This document provides an introduction and overview of Deluxe Food, a U.S.-based consumer packaged food company headquartered in Toronto, Canada. It details that the company has $2.8 billion in worldwide sales, with $450 million (69%) coming from Quebec and Ontario in Canada. The company introduces 6 new products annually. Monthly meetings are held between the marketing manager and product managers to discuss local market developments. Declining sales in Quebec over the past two years are currently a problem. A SWOT analysis is then presented, analyzing the company's strengths, weaknesses, opportunities, and threats. Possible marketing strategies of globalization versus localization are discussed.
3. Introduc)on
• U.S.
based
consumer
packaged-‐food
company
– Headquartered
in
Toronto,
Canada.
• Brand
preferences
throughout
Canada
4. Deluxe
Food
• $2.8
billion
worldwide
sales
• $450
million
Canadian
sales
with
69%
contributed
from
Quebec
and
Ontario.
• Introduced
6
new
products
annually
for
the
past
five
years.
5. Management
Style
• Jessica
Walters
as
markeQng
manager.
• Monthly
meeQng
with
product
managers
to
discuss
developments
in
local
markets
that
might
affect
markeQng
plans.
• Each
managers
are
free
to
make
suggesQon
but
final
approval
relies
on
Walters.
6. Possible
Reasons
• InflaQon
• Threat
of
job
losses
due
to
poliQcal
reasons
• Lack
of
managerial
Qme
and
money
spent
on
Quebec
market.
• 80%
of
Quebec
market
are
French
speaking
community.
• GlobalizaQon
strategy
does
not
communicate
the
brand
image.
10. SWOT
Analysis
Internal
Factor
• Strengths
– ConQnuously
introducing
new
products
(
at
least
6
new
products
introduced
every
year)
– Increasing
sales
for
the
past
4
years
– Ability
to
control
all
phases
of
the
food
business
from
Toronto
(monthly
meeQng
with
product
managers)
– Wide
distribuQon
network
11. SWOT
Analysis
Internal
Factor
• Weaknesses
– Inflexible
global
strategy
it
is
currently
adopQng
– Straight
translaQon
may
not
be
able
to
communicate
the
same
brand
image
– Lack
of
understanding
of
the
Quebec
market
– Slow
respond
is
making
decision
between
localizaQon
and
globalizaQon
despite
concerns
from
product
managers
12. SWOT
Analysis
External
Factor
• OpportuniQes
– Growth
opportunity
in
other
8
regions
in
Canada
– Increase
spending
on
convenience
food
by
consumer
– Greater
demand
for
healthier
food
(health
conscious
populaQon)
– Healthier
frozen
breakfast
– Expanding
their
channels
of
distribuQon
13. SWOT
Analysis
External
Factor
• Threats
– Presence
of
compeQtors
– InflaQon
(Country’s
economy)
– The
threat
of
job
losses
to
poliQcs
14. Compe)tors
• Stouffer’s
by
NESTLE
– Known
for
such
popular
fare
• Meatloaf,
Salisbury,
steak,
lasagna,
macaroni
and
cheese,
and
ravioli.
– Most
of
which
are
French
oriented
food
– InteresQng
website
with
Recipes
suggesQon
– Dinner
for
One
and
Dinner
for
Family
– Dinner
reward
such
as
“Travel”,
“Electronics”
and
“Home”
16. Current
Situa)on
• Top
management
–
StandardizaQon
• Product
Managers
–
LocalizaQon
DefiniQon
of
GlobalizaQon:
“…
Operates
with
resolute
constancy-‐at
a
relaQve
low
cost-‐as
if
the
enQre
world
(or
majority
enQQes
of
it)
were
a
single
enQty;
it
sells
the
same
thing
in
the
same
way
everywhere.”
Theodore
Levi,
Harvard
Business
Review
17. Evalua)on
Table
According
to
3
Ps
• 3
Ps
of
InternaQonal
MarkeQng
Table:
19. Deluxe
Food
• Weighted
raQngs
of
Quebec
&
Ontario
on
a
scale
of
10
20. Choice
of
Marke)ng
Strategy
• Average
of
5.8
in
the
evaluaQon
table
• Adopt
GlocalizaQon
• Especially
due
to
nature
of
product
DefiniQon
of
GlocalizaQon:
“Reconcile
the
need
for
consistency
of
the
presentaQon
of
the
brand
in
all
communicaQons
across
the
world,
as
well
as
the
need
for
consistency
of
the
presentaQon
of
brand
in
all
communicaQons
across
the
world”
22. Product
• Staple
products
-‐
RouQne
rather
than
habitual
• Actual
products
-‐
Cake
mixes,
puddings,
pie
fillings,
pancakes,
prepared
foods,
and
frozen
dinners.
23. Core
Product
• Taste
– Do
not
enjoy
cooking
but
eaQng
• NutriQon
-‐
Part
of
their
health
and
wellness
• Convenience
-‐
From
store
to
home
24. Branding
• Brand
name
-‐
“Deluxe
Food”
Short
&
simple
§ §
SuggesQve
of
product
benefits
§
Easy
to
spell
and
read
§
Adaptable
to
packaging/
§
Easy
to
recognize
and
remem labeling
needs
ber
§
No
undesirable
imagery
§
Easy
to
pronounce
§
Always
Qmely
§
Can
be
pronounced
in
only
on §
Adaptable
to
any
adverQsing
e
way
medium
§
Can
be
pronounced
in
all
lang § Legally
available
for
use
uage
25. • Logo
–
5
Main
Steps
– Visibility
– Applica)on
– Simplicity
– Color
– Timelessness
26. • Logo
– Warm
colors
• Red
and
orange
used
– Classy
font
– Professional
image
• Side
view
of
chef
27. • Slogan
– CompeQQve
advantage
of
providing
good
quality
– Short
and
direct
28. Packaging
• ApracQve
packaging
– NutriQon
label
– Print
Materials
and
RelaQonships
with
Health
FoundaQons
Double
Chocolate
Muffin
Mix
32. Place
• Geographical
market
Canada
• LocalizaQon
market
[Quebec]
– Key
to
ability
to
apract
customers
– Major
impact
on
retailer’s
profits
33. Site
Loca)on
• Major
supermarkets
• “Mom
&
Pop”
stores
– Stocked
a
higher
proporQon
of
shelf
space
for
Deluxe
foods
in
Ontario
– Fast
disappearing
in
Canada
except
Quebec
34. Increase
of
Shelf
Space
Availability
• Extension
of
ExisQng
Shelf
Space
– Increase
of
shelf
space
in
supermarkets
– Placement
of
products
on
the
middle
shelves
(Eye-‐level
view)
35. • ApracQve
Portable
Stand
-‐
ApracQve
yet
portable
new
shelf
stand
-‐
Creates
specialty
and
public
awareness
Designated
tailored
shelf
space
Beper
“retail
environment”
“Retail
environment"
is
meant
to
be
used
interchangeably
with
retail
store,
and
generally
refers
to
a
business
or
establishment
that
offers
consumer
products
for
sale.
36. Increase
Distribu)on
Channels
• Convenience
Stores
– Placed
products
in
well-‐established
line
of
convenience
stores
Examples:
“AlimentaQon
Couche-‐Tard
Inc”,
“Beckers
Milk’
and
“Quickie
Mart”
or
the
world’s
largest
convenience
retailer,
“7-‐Eleven”.
37. • Specialty
Store:
Deluxe
Gourmet
Store
-‐
Direct
distribuQon
-‐
Superior
value
to
selected
target
market
Example:
‘Deluxe
specialty
gourmet
store’
ü
Cater
and
sell
Deluxe
Food
products
ü
Niche
market
and
a
brand
new
experience
38. ‘Deluxe
specialty
gourmet
store’
ü Quality
and
service
ü Feed
back
and
suggesFons
ü Future
changes
and
development
ü CreaFng
more
value
than
compeFtors
40. Promo)on
• Current
Strategy
– Standardized
AdverQsing
method
– Quebec:
Straight
translaQon
from
English
to
French
• May
be
IneffecQve
– Context
of
messages
may
not
project
brand
image
in
Deluxe
– Maximum
exposure
is
needed
to
heavy
weightage
41. Recommended
Strategies
“Push”
Strategy
• Push
Strategy
– AcQve
engagement
to
push
product
to
consumers
– Great
Strategy
to
introduce
product
– Push-‐markeQng
makes
your
brand
pervasive
and
ubiquitous
• “Pushing”
product
to
let
consumer
try
out
42. Media
Adver)sing
• Media
AdverQsing
– Raise
mass
awareness
– Through
different
channels
such
as:
-‐
Radio,
TV,
magazines,
and
even
trains
44. Media
Adver)sing
• Sponsoring
of
TV
shows
– Especially
in
Quebec
• In
this
region,
TV
talk
shows
that
feature
topical
issues
and
discussed
over
dining
table
• “Joie
de
vivants”
–
Quebecers
“enjoy
life”
• “Bon
vivants”
–
Enjoy
talking,
eaQng
and
socializing
45. Recommended
Strategies
“Pull”
Strategy
• Pull
Strategy
– Consumers
are
apracted
by
the
product
of
company
and
draws
themselves
towards
company
– This
strategy
encourages
customer
to
seek
company
out
46. Websites
www.deluxefood.com.ca
Products
>
Baking
Mix
>
Muffin
Mix
Home
>>
Double
Chocolate
Muffin
Mix
Products
About
Us
New!
Ac)vi)es
Products
New!
Whole
wheat
flour
and
high-‐
Promo)ons
Ac)vi)es
Products
fiber
cereal
are
the
goodies
Recipe
&
Ac)vi)es
Promo)ons
Contact
us
Do u b
le
C
tucked
in
a
chocolate-‐lover's
Muffi hocolate
sweet
muffin.
Deluxe Food
n
Mix
Promo)ons
Contact
us
Contact
us
Double
Chocolate
Prep
Time:
15
min
Muffin
Mix
Search:
Start
to
Finish:
35
min
GO
Nourriture dse luxe Makes:
12
muffins
Nutri)onal
value
GO
47. • Websites
– Easy
NavigaQon
• Provides
all
informaQon
– NutriQonal
informaQon,
Company
history
and
etc.
• Warm
color
palepe
that
is
consistent
with
brand
image
• Main
categories
and
search
bar
available
on
the
lex
panel
• AcQviQes
and
recipes
to
encourage
repeated
visits
48. Glocaliza)on
in
Promo)on
• Localize
adverQsing
and
promoQon,
but
have
a
consistent
brand
image
– Localized
AdverQsing
• Use
of
words
– No
direct
TranslaQon
– Using
“play
of
words”
-‐
“Jeax
de
mots”
– Appeals
to
Quebecerss’
love
for
language
and
sense
of
humor
• Careful
choice
of
Color
palepes
– Quebecers
prefer
bright
colors