In: Operations Management
INSTRUCTIONS: READ THE FOLLOWING SITUATION AND ANSWER THE QUESTIONS ARISING FOR THE CASE ANALYSIS.
“STONYFIELD FARM GOES TO THE BLOGS”
The Stonyfield Farm story is a kind of legend. In 1983, friends and social activists Gary Hirschberg and Samuel Kaymen started with a good yogurt recipe, seven cows, and a dream. They established an organic yogurt company in Wilton, New Hampshire, to take advantage of baby boomers' growing concerns about natural foods and health, and to revitalize the dairy industry in New England. Stonyfield Farms has grown to become the third largest organic company in the world, with annual sales of more than $ 50 million in 50 states. It produces more than 18 million glasses of yogurt each month.
Stonyfield Farrn's spectacular growth is attributable in part to its ability to offer a product to a special niche market - people who value healthy food and want to protect the environment. These values have become part of the "personality" of the company. Stonyfleld promises to use only natural ingredients and milk that has not been produced with antibiotics, synthetic growth hormones, or pesticides or toxic fertilizers. The company donates 10 percent of its profits each year to projects that help protect or restore the planet.
As the company expanded, management feared that it might lose touch with its loyal and committed customer base. Advertising based on traditional media was expensive and did not really help the company to "connect" with the kind of people it was trying to reach. This company prefers word-of-mouth techniques that deliver its message to customers in ways more compatible with its popular, organic, and activist-friendly image.
Stonyfield has multiple active email newsletters with more than 500,000 subscribers, and typically posts messages promoting causes that he supports on the tops of his yogurt glasses. Now she's turning to blogging to further personalize her customer relationships and reach even more people. Inspired by Howard Dean's presidential campaign and Dean's blogger tutorials, CEO Hirschberg became convinced that Stonyfield could use blogging to create a more personal relationship with consumers, different from the traditional sales relationship. "Blogs give us what we call a handshake with consumers" and "a little more access to us
Stonyfield now publishes two separate blogs on his website — Baby Babble and Bovine Bugle. At one time Stonyfield was running five blogs, but decided to withdraw three of them because they weren't attracting enough readers. Baby Babble provides a forum for Stonyfield employees and other parents of young children to meet and discuss child development and balance work with the family. Stonyfield created that blog because baby yogurts are one of its most popular product lines, and parenting blogs seem to appeal to a large number of readers. The Bovine Bugle provides reports about Jonathan's Organic Dairy Farm. Gates in Franklin, Vermont, a member of the organic cooperative that supplies milk for Stonyfield products.
This blog sparks a large number of nostalgic comments from readers who remember their childhood on a farm. As organic food grows in importance, these blogs help the company showcase the aspects that make it different from other brands and invite customers to help them in this endeavor. Stonyfield continually posts new content to each of the blogs. Readers can subscribe to any of them and automatically receive updates when available. And of course they can reply to these posts.
The benefits of blogging for Stonyfield have not yet been quantified so far, but management is confident there are real benefits. Blogs have created a positive response for the Stonyfield brand by providing readers with something that inspires them or sparks their interest -If blogs give new information to readers, inspire them to protect the environment or ask them for opinions, the administration believes that They will remember the brand when they are in front of the yogurt shelves in the supermarket or grocery store and that they will take a Stonyfleld product instead of a competitor when it is time to choose. Stonyfield has a fairly large website. Blogs offer a way to highlight some of the content on the Web that would otherwise be lost. This, too, helps drive some blog readers to buy Stonyfield products.
III. Is the strategy of using "blog" one that provides a competitive advantage to the company? Explain your answer. What are the advantages and disadvantages of using blogs for a company like this?
Yes of course the blogging strategy provides a competitive advantage to the company, it is clear through the below paragraph.
This web log
sparks several unhappy comments from readers WHO keep in mind their
childhood on a farm. As organic food grows in importance, these
blogs facilitate the corporate showcase the aspects that create it
completely different from different brands and invite customers to
assist them during this endeavor. Stonyfield regularly posts new
content to every of the blogs. Readers will buy any of them and
mechanically receive updates once on the market. And in fact, they
will reply to those posts.
the
advantages of blogging for Stonyfield haven't however been
quantified thus far, however management is assured their area unit
real advantages. Blogs have created a positive response for the
Stonyfield complete by providing readers with one thing that
conjures up them or sparks their interest -If blogs offer new data
to readers, inspire them to guard the atmosphere or raise them for
opinions, the administration believes that they're going to keep in
mind the complete after they area unit before of the yoghourt
shelves within the food market or food market which they're going
to take a Stonyfleld product rather than a challenger once it's
time to settle on. Stonyfield features a giant web site. Blogs
provide the way to focus on several the content on the
online that might preferably be lost. This, too, helps drive some
web log readers to shop for Stonyfield merchandise.
Advantages
1-SEO –
Having sensible content on-line may be a should so as to be found
on-line. produce sensible quality content that individuals have an
interest in sharing and Google is certain to note.
2-Increases
new business – a continuing stream of visits to your web log also
will increase the potential to draw in interest from
prospects.
3-Great for
feedback – It permits and encourages constant engagement with
readers. whether or not they agree or disagree, you'll understand
it forthwith by their comments.
4-Gain
influence – If your material is nice, you'll attract repeat guests
and can gain their trust and respect.
5-Learn a
lot of concerning your followers - one in all the items businesses
pay a great deal of cash on is in learning what their shoppers need
from them or what they like/dislike concerning their merchandise.
Blogging is a straightforward and effective thanks to acquire this
info.
6-Establish
yourself as associate degree professional in your field – This
won’t happen nightlong however over time, as you post a lot of
blogs and share your real data with the community, your readers can
begin to envision you as associate degree
professional.
7-Help
others – an honest web log will educate, inspire and facilitate
readers in ways in which the blogger might ne'er
recognize.
Disadvantages
1-Poor
content – Poorly written content will replicate badly on your
whole. place some thought into what you web log concerning and
guarantee your work has been altered and reviewed.
2-Inconsistent posts –
If you opt to web log, confirm you are doing it systematically.
Imagine however it might look to folks visiting your website and
your web log is over a year recent. associate degree recent web log
is worse than no blog!!
3-It takes
time – affirmative, you would like to relinquish some thought and
arrange out what you're reaching to web log concerning. the great
news the' is that a lot of you are doing it, the better it'll
become. begin writing!
4-Risk
having nobody see your content – What? though sensible quality
content is vital; you would like to drive traffic to your
website thus folks recognize there's a web log to browse. If you’re
active on social media you will share it there however once more,
you’re restricted by what number followers you've got. Here’s some
nice news! there's a brand-new conception in on-line selling
that involves operating with different businesses in order that
everybody leverages all their social media connections so as to
succeed in a broader audience.
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