Pet Food Brand Project

MKTG 371 - Prof Olson

Spring 2015

Cat Iannizzotto, Ryan Jaress, Nai Saelee

Alena Glasbrenner, Annika Manz

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Introduction

The Treka dog food brand was constructed around our company mission statement,

which is as follows:

“To provide our nature-loving, adventure-seeking customers who value health and

staying active with products and an overall brand experience that not only gives them the

tools they need to accomplish what they desire, but encourages a lifestyle that we believe

improves their and their dogs’ quality of life. We like to call this the Treka Lifestyle, and

everyday we strive to make living this healthy, adventurous lifestyle easier and more

appealing through our product assortment and brand related activities.”

1. Target Market Segment

We aim to have the target market of active Americans with active dogs, who enjoy being

outdoors. Our target customers will typically have medium/large dogs. These consumers

are not so much concerned with the product itself, but instead they are concerned with

what purchasing the product allows them to accomplish.

Our demographics will consist of individuals with dogs who are in the age group

of 18 to 45 years. They will have an annual income of $40,000 to $50,000. This product

will be targeted to both genders. We will start our product in the West coast, and build

from there.

The potential size of the market are active dog owners who live in the West coast.

We are starting our company in the West coast due to the high amount of pet ownership

and active lifestyles. We have found statistics that show that 52.9% of California, 62.7%

of Washington, and 63.6% of Oregon own at least one dog. Another statistic shows that

56.3 % of California, 64.1% of Oregon, and 56.3% of Washington achieve at least 150

minutes a week of physical activity. The populations of each state are as follows;

California: 38.8 million, Oregon: 3.97 million, and Washington: 7.062 million people.

This leads to a total population of 49.832 million people. So, approximately 27.48 million

people own at least one dog on the West coast and approximately 28.606 million people

are active on the West coast as well. We assume that not every dog owner is active, but

most tend to be, so we estimate that the potential market would fall somewhere around 20

million people in the West coast alone. This is the present market. In the future, we look

to expand into other states with high pet ownership and moderately high active levels.

Our expansion would lead us into Idaho and Colorado. Idaho has a 53.9% activity rate

and a 62% pet ownership. Colorado has 60.4% activity rate and a 61.3% pet ownership.

The population of Idaho is 1.634 million and the population of Colorado is 5.356 Million.

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Assuming that these two aspects come close to overlapping our market would increase by

roughly 3 Million people. So, in our future, our total potential market would be

somewhere around 23 million consumers.

We have chosen to differentiate two segments of our target market by whether the

dog they own is considered a family dog, or their personal dog. The way we target

families is by emphasizing our healthy blend of ingredients and encouraging participation

in the various events we plan to put on/sponsor that will promote family bonding with the

dog in a healthy, active manner. We are also emphasizing that the dog is part of the

family, and should be fed the right food because of that. We target individuals by

positioning the brand image similar to what we expect them to perceive their own image.

It is a sleek, adventurous, and wholesome brand that allows the pet to keep up with and

be an integral part of the owner's own lifestyle. We will also be hosting events for this

market segment such as Trekathons, which will be elaborated on later.

2. Brand Identification

We have determined that a customer who enjoys spending time outdoors and is active

and adventurous is likely to bond with a product that possesses an explorer archetypal

brand personality. Our brand is designed to communicate the desire to find what one

seeks by way of experience and adventure.

Our understanding of this very American value of freedom to explore has led us

to believe that our customers consider life itself a journey, an adventure, a trek; and so we

have named our brand “Treka”. The atmospherics of the brand all revolve around

experiencing the outdoors in new ways. The color palette (shown below) we’ve chosen to

communicate this is made up of one primary color: a dusty olive green, and three accent

colors: sea foam (light blue/grey), energetic orange, and black. The logotype is bold and

suggests movement, especially when combined with the logo mark. The mark itself can

be interpreted two ways, as a paw print or a sun; each direction encouraged by chosen

color. An emphasis on photography will be ever-present in the marketing of our brand.

We want the consumer to be able to envision themselves and their dog in the imagery we

provide. This strategy will allow us to expand our product lines in the future because we

can expose those other products to the consumer without it looking like a super

concentrated advertisement, and more like we are encouraging the adventurous lifestyle

and providing the things needed for it. These products might include leashes or doggie

water bowls that they might need for the journey

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Because the consumer who prefers an explorer brand fears conformity, we

decided not to create a specific personality or character for them to identify with. We

instead decided to focus on the specific values that lead to the lifestyle our brand

encourages and allow the customer freedom to express and share those values whichever

way they please.

We will, however, have associations with people in the form of brand

ambassadors. People will be hand picked who embody the Treka lifestyle, but they will

come in a variety so as not to pin-point any one-way of experiencing the brand. For

example, the picture shown below is our Ambassador Liz. She and her dog Myka partake

in many outdoor activities including running, hiking and trips to the beach, often multiple

times a week. Myka is fed Treka dog food to fuel her consistently active lifestyle and

keep her in tip-top shape for the Trekathons. Another theoretical ambassador might be

Tom, who is a working husband and father of three children. Although Tom’s family

doesn’t have as much time during the week as Liz, they try to take their pup, Dakota on

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weekend adventures, family camping trips, and Treka-sponsored family events whenever

possible. Dakota is fed Treka dog food so that he stays healthy and is always ready for

the next family outing. At these events, customers will have the chance to meet and

interact with the brand ambassadors that fit their segment.

Brand Ambassadors: Myka & Liz

3. Reasons for Crafting Brand as it is

A. Group Influences

When thinking of the American culture, the first thing that comes to mind is the word

‘freedom’. The freedom to go explore and go on adventures has helped shape our brand

of Treka. From the ability to go explore and enjoy the outdoors, Americans have put an

emphasis on fitness in their lives. With the popularity of fitness raised and still rising, this

running and fitness culture has also led to the rise of individuals bringing their dogs on

these runs and trails with them. No longer is the dog just your stay-at-home friend who

you throw a ball to and play fetch with, but the dog has become a “man’s best friend”,

that right-hand man on the trails, and your active pet you can run on the beach with. This

active lifestyle and culture Americans live has helped shape our brand Treka and what

this brand can do for the dogs leading an active lifestyle, similar to that of their owners.

Besides culture, social economic strata have also helped shape our brand. Treka is

made to target the middle class active families or individuals with a dog. When looking at

this middle class category, they are very price sensitive and make up the majority of

Americans- 70%. Due to this price sensitivity, we want to develop this product from the

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beginning to have one type of esteem and limit the changing of price. Therefore, we want

to be able to market this product as a lifestyle product, not just another pet food brand.

You’ve heard the saying “being fit is a lifestyle”, which is exactly how Treka is created

to be- as a pet food brand supporting the active lifestyle of dogs. Along with the esteem

we would like Treka to purvey, SES has helped shape the way we would like to

implement marketing our product. With the upward pull strategy, this will allow us to

market our product with upper class symbolism to our middle class target audience. We

decided on the name Treka because it is simple, easy to say, and conveys a sophisticated

vibe. Our logo (as pictured in the previous section) is also very sophisticated with simple

colors that are not too bright and bold and a font that is not too playful, this is to allow the

upward pull strategy to be implemented when consumers see our product.

Reference groups have also impacted the marketing and creation of our brand.

Our brand will be marketed massively to active families with dogs, and because of this

we want to be able to have the families pass on their buying behavior to their children-

particularly in regards to this pet food brand. Our goal is to have Treka become a family

brand that can be passed along to the next generation- just as Heinz is the go-to brand for

ketchup in families, Treka will be for pet food. This adoption of purchase behavior is a

future goal of ours in order to retain our customers. Along with families, the dog

community has additionally impacted the marketing and creation of our brand. The

creation of this active lifestyle pet food brand was also due to the fact that many owners

will take their dogs to “dog parks” in order to be active and interact with other dogs. As

stated with the creation of a TREKATHON, this will allow the community of dog owners

to recognize our pet food brand as a supporter of dogs, an active lifestyle, and allow

Treka to market itself. The TREKATHON will be marketed as a “doggy and me” 3k run

in support of dogs and creating active lifestyles-money to enter the run will be donated to

support an animal shelter. In addition, it will allow our brand to create an emotional

connection with our target market, becoming a brand that brings a dog and human

together; creating life experiences together. We see this group of people as a great

marketing opportunity for our brand due to the fact that members have positive group

membership and will spread the word of our brand once they see the benefits of it.

B. Psychological Influences

Motivations in purchasing pet food, in specific the Treka brand, are derived from

utilitarian and hedonic motives. There is utilitarian motivation because when an owner

purchases food for their pet, they are feeding their dogs, and keeping them healthy and

alive. Hedonic motives also drive the purchase of pet food because dog owners feel

emotions- such as love and joy- when they see that their dogs are enjoying the product.

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Knowing that they chose a product for their pet that they enjoy, leads to a sense of

fulfillment in the owner. There is emotional involvement seen in purchasing pet food.

When an individual looks for a pet food brand for their dog, they want to find the one that

they can obtain the greatest value from. Treka offers value for your dollar that can be

seen through the emotional bond between owner and dog. This brand markets an active

lifestyle between owner and dog, therefore, we are also marketing experiences between

them.

Learning theory applies to this product category by shaping an individual’s

purchase behavior. Once an individual buys a specific pet food brand - in this case Treka

- and sees the benefits and quality in the brand, it will elicit repurchase behaviors. This is

then amplified by our loyalty programs that Treka has. With the loyalty programs we are

able to create more frequent purchase behaviors from the dog owners. The brand also

relates to the cognitive and vicarious families of the learning theory. Cognitive thinking

takes place when an individual purchases our product because of the provided health

benefits that a purchaser can then compare with the cost of the product in considering if it

is of great value. Vicarious learning takes place within our product when seeing the

photo-heavy ads of Treka and by observing others who have purchased and used the pet

food for their dogs. Our product has very strong image association that consumers will

observe and can decide whether they would like to join this group of individuals leading

an active human and dog lifestyle.

Selective perception can affect the way consumers see our product by the type of

exposure they will allow themselves to receive when seeing Treka. With intentional

exposure, this can be seen with individuals who seek a specific type of pet food or quality

for their dogs. These consumers who are looking for a healthy pet food brand will

intentionally search and find our brand of dog food. With accidental exposure, this can be

seen through the marketing our brand will implement. Through prevalence and placement

of our brand, individuals will then be exposed to Treka. A good way this can also occur is

through word-of-mouth in the dog community- increasing our accidental exposure with

credibility as well. Selective attention consumers have can also affect the way consumers

perceive our brand because consumers are more likely to focus on what the value of the

brand can do for them. Therefore, by marketing heavily on our healthy, active-life driven

pet food brand, we can show consumers the benefit and gain their attention. Selective

interpretation then follows once an individual is able to pick out the recognition and

symbolism within our brand. The paws in our logo, the distinctive colors and font, the

TREKATHON, and the images of active dogs with their owners then become distinctive

indicators of our brand that we want our consumers to recognize- our schemas. Last, the

selective retention dog owners have for pet food brands is accurate and stored long term.

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Once a consumer begins purchasing a specific brand for their dog, it will become the go-

to brand they usually buy. Therefore, once an individual is able to recognize the schemas

within Treka and create a bond with it, this will create long-term retention with our

brand, leading to customer loyalty.

4. Market Mix

A. Features, Benefits and Emotional Connections

Dogs are part of our customer’s family and for family; one wants nothing but the best.

Treka Dog Food is characterized by highest quality ingredients blended in a rich formula

that provides the dog with all the extras he needs for his adventures. As already

mentioned above, the Treka brand is specifically designed for dog owners sharing an

active lifestyle with their dog. After a day full of adventures, every dog will love our

palatable mix of chicken, wholesome grains, carrots and tomatoes. The 30/20 protein-to-

fat ratio ensures a balanced energy level during periods of activity, whether it be for a

short run in the morning or an entire day of hiking. Afterwards, the power-packed

formula accelerates the dog’s muscle recovery.

For dogs that spend a lot of time out in nature, a well-functioning immune system

is especially important. Our calcium-rich ingredients help maintain strong bones and

Omega 3’s, while Omega 6’s support the overall health of dogs living the Treka lifestyle.

This mix of vitamins does not only keep the pet’s vision sharp, but also promotes a shiny,

healthy coat. Treka food contains all good; no artificial flavors, colorants or preservatives

are added.

The extraordinary high nutritional value implies smaller portions and no need for

additional supplements. This does not only benefit the dog but the lower cost per serving

also benefits our customer’s wallet. All in all, the Treka high-energy dog food is designed

to fuel the dog’s adventures and help him to perform and stay healthy.

Our customers will emotionally connect with Treka via their dogs. Since they see

their dogs as a family member and buddy, they do not only want to share their daily life

with their dogs, but also experience special moments with them. Treka allows the

customers to transfer their healthy and happy lifestyle to their dogs - especially via good

and tasty Treka food. A transferred and thereby shared lifestyle promotes a closer

emotional connection between dog owner and dog. Hence, if the dog is happy, the owner

will be as well.

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B. Pricing Strategies

Due to the high quality level of Treka food, we will price our brand slightly above the

current market’s average price of dog food at Target of $12.99 per 10 pounds. Since the

middle class aspires to an upper class symbolism, we plan to use our premium nutritional

value of the dog food and all its related benefits to increase our consumer’s willingness to

pay and to trigger the first purchase. The Treka lifestyle will then catch our customers

and prevent the middle class, who is highly prone to switching brands from doing so,

resulting in a high brand loyalty. This is also the reason why we refrain from any

discounts or price deals which would lower the perceptual value of our brand. Instead, we

promote a loyalty program rewarding returning customers and providing them with long-

term savings in form of a promotional item and one free Treka food product after every

10th package bought. Our Treka food comes in a reusable box which does not only keep

the food fresh, but also facilitates packing the food easily for adventure trips.

The Treka boxes will be available in the following prices and sizes:

Small: 10 Pounds at $14.99 | Price of Iams Healthy Naturals at Target: 12.5 Pounds $12.99

Medium: 20 Pounds at $24.99 | Price of Iams Healthy Naturals at Target: 23.2 Pounds $28.99

Large: 35 Pounds at $34.99

C. Distribution Policy

We plan to make Treka available to nearly everyone at the west coast thanks to an

elaborate distribution policy. In particular, this means that we will sell to grocery and

superstores such as Target as well as pet food chains like Petsmart. We will have our

Treka key account managers working out deals specifically tailored to these stores and

negotiating shelf spaces. In order to guarantee a reliable and fast delivery, we will

establish four distribution centers throughout California that will source from one

manufacturing plant located in central California. In accordance with our explorer brand

archetype, we decided to have our own fleet of trucks that will distribute our Treka

products from the plant to the distribution centers and further to the stores. As we are

planning to expand our business towards other states such as Idaho and Colorado in the

long run, our trucks support the exploration of these states and symbolize the cardinal

value of freedom. Besides, branded trucks “exploring” these states also enhance and

promote the adventurous characteristic of our brand in the new sales areas. Additionally,

the Treka explorer brand gives way to further extend the Treka’s brand assortment with

related products.

Our online store is the perfect solution for consumers enjoying their freedoms of

buying their dog food in the most convenient way: They can order their dog food online

and have it delivered directly to their houses via FedEx. On top, we will offer the

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possibility to subscribe for monthly delivery of Treka food in the appropriate package

size.

D. Promotional Campaign

Since our explorer brand embraces values like freedom and living an active and exploring

lifestyle, we decided to also choose an active slogan, which does not only attract the

customer`s attention but at the same time also serves as a call to action. Therefore, “Treka

- Fuel the Adventure” is the perfect fit and we will use this type of brand image

throughout our whole promotional campaign and all trade activities.

In order to promote our high quality dog food amongst potential trading partners,

we plan to attend the Global Pet Expo where we will attract customers with an impressive

booth. There, our brand ambassadors will be handing out free samples and thereby

inviting attending firms as well as potential consumers to test our product and live the

Treka lifestyle. Also, we will do product demonstrations and presentations for the

attending firms and customers, with the goal of providing a broad overview of the

benefits we offer.

In order to make the Treka brand popular and well known, we will approach our

target market directly at places where we think to find them best. That is, we are planning

to start our first campaign by sponsoring several Dog Obstacle Course Runs held by the

Agility Club of San Diego. Also, our Key Account Management is working on a business

relationship with the San Diego Performance Dog Training Group, where dogs are

brought closer to our brand at a young age and their owners get to know more about our

loyalty program. Both clubs share the same passion of living an active and healthy

lifestyle, which makes them a perfect fit to our Treka brand.

As already mentioned above, we refrain from any price discounts. However, our

goal is to spread the word of our brand and welcome as many customers as possible in

our Treka Family. This means, as soon as a customer has signed up for our loyalty

program, they will receive a $20 gift card from PetSmart, a company we believe shares

similar values to Treka and has the greatest reach in the USA. Also, after the 10th

package bought, our loyal customers are rewarded with a free package of Treka food as

well as a promotional item of their choice.

Another promotional tool with which we intend to raise brand awareness and

loyalty are the so called TREKATHONs – 3k runs organized by our company where dog

owners or even the whole family can actually live the Treka lifestyle and have a

wonderful time together with their best buddy. The run’s collected starting fees will be

directly donated to support an animal shelter. During these “doggy and me” events, we

will provide all participating dogs with free Treka food and offer fun activities like a

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photo booth for nice memories and a dog’s playground with the latest toys and obstacles.

The winner team will be rewarded with a free one year subscription of Treka food

delivered to their home. Also, our brand ambassadors will attend the Trekathons and

interact with customers, further promoting the Treka lifestyle.

In order to further grow the Treka family, we use our online presence not only in

form of our online store, but also through social media channels. In weekly postings on

Facebook, Twitter, Instagram and Pinterest, our brand ambassadors will provide valuable

tips as well as call for even more action by giving new adventurous treks for dogs. Also,

these channels shall serve as a base for feedback and interaction amongst our customers,

so that they can share their experiences and new ideas with the Treka family.

5. Conclusion

All in all, it can be stated that we strongly believe in the success of our Treka brand with

its presented positioning in the highly competitive pet food market. By following our

explorer brand mission and implementing the above described campaign, we are

confident of becoming a relevant player in the market place. In the future, we plan to

extend our product portfolio as well as the geographical reach of Treka.

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References:

https://www.avma.org/news/pressroom/pages/TopBotomTenStatesForPets.aspx,

lastly checked May 5th, 2015

http://www.humanesociety.org/issues/pet_overpopulation/facts/pet_ownership_statistics.html,

lastly checked May 6th, 2015

http://nccd.cdc.gov/NPAO_DTM/IndicatorSummary.aspx?category=71&indicator=32,

lastly checked May 5th, 2015