Good Food LTDMarkops Presentation

ByLyle, Sam, Iona and Dani

Objectives

To target products at relevant and profitable segments To create a new product to target missing segments To become cost efficient with experience To maximise profits by segmentation and positioning

Period 0 – Young and Stupid

What we did- Raised the price of Cake and Candy to increase

profit margins- ‘High Price = High Quality’ theory- Increased our advertising budget massively

Period 1 – FREE FALLING!

What happened?• Lost market share • We were priced out of all our target markets

What we did• Lowered price of both products• Created a cost-effective formula for Candy • Cut our advertising spending

Period 2 - Assume the Recovery Position!

What happened?• Our money stopped plummeting

What we did• Increased management time and advertising

for Candy • Reduced marketing in unused areas• Utilised channel management • Utilised positioning

Period 3 – Nothing is changing!

What happened• We were now stable but not growing• Cake production costs reduced

What we did• Invested in improving Candy formula• Candy price further reduced• Took Cake off E-Markets• Distributed Candy online

Period 4 – I can see clearly now

What happened• Cost decrease due to experience• Cake improved quality • Candy performing well in E-boutiques• Profits remained stable

What we did• Increased management for online accounts• Removed Candy from E-grocers• Increased Cake price due to improved quality

Period 5 – I think they got it!

What we did• We put Cake online in E-Grocers• Increased promotion for Candy online• Offered margins to online sellers• Production level to full capacity• Reduced Cake price

What happened• Candy performed well on E-boutique• No huge profits but small growths • Maintained regular profits to use• Cake lost considerable market share due to increased price

Period 6 – Super Recovery

What happened• We made huge improvements in sales, revenue, ROI and profits• We earned a bigger budget • We had an exceptional cost due to improved product• We increased market share online

What we didInvested further into E-marketsIncreased advertisingIncreased capacity

Evaluation

• We didn’t get to develop our new product to target the mid income families which was a big segment

• We worked well as a team

Competition Analysis

• Savor and Tasty flew ahead• Whippet stumbled in launching a new product• We managed to overtake Whippet near the end

Questions?