C o o k i e D o u g h

Presented by: Whitney Chadwick, Chris Holle, Erin Howard, & Brittanie Turner

G l u t e n - F r e e

• Background• SWOT Analysis• The Product• Market Trends, Needs,

& Segments• Target Markets

• Market Growth & Objectives

• Value & Product Position• Competition• Marketing Mix• Financial Plan• Conclusion & Questions

Agenda

• Initiated in a 1905 merger of the Anglo-Swiss Milk Company, and the Farine Lactée Henri Nestlé Company

• More than 2,000 brands with 330,000 employees worldwide

• Products include: baby food, coffee, snacks, dairy products, ice cream, pet food, etc.

• Objective: Be primary leader in nutrition, health, and wellness

Background

SWOT Analysis

Strengths:-Unmatched Product and Brand Portfolio

-R&D Capabilities

-Distribution Potential

-Expansion Aptitude

Weakness:-Inconsistent Quality

-Nestlé Toll House E. Coli. Recall

Opportunities:-Enter Nutritional Snack Market

-Acquire Health-Based Startups

-Establish New Joint Ventures

Threats:-Food Contamination Liabilities

-Trends Toward Healthy Eating

-Cost of Raw Materials

-Growth of Private Labels

• Ingredients and Nutritional Factors– Teff Flour

• Cheap Gluten-Free Option• Added Nutrional Value: Protein, calcium, and iron

• Different Packaging Types– Cookie Bar Dough– Cylinder Tube– Mini Cookie Bar Dough– Tub

• Customer Satisfaction Guarantee– Increase Quality

The Product

• 18 percent of the U.S. population prefer and buy gluten-free products

Market Needs

Health

FlavorCost

• 3 million Americans diagnosed with celiac disease

• 18 million Americans suffer from gluten sensitivity

• Nearly 50 percent of those surveyed they or someone they know has celiac or other gluten-intolerance

Market Trends

• Geographics– U.S. Focus – West coast– $2.3 billion global market worth

• Demographics– Focus on celiac and other gluten intolerances

• Psychographics & Behavioral– Gluten conscious

Market Segments

Mothers Demographic• 30 to 40 age range• Health conscious• Leads active lifestyle• Values time by use easy

and convenient products

Gluten Intolerant

Demographic• Celiac disease• Other gluten intolerances• 44 million U.S. consumers

Target Market

• 1 in 133 Americans have celiac disease• The appearance of allergen-related claims such as

“gluten-free” on restaurant menus has increased by 200 percent

• $15 billion of gluten-free food category to be generated in annual sales by 2015

• Household purchases double from 5 percent in 2010 to 11 percent in 2013

Market Growth

• Healthy product for celiacs and gluten intolerances• Gluten Intolerance awareness

– 10% of all profits to Celiac Central

• Sale price will not surpass $5• Reach both supermarkets

and health food stores

Marketing Objectives

• A healthy product for consumers– Celiacs, gluten-intolerances

• Allergy free product• Offered in a variety of chain and health food stores• Affordable• Awareness

Value Proposition

Price

More The same Less

Benefits

More

More for more

More for the same

More for less

The same

The same for less

Less

Less for much less

Product Proposition

Brand Name Niche Market• Pillsbury

– Gluten-free chocolate chip cookie dough

• Betty Crocker– Gluten-free cookie, cake,

and brown dough dry mixes

Gluten-Free Market• Kellogg

– Gluten-free cereals

• Pamela’s Products– Gluten-free snack products:

cereals, health bars, cookies, chips, etc.

Competition

• Distribution– Nestlé’s Current Distribution Method– Micro-Distributors

• Pricing– Current Cookie Dough Products: $3.99– Gluten-Free Cookie Dough Products: $4.03

• Marketing Communication

Marketing Mix

- Advertising- PR- Sales Promotion

- Direct Marketing- Social Media

Networking

• Sales price $5• Variable Costs

– Ingredients $2.45– Packaging $0.10

• Net profit $2.45 per unit• Fixed costs $6.4 million• Break even units:

– Monthly: 217,000– Annually: 2.6 million

Financial Mix

Conclusion & Refl ection

Market Trends• 3 million with celiac• 18 million with gluten

intolerance

Market Needs• Health, cost, flavor

Gluten-Free Cookie Dough

Product

C o o k i e D o u g h

Any Questions?

G l u t e n - F r e e

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organic• Belt, C. (2014). What does public relations exposure cost?. Retrieved from• http://smallbusiness.chron.com/public-relations-exposure-cost-22390.html• CBS News. (2014). Nestlé recalls cookie dough over Illnesses. Retrieved from• http://www.cbsnews.com/news/Nestlé-recalls-cookie dough-dough-over-illnesses/• European Food Information Council. (2014). Coeliac disease on the rise in Europe. Retrieved• from http://www.eufic.org/article/en/artid/Coeliac-disease-on-the-rise-in-Europe/• Kannall, E. (n.d.). What are the benefits of eating gluten-free?. Retrieved from• http://healthyeating.sfgate.com/benefits-eating-glutenfree-6211.html• Kellogg Company. (n.d.). Cereal: the complete story. Retrieved from• http://www.kelloggcompany.com/content/dam/kelloggcompanyus/PDF/

CerealTheCompleteStory_FINAL.PDF• Kotler, P. & Armstrong, G. (2014). Principles of marketing. Upper Saddle River, New Jersey:• Pearson.• National Foundation for Celiac Awareness. (2014). Celiac disease: fast facts. Retrieved from• http://www.celiaccentral.org/celiac-disease/facts-and-figures/• National Foundation for Celiac Awareness. (2014). Non-celiac gluten sensitivity. Retrieved• from http://www.celiaccentral.org/non-celiac-gluten-sensitivity/• Nestlé. (2013). Annual report 2013. Retrieved from http://www.nestle.com/asset-library/• documents/library/documents/annual_reports/2013-annual-report-en.pdf• Nestlé. (2014). Nutritional value chain. Retrieved from http://www.nestle.com/• randd/nutrition/nutritional-value-chain• Nestlé Global. (2014). Distribution. Retrieved from http://www.nestle.com/randd/• nutrition/nutritional-value-chain/distribution• Nestlé Toll House. (n.d.) Products. Retrieved from https://www.verybestbaking.com/• TollHouse/Products• Nestlé USA. (2014). About Us. Retrieved from http://careers.Nestléusa.com/about-us/locations• Nuts.com. (2014). Teff flour. Retrieved from http://www.nuts.com/• cookingbaking/grains/teff/flour.html• Pamela’s Products. (n.d.). About us. Retrieved from• http://www.pamelasproducts.com/about/• Recalls, market withdrawals, & safety alerts. (2014, June 27). Retrieved from• http://www.fda.gov/Safety/Recalls/ucm403194.htm• Simmons, N. (2013). Consumers' ideas of 'healthy' foods changing. Retrieved from• http://newhope360.com/new-products/consumers-ideas-healthy-foods-changing• Statista. (2014). Global gluten-free food market size.• http://www.statista.com/statistics/248467/global-gluten-free-food-market-size/• The Gluten-Free Agency. (2012). Gluten-Free Market Trends. Retrieved from• http://thegluten-freeagency.com/gluten-free-market-trends/• The Statistics Portal. (2012, August ). U.S. gluten-free target market 2012. Retrieved from• http://www.statista.com/statistics/248572/target-groups-of-the-us-gluten-free-market/• United States Department of Labor. (2014). Wage and hour division. Retrieved from• http://www.dol.gov/whd/flsa/• U.S. News. (2014). Marketing manager: salary. Retrieved from• http://money.usnews.com/careers/best-jobs/marketing-manager/salary• Walmart.com. (2014). All-purpose flour. Retrieved from http://www.walmart.com/• c/ep/all-purpose-flour

References