quaker oats- market plan

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  • 1.YevgeniyaGozenpud

2. EXECUTIVE SUMMARYQuaker Oats is on a mission to continue spreading Oat Goodness for another 100 years.To be able to accomplish our goals we will need to have a renewal of the company insideand out. We plan on having our focus for 2012 Market plan to push forcreativity, sustainability and growth. These goals can only be accomplished if all members ofmanagement and staff are productive, efficient and effective. Working together to enter anew phase in history for the company and maintaining a positive image, competitive edgeand overall growth. The main focus of our marketing goals for 2012 is to listen and connect with our consumers. Our objectives are to gain trust, become a resource and build long lasting relationships withour target market. To accomplish these goals we will put our marketing efforts into socialmedia and the online world. This will enable us to engage and listen to conversation, conduct research and share advertisement in an efficient and effective way.Together we can transform our company into a model corporate citizen and make relationships with consumers, other companies and adapt to the changing times.With GMO regulation pending and growing consumers concern over the quality oftheir food this is the perfect time to lead our industry into a more sustainable,healthy & environmentally aware way of conducting our business. With a renewedcommitment to our mission and new approaches to our consumers we hope to engage all of our employees in our efforts to grow and evolve in 2012. 3. Company GoalsRenewal Growth Improv e on Overa ll operationa l Long term grow th and profitabilityefficiency and effectiv eness. Build and Expand nutrit ion business Productiv ity Focus Increase availability of macro snack Simplifica tion of decisio n making Creativity Focus Efficiency of financia l manag ement Maintain a good reputationSustainability Reach out & engage w ith consumersCreate a positive business environment Incorpora te techno logy in all aspectsthough honesty, integ rity and fairnessof companyResponsible Corporate citizenship Improv e aspects of the w orld : Build relationships w ith other Environment business that focus on nutritio n Economic Social Position company for future grow th 4. SALESAnnual Industry $13 Billion 2012GMO Sales Trends Annual growth of 4.9% GMO Free Foods went up 67 % & Annual Breakfast Cerealsaw sales growth of $60.2 million Sales$7.7 Billionin market share Ibisworld.com Non GMO Project is growing andTrendspartnering within the industry(Kashi) Thinking outside the box Forecast Healthy Foods & Drinks Demand will enable modest Time Saving products pushesGrowth industry demands Consumers are on the go Market Share Quaker Foods North America (QFNA)Drop in 2011 - 1.9 shares as sales fell 4.5%. This drop can be related to the bad press received from the GMO Census Report contamination and loose of companyhttp://bit.ly/MxSsxaapproval 5. QUAKER OATS SALES650Net revenue declined 3 percent and640volume declined 5 percent, reflecting general630620Sales category trends. Operating profit declined 10 percent, primarily610 reflecting the benefit from an2012 2011inventory accounting change recorded in the prior year, which Quaker Oats Salescontributed 7 percentage points to $ 623 million as of 3/24/2012- Unitedthe decline. States $ 640 million as of 3/19/2011- United StatesPepsiCo Website Earning Release 11% Difference http://bit.ly/NQD8ic 2011- Total Sales for Cold Cereal $ 410,410,900 O P E R AT I N G P R O F I T $87 Million -2012 6. QUAKER OATS SWOT Strengths Opportunity 130 in Business Entered Global Market 1 st to trademark Breakfast Cereal Indias a growing market 1 st to Advertise in National Healthier option versus Fast FoodMagazine European Market - recently 1 st to introduce convenience banned GMO breakfast cereal Weakness Threat Controversial Image of Healthy New Products Option Consumers are more educated Cross Contamination of Productsabout products Lack of Sustainable or Fair trade False advertising Lack of Innovation Customer disapproval 7. ENVIRONMENTTechnology Political Use technolog y to mak e operation s efficien t GMO are a key topic in the Marketing Commu n icatio n Tools current political arena. There Custo mer Service is anticipated change in GMO Offers renewal to co mp an y Labeling and distribution.33 countries have bannedSocial Environment GMOs. Approximately one in every seven people onMonsanto vs. 3000 Farmers http://bit.ly/OIMX05 Earth is using Facebook daily http://bit.ly/NEYC0v More than 250 million people access FacebookIndustrythrough their mobile devices S t ro n g re p re s e n t a t i o n i n t h e More than 2.5 millio n websites have integra ted G re a t L a ke s R e g i o n . with FacebookI L , O H , M I re p re s e n t 2 1 % o f t h e i n d u s t r y. ( JeffBula s.co m )*** (This number is calcula tedby dividing the planets 6.94 billion inhabita nts C h i c a g o , D e t ro i t , C l e v e l a n d a n d M i l w a u ke e a re h o me t oby Facebooks 900 millio n users) the leaders in this industry . 8. CONSUMER ANALYSIS Americans are voting with their forks Demographic: Age: 22-44(Women in this age are the most engagedage group on Facebook Page) CBS Report- 53 % said they do not want Primary: Women :Mothers, Students andto by GE Foods Young Professional MSNBC Report- 96% of respondentsSecondary: Students,want Labels for GE Foods =40,000 People Young Professionals & Families Research shows GMO FreeConcerned About:Food consciousfoods is up 67% in 2009 with Environmentsales growth of $60.2 million Food taste http://bit.ly/MeKacA Food securityFood safety Organic Food customers Personal Health show interested in the Product Integrity same things Sustainability 9. TA R G E T P R O F I L E A LWAY S O N T H E29 YEAR OLD WOMEN GO & LOOKING FOR K AT H Y C H I C A G O I L H E A LT H Y O P T I O N S Student ProfessionalEnjoys learning Has recently entered the& is always involved inworkforceprofessional Looking to advance herdevelopmentcareerNight classes & Works full timeSeminarsPurchases based Purchase based onon Health &Convenience and HealthConvenienceMother Purchase based onHealthy options & Convenience On the Go Healthy for kids Easy to transport 10. Kellogg-Strengthsphytosterols 42% of Global Market OpportunityDirect Strong Brand Global MarketCompetitorRecognition Kids MarketSWOT Convenience Mergers/ DistributionWeakness ThreatAnalysis Lack of Innovation FDA Lack of Sustainable or Label RestrictionsProgressive Products Consumer Awareness No Organic or Fair Image-Bad PressTrade Cost Inflation Products contain plant Kashi Indirect Competitor Commitment to Natural and Healthy products Partner of the GMO Free Project & Verified Young company with fast growth Bad press and customer disapproval 11. MARKET INTRODUCTION STRATEGY M a r ke t D e v e l o p me n t Diversity Healthy for you and the planet Diversify content and approach to consumers. P ro mo t i n g G M O F R E E F o o d sOffer educational, entertaining and engaging content. Modifications P ro mo t i n g e n v i ro n me n t a l re s p o n s i b i li t y Improve operations D i g i t a l M a r ke t i ng Alter campaign based on conversation O f f e r i n g c o mp re h e n s i ve re p o r t s o n& engagement p ro d u c t s & b e n e f i t Work within the company andP ro d u c t D e v e l o p me n tcommunicate with all departmentsThis product is in the decline stage of through out the campaignits life cycle.B a d P re s s a n d c o n s u me r d i s t r u s t h a s l e d t othis decline. G M O P r o j e c t Ve r i f i c a t i o n a l o n g w i t hpartnership can help to regain public trust. P ro d u c t i v i t y I n i t i a t i v e s t h a t w i l l b r i n gc o mp a n y o p p r i t n u t i e s t o s a v e c o s t C re a t i ve f o c u s t o d i s t i n g u i s h p ro d u c tf ro m c o mp e t i t o r s 12. MARKETING MIX Product-Distribution Offer GMO Free Tests to Midwest & Great Lakes consumers to maintainRegionintegrity Offer variety of flavors Chicago, Milwaukee Offer New On the Go option Detroit, Cleveland & St.Branding Louis Renew image of product as well Distribute in places where as commitment to GMO FreeFoodstarget audience are spending Healthy & Conveniencetime including: Commitment to Grocery Stores, Healthenvironment, social & economic responsibility Markets, Convenience StoresPackaging Office Centers New Design Recycled packaging University and College areas On the go option 13. PROMOTIONObjective Fallow and align withMediaTrends Using YouTube video & Vimeo to distribute Communicate withadvertisementConsumers Start Blog Interact on social networks Increase use with ( i.e. Facebook, Twitter, Google+)electronic communications PR-Good Press News Outlets Increase Digital Marketing ( i.e. Huffington Post & NYT) & DistributionQ u a ke r G o a l s :Renewal & connection Web s i te O n e - t o - o n e M a r ke t i n g Add descriptions toB u i l d i n g L o n g t e r m c o n n e c t i on pages & pictures Promote transparency & Authenticity Add new Interactive Open communication channelscomponent Become a recourse Focus on mission Align Marketing with company mission Quality Reports and Renew image Test 14. Facebook YouTubeTwitterGoogle+Become arecourseEngagement ConversationCompany Giving Blog Recipes BrandAwarenessCompany News 15. Customer Service Goals I n crea sing O n l i n e C u s t o mer S erv i ce a n d I n t era ction Pro v ide a n s w ers t o p ro b l ems o n l i ne Beco me a rel i a ble a n d g a i n co n s u mers t ru s tRetentio n Listen & Respond to consumers ideas and needs Start Conversation & Engage Consumers Create a user centric experiencePo l icy Provide Company Social Media Policy to all employ ees CUSTOMER Offer Rules, Tips & Ways to get involved with SocialSERVICEMedia Team Clear guidelines and rules for company accounts & waysto provide customer service via social media N eed s o f C o n s u mers Li s t en t o co n s u mers a n d f i t t h e n eed s O p en d i a l ogu e w i t h co n s u mers v i a s o ci a l med i a R es p o n ds t o n eed s q u i ckl y a n d ef f ect ively Pro v ide ex cel len t cu s t o mer s erv i ce t o a l l cu s t o mers R es p o n d q u i ckl y a n d ef f i ci ently t o cu s t o mer p ro b l ems 16. RECOMMENDATIONS T h e F u t u re o f t h e C o mp a n y D e p e n d s O nLo n g Termits ability to change and evolve to fit the Ren ew ed co mmi t men t t o mi s s i o n & o f t i me s . Te c h n o l o g y h a s c h a n g e d t h e w a y r es p ons ibility an d s u s t ai nability.c o mp a n i e s o p e r a t e a n d c a n b e u s e d i n Reg ai ning p u b lic t r u s t an d co n s u merma n y w a y s t o e n h a n c e t h e q u a l i t y o f t h es u p port t h r o ugh co mmu n i cation an do p en nes s . Q u a ke r O a t s c o mp a n y.S h o rt Term C o n s u me r s h a v e c h a n g e d a n d c o mp a n i e s S t ar t t o u s e n ew ap p r o aches t oneed to be able to adapt to new practices mar k et ing an d s o ci al med i a.a n d a p p ro a c h e s s u c h a s LI S TEN TO & co n n ect w i t h co n s u mer s.t r a n s p a re n c y, s u s t a i n a b il i t y a n d a u t h e n t i c i t y. Improvements Stop using GM ingredients completely Show consumers Quaker Oats Company Responsibility to the environment, health andsociety.ORAGANIZATION & COMMUNICATION LEADS TO EVOLUTION 17. SOURCES h t t p : / / w w w. i b i s w o r l d . c o m / i n d u s t r y / d e f a u l t . a sp x ? i n d i d = 2 2 6 & p a r t n e r i d = Va l u a t i o n R e s o u r c e s h t t p : / / s m p b f f 1 . d s d . c e n s u s . g o v / T h e D a t a We b _ H Ibisworld-Industry report otReport/servlet/HotReportEngineServlet?em ailname=ec@boc&filename=mfg3.hrml&2012 h t t p : / / w w w. b a k i n g b u s i n e s s . c o m / F e a t u r e s / M a r 0 2 0 2 0 9 2 4 5 7 . Va r. N A I C S 2 0 0 2 = 3 11 2 3 0 & f o r w a rk e t i n g % 2 0 Tr e n d s / 2 0 11 / 6 / G M O -d = 2 0 1 2 0 2 0 2 0 9 2 4 5 7 . Va r. N A I C S 2 0 0 2free%20foods%20gaining%20ground.aspx?cc k=1 US Census-2002-2007 report Bakingbusiness.com article h t t p : / / w w w. p e p s i c o . c o m / D o w n l o a d / Q 1 _ 2 0 1 2 _ h t t p : / / w w w. t r e e h u g g e r. c o m / g r e e n - f o o d / g m o -Earnings_Press_Release.pdf bans-laws-and-labels-from-around-the- world.html P e p s i C o We b s i t e - E a r n i n g R e l e a s e Tr e e h u g g e r. c o m - G M O l e g a l F u t u r e file:///Users/yevgeniyagozenpud/Desktop/Pos t-Pepsi,%20Quaker%20Sales%20Experiencing %20a%20Morning%20Slump%20%7C%20News%20-%20Advertising%20Age.webarchiveh t t p : / / w w w. o r g a n i c a u t h o r i t y. c o m / b l o g / o r g a n i c / 3 00000-farmers-seek-legal-protection-from-monsantos-gmo-seeds/ Competitor Chart- Breakfast Cereal Chart O rg a n i c A u t h o r i t y. c o m - M o n s a n t o l a w s u i t -3000 Farmers vs. Monsanto