Marketing plan development - Essay Example

Marketing plan development Contents Contents Market Situation Analysis 2 Objectives 3 Ansoff Model 3 Porter generic matrix 4 Marketing Plan 4 References 5Bibliography 6Market Situation AnalysisFast food industry in the UK has seen substantial amount of growth. The increase in the retail food chains in believed to be the key reason for such growth. This is because the consumers in the UK starting to treat shopping as a process of outing. With the high degree of demand, the market has seen high degree of competition also.

Retail food chain giants like Mc Donalds, KFC, Pizza Hut, Subway, etc. are all present in the market. As far as buying behavior is concerned, due the recent economic breakdown people of UK (Europe in general) look for cheaper food options as they want to spend the money efficiently. Also there is still perception among some of the customers that fast-food are rich in fat and are not healthy. As far as specific is concerned, sandwiches are treated as the most favorite as it holds over 30 % of the market share.

Research has shown that, people mainly love sandwiches due to the trend of short lunch breaks triggering the demand for light snacks and lunches. At this point of time Hotdog doesn’t top the menu list of the people of UK when it comes to Fast Foods (Mintzberg and Quinn, 1996, p. 67).Objectives 1. Develop market for American Hot Dog Cart in the UK.2. Raise awareness about American Hot Dog Cart in UK3. Position American Hot Dog Cart as a healthy and light fast food product.Ansoff ModelAfter analyzing the market scenario, business and product life cycle it is believed that out of the four probable strategies market development strategy could be best suited.

Market development strategy is used when an existing product is launched in a new market. The risk factor in this case is medium. It is suggested that American Hot Dog Cart should focus on designing an efficient distribution network and repositioning strategy. One of the most famous ways to expand market reach is to setup franchisee network. Most of the major food chains follow this strategy. As mentioned in before, fast foods especially non vegetarian fast foods are still perceived as high-fat unhealthy products.

This something the American Hot Dog has to change. Certain degree of augmentation can help the company in creating product differentiation. For example providing salads along with hot-dog can help the company successfully reposition the product. Also social media channels can be used to directly engage with the customers. Social media can be used to show the target customers the way the food is being made. The main USP of the marketing campaign is the healthy ingredients and low fat content to change the perception (Palepu and Bernad, 2007, p. 65).Porter generic matrixOut of the four strategies Cost Leadership seems best suited for American Hot Dog Cart.

The UK fast food market is a broad one. Hence the company may use the industry price. Price lowering may be an option, but that may lead to a price war. One of the best ways to achieve operational efficiency is to achieve operational efficiency and cost minimization. Franchising and outsourcing of some mundane tasks can be one of the ways to achieve both (Hoskisson, 2010, p. 89).Marketing Plan 4 P’sProbable StrategiesProductProduct differentiation by adding additional attributes or augmentationPriceMarket Based Pricing to achieve cost leadershipPlaceUsing Franchising to lower risk and expand market reachPromotionPromoting hot dog as a healthy and low fat productReferencesHoskisson, E., 2010. Strategic Management: Competitiveness & Globalization, Concepts.

Cengage Learning: USPalepu, K.G. and Bernard, V.L., 2007. Business Analysis and Valuation: Texts and Cases. Cengage Learning: USMintzberg, H. and Quinn, B., 1996. The Strategy Process. Sage: UKBibliographyBall, A. and Minor, S., 2000. International Business. McGraw & Hill: UKModern, T., 1999. An Introduction to Business Strategy. McGraw & Hill: US