Liang, Shengyu
Flygare, Tycen
Roberts, Hannah
Johnson, Ben
Todd, Andrew
Xu, Ying
2015 NATIONAL MARKETING PLAN
MGT 3500
Group 26
AGENDA
 Research- Knowledge Mining
 Current Market Analysis
 Anticipating the Future
 Reviewing the Past
 Recalibrating for 2015
 Concept Testing Promotions
 New Marketing Plan
 Financials
RESEARCHKNOWLEDGE MINING
SKIPPY’s
2015 National
Marketing Plan
PRIMARY RESEARCH
 Who is buying the product?
Middle aged moms with kids (Families)
 Why do they buy?
Top 3 Reasons:
1. “My kids love it”
2. “It’s what I ate when I was little”
3. “It’s quick and easy to eat”
 What need is being satisfied?
Hunger- Cravings for the American PB&J
Time- Snack food for overscheduled lives
 Gotta Do’s
 Smart To Do’s
 Dumb To Do’s
 Be peanut butter (90% peanuts by law)
 Variety of jar sizes for all purposes
 No bottleneck on jars (wide-mouth openings)
“Natural” line of products
 Hazelnut, almond, cashew, etc. butters
 Color scheme
 Middle shelf placement
 Product available for generations
(PB sales grow mostly because of brand loyalty)




Powdered peanut butter
Peanut oil is separate from solid peanut butter
Jam/jelly in same jar as peanut butter
Sunflower-seed-butter
CURRENT MARKET ANALYSIS
SKIPPY’s
2015 National
Marketing Plan
SECONDARY RESEARCH
Market share:
50%
Jif
#1
“Hormel Foods is planning Skippy's first major brand push in 10 years. And it's a battle that pits this #2
peanut butter brand against #1 brand Jif, owned by J.M. Smuckers”
20%
#2
Skippy
#3
Peter Pan/Great Value
“Hormel Foods acquires Skippy® peanut butter. The brand, first introduced in 1932, holds the No. 2 share
in this category and is the leading brand of natural peanut butter”
12.3%
“ The top three peanut butter brands in the United States, however, are clear-cut: Skippy, Jif and Peter Pan”
IN STORE OBSERVATIONS
Brand of peanut
butter
# of
observations
% of total
observations
Jif
23
41.1%
Skippy
21
37.5%
Peter Pan
1
1.8%
Generic
8
14.3%
Other
3
5.3%
Most of our observations consisted
of interviewing moms and college
students, but the majority of our
responses were similar to what this
mother said:
WHAT HAPPENED TO PETER
PAN?
Pre 2006- Lowest costing peanut butter
2006- Salmonella scare
“Hundreds of people in nearly every state were sickened after
ingesting Peter Pan peanut butter”
2007- Attempted recovery
“coupons for free jars, a new wider-mouthed jar and look, and even
a money-back guarantee”
2014- Struggling to regain shelf space
Quality
*Not much differentiation in PB due to
strict product specifications (i.e. Contains
90% peanuts)
General
Specialized
Value
Quality
General
Specialized
Natural peanut butter is the fastest
growing subcategory, making this product
more appealing to the health oriented.
Value
ANTICIPATING THE FUTURE
SKIPPY’s
2015 National
Marketing Plan
INSIGHT, TECHNOLOGY, &
FORWARD LOOKING
 New areas of growth




Organic
Hazelnut
almond
cashew
“Skippy is the leading brand in the
faster growing subcategory of natural
peanut butter”
REVIEWING THE PAST
SKIPPY’s
2015 National
Marketing Plan
BRAND POSITIONING STATEMENT
Target Audience:
Mothers who have small children and are looking for quick, nutritious foods
Benefit:
Serving Skippy is a loving way to give your kids the good nutrition they need
The Reason Why:
That’s because Skippy is the only leading national brand to give your kids both high protein and
less sugar. Now that’s a combination any mother can love!
QUALTRICS RESULTS
CRITERIA:
AVG. RATINGS:
 Target audience
88.31
 Problem solving
73.89
 Meaningful benefit
61.92
 Reason to believe
75.33
 Emotional appeal
83.72
https://usu.co1.qualtrics.com/SE/?SID
=SV_7Vr81BZcVJne8TP
* Ratings range from 1-100 with 100
being the highest or best
Part-time/Day-time
People oriented
Stay at home mom
IDENTIFYING THE
TARGET AUDIENCE
Jobs
Largely determined on what
kids want
Staying involved with others
Family oriented activities
Hobbies
Middle-aged
moms with
kids
Women’s groups
Staying active
Spend money base on
family needs/wants
Limited budget
Music and
Films
Family/romantic movies
Clothes
Money
Family before their own
Youthful/ beautiful look
IDENTIFYING THE
TARGET AUDIENCE
Chores around house
Student/homework
Jobs
Sports
Video games
Watching TV
Playing with friends
Hobbies
Children
ages 3-12
Music and
Films
Clothes
Parent’s income
Allowance
Money
Kids networks
Disney movies
What siblings/friends like
Want to look cool
Wear what mom buys
TV characters or
heroes/princess
What makes Skippy different,
better, or special?
THREE CIRCLE
ANALYSIS
What customers want:
 Good source of protein,
less fat
 Convenient and kid
friendly lunch spread
 Creamy and Chunky
 We are currently not different, better, or
special
What we do well:
 “Natural” products
 Snack packs
 Bright packaging
What others do well:
 Other nut varieties
 Organic products
 Snack packs
 To go packs
BRAND PLATFORM
Core Value
Drive focus
Natural, healthy, convenient and more fun
Brand Promise
Drives actions
Use natural, fresh and healthy ingredients to make tasty
peanut butter for you family
Brand Essence
Drives communication
See how a little Skippy peanut butter makes everyday
snacking more fun. It focuses on natural materials and
keeps you more healthy in your life.
Brand Personality
Drives relationships
Healthy, quick, natural, tasty, and fun
RECALIBRATING FOR 2015
SKIPPY’s
2015 National
Marketing Plan
BRAND POSITIONING PROPOSAL
Target Audience:
Mothers who have children from elementary school to middle school.
Benefit:
Skippy peanut butter offers a more natural, healthier choice for your children as well as helping kids
earn money and supplies for their schools, and encouraging them to excel in school by making it fun and
exciting!
Reason Why:
That’s because each serving of Skippy peanut butter contains 7 grams of protein, minimized sugar, and
no preservatives; so when combined with nutritious foods like whole grain bread, fruit, and milk it makes
for a well balanced meal or snack. Also, Skippy is the only peanut butter to sponsor schools across
America by donating needed materials, providing positive educational experiences, and rewarding
children who get good grades.
“Yippee for Skippy! Yippee for School!”
CONCEPT TESTING PROMOTIONS
SKIPPY’s
2015 National
Marketing Plan
OCTOPUS PLANNING MATRIX
Yippee for
Skippy! Yippee
for School!
 Consumer Promotions
 Bad Peanut idea
 Reward grades
 Skippy sandwich bar
 Skippy lunch box
 Packaging
 Change color scheme
 School on jar
 Shape of peanut
 Sponsor
 School sports
 Free snack pack
 Schools of America
 Merchandising
 Displays for schools
 School buses
 Distribution
 Directly to schools
 Partnerships
 Schools of America
 Special events
 Field trips
 Presentations about PB
 Skippy school picnic
 Social Media
 Updates on school districts
point earned
SKIPPY SUPPORTS YOUR SCHOOL
Skippy is the only peanut butter that can spread good health and education on the same slice
of bread.
That's because on the flipside of every lid of Skippy peanut butter you will find an online
code. This code will allow your school to earn new supplies by entering it on our website,
skippy.com, and by selecting the school district nearest you. But that's not all! A $5000 bonus
donation will be made to the school districts with the most participating students. “Yipee for
Skippy!”
Assuming this promotion was available to you, how likely
would you be to purchase the product?
Esthetic
Independence
Dominance
Analysis
Practicality
Structure
Humanitarian
Transcendence
64.67
53.29
67.25
68.95
76.05
74.80
83.33
71.48
Extremely Likely
18%
Somewhat Likely
36%
Might or Might Not
32%
Somewhat Unlikely
9%
Extremely Unlikely
5%
How "New & Different" is this promotion versus things you
have already seen available in the marketplace?
Extremely New & Different
23%
Very New & Different
23%
Somewhat New & Different
36%
Slightly New & Different
18%
Not At All New & Different
0%
SKIPPY SCHOOL BUS
Skippy is the only peanut butter that rewards good students with a fun filled, yet educational
recess right in their school parking lot.
That's because Skippy peanut butter has three very exciting, playful school buses that will visit
schools across America. The Skippy school buses will allow children to learn about the process of
how peanut butter is made through a theatre-like 5 minute film (built in TV screen in the back
end of all the buses and fluffy peanut shaped beanbags covering thecarpeted floors); as well
as providing energy-releasing activities outside the buses to get their wiggles out. There will
also be a live, interactive appearance of our mascots Peter peanut and Betty butter, who will
hand out free key chains and school supplies.
Assuming this promotion was available to you, how likely
would you be to purchase the product?
Esthetic
Independence
Dominance
Analysis
Practicality
Structure
Humanitarian
Transcendence
64.48
57.43
63.36
65.59
71.43
72.43
66.62
66.10
Extremely Likely
23%
Somewhat Likely
23%
Might or Might Not
45%
Somewhat Unlikely
0%
Extremely Unlikely
9%
How "New & Different" is this promotion versus things you
have already seen available in the marketplace?
Extremely New & Different
23%
Very New & Different
50%
Somewhat New & Different
23%
Slightly New & Different
5%
Not At All New & Different
0%
BORING PEANUTS ALERT!
Based off of last commercial put out by Skippy peanut butter, and will be followed up with a series of
progressing commercials to help stop the boring peanuts from being mixed in with the fun ones:
http://youtu.be/NeUGA-Todr0
Skippy needs your help to round up all the boring peanuts that spilled onto the factory conveyer belt and
into the fun peanut portal to be made into peanut butter.
That’s because Skippy peanut butter is made with only fun peanuts that fuel your body and mind. Boring
peanuts don’t believe school is fun, so we can’t have any boring peanuts mixed in the same jars as our fun
peanuts. You can help us by looking for the boring peanuts on the flipside of any Skippy peanut butter lid
and reporting the associated code to our website skippy.com. With this code you can play games, solve
puzzles, and be entered win a fieldtrip to the Skippy peanut factory! Keep Skippy and school fun by
participating. “Yippee for Skippy! Yippee for school!”
Assuming this promotion was available to you, how likely
would you be to purchase the product?
Esthetic
Independence
Dominance
Analysis
Practicality
Structure
Humanitarian
Transcendence
56.48
53.38
62.48
63.95
62.32
66.14
55.45
59.90
Extremely Likely
9%
Somewhat Likely
27%
Might or Might Not
41%
Somewhat Unlikely
14%
Extremely Unlikely
9%
How "New & Different" is this promotion versus things you
have already seen available in the marketplace?
Extremely New & Different
19%
Very New & Different
43%
Somewhat New & Different
19%
Slightly New & Different
14%
Not At All New & Different
5%
SKIPPY LUNCH BOX
Skippy makes going to lunch just as fun as eating it!
That’s because every double pack of Skippy peanut butter is packaged inside one of our
quality Skippy lunch boxes- a specialized lunchbox with the technology to keep your food fresh
and ready to eat. This amazing package will come at no additional cost! Now you can send
your kids off to school with both the fuel and the fun!
Assuming this promotion was available to you, how likely
would you be to purchase the product?
Esthetic
Independence
Dominance
Analysis
Practicality
Structure
Humanitarian
Transcendence
74.05
69.55
76.00
72.81
75.29
76.38
60.52
74.19
Extremely Likely
19%
Somewhat Likely
48%
Might or Might Not
24%
Somewhat Unlikely
5%
Extremely Unlikely
5%
How "New & Different" is this promotion versus things you
have already seen available in the marketplace?
Extremely New & Different
18%
Very New & Different
41%
Somewhat New & Different
36%
Slightly New & Different
0%
Not At All New & Different
5%
GOOD TO BETTER STUDENTS
Skippy peanut butter helps your children to grow both physically and mentally healthy!
That’s because only Skippy peanut butter provides the physical nutrition AND rewards good
students who have mentally pushed themselves to get better grades. All you need to do is submit
your child’s past and current transcripts online at Skippy.com. If they have improved their GPA
from the previous term or received all A’s, you are eligible to pick a prize from our website and
we’ll send it right to your door! “Yippee for Skippy! Yippee for School!”
Assuming this promotion was available to you, how likely
would you be to purchase the product?
Extremely Likely
18%
Somewhat Likely
32%
Might or Might Not
32%
Somewhat Unlikely
14%
Very New & Different
38%
Somewhat New & Different
24%
Slightly New & Different
19%
Not At All New & Different
5%
Further comments about the survey
Esthetic
Independence
Dominance
Analysis
Practicality
Structure
Humanitarian
Transcendence
I love peanut butter! It is my go-to rescue
5%
when I am super Extremely
hungry. I Unlikely
think kids like it
generally and the idea of rewards for
62.76
How "New
& Different"
healthy works. I would
feel better
aboutisathis promotion versus things you
already
seen
63.86
different brand ofhave
peanut
butter
or available
at least in the marketplace?
stressing the more
healthyNew
line &
ofDifferent
Skippy.
72.81
Extremely
14%
73.67
72.33
71.33
61.24
75.90
NEW MARKETING PLAN
SKIPPY’s
2015 National
Marketing Plan
FINANCIALS
SKIPPY’s
2015 National
Marketing Plan
BRAND PROFITABILITY
Retail Markup
35%
25%
15%
1 Jar of Skippy PB (28 oz.)
$3.50
$3.24
$2.98
Wholesale Price
$2.59
$2.59
$2.59
Fixed Costs (20% of wholesale)
$0.52
$0.52
$0.52
Cost of Goods (50% of wholesale)
$1.30
$1.30
$1.30
Profit per unit sold
$0.78
$0.78
$0.78
2015 Skippy Marketing Budget
Sales
Variable Exp.
$$$ in Millions
Break-even point
$8,500
$6,000
$4,000
Fixed Exp.
$2,000
500
1,700
Units sold in Millions
( US $)
2014
2015
Ad1
500,000
800,000
Ad2
600,000
500,000
Ad3
300,000
500,000
1,400,000
1,800,000
Year
PROMOTION
2014
2015
Campaign1
20,000,000
30,000,000
Campaign2
15,000,000
30,000,000
35,000,000
60,000,000
Campaign1
50,000,000
60,000,000
Campaign2
10,000,000
15,000,000
Subtotal
60,000,000
75,000,000
Total promotion expenditures
95,000,000
135,000,000
185,200,000
257,300,000
ADVERTISING
Newspaper
Subtotal
Sales Promotion
Consumer
Magazines
Campaign3
Ad1
800,000
1,000,000
Ad2
600,000
700,000
Ad3
400,000
800,000
1,800,000
2,500,000
Subtotal
Subtotal
Direct marketing
TV
Ad1
18,000,000
20,000,000
Ad2
14,000,000
15,000,000
Ad3
10,000,000
13,000,000
Subtotal
42,000,000
48,000,000
Trade Application
Ad1
10,000,000
12,000,000
Ad2
5,000,000
8,000,000
Sbutotal
15,000,000
20,000,000
Others
30,000,000
50,000,000
Ad3
Total advertising and
Total advertising
expenditures
90,200,000
122,300,000
promotion expenditures
WORKS CITED
 http://www.ibisworld.com/industry/peanut-butter-production.html
 http://www.slideshare.net/cassiemuntz/skippy-campaign-book
 http://www.fool.com/investing/general/2013/12/16/peanut-butter-wars-2-skippy-determined-to-take-dow.aspx
 http://www.brandchannel.com/features_effect.asp?pf_id=460
Liang, Shengyu
Flygare, Tycen
Roberts, Hannah
Johnson, Ben
Todd, Andrew
Xu, Ying
2015 NATIONAL MARKETING PLAN
MGT 3500
Group 26