Group-Assignment-MKT420 e PDF

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Company marketing analyst...

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1.0

INTRODUCTION:

In this project work the product chosen by us is stock cubes from Knorr®company. We tried to cover the brief history of the company, the brief history of the brand. We have also tried to cover the SWOT analysis of this brand. At the end we have proceeded to the 4Ps of the marketing for stock cubes Knorr® product.

2.0

COMPANY BACKGROUND:

A passion for good food goes right back to Knorr®'s earliest days. The business was formed in 1838, when founder Carl Heinrich Knorr pioneered experiments in drying seasonings and vegetables to preserve their flavor and nutritional value. Since then, Knorr® has become an international brand offering a wide range of bouillons, soups, seasonings, sauces, soupy snacks, dressings and frozen and ready-made meals. Knorr® products owe their tastes and flavors to the culinary skills of its chefs. Knorr® embodies a truly global cuisine, which began when the globe-trotting sons of its founder started importing new ideas from overseas. The tradition stands today and Knorr®’s drive for innovation still centers around its original factory in Heilbronn where international teams of chefs contribute to product innovation.

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HISTORY OF THE BRAND:

Food philosophy of Knorr®, one that’s been years in the making. Their story starts back in 1838, when Carl Heinrich Knorr opened a factory a factory in Heilbronn, Germany, supplying chicory to the coffee industry. He began to experiment with drying vegetables and seasonings, to preserve nutrition and flavor, leading, in1837, to the launch of the first Knorr® dried soups across continental Europe. This breakthrough ushered in a string of advancements. From the launch of the nutritious ‘Erbswurst’, or pea soup, in 1889, to pioneering Knorr® European sauce mix in 1908, creativity and innovation have been at the heart of everything our chefs do. THEN THERE WAS BOUILLION: In 1912, we introduced something really exciting, the first product of Knorr® is Bouillon cube. Now, families could enjoy delicious dishes at home without the need to make stock from scratch. This humble little product proved a hit. Just one example of how, with dedication and lot of love, Knorr® Endeavour to help customers cook better meals every day. FLAVORS OF THE WORLD: Knorr® is available around the world and in every country. We pride ourselves on genuine understanding of local flavors, providing great tasting favorites and helping you sample authentic flavors from other cultures. In 1957, flagship Knorr® brands like bouillon and soups were sold in 8 countries and by 2000,Knorr® products were sold in nearly 90 countries around the globe. This led us to an important milestone that same year, when Knorr® joined the Unilever family. ALWAYS SEARCHING FOR THE BEST FLAVORS: Throughout the 20th century, Knorr® launched many exciting recipes throughout the world. Knorr® soupy noodles in India, Knorr® home-style stock in Canada and the US, Knorr® soups across Europe and the rest of the world. In fact, Knorr® products are now enjoyed by 320 million people every day. All of this still carry the iconic signature of Carl Heinrich Knorr, with whom it all began. Today, the kitchens of Knorr® are playgrounds to hundreds of real chefs,

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passionate experts who work together to hone recipes that help customers serve up tasty meals all the time. Knorr® always strive to discover new ways to make the meals memorable, with clever ideas and products. We go to extraordinary lengths to get the best flavors from ingredients, and we embrace global cuisines. Knorr® aim is to help you create good and simple food that is full of flavor. A SUSTAINABLE FUTURE It is the commitment to providing customers with the highest quality food that now leads Knorr® to a new future, one that embrace sustainability. Knorr® investing in new more efficient processes and embracing the principles of sustainability right through the business, from seed spoon.It is not an easy path, but sourcing the ingredients responsibly helps to ensure that we can continue to provide families the world over the great tasting, nutritious meals for years to come.

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THE TARGET MARKET AND THE SEGMENTATION OF CUBESKnorr®

The target market of cubes Knorr product is for a mother or women who looks to prepare a quick meal and concern about health benefits.Also look forward for an appreciation from their loved once for the special dishes. The segmentation of cubes Knorr is in the term of demographic is for a female age between 25 to 50. The geographic segmentation is for suburban and rural area.

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5.0

SWOT ANALYSIS OFCUBESKnorr®: STRENGTHS

WEAKNESSES



Association with quality and taste.



Strong brand heritage.

(consumers are not really aware of the



Innovative of flavors. The only all in

brand’s benefits and despite reasonably

one purpose seasoning in the market

high recall.



Low

brand

awareness

levels

that are flavor variety of dishes.



Limited distribution.



Expanding distribution network



Offering suitable for urban markets only



The price is affordable.



New entrants competitors that have very much similar products.

 OPPORTUNITY 

THREATS

Disposable income has increased



Strong presence of heavy competitors.

over



Imitations of stock cubes Knorr® that

the

past

increasing

few

the

years,

thus

may results on decreasing the product

consumers’

market share.

purchasing power. 

Awareness of healthy, hygienic and conveniently packaged food is on the rise.



Consumer

exposure

to

foreign

products has also increased. 

Limitations of the products.

More television advertisement on cooking shows.

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

Has a possibility that the product will be phase out soon.

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THE COMPETITORS OF CUBES Knorr®:

The competitors of Cubes Knorr® is Maggie.

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MARKETING STRATEGIES OFCUBES Knorr®:

(PRODUCT) Products of Knorr® under category product of stock cubes, in Malaysia there are five flavors variants namely Knorr Chicken Cubes, Knorr Beef Cubes, Knorr Chicken NAM Cubes, Knorr IkanBilis Cubes and Knorr Tomyam Cubes. Knorr® aim to capture a Malaysian target market with produced product with typical Malay taste such as produced flavors of Tom yam and IkanBilis. Another product strategy is developing packaging of product in cubes shape. It is easy for customers to make dishes in a small quantity with the best taste of seasoning product. This way also will be able to capture the new market. Traditionally, Knorr stock cubes product is available only in a packaging that is design for household consumption. The product is easy to prepared but not long lasting and perishable product compared with new packaging in a cubes shape.

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(PRICE) Like any company, Knorr® company has setting the price based on competitive price. Competitive price is setting the price in comparison with competitors. This competitive price has three optionthat are the price lower, the price the same or the price higher than competitors. Knorr® company offers a price matching service to match what their competitors are offering. The price of Knorr product lower from their competitors to grab the market opportunity.Knorr® companyalso using psychological pricing. They will consider the psychology of price and positioning of price within the market place to attract the customers.

(PLACE) Knorr® entered the market in various ways. The distribution network is well spread almost

everywhere

in

the

country

included

in

Malaysia.

Easily

available

in

all

stall.Knorr®company has its own distribution network its products. They have several warehouses, one of each division is in Malaysia. The company does not use their own transportation for distributing the product. They have outsourced their distribution process to various third party distributors. Then, these distributors supply the product all over the world included in Malaysia.

(PROMOTION) Promotion is that part of communication that consist of company messages designed to stimulate awareness, interest, desire and action of customers to purchase of the products or services. Knorr®company spends a huge amount of promoting their products. Knorr® markets their products heavily on print media, banners, signboards, social media and the most important they promote their product very effectively through TV commercials. They sponsor various of cooking shows to promote their usage of products. They also use the sales promotion, by giving a free sample to customers to grab the attention of buyers.

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8.0

INTRODUCTION:

In the brand development we redesign on this brand and become KiubKuahLaksaas a brand development and put a innovation on this brand.In this brand development project, we tried to cover the background of the product development, objective of the product, the advantage and disadvantage of the product. We have also tried to cover the scope of the project, the basis of marketing mix of this product. In this project also included the SWOT analysis of this brand and the process of product development.

9.0

COMPANY BACKGROUND:

QueenCube Sdn. Bhd. is a Malaysia company which involve in a food industry business. QueenCube Sdn. Bhd. established on 27 December 2012 with registration number KV2000157T. This company was formed of private limited companies in the Act of 1965. This company consist of six members, who have a major shares and as a board member of the company. The name history of QueenCube Sdn. Bhd is created by the board members. The meaning of queen cube is as a symbol to show the leader of the product in the cubes shapes. Which means, our company want to produced many products especiallyany type of gravy but in the cubes shapes. QueenCube Sdn. Bhd was joined the food industry because food industry nowadays has a high potential and has more opportunity in this industry. QueenCube company produced the type of instant meal nutritious product. The first product of our company is known as Kiub Kuah Laksa.

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9.1

Company vision:

“To be the world’s best instant meal company”. Being the best means providing outstanding quality, service, cleanliness and value, so that every customer is contented and happy with our products.

9.2

Company Mission:

To be the leading premier consumer products company focused on any type of instant gravy. We seek to produce healthy financial rewards to investors as we provide opportunities for growth and enrichment to our employees, our business partners and the communities in which we operate and in everything we do, we strive for honesty, fairness and integrity.

9.3

Company Objectives:



To become a company that can market the product to the whole peninsular of Malaysia in 2015.



Being a company that can expand the market with the variety of instant gravy in a cubes.



To achieve the sales target of 3,000 units in the 3 months period in the east coast market in Malaysia.



To produce instant gravy that was delicious and high quality from our company with the international Halal standards.

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10.0 BACKGROUND OF THE PRODUCT:

Kiub Kuah Laksa is a kind of instant gravy meals based on fish and other adding ingredients that is dried to form a cubes shape. This product is produced from high quality of ingredients such as onion and fish. This function of product is to facilitate and accelerate the user to prepared Kuah Laksa. The consumer can make the three types of Kuah Laksa with this Kiub Kuah Laksa. From only Kiub Kuah Laksa they can make the variety of Kuah Laksa such as Kuah Laksa Peneng, Kuah Laksa Johor and also Kuah Laksa Kelantan. Naturally, to make Kuah Laksa is more complicated and it also using the high cost. But, when using this Kiub Kuah Laksa this is more easier than traditional of making Kuah Laksa and this also can save the cost.

10.1 The objective of the product: 

To maintain the endurance of the product at the room temperature.



This product is more easier for consumer to prepare KuahLaksa



The time management to prepared KuahLaksa is more shorter than using a traditional ways.



Can cut the cost of preparing KuahLaksa.

10.2 The Advantage of the product: 

Non-perishable product



To facilitate the career women to prepare KuahLaksa in the short time but have a good taste.



Durability of the product storage can be maintained even in the room temperature.

10.3 The disadvantage of the product: 

This KiubKuahLaksa isnot yet known by the consumers because this products are still new in the market and have not been commercialized yet and this product require more aggressive promotion.

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11.0 THE TARGET MARKET OF THE PRODUCT: The target market of this product is suitable for career women. This is because, the career women do not have enough time to prepare the traditional Kuah Laksa. The traditional Kuah Laksa take a lot of time to prepare. The scope of this product only focus on west coast at the beginning, then will be extended to the whole of peninsular Malaysia within in two years.

12.0 SWOT ANALYSIS: By using SWOT analysis, the QueenCube company can determine its position in the market and enhance more strategy in the future. This also, may affect the markets and can penetrate the global markets. Indirectly, this product will be famous in the market and attract more consumers.

(STRENGTHS) i)

Product strengths: In the terms of products, the QuuenCube company is the only of the company

that markets a cube of Kuah Laksa based on natural materials around the east west of Malaysia. Although, there are several companies producing instant gravy, but it was only produced in the “paste”. The products in the paste form are difficult for consumers to store the product. It also non-durables and should always be stored in the cold temperature. QueenCube company produced the Kuah Laksa in the cubes shape can maintain the originality of taste. QueenCube company produced Kiub Kuah Laksa which is the best product innovation by using a good technology and natural ingredients and also high quality. Different with other instant gravy, mostly they using a chemicals and additional flavor that can reduce nutrients and the originality of flavors. Our company also focuses on the quality and cleanliness of the product. This product has received recognition from JAKIM.

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ii)

Human resources strengths: QueenCubecompany also has strength in terms of human resources. The

employees of company have a higher skills and qualified. They are very hardworking, dedicated and educated in the field of food processing. QuuenCube company also lucky when our company having employees who are willing to work hard to prepare the latest product of company. Besides that, the production, finance and marketing department teams are very experienced in their own field. The production teams of the company using their production skills to produce the innovation product and also they using a new technology. In the finance department, they have experience in managing the company budget and trusted involving about financial matters. In the marketing department, they have experience in managing marketing strategies for the company.

(WEAKNESSES) i)

Weaknesses in terms of financial: The weaknesses in terms of financial, the company has limited capital.

Therefore, the company had to convince the bank to obtain the necessary loan. The bankers are not confident with company ability because our company is a newly established. Our company have to show the stability of company’s management and marketing strategy use by company. ii)

Weaknesses in terms of market: QueenCube company difficult to market the product because our company is still

new in the market and not yet recognized in Malaysia compared with well-known company which operates in more develop place such as Kuala Lumpur, Pulau Pinang and Johor. This condition causes the growth of the company has not been growth of the company has not been growing rapidly.

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(OPPORTUNITY) i)

Product opportunity: QueenCubeSdn.Bhd. is the first company that produceKiubKuahLaksa in the

market. Therefore, our company must take the opportunity to grab the customer attention for this product. It also to grab the large market to expand the market share to the international markets. ii)

Company opportunity: This will provide the opportunity for our company to expand the market shares

because it has a little bit of competitors. A small competitor can provide a good chance to company to move forward to expand the market share in Malaysia and the company also can take the initiative to introduce this brand to Sabah and Sarawak. iii)

Lifestyle changes opportunity: The lifestyle changes nowadays also can give opportunity to the company.

Changing lifestyles of society, that wants easy and simple in cooking or in preparing a meal, especially working women that not have enough time to cook something that complicated because the constraints of time and energy. Therefore our company grab the opportunity to produce KiubKuahLaksa that can full fill their needs and wants. In the long term planning, our company also may produced many types of Kuah in the cubes shapes.

(THREATS) i)

Competitors threats: Competitors is one of the threat. It capable to become a threat for the company.

The nearest competitors for the company is the company that produced instant gravy. The competitors usually from the company that has already strong market. The nearest competitors of our company is Bio Haruan Tech (M) company that produced product under the Rizza Brands, which that the company produced instant food such as instant Laksa. Pak Ngah food marketing and Adami Food And Spices industries Sdn. Bhd also the competitors. 12 | P a g e

13.0 MARKETING MIX STRATEGY:

13.1 PRODUCT Products is anything that can be offered in a market for attention, acquisition, use, or consumption that might satisfy a need or want. Products also anything that can be offered on the market and it has a set of characteristics of packaging material, quality, brand and colour. KiubKuahLaksaproduced by QueenCubecompany that is a consumer product classification under conveniences product. Consumer products is that customer usually buys frequently and immediately. Consumer products also is a product that purchased by end user. KiubKuahLaksa is designed in the cube shape. Selection of design in the cube is to facilitate the process of preparation...