2. 0 Promotion Opportunity Analysis In this phase we are going to introduce the opportunity analysis that is in fact the foundation of the rest of the campaign development. It is really important to analyze the key target markets which apply in the following: •Demographics -> from the facts given from Nestle company we can figure that demographics form as following: we make a separation among 60% of households & 40% of singles. •Income -> we refer to people with average monthly salary between 500,00 to 700,00 €. Social Class -> Almost all social classes are included regarding the fact that our product has an approachable price. •Phychographic Variables -> the main variable of this part that we can refer on is the fact that in the case of families, Clusters ™ consist a first need consuming product, so it is bought rather unsolicited. On the other hand, singles that also consist a part of our target market, are a group that become repeating buyers in the case that are really satisfied by the product . . 1 Communication Analysis In this part we are going to identify and analyze the marketing environment as well as the communications that takes place into this. This will come up through PEST and SWOT Analysis. According the usage of the above tools we have the following: PEST ANALYSIS POLITICALENVIRONMENTAL economic recession in our cases pushes competitive price among other similar products positive because of the competitive price SOCIALTECHNOLOGICAL
Trends & modern social models enhance new technologies allow mass communication breakfast establisment as a more healthy to potential & existing customers way of life From the PEST Analysis we can figure that political, social and environmental factors are positive to our product’s relaunch, and the environment is positive to accept new data for Clusters ™. SWOT ANALYSIS StrengthsWeaknesses * established product* Big competitor with quite similar product * consumers trust the big brand (Nestle)also established
OpportunitiesThreats * new edition with bigger amount of nuts* New imported brands * nutritional studies that show how important breakfast is *more & more people take care of their nutrition Furthermore analysis, of opportunities, strengths, weaknesses and threats shows that we may have to face an established competitor but changes such as our new edition or the general trade that promotes a way of life that includes good nutrition and exercise, enhance our attempt to rise our market share.
Media vehicles that are going to be used in order to promote will be the following: •TV ( including commercials played among programs that refer to nutrition and healthier way of life) •Magazines (such as “Forma” & “ Shape” that also refer to nutritional and digestion matters will include inserts and full-page advertisements) 2. 1. 1 Competitive Analysis Competitive analysis features elements that characterize our product in the market and differentiates it among its main competitors.
In parallel, marketing techniques that are going to be used in order to promote it to potential customers, are also going to be referred in this part. Data that was given from the company, and that also occurred from the market survey that took place showed the following: Our marketing strategy summarizes the following really important benefits. GDA (Guideline Daily Amounts) as well as the nutritional values that our cereals have, are approved by organizations that control such matters.
Additionaly, Clusters ™ have the essential intake of calories for the specific ingredients. This concludes to the trend that each serving of our cereals helps to the adoption of a healthier dietary, that is something more than a trend in nowadays. Vitamins and mineralsPer 100g % RDA*Per serving % RDA* Vitamin C 51 mg 85%17. 5 mg 25% Thiamin (B1)1. 2 mg85%0. 4 mg25% Riboflavin (B2)1. 4 mg85%0. 6 mg35% Niacin15. 3 mg85%4. 7 mg25% Vitamin B61. 7 mg85%0. 5 mg25% Folic acid (folacin)170 ug85%51. 0 ug25% Vitamin B120. 85 ug85%0. 75 ug75%
Pantothenic acid5. 1 mg85%1. 9 mg30% Iron11. 9 mg85%3. 6 mg25% Calcium267 mg 30%230 mg 25% *Recommended Daily Allowance (RDA) according to the EC Nutrition Labelling Directive 90/496/EEC. ** Not mandatory to list this. A 30 gram serving of Nestle Clusters provides 25% of the RDA of eight vitamins and iron. Furthermore, the package weights 500 gr, and costs 3,00 €, while similar competitive products, in packages of 375 gr, cost more than 3,50 €. This makes our product be value for money, especially in the case of households with income up to 700,00 €.
Finally, Kellogg’s cereals, appear to be our main competitor having the bigger part of the market share, may be an established product, but has remain out of publicity for a long time . This is in fact a change for Cluster’s™, regarding the fact that consumers are always affected by the expose of a product in the advertising panel. Segments in which we are going to address to, are those who are not well reached by the competitors in first line advertisement.
Continuing we will try to import new groups of people that will be potential consumers. Another really important point, that was reported briefly above, is the gap between our product’s price, and the price of the competitive products. This is a major issue, mainly for households that consume cereals, because every housewife has to manage the monthly expenses, cross-checking prices among similar products. While on the other hand, singles, buy more easily products that simply enjoy.
In the following chart we can see a comparison among main product’s and other factors characteristics, that conclude to the way that we should act in the market in order to achieve finally bigger market share: Product NestleKellogg’s Quality55 Selection55 Price53 Added Value Factors NestleKellogg’s Experience55 Expertise55 Reputation55 Image45 Stability54 (1) *Grading : 1 worst – 5 excellent* (1)Results occurred from market syrvey & general outline of 2 companies
According to the table given above, that came up after actual elements that companies gather, and from a marketing survey that took place, we can see that Nestle with Clusters™ , have the competitive advantage of the lower price, while in parallel lacks of image establishment in comparison with Kellogg’s. This means that we will have to raise product’s awareness through promotional activities and brand awareness to the potential customers. 2. 1. Opportunity Analysis In the particular part, we are going to assess the attractive factors that represent the reason of our activities , and analyze the opportunities that exist in our market and in our business environment. Attractive Factors / Ability to offer greater value These are consisted from elements such as the lower price, the bigger package that is in fact more quantity, ending up for once more to the fact that the product is value for money.
Additionally, this is also included to the high quality of the product, and in this way summarizes the three more competitive for the consumer’s perception elements. Market Growth & Lifestyle changes Taking under consideration the trend referred above, that encourages a model of life that includes balanced dietary and exercise, market growth is constantly increasing, having as a result, space for more than one products. We may point a market leader, but competition allows more than one products to have a satisfiying market share. . 1. 3 Target Market Analysis We have already referred to trends, that are nothing more than a kind of forecast of the size of the market and the future spending as well. It is important in this point to refer to the market segments. In our case we are going to address to two main segments that are consisted of family households, and from singles. According to institutes that deal with dietary factors, the following chart shows some common accepted measures that characterize ingredients of a food as high, medium or low.
This will be used as a tool in order to inform consumers about our the ingredients that should daily receive through nutrition , and let them compare this with the clusters™ formula. (1) (2) (1) Chart that explains when ingredients of a food are high, medium or low. (2) Clusters™ ingredients in calories, sugar, fat, saturates and salt. With this way we help consumers realize that what will be stated through the advertising campaign is something proved , and in fact is the minimum they can do in order to preserve their health and physical condition. . 1. 4 Customer Analysis In this part we are going to examine a chart which includes all characteristics given from the company regarding customers. As we can see from the chart follows, we have two main categories of decision makers – buyers which split in 2 subcategories: Housewifes that are the decision makers of households, and singles that are the decision makers of their shopping basket. BYERAGEINCOME% IN THE MARKET (decision maker) HOUSEWIFES30-65500,00 – 1200,0060% SINGLES20-30500,00 – 700,0040% 2. 2. Market Segmentation Strategy Singles Need for good breakfast •Need for retain themselves beautiful / handsome -> stay attractive •Trend of healthier way of life Families (adults & children) •Need for homemade & safe nutrition •Need for a product that all family can consume •Value for money Positioning of product in consumer’s mind 1)For people who work out or have adopted a healthier way pf life trends play a very important role to the above. Regarding the fact that in nowadays the state of being and/or appearing healthy and beautiful is very important in each sector of our everyday life. )A product, clearly grouped in the category of basic need products. Nutrition will never stop be the major issue of every household, whether is consisted of entire family or from a person only. 3)Nutritional characteristics 4)The most important competitor in the particular market is Kellogg’s. 5)Although the bigger competitor has biggest market share, element that differentiates the entire frame of the situation, in fact our product gathers more quality characteristics regarding ingredients and package quality as well. )Speaking for nutritional products, can in many cases hve no obvious customer benefits, except the difference that took place on behalf of our company and introduce another chapter among food comparison. Clinical study showed that our product prevents gaining weight, while offers all nutritional elements can someone gains when eating whole grain flakes with variety of nuts.