Transcript SoupedUP! - Alan Yeung

Marketing 370 - Principles of Marketing
SoupedUP!
Group #1
Nader Al Essa
Haitham Al Humsi
Jill Richardson
Kim Rubenstein
Luqman Sadiq
Alan Yeung
Marketing 370 - Principles of Marketing
Problem Statement
Panera (St. Louis) Bread Co.
• Despite phenomenal growth nationwide, growth
has stagnated in the St. Louis area.
Objective:
• To increase growth in the St. Louis area by
opening a new soup restaurant to expand and
diversify Panera’s customer base.
Marketing 370 - Principles of Marketing
SoupedUP!
TM
Marketing 370 - Principles of Marketing
SoupedUP!: Mission Statement
• To provide a unique, healthy, high-quality, and
convenient international dining experience
Marketing 370 - Principles of Marketing
History: Panera Bread Co.
• Founded in 1987 in St. Louis as Saint Louis
Bread Co.
• Expanded to 19 bakery-cafes by 1993
• Bought by Au Bon Pain Co. in 1993
• Sold Au Bon Pain in 1999
• Renamed Panera Bread Co.
• Currently has 262 bakery-cafes in 28 states
Marketing 370 - Principles of Marketing
Stock Price (NASDAQ: PNRA)
Marketing 370 - Principles of Marketing
Current Marketing Mix: Product
 Menu: Deli Sandwiches, Panini, Soups, Bakery
Goods, Espresso
 All high quality and fresh
 Offers bakery goods as well as meal items
 Restaurants with a European flair
Marketing 370 - Principles of Marketing
Price
•
•
•
•
•
Average lunch costs $6.41
Average breakfast costs $3.76
Average purchase costs $5.44
Lower prices than sit-down dining
Avoids price competition through brand equity
Marketing 370 - Principles of Marketing
Promotion
• Cultivates good will with community through
public relations, such as donating to causes such
as Walk for Diabetes and donating leftovers to
the homeless
• Frequent purchase programs for both deli
sandwiches and espresso
• Less emphasis on traditional advertising
Marketing 370 - Principles of Marketing
Place
• Utilizes a combination of company owned stores
and franchises
• Located in malls, strip malls, and free-standing
buildings
• 262 locations in 28 states with plans to expand
to 1500 locations nationwide
Marketing 370 - Principles of Marketing
Competitor Analysis
• Competition includes bakeries and other
restaurants that fall between fast food and
casual dining, such as Starbucks and Einstein
Bros.
• Indirect competitors include fast food and sit
down dining venues
Marketing 370 - Principles of Marketing
Demand and Customers
• Customers include Trend-setters and Good food
traditionalists
• Both groups desire quality experience tailored to
their discriminating tastes
• Trend setters especially tend to embrace new,
healthy menu items
Marketing 370 - Principles of Marketing
Environmental Analysis
• With more dual-income families, consumers
seek convenient dining solutions
• More health information is available, making the
average consumer more health conscious
Marketing 370 - Principles of Marketing
S.W.O.T: Strengths
•
•
•
•
•
Leading bakery-café nationwide
Award-winning sourdough bread
High quality food
Highly profitable
Loyal customer base
Marketing 370 - Principles of Marketing
S.W.O.T: Weaknesses
• Soup quality varies from day to day
• Small percent of profits come from dinnertime
sales
• Low brand awareness in new markets
• Market saturation in St. Louis area
Marketing 370 - Principles of Marketing
S.W.O.T: Opportunities
• Increasing health consciousness among
consumers
• Very few direct competitors
• Ample room to expand into new markets
Marketing 370 - Principles of Marketing
S.W.O.T: Threats
• Delivery services such as 569-DINE
• Due to high profit margins, potential for
competitors to enter the market
Marketing 370 - Principles of Marketing
SoupedUP!: The Plan
TM
Marketing 370 - Principles of Marketing
General Marketing Strategy
• Subsidiary of Panera Bread Co.
• Open a new restaurant, SoupedUP!, in Clayton,
MO
• SoupedUP! offers a wide range of high quality
soups as well as a selection of the most popular
Panera Bread Co. menu items
• Target health conscious, on-the-go customers
• Differentiate from Panera Bread Co. by providing
a distinct, international atmosphere
Marketing 370 - Principles of Marketing
SoupedUP!: Product
• 15 daily soups made from fresh ingredients on
site
• Includes more traditional “comfort food” as well
as exotic international selections
• 2 sizes, offered in bowls and bread bowls
• Cold soups and salads to maintain sales in
summer months
Marketing 370 - Principles of Marketing
SoupedUP!: Product
• Offer vegetarian and vegan selections
• Customize by offering additional ingredients
• Foster an international atmosphere, expanding
on traditional European feel of Panera Bread Co.
• Provide an international ‘Soup-of-the-Month’
option on our menu
Marketing 370 - Principles of Marketing
SoupedUP!: Product
Marketing 370 - Principles of Marketing
SoupedUP!: Price
Marketing 370 - Principles of Marketing
SoupedUP!: Price
Marketing 370 - Principles of Marketing
SoupedUP!: Price
• Prices: Regular $2.95, Large (bread bowl) $4.95
• Add-ons include tofu, chicken, beef, and shrimp,
ranging from $.75 to $1.35 for the regular size
and $.95 to $1.75 for the large size
• Priced relatively high to show high quality
Marketing 370 - Principles of Marketing
SoupedUP!: Promotion
• Continue Panera Bread Co.’s emphasis on public
relations
• Advertise in current Bread Co. restaurants,
university newspapers and Riverfront times
• Frequent purchase programs such as punchcards
• Goodwill donations to local organizations that
promote diversity
• Extra soup donated to needy
Marketing 370 - Principles of Marketing
SoupedUP!: Place
• Company owned restaurant
• Located in Clayton, MO on Forsyth Rd. between
Washington University and Clayton Business
District
• Eventually expand to other locations in St. Louis
area and other cities with saturated Panera
Bread Co. markets
Marketing 370 - Principles of Marketing
SoupedUP!
Any Questions?
Marketing 370 - Principles of Marketing
Thank you!
TM