Practicum project final

Presented by Illuminati

Dec 6, 2010

Wei Wang Peter Chang Xiaoying Ma

Group Members

Summer Liu Danwei Zhang Fanglu Cheng

AGENDA

• Secondary Research• Primary Research -Store Observation -In-Depth Interview -Surveys• Execution• Cost & Budget

Golden Memory

Reality is disappointing…

In-home Potato eating is slightly DECREASING!

Source: U.S. Potato Board

Estimated sale of fresh potato is DECREASING!

Source: U.S. Potato Board

Up!--The Way Fresh Potato Should Be

Increase purchase and consumption of fresh potatoes among consumers aged 22-30 who are living on their own.

Achieve a 10% increase in eating of fresh potatoes.

To Achieve the GOAL, we…

Understand Them…Observe Them…Talk to Them…Test among Them…

To Achieve the GOAL, we…

9 Different Grocery Stores…

48 Respondents we talked to…

425 Respondents we tested…

Live a busy life. fresh portable convenient

Target CustomersAge 22-30

Living on Their Own

Love gourmet food. (34% more likely than other adults)

Understand them: Busy life, yet enjoy gourmet.

Source: Fall 2007 and Winter 2008 adult consumer surveys, which are based on the responses of approximately 25,000 adult respondents age 18 or over conducted by Simmons Market Research Bureau, New York, NY

Age 22-30, Male & female

Understand them:Shopping behavior towards fresh potato

Source: See Appendix Page…

Talk to Them: Customer Segmentation by PotatoCooking Frequency

Potential Consumer10%Less than once a month

Occasional Customer45%Once a week to once a month

Loyal Customer45%More than once a week

Target Consumer(Age 22-30, live on their own)

Voice from Loyal Consumer

Source: Primary Research Conducted by Stuart Illuminati

Loyal Consumer

14

Elizabeth, 28, work at Frank Lloyd Home & Studio at Oak Park

Source: Primary Research Conducted by Illuminati

Potatoes are Healthy

With healthy food, I can like to live longer

I’d like to have more fun with my families and friends.

Families and friends are the value of my life

15Source: Primary Research Conducted by Stuart Illuminati

Potatoes are nutritious

I always prioritize healthy food when eating

It does good for me in the long run

I want to live longer and spend more time with the ones I love

Tim, 27, Married

Loyal Consumer

Voice from Occasional Consumers


Annie, 22, UIC student


I like the texture of potatoes; they are tasty.

I’m happy when eating yummy food.

I want to enjoy my life, and indulge myself occasionally

Tasteful food makes me feel fulfilling and satisfied

Occasional Consumers

Hundreds of ways of cooking It

Some one we met at Grant Park


I can always find some potato dish my friends like

I care about my family and friends because they are my strongest bond Preparing food

for them is an excellent way to show my love

Occasional Consumers

Voice from Potential Consumers


Potential Consumer


Potatoes are Nutritious

Nutrition is important for everyone

It keeps me healthy and energetic

LIFE IS THE MOST IMPORTANT TO

ME

One we met at Millennium Park

I can better enjoy my life

Delicious

Yummy

Nutritious

Enjoyable

Life fun

Sharing

Convenient

Energetic

Healthy

Fulfilling

Tasty

Consumer Insights Refinery

Natural


Versatile

SharingTasty and Versatility

Nutrition Value

125Respondents

Potentials21.6%

Occasional53.6%

Reconfirm the Market

Loyal24.8%


I cook for people I care for because I know it's good for them. Being healthy is important to me and also to the ones that I care about; that’s why I make home cooked fresh potatoes in many of my meals.

I feel proud of the variety of potato dishes I can make. I love finding new ways to cook them. It brings a lot of fun to my life.

1

2

Quantify Customer Insights


I cook for people I care for because I know it's good for them. Being healthy is important to me and also to the ones that I care about; that’s

why I make home cooked fresh potatoes in many of my meals.

1 Cooking potatoes with a meal is an economical, enjoyable, and relaxing thing to do which makes me feel happy. There are so many things you can do with potatoes.

3Quantify Customer Insights

I feel proud of the variety of potato dishes I can make. I love finding new ways to cook them. It brings a lot of fun to my life.

2 Preparing food for friends and

families is an excellent way to show my care and love for them. Being my friend deserves my affection, and I feel happy for that. I love to cook fresh potatoes and share with them.

4


Cooking potatoes with a meal is an economical, enjoyable, and relaxing thing to do which makes me feel happy. There are so many things you

can do with potatoes

3 I try to live a very healthy life. Being healthy makes me live longer, and have more fun with my life. That’s why I love to cook fresh potatoes because they are natural and nutritious which help me keep healthy.

5Quantify Customer Insights

Preparing food for friends and families is an excellent way to show my care and love for them. Being my friend deserves my affection, and I

feel happy for that. I love to cook fresh potatoes and share with them.

4 It's time for me to do something for

my family and it makes me very happy to see someone that I love is happy. Family is the value of my life. I want to cook potatoes for my family because they always do that for me.

6


I'd like to eat potatoes because there are so many delicious ways to prepare them. I enjoy my life and occasionally indulge my life.

7

Quantify Customer Insights


Top Two Choices for Occasional Consumers …

I'd like to eat potatoes because there are so many delicious ways to prepare them. I enjoy my life and occasionally indulge my life. (25% )


Top Two Choices for Occasional Consumers …

Preparing food for friends and families is an excellent way to show my care and love for them. Being my friend deserves my affection, and I feel happy for that. I love to cook fresh potatoes and share with them. (23%)


What customers want are…

Sharing & Tasty


Sharing Tasty

VersatileNutritiousDelicious

Positioning Statement


10 Statements

Big moments with friends and family are brought by yummy fresh potatoes.

The various ways fresh potato can be cooked indulge your various tastes.

One fresh potato, millions way to prepare; billions ways to enjoy.

Fresh potato, whet your appetite, extend your happiness.

A taste of heaven: Fresh potato, perfect dish for sharing.

Savor your life with the versatile fresh potato.

You will never get bored with versatile fresh potatoes

Fresh potato-- perfect match with everything, perfect choice to serve everyone

Happy family has delicious fresh potatoes written all over it.

Eating is half the fun. With fresh potato, it's the whole package.


A Taste of Heaven: Fresh potato, perfect dish for sharing! (52%)

Eating is half the fun. With fresh potato, it’s the whole package.(44%)


126 RespondentsTop Two Choices:

TASTY

SHARING

FUN

Bon Appétit!

Let’s Party Potato Up!

Let’s Potato!


2 31

Let’sPotato!

88% of 60 Respondents


Let’s Potato!

Now…

Anyway you slice it, it’s like a party in your mouth!


It’s like a party in your mouth and everyone is invited.

The yummy dance is on your taste buds.


The yummy dance is on your taste buds.

Let’s Potato!

Let’s Potato! Various ways to reach our target customer!

Let’s Potato!

TraditionalCommunication

Plan

Let’s Potato to create demand!


Plan

---Magazine

---Shopping Carts

---Free Pamphlets

Newspaper or Magazine?

Target consumers

Source: Packaged Facts: Millennials in the U.S.: Trends and Opportunities Surrounding Gen-Y Adults, Oct.ober 2010

Magazine

• Sports Illustrated• Playboy• Maxim• ESPN The Magazine • Time

• People• Cosmopolitan• US Weekly• Star• Glamour

“Let’s Potato!” message is here

Not enough? See what we can do in grocery stores…

Easy-to-Make Recipe is here…

Take It Outside

Let’s Potato!

Traditional Communication

Plan

Outdoor communication

plan

---Billboards

---Public Transportation

---Bus/Train Station

“Let’s Potato!” everywhere!


plan

Let’s Potato! On the road

Let’s Potato! On the street

Let’s Potato! In bus stop

Let’s Potato! In subway station

Interactive communication

plan

Let’s Potato!

Traditional communication

plan


plan

Get their involvement on the Internet

– Banner ads on Google and Yahoo

-- Facebook

– “Let’s Potato” Website


plan

Let’s Potato! On Google

Whole year!

Hey, I saw your

potato dance today

Let’s Potato!

Source: http://www.youtube.com/watch?v=q7uyKYeGPdE

Wherever you are, Upload Your Potato Dance today—$500 Rewards to the Most Popular

Let’s Potato!


Plan


plan

Our door communication

plan

Eventcommunication

plan

No

Yes

Incentive offers

Offers from contest

Source: Package Fact: Millennial in the U.S.: Trends and Opportunities Surrounding Gen-Y Adults. October 2010

So…“Let’s Potato!”

Event1: Participate in “Let’s Potato ” online game.

Event 2: Qualified online game winners will be invited to cooking contest .

Make it fun…

July, Aug

Event 1: “Let’s Potato! ” Online Game

Facebook “Let’s Potato” page

Youtube “Anyway You Want ” potato video

67

Click “like”…

68

Then start the game!

Event 1:

Choose a recipe/key in your secret recipe.

Play more=higher chance to enter round 2.

12 Winners will be randomly selected.

“Let’s Potato!” Online Game

Easy to play , Easy to learn

Event 2 :Cook-Off Contest

3

2

1

Contest Rules & Benefits

Rules:Key ingredient : potato

<30 minutes’ cooking time

Reward:

Whole foods/Dominick’s gift cards

No.1. $700 gift card

No. 2. $500 gift card

No. 3. $300 gift card

Song: Any Way You Want It by Glee Cast

YouTube Banner Ad

Cost & Budget

ChannelPer unit

cost/monthUnits No./each

cityContract

extent/month cost

Magazine $ 3,000 2 Sep & Oct & Nov & Dec

$ 24,000

Bus StopShelter $ 480 15 Jan & Apr $ 7,200

Bus Body Ad $ 300 15 Feb & May $4,500

Billboard $1,200 + $3,000 5 Mar & June $21,000

Shopping CartAd

$1,000 perStore 2 July & Aug &

Nov & Dec$8,000

Yahoo & Facebook &

Google$1,000 X3 12 $12,000

Cooking Contest $ 6,000

Potato Dance $500 1 4 Seasons $2,000

Top 11 cities total cost: $491,700per city: $84,700 +$40,700 to add one more city

Source: www.iesmallbusiness.com/resources/Major_Media_Types.doc

http://www.iesmallbusiness.com/resources/Major_Media_Types.doc

Population

Total population in top 11 cities 26,336,954

22~30 years old population In top 11 cities 1,563,098

Occasional + Loyal consumers population (75%) 1,172,324

Respondent rate(10% to 20%) for our entire campaign

117,232~234,465(10% to 20%)

10% increased sales Purchase 0.75 lbs to 1.5 lbs more fresh potatoes per week

Increase 10% sales if 20% of target consumers purchase 0.75 lbs of more fresh potatoes each week

Source: United States Census

Wrap Up

Grab Attention Create Interests

Encourage Participation Call for Action

Interested? Contact us! [email protected]

Thank you!

We are happy to answer your questions!

Presented by Illuminati

Appendix

1. Store Observation

2. In Depth Interview

3. Quantify Consumer Insights

4. Quantify Positioning Statements

5. Campaign Test

6. Budget & Cost

7. Top 11 Cities in the U.S.

1. Store Observation

• Objective: Observe Target Consumer’s Purchasing Behavior

• Checked Jewel Osco, Dominick’s, Whole Foods from Sep. 13th to Sep. 20th

Dominick’s• Location: 1 N Halsted St, Chicago, IL; 255 East Grand Avenue,

Chicago, IL; 1340 South Canal Street, Chicago, IL• Ethnography time: September 3rd Friday 2:40pm-4:00pm;

5:00-5:30 pm

• Types and prices of potatoes:

In bulk

Potato russet X-LG

Potato red gourmet

3.49 for 1.5lb

0.99/lb

Target Age How to choose

Preference Amount Other stuff

Female 22-30 Potato first Russet In bulk, 2 Veges, sauce

Couple 22-30 Price first Red potato In bulk, 4 Veges

Couple 22-30 Potato first Russet In bulk, 1 Veges

Couple 22-30 Price first Russet In bulk, 2 Veges

Male 22-30 Potato first Russet In bulk, 2 Veges


Male >30 Potato first Russet In bulk, 3 Veges

Male with kid

>30 Potato first Russet In bulk, 1 Veges

Customer Profile

Dominick’s

In bag

Yukon Gold potatoes

Red potatoes

Safeway russet potatoes

4.99 for 10lb

3.39 for 3lb, 4.49 for 5lb

3.49 for 3lb

Types and prices of potatoes:

Dominick’s

Fingerling

Melissa’s potatoes ruby

Fingerling potatoes

Gold Mini potatoes

3.99/bag 1lb

3.99/bag 1lb

3.99/bag 1.5lb


Jewel-Osco

• Location: 1224 South Wabash, Chicago, IL; 1340 South Canal Street, Chicago, IL; 443 East 34Th Street, Chicago, IL

• Ethnography time: September 3rd Friday 6:00-8:00pm

Customer ProfileTarget Age How to

choosePreference Amount Other stuff

Female 22-30 Potato first Red 5 pounds Snacks

Female 22-30 Potato first Red 5 pounds Snacks

Female 22-30 Potato first Russet in bulk Snacks and dairy

Female 22-30 Potato first Russet in bulk Snacks and dairy

Female 22-30 Potato first Russet in bulk N/A

Female 22-30 Potato first Russet in bulk N/A

Female with family

22-30 Potato first Red 5 pounds Snacks and dairy

Female with family

22-30 Potato first Red 5 pounds Snacks and dairy

Female with family

22-30 Potato first Russet In bulk Snacks and dairy

Jewel-Osco

In bag

Baby red and golden potato

Organic russet

Russet 1.99 for 5lb

4.49 for 10lb

3.99 for 1.5lb

Red potatoes 4.99 for 5lb

Jewel-Osco• Types and prices of potatoes:

In bulk

Red potato

Russet 0.79/lb

0.99 /lb

Fingerling potatoes 4.99 for 1.5lb

Whole Food’s• Location: 230 South Wabash Avenue, Chicago, IL; 1101 S. Canal

St, Suite 107, Chicago, IL; 30 West Huron St, Chicago, IL• Ethnography time: September 14th 5:00-6:00pm, September

16th, 6:00-7:00pm

• Types and prices of potatoes:

In bulk

Organic red potatoes

Russet1.49/lb

1.49 /lb

Whole Food’s

In bag

California Russet potatoes

California red potatoes

Organic red roaster potatoes

3.99 for 5lb

5.99 for 5lb

4.99 for 5lb

California Yukon Gold

5.99 for 5lb


Target Age How to choose

Preference Amount Other stuff

Female 22-30 Potato first Russet In bulk, 2 Veges,

Couple 22-30 Price first Red potato In bulk, 1 Veges

Female 22-30 Price first Russet In bulk, 1 Veges

Female 22-30 Potato first Red potato In bulk, 2 Veges



Female >30 Potato first Russet In bulk, 3 Veges

Male >30 Potato first Russet In bulk, 1 Veges

Whole Food’sCustomer Profile

2. In Depth Interview

• Objective: Explore Consumer Insight• Date: October 19-22,2010• Location: Lincoln Park Grant Park Millennium Park Starbucks MTCC meeting room

• Methods: Video, audio, notes• Respondents: 40

Demographically Information



Fresh Potato Cooking Frequency

More than once a weekOnce a week2-3 times a monthOnce a monthLess than once a month

25% more than once a week

20% once a week

25% 2-3 times a month

20% once a month

10% less than once a month

Consumer Segmentation

•More than once a week

•Once a week (45%)

Loyal customers

•2-3 times a month

•Once a month (45%)

Occasional customers

•Less than once a month (10%)

Potential customers

3. Quantifying Consumer Insight

• Objective: Measure market size; quantify consumer insight

• Location: Lincoln Park Grant Park Millennium Park Union Station

• Time: October 26 to 28, 2010• Respondents:125• How : Survey

Sample

Demographic Information




Overall Result

No. 1: 1%; No. 2: 9%; No. 3: 10%; No. 4: 32%; No. 5: 27%; No. 6: 11%; No. 7: 26%

Result for Loyal consumer

• Respondent number: 31

0

2

4

6

8

10

12

A B C D E F G

Number

1 2 3 4 5 6 7

4: 35.48%7: 16.12%

Occasional consumer

• Respondent number:67

0

2

4

6

8

10

12

14

16

18

A B C D E F G

Number

1 2 3 4 5 6 7

4: 25.37%7: 23.88%

Potential consumer

• Respondent numbers:27

0

1

2

3

4

5

6

7

A B C D E F G

Number

1 2 3 4 5 6 7

1: 18.51%5: 22.22%

4. Quantify Positioning Statements• Research Purpose: To choose the most preferred statements

• Time: Nov. 3th to Nov. 5th

• Location: Union Station Ogville Transportation Center MTCC at IIT Main Campus

• Respondents: 126

• How: Survey

Positioning Statement SampleThank you very much for your interests.

How often do you cook fresh potatoes?oOnce a week or more than once a weekoFrom once a week to once a monthoLess than once a week

Please circle three statements that are most appealing to you:

oBig moments with friends and family are brought by yummy fresh potatoes. oThe various ways fresh potato can be cooked indulge your various tastes.oOne fresh potato, millions way to prepare; billions ways to enjoy. oFresh potato, whet your appetite, extend your happiness.oA Taste of Heaven: Fresh potato, perfect dish for sharing.oSavor your life with the versatile fresh potato. oYou will never get bored with versatile fresh potatoes oFresh potato-- perfect match with everything, perfect choice to serve everyoneoHappy family has delicious fresh potatoes written all over it.oEating is half the fun. With fresh potato, it's the whole package.

Loyal Customers: 31%Occasional Customers: 41%Potential Customers: 27%

Total Respondents: 126

5. Campaign Test

Purpose: Choose the most appealing campaign messageTest Time: Nov. 10th, 2010Test Location: IIT Campus Ogiville Transportation Center Union StationRespondents: 60How: Same pictures, different taglinesResults: Let’s Potato!----88%Let’s Party, Potato Up!---5%Bon Appétit! ----7%

Campaign Test Samples

Campaign Test Samples

6. Budget & Cost

Channel Cost

Magazine $12,000

Outdoor billboard $36,700(per city)

Online $12,000+ $6,000

Total $66,700 For the first city, add $36,700 per city



Time LineJan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Magazine

Bus Stop Shelter

Bus Outside

Billboard

Shopping Cart

Online Ad

Online Game



Budget-Magazine

• Magazines - $1,200 to $5,000 per month or per issue (depends on ad size and demographics)

Per unit cost/month Magazine

No.Contract

extent/month

cost

$3,000 2 4 $24,000



Budget-Outdoor BillboardPer unit

cost/monthUnits

No./each city

Contract extent/mon

thcost

Bus stop shatter $480 15 2 $7,200

Bus outside $300 15 2 $4,500

billboard $1200+$3,000 5 2 $21,000

Shopping Cart Ad

$1000/per store 2 4 $8,000

Total $40,700



Budget-Online Ad/Online Game Website Per unit

cost/monthContract

extent/month cost

Yahoo $1000 4 $4,000

Facebook $1000 4 $4,000

Google $1000 4 $4,000Potato Dance $500 4 $2.000

Total $14,000

Online Game cost

Conduct Fee $4,500

Reward $1,500

Total $6,000



Cities Population Rank

New York, N.Y. 8,391,881 1

Los Angeles, Calif. 3,831,868 2

Chicago, Ill. 2,851,268 3

Houston, Tex. 2,257,926 4

Phoenix, Ariz. 1,601,587 5

Philadelphia, Pa. 1,547,297 6

San Antonio, Tex. 1,373,668 7

San Diego, Calif. 1,306,301 8

Dallas, Tex. 1,299,543 9

San Jose, Calif. 964,695 10

Detroit, Mich. 910,920 11

7. Top 10 Cities in United States

Source: Unites States Census

http://www.infoplease.com/cgi-bin/id/A0108570











Thank you!

By Illuminati

Business

Practicum project final