Reasons for FPD
Trends that cause markets to develop and grow.
(Helps the manufacturer understand the causes of market change and identify new opportunities)
What are market drivers?
- Line extension
- Me-too's
- New to the World
What are the three types of FPD?
External + Internal
What are two types of factors affecting FPD...
product definition, product implementation, product introduction
The three phases of FPD are...
product, price, place, promotion
the 4 P's of marketing are...
- health
- food safety
- dietary considerations
- allergies and sensitivities
- Ethical concerns
- environment
- corporate responsibilities
What are examples of market concerns?
Marketer attempts to improve its current position in the market by either improving or upgrading existing products or by adding new products in the same category by changing recipe formula, or packaging.
A line extension is...
- political environment
- economic environment
- technological environment
- Ecological environment
What do external factors include?
a scaffold to help generate and explore ideas, and a point of reference for ongoing reflection and evaluation.
A design brief is...
- extended/augmented
- physical product
- core product
the levels of a product are...
- Consumers who are generally concerned with health will be more likely to read and examine food labels
- Many consumers will be open to buying premium prices for healthier foods.
- Many companies will think this improves their company image, as a result, food manufacturers will continue to produce healthier foods.
How does health impact the FPD
gives consumers greater choice and create competition in the marketplace.
A benefit of Me-too products is...
federal, state, local
The three levels of legislation and regulations that involve food manufacturers include...
allows a business to extend their knowledge, gain clear visualisation and make improvements in their new food products.
the role of a prototype of FPD...
- introduction
- growth
- maturity
- decline
the stages of the product life cycle are...
- To maintain and promote general good health
- To prevent harmful effects of bacteria, parasites, viruses and chemical compounds.
What is the reason for food safety?
- small proportion of current foods on the market
- costly
- time consuming
- risky process- due to fear of failure in the market
Potential negative outcomes for new to the world products are...
Expertise, facilities, financial positions, image
The internal factors that impact on food are...
coordinating the supply chain and rolling out marketing plans.
commercialisation involves...
- competitors
- promotion
- consumer demand
- flexibility
- forecast volume
- product cost and profitability
the key elements of pricing are...
Consumers will be less likely to buy food that costs more, making it difficult for food companies to profit.
What is a possible negative outcome for food companies due to rising food prices (inflation)?
home brands in disguise, these are priced slightly higher than the supermarket's own brand, but less than branded items.
Phantom Brands are..
A process by which food manufacturers analyse and determine the suitability of a potential product and determining success probability
What is a SWOT analysis?
- Qualitative research: gains consumers' opinions, thoughts and motivations. Often involving open-ended questions.
- Quantitative research: provides comparable data and statistics to generally gain information from consumers. And gauge the demand for their products.
The two types of research involved in market research are...
- advertising
- public relations
- sales promotion
- personal selling
- direct marketing
- digital marketing
The mix of elements required for a successful promotional program.