Download - Utz integrated mktg presentation
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UTZ POTATO CHIPS Integrated Marketing Communications Plan I 2012
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WHY NOT LOVE UTZ
Christina Chung
Laura Cutone
Fabricio DiaSilva
Dejan Djordjevic
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This campaign won’t beg the question why,
but instead show why not.
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1. Situational Analysis
2. Target Market
3. Communications Budget
4. Marketing Objectives
5. Marketing Strategies
6. Evaluation
AGENDA
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1. Situational
Analysis
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In 1921, Bill Utz quit his full-time
job to perfect the potato chip.
▪ found in Hanover, PA – 1921
▪ employ 2,200+ workers with
annual sales of $400+ million
▪ snacks include pretzels, popcorn
▪ environmentally friendly
Today, run by 3rd generation family members and is the largest privately held snack company in the country.
COMPANY
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Manufacture and merchandise the best products
with commitment to customer satisfaction that is 2nd
to none
COMPANY GOAL:
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customers
dress like UTZ
Core audience identified as forty-something, high income, married women into Home & Celebrity News magazines
CUSTOMERS
▪ age: 43
▪ hhi: 81.2K
▪ 78% women
▪ 63% married
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COMPETITORS
▪ Lay’s Potato Chips
▪ Cape Cod Potato Chips
▪ Wise Potato Chips
▪ Doritos
A leader in the snack food market, UTZ produces 1 million pounds of potato chips a week
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The unbroken line of UTZ’s
family management is key to
success and almost 90+ years
of continuous growth.
▪ manufactured at 4 Hanover, PA
facilities
▪ sold in grocery, convenience,
warehouse, and other food
retail stores
COLLABORATORS
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▪ 33 distribution centers between
Maine & Georgia
▪ 800 salespeople and company
trucks deliver directly to stores
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In April 2011, UTZ acquired Zappe
Endeavors which included Zappe's
plants in Louisiana, California and
Pennsylvania thereby making UTZ
a national snack food
manufacturer overnight.
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CLIMATE
▪ by 2015, packaged snack sales expected to reach $77 billion
▪ 85% of U.S. households eat chips
▪ 81% prefer unadorned varieties
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Current potato chip trends.
▪ lighter and crispier
▪ palette pleasing flavors like hot
and spicy or salty and sweet
▪ olive oil and terra chips
▪ macrosnacks
TRENDS The potato chip market grew
22% during the economic
downturn.
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Food technicians using computer programs to
design crunchier chips
Researchers working on potatoes with less sugar
content since sugar produces brown spots on chips.
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2.Target Market
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Health-conscious women (30-50) with children
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RESEARCH
▪ 85% women do family’s grocery shopping
▪ spend avg $44.43 per grocery
trip
▪ more engaged in top online
purchase categories women with
children
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STRENGTHS
• Been in market for 90+ years with almost
continuous growth
• Commitment to quality and unbroken
line of family management key to success
• Potato chips command strong consumer
loyalty
WEAKNESSES
• Salty snack food industry highly
competitive
• Family-owned & operated may be
preventing UTZ towards next level steps
• Lack of distributors in Midwest & West so
low brand awareness in those regions
THREATS
• Consumers moving toward healthier
snack options like hummus, carrots
• Constant media scrutiny regarding
potato chips and weight gain
• Frito-Lays dominates the marketplace
for potato chips
OPPORTUNITIES
• Zappe Acquisition could provide new
distribution opportunities in West
• R&D to modify existing recipes and
create new health conscious
products
• Increase online sales of products
SWOT ANALYSIS
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3. Communications
Budget
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Current potato chip trends.
▪ not marketing many products
▪ relate dollar costs to focus on
few, specific objectives
▪ cannot compete with Lay’s
marketing dollars
OBJECTIVE
AND
TASK
METHOD
US consumers spend
significantly more on potato
chips than US government
does on energy R&D.
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WHY NOT GROW UTZ.
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UTZ promises health conscious
women the benefit of knowing our
potato chips use the same
dedication to fresh ingredients
today as we have since 1921
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4. Marketing
Objectives
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TO CENTRAL AND WESTERN PART OF US
BRAND AWARENESS IN THOSE REGIONS
CREATE
EXPAND
INCREASE WEBSITE TRAFFIC AND ONLINE SALES
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UTZ TODAY
▪ have UTZ distribution centers
continue moving westward
▪ Indianapolis & Houston
TO CENTRAL AND WESTERN PART OF US
EXPAND
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BRAND AWARENESS IN THOSE REGIONS
CREATE
▪ introduce, persuade, remind
▪ 3 fresh ingredients, since
1921
▪ continuous message
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INCREASE WEBSITE TRAFFIC AND ONLINE SALES
▪ utzsnacks.com/whynotutz
▪ microsite
▪ advertising will drive traffic
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5. Marketing
Strategies
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Advertising Media
Sales Promotion
Public Relations
Direct Response
E-Active
Alternative
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▪ widen reach designed around a
“Not UTZ” campaign
▪ campaign informs using emotional,
brand loyalty strategy
▪ promotion mix
Advertising
S
PR
M
DR
E
AL
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Media
▪ “Not UTZ” 4C FP campaigns in
national magazines
▪ geotargeting/psychographic
targeting
A
S
PR
DR
E
AL
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Sales
Promotion ▪ sampling at youth soccer events
▪ UTZ promo team sponsors
event in designated cities
▪ samplings occur at same time,
telling mom’s about UTZ &
contest
A
M
PR
DR
E
AL
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Public
Relations ▪ UTZ creative pictures contest
▪ winners voted on
utzsnacks.com/whynotutz
▪ 1st, 2nd and 3rd place prizes
include a Modern Family and
Disney prize package
A
M
S
DR
E
AL
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Direct
Response Direct Mail
▪ consumers and businesses
constantly informed
▪ sending coupons, links, online
catalogue and “useful” articles
A
M
S
PR
E
AL
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E-Active
Banner Advertising Online
▪ reinforce message from print
ads: healthy snacks for families
▪ target our key market segment
(women w/children) in our top
Midwest & West cities
A
M
S
PR
DR
AL
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E-Active Banner Advertising Web Sites
http://www.parenting.com/
http://www.parents.com/
http://www.womansday.com/
http://www.bizziemommy.com
http://www.workitmom.com
http://www.cafemom.com/
http://www.workingmother.com
A
M
S
PR
AL
DR
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Alternative Product Placement
▪ Mad Men (2008)
▪ increased brand awareness by
reaching 1.5 million live
viewers plus DVR & On Demand
A
M
S
PR
DR
E
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Alternative
Product Placement
▪ Modern Family (2012)
▪ goal: Increase brand awareness
▪ advantages:
▪ wide reach
▪ low per viewer cost
M
A
S
PR
DR
E
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Advertising Media
Sales Promotion
Public Relations
Direct Response
E-Active
Alternative
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6. Evaluation
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EVALUATION
METHODS
▪ sales
▪ message evaluation
▪ brand tracker
▪ online evaluation metrics
▪ behavioral evaluations
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Sales
M
BT
OM
BE ▪ measure online sales by
region
▪ compare sales numbers in
our target cities vs. the rest
of the Midwest and West
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Message Evaluation
Online Copytesting ▪ consumers assess the ad
▪ cost-effective
▪ immediate results
Results measure ▪ brand image and message
▪ persuasive power of the ad
▪ potential responses
▪ how memorable the ad and brand are
BT
OM
BE
S
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Brand Tracker ▪ two times per year
▪ consumers who represent
our target audience
▪ ask same questions each time
▪ results measure: ▪ perception of brand
▪ perception of message
▪ perception of Utz vs. competition
S
M
OM
BE
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Online Evaluation
Metrics Results measure
▪ website traffic
▪ visits via online banner
advertising
▪ participation in
online photo contest
S
M
BT
BE
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Behavioral Evaluations
Sales & Response Rates
▪ calls to campaign-specific toll-free number
▪ website visits & email inquiries in response to
campaigns
▪ redemption rates for campaign coupons/special
offers
S
M
BT
OM
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WHY NOT TRUST UTZ?
THE
END
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49 Q?
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UTZ POTATO CHIPS Integrated Marketing Communications Plan I 2012