Marketing Plan Essay

Submitted By Trichelle06
Words: 1490
Pages: 6

“5’s Cupcakes”

Kimberly Grissom
MKTG 522
Professor Mary Duboise
March 16, 2014

1.0 Executive Summary
5’s Cupcakes will be the leading provider of egg-free cupcakes to the Shreveport-Bossier City area in Louisiana. It is owned by Jazmine Sims, a young stay-at-home mother. Having a young son, BJ, allergic to dairy products, Jazmine Sims has educated herself extensively on what can and cannot be provided to persons with dairy allergies. BJ, also known as 5 to family and friends, loves cupcakes and cakes. In order to be able to see her son enjoy what he loves, Jazmine began experimenting and has perfected her egg-free cupcakes.
In order to serve the community best, 5’s Cupcakes will be located in Shreveport, LA.
2.0 Situation Analysis
5’s Cupcakes is in its first year of operation in the Shreveport, LA area. With not that many businesses offering dairy-free cupcakes, 5’s Cupcakes is able to meet an unmet need. The egg-free cupcakes are made without eggs and soy milk substituted for regular milk. With the cupcakes tasting like ordinary cupcakes, everyone is able to enjoy them.
2.1 Market Summary
According to CNBC, “Growth within the cake decoration stores industry is expected to slow to 3.7 percent annually over the next five years” (http://www.cnbc.com/id/46752522). Initially, the percent of growth was expected to be 4.9 percent. Due to there being a low barrier to entry, the market has become extremely saturated with individual bakeries, chains, and grocery stores (http://online.wsj.com/news/articles/SB10001424127887324345804578425291917117814).
1. Strengths
Handcrafted cupcakes per order
A wide variety flavors available
Some early recognition in the community
2. Weaknesses
No recognition outside of the immediate community
Mass production not available as of yet
One-person operation
3. Opportunities
The number of people who have a food allergy continues to grow http://www.foodallergy.org/facts-and-stats Very small amount of businesses make or carry dairy-free cupcakes in the immediate community
4. Threats
Most kids and young adults grow out of food allergies http://www.foodallergy.org/facts-and-stats The cupcake market is overly saturated http://www.cnbc.com/id/46752522 2.3 Competition
In the Shreveport-Bossier City, LA area, there is only one other company that creates eggless cupcakes. Lilah’s Bakery on the Louisiana Boardwalk in Bossier City, LA offers a wide variety of cupcakes and has been in business since 2006. However, they only offer they’re eggless cupcakes in the basic vanilla and chocolate flavors. In terms of distribution, Lilah’s does offer delivery with a one dozen minimum order and a $10 delivery fee, and has a food truck available to the public on certain days (http://www.lilahsdeli.com).
2.4 Product Offering
5’s Cupcakes:
Allow persons allergic to dairy products the opportunity to enjoy the dessert
Allow persons to order specialized cupcakes
2.5 Keys to Success
1. Support of the community
2. Positive perception of dairy-free cupcakes
3. Continual growth of orders placed
2.6 Critical Issues
In order to make sure customers receive their cupcakes in a timely manner after they are baked, two options will be provided:
1. He/She may come pick the cupcakes up personally if he/she is local.
2. He/She may choose to have the cupcakes delivered via FedEx.
3.0 Marketing Strategy
In order to gain attention and raise awareness for the egg-free cupcakes provided by 5’s Cupcakes, a website along with advertising on social media sites (Facebook, Instagram, and Twitter), flyers, and brochures will be used. Websites can be very informational and easy to use. They are also available 24/7 for customers to use. Social media sites are free to use and according to Jay Baer, 56% of Americans have a profile on a social media site (http://www.convinceandconvert.com/social-media-research/11-shocking-new-social-media-statistics-in-america). With this many Americans having a profile on a social media site,…