Marketing Plan for Breads and Bakes - Essay Example

Marketing Plan for Breads and Bakes (B&B) Contents Contents Company 3 Strategic Focus and Plan 3 Mission and Vision 3 Organizational Goals 3 Core Competencies and Strategic Advantage 4 Situational Analysis 4 SWOT Analysis 4 Industry Analysis 4 Competitor Analysis 4 Market-product Focus 5 Marketing and Product Objectives 5 Target Market 5 Differentiation 5 Positioning 5 Marketing Program 5 Product Strategy 5 Price Strategy 5 Promotion Strategy 6 Distribution Strategy 6 Financial Data and Projection 6 First Year Projection 6 Five year projection 7 Organizational Structure 8 Implementation 8 Evaluation and control 9 References 9 Executive Summary Breads and Bakes (B&B) will be a retail enterprise offering coffee and other bakery products in Seattle. With its diverse breads and baked products, including cakes and coffee, the firm anticipates capturing the local client base. Creation of a market position in the local area is the major aim of the firm due to the deficiency of competition and experience in the area. Additionally, the firm will offer competitive market price to meet the clients’ demands. The firm’s major clients incorporate the local residents and tourists of the middle and higher income groups. Company Description B&B will be a sole proprietorship firm incorporated in Seattle, Washington. Andrew and Angela Jakes will be the managers of the firm. Angela has been an administrative manager in a catering company prior to opening the bakery. On the other hand, Andrew has been involved in the retail industry and as such, has adequate knowledge in finance and marketing. The firm will have two additional bakers to manage the kitchen-related activities. The company will also employ four casual baristas to handle clients and the daily activities. The Jakes will utilize their investments and a small loan acquired from the bank for the initial start-up. Strategic Focus and Plan Mission and Vision The mission of B&B is centered on offering the local clients with superior quality coffee, espresso, baked products and an environment to relax at a competitive price. The firm’s vision entails creating a stronger market position and to be the most ideal bakery in Seattle. Organizational Goals The firm aims to offer the clients with innovative food and beverages that generate supreme gratification in an economical and a profitable way. Core Competencies and Strategic Advantage The administrative expertise of Angela, the market familiarity of Andrew and the culinary skills of the bakers and the baristas form the core competencies of B&B. Further, the firm’s fundamental strategic advantage arises from the low competition in the locality. The firm is unique because it serves as both a café and a bakery (Hendry, 2012). Situational Analysis SWOT Analysis The experience and the knowledge of B&B owners, product variety and skilled workers are the strengths of the enterprise. The weakness of the firm arises from its dearth of knowledge regarding the taste and preference of the local clientele. The firm has a prospect of benefiting from the mild competitive rivalry and the large consumer base in the locality. The competition arising from the well-established and prominent cafes are a major threat (Langlois & Csontos, 1993). Industry Analysis The retail industry for food and beverages in the US is swelling rapidly. The increased demand for the fresh baked products, including muffins, breads and beverages such as, coffee arises from the cool business climate of Seattle. The low competition in the locality also increases the demand for products (U.S Department of Commerce, 2008). Competitor Analysis Large coffee chains and espresso bars are the main rivals of B&B. Nonetheless, the cafes often have limited clients because of the higher outlays with which they are associated. B&B is economical in its competitive price, acquiring more clients (Langlois & Csontos, 1993). Market-product Focus Marketing and Product Objectives The firm’s products are a variety of coffee, espresso and fresh baked products. The firm will market the products to the locals, tourists and travellers in the town. Target Market The local residents aged between 15 and 50 years are the target market of the firm. The firm also targets the tourists and the frequent travellers in the town. Differentiation B&B will be different from other firms in terms of a wide variety of provisions and competitive pricing. Positioning B&B will be position as a trademark, which caters for the needs of both middle and high-income groups (Ingram, LaForge, Avila, Schwepker Jr & Williams, 2012). Marketing Program Product Strategy B&B will offer hot and cold beverages relying on the climatic condition of the town. The firm will also provide dine-in and take-away eatables. Price Strategy Break-even (BE) will be utilized in setting the product prices to determine the profit margin. Table 1 (Source: Author’s creation) Figure 1 (Source: Author’s creation) The BE analysis indicates that the earnings of the company in terms of sales and revenue at the given price product price compared to the breakeven sales value will increase overall. Additionally, the sales have to be increased to attain cost advantage and to reach the BE level. Promotion Strategy The company will utilize the word-of-mouth, flyers and newspapers to promote its products. Distribution Strategy B&B will conduct the product distribution from its store. Financial Data and Projection First Year Projection Figure 1 (Source: Author’s creation) Figure 2 (Source: Author’s creation) Five year projection Table 1 (Source: Author’s creation) Figure 1 (Source: Author’s creation) Organizational Structure B&B’s management will encompass the co-owners, bakers and baristas who manage the daily activities. Angela will oversee the administrative duties. Andrew will oversee the marketing and other external activities. Once the business stabilizes, the firm will hire an accountant and a floor manager (Hendry, 2012). Implementation The implementation process entails tracking the progress of the business and ensuring appropriate execution of the sales and marketing strategies. Angela will manage the consumer reviews and monitor the gratification of the consumers from the services delivered. Andrew will ensure the maintenance of quality in the supplies and marketing activities (Hendry, 2012). Evaluation and control Evaluation and control will entail the financial and non-financial perspectives. The former will encompass the evaluation of the financial projections, budgets and statements, including the balance sheet and income statement. The latter will entail evaluating the feedback and review of the clients (Henry, 2012). References Hendry, C. (2012). Human Resource Management. London: Routledge. Ingram, T. N., LaForge, R. W., Avila, R. A., Schwepker Jr, C. H. & Williams, M. R. (2012). Sales management: Analysis and decision making. New York: ME Sharpe. Jeannet, J. P. & Hennessey, H. D. (2005). Global marketing strategies. India: Dreamtech Press. Langlois, R. N. & Csontos, L. (1993). Methodology of situational analysis. Rationality, Institutions and Economic Methodology, 113, 20-29. U.S. Department of Commerce. (2008). Industry report on food manufacturing. Retrieved from: http://trade.gov/td/ocg/report08_processedfoods.pdf. Read More