A Marketing plan for Del Monte sweet-style spaghetti sauce

• Main Authors: Bacolod, Jean Marie R., Gapuz, Natalie, Jimenez, Ma. Carmen
• Format: text
• Language: English
• Published: Animo Repository 1994
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/16780
• Institution: De La Salle University

Del Monte Sweet-Style Spaghetti Sauce is a product line extension of Del Monte Italian Style Spaghetti Sauce. This product was launched to address consumer demand for a more affordable and sweet-tasting spaghetti sauce that is especially suited to the Filipinos' taste preference. Its major competitor is Lady's Choice Filipino Style Spaghetti Sauce. The target market of the Del Monte Sweet-Style Spaghetti Sauce are children aged 6 to 14 years old, from A, B and C economic class. As such, it is positioned as THE SPAGHETTI SAUCE THAT KIDS DEFINITELY LOVE . This paper recommends marketing strategies and programs for the product to achieve the following: 1. awareness level of 85% of the target market 2. trial rate of at least 50% of the target market 3. ensure at least parity distribution and in-store shelving versus major competitors 4. sales volume of at least 35,000 cases from the period April, 1994 to May, 1995 5. increase switching from competitors to Del Monte Sweet-Style Spaghetti Sauce 6. net profit of at least P 2,000,000 by the end of the period April, 1994 to May, 1995 7. market share of at least ten percent by the end of the first year. A fun page at the back of the label shall be introduced. A consumer Services Department shall be integrated into the Del Monte Kitchenomics Department to address consumers' complaints, questions or suggestions. Research and Development for a new Sweet-Style Spaghetti Sauce variant with particulates shall also be undertaken. Price of Del Monte Sweet-Style Spaghetti Sauce shall be lower than its direct competitor Lady's Choice Filipino Style. But to protect brand image, the product shall be packaged in cans with less net content than Lady's Choice Filipino Style. The product shall be distributed nationwide. A 30-second commercial shall be produced for television. Print ads will take the form of recipes published in major magazines circulated nationwide. This shall be published between October to November, 1994 in time for the Holiday Season. A mascot named MR. SAUCEY will be produced to develop brand recall for the product among the target market. Sales Promotions shall be broken down between Consumer Promotions (MR. SAUCEY KIDDIE CLUB AND KIDS LOVE IT RAFFLE PROMO) and Trade Promotions (12+1 HOLIDAY BONANZA PROMO). Total investment for this marketing plan is P 9,832,226.96 broken down as follows: Advertising expenditures (exclusive of costs of production) of P 4,105,595 Promo expenditures at P 3,200,292.96 Production expenses for all advertising materials and labels at P 1,237,500 and Research and evaluation tools for the program at P 395,000 Contingency (10%) of P 893,838.80 Evaluation of the effectivity of the programs recommended in this paper shall be done through sales tracking (Sales Information System of Del Monte), UAI Studies, Focus Group Discussions, Philippine National Retail Index (PNRI), Business Review, and Year-end Evaluation.