Fast

1
Fast Fresh
Italy
By Gina Behrend Tammy Koopmans
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Industry Analysis
Restaurant Industry

• Sales increase of 4.9
• Daily Sales of 1.3 Billion
• Annual Sales (projected 2005) 476 Billion

Fast Fresh Italy
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US Food Drink Sales (in billions)
Source NRA Forecast
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Distribution of Restaurant Types in Sioux City,
IA
Source US Department of Labor Statistics
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Food Dollars Spent in US
Source National Restaurant Association
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Industry Analysis

• Opportunities
• Growing demand for fast-casual restaurants
• Newly developing retail area
• Busy lifestyles health conscious individuals
• Introduction of ethnic foods
• Brand Recognition
• Threats
• Consumer spending
• Local competitors
• Supplier relations securing supplies at
  reasonable costs
• Budgeting

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Customer Analysis

• Target Market
• Empty-nesters, childless couples, singles,
  business people
• Dine out an average of 2.5 times per week
• Trends
• Consumer Demand for Choices
• Consumer Demand for Convenience

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Market Analysis
Source Sioux City Chamber of Commerce Statistics
Potential Customers Growth 2006 2007 2008 2009 2010 CAGR
Residential Customers 1.90 5,500 5,605 5,711 5,820 5,931 1.90
Business Customers 2.30 7,500 7,673 7,849 8,030 8,215 2.30
Total 2.06 13,000 13,278 13,560 13,850 14,146 2.06
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Competitor Analysis

• Local Competitors
• Limited Service
• Full-Service

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Dining Out CharacteristicsResults
Qualitative Survey of Marketing Administration
Students October 2005
Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 ) Qualitative Survey (October 2005 )
  1 2 3 4 5 6 7 8 9 Total Score Importance Rating
Food Quality 1 1 1 1 2 1 2 1 1 11 1
Service 2 3 3 2 4 4 3 2 4 27 2
Menu/Variety 5 4 2 4 1 5 5 3 3 32 3
Price 4 5 5 3 3 2 1 4 5 32 4
Environment 3 2 4 5 5 3 4 5 2 33 5
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Competitive Analysis
Source Qualitative Survey - October 2005
Weight Fast Fresh Italy Wgt Score Fast Fresh Italy Sbarro Wgt Score Sbarro McDonalds Wgt Score McDonalds Quiznos Wgt Score Quiznos
Food Quality .35 4 1.4 3 1.05 3 1.05 3 1.05
Service .25 4 1.0 3 .75 3 .75 3 .75
Menu/ Selection .15 3 .45 3 .45 4 .60 3 .45
Price .15 3 .45 3 .45 4 .60 3 .45
Environment .10 3 .30 2 .20 2 .20 3 .30
Combined Score 3.60 2.90 3.20 3.00
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Internal Analysis

• Strengths
• High quality food
• Quick and friendly service
• Variety of ethnic menu items
• Healthy choices
• Affordable prices
• Great Location
• Weaknesses
• Limited Budget

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Fundamental Marketing Strategies

• Local Suppliers
• Metz Baking Company/Old Home Bread
• Tyson Foods

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Demand Forecast

• Potential
• 13,000 customers x 130 meals out x 7.50
• 12,675,000
• Fast Fresh Italy Projections (First Year)
• 9,750 customers x 8 meals x 7.50
• 585,000

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Demand ForecastFast Fresh Italy
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• Positioning Strategy
• Competition Strategy
• Differentiation

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Marketing Mix Strategies

• Product
• Promotion

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Marketing Mix Strategies

• Price
• 2.40 (cost of food) / .32 (food cost percentage)
  7.50
• Personnel
• 6 full-time employees
• 7.75 per hour x 160 hours per month x 6
  employees
• 7,440 per month (89,280 for first year)

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Marketing Mix Strategies

• Place
• 5801 Sunnybrook Drive
• Sioux City, IA

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Implementation Control
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Conclusion
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Appendix

• 12 Month Sales Forecast
• 12 Month Personnel Forecast
• 12 Month Profit Loss Forecast
• Promotional Materials
• Advertisements
• Menu

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Questions?
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