Product & Business USP Workshop

Workshops Proposed Date

Introduction workshop / The Food & Drink Sector

31st October

PR, Social Media & Events 14th November

Pricing & Profitability 9th January

Best Practice Visit 21st January

Product Evaluation / Product & Market Testing

20th February

Product & Business USP 6th March

Managing your business, managing your customers

27th March

Packaging & Labelling 24th April

Investment, Grants, Funding & Business Growth

15th May

Creating Development Plans 5th June

Workshop Programme

Product Life Cycle

Underlying theory: Companies need to manage their products in each phase of the product life cycle in a different way.Product life

cycle stageIntroduction Growth Maturity Decline

Product

Price

Distribution

Advertising

Sales Promotion

Offer product extensions,

service, warranty

Diversity brands and

models

Phase out weak items

Use cost-plus-margin or take existing

market price as a starting point

Price to penetrate market: possible

cut in price

Price to match best

competitorsCut price

Build selective distribution

Build intensive distribution

Build more intensive

distribution

Go selective; phase out

unprofitable outlets

Build product awareness among

customers and dealers

Build awareness and interest in the

mass market

Stress brand differences and

benefits

Reduce to level needed to retain hard-core loyals

Use heavy sales promotion to entice

trial

Reduce to take advantage of

heavy consumer demand

Increase to prevent brand

switching

Reduce to minimal level

Offer a basic product

What is your USP?

• Identify a Key word list that describes your product

• Examples -

localfamilytraditionalorganicgreenfarmer

freshcleansealandriverartisan

Do you have a USP/brand?

• How do these features become characterising features for your product?

local - landmarks, features family - character traditional - wholesome, taste organic - real taste, honesty green - lushness farmer - natural, provenance history – story behind the product

How do you use your USP?

• Packaging• Stationery• Signage• Vehicles• Identity

Packaging

Packaging function:

• Protect goods - storage, transit, display

• Inspire purchase - manufacturers window to consumer

• Inform consumer - what’s in the box?

• Be legal - H&S, Trading Standards, etc

Packaging design

1. New Product

2. Redesign existing pack

(old product development)

3. Range Extension

Packaging – what’s the difference?

Packaging – what’s the difference?

• WHO - male, female, age, demographic• WHEN - snack, main, fun, impulse• WHERE - chiller, frozen, ambient, non-food• HOW - self-service, ask for, delivered, shelf ready• Technical Specification - what constraints are made by

manufacturer/customer

Target market

Packaging Redesign

Redesign existing packaging

• Why?• Market shift• Update• Legal• New size• New plant

OpportunityRaise brand awarenessRaise price perceptionIncrease market

penetration

UnderstandMarketTechnical specification

Range extension

• Capitalise on brand franchise

• Fit with existing brand/image

Understand

Market

Technical specification

Understanding the market

• Who’s going to buy it?

• The packaging will tell you -

COLOURSHAPE

SIZEMOOD

POSITION

Market Features?

Market Information

• Trade Magazines (The Grocer, Specialist trade magazines)

• Store /outlet/show visits

• position - under lights / level

• Competition

• price

• Competitor (and non-competitor) samples

• Do you understand the category/market you’re selling to?

Perceptual Map - Cheese

Quarg

Edam

Brie

Mild Cheddar

Derby

Wensleydale

ParmesanMaturedCheddar

Stilton

Roquefort

Cambozola

Camenbert

Mild Strong

Soft

Hard

Meal Occasion Model

Quick and simplekids treat

Familymeal

Quick and simpleadult

SpecialadultmealEntertaining

friends

Everyday Special

Spontaneous

Planned

Healthymeal Kids treat

Packaging should achieve

• Seen

• Feel

• Hold

• Smell

• Emotional stimulus

Toward creating a strong brand and USP

The pack design should…

• have standout - over competitors

• have strong branding - to imply quality

• not be confusing - yet communicate

• be informative - yet simple

• work - sell the product

• protect the produce

The speaking pack

“order of learning”

• position in store - spirits with hair care products?

• shape - spirits in flexible pack?

• colour - a clue to product quality and standout

• branding - a clue to quality

• product description - a clue to quality and value

• product - a clue to quality and value

• pack/product information - a clue to quality

Pack / label furniture

Consumer has learnt to interpret these

Brand name - producer > quality, value,etc

Picture - here’s what I’m getting

Variety - product type, flavour, etc

Description - reassurance > honesty

Legals - volume / weight / % alc, ingredients

Address - producer, local?

Information - nutritional panel

Thank you

See you on the 27th March