Trident University International
Lisa A. Quinonez
Strategic Marketing Module 1 Case
MKT501: Strategic Marketing
Dr. Todd Senft
20 January 2019
In order for a business to be successful, it would need a customer base. One thing that must be done is to target a specific type of customer that will help your business grow. This is where a marketing plan comes into play. The segmentation, targeting, and positioning is the most important component of analyzing the market position and strategy of a product (N. Kokemuller 2018). Using Maslow’s Theory of needs will be explained and how it is applied to marketing. I will provide a quick overview of the restaurant that I created, “The Keto House”, and explain my “target market” and the rationale of this decision. I will also discuss the competition, how large the market is, and what the trends are in the dieting industry.
According to psychology, Abraham Maslow studied how human motivation described the way of their behavior. There is a complete hierarchy of different needs which determine the priorities of individuals. The order of these include physiological needs, security and safety, belonging and love, self - esteem and self – actualization (Same & Larimo, 2012). So, the companies should focus on meeting the needs of their target market by analyzing this hierarchy. Marketing can use this important concept to provide products in a way that is required by the customers.
The consumer buying process consists of six different steps. These steps include the problem recognition in the marketing process and then searching for the information that leads to the evaluation of multiple alternatives. Then there come the decisions about the purchase after which customers make a purchase and this generate post - purchase evaluation (Solomon et al., 2014). The marketing should include these steps in its strategy making so that the buying behaviors can be analyzed accordingly.
The product that is selected here to market is ketogenic food. The market segment selected to make sales are foodies in the area of Las Vegas. However, the targeting is specially done for people who want to eat food with low carbs. This means that health - conscious consumers are selected for this restaurant. The positioning is done by making it clear in the minds of consumers that completely organic products are offered in the outlet which are best for the health and meet all the standards of ketogenic food.
The demographic profile of people coming to this place include the people belonging to both the genders in the area of Las Vegas, NV. The buying capacity of these people is according to the price range set by the restaurant because the proper analysis is conducted before setting prices. The market size includes all the people living in the vicinity. These are the people who want to eat food with fewer carbohydrates and with a sufficient amount of protein along with high fats (Parsons, 2015). This is for the people who want to use fats as the fuel for their brain rather than the carbohydrates. However, with the Ketogenic Diet, all the fats, proteins, and carbohydrates have to be rationed specifically in what is called “macros”. 60-75 percent fats, 25-30 percent proteins, and 5-15 percent carbohydrates. Everyone has different macros.
In the area selected to make this restaurant, there are many other keto friendly restaurants available which increase the competition, but this also shows that people are well aware of the new product being offered by the company. In this area, there are few big players that already offer keto meals. These are: Egg works, MTO Café, The Protein Source, Skinny FATS, and Studio B - Buffet at the MGM Resort. All these places offer perfect food that meets standards of the low-carbohydrate diet. This is good for the people who are only concerned with quick and easy low carbohydrate meals. However, none of them offer the specific nutrients that is needed for a ketogenic dieter’s macronutrients.
The area of Las Vegas has a diverse population living here as people from all over the world visit that visit weekly. The purchasing power is high and the demographic profile selected also support the decision of providing a keto diet because of the increase in the obesity rate in society. This allows a high turnover in customers and all of them are now moving towards having a better lifestyle and controlled diet so that the extra fats in the body can be consumed easily. It is challenging for people to find good places that offer keto food as offering purely keto diet is a difficult thing. For improving the credibility level of consumers, this restaurant has developed an excellent marketing strategy. It will validate the ingredients and nutrition facts that are desperately needed in this diet. The trend in the industry shows that in starting the company should market their product effectively so that the information can reach out to people preferring ketogenic food which are the actual targeted customers of the company.
In conclusion, this paper focused on analyzing the consumer behavior by focusing on their needs and then making an appropriate marketing strategy. Analyzing all these things is very important because the modern customers are very demanding about their needs and there is a high level of competition when promoting convenience in the market which is another challenging aspect. When evaluating all has the elements of competitiveness in the diverse area of Las Vegas there is a broad area that is covered when looking at restaurants that offer ketogenic food. But to specifically tailor to a “ketogenic specific” menu, there are none.
References:
Parsons, J. M. (2015). " Good" Food as Family Medicine: Problems of Dualist and Absolutist Approaches to" Healthy" Family Foodways.
Same, S., & Larimo, J. (2012, May). Marketing theory: experience marketing and experiential marketing. In 7th International Scientific Conference “Business and Management (pp. 10-11).
Solomon, M. R., Dahl, D. W., White, K., Zaichkowsky, J. L., & Polegato, R. (2014). Consumer behavior: Buying, having and being (Vol. 10). London: Pearson.
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MKT501Mod1SLP2019.docx
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