201307927 independent study

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HUBS (2015/16) eSubmission - Standard i BUSINESS SCHOOL COURSEWORK FEEDBACK SHEET STANDARD SUBMISSION Student No: 201307927 Date: 10/05/16 Module Code: 44242 Module Name: INDEPENDENT STUDY Word Count: 5446 Ass Title: INDEPENDENT STUDY Strengths exhibited in the assignment: Areas of weakness in the assignment: Additional comments: First Assessor’s Initials: Date: Indicative Mark: Second Assessor’s Initials: Date: (Subject to Module Board Agreement) (Before any penalty is applied) The declaration on the next page must be read and understood. Attaching this cover sheet to work submitted electronically is taken to be the equivalent of submitting a signed copy of the form. Please read the declaration carefully and query with your Programme or Module Leader if you do not understand its meaning.

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Page 1: 201307927 Independent study

HUBS (2015/16) eSubmission - Standard i

BUSINESS SCHOOL COURSEWORK FEEDBACK SHEET

STANDARD SUBMISSION

Student No: 201307927 Date: 10/05/16

Module Code: 44242 Module Name: INDEPENDENT STUDY

Word Count: 5446 Ass Title: INDEPENDENT STUDY

Strengths exhibited in the assignment:

Areas of weakness in the assignment:

Additional comments:

First Assessor’s Initials: Date: Indicative Mark:

Second Assessor’s Initials: Date: (Subject to Module Board Agreement) (Before any penalty is applied)

The declaration on the next page must be read and understood.

Attaching this cover sheet to work submitted

electronically is taken to be the equivalent of submitting a signed copy of the form.

Please read the declaration carefully and

query with your Programme or Module Leader if you do not understand its meaning.

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HUBS (2015/16) eSubmission - Standard ii

Plagiarism Declaration

I declare that the work that I am submitting for assessment contains no section copied in whole or in part from any other source unless it is explicitly identified by means of quotation marks. I declare that I

have also acknowledged such quotations by providing detailed references in an approved format. I understand that either or both unidentified and unreferenced copying constitute plagiarism, which is one of a number of very serious offences under the University’s Code of Practice on the Use of Unfair

Means - see F8 - Regulations on the use of Unfair Means, in Section F, of the University’s Quality Handbook;

http://www2.hull.ac.uk /administration/cdte/quality_standards/quality_handbook/section_f.aspx

I declare that the work I am submitting is entirely my own. Additionally, I confirm that I have been advised of the “Ethical Procedures for Research” of the Business School (information on the ethical procedures is available in your Programme Handbook) and that I have followed these guidelines and

the code of conduct for research ethics in the empirical work of this assignment (if any).

NB. Start your assignment ON THE NEXT PAGE.

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How to conduct a marketing campaign when bringing a

healthy crisp product to the UK market

Contents Introduction 3

Aims and objectives 4 The product 4

The Pricing strategy 7 How to promote the product 8 Conclusions and recommendations 11

Appendix 12 Bibliography 16

Introduction

In the twentieth century potato chip sales have continued their steady rise in the UK, but since

2013 potato chip sales have hit a plateau, see figure 1.4. This is largely because of rising health concerns and attitudes to obesity in the western world including diet-related illnesses,

cardiovascular disease, diabetes and several types of cancer, Thunstrom & Nordstrom (2012). These have very much become a focus to many people’s lives and particular unhealthy foods have gained a negative reputation because of this. Many public and private institutions have

made efforts to promote a healthy lifestyle through the use of information campaigns, food labelling and tax reforms. Crisps often contain high rates of fat and calories and when eaten

regularly can lead to weight gain: with a third of British children eating crisps daily, 43% of adults also doing so, and nearly a fifth of children having two bags or more, obesity has become a real issue and tie with crisps, a New England Journal of Medicine study found that the daily

consumption of an ounce of crisps can lead to weight gain of 1.69 pounds over four years, Macleod (2013), Ramsden (2013), Guardian.co.uk (2010). Crisps also contain a high level of

salt; this can lead to a high blood pressure which is found to lead to an increased chance of heart attacks, heart failure and sudden cardiac death, Mayoclinic.org (2014), Sugarman (2009), Colia (n/a). High cholesterol can be a problem due to the high amounts of fat, saturated fat and

transfats; this is because of the oils used when cooking crisps and the cooking process itself. Having high cholesterol can lead to coronary heart disease, strokes, peripheral arterial disease,

heart attacks and narrowing of the arteries, see figure 1.6 Nhs.uk (2015), Colia (N/A). Other health issues such as type 2 diabetes, certain cancers and dental hygiene problems are being linked to fatty foods like crisps too. Over time, salt, sugar and fat contents in crisps have

dropped, but because they are still fried in fat, calories till remain high, Guardian.co.uk (2010). Because of these rising issues and awareness from adults for their health and their children’s

many new and existing players in the market have created healthier versions of crisps, North (2015) that reduce or eradicate ingredients such as salt and fats, use different oils for cooking and different cooking methods and have increased quantities of fibre with the use of more rice,

wholegrain and wheat ingredients. Examples of these include Walkers Sunbites, which have had much recent success, also Food Should Taste Good, Tyrell’s and Kettle vegetable crisps, and

finally fruit crisps. The sub-market is still fairly young, but many products have good success for example since its marketing campaign Sunbites has had annual sales increases of up to 26%, Mintel (2016), this project aims to design a marketing campaign for a new healthy crisp that

addresses many modern health concerns and provides nutrition too. Much consumer research has been done into finding out if people are willing to try and move to purchasing healthier crisps,

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and has proved positive regarding the healthier crisp market for example a Mintel (2014) report showed that almost a third of consumers would move to an apple or pear based crisp, Maxwell (2015). Reports suggest that much of the UK potato crisp growth has come from healthier

products; this is also evident through the growing players in the market.

Aims and objectives

The main aim of this paper is to produce a strategy for a marketing campaign for bringing a new healthy crisp product to market. It will be aimed at the ‘Potato Chips Group UK’ and aims to provide a guideline in how to conduct a marketing campaign for any of the Crisp companies that

are part of this group. Whilst healthy crisps do already exist, this paper will look at what successes there has been, the different types of healthy crisp and create a whole design that

covers most elements of a marketing campaign. Crisps will be focused on to a large extent but much of the design and research is relevant to popcorn, nut s and other similar savoury products. This design aims to be a guideline and be relevant to all different manufacturers in the market

and so be changed and fitted accordingly to whichever particular company decides to use it. The product designed aims to be one that counters to a certain extent the issues raised in the

introduction as well as provide health benefits too. The strategy aims to include the pre-launch and introductory stage of the product life cycle. The

design will mainly cover how to design the product, introductory pricing strategies and how to promote it, but will also touch on issues such as what market research needs to be done.

To produce the strategy effectively, many different sources will be used: these will include healthy eating, market and product reports, literary texts and journal and web articles as well as

relevant news stories and case studies. The use of marketing theory combined with up to date reports highlighting successes in the market will help to provide as accurate a design as possible.

Market information and case studies will be predominantly from UK sources as to keep it as relevant as possible for the Potato Chips Group UK.

The Product

This section will look to provide a guideline on how best to produce the desired crisp that combats to a certain extent the health issues and provide health benefits too. The ingredients, the

process of cooking and the packaging will all be designed to meet the marketing objectives, and give guidelines on how to design a bag that shows off the products benefits, healthy, tasty and being a premium product.

Baker (1999) explains the stages of designing a product as:

Strategy

Idea generation

Screening

Concept development

Business analysis

Product development

Test marketing

Commercialization

A well performed design process will help the crisps final aesthetic and ergonomic properties, thus increasing value and perceived value, Brassington & Pettitt (2013). At the rate the market is

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growing it is important to be innovative with design and contents as to stand out over the current and successful market players and being more than just a ‘healthy crisp’.

As discussed in the introduction there are many health issues with most brands of crisp. The things that need to be addressed include reducing and removing the amount of:

Salt

Fat, saturated fat, unsaturated fat, polyunsaturated fat and transfats

Calories

Artificial flavours, colours and preservatives

MSG The product can look to increase:

Levels of wholegrain

Fruit/vegetable/rice quantities

Other things that can be considered are:

Nationality of potatoes

Which cooking oil is used

Cooking method

Vegetarian/vegan/ gluten free/ kosher/ halal

Organic

It won’ be possible to meet all of this criteria but creating a product that satisfies as many as possible will help with the overall value of the product.

Crisps are most commonly made from potatoes, but recently there has been large growth in the

use of other core ingredients such as vegetables for example Kale, Cassava, pea, and bean, fruit crisps including apple and pear, as well as the use of multigrain or whole grains and rice: these typically are low in fat and calories as well as increase the fibre content healthyeconomist.com

(2011), North (2015), also see figure 1.1. Successes of these kinds of products include Walkers Sunbites, Tyrell’s vegetable crisp range, Scrubby’s, Walkers Pops and Food Should Taste So

Good multigrain tortillas, PepsiCo (2011), UK.Iherb (2016), Mintel (2016), North (2015), Steele & Hermiston (2015). The nationality of the core ingredient is something that companies such as Walkers and Tyrell’s have given attention to; though not one of the main thoughts of the

customer when purchasing a product, locality of ingredients, if promoted effectively, can affect a customers buying decision to a certain extent. When making this decision of where to buy the

core ingredient from, it’s important to know the costs of each, but overall to promote this product British or Irish produce should be used as to further solidify the product as a premium one. In conclusion the core ingredient very much depends on each individual company’s marketing

objectives, how relevant the product is to the brand and what technology is currently owned or readily available.

Another main factor to address is the way the crisp is cooked. Crisps that are baked rather than fried will reduce saturated fat contents by around 70% as claimed by Walker’s and Tyrell’s.

Popped crisps are also a viable option of cooking; using micro pellets of potato and rice seasoned with oil and cooked under a high pressure and temperature. Brands from companies like Walkers

and Kellogg’s using this method have seen sales skyrocket with support from promotional campaigns advertising the fact that they have 50% less fat than ordinary potato crisps, Bamford (2014), Walkers.co.uk (2016). I would recommend the baking method because even though

alternatives have had similar success, keeping the crisp itself familiar to the customer allows to appeal to a larger target audience, but once again this choice depends on marketing objectives

and how niche you want the product to be.

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The use of oil for seasoning will help to season the product, but in production you must choose the best oil that optimises taste while keeping down fat and saturated fat levels, all while still keeping enough to make sure there is little reaction with oxygen during the cooking process,

Leech (2015). Wallkers.co.uk claims their use of rapeseed and sunseed blend has meant a 75% lower rate of saturated fat, but Leech (2015) explain how industrial vegetable oils lead to high

amounts of polyunsaturated fatty acids. Leech (2015) and Wich (2015) recommend coconut, olive or avocado oils, as these keep polyunsaturated lower and reduce additives, but are higher in saturated fats. There is much less competition with that use these oils and only from small

players in the market. Once again the marketing objectives may well play a part in this decision but if possible it is worth experiment and conducting thorough primary research to find the

optimal seasoning. As discussed in the introduction, high levels of salt consumed over a sustained period of time can

lead to a high blood pressure. With crisps often containing a high amount for example Walkers ready salted having 0.46g of salt per pack which is 8% of an adult’s daily intake. Walkers

Sunbites have a much lower rate of 0.17g, which is only 3% of an adults recommended intake. The trade-off often with salt is that more salt improves taste (as it is flavouring) up until a certain point and being is increasingly unhealthy, also improving the health benefits and taste will

increase the willingness to pay, Thunstrom & Nordstrom (2012). Typically consumers rank taste over nutritional content and is the most important factor when making decision regarding food,

Lennernas et al. (1997) & Glanz et al (1998), PepsiCo (2016). The salt in crisps can simply be reduced by lowering the salt usage, or changing the type of salt, for example sea salt (with lower sodium levels) during the salting stage of production. The salt content must be low enough to

attract the target market and be promotable but the taste must be significantly good, this can be best discovered through primary market research, for a 25-40g pack levels of 0.15g and 0.3g is

an acceptable level. A wide range of flavours keeps the target audience interested and loyal as well as targets a larger

potential customer size; further additions to the product mix width will help this throughout the product life cycle, Brassington & Pettitt (2013), Bradley (2003). As discussed before, there is an

importance in this market of customer retention and attraction, offering a wide array of flavours can help to attract and keep customers. While this is important during the launch, Learnmarketing.net (n/a) explains how it makes it harder to manage the brand and makes it

harder to specialise. In the cooking process, consideration must be taken when using flavourings, not using artificial flavourings will help the brand image and using the right flavourings can keep

the saturated fat content down, Goodtoknow (2015). For the introductory stage of the product life cycle I thus propose the launch product to contain between 3 and 5 flavours, with a ready salted or equivalent flavour as a must, as it is consistently on of the most popular and

recognisable flavour of crisp, also cheese and onion and salt and vinegar or equivalents are often as popular and must also be strongly considered, Jordan (2014).

The design of the product is essential to adding perceived value and communicating effectively the brand and the products strengths, and with healthy labelling in demand Thunstrom &

Nordstrom (2012), this is especially important. The packet itself must match the colour schemes and be consistent with all promotions for the product. The colours and design must promote the

health benefits of the product and the crisp itself must look different from the standard yellow fried, oily, fatty potato chip, for colour scheme see promotion, see also figure 1.8 for examples. For whatever health benefits are found after producing the crisp, can be presented on the packet

on the front and/or back, though you must be careful as not to overwhelm the customer. Many products in the market often just stick to their most prevalent healthy grabber, it must also be

clear by the design of the packaging that this is a premium product and so reflects the product inside and the price you are paying for it; this can be done through the use of more artistic fonts,

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more innovative packaging materials, effective imagery and textures, catchy and informative tagline again see figure 1.8: primary research can be conducted to provide opinions about the packaging. Henley (2010) explains how sharing bags have grown in recent years and now

account for 29% of the market. I don’t believe this is a viable option though because thegrocer.co.uk (2014) explains how many who use share bags eat them by themselves,

furthermore the levels of fat, calories etc. will rise as the packaging size increases thus contradicting and making it more difficult to communicate any health improvements. Thus I propose sticking to the normal 25g to 40g standard size; this will also help as customers are

familiar with the concept. The product should be sold in single and multipack versions. Single packs will improve new customer rates through ease of purchase and impulse buying, as well as

being seen as more of a one-off treat, while the multipack will increase customer retention with the intention of customers sticking with the brand, for example buying the product every week as part of a weekly shop. Tyrell’s claims they have had success with their vegetable crisps, without

advertising and has come through package design and media press alone, North (2015), see figure 1.9 for packet, as well as Sunbites gaining success with packaging redesign that had time

to take effect before the promotional campaign started, 2012.effectivedesign.org.uk (2011). Because of the quality and pricing strategy adopted this product will sit central but more towards

the premium product end of the Kotlers Price/Quality matrix see figure 1.7. In conclusion for production I propose:

Thorough primary research to find the right balance between health benefits and taste

Thorough primary research to find the relationship between willingness to pay and the

increase in taste and health benefit

Addressing of the marketing objectives

Packaging that communicates health benefits and the brand

The Pricing strategy

Choosing the correct pricing strategy and the exact price depends on a lot of factors such as the

competition, the costs involved, marketing objectives, corporate policy and the laws and regulations, Bradley (2003), Armstrong & Kottler (2000). This section aims to choose the most appropriate strategy during the introductory phase of the Product life cycle and explain why it is

appropriate for a healthy premium crisp. Bradley (2003) explains the three approaches to price are the cost, the customer and the competition; in the introductory stage competitor oriented

pricing stages are the most important though cost and customer oriented issues must still be considered, Blythe (2005).

Many of the existing products in the healthy crisp market have a low new customer rate, but a

very high retained customer rate for example Sunbites, PepsiCo (2011). This suggests that not enough, or the correct pricing and promotional strategies are being employed to attract customers, yet consumers feel the taste is satisfactory and customers believe in the product.

Because of this a penetrative pricing strategy would seem very viable as to undercut the competition and so attract as many customers as possible to try the product before the

competition has time to react. Unfortunately for this premium product specifically there are many issues with penetration pricing. Brassington & Pettitt (2013) explain that a side effect of low-price promotions can see competitors follow and match the price, Blythe (2005) explains

how if competitors react quickly enough there could be the possibility of a price war which favours no one but the customer. The more important issue is that “The price reflects value”,

Bradley (2003), Baker and Bass (2003); this rule often runs true and with the proposed product

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being a premium one, it is important to retain that image through its price. A multiplying factor of this is that consumers get used to paying a lower price from the promotion and shift focus away from quality and towards the price, Cooper (2011), Cuthbertson (2006).

Thus in conclusion, I propose a price skimming strategy. While attracting new customers has

been an issue for similar products and needs to be addressed, I believe this will be done through effective promotional techniques and communication of the products quality and ingredients/health benefits. Having an original high price will mean customers won’t be shocked

as the price will not change much as the product moves through the product life cycle. Because of the issue of things like price wars, Blythe (2005) concludes it is often safer to compete on

things like quality. It is against EU law for the manufacturer to force retailers to price at a certain rate but recommended retail prices can be given in which many retailers selling crisps will be happy to oblige. This pricing strategy allows for discounts to be easily made in the future too

when appropriate. Each flavour must remain the same price as to avoid confusion and keep consistency. With crisps price elasticity of demand being fairly high costs must not be too high

as it will lower demand significantly because of the sheer volume of competition and customer resistance to trying new healthy products, Akbay & Jones (2006).

How to promote the product

As discussed in price the way to attract customers in this campaign will be through promotion. This section will aim to understand who the target market are, create suggestions for how best to

promote the product to the target market and what avenues will be used to do this. The section will comment on relevant theory and case studies from within and outside the market and attempt to cater to most promotional budgets. As discussed before attracting new customers has

been difficult in the market and so promotion alongside effective packaging will be a large driver for success.

Armstrong and Kottler (2000) explain the elements of the promotional mix; these include advertising, personal selling, sales promotion and public relations. I will aim to provide

suggestions on what are the best tools for each and most relevant to the market and a vague guideline what each tool should produce. Whether to use a ‘Push’ or ‘Pull’ promotional mix

strategy will very much depend on the size of the manufacturer, a higher budget for the promotional campaign and the strong relationship with retailers and wholesalers would suggest a pull strategy, yet a push for the opposite situation. A mix of both will be used but it is important

to find out whether the marketing objective is to focus on consumers or retailers and wholesalers to get the product sold, Armstrong and Kottler (2000), Magloff (n/a).

Knowing the target market is essential to choosing and designing the media you want to use for the promotional campaign, Marketing-made-simple.com (n/a). The target market will differ

slightly depending on exactly how the product is designed and how much it is on the healthy and/or premium side. Figure 1.1 shows that 21% eat wholegrain snacks/crisps, 20% eat

vegetable crisps and 8% eat fruit crisps, Mintel (2016): it is important to understand exactly who these consumers are and so create a promotional strategy that is tailored to them. The report also shows many demographics have little difference including gender consumption and with

different areas of the UK. The most notable demographics I found were that under 35’s are much bigger consumers than those above 35. Also those in full-time employment have a much higher

tendency to pay for the more premium and healthier snacks. While I suggest targeting these demographics, there are still significant quantities of over 35’s and non-full-time employed potential consumers that must not be ignored. Furthermore while only around 20% of consumers

eat healthier crisps, only 8% of the UK citizens surveyed didn’t eat crisps and so while those interested in healthy crisps need to be targeted there is still a potential to attract a wide array of

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consumers. In conclusion I believe a product more on the taste side than the healthy one is more mass market and vice versa. Secondly the Mintel reports were done on consumers, not customers and typically the most popular shopper is the mother in a family; this target market should be

considered heavily but must not be too explicit as there is still a large enough potential male customers that who do the shopping. Targeting parents will help to increase the number of under

18 year old consumers. Unhealthy products cannot legally be promoted to children, Mangelburg (1990), and with health concerns being lower down in their priorities for purchasing decisions, targeting parents can have the whole family purchasing the product. TV adverts ideally should be

presented later in the day so that there is a larger reach to parents and the employed. The other potential customers that should be marketed are those already buying healthier snacks, see

above, and also healthy products. Creating a superior or innovative product and if promoted effectively can attract this market.

Armstrong & Kottler (2000) explain the importance of selecting media depending on your target market. When selecting the media, you want to maximize reach, frequency, impact and the

opportunity to see (OTS), Brassington & Pettitt (2013). For a more mass market product I believe TV and cinema advertising can be useful: while the reach is ever decreasing, it is also becoming cheaper and remains an effective way to appeal to the masses, Brassington & Pettitt

(2013), Armstrong & Kottler (2000), it is also a great way to present imagery that addresses the message and provide information too. But not all campaigns will have such a budget or may be

more niche market, in this situation campaigns need to appeal to the target market: to interest those in the healthy eating demographic previously mentioned, relevant specific magazines or TV channels can be utilized that have much higher percentage interaction of reach and a higher

OTS, Armstrong & Kottler (2000). These could include ‘GoodFood’ or ‘Food Network UK’. Magazines are available online and in paper copy, promotion can be positioned here. Brassington

& Pettitt (2013) explain how the OTS in a magazine is seen on average around 3 times. Examples of these include: thegreatbritshfoodmagazine.com, healthy-magazin.co.uk or healthyfood.co.uk just to name a few of a large quantity available on the internet. Subscription

magazines include BBC Good Food, Healthy food, Veggie, Olive, Delicious, again just to name a few, WHSmith (2016). An innovative product needs to be coupled with promotion that

supports it, Bradley (2003). To create not just a high quality advert, one must understand the advertising objectives and the

exact message and information you want to present. I believe for this particular product, the focus of the message should be on:

Health benefits

Taste

Thunstrom & Nordstrom (2012) explain how these are some of the most important purchasing decisions as well as matching the products main selling points. The message should also include:

Being a premium product

The ingredients

What the Unique Selling Point is The advert needs to be consistent with the packaging, themes and any other kind of promotion as

to keep the product and the brand recognisable when it customers come to actual purchase.

Walkers Sunbites TV advert, Campaignlive.co.uk (2014), very much focuses on the product being a great tasting product in a very bland and ‘Cardboard tasting’ healthy snacks market, with a final mention of the product being multigrain. The theme of the advert was very much about

everyday life and less so about the ingredients and health benefits, as it is very much the consumer attitude that any snack containing whole/multi grain, wholemeal etc. is healthy,

Wholegrainscouncil.org (2013) and so the taste took centre stage. Sunbites have had large

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success since their marketing campaign in 2011 and have seen sales climb each year and have now released a wider product range, PepsiCo (2011), Pepsi.co.uk (2016), 2012.effectivedesign.org.uk (2011). This focus on taste also coincides with the Sunbites change

in packaging from one less about the health benefits and more about the taste found with their primary research, see figure 2.1. From this I believe the balance between emphasizing taste and

healthy/ ingredient contents lies simply with how good the product tastes or is healthy; Sunbites are more on the tasty side than vegetable crisps but aren’t as healthy, the target market differs depending on which has priority with a tastier product being more mass market and vice versa.

‘Food Should Taste Good’s product is very much an even mix of taste and health an accordingly has split their focus evenly.

Sales promotions can be very advantageous to promote a product especially during the introductory stage of the product life cycle. Examples can include competitions, point of

purchase displays, demonstrations and loyalty incentives. Walkers have had numerous competitions over the years whether it is a simple ‘enter with a chance to win’ or voting on a

particular flavour to be chosen as a permanent flavour. Walker’s ‘Do us a flavour’ increased the rate of people seeing a Walker’s ad from 17% to 27%, word of mouth exposure from 6% to 10%, and got over a million people involved, with 4.3 million visits to walkers.co.uk,

marketingsociety.com (2011), digitaltraingacademy.com (n/a). Stalls or free samples stalls may not be the best way to gain a large reach but can be useful for more niche market products and

are very good at providing more than just imagery, if the product has sufficient quality, it can get consumers involved, while also increasing word of mouth; with the rise of social media this can be further enhanced, Small Business UK (2014). Finding an appropriate food festival such as

Challengers Food festival or Autumn Home and Food fair, will help to delve deeper into the potential target market of those looking for healthy products and innovative foods, whereas free

sample stalls in town centres can help to reach a wider range of demographics if intended. Using social media is an effective way to further reach the target market through many different channels and with many different uses of media, it is also a useful way to interact with

consumers, all at a very low price, Weiczner (2015), Phillips (2015).

Enhanceing public relations can help to get the product and the brand talked about and increases its public and corporate image, Armstrong & Kottler (2000). This is especially important when marketing a premium product and will help to promote its positive health benefits. Transparency

can be improved by engaging with stakeholders, working with NGO’s, think tanks and others in the food industry, PepsiCo (2011), as well as getting involved with schemes such as

‘Change4Life’. Press releases and PR events can also help. Working with the media for example when Lamborghini gave journalists the opportunity to test their new vehicle, Armstrng & Kottler (2000) or Food Should Taste Good crisps had their product new range promoted on ‘Ellen’, a

popular US chat show, https://www.youtube.com/watch?v=oBFbrwoYPm8. Other example can include raising money for charity through collections or innovative schemes that often relate to

the product or brands message, Leigh (2016), McFarlin (n/a). Performing these kinds of schemes can often be a more effective way than straight up advertising if the budget won’t stretch too far, Armstrong & Kottler (2000).

In conclusion I believe the most imperative factor to consider is the promotional budget, as this

will decide exactly what forms of promotion are possible. The other things to consider and perform well must include:

Is the product niche or mass market

Who is the exact target market

Be innovative with promotion

Use primary research and early sales figures to understand which promotion and

branding is working best

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Communicate the message and information

Conclusions and Recommendations The success of the campaign will depend on effective implementation of all parts of the strategy

but the marketing campaigns most important issues to tackle are:

Always understand what budget and timeframe is available for each stage

Thorough and frequent primary research about the crisp, the packaging, adverts and the brand

Spending time deciding whether to create a mass or niche product so as to implement promotional strategy appropriately

Understand your target market

Spending time planning each stage and sticking to the marketing objectives

Create an innovative promotional scheme that appeals to the target market

Create an effective message that supports the product and the brand that is consistent

throughout packaging and promotion

A skimming strategy that supports a premium product

Create a product that is healthy but must also be tasty, with multiple flavours, while adding perceived value too

Make sure the product stands out in the market with a modern and interesting unique selling point that is supported by promotion

Create a product that meets legal standards, for example the FSA salt targets

Choose and find the best retailers and wholesalers

Make sure the product is completely finished before the pricing and promotional stage

It is also important to constantly take note of

Where the product is in the product life cycle

Levels of sales to determine what is a success

Market changes

What the competition is executing

Customer attitudes

New technologies

There has been much growth in this segment of the crisp market; there have been many new entrants from new businesses and larger manufacturers integrating and bringing their own new

products and so it is becoming increasingly important to perform all of the issues above with time, care and with whatever budget is available. It is further important to try to maintain sales growth as many existing players such as ‘Snack-A-Jack’ have been hit very hard by rising

competition, North (2015), bringing out more flavours, adding more promotion and understanding the market can help to do this. After Sunbites’ success they have expanded into

crackers with dip and pitta bakes, North (2015), walker.co.uk (2016). It is finally important to note that if the campaign fails first time it is important to learn and if possible have a re-launch: Walkers Sunbites did this and where much more successful after a second campaign seeing sales

rise 26% in just the first four months, PepsiCo (2011).

This study aimed to provide a guideline for a marketing campaign, this study can be heavily supported with each section researched in more detail: there is much more that can be done in the creation of the product, including a list of ingredients, how exactly to produce the product and

how to test the product. Extremely little research was done about where to sell the product too. The promotional guideline depends very much on the product; if a certain product is created, a

specific promotional campaign can be created that matches the product and that uses the

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suggestions given in this study while designing in detail each stage and type of promotion that takes place. Results of actual primary research can also be done and presented with exactly how the production and promotion progressed through planning and all the way to the final testing

stage. This study was aimed to be designed for crisps manufacturers in the UK market, but much of the content can be used for other similar products or can be adapted to other western foreign

markets.

Appendix

Figure 1.1

Consumer Usage – Crisps and Crisp-Style Snacks

Usage of crisps and crisp-style snacks, by type, October 2015 "Thinking about crisps and crisp-style snacks, which of the following, if any, have you eaten in

the last 3 months (excluding those eaten at a sandwich shop, pub or other foodservice outlets)?" Base: 2,000 internet users aged 16+

Source:Lightspeed GMI/Mintel

Figure 1.2 Attitudes towards Crisps/Crisp-Style Snacks

Attitudes towards crisps/crisp-style snacks, October 2015

"To what extent do you agree or disagree with the following statements?" Base: 1,835 internet users aged 16+ who have eaten crisps/crisp-style snacks S~52614

92

78

48

45

39

21

20

17

14

8

8

Any crisps/crisp style snacks (Net)

Standard potato crisps (eg Walkers, McCoy's)

Other types of crisp-style snacks (eg Pringles,Twiglets, Wotsits, Monster Munch, Hula Hoops)

Tortilla chips (eg Doritos)

Pan-fried/hand-cooked potato crisps (eg KettleChips, Tyrrells)

Healthy/wholegrain crisps/snacks (eg SunBites)

Any fruit and veg crisps (Net)

Vegetable crisps (eg root vegetable crisps, cassavacrisps)

Popped potato snacks (eg Popchips)

Fruit crisps (eg Tyrrells apple crisps)

I have not eaten any crisps or crisp style snacks inthe last 3 months

%

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Figure 1.3

Attributes Worth Paying More For, When Buying Crisps/Crisp-Style Snacks

Attributes worth paying more for, when buying crisps/crisp-style snacks, October 2015

"Thinking about buying crisps/crisp-style snacks which, if any, of the following, that may or may not be currently available, would you consider paying more for?” Base:1,697 internet users aged 16+ who have bought crisps/crisp-style snacks in the last three

months Source:Lightspeed GMI/Mintel

Figure 1.4

Segment Performance – Crisps

Forecast of UK sales of crisps, by value, 2010-20

Source: based on IRI/Mintel

34

37

37

40

42

45

47

66

68

72

82

61

51

23

35

35

28

28

24

26

23

14

5

12

39

25

23

27

25

9

6

5

4

Smaller brands (eg Tyrells, Kettle Chips) support theirlocal economy

'Cracker crisps' (eg from Ritz, Jacob's) are healthier thanstandard crisps

A sandwich isn't the same without crisps on the side

I would prefer to eat more nutritious snacks to crisps (egdried fruit)

I'd rather cut down on the amount of crisps I eat thanswitch to a healthier version (eg low-fat)

I would be interested in superfood vegetable crisps (egkale crisps)

Own-brand crisps taste just as good as branded

I like to try new crisp/crisp style snack products

I would be interested in crisps made using healthiercooking oils (eg olive oil, coconut oil etc)

It's important to have flavours that the whole family enjoys

Eating crisps is fine as an occasional treat

%

Any agree Neither agree nor disagree Any disagree

35

34

32

30

24

21

21

15

14

9

1

23

All-natural ingredients

Supports British farmers

Hand-cooked

High-quality ingredients (eg extra virgin olive oil, truffles)

Adventurous flavour

Re-sealable packaging (eg has ziplock)

Limited/special edition

Made by a brand with a long heritage

Made by a regional producer (eg Mackie's of Scotland)

Not mass-produced

Other

None of these

%

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Figure 1.6

Figure 1.6

http://www.theguardian.com/lifeandstyle/2010/sep/01/crisps-british

Figure 1.7 http://www.smartinsights.com/marketing-planning/marketing-models/pricing-quality-model/

(£m)

1,340

Best case (£m)1,693

Worst case (£m)1,209

Mintel forecast (£m)

1,451

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Market

valu

e (

£m

)

95%

Confidence intervals

90%

70%

50%Actual Forecast

Est.

0

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Figure 1.8 Healthy crisp packet designs

Figure 1.9 https://www.tyrrellscrisps.co.uk/crisps/beetroot-parsnip-carrot-with-sea-salt

x

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Figure 2.1 http://2012.effectivedesign.org.uk/pdf/2012/silver/4.1.19.pdf

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