1. 1 10 STEP Marketing Plan for Mekeni Food Product Auren B. Galang June 2010

2. 5 Steps for Part 1 (PTM and Positioning) Mekeni’s PTM are meat product lovers (especially hotdogs) from the B,C ,D, E Market Who likes easy to prepare food during parties or even meals to be served especially to children and adults alike With Choices that varies from highly competent companies like Purefoods (Hormel +SMC Food Corp), CDO, other local producers like Pampanga’s Best etc Gap is focused on good pricing scheme for B,C, D to E consumers without sacrificing taste and quality In a Philippine population that is roughly 90 million and a potential market of roughly 27B Pesos. http://www.thepigsite.com/articles/2164/philippine-pork-market-2008

3. 5 Steps for Part 2(Marketing Mix & Strategy) Hotdogs, tocino, Patties and other meat products Is 10-20 % price difference lower than the premium brands Uses local tv and print ads, radio commercial, mobile announcers Is distributed nationwide with more penetration on the provincial areas Uses a low price approach to win

4. 4 Positioning to the Primary Target Market Part 1: Steps 1 to 5

5. 1.Mekeni’s primary target market (PTM) are the working class Mom’s Demographics (18-45yo, M/F, with children ranging from 3-12, class B,C,D and E, usually from local provinces) Lifestyle (low income or working class who choose to buy from nearby groceries, sari-sari stores or wet markets) Behavior (opts to buy more in retail rather than bundle packs, concerned with budget, taste and availability of product)

6. Food esp. for the young

7. 2. My PTM’s NWE Moms’ both young and old, set high priorities on feeding their young. During the formidable years of 3-12, children are most concerned on growing socially by having friends and playmates, but also require nourishment for their rapid growth. With their limited and usually bland taste preference, being one of their favorite and easy to prepare meals, Hotdogs remain to be Moms’ number one choice to serve during breakfast or as other meal replacements for their kids.

8. 3a. Mekeni has a lot of formidable Competitors Direct: San Miguel Food Products, Swift Foods, Bibbo hotdog, Pampanga’s Best, other Local meat product processors (Ghie and Rica, Ariel meat products ) Indirect: Canned Meat Products like: Sausages, Spam, Corned Beef, etc Variables: Price, product availability, promotion

9. Mekeni vs Competitors Price vs Consumer Bracket Tender Juicy, Swift Mighty Meaty Bibbo Hotdog Pampanga’s Best Mekeni’s Picnic

10. Distribution and Availability of Product Competitors are available in all of the markets nationwide.

11. 4. Mekeni positions strongly on low cost markets catering mostly to the provincial areas Mekeni’s marketing opportunity is on increasing availability on a bigger market Options available in more groceries and supermarket in the metro’s Identify more distributing channels on provinces More promotional ads both on print and commercial

12. 5a. Based on DTI data, the Meat Preparation industry amounts to about P 32.4 B The Philippine Processed Food Industry Meat preparationsIn 2000, household spending on canned and uncanned meat preparations amounted to P32.4 billion (NSO-FIES). Uncanned meat (longanisa, tocino, chorizo, hotdog, tapa, etc.) accounted for about 70% of this amount, with the rest accounted for by canned meats (corned beef, luncheon meat, meat loaf, Vienna sausage, etc.). The meat processing industry is expected to benefit from increased consumer spending and the expansion of the fast-food industry. San Miguel Purefoods Corp. is the top meat processor in the country accounting for more than half of the processed meat market. Swift Foods, Inc. is a far second with around 30%. Other players are Pacific Meat Company Inc., Virginia Foods, etc. These players cater mainly to the household sector and, to a lesser extent, the institutional markets. http://itdibiz.com/ecatalog/index.php?option=com_content&task=view&id=85&Itemid=128&limit=1&limitstart=1

13. 5b. Current Market Share on the Hotdog Industry Pure Foods (SMC), which controls 66 % of the hot dog market and 20% of the canned goods sector, said its net income grew sixfold to P872 million from P143 million, and after revenues went up 2 percent to P18.2 billion from P17.8 billion Swift Foods Inc holds 22 %the market share of processed meats. More or less about 10-12 % is covered by other local players like, CDO (Bibbo Hotdog) Pampanga’s Best ( first in the market on Local production ) and Mekeni Food Corp both of which are breaking through at a national coverage 10http://www.manilastandardtoday.com/insideNews.htm?f=2010/may/15/news5.isx&d=2010/may/15

14. 5c. Consumer data indicates a market size consumption of about P 98 Billion worth Each Filipino consumes an average of seven kilos of hotdogs, corned beef and other processed meat products annually, according to a study by the Philippine Association of Meat Processors of the Philippines, Inc. (PAMPI). CDO is a member of PAMPI 85 M X 7 kg X P165 ( Tender Juicy retail Price /kg) Total Sales Projection of : P 98,175,000,000 Legend: 0-14 – 35 % of Population 15- 64 – 60 % of population http://en.wikipedia.org/wiki/Demographics_of_the_Philippines http://www.philstar.com/Article.aspx?articleid=479791

15. 5. Concluded that the Total Potential Market of processed food business is approximatelyP 27B revenue per annum Competitor data= P 18 B (SMC) Company data = P 800 Million Usage data = P 98 B http://sanmiguelpurefoods.com/www/SiteFiles/File/SMPF%20AR09.pdf https://news.reportlinker.com/n01188424/Mekeni-aims-for-higher-sales.html

16. 16 The Marketing Mix Strategy Part 2: Steps 6 to 10

17. 6a. Meat Product Processing Industry remains to be one of the biggest industry in the country

19. Variety of Processed Meat Products

20. Low priced

21. Available in different sizes and variants( regular, jumbo, cheese dog, chicken)

22. Different package size: 1 kg, 2.5kg bundle pack, retail disposal, 500kg

23. “AAA”marking

26. Radio and TV Ads

27. Jingles

28. Free Food Taste in Supermarkets

29. Direct Selling

30. Dealership

31. Event Sponsorship ( Concerts, Open Houses, Showrooms ) http://aurengalang.blogspot.com/2010/06/my-mekeni-picnic-ads.html

32. 8b. Competitor’s promotions Celebrity Endorsers! Catchy Product Slogans! CSR and SPONSORSHIPS! Events! Events! Events Print Ads and Commercials! http://aurengalang.blogspot.com/2010/06/puref00ds-tender-jucy-h0td0gs.html

33. Other Brands http://aurengalang.blogspot.com/2010/06/funny-hotdog-commercial.html

34. 9. Place of Distribution Supermarkets, sari-sari stores Wet markets Widely distributed in REGION 3 and nearby provinces Has Started to export products on major cities in US, Canada and Parts of Middle East Method of delivery: dealership, Direct Selling,Wet and Dry Markets

35. 9. Mekeni is distributed Nationwide via dealership, distribution to local markets , and groceries Supermarkets, sari-sari stores, convenience outlets, drugstores, market stalls Nationwide Pick-up by customers Cash and Consignments Dealership

36. 10. What is the generic winning strategy? Low Cost Producer Supply and Distribution Leverage Differentiation Niche

37. 26 SUMMARY Mekeni’s Marketing Strategy

38. 5 Steps for Part 1 (PTM and Positioning) Mekeni’s PTM are meat product lovers (especially hotdogs) from the B,C ,D, E Market Who likes easy to prepare food during parties or even meals to be served especially to children and adults alike With Choices that varies from highly competent companies like Purefoods (Hormel +SMC Food Corp), CDO, other local producers like Pampanga’s Best etc Gap is focused on good pricing scheme for B,C, D to E consumers without sacrificing taste and quality In a Philippine population that is roughly 90 million and a potential market of roughly 27B Pesos. http://www.thepigsite.com/articles/2164/philippine-pork-market-2008

39. 5 Steps for Part 2(Marketing Mix & Strategy) Hotdogs, tocino, Patties and other meat products Is 10-20 % price difference lower than the premium brands Uses local tv and print ads, radio commercial, mobile announcers Is distributed nationwide with more penetration on the provincial areas Uses a low price approach to win

40. 29 10 STEP Marketing Plan for Mekeni Food Product Auren B. Galang June 2010