Escolar Documentos
Profissional Documentos
Cultura Documentos
Semester 2, 2016
Students:
1. Executive summary
AMB240 2016 Assessment 1 Page 2
Cookie Beat is a new business entering into the QUTopian market in 2016. Cookie Beat aims
to beat your cravings with their delicious, delightful and decadent treats. These treats come in
the form three types of cookies which are known and loved by the world over which have
been repackaged and reproduced either by themselves, or in a mixed bag magic. The
residents of QUTopia will finally have their regular fix of cookies solved. Cookie Beats
products are 3 different types of cookies, sold in batches of three either as individual flavours
are as a mixture of the three types. The three types chosen are Chocolate chip, M&M, and
macadamia nut cookies. These three were chosen due to their popularity and overall great
taste. The packaging will include the cookies being wrapped in cellophane with it being tied
at the top with twine, with a company label being threaded through. There will also be a label
at the base of the product which will include all information regarding the ingredients made
to create the cookies. Cookie Beat is aiming to target females aged between 18 and 26 who
are categorised as young optimisms according to the Roy Morgan value segments who also
possess to trait of being a sweet tooth. Since Cookie Beat is the only business within
QUTopia which sells cookies, it does not have many direct competitors. But since there is
still many companies which will be selling ready made goods, Cookie Beat still be strategic
in terms of all marketing decisions. The main competitors facing Cookie Beat include; My
Indulgence, The good, the bad and the brownie, and Viking Waffles. This marketing plan will
analyse all of Cookie Beats marketing decisions, as well as their strengths, weaknesses and
strategies which will be utilised to solve any issues. For the two market days, Cookie Beats
stall will look clean and precise with only necessary items being on display. The business
logo and colours will be on display along with a chalk board which will display prices and
any promotional or specials information. The promotional efforts, include promoting our
business via social media, having a loyalty system for return customers as well as signage and
samples which will be distributed on both market days. Cookie Beat has also outlined key
objectives which will help gauge whether the business has been a success in the end, this is
measured by whether the business was profitable or not.
In the end, the objective of Cookie Beat is to distribute a product to the QUTopian market
which satisfies a need and has a result of being profitable, and satisfying to all customers.
2. The company
3.2 Competition
When developing a product, it is important to identify competitors in order to effectively
price our product and differentiate our products from theirs. The state of Queensland (2016)
Weaknesses
Strengths
Stall Location near entry points Budget: Spending $500 on market
Product is easy to produce stall
As seen from the Industry Profile, Lack of originality
food services have been Food requirements (vegan, gluten
successful and popular in the past free, lactose intolerant and allergies).
Convenient Product All team members have full-time and
Discounted goods to all part time work which limits team
customers meetings
Enthusiastic and passionate Stall set up and stall creation
marketing team As we are purchasing pre-packaged
High consumer item foods it may become expensive.
Effective sales promotions Product is mainly target at the female
Appealing logo and colour demographic, should not dismiss the
scheme in our branding male demographic as they contribute
to 50% of sales.
The industry where business is taking place is within the Other Specialised Food Retailing
industry. Within QUTopia, there are 19 other organisations under the same category which
makes estimating market share difficult. In 2014 Cunning Cookies had a similar product to
ours which with previous industry statistics, we used to estimate our own market share. As
seen in the table (No. ??), Cunning Cookies had 4 direct competitors within its market and
had a market share of 15% within the other specialised food retailing segment. Based off of
this, the amount of competitors within our industry, our product, and its pricing, it is
estimated that our market share will be 20%. This is because there are only 6 direct
competitors within this segment where we aim to be industry leaders.
The first two objectives were selected due to the thought that in order for a business to be
successful it must be profitable and must reach its target market to an expected level. After
review of previous QUTopian data, Cunning Cookies was not profitable in a market of 4
direct competitors, whilst still achieving a 15% market share. As Cookie Beat has only 5
direct competitors, our targets for profitability and total sales are reachable. The third and
fourth objectives were selected for measuring success in terms of customer loyalty and a
response to our promotional techniques. These will evaluate the success of our promotional
efforts.
Market Day 1:
Sales Profit
Chocolate Chip Cookie 16 $400.00
Market Day 2:
Sales Profit
Chocolate Chip Cookie 13 $325.00
M&M Cookie 10 $250.00
Macadamia Nut Cookie 8 $240.00
Mixed bag 8 $360.00
The brand personality is energetic and passionate. Cookie Beat offers delicious, pre-packaged
cookies of various flavours that come in ready to go packages at a very affordable price
which is sure to beat our competitors.
6 Marketing mix strategies
6.1 Product strategies
Cookie beat is aiming to provide the consumer a wide range of different flavoured cookies.
Due to heavy food preparation restrictions, Cookie Beat decided on repackaging and
rebranding pre-made Cookies instead. The cookies chosen are chocolate chip, M&M and
Ingredient/Supplies Sources/Suppliers
Chocolate chip cookie Coles
M&Ms Cookie M&Ms via Coles
Macadamia Cookie Coles
Cellophane Coles
This strategy will work well for Cookie Beat since the business has a competitive advantage
and theres a lack of direct competition in the market. Based on this, consumers will be
charged $Q25 for the chocolate chip cookies, $Q25 for the M&M cookies, $Q30 for the
macadamia nut cookies, and $Q40 for the mixed bag of cookies. These prices may change
though between the two market days due to our marketing strategies and the demand of the
product. These prices were determined by analysing and comparing previous QUTopian
results of products similar to ours, whilst also taking into regard what differentiates our
product from the ones in our market.
Break-Even Analysis
With the pricing strategy decided, and price of the products set, Cookie Beat, will break
even at 66 units as shown below.
Traffic Flow
Floor coverings The floor coverings of our stall will be the pre-existing floor
Our Promotional objectives include, creating awareness and knowledge through advertising
on our Facebook page, Instagram page and uniforms. Creating Relationships through social
Communications Mix
COMMUNICATIONS
KEY MIX ELEMENT (e.g PROMOTIONAL TACTICS
MESSAGE advertising, interactive,
PR, direct sales, social
media etc)
7. Budget
($AUD) ($Q) Sub- Total
Real QUTopia Total
Currency Currency
01. Estimated Income
02. Turnover (total sales) $2,510.90 $2,510.90
08. Distribution
09. Stall Cost $500
10. Delivery Cost
12. Expenses
13. Lecture Promotion
14. Market Research
15. Cost of Stall Materials and $50
Decorations
16. Cost of Uniforms $30
17. Total Expenses $80.00
At Market Day 1
Market Day 2
Post-Market Day 2
Allergy Advice
CONTAINS GLUTEN, EGG, MILK,
AND SOY. MAY BE PRESENT:
TREE NUTS, SESAME AND
PEANUTS.
1. For QUTopia, any product Yes. The product ingredient label will list the product
Allergy Advice
CONTAINS GLUTEN, EGG, NUTS, MILK, AND
SOY. MAY BE PRESENT: TREE NUTS, SESAME
AND PEANUTS.
Ingredients: Wheat Flour, Sugar, Butter (Milk, Salt),
Vegetable Fats and Oils [Antioxidant (307)], Macadamia
Nuts (5%), Natural Flavour (Contains Milk and Soy),
Salt, Raising Agents (503, 500).
Food items only: During the repackaging of the product, all team members
who comes into contact with the product will be required
2. Does your product comply
with food handling to wear gloves upon handling the cookies.
procedures including
gloves if touching
unpackaged foods such as
fruit for smoothies, hot
dogs or cakes/biscuits?
All items
The product will be hygienically pre-packaged prior to
How are you transporting the
the market day in their individual packs for ease of
food, beverage, candle or items
transportation, before having the items transported via
that may touch the skin to
private vehicle in a box. No refrigeration is required.
marketday?
Is refrigeration or heating
required for storage during
transport or at marketday? If so
please state the details.
Innosutra. (2007). 4 Tools for Developing Innovative Solutions 4.2 Brainstorming. Accessed
August 23 2016. http://www.innosupport.net/uploads/media/4_2_Brainstorming.pdf
Dean, J (1976). Pricing policies for new products. Harvard Bus. Rev.54(6):141153.
Kotler P, Armstrong G (2012). Principles of Marketing, 14th ed. (Pren-tice Hall, Upper
Saddle River, NJ)