Pierce. Prothero centre number: 20299 Learner number: P528331
PART A NOTES | ACTIVITY 1 – RATIONALE
THE PRODUCT
What is the product?
boxed food, Including veggie, family, quick and calorie smart etc.
Who buys the product?
18-34 age group, of any social or ethnic class
How much do they pay?
How / why do prices vary?
The market leader hello fresh has their boxes priced between £42.99 and £60.99
this is due to their wide product range. Smaller competitors such as gusto sell there
boxes between £24.99 and £47.75 but have less variety and focus on more calorie
controlled and healthy meals
When & where is the product bought?
Mainly over the internet through mouthy subscription services however more
recently supermarkets have challenged food boxes by launching meal kit boxes
ABOUT THE MARKET
How large is the market?
The food box market is estimated to exceed £1.5 billion within the UK in 2022
What are the main segments? How
large are they?
Wholly nutritious market research report suggests that male customers between
the ages of 30-39 who often order once per week are there most popular segment
in the market
How fast is the market growing? Are
some market segments growing faster
than the overall market?
Food boxes sales are expected to rise over 55% year on year showing that it’s a fast
growing segment
How important is product innovation
and/or branding?
Major food box companies dominate the market such as hello fresh. Product
innovation is intended as customers rely on constant new meals depending on
there subscription
Who are the market leaders?
Hello fresh has the highest demand where they now supply 250000 food boxes
each month around the globe
What advantages do the market
leaders have?
Widespread brand awareness & customer loyalty; dominate retail distribution.
Wide product ranges targeting all main segment
WHAT ELSE DO WE LEARN ABOUT THE MARKET AND COMPETITORS (POSITIVE OR NEGATIVE?]
WHERE IS THE PRODUCT / MARKET IN THE PRODUCT LIFE CYCLE?
What stage is it? Evidence?
Growth stage as sales are still expected to rise year on year
What might the stage mean for your
marketing campaigns?
+Able to reach sales levels faster
+Possible gaps in the market that have not been filled
-Shortage of cash compared to larger company’s
-Loss of control over the market
HOW USEFUL IS THE SECONDARY AND PRIMARY RESEARCH CONTAINED IN THE PACK?
Primary research validity and
reliability. Sample size? Who
responded? What is missing?
Wholly Nutritious market research report asked 80 customers between the ages of
20 and 50, other information that would be useful would be asking customers
already on a subscription what would make them reconsider their brand of boxed
food
Secondary research: sources? What
other information would be useful?
Use of different types of media would prove to be useful to wholly nutritious as it
would reveal gaps in the market for them to exploit to keep up with other
competitors and keep up there revenue
Pierce. Prothero centre number: 20299 Learner number: P528331
PART A NOTES | ACTIVITY 2 – MARKETING CAMPAIGN
EXAMPLE MARKETING MESSAGES / CAMPAIGNS FROM THE RESEARCH PACK
What different campaigns and messages are used by competitors mentioned in the research pack?
#Refreshwithhellofresh
Hellofresh used celebrity’s to share their experience with their product to their fan base on
a range of social media platforms, this could help Wholly foods grow and keep up with
their revenues
'Give it some'
Gousto launched a slogan campaign to challenge the opinion that food boxes can become
repetitive and boring, the campaign used music and celebrities to liken the food taste.
Wholly foods could use this to gain recognition and maintain consumer revenue
NOTES ON POTENTIAL MEDIA SELECTION (WHICH MIGHT BE EFFECTIVE FOR THIS PRODUCT / MARKET)
What different marketing media are used by competitors? What media might be effective in helping the case study business
grow sales?
Social media
Cost effective method of marketing campaigns
TV advertisement
Expensive, but widely used by market leaders. Unlikely to be affordable to wholly foods
and would be difficult for its campaigns to widely notice
FROM THE RESEARCH PACK, WHICH CUSTOMER AUDIENCES MIGHT BE GOOD FOR PROMOTIONAL CAMPAIGNS?
Using the information in secondary and primary research, are there key groups of customers that might be the best to
target in marketing campaigns? Who? Why? How would you reach them? Which marketing media are they likely to
respond to?
Age
Consumers between the ages of 30-39 commonly use Facebook which has more than
48million people in the Uk signed up with 44% of people using Facebook each day, it
would be wise to invest in this as an affordable campaign cost
Family’s
Family box meals cost the most compared to boxes for meal portions for only one person,
if Wholly foods where to focus on more larger family’s it would mean they’d be able to
make a larger profit and keep up with fellow competitors
Key Headings for Your Reports:
ACTIVITY 1 - RATIONALE
Introduction: Choice of Option & Why
Marketing Aims & Objectives (SMART)
Analysis of Market Research Info (Primary/Secondary)
Justification (2 of SWOT, PESTLE, Product Life Cycle)
ACTVITY 2 – MARKETING CAMPAIGN
Marketing Mix 7ps + Marketing Message
Campaign Budget (Media & Costs)
Timescale (including Gantt Chart)