2. EXECUTIVE SUMMARY
Quaker Oats is on a mission to continue spreading Oat Goodness for another 100 years.
To be able to accomplish our goals we will need to have a renewal of the company inside
and out. We plan on having our focus for 2012 Market plan to push for
creativity, sustainability and growth. These goals can only be accomplished if all members of
management and staff are productive, efficient and effective. Working together to enter a
new phase in history for the company and maintaining a positive image, competitive edge
and overall growth.
The main focus of our marketing goals for 2012 is to listen and connect with our consumers.
Our objectives are to gain trust, become a resource and build long lasting relationships with
our target market. To accomplish these goals we will put our marketing efforts into social
media and the online world. This will enable us to engage and listen to conversation, conduct
research and share advertisement in an efficient and effective way.
Together we can transform our company into a model corporate citizen and make
relationships with consumers, other companies and adapt to the changing times.
With GMO regulation pending and growing consumers concern over the quality of
their food this is the perfect time to lead our industry into a more sustainable,
healthy & environmentally aware way of conducting our business. With a renewed
commitment to our mission and new approaches to our consumers we hope to
engage all of our employee’s in our efforts to grow and evolve in 2012.
3. Company Goals
Renewal Growth
• Improv e on Overa ll operationa l • Long term grow th and profitability
efficiency and effectiv eness.
• Build and Expand nutrit ion business • Productiv ity Focus
• Increase availability of macro snack • Simplifica tion of decisio n making
• Creativity Focus
• Efficiency of financia l manag ement
• Maintain a good reputation
Sustainability
• Reach out & engage w ith consumers
Create a positive business environment
• Incorpora te techno logy in all aspects
though honesty, integ rity and fairness
of company
Responsible Corporate citizenship
Improv e aspects of the w orld : • Build relationships w ith other
• Environment business that focus on nutritio n
• Economic
• Social • Position company for future grow th
4. SALES
Annual Industry
$13 Billion 2012 GMO Sales Trends
Annual growth of 4.9% GMO Free Foods went up 67 % &
Annual Breakfast Cereal saw sales growth of $60.2 million
Sales$7.7 Billion in market share
Ibisworld.com Non GMO Project is growing and
Trends partnering within the industry
(Kashi)
Thinking outside the box
Forecast
Healthy Foods & Drinks
Demand will enable modest
Time Saving products pushes Growth
industry demands
Consumers are on the go
Market Share
Quaker Foods North America
(QFNA) Drop in 2011 - 1.9 shares as sales fell
4.5%. This drop can be related to the
bad press received from the GMO
Census Report contamination and loose of company
http://bit.ly/MxSsxa approval
5. QUAKER OATS SALES
650 “Net revenue declined 3 percent and
640 volume declined 5 percent, reflecting
general
630
620 Sales category trends. Operating profit
declined 10 percent, primarily
610
reflecting the benefit from an
2012 2011 inventory accounting change
recorded in the prior year, which
Quaker Oats Sales contributed 7 percentage points to
$ 623 million as of 3/24/2012- United the decline.”
States
$ 640 million as of 3/19/2011- United
States PepsiCo Website Earning Release
11% Difference http://bit.ly/NQD8ic
2011- Total Sales for Cold Cereal $
410,410,900
O P E R AT I N G P R O F I T
$87 Million -2012
6. QUAKER OATS
SWOT
Strengths Opportunity
130 in Business Entered Global Market
1 st to trademark Breakfast Cereal India’s a growing market
1 st to Advertise in National Healthier option versus Fast Food
Magazine European Market - recently
1 st to introduce convenience banned GMO
breakfast cereal
Weakness Threat
Controversial Image of “Healthy New Products
Option” Consumers are more educated
Cross Contamination of Products about products
Lack of Sustainable or Fair trade False advertising
Lack of Innovation Customer disapproval
7. ENVIRONMENT
Technology Political
Use technolog y to mak e operation s efficien t GMO are a key topic in the
Marketing Commu n icatio n Tools current political arena. There
Custo mer Service is anticipated change in GMO
Offers renewal to co mp an y Labeling and distribution.
33 countries have banned
Social Environment GMO’s.
Approximately one in every seven people on Monsanto vs. 3000 Farmers
http://bit.ly/OIMX05
Earth is using Facebook daily http://bit.ly/NEYC0v
More than 250 million people access Facebook Industry
through their mobile devices S t ro n g re p re s e n t a t i o n i n t h e
More than 2.5 millio n websites have integra ted G re a t L a ke s R e g i o n .
with Facebook I L , O H , M I re p re s e n t 2 1 %
o f t h e i n d u s t r y.
( JeffBula s.co m )*** (This number is calcula ted
by dividing the planet’s 6.94 billion inhabita nts C h i c a g o , D e t ro i t , C l e v e l a n d
a n d M i l w a u ke e a re h o me t o
by Facebook’s 900 millio n users)
the leaders in this industry .
8. CONSUMER
ANALYSIS
“Americans are voting with their forks”
Demographic:
Age: 22-44
(Women in this age are the most engaged
age group on Facebook Page) CBS Report- 53 % said they do not want
Primary: Women :Mothers, Students and to by GE Foods
Young Professional MSNBC Report- 96% of respondents
Secondary: Students, want Labels for GE Foods =40,000 People
Young Professionals & Families
• Research shows GMO Free
Concerned About:
Food conscious foods is up 67% in 2009 with
Environment sales growth of $60.2 million
Food taste http://bit.ly/MeKacA
Food security
Food safety • Organic Food customers
Personal Health show interested in the
Product Integrity same things
Sustainability
9. TA R G E T P R O F I L E A LWAY S “ O N T H E
29 YEAR OLD WOMEN GO” & LOOKING FOR
“ K AT H Y ” C H I C A G O I L H E A LT H Y O P T I O N S
Student Professional
Enjoys learning Has recently entered the
& is always
involved in workforce
professional Looking to advance her
development career
Night classes & Works full time
Seminars
Purchase’s based Purchase based on
on Health & Convenience and Health
Convenience
Mother
Purchase based on
Healthy options &
Convenience
On the Go
Healthy for kids
Easy to transport
10. Kellogg- Strengths phytosterols
42% of Global Market Opportunity
Direct
Strong Brand Global Market
Competitor Recognition Kids Market
SWOT Convenience Mergers/ Distribution
Weakness Threat
Analysis Lack of Innovation FDA
Lack of Sustainable or Label Restrictions
Progressive Products Consumer Awareness
No Organic or Fair Image-Bad Press
Trade
Cost Inflation
Products contain plant
Kashi – Indirect Competitor
Commitment to Natural and Healthy products
Partner of the GMO Free Project & Verified
Young company with fast growth
Bad press and customer disapproval
11. MARKET INTRODUCTION STRATEGY
M a r ke t D e v e l o p me n t
Diversity
Healthy for you and the planet Diversify content and approach to consumers.
P ro mo t i n g G M O F R E E F o o d s
Offer educational, entertaining and engaging content.
Modifications
P ro mo t i n g e n v i ro n me n t a l re s p o n s i b i li t y
Improve operations
D i g i t a l M a r ke t i ng
Alter campaign based on conversation
O f f e r i n g c o mp re h e n s i ve re p o r t s o n & engagement
p ro d u c t s & b e n e f i t
Work within the company and
P ro d u c t D e v e l o p me n t communicate with all departments
This product is in the decline stage of through out the campaign
its life cycle.
B a d P re s s a n d c o n s u me r d i s t r u s t h a s l e d t o
this decline.
G M O P r o j e c t Ve r i f i c a t i o n a l o n g w i t h
partnership can help to regain public trust.
P ro d u c t i v i t y I n i t i a t i v e s t h a t w i l l b r i n g
c o mp a n y o p p r i t n u t i e s t o s a v e c o s t
C re a t i ve f o c u s t o d i s t i n g u i s h p ro d u c t
f ro m c o mp e t i t o r s
12. MARKETING
MIX
Product- Distribution
Offer GMO Free Tests to Midwest & Great Lakes
consumers to maintain
Region
integrity
Offer variety of flavors Chicago, Milwaukee
Offer New On the Go option Detroit, Cleveland & St.
Branding Louis
Renew image of product as well Distribute in places where
as commitment to GMO Free
Foods target audience are spending
Healthy & Convenience time including:
Commitment to
Grocery Stores, Health
environment, social &
economic responsibility Markets, Convenience Stores
Packaging
Office Centers
New Design
Recycled packaging University and College areas
On the go option
13. PROMOTION
Objective
Fallow and align with Media
Trends Using YouTube video & Vimeo to distribute
Communicate with advertisement
Consumers Start Blog
Interact on social networks
Increase use with ( i.e. Facebook, Twitter, Google+…)
electronic communications PR-”Good Press” News Outlets
Increase Digital Marketing ( i.e. Huffington Post & NYT)
& Distribution
Q u a ke r G o a l s :
Renewal & connection
Web s i te O n e - t o - o n e M a r ke t i n g
Add descriptions to B u i l d i n g L o n g t e r m c o n n e c t i on
pages & pictures Promote transparency & Authenticity
Add new Interactive Open communication channels
component Become a recourse
Focus on mission Align Marketing with company mission
Quality Reports and Renew image
Test
14. Facebook YouTube Twitter Google+
Become a
recourse
Engagement Conversation
Company
Giving Blog Recipes
Brand
Awareness
Company
News
15. Customer Service Goals
I n crea sing O n l i n e C u s t o mer S erv i ce a n d I n t era ction
Pro v ide a n s w ers t o p ro b l ems o n l i ne
Beco me a rel i a ble a n d g a i n co n s u mers t ru s t
Retentio n
Listen & Respond to consumers ideas and needs
Start Conversation & Engage Consumers
Create a user centric experience
Po l icy
Provide Company Social Media Policy to all employ ee’s CUSTOMER
Offer Rules, Tips & Ways to get involved with Social SERVICE
Media Team
Clear guidelines and rules for company accounts & ways
to provide customer service via social media
N eed s o f C o n s u mers
Li s t en t o co n s u mers a n d f i t t h e n eed s
O p en d i a l ogu e w i t h co n s u mers v i a s o ci a l med i a
R es p o n ds t o n eed s q u i ckl y a n d ef f ect ively
Pro v ide ex cel len t cu s t o mer s erv i ce t o a l l cu s t o mers
R es p o n d q u i ckl y a n d ef f i ci ently t o cu s t o mer p ro b l ems
16. RECOMMENDATIONS
T h e F u t u re o f t h e C o mp a n y D e p e n d s O n Lo n g Term
its ability to change and evolve to fit the Ren ew ed co mmi t men t t o mi s s i o n & o f
t i me s . Te c h n o l o g y h a s c h a n g e d t h e w a y r es p ons ibility an d s u s t ai nability.
c o mp a n i e s o p e r a t e a n d c a n b e u s e d i n Reg ai ning p u b lic t r u s t an d co n s u mer
ma n y w a y s t o e n h a n c e t h e q u a l i t y o f t h e s u p port t h r o ugh co mmu n i cation an d
o p en nes s .
Q u a ke r O a t s c o mp a n y.
S h o rt Term
C o n s u me r s h a v e c h a n g e d a n d c o mp a n i e s S t ar t t o u s e n ew ap p r o aches t o
need to be able to adapt to new practices mar k et ing an d s o ci al med i a.
a n d a p p ro a c h e s s u c h a s LI S TEN TO & co n n ect w i t h co n s u mer s.
t r a n s p a re n c y, s u s t a i n a b il i t y a n d
a u t h e n t i c i t y.
Improvements
Stop using GM ingredients completely
Show consumers Quaker Oats Company
Responsibility to the environment, health and
society.
“ORAGANIZATION & COMMUNICATION LEADS TO
EVOLUTION”
17. SOURCES
h t t p : / / w w w. i b i s w o r l d . c o m / i n d u s t r y / d e f a u l t . a s
p x ? i n d i d = 2 2 6 & p a r t n e r i d = Va l u a t i o n R e s o u r c e s
h t t p : / / s m p b f f 1 . d s d . c e n s u s . g o v / T h e D a t a We b _ H
Ibisworld-Industry report otReport/servlet/HotReportEngineServlet?em
ailname=ec@boc&filename=mfg3.hrml&2012
h t t p : / / w w w. b a k i n g b u s i n e s s . c o m / F e a t u r e s / M a r 0 2 0 2 0 9 2 4 5 7 . Va r. N A I C S 2 0 0 2 = 3 11 2 3 0 & f o r w a r
k e t i n g % 2 0 Tr e n d s / 2 0 11 / 6 / G M O - d = 2 0 1 2 0 2 0 2 0 9 2 4 5 7 . Va r. N A I C S 2 0 0 2
free%20foods%20gaining%20ground.aspx?cc
k=1
US Census-2002-2007 report
Bakingbusiness.com article
h t t p : / / w w w. p e p s i c o . c o m / D o w n l o a d / Q 1 _ 2 0 1 2 _
h t t p : / / w w w. t r e e h u g g e r. c o m / g r e e n - f o o d / g m o - Earnings_Press_Release.pdf
bans-laws-and-labels-from-around-the-
world.html P e p s i C o We b s i t e - E a r n i n g R e l e a s e
Tr e e h u g g e r. c o m - G M O l e g a l F u t u r e file:///Users/yevgeniyagozenpud/Desktop/Pos
t-
Pepsi,%20Quaker%20Sales%20Experiencing
%20a%20Morning%20Slump%20%7C%20New
s%20-%20Advertising%20Age.webarchive
h t t p : / / w w w. o r g a n i c a u t h o r i t y. c o m / b l o g / o r g a n i c / 3
00000-farmers-seek-legal-protection-from-
monsantos-gmo-seeds/ Competitor Chart- Breakfast Cereal Chart
O rg a n i c A u t h o r i t y. c o m - M o n s a n t o l a w s u i t -
3000 Farmers vs. Monsanto
Notas del editor
MARKET/ INDUSTRY EVALUATION AND RECOMMENDATIONS BASED ON ANALYSIS FOR 2010-2012.