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?