Kayem
Opportunities
There continues to be a market for Kayems products with the possibility of an even larger market.Since consumers use sausages as a staple for all three meals, Kayem could use this opportunity topromote recipes using their brands goods and other promotions to increase sale of their goodsAlso Kayems Al Fresco falls in the speciality sausages which is the fastest growing product segment,an opportunity they can take advantage of to increase salesMore so, there is a growing population of health conscious who seek low fat foods. Kayems AlFresco sausages would appeal to these group as well as the senior population, therefore Kayemhave a growing market they could tap into.
Threats
Kayems low bargaining power is a threat to its survival in the market. Though it has some localfollowing for some of its brands, it mix of high and low margins does not give it the leveragingpower to push back on the increasing demands for discounts and promotions supermarkets nowdemand.Kayem also faces steep competition in the market on a national and local level. Nationally, threecompanies dominate the sausage market –
Hillshire Farms, Johnsonville and Bell Park, with 45%percent of the market. And locally, two companies dominate the New England market, Hillshire andPerri with 66% of the market. Marketing Strategy
To achieve the goal of increasing market share and profits for the Al Fresco brand and ultimately the company’s profits, the following m arket strategies will be implemented:1) Market Penetration
:a.
The marketing team will identify areas of maximising growth. The main marketsniches the Kayem should target are the health conscious groups of both sexesbetween the ages of 35 –
45. Also, Kayem can market the sausages separately tocholesterol conscious older and senior populations in campaignsb. Also Kayem needs to retain customers once converted. Therefore, excellentcustomer service should be available to the customers when needed. And
There continues to be a market for Kayems products with the possibility of an even larger market.Since consumers use sausages as a staple for all three meals, Kayem could use this opportunity topromote recipes using their brands goods and other promotions to increase sale of their goodsAlso Kayems Al Fresco falls in the speciality sausages which is the fastest growing product segment,an opportunity they can take advantage of to increase salesMore so, there is a growing population of health conscious who seek low fat foods. Kayems AlFresco sausages would appeal to these group as well as the senior population, therefore Kayemhave a growing market they could tap into.
Threats
Kayems low bargaining power is a threat to its survival in the market. Though it has some localfollowing for some of its brands, it mix of high and low margins does not give it the leveragingpower to push back on the increasing demands for discounts and promotions supermarkets nowdemand.Kayem also faces steep competition in the market on a national and local level. Nationally, threecompanies dominate the sausage market –
Hillshire Farms, Johnsonville and Bell Park, with 45%percent of the market. And locally, two companies dominate the New England market, Hillshire andPerri with 66% of the market. Marketing Strategy
To achieve the goal of increasing market share and profits for the Al Fresco brand and ultimately the company’s profits, the following m arket strategies will be implemented:1) Market Penetration
:a.
The marketing team will identify areas of maximising growth. The main marketsniches the Kayem should target are the health conscious groups of both sexesbetween the ages of 35 –
45. Also, Kayem can market the sausages separately tocholesterol conscious older and senior populations in campaignsb. Also Kayem needs to retain customers once converted. Therefore, excellentcustomer service should be available to the customers when needed. And