strategic plan- trabajo final
TRANSCRIPT
Running Head: STRATEGIC PLAN 1
Strategic Plan for Yogurtland
Elba Michelle Soto
Ana G. Méndez University System
South Florida Campus
February 26, 2011
STRATEGIC PLAN 2
This work is part of the requirements of the Strategic Management 601 class of the
Metropolitan University of Ana G. Mendez System. After discussed in class what is, how it
function, and the benefits of a strategic plan, we have to develop our own strategic plan. I
selected Yogurtland an industry leader providing frozen yogurts. Yogurtland opened operations
in 2004 and is a self serve frozen yogurt store in which the customers serve their yogurts and the
toppings they wants.
Six months ago a new franchise store opened in the city where I lived and now I’m a loyalty
customer of them. I liked the product and the business concept is exceptionally. I saw them
since the beginning and how still have enough customers. This company has little time operating
and I think they have a lot of opportunity in develop new strategies to be competitive in a market
with high competencies.
Yogurtland is the fastest-growing self serve frozen yogurt brand in the United States and is
considered to be an industry leader in providing top-rate frozen yogurt treats. Phillip Chang,
CEO of the company, conceptualized the idea of Yogurtland and opened the first store in 2004 in
the city of Fullerton, CA. Yogurtland’s corporate headquarters are based in Anaheim, CA.
Yogurtland currently has a total of 80 locations throughout California, Arizona, Nevada, Florida
and Hawaii as well Japan. Yogurtland is expected to have approximately 150 locations by this
time next year. Yogurtland is a franchised brand (Yogurt-land.com)
STRATEGIC PLAN 3
Mission / Vision
The mission at Yogurtland: To bring people together for the most flavorful, natural and
fun frozen yogurt experience while promoting a healthy lifestyle. They want to create an
atmosphere in which the combination of their premium quality products, superior service,
attractively designed stores, and a vast selection of flavors and toppings in a self-serve
environment sets us apart from any other frozen yogurt concept (Based on their website Yogurt-
land.com).
Critical Success Factors
1. Yogurtland is the fastest growing self serve frozen yogurt brand in the United States.
2. Customers are their priority; they compare the treatment of their customers to visiting
guests in their home. The customer is the foundation of Yogurtland.
3. Yogurtland has adopted a new tagline, “You Rule,” which encapsulating their belief that
“You,” the consumer, “Rule” everything while you are in their stores.
4. They offer premium yogurts which is made in house.
5. They offer the choice of 16 flavors of frozen yogurt and 32 toppings.
6. Core customer base is 18 to 39 year old woman (primarily women with children).
7. Target market includes teenagers and college students with lower discretionary income
who are looking for a place to “hang out” with their friends while enjoying frozen
yogurt.
8. Most of the marketing takes place at a local level and consists of banners and signs on
corners of shopping centers to gain recognition for each location.
STRATEGIC PLAN 4
9. Yogurtland attract health conscious consumers who view frozen yogurt as a healthier
alternative then ice cream or other fattening snacks and desserts.
Yogurtland continues to be committed to providing only the highest quality products and
superior service to the customers they serve (Based on their website Yogurt-land.com).
Environmental Variables to Consider
The majority Yogurtland stores are operated as a franchise, each of them must be in force to the
environmental laws of the state or country where they operate. Before the opening of a new
store they need to pay attention on all demographic factors to meet the expectations of the
customers. Variables to consider are tastes and preferences, life style and economic status.
Diagnostics – SWOT Analysis
STRATEGIC PLAN 5
Scenario
The Company needs to open at least 35 franchises in the next 6 months and expand to Latin
American Market. The company expected to have 150 locations in the next year and it’s only
operating 80 at this moment (Based on their website Yogurt-land.com). Our goal is to open at
least 5 franchises every month to go in line with the corporate objective. We are going to start
expanding to Latin American market because the competition there is lower than in US Market.
As a starting point we will develop PR. market in Dorado and San Juan city and then in cities
like Caguas, Ponce and Guaynabo. The reason was there are only 5 direct competitions (Yogen
Fruz, Orgánica Yogurt, Colombo Distributors Yogurt, Yogurt Shop and Best Food Yogurt) and
our type of business are innovative and an excellent alternative to their local options.
Objectives and Tactics
1. The company needs to be perceived as unique brand and as unique experience for the
consumer. The tactics we are going to use are advertising in the traditional media (TV,
radio, magazine) and in no traditional media (Billboards, social networks).
2. Open stores in Latin American market. We are going to focus in penetrate to San Juan
and Dorado in Puerto Rico. The population in Puerto Rico is 3.8 MM and 3.03 MM are
people between 15 and 64 years (our target market). San Juan is the capital and most
populous municipality in PR. Also is a tourist’s major port. The population is 442,447
and the average income was $12,437. In other hand, Dorado has a population of 34,099
and the average income was $16,378. This city has become an area to invest and is being
developed for retail spaces.
STRATEGIC PLAN 6
3. Have a good selection for diabetic people. We are going to introduce 3 to 5 yogurt flavor
in each store and a variety of sugar free topping. The selections in each store are going to
depend on the size and population of the area.
4. Create a “low calorie” menu. Today the people are very conscious in the intake of
calories in their regular diet. Our nutrition experts we will develop 5 low calorie options
every three months.
5. Increase the average ticket introducing new items. The products we will be adding are
bottled water and souvenir items.
Strategies
Our business level strategy focused is the differentiation. Rather than costs, we focused on
continuously investing and developing features that differentiate our product and service in ways
that customers value (Hitt M. p.161). Our corporate level strategy focused is in growing. We
want to open an average of 5 stores every month.
1. The company will be investing $100,000 in advertising in the next 6 months.
(a) TV Commercial – The selected channels will be CBS, Univision, Sport
Channel and Kids channel. We selected those channels because call to our
target market.
(b) Billboards in the expressway. Those billboards going to be very close to the
new franchise location.
(c) Magazines Ad – We are going to use local magazines in the country where a
new franchise opens.
STRATEGIC PLAN 7
(d) Sponsorship of sports leagues – The Company will invest in creative banners
to create desire to go to Yogurtland after the games. We will offer coupons
and goodie bags in tournaments.
(e) Social Network advertising- use Facebook, Linkedin, YouTube, MySpace,
Twitter, etc. to connect, make offers, and get noticed.
2. To penetrate in Latin American Market we are going to focused efforts in public
relationship explaining the benefits of yogurts and win success stories in other countries.
We plan to offer free seminars of the opportunity to own a Yogurtland Franchise. In
those seminars we will cover all you can need to open a new store and how we are going
to help them in term of permissions, advertising and operational process.
As part of our commitment to support the opening of new franchises we are going to
create a “Yogurtland SWAT Team”. This team will help in all details in the grand-
opening of the franchises and also be there for the first month of operation. The SWAT
Team is going to be in charged to prepared a Franchise Development Program with all
franchise Documents, such as; Franchise Agreement, Franchise Exhibits, Consulting and
Support, Pre-opening procedures, Personnel Manual, and Main Operations Manual.
Then they will move to the next opening.
3. To encourage diabetic person as a customers, we will add 3 to 5 flavors of sugar free
yogurt. In the topping bar we will include chocolate bits, cookies bites, gummies, and
chocolate and caramel syrups sugar free.
Also we are going to support Diabetic Association in donate money in a quarterly form.
How we are going to do this: with the support of our employee and our customers. We
STRATEGIC PLAN 8
are going to make events where we donate 20% of our sales in a specific day. Another
way to rising funds includes selling of candles, paper sneakers, bracelets, etc.
4. In our stores we’ll add a low calorie menu. This consist in post a poster with some ideas
in how to prepare a low calorie yogurt, keep in mind that the customer can add whatever
they want. Those ideas are going to help people who are on a diet to saw in an easy way
what they can serve to not overpass the calories. We want the people who are on a diet or
just want to count it calories can do it.
5. Currently we only sale yogurt in our stores. We are going to add bottled water and
souvenirs items with the logo of Yogurtland. We are going to introduce sundae cups,
cups and spoons. The price of these items can add an increase average of $3.45 in each
ticket.
New Items Price List Bottled Water $ 1.95 Sundae Cups $ 4.95 Regular Cups $ 3.95 Funnies spoons $ 2.95
Budget
The budget to run this strategic plan is $321,000. It’s represent an expense of 5 % of the
expected revenues.
STRATEGIC PLAN 9
*This budget is only a simulation for this strategic plan. Yogurtland is a privately-held
company and they do not have any financial information available to the public.
Controls
Before the opening of a new franchise:
1. A study of market of the area would be realized where the new store will open. This
study determined if is a good place or not.
2. Focal groups would be realized to measure tastes and preferences of the target market.
3. It would be a requirement to attend to Business Plan Training by three months before to
operate a franchise.
After the opening of a new franchise:
1. Customer’s satisfaction survey trough social networks sites and suggestion boxes in the
store.
2. All the franchises will be visited every three months to evaluate their Business Plan and
to make any changes if it necessary.
3. The “SWAT Team” stayed there over the first month of operation.
STRATEGIC PLAN 10
Contingency Plan
To have success in the implementation of this strategic plan we developed a contingency plan to
prevent if something wrong happened in the process. Our most important assets are our
employees and customers so we develop a contingency plan of evacuation in case of fire or
earthquake. Those plans will be posted in the store in a visible area. Another contingency plan
that we need for this project is a Roles and Responsibilities Plan. The plan specifies teams and
individuals and the areas for which they are responsible in an emergency situation. The people
involved will must understand their roles and the expectations that these roles place upon them,
and they will be fully prepared to implement their responsibilities at short notice when required.
The second area which is important for us is the information system. It will emphasize the need
for information gathering, correlation and review processes to meet the company requirements.
Advantage and disadvantage in the utilization of objectives to evaluate the performance?
The advantages to use the objectives mentioned in this document are key part of our success. By
establishing clear objectives with a specific target will help us to measure our progress. Without
clear objectives will be impossible to measure. We will use this document as our baseline to
follow and meet our goals at the end of the year. The way that we have established our
objectives will allow us to do reviews in a quarterly base in order to improve during the process
avoiding any delays and or obstacles. This document and many other planning documents
helped to meet our main objectives and stay focus financially, operational and market wise. One
disadvantage will be that the objectives not only focus in financial goals, is more extensive.
STRATEGIC PLAN 11
References
EHow Website, (2011) Retrieved from http://www.ehow.com/how_4465103_make-company-
budget-plan.html
Executive Summary of Yogurtland, (2011) Retrieved from
http://ericreed-online.com/uploads/Marketing_Campaign_for_Yogurtland2.pdf
Frandocs Site (2011) Retrieved from http://frandocs.com/?
gclid=CO66v4HHmacCFUHr7QodCUY3cA
Hitt Michael, Ireland R. Duane, Hoskisson Robert, Strategic Management Competitiveness and
Globalization (Fourth Edition).
Ibiss Contingency Planning (May 4, 2010) Contingency Planning. Retrieved from
http://www.ibisassoc.co.uk/contingency-planning.htm
Mariscal Briones W. (2008) Análisis de la Toma de Decisiones Gerenciales en La Organización.
Retrieved from http://www.gestiopolis.com/canales2/gerencia/1/decgerorg.htm
My Strategic Plan Website (2010) Functional Tactics & Implementation. Retrieved from
http://mystrategicplan.com/resources/functional-tactics-implementation/
Super Pages PR. Site (2011) Retrieved from http://www.superpagespr.com/Searchpg.aspx?
nombre=yogurt&clear=true&lang_code=E S
Yogurtland Website, (2010) Retrieved from http://www.yogurt-land.com/