show circuit

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0 Show Circuit Dog Food MKTG 494 MW Shield Bryan Culbertson Sara Jacobson Melody Jefferson Desiree Juarez Blake Richards

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Page 1: Show Circuit

0

Show Circuit

Dog Food

MKTG 494 MW Shield

Bryan Culbertson

Sara Jacobson

Melody Jefferson

Desiree Juarez

Blake Richards

Page 2: Show Circuit

1

Target Market ......................................................................................................................3

Competitive Analysis .............................................................................................................3

Show Circuit SWOT ..............................................................................................................6

Porter's 5 Forces .....................................................................................................................8

Market Definition...................................................................................................................10

Segmentation..........................................................................................................................11

Strategy ..................................................................................................................................14

VALS .....................................................................................................................................15

Market Potential .....................................................................................................................16

Market Share ..........................................................................................................................16

Product Strategies ................................................................................................................19

Product Classification ............................................................................................................19

Differentiation ........................................................................................................................20

Positioning .............................................................................................................................22

Packaging ...............................................................................................................................23

Logos, Trademarks, and Slogans ...........................................................................................24

Line Strategies .......................................................................................................................25

Brand Strategies .....................................................................................................................25

Product Strategy .....................................................................................................................28

Product Life Cycle .................................................................................................................28

Price Strategies .....................................................................................................................31

Price Objective .......................................................................................................................31

Price Strategy .........................................................................................................................31

Price Range ............................................................................................................................31

Break Even .............................................................................................................................31

Factors Affecting Price ..........................................................................................................33

Elasticity of Demand..............................................................................................................34

Discounts................................................................................................................................34

Distribution Strategies .........................................................................................................37

Define Channel ......................................................................................................................37

Criteria For Channel Choice ..................................................................................................38

Channel Members ..................................................................................................................40

Degree of Distribution ...........................................................................................................41

Page 3: Show Circuit

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Supply Chain Management ....................................................................................................42

Channel Integration ................................................................................................................45

Promotional Strategies ........................................................................................................47

Promotional Mix ....................................................................................................................47

Promotion Objectives.............................................................................................................48

Creative Strategy ....................................................................................................................49

Channel Promotion ................................................................................................................49

Creative Appeal .....................................................................................................................50

Advertising .............................................................................................................................51

Sales Promotion .....................................................................................................................54

Personal Selling .....................................................................................................................57

Public Relations .....................................................................................................................58

Direct Marketing ....................................................................................................................59

Support Promotions ...............................................................................................................61

Schedule .................................................................................................................................63

Budget ....................................................................................................................................65

Page 4: Show Circuit

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Competitive Analysis

Iams

Strengths

High Quality dog food products, which contain vitamins and minerals

No additives or preservatives

Wide variety of dog food in many different variations

Innovation in pet nutrition and a commitment to premium quality pet food

Established, well-known brand that distributes nationwide

Weaknesses

General public image is that their products are unhealthy

Quality of ingredients don‟t measure up as good when compared to more expensive, all-

natural products from boutique producers

The inclusion of corn and corn by-products in Iams dog food, which has been associated

with hypersensitive reactions

Page 5: Show Circuit

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Beneful (Nestle)

Strengths

Well-known, national brand which produces a dog food with a balance of wholesome

ingredients, quality nutrition and superb taste

Product contains protein-rich nutrition with real chicken to help build strong muscles

Includes vitamin-rich vegetables and essential vitamins, minerals and nutrients

Weaknesses

Product includes some controversial ingredients such as corn and chicken by-product

meal

Dog food is associated with bad reviews for its product being primarily a grain-based

kibble using a modest amount of chicken by-product meal as its main source of animal

protein

Beneful dog food has often been criticized as a low-grade product because of the low-

quality ingredients which are incorporated in their dog food formulas

Kibbles ‘N Bits

Strengths

Well-known, established brand

Dog food consists of healthy ingredients, such as protein and vitamins

Public image is fairly good: “My dog prefers Kibbles „N Bits over every other brand”

Combined favors of chicken and beef provide dogs with a unique, delicious taste

Inexpensive when compared to competitors

Page 6: Show Circuit

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Weaknesses

Some ingredients in Kibbles „N Bits are questionable including corn, soybean meal, corn

syrup, and wheat

Low quality dog food in comparison to competitors

Dog food isn‟t as healthy as they make it seem

Relatively small assortment of dog food varieties

Pedigree

Strengths

Well-known, established national brand

High-quality product that bases its benefits on The Four Basic Needs for Dogs: Skin and

coat, oral care, digestion, and immunity

Many healthy ingredients in dry, wet, and dog treats that help dogs maintain a long,

healthy life

Weaknesses

Some ingredients in their products are questionable such as corn and chicken by-products

Meat and bone meal are included in Pedigree dog food, which don‟t specify exactly

which animal source they came from. Also this comes from the waste meat at

slaughterhouses after all the quality meat is gone

Pedigree dog food is lower quality than is portrayed

Page 7: Show Circuit

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Show Circuit has many competitors in the dog food industry, but I‟ve chosen a few big

names to compare and analyze their standing in the market. The advantage we have is that none

of these big brands have frozen dog food products

SHOW CIRCUIT (SWOT)

Strengths

One of the finest quality dog food products, which contains fresh meats and cereals with

no additives or preservatives

Have won several “Blue Ribbon” awards

Ingredients inside Show Circuit improve quality of dogs‟ coats significantly

Located in the frozen food section near regular “human” food

Used and recommended by professional show dog owners for years

Freshest dog food in the market; 85% federally inspected beef by-products, beef, liver,

and chicken, 15% highest quality fortified cereal

Weaknesses

Price is high when compared to competitors‟ dog food products

New product in market, so potential customers will be cautious

Frozen package form will create difficulties in distribution and placement

Competitors‟ dog food products are more readily available

Show Circuit is a new product name in the retail market with no previous identity

Show Circuit dog food is not nationally distributed or marketed

Dog food only located in frozen food section of supermarkets

Higher cost to produce Show Circuit in comparison to competitors

Page 8: Show Circuit

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Small advertising budget (700,000) compared to some competitors (7,000,000)

Opportunities

Supermarkets account for 36% of dog food distribution with 3.61 billion in sales

No other dog foods will be in the frozen section

Increasing trend in dog ownership; U.S dog-owned population is 65 million

Growth of premium and higher-quality dog food industry

Growing popularity of organic dog foods with sales up 64% last year

Supermarkets are the largest channel for dog food, accounting for 36% of distribution and

$3.61 billion in sales

Already a frozen dog food treat in Boston area supermarkets so consumers are willing to

buy

Increasing investments in dogs from their owners because they view them as part of the

family

Threats

Increasing competition from popular national brands

There are 50 manufacturers of dog food in the U.S who produce over 350 brands

Popular brands such as Nestle Purina Petcare, Iams, Hill‟s Pet Nutrition, Masterfoods

USA, and Del Monte Foods, Inc. accounted for 75% of U.S dog food sales in 2008

Lack of appeal of frozen dog food due to thawing time and freezer space

Competitors have large advertising budgets where Show Circuit won‟t

Switching costs are low, so consumers may switch to a different brand when they see

Show Circuit‟s higher price

Dog food market is mature and saturated so introducing a new product in it will be risky

Page 9: Show Circuit

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Supermarkets may not want to carry Show Circuit due to stocking placement and sales

potential

Porter’s 5 Forces

Rivalry Among Existing Firms

The level of rivalry among existing firms in the dog food industry is high due to low

switching costs and economies of scale

Switching costs are low due to the number of alternatives, especially those with lower

prices

Local competitors in each region, including the Boston area, and the increase in

alternative outlets raises competition further

Five popular brands control 75% of sales nationwide

There are over 350 dog food brands in the U.S

Threat of New Entrants

The threat of new entrants in the dog food industry is medium to high

With the increasing trend in organic dog foods and healthier choices, new brands are

emerging in different outlets

With the semi-oligopoly in the market, it is hard to succeed and compete for shelf space

and market share

The dog food industry is fairly mature, but still growing

Barriers of entry/exit are low, explaining the numerous brands on the shelves today

Threat of Substitutes

The threat of substitutes in the dog food industry is medium

Page 10: Show Circuit

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Brand loyalty, consumer buying habits, channel availability, and oligopoly decrease

threat of substitutes, but threat is high for consumers who aren‟t brand loyal

Nestle Purina Petcare, Iams, Hill‟s Pet Nutrition, Masterfoods, and Del Monte foods, Inc.

controlled 75% of dog food sales in 2008

Chicken, beef, and other types of meat can be used as substitutes for dog food, but are not

recommended

The 4 main types of dog food consumers have to choose from are dry food, canned food,

treats, and frozen food

Bargaining Power of Buyers

The bargaining power of buyers in the dog food industry is high

Buyers will switch brands with ease due to the low switching costs and number of

alternatives, except in cases of brand loyal customers. Those consumers who seek out the

high-quality, premium benefits in dog food will not be price sensitive

Retailers who have agreements with suppliers exhibit lower buying power

The high number of suppliers raises buying power

In the case of bulk-purchasing, which big retailers often partake in, bargaining power is

raised

Bargaining Power of Suppliers

The bargaining power of suppliers in the dog food industry is medium to low due to the

number of suppliers and moderate switching costs

Companies can find substitutes for their raw materials elsewhere, so the power of the

supplier in this industry is lower. A company is unlikely to be dependent on one or few

suppliers, unless formal agreements are made

Page 11: Show Circuit

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The increasing demand for higher-quality product increases supplier power

Specialty pet stores and retailers that carry private label brands have more bargaining

power

Market Definition

Dog Food Industry (Overall)

Demographics/Behavior

Market is mature so sales are high and growth is present, but minimal

Five popular national brands accounted for 75% of sales in 2008

Private label dog food accounted for about 9% of total supermarket dog food sales

U.S. dog-owned population is around 65 million and continuing to grow

75% of dog owners consider themselves “Mom and Dad” to their animal companions and

95% pet and hug their dog every day

Dog owners who view their pet as part of the family search for higher-quality products

and will pay more for them. On the other hand, dog food could be viewed as a

commodity to regular consumers so they will make purchase decisions based off price

36% of dog food distribution is from supermarkets. The other 64% is sold by mass

merchandisers such as Wal-Mart (25%), pet stores such as Petco and Petsmart (20%),

farm/feed stores (7%), veterinarians (6%), and Internet retailers and independent pet

stores (6%)

79% of parents with school age children purchase pet food and supplies for their dog

71% of parents with younger or older children purchase pet food and supplies for their

dog, compared with 72% of roommate households and 73% of young, childless couples

Page 12: Show Circuit

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Over 63% of households with incomes greater than $25,000 invest in pet food, supplies,

and care according to research by the American Veterinary Medical Association

HOUSEHOLD Parents with

school age kids

Parents with

younger/older

kids

Roommates Childless

couples

% of segment

that spends

money on pet

79 71 72 73

Boston market area

Boston holds 1.2% of the entire U.S. population, or 3,548,809 current or potential dog

owners.

One in five households are dog owners, so in Boston that would mean only 645,238

people in its population are owners, leaving a large market open for opportunity

The average income for a citizen of Boston is about $38,000

The average age of a citizen of Boston is 42

Segmentation

Criteria

Demographics

Gender and Age

o Males and females ages 21-54. Boston‟s citizen‟s average age of 42 falls

right in this target age range

Life cycle stage

Page 13: Show Circuit

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o Consumers in different stages of their life cycle will be targeted: married

couples with no kids, married couples with kids, single consumers living

alone, and roommate households

o Older consumers will not be targeted as only 30% of older singles and

41% of retired couples spend money on pets

Income level

o Our target market should have a yearly income level of at least $25,000.

Boston‟s citizen‟s average income of about $38,000 is well over this

minimum target income level

Education

o High school diploma minimum, some college

Ethnicity/Racial Group

o There will be no segmentation based on ethnic or racial background

Generation

o Generation X and Generation Y consumers fall into our target market age

range and life cycle stages so they will be targeted

Social Class

o Connected to income level, consumers in our target market are medium

class. To say they are upper class would be an overstatement based on our

minimum income level. We want the middle class consumers to feel

higher class by buying a high-quality food for a “member of the family”

Page 14: Show Circuit

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We chose to segment the market based on these criteria because of various

reasons: Single adults and married couples, with and without children, and roommate

households regard their dogs as a “member of the family.” Consumers with lower income

levels can‟t support themselves and a pet so our minimum income level is $25,000

yearly. With a relatively low yearly income level, Show Circuit‟s target market social

class will be middle class, but feel upper class due to such a high quality expenditure

Behavior/Brand Perception

Consumers in our target market will lead active lifestyles, are social, value quality in

products, and care highly for family

Our consumers are not very brand loyal as switching costs are low due to the number of

alternatives. Brand choice is often made in-store so promotional efforts will be made to

direct traffic to the frozen food section

Consumers place emphasis on their dogs health and well-being and treat them as

“members of the family.” They feed their pets just as they would feed themselves

Dog owners who regularly prepare food for their pet will be targeted as well because

Show Circuit will take more time to prepare than dry food

Consumers value organic products with no additives or preservatives. They care about

the internal health of their dog as well as external condition such as their coat

Geographic Region

In the first stage of our distribution/promotion strategy we will make introduce Show

Circuit in the Boston market area

In the second stage we will expand nationally to cover all regions of the U.S.

Page 15: Show Circuit

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The Boston market area accounts for 1.2% of the U.S. population and dog population.

Sales of dog food in this area amount to about $120 million annually making it a prime

region

Frequency

79% of parents with school age children purchase pet food and supplies for their dog,

compared with 71% of parents with younger or older children, 72% of roommate

households, and 73% of young, childless couples

Over 63% of households with incomes greater than $25,000 invest in pet food, supplies,

and care according to research by the American Veterinary Medical Association

Those consumers who spend time with their dogs and who feed them regularly will be

targeted heavily

Strategy

Niche Marketing Strategy

With Show Circuit we will use a niche marketing strategy to cover our target

market. The market is narrow so this concentrated strategy is appropriate

A niche strategy is used because potential consumers seek specific product

features and benefits including organic, no additives or preservatives, and more.

They will be willing to pay the higher price for these benefits as they value their

dog‟s health and well-being

This strategy is particularly effective for Show Circuit since it has limited

resources and a small advertising budget

Page 16: Show Circuit

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VALS

Innovators

This lifestyle group will be targeted most, as consumers are more receptive to new

ideas and technologies. They are active and their purchases show their tastes for

premium, niche products and services. Since Show Circuit will be a new product

in the market and consumers know little about it, the Innovator lifestyle fits

perfectly

Thinkers

The Thinker lifestyle group will also be targeted, as they are well-educated

consumers who value functionality and sound products. They seek out

information and shop around for purchases. Thinkers are open to new ideas,

which make them ideal candidates for Show Circuit. Their income gives them

many choices when purchasing, but they remain conservative and search for

product benefits. The added benefits in Show Circuit will be attractive to them

Achievers

In addition to the Innovators and Thinkers, we will target the Achiever lifestyle.

They are goal-oriented and have a deep commitment to family. Image is

important to them and their purchases are those in which they hope to

demonstrate success to their peers. They are targeted least because they lead busy

lives, which means Show Circuit‟s extra preparation time will not be attractive.

However, the high-quality, higher priced product will be attractive since they like

to demonstrate success to peers

Page 17: Show Circuit

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Market Potential

Boston Market Area

Show Circuit will be first to tap the vast market potential of a complete frozen

dog food in Boston supermarkets

The growing popularity of organic dog foods (64% growth last year) gives Show

Circuit an opportunity

1.2% of the U.S. human and dog population is in the Boston metropolitan area

Dog food sales in the Boston market area amount to over $120 million

One in five households are dog owners, so in Boston that would mean only about

18% of people in its population are owners, leaving a large market open for

opportunity

Consumers are willing to pay premium prices for organic dog foods, as exhibited

by Newman‟s Own Organics dog food

Over 780,000 owned dogs are in the Boston Metropolitan area

Market Share

Dog food Categories (Dry, Canned, and Treats) in Supermarkets

Dry

Dry food accounts for 65% market share in the industry and will be Show

Circuit‟s primary category to steal customers from

Six national brands (Beneful, Kibble „N Bits, Dog Chow, Pedigree Mealtime, and

Iams) account for 68% market share in the dry food category

The remaining 32% category share is from private label and regional/local brands

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Canned

Canned dog food accounts for only 15% market share, coming in at the lowest

share of the three categories

National brands such as Alpo, Cesar Select, Mighty Dog, and Iams control 88%

share in the canned food category

The remaining 12% share comes from private label and regional/local brands

Treats

Dog treats account for 20% market share in the total dog food category. Show

Circuit hopes to have success in this category with a new line of dog biscuits

Milk Bone, Beggin‟ Strips, and Busy Bone account for 73% category share with

their treats

Private label and regional/local brands account for the remaining 27% category

share

0

20

40

60

80

100

120

% Total Market Share % Category Share

Dry Food

Regional/Local Brands

Private Brands

National Brands

Dry food

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0

20

40

60

80

100

120

% Total Share % Category Share

Canned Food

Regional/Local Brands

Private Brands

National Brands

Canned Food

0

20

40

60

80

100

120

% Total Share % Category Share

Treats

Regional Brands

Private Brands

National Brands

Treats

Page 20: Show Circuit

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Product Classification

Durability and Tangibility

o Product is consumed in one use by dog in individually packaged servings

Product will be bought in bulk amounts

o Product is a staple good for family with a dog

o Product will be consumed daily

o Recurring users would classify into high involvement and concerned pet owners

o Strongest category consists of kennel owners and dog show participants

o Product will be available at all locations that include pet products such as Pet

Specialty Stores, Grocery Stores, Warehouse Stores, and Combination Stores.

Emphasis on small specialty stores where consumers are willing to pay

premiums for pet products

Large stores must have signs displaying frozen pet food to induce and

increase brand salience

o Premium price point will be utilized due to brand performance in dog community

allowing the product to be viewed as a premium product

Promotions, Discounts, and Advertising will be utilized extensively in all

locations when available.

Page 21: Show Circuit

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Consumer Good

o Dog food is a shopping good, however, Show Circuit is a specialty good because

of the unique characteristics that differentiate it from the competition

Consumers will need to make a special purchasing effort by traveling to

the frozen food section where it stands by itself

o Heterogeneous Product

Benefits to purchasing product must be made available and known in

order to differentiate the product from other high end competitors as well

as lower cost competitors

Differentiation

The differentiation of Show Circuit dog food should be based on the fact that it is frozen,

uses federally inspected beef, improves dogs‟ coats, and has helped dogs/owners win

shows

o Features are meant to emphasize a high quality product that produces winners

Packaging will be individual serving sizes stored in the freezer

Product will be available in three different sizes for the three dog breed

size classification

Box shape size allows for easy stacking and storing

Packaging also doubles as a dog bowl and is disposable after consumed

o The quality of the product is to remain the same

Show Circuit dog food must effectively establish name and product with

premium quality ingredients and quality

Page 22: Show Circuit

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Emphasis on quality will be through advertisements and usage

among pet show community

o The quality and benefits provided will set Show Circuit Dog Food apart from the

rest of the competitors in the dog food industry. Show Circuit must differentiate

itself from the rest of the industry by providing the finest ingredients for the food

and make consumers aware that those ingredients are being used

Differentiation of Quality

No other dog food manufacturer produces a frozen dog food.

o Consumers must be taught what types of dog food are

comprised of and why Show Circuit is Superior

Show Circuit: 85% Federally Inspected Beef,

Chicken, and Liver and 15% high fortified cereal

Wet Dog Food: 75% moisture and 25% Solid food

Dry Dog Food: 15% moisture and 85% solids

Differentiation Strategy: Show Circuit Frozen Dog Food will strive to obtain a

competitive advantage in the market through premium quality ingredients, visual results,

and its professional clientele support

o Use of quality ingredients will set Show Circuit apart from competitors. If product

catches and takes off among the consumer dog foods, we can expect most

companies such as Purina and Alpo to follow immediately

Page 23: Show Circuit

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Positioning

First In Show Pet Foods will provide premium frozen dog food to dog owners at a

premium competitive price

To achieve appropriate market share consumers must be introduced to the product and

know where it is located

To achieve market share we will identify Points of Parity and Points of Difference

o Points of Parity: Dog food products vary significantly from price point as well as

what form the food takes whether it is a solid or canned. Consumers are aware

that the more expensive the product the more wholesome and nutritious it is. We

must position our product with easy-to-read labeling and make it available to

customers in all applicable settings

o Points of Difference: It is essential to clearly label and package due to the fact that

it will be the only available frozen dog food and will be placed amongst human

food. The package must convey that the product is of premium quality and will

provide benefits such as a healthier and fuller coat. Must state that it has been

used by kennel owners for dog show participants for years before being

introduced into consumer market place

Packaging will be cube shaped allowing easy storage and microwavability

Package will clearly show name and act as personal billboard for the

product

Page 24: Show Circuit

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Packaging

The package must be a marketing tool itself

o Package must be attractive and eye catching, yet distinguishable from human food

Must clearly state name

Differentiate from human food

o Convey that it is dog food

With clean and clear packaging it will attract attention through clear glass

doors

By labeling the product effectively the consumer will be able to locate the

product easily and effectively

The logo and brand name will stand out among other products in the

freezer

Must stop the passing consumer and make the unfamiliar consumer

ask, “What‟s that?” and read labeling to convey product

Must bridge gap with price and willingness to buy among consumers

Packaging must show:

o Premium-quality Ingredients

o Used by professionals

o What size dog product size is for

o Consumption Instructions

o Convenience of Use

Container is the bowl

o Will improve the dogs coat

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o Company and Brand Image: The First in Show Pet Foods company will be seen as

a company who provides premium quality products that are used by professionals

who are highly satisfied with the results obtained with the product

o Packaging Objectives

The package must immediately identify itself as a premium quality dog

food and why it is found in the freezer section

Side labeling will provide descriptive information of ingredients

used and handling instructions

Packaging will be individual servings in one time use containers

When shipped from warehouse, the product will be boxed and wrapped in

cellophane and shipped via temperature-controlled transport

o Labeling

Will identify the premium quality product

Identify the target quality: Premium frozen dog food

“A Better Coat, Guaranteed” slogan

The color green will be used to convey freshness and convey our use of

eco-friendly packaging

Logos, Trademarks, and Slogans

The First in Show Pet Foods logo will convey premium-quality along with a winning

theme

Packaging is as follows:

Page 26: Show Circuit

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Slogan

o “A Better Coat, Guaranteed!”

Slogans, Trademarks, and Logos will be registered with trademark and patent offices in

the U.S. in order to prevent imitators and companies from stealing the Show Circuit Dog

Food product name

Line Strategies

Line Filling Strategies: Efforts will be made to ensure portions and servings are

appropriate for dog size.

o Different sized packaging will be offered to consumer for different dog breeds

Brand Strategies

The Show Circuit Dog Food will have two target groups with emphasis on one

o The Dog Kennel Owners

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The dog kennel owners have a low willingness to switch and very loyal to

the brand they use currently

Current Loyal consumers will not have much emphasis placed on

them, however, quality must be maintained to ensure satisfaction

o By maintaining satisfaction and quality of product we see

very low percentage of current loyal customers switching

o Middle and Upper Class Pet Owners

Strong emphasis will be put on consumer

Emphasis will be placed on quality product that produces visible

results

o Ease of use

o Wide availability

The brand image of Show Circuit Dog Food will be a professionally used product made

available to consumer to better benefit dog health

o Show Circuit is aware of the benefits it provides to a dog and its coat and wants to

ensure availability to owners everywhere

Brand Objectives

o Dog kennel Owners

Provide a quality product that produces quality results to the high

standards of kennel owners

o Middle class pet owners

Provide a professionally used product that produces visual results to the

healthiness of the dogs coat

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Brand Barriers

o Consumer will be hesitant to try a new form of product especially ones that have

new steps to preparation

Provide insight on how easy product is to prepare

Pull next day's meal out of freezer and place in fridge when you

feed your dog nightly

Vision and Mission

o Vision: To be the number preferred dog food brand in the Dog Kennel and

consumer marketplace through guaranteed product results.

o Mission: To provide a quality product that performs on guarantees and is trusted

by all users.

Plan

o Successful introduction and acceptance in the consumer marketplace

o Distribution to as many retailers in grocery, pet specialty, and combination stores

o Effectively convey benefits through catchy packaging

o Product differentiation from everything else in freezer section due to only product

of its kind

o Maintain quality product and satisfaction of professional users

o Ensure only highest-quality ingredients are used in production

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Product Strategy

The product strategy is to introduce a new product to the consumer that is different from

conventional means and provides better quality ingredients, which provide visual results

o Benefits of Show Circuit Dog Food

Made with premium quality ingredients that provide better nutrition to the

dogs and its coat

Guaranteed improvement, visually, of the dogs coats

Used and endorsed by kennel owners who show dogs who are judged on

the quality of their coat

Product available in all the same places that other dog foods are sold

Product Life Cycle and Strategies

Currently the dog food market is in the maturity stage of the product life cycle

o As long as there are dogs there will be a need for dog food

With the introduction of the frozen dog food the product will in fact be in the

introductory stage of its life cycle stage

o Although product has been available for a while, it has not been available to the

widespread public so easily. Most people don‟t know about product

Brand awareness is key to success

o Introductory Stage

Introduce product via advertising and promotions

Ensure every store has product clearly labeled and the location is clear

Promotions and free samples at dog parks, beaches, and specialty stores

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Advertisements on the web, in magazines, newspapers as well as in-store

are crucial

Clear in-store labeling in frozen food section

“Frozen Dog Food” added to hanging signs above aisles

Collaboration with dog trainers, washers, as well as veterinarians to carry

product and talk to consumers about benefits

o Growth Stages

Heavy push with promotions to increase brand awareness

Consumer testimonials from newly switched users in commercials

Commercials on animal planet

Product sponsored dog show events in which dogs who use products are

competing in

Promotion teams on weekends set up at specialty pet stores to talk to

consumers about the benefits of the product

Product Market Expansion

o Market Penetration: Focus will be put in the middle class and some upper class

consumers in order to obtain the largest market share available with the largest

discretionary spending

By targeting families with higher amounts of discretionary spending, users

are able to justify spending the few extra dollars due to the foreseeable

advantages of using the product

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o Market Development: Focus will be put in establishing the product in the

consumer marketplace. This is the first time frozen dog food has been brought to

the mass market and user benefits and brand awareness must be capitalized on

o Product Development: Show Circuit Frozen Dog Food already has established its

reputation as a premium quality product in the kennel and show community.

Efforts must be made to make that quality known to the primary dog food

consumer market

o Diversification Strategy: Currently Show Circuit is offered primarily to the show

and kennel community and efforts must be made to make the product available to

all consumers in the U.S. Efforts must be made to get the product on shelves of

retailers who sell pet products everywhere because the product is not only a

specialty good, but it is also a staple

Page 32: Show Circuit

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Price Objective

First in Show Pet Foods will seek a 15% return on sales in its introductory year, meaning

a profit oriented pricing objective will be used. With known costs First in Show Pet Food will be

able to develop a plan to obtain and exceed the 15% goal for return on sales

Pricing Strategy

Price Skimming

Show Circuit will be introduced with a premium price due to the fact that the

product is unique with no competitors in the same category yet. Demand for the product is

inelastic, allowing for the price to be above average. The quality and functionality of premium

dog food will be emphasized toward pet owners who have a high regard to how their animals are

fed. The target market will not be price sensitive because they seek a high end product, which

will be beneficial to the health as well as appearance of their pets. Those consumers who do not

seek out the high-quality benefits in dog food will be price sensitive

Price Range/Price Points - Premium pricing will be used to fit into the more luxury, high-end

dog food

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Suggested Retail Value

Small Dog/Puppy 3 LB Package - $9.00

Medium Dog 5 LB Package - $15.00

Large Adult Dog 10 LB Package - $30.00

Break Even - Based on 22% retailer margin, 7% broker margin, and variable cost of $.04 per

ounce

Small Dog Package 3LB package

$3.00 per pound x 3 lbs = $9.00 per package

Retailers Cost: $9.00 – $1.98 = $7.02

Manufacturer‟s Selling Price: $7.02 - $0.49 = $6.53

Contribution: $6.53 - $1.92 = $4.61

Medium Dog Package 5LB package

$3.00 per pound x 5 lbs = $15.00 per package

Retailers Cost: $15.00 - $3.30 = $11.70

Manufacturer‟s Selling Price: $11.70 - $0.82 = $10.88

Contribution: $10.88 - $3.20 = $7.68

Large Dog Package 10LB package

$3.00 per pound x 10 lbs = $30.00 per package

Retailers Cost: $30.00 - $6.60 = $23.40

Manufacturer‟s Selling Price: $23.40 - $1.64 = $21.76

Contribution: $21.76 - $6.40 = $15.36

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Factors Affecting Price

General Costs

Due to Show Circuit being a frozen product, all aspects of the production line

through to the selling process must be monitored to ensure quality of the product. This

includes storage within shipment as well as within retailers. Costs of storage and

packaging will incur higher general costs

Materials

Due to the use of premium raw materials and an all meat dog food, Show Circuit

will have higher production and material costs compared to other dog foods. This highly

affects the price of First in Show products. If the cost of materials fluctuates then the

price of Show Circuit will have to be adjusted

Competition

With so many competitors, First in Show must keep prices somewhat near other

competitor prices, but because of the variance with Show Circuit frozen dog food

compared to other dry and canned dog food there is reasonable allowance for a higher

price for a new product within a new market

Suppliers

With a currently strong supplier relationship First in Show is able to determine

costs but if such relationship were to decease, First in Show would have to determine new

suppliers with a higher cost to the company to find such suppliers

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Distribution

Show Circuit being a frozen dog food requires transportation in refrigerated

vehicles as well as storage within supermarket and other storage freezers. This

requirement incurs higher costs than other dry or canned dog foods have to tend to

Economy

Due to the still uncertain economy, the cost of certain raw materials or other

variable costs may increase, causing price increases of the finished product. This

increase, however, should not affect our target market too much, as they seek a valuable

product and expect the best for their pets

Weather

Transportation of Show Circuit can always be affected by poor weather as well as

the cost of the raw materials used in production which could eventually cause a rise in

price.

Labor Cost

As with other price factors, labor costs increasing could also cause an increase in

price in order to maintain a contribution margin

Elasticity of Demand

Inelastic – The target market for Show Circuit Frozen Dog Food contains groups of

people who seek high-end products for their animals, which will improve well-being,

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appearance, and overall health. These consumers are not price sensitive because they want the

best for their pet. With so few substitutes to Show Circuit, customers will not have the

opportunity to be price or brand switchers.

Discounts

Cash Discount - To maintain healthy accounts receivable First in Show will offer

traditional 2/10 net 30 cash discount terms for buyers.

Quantity Discount - Cumulative quantity discounts will be offered to retailers after they

have purchased 500 cases. A 5% discount will be given once this point is reached in

order to insure long-term relationships with retailers

Functional Discount - Functional discounts will be offered to retailers in exchange for

record-keeping and stocking specific locations

Seasonal Discount - Seasonal discount will be offered during slower months of the

promotional calendar. Although dog food is a necessary purchase throughout the entire

year we will push cumulative discounts throughout certain months to encourage mass

purchases

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Allowance - An allowance along with point of purchase displays will be issued to

retailers with other promotional materials in order to maintain presence in store

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Define Channel

One-level Channel

The main objective of the channel chosen is to distribute creative awareness for Show

Circuit dog food products to retailers in hopes of reaching new potential consumers, as well as

current customers. The indirect one-level channel will involve the retailer as the sole

intermediary between the manufacturer and the consumer

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Criteria for Channel Choice

The use of the indirect, one-level channel is influenced by four main factors, they include:

1. Manufacturer

First in Show Pet Foods, Inc. manufactures their Show Circuit frozen dog food at

their manufacturing facility in Boston, Massachusetts. The manufacturer should contain

many positive characteristics such as:

Suitable location with convenient distance to retailers

Reliability and efficiency, which will ensure cost effectiveness in

manufacturing quality dog food

The use of FDA approved ingredients in manufacturing Show Circuit frozen

dog food

2. Market

The target market for Show Circuit would be married and single men and

women between the ages of 21 and 54 who seek quality dog food for their

four legged companions

The specified target market would be enthusiastic and loyal enough to choose

Show Circuit products over competing brands

Boston contains dog food sales of $120 million annually; this allows a great

opportunity to launch a new dog food brand

Boston also contains 1.2 percent of the dog population, making the

expenditures for pet products far from scarce

Supermarkets dispense 36 percent of all dog food sold in the United States

and 64 percent sold by mass merchandisers

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3. Product

Fresh meat constitutes 85 percent of the products volume, the highest-quality

fortified cereal occupies the remaining 15 percent.

Show circuit contains federally inspected beef by-products, beef, liver, and

chicken

The ingredients, with no additives or preservatives, are packaged frozen to

prevent spoilage of the fresh uncooked meat

In order to preserve quality of the Show Circuit product, it will be produced,

transported, and stored in a refrigerated environment. Show Circuit product

quality will remain held to the absolute highest consistency

Packaging issues will be addressed accordingly regarding stackable eco-

friendly containers, as well as overall packaging displays

4. Competitive Forces

There are about 50 dog food manufacturers and 350 dog food brands in the United

States. However national brands such as Iams, Nestle Purina Pet Care, Hill‟s Pet

Nutrition, MasterFoods USA, and Del Monte Foods, Inc. account for the majority

of dog food market share. These five competitive brands control 75 percent of the

entire dog food industry

The dog food industry as a whole is very mature, making all competition levels

high as well as increasing the level of rivalry among firms in the U.S.

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Channel Members

Manufacturers

National headquarters for First in Show Pet Foods, Inc. is located in Boston,

Massachusetts

First in Show Pet Foods, Inc. produces a variety of products including: dog-treats, dry,

canned, and frozen dog food

First in Show intends to market their brand as a premium frozen dog food

Retailers

Retailers meet the needs of the target market by selling the premium product to consumer

and potential customers. The two main sources of retail distribution will be through supermarkets

and the company website, both contributing key aspects

1. Supermarkets

-Convenience through store location and store hours

-Samples with attached coupons

-Helpful information regarding the products through sales associates

-Creative promotional products

-Responsible for directing the attention of consumers shopping for dog food to the freezer

section where they will conveniently find the Show Circuit brand

2. Company Website

-The company website will provide consumers with a venue to order Show Circuit dog

food as well as other First in Show Pet Food products

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-Utilizing online resources will enable users to browse through different products, make

direct purchases, as well as expedite and track all orders, all these qualities are tailored to

the consumer‟s wants and needs

-The main advantage of the company website is the convenience factor which will

broaden our reach for potential customers

Consumers

Our main consumers will be dog owners who consider their dogs as part of the family.

These consumers refer to themselves as “Mom and Dad,” in regards to their pets, putting

the pets‟ needs in high priority

The consumers targeted are usually compulsive, frequent users concerned with the well-

being of their companions

Degree of Distribution

Selective Distribution Strategy

First in Show Pet Foods, Inc. will distribute its Show Circuit dog food products though a

select few outlets in the Boston area. A couple outlets chosen are Stop and Shop and Shaw‟s

Grocery Stores. The Stop and Shop has a couple locations including one in the South Boston

area. The great thing about Shaw‟s is that out of the three locations in Boston two are open 24

hours a day 7 days a week, making shopping trips more convenient for consumer‟s busy

schedules.

Through selective distribution, First in Show Pet Foods, Inc. can attain more control of

their accounts in the Boston Massachusetts area while gaining adequate market coverage.

Selective distribution helps to keep price-cutting down and helps in the development of stronger

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relationships between channel members. Strong working relationships are important and

attainable through this narrow channel. The narrow channel means there is higher involvement

between channel members, with strong communication it will help to eliminate channel conflict.

Supply Chain Management

Customer Relationship Management (CRM)

First in Show Pet Foods, Inc. will employ many different value added activities to ensure

customer satisfaction including:

1. Value Proposition to customers

Keep constant users and/or customers by providing consistent product quality

for all First in Show Pet Foods Inc. products. This will help the company gain

positive brand equity by concentrating on quality and consistency

Customer and technical services will be strong in order to achieve value in

various ways such as, striving to answer customer questions and addressing

concerns quickly, providing immediate and sufficient feedback, and paying

attention to any small detail, which add satisfaction to end consumers

Keeping all channel members in the loop. Making certain that the flow of

information is consistent and accurate, meaning that the dog food

representatives keep in contact with the Show Circuit Representatives

2. Ordering System

Brick-in-Mortar Stores which are Supermarkets

Brick-and-click will be available for use of information about First in Show

Pet Foods products as well as e-commerce

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Show Circuit representatives will place weekly orders via Internet, telephone,

as well as face-to-face. The representatives will also be responsible for

monitoring current stock by doing physical inventory checks

Orders will be placed weekly in order to ensure premium dog food freshness

and prevent overstock and spoilage

On the company website, customers will be able to purchase First Show Pet

Foods, Inc. products, including Show Circuit dog food, with a restricted

maximum of twelve units per package size

3. Networking System

Establish on-time delivery standard by using the Internet and company

website to track orders made through the Internet and distributors/wholesalers

To ensure that price and demand stay inelastic, a demand forecast will be

instated and monitored

The networking system will provide assistance in gathering data and order

processing

4. Inventory Control

Inventory control of products will help to ensure that retailers are focusing

primarily on keeping the shelves in the frozen food section stocked at all

times. It is to maintain an efficient product flow to retailers in stores and

directly to customers who have placed online orders

UPCs and manufacturing codes on individual packages will track inventory

and sales for each specific location

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Manufacturing codes will be used to specify date of production in order to

maintain quality and freshness

5. Reorder Point System

By using a reorder point system, retailers are able to contact distributors once

they are low on inventory and the system can help the distributor reorder the

Show Circuit dog food, as well as any other First in Show Pet Foods, Inc.

products

6. Logistics

The frozen dog food products will be placed in eco-friendly, airtight

containers that will prevent oxidation. This will give the product quality,

freshness, and prevent spoilage

The containers will be stackable for easy freezer storage

Importance in establishing agreement among channel members regarding

pricing

On-time delivery, careful handling of products, recovering for emergency

needs and orders, and willingness to allow replacement of dog food spoilage

or defective containers

Since many purchases are made from eye-level reach, our medium size

containers will be on the middle shelf, with the smaller sizes on the top and

larger containers on the bottom

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7. Transportation

Company owned refrigerated trucks to keep freshness and prevent spoilage

during delivery will do transportation from the manufacturing plant in Boston

to the channel members

Upon delivery Show Circuit will also strive for delivery efficiency by

stocking the refrigerated shelves, this helps with proper front label product

display and freshness rotation. It allows the company to take charge of

reorders as well by simply doing on site inventory checks

During the transportation process First in Show owns the product and all

rights reserved. Until the product is delivered does it fall into the channel

members hands. The channel members will also pay First in Show shipping

and transportation costs

Channel Integration

Vertical Integration

First in Show Pet Foods, Inc. will use a vertical integration system; this means the

channel members will work together acting as a unified system. All resources, information,

expertise and major decisions regarding the product will be discussed and shared with all channel

members. This will control channel behavior and eliminate the conflict that results when

independent members pursue their own objectives. First in Show will achieve economies through

size, bargaining power, and elimination of duplicated services by using the vertical integration

system. First in Show Pet Foods, Inc. will act as the channel leader as it produces, distributes,

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and sells products to reach end consumers. Corporate integration will be used since First in Show

is under single ownership and it controls products as it goes through the channel

Pull Strategy- Since Show Circuit is trying to increase brand and product awareness, it is

important to use lots of promotions and buyer incentives in order to educate our target

market about the product. Most of the customers that check out the product will be high

involvement consumers who compare quality and differences in brands. Since they are

compulsive shoppers advertising and promotions will ultimately make the decision for

purchase

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Promotional Mix

We plan to use all six aspects of the promotional mix. Through heavy emphasis on

personal selling, to get the product in stores, and increased efforts for sales promotion and

advertising, we hope to become a product that those in the Boston area can turn to for quality

dog food.

Promotional Mix

Advertising - 20%

Sales Promotion - 20%

Personal Selling - 30%

Public Relations - 5%

Direct Marketing - 15%

Support Promotions - 10%

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Promotion Objectives

Advertising

Increase brand knowledge within the target market by 75%

Increase recall and recognition

Sales Promotions

Convert 25% of canned dog food users to Show Circuit

Increase trial of Show Circuit by 50%

Personal Selling

Succeed in having our product placed in 75% of grocery stores

Increase retailer support by 50%

Public Relations

Increase perceived goodwill of the company by 50%

Increase knowledge of our products by 75%

Direct Marketing

Increase points of contact with the customer by 50%

Increase brand awareness among potential future customers by 35%

Support Promotions

Increase customer loyalty by 45%

Create a database of sweepstakes entrees

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Creative Strategy

Pioneering Stage - In the first stage we will introduce the product to the greater Boston area.

While doing this, we will direct the customer to the frozen foods aisle. In addition, we will focus

on trial and local events to create free publicity. By saturating the Boston area market with

unique promotions, we hope to make local news

Retention Stage - In this stage, we will focus on commercials showing results of shinier coats

and happy dogs. With sponsorships we will demonstrate that we care not only about people's

dogs, but also the un-adopted ones

Channel Promotion

Our position in supermarkets is crucial to our success. In addition, it is also important for

customers to know where we are located in the aisles. Our product needs to be refrigerated, so

we must work with the frozen foods buyer to gain entry onto the shelves

Trade Shows

o Global Pet Expo in Orlando Florida - February

By introducing our product at the Global Pet Expo, we expect to

increase knowledge of our product on the East Coast primarily, but

also make contact with future distributers in the West. This trade

show brings in over 5,000 buyers from pet product retailers,

supermarket chains, mass-market retailers, and professional

retailers

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Retailers

o Slotting Allowance - We plan to allot $30,000 for slotting fees to pay for

our freezer space

o Discounts - Typical discounts including cash, quantity, seasonal, and

functional discounts will be offered

o Sales Packs – sales packs will be distributed to the retailers with

information about our product and free samples

o Point of Purchase displays

For Stop and Shop, and Shaw‟s Grocery, both Boston retailers, we

will personally install an outdoor point of purchase display of a

life-size dog. The dog will bark upon sensing motion. Next to the

dog will be a coupon dispenser

For other retailers, a large cutout dog will be in the dog food aisle

with the words, “Find out what all the bark is about in the frozen

food aisle!”

Creative Appeal

Emotional - for the emotional appeal, we will focus on dog owners' want the best for

their dogs. We will emphasize that a healthy dog is a happy dog. Also, our installations

of life-sized dogs will provide a cute impression, as well as a great photo opportunity

with children and/or dogs. Slice of life advertisements will also be used to show how

dogs are “members of the family,” and thus they deserve the same love and affection as

humans

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Rational - for the rational appeal, we will focus on the makeup of the product. To

emphasize this, we will use a one-sided argument approach. Show Circuit dog food is

organic and made of fresh meat. In addition, the biodegradable eco-friendly packaging

will support the idea that what we do now affects the future. This will be important since

many of the dog owners are also parents of children

Advertising

Objectives

Increase brand knowledge within the target market by 75%

Increase recall and recognition

Television - we will start airing commercials on Animal Planet and HGTV, targeted to air only

in the Boston area

Animal Planet - these ads will focus more on the emotional appeal

HGTV - ads will use both the rational and emotional appeal. Since many viewers of

HGTV are eco friendly, we will emphasize the biodegradable packaging and the

organic nature of the product

Print

Magazines: we plan for Show Circuit to have ads in popular dog magazines. To cut

down on waste, we will only be in the magazines going to the East Coast. After we

launch our national campaign, we will expand the ads to cover the whole US.

Magazines we plan to be in include:

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o Modern Dog Magazine

o The Bark Magazine

o Dog Fancy Magazine

o Fido Friendly Magazine

o Cesar's Way Magazine

Circulars - to gain retailer support, as well as consumer knowledge of our product,

we will co-advertise in circulars. Our product will be listed with other pet foods, but

will have a line denoting that it can be found in the frozen food aisle

Internet

Banner Ads - Banner and skyscraper ads will be placed on some of the most popular dog

lover websites. These websites include:

o TheBark.com

o Petfinder.com

o Moderndogmagazine.com

o Dogfriendly.com

o Cesarsway.com

o ARLBoston.com

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Sponsor Co-Advertising - for any advertising the American Rescue League of Boston does, we

will co-advertise. In addition, we will feature them in our ads for no cost

Out of Home Media

Park Benches - Next to park benches around the two main dog parks in Boston, Boston

Commons off Leash Dog Park and Joe Wex Dog Park at Peters Park, we will install large

life-sized dogs. These dogs will be motion activated to bark when people walk by. Next

to these installations will be a gumball type machine dispensing our new line of dog

biscuits, made from the cooked dog food

Installations at grocery stores - For select grocery stores, we will also install the life-

sized motion detector dogs outside. There will be a shelf talker next to the dog

dispensing coupons for the dog food

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Sales Promotion

Objectives

Convert 25% of canned dog food users to Show Circuit

Increase trial of Show Circuit by 50%

Coupons

Distributed through:

Point of Purchase display

Shelf Talkers - prominently displayed in the regular dog food aisle

to create awareness about the new product and where to find it.

When customers walk past the coupon dispenser, it will bark to

catch their attention

Direct Mail

Animal Rescue League of Boston - upon adoption of a dog

Website

On-package

Facebook

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Floor Decals - Within the supermarket, we plan to have dog foot print floor decals leading from

the normal pet food aisle to the frozen foods, and then appear as if a dog is climbing on the

actual freezer display window to show the product‟s location. In addition, each floor decal will

include an interesting fact about dogs and Show Circuit.

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Samples

Grocery Store - we will be offering free samples to interested customers in stores.

These will be a sample of our actual frozen product. Also, we will hand out a coupon

which customers can use that day

Out of Home - the dog installations set up at Boston parks will also have a sample

dispenser, dispensing our dog biscuits, made from our frozen dog food

Point of Purchase Displays

In most retailers, a cutout of a dog will be placed in the dog food aisle near our

competitors to draw customers away. These cutouts will emphasize the floor

decals and let customers know where to find Show Circuit

In select retailers, we will have our noticeable life-sized dog installations, to

attract customers and draw local news attention. These will also disperse coupons

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Personal Selling

Objectives

Succeed in having our product placed in 75% of the grocery stores

Increase retailer support by 50%

Since pet food purchases are very routine, it will be hard to redirect customers to the frozen food

aisle. Because of this we need salespeople who, when asked where the pet food aisle is, promote

our product in the frozen food aisle.

Slotting Allowance - To gain access into the freezer section, we will offer a slotting allowance

of $30,000. Since this isn't the usual buyer for dog food, we must send our best salespeople to

pitch the product to the buyers.

Doggy Day

To get the buyers and grocery store workers excited about our product, we plan to

hold a "Doggy Day." On this day, grocery store employees may bring their dogs,

or just come alone, to learn about the dog food and our partnership with the

Animal Rescue League of Boston. The day will be full of free dog food samples,

as well as food for their owners, contests, and games. This whole day program

will be available to all retailers who could possibly carry our product

Though grocery stores are low involvement purchases, checkers and baggers will

be more apt to complement customers‟ choice of Show Circuit dog food because

they know more about the product. This will reinforce the good choice the

consumer made, as well as easing any doubts in purchasing a new product

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Public Relations

Objectives

Increase perceived goodwill of the company by 50%

Increase knowledge of our products by 75%

Sponsorship/Partnership

We plan to partner with the Animal Rescue League of Boston, at all three locations to

provide free dog food for a dog adopted for the first month. Along with this, we will

provide a packet of coupons. This will allow new dog owners to start feeding their pet

correctly from day one, so the purchase becomes a habit

Instead of distributing the dog food at the time of the dog‟s adoption, we will give new

owners a sample pouch and then a “Gold Medal Member Card.” This not only will tie in

with our product being used by award winning dogs, but will allow members to scan their

card upon purchase of Show Circuit dog food. For one month, cardholders will receive

free dog food (*up to a predetermined limit). With this card, not only will we be

promoting our product, we will also be building a customer database, as well as seeing if

once the trial runs out, we retain customers

Press Release - we will send out a press release to all major news outlets in the Boston area in an

attempt to have them cover our unusual dog installations around dog parks. This will provide a

great way for many people to learn about our product

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Direct Marketing

Objectives

Increase points of contact with the customer by 50%

Increase brand awareness among potential future customers by 35%

Website

The website will be for all dog lovers and to promote our brand. It will have

numerous tabs to find out information on the brand, our values, and the

sweepstakes

o About us - about the product, what it's made of, and our history in the dog

show world

o Blog - our blog will focus on any new products we come out with, where

we are expanding to next, any new dog

o Where to find us - Users can put in their zip code and it will let them

know where the nearest retailer is that sells our product. This will also be

a way for us to track where are customers are, and if we need to have our

products in retailers closer to these customers

o Rescue a Dog! - Here we will make our sponsorship of the American

Rescue League of Boston know. It will tell users of our involvement with

supporting dog rescues. In addition, users can put in their zip code and we

will list local animal shelters near their location.

o The Dog Walk - Titled the Dog Walk because of the conversations people

have while walking their dogs, this will be a forum on the website for

users to post questions and upload pictures of their dogs. Owners can

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discuss which flavor of Show Circuit their dog prefers, as well as common

pet owner questions.

o Coupons - periodically, we will update the site with coupons to maintain

brand loyalty, as well as provide incentive for nonusers to buy

o Sweepstakes - here users can enter their code from the sweepstakes to see

if they have won a prize

Direct Mail

Email Newsletters - this newsletter will be sent once a month to users who opt to receive

the newsletter. It will note if there are new coupons on the site, let people know if there

is an upcoming dog show on TV, and answering frequent questions, among other things

Coupons - coupons will be sent via mail and the internet

Social Media

Facebook - we will create a Facebook page so fans can share knowledge of the product

with their friends. We will post Facebook exclusive coupons for fans, as well as any

information about the dog food

Twitter - we will utilize Twitter in the Boston area with a Twitter name of Show Circuit

Boston. On this account, we will post an adoptable dog of the week, as well as

information of where we will be handing out samples, setting up displays, and having any

events. We will also post a question of the week about dogs that followers can tweet the

answer to. The first person to tweet the correct answer will win a coupon for a free

package of dog food

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Support Promotions

Objectives

Increase customer loyalty by 45%

Create a database of sweepstakes entrees

Twitter Contest - on Twitter we will post a question of the week having to do

with dogs. The first person to retweet us with the answer will win a coupon for a

free package of Show Circuit Dog Food

Sweepstakes - Under the lid of Show Circuit Dog food will be a code that can be

entered onto the website. Once entered, along with user information, users will be

informed if their code was a winner. Prizes will include a stuffed dog with a

Show Circuit collar, a leash, and a ball to play fetch with. All the prizes will have

the Show Circuit logo prominently displayed.

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o Customers will learn of the sweepstakes via a message on the package,

postings on our Twitter, Facebook, and the website

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Schedule

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Pulsing - due to various holidays in the year, and competitors' media schedules, we used

a pulsing strategy for most of our media schedule. We intend to start out the year, a few weeks

after New Years. This will allow time for any relatives to leave, children to go back to school,

and routines to be re-established. After a heavy six weeks of promotional work, we will scale

back efforts until Earth Day.

Since no dog food companies celebrate Earth Day, we feel the holiday, on April 22nd

, will

be a perfect time to promote. Since our packaging is 100% biodegradable, Earth day presents a

great opportunity to tie our product in with helping the world.

Our e-mail newsletters will be sent out at the beginning of every month. Floor decals add

an abnormal aspect to grocery stores that catches both adult's and children's attention in an effort

to lead them to the frozen food aisle.

Continuous

Facebook, Twitter, and a website must be updated at least every 3 days. On Twitter, we

will need to tweet a new dog trivia question each week for followers to win prizes. In addition,

our sponsorship of the American Rescue League of Boston will continue on the entire year.

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Flighting

Due to the expensive nature of our installations of life-sized dogs, we will only have

these once in our campaign. The first time they are revealed will also be the most effective

because of the unusual placement of them.

There is also only one trade show on the East coast to attend. Since it is the largest, we

feel that once we go national, we will expand to smaller trade shows.

Budget

Budget

Channel Promotions

Advertising

Sales Promotion

Personal Selling

Public Relations

Direct Marketing

Support Promotions