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Promotion Advertising And Public Relations

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Question:

Discuss About The Promotion Advertising And Public Relations?

 

Answer:

Introducation

Gluten free 4U is the bake house which provide 100% gluten free and allergy friendly products, and this house is also specializing in providing variety of breads, cakes, savouries, pastries, pasta’s, biscuits and other bakery products. From last few years, demand of gluten free products has been raised by the consumers and nothing is done by the market for providing these products.  

Gluten Free 4 U is the bake house which offer gluten free and nut free products to their consumers, especially for those consumers who are suffering from Celiac and to those also who are not suffering from celiac but have problem of improper digestion. This bakery is providing high quality gluten free products. The main aim of this bakery is to provide gluten free products without compromising with the taste and these products are offering with the excellent service.

In other words, gluten free products do not mean that the quality of the product and taste of the product is less. For this purpose company refine its recipes on continuous basis and ensures that they will satisfy the taste buds of their consumers. Products made by bakery are not only for celiac patients but these products are for everyone. Other objective of this bakery is to develop innovative and delicious range of products (Gluten Free 4U, n.d.).

After working in traditional free bakeries, owner of Gluten Free 4 U noticed high demand of gluten free products in bakery items. Owners also realized that expectations of consumers in this field are not satisfied and market does not take any action for meeting the demand of the consumers.  At that time, they decide to provide 100% gluten free products and introduce this innovative step in the market.

The main approach of this bakery is to use high quality ingredients for the purpose of offering perfectly creates baked collection. Bakery assured their consumers by providing high quality delicious products without gluten and consistency of products also (Gluten Free 4U, n.d.).

 

Customer:

Generally, company targets every type of consumer in the market, but their main aim is to provide gluten free products to those consumers who are suffering from Celiac disease and improper digestion. Products are offered to those consumers also who are gluten intolerant follower or wants gluten free diet.

As per the company’s statement these products are not only for those who diagnosed celiac but for everyone who wants high quality and delicious taste.

Bakery business is considered as very tricky business because it requires expertise and other factors such as accurate market, loyal customers, etc. it is necessary to establish unique taste for getting success in the market. In this part we conduct SWOT analysis of Gluten Free 4 U:

Strength: strength of this bakery is that it provides large number of products which are offered to large number of consumers for the purpose of meeting their needs. Another and most important factor of this bakery house is that it provides gluten free products which are accompanied with excellent services.

These products are offered to especially those consumers who are diagnosed celiac and suffering improper digestion. While providing gluten free products bakery does not compromise with the quality and the taste of the baked products.

Weakness: the main weakness of the gluten free 4 u is the other bakeries which are offering gluten free products, and these bakeries pose challenging to the gluten free 4 u by already own saturated bakery business in Melbourne. Other weakness of this bakery house can be its chosen location. Some of these cafes are Seedling Cafe – Melbourne CBD, Spudbar – various Melbourne locations, etc (The Coeliac Plate, 2014).

Opportunities: opportunities available to bakery are not limited, as there are number of consumers who love baked products but not able to consume them because of the gluten present in the products such as patients of improper digestion and celiac diagnosed. Gluten Free 4 u provides gluten free products to such consumers without compromising the taste and quality of the product.

Threat: threat for business is established competitors who are running their business from many years in the Melbourne and earned loyal consumers. Other threat for business is new competitors who are also launching similar business at similar location because these new competitors are also offering their products with innovative techniques and better tastes. However, another area of threat is changing government policies regarding food standards (profitable Venture, 2017).

Collaborators:

Gluten free 4U conduct very hard work for reaching the position on which they are right now standing, and now they want to expand their business into Regional Victoria and Interstate for which bakery is looking for an options. They are looking for passionate and driven people who want to help the bakery by expanding the business, products and reputation of Gluten Free 4 U. however, it must be noted that right now there is no franchisee and collaboration of business (Gluten free 4u, n.d.).

Competitors:

Now, number of cafes and bakeries are there which offer gluten free products to their consumers with excellent services and some of these bakeries and cafes are:

  • Gluten Free Swiss Cakes and Bread.
  • Mister Nice Guy's Bakeshop.
  • Black Ruby Bakeries.
  • Caffe Strada.

As stated above, some new competitors are also entering into the market which can be accessed as threat for the Gluten Free 4U (Yum gluten free, n.d.).

 

Segmentation:

Segmentation of market is designed for the purpose of analyzing the most profitable segments of market for the business. However, this analysis is also done for understanding the needs of the consumers. Market segmentation of gluten free products is stated below:

In 2015, global market of gluten free products was valued at $3,126 million, and experts also make expectation that amount of this market will reach $5,279 million by 2022. This market expands almost at CAGR of 7.5%. Diet of gluten free products is necessary for those people who are suffering from celiac and improper digestion as it cause problem in small intestine of human body. This food also helps the people in improving their cholesterol level, energy levels, and digestive systems. Usually, these foods are considered as healthy foods and help in weight loss by making right combination with other foods (Satsangi, 2016).

Growth of the market of gluten free products is expected by experts in near future because of increase in number of celiac patients. However, market growth is also driven by millennial, improvement in marketing activities, and improved distribution channels. The impacts of these drivers are expected to increase if small and medium sized manufacturing units increase their investments in this market. The global gluten free food market is expected to witness high growth in near future.

Markets of gluten free products are based on type and geography. By type, market segments include more range of bakery products which are gluten free, baby food which is gluten free, ready means which are gluten free, and continental dishes which are gluten free. On the basis of geography market of gluten free products is segmented into North America, Europe, Asia-Pacific, and LAMEA. This can be understood through diagram stated in Appendices (Diagram 1).

However, this market is also segmented on the basis of distribution channel and on the basis of source. As distribution channel includes conventional sources, hotels & restaurants, educational institutions, hospitals & drug stores, specialty services and on the basis of source oilseeds & pulses, rice & corn, dairy & meat products, and other crops (Markets and Markets, 2015).

Targeting market:

As stated above, in near future market of gluten free products will expand because of which it becomes necessary that company change their strategy while targeting their consumers. Some changes are already occurred in the strategy of companies such as now companies mainly targeting the consumers suffering from celiac disease (Thomas, 2013).

Similarly, companies can also target those peoples who are concerned about their health. As peer one research third category of people is also there who wants to buy gluten free products because of their nutritious value. Some people preferred gluten free products because of their urge to lose their weight. Therefore, companies can target those consumers who are conscious about their health and suffering from celiac and improper digestion (The Gluten Free agency, n.d.).

Positioning:

Positioning analysis is considered for the purpose of showing how the current brand of the company is perceived by its market place. In this while identifying the target market opportunities, it is necessary to compare the way brand of the company is perceived with the targeted market needs.

In the Gluten Free 4 U is already established its offered products in the market by mainly concentrate on the integrity of the product. Product integrity of Gluten Free 4 U includes:

  • Bakery provides high quality of texture, taste and structure in their products.
  • Products served by Gluten Free 4U are 100% gluten and nut free, and they are allergy friendly also.
  • Their products are manufactured in total gluten free environment.
  • Products have capacity of being freeze and thaw stability (Gluten Free 4U, n.d.).

Tactical Planning:

Perception of consumers as gluten free products can be considered as key driver which increase the growth of the industry in next few years. Unique strategies are adopted by the manufacturers for increasing their sale and expanding their business such as in store cooking demonstrations, shelf tags indications etc. as stated, gluten free play key role in increasing the demand of their consumers (Dublin, 2017).

 

Products:

Product strategy can be considered as product life cycle and also the execution plan for further development. This strategy allows the business to concentrate on product attributes. Gluten Free 4 U can launch new products for the purpose of expanding their business and for also increase their market penetration. Gluten Free 4 U is already offering bakery products to their consumers but now they can also offer gluten free baby food, gluten free pasta, ready means which are gluten free because these products attract the consumers at global level. There are number of manufacturers such as Pinnacle Foods, Inc., Hain Celestial Group, Inc., General Mills, Inc., and Kellogg Company are increasing their market portfolio by introducing these products with high nutrition value. This can be understood through example; recently gluten free chocolate was launched by Udi's in UK, and the two categories of these chocolates that are milk chocolate and raisin clusters, plus milk chocolate and caramel clusters attract the large number of consumers (future market sights, 2017).

Gluten Free 4 U can adopt two strategies for the purpose of expanding their business and launching their new products:

Value based price is the strategy which is used by company for pricing their product at initial stage. This strategy is not used exclusively by the company, and value of the product is calculated by considering estimated value of the product to the consumer rather than the actual cost of the product or historical pricing. This can be understood through diagram 2 stated in appendices (Dholakia, 2016).

In this strategy, Gluten Free 4 U can make their pricing strategy by considering the experience of their consumers and present value of the products offered by them.

Other strategy is market penetration strategy which can be used by organizations for pricing their products. In these companies set low price at initial level of the product. The main aim of this strategy is to attract the new consumers on the basis of low cost of the product. This strategy is effect for the purpose of increasing the market share and sales volume by reducing the competition in the market.

Gluten Free 4 U can use this strategy for launching their new products stated above and for attracting the consumers for new as well as existing products. By using this strategy they can reduce the competition at market level (Business dictionary, n.d.).

Place strategy is considered as key strategy in the marketing mix related to any product and service. This strategy outlines how and where company should place their products and services for the purpose of gaining for the purpose of gaining market share and consumers.

Gluten Free 4 U can place their products near the education institutions, fitness centers, and institutions where celiac patients get their treatment. However, they can also distribute and sell their products in grocery stores because in these stores high number of consumers can be gained by providing them everything under one roof.

Bakery can target educational institutions and fitness centers because in these places because in these laces there are number of consumers who are fitness freak and health conscious.

Promotion:

Next and last strategy of tactical planning is promotion strategy, and this is considered as the stage when business decided to introduce its products in the market. It includes choice of communication they want to include in their marketing plan. For this purpose business conduct detail market research, segmentation of market, and decide their budget. Generally, large companies choose national campaign especially in those cases when brand is already familiar to the consumers. On the other hand, small companies have very limited options to promote their products. Sometimes, small business chooses direct selling of their products because of budget restriction (Universal Class, n.d.).

Following are some options which can be used by gluten free 4U for promoting their products:

  • Bakery can launch their product by using more creative format, because creative things always attract the consumers.
  • Bakery can distribute free samples in the fitness centers and education institutions.
  • Advertisements are the best way to make the people know about any new product.
  • Social platforms can also be used for introducing the new product (Zucker, 2017).
 

Conclusion:

After considering the above facts, it is clear that Gluten free 4 u can expand their business by using the above stated strategies. Brief summary of these strategies are:

Company can segmented their market on the basis of type and geography such as by type include more range of bakery products which are gluten free and geography market of gluten free products is segmented into North America, Europe, Asia-Pacific, and LAMEA.

Companies can also target those peoples who are concerned about their health and people of third category also who wants to buy gluten free products because of their nutritious value.

Marketing planning of company include four factors that are:

  • Product: it includes launching of new products.
  • Price: it includes value based strategy and penetration strategy
  • Place: it includes those places where consumers can be gained such as fitness centers, grocery stores, etc.
 

References:

Adams, I. (2014). How to Shift From a Cost-Plus to a Value-Based Pricing Strategy. Viewed at: https://www.optimizationgroup.com/how-to-shift-from-a-cost-plus-to-a-value-based-pricing-strategy/. Accessed on 30th September 2017.

Business dictionary. Market penetration pricing. Viewed at: https://www.businessdictionary.com/definition/market-penetration-pricing.html. Accessed on 30th September 2017.

Dholakia, U. (2016). A Quick Guide to Value-Based Pricing. Viewed at:  https://hbr.org/2016/08/a-quick-guide-to-value-based-pricing. Accessed on 30th September 2017.

Dublin, (2017). 2017 Report – Global $33+ Billion Gluten-Free Products Market Analysis 2014-2025 – Research and Markets. Viewed at: https://www.aboutpharma.com/blog/2017/06/21/2017-report-global-33-billion-gluten-free-products-market-analysis-2014-2025-research-and-markets/. Accessed on 30th September 2017.

Future Market sights, (2017). Gluten-Free Products Market: Global Industry Analysis and Opportunity Assessment 2015-2025. Viewed at:  https://www.futuremarketinsights.com/reports/gluten-free-products-market. Accessed on 30th September 2017.

Gluten Free 4 U. about Us. Viewed at: https://glutenfree4u.com.au/about-us/. Accessed on 30th September 2017.

Gluten Free 4 U. Product Integrity. Viewed at: https://glutenfree4u.com.au/productintegrity/. Accessed on 30th September 2017.

Gluten free 4U. Business Opportunities. Viewed at: https://glutenfree4u.com.au/business-opportunity/. Accessed on 30th September 2017.

Gluten Free 4U. home. Viewed at: https://glutenfree4u.com.au/. Accessed on 30th September 2017.

IBIS, (2017), Cake and Pastry Manufacturing in Australia. Viewed at: https://www.ibisworld.com.au/industry-trends/market-research-reports/manufacturing/food-product/cake-pastry-manufacturing.html. Accessed on 30th September 2017.

Markets and Markets, (2015). Gluten-Free Products Market by Type (Bakery Products, Pizzas & Pastas, Cereals & Snacks, Savories, and Others), Source (Oilseeds & Pulses, Rice & Corn, Dairy & Meat Products, and Other Crops), & by Region - Global Trends & Forecast to 2020. Viewed at: https://www.marketsandmarkets.com/Market-Reports/gluten-free-products-market-738.html. Accessed on 30th September 2017.

Profitable Venture, (2017). Bakery Business Plan – SWOT Analysis Sample. Viewed at: https://www.profitableventure.com/bakery-business-plan-swot-analysis/. Accessed on 30th September 2017.

Satsangi, S. (2017). Gluten-free Products Market by Type (Gluten-free Baby Food, Gluten-free Pasta, Gluten-free Bakery Products, and Gluten-free Ready Meals) - Global Opportunity Analysis and Industry Forecast, 2014-2022. Viewed at: https://www.alliedmarketresearch.com/gluten-free-products-market. Accessed on 30th September 2017.

The Coeliac Plate, (2014). 100% gluten free Melbourne. Viewed at: https://thecoeliacplate.com/melbourne-100percent-gluten-free/. Accessed on 30th September 2017.

The Gluten free agency. Gluten-Free Market Trends. Viewed at: https://thegluten-freeagency.com/gluten-free-market-trends/. Accessed on 30th September 2017.

Thomas, J. (2013). Gluten free: The marketing and regulatory environment. Viewed at: https://www.just-food.com/management-briefing/the-marketing-and-regulatory-environment_id123021.aspx. Accessed on 30th September 2017.

Universal Class. Marketing Strategies: Promotion, Advertising, and Public Relations. Viewed at: https://www.universalclass.com/articles/business/marketing-strategies-promotion-advertising-and-public-relations.htm. Accessed on 30th September 2017.

Yum gluten free. A guide to the latest gluten free bakeries. Viewed at: https://yumglutenfree.com.au/products/gluten-free-food/a-guide-to-the-latest-gluten-free-bakeries/. Accessed on 30th September 2017.

Zucker, M. (2017). Marketing Healthy Food: Strategies To Make Discovery Easier. Viewed at: https://www.forbes.com/sites/matzucker/2017/02/22/marketing-healthy-food/#13f9603b62e8. Accessed on 30th September 2017.

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