Marketing Plan

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Marketing Plan
Stouffer’s Healthy Pantry Meatloaf
Prepared for:
Steve Howell
Marketing II, Section 1
July 14, 2013
Melissa Vos 6644595
Jordi Von Fielitz 4314225
Rachel Bender 3854494
Justin Ranger 3966736
Introduction
White flour is a refined flour made by stripping the wheat kernel of most of its nutrients and
chemically bleaching it to produce its white colour.1 In recent years, white flour has been linked
to a number of serious medical conditions, including obesity, diabetes, chronic inflammation,
arthritis, and digestive issues.2 Growing awareness of its health implications, as well as an
increase in the occurrence of wheat sensitivity (including Celiac Disease), have led to a trend to
consume less white flour.
While many people associate it with baked goods, white flour is a common ingredient in many
foods. Often used as a thickening or binding agent, it is present in many food products where
consumers least expect it. For this reason, we have selected a less obvious product for
repositioning, Stouffer’s Meatloaf frozen entrée.
In 1922, the Stouffer family opened their first restaurant in Cleveland, Ohio.3 The business grew
to include a chain of restaurants and, in response to customer requests, a frozen food division
was launched in 1954.4 This division was purchased by Nestlé S.A. in 1973.5 Since that time,
Nestlé has continued to offer a line of delicious, homestyle meals under the Stouffer’s brand
name, including Chicken Potpie, Salisbury Steak, and Meatloaf.
Stouffer’s Meatloaf entrée, served with mashed potatoes and gravy,
offers classic comfort food at the touch of a button. However, its use of
white flour makes it unsuitable for consumers who are wheat intolerant
or those pursuing a healthier diet. Due to this, we propose that Nestlé
create a new line of frozen entrées offering healthier versions of their
The original Stouffer’s
Meatloaf frozen entrée
traditional homestyle favourites, starting with Stouffer’s Healthy Pantry
Meatloaf.
Stouffer’s Healthy Pantry Meatloaf will use only gluten-free ingredients and will include side
dishes that increase the nutritional profile of the meal - roasted potatoes and mixed vegetables.
These modifications will increase fibre, reduce sodium, and reduce saturated and trans fats,
resulting in a healthier meal that is compatible with gluten-free diets and continues to offer the
high quality, homestyle cooking Stouffer’s is known for.
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Nestlé’s Strategic Focus and Plan
Mission
Nestlé’s mission is “to enhance the quality of consumers’ lives every day, everywhere by
offering tastier and healthier food and beverage choices and encouraging a healthy lifestyle.”6
This mission is embodied in its value proposition, Good Food, Good Life.
Goals
Nestlé believes that by undertaking global nutrition, water, and rural development initiatives, it
can build long-term value for its shareholders and for society.7 They call this Creating Shared
Value. As part of these initiatives, Nestlé has a goal to “help consumers attain and maintain
optimal nutrition, health, and wellness.”8 To that end, they have made several commitments
regarding the nutritional profile of their products, including reducing salts, sugars, saturated fats
and trans fats as well as encouraging consumption of whole grains and vegetables.9
Repositioning Stouffer’s Meatloaf as a healthier meal option is a step towards achieving Nestlé’s
goal. In June 2013, Nestlé announced a USD 53 million investment toward research and
development in frozen and chilled foods.10 This investment in their facility in Solon, Ohio, will
help Nestlé “continue to develop innovative nutrition, health and wellness solutions” without
compromising on taste.11
Competitive Advantage
Nestlé is a worldwide leader in nutrition, health and wellness products. They have identified the
following corporate competitive advantages:

Unmatched product and brand portfolio;

Unmatched research and development capability;

Unmatched geographic presence; and

People, culture, values, and attitude.12
The Stouffer’s brand is a leader in the evolving frozen food industry and offers a greater
proportion of unique dishes than any of its competitors.13 Since the mid-1950s, it has built a loyal
customer base by providing classic, homestyle dishes. Many customers have grown up with the
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brand and trust it to provide satisfying and delicious meals. Its 100% satisfaction guarantee
signals to new and old customers alike that they can count on consistent value from every meal.
Stouffer’s was one of the first brands in the industry to advertise heavily, creating high brand
awareness and building market share.14 Its attractive packaging demonstrates the product’s value,
reinforcing a quality image and providing instant recognition for consumers.15
Stouffer’s brand loyalty and brand recognition combined with its unique line of quality products
give the company a competitive advantage over other firms in the industry. Stouffer’s can sustain
this competitive advantage by continuing to market high-quality, unique, and delicious meals.
Situation Analysis
Strengths

The leading brand of homestyle frozen entrées with a unique selection of quality products

Preservative free, 25% less sodium than original recipe

Easy to prepare in the microwave or conventional oven, convenient
for on-the-go meals

A long standing, well-recognized brand name since 1954

Distinctive, highly recognizable packaging

Use coupons to encourage purchase

A money back, 100% Satisfaction Taste Guarantee

Stouffer’s Rewards - collect points with each purchase of a Stouffer’s entrée which can
Stouffer’s products are
backed by a 100% satisfaction
guarantee
be redeemed for gift cards, electronics and other merchandise

Owned by Nestlé, an internationally recognized brand, since 1973

Nestlé provides strong financial backing, supply chain networks, marketing, research and
development, and a commitment to improving nutrition

Efficient distribution - can find Stouffer’s at any local grocery store or frozen food aisle

Informative website that is easy to navigate
Stouffer’s is a leading brand in the frozen food industry, offering a variety of classic, homestyle
frozen entrées, such as Macaroni and Cheese, Lasagna, Meatloaf, and Chicken Pot Pie. Most
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Stouffer’s entrées are preservative free and many offer reduced sodium. These delicious and
convenient meals can be easily prepared by busy people on-the-go.
Commercially available since 1954, Stouffer’s has achieved high brand identity and loyalty. Its
distinctive packaging is instantly recognizable in the freezer aisle of any grocery store. Frequent
coupon offers, such as “Buy 5 and save $3”, encourage both new and loyal customers to
purchase. A money back, 100% satisfaction taste guarantee gives consumers confidence that
Stouffer’s stands behind its products. The Stouffer’s Rewards program allows consumers to
collect points for every Stouffer’s product purchased, encouraging repeat purchases and brand
loyalty. Points can be redeemed for gift cards, electronics, and other merchandise.
Stouffer’s is owned by Nestlé, a global company with the financial, operational, and marketing
resources necessary to support an international brand. Through its worldwide supply chain
network, Nestlé provides efficient distribution of Stouffer’s products. Nestlé excels in research
and development and is committed to improving consumer nutrition without compromising taste.
Weaknesses

Frozen entrées have a stigma of being unhealthy

Cooked product may be visually unappealing and unappetizing

Most meals contain white flour and are high in fat and sodium, limiting options for
consumers with dietary restrictions

Past recalls may have damaged consumer perceptions

Lack of social media presence in Canada
Although frozen entrées are convenient, some consumers perceive that they are unhealthy and
poor quality and, therefore, do not purchase this product category. Further, when thawed or
overcooked, the product may be visually unappealing, reducing repeat purchases. Additionally,
Most Stouffer’s meals contain white flour and are high in fat and sodium, limiting options for
consumers with dietary restrictions and narrowing the target market.
In the past, Nestlé has had to recall Stouffer’s products several times.16 Although Nestlé is
proactive and voluntarily recalls products as a precaution, demonstrating a strong commitment to
consumer safety, these product recalls may have negatively impacted consumers’ perception of
the brand.
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Opportunities

Busy pace of life means people are turning more to prepared meal options rather than
cooking from scratch

Aging population is looking for meals that are quick, nutritious, tasty, inexpensive and
easy to prepare

Consumers are becoming more health-conscious and looking for healthier meal options

The factors people consider most when buying frozen dinners are (in order): sodium, fat,
sugar, convenience, MSG, preservatives, portion size, and variety17; other factors
considered include calories, wheat content, fibre, and lifestyle choices (e.g. organic,
vegetarian)

Real Talk forum on website has potential to create customer dialogue and receive direct
feedback
Frozen food is a growing industry. As life becomes more hectic, people are spending less time
cooking for themselves and their families. Frozen entrées are becoming an increasingly popular
option for quick and easy meals. As the population ages, older consumers dealing with health
concerns, limited mobility, or fixed incomes require easy-to-prepare, nutritious meals. Widowed
consumers who don’t want to cook a meal just for themselves are turning to prepared options
instead.
Health-conscious consumers are now looking for products that are low in sodium, MSG, fats,
preservatives, and calories. Stouffer’s has an opportunity to provide healthier meal options to
meet these changing demands while capitalizing on its core competence of providing unique,
homestyle food.
Threats

Frozen foods are perceived as being less nutritious than fresh ingredients

Increased incidence of wheat allergy and other medical or lifestyle diet restrictions current products are unsuitable for people requiring gluten-free, vegetarian, halal,
kosher, or organic options

Highly competitive industry - Weight Watchers Smart Ones, Michelina's, store brand
meals, etc.
5

Increased competition from product substitutes - fresh prepared hot meals now available
in many grocery stores
Many consumers are pursuing a healthier lifestyle and perceive that frozen foods offer fewer
nutritional benefits than fresh foods. Sales are further threatened by the increase in chronic
diseases like diabetes and Celiac Disease. As the population becomes more diverse and wellinformed about health issues, more Canadian consumers are seeking halal, kosher, vegetarian,
gluten-free, or organic meal options not currently widely available in frozen entrées.
Frozen food is a highly competitive industry. Although Stouffer’s is a leading brand, they are
threatened by other brand name competitors as well as private label products such as
Compliments and President’s Choice. The increase in availability and variety of freshly prepared
foods at grocery stores like Sobeys and Loblaws offers consumers additional options when
purchasing prepared meals.
Repositioning Plans
As the preceding situation analysis demonstrates, today’s consumers are becoming more
conscious of the health implications of the food they eat. It is necessary for Stouffer’s to reevaluate their line of frozen entrées and provide products that align with this trend toward
healthier eating. In order to succeed, however, Stouffer’s must remain true to the competitive
advantage the brand has been built upon while changing consumers’ perceptions of frozen
entrées in general.
Stouffer’s Healthy Pantry Meatloaf is gluten-free, lower in sodium and fats, and higher in fibre
than the original recipe. It provides a healthier meal option suitable for people with a variety of
dietary restrictions. The Stouffer’s name gives the new product instant brand recognition and
credibility but the Healthy Pantry name and slightly altered packaging clearly indicate that it is a
wiser choice for health-conscious consumers.
Competing brands offering healthier frozen entrées typically offer lighter meals – for example,
rice, chicken, and vegetables. The Healthy Pantry line of products, beginning with Meatloaf, is
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well positioned against these competitors because it stays true to Stouffer’s key point of
difference, which is that it provides classic, homestyle meals, now in a healthier format.
Target Markets
Profile
Sarah, 36, was a stay-at-home mother of two - Josh, 7, and Rebecca, 5. Her husband, Billy,
works full time as a Paediatrician. Now that both children are in school, Sarah has returned to
work as Office Administrator at a dental clinic. She enjoys taking fitness classes at her local gym
and attends swimming classes weekly. Her children are involved in soccer, ballet, and basketball
and Josh receives weekly tutoring from Sylvan Learning.
Sarah has always been concerned about providing healthy, nutritious meals for her family.
However, now that she has returned to work, she has less time for grocery shopping, meal
planning, and cooking. Their busy, on-the-go lifestyle has forced Sarah to look for more efficient
ways to feed her family. Although she feels guilty about it, some nights she barely has time to
heat up a frozen dinner for her kids before they have to leave for soccer practice or another
activity. The family recently found out that Josh has developed an intolerance to white flour,
forcing Sarah to be conscientious and innovative when feeding her family. She is struggling to
find healthy options that can be prepared quickly for those nights when she just doesn’t have
time to cook.
Demographics




2
Restricted 
Rob


3
Sick/Single 
Sue

1
Busy Bess
Men and women, aged 19 to 65
Married or single
With or without children
Men and women, all ages
Married or single
With or without children
Men and women, all ages
Married or single
With or without children
Geographic

Canada (nationwide)

Canada (nationwide)

Canada (nationwide)
Psychographics
1
Busy Bess


Lead active lives – busy, on-the-go
Value their health and keep abreast
Behaviour

Have little time to prepare nutritious
meals, need food fast
7


2
Restricted
Rob




3

Sick/Single
Sue

of current health trends
May have made a lifestyle choice to
improve their diet – e.g. consume
less white flour, reduce sodium or
fat intake
Believe it is important to provide
healthy meals for their families (if
applicable)
Lead active lives – busy, on-the-go
Medical condition restricts what
they or a family member can eat
Health-conscious – have a
heightened awareness of nutrition

Medical condition or disability
restricts ability to prepare food; OR
Single or widowed, don’t want to
cook an entire meal just for
themselves
Try to eat healthy foods but are
limited by what is available to them





Want to eat well even when they
don’t have time to cook
Looking for heartier, healthier meal
options
Looking for hearty meal options that
comply with diet restrictions (e.g.
gluten-free, low in fat, low in
sodium)
Have little time to prepare nutritious
meals, need food fast
Looking for hearty, healthy meal
options that are easy to prepare
Purchase frozen dinners often –
looking for good taste and variety
Stouffer’s has traditionally used an undifferentiated targeting strategy to target a broad group of
consumers - those looking for convenient comfort food for themselves or their families. The
introduction of Stouffer’s Healthy Pantry Meatloaf represents a multi-segment targeting strategy.
This new line targets specific consumers within the broader original audience who may not have
been willing or able to enjoy the original product. These will be consumers who are seeking
convenient homestyle food with an improved nutritional profile that is compatible with certain
dietary restrictions or preferences.
Product Strategy
Stouffer’s Healthy Pantry Meatloaf is a product line extension created by modifying an existing
product and repositioning it as a healthier version of a traditional favourite. This new meatloaf
dinner will be the first in the new Stouffer’s Healthy Pantry line of products. The Healthy Pantry
name indicates that it is a healthier choice but still implies hearty, delicious, homestyle cooking.
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Stouffer’s original meatloaf recipe has been altered to remove the white flour and to use only
gluten-free ingredients (see Appendix A). The mashed potato side dish has been replaced with
roasted potatoes and mixed vegetables, and the gravy has been eliminated in
favour of a ketchup glaze. Inherent sodium content has been reduced and
separate packets of salt and pepper have been included to allow consumers to
season according to their tastes and dietary requirements. The new Healthy
The new Stouffer’s
Healthy Pantry Meatloaf
frozen entrée
Pantry Meatloaf is gluten-free, lower in sodium and fat, and higher in fibre than
the original. The serving size remains the same at 263 grams.
Frozen entrées are a consumer convenience product. Although a consumer may spend several
moments in-store comparing available brands on the basis of variety, nutritional value, and price,
very little time is spent on search activity. As such, it is important that the benefits of Stouffer’s
Healthy Pantry Meatloaf are clearly visible on the packaging, enticing consumers to buy.
To ensure brand recognition, packaging for the new Stouffer’s Healthy Pantry line will maintain
elements of the original Stouffer’s package, such as the distinct orange colour and the logo.
However, the new packaging will incorporate white space and lighter colours to differentiate it
from Stouffer’s original line and to visually indicate to consumers that it is a healthier option (see
Appendix B). The package will use persuasive labeling to highlight the product benefits as well
as the 100% Satisfaction Guarantee and the Stouffer’s Rewards program common to all
Stouffer’s products.
The Stouffer’s brand name has been associated with frozen food since the 1950s. The new
Stouffer’s Healthy Pantry line uses a family branding strategy, capitalizing on the history and
recognition of the brand, which it shares with Stouffer’s other frozen meal solutions. Other
products within the family brand include Stouffer’s Bistro and Stouffer’s Skillet Sensations.
The key point of difference for Stouffer’s Healthy Pantry is that it provides a healthier, more
nutritious version of the homestyle cooking for which Stouffer’s is famous. Other healthier
frozen dinners offer lighter meal options, such as chicken, rice, and vegetables. Stouffer’s
Healthy Pantry offers hearty comfort food that is made in a healthier way and is suitable for
people with dietary restrictions.
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Place Strategy
Stouffer’s Healthy Pantry Meatloaf will continue to be offered at the same retail outlets as the
original product – supermarkets, hypermarkets, and drugstores - with some variation on
placement.
Supermarkets
In traditional grocery stores, it is important that Stouffer’s Healthy Pantry Meatloaf be placed in
close proximity to other healthy frozen food options like Lean Cuisine or Smart Ones. As
outlined in our Product Strategy, distinctive packaging and persuasive labelling will differentiate
the new product from Stouffer’s original line of frozen entrées as well as demonstrate its benefits
over competing brands. Using the new Healthy Pantry products, Stouffer’s will create a vertical
or horizontal line between their traditional entrées and competing healthier options. This
placement ensures that Stouffer’s Healthy Pantry benefits from the brand recognition of
Stouffer’s original entrées on one side but is instantly visible to consumers who, by habit, skip
straight to the competing healthier options. Appendix C, Figure 1 provides an example of an instore display where all of the healthier frozen meal options are grouped together. In this picture,
it is evident that the retailer is placing products by benefit (i.e. all of the healthier options
together) to make it easier for today’s time-starved consumer to find rather than grouping them
by brand name.
As an additional means of ensuring visibility of the new Healthy Pantry products, they will be
placed in the Natural Foods section now present in many grocery stores. This secondary
placement within the store will ensure that people who go directly to the Natural Foods section,
looking for healthier options without shopping in other areas of the store, will see the new
product, become aware of its benefits, and make a purchase.
Hypermarkets
Hypermarkets are large retail outlets, like Wal-Mart and Superstore, that combine a supermarket
and a department store.18 The grocery section of these stores is very similar to that of a
traditional grocery store, however there is often less floor space allotted to grocery items. As the
Healthy Pantry product line expands, Stouffer’s will have to decide which original products and
which of the new products to display at these locations.
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As with traditional grocery stores, it is very important to create a visual line of distinction
between Stouffer’s original and Healthy Pantry products. Appendix C, Figure 2, taken at a local
Wal-Mart store, clearly shows that the healthier frozen entrées are placed together just as they
were at the grocery store. Stouffer’s Healthy Pantry products will be placed to the left of these
entrées, directly between them and the other Stouffer’s products.
Drugstores
Many drugstores, such as Pharma Plus and Shopper’s Drug Mart, now incorporate a limited
grocery section in their stores. Space is at a premium in these mini grocery sections and, once the
new line gains popularity and support, Healthy Pantry may be the only Stouffer’s entrées carried
by these stores. Initially, however, both original and Healthy Pantry products will be displayed
equally, helping the new products gain awareness and credibility through brand association.
Once again, it is important to display the Healthy Pantry products with competing healthier meal
options using the same setup and placement as the other larger retailers. The key difference
between drugstores and the other retailers described is the limited variety and quantity of each
entrée offered (see Appendix C, Figure 3).
It is interesting to note the repetition in placement and layout that becomes evident from store to
store. Clearly, retailers and producers have determined that, in order to effectively sell this
product category, products must be organized, clearly differentiated and, most importantly,
highly visible to consumers.
Frozen entrées can be either an impulse buy or a regularly purchased item. Often, a consumer
doesn’t think of buying these products until they are already in the store and realize that they will
not have time to prepare a meal. In this case, clearly displaying the health and nutrition benefits
of Stouffer’s Healthy Pantry Meatloaf will be key to enticing the consumer to buy this new
product over other available products. Other consumers regularly purchase this product category
and arrive with a specific entrée or brand in mind. If Stouffer’s Healthy Pantry Meatloaf is not
clearly visible and does not immediately capture their attention, the likelihood of a sale will be
greatly reduced. Again, clear lines that draw the eye to these new entrées are crucial.
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Price Strategy
Price Strategy
Stouffer’s frozen entrées currently sell for between $2.99 and $3.49 per 263g package at most
retail outlets, with the price dropping to $1.99 during a sale. Competing products, like Lean
Cuisine or Smart Ones, are priced similarly. Stouffer’s Healthy Pantry Meatloaf will use a status
quo pricing strategy, maintaining a price that is similar to the original and to competing brands.
A price skimming strategy would price the product out of reach of some of its target consumers,
resulting in lost sales and lost profit. A penetration pricing strategy would mean Stouffer’s was
selling the new product for less than it could, again resulting in lost profit. A status quo pricing
strategy places the new product at a price that target consumers are willing and able to pay for a
frozen entrée, enticing them to try it and become repeat purchasers, resulting in maximized profit
for Stouffer’s.
Planned Price Promotions
Stouffer’s Healthy Pantry Meatloaf will follow the same sale cycles as Stouffer’s original
entrées, regularly going on sale for approximately $1.99 (depending on the retailer). This gives
consumers an opportunity to try the new product at a discounted price. Once they have tried it,
they will want to purchase it again, even at full retail value.
In addition to regular sales, manufacturer coupons offering multiple-purchase discounts such as
“Buy 2, Get 1 Free” will be available in-store and online, driving additional sales of the product.
This coupon campaign will run until sales numbers reach a self-supporting level.
In order to entice consumers to try the new product and also to engage them with the brand,
Stouffer’s will offer a high-value coupon exclusively through social media. Consumers who
“Like” Stouffer’s Canada on Facebook will be offered a coupon for a free Stouffer’s Healthy
Pantry Meatloaf entrée, enabling them to try the new product at no risk. Once they have tried
and enjoyed it, they will want to purchase it in the future.
Pricing Tactics
Stouffer’s will use quantity discounts, odd-even pricing, and single-price tactics to promote the
new Stouffer’s Healthy Pantry Meatloaf. In addition to regular sales, Stouffer’s will periodically
12
work with retailers to offer quantity discounts, providing significant savings to consumers if they
purchase multiple units. For example, Sobeys may advertise a quantity discount of “Buy 2 for
$3” in their weekly flyer. The manufacturer coupons mentioned as a planned price promotion is
another example of this pricing tactic. This tactic builds customer loyalty and boosts sales by
encouraging the purchase of multiple units.
Stouffer’s will use an odd-even pricing tactic, using odd-numbered prices to indicate to
consumers that they are receiving a bargain. Suggested retail price for Stouffer’s Healthy Pantry
Meatloaf will be $3.49 with a recommended sale price of $1.99. Although the difference
between $3.50 and $3.49 is insignificant, psychologically the consumer feels that they are getting
good value for their money.
As a final pricing tactic, Stouffer’s will use a single price for its entire line of frozen entrées,
including Stouffer’s Original, Stouffer’s Healthy Pantry, and Stouffer’s Bistro. This simplifies
the purchase decision for consumers, taking price out of the equation and allowing them to make
a selection based on their desired characteristics. This also ensures that there is no barrier
preventing consumers from choosing the new Healthy Pantry entrée.
Expected Future Pricing
We anticipate that, over time, the health benefits of Stouffer’s Healthy Pantry entrées will
become highly sought after. Key indicators of this type of demand will be a sustained spike in
sales or a consumer-accepted price increase of a competitor’s similar offering. When this occurs,
subtle changes to the packaging or ingredients will allow Stouffer’s to reintroduce the product
line at a higher price. Although this is not the immediate objective, it is something that Stouffer’s
should continue to monitor in order to ensure maximum revenue.
Promotion Strategy
Our recommended promotional mix for Stouffer’s Healthy Pantry Meatloaf includes advertising,
public relations, social media, sales promotion, personal selling, and direct response (see
Appendix D for timeline). Promotional efforts for the original Stouffer’s entrées will be largely
reallocated to the new product line during its introductory stage.
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Advertising
Pioneering advertising for Stouffer’s Healthy Pantry Meatloaf will create awareness and
stimulate interest in this new product. Our recommended advertising campaigns will incorporate
several different advertising appeals:

Emotional – playing on the nostalgia of a brand that many consumers grew up with as
well as the emotional connection to the type of homestyle comfort food Stouffer’s is
known for;

Health – Stouffer’s Healthy Pantry Meatloaf provides health benefits (i.e. gluten-free) not
currently available from any other major brand of frozen entrée; and

Convenience – frozen entrées are quick and easy to prepare for those who lead busy lives.
Advertisements will use a lifestyle executional style, demonstrating how well the product
complements consumers’ busy lives. All advertisements will focus on the product’s unique
selling proposition – that Stouffer’s Healthy Pantry Meatloaf provides a healthful version of
classic homestyle dishes from a trusted brand. Ads will be designed to create awareness, interest,
and demand for the new product by educating consumers about the health benefits it offers over
other products.
Our recommended media mix for Stouffer’s Healthy Pantry Meatloaf includes television,
magazines, outdoor media, and the Internet, and is designed to maximize the campaign’s reach
among Stouffer’s target audience.
Where?
Television


Food Network
National news stations (CBC, CTV)


Pulsing media schedule
Ads to run from January to June: continuous scheduling
throughout the week (concentrated during the hours 7 – 10 AM
and 7 – 10 PM) with flighted scheduling on Thursday and
Friday, leading up to the weekend when many people do their
grocery shopping

Prevention, Taste of Home, store publications (e.g. Sobeys
Inspired)
Ads to include a cents-off coupon to encourage purchase
When?
Magazine
Where?

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When?
Where?
Outdoor
Media
When?


Continuous media schedule
Because magazines have a longer life span and because
consumers need to see a message repeatedly to remember it, we
recommend that ads repeat in each issue for the entire year


Billboards
Bus shelters and buses


Seasonal media schedule
January to March – beginning of the year when many people
have made health-related resolutions
September to December – school and extracurricular activities
begin meaning families are busy with less time to cook, holiday
time is always busy


Where?

Search engine paid placement ads for keywords like frozen
dinner, gluten free, Celiac Disease, hypertension, etc.
Banner ads on relevant websites like Food Network, grocery
chains, etc.
When?



Continuous media schedule
Search engine paid placement ads: January to December
Banner ads: January to June
Internet
Public Relations
Sponsorship: Beginning in June 2014, Stouffer’s will launch a public relations sponsorship
campaign. During the campaign period, consumers who “Like” Stouffer’s on Facebook can vote
for one of five health-related Canadian charities. Stouffer’s will donate a portion of the proceeds
from each Stouffer’s Healthy Pantry Meatloaf entrée sold during the campaign to the charity that
receives the most votes. The sponsorship campaign will be promoted on product packaging, in
Healthy Pantry advertising, and on Stouffer’s website and Facebook page. In addition, each of
the charities can promote the campaign on their website, encouraging consumers to buy the
product and vote for that charity, resulting in additional promotion at no cost to Stouffer’s.
Media Relations and Product Publicity: At various times throughout the year, Stouffer’s will
distribute relevant news releases to garner publicity. Potential topics include the health benefits
of the new product itself, advances in research and development at Nestlé’s frozen food research
15
facility, and the ways in which healthy eating choices (including Stouffer’s Healthy Pantry) can
impact consumers’ lives.
Social Media
A social media campaign provides an exciting medium for Stouffer’s to engage its consumers
and will include the company’s website, social networking sites, and media sharing sites.
Stouffer’s website has an underutilized discussion forum which they call Real Talk. This forum
provides an excellent opportunity to receive feedback from customers, helping to guide future
promotions, product improvements, and new product development. Revitalizing this discussion
forum will be easy and inexpensive.
In addition to its website, Stouffer’s will launch a Canadian Facebook page. This page will be
used to promote new products, conduct surveys, create dialogue with consumers, manage
promotions, and promote healthy eating choices. Consumers who “Like” the Facebook page will
be eligible to receive exclusive coupons, creating an incentive for people to connect with
Stouffer’s. A Twitter presence will provide an additional way of informing target consumers of
product developments and upcoming promotions.
The popularity of media sharing sites, such as Instagram, offers Stouffer’s an additional venue to
reach its target audience. Asking consumers to post pictures showing how much they love
Stouffer’s Healthy Pantry Meatloaf, or demonstrating creative ways to use the product in a meal
is a fun way to engage consumers and promote the product at the same time.
Sales Promotion
Consumer sales promotions will be used to create incentives for consumers to purchase
Stouffer’s Healthy Pantry Meatloaf. Some sales promotions, including cents-off and free product
coupons, have already been discussed. An example of a coupon encouraging the purchase of
multiple units is shown in Appendix E. Additional sales promotions will include loyalty
marketing programs, sampling, and point-of-purchase promotion.
The Stouffer’s Rewards program is a loyalty marketing program that encourages consumers to
continue buying Stouffer’s entrées. Like other Stouffer’s products, Stouffer’s Healthy Pantry
Meatloaf will provide points which consumers can collect and redeem for merchandise.
16
Sampling offers consumers the opportunity to try a product risk-free. Stouffer’s Healthy Pantry
Meatloaf will be sampled in grocery stores and at consumer food shows, allowing both new and
loyal customers to taste the product. This will help change consumers’ perceptions of the product
category as well as the product itself. Potential customers who believe frozen entrées are
unappetizing may change their mind after having tasted it. Loyal customers who fear the
healthier version may not taste as good as the original will have an opportunity to try it and
decide. In both cases, sampling combined with a cents-off coupon will increase sales.
Personal Selling
Since Stouffer’s Healthy Pantry Meatloaf is the first in a new product line, it is important to
persuade retailers to make space for it in their grocery freezers without removing the original
product. Because of its unique health benefits, the Healthy Pantry line may also appeal to new
retailers, such as health food stores, that have not previously carried Stouffer’s products.
Stouffer’s will use a push strategy to “push” the product to the wholesaler, then on to the retailer,
and finally to the consumer. Personal selling to grocery buyers, both in their workplace and at
trade shows, is important to ensure the product receives maximum distribution.
Direct Response
We have already discussed a number of promotions that can also be considered direct response
communication. Stouffer’s magazine advertising will include a cents-off coupon, asking readers
to make a purchase. Internet banner ads will ask consumers to click through to the Stouffer’s
website or Facebook page to find more information, download a coupon, or enter a promotion.
These are all examples of direct response communication that will help create awareness of
Stouffer’s Healthy Pantry Meatloaf and stimulate sales.
Conclusion
Stouffer’s has been a leading brand in the frozen food industry for over 50 years. By developing
products that offer consistent appeal, quality, and good taste, Stouffer’s has developed a loyal
customer base for their line of frozen entrées. Stouffer’s Healthy Pantry Meatloaf offers that
same quality and value to consumers seeking healthier meal solutions that do not contain white
flour. Those with dietary restrictions, digestive problems, allergies and/or weight issues will now
17
be able to enjoy the convenience of a frozen entrée, knowing that they have made a wise and
nutritious choice that promotes their health and wellbeing. We expect that the introduction of
Stouffer’s Healthy Pantry Meatloaf, using the product, place, price, and promotion strategies
outlined in this report, will attract new customers to the Stouffer’s brand, expanding its loyal
customer base and generating increased sales, revenue, and profit for the company.
18
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http://www.globalhealingcenter.com/nutrition/white-flour-toxins (accessed July 14, 2014)
2
Catherine Guthrie, “The Truth About Grains: Whole and Refined,” Experience Life,
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3
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Nestlé S.A., “Stouffer’s,” Nestlé Global, http://www.nestle.com/brands/allbrands/stouffers (accessed
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8
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9
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(accessed July 14, 2014)
10
Nestlé S.A., “New R&D investment will strengthen Nestlé’s expertise in frozen and chilled foods,”
Nestlé Global, http://www.nestle.com/media/newsandfeatures/ptc-solon (accessed July 14, 2014)
11
Nestlé S.A., “New R&D investment will strengthen Nestlé’s expertise in frozen and chilled foods,”
Nestlé Global, http://www.nestle.com/media/newsandfeatures/ptc-solon (accessed July 14, 2014)
12
Nestlé S.A., “Strategy – Nestlé Roadmap to Good Food, Good Life,” Nestlé Global,
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13
Porter, Michael E., Competitive Advantage: Creating and Sustaining Superior Performance. (New
York, NY: Simon & Schuster, 1985), 153.
14
Porter, Michael E., Competitive Advantage: Creating and Sustaining Superior Performance. (New
York, NY: Simon & Schuster, 1985), 153.
15
Porter, Michael E., Competitive Advantage: Creating and Sustaining Superior Performance. (New
York, NY: Simon & Schuster, 1985), 153.
16
Canadian Food Inspection Agency, “Consumer Advisory - Certain Stouffer’s Bistro brand pizza is
being recalled due to a labelling issue,” Canadian Food Inspection Agency,
http://www.inspection.gc.ca/about-the-cfia/newsroom/food-recalls-and-allergy-alerts/completelisting/2011-08-11/eng/1354026926773/1354026926789 (accessed July 14, 2014)
17
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18
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2014)
Appendices
APPENDICES
Appendix A
Ingredients
WATER, POTATOES (CONTAIN SODIUM PHOSPHATE), GROUND BEEF, KETCHUP
(TOMATO PASTE, WATER, CORN SYRUP, VINEGAR, SALT, SPICES, FLAVOUR,
DEHYDRATED ONION, DEHYDRATED GARLIC, MUSTARD FLOUR), ONIONS,
ROLLED OATS (CONTAIN BARLEY) – REPLACE WITH CERTIFIED GLUTEN
FREE OATS, CHILI SAUCE (TOMATOES, CORN SYRUP, SUGAR, VINEGAR, RED
PEPPERS SALT, DEHYDRATED ONION, DEHYDRATED GARLIC, PEPPERS,
FLAVOUR), SOY OIL, MODIFIED CORN STARCH, MILK INGREDIENTS, TOMATO
PASTE, WORCESTERSHIRE SAUCE (VINEGAR, MOLASSES, WATER, HIGH
FRUCTOSE CORN SYRUP, SALT, ANCHOVIES, TAMARIND, SPICES, CELERY SEED,
FLAVOUR, COLOUR, ONION POWDER, GARLIC POWDER), GREEN PEPPERS,
TEXTURED SOY PROTEIN CONCENTRATE, AUTOLYZED YEAST EXTRACT, WHEAT
FLOUR, SALT, POTASSIUM CHLORIDE, SOY SAUCE POWDER – REPLACE WITH
GLUTEN FREE SOY SAUCE (SOYBEANS, WHEAT, SALT, MALTODEXTRIN), SUGAR,
ONION POWDER, ARRAGEENAN, MODIFIED TAPIOCA STARCH, BROWN SUGAR
SYRUP, COLOUR, GARLIC POWDER, LACTIC ACID, CALCIUM LACTATE, FLAVOUR
(MALTODEXTRIN, SALT, AUTOLYZED YEAST EXTRACT, SOY SAUCE – REPLACE
WITH GLUTEN FREE SOY SAUCE [WATER, SOYBEANS, WHEAT, SALT] BEEF
EXTRACT, BEEF FAT, FLAVOUR, TAPIOCA DEXTRIN, DEXTROSE, SOY OIL, MILK
INGREDIENTS, LACTIC ACID), SPICES
Appendix B
Product Packaging – Front Panel
Appendix C
Figure 1 – Frozen Food Display at a Supermarket
Figure 2 – Frozen Food Display at a Hypermarket (Wal-Mart)
Appendix C (continued)
Figure 3 – Frozen Food Display at a Drugstore (Shopper’s Drugmart)
Appendix D
Promotion Schedule
November 2013
 Personal selling to wholesalers & retailers
December 2013
 Personal selling to wholesalers & retailers
January 2014
 Advertising – television and magazine
 Billboards & bus shelters
 Search engine paid placement ads
 Online banner ads
 Public Relations – media relations (news release)
 Social Media – free coupon to Facebook members
 Sales Promotion – cents-off and free product coupons, sampling
February 2014






Advertising – television and magazine
Billboards & bus shelters
Search engine paid placement ads
Online banner ads
Social Media – free coupon to Facebook members
Sales Promotion – cents-off and free product coupons, sampling
March 2014






Advertising – television and magazine
Billboards & bus shelters
Search engine paid placement ads
Online banner ads
Social Media – Instagram promotion
Sales Promotion – cents-off and free product coupons
April 2014





Advertising – television and magazine
Search engine paid placement ads
Online banner ads
Public Relations – media relations (news release)
Sales Promotion – cents-off and free product coupons
May 2014



Advertising – television and magazine
Search engine paid placement ads
Online banner ads
June 2014




Advertising – television and magazine
Search engine paid placement ads
Online banner ads
Public Relations - sponsorship
July 2014




Advertising – magazine
Search engine paid placement ads
Public Relations – sponsorship, media relations (news release)
Social Media – Instagram promotion
August 2014



Advertising – magazine
Search engine paid placement ads
Public Relations - sponsorship
September 2014



Advertising – magazine
Billboards & bus shelters
Search engine paid placement ads
October 2014




Advertising – magazine
Billboards & bus shelters
Search engine paid placement ads
Public Relations – media relations (news release)
November 2014



Advertising – magazine
Billboards & bus shelters
Search engine paid placement ads
December 2014



Advertising – magazine
Billboards & bus shelters
Search engine paid placement ads
Appendix E
Sample Promotional Coupon
Download