Marketing 468

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Marketing 468

• Marketing Strategy Term Project
• Section 1 Team 3

Dhananjay AgarwalNancy DennisJohn PangPeter
WoodsonHiro Yamabe
November 19, 2001
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Project Overview
Phase 1
Phase 2
Phase 3
Market Analysis
Strategy Concept Development
Concept Testing (Sales Forecast)

• Market Survey
• Posted on BBS
• 16 samples
• Usage
• Price
• Sampled HeaterMeals

• Market Survey
• Created web survey
• 40 samples
• Obtained customer needs and perceptions
• Sampled Products
• Reviewed Nielsen Data
• Reviewed Current Positioning

• In depth interview
• 2 target segments
• 10 samples
• Refined our strategy and product concepts
• Strategy Meetings w/ CP

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Most Important Needs
N40
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Current Market Positioning
5
Our Strategic Positioning
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Strategy
Hyper-convenient great tasting, hot meals

• Strategic fit to GM
• Prego Bake Sauce -- success of hyper-convenience,
  great taste heat
• Progresso Soups great tasting, hot,
  shelf-stable food
• Green Giant great tasting, shelf-stable
  vegetables

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Two Product Concepts
Self heat technology
GM food expertise
Personal Chef
Fireside Feast
Target Customer
Professional
Outdoor(Hunters/Fishermen)
Heating Time
7 min
15 min
Size
8-10 oz
10-12 oz
Healthy
Calories - med
Calories - high
Nutrition med to high
Nutrition med to low
Price
4
4
Brand Family
General Mills
Betty Crocker
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Top View
Cutaway View
Fresh Water
Food Mix
Salt Water
Magnesium Chip
Press, Snap Heat
One Step to Hot Food in Under 7 Minutes.
147F
147F
Press, Snap Heat
Personal Chef
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Top View
Cutaway View
Protein Carb
Veggies
Salt Water
Magnesium Chip
Press, Snap Heat
One Step to Hot Food in Under 15 Minutes.
147F
147F
Press, Snap Heat
Fireside Feast
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Tactics for Both Products
Promotion
Issue
Action Plan
Need to show hyper-convenience
TV ads, Magazines
Branding In store trial, TV ads Process
description on packaging
Need to show safety
In store trials Co-branding with Green Giant
Evian water
Need to show good tasting meal
Need to build awareness
Give away free at high traffic office areas Place
in end aisle
Distribution
Use existing channels grocery, mass merch and
c-stores
Easily accessible
Take home out of equation
Distribute via internet orders for delivery to
office desk. Sale of multipacks.
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Source of Sales

• Bowl Appetit
• Use at home and work

• Personal Chef
• Use at work

• Fireside Feast
• Use outdoors

Bowl Appetit
Hot Dogs
Frozen
Sandwiches
Restaurants
Other Shelf Stable
Other Shelf Stable
Current Market
1) Low Cannibalization of Bowl Appetit 2)
Switching Tactics
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Personal Chef Sales Forecast
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Fireside Feast Sales Forecast
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Action Plan for Sustainability
Continuous differentiation necessary to counter
market forces.

• Enhanced food product
• New Flavors
• Heatability
• Innovation in self-heating technology
• Design patents
• Continued brand building
• Market to new audiences
• construction, landscaping, agriculture, trucking,
  airlines

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Quotes from Real People

• Dont you think thats the neatest thing I
  could see using that a lot.
• (overheard speaking to other in-depth interviewee
  secretary after they both had completed their
  individual interviews)
• I would definitely try it!
• This would be an attractive product, if the
  taste were good.
• The biggest merit is that I would not have to
  buy a lunch! Restaurants and convenience stores
  are always crowded at lunch time.
• Good because I dont need to get up at work.
• It would be great on the road.
• I have to go to the kiosk to use the microwave
  at work, so I end up not using it (the microwave)
  that much.
• I would buy it for camping to try it out, and if
  its good, then I would buy it a few times a
  month and keep bringing it for camping.
• Right. I can just throw it in my pack quickly
  for a hot meal while fishing.

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Summary

• Create hyper-convenient product that leverages
  GMs expertise with quality foods
• Introduce Personal Chef to working professional
  market
• Introduce Fireside Feast to outdoor market
• Grow total revenues by 50 per year.(420MM)

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Questions
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Surveys

• 1st Web Survey
• Purpose Better understand market needs and
  perceptions.
• Process Emailed message with URL to friends and
  family.
• Clearly not a fully representative sample, but
  this is a class exercise!
• See http//survey.fuqua.duke.edu/cgi-bin/ssvws?sur
  veysaid/course/marketng_361/team02/survey.htm
• See Appendix Q for survey results.
• In-Depth Interviews
• Purpose Better understand specifics of concept
  design and positioning.
• Process Sit down interviews with Fuqua
  secretaries and professional and hunting/fishing
  friends.
• See Appendix W for sample interview.
• 2nd Web Survey
• Purpose Get pricing and usage data for target
  market
• Process Posted messages on hunting/fishing
  bulletin boards, and emailed professionals.
• See posting at http//www.huntingbbs.com/forum/top
  ic.asp?TOPIC_ID49015FORUM_ID18CAT_ID2Topic_T
  itleAcademicProjectForum_TitleOffSeason
• See survey at http//www.duke.edu/psw2/personalch
  ef/ or http//www.duke.edu/psw2/soloheat/
• See Appendix Z for survey results.

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Naming Why these names?

• Personal Chef
• Taste
• Quality
• Convenient
• Prepared for you

• Fireside Feast
• Hot
• Hearty
• Convenience
• Taste

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Revenue Forecast
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RTE Meal Competitive Landscape
Supplier Power Short Term Big Long Term Low
Substitutes Short term High Long term High
Buyer Power Short Term Low Long Term High
Industry Rivalry Short Term Low Long Term High

• Barriers to Entry
• Short Term High
• Long Term Low

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Competitor Reaction
Suppliers Unless General Mills chooses to
purchase and manufacture the heating technology
there is the possibility of being held-up by
the supplier. In the long run, General Mills
will need to vertically integrate to acquire the
manufacturing of the technology.
Rivals - when the Fireside Feast and Personal
Chef hit the market, we anticipate that other
competitors will enter the market see next slide
Buyers - Depth interviews indicate that the
initial thought of self-cooking may be thought to
be unsafe, however when the consumer is assured
of products safety, they believe the product
would be extremely useful.
Substitutes - Many forms of lunch or snacks are
substitutes for Personal Chef, however our survey
and interviews indicates that for Hunters/
Fishermen substitutes are cold meals (e.g..,
sandwiches), pre-packaged snack products (e.g..,
granola bars), or foods that require a stove or
fire to cook (e.g.., soups and hotdogs).

• Barriers to Entry
• Patents
• Alternative technology to heat meals needs to be
  developed and manufactured
• Distribution networks
• Quality of food