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Marketing Plan

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Emanuela Escalante

on 17 April 2014

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Transcript of Marketing Plan

Marketing Plan
1. Current Situation
1.1 Macro-environment Analysis
1. Current Situation
1.1 Market Analysis
1. Current Situation
1.3 SWOT Analysis
SMART Objectives
To be able to survive for the first 12 months of launching the brand.

50% of our target customer to hear about the brand within the first six months.

To gain 2% of the market share by the end of year 3.
Target Market
The focus on new product development will be healthier breakfast cereals.

On-the-go and instant formats will increase their market share in the future.

Flavour will continue to play an important role in innovation.

(Keynote. Market report - breakfast cereals 2013)
Competitor Analysis
Competition between breakfast cereals brands

Competition from other sectors such as bakery products and breakfast biscuits.

Competition with the hot cereal industry.

(Keynote. Market report - breakfast cereals 2013)
Economic Environment
Economic crisis.

Unemployment has increased between 2008 – 2012 by 74.71%.

(Keynote. Market report - breakfast cereals 2013)

Demographic Environment
Regulatory/Political Environment
Food and Safety Act (1990)

Food Labelling Regulations (1996)

Food Standards Act (1999)

Consumer Protection Act (1987)

Public Health Responsibility (2011)

(Keynote. Market report - breakfast cereals 2013)
Physical distribution system: multiples.

Trade Allowances: short term promotional incentive.
Socio-cultural Environment
Changes in consumer behaviour.

Consumers awareness.
UK’s population has increased.

The "household on one".

(Keynote. Market report - breakfast cereals 2013)

Market for consumer goods.

Product offered to the target group: the most nutritious and tastiest on-the-go healthy cereal high in fiber.


Geographic indication: UK market.

Market position: Britons spend approximately 2% of their expenditure on all food on breakfast cereals. In 2012, consumers spent £197m more on breakfast cereals than in 2008.

Perception map
Main competitors
The top three market leaders, based on their turnover in their latest financial results, are:

Market definition
Weetabix Ltd is the largest company in the market in terms of turnover (£335m turnover in 2011).
Morning Foods Ltd (£129m turnover in 2012)
Kellogg Company of Great Britain Ltd (£107m turnover in 2011)
Market Growth Potential

The combination of cereal and yogurt with fruit bits.

Sustainable packaging and recyclable packaging.

Competition with well-know cereal brands.

The breakfast cereals market is almost saturated with products.
Consumers are increasingly aware of the importance of having a healthy lifestyle.

The market of breakfast cereals has increased in value year-on-year since 2008.

Consumers are willing to try new types of cereals.

Various types of cereal attract consumers’ attention in the market.

On-the-go consumers are buying cereal bars and breakfast biscuits instead of eating traditional breakfast cereals.

Economic crisis: decline in consumer spending.
Positioning concept
'The most nutritious and tastiest cereal high in fibre'
Value for money
: Kick start is affordable for consumers.
Features of the product
: On-the-go cereal, ready to eat, high in fibre, recyclable and yogurt with fruit bits.
Appeal to functional needs - Health conscious products
: Our product is the only one that uses 100% whole grain and has 0% fat.
It is an innovative package that is not currently in the market.
The marketing mix
Core Benefit
Brand Personality
Kick Start will keep consumers full until lunch time which will make them feel more active, productive and therefore enjoy work! It is also very convenient.


Keep consumers full until lunch time.
Overview of control and evaluation mechanisms
Kellogg's dominates the RTE cereals sector.

It has iconic brands such as Corn Flakes, Coco pops and Rice Krispies.

Kellogg's is struggling to compete with 'copycat' own labels that offer similar products at better value.

Many Kellogg’s brands have received negative media coverage, with articles highlighting the excessive sugar content in the products.
It is investing in its existing systems to improve energy efficiency.

It continues to invest in its product portfolio to offer consumers healthier products.

Morning Foods Ltd’s product range is not as diverse as it’s main competitors – all of there products are centred around oats.
It has a very strong foothold in the market.

Weetabix is widely recognised as one of the healthiest breakfast cereals on the market.

Weetabix Ltd have been criticised for producing some cereals which are not as healthy as the original.

Down to earth.
Realistic and honest.
Innovative design and colours stand out at the time of purchase.

Claimed benefits, instructions on use, ingredients and customer service details.

Consistent with brand personality

It protects the contents, easy to access and use, and it is recyclable.
Channel Structure - Width
Kick Start will operate using an intensive width structure. To accomplish this, we will focus on:





Channel Structure - Length
Kick Start will be indirectly distributed through the use of retailers.

Retailers will help us to maintain convenient locations for consumers increasing the points of sale.

Kick Start Retailers Consumer

Choosing a distributor
As Kick Start contains dairy, it will need to be stored in cold conditions.

The product will also need to be securely packed due to the fragility of it.

Types of retailer: Supermarkets and convenience stores.

Transport to multiples and convenient stores: lorries

Pricing strategies
Based on market/demand: we will use
penetration pricing
due to the vast amount of competition in the breakfast cereal market.

The price of Kick Start will launch at
with the plan of increasing the price by £0.30 once the market share has increased.

Package of six:

Price policy:
promotional pricing
in order to raise brand awareness.

Price-based sales promotions
Coupons: 30% discount for the second purchase.

Trade Allowances: 20% discount for the first 4 months
Profile of target consumer

Age: adults
aged 35-44

Social grade: B

Ethnicity: any ethnicity

Family size: household of one or a woman with children

United Kingdom

Consumption specifics
Consumption rate: buy a large pack of 6 at the beginning of the week to consume everyday.

Occasion: primarily breakfast but can also be eaten as a snack.

Packaging is 100% recyclable so this we appeal to those who are interested in preserving the environment.
Reasons for selecting Adults as target group
2012: 63.9% of 35-44 year olds ate cereal at least once a day.

Only 18% of 15-19 year olds ate cereal.

By targeting 35-44 year olds who eat cereal at least once a day it is providing us with a large target group who make regular and consistent sales.

In 2012, 72.4% of women ate cereal on a daily basis, compared to just 39.2% of men.
Frequency of purchase
Over a quarter of Britons eat RTE breakfast cereals once a day (26.2%).

More than a third of women eat RTE breakfast cereals on a daily basis.
Advertising budget
We will use the Affordable Method.

This involves deducting operating expenses and capital outlays from total revenue and using what’s left for advertising.
Advertising Strategy
We intend to use visual advertising so people are attracted to the design of the product.

Our cereal has a straight sell/ factual message.

Billboard advertising
Another medium of advertising we intend to use is billboards because they are mainly in cities or towns where people will be going to work each day.

Billboards are successful because they have high repeat exposure to passers by.
Social media advertisement
Over 1 billion people on Facebook.

554,750,000 people on Twitter.

More than 1 billion unique users visit YouTube each month.

Annual marketing plan control:

1. Sales analysis, market share analysis, financial analysis.

2. Monitoring of customer feedback.

3. Budgeting.

Thank you for listening.

Do you have any questions?
(Keynote. Market report - breakfast cereals 2013)
(Keynote. Market report - breakfast cereals 2013)
(Keynote. Market report - breakfast cereals 2013)
(Keynote. Market report - breakfast cereals 2013)
Keynote. Market Plan. Breakfast Cereals 2013
Keynote. Market Plan. Breakfast Cereals 2013
Keynote. Market Plan. Breakfast cereals 2013.
Keynote. Market Plan. Breakfast cereals 2013
Keynote. Market Plan. Breakfast cereal
TV advertising
Early evening news - 12 regions.
Group Tutorial 11

Charlotte Jamieson
Emanuela Escalante
Matthew Aiken
Meng Li
Tom Ingram
Tom Williams
The UK breakfast market has grown by 14.8% over the last 5 years.

Market currently worth £1.53 billion.

(Keynote. Market report - breakfast cereals 2013)
Full transcript