Kraft Foods Case Study: Marketing Plan To Address Fears Of Rising Child Obeisity Using Chris Fill's 1999 Marketing Communications Planning Framework.

3425 words - 14 pages

TO:Will FlemingFrom:Antony ClarkModule:Integrated Marketing CommunicationsRE:Kraft FoodsAbstractIn light of recent findings relating to child obesity, Kraft foods have taken steps to 'diffuse the obesity time-bomb' through implementing ethical initiatives based in the following areas:Product nutritionMarketing practicesConsumer informationPublic outreach and dialogueThe following marketing plan is based upon Chris Fill's Marketing Communications Planning Framework (2002).The intention of the plan is to use integrated marketing techniques to effectively communicate these 'caring and compassionate' values with various targets, focussing on the children's snack food industry.Context analysisBusiness contextKraft Foods Inc are the second largest food company in the world (1), Kraft foods own brand names which are in the core categories of coffee, cheese, confectionery, desserts and grocery. Kraft Foods UK currently employ 2750 people (2) and its turnover was £708 million in 2002(2).In the UK Kraft hold either the No1 or No2 market share positions for coffee, soft white and processed cheese, convenience meals (Lunchables®), custards, cold instant desserts and dressings(1).World wide, Kraft own 61 brands, in the UK the major brand names are:Coffees:Kenco®, Maxwell House® Carte Noire®Confectionery:Terry's Chocolate Orange®, Terry's All Gold® Toblerone®Cheese:Dairylea® and Philadelphia®Deserts:Bird's®The product offering by Kraft fit into the Fast Moving Consumer goods sector. Within those specifically aimed at children, the following products lie:Dairylea TrianglesDunkersLunchables (including fun packs, e.g. hot dogs, pizzas etc)Strip cheeseSlicesSpreadSainsbury's Blue Parrot range are currently a major UK competitor for the Dairylea 'lunchbox' products, as are Babybel, Primula, supermarkets own brands, school dinners and traditional homemade options.The cheese market in the UK is large (worth £1.6bn RSP (3)) but still growing, the 'kids' market is alone is worth £141m (up 15% in the last year) (3).Kraft's products listed above are at varying points in the Product life cycle, Kraft foods are 'Prospectors' (Miles and Snow) (4).The products are distributed through retail outlets throughout the UK; also products can be purchased online.Kraft prides itself on innovation, launching 60 (1) new products worldwide in 2002 and the ability to transfer its achievements in foreign markets. E.g., Dairylea Lunchables® and Dairylea Dunkers® products were developed in the USA. Their success in the USA was then replicated in the UK.Within the dairylea brand, the emphasis on making food 'fun' is deemed to be the main competitive advantage. Innovative products such as "Dairylea Lunchables® - making lunchtime fun time" have been introduced, where children build their own lunches.In March, 2002, despite a high volume of sales. Dairylea Lunchables won the 'Parents Jury' (5) award for the worst food...

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