Designing a New Food Product for the UK Market - Business Plan Example

Designing a New Food Product for the UK Market Table of Contents Introduction 4 Macro-environmental Analysis 5 PESTEL 5 Political 5 Economic 6 Social7 Technology 7 Legal 8 Ethical 8 Marketing Strategy 8 STP 9 Segmentation 9 Targeting 10 Positioning 11 Specific Recommendation 11 4 Es of Marketing 11 Experience 11 Everyplace 12 Exchange 12 Evangelism 13 4 Cs of Marketing 13 Consumer 13 Cost 14 Convenience 14 Communication 14 Conclusion 15 References 16 Bibliography 19 Introduction Changing needs of the people have in turn been influencing the market to diverge in different products that they are selling within the market. With the increased need of integration among the people and changed needs of socialising, taste and preferences for consuming different products are even changing. This at several instances influenced the overall market structure and paved way for introducing new products. The development of different strategies are noted to be creating a huge influence towards introducing new products that would be able to meet with the different needs of the consumers and ensure effective progression of the products. Food products unlike all products even face similar amount of competition based on the changing tastes and preferences of the people (Mashhadi & Ijaz-Ur-Rehman, 2012). In this regard, the UK market is determined as one of the prominent examples of diversity and have been experiencing severe amount of changes based on the complex composition of the population within the social constraints. It has been creating a huge amount of influence on the overall social development (Mashhadi & Ijaz-Ur-Rehman, 2012). With the changing needs of fast foods that has healthy nutrients, the ready to eat food supplements are gaining control over the market at large. Increased amount of work pressure amid people today is identified as an important factor responsible for the inclination in having foods that are less time consuming to cook. Hence, the “Sweet & Sour Chicken Soup” is likely to have a better growth prospective within the UK market (Mashhadi & Ijaz-Ur-Rehman, 2012). In this regard, the coursework thus conducted reflects on the review of the internal and external environment of the UK and accordingly, develop a proper market trend. The development of the different attributes is noted to be having a huge amount of progression within the social domain. Macro-environmental Analysis Macro-environmental analysis is one of the most important and foremost needs of developing a proper strategic planning for increasing the prominence of the products within the market. This majorly reflects on the needs of developing different attributes for maintaining a transparent system and ensures effective development of a business through mitigation of the threats imposed by the external environment. Hence, the macro-environmental impacts needs to be addressed, so that the overall attribute of the business could be met effectively and ensure sustainable growth and development of the business (Krause, 2013). PESTEL PESTEL analysis helps in analysing the external environment of a business and provides a better insight towards developing the same to ensure an effective system that would help in developing transparency of operations (FME, 2013). The following section will be addressing the different attributes of the external environment. Political The political environment of the UK is quite stable and reveal lower amount of fluctuations over the years. Sustainable political development is identified to be one of the most important parts that support the growth and prosperity of a business within the global arena. For the food industry in the UK, the political environment supports a projected development of the different food products that would ensure long term and uninterrupted growth prospects (FME, 2013). However, the UK food industry has certain specified guidelines for maintaining safety of the products that are being offered to the people. This guideline broadly identifies the need for ensuring that a certain standard of different food supplements are duly met for ensuring the overall quality of the food and the amount of health concern related with the same could be duly assured. Furthermore, the UK government even specifies stricter policies for maintaining a proper labelling of the food products. This ensures a declaration in terms of the different level of goods that are being used by the companies for producing the food products. In addition, the UK food market even makes it mandatory for ensuring the safety needs relating to the food being supplied to the common people for consumption is meeting up the standards specified by the government. These strict norms are going to act as a huge challenge for the company to enter the market and ensure a sustainable growth (Rao & et. al., 2009). Economic Based on a stable economic growth and a low progress of inflation, the country even successfully ensures a proper sustainable economic environment for a particular sector to flourish. The economic environment is even noted to be providing for a proper system that would ensure proper strategic development and growth within the system. The food and beverage industry in the UK is flourishing in the recent years; this could be majorly a reason due to the intensive and uninterrupted supply of raw materials (FME, 2013). This phenomenon is going to catalyst the effective development of the food industry within the social domain, which in turn will ascertain proper progression in an effective manner. Correspondingly, the low set up cost even acts as a positive attribute for the different companies to set up their production units within the country. Additionally, the growing market even acts as a huge prospect for investment and ascertains future growth of the business (Rao & et. al., 2009). Social The social environment acts as a positive support for maintaining a sustainable development within the global domain and paves way for positive progress of the product that is being launched. The busy lifestyle of the people prevents them from maintaining a healthy diet as well as a proper food habit. The food products that are being offered to the people will suffice their need of fast cooking and ensure a healthy balance (Rao & et. al., 2009). Correspondingly, the consciousness of the people towards having a proper food would ensure their maintenance of quality assurance and enable them to eat healthy food. These factors are noted to be affecting the different lifestyles of the people. The “Sweet & Sour Chicken Soup” would be able meet with the needs of the people and ensure effective development of health and other concerns for the people. Hence, the product will be able to maintain an effective development with the needs of social environment in the UK (FME, 2013). Technology Technical development within the country has in turn enhanced the different needs of maintaining a proper and sustainable development of a company. Investments made within the technical field have enhanced the country’s abilities to meet with the needs of progression and social development within the larger domain (Rao & et. al., 2009). Correspondingly, to meet with the needs of globalisation, the country has further enhanced its prominence within the technical field and ensured use of advanced technology for better sustainable development in the long run. This is going to increase the ability of the company to meet with the social needs and ensure effective development of the technical advancement for progression (FME, 2013). Legal The UK food and safety regulations provide certain guidelines, so that a proper quality of the food products could be ensured. Hence, the different legal bindings that are associated with the food and beverages are noted to be creating huge amount of blockage for the company trying to design the new products. Correspondingly, the specifications of different food supplements are likely to create a huge amount of obstructions for the company to launch its products and meet with the standard guidelines of the UK food industry (Rao & et. al., 2009). Ethical The ethical standards in terms of maintaining fair trade and other needs of development are mentioned under the ethical standards. The UK food and beverage industry is very strict regarding the ethical market practices. This is likely to affect the projected growth of the company and even affect proper designing of the food products to find a ready market for long term growth (Rao & et. al., 2009). Marketing Strategy With an effective planning, developing a proper marketing strategy is important for the company to ensure effective development of a proper market scenario. An efficient progression of the company along with the sustainable domain of providing effective care could be ensured with proper planning and enforcement of an appropriate marketing strategy. The marketing strategy identified for the specific product design is based on the development of an effective strategy related to segmentation, positioning and targeting (Lynn, 2011). The following section elaborates on the specific needs of the same and provides a detailed insight towards long term planning. STP Segmentation Market segmentation is an important part of marketing. At the very basic level, segmentation means dividing the market in a manner that facilitates in appropriately identifying consumers to be targeted for formulating strategies. This helps in developing a proper plan for a specific segment. Subdividing the overall market within small and specific segments helps in developing a proper system that will facilitate to meet with the needs of the consumers for meeting their level of satisfaction (Wedel & Kamakura, 2012). For the current product, market segmentation is important for understanding the individual needs of the consumers (Claudiu & et. al., 2008). The company plans to cover a large section of people and ensure that proper grouping of consumers is maintained to enhance an effective progression of consumer satisfaction. Commendably, this ascertains an efficient integration of the different strategies that would be ensuring the effectiveness of the system. This could be strategically ensuring the efficiency of the system and the effectiveness of the company to meet with the development of the overall system (Kotler, 2008). For attaining a proper market for this product i.e. “Sweet & Sour Chicken Soup”, segmentation is very important. The product needs to be offered to different sections of people. Strategic implication to enter the market must be used for segmenting the different sections as per individuals’ needs and specifications. This would helps in segmenting the individual needs of the consumers based on their provided specifications. In this respect, market segmentation is needed to be done based on the tastes and preferences of the consumers. This could be majorly identifiable that the people are mostly consuming the goods for their needs of ease of cooking and health needs associated with the consumption of the products (Moschis & et. al., 1997). Targeting Segmentation of the market is followed by targeting the consumers with effective developmental plan. With the integration of the segmentation of the market, the company will be able to segregate the overall market and ensure effective planning of the overall market strategy. Targeting consumers has been the most important part of planning a strategy that will be ensuring effective development of the overall plan to develop a transparent system of marketing within the social domain (Hajar & et. al., 2014). Heterogeneous targeting has gained prominence over the years and based on the various needs of the consumers aligned in a single product. Hence, the company needs to develop the overall marketing strategy to ensure that the company is able to meet with the needs of development and other specifications within the plan. With the strategic integration of this progress, the company will be able to develop diverse plans for meeting with the needs of progression and development within the social domain. Constant development of proper target mechanism within the marketing domain is likely to enhance the effectiveness of the strategy and ensure sustainable growth and progression (Khan, 2013). Targeting is very important as the launch of the new product i.e. “Sweet & Sour Chicken Soup” must be done, so that the targeted needs of the consumers could be met in an efficient manner and using diverse needs of the consumers. Correspondingly, this plays a vital role in developing the overall structure of the market and formulating strategies applied are needed to be aligned with the needs of the consumers. The target audience for a particular product will be the household sections of the society. However, the product is a chicken product and hence, the major targeted section would be the non-vegetarian consumers (Moschis & et. al., 1997). Positioning Once the targeting is done, the market needs to be segmented and positioned accordingly. With this effective integration, product positioning must be ensured to develop the overall market structure and ensure the product is offered in a proper market (McDonald, 2012). Product positioning is noted to be a prime need for developing an appropriate market structure for ensuring that the different needs of the market and individual consumers are effectively met. The new product design is to be positioned as such it finds a proper market for progression and development and correspondingly, ensure that the overall structure has been effectively met (Dibb & Simkin, 2013). Once the market has been segmented and the target consumers are specified, there is a huge need for developing the overall structure and positioning the product in an appropriate manner. The new product i.e. “Sweet & Sour Chicken Soup” has been positioned in accordance with the needs of the market. In this context, positioning the product is identified to be an important mechanism based on which the product can be offered to the customers conveniently. This would further ensure that the different strategic plans have been duly induced to increase the ability of the market and meet with the diverse needs of the consumers (Moschis & et. al., 1997). Specific Recommendation 4 Es of Marketing Experience Consumers in the present domain are more focused towards buying a product only when they are able to experience the same and identify the value they can have from consuming the product. Thus, to increase the acceptance of the product, the company needs to ensure that they are able to generate value of the product. This could be effectively done based on distributing the product, so that the consumers can use it to develop a better understanding towards the product to be launched. In order to gain market prominence, the company plans to distribute complementary supplement of the product with its existing products to find a place within the UK household segment (Rajagopal, 2012). Everyplace With the aim to increase the prominence of the product, a specific and proper channel must be used to promote the same in order to gain its prominence within the new market. Hence, the company plans to enhance the promotional techniques associated with the same for ensuring that the consumers are acquainted with the same. For conducting a proper promotional activity, the company plans to follow both traditional and new mode of promotional tools. Correspondingly, the company even plans to promote the products through advertisements in billboards, television commercials as well as through social media (Jones, 2012). Exchange Since the product aims to meet the needs of the consumers, they are likely to meet with the health needs, so that overall sustainability could be maintained. The new product designed will be based on the individual needs of the consumers and their specific preferences (Sudhakar, 2012). With the changing taste and preferences of the consumers, the product has been designed for attaining the needs of health and other progressions. Moreover, the present era reflects on the development of the product based on the specifications outlying the different needs of the individuals and meeting the specific needs of ease of cooking. The company plans to offer a product that would be easy to cook as well as maintain a balance of diet, which in turn will ensure an increase in the rate of consumption (Rajagopal, 2012). Evangelism With a parallel development of the different needs of promotion, it is primitive to meet with the needs of progression based on effective sharing of word of mouth and through recommendations. With the strategic development of different promotional tools and handing out supplementary products within the social domain, the company is effectively going to develop a proper market as well as ensure consumer preferences for the same. This will assist the company to maintain an effective sustainable domain and ensure effective progression of the technique. With this changed process of specifications, the company is likely to enhance consumer’s loyalty for the product. Respectively, the company with the assistance of the aforementioned strategies will be effective in building an effective relationship with consumers (Dahlen & et. al., 2010). In addition to the 4Es of marketing, the different marketing strategies could be formulated using the 4Cs of marketing. The following section elaborates on the 4Cs of marketing for developing a better approach of formulating the design in accordance with the needs of the consumers. 4 Cs of Marketing Consumer The consumers’ acts as the most important part of the marketing and hence, the company must be designing the product keeping in mind the specific needs of the individuals. This will lead towards an effective development of the different needs of maintaining quality for developing the overall system in a successful manner. Strategically development of the different attributes is to be aligned with the needs of the different consumers with the progression of the different marketing needs (Dahlen & et. al., 2010). Cost The price of the product is noted to be kept low, so that the product finds a ready market within the different market segments. In this respect, the company should adopt a penetrating pricing policy based on which the price of the product will be low in the initial phase and later on, with the rise in demand, the product will be charged higher. Subsequently, this pricing policy will ensure an effective market progression of the product that is being designed (Jones, 2012). Convenience To increase the availability of the product, the company has successfully selected the retail marketing chain. This would ensure that the strategic marketing technique has been duly followed and prominence of the newly launched products has been enhanced. Rather this would even act as a strategic move to provide with an effective support for increasing the amount of utility of the products as well as ease of availing the same (Dahlen & et. al., 2010). Communication The company must be using some popular source of communication with the masses. This could be done using the different modes of communication and efficient channels of the same. The company even plans for incorporating brand ambassadors for increasing the status of the product and ensuring effective development of the same within the consumer market (Jones, 2012). Conclusion Designing products and finding a ready market for the same is a huge challenge for developing the different needs of the product presentations and market development. For the specific product i.e. “Sweet & Sour Chicken Soup”, the company is likely to find a ready market based on the tastes and specifications of the people. The product may further find a strategic approach to meet with the needs of consumers through effective communication and promotional techniques. However, the product must also be capable of meeting with the needs of the standards and quality procedures specified by the government and attend the health needs of the consumers at large. This will further help in enhancing the quality standards associated with the product and enhance its marketability. References Claudiu, C. S. & et. al., 2008. Segmentation, Targeting and Positioning Of the Suppliers. Basis Element in Strategic Planning On Business To Business Market In Romania, pp. 1-6. Dahlen, M. & et. al., 2010. Marketing Communications: A Brand Narrative Approach. John Wiley & Sons. Dibb, S. & Simkin, L., 2013. Market Segmentation Success: Making It Happen! Routledge. FME, 2013. 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