Management Team
sklmwinbrianna
Capstoneweek3.docx
Red Team Capstone: Week 3
Brianna Baldwin, Brittney Mendez, Catherine Thyben, Chelsea Slawson,
Christopher Mitchell, David Chavez, Gabriel Parra, Jill Peterson
Grand Canyon University: BUS-485
March 24, 2019
Running head: ASSIGNMENT TITLE HERE
1
Capstone: Week 3
No matter what business you are in, whether it is small and family owned, a larger corporation with many outlets, or something as simple as a food truck, a marketing plan is a necessity. Knowing where the business fits within the system or market is key to any sort of success. The Multi-Fry-er will show through research of a SWOT analysis that keys in on the strengths, weaknesses, opportunities and threats they may face, where their business lies. They will also analyze the 4 P’s; product/positioning, pricing, promotion, and placement, as well as the 4 I’s; intangibility, inconsistency, inseparability, and inventory. A close examination of this data will help The Multi-Fry-er pinpoint where their plan will work best. It will all start with one of the important questions for any firm which is, what is The Multi-Fry-er’s target market?
The Multi-Fry-er appeals to foodies of all sorts, including vegetarians. The target market includes event goers ages 21-40. These individuals are technologically adept (ie: often on their phones and social media). They follow the latest trends and enjoy updated takes on the classic fare (such as the many sophisticated varieties of grilled cheese or mac-n-cheese or hot chocolate). Thus, the Multi-Fry-er with its updated take on French fries is poised to appeal to them. They are eco-conscious and want sustainable, environmentally friendly products and will appreciate Multi-Fry-er’s partnership with local farmers and sustainable frying practices, including the use of air fryers and oil recycle programs. Many of the members in this target market are craft beer aficionados, making the Multi-Fry-er’s collaborations with local breweries a big hit. And of course, French fries and beer go great together!
In the Phoenix area alone, there are more than 200,000 21-40 years old’s (Current population, n.d.). Phoenix hosts more than 150 festivals every year (Frigerio, 2018 and 2019). There is even an event dedicated to fries, the Fried: French Fry and Music Festival. And festivals are only one market that the Multi-Fry-er operates in. In addition to festivals, Multi-Fry-er’s target market can be found in and around Phoenix’s 35 college campuses (My college options, n.d.). Finally, brewery partnerships expose the Multi-Fry-er to even more French fry fans.
SWOT Analysis
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Strengths: -Niche market with French fries -Menu variety with healthy options -Exclusive contracts with events and venues with high attendance -Mobile business can go where there are business opportunities -Easy to eat and vegan options -Small staff with minimal training -Community building business |
Weaknesses: - Non-proprietary recipes that could lead to increase in competition -Shortages in menu items due to local supply (Myrick, n.d.) -Minimal space due to limited size of cooking area/food storage -No sit-down space, always grab and go -No consistent location, difficult for advertising |
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Opportunities: -Growing industry as local events become more and more popular -Cultural following possible with loyal customer base -Plans to build a strong social media presence (Myrick, n.d.) -Franchise opportunity in multiple areas with strong following and customer base -Adding locations is easy |
Threats: -High competition at event venues without exclusivity -Potential licensing issues may prevent business at certain venues (Myrick, n.d.) -Choosing low-attendance events / venues -Increased fuel and ingredient costs -Change in permit requirements -Economic recession could lead people wanting to eat in |
The 4 P’s
Product/Positioning
Multi-Fry-er will use the highest quality, local ingredients so that they can remain tied to the community as well as giving customers a firm understanding of what they are eating and where it came from. Multi-Fry-er will position this as a positive attribute to their food trucks over the others that may throw together higher priced, processed or prepackaged foods. Multi-Fry-er products will stand out amongst the others as versatile, with vegan/vegetarian options, as well as plenty for the carnivore in each family!
Pricing
Thanks to very lean operating processes and a focus on local suppliers, Multi-Fry-er is able to sustain competitive pricing. Utilizing local suppliers for produce and other supplies is really what sets Multi-Fry-er apart from its competitors. Multi-Fry-er is not only able to set the bar high for quality, but offer it at a premium price. While pricing may vary a little form one end of the menu to the other, as Multi-Fry-er has a wide range of treats, Multi-Fry-er guarantees to have something to meet everyone’s budget.
Promotion
Multi-Fry-er will promote through a user-friendly website and social media including Facebook, Instagram, Twitter and Snapchat. Establishing a strong relationship with the customer base will help ensure that customers visit the truck, even with the changing locations. Multi-Fry-er will also work closely with the popular events to ensure that promotion of Multi-Fry-er is prominent on all the marketing materials for the event (Myrick, n.d.).
Placement
Since Multi-Fry-er is mobile, strategy is an important part of the business plan. Multi-Fry-er will establish contracts with popular venues for exclusive vending at events. The Food truck will also be scheduled throughout the week to make routine stops at businesses with 50+ employees. Lastly, Multi-Fry-er will conduct business at popular weekend events with projected high attendance (Myrick, n.d.).
The 4 I’s
Intangibility
Intangibility really comes into play with Multi-Fry-er’s business model because this is where the item can’t be touched or seen before the customer makes a purchase. Multi-Fry-er will focus on providing a fully detailed menu with proper pictures and adequate descriptions of toppings and options in order for the customer to connect their taste buds with the available product.
Inconsistency
Inconsistency will be a struggle internally, but Multi-Fry-er will set itself up so that the customers will always have a consistent experience when it comes to the food, pricing, and customer service. Multi-Fry-er will be able to purchase products via wholesale pricing in order to budget for consistent prices on the menu. As far as customer service goes, with training and quality control the customer will be receiving the same customer service experience from all staff members.
Inseparability
The inseparability between services and providers that Multi-Fry-er will deal with is the food truck itself with vendors for food and supplies, social media platforms, and technology to run transactions.
Inventory
Inventory will be something that requires a lot of focus and attention because Multi-Fry-er’s products are perishable. Since the products are perishable the demand for service becomes very important.
Conclusion
There are many products aimed at 21-40-year old’s in the greater Phoenix area, but Multi-Fry-er stands uniquely poised to capture a substantial portion of the food truck industry share. With a focus on event attendance and local business partnerships, both at the food supply level and with craft breweries, Multi-Fry-er is ready to meet its market on their terms. Coupled with excellent customer service and up-to-the minute social media promotion, Multi-Fry-er will create a unique relationship with their customers that will keep them coming back for more. And by keeping an eye on the areas of weakness or concern, Multi-Fry-er will tackle concerns before they become problems. Through a solid understanding of who their customers are and what the customers want, Multi-Fry-er will continue to raise the bar and stay ahead of the competition.
References
College search. (n.d.). Retrieved from https://www.mycollegeoptions.org/college-search/AZ/Arizona/0/Phoenix.aspx
Current Phoenix, Arizona population, demographics and stats in 2019, 2018. (n.d.) Retrieved from https://suburbanstats.org/population/arizona/how-many-people-live-in-phoenix
Fried: French fry music festival. (n.d.). Retrieved from https://www.universe.com/events/fried-french-fry-music-festival-tickets-phoenix-J1S2CB
Frigerio, J. (2018). Phoenix festivals 2018: 90+ food, drink, music and art festivals you cannot miss this fall and winter
Frigerio, J. (2019). Phoenix festivals 2019: 70+ food, music, and art festivals you do not want to miss this spring. Retrieved from https://www.abc15.com/entertainment/events/phoenix-festivals-2018-90-food-drink-music-and-art-festivals-you-cannot-miss-this-fall-winterhttps://www.abc15.com/entertainment/events/phoenix-festivals-2019-70-food-music-and-art-festivals-you-do-not-want-to-miss-this-spring
Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. (2015). Strategic management: Competitiveness & globalization (11th ed.). Stamford: Ct. Cengage Learning.
Jones, A.J. (2017). Four P’s of Marketing. Retrieved from https://www.investopedia.com/terms/f/four-ps.asp
Myrick, R. (n.d.). Food truck industry growth trends. Retrieved from https://mobile-cuisine.com/off-the-wire/food-truck-industry-growth-trends/
Myrick, R. (n.d.). Developing a SWOT Analysis for Your Mobile Food Business. Retrieved from https://mobile-cuisine.com/business/swot-analysis-mobile-food-business/
Myrick, R. (n.d.). The 4Ps Of Food Truck Marketing | Mobile Cuisine. Retrieved from https://mobile-cuisine.com/marketing/the-4ps-of-food-truck-marketing/
