Kayem Foods Case

1116 WordsApr 21, 20125 Pages
Problem Statement: Within Kayem Foods, Matt Monkiewicz the director of marketing is facing a critical decision that could have a big affect on sales and market share. Al Fresco chicken sausage is one of their products that has recently gained majority market share in its category. The budget for which is dedicated towards the marketing of Al Fresco has been doubled due to the growth of the brand. What Matt needs to do is decide whether to pay for another buzz marketing campaign or to use more traditional marketing strategies suggested. Matt believes the original buzz marketing campaign had a significant part in building the brand to the market leader but no definite evidence of this being true. He must review the costs of each strategy…show more content…
This would allow them to increase brand awareness and introduce the product to consumers that previously had not heard of Al Fresco chicken sausage. This strategy would not reach the millions of people an ad in a magazine would but the quality of the way consumers would hear of Al Fresco would be much stronger of an impression and more convincing. Threats: A big thing that Al Fresco would like is more distribution outlets and more shelf space. If they go with the buzz marketing campaign which Matt wants to they will not get more based on this campaign because the supermarkets don’t see it increasing sales like a traditional campaign would. It goes back to the lack of evidence on the actual influences of the original increase in sales. Another threat they face is the bigger budgets of competitors, and threat of them regaining market share with a more strategic marketing plan. If Al Fresco makes the wrong decision on how to spend the new budget they could be facing decreased sales and a potential new market share leader after this year. Recommendation and Implementation: With the current marketing budget of $185,000 for Al Fresco, I believe it should be used for the second buzz marketing campaign as well as a price-oriented promotion. The cost of this promotion would total roughly $177,000 with $90,000 for the price-off coupons and

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