for example, agreements have been made about water and power consumption. Theseagreements have been made in order to reduce water and power consumption.‘The so called company SPX Corporation announced a new technology segment, which already hasbeen awarded valuable. The system will utilize the technology of Gerstenberg Schroder, which SPXacquired earlier this year. The new facility is being constructed by Tine, Norway's largest producer,distributor and exporter of dairy products. Founded in 1928, Tine is a dairy product cooperativeconsisting of more than 15,000 farmers and produces a wide spectrum of dairy products, includingJarlsberg cheese, Snofrisk goat cheese and Ridder cheese. Gerstenberg Schroder's end-to-endprocessing system will be designed to enable Tine to minimize the operational water consumption onthe butter maker.’ 33However, forests, lakes, flora, and wildlife have suffered encroachment in recent years from thegrowing population and consequent development of urban areas, roads, and hydroelectric power. Theforest floor and waterways have been polluted by Norway's own industry and by airborne industrialpollution from central Europe and the British Isles in the form of acid rain. The acid rain problem hasaffected the nation's water supply over an area of nearly 7,000 sq. mi.Annual particulate emissions have been around 22 tons and hydrocarbon emissions have been about270 tons. In 1992, Norway was among the 50 nations with the world's heaviest emissions of carbondioxide from industrial sources, which totaled 60.2 million metric tons, a per capita level of 14.03metric tons. In 2000, however, the total of carbon dioxide emissions was at 49.9 million metric tons.Transportation vehicle emissions are also a significant source of air pollution.By the early 1980s, the government had enacted stringent regulations to prevent oil spills from wellsand tankers operating on the Norwegian continental shelf. Coastal protection devices have since beeninstalled, and new technologies to prevent oil damage have been developed. Industry, mining, andagriculture have polluted 16% of Norway's lake water. The nation has a total of 382 cu km ofrenewable water resource; 72% of the annual withdrawal is used for industrial activity and 8% is usedfor farming.33 http://www.foodprocessing-technology.com/ (2-3-2012)18

Marketing plan ‘Artisanal raw milk cheese - Norway’Pollution control laws operate on the premise that the polluter must accept legal and economicresponsibility for any damage caused and for preventing any recurrence; the state makes loans andgrants for the purchase of pollution control equipment. Municipal authorities supervise waste disposal.Since its creation in 1972, the Ministry of the Environment has been Norway's principal environmentalagency. Between 1962 and 1985, 15 national parks, with a total area of more than 5,000 sq km (2,000sq mi), and more than 150 nature reserves were established. In 2003, about 6.8% of the total landarea was protected. The West Norwegian Fjords—Geirangerfjord and Naerofjord—were named as anatural UNESCO World Heritage site in 2005. The country has 37 Ramsar wetland sites.According to a 2006 report issued by the International Union for Conservation of Nature and NaturalResources (IUCN), threatened species included 9 types of mammals, 6 species of birds, 7 species offish, 1 type of mollusk, 8 species of other invertebrates, and 2 species of plants. Threatened speciesinclude the Baltic sturgeon, marsh snail, and freshwater pearl mussel..Figure 2.10 ‘Sustainability’Source Google pictures19

Marketing plan ‘Artisanal raw milk cheese - Norway’Not a member state of the European Union 37Norway is not a member state of the European Union. However, Norway is closely related with theUnion, because Norway is a member of the European Economic Area (EEA) in the context of being aEuropean Free Trade Association (EFTA) member. Norway's trade is strongly influenced by the EUand Norway is the EU's 4th most important import partner. The EEA agreements stand forliberalization in the market, by minimizing several barriers. Moreover, Norway is part of the SchengenArea. Within the Schengen Area free travelling of persons is permitted. In the Schengen Area bordercontrols are eliminated with other Schengen members and border controls to non-members arestrengthened. The question, whether or not to apply for full membership to the EU, is still presentnowadays. There are still political debates going on about application to the EU.Reasons for no application 38 have to do historical and geographical reasons. Norway has beeninfluenced for years by foreign powers. Therefore, nowadays the primary importance of independenceis a natural reaction. Further the geographic matter strengths the reluctance to join. As known, Norwayis in the north of Europe, in Scandinavia. Because of this, Norway has always been in closer contactwith the other Scandinavian countries and Great Britain, instead of with continental Europe. These arenot the only reasons for no application. Also the issues about North Sea oil and the fishing industry areof great influence to reluctance. Norway wants to stay independent, instead of making rules and shareabout these oil and fishing.Import regulations will be discussed in the next paragraph.37 http://diemperdidi.info/ (12-3-12)38 http://diemperdidi.info/ (12-3-12)21

Marketing plan ‘Artisanal raw milk cheese - Norway’2.2 Import regulationsThere are still restrictions nowadays; also in this, more and more, globalized world. The current importbarriers of a country are important, because this directly influences the export of all companies. Arethere any import barriers/regulations in Norway, concerning raw milk cheese?Import barriers in generalThere are different types of barriers: 39‣ Tariffs: An extra tax for being allowed to export products to a certain country. An importingcountry can distinguish their taxes between products!‣ Import or export licenses: all kind of obligated documents to make trade harder.‣ Import quota: a country can set an import quota for a product. For example, only 50 % of thecheese is imported cheese.‣ Subsidies: at some products, a country prefers to import, count subsidies. Or countries givesubsidies to their own farmers, to protect the home market.‣ Local content requirements: products have to be from a local content.A country uses these kinds of regulation for several reasons: 40‣ Protecting the home market is the main reason:‣ Protecting the small companies of the own market‣ Preventing loss of employment.‣ Stay independent, by having still your own agriculture. In case of war, you still have your ownproduction and thus independency.‣ Protecting consumers against illnessesNorwegian restrictionsIn Norway there are some restrictions/regulations. Also concerning raw milk cheese, because of thefear of outbreaks of food-borne illness associated with raw milk. Therefore industrial food becamemore popular (because of less ‘illnesses’) and overtook the traditional cheese making.Norway is a member of Members of ZEE, and of the EFTA – European Free Trade Association, soNorway applies the principle of free circulation of goods and services. However, there is an exceptionon the agricultural field. Norway tries to stimulate the agriculture in the home country. The Norwegianprotection tariffs on agriculture are about 40% tax extra on the import price. Furthermore there iscriticism of the WTO, because of the contrast. Norway is a very open market for industrial goods, withtariffs of only 1%, and sometimes even less. In addition, it is important to know that Norwegians arealso unlikely to change their agricultural policy, because it’s seen as a stimulation of rural settlement,cultural heritage and public health. 4139 www.inverstopedia.com (12-3-12)40 www.inverstopedia.com (12-3-12)41 http://www.cid.harvard.edu/cidtrade/gov/norwaygov.html (12-3-12)22

Marketing plan ‘Artisanal raw milk cheese - Norway’The government promotes and helps the national production by main actions: 42‣ Financial aid for the national producer subsidiaries if you start producing in the agriculturalindustry.‣ High taxes for foreign agricultural productsThere are also documentation regulations. 43‣ All products need a code for importation and exportation. The product code of raw milk cheeseis: .4008‣ The rate apply (tariff) on this product is 27,15 per kilogramme‣ Further documents of origin and HACCP (has to do with safe production, tenability andhygiene) are needed42 http://www.toll.no/ (9-12-12)43 http://www.toll.no/ (9-12-12)23

Marketing plan ‘Artisanal raw milk cheese - Norway’2.3 Current issuesIt is important to know about issues that are going on in the country you wish to export to. Theseissues could influence your business and your success. Therefore, are there any issues concerningthe cheese industry and especially raw milk cheese industry?A current issue going on in Norway is the present butter shortage. 44 This is due to several reasons.Firstly, the popularity of a low-carb, fat-rich fad diet has increased enormously in Norway.Also the demand increased enormously, because of Christmas. A lot of people stayed home to bakeproducts themselves. It’s a real Norwegian tradition to bake a lot of cookies, and cakes etc. Therefore,the butter demand soared even more.It is estimated that Norwegian milk production dropped by 20 million litres in comparison to theprevious periods. The drop is, thirdly, due to the heavy rainfall during the summer. Because of this, thequality of animal feed was reduced and cut the milk production.The shortage resulted in a lower milk production in 2011. As a consequence, the Scandinavianexports increased. Moreover, the prices rose with almost 30% (in December 2011), since theshortage.As a consequence people went to other countries to get butter, and import of butter raised. Actually,the import tariffs are very high, as said before, in Norway. A pack of imported butter suddenly coasted200 dollars. This even caused smuggling!The shortage is expected to stay on in 2012. Now, agreements have been made. The governmentagreed to lower the tax with 80%. Thus, a higher import is expected.Also the biggest dairy company (explained in competitors) TINE, suffers from this shortage. Thecompany needs butter to produce products. As a consequence of the shortage, the production willdrop. TINE is looking for other products to use, instead of butter, to prevent loss of production.44 www.naturalnews.com (13-8-2012)24

Marketing plan ‘Artisanal raw milk cheese - Norway’2.4 Attitude towards food in generalGeneral informationA Norwegian household is on average composed on 2, 2 person.The 3 rd item of expenditure is Food (13%)The income system is based on equality and as said before in demographics (‘destep’) the livingstandards are very high.Norway is a ‘fish country’;; there is an abundance of salmon, herring and shrimp. Meat is mainly dried(deer, eland and reindeer). Fruits and vegetables in Norway don’t have the reputation to be tasty andit’s very expansive, because of the inappropriate climate.Attitude towards prices and qualityNorwegian people are ‘used’ to high prices. They don’t hesitate to pay a high price to obtain quality.Norway is known as a very wealthy country. People have a relatively high revenue. Thus, Norwegianpeople can afford expansive high quality products. Paying a high price is seen as a guarantee for a‘good’ product.Attitude towards general product and aspectNorwegians are aware about the ecology and environment; they prefer to buy a product from anecological/sustainable company. As said before, the romantic sight of sheep is preferred above massproduction. In addition, Norwegians care a lot about health. Therefore, good food is needed. Goodfood is seen as fresh high quality food, not as mass production.Norwegian people concern about different components:‣ Quality standards‣ Origin of the products‣ Components/ingredients‣ Fair-trade madeLabels and other signs of good quality are recommended.Eating habitsFirst of all, information about eating habits can be found in the social part of the destep.Further eating habits are linked with the climate, and is a way of life/lifestyle. Eating habits are a wayto express yourself. The climate is relatively cold and Norwegian people work seriously; business isbusiness. Thus, meals are hurried and lunches are consumed relatively fast.For the lunch, the “Matpakke » are most often brought. It’s a packed lunch, with cold food (a frozensandwich with margarine and often cheese/meat)Fresh and sustainable food !!Figure 2.11 ‘fresh sustainable food’Source Google25

Marketing plan ‘Artisanal raw milk cheese - Norway’2.5 The Hofstede ModelIf we explore the Norwegian culture through the lens of the 5-D Model, we can get a good overview ofthe deep drivers of the Norwegian culture in comparison to other cultures. Understanding this model,leads to successful understanding of the culture, and understanding cultural differences. Thus, agreater success.Figure 2.12 ‘Hofstede Model Norway vs. the Netherlands’Source Geert-Hofstede.comNORWAY 45Norwegian people tend to be proud people. Norwegian people might not be very open to informationor to adjustments of the ‘outside’. The Norwegian way is the right way. Norway is comparable to theSwedish culture, however there are small differences. Norway is not comparable to Denmark or toFinland. Be careful to put them in one box!Norwegian people don’t like to negotiate and are very straight to business. Emotions are rarely shown,and body language is sparely. Eye contact is frequent, because you can see in someone’s eyes ifsomeone is honest. Norwegians may be cautious, appearing reserved and proceeding slowly. Soappear reserved instead of loud. 46.45 http://geert-hofstede.com (14-3-2012)46 Negotiating International Business – Lothar Kutz26

Marketing plan ‘Artisanal raw milk cheese - Norway’Power distanceThe power distance in Norway is, as you can see at the scores, a bit in the middle (not high not low).However Norwegian companies tend to be in the inside very open to each other, to the outside veryclosed. Norwegian people prefer to deal with people they trust, but business and personal relationsare usually kept separate. Relationships are though important, to build on a long lasting cooperation.The Norwegian style is mainly being independent and hierarchy in a company is only for convenienceof the outside world. Teamwork is very important in Norway. Therefore, equal rights are approved andsuperiors are always very accessible. Superiors are expected to be team members and at the sametime coaching leaders. Norway is a very egalitarian society. Treating someone preferentially isgenerally discouraged. So reward or criticize the group, not the individual. Power is not centralized, butdecentralized, and managers count on the experience of their team members. Decisions, in business,are a group process. Communication is direct, participative and consensus orientated.IndividualismNorway is considered as an individualistic society. This means that the “Self” is important andindividual, personal opinions are valued. Communication is explicit. At the same time the right toprivacy is important and respected. There are clear lines between work and private life. Job mobility ishigher and one thinks in terms of individual careers. The employer-employee relationship is based ona contract and leaders focus on management of individuals. Feedback is direct and nepotism is notencouraged.However, the high score for individualism might be considered a quite contradictory. As you could readbefore, work is seen as teamwork. In Norway that’s considered to be very important. This is a bit incontrast with high individuality. This must be seen as the fact that your own results and developmentare important, but working is done in a team where you still need to get your own results. In thecountry’s business culture, the respect a person enjoys depends primarily on his or her achievementMasculinity / FemininityMasculinity: do what needs to be doneFemininity: do what you like to doMasculinity / femininity explain how the country is organized. Masculine countries tend to value controland power. Feminine countries value group work and cooperation.Norway is the second most feminine society in the world! This is the most obvious dimension. Thismeans that the softer aspects of culture are valued and encouraged such as levelling with others,consensus, “independent” cooperation and sympathy for each other. Also taking care of theenvironment is important. Trying to be better than others is neither socially nor materially rewarded.Societal solidarity in life is important; work to live and do your best. But, at the end of the day, peoplelike to go to their families. Incentives such as free time and flexibility are favoured. Interaction throughdialog and “growing insight” is valued and self-development along these terms encouraged. Focus ison well-being, status is not shown.Also women and man are very equal, or it can be even said that women are treated better than man. Ifyou enter a negotiation room, it is common to greet first the older women, than the younger women,and then man! Moreover, a high femininity meets high directness. To explain, bargaining is disliked,just be straight to business.27

Marketing plan ‘Artisanal raw milk cheese - Norway’Uncertainty avoidanceThe uncertainty avoidance in Norway is a bit above the middle, thus a bit high. Norway is a fairlypragmatic culture in terms of uncertainty avoidance. There is focus on planning, and they can bealtered at short notice and improvisations to be made. Emotions are not shown much in Norway;people are fairly relaxed, however also very direct and not averse to taking risks. Honesty is veryimportant, because vagueness only causes uncertainty. Uncertainty avoidance has also to do with thenext part, which is long term orientation.Long term orientationNorway has a short term orientation culture. Absolute truths are needed and there is concern forstability, as said before. Quick results are expected. Quick results are needed, because this preventsuncertainty. Time is also very important, and business is business. Business is also money, so be intime. Norwegians value punctuality. At any meeting, whether business or social, it is therefore best tobe on time. Arriving late, or being early, make be taken as a sign of disrespect. Expect meetings toend on or close to the scheduled timeConclusionAs can be seen in the Hofstede model figure, there are no really great differences between Norwayand the Netherlands.28

Marketing plan ‘Artisanal raw milk cheese - Norway’2.6 Norwegian image of HollandIf you export to a country, it is wisely to investigate what these people are thinking about you and yourproducts. A bad image of a country is not a really good selling point for a product of a country. So theimage of the country should be positive, because this brings automatically a positive attitude towardsthe products.Norwegian people have a good image of the Dutch cheeses, because the Dutch country is traditionallycharacterized with wooden shoes, windmills and cheeses. The Dutch cheeses are very famous andyou can buy them in a lot of countries around the world.People in Norway know that Dutch products, for example machinery, transport equipment, chemicalproducts, fuels and clothing have really good quality, because this are the things they already importfrom the Netherlands to Norway.In addition to this the image of Dutch people is really good all over the world, because the Dutchcountry is known as a traditional one: characterized with wooden shoes, windmills and cheeses. Dutchpeople are also known as a friendly, helpful and open folk. The attitude towards Dutch people, theDutch society and Dutch products is all over the world really positive.Especially Dutch cheeses are very famous and you can buy them in a lot of countries around theworld.One argument evidences it was the World Championship Cheese Content in March this year. Thewinner was the Dutch Vermeer 47 . This result shows that Dutch cheese is not only good - it is the bestcheese in the world!So Norwegian people know how high the quality of the imported products from the Netherlands is.They know how the Dutch people are and like this, too. And also some facts like the gotten cheesecompetition make the attitude towards the Dutch people and their products more positive.Norwegian people trust Dutch products and this is a good base to sell Dutch products in this country.47 http://www.worldchampioncheese.org/ (14.02.2012)29

Marketing plan ‘Artisanal raw milk cheese - Norway’Chapter 3 Meso analysisThe meso analysis exists of parts that concern the business you’re in. In this case, it is all about theartisanal raw milk cheese market.This part deals with competitors, current issues, trade barriers, distribution channels, societalparticipants, consumer attitudes etc.Figure 3.1 ‘Analyse’Source Google pictures30

Marketing plan ‘Artisanal raw milk cheese - Norway’3.1 Current export barriersThere are still restrictions nowadays; also in this, more and more, globalized world. The currentbarriers are important, because this directly influences the export of all companies. Are there anybarriers/regulations concerning raw milk cheese?Export barriersOf course export barriers are the opposite of import barriers. There are certain illegal things which arenot allowed to leave the country, like for example drugs or transporting animals.For export count the same types of barriers as for import.There are different types of barriers: 48‣ Tariffs: An extra tax for being allowed to export products to a certain country. An importingcountry can distinguish their taxes between products!‣ Import or export licenses: all kind of obligated documents to make trade harder.‣ Import quota: a country can set an import quota for a product. For example, only 50 % of thetotal cheese production is exported.‣ Subsidies: at some products, a country prefers to export, count subsidies. This can be done ifthere is overproduction in a country. There will count subsidiaries to export the products, tolose them.‣ Local content requirements: products have to be from a local content. If in a certain regionthere is a lot of overproduction, it can be decided to require that the exported products areproduced in this region.A country uses these kinds of export regulation for several reasons: 49‣ Protecting the home market is the main reason. Some products are good to stay in thecountry, because:‣ Stay independent, by having still your own agriculture. In case of war, you still have your ownproduction and thus independency.Dutch restrictionsThe Dutch economy is a very open economy, concerning trade as well. Holland is always been livingof the port Rotterdam and Schiphol, as a transit port.The Netherlands are part of the European Union. This means that free trade is permitted, concerningpersons, capital, products and services. As said as well in the import regulations Norway is part of theEFTA – European Free Trade Association. The Netherlands are also part of this association. TheEFTA is established to provide more liberalization and minimalize barriers, concerning trade ofpersons, capital, products and services.Thus, free trade is approved by the Dutch system.48 www.inverstopedia.com (12-3-12)49 www.inverstopedia.com (12-3-12)31

Marketing plan ‘Artisanal raw milk cheese - Norway’3.2 Market segmentsThis part is about the different possible market segments for selling artisanal raw milk cheese. Marketsegmentation is needed to be able to determine the target group.A market segment is a classification of potential private or corporate customers by one or morecharacteristics. The objective of segmentation is identifying groups of costumers, which have similarneeds and wants. A good market segment has within the segment the same needs and wants andresponds therefore similarly to a market stimulus.Market segmentation is done by several categories. In this case: demographic, geographic,psychographic and behavioral.Figure 3.2 ‘Market segmentation’Source relevantinsights.com3.2.1 DemographicImportant characteristic within demographic are:‣ IncomeIn this case a higher income is preferred. The raw milk cheese is seen as a delicacy and isshown as a luxurious product, above the ‘mid segment’.‣ Social classSocial class is important for the same reason. The fact that this cheese is positioned as aluxurious product provides a social class element. People will eat this cheese, for one of thereasons, to have a certain feeling of status. They will eat the raw milk cheese with friends afterdinner, at dinner or in a restaurant. The feeling of being able to buy the cheese and status isthen important.‣ AgeAn age of mid-old to old people is important. People that are going to restaurants and havingdinner with friends, with a glass of wine and cheese, are older people. The younger generationwill not care about this cheese in a certain way of status.32

Marketing plan ‘Artisanal raw milk cheese - Norway’3.2.2 GeographicImportant characteristic within geographic are:‣ Culture and traditionsTraditions and culture influence people’s behavior. As readable in the social part of thedestep, culture and traditions influence people’s eating behavior. In this case, people eat 4times a day, what’s different from the 3 times in the Netherlands.‣ Degree of urbanization‣ City size‣ Population densityMoreover the degree of urbanization, city size and population density matter. It is important toknow where people are living, in order to reach the people you want to reach. Generally, alarger number of people provides a bigger consumer market. At the demographical part of thedestep is shown that Norwegian people are mostly living in the southern part of Norway.3.2.3 PsychographicImportant characteristic within psychographic are:‣ LifestyleFood can be seen as a way of life. Typical Norwegian are the Matpakke (packed frozensandwiches). The way of life is ‘fast’ and ‘cold (has to do with the association between beingused to cold climate and food)’. Also food is a way to express a feeling of status or emotionalimage.‣ BenefitsThe benefits of a product are what the consumer gets in return for their money. In this case, itis a good taste and quality. However, it is also important that food provides healthiness and isfresh. This appeared out of the sustainability image.3.2.4 BehavioralImportant characteristic within behavioral are:‣ Usage rateThis part is about the behavior of consumers. How often do people use the product? Theanswer about food can be found under the social part of the destep.‣ Brand loyaltyHow loyal would people be to a certain brand? Are brands important to Norwegian people?The Dutch origin can be seen as a brand. As readable before, Dutch cheese is worldwideseen as a sign of quality and an overall good product. (see Norwegian image of Holland).33

Marketing plan ‘Artisanal raw milk cheese - Norway’3.3 CompetitorsCompetitors are influencing a companies’ success. Therefore, it is smart to do research about yourcompetitors.The Norwegian cheese market is characterized by high prices compared to the neighboring countries.The prices are approximately 100 % higher than the prices on similar cheeses e.g. in Denmark.In Norway are small and big cheese producers and sellers. Their names are: Arla Foods AS 50 , HeidalYsteri AS 51 , Hemsedal Ysteri AS 52 , Rørosmeieriet AS 53 , Synnøve Finden AS 54 and Tine SA 55 . Butthere are also several small suppliers of cheese and farmers, typically producing a few niche productsfor local or regional markets.The following text describes the both biggest and most important companies, thus competitors, for theNorwegian cheese market.TINE SA (previously called TINE BA) is Norway's largest producer, distributor and exporter of dairyproducts. TINE SA holds a market share of 97 % in the market for collecting milk from farmers. In anational market for cheese sold to the grocery chains the company holds a market share of 70 - 90%. 56 They say, the goal of this company is ´to provide the consumers with food that provides ahealthier and positive food experience´57 and that a major part of the company’s income should stemfrom dairy business outside Norway.TINE SA is organized as an association which is owned by about 15.000 dairy farmers and eachmember is a shareholder. TINE´s dairy business processed a total of 20 million liters of goat´s milkand 1.4 billion liters of cow´s milk in 2009. The collected milk is processed into more than 480 differentdairy products which are all sold declared with the TINE trademark. The dairy association is thebiggest food producer in Norway with totally 5.675 employees thereof 3.860 in dairy companies andan annual turnover of NOK 18.9 billion in 2009.In addition to this the TINE SA group consists of several wholly-owned subsidiaries and participations.The most important wholly-owned subsidiaries for cheese are OsteCompagniet AS and WernerssonOst AB. OsteCompagniet AS markets and sells cheese specialties from TINE, Norwegian small-scaleproducers and imported cheeses. Wernersson Ost AB’s business concept is to purchase, process andmarket a broad, attractive and internationally profiled assortment of cheese to customers inScandinavia.Secondary the TINE SA group manufactures products like icecream, juice or marine products.TINE produced in 2009 about 60.000 tons of white cheese andabout 11.000 tons of brown and soft cheese spread. White,brown and processed cheese made a total incomein TINE group of 33 % in 2009. Jarlsberg cheese is currentlyTINE’s biggest export product and about 11.365 tons ofJarlsberg being sent abroad. 5850 http://www.arla.no/ (18.02.2012)51 http://www.heidal-ysteri.no/ (18.02.2012)52 http://www.himmelspannet.no/ (18.02.2012)53 http://www.rorosmeieriet.no/ (18.02.2012)54 http://www.synnove.no/(18.02.2012)55 http://www.tine.no/ (18.02.2012)56 http://www.konkurransetilsynet.no/ (18.02.2012)57 http://www.jarlsberg.com/ (18.02.2012)58 TINE Annual Report 2009 (18.02.2012)34

Marketing plan ‘Artisanal raw milk cheese - Norway’At the moment TINE SA does not produce raw milk cheese and is not a competitor yet. ButTINE SA knows that consumers are constantly looking for new products tailored to their needs. Sothey have a large focus on product development and continuous product innovation and each yearapproximately 50 new product lines are added. The sales of TINE AS are still growing, so TINE AScould become a serious competitor in the future. Moreover, TINE is a competitor, because TINEprovides cheese, which is a substitute for raw milk cheese.At the moment TINE is nearly a single player at the Norwegian cheese market and if TINE raises theprice on cheese over the existing level – determined by import tariffs and import prices – import ofcheese will become more profitable. In short, TINE is a competitor who should be accuratelyobserved.Synnøve Finden is a traditional Norwegian dairy company and another Norwegian cheese producerwith a significant market share and a total of 228 employees.Synnøve Finden produces only cheese, no liquid dairy products and had enjoyed growth over the pastyears. It is also one of few private dairy companies in Norway who survived independently of the cooperatives.The main activity of this company is production and sale of cheese and goat cheese, sales ofTropicana juices and Peppes grocery stores, and smaller niche products. The majority of sales are tothe major grocery chains in Norway.Today, Synnøve Finden sells Norwegian dairy products and the Synnøve brand is widely known inNorway. A total of 50 types of cheeses are produced under the Synnøve brand and it holds about 20%of the Norwegian yellow cheese market.The company produces semi-firm yellow cheese, brown cheese and the traditional Norwegian cheesespreads. These cheeses are produced at two mail production facilities, in Alvdal and Enebakk.The Alvdal facility is one of Norway’s largest cheese production plants, with modern equipment. Theplant produces and distributes more than 8,700 million tons of yellow cheese and about 1,200 milliontons of brown cheese every year.The second facility Enebakk, close to Oslo, produces and distributes about 250 million tonestraditional Norwegian cheeses. 59Although most of the cheeses are based on modern recipes, some of the products are based ontraditional recipes developed by Synnøve Finden herself back in 1928.Synnøve Finden had a turnover of NOK 957 million in 2010. The company has a strong position insales to retail and their sales revenues increased by 4.5 % in 2010. There was also a positivedevelopment in several cheese categories. 60At the moment Synnøve Finden does neither produce raw milk cheese and is not a direct competitoryet. But Synnøve Finden could also be a competitor for in the future.Important to know:There is a conflict between Synnøve Finden and the dominant co-operative competitor which is basedon the regulated access price and the method of measuring the right allocated price level.Because Synnøve Finden is not as large as TINE AS and TINE has nearly a monopole in Norway,Synnøve Finden has to purchase the facility raw milk from the dominant vertical integrated co-59 http://www.synnove.no/ (19.02.2012)60 http://www.newscancook.com/ (19.02.2012)35

Marketing plan ‘Artisanal raw milk cheese - Norway’operatives. So Synnøve Finden depends on TINE AS and the prices for milk. In short: thereis a continuous political struggle between Synnøve Finden and TINE about the fair prices andSynnøve Finden proceeds with the continuous fighting against the co-operatives.ConclusionThere are several large scale producers in Norway, but TINE is kind of a monopolist. The prices forcheese are, compared to neighboring countries, very high. There are also small scale producers ofcheese. All of the producers are competitors. However, all kinds of cheese are substitutes. To makethings even more complicated, all after dinner snacks are substitutes, because it fulfills in the sameneeds.36

Marketing plan ‘Artisanal raw milk cheese - Norway’3.4 Distribution channelsWhere to sell Dutch artisanal raw milk cheese in Norway? In this chapter an outline is given of all thepossibilities.There are a lot of different ways to sell cheese in Norway.One possibility for distribution is supermarkets like: Coop 61 , Ica 62 , Spar 63 , KIWI 64 , Rimi 65 or Rema1000 66 . They are the most famous ones in Norway and a lot of people and families do their shoppingthere. Another reason to sell in this supermarkets special raw milk cheese from the Netherlands:tourists also know these supermarket chains from their home country and are familiar with them. Sothey prefer to buy in supermarkets they already know. And perhaps this could be a way to reach morepeople than just the Norwegian target group.Especially Coop and Spar afford big and well assorted cheese departments. So the Dutch raw milkcheese would be a really enrichment for the cheese departments.Also cooperation with Rema 1000 could be a good choice, because this is the most prevalentsupermarket chain in all big Norwegian cities, e.g. Oslo or Bergen.Another possibility to sell the Dutch raw milk cheeses are cheese shops. They are not everywhere inNorway, but a few in big Norwegian cities. They all sell cheese from Norway, but also cheese fromother countries. In cheese shops costumer are allowed to try cheeses they do not know and cancompare different tastes. So this is a good idea to sell cheese there, because the costumers can buysomething they tried before and know that they like this cheese. By letting the costumers try cheesesthey do not know, it is easier to reach them and to win them as a costumer. And another positive fact:People who are in a cheese shop are there to buy some cheese, nothing different. So their willingnessto buy some cheese is really high.With delicatessen for cheese it is the same like with cheese shops. The costumers can try and decideif they want to buy the Dutch raw milk cheese or not, if they like it or not.But there are two differences between delicatessen and cheese shops. First: the prices of thecheeses. People who buy cheese and other things in delicatessen are willing to pay more money forspecial things like Dutch raw milk cheese. The basic adjustment is another and so there is a higherwillingness to pay more for special products.But there is also a problem with people in delicatessen: they are not only there to buy some cheese,perhaps they are there to buy some special salami or wine. So it is a bit more difficult to reach thesecostumers for an unknown cheese in a delicatessen than in a cheese shop.Restaurants are also a good way to sell Dutch raw milk cheese, because when people go out fordinner they want to do themselves something good and they try new and unknown things. Theirwillingness to pay a bit more than normal is also higher than e.g. in a supermarket. So by selling Dutch61 http://coop.no/62 http://www.ica.no/FrontServlet63 http://spar.no/64 http://www.kiwi.no/65 http://www.rimi.no/66 http://www.rema.no/37

Marketing plan ‘Artisanal raw milk cheese - Norway’raw milk cheese via restaurants it is possible to reach the ´average costumer´ and perhapsalso some families.To sell products via web shops is always a good idea, especially in a large country like Norway. It ispossible to reach people who are not living in a big city, who live outside the city in the countryside. Bythis way of selling it is not easy to reach elder people, but it is a way to reach younger people whowant to try something new and delicious.Every way of distribution has its pros and cons. The choice belongs to the target group which shouldbe reached. But every way - supermarkets, cheese shops, delicatessen, restaurants or web shops - isa good way to show costumers these special products and intrigue them.38

Marketing plan ‘Artisanal raw milk cheese - Norway’3.5 Norwegian motivations to sell Dutch raw milk cheeseWhy should Norwegian shops or restaurants or another distribution channel sell artisanal raw milkcheese?The following information is based on the previous part of the Norwegian image of Holland, in themacro part.The motivation of the cheese shops in Norway to sell Dutch Raw milk cheese are the great taste andthe high quality of the Dutch products. As readable before, Dutch cheese is ‘synonym’ for quality(stated by winning the world champhionship for cheese making). The Netherlands are evencharacterized for, among others, cheeses. The Dutch are well-known for making cheese and the highquality of their products.Further, the artisanal raw milk cheese is of course very fresh made. The products are healthier andmore sustainable. It is healthier; because of more natural fat contents and natural bacteria that raisesyour reluctance. Sustainability is very important for Norwegian people, and naturally made productshelp achieving that goal.Dutch people are also known as a friendly, helpful and open folk. The attitude towards Dutch people,the Dutch society and Dutch products is all over the world really positive.Also the good trading relation between Norway and the Netherlands will strengthen motivations.39

Marketing plan ‘Artisanal raw milk cheese - Norway’3.6 Norwegian consumer attitude towards Dutch raw milk cheeseSo what should Norwegian people think about Dutch artisanal raw milk cheese? The question forreceiving success!This information is based on the attitude to food in general, in the macro part.Norwegian people are ‘used’ to high prices. They don’t hesitate to pay a high price to obtain quality.Norway is known as a very wealthy country. People have a relatively high revenue. Thus, Norwegianpeople can afford expansive high quality products. Paying a high price is seen as a guarantee for a‘good’ product.Norwegians are aware about the ecology and environment; they prefer to buy a product from anecological/sustainable company. As said before, the romantic sight of sheep is preferred above massproduction. In addition, Norwegians care a lot about health. Therefore, good food is needed. Goodfood is seen as fresh high quality food, not as mass production.Norwegian people concern about different components:‣ Quality standards‣ Origin of the products‣ Components/ingredients‣ Fair-trade madeLabels and other signs of good quality are recommended.Thus, the great taste and quality, and healthy sight on the product will be the motivation to buy rawmilk cheese. It gives no problems that the cheese is not very cheap, because Norwegian prices arealready very high. Further higher prices are seen as a sight of quality.Figure 3.3 ‘Cheese’Source Google Pictures40

Marketing plan ‘Artisanal raw milk cheese - Norway’3.7 Relevant publicationsThe question to investigate is ‘what are the best ways to promote raw milk cheese, to the consumer ordistribution channels’? This actually is the way how to communicate with the Norwegian market andwith especially the potential target group.Publication waysAs you could see in the technological dimension of the destep, a lot of Norwegian people have aphone or mobile phone. Because, Norway has the highest number of mobile phone subscribers in theworld, in comparison to the population number (with neighbor countries Sweden and Finland). 67 And alot of money has been invested in the development of modern telephone communication, throughsatellites and underground networks. The Norwegian network is even a leading network in the world,concerning fiber optic lines and ISDN connections. “ 68Because of these reason communicating through mobile phones is a way to promote your product. Itdoesn’t take long time or money to call people. The only thing that is needed is an address file. So thiscould be a better to maintain your customer group, instead of introduce your products. However, if theraw milk cheese is exported to restaurants, this is an easy way to start connecting.Nearly 75% of households have access to multi-channel cable or satellite TV, systems and 2 privatelyownedradio stations and another 240 local stations. (2008). 69 Therefore radio or TV are also a goodopportunity to promote your product. Through radio commercials, it is easy to reach a lot of people in ashort time. However it is quite expensive to do and you don’t know which people you reach. Alsocompetitors are often at the TV or radio, so it is not a very easy way to stand out of the crowd.Nowadays the internet is by far THE connection way. Also 95% of the Norwegian people use internet,and a lot of them use it every day. Therefore, using the internet of a communication way. Moreover, itis also an easy way to reach a lot of people. However, the prices depend on the place of theadvertisement. Also here competitors are often at the internet, so it is not a very easy way to standout of the crowd. Internet is also used for reading online newspapers.Newspapers are also a way of publishing. However, newspapers are local, and you do not reach a lotof people. So this is a good way, if you want to reach people living in a certain area.Magazines are very useful to promote your product in, because it is already in a certain theme and hasalready a certain target group. Because of this reasons, the right target group is easily reachable. Alsothis advertisement is quite local. On the other hand, advertisements are relatively cheap in magazines.Finally, Social networks, such as Facebook and Twitter are a way of advertising. Nowadays, a lot ofpeople participate in the social media network (as readable in the technological part of the destep).However, it is more the younger part of the population that are participating in this process. Thisshould be an easy way of promotion if the target group is younger people.67 Noorwegen.placement.nl (21-2-2012)68 Noorwegen.placement.nl (21-2-2012)69 https://www.cia.gov/ (21-2-2012)41

Marketing plan ‘Artisanal raw milk cheese - Norway’Best promotion for different distribution channelsThere possible distribution channels:‣ Supermarkets‣ Cheese shops‣ Delicacy shops‣ Restaurants‣ Web shopsLater on, the final target group will be specified.However, the distribution channels are the possible places to sell artisanal raw milk cheese. Thisshops could be already existing shops or ‘own’ shops. Own shops are more a risk, because it costsmore money. However, you will be closer to the consumer in the end. Existing shops already have theawareness of consumers, and the good image. It would be also cheaper to export it into these shops.Finally it is smarter to sell cheese in a shop that offers more cheeses. This increases the chance toreach people. For example, it is possible that people are looking for a certain product at a shop, butsee yours and buy it.The possible ways to promote the cheese to the several distribution channels are discussed above.On the other hand, also personal relations are very important. Creating personal relations in a countryis useful, because there are people that have influences and that can help promoting your product. Forexample, the brand Grolsch is using personal relations in Africa. At business meetings these relationswill have a Grolsch beer with other people. In this way, promotion is very successful. Through relationmore credibility is reached, as in seeing commercials etc.42

Marketing plan ‘Artisanal raw milk cheese - Norway’3.8 Societal participants in NorwayIn this paragraph are the social participants discussed.Social participants are media’s concerning the theme cooking. These media’s can be found inmagazines, social media etc.For example there are cooking programs on television.Moreover, there are magazines, like ‘Home for Taste’ and ‘Home Healthy Cooking’. These magazinesprovide all information about cooking. An advantage is that only interested people are buying thesemagazines.Also on the internet and on social media there is a lot to be found. Just ‘google’ recipes and you willfind any recipe! At websites of supermarkets, there are also often recipes to be found. There are alsoseveral websites concerning healthiness in relation to cooking. Further at social media there are topicsfor cooking, for example on facebook.Figure 3.4 ‘Social participants’Source Google Pictures43

Marketing plan ‘Artisanal raw milk cheese - Norway’3.9 Places where business people meetIn this paragraph an outline will be given about the places where Norwegian people usually meet forbusiness.In Norway business participants can meet in different special venues dedicated to the meeting.Oslo for example has six conference centres and two major exhibition halls. The conference centresand exhibition halls can be found just outside Oslo. Norway's largest exhibition and congress centre, isalso to be found just outside Oslo, and offers a total of 6,000 seats. Centres in the city can host up to1,400 people.Oslo has 26 conference hotels of different sizes ranging from 673 to 50 rooms. Two hotels areadjacent to the city’s major exhibition halls. The maximum capacity in the largest hall is 6,000 peoplein cinema-style seating. All of the most important cities have their own congress venues.The meetings are carried out in a fast and precise manner. Few professional event companies help toplan and organize the event. Their services include product launches, corporate events, meetings,incentive programs, team building, kick-offs and opening ceremonies. Event companies can also helpto organize fabulous outdoor activities.A typical day of congress in Norway could be:RegistrationOpeningLunch Break 12.00 – 13.30CongressCoffee Break 15.00 – 15.30CongressDinner 20.00 – 23.00Regarding the cheese and specifically the food industry, the main conference takes place in august.The Norwegian Food Festival in Ålesund tha is a combination of trade fair for the ultimate in foodmastery in Norway, with several NM forum for food manufacturers of all kinds, and celebration formost people. The Norwegian Food Festival is one of the most distinctive food festivals in Norway. Witha strong focus on small-scale producers and ecological ingredients The unique festival is a goodopportunity for cooperation across professions. Bringing together stakeholders from the fishing andagriculture, with the processing industry, and chefs and tourism industry. The festival is now organizedas a corporation with ownership of all these trades. In this festival we can find different tents in which itis possible to find different kind of food, cheese included.It is of course always possible to meet people in their businesses. As said before, be in time! Businessis often discussed in conversation rooms, because Norwegian people tend to approve a fast straight tobusiness talk. However, also relations are very important for Norwegian people. Relations are avoidinguncertainty and provide trust and honesty. Therefore, it is also common to have business dinners.44

Marketing plan ‘Artisanal raw milk cheese - Norway’Chapter 4 Potential target groupAfter the analysis of the country you export to, and the market you will be in, it is important to considerto who do you want to export? This could be consumers, but of course also first businesses that sell itto consumers.4.1 Target group and motivation for buying Dutch raw milk cheeseIn this chapter the potential target group will be described. Also the motives, why this group should bewilling to buy raw milk cheese, are given.The Norwegian target group in general for raw milk cheese includes men and women from the age of35 – with no age limit.A higher age is needed, because as said before, the cheese will be positioned as a luxurious productabove the ‘mid segment’. Artisanal made raw milk cheese is seen as a delicacy. Social class isimportant for the same reason. The fact that this cheese is positioned as a luxurious product providesa social class element. People will eat this cheese, for one of the reasons, to have a certain feeling ofstatus. They will eat the raw milk cheese with friends after dinner, at dinner or in a restaurant. Thefeeling of being able to buy the cheese and status is then important. Therefore a higher age is needed.An age of mid-old to old people is important. People that are going to restaurants and having dinnerwith friends, with a glass of wine and cheese, are older people. The younger generation will not careabout this cheese in a certain way of status.Important to know about the Norwegian target group is the fact that they are living in the middle andthe south of Norway. Especially in the south live most people – in the north are not many peoplesettled down and is the lowest population density.Now some facts about the Norwegian target group. Level of education does not really matter. Anormal worker or a farmer could eat this cheese just as a manager or a professor. There is no reallyconnection between the reason to buy raw milk cheese and the education level. However, people witha higher social class often have a higher education level.Family life is not important either. It does not significant if a person is married, has two children or isliving in a single household.Social background and working situation are central factors of the target group and they areconnected with each other. So the members of the target group should be wealthy. That means for thework situation that there should be a high income. Part of the target group is also retired people whohad a high income.Some characteristics and values of the target group in general are a high level of living Members ofthe target group also like strong tastes, exclusive food and they all prefer a healthy life. Food andtastes are important factors in their lives and their way to eat and cook. They have a strict conceptionof their way of living, eating, staying healthy and exclusive food. Sustainability is approved.Important factors for buying raw milk cheese are the special taste of this product and that it is made byfarmers and not by machinery. The members of the target group do really like cheese and see rawmilk cheese as a kind of status symbol. By buying Dutch raw milk cheese, they can show theirsurroundings that they have a special and exclusive way of living and eating. Also that taste of aproduct and the way of production is more important than the price.45

Marketing plan ‘Artisanal raw milk cheese - Norway’The members of the target group know a lot about food in general, cooking and a healthyway of living. They got their knowledge with the help of the Internet, food channels, blogs andmagazines. For example they use the Internet to find new healthy recipes, tips and information aboutproducts and productions. They are aware of the differences between industrial and handmadeproductions.Figure 4.1 ‘people after dinner’Source Google Pictures46

Marketing plan ‘Artisanal raw milk cheese - Norway’4.2 PersonasAlso this chapter is about the target group. In this chapter concrete personas are developed to definea concrete definition of the previous chapter.The first persona is Grethe Nestor. She is 68 years old and livesin Sandvika near Oslo. She is a pensioner since six years and hadworked before as a secretary at the company Fred Olsen Energy,one of the biggest companies in Norway.She is married since 43 years and lives with her husband Harkonin their own house. Grethe and Harkon has 2 children and 5grandchildren. They are all living in Oslo and visit Grethe andHarkon every Sunday.Since Grethe is a pensioner she discovered her passionate aboutcooking. By doing this, she looks carefully for the products sheuses. She loves cooking with fresh ingredients and is strictlyagainst machinery food production. Sustainability and fair tradeare important facts for her by buying things.Also important for her are a healthy way of living, cooking andeating and exclusive food. She is really interested in cooking indifferent ways and she always tries new things and improves hercooking and recipes.Figure 4.2 ‘Grethe Nestor’Source Google PicturesGrethe loves watching food channels and reading magazines about cooking. She trusts this mediaand tries to cook like shown there. They are an inspiration for her.Grethe really likes cheese and always tries new ones. She likes cheeses with a strong taste and reada few years ago for the first time about raw milk cheese. All Grethe knows about raw milk cheese, sheknows from food channels, books and magazines. Grethe thinks that raw milk cheese is the best andhealthiest cheese she could eat, but she does not want eat it every day, cause it should stay anexclusive good for her and her husband.47

Marketing plan ‘Artisanal raw milk cheese - Norway’The second persona is Jens Bjørneboe. He is 35 years old and lives in Stavanger. He is amanager of a media company and lives in a single household.Because Jens likes doing sports and building-up his muscles, a healthy and well-balanced way to eatand live is really important for him.Fresh vegetables and proteins are a must have while he is cooking. Cooking is not really a passion forJens, but how he does it, is necessary and important for him: He wants to look good and healthy andso his way to eat, which also includes some diets, is really important for him.All recipes and knowledge about a well-balanced way to eat Jens has, he found in the Internet. Hedoes not really use other media, because he wants to find the right information as soon as possibleand as cheap as possible. In the Internet Jens looks on blogs, in forums or on homepages about food.There he can find tips for a healthy way of living and eating and which food is the best for build-up hismuscles.A few weeks ago Jens tried a cheese diet he found online on a sports blog. It was only allowed to eatfresh and non-machinery produced cheese. He found out that he could eat raw milk cheese whiledoing this diet. Jens searched for information in the internet and found for example a definition whatraw milk cheese is, some facts about the fat content, where to buy this cheese and the prices. So thatwas the first time Jens got in contact with raw milk cheese. Raw milk cheese is said to be healthier,because of no added ingredients as in machinery cheese. Also the fats are ‘healthy’ fats, and good forhis body.Jens does not really buy this cheese because of its special taste, but he knows that this cheese isgood for his body and health and he thinks that something with this high price cannot be bad.Figure 4.3 ‘Jens Bjørneboe’Source Google Pictures48

Marketing plan ‘Artisanal raw milk cheese - Norway’Conclusion and recommendationsIn Norway most people are aged between 30 and 40 years. People are living in good circumstances,and the life expectancy is therefore high (HDI index). Most Norwegian people are living in the citiesthat are in the southern coast regions. However, the population density is the lowest in Europe.Further, it can be concluded that the Norwegian economy is very stable and very wealthy. Norwegianpeople do have a higher income (based on GDP), compared to the Dutch people. Norway also tradesalready a lot with the Netherlands and they are both part of the WTO, which approves trade.Therefore, the exchange rate is very stable. The Netherlands are also part of the EU, but Norway isnot. However, for this state there are no important export barriers for the Netherlands, concerningcheese. Norway has a very open economy (joins the AFTA), however Norway tries to stimulate theagriculture in the home country. The Norwegian protection tariffs on agriculture are about 40% taxextra on the import price, and there are documental barriers. It is important to know that Norwegiansare also unlikely to change their agricultural policy, because it’s seen as a stimulation of ruralsettlement, cultural heritage and public health. Moreover, a present butter shortage is going on in thecountry, so the prices for butter are very high. This could be an advantage for the Dutch export.Another important fact to know is that Norwegian people prefer sustainability and nature. This has alsoan influence on the sight of food. Food should be fresh, according to Norwegian people. The romanticsight of sheep/goats and farmers is preferred above mass production. Because sustainability isimportant new technologies for cheese production are developed to reduce water and powerconsumption. These technologies are the newest innovative advanced technologies of Europe.To communicate with Norwegian people, the best ways are throughtelevision/radio/magazines/newspapers and mostly through the internet and social media. There arealso cooking magazines and television programs.Norwegian people eat cheese as a dessert cheese, table cheese and also for breakfast/lunch. Cheesecan be used in slices on bread, but also as desert in small pieces. Dessert cheese is for after dinner,to drink with a glass of wine. However, table cheese can be eaten at mornings, afternoons or eveningsas a ‘snack’.Norwegian people concern about different components, if it is about food. Norwegian people care a lotabout quality and care less about high prices. High prices are seen as a secure for good quality.Labels and other signs of good quality are therefore recommended. Other important factors are theorigin of the product and that it is fair-trade. Healthy components/ingredients are also very important.The culture does not really differ from the Dutch culture, as appeared out of the Hofstede model. It isimportant to be in time and to be direct, because business is business. Moreover Norway is thesecond most feminine country in the world. People meet at the offices and headquarters, but alsogoing out dinner,Norwegian people tend to like the Dutch products, because the products are seen as a sign for quality.Holland is characterized for cheese making, and also being world champion approves this fact.Norwegian people also think that Dutch people are open and friendly.Possible distribution channels are supermarkets, cheese shops, delicacy shops, restaurants, and webshops.The competitors in Norway are several large scale producers in Norway. TINE is kind of a monopolist.There are also small scale producers of cheese. All of the producers are competitors. However, allkinds of cheese are substitutes.49

Marketing plan ‘Artisanal raw milk cheese - Norway’To conclude all, the target group includes men and women from the age of 35 – with no agelimit. A higher age is needed, because as said before, the cheese will be positioned as a luxuriousproduct above the ‘mid segment’. Artisanal made raw milk cheese is seen as a delicacy.The fact that this cheese is positioned as a luxurious product provides a social class element. Peoplewill eat this cheese, for one of the reasons, to have a certain feeling of status. They will eat the rawmilk cheese with friends after dinner, at dinner or in a restaurant. The feeling of being able to buy thecheese and status is then important.People that are going to restaurants and having dinner with friends, with a glass of wine and cheese,are elderly people. The younger generation will not care about this cheese in a certain way of status.Level of education does not really matter. A normal worker or a farmer could eat this cheese just as amanager or a professor. There is not really a connection between the reason to buy raw milk cheeseand the education level.Family life is not important either. It does not significant if a person is married, has two children or isliving in a single household. Social background and working situation are central factors of the targetgroup and they are connected with each other. That means for the work situation that there should bea high income to be able to buy these special cheeses.Part of the target group is also retired people who had a high income. Some characteristics and valuesof the target group in general are a high level of living. Members of the target group also like strongtastes, exclusive food and they all prefer a healthy life. Important factors for buying raw milk cheeseare the special taste of this product and that it is made by farmers and not by machinery.50

Marketing plan ‘Artisanal raw milk cheese - Norway’Appendix 1: ‘Project Group Management’1. BackgroundThis report is written for Slow Food, a nongovernmental organization. Slow Food is an internationalmovement concerning fresh and authentically made food. This is important because fresh localproducts, made on the authentic way, are good for you in any way! Slow Food provides all kind ofproducts, including raw milk cheese made by Dutch farmers in an artisanal way.In this case the report is about artisanal raw milk cheese. There are about 400 small scale artisanalcheese producers in Holland. The artisanal raw milk cheese is segmented above the factory cheeseand the branded cheese. This means that Slow Food wants to focus on the upper segment.‘Good, clean and fair food!’ – Slow foodThis report is important for Slow Food. Why? Because Slow Food wants to expand their products todifferent countries; including Norway. Therefore a research report will be written, about the Norwegianmarket. This, in order to advice Slow Food, about how they can successfully support raw milk cheesein marketing their products internationally.2. Definition of the problemThe main question is:How can Slow Food successfully support Dutch producers of raw milk cheese in marketing theirproducts internationally?With taking into account how the Slow Food philosophy of good, clean and fair food and concepts likepresidia, Ark of taste and food communities can be used as marketing tools to support the Dutchproducers of raw milk cheese.Project objectivesThe main objectives are divided into 4 parts:Part A: Macro - analysisPart B: Meso – analysisPart C: Individual motivation to buy cheeseFirstly, it is important for Slow Food to know how the environment of Norway looks like, in terms ofdemographic, economic, social, political and technological factors. Further, it is important to knowabout the business (cheese market) Slow Food is in. This can be found out by using the Porter fiveforces model: suppliers, buyers, substitutes, competitors and rivalry. Finally, it is important to specifythe target group that Slow Food wants to achieve.3. Project resultsThe concrete outcome of this report is a developed international marketing strategy for Slow Food inNorway; and the answer to the question: How can Slow Food successfully support Dutch raw milkcheese internationally, especially in Norway?51

Marketing plan ‘Artisanal raw milk cheese - Norway’We investigate how Slow Food and its philosophy of goods can be used as marketing tools for sellingDutch artisanal raw milk cheese in Norway.Our group would deliver a detailed marketing strategy for Norway and its citizens. This research reportcontains four parts.The first part is about the macro-facts of Norway. Questions will be answered, such as: What areimportant regulations for raw milk cheese? How, where, when and why do the Norwegian people eatcheese?The second part broaches the issue of meso-facts of the cheese branch in Norway. Some importantquestions of this part are for example: Who are the competitors in Norway for Slow Food and itsspecial raw milk cheese? Furthermore, another question will deal with the available distributionchannels for raw milk cheese in Norway.The third part includes a developed personage. So we create a typical Norwegian person of our targetgroup.The final part includes a conclusion and recommendations.4. Project activities, planning and deadlinesThe project will take 7 weeks. In this week, week one, we had a short briefing, worked for the first timetogether in our group and worked out the project contract.In week 2, 8 th February, we will have some feedback for our project contract and create a blog and theappending blog name. Furthermore, we will start with the research for our country. After that we willwork together on 15 th and 22 th February and on 7 th March. On 14 th March we have our last meetingbefore Deadline on 16 th March and so the final research will be finished. We will present our marketresearch findings the week after.The first and the second part of the research will be finished on 15 th February. The third and the fourthpart will be completed on 7 th March and our group will put the parts together. The coming week will beused for reading and correcting the text and also for preparing the presentation.If it is necessary we will meet in our free time to get the project finished in time.5. Project boundariesFirst week:- Briefing at Windesheim , the division in group, and the assignment of the countrySecond week:- draw up the project contract / hand in project contractThe second till the sixth:Macro- Relevant macro-economic factors relevant to (raw milk) cheese in this country- Raw milk cheese import regulations- Overview of the current main cheese / food production consumption related issues in yourcountry- Attitude towards- Find out cultural differences which could be relevant for the way to best promote raw milkcheese- What is the emotional image of Holland with respect to cheese with the target groups52

Marketing plan ‘Artisanal raw milk cheese - Norway’- How is the NGO Slow Food perceived in your countryMeso- Current export barriers with Dutch raw milk cheese farmers- What are the consumer market segments for raw milk cheese- Who are competitors- What distribution channels for raw milk cheese are available- What are the motivations for cheese shops to sell Dutch Raw Milk cheese- Consumers attitudes towards raw milk cheese, buying, shopping , cooking, eating- What are the main publications relevant to the consumer or distribution channels- Are there any societal participants: media, platforms, networks, partnerships relevant to rawmilk cheese- Where and how do the participants meet each other: events, online networks, social mediaIndividual motivation for buying raw milk cheese- Choose one promising potential consumer target group for Dutch raw milk cheese , describemotivations for buying- Develop a persona based on researchFinal part- Conclusion And recommendationSeventh week:- Presentation of the report research findingsThe project includes only one country: Norway.6. QualityWe as group want to achieve at least an 7,2 so the quality has to be at a high level, we use all theskills and care, cooperation of members and hard work of every group member to achieve this result.In order to improve quality: all group members will use the same font and font size, for acorresponding layout. Furthermore different kinds of media will be used, such as internet, books etc.Using different kinds of media will increase quality because of an increased reliability.7. Project organisationThe project is organized throughout 7 weeks. Every member of the group has the same responsibilityconcerning to the final task. The work will be equally shared between the 5 members of the groupaccording to their expertise.The central contact person is Sharon Welgraven. She shall manage the research and coordinate.Main contact information of the group:53

Marketing plan ‘Artisanal raw milk cheese - Norway’Name Country Telephone number SpecialitiesMarcel Koelewijn Netherlands 06 50 99 54 00 DirectorSharon Welgraven Netherlands 06 46 30 58 02 Research and AnalysesSabrina Lütkebohle Germany 06 15 64 87 07 Research and AnalysesAntonio Greco Italy Research and AnalysesCamille Quenardelle-Bardout France Redaction8. Project costs and revenues:Wk Wk 1 Wk 2 Wk 3 Wk 4 WK 5 Wk 6 Wk 7Date 01/02/12 08/02/12 15/02/12 22/02/12 29/02/12 01/08/12 08/03/12Hours 09H30 09H30 09H30 09H30 09H30 09H30 09H30MarketingResearchRealisationHoursestimatedCoast /Hours (=25 euros)PrintingcostProjectContract+ Blogname2 hours/studentMacroresearchRedactionof report2 hours /studentMacroresearchfinalRedactionof report3 hours /studentMESOanalyses+Redactionof report3 hours/studentPotentialconsumerRedactionof report+Powerpoint3 hours/studentConclusion andrecommendations+Last checkRedaction ofreport +Power point2 hours/ studentDEADLINE16MARCH250 250 375 375 375 250 -- - - - - 25 -The total costs of this market research are 1625 euros.9. Risk Analysis:There are different risks, in order to make a research plan.Those are:‣ Not doing tasks: everyone is expected to do his/her tasks. When a person can’t finish his/hertasks with having good reasons, this will be discussed by the group. The group tries to find aneffective solution to prevent this problem in the future.‣ Absence: when one or more people are absent, this will be discussed by the group. It dependson having good reasons or not to be absent. If you are absent three times in a row, withoutgood reasons, you will be no longer part of the group. Furthermore it is important to contactthe group, if you are absent, at all times.54

Marketing plan ‘Artisanal raw milk cheese - Norway’‣ Deadlines: when you have a deadline, you’ll have to hand in your work in time. Ifyou don’t hand in in time twice you’ll get an official warning and the third time you will be nolonger a group member.‣ Division of tasks: the tasks will be divided by presence of the entire group. This will happen bymeans of interests and capacity. When several people are relevant for the same task, areargumentation and motivation the solution. Once a week, a plan has to be made. In this planthe tasks will be divided and deadlines will be made.‣ Conflicts: when there are conflicts within the group, it would be necessary to find an internalsolution. If this is impossible, contact with the tutor will take place. At all times equality isimportant. That concludes for example that tasks will be divided equally.‣ Criticism: in a kind way is permitted.‣ Difference in quality: to avoid difference of quality, a font and font size will be determined for acorresponding layout. Moreover, it is obligatory to use different kinds of media: internet, booksetc. In this matter, the quality will increase, because of an increased reliability.10. Code of conduct:As part of the group, you have to follow and obey the understanding rules in all times.‣ Hand in work in time, before determined deadlines.‣ Be present at meeting moments (only exceptions if you’ll have a good reason).‣ Be in time at meetings, time is time. If you’re delayed, call a group member.‣ Make sure you do your task; division of tasks will be at the beginning of every week.55

Marketing plan ‘Artisanal raw milk cheese - Norway’SignaturesAntonio Greco_________________Sabrina Lütkebohle_________________Marcel Koelewijn_________________Camille Quenardelle_________________Sharon Welgraven_________________56

Marketing plan ‘Artisanal raw milk cheese - Norway’Appendix 2: ‘Literature list’Internet sources‣ http://www.cheese.com/countrystep2.asp?Country=Norway‣ https://www.cia.gov/library/publications/the-world-factbook/geos/no.html‣ http://noorwegen.placement.nl/default.aspx?menu=106&id=187‣ http://www.x-rates.com/d/EUR/table.html‣ http://trade.ec.europa.eu/doclib/docs/2006/september/tradoc_113429.pdf‣ http://www.ssb.no/english/subjects/00/minifakta_en/ty/‣ http://www.welt-auf-einen-blick.de/handel/importgueter.phphttp://www.igbp.net/download/18.20d892f132f30b443080002610/HDI‣ HSDI_ranks.pdf‣ http://norway.nlembassy.org/services/trade-information/doing-business-in-norway/sectorreport-energy‣ http://www.indexmundi.com/trade/imports/?country=no‣ http://www.chron.com/CDA/archives/archive.mpl/1986_233533/jarlsberg-is-norway-s-leadingexport-cheese.html‣ www.ssb.no‣ http://www.newmediatrendwatch.com/markets-by-country/10-europe/77-norway‣ http://www.allembassies.com/norway.html‣ http://www.nuffic.nl/nederlandse-studenten/landen/landen-lz/noorwegen/studie/onderwijssysteem‣ http://www.agentschapnl.nl/onderwerp/noorwegen-economie‣ http://unstats.un.org/unsd/demographic/products/dyb/DYB2004/Table03.pdf‣ http://www.iselinge.nl/Scholenplein/pabolessen/03042BScandinavie/noorwegen.htm‣ http://www.noorwegen.nl/Travel/Seizoenen-en-klimaat-in-Noorwegen/‣ http://www.foodprocessingtechnology.com/contractors/thermal_processing/gerstenberg/press17.html‣ http://www.indexmundi.com/norway/urbanization.html‣ http://www.jarlsberg.com/about-tine‣ http://www.jarlsberg.com/about-tine/Annual+Reports‣ http://www.konkurransetilsynet.no/PageFiles/76009/2011/regulated%20conduct%20defence.pdf‣ http://www.synnove.no/english/12/0/‣ http://www.newscancook.com/brands/norwegian/synnove-finden-new-time-for-oldtraditions/?print‣ http://www.arla.no/‣ http://www.heidal-ysteri.no/‣ http://www.himmelspannet.no/‣ http://www.rorosmeieriet.no/‣ http://www.synnove.no/‣ http://www.tine.no/‣ http://coop.no/‣ http://www.ica.no/FrontServlet‣ http://spar.no/‣ http://www.kiwi.no/‣ http://www.rimi.no/‣ http://www.rema.no/‣ http://diemperdidi.info/nordicnotes/vol06/articles/johnson2.html57

Marketing plan ‘Artisanal raw milk cheese - Norway’‣ http://www.nationsencyclopedia.com/economies/Europe/Norway-POLITICS-GOVERNMENT-AND-TAXATION.html‣ http://www.toll.no/templates_TAD/Tolltariffen/TvinnProduct.aspx?id=61903&varenummer=04064008&epslanguage=en‣ http://www.investopedia.com/articles/economics/08/tariff-trade-barrierbasics.asp#axzz1n97Be3Gq‣ http://www.cid.harvard.edu/cidtrade/gov/norwaygov.html‣ http://www.naturalnews.com/034428_buttery_Norway_food_shortage.html‣ www.visitnorway.com‣ www.matfestivalen.noBooks“Negotiating International Business - The Negotiator’s Reference Guide to 50 Countries around theWorld” by Lothar KatzURL Bloghttp://19ibs12cnorway1112.blogspot.com/58