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PattyCakes Presention

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My group came up with a e-commerce business and presented a "lite" business plan. The plan is heavily based on internet marketing strategies.

My group came up with a e-commerce business and presented a "lite" business plan. The plan is heavily based on internet marketing strategies.

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  • This evening we will begin our presentation with an overview of our project presented in the executive summary. Then we will discuss our mission and positioning statements. Next we will explain what PattyCakes is, what we sell, and who we sell it to. Our revenue model defines how we will bring money into the company. In the analysis of our competitors, we looked at where some companies had a competitive advantage and where others had shortcomings in serving their target markets. PattyCake’s merchandising strategy describes the products that we sell and what we want to be know for, which is unique cake mix flavors. The promotions plan will describe in detail how we enhance our brand through promoting our great products. The fulillment plan states how we will provide customers with their orders. Finally, we will take a tour of our online store shown through screenshots.
  • We saw a need for a fun online baking goods store that offered unique flavors that could not be found in traditional grocery stores. These cake flavors are the focus of our site and a point of differentiation from our competitors. Pattycake mixes are homemade. Our customer demands the highest quality and we can supply that to them by creating our mixes and icings in-house. We have a large social media presence and hope this will quickly bring customer attention to our growing brand.
  • Our mission is to focus on the triple bottom line: social, economic, and environmental needs. We believe this is the only sustainable operations model that gives us a long-term future.
  • We want to differentiate ourselves based on 2 key services. The first is providing unique and delicious cake flavors to customers. Pattycakes understands that it is hard to compete with established brands like Betty Crocker that a customer can find in their local grocery store. That is why we have chosen the route of offering flavors that are tailored for the PattyCakes customer and can only be bought on our website. The second key service we provide is guarenteed free shipping. After researching our competitors, we are confident that free shipping is a point of differentiation that will set PattyCakes apart from the rest.
  • Web catalog revenue model: sales= product appeal x awareness x distribution; people have to be aware our site exists for this model to be successful, so we will be mindful of that fact moving forward with our site’s launch.
  • Competitors: PattyCakes competes directly with online-only baking supply stores, such as www.fancyflours.com. However, traditional mom-and-pop bakeries and baking supply stores, as well as larger chains with both brick-and-mortar and online presences like Williams-Sonoma and Sur la Table, are also viewed as competitors.
  • How will we measure success: We will measure our success in the following three stages:1. We will consider our site successful based on the number of hits it generates. If we can increase traffic to an average of 300 unique page views per day, we believe that our campaign for exposure is working. Since PattyCakes will be a brand new business, our main goal will be to gain exposure through our SEO campaign and establish Website traffic which will further strengthen our brand name and product recognition.2. Our site will further be considered successful when we reach our breakeven point. Our initial investments are relatively small, but we hope to recoup our expenses with product sales with the second year of our site’s existence.3. Finally, the last stage of success will be reached when PattyCakes posts a profit for the first time. We expect this to happen within 2-3 years of site operation.
  • Competitors:Online-only sites: www.fancyflours.com and www.ultimatebaker.com:Large brick-and-mortar chains with online presence: Williams-Sonoma, Sur la Table:Local bakeries and kitchen specialty stores: Make-A-Cake, Amazing Cake Supplies (local stores in Houston):
  • PositioningFancy Flours: unique, specializing in high quality, difficult to find ingredients, wide collection of cooking supplies High-end brands and pricingBakers: World wide shipping, price leadership, wide collection of interesting and classic cooking suppliesWhat do they do well? Well-established websites Establish a relationship between suppliers and customers High rates of fulfilling promises made to customers Continuously changing and updatingWhat are their vulnerabilities and what do they leave customers wanting?Site navigation issuesDesign & layoutDon’t have ways for new customers to get instant answers or sample products
  • Positioning“Premier specialty retailers” of homegoods and cookwareWide assortment of cooking utensils for all culinary needsHigh-end brands and pricingWhat do they do well?Well-established brands & able to sell baking supplies at a premium3 ways to buy products: in store, online and through their catalogSimple, classic easy-to-navigate site design which matches personality of brick-and-mortar buildingsAble to see and try the products in-store & return product both in-store and by mailAble to get in-store assistance from an employee & contact them 24hrs through webManufacture many of their own trademarked items under their company nameEstablished databases used to segment targets for better efficiency in direct marketing efforts Large PPC budgetsWhat are their vulnerabilities and what do they leave customers wanting?Since they are not solely focused on baking supplies, their assortment is not as wide and tends to be more on the traditional sideNo free shipping for online ordersBaking mixes, colors and toppings are classic—no fun and unique flavors
  • PositioningWe know what you need be cause we know youWide assortment of cooking utensils for all culinary needsAffordable and easy to useWhat do they do well?Warehouses to offer store a wide selection of baking productsKnowledgeable employees who can offer instant advice to customersAllow customers to have a shopping experience, feel products, brows store, and instantly bring products homeHave well developed relationships with their customers and accrue loyal customersWhat are their vulnerabilities and what do they leave customers wanting?Most local stores do not have a strong online presenceCustomers must go to store during hours of operationDifficult to implement in store changes and let people know about it
  • For our merchandising strategy and mix, we are guided by how we want our market to perceive the PattyCakes brand. We want to make PattyCakessynonymouswith unique baking flavors, and we will do this by offering the widest selection of homemade cake and icings flavors. This is going to be our primary focus. However, we are also going to extend the brand to secondary baking products. Our secondary product line will focus on one-of-kind baking pans, sprinkles, candles, and other baking odds and ends, but our emphasis is going to be on our cake flavors.
  • The first part of our promotional plan involves search engine marketing. To take full advantage of search engine optimization and pay-per-click efforts, we will purchase a mixture of both broad and specific keywords. Words and phrases will include terms like “unique cake flavors,” which is what we want to be thought about PattyCakes, as well as terms like “chocolate and bacon” which is a name of a PattyCakes Originals flavor. Since we are a startup, we will run our SEM campaign in-house for the time being. However, if we grow quicker than expected and have the resources to do so, we will outsource.
  • We believe PattyCakes will thrive with the use of social media. Our target market of modern mothers gives PattyCakes great potential to create a lively online community, something that we know will be critical to our success. Social media is a large part of our promotional strategy. We want to be readily available for our customers, and we also want our customers to feel like PattyCakes is easily accessible.
  • We will use our Facebook page to interact with our customers. We will post a minimum of three times a week on the page. Posts will feature many things, such as announcing new flavors or offering customer contests. Right now, in fact, PattyCakes is running a contest encouraging customers to submit photos of their PattyCakes cake creations. The winner will receive $10 off her next purchase. We will also post photos of our own creations on the Facebook page as well.
  • PattyCakes will also use Twitter, tweeting under the name @PattyCakesMmm. We are going to use Twitter in multiple ways. First, we will tweet promotional deals like coupons or special sales to drive traffic to our site. Since we are also wanting to emphasize our excellent customer service, we hope to also use Twitter to get closer to our customers and be able to get their feedback about their PattyCakes experience through the intimacy of tweeting. We’ll also tweet any company news or accomplishments, and finally, we’ll use Twitter to drive traffic to our company blog and other social media presences.
  • The PattyCakes company blog will not only plug our newest flavors, upcoming specials, recipes, and other events, but it will also serve as a way for the company and the customers to show one another what they’re doing in the kitchen. We want PattyCakes customers to be regular visitors—we want this to be on their daily blogroll. The blog will also help to move PattyCakes up in natural search.
  • To begin, our email newsletter will be sent out twice a month. The newsletter will discuss up-and-coming PattyCakes events and will plug all of our social media presences, but most importantly, it will offer subscribers a coupon code to use on the site. For example, subscribers of the latest newsletter are invited to use the code “pumpkin” to save $3 on pumpkin spice cake mix, a flavor in the PattyCakes seasonal line. We will create and provide content for the newsletter in-house.
  • PattyCakes has recently been established, so we do not expect to stock a lot of inventory right away. Because of the size and quality of our products and because we make all of our mixes and icings in-house, we will pull, pack, and ship ourselves. Since we are a newly established brand, the ability to control our own inventory will allow us to emphasize excellent customer service, which will help us to grow the PattyCakes brand. In case our growth strategy is underestimated, a drop ship fulfillment plan will be put into play.
  • The Homepage- If all those polka dots don’t make you want a moist slice of cake with sprinkles all over it, we don’t know what will. The homepage is an inviting landing space, showing off our top selling items, our tollfree customer service line, as well as our featured Halloween products. We have space to expand these lists, or to add customer reviews or sale items on the right.
  • Navigation on PattyCakes is easy. Just follow the flyaways. We can use these to take a look at the baking pans category, then cake pans subcategory.
  • PattyCakes has a pretty cute baking pan selection! Moms will love it. Let’s take a look at PattyCakes signature item: Cake Mix.
  • And you thought there couldn’t be any more polka dots! Now imagine them on your Apple Cider, Smores, or Chocolate Bacon cakes. PattyCakes has 34 different cake mix flavors, classified as Classic, Original, or Seasonal. You can see them all in these convenient drop down menus.


  • 1. PattyCakes
    Lauren Davis, Nicole Grandy, JiaHu,
    Krista Smith, Carolina Thomas
  • 2. Agenda
    Executive Summary
    Mission and Positioning Statements
    Revenue Model
    Merchandising Strategy and Mix
    Promotional Plan
    Fulfillment Plan
    PattyCakes Store
  • 3. Executive Summary
    PattyCakes was established in 2010 to cater to the demand of modern mothers looking for delicious and distinct cake flavors, icings, and other baking necessities. Our cake mixes will be our site’s focus, which will allow us to keep our inventory in-house, offer excellent customer service, and differentiate ourselves from our competitors. Our strong online presence through social media and SEO will build our brand name while driving customers to our site, allowing us to become a profitable e-business.
  • 4. Mission Statement
    PattyCakesseeks to bring a fresh approach to baking for the modern mom by providing one-of-a-kind baking mixes. PattyCakes is committed to providing unique products for our customers, developing rewarding relationships with our employees and our investors, and green practices in operations and distribution to preserve our environment.
  • 5. Positioning Statement
    For the young, modern mom who likes to entertain, PattyCakes is the only online baking supplies store that offers unique product flavors and accessories with guaranteed free shipping.
  • 6. Revenue Model
    Web catalog revenue model:
    Sales= Product Appeal x Awareness x Distribution
  • 7. Competitors
    Three types of competitors:
    Click & Mortar
    Sur la Table
  • 8. Measuring Success
    Three stages of measurement:
    First year: Success based on website hits
    Second year: Reaching our breakeven point
    Third year: Making a profit
  • 9. Competitor Analysis
  • 10. Competitor Analysis: Web-based
    High-quality, hard-to-find ingredients, price leadership
    What do they do well?
    Continuously changing and updating
    How do they leave the customers wanting?
    Site navigation issues
    Design and layout
  • 11. Competitor Analysis: Click & Mortar
    Premier specialty retailers, wide assortment
    What do they do well?
    Well-established brands
    Multiple ways to buy products
    How do they leave the customers wanting?
    Assortment is not as wide, tends to be traditional
    No fun and unique flavors
  • 12. Competitor Analysis: Local
    Wide assortment
    Affordable and easy to use
    What do they do well?
    Knowledgeable employees
    Allows customers to feel products and browse store
    How do they leave the customers wanting?
    Not a strong online presence
    Customers must shop during hours of operation
  • 13. Merchandising Strategy and Mix
    Primary focus:
    unique cake and icing flavors
    Secondary products:
    One-of-a-kind baking pans and other baking supplies like sprinkles and candles
  • 14. Promotional Plan—SEM
    Search Engine Marketing
    SEO: focus on a mixture of broad and specific keywords
    “Unique cake flavors,” “specialty cake mixes”
    “Patty cakes,” “cake baking,” “chocolate and bacon”
    Keeping it in-house
  • 15. Promotional Plan—Social Media
    Great potential for creating online community
    Email newsletter
  • 16. Facebook
  • 17. Twitter
  • 18. Company Blog
  • 19. Email Newsletter
  • 20. Fulfillment Plan
    Pull, pack, and ship ourselves
    Controlling inventory helps to emphasize excellent customer service
    Drop ship if necessary