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MSc Marketing Management MKT 7010 Frozen Foods for Fido A dog is a man’s best friend. Since the earliest times when man first domesticated the wolf, the dog has been our constant companion. Dogs work for us, as guard dogs, as sheep dogs, as guides for the blind; in mountainous districts they help sniff out injured climbers, in airports they sniff out drug traffickers. At home they warn of the approach of strangers, keep vermin down and often lick us in affection. But have you ever stopped to think about how we treat ourselves and how we treat our dogs? We always put ourselves first; when we are thirsty we get ourselves a drink: a dog can’t do that; it relies on us to provide water all the time so that when it is thirsty it can drink. And when we are hungry we eat ; a dog needs us to provide it with a balanced diet for a long life, health and fitness. There is nothing worse than a fat, unhealthy dog. Unhealthy dogs smell, they can’t do their job as either a pet or a working dog. And when we Page 1

Fido Frozen Foods

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MSc Marketing Management MKT 7010Frozen Foods for Fido

A dog is a mans best friend. Since the earliest times when man first domesticated the wolf, the dog has been our constant companion.

Dogs work for us, as guard dogs, as sheep dogs, as guides for the blind; in mountainous districts they help sniff out injured climbers, in airports they sniff out drug traffickers. At home they warn of the approach of strangers, keep vermin down and often lick us in affection.But have you ever stopped to think about how we treat ourselves and how we treat our dogs? We always put ourselves first; when we are thirsty we get ourselves a drink: a dog cant do that; it relies on us to provide water all the time so that when it is thirsty it can drink. And when we are hungry we eat ; a dog needs us to provide it with a balanced diet for a long life, health and fitness. There is nothing worse than a fat, unhealthy dog. Unhealthy dogs smell, they cant do their job as either a pet or a working dog. And when we have done something of which we are proud, we treat ourselves: a little present, a special food and often an ice cream.

Sometimes we share it with our dog: we give him little titbits of our treats to ourselves. But a dog cant treat itself. And anyway a dogs system cant digest all the foods that we as humans use as treats. Chocolate, for example. We all love chocolate and often buy it for ourselves as a treat, a little reward. But for a dog it is poisonous, so we must not share our chocolate treat with our dog. And cream, while it is sweet and dogs like the sweet taste of cream, it can make it very ill. So in summer when we are hot and stop to buy an ice cream, we cant buy our canine chum one. It will not be good for his health. Dogs are lactose intolerant, so they cannot digest dairy products: cheese, cream, and milk and their processed products are all bad for dogs in anything but the smallest quantities.

Looking to the human world provides major indications as to where the next developments in the petcare market might be. There may be a market for a doggie ice cream. Pets are less likely to be owned by over-65s, although cats and dogs are still the most popular pets. Ownership of fish and small animals drops off at an earlier age (55+). Women are key in terms of interest and purchasing doggie treats, partly aligned to the fact that pet ownership is strongly associated with families. Women are more likely to own dogs, cats and small animals. The humanisation of pets is therefore something that has been mostly driven by women, perhaps where the nurturing and caring instinct is greatest. Companionship is also a more important factor among women, especially older women and thus they humanise their animals more than men do.

Diagram 1 Number of types of pet owned, August 2008Base: 1,013 adults aged 15+ who own a pet

Source: BMRB/Mintel

Made of lactose free, natural and organic ingredients, a new ice cream which tastes like real ice cream to people and can be shared with their canine companion has been developed by some students at Birmingham City University. To pilot this ice cream 3 flavours have been developed. They are: Burglars Ankle, Peter Rabbit (named after the famous Beatrix Potter childrens character) and Postmans Leg. The students suggested that Burglars Ankle should be marketed in the country areas for working dogs; Peter Rabbit as a childrens pet flavour and Postmans Leg for pet lap dogs. To humans, these taste like vanilla, strawberry and caramel flavourings. Under the brand name Frozen Foods for Fido, the pilot is being run in conjunction with ++++ ice cream parlour in the Bullring, and will be limited to a small area around the centre of Birmingham where all flavours will be available.

Table 1. Pet ownership, 2005 and 200820052008

Base: adults aged 15+1,4902,088

%%

Dog/s2323

Cat/s2021

Fish1011

Small animal (eg rabbit, hamster)78

Bird/s54

Other23

Do not have any pets5251

Table 2 Household composition in Great Britain, 1979-20011979198919962001*% point change

%%%%1979-2001

One person23252731+8

Two+ unrelated adults3333-

Married/cohabiting couple with dependent children31262522-9

Married/cohabiting couple with non-dependent children only7966-1

Childless married couple27272829+2

Lone parent with dependent children4577+3

Lone parent with non-dependent children only4432-2

Two or more families1111-

Total100100100100-

* weighted dataSource: General Household Survey/Mintel

Table 3 Most important place for eating snack products, ice cream and ice lollies, by demographic sub-group, 2002Ice lolliesIce cream bars

HomeSchool/On the move/HomeSchool/On the move/

college/workoutsidecollege/workoutside

%%%%%%

All6553555425

Boys6143352324

Girls6963758525

7-87523658222

9-107524064328

11-126853357424

13-146073351525

15-164473344625

ABC16343555424

C2DE6853552426

Base: 4,827 children aged 7-16, Taken from the TGI Youth survey

Table 4. Trends in consumption of food and drink that can stain teeth or is high in sugar content, 2006-102006**2007200820092010% point change

%%%%%2006-10

Drinks:

Any tea86878381na-5*

Any coffee79787876na-3*

Colas5958585554-5

Fizzy soft drinks (excluding colas/mixers)5658575757+1

Red wine (18+)4040393834-6

Food:

Sweets (including sweets for children)^6668666565-1

Indian takeaway or ready meal4140414242+1

Smoking:

Any filtered cigarette smokers (18+)2220211918-4

New Information; only to be released at the examination:The development of this ice cream has been recorded in a recent copy of The Times. Whilst not making a joke of the concept, the article did suggest that this was a foolish development and a waste of time which students could usefully spend doing more useful things for their studies. The pilot was mentioned. It appears as if it has been successful in this restricted area.

As a friend of one of the ice cream developers, you have been asked to help prepare a report :

Q1. What recommendations will you make to your friend about the product and how it should be marketed?10 marksQ2.Segment the market for Frozen Foods for Fido , and, using and explaining a model, demonstrate which segment or segments you should target.30 marksQ3. What Channels of Distribution are you going to recommend? Give your reasons.25 marksQ4. How will you promote the product? Give explicit examples.25 marksQ5. What price will you recommend to your friends?10 marksPage 1