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Chimrolls - Hungarian Pastry

My prezi for Bridge Budapest Fellowship - Sales, 2nd round.
by

Vera Molnár

on 30 April 2014

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Transcript of Chimrolls - Hungarian Pastry

CHIMrolls
Hungarian Pastry
How to put Kürtőskalács on the Japanese market?
AGENDA
Market outlook
The Japanese biscuits market
Target group
PRODUCT
PREMIUM PRICING Strategy
Pilot:
small boutique
in the Harajuku / Ginza shopping districts in Tokyo
Instead of ATL using more niche focused BTL marketing techniques.
MARKET DEVELOPMENT
Opportunities
Conclusion
SOURCES
Market outlook
Target group
Positioning
4P strategy
Development opportunities
MarketLine Industry Profile: Biscuits in Japan (December 2013)

CIA World Factbook - Japan

Top 10 Expectations of Japanese Customers (japanintercultural.com)

Top 6 Social Networks in Japan (digitalstrategyconsulting.com)

Interview with my Japanese friends, Satoko and Yu

total revenues of $2,300M (2012)
Big market
CAGR: -1% for 2012-2017
Rivalry
top four players hold 60% of the market
Domination
largest segments: wafer biscuits (45%),
American cookies (25%)
Downward trend
Niche strategy
who are open and curious. They love to try new products and are interested in Western culture. They have a smartphone and they are active on social media sites (Facebook, Instagram, etc.).
Japanese (age 15-29) living in urban areas: ca.
Young, urban, stylish Japanese
17,3M people
4P
PRICE
PLACE
PROMOTION
Product name
Japanese can't pronounce Kürtőskalács
Shops outside Hungary call it:
Chimney cake
Stove cake
CHIMROLLS
Variations
Positioning
rising health awareness, declining and aging population
70% of the volume sold in hipermarkets
Biggest competitor: the doughnut
Vision:
When young, urban, stylish Japanese want to meet in the city center for a snack, they go to the Kürtőskalács store. They style their personal cake and post it on Instagram.
Kürtőskalács is positioned as a healthier pastry because it's not made in oil.
Hungarian Pastry
Wide variety is crucial to win Japanese customers.
Kurtos Kalacs
Kurtos Spiroll
Country-of-origin Effect
What do Japanese know about Hungary? Not much.
From my interviews:
"small country in Europe"
"famous for embroidery"
"high quality feather"
However,
European food brands are popular
among Japanese customers. Western quality products

are overall favored.
There's added value in positioning a food product as something Hungarian.
From Hungary they will know it's European which is associated
with high quality.
Its name on the Japanese market:
Flavors
Melted toppings
Toppings
DIPS
Honey
Nutella
Marmalade
Peanut butter
Personalize your Chimrolls!
Cinnamon
Almond
Walnut
Coconut
Chocolate
Rainbow colored sprinkles
Fruit purée
Melted chocolate
Yoghurt
Marmalade

SIZES
Your Chimroll is as big as your hunger!
Minis
normal
Large
Take away boxes
Enjoy Chimrolls wherever you want!
mini Mouse
6 different mini Chimrolls
The usual
one normal Chimroll with one dip
BIG BEN
one large Chimroll with two dips
Let's Party
mini Chimrolls with dips
Benchmark: the doughnut price
Average price: ¥200 ($2)
Normal size Chimrolls:
¥500 ($5)
+ extra fee for toppings and dips
Style: colorful, funny, upbeat
LIKE
For example
Lifestyle Bloggers
Social Media
Photo Sharing
Search Engine Marketing
Market leader:
comes only 2nd.
Campaigns and contests on
Japan's Instagram
Chimrolls Official sites with daily posts (e.g. new flavors, photos), give-aways, contests, etc.
e.g. make a picture of your Chimroll and you and post it with #mychimrolls
The most popular social media site in Japan.
e.g. an exclusive event where every blogger can make hers/his own Chimrolls
top influencers
Savory Chimrolls
Toppings: Cheese, Garlic, Ham, Olives, Sesame, Sunflower Seed
Dips: Lactose Free Sour Cream*, Tomato Salsa, Cheese Cream, Mustard, Hummus, Wasabi
*Lactose intolerance is very common in Asia.
To enter the very competitive Japanese biscuits market Kürtőskalács should use a
niche marketing strategy
. This strategy focuses on a special segment's special needs - in this case, on the stylish Yuppies and their desire to new, hip products.
The 4P strategy is designed to realize this vision. The new brand name and the wide variety should underpin the
high quality
and the
uniqueness
of the product. The premium pricing also encourages these favorable perceptions among customers. The Chimrolls store is a crucial success factor (as it was a service!) because we don't just sell the product -
we

sell the experience
. To reach this special segment Chimrolls can't use traditional marketing tools but it should concentrate on
BTL techniques.
With this strategy Kürtőskalács not only can succeed in Japan but it has several
growth opportunities
(e.g. the savory product line).
Full transcript