1

MASENO UNIVERSITY
SCHOOL OF BUSINESS AND ECONOMICS

BMM 102: MARKETING ENVIRONMENT

GROUP 3: Macro Factors and Their Impact on Marketing

Strategies

Group members

…………………………………………………………………………………………ADM……………………………………………

…………………………………………………………………………………………ADM……………………………………………..

…………………………………………………………………………………………ADM…………………………………………….
 2

Macro Factors and Their Impact on Marketing Strategies

1. Demographic Factors:
 Population Trends: KBL needs to consider Kenya’s population growth, age
distribution, and urbanization rates. For instance, targeting the growing
middle-class segment with premium products might be a strategic move.
 Cultural Preferences: Understanding cultural norms, values, and
preferences helps KBL tailor its marketing messages and product offerings.
For example, promoting traditional brews during cultural festivals.
2. Economic Factors:
 Income Levels: KBL’s pricing strategy should align with income levels. Offering affordable
options for lower-income consumers and premium products for higher-income
segments.
 Inflation and Currency Fluctuations: These impact production costs and pricing. KBL
must adapt to economic changes while maintaining profitability.
 Consumer Spending Patterns: Economic downturns may lead to reduced spending on
luxury items like alcohol. KBL can adjust marketing efforts accordingly.
3. Technological Factors:
 Digital Transformation: KBL can leverage digital platforms for marketing, e-commerce,
and customer engagement. Social media campaigns, online ordering, and personalized
content are essential.
 Supply Chain Efficiency: Technology streamlines production, distribution, and inventory
management. KBL’s marketing strategies should align with efficient supply chains.
 3

4. Social Factors:
 Health and Wellness Trends: Consumers are increasingly health-conscious. KBL can
promote low-alcohol or non-alcoholic options to cater to this trend.
 Social Responsibility: KBL’s marketing should emphasize responsible drinking and
community well-being.
 Changing Lifestyles: Urbanization and busy lifestyles impact consumption patterns. KBL
can adapt by offering convenient packaging or delivery services.
5. Political and Legal Factors:
 Regulations: Compliance with alcohol-related laws and regulations is crucial. KBL must
navigate licensing, advertising restrictions, and labeling requirements.
 Taxation: Tax policies affect pricing. KBL’s marketing strategies should account for tax
implications.
 Government Stability: Political stability ensures a conducive business environment for
KBL’s marketing efforts.
6. Environmental Factors:
 Sustainability: KBL can incorporate eco-friendly practices into its marketing. Highlighting
sustainable sourcing, recycling initiatives, and water conservation efforts.
 Climate Change: Extreme weather events impact production and distribution. KBL’s
strategies should address climate resilience.