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Smile+ Custard Report 1 By Michael Wauters

‘+ Custard’ Report By Michael Wauters The Soy Works wish to expand their sales of organic Soya products in the New Zealand Market, with a goal to increase their revenue by 50 percent to 1.8 million dollars within two years. In order to achieve this, they require the development of a new soy based product which will increase sales in New Zealand. I have invented a product which I strongly believe has the potential to achieve this goal. This report contains a marketing plan, a communication plan and a graphic artist’s brief, along with a prototype package design of my product.

Marketing Plan: My product is called ‘+ custard’. It is naturally flavored, organic, lactose free, soy custard, with added calcium and essential vitamins for babies. It is produced with organic soybeans and will be available in two flavors that babies enjoy; Banana and natural vanilla. The essential vitamins in the custard are B1 (Thiamin), B2 (Riboflavin), C, and D. Thiamin is important because it plays a vital role in helping the body successfully use the nutrition from food. Riboflavin is great for keeping a child's skin and nervous system functioning well. Vitamin C is great for the immune system, and vitamin D, along with calcium, help create healthy teeth and bones (ThinkBaby, 2008). ‘+ Custard’ would be available in a ready to eat 110g glass container and can be given to infants warm or cold. It can be classified as a top-end food product in the baby food category, priced at approximately $1.75 in supermarkets. Although supermarkets in NZ offer alternative soy formulas and drinks, they do not offer this type of product as of yet. My main competitor is Watties, a strongly established, trusted brand, which currently offers a wide variety of custards and ready to eat baby food. Watties dominate the shelf space in the baby food category of New World, and offer their products at a cheaper price than ‘+ custard’. Nutricia is also a potential competitor, as they offer an extensive variety of soy baby formulas. Like Watties, Nutricia is also strongly established and many consumers trust their products. The number of children being born in NZ is growing every day, and many parents are becoming more health conscious when making decisions regarding what to feed their babies. An increasing number of parents also have babies with lactose intolerance (Givaudan, 2009). In today’s society, many of these parents live busy lifestyles, making it difficult to prepare food for their babies themselves in order to provide them with the healthy, organic, and/or lactose free food they wish them to have, or need to give them.

Smile+ Custard Report 2 By Michael Wauters

My target group consists of two types of consumers with similar needs and wants: 1. ‘Very health conscious parents’ (With babies) 2. ‘parents with lactose intolerant babies’ The ‘Very health conscious parents’ are typically aged between 25 and 35, are highly educated, live busy lifestyles, and have an income of $35,000 or more. They don’t posses much time to spend on preparing food and are in need of quick, easy to prepare alternatives which are just as healthy for their babies. They are ‘green’, eco-friendly, and care about the environment. Price isn’t an issue for them when it comes to purchasing food for their children, as they want to provide them with only the best quality, healthiest food available, making them very selective about the food they choose to purchase. These parents are motivated to do anything they believe is in their children’s best interest and in general, spend a generous amount of their income on their children to provide them with the best possible lifestyle and head start in life. They want their babies to feel good on the inside and out. These parents spend a fair amount of time researching new health products, health trends, and the benefits of different ingredients through media such as alternative health magazines and the internet. They keep a constant eye out for new products that may meet their needs and wants in this area. They remain loyal to satisfying products and brands most of the time; however, they do have a tendency to follow the latest health trends, and to purchase products/brands which follow these trends too. They have a higher tendency to trial new products and brands in general. These parents want to provide their babies with enjoyable, exciting products which taste great, in the hope that this will encourage them to keep eating healthy throughout their lives. The ‘parents with lactose intolerant babies’ are typically aged between 20 and 35 and have an income of $20,000 or more. They are in need of alternative lactose free food to provide their babies with. They are prepared to pay the extra price when purchasing this type of food, as they are forced to buy lactose free products for their babies and realize that soy products are generally more expensive to produce. They conduct busy lifestyles which limit the available time they have to prepare the food their babies need, and therefore, are in need of quick, easy to prepare food suitable for their babies’ special needs. These parents often hold a subconscious fear that their children will inherit more health problems later in life, and therefore, are attracted to products which help to provide their babies with extra vitamins, calcium and nutritious ingredients, as they may act as prevention. These parents already know what their babies needs are and don’t spend much time researching products, often making decisions to purchase solely through Point Of Sale Communication. When satisfied with a product, they will often remain loyal to it, purchasing it on a regular basis. This is beneficial when they are repeatedly purchasing your product, however, this will act as a barrier when trying to encourage these parents to trial and switch to my product. These parents don’t want their babies’ allergies to

Smile+ Custard Report 3 By Michael Wauters

prevent them from enjoying tasty, healthy food which makes them feel good and makes them happy. They want their babies to enjoy a fun variety of food just like every other child.

Communication Plan: Although the “Very health conscious parents” have a high involvement in researching new healthy ingredients, health news and trends, their purchasing process for ‘+ custard’ remains a low involvement process, as they are bombarded with products for their babies when shopping, and cannot possibly thoroughly research each one. However, they are aware of what ingredients and types of products to look for from prior research, and are stimulated by different cues relating to these. They are also stimulated by cues which portray ‘+ custard’ as being a fun and exciting product. It is important to encourage these parents to consider my product prior to shopping, as this is prone to increase their likeliness’ of purchasing ‘+ custard’. The “Parents with lactose intolerant babies” rely strongly on Point Of Sale cues when making decisions to purchase. Their purchasing process for my product is also low involvement. Cues relating to key things their babies are in need of (such as lactose free), as well as my product being fun and enjoyable, combined with cues enforcing extra health benefits, are likely to stimulate them to purchase my product. Both of these types of parents are looking for a trust worthy product/brand and therefore, need cues which evoke feelings of reliability and confidence in order to encourage them to purchase my product. The purchasing process for ‘+ custard’ is as follows: At first, my target group of consumers recognize the problems described in the marketing plan which must be met, and in return, are stimulated to purchase a product which meets their needs and wants in response to these problems. The “Very health conscious parents”, are looking for premium quality, healthy, exciting, tasty, and quick to prepare food for their babies. The ‘Parents with lactose intolerant babies’, are looking for a similar product but obviously, it is crucial for them that it is lactose free in order to meet their children’s primary need. Once this problem is recognized, their information search begins. This involves scanning products for features which meet their needs and wants. They are likely to look for key words on the packaging such as ”Lactose free”, “Organic”, “Natural”, “Vitamins”, “Calcium”, and “Soy”. They will also consider the colors, design and graphics of the packaging, as this gives a strong message about the product and brand. They will be attracted by cues that represent a solution to their needs and wants such as fun, great taste and healthiness for their babies. Premium, fresh colors and exciting, joyful pictures are likely to represent this for them. These Cues need to cause

Smile+ Custard Report 4 By Michael Wauters

them to associate ‘+ custard’ with something positive in their lives to stimulate them to purchase it. This must happen very quickly. Lastly, they are likely to consider the price of the product. Selling my product at a higher price means a higher level of quality to my target group of consumers. After these three stages of the low involvement purchase decision process, my target group of consumers will compare these attributes with other similar products available in this area and evaluate alternatives. The “Parents with lactose intolerant babies” will strongly consider past experiences with their current, regularly purchased baby food products in order to decide whether or not to trial, and possibly switch to a new product and brand. The “Very health conscious parents” will be tempted to trial my product more easily, as they are not as loyal to products/brands. Encouraging constant repeat purchases for these consumers is more challenging. All of these purchase decision occur in the space of about six to ten seconds (Hamlin, 2010), making it crucial to gain their attention through well designed packaging at the point of sale. The way my target market evaluates my product and brand, and whether they decide to trial it or not, will strongly be driven by pre existing knowledge, and locally available external information (Hamlin, 2010). Soon after purchasing ‘+ custard’, my target consumers will conduct a post purchase evaluation. They will need to have had a positive experience with their babies while using the product. This experience will need to stick in their mind, and they must be reminded of it in order to encourage them to conduct repeat purchasing of my product. I will support the various stages of purchase decision through three carefully selected methods. The first two methods I plan to use are at the point of sale and as the customer enters the supermarket, as this is the crucial time when my target group of consumers are out to purchase food for their babies. My product is not a high involvement product and therefore, the way it communicates to the consumer at the point of sale and shortly prior to it is extremely important. The third method makes use of promotional material which can be taken away, and will feature in consumer’s homes, allowing for inexpensive, remote advertising for ‘+ custard’. Method 1: I plan to set up ‘tasting stalls’ in various New World and Countdown stores throughout the south island, where the product will be launched. New World is known for offering a wide range of organic and alternative products to its consumers. Many of the consumers who choose to shop there have the needs, wants and attributes of the ‘very health conscious parents’. Countdown is popular amongst middle class kiwi families, many of which have the needs, wants, and attributes of the, ‘parents with lactose intolerant babies’. I plan to set up these stalls in Nelson, Motueka, Christchurch, Dunedin, Greymouth and Queenstown. When taking their young ones shopping, Many parents have an unpleasant experience as children frequently demand something to eat and/or start crying and making a scene in the supermarket.

Smile+ Custard Report 5 By Michael Wauters

The aim of the tasting stalls, is to provide infants with a sample of ‘+ custard’ for them to enjoy prior to and/or while parents are shopping. The stalls will also contain some free promotional give away shopping list pads which can be stuck on the fridge at home. I will explain what these shopping lists will consist of, along with the reason and benefits of giving these away later. Ultimately, parents will observe their child eating and enjoying the custard while they are shopping. This will create a positive experience for them, as every parent enjoys a peaceful shopping experience, and seeing their child happy. This will stimulate them to walk to the baby food section where they will see and interact with my product. The stalls will look like so:

 Lactose free  Added calcium  Vitamin B1 B2 C & D



The stalls will capture my target group’s attention as they will be in a cheerful, luxurious blue with a combination of other bright, joyful colors which stand out. The blue I have chosen to use combined with the monkey holding the banana and the fresh vanilla, makes the product look premium, fresh, healthy, exciting and fun. The key words my target group is looking for all feature on the stalls, along with the heart foundation tick, making it immediately obvious that it is a healthy, trustworthy product. These stalls will reinforce my target group’s problems which need to be solved, and will encourage them to interact with and consider my product as a solution as soon as they enter the supermarket. They will create a pleasant experience for them with their babies, resulting in them associating ‘+ custard’ with their children being happy. My target group really cares about their children, as do most parents. Their children mean everything to them, thus, their babies

Smile+ Custard Report 6 By Michael Wauters

being happy, in turn, makes them happy and reassures them of being a good parent. Associating my product to their babies being happy, will trigger memories of other joyful moments they have shared with them in the past when they think of ‘+ custard’. These positive thoughts will give value to my product in their mind and will stimulate them to trial it. Method 2: This method is executed purely through Point Of Sale. The packaging of a product plays a huge part in persuading people to purchase a product, especially for low involvement products such as ‘+ custard’. Therefore, my package has been carefully designed in order to be a marketing tool in itself. This is an economical, effective way to further encourage my target group to trial my product when they reach the baby category of the supermarket. As explained earlier, my target group will be stimulated to walk to the baby food section after experiencing the pleasant experience that ‘+ custard’ has given them by giving their babies the opportunity to sample the product. Thus, when they arrive at the baby food section of the supermarket, my product will already be strongly on their mind, causing them to actively search for it. My product will stand out as it will be in a fancy, eco-friendly glass container with the label containing the same colors as the stand. The premium blue stands out from the rest of the custards, as they are all in yellow. Once my target group’s eyes meet with the ‘+ custard’ container, they will see the picture of the happy child on the container. This picture is strategically placed on the label in order to trigger thoughts relating to the pleasant experience they shared with their children earlier when trialing it. The logo/name of the product itself has also been designed to reinforce these thoughts into the consumers mind. These thoughts will quickly paint a picture in their mind of other joyful moments they have shared with their babies in the past. They will observe the key points on the packaging which relate to their babies needs and/or what they wish to give to their children, such as “Lactose free” and “vitamin B1, B2, C & D”. The heart foundation tick also reinforces that it is a healthy product which must be good for their children and can be trusted. The price will be approximately $1.75, this is higher than Watties, helping to position ‘+ custard’ as the premium quality product they are after. When they begin to compare these cues with Watties custards, I strongly believe the cues from my packaging will outweigh Watties, as they relate ‘+ custard’ to something positive in my target group’s lives, that is, their child being happy and healthy, and joyful moments spent with them. These positive thoughts will repeatedly occur every time my target group sees my product and interacts with it. Method 3: The shopping list pad give away is used to push repeat purchasing of my product. It will be on the parents fridge, reminding them about their pleasant experience with ‘+ custard’ every time they look at it or write down their shopping list. It will feature a magnet top with a small plastic pocket built in to it, allowing them to put a passport size photo of their own baby

Smile+ Custard Report 7 By Michael Wauters

inside it. This will make it an amusing give away which will provide them with more reason to make use of it and keep it on their fridge, even after the shopping list has run out. The shopping list will look like so:

Photo goes here

Being able to place of photo of the child they love in the same place as the child on the label of ‘+ custard’ will help to ensure that parents experience a positive post purchase evaluation. It will remind them about the great experience they had at the supermarket; releasing memories of other cheerful moments they have spend with their babies in the past. This will reinforce the link between ‘+ custard’ and these pleasant thoughts in their minds. It will also encourage them to engage in conversation about my product with other parents when they are visiting. The three methods I have mentioned above are all closely intertwined, working together to encourage and stimulate my target group to trial and to continue purchasing ‘+ custard’.

Smile+ Custard Report 8 By Michael Wauters

Graphic artist’s brief:

‘+ Custard’ is targeted at the need to provide infants with premium, exciting, flavorsome, healthy food, which can be prepared and served quickly. The target market is ‘Very health conscious parents’ (aged between 25 and 35), and ‘parents with lactose intolerant babies’ (aged between 20 and 35). The product will be purchased in New World and Countdown supermarket outlets. It will be bought in single 110g glass jars, and will be served to babies usually in the morning or evening, although it may be given to babies by a care giver throughout the day while their parents are at work. The principle competitors are other custards and ready to eat baby food and formulas, mainly Watties and Nutricia products. ‘+ Custard’ is to have a more premium, exciting, fresh and healthier positioning relative to these competitors. It needs to “jump out” at the target market and be highly recognizable at the point of sale. It needs to cause my target market to associate the product to positive experiences with their babies, and their babies being content and healthy. It must reassure them that purchasing ‘+ custard’ is the right choice, by making it obvious that it will meet their needs and wants, along with their children’s need and wants. A large proportion of the advertising and promotion for ‘+ custard’ will be conducted as the target market enters the supermarket, and at the point of sale. There will be a small amount of remote advertising through the use of promotional products. The supermarket outlets where the product will be sold are New World and Countdown, which are both relatively large and powerful supermarkets in New Zealand. The product requires to be positioned on a shelf in the baby food category. These shelves typically allow a height of 350mm. The product will not initially be able to displace competing leading baby food products from brands such as Watties from eye level, thus it will need to communicate effectively from up to two shelves below that level. All products will be shelved in single jars, lined up one behind the other, in three or more rows depending on the amount of shelf space granted. The jars will fit on the shelves height dimensions described above. The individual jars will contain 110g. The jars and labels will comply with relevant food regulations.

Smile+ Custard Report 9 By Michael Wauters

Prototype package design:

      110g NET

This is the design of the label for the Banana ‘+ custard’. The label for the natural vanilla flavor would be almost identical, however, instead of the monkey with the banana; it would feature the same fresh vanilla plant as on the tasting stalls and shopping list.

Smile+ Custard Report 10 By Michael Wauters

Reference List:

Newborn health & safety. (December 2, 2008). Essential Vitamins for Babies and Toddlers.

Thinkbaby. From

Givaudan Leading Sensory Information. (2009). Soy Presentation. PP Presentation

Hamlin, R. (2010). Dealing with Point of Sale Communication I II & III. Lectures presented to Marketing 202, University of Otago.

Product and Brand management Assignment (2nd year Marketing Management) Grade: A  

The purpose of this assignment was to design a product which has the potential to inceease revenue for Soy Works (a genuine company) by 50%...