Cupcake Industry Overview

•Worth $6 million 

• Trendiest baked good for the past 5 years

•Easy industry to break into oKnown skills and recipes,inexpensive ingredients

•Huge variety of flavors, sizes, and distribution channels 

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 Emma Jean's Cupcake & Ice Cream Shoppe

•Opened on October 22, 2011 in Fairhaven, Ma

•Family owned and run by Cathy Melanson and her four daughters

•Emma Jean's sells cupcakes, ice cream, penny candy, and so much more 

        -specializes in cupcakes •Cupcakes are made from a family recipe and come in over

10 varieties 

•Emma Jean's core value is giving back to the community 

•The profits from the Emma Jean cupcake go to the March of Dimes organization

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Pictures of Emma Jean's Cupcake & Ice Cream Shoppe 

Mission Statement 

"Emma Jean's Cupcake Factoy and Ice Cream Shoppe is a family owned and run company. We are devoted to sharing out love for quality sweets with you by providing our customers with the best homemade premium ice cream, cupcakes and provide candy filled with the richest flavors."

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Competitor Analysis

Competitors•Privately owned Bakeries

oNaragansett Star CafeoCupcake Charlies

•Supermarket Chains oShawsoOther Grocery Stores

Cupcake Charlies has the biggest impact:•Emma Jean's is a start up company.•Around Before Emma Jean's•Similar Prices•Similar Products and Flavors

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SWOT

Strengths•Product Variety •Larger Sized Cupcakes•Homemade with the Freshest

Ingredients•Socially Responsible

Weaknesses•New Company•Unestablished Customer Base

Opportunities•Target the Nearby College

Student Demographic •Utilize Trendiness of Cupcakes•Location•Cupcake Truck

Threats•Trend in healthy foods•Health conscious consumers•Close Proximity of competitors•The economy

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Emma Jean's Current Customer*Mom                             *Loves to spend time with her kids         *30 to 45 years old   

*Foodie                                                                                                   *                                                                                                                           

*Plays tennis, runs 

 *Social                                                                                                                                                                       

                           *Environmental Conscious        *Involved in the community  

               

                                                                                                                         *Creative

*Married

*Middle Class

*TrendySM

Environmental ScanningDemographics•Residents of Fairhaven, MA

Economic•High unemployment•High gas prices- raises the costs of goods and services•Trend in having the "new" product    

Technology•Marketing through social media

Competitive •No competitive forces as Ema Jean's Cupcake Factory is

the only bakery in Fairhaven, MA

 

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Positioning Statement 

"From the sports fan to the Fair Haven mom, Emma Jean’s Cupcake and Ice Cream Shoppe is

the perfect place to go to indulge your sweet tooth by providing customers with cupcakes that celebrate everyday occasions and special events."

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Marketing Goals 

1. Incorporate men as a new demographic to the cupcake consumer market.2. Create a healthy cupcake that can be used as an energy, power snack for moms on the go, breakfast, and for exercise guru’s. 3. Reach 1,000 "likes" on our Facebook page by January 2012. 4. Donate $700 a month to the March of Dimes5. Emma Jean's Cupcake Truck

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  The Manlycakes                                              The Healthycake

Product Strategies for the New Cupcakes

The Healthycake•To appeal to the health conscious, on-the-go consumer by

providing a low calorie, high fiber cupcake

 The Manlycake •To create a larger male customer base by offering a cupcake

geared towards their interests and tastes

Features BenefitsIngredients including vegetables, whole grains, and  yogurt

Less calories than traditional cupcakes

High fiber, low fat High energy, can be eaten any time of day not just for dessert

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Pricing Strategy

The "Manlycake"•$2.75 for one cupcake•Customary pricing of Emma Jean's

cupcakes•Promotional price of $15 for a "6 pack" 

The Healthycake•$4 for one cupcake•Cost oriented approach 

oHigh quality ingredients are more expensiveo  It takes more time to make 

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Distribution StrategyEach new cupcake will be distributed through a direct and indirect channel 

Direct Channel•Emma Jeans Cupcake Factory -> Customers

Indirect Channels•Healthy Cupcake

oEmma Jeans Cupcake Factory ->Local Gyms-> Customers•  "Manlycake"

o Emma Jeans Cupcake Factory -> Pizzerias-> Customers

Helps to  reach customers who would not typically go to a cupcake bakery

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Promotional StrategiesTo create awareness and stimulates sales of the healthy cupcake and "manlycake" a mix of advertising, personal selling, public relations, and sales promotion will be used.

Advertising•Individual print ads•Online ads•Radio commercials and shout outs•Stickers

Personal Selling•  Meetings with local gyms and pizzerias 

Public Relations•Press release•Individual events for the healthy cupcake and "manlycake"

oTailgate party, Baking party 

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Promotional Strategies Continued

Sales Promotion•Coupons in South Coast Today•Individual coupons for the healthy cupcake and

"manlycake"•Monthly promotions on the "manlycake"•Ultimate Fan Contest

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Healthycake Implementation Timetable 

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Manlycake Implementation Timetable

 

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Sales Forecast

Current: •Average of 1,296 cupcakes per week. •Average of 67,392 a  year

 The "Six-Pack" is expected to increase sales by 2,184 a year.                          Product Revenue: $34,944 Per Year The Healthycakes Product is expected to increase sales by 2,496 a year.                          Product Revenue: $9,984 Per Year Findings: We expect sales to increase by 300 cupcakes a week.             That is an increase in revenue of $44,928 annually.            Totaling 4,680 cupcakes a year.

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Evaluation and ControlHealthycakesEvaluation•Monthly sales •Customer surveys

ControlIf sales are low:•Adjust the quantity of cupcakes that are made or distributed•Change the times that the cupcakes are distributed •Host events to stimulate sales ex: Healthycake Party

ManlycakesEvaluation•  Monthly sales•Customer surveys

ControlIf sales are low:•  Increase sales by having giveaways and coupons

If sales are high:•The Manlycake line will expand to have new flavors and themes 

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