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MARKETING PLAN
PIZZA COTTAGE
Market Masters
I. Executive Summary
Pizza Cottage is a restaurant local to central Ohio since 1972, with 5 facilities in the area. They
specialize in convenience, comfort foods, service, and atmosphere. The menu consists of various
pizzas, subs and appetizers. Continued success is achieved by maintaining focus on quality, customer
satisfaction and a relaxed atmosphere. Evaluation of current practices revealed a solid customer
base and continuing growth. Our research that focused on ways to bring in new customers showed
word of mouth referrals were the strongest motivator for customers to try a new dining experience.
Overall, Pizza Cottage has built a positive growing business in a turbulent economy. Drastic changes
in practices are not necessary. The marketing strategy addresses opportunities to present greater
value while highlighting various menu items on specific days. This opportunity to experience the
quality products, great service and relaxed atmosphere will add new customers to the Pizza Cottage
base, thus increasing market share. Alternative market strategies are presented that may further
increase market share at additional costs.
II. The Challenge
Pizza Cottage is a local chain restaurant serving pizza, subs, salads, appetizers, soft drink, beers, and
select wines. Their focus is to provide a quality product, good services and a pleasant atmosphere.
The goal of this plan is to offer marketing strategies that may increase brand recognition, product
value, and increase overall sales. Currently Pizza Cottage has positive growth in the Central Ohio
area. This plan will present ideas that may assist in this growth by generating new customers
surrounding the current Pizza Cottage locations. A positive experience with these new customers
will lead to a broader customer base, higher profits, and continued growth possibly leading to
further expansion.
III. Situation Analysis
Company Analysis

Goals: The goals of the company include keeping present day customers happy, as well as
potential new customers. Our overall goal is to answer the question: What motivates a person
to try a new dining experience? Through research and analysis, we will be able to understand
the approach needed in order to gain new customers.

Focus: The main focus will contain the ways to intrigue new customers to try our business. We
will use strategies we find best fitting to fulfill our goals.

Culture: Since our company produces pizza, which is a huge part of American culture, there
should not be any problem with the overall culture.
MARKETING PLAN

Strengths: The strengths of the company are based upon the fact that it is a family owned
business that looks to expand within the state of Ohio. We guarantee great customer service
skills and we treat every customer as if they were a part of our own family. We use locally
grown fresh ingredients to ensure quality products, all while helping local farmers. We have a
powerful menu that offers a great variety of products, all which is available online.

Weaknesses: A major weakness in our company is that we are family owned and not a
corporation. If we were a corporation, we would have access to much more advertisement on a
national level. We also have to build our reputation on our own. The only way to achieve that is
to keep customers happy and returning to our business. We do have a small market area
considering we only have a few locations, all of which have competitors who are national pizza
chains.

Market share : There are quite a few powerful chain pizza companies within our market area.
Competing with such chains can be difficult, but we will use our marketing strategies and
statistics to help ensure that we are remaining competitive in the market and creating an
increase in our market share. It is very difficult to compete as an individually owned restaurant
in any market, especially pizza chains. I am confident that we have the ability to compete
against such chains and be successful in doing so.
Customer Analysis

Number: The Pizza Cottage is a family owned business that has been a popular place to eat in
Buckeye Lake since 1972. Their current customer base averages 500 customers a night, and
since expanding to four nearby towns, it will likely continue to increase.

Type: They attract a wide variety of customers such as families, high school and college
students, and people who like the sports bar atmosphere. In addition, it is also a popular spot
for people that are visiting or vacationing at Buckeye Lake.

Value drivers: Pizza Cottage’s choice of quality ingredients, variety in menu items (i.e. great
variety of pizzas and beers, wings, subs, salads and more), and competitive prices keep the
customers coming back.

Decision process: According to a recent survey, the majority of people choose to eat at
establishments based on recommendations from regular customers and personal contacts. So it
is safe to assume that most of Pizza Cottage’s diners choose to eat there based on word of
mouth.

Concentration of customer base for particular products: Pizza cottage’s concentration of
customer base is pizza lovers. People who not only love pizza, but like the varieties of pizzas
offered.
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Competitor Analysis

Donatos – A well-developed pizza franchise restaurant but located mainly in the Northern
Region of the country. Famous for its thin crust pizza but also offers a variety of wings, salads,
subs and deserts. Donatos pizza and such are offered at reasonable prices and they offer
delivery but usually within 45 minutes to an hour.

Little Caesars- A Nationwide pizza chain well known for its “$5 Hot and Ready Pizza” Offering a
convenient option for pizza having the pizza ready when the customer comes in has allowed
Little Caesars to have an advantage over its competitors. A disadvantage for this restaurant is
that unlike their competitors do not offer much of a variety, only wings and breadsticks. They do
not offer the convenience of delivery.

Debra’s Pizza- A local pizza restaurant, in Newark Ohio, this is family owned and is not a
franchise or popular chain. Debra’s pizza offers things like subs, salads, wings and breadsticks
but are on a higher end of pricing. Higher pricing is probably due to them not being a franchise
or major chain restaurant. They like Donatos offer delivery and also takes between 45 minutes
to an hour.
Collaborators




Pizza Cottage is a family owned business; they are not a subsidiary of another company, nor do
they have any subsidiaries. And they are not part of a joint venture.
Their distributors are: Pepsi, Midwest Fresh (produce), RDP Food Services (all other foods,
including pizza toppings), Cintas (linens), Matesich Distributing and Brown Distributing
(beer/alcohol).
They support a variety of area sports teams including: little league, girl’s softball, boy’s flag
football and men’s basketball.
Although they do not support any area charity events, they do donate pizzas to the area Red
Cross for blood drives.
Climate


Political and legal environments
o New tax laws for 2012 governing small business
o Zoning laws for future locations
o Wages are lower in Newark and other outlying communities compared to Columbus and
surrounding metros
o Governments in these smaller communities encourage and offer greater support of
businesses to provide jobs and taxes
Economic environment
o Current unemployment rate in Newark is 8.7% compared to the national rate of 9.1%
o Inflation of produce due to seasonal issues
o Fluctuation of gas prices to ship products
MARKETING PLAN


Social and cultural environment
o New diet fads and trends toward healthy eating are impacting traditional sales
o Organic and all natural food craze preventing people from eating pizza
Technological environment
o New and improved ovens use to bake pizza
o Improvements to keep items hot while getting it to customers
o Computer software to run the company communications
SWOT Analysis
Strengths:

Family owned- Local small business that is known locally for being family oriented and
making customers feel as though they are family

Superb customer service- personal touch and interaction with customers, creating
customer loyalty

Convenience- they have a drive up window for customers to pick up orders

Fresh ingredients- have always used fresh ingredients to ensure better quality

Free business delivery- currently help support local businesses by offering free delivery
to other businesses within the delivery area

Local advertisement- Advertise locally through flyers, cars, word of mouth, signs, and
commercials

Specials- Daily specials are advertised, as well as lunch specials

Website- The website is easily navigated and detailed
Weaknesses:

Not a franchise- Less people know about it and become more reluctant to experience it

Higher production costs- Being an independent restaurant, they have less access to
capital and no franchise support.

Lack of advertising- Unless you are in the serving area, most people have never heard of
it due to lack of advertising outside of market area

Small market area- Pizza cottage is only known in Central Ohio and have not expanded
from there

Customer service training expense- It costs a business a lot of money to train individuals
how to treat and handle customers
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
Reputation- It is harder to build in some communities where customers are already set
in their ways.

Competition- They compete against major chain pizza places such as Pizza Hut and
Dominoes. These places have online ordering and payment, which is also more
convenient for some

Pricing- It is independently owned and uses fresh, local ingredients, which causes the
prices to be higher than the bigger chains.

Specials- buying locally and fresh ingredients limits profitability

Customer perception- Defining themselves as unique, they have to rise above the
traditional pizza place perception
Opportunities:

Advertising- Flyers, inserts in Sundays papers with coupons

Atmosphere- Introduce juke boxes, and/or games to create another atmosphere

Expansion- Open new stores in different areas, such as malls, more stores in each
county that already have one

Online ordering-

Expansion- new store opening, total of 5 stores open in the region. More opportunities
for public to experience the products and build repeat business.

Solicit feedback – highlighting continued customer satisfaction and good reviews will
build a positive image of business

New menu items – subs add customer requested items and variations within the scope
of the current menu and style

Expanding the menu to maybe accommodate vegans (no milk or egg products)

Matching competitor’s coupons- matching local pizza place coupons

Expanding the variety of pizza crusts- offering more than the 2 crusts now offered, such
as a thick crust, herb flavored crust etc.

Expanding the pasta menu – including lasagna and other Italian pastas

No charge Deliveries – currently providing service to businesses, is it a possibility for
households
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
Take and bake pizza – promote the opportunity to have fresh baked products available
at home

Multiple themes “sports bar atmosphere”, “family friendly”, “patio party” – Highlight
the diversity

Website business – opportunities exist with online ordering and online payment to
make ordering faster, and less hassle

Expand electronic advertising with facebook and twitter – place ads in borders or offer
other promotions

Continue pizza competitions – win pizza taste competitions and promote the superior
taste

Involvement in community to increase awareness – name recognition and show
community support

Better product promotions – Highlight products individually, specialties, wings, subs,
etc.

Specialty sampling – have a sampling hour during a current slow time, for customers to
try small portions of a specialty product as a complimentary appetizer, an attempt to
increase a lagging business timeframe.

Bargain meals or coupons.

Competition- Other local major pizza places have

Economy – tight budgets consumers do not have as much disposable income to spend
eating out. High prices could drive customers to cheaper restaurants.

National chains – Competition for customers from recognized chains Pizza Hut,
Dominoes, Donatoes, their television advertising, discount meals, and multiple
locations create more customer recognition

Competing prices- Keeping prices down to compete with area pizza places

Supply cost increases – as the economy remains unsteady, increases in the cost of
supplies will lower profit margins or drive prices up

Limited low cost capable labor – Finding and retaining capable, efficient workers in and
increasing expensive economy.

Location – not in the main shopping district of Newark
Threats:
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IV. Market Segmentation
Geographic

Pizza Cottage serves the East Central Ohio area with 5 locations in towns with populations less
than 50,000 including Buckeye Lake, Newark, Lancaster, Pickerington, and Zanesville. Stores
locations are easily accessible close to business, shopping, and residential areas. Customers
desire a convenient location to purchase the Pizza Cottage product. The East Central Ohio area
has continued to provide opportunities to expand. Customers choose have dinner in the dining
rooms, bar or patio. They may call in or order in for pick up or drive thru pick up. Others still may
call in for home or business delivery.

Surveys of general public have shown that potential customers may be willing to travel between
5 and 20 miles for dinner.
Demographic


Pizza Cottage customers typically include working class families, sports fans, and local business
employees. Families enjoy the pleasant atmosphere, large dining area, kid’s menus and
reasonable prices. Sports fans are able to view televised sporting events on one of the many
wall mounted televisions throughout the dining room and the bar. They are able to enjoy drinks
from the bar with their meals along with the reasonable prices and pleasant atmosphere. Local
business employees are able to take advantage of the free delivery to their business.
General public surveys have shown that the majority of 16 to 29 year olds eat out less than
twice a week, where people over 30 tend to eat out more than twice a week.
Psychographic

Pizza Cottage appeals to customers who may enjoy watching sporting events or other programs
while dining. There is a patio for patrons who desire the atmosphere provided with outside
dining in pleasant weather. The pricing strategy appeals to working class customers who want a
value for their money. Customers wishing for convenience have multiple choices; pick up,
delivery, drive thru, and dining room usually with minimal waiting. Pizza Cottage strives for
quality, and participates in product competitions to remain competitive in the industry. Fresh
ingredients contribute to the high quality product produced for customers. 40 years of business
serving customers high quality food with friendly customer service is a value to many customers.
Pizza Cottage is also an active part of the community.

General public surveys show that majority of individuals value recommendations from personal
contacts, word of mouth referrals.
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Behavioral

Pizza Cottage provides a large dining area to accommodate groups, teams, and parties. Staff
focuses of providing quality customer service and an enjoyable dining experience. Management
maintains staffing levels to provide quality service and high quality products to meet the
expectations of the customer.

General public surveys show the majority of 16 to 29 year olds are influenced by friends more
often when choosing a restaurant. 30 year olds and older typically make their choice from the
choice of menu. The majority of surveyed individuals pay more attention to TV advertising.
Finally the majority would dine at a restaurant that was recommended to them on a Friday or
Saturday night even if it is crowded.
V. Alternative Marketing Strategies


Advertising Promotions
o Children eat free – An effective sales promotion for a family style restaurant like Pizza
Cottage would be children always eat free with an adult purchase. When a company
offers a family friendly atmosphere it allows parents to be assured of a family oriented
place, whereas sometimes they have to be a little cautious where they take their
children.
o Coupons - To increase pizza sales both carry out and dine in, print coupons on the sales
receipt and the boxes; also provide coupons that can be printed from the website.
Advertising Campaign
o Pizza Cottage Date Night
 Objective: Create a campaign that people relate to, and can associate with on a
personal level. What is your “Date Night” at Pizza Cottage? How can they relax
and enjoy good food, good service and good atmosphere?
 Strategy: Present different “Slice of Life” “DATE NIGHT” scenarios for people to
relate to. Give examples to seed the association process.
 Family – Instead of going to the grocery at the end of your work day,
then home to cook dinner and clean up, have a family “DATE NIGHT” at
Pizza Cottage. Bring the spouse and kids to Pizza Cottage. We will
prepare your favorite pizza, salad, appetizers, or subs. Our servers will
give your great service, and you can relax and enjoy the company of
your family.
 Busy workers – Do you and your other half seem to be passing each
other? Does it seem like too much is going on to just relax? Come to
Pizza Cottage for a “DATE NIGHT”.
 Students – Class load got you stressed. Studying getting to you? Relax
with your friends. Make a “Pizza Cottage Date Night”.
MARKETING PLAN
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
Get to know you dates – We all have had the first date. We don’t want it
to be too intimate, too boring, or too much activity. We want it to be
comfortable with a pleasant atmosphere and a good experience. Make
your first date a “Pizza Cottage Date Night” and share some good
conversation, good service and good food. Keep it simple.
 Friends – After work, after the kids events, after a round of golf, getting
together with friends you have not seen for a while. Make a “Pizza
Cottage Date Night” to share the experience. You can talk, laugh, and
catch up.
 Game on – Game night going to a game, or catching one on the box a
“Pizza Cottage Date Night” will give you the opportunity. Good food
before or after the game, or catch a televised game on one of the many
monitors.
o Media Selection: Billboards, local radio, maybe ads in local game bills and student
accessed media.
o Evaluation: Customer surveys at table. A survey card of “What is your Pizza Cottage Date
Night?” This could add to the examples to use in the campaign. Possibility of using the
survey as a contest with wait staff to generate responses, thus adding to the positive
experience by staff showing an interest in customers when they inquire and respond to
the customers Pizza Cottage Date Night experience.
Loyalty Promotions
o Reward punch card - customers’ incentive to return is buy 4 pizzas and get the 5th free.
This would be a good idea because the cost of production versus the sales price would
still create profit even giving one away free. For example if it costs 5 dollars to make our
pizza and we are selling them for 15 dollars that means for every 10 we sell we spend 50
dollars and make $150. If we gave one away for free costing us $5 to make then we are
still making a profit of $145.
Customers respond well when they are working towards a goal such as buying that 10th
pizza. The idea that they get one free makes them feel rewarded. This has worked at
other competitive restaurants such as Subway. Every 5 subs you bought there got you a
free sub and sales almost doubled.
o Points cards - It can be scanned each visit, much like rewards cards of larger companies,
and can process coupons and discounts to those using the card. This can be a way to
profile each individual customer and give them the deals through data mining that are
best fit for their past expenditures. This is a way to ensure that each customer is
receiving deals and coupons that are fitting for what they want rather than garbage that
will not help them return or bring them deals.
MARKETING PLAN
VI. Selected Marketing Strategy
Day of the week specials to highlight products:
“Munchie Monday”- Each Monday, the “Munchies” (Appetizers) will be available at a discounted price
of 25% off.
“Toppings Tuesday”- Each additional topping is half off. This will be very appealing to those who love to
load a pizza up with the good stuff!
“Wing-it Wednesday”- Every Wednesday, each order of wings will be available for $1.50 off the menu
price.
“Thirsty Thursday”- Thursday’s special includes a large pizza and a pitcher of beer at a discounted price
to help lure in the avid customers who enjoy beer with pizza.
“Free-bee Friday”- Every dessert pizza ordered is buy one get one free.
“Submarine Saturday”- All Subs are $2 off each Saturday
MARKETING PLAN
“Munchie Monday”
“Toppings Tuesday”
MARKETING PLAN
Product

Opportunity to highlight products, toppings, appetizers, subs, beers, salads and other items
Price

Multiple options, discounts on toppings or packages of products
o
Creates opportunities for consumers to experience additional products at a value price
o
Discounted pricing on specific days for specific products will generate additional
consumer favorites that may be purchased at regular prices in the future
Distribution (Place)

In house

Pick up and take out

Delivery
Promotion

Majority can be in store

Print promotions in local newspapers

Flyers on packaging

Radio advertising

Billboard advertising

Local event sponsorship
VII. Short & Long-Term Projections
By creating specials, Pizza Cottage is showing the public what they have to offer at a discounted
price for each day of the week. This may be a method that is slow to start and may only show a minimal
profit in the short term aspect. As time passes, loyal customers will be created and they will help
increase the total profit by passing on the specials by word of mouth to friends and family. The process
of creating specials will appear more profitable after a period of time, creating a long term projection.
The specials are expected to constantly create new customers, as well as holding on to those who have
been loyal since the beginning.
MARKETING PLAN
VIII. Conclusion
The marketing plan for Pizza Cottage is an in depth analysis of how we plan to make the business a
household name, as well as increasing profit. A Buckeye Lake icon for many years, we are confident in
our ability to market our brand effectively. This plan discusses our goals in the market, as well as
customer value and analysis. We have evaluated what attracts new customers and how to maintain our
current customers and to increase sales profits.
We discussed local competitors and national chains, as well as how Pizza Cottage can stand out from the
competition by collaborating with other businesses. Our research has revealed current customers
appreciate the food, service and atmosphere. Communicating our strengths to new customers will help
increase our market share.
The included SWOT analysis is an in depth view of what we believe are the company’s strengths,
weaknesses, opportunities, and threats. The plan displays our selected marketing strategy, as well as
alternatives that may or may not be used throughout the course of the business cycle. Using a daily
special program to highlight our products and continuing quality service with a comfortable atmosphere
will enhance the customer experience leading to positive appraisals from customers.
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