This paper analyses different marketing strategy deployed in the introduction a new product through proper analysis of external and internal business environment. Different analytical tools such as SWOT analysis, Pestle analysis, and Porter’s five forces where used to analysed the business environment and climates. Factors such as government policies, economic issues, culture which are external to businesses were analysed with PESTLE instrument while the in-industry and market issues and challenges such as competition, substitution were analysed using Porter’s five forces and SWOT analysis.
The understanding of the external and internal environment thus gives the proper impetus to formulated proper strategy for crafting a new product that would get customers attention, appeal or attract to the right market segment that will derive value for customers and also give value back to the organization. The marketing mix of product, price, place and promotion was thus designed to capture and retain customers. A new product line, Yo-Nu was created and branded for the organization extend it product option in the market
The company Yo Sushi is a leading Japanese cuisines serving fast-food or Quick Service Restaurant Industry (QSR). It has been credited to introducing Japanese cuisine to the United Kingdom (UK), a landmark innovation in the QSR industry in UK. Thus introduction of new product- a food drink will further enhance its reputation, drive market as a benefit of having pioneered the introduction of local cuisines in the QSR industry
History and Background of the Company: Yo-Sushi
Yo Sushi is an International Food chain restaurant founded in 1997 with first outlet opened in Soho, London, United Kingdom (Yo, 2017). It now has over a hundred outlets in UK, US, Australia, Norway, Dubia amongst other destinations (Millington, 2014). You Sushi menu is all about health and freshness thus it serve basically flavoursome authentic Japanese street food and sushi. This include traditional classic menu like Furikake fries, Takoyaki, Yasai roll and Mango Ice-cream Mochi to fusion of dishes like Cod Nanbanzuke designed by the team (Yo, 2017).
Yo Sushi is UK’s leading Japanese QSR group and an iconic brand with a market valuation of £81million (Fast Casual, 2017).
Yo Sushi attend over 7 million customers annually through it 80 UK restaurants and 20 international outlets with 12 of them based in the middle-east and some renowned international airport (Wingett, 2015).
Yo sushi recently acquired a North America Sushi giant, Bento in order to explore new dishes, venues and idea to grow it global brand in the competitive Quick Service Restaurant (QSR) business (Millington, 2014; Fast Casual, 2017)
Analysis of the Business Environment of the Company-Yo-Sushi
Analysis of the business environment will give a depth and insight about how different stakeholders affect business. To develop an effective strategy to properly position a new product in market especially during entry into a market, it is essential to consider the strength of the product, its weaknesses, threats as well as opportunities and development prospect (Burlaka et al, 2016). This is to determine if customer interest in the product is high. When it comes to food, what cuisines the customer likes and how to improve on the customer preferences. According to Helms and Nixon (2010) it is often good to determine weakness, and threats and see how such can be improved and converted to opportunities. The use of SWOT analysis allow presentation of all available information in a clear picture, thus allowing for easy assessment and then decision on product promotion can be made
SWOT Analysis of Sweet Sensation
Yo-Sushi is one of the biggest Asian fast food restaurants in the world (Wong, 2017). It is a very strong brand in UK with about 74 outlets and about twenty outlets in United States of America (US), United Arab Emirate (UAE), Australia and Europe (Fast Casual, 2017). It international presence is also well promoted as most in international shopping complexes and airports in Dubia, Sydney and Paris, thus giving it an opportunity for international exposure and awareness (Witts, 2017). Yo-Sushi has a wide customer niche in different socio-economic strata of the society, middle-class working class, the top executives, families with appetite for healthy living and food, vegetarian amongst others, thus offering a broad spectrum of menu at different price point (Wingett, 2015). It is known as a customer centric organization providing customer centric product by introducing Japanese and Asian dishes, creating different brand signature to attend to different customer niche. At the heart of all its products and brand is the focus on customer experience for both product and the atmosphere (Yo, 2017; Wong, 2017).
Asian cuisines are regarded as highly healthy, especially Chinese, Korean and Japanese cuisines which have been found to contribute to strong bones, enduring internal organs and longevity. Thus the introduction of another new line of Japanese cuisine will further strengthen market options and position of Yo Sushi (Wong, 2017). Africans and Asian population is high in UK, which is a good market opportunity. British, European and North American around the world are embracing Asian cuisines
The serving of majorly Japanese cuisine in UK and international market, a declining market because of change in generation menu preference has led to drop in market shares (Terazano, 2016). This is because the younger generation is more attuned to Western culture of steak and burger. Intense competition has made it to always look for a way of capturing new market or creating niche. The creation of new product (recipe) to stimulate new demand thus creating another market niche. Also the QSR in UK has a low entry barrier and according to Okeke (2016), many local food vendors and upgrading to fast food restaurant. Thus the profit margin is very low as price sensitive customers have different options to choose from
Opportunities for Growth
There is the large market due to the growing population and the largest category of population being the young working class (Fast Casual, 2017). The youth and middle age population in UK is about 82% of the whole population (65 million), and expected to grow steadily in the next twelve years as the population of UK reaches 76 million (ONS, 2017). The low entry barrier is also an opportunity to capture youth who are eager for new product or cuisine. The introduction of Japanese and Asian cuisine has seen Yo-Sushi capture a major market niche for both the middle working class and rich people (Wong, 2017). The introduction of another cuisine will reinforce its position as market leader in the local cuisine. There is the opportunity for growth in this market sector especially as mobile food vending can help complement existing retailing outlet (Okeke, 2016). There are also opportunities in international market as Asian food and cuisine are becoming standard menu in most QSR in North and South America (Fast Casual, 2017; Wong, 2017)
The QSR in which Yo-Sushi operates is highly competitive in term of prices, menu variety, service delivery, convenience and product quality (Appendix 1: Terazona, 2016). Yo-Sushi also competes with local, informal eating out markets, street stalls and kiosk, juice and smoothie bar of local, national and international brand. The local food outlets include Stick and Sushi, Wasabi, Moshi Moshi (Wong, 2017). It is becoming hard to even differentiate its local menu from that of Woshi Woshi and other Japanese or Asian food courts (Millington, 2014). It is also in competition with other national cuisines like the Indian, Italian, and Chinese amongst others in the UK and international market (Millington, 2014). Yo sushi International outlets compete with strong brands like McDonalds, Burger King, Nandoes, Kenturcky Frid Chicken (KFC) and Sunway amongst others (Taylor, 2017). In recent times price of fish has made consumers of fish opt for steak and burger outlets like McDonalds. New Generation Japanese and Asian prefer steak and burger (Terazono, 2016)
Based on the analysis of the strength and weaknesses, the following strategic decisions are offered. It becomes necessary to expand the market through creation of a new option by combing the customers that were underserved (Ayub et al, 2013). One was to do this was to change the essence of product positioning. To change the services of QSR ‘sit to eat’ to ‘have on the go’ services. Also the creation of new product will stimulate the market once again
WO-Strategic decision; people will learn more about the new option of service because of the outdoor exposure-at sales out, thus customers do not see the need to learn more about product
ST – strategic decisions. It has already been discussed that customers are price sensitive in recent times especially in the fast-food sector, which is largely caused by waning purchasing power. Thus it is a price flexibility strategy is crucial in this competitive market.
WT- strategic decision: The customers should notice Yo-Nu drink before eventual purchase. It will be good if the product is properly package and properly displayed so that it will be noticed easily and message about nutritional content well conveyed. Conducting a tasting could also help a food- drink penetration and popularity (Ayub et al, 2013)
PESTLE Analysis Sweet Sensations External Environment
The creation of a quality product that is marketable should be preceded with a market research that exposes customer motivation and preferences (Burlaka et al, 2016). It is imperative to study and conduct market analysis and to also study different arrays of structures. The implementation of derived measure will help develop product that will be competitive in the market. Thus consumer properties and economic indices will satisfy certain customer criteria or segment without yielding to similar competitive product (Ho, 2014). One key factor for competitiveness and sustainability of an organization is properly formulating strategy. This will strengthen market position and also contribute to effective promotion of new product in the market (Ho, 2014)
Thus Pestle analysis was used as an instrument to identify the political, economic, social, technological, legal and environmental factor affecting the company-Yo Sushi
Policies such as taxation, import and export, foreign investments, economic wealth which affect purchasing power are all function of government and its agenda (Terazono, 2016). There was stagnant demand for seafood in 2015 globally because strong dollar as against the weak economy of emerging markets. There was 10% decline in the global fish market (Terazono, 2016). Coupled with this was ban Russian Salmon market affected the availability of fish. Also recession in South America countries and slow growth in China led to a weakened demand in global market (Min and Min, 2011). However consumption in developed market like UK and US was mixed (Witts, 2017). Yo Sushi recorded annual growth throughout the financial crisis of 2008 with a compound annual growth rate of 14% since 2008 and 7% growth in sales in UK (Wingett, 2015).
The political policies often trickle down or affect existing social order. Indices such as standard of living, purchasing power, preferences in term of what product customers desired are shaped (Ho, 2014). However cultural heritage also play a crucial part; as people preferences are affect by their belief system (Routledge, 2003), yet in recent times, culture seems to be converging because of globalization of different form (Telo, 2016). The menu served by International QSR like McDonalds are steaks, burger, Ice-cream which are internationally known (Taylor, 2017). The influx of multinationals QSR in major cities of UK, Europe and around the globe witnessed the introduction of foreign menu into local cuisines, showing the embrace of foreign culture within the locals, an evidence of the influence of globalization (Martínez, 2007). The introduction of Japanese cuisines by Yo-Sushi was well embrace as people saw the need to associate with their different local cuisine. The food industry has shown local responsiveness and global convergence at the same time.
Information and computer technology are gaining grounds by the days, with automation, advanced technology making it possible for organization to achieve different objectives such as cost reduction, process simplification and connecting to people at the speed of light (Kotler and Armstrong, 2015). All known QSR, Yo-Sushi inclusive has functional website which help to connect customers easily, while most now operate food delivery system and most order are placed online (Wong, 2017). The information technology through social media engagement has also promoted visibility of many organizations Jada et al (2016). However Martínez, (2007) is of the belief that small business owners have leveraged more on social media and information system than the big players.
Present Market Position of QSR Products and Services
Porters Five Force Analysis of the QSR in UK
The analysis of a market or an industry using the Porter five forces make it possible to gain complete picture of what influences profitability in the industry (). It becomes possible and easy to identify game changing trend and exploit them. This will empower organisations or marketers to identify spot and work around constraint to attain profitability. The porter’s five forces analysis is a market dissecting tool, especially the internal market of competitors, suppliers, new market entrants and substitute products (Appendix 2)
Strategic positioning is a new market position to woo customers from established position or draw new customers into the market. This is the case when a superstore offers depth of merchandise in a single product category
Buyer and customer bargaining power is one of the factors that significantly affect the market environment. In the fast-food sector customers are not congregated to drive bargain but the plethora of options make price war and strategy a necessity for QSR (Crook and Combs, 2007). According to Porter (2008) savvy customers can force price down by playing competitors against each other. Established rivals compete intensively in the aviation sector based on price, thus making the sector very marginal in term of profit. In such industry where customer loyalty is fickle, firms need to wage price war (Porter, 2008). The fast-food sector is very price sensitive. According to Omeh (2018) fast-food are desirable in part for it low price and customers are majorly price sensitive. However Hammond (2018) is of the view that price is a primary indicator of value. Thus pricing penetration could be good for some good but does not necessarily make organization profitable. There is the need for product innovation that will be hard to copy or product bundling which will make it hard to devalue a singular product.
New entrant armed with new capacity and hunger for market share can ramp up investment to compete and stay in the game (Porter, 2008). Low switching cost in the QSR indicates that it is easy for customers to transfer from Yo-Sushi to other competitors (Maumbe, 2012). New entrant face moderate cost disadvantage due moderate cost of starting (). Also because people tend to easily embrace new culture, new food because of unique taste, people easily switch in food (Wong, 2017). According to Porter (2008) new need emerge as people evolve, thus a new customer group. Microsoft provided new market options by providing internet browser. Price is often the strategy of incumbent to deter new entrant. Starbucks for example in aggressively modernize stores and menu along its low price offer. In a very competitive market with serious pricing war, one key strategy is to increase production option so customers wont be able to leave
Powerful suppliers often capture more value for themselves by charging higher prices limiting quality or shifting cost to participating industry (Porter, 2008). For example Microsoft when it had market monopoly eroded profitability in personal computer market by raising the price of operating system. In the food value chain there are many suppliers and this large population of suppliers weakens effect of individuals suppliers on big fast food vendors like McDonald (Min and Min, 2011). Yo-Sushi though a big player but not as powerful as McDonald has access to large population of suppliers. However Fast Casual (2017) is of the view that the cuisine choice which is of Asian origin has streamline suppliers. However lack of core competence reduces their balance of power on Yo-Sushi. According to Görg and Kersting (2017) when suppliers are not vertically integrated or with core specialization their effect is minimal to the industry they service.
Rivalry and Competition
Five forces configuration differ by industry (Dobbs, 2014). In the aviation sector where Airbus and Boeing are the major aircraft manufacturer, the bargaining power of airline is strong but with little problem of substitute, whereas in the music industry power of supplier, distributor and substitute is great (Porter, 2008). Incumbency advantage is often in term of cost and quality not available to rivals (Porter, 2008; Pringle and Huisman, 2011). This could be from geographical location, propriety technology and access to raw materials amongst other thing (Porter, 2008). Competition is very intense in the QSR in UK as there are many well-known and house hold know brand such as Wasabi, Moshi Moshi (Burn-Callander, 2016). Yo-Sush operates in a highly competitive space, with thousands of rival fast food brands contesting for space and recognition on the high street. The QSR sector is saturated with firms of different sizes (Min and Min, 2011) Competitors duplicating the Japanese cuisine sit to dine restaurant also pose its own problem (Wong, 2017). Local food vendors sprawling every offices and neighborhood are more of mobile food vendors. International and local competitors are Marks and Spencer, Sainsbury, McDonalds (Fast Casual, 2017). Though most of these QSR and supermarkets are not regarded as direct threat but they still have large share of out-door food eating customers (Wong, 2017)
Appendix 2: Porter Five Market Forces of the QSR sector
High Competition: local, national and international QSR
Source: Porter 2008
Market Segmentation and Targeting for Yo-nu
Segmentation is viewed as a go-for-the broke attempt to provide a comprehensive portrait of customer to inform subsequent market decisions but segmentation should be a constant action or research for critical business questions as they arise (Burn-Callander, 2016)
Meaningful segmentation is hinged on finding pattern in customer buying behavior taking into consideration what benefits and features matters to targeted customers and also which price suits different customer (Kotler and Armstrong, 2015). There is the need to also understand the social, economic and technological trend that might alter purchasing and pattern of usage. Also there is the need to explore underlying motives of purchase and understanding of strength and vulnerability (Yankelovich and Meer, 2006; Keller and Kotler, 2016). Such information will help to properly reflect on company strategy, identify where revenue and profit sources will be, indicate customer values and attitudes as they related specifically to product or offering. It also helps accommodate or anticipate change in consumer or market behavior.
However market segmentation has become narrowly focused on advertisement need; populating commercials with contents that viewers can identify with different and sometimes conflicting information (Dobbs, 2014). Segmentation has been disappointing in many companies launching them. The first issue is consumer identity which distract which distract for product features that matter most to potential and current customers, brands and categories and the other is undue absorption with technical details (Burlaka et al, 2016). When organisation are able to overcome these they much more responsive to market change, develop insight on where and how to compete (Yankelovich, and Meer, 2006). Traditional market segmentation criteria demography such as age, gender, education and income are no longer enough to serve marketing strategy. Factors which are non-demographic such as value, taste and preferences are more likely to influence customer purchase in recent times (Burlaka et al, 2016).The psychographics of values might capture some truth about people’s lifestyle and aspiration but might be weak at predicting what product category people will purchase, Thus poor at empowering decision makers on how to keep customers or gain new ones (Chavadi and Kokatnur, 2009). Campaign based on psychographics are good at moving people emotionally they do not constitute commercial success (). However they help to positively shape customer perception of a product or offering (Chavadi and Kokatnur, 2009).
Good segmentation help identify group worth pursuing-especially the underserved, or those whose situation has changed or dissatisfied customers (Mathe-Soulek et al, 2016). For example Market segments of young families in banks shows high variation in profitability, even though this is regarded as high-profit segment (Mathe-Soulek et al, 2016). This is one of the key reason why banks are more into relationship banking, with many customers segments like established families-the middle families, the retirement planners assigned relationship manager to properly treat each segment based on priority and their expectations (Porter, 2008)
Segmentation becomes increasingly necessary in the face of increased customer sophistication, affluences, price sensitivity (Porter, 2008). This is because taste and purchasing pattern do not align with just age, income level. This was the characteristic of customers’ post-industrial revolution when demographic segmentation lost ability to guide company’s decision on product introduction and innovation (Chavadi and Kokatnur, 2009). Thus the shift from product centered strategy to customer focused marketing strategy (Keller and Kotler, 2016).
The QSR market of UK is quite fragmented amongst different class of people in term of demography, taste, style and culture with most concentrated in few major UK cities (Witts, 2017). Offering by the different food vendors vary widely and each attend to different categories of customers (Witts, 2017). There are branded local food franchises that attend to low income earners and the middle class, while there the unbranded that attend to both markets as well. There also the international food franchise that attract the middle class and low income earners (Taylor, 2017; Wong, 2017).
The UK Sushi and Noddle bar market have grown significantly since 1990. The market niche has always been the age group has always been between age 18-44, with major customers within the working class (). Thus the Yo-Nu can be positioned to appeal to working class middle class because these are the people that eat out most in local QSR franchise (Yankelovich, and Meer, 2006). However in the Northern part of Japan, where it originates, local food outlets service the rich in the society. When served in a hygienic environment, it has received patronage from different range of people; the low income earners, the middle class and the high earners. However pricing system, packaging and grading system can be introduced to be able to effectively capture each customer segment effectively (Ottar Olsen et al, 2009). This is because according to Mathe-Soulek et al (2016) to be considered valid, segmentation must identify groups that matter to an organisation’s financial performance. Thus organisations can rank customers according to profitability. To grow revenue a firm needs to understand what makes it best customers profitable and seek customers with similar characteristics. Long term profitability or sustainability will then be ability to retain those class of customers for a long time and possibly for a life-time
This actually more telling in Urban areas like London, Manchester, Birmingham, Bristol, Cardiff and other big cities where the working class have many issues to contend with. so
These days food delivery have taking over the market place, with many eateries spaces empty during the day. The gap in delivery is that customers usually have some waiting time to get their food delivered which is a problem on its own. The waiting time could be cumbersome that most receive their food with no appetite to eat after long waiting period. Also most times freshness is lost as foods are delivered to multiple customers thus those who received their food last do not experience the freshness of the food as it ought to be. Also special delicacies of Asian food like are better served fresh; the food stale within few minutes of packaging making it impossible for known eateries to really serve customers thus many rely on local food vendors for this cuisine. Thus the introduction of a mobile court which provide ready to serve and eat food will help serve a customer niche that has not been well served, especially many of this urban middle class that need the quality assurance associated with big brands
Yo-Sushi has landed a new market segment with the introduction of product line for children. This it has done in conjunction with strong brand that attract children, Disney Land. Yo Sushi Partnership with Disney to promote healthy family living and anti-obesity has made it children food launch a success, thus the introduction of healthy fruit drink, tasty but low in fat and cholesterol content will further push it brand to parents and especially children who are the next generation customers. The Fruit drink would be used to target a new market segment that Yo Sushi called the new generation Yo Customer. The target niche the children of school age that prefer something creamy to have along with their food. However health conscious parents find ice-cream and other creamy food unhealthy. The unique fruit drink is enticing to children because of taste and appeal to sight while the parents who are concerned about health find the nutritional value appealing. This drink will also strengthen the position of healthy kids menu of six bento boxes launched in the UK in 2014 (). The six bento boxes menu which as inspired by the animated film Big Hero 6 set movie “San Fransokyo” a fictional movie and has a strong Japanese influence and has been able to help capture a significant market number (Millington, 2014). Since launch of Six Bento boxes in 2014 it is now the second selling menu only trailing breakfast offering at airports. This new product will further strengthen its position in the market and further reach out to customers unattended to or underserved by the initial menu
Attracting the next generation is the way to keep a business sustainable as this has been found to be key issues in sustainability. This is because most customers like ………..once served a customer niche that at a point started growing old. At the peak of market, the profit was good, but as the customers grew older, repeat purchase began to decline
Marketing Mix: Product, Price, Place and Promotion
Positioning a new product or service in the market requires different mix of strategy. The different strategy typologies have different resource and capacity requirement need to successfully target different market (Burlaka et al, 2014). The resultant implication of intersecting strategy and selecting target market is that such business must develop contradictory resources and capacity to attract and attend to different customer segment (Porter, 1996). Porter however advocated two approaches to positioning in the market; need based positioning and access-based position. The need based positioning is based of varying customer preferences like price and quality (Porter, 2008). For example some customers are very price sensitive thus need more information and services about product. Another basis for positioning is because different customers can be accessed in different ways. Although needs are similar yet mean of reaching customers like geography, demography or scale can be different, thus requiring different set of activities and platforms to reach different customers niche (Porter, 2008).
A key apparatus deployed in demand or management of revenue marketing strategies is the use of pricing strategy hinged on projected demand to enrich customer utility and maximize organizational performance. In fast food or restaurant segment especially the QSR, the focus of organization is two promotional format in attracting customer; price-based and new product promotion or strategy (Mathe-Soulek et al, 2016)
QSR are reputed for limited menu, quality service and affordable prices. The value perception of food, price, variety of menu and special promotion to attract customers are important QSR attributes. Thus price based promotion and new product promotions are logical to manage fluctuating demand, create value and respond competition for a new product like Yo-Nu. However according to Wilson (2013) price based strategy is very appealing to QSR because little investment in product development. Market leaders often have difficulty diverting resource from successful product which addresses existing customer needs to developing disruptive innovation that offers benefits to emerging market (Slater and Mohr 2006).
The pricing strategy common in QSR is in three parts; the everyday value pricing, bundling of a number of easy to remember food, where total cost of meal is less than total cost of food item (Mathe-Soulek et al, 2016). The third being special value offering where there are reduced price for a limited time (Mathe-Soulek et al, 2016). However everyday price value seems the most deployed. This creates parity in market with pricing as strategy no longer attractive. Most times actual sales does not increase; low revenue. However some menu components with low customer patronage received more patronage especially for the bundled offer. However Wilson (2013) is of the opinion that discount often raises concern about quality. Price-based promotion in other sectors can signal low demand because pricing as strategy do not leave good impression on customers. It negative connotation drive negative performance to customers and shareholders alike (Mathe-Soulek et al, 2016)
Price based strategy has positive impact on sales, improved quality perception and drive profitability. Price based promotion are crucial to sales in QSR because they are inseparable and because of perishability. In QSR, total revenue is a function of traffic and cheque average. Promotions generate demand but do not have long term impact on sales (Mathe-Soulek et al, 2016).
Also it is possible to promote new item as a form of advertisement or showcase a specific brand feature in order to create a distinct product profile in the mind of consumers (Min and Min, 2011). For example McDonald offers big Mac for $0.55 if medium fries and drink was bought (Min and Min, 2011). This might lead to drop in revenue but it often draws attention to a brand. This is a long-term strategy that is often hinged on factors such as quality, speed of service and quality of service.
In the case of Yo-Nu, pricing strategy will work in this case as most customers that sit to eat and those who buy to take away pay the same amount. Those who order for delivery even have to pay extra but when food can be served on the go, the customers can be rewarded by paying less for not sitting to eat or not incurring cost of delivery. Also the different pricing strategy can be adopted. The everyday pricing will help make the Yo-Nu stand out as a product to buy, while product bundling might also be considered especially in the first few days of launch. However straddling between strategies might be harmful in term quality perception. The introduction of a product is often to get brand awareness and right market penetration thus revenue concern which is main criticism of product bundling might be ignored at the initial stage. This is because known product which have been the main stay of the market are being used to promote the new product. There should be more concern on the quality of existing products, especially the products that have been of high revenue or high premium. Thus product bundling will better consider product that can’t be harm by the product bundling
Accessed based strategy recommends deploying different platforms to reach different customers (Porter, 2008). Mobile technology, social media and digital platforms have combined to revolutionize how customers shop and interact, thus calling for new ways to market; win new customers and keep existing customers satisfied (Mathe-Soulek et al, 2016) . The use of different platforms such as website, blog, videos, social media have become more dominate the market place against the traditional pumping of message on TV commercial. Messages are more interactive than before
The QSR market in which Yo sushi serves attend to different class of customers, the young working class, the middle age, and also families with children (Witts, 2017). These customer segments are open to social media, mobile applications and are there by open to options (Park, 2004). Internet has been crucial to the success of food courts and most recently Sushi and noodle bars in the UK (Wong, 2017).The expansion of sushi and noodle marhet shows a corresponding rise in sushi related Google search. It ranked in the 8th most searched item in London. Thus this shows that Sushi bars are very popular with the young working class who are the main stay of social media like blogs, Facebook amongst others. Thus opportunites present itself to acquire more customers in these segment.
Also brand loyalty can be encouraged by permitting user generated content and the development of compelling commercials, contents and materials such as podcast and video for different social platforms.
Most of them have physical contact with good service in their travels to different countries, while those who have not travelled much or have not travelled at all have access to product review by peers, thus the need to determine how to best serve this customer niche (Parke, 2004). Social media awareness will also be provided to drive product awareness, promote image and also help market penetration. Different social media spots on Facebook, twitter, instangram can be used to inspire interest, promote the healthy nature of the food (Qin and Prybutok, 2009). Thus the name and catchy phrase for easy identification needed to be created for the product. This is because the class of customer within these demographic group; those within the age of 18-45, female and male, like something trendy, something that speak well of their image and something to associate with (Parke, 2004). Also such value proposition will help differentiate the brand from those of other brand (Parke, 2004).
The Yo-nu will push for promotions through TV, digital platforms, public relations, social medial and in-store campaign in all the 100 stores. It will also leverage on the co-brand platform it has with Disney run teasers on social media and online platform to effectively captivate the children. These are promotion platforms that will help capture different people. The TV platform is still a good platform to reach the primary client-the children. While other platforms like social media, public relations and digital platform will help strengthen an already existing brand while providing the right launch pad for a new product. It will be good to also use other outlets that are not considered for immediate success. Those outlets such as print media, Television and radio commercial help create large market and brand awareness.
Website which has the function of providing information about the restaurant such as location pages, contact, product and price details amongst others. The website could now carry a special feature for Yo-nu so that it can become visible and attractive. The product information on website will customers get closer to the heart of business by having their say, engage with each other directly and enable them order products at their convenience. Email marketing can be used to drive awareness especially provide Yo-nu information; product information and nutritional value which are very key to attracting customers. Soliciting for customer feedback and engagement through different relevant online channels is also a right way to connect to the young and children customers
By a combination of strategic focus and differentiation, Yo-Nu can really harvest the e-commerce sector as many prefer home delivers, while also help to spread the new and information about product. This is because word of mouth, social media comments and information spread fast through this class of customers
Yo-Nu, a local drink from the northern part of Japan which has gained acceptability amongst different ethnic group in the country due it nutritional value, the ease of production and low fat content. However there has been a problem of standard and food safety because most of those in the production of the drink are local with not standardized procedures. The Yo-nu is a blend of fresh cow milk with processed millet. It fulfill nutritional requirements that most young working class people and young families desire
The purpose of creating another product that fulfills certain customer need is to create brand experience in the heart of customers. According to Kotler and Armstrong (2015) by orchestrating several services and product, organisations and marketers can create brand experience for customers
In the QSR sector the premises for creating new product is to see innovation from customers’ perspective and to be differentiated for competitors. ). Menu innovation remains one of the best ways a brand can stay fresh in consumers’ minds, and quick serves are taking product development to another level by partnering with other food brands to create new menu items (Wilson, 2013). New product promotion creates customer curiosity because of the opportunity to choose innovative and new product could be enticing and the possibility of premium experience.
The downside is that new product introduction is commonplace in QSR, with customers facing challenge of selecting restaurant and making choices. Also new product introduction often have a short-lived positive effect on revenue and profit, though it normally increase stock return (Mathe-Soulek et al, 2016) In 2012, there were 118 new products by QRS chain in US. Products are easily copied in the industry, there is the need to create valuable, rare, and hard to imitate or substitute for product to be successful. This is however difficult as restaurants work with similar stock keeping thus creating low differentiation. In US Burger King and Wendy sell burger with lettuce and tomato filling. These similar products call for continuous introduction of new product to gain customer attention and to stand out.
The visual design of new product creates some affective response to product appearance. Customers might not necessarily be able to identify all features of new product but it can be a point of differentiation when attention is created through the packaging
Yo-Sushi can leverage on the fact that it brand is well known for introducing local cuisines to the staples of fast-food industry. It has the reputation for setting industry standard on the production and serving of local food.
When presenting a new product to the market especially in the fast-food chain, efficient operations that will deliver the food and the experiences crucial. The price sensitive nature of the business environment necessitate that uses an operations system that is cost effect. Central to this research Is understanding the Food drink market and offering what is competitive yet unique experience to customers. Menu needs to be creative; especially attend to customer health needs. It should be spicy enough to attract customers, attractive enough to elicit certain desires that make the product unique
Organisations must keeping moving forward with it marketing initiatives, product innovation and services in order to stay on touch with customers need. According to () it is the way to seek new advantage rather than relying on past strength.
Marketing activities and strategy were spread on different platforms like social media, direct messaging, traditional marketing platforms and tools. There should be immediate target on what works and long term investment on what keeps the brand and product visible and loud. However each of the platforms should deliver a consistent brand message on every contact.
Companies can also shape offers, services and messages to customers based on past transactions, psychographic and platform preferred. By concentrating on most profitable customers, products and channels, Yo-Sushi can attain a profitable growth, capture a large share of customer spending on fast foods
The introduction of new product to capture the young and the old will ensure present market penetration as well as guarantee life-time customer. Platform of reaching the customers when integrated reinforce and complement one another. In the case of Yo-Nu consideration was given to trade-off between having many channels, which overload information and does not complement and having few that limits market opportunites.
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