Price’s snacks are a public limited company, which is aiming to take the snack world by storm. The company has been running for a long time but to no big effect, they sell a range of savoury products such as crisps, cracker etc. Price’s snacks head office is located on the same site on an industrial estate on the edge of Bristol. They started out just selling plain flavoured crisps which have been developed to meet the customer’s demands. The current range of products has been on the Markey for a twelve month period and sales are at a steady rate.
The directors have decided to develop a new product that is where I come in I will have an important role in developing this new product for price’s snacks. The two owners of this business are Ryan Crilly and Alex James; they have invested ï¿½300,000 hoping to make a healthy profit. My role in the business is the marketing director I will handle the marketing side of things, I will be conducting a number of things.
I will conduct market research to help the company understanding the snacks market and to help make vital decisions. I will also be designing a packaging for the new product trying to make it as enticing as possible.Section twoMarket research methodsMarket research is a very effective way of finding out what customers want and need. Market research is usually conducted when designing a new product, as this will help the business design a product that people want. There are two different types of approaches to this research, product orientated and market orientated. The main difference between these two types approaches is that market orientated benefits the customer’s needs and wants and product orientated tries to convince the customer to buy the product.
An example of a market orientated approach is conducting a survey as this is finding out what the customers wants. An example of a product orientated approach is when a new product comes out and it is advertised every where for example ipods.Desk research is a very cost effective way of gathering information about customers needs. Desk research is usually gathered from old data this is called secondary data as it has been gathered by someone else. There are many sources where you can collect this information, market research agencies, office of population censuses and surveys and public libraries etc. The first source market research agencies collect data which is then analyzed and published into journals which can be bought. The next source office of population censuses and surveys works on behalf of the government, it finds out basic information for example age groups in different areas and where you live etc. This information can be accessed by any businesses as this will help with there desk research.
And the last source public librariesField research is basically collecting information directly from the consumer. There are many advantages to field research the main one being that the information is contemporize this helps the business find out what the consumers want now. The most popular way of conducting this research is by questionnaire as this gives you a clear view of what the consumers want in detail. Questionnaires are easy to analyze as long as closed questions are used as these questions have an exact answer, for example what gender are you male or female.
On the other hand open questions are very hard to analyze because there is no exact answer this gives the interviewee to give there own opinion and views. Other types of field research include focus groups, consumer panels and test marketing.There are two types of research, primary and secondary research.
First primary research this contains the following methods of research, questionnaires on consumer panel, consumer panel, shop survey. First questionnaire there are many advantages as these are easy to read and conduct. There are also many disadvantages to questionnaires they are quite expensive and time consuming. I am going to design a questionnaire on consumer panel (taste panels) and also a shop survey.In secondary research first of all censor will be looked at and a report surveys on customers will be looked at. I am going to be collecting a minter report which has been collected from all different industries. I will also look at WebPages for information on competitors for snacks.Methods of marketing researchField research Desk researchExperiment observation surveyQualitative data Quantitative dataInterviews group discussion QuestionnairesSection ThreeInformation collection tableInformation requiredSource of informationMarket sizeMintel- Markey reach agencyGeneral questions about the marketMarket sizeMintelMarket potentialQuestionnaire, mintelMarket shareMintelTrendsGraphs and statisticsGaps in the marketMintelProduct developmentProduct idea- flavour, texture, shape, colourQuestionnaire, consumer panelsProduct testingConsumer panelsBrand name researchInternet, Competition analysisPackaging designProduct analysisPricingCurrent Market pricingPrice researchConsumer views on pricingQuestionnaireSales promotionsCurrent market sales promotionsNewspapers, internet, questionnaireConsumer sales promotionsProduct life cycleCompetitors experienceInternet, competitors, websitesConsumers viewsQuestionnaires, consumer panelsSection fourPackagingThere are many purposes of packaging all of them helping the product to sell.
There are two basic purposes of packaging, to protect and contain. These two purposes are very important because it is integral to keeping the product safe and unused. This will ensure that the quality is kept the highest of standards therefore ensuring the product is not damaged.There are three important aspects of designing packaging, size, shape and color. These three aspects are important for designing a unique look for the packaging so people recognize the packaging straight away. First size this is very important as this decides whether the consumer is getting value for money.
The right balance of size has to be accurate because if the product is to big and bulky then it is not pocket able but if it is to small then it may not be considered value for money by the consumer. The shape of packaging can also influence consumers to buy a specific product and also can be recognized as unique to a specific brand. The shape of the packaging also needs to be considered from the consumers point of view ensuring that the packaging is easy to open, comfortable to hold and eat out of, and contempory to the target audience. Colour is also very important to make the product unique and recognized by the consumer. Colour can also be used to differentiate different flavor and smells for example walkers crisps bbq flavor is a brown colour as this most represents the flavor and taste.The most important part of the product being recognized is branding and using logos. For example an M represents McDonalds this logo is known worldwide if McDonalds changed their logo no one would recognize their company.
A logo has to be striking to have any effect on the consumer especially for smaller companies as their have to compete with household names like Nike, Kellogg’s etc.Packaging for snack foodsPackaging is very important when food is in the equation, as it keeps the food clean and fresh. A very good example of food packaging is tin food the tin keeps the food eatable for 2-3 years. The design of the packaging is an important aspect to selling snack food.
The shape of the packaging is important from the customer’s point of viewPackaging annotationFront of packingBack of packingChicken curryPackaging annotationSection fiveQuestionnaire1. Your gender?Male ( )Female ( )2. What age group are you?6-15 ( )16-24 ( )25-35 ( )36-45 ( )Over 45 ( )3.
What is your brand of crisp?Walkers ( )Doritos ( )Pringles ( )Hula hoops ( )Other ( ) specify……
….4. What is your favourite flavour of crisp?Cheese and onion ( )Salt and vinegar ( )Prawn cocktail ( )BBQ ( )Ready salted ( )Other ( ) specify…
….5. Do you eat low fat crisps?Yes ( )No ( )6. Where do you usually buy your crisps from?Supermarket ( )News agent ( )Vending machine (7. How much would you be prepared to pay for a packet of crisps?10p-20p( )20p-30p ( )30p-40p ( )Over 40p ( )8.
How often do you eat crisps?Never ( )Occasionally ( )Regularly ( )Everyday ( )9. Which size packet do you prefer?20g-30g ( )30g-40g ( )40g-50g ( )More than 50g ( )10. What advertisement persuades you most to buy the crisps?TV.
( )Billboards ( )Internet ( )Side of buses ( )Other ( ) specify……..
What promotions do you think are most effective?Sale prices ( )A chance to win prizes ( )A free gift ( )Other ( ) specify……..
…..SamplingThere are four main types of sampling all of them very effective in their own way.Random SamplingFirst random sampling this type of sampling gives everyone an equal chance of being interviewed.
But can cause a problem for people who are busy at work or have a busy life style, because these types of people are more likely to refuse to be interviewed this limits who is being interviewed. Another disadvantage t o random sampling is a slow and expensive.Quota SamplingQuota sampling is a very effective way of interviewing the right people in the target market.
Quota sampling is when you know how much of the percent of the population on average likes or does something for example how many men and women eat crisps. Another advantage of quota sampling as it is relatively cheap.Stratified samplingThe sampling frame is divided into non-overlapping groups or bands, e.g. geographical areas, age-groups, genders.
A sample is taken from each stratum, and when this sample is a simple random sample it is referred to as stratified sampling.Cluster sampling the units sampled are chosen in clusters, close to each other. Examples are households in the same street, or successive items off a production line. The population is divided into clusters, and some of these are then chosen at random. Within each cluster units are then chosen by simple random sampling or some other method.
Ideally the clusters chosen should be dissimilar so that the sample is as representative of the population as possible.