frosty treats marketing plan
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FROSTY TREATSMARKETING PLAN
MARKETING PLANFROSTY TREATS
MANAGEMENT TEAM: ALLISON HANSON, TINA FRANCIS, RUTH NAKAWUNGU, ANGELA CANT
TABLE OF CONTENTS
5.1Target Market Strategy15
5.2Estimated Market Size18
5.3Customer Needs Analysis18
5.4Value Proposition and Positioning Strategy
5.41Competitive Position Analysis21
5.42Points of Difference22
5.44Positioning Statement & Supportive Pillars23
5.45 Brand Personality24
6Marketing Mix Strategy
6.21IMC Key Goals & Objectives29
7.1Press Release Product Launch39
7.2Press Release Family Day Sponsorship40
7.4Point of Purchase Display42
1. Executive SummaryAt Frosty Treats we have developed an exciting new ice cream product, Frosty Cakes, that marries together two iconic sweet treats the cupcake and ice cream. By combining these two products we aim to capture the celebratory nature of cupcakes with the everyday comfort of ice cream. Whilst home cooks and ice cream stores have enjoyed experimenting with cupcake ice cream treats this product is a new innovation to grocery store shelves.Ice cream is a staple in most American households and the industry experiences consistent growth and even stronger growth prospects internationally particularly in emergent markets such as China. Due to the affordability of ice cream products they have also proven to be recession resistant.We acknowledge that competition in the ice cream industry is fierce. The competitive landscape is dominated by large multinationals and private label supermarket brands. As such we have worked hard to develop a product and brand personality that is unique in the market. Furthermore supermarkets are the major distribution channel and their strong buying power keep prices low. This drives us to be aggressive at managing costs to ensure success in this low margin sector.Ultimately the ice cream industry is vast and therefore securing only a small percentage of the market in the short term will enable Frosty Treats to be profitable and support future growth and the expansion of our product range.Our research has indicated that the largest consumers of ice cream products are families with children 6-18 years old and therefore we have developed our initial product and promotion campaigns to target this market. With our initial product offering, Frosty Cakes, we deliver a fun, family treat that makes dessert time a celebration of family and all the many milestones we share.
Frosty Treats produce unique, affordable, single serve ice cream treats. Designed for families with children our fun treats aim to make everyone smile and make any occasion special. Delicious, indulgent, convenient, our ice cream treats are the perfect way to celebrate all of the milestones of life no matter how small.
3.1 Mission Statement
At Frosty Treats we know your life is full of moments worth celebrating. Our delicious, fun, convenient ice cream treats bring families together to celebrate the big and small milestones of life.
At Frosty Treats our vision is to become synonymous with the many occasions families celebrate. We aim to develop single serve ice cream treats that appeal to every member of the family and that can be conveniently sold in supermarkets across the United States. As our company grows we hope to expand our product range to more specifically cater for different age groups, develop seasonal products for major holidays, cater for special dietary needs and create a range of lower fat portion controlled mini treats.
3.5 Marketing objectives
ProductDevelop a range of products that appeal to families and particularly children 6-18 years of age.
Develop packaging that reflects our standards of environmental sustainability.
PriceDevelop a pricing strategy that competes with current multi pack single serve novelty products
PlaceDevelop strategic partnerships with the major supermarket chains to ensure penetration in markets across the country.
PromotionDevelop a media advertising campaign to target married consumers with children (particularly aged 6-18).
Develop an in-store promotion campaign to facilitate product launch.
4.1 SWOT analysis
Products are available at reasonable prices. High product quality. Recession proof product.
Non- durable product High transportation costs due to need for refrigeration.
Wide variety of unique ice cream flavors. Large market - $9.7 billion Growing market. Low levels of brand loyalty. Strong growth in international markets. Companies shifting their focus to develop health conscious and premium products. Consumers are aware of benefits of probiotics and are looking for ways to incorporate them into their diets. Consumer trend towards super premium products. Aging population demanding high quality, indulgent, portion controlled treats The U.S market is mature and experiencing only steady growth. Industry is dominated by large multi-national food giants such as Nestle and Unilever. Majority of market served by private supermarket labels. Due to threat of Obesity/diabetes consumers are being encouraged to eat healthier food. Competition with ice cream parlors such as Cold Stone, Kitts, Dairy Queen etc. Sales are determined by distribution in supermarkets and shelf space limits making it hard for market to grow. There are number of substitutes within the market such as yogurt or baked dessert goods.
4.2 Industry analysis
The U.S ice cream market grew by 1.7 % in 2008 to reach a volume of 3.5 billion liters (Datamonitor, 2009). Ice cream and frozen desserts are consumed by 93% of US households. Households with children are the lead consumers of ice cream (Mintel International cited by Rea 2004). Take home ice cream sales represents 67.2% of the ice cream market (Datamonitor, 2009).
People are eating more at home helping to increase ice cream sales. Recent health and wellness trends have impacted the ice cream and frozen markets. The latest trends are are healthier than traditional ice cream (Dudlicek, J, 2009). Many manufacturers are keeping up with consumers taste and are launching lighter alternatives to ice cream (Poet, J 2008). Items with a health claim seem to be outperforming those full flavor items. There are products offering healthier benefits simply by removing fat, sugar, or calories instead enhancing them with fiber, vitamins, protein, or probiotics.
Many brands are developing snack size, individual servings of products or mini versions that are 100 calories (Mayer, M, 2010). Consumers are interested in portable ice cream products. Novelty ice cream products are most popular with 16-24 year olds but industry forecast that aging baby boomers are demanding high quality, indulgent, portion controlled treats, and this demographic is expected to yield high growth.
Manufacturers have been launching new products that coincide with the launch of organic ice cream. U.S organic ice cream has increased significantly and manufacturers have launched 56 new organic products (Mayer, M, 2010).
4.3 Market Sizing
Global Market Size (2009)U.S Market Size (2009)CAGR (2004-2008)Predicted Growth by from 2008-13
$44.9 billion$9.7 billion1.8%9.3%
The United States Ice Cream market has witnessed slow rates of growth Growth in the US market is expected to follow a similar trend in the next five years The global ice cream industry is growing at a faster rate than the U.S ice cream industry. - European and Asia Pacific markets experienced CAGRs respectively of 2.6% and 5% over the same period (Datamonitor, 2009).
Market Share Analysis of the Ice Cream Industry
Source: Ice Cream Industry Profile: United States, Dec 2009, p1, 32p, 16 Charts, 10 Graphs; (AN47196192)
Brand Name: Ben & Jerrys (owned by Unilever).
Mission Statement: Ben & Jerrys is founded on and dedicated to a sustainable corporate concept of linked prosperity.Their mission consists of 3 interrelated parts:Product Mission: To make, distribute & sell the finest quality all natural ice cream & euphoric concoctions with a continued commitment to incorporating wholesome, natural ingredients and promoting business practices that respect the Earth and the Environment.
Economic Mission: To operate the Company on a sustainable financial basis of profitable growth, increasing value for our stakeholders & expanding opportunities for development and career growth for our employees.
Social Mission: To opera