MarketingProfs' Members Register for B2B Forum 2010 for just $695! (good until 11/30) »

Strategy     
 
This question has been closed, and points have been awarded.
Launching New Gourmet CakesPremium Member
Posted By: W.M.M.A. on 1/7/2007 9:01 PM (CST) 2500 Points
My Dear Colleagues:
I have recently acquired a new client opportunity in the "baked goods" category.

This is a straight-forward, entrepreneurial enterprise. My clients have decided to take family recipes for liquor-laced, fresh, fruit and confection cakes, and put them into the marketplace.

Within their workplace, they have grown a holiday client base of over 300, in the last two years...(respectable). The demand is increasing, and they are getting a lot of encouragement to make this a business.

Reviews are fantastic. I have tasted several of their selections, and...in all honesty, believe they are among the very finest liquor (rum)-flavored cakes I have ever tasted. The alcohol content is not high, and a very small part of the over-all flavor...but noticeable, which is nice.

I will not divulge the flavors, which isn't the major issue at this point. But, I would definitely like to hear from you as to what you believe are the directions you would take, if you had this project.

This is a ground-up project, from naming of corporation, business plan, marketing strategy, product(s) manufacturing, distribution, labeling, packaging..and....you tell me.

We have decades of business-launch experience, as do many of you...but, have yet to launch bakery goods.

Help us out...what would you do? Any and all suggestions and guidance accepted...I'm looking for "BIG ideas" and concepts and am willing to pay BIG points for them.

Randall
WMMA



Posted by: charles.stannard Member Response
1/7/2007 9:27 PM (CST)
Congrats - sounds exciting...

First question - are there distribution implications due to the liquor content? Would a major grocery chain (i.e. Safeway, Jewel, etc) distribute a cake with liquor? Are there necessary considerations due to the liquor content?

Putting my thinking cap on....

Chuck
 

Posted by: whoateallthepie1 Member Response
1/7/2007 9:52 PM (CST)
This could go over very well, especially with the Starbuck's crowd who is always looking for something unique. Push for the sophisticated crowd and not the fratboy "oh my god there is rum in this cake!" crowd. Again, do everything as if Starbucks was doing it, this formula is very tried and true at this point. If those people have enough money to spend $5 on a coffee everyday, they will certainly be willing to pay top dollars for a gourmet cake. The selling point should be the quality of flavor.




 

Posted by: rp Member Response
1/7/2007 11:35 PM (CST)
Just brainstorming here... Hope it helps you...

Cake makes me think of togetherness. Sharing. Special moments. Yeah I know photography also uses this. But they focus on the memories. This is about the event itself. While the flavor might be an edge, i like to think of ensuring that the event itself will be special. (Not all events are so life changing they need jewelry. ;) Personally if there was a way to communicate this, you might have something others in your space dont have.

The idea of creating a joint promotion with someone else also apeals to me.

Need to do more thinking....

 

Posted by: shghosh Accepted Answer
1/8/2007 12:40 AM (CST)
Well- You have a great project on hand.
On positioning: Mostly the positioning strategy of Baking and Cakes is celebration- birthdays, weddings, christmas etc. Why not position this brand as comfort food?Like in the stress of your existence- we turn back to that special, baked cake that my aunt made. Else they can also be positioned as gourmet. When you are in the process of deciding on the launch strategy- you will have to take one of them and later do brand extentions into the other category given that the price points of confort food and gourmet cakes will be different.

On Packaging: Shd you decide on gourmet positioning a suggestion would be marketing and positioning it on its origins for eg:Called 'Schwarz-walder-kirsch-torte' in German, which means Black Forest Cherry Torte (torte is the German word for cake). Each cake could come in a box with its history.[the Black Forest Region (Der Schwarzwald in German) located in the state of Baden-Warttemberg. The name, Schwarzwald, evokes darkness and mystery coming from the romantic German concept of Waldeinsamkeit or forest-loneliness. This region is known for its sour cherries and Kirsch or Kirschwasser (a double distilled, clear cherry brandy made from the sour Morello cherry). Combine these cherries with the German's love of chocolate, and you have this wonderful chocolate confection with cream and cherries. ]
Hope this helps.

 

Posted by: KathySmithFilms* Accepted Answer
1/8/2007 2:59 AM (CST)
Dear Randall,

To give your new client every advantage possible, the first element of their new venture is in place. You, launching, guiding and executing the marketing programs of this game.

If I had a project like this - what direction would I take it and where to start? I would join your organization and be on your team making certain the plans, programs and orders were executed without conflict or disagreement - all in alignment towards big expansion..making the planning you are now doing into actuality. I would give you my model organization flow chart so no employees will be confused as to their purpose and post. I would get a list of conventions your client has been to and any regional food board room meetings or contacts that are execs or start the wish list.


Start with a survey first to the 300 existing fans. Tabulate from the survey, which gourmet cake sells the most; what the reaction to it is - in writing; noting the emotion in the response; not only about the cake, but the service, delivery, viewpoint of the company, etc., and note the age range that likes the #1 cake the most -- Then go for the top 3 on down. Also, ask each that are willing to do a survey, where they would go to buy more conveniently (like 7-11 or a fine pastry shop or Gelsons Supermarket, etc...possibly Trader Joes). Then ask what would they be willing to pay; and do they know of any friends or stores we can survey that need to know of these product(s).

I would be most happy to fill out one of your surveys without tasting as you have sold me by your prolific writings to want to go buy what you have to market.

There might possibly be more expansion within ethic groups first; and then go for what age range buys more of these gourmet cakes. From the 300 you have to start with that will give a clue on both...my guess!

If this can be in regular markets (I don't know the rules on age range for food with alcohal) but a market that can carry this line. For example, a model could be hired to survey by giving a tease taste...one bite survey. Answers could be filmed, recorded or clipboarded by her sidekick. You get the idea. I love surveys. Just listening to the consumer is one of the most enlightening experiences of what I do that helps name things, write ads, etc.

It's good for the client to know the competition in order to Strategically Plan what is more ideal for this client. Everyone has something unique and better than the competition and we are here to help you pull the string on what are the best tactics as well.

No one make cakes better than your client - it's the baker's #1 choice. I am just playing here. Next...

One of the strategies I would consider is to hire a team of sales to place the goods with food distributors locally, regionally, nationally and then other countries if the reach is that far. A bakery I know of in LA just went to the board room of Whole Foods and his product is now a featured item. (Fabes Bakery) He did in store demos and got shelf space from those 2 actions. I am not certain you client is interested in Whole Foods but the mechanics are similar.

I will check back tomorrow and add some more, but I trust this will help for starters.

My best to you,
Kathy





 

Posted by: Marketing-Riot Accepted Answer
1/8/2007 5:38 AM (CST)
I would begin sifting out any interesting family history/info to help begin building the brand, naming the company, naming the product(s). Right now I believe "family recipes" is key.

Next, possible product manufacturers, FDA requirements for manufacture, shelf life, packaging details. Would definitely poll current buyers to gauge the market and determine who/why/when purchasing. Would require interesting packaging design and history I believe.

Reminded me of Panettone when I originally read your post.
 

Posted by: W.M.M.A. Author Response
1/8/2007 7:32 AM (CST)
So far - very impressed. Thanks to all. Kathy, you make me blush. Thanks for the great feedback.

Let's keep it coming. You guys have touched on some great issues, but the project is not yet ready to close this post.

SHGHOSH, you've given me some ideas for packaging, that can move into a great realm. Thanks.
XLNT.
Keep it coming.

Randall
WMMA
 

Posted by: Marketing-Riot Member Response
1/8/2007 8:45 AM (CST)
Like Jelly Bellys - introduce it to the Oval Office/Air Force One.

According to Jelly Bellys, blueberry was created for Ronald Reagan's inauguration. They claim over 3 tons were consumed during the festivities.
 

Posted by: Jade Accepted Answer
1/8/2007 9:07 AM (CST)
Having worked in the food service agency world for a while, I can say I had a similar client: local bakery who introduced a line of gourmet cakes - however, they had an ethnic flair.

Check out some of the trade pubs in the business for ideas (Modern Baking via Penton Publishing is a good one).

Will your client operate a store front? Or are they just the manufacturer?

Can they ship cakes overnight? Is an online business an option for them? This would certainly give them a niche in the market place (a lot like "Cookies by design" - the company who ships cookie bouquets as thank you gifts, welcome gifts etc). Perhaps becoming a part of the 1-800-flowers gift basket creation would be an option.
With unique items such as your clients, or supposed unique items, speciality distribution can often give the customer the idea that indeed, this is a one of kind object and I can't get it everyday at my local Jewel, hence I'll pay the premium required.

Now, taste testing is important if you are looking to build up a regular and loyal audience. Maybe a "Sampler Cake" would be a good product to create, whereas consumers could test all the flavors with smaller mini cakes or individual slices.

Since you have the option to position this company, I'd do two things: store front and web presence. I like the specialty option of going on line. I think that could work well in combination with a store front.
Hope this helps. I'll keep thinking.
Laura
 

Posted by: Kaptain Komori Accepted Answer
1/8/2007 9:26 AM (CST)
I remember from my college years reading about a local service that would bake and deliver cookies and cakes to order, 24 hours a day. I thought it was ingenious, and I would have gladly paid the somewhat steep price just to have had those fresh-baked goods delivered to me, had this business been anywhere close to where I went to school.

While I'm sure your client will not be going after the night-owl college crowd, perhaps the branding could include a message about out-of-the-oven, into-the-home delivery? Perhaps this could only be offered as a premium service, but it might be worth thinking about. It's expected for pizza, but I don't think anyone expects it for cake, and it might might turns some heads and win some business.
 

Posted by: mop Accepted Answer
1/8/2007 11:45 AM (CST)
Randall-
This is one of those clients that fall right into my niche. High-end, gourmet, product conceptualization... a ton of fun. I eat this stuff up (pun intended.)

Distribution:
Is this a preservative free product? Will it or can it be frozen? I ask these questions because of the distribution. Regional gourmet bakeries generally distribute their baked goods in within a day's ride in bread trucks because they are preservative free, all natural, organic products (never frozen). One of my clients (baking about 70,000 loaves daily) ranged from Boston to Baltimore.

I would go after restaurants and caterers, gourmet stores. Definitely go to the Fancy Food Show in NYC. Get them on QVC (which can be a struggle). They have whole shows devoted to gourmet food. If they go after major supermarket chains, (which might be the wrong market) they need to hire people to go to the markets and do tastings and hand out coupons. Dealing with supermarkets is a study unto itself because of changes in our society and wicked competition. Every one of them here in Bucks County is trying to do it all... bakery, catering, shrimp bars, wing bars, panini grills.

Ingredients:
This sounds like it will be a higher priced item. The trend here is definitely towards all natural ingredients. Consumers are becoming ever more conscious of food additives and are making informed buying decisions. They want products that taste better and will pay more for good products. Consumers eat desserts as a treat and they are developing more sophisticated and discerning palates. If they are going to eat a calorie rich dessert, they want it to taste incredible.

The positioning in one word: Indulgence.

Packaging:
Has to be the absolute best. High-end, very creative. Graphic elements have to scream quality. If they go the supermarket route it is a tough road. The product can be fabulous but if it doesn't translate quickly, and come to life and be able to compete with a zillion other brands, they will never make it. This is a fiercely competitive market and packaging is (almost) everything. Package in single or double serving size. Consumers are more likely to buy a small cake for themselves. They only buy a big cake because of an event, dinner party or holiday meal.

Naming:
This is a taste and touch thing for me. Hard to name a product like this unless I use all my senses. I would however throw out the idea to do a seasonal series to go along with their normal range. For instance, a "red, white & blueberry cake" (raspberries, strawberries & blueberries) around the 4th of July, or a Pumpkin Spice Cake during the fall, A Cranberry Chocolate Rum during Christmas etc.
Also look into food & drink trends. Limoncello is a hot summer drink here. Do a rum cake with limoncello. Would be fantastic. I can almost taste it now.

Partner with others:
There is an unbelievable coffee company somewhere near Pittsburg called Arbuckles. I order ground coffee online from them and it is the best darn coffee I have ever had (and no, they aren't a client.) If your cakes can be frozen, perhaps there is a coffee & cake budding relationship here.

Partner with the Rum company:
Could there be some opportunity here to do a joint campaign?

I could go on and on but my clients await. Have fun with this one. And don't eat it up all your profits!
Mop
 

Posted by: chung Accepted Answer
1/8/2007 12:58 PM (CST)
agree with MOB on the packagin part. I've helped clients with some fancy packaging lately and they have increased their sale twofold. A good packaging of the product shows the quality/commitment of the cakes they are selling. So get an agency with some packaging background and once you come up with the direction of the brand they should be able to assist you with the look and feel that works.

Your client also needs engage the services of a good photographer and stylist. Nicely styled images is very important in selling the brand.


good luck

 

Posted by: browncatfan Member Response
1/8/2007 1:21 PM (CST)
Just a side note: what a GREAT endorsement of this forum that Randall, who has helped a multitude of people by PROVIDING solid advice, sees enough value in the opinions of his fellow experts to tap the resource himself!
 

Posted by: mop Member Response
1/8/2007 1:54 PM (CST)
Randall-
I forgot to add this to my response:
I love Kathy's ideas about the survey. Would love to know the demographics of the 300. Also she has a good idea with respect to whole foods. Also look into Wegman's... although they do their own baking.
Best-
Mop
 

Posted by: Jo Masterson Accepted Answer
1/8/2007 4:53 PM (CST)
Randall,

My experience is in corporate gifts. If I am not mistaken the rum extends the shelf life of cake by a bit so with the right packaging this could be an option. They could choose to wholesale the cakes to gift basket / ad specialty companies (private labeling?) or large gift companies like Harry & David. Or they could sell the cakes directly to company seeking gifts, via ther own webs ite and sales team) and receive the full retail price. If you are interested in selling to the gourmet gift market I would be happy to talk with you future. ( I’ve worked with the specialty food association on packaging for the gift industry in the past.)

One quick industry magazine to start with is http://www.gbreview.com/
Or target exclusive deals with some of the larger gift companies such as:
http://www.winecountrygiftbaskets.com
http://www.harryanddavid.com/

The ad specialty or promotional item industry is another possibility. If you design a package can have custom logo, you can offer you items to company who sell these products.

Good Luck,
Jo
 

Posted by: wnelson Accepted Answer
1/8/2007 4:55 PM (CST)
Randall,

You have some great responses here - particularly Kathy's and mop's. Two very smart ladies at the top of their game and you'd do well to listen to them. Between theirs, there isn't much room to contribute. BUT, that hasn't stopped me before!

First, buddy, advise your clients to keep their consultant away from the hooch! (just kidding)

The starting point for this client is understanding their goals. What are the personal goals of the clients? Do they want to exit the working world and make a living doing something they like or are they in the mode to build a dynasty? What's their energy level? Do they want to keep this venture all to themselves - in which case they are limited by their skills (albeit augmented highly by one skilled consultant dude) and their resources, or do they want to go after some venture capital, built it to an empire, and cash out?

Next is to take a look at their desires for business models. What do they want to be when they grow up? Do they want "very controllable" where they have one retail store with square footing in displays and everyone stops by, picks out their choice, and then trots home? Or is this a retail store/restaurant - tables, coffee, maybe WiFi? Or is this a chain of stores in the locale? Or is it a mail order place with a web eCommerce site, catalogues, direct mail campaigns, SEO, and a baking factory? Or is this a franchise where there are a bunch of stores around the country (or world) with standard very secret recipes and pre-prepared ingredients and business models? Each of these scenarios takes a completely different skill set, management effort, investment, roll out. The payback for each (speed and magnitude) are different too. Each scenario takes a different mindset for your clients too. And if they ain't got it, they have to get it through partnering or hiring the right people at the right time.

Each of the options means a different customer set too. I think, given the product, the positioning of "gourmet," as Kathy and mop expressed, is right for any of the scenarios. But, ethnics will probably play a role in this from a customer standpoint. For instance, I would think that the rum-based products would play well in areas where the background is predominantly of European origin. Like Wisconsin, Minnesota, Most of PA and NY, etc. And NOT like in predominantly Hispanic Miami. And I doubt Asian cultures would buy into rum based sweets. So if your clients want to capitalize in the southern states or globally, they may need to augment their recipe stores with other rich pastries that are more to the pleasing of other ethnicities. So in each scenario needs of the customer and customer segments have to be accounted for. At the same time, each scenario brings in a different competitive landscape. Competitive analysis has to be a factor. And, completing the analysis, each scenario has to incorporate the core competencies of the owners today and what needs to be added to get them into a sustainable competitive advantage with unique selling points (e.g. packaging and shipping needs, factory setups, supply chains, and the rest of the things in the SWOT). Additionally, legal requirements comes in - with alcohol based stuff, you need to make sure you are legally OK in all various locations you are planning to go to. You don't want your clients to be hauled into court because they didn't cook the alcohol off enough and some third grader got their class and teacher drunk at their school birthday party! Of course, each scenario requires a completely different marketing approach. If they want to go franchise, you are really selling a business model versus the other scenarios are selling loaded cookies. If you stay local, internet isn't as big a factor versus radio, signage. If you go café versus bakeshop, parking situations have to be reviewed....

So, pal, what I'm saying is that the first place to begin is to have a heart to heart with the clients and see how far they want to go. Paint the pictures for them in terms of risks, effort, and rewards. Hey, we can do almost anything with them - it all depends on where they want to be.

You want to talk more, you got the number...always available for you!

I hope this helps.

Wayde
 

Posted by: mbarber Accepted Answer
1/8/2007 5:23 PM (CST)
Gidday Randall. Some great responses here and for me the one that hits the mark for priority of thinking is Wayde's post.

I wouldn't make ANY decision on what to do regarding packaging, branding etc until I fully understood the intentions or desired outcomes of the family entity that runs this business.

In the FMCG industry there are only two things that kill companies: Distribution chains; and Distribution chains. No matter how good a product is at some point it reaches the critical distribution mass point for its cycle. From 'family and friends' the cycle will likely move into 'corporate and or markets' and then it is time to move into supermarkets. Nothing changes in the process, it is just the distribution chain that gets bigger. And once they decide to dance with the devil (supermarkets) they are the beck and call.

And this swings me back to their intentions. Are they wanting to become the next Sara Lee? Are they looking to become the next Mrs Fields? Are they looking to build up a business to a point that they can then sell it to a major player for a substantial result? Are they truly intending to run this for life?

Until I knew which of these (and others) was driving EACH of the family members involved, I wouldn't begin formulating the approach as for me, they would be very defining in terms of characteristics I would want to create and the means by which I'd create them.

With a clear understanding of 'what would you REALLY like to happen in the future with this business?' I'd then begin the branding and go to market approach taking a note out of much of the ideas you've been given.

Marcus :-)
 

Posted by: W.M.M.A. Author Response
1/8/2007 6:37 PM (CST)
I agree w/Wayde, you and the rest on various levels. Lots of good info. No, they do not want to be Sara. Not yet. When we initially had our discussions, they wanted to set up a site, go national...etc...I said "Not interested". Now, let's talk for real. This is where the pebble hits the water, and grows from there. Let's pull back and talk. And, yes...we had the distribution talk.

I like many of the concepts stated so far. I'm still sifting through them.

As I said, this is day one. They are not a corporation yet, and we're working through that simultaneously with the development of the manufacturing or outsourcing of the manufacturing process, since they do not have a commercial kitchen. So, partnering is a big option. There are specialty food stores and other outlets available for them, which I will look into. Before I close the post, I'll explain as much as I can release. I will go through what has been put forth so far, and respond soon.

Thanks very much to each of you.

As to believing in this site and the people who occupy it...110%. You, Wayde, Michael as well as many of the newer members have been an amazing resource for learning aspects of my profession that can not be learned unless you do them. So many of the members have been there, done that and have all the T-shirts.

WMMA has launched businesses and products, but not this type of CG's. So, IMHO...there is only one place to turn...to the experts of MktngProfs, and my colleagues all around the world...Including you, Marcus...thank you so much.


Randall
WMMA
 

Posted by: ASVP/ChrisB Accepted Answer
1/9/2007 5:47 PM (CST)
Randall

Bit slow on the uptake here but I think you need to step back and get an appreciation of the big picture from the client's perspective.

That is, if they even have a big picture. If they don't it's probably something you need to help them form. Marcus has already the key questions about distribution - please enlarge that line of thinking to the whole logistics/supply chain, not just outlets, but manufacturing, storage, warehousing, delivery systems, reverse logistics for faulty items, etc, etc... All that needs to be in place. Don't do ANYTHING with national outlets - even regional ones - until you understand their standard terms and conditions for doing business.

I recently had a client who negotiated a national deal including pricing, then to get the agreement documented by the retail chain to find it included so-called standard charges for inventory acceptance, discounts prompt payment (i.e. less than 90 days!), and the right to return all unsold merchandise at any point. Imagine stocking 500 stores nationally, then to have to accept all that stock back with no penalties.

As Marcus puts it so succinctly, once the client has decided to dance with the devil, they're at the devil's beck and call.

Perhaps a more reasonable, but still aspirational model for you to consider at the moment might be the "little old bakery in Corsicana, Texas" - they started small and a long time ago. I remember twenty five years ago getting a brochure and order form from them, with my Amex statement. And sure enough, that year, from various gift-givers, we received three of their fruit cakes. All the way to Melbourne Australia. Amazing. Delectable. We still have the tins.

Wayde and Marcus have suggested making sure you have a deep and meaningful, heart to heart with each of the family members. I'd like to suggest you formalise that process with a private, one on one discussion with each family member who is going to be involved, financially, organisationally, operationally, whether passively or actively. Map all their responses and see whether there are any potential disconnects and/or discords at this early stage. Better to meet them head on now, than in a remedial stage later.

Don't be fobbed off with "we don't need to get too hidebound, we know what we're doing, we have a strategy, we just haven't written it down". An unwritten strategic plan is a like a cheque in the mail.

Good luck, sounds like a great assignment.


 

Posted by: W.M.M.A. Author Response
1/9/2007 8:52 PM (CST)
Chris...Chris...Chris:
Is it morning there? You're wide awake, my friend. And, as David Letterman said (w/a slant)...Not having a strategic plan, is like de-alcoholed gin, and decaf coffee...what's the use?

This question has generated an absolute Ph.D in responses. If the rest of the forum isn't cutting and pasiting this....man, I don't know...

Thanks to everyone, so far. Your assistance has provided me with a great opportunity to step up and solidify the strategies (plural),...that we have just begun.

And, I have to say...The global associations I have made in the past couple years are priceless. Thank you...Thank you.

I'm going to leave this open for one more day, then award all the points to me, because Michael (mgoodman) is so far ahead of me...I don't think I'll catch up. (LOL) It's not about the points...it's about the knowledge.

Randall
WMMA
 

Posted by: W.M.M.A. Author Response
1/11/2007 9:29 PM (CST)
Thank you, everyone who participated in this question. You have stimulated a lot of thought, and helped to create many solutions. I promise to keep you apprised of how the project moves forward, and the ultimate successes we will share.

Speaking of share...I'd like to share the points with everyone who posted. Wayde, Chris, Kathy, Marcus, Jo, MOP, shghosh, Laura...you always come across BIG...for everyone on the forum. Thank you for your guidance with this one. KK, browncatfan, Mike...thanks.

Thanks everyone for your input...even the smallest ideas and thoughts can lead to BIG dividends.

Wishing each the Best of 2007.

If I can assist you with anything...just ask.

Randall
WMMA
 

Posted by: stevea Member Response
1/12/2007 9:08 AM (CST)
Dear Randall

NFP’s!

This has similarities to a local company which I have researched – I have to be careful what I say as I intend to pitch for some CRM business in the near future, so if they read this, I hope that they like it!

Kate’s Cakes (www.katescakes.com) started life in a bed-sit in Clapham 17 years ago. The founder’s premise was simple – use excellent ingredients, fine recipes and home baking techniques and they could command a decent price. Original sales were via markets, friends, stalls in malls and home delivery. Consistency in quality was an enduring theme and the customers liked it. It wasn’t long before she needed to farm out the baking to other people’s ovens. The only marketing was word of mouth, physical presence, leaflets and local ads. The packaging was unprofessional but endearing.

A move to a small industrial unit in W Sussex was accompanied by small scale PR to emphasise that the quality and range would not be compromised, but that to meet health and safety requirements and the volume of demand, a commercial kitchen was needed. Marketing expanded to encompass local patisseries, cafes and the odd deli, plus home delivery. Leaflet drops in malls where her stalls were situated plus tastings on the stall enhanced local demand. Packaging was still homely. Quality was still excellent and the local press were offering as much PR as they could (Literally) swallow.

The range expanded into well defined and well differentiated offerings – indulgence cakes being the latest and the quality supermarkets started to take orders, Marks and Spencer, Fortnum’s etc. under their own brands. Channels became the main marketing thrust and a freezer facility allowed the distance delivery problems to be conquered.

A further move into 50,000 sq feet of factory employing 300 staff has seen the latest phase come to fruition with the Kate’s Cakes brand again being sold under its own name – this time in the top food store, Waitrose. Channels and stockists are actively sought but mail order does not seem to be a feature or a desire, though you can still blag your way into the factory and buy a cake at reception.

The whole growth process has been organic – both in ingredients and in slowly adding to a successful formula and tweaking a successful theme. They admit that they could have gone into an industrial scale much earlier on in their life-cycle, but felt that they would have lost their way. That is probably right.

So, it has been a 17 year odyssey, and I feel that their journey hasn’t finished yet. In that space of time, over 50 “Quality” cake companies with similar aspirations have grown and died or grown and turned to mass produced manufacturers of crap which is noteworthy for it’s lack of taste and lack of profitability.

Go for the long haul and get your client to reap incremental benefits by getting a good thing to become better and then to become bigger and then better again. By the way, the packaging has gone almost full circle – it went quite sophisticated at one point, but the eco-class of consumer now favours the recyclable and rustic as against the shiny disposable!

Best wishes


Steve


 

Posted by: W.M.M.A. Author Response
1/12/2007 10:56 AM (CST)
Steve, this is a great story, with a fine lesson. Thank you for coming through, even after the post was closed. your information is helpful.

Thanks again.
Randall
 



Get more answers ... ReTweet this!

Would you like to post a response?
Welcome to Know-How Exchange!
This is a collaborative community. We welcome everyone's participation.
All you need to do is login. Enter your account info in the box above (top right).
Not a member? Not a problem. Register here (it's FREE and EASY).




Know-How Exchange powered by MarketingProfs



User Name:
Password:
Remember Me
Forgot your password?

Top 25 KHE Experts
(Strategy)
ASVP/ChrisB (39143)
Jay Hamilton-Roth (36484)
mgoodman (31658)
mbarber (28529)
Frank Hurtte (24822)
W.M.M.A. (24343)
telemoxie (24010)
CarolBlaha (20554)
wnelson (18695)
Peter (henna gaijin) (16342)
NuCoPro (16053)
michael (15775)
stevea (13066)
thinkmor (10820)
SteveByrneBranding (9826)
PhilGrisolia=Results (9649)
Puru Gupta (8760)
Deremiah *CPE (8318)
Wiglaf (8292)
SRyan ;] (7862)
darcy.moen (7712)
Pepper Blue (7080)
Gary Bloomer (6359)
Mikee (6119)
Michele (5978)
Recently Posted Marketing Jobs
Director of Marketing and Communications
Demand Generation Manager
Marketing/Advertising Faculty
Director of Marketing
Market Analyst
Sr. Field Marketing Manager - Business Intell.
Associate Vice President of Marketing and Corporat
Marketing Manager
[more jobs]


Join over 355,000 members ... SIGN UP!

My email address is and I'd like my password to be .

Already a member? Sign In!

My email address is , and my password is .


HACKER SAFE certified sites prevent over 99.9% of hacker crime.