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Final Report Marketing
Submitted To: Professor Rajeev SachdevWednesday, April 9, 2!
"ar#etin$ %%
Tim &sborne
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TABLE OF CONTENTS
'( )*ecutive Summary and %ntroduction
2( +ompany Analysis
( Situation Analysis
-( +ustomer Analysis
.( +ompetitive Analysis and +limate
/( Analysis of the Problem 0aced 1y The &r$aniation
3( "ar#etin$ Strate$y Analysis
!( Alternative "ar#etin$ Strate$ies
9( Recommendations
'( 4ustification and %mplementation
''( "ethodolo$y and 5ata Analysis
'2( +onclusions
'( Appendices
'-( Wor#s +ited
6To indicate the "ar#etin$ Theories they are hi$hli$hted yello7 throu$hout the report(6
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1. EXECUTIVE SUMMARY AN INTROUCTION
Executive Summary
Tim 8ortons is a lar$e company that focuses on top uality, al7ays fresh
products, value and $reat service( %t has become the lar$est uic# service restaurant chain
in +anada specialiin$ in al7ays fresh coffee, ba#ed $oods and home style lunches Tim
8ortons: About ;s coffee at home( &ur team has e*plored the company>s information resources to
learn about 7hat Tim 8orton>s needs to do in order to successfully e*pand into the
;nited States( This 7as achieved throu$h a number of $roup meetin$s, emails and
discussions about the different 7ays of e*pandin$ successfully into the forei$n mar#et( A
revie7 of the company>s history and timeline lead us to a $reater understandin$ of ho7
the company really 7or#s, and ho7 committed they are to improvin$ their ima$e in the
consumers eye( We also conducted a SW&T analysis to determine the stren$ths and
7ea#nesses of Tim 8ortons and their major competitors: 5un#in> 5onuts and Starbuc#s(
To deal 7ith the challen$es brou$ht about by these competin$ firms Tim 8orton>s 7ill
have to ma#e the necessary chan$es that 7ill ultimately ma#e them a stron$ competitor in
the ;nited States( These chan$es include addin$ ne7 items to the menu that 7ill appeal
to the American customer? they can also have an endorsement deal 7ith American sports
players to $ain a bi$$er tar$et mar#et( Another thin$ Tim 8ortons can do to $ain more
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American customers is to continue their joint venture 7ith the American company
Wendy>s into the ;nited States because it has proven to be successful in +anada( @astly
Tim 8ortons can use a product and promotion strate$y to determine 7hich products they
currently have or 7hich ones they have that need to be modified or invented to create a
menu that 7ill appeal to the American consumer( &ur team concludes the report 7ith a
brief analysis of the problems and the recommended solutions to further improve the
company>s place in the American industry(
Introduction
Company Goals
Tim 8ortons $uidin$ mission is to deliver superior uality products and services
for our customers and communities throu$h leadership, innovation and partnerships(
Their vision is to be the uality leader in everythin$ they do Tim 8ortons: About ;s
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secondary resources to $uide our report( ;sin$ the information 7e have collected from
the company and our proposed conclusion, 7e can determine a recommendation for the
company that describes ho7 Tim 8ortons can improve or maintain their effectiveness
into the ;nited States(
Methodology & Analysis of Steps
&ur team>s research methodolo$y 7as almost primarily based on the company
Web Site( 0indin$ old articles and usin$ the company 7ebsite provided us 7ith a lot
useful information( &ur steps in finaliin$ an informational report included a number of
team meetin$s, emails, and or$aniational divisions of 7or#(
!. COM"ANY ANALYSIS
&ur $roup has chosen Tim 8ortons as our company to produce a mar#etin$ plan
to e*pand operations into the ;nited States( Tim 8ortons is a coffee and donut chain that
7as founded in '9/- in 8amilton, &ntario Tim 8ortons: About ;ss as +anada>s lar$est food service
operator 7ith nearly t7ice as many +anadian outlets as "c5onaldBs 8arris
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About ;s mission statement is C&ur $uidin$ mission is to deliver superior
uality products and services for our customers and communities throu$h leadership,
innovation and partnerships( &ur vision is to be the uality leader in everythin$ 7e doD
Tim 8ortons: 0AE
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has several stores in %reland>s Tesco supermar#ets 1reens playoff season so that their
ads can reach the most people possible( Tim 8ortons also promotes themselves throu$h
local communities by fundin$ timbits hoc#ey and sponsorin$ various other teams(
#. SITUATION ANALYSIS
S$OT Anal%&i&
Strengths
Tim 8ortons> has many stren$ths? in +anada one is their brand name in +anada(
Tim 8orton>s is synonymous 7ith 5un#in> 5onuts in the ;nited States in popularity and
customer loyalty( 0or someone 7al#in$ do7n the street it is not uncommon in +anada
that a stran$er may pull to the side of the road in their vehicle as#in$ 7here the nearest
Tim 8ortons is( 8o7ever the name Tim 8ortons have very little impact as a brand to
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consumers( So Tim 8ortons 7ill depend on product uality as a stren$th in the ;S( Their
bi$$est stren$th in the ;nited States is their actual product and services their offer( Tim
8ortons formulates their o7n coffee and is able to sell it to their customers( 8avin$ a
$ood uality product 7ill satisfy more customers, 7hich 7ill also s7ay customers to
come bac# for more( Another stren$th that Tim 8ortons has is its corporate responsibility
throu$h their charity or$aniation CTim 8ortons> 0oundationD( This foundation is able to
contribute money, volunteers, camps, and such to children 7ho are unable to e*perience
the many pleasures of life as compared to an avera$e child( The Tim 8ortons 0oundation
also see#s to help disabled children and children under foster care(
Weaknesses
The bi$$est 7ea#ness for Tim 8ortons e*pandin$ to the ;nited States is that they
have not created a7areness of the American mar#et( There are currently . stores south
of the border and that number has such declined or slo7ed do7n e*pansion( Another
problem is that Americans prefer blac# coffee, and most customers are satisfied 7ith
5un#in> 5onuts coffee( This has caused problems for Tim 8ortons as it has been
unsuccessful 7ith mar#etin$ to $et customers to s7itch over( 5un#in> 5onuts offers a
7ide variety of donuts and coffee that Americans are very pleased 7ith( Tim 8ortons
offers more types of coffee and a 7ider variety of food choices and yet Tim 8ortons is
unable to reach American customers enou$h to brin$ them to try a coffee or donut(
Opportunities
Tim 8ortons has filled +anada 7ith its stores and really can not e*pand much
e*cept into ne7er communities as cities and to7ns $ro7( With Tim 8ortons enterin$ the
!
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;S mar#et, it has a stron$ competition a$ainst the ever popular 5un#in> 5onuts( %f Tim
8ortons can come up 7ith a better mar#etin$ strate$y that 7ill focus on 7hat the
customers li#e from 5un#in> 5onuts that Tim 8ortons also offers only better, then maybe
Tim 8ortons 7ill have a fi$htin$ chance at e*pandin$ across the ;nited States and
maybe overta#in$ 5un#in> 5onuts(
Threats
+urrent threats for Tim 8ortons include competition( 0or instance 5un#in>
5onuts and sand7ich shops li#e Sub7ay or "r( Sub( 5un#in 5onuts> is a threat because
of their stron$ brand ima$e that they have in the ;nited States( "any customers are
a7are of 7hat products and services they offer( The issue 7ith sand7ich shops bein$ a
threat is only a$ainst Tim 8ortons> sand7iches that they offer( The problem is that Tim
8ortons> sand7iches are I.=I/ for a portion half the sie of a sub7ay sub that costs I/=
I9( So the threat here is that customers may see that Tim 8ortons> sand7iches are
e*pensive and it is cheaper for them to $o to one of these bi$ chain sand7ich retailers(
The hope is that Tim 8ortons 7ill realie this and lo7er the price to #eep these
customers, as 7ell as to not be overta#en in its fi$ht to offer more( %f Tim 8ortons 7as to
be overta#en then they 7ould not be able to offer these sand7iches and therefore 7ould
be one less type of item to offer to its value customers(
Internal En'iron(ent Anal%&i&
As stated in the SW&T analysis, Tim 8ortons> stren$ths in America are its
products mainly coffee, and its foundation( Tim 8ortons> 7ea#nesses are its sta$nated
ability to e*pand in the ;nited States mar#et( The close competitors only offer or
specialie in some of the areas that Tim 8orton>s does( 0or instance, Starbuc#s, a
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premium coffee retailer compete a$ainst Tim 8orton>s specialty coffees li#e the iced
cappuccino but the competition 7ith Starbuc#s ends there(
With Tim 8ortons havin$ a major issue 7ith overcomin$ the competition a$ainst
5un#in> 5onuts, it 7ill ta#e the ri$ht mar#etin$ strate$y to overcome this feat( Tim
8ortons needs to focus on 7hat really attracts customers to 5un#in> 5onuts and 7hat
they 7ant( Then they need to focus their mar#etin$ strate$y on those needs 7ith
comparison to 5un#in> 5onuts( %f Tim 8ortons can attract customers from 5un#in>
5onuts as 7ell as other customers, there 7ill be much more room for e*pansion in the
;nited States mar#et(
E)ternal En'iron(ent Anal%&i&
Tim 8ortons has its opportunity #noc#in$ at the door inside the ;nited States and
as stated above, a ne7 mar#etin$ strate$y is needed to tar$et customer 7ants and
differences in 7ants compared to +anadian customers( "aybe even a fe7 menu chan$es
or chan$e the focus of products in advertisin$ to products that appeal to Americans(
When e*pandin$ into the states Tim 8ortons has developed competitors that they
7ill have to compete a$ainst( These competitors 7ill have advanta$es over Tim 8ortons(
Some advanta$es are e*perience 7ith the tar$et mar#et and a7areness of their brand(
&ther e*ternal factors that Tim 8ortons has to reco$nie are that the American mar#et
7ill be different than the +anadian mar#et( A fe7 differences that 7ill affect the
company 7ould be political and re$ulatory issues, America has different business rules
and re$ulations companies have to obli$e to( "ar#etin$ la7 also differ bet7een the
countries( )conomic issues also need to be ta#en into consideration? the currency is
different bet7een the t7o companies(
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*. CUSTOMERS ANALYSIS
Tim 8ortons has many customers throu$hout +anada and the ;nited States that
come to the local nei$hborhood coffee shop( Tim 8ortons is a cultural fi* for +anadians
as it is inter$raded into +anadian society 0ischer customers ran$e from
people of all races, $enders and a$es as they all come to$ether under their roof to enjoy
Tim 8ortons $oods( Tim 8ortons tar$et mar#et is the 7or#in$ class and more to7ards
the blue collar 7or#ers( Their main focus is on the mornin$ rush as +anadians often need
their mornin$ fi* of coffee( Their focus in recent years has also shifted to the lunch hour
as they are offerin$ more lunch menu choices( Their tar$et mar#et also includes business
or social functions as they offer caterin$ to local businesses and customers( &verall Tim
8ortons> mar#et is vast as their mar#et is unlimited throu$hout +anada and the ;nited
States( Tim 8ortons already has a 3 mar#et share of the +anadian coffee and
dou$hnut industry +rane 93 possible mar#et share can even $ro7 as
they invade their competitor>s territory as they continue to open more locations in the
;nited States(
+. COM"ETITIVE ANALYSIS AN CLIMATE
)nterin$ into a developed mar#et can be tou$h for any company, but 7hen it
comes to Tim 8ortons in the ;nited States, there are many obstacles to overcome( There
are three lar$e coffee shops in the ;nited States( They are Grispy Greme, Starbuc#s and
5un#in 5onuts( Starbuc#s is thou$ht of as a more upscale coffee shop, 7ith the lar$e
selection of specialty coffees( Grispy Greme is on the opposite end of the scale of coffee
shops because they are havin$ difficulties competin$ a$ainst the others in the mar#et(
They decided to e*pand into the +anadian mar#et 7ith the openin$ of '! stores +1+
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After only four years, Grispy Greme closed '2 of their '! stores due to the hard times,
7hile filin$ for ban#ruptcy protection and tryin$ to salva$e their last si* stores +1+s main competitor south of the border is 5un#in> 5onuts(
5un#in> 5onuts is a successful franchise in the ;nited States, just as much as Tim
8ortons is here in +anada( 5un#in 5onuts is seen as their main competitor in the ;nited
States, because they are both tar$eted to the Cblue=collarD class 1oyle
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Since He7 )n$land is considered 5un#in 5onuts CterritoryD Tim 8ortons has
introduced some stores in that area to increase competition Whitman
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$reat 7ay to $et noticed and introduce people to your brand 7ithout spendin$ a lot of
money constructin$ stand alone buildin$s(
,. ANALYSIS OF T-E "ROBLEM FACE BY T-E ORANI/ATION
Tim 8ortons has been very successful in re$ards to its mar#etin$ strate$y in
Horth America( ;sin$ advertisements onTL, radios, billboards, and bus shelters, Tim
8ortons has opened more than 2,3. stores across +anada, and over . locations in the
;nited States Tim 8ortons: About ;s 5onuts, the most popular coffee and donut
'-
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shop in the ;nited States, is the major competitor of Tim 8ortons, and the company has
to $ain the trust of the American public in order to become as popular and successful as
5un#in> 5onuts( 5un#in> 5onuts is an established business in the ;nited States 7ith
franchises in every sin$le state( As Tim 8ortons is startin$ up they only have . stores,
so it is harder for them to create a7areness 7hen it is hard to find a store in the ;nited
States(
There may be some $overnment re$ulations preventin$ Tim 8ortons from usin$
the same advertisin$ techniues in some states as it does in +anada, forcin$ the company
to chan$e its mar#etin$ strate$ies to achieve customer preference( )*pandin$ $lobally
mi$ht cause problems for Tim 8ortons because they may have to chan$e the products
that they sell because consumer>s preferences are different( This is a problem for them
because the products they offer no7 are 7hat ma#e them so popular and they do not 7ant
to chan$e that too much(
0. MARETIN STRATEY ANALYSIS
The business 7orld is becomin$ increasin$ly innovative and conseuently,
or$aniations are becomin$ more and more multifaceted( The pricin$ strate$y is a vital
aspect to the success of any or$aniation and for that reason it reuires a $reat deal of
attention( Any or$aniation>s $oals is to earn profit? upon $lancin$ at the profit euation,
it becomes evident that price plays a bi$ role in the performance of an or$aniation(
+urrently, Tim 8ortons is the prominent retailer of coffee and donuts in +anada and
hold>s over 3 of the +anadian mar#et share +rane 93s dominance in
+anada it is less sensitive to a price chan$e by its competitors despite the on$oin$
success and $ro7th north of the border( The increased level of competition 7hich has
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more so the characteristics of a pure competition mar#et, Tim 8ortons price strate$y must
chan$e strate$ically in response to a major competitors price chan$e( Tim 8ortons aim
should be on settin$ a price 7hich 7ould enable competition, primarily 7ith 5un#in>
5onuts( Price is a representative of value and therefore they should strive to appropriately
set prices 7hich 7ill appeal to the American consumer 7hile maintainin$ a positive
ima$e of uality( The bi$$est obstacles 7hen enterin$ a ne7 mar#et is to ma#e your
brand #no7n and a $ood 7ay to $et people to become familiar 7ith Tim 8ortons is by
offerin$ discounts as an efficient 7ay of easin$ people into the Tim 8orton>s familiarity(
Perhaps the bi$$est mar#etin$ problem Tim 8ortons faces in their ;nited States
debut is to dispel the customer loyalty 7hich is already present in other bi$ brand coffee
and donut stores( A bi$ part of its success in +anada can be attributed to the culture
influence it has built and ho7 +anadians have become accustomed to the Tim 8ortons
e*perience( When enterin$ a ne7 mar#et, especially one as developed as the American
restaurantJfast=food industry, researchin$ the present consumer needs and 7ants is
imperative to helpin$ a company $ain some of the customers by tendin$ to unsatisfied
yearnin$s( %t is important to note that outside of 1uffalo and He7 Kor#, 7here Tim
8orton played hoc#ey, the name 8orton is relatively un#no7n( %n addition 7ith the lac#
of hoc#ey enthusiasts in the ;nited States, the brand value just does not have the
sentimental value as it does for the +anadian people( Tim 8ortons set to differentiate
itself and its ima$e from the present dominatin$ competitors by focusin$ it>s advertisin$
on the freshness of its products( Also, they noticed that 5un#in> 5onuts 7as merely a
$rab=and=$o restaurant mean7hile Tim 8ortons provides a more meanin$ful e*perience
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7hereby people can $o sit do7n and spend time thus creatin$ a home a7ay from home
type feel Tim 8ortons: +ontact ;s
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movin$ more to7ards more healthy food choices( "ar#et se$mentation is important
because it allo7s for better analysis of consumer needs by $roupin$ similar needs and
7ants under the same se$mentation $roups to identify the best course of action to
accommodate each se$mentation $roup( Tim 8ortons is e*pandin$ its tar$et mar#et by
constantly addin$ ne7 foods to their menu ran$in$ from the li#es of soups to chili as to
dra7 more customers other than just from their coffee and donuts mean7hile their
competitors, for e*ample 5un#in 5onuts, is essentially only competin$ for the coffee and
donuts mar#et( Tim 8ortons servicin$ of different mar#et se$mentations means more
business throu$hout the day mean7hile the customary coffee and donut shops pea#
durin$ the mornin$ hours and have fe7 customers after7ards(
Tim 8ortons is #no7n for havin$ brilliant promotions 7hich have become so
prominent in +anada that they have made an impact on the culture( They 7ere able to
reach the +anadian people in a sentimental 7ay and therefore created a friendship 7ith
their consumers( The Croll up the rim to 7inD promotion became an instant success in
+anada as it 7as very 7ell communicated 7ith the help of television advertisements,
billboards and radio( The simple phrase Croll up the rim to 7inD became a part of the
+anadian national identity and it 7as ultimately brilliant advertisin$ because that is all
people 7ere tal#in$ about( Ho7 Tim 8ortons is releasin$ the same Croll up the rim to
7inD promotion in the ;nited States in an attempt to create the same brand a7areness and
build relationships 7ith the American consumers Tim 8ortons: Roll ;p the Rim
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phone number for added convenience( %n addition to company information and
promotional deals, announcement and advertisements, their 7ebsite also provides the
user 7ith upcomin$ ne7s as 7ell as tal#s about the community of consumers( Their
7ebsite uses the versatility and efficiency of the internet to $ather important data
re$ardin$ their consumers 7hile also conveyin$ important data to the consumer in a
pleasant and strai$htfor7ard manner( The 7ebsite is useful for mar#etin$ purposes as
7ell as it provides customer service in a fast and convenient manner Tim 8ortons:
+ontact ;ss 7ill use a fresh fruit $enre of smoothies( This 7ill ensure the
hi$hest uality of smoothies( The fruit should be used in its prime condition and yo$urt
7ill also be a menu option to 7iden variety( Some fruit such as bananas and citrus fruits
can also be added amon$ the typical berry fruits as they have virtually no seasonality(
Pricin$ 7ill be particularly beneficial to this product as smoothies are often fairly
pricy and considered a classy product 7ith re$ards to bevera$es( This 7ill establish a
more presti$ious ima$e in the customers mind and 7ill open Tim 8ortons to a ne7
mar#et of consumers( 1enefits of this concept 7ill more li#ely be in a $roup atmosphere
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7here customers travel in a $roup to $rab a CTim>sD( Hot every customer ho7ever 7ill be
interested in coffee, and a fruit smoothie 7ill be a healthy and enjoyable alternative
product choice(
5istribution 7ill not be of much concern to this ne7 product( Since Tim 8ortons
already carries most of the fruit and yo$urt in their Ko$urt and 1erries snac#s, the only
fruit that 7ill need to be purchased are those 7ith $ood seasonality( Such fruits 7ill be
bananas and citrus fruits and 7ill be included for variety and taste, as 7ell as lon$
product lifetime(
Promotion 7ill not be out of the ordinary for the Tim 8ortons ne7 product( A
typical mi* of television, radio, and billboard ads 7ill promote the product the same 7ay
Tim 8ortons 7ould promote any of their ne7 products( %n terms of additional euipment
that 7ill need to be purchased, only a blender 7ill be essential to this product(
%n $eneral the introduction of the fruit smoothie seems li#e a lo$ical and
profitable ne*t step to the Tim 8ortons product mi*( With most of the supplies already
available and in use at Tim 8ortons the product 7ill be easy to introduce as 7ell as create
a classy cold alternative to the typical coffee shop( %t is a niche mar#et that is 7ithin $rasp
and should be considered 7hen enterin$ the ;SA(
Endorsements
)ndorsements are a nice addition to your mar#etin$ mi* 7hen tryin$ to infiltrate
ne7 mar#ets 0ran#o7ia#
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product( Also since Tim 8ortons is tryin$ to penetrate the American mar#et, particularly
the He7 Kor# and northern states, an American hoc#ey player should be chosen from
one of the near by teams( Althou$h hoc#ey is not such a bi$ sport in the ;nited States,
they could ma#e endorsements seasonal( 0or instance they could have a hoc#ey player for
the H8@ season and a football player for 7hen the H0@ season starts( This 7ill allo7
them to continue to represent Tim 8ortons as +anadian by implyin$ a hoc#ey player, but
also promote the American sports(
!roduct "ife Cycle
A mar#etin$ strate$y that Tim 8ortons can use is the product life cycle( They can
use this on their main product the coffee and donut( The product life cycle 7ill allo7 the
company to analye the sta$es that a product $oes throu$h in the mar#etin$ place +rane
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them become a7are of American customs, values, cultural symbols and lan$ua$e that
differ from +anadian ones( %t 7ill also help them to find out any similarities in the
American mar#et compared 7ith their current strate$y that they use for their +anadian
stores( %n +anada the cultural symbol for sports is hoc#ey, 7hich differs from the
American>s sport of football( 8oc#ey is 7ell=#no7n and li#ed in the States as 7ell, but
the sport just is not as bi$ south of the border( Another difference Tim 8ortons has to
#eep in mind is that +anada>s second lan$ua$e is 0rench althou$h they cannot mar#et
li#e that in the States because their second lan$ua$e is Spanish( Tim 8ortons can isolate
mar#etin$ strate$ies that are used in +anada that can help them $ain a7areness in their
American mar#et and also determine differences in the t7o mar#ets as 7ell( This 7ill
help them 7hen implementin$ a mar#etin$ strate$y for the ;nited States(
!roduct and !romotion Strategies
A company>s $oods can be sold $lobally in three different 7ays, in the same form
as the home mar#et, adaptations to the products or a totally ne7 product +rane '!/s do prefer, and if they do not offer those products
if they can add those items to their menu( 1y havin$ a product and promotion strate$y
Tim 8ortons can create a menu that is tar$eted mainly to their American mar#et, and find
out 7hich current menu items can be used in their American stores( Tim 8ortons also has
seasonal flavours in their +anadian stores, and can also invent ne7 ones for their
American Stores( They can use the same product, but of course mar#et it differently to
better suit the $lobal mar#et( 0or e*ample Tim 8ortons uses +anadian sports to help
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promote their products by mar#etin$ durin$ 8oc#ey Hi$ht in +anada and the 1rier +up(
They can use the same approach but 7ith a fe7 adaptations usin$ football or baseball to
help them mar#et and create a7areness of their product( Tim 8ortons can ta#e advanta$e
of American broadcast stations to promote to both +anadian and American consumers(
About ! of +anadian has access to American major television net7or#s, and
American companies can mar#et to both +anadian and American consumers 1ouchers in +anada( %n 5ecember '99. Wendy>s and Tim 8orton>s mer$ed to start
offerin$ stores 7ith half bein$ a Wendy>s restaurant and half of it bein$ Tim 8ortons
Wendy>s: About ;ss: About ;ss is such a popular fast
food spot in the ;nited States 7e thin# that if Tim 8ortons continues to be lin#ed 7ith it
then they 7ill $ain a ne7 $roup of customers( The people 7ho are $oin$ to eat at fast
food restaurants, such as Wendy>s, mi$ht appreciate that there is a coffee shop ri$ht ne*t
door because a lot of people li#e to have a coffee or donut for dessert( This could be a
$reat 7ay for Tim 8ortons to e*pand even more into the ;nited States? by partnerin$
7ith an already trusted American company(
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3. RECOMMENATIONS
;pon revie7in$ the alternative mar#etin$ solutions, three have been chosen to
further promote and enhance the ima$e of Tim 8ortons in the ;nited States( The three
that 7ere decided upon 7ere the joint venture 7ith parent company Wendy>s, the
endorsement of Tim 8ortons> by American athletes and distribution of Tim 8ortons
products to $rocery and convenience stores( With these three strate$ies in place Tim
8ortons can increase the a7areness of the company in the ;nited States(
Since Tim 8ortons already has joint locations 7ith Wendy>s in +anada they can
create places similar to those in the ;nited States( Tim 8ortons can ta#e the advanta$e of
the benefits of 7or#in$ 7ith Wendy>s by teamin$ up 7ith them in the ;nited States(
Since Wendy>s is already a 7ell=#no7n and trusted franchise in the ;nited States they
can help throu$h their customers to promote Tim 8ortons(
;sin$ athletes to endorse the Tim 8ortons> brand name 7ill also prove to be
beneficial 7ell beyond its lar$e cost( Tim 8ortons uses popular sports, for e*ample
hoc#ey and curlin$ to help promote their company in +anada( They can also do this in
the ;nited States? they can use familiar American athletes in hoc#ey and football to
promote to those consumers( Also 7ith local talent promotin$ the brand name, it 7ill
have a closer to home appeal and 7ill stic# in the minds of the consumer(
@astly 7e 7ant to focus on the product and promotion strate$y for Tim 8ortons
so that any products that are currently bein$ sold in +anada can be e*tended to the
American stores( Also it 7ill be helpful for Tim 8ortons to adjust their product so that
they are more appropriate for the American customer>s preferences, for instance different
flavours that American>s mi$ht prefer that 7ere unsuccessful in +anada( We also 7ant to
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reco$nie any product inventions that can occur to increase the satisfaction in American
consumers( This mi$ht mean ne7 donut flavours, or ne7 ba#ed $oods, sand7iches or
soups(
14. 5USTIFICATIONS AN IM"LENTATION
Endorsements
Tim 8ortons has sponsored +anadian sports to promote a7areness of the brand in
+anada( %n +anada Tim 8ortons sponsors minor sports teams in local communities Tim
8orton>s: +ommunity and Mood7ill
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+anada( They can put ads in the 1uffalo Sables and +olumbus 1lue 4ac#ets arenas, both
of these areas have a Tim 8ortons close by( We also could plan an endorsement deal 7ith
a football player, since that is a popular sport in the States( Since hoc#ey and football are
both seasonal sports, 7e can cover more mar#et share almost all year around throu$h
these t7o sports(
)ndorsements ho7ever are e*pensive especially 7hen you 7ant a very
reco$niable athlete so you can $ain a 7ide audience( We also have to #eep in mind that
some athletes already have endorsement deals 7ith competitors and so they may not be
available( When creatin$ the television and radio ads there are mar#etin$ la7s and
company ethicsJmorals to consider( 0or +anada there is the competition act that Tim
8ortons> has to follo7( There are also 0ederal Trade +ommission la7s that are similar to
the competition act for the ;nited States( These la7s help protect the consumers( We can
use e*tensive technolo$y to $ain information from American customers to see 7hich
athletes and sports are popular in America( Also in certain areas, athletes can differ and
Tim 8ortons can create ads 7ith specific athletes that 7ill be effective in certain areas(
!roduct and !romotion Strategy
This strate$y 7ill help determine 7hich products Tim 8ortons can carry over
from their +anadian stores( This 7ill be very useful for the ne7 American franchises
because this 7ill help establish 7hat product customers prefer and the overall menu the
Tim 8ortons stores 7ill carry( 5ependin$ on the location in the ;nited State the product
preferences probably 7ill differ as 7ell(
To start Tim 8ortons should do some research on donut flavours, sand7iches and
ba#ed $oods that American customers li#e( They can loo# at their competitor 5un#in
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5onuts to see 7hich donut flavours are their best sellers and even their coffee flavours(
They can do taste tests throu$h samplin$ of their products and try to $ain feedbac# from
the customers( Also havin$ potential consumers try their products 7ill allo7 for them to
$ain a7areness of the Tim 8ortons brand and their products( The +anadian Store applies
a featured ba#ed $ood for the month, usually a ne7 product that actually $ets tested to
see ho7 7ell it does on the mar#et( The American companies can do this too, it is a very
useful 7ay to determine if the product is li#ed or not(
The second thin$ that Tim 8ortons can do 7ith their research is to alter some of
their product and promotion strate$ies to 7or# for the American mar#et( %n +anada Tim
8ortons is mostly #no7n for their double=double( %f Tim 8ortons can determine 7hich
bevera$e American>s prefer they can mar#et that product a lot more and ma#e it the
specialty bevera$e li#e the double=double is in +anada( They can also alter their products
to combine 7ith their mar#etin$ strate$ies( 0or instance for the Superbo7l they could
have donuts that are decorated differently to loo# li#e a football or have soup and
sand7ich combos called the CSuper5eal(D They can do the same for 8oc#ey 7hen it $ets
close to playoffs and use the Stanley cup and the athletes that are used as endorsers( This
7ay they can create productsJpromotions that are sli$htly altered from the ori$inal
product to ma#e uniue $oods and ideas that $rab the customer>s attention(
The third option Tim 8ortons has is to invent ne7 products 7ith the data they
have collected from surveys( +anada is #no7n for their +anadian "aple syrup and Tim
8ortons used that to create the C+anadian "aple 5onut(D The +anadian Tim 8ortons
have many seasonal flavours for certain holidays( %n America one of their bi$$est
holidays is Than#s$ivin$( They can create seasonal flavours for that time of year, for
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e*ample Tim 8ortons can invent pump#in flavour donuts, and candy corn flavoured
coo#ies( They can invent products that 7ill better suit the 7ant of customer preferences(
The use of the company>s 7ebsite to $ather feedbac# from customers 7ill be very
useful for the company( %t 7ill help mana$e the company and save paper( An incentive
that the company can use to $et people to fill out the survey is have coupons or pries(
Tim 8ortons has done surveys in the past in +anada, bet7een September 'thand
&ctober 2-th2- Tim 8ortons had surveys available for customer and had C0ree +offee
for a KearD as a prie to those 7ho participated Tim 8ortons: "edias( The joint ventures are usually placed in food
court areas to offer customers a variety of products and $ive the customers a choice in
7hat they 7ant to eat( Wendy>s is an American o7ned company that 7as established in
&hio Wendy>s: About ;ss to its advanta$e to $ain a7areness for customers(
Tim 8ortons should start joint venture locations 7ith Wendy>s in the ;nited
States( This 7ill allo7 for the company to e*pand customer a7areness throu$h the
Wendy>s consumers( When Wendy>s customers $o to a joint location, they 7ill see the
Tim 8ortons restaurant as 7ell( This first step allo7s for customers to ac#no7led$e the
company Tim 8ortons( They may even see the Tim 8ortons menu, and opt for somethin$
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a little healthier than the bur$er and 0rench fries( This 7ill allo7 them to at least try
somethin$ on the Tim 8ortons menu, it even allo7s for the customers to just simply vie7
the menu to see 7hat Tim 8ortons has to offer( Allo7in$ for potential customers to vie7
7hat products Tim 8ortons offers 7ill allo7 them to $ain a7areness of the company(
+ustomers 7ill no7 #no7 Tim 8ortons sells coffee and donuts and associate it 7ill that(
They can even create a7areness by $ivin$ out coupons for a free donut or coffee 7hen a
customer from Wendy>s purchases a meal( That 7ay they the customer 7ill try their
products and learn more about the menu(
There are la7s that Tim 8ortons 7ill have to follo7 re$ardin$ establishin$ joint
ventures( Also mar#etin$ la7s for the coupons that Tim 8ortons plans to distribute
throu$h Wendy>s( They should include an e*piry date and terms of conditions of the
coupon( %t is important that Tim 8ortons includes this information because it 7ill lo7er
any le$al issues to the coupon and customers are a7are of the terms of the coupon( Tim
8ortons can $ive a7ay a coupon that says free donut or free coffee and see 7hich
customers prefer the coffee or donuts at Tim 8ortons( They can use that data and an
information data base to compute statistics to see 7hich is more popular( Also the use of
technolo$y to produce print ads inside Wendy>s to advertise the coupons, also use of
technolo$y to create the coupons 7ith SG;s that are compatible 7ith Tim 8ortons> cash
re$isters to #eep trac# of the coupons(
11. MET-OOLOY AN ATA ANALYSIS
When doin$ the research for our company, 7e had ori$inally planned on
completin$ surveys and handin$ them out to students around campus( We discussed the
purpose of this and it 7as decided that this 7ould not really help to analye 7hat needs to
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be done in the American mar#et so 7e did not carry out 7ith the surveys( 5ue to the
$eo$raphical distance, 7e 7ere not able to $ain feedbac# first hand from American
consumers( +onseuently, all of the research that 7as done 7as usin$ secondary sources,
mainly 7ebsites and articles, to see a list of all secondary research $o to our Wor#s +ited
pa$e( With our lac# of first hand communication 7ith the tar$et mar#et 7e 7ere focusin$
on, 7e 7ere forced to rely heavily on outside material includin$ surveys done by other
companies and reports 7ritten by outside sources( 1ecause Tim 8ortons only 7ent public
last year it 7as difficult for us to $ather information that is usually easily found on
financial statements( Therefore 7e could not find current strate$ies used by Tim 8ortons
and 7ere not able to access any feedbac# the company may have had from their
American customers(
1!. CONLCUSION
Tim 8ortons is the lar$est uic#=time service restaurant chain in +anada( %t stared
out as a small coffee and donut shop, and has rapidly e*panded its menu to include a vast
assortment of bevera$es, donuts, sand7iches, ba$els, soups and much more( Tim 8ortons
has over 2,3. stores in +anada, and over . locations in the ;nited States, beatin$
"c5onalds as +anada>s lar$est food service operator( Tim 8ortons has been
e*periencin$ problems openin$ more stores in the ;nited States because they have not
created enou$h a7areness of their brand in the American mar#et, and also because of
their major competitor, 5un#in> 5onuts( To attract customers from 5un#in> 5onuts as
7ell as other customers, Tim 8ortons needs a strate$y that 7ill allo7 them to tar$et
customer needs and 7ants that appeal to the American public(
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After considerin$ all the problems and issues that Tim 8ortons is e*periencin$,
our $roup recommended three effective mar#etin$ strate$ies that mi$ht enable Tim
8ortons to reach its $oals of openin$ ne7 locations in the ;nited States, and remain
competitive 7ith 5un#in> 5onuts( Since Tim 8ortons has joint locations 7ith Wendy>s
in +anada, similar joint ventures can be made in the ;nited States( Wendy>s is already a
7ell=#no7n franchise in the ;nited States and they can help promote Tim 8ortons
throu$h their customers( ;sin$ famous athletes such as Ric# 5iPietro of the He7 Kor#
%slanders to endorse Tim 8ortons> brand name 7ill also be beneficial 7ell beyond its
lar$e costs( With local athletes promotin$ the company>s brand name, it 7ill $ive
customers a closer to home feelin$( %t 7ill benefit Tim 8ortons if they adjust some of
their products to satisfy the American customers> preferences( We also 7ant to reco$nie
any product inventions that can occur to increase customer satisfaction in Americas( We
believe that if Tim 8ortons is able to successfully implement these chan$es then they 7ill
become a fierce competitor in the ;nited States as 7ell as +anada(
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1#. A""ENICES
Appen6i) A
0ind1y+lic#s
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http://www.canada.com/ottawacitizen/news/story.html?id=f695c530-37cd-4b7f-988c-d7c1ab7f964a&k=89369http://www.canada.com/ottawacitizen/news/story.html?id=f695c530-37cd-4b7f-988c-d7c1ab7f964a&k=89369http://uproxy.library.dc-uoit.ca/login?url=http://search.ebscohost.com.uproxy.library.dc-uoit.ca/login.aspx?direct=true&db=bth&AN=4475517&site=bsi-livehttp://uproxy.library.dc-uoit.ca/login?url=http://search.ebscohost.com.uproxy.library.dc-uoit.ca/login.aspx?direct=true&db=bth&AN=4475517&site=bsi-livehttp://uproxy.library.dc-uoit.ca/login?url=http://search.ebscohost.com.uproxy.library.dc-uoit.ca/login.aspx?direct=true&db=bth&AN=4475517&site=bsi-livehttp://www.marketingmag.ca/magazine/current/marketer_year/article.jsp?content=20050207_66405_66405http://www.marketingmag.ca/magazine/current/marketer_year/article.jsp?content=20050207_66405_66405http://www.bizjournals.com/buffalo/stories/2004/12/13/story3.htmlhttp://www.financialpost.com/story.html?id=321722http://www.financialpost.com/story.html?id=321722http://www.timhortons.com/en/about/index.htmlhttp://www.timhortons.com/en/goodwill/local-programs.htmlhttp://www.canada.com/ottawacitizen/news/story.html?id=f695c530-37cd-4b7f-988c-d7c1ab7f964a&k=89369http://www.canada.com/ottawacitizen/news/story.html?id=f695c530-37cd-4b7f-988c-d7c1ab7f964a&k=89369http://uproxy.library.dc-uoit.ca/login?url=http://search.ebscohost.com.uproxy.library.dc-uoit.ca/login.aspx?direct=true&db=bth&AN=4475517&site=bsi-livehttp://uproxy.library.dc-uoit.ca/login?url=http://search.ebscohost.com.uproxy.library.dc-uoit.ca/login.aspx?direct=true&db=bth&AN=4475517&site=bsi-livehttp://uproxy.library.dc-uoit.ca/login?url=http://search.ebscohost.com.uproxy.library.dc-uoit.ca/login.aspx?direct=true&db=bth&AN=4475517&site=bsi-livehttp://www.marketingmag.ca/magazine/current/marketer_year/article.jsp?content=20050207_66405_66405http://www.marketingmag.ca/magazine/current/marketer_year/article.jsp?content=20050207_66405_66405http://www.bizjournals.com/buffalo/stories/2004/12/13/story3.htmlhttp://www.financialpost.com/story.html?id=321722http://www.financialpost.com/story.html?id=321722http://www.timhortons.com/en/about/index.htmlhttp://www.timhortons.com/en/goodwill/local-programs.html7/27/2019 60200880-Tim-Hortons (1)
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