More Related Content
What's hot
What's hot (20)
Similar to Snickers Market Repositioning
Similar to Snickers Market Repositioning (10)
Recently uploaded
Recently uploaded (20)
Snickers Market Repositioning
- 1. By: MaShayla Kirksy, Mervelline Aflata, Ramanjit Kaur, Phil Pierce
- 2. Introduction • Audience: DePaul University students • MaShayla Kirksy - Snickers Sales Analyst • Mervelline Aflata - Snickers Sales Analyst • Raman Kaur - Snickers Marketing Analyst • Phil Pierce - Snickers Marketing Analyst
- 3. Marketing problem • Increase market share of Snickers • How to get more consumers to eat/purchase Snickers?
- 4. Solve problems by marketing tools • Perceptual mapping • Conjoint analysis
- 13. Perceptual mapping • Map of a customer’s mind • Surveyed our target market of DePaul University students • Helps determine competitors within the market • Beneficial when figuring out which attributes to improve
- 14. Brands
- 15. Attributes ● Accessibility ● Fun Ads ● Sharable ● Chewy ● Fruity ● Sweet ● Tastes bad ● Popularity ● Flavor ● Unhealthy ● Attractive ● Chocolatey ● Special Occasion ● Expensive ● Smells Good ● Preference
- 16. TVE • TotalVariance Explained - 53.71% • 54% of our data captured
- 17. Grand Map Flavor Attractive Chocolatey Expensive Accessibility Fruity Chewy Sweet Preference Fun Ads Popularity Smells Good Tastes bad Special Occasion Sharable
- 18. Flavor Attractive Chocolatey Expensive Accessibility Fruity Chewy Sweet Preference Fun Ads Popularity Smells Good Tastes bad Special Occasion Sharable The Go To’s Party Candy Last Resort Pick Me Ups NameThe Axis Map
- 19. Competitive Cluster Map The Go To’s Party Candy Last Resort Pick Me Ups “Chocolatey Goodness” “Full of Fruit” “Make an Impression” “Randoms”
- 21. Good/Bad Spaces & Gaps Last Resort Preference Good SpaceBad space
- 22. Repositioning Map Flavor Chocolatey Not Fruity Preference Popularity Tastes good Not Sharable X
- 23. Secondary Attributes • Tastes good • Flavor • Popularity Primary Attributes ● Chocolatey ● Not fruity ● Not sharable
- 24. Quick summary of Perceptual mapping • Map of a customer’s mind • TVE = 54% • Main competitors of Snickers: Fruit snacks, Jolly Ranchers,Twizzlers • Aware of Primary attributes:Tastes good, flavor, popularity • Improve on Secondary attributes: chocolatey, not fruity, not sharable
- 26. Conjoint Analysis • Method used to determine value of a product • Used to figure out market share and market barriers • Allows us to understand the value and utility of each attribute • Problem: Increase market share of Snickers & get more consumers to purchase Snickers
- 27. Features Levels Texture Chewy Hard Crunchy Flavor Sweet Sour Bitter Style Chocolatey Fruity Licorice Price $0.25-$1.00 $1.01-$2.00 Over $2.00 Type Popular Prestigious Boring Taste Good Bad Edible Occasion SpecialOccasion Daily Never Features and Levels of Candy
- 28. Statistical Quality • Adjusted R Square: 0.258833034 • Data represents about 26% of customers’ preferences • Significance F: 1.72E -29 • Indicates data is not a result of luck
- 30. Intercept • Intercept = 0.87 • The Intercept shows theTPU level needed for the product to compete in the market.
- 31. Best Candy ● Hard ● Sweet ● Chocolatey ● Over $2.00 ● Prestigious ● Tastes good ● Eaten on special occasions Total Product Utility (TPU) = 4.36 • Crunchy • Bitter • $0.25-$1.00 • Licorice • Boring • Edible • Never Total Product Utility (TPU) = 1.41 Worst Candy
- 33. Kit Kat M&Ms Snickers Hard 0.66 Chewy 0.63 Crunchy 0.33 Sweet 0.77 Bitter 0.33 Sour 0.33 Chocolatey 1 Fruity 0.96 Licorice 0.33 Over $2.00 0.53 $1.01- 2.00 0.36 $0.25-1.00 0.33 Prestigious 0.7 Popular 0.61 Boring 0.03 Good 0.58 Bad 0 Bad 0 Special Occasion 0.12 Daily 0.1 Daily 0.1 TPU 4.24 69.41 TPU 2.99 19.89 TPU 1.43 4.17 Market Share Stage 1 - CurrentTPU
- 35. Current Market Share calculations Kit-Kat = e(4.24)/[e(4.24)+ e(2.99)+ e(1.43)] =69.41/(69.41+19.89+4.17) =74% M&Ms= e(2.99)/[e(4.24)+ e(2.99)+ e(1.43)] =19.89/(69.41+19.89+4.17) =21% Snickers= e(1.43)/[e(4.24)+ e(2.99)+ e(1.43)] =4.17/((69.41+19.89+4.17) =5%
- 36. Kit Kat M&Ms Snickers Hard 0.66 Chewy 0.63 Crunchy 0.33 Sweet 0.77 Bitter 0.33 Sour 0.31 Chocolatey 1 Fruity 0.96 Licorice 0.33 Over $2.00 0.53 $1.01- 2.00 0.36 $0.25-1.00 0.33 Prestigious 0.7 Popular 0.61 Boring 0.03 Good 0.58 Bad 0 GOOD 0.58 Special Occasion 0.12 Daily 0.1 Daily 0.1 TPU 4.24 69.41 TPU 2.99 19.89 TPU 2.01 7.46 Market Share Stage 2 - NewTPU
- 38. Stage 2 Market share calculations Kit-Kat = e(4.24)/[e(4.24)+ e(2.99)+ e(2.01)] =69.41/(69.41+19.89+7.46) =71.73% M&Ms= e(2.99)/[e(4.24)+ e(2.99)+ e(2.01)] =19.89/(69.41+19.89+7.46) =20.56% Snickers= e(2.01)/[e(4.24)+ e(2.99)+ e(2.01)] =7.46/(69.41+19.89+7.46) =7.71%
- 39. Market Share Stage 3 Kit Kat M&Ms Snickers Hard 0.66 Chewy 0.63 Crunchy 0.33 Sweet 0.77 Bitter 0.33 Sour 0.31 Chocolatey 1 Fruity 0.96 Licorice 0.33 Over $2.00 0.53 $1.01- 2.00 0.36 $0.25-1.00 0.33 Prestigious 0.7 Popular 0.61 Boring 0.03 Good 0.58 Bad 0 GOOD 0.58 Special Occasion 0.12 SPECIAL OCCASION 0.12 Daily 0.1 TPU 4.24 69.4 1 TPU 3.01 20.29 TPU 2.01 7.46
- 41. Stage 3 Market Share calculations Kit-Kat = e(4.24)/[e(4.24)+ e(3.01)+ e(2.01)] =69.41/(69.41+20.29+7.46) =71.44% M&Ms= e(3.01)/[e(4.24)+ e(3.01)+ e(2.01)] =20.29/(69.41+20.29+7.46) =20.88% Snickers= e(2.01)/[e(4.24)+ e(3.01)+ e(2.01)] =7.46/(69.41+20.29+7.46) =7.68%
- 42. Conjoint analysis recommendations ● Insist Snickers to taste better
- 43. Strong recommendations ● From conjoint analysis, Snickers needs to tastes better ● Primary attributes from perceptual map: Tastes good, flavor, popularity
Editor's Notes
- Introduce everyone Say Target market: DePaul University students
- - Growth in market share - As a company, we want to determine the features to improve with Snickers in order for more consumer purchases
- Find solutions to our specific marketing problems through the marketing tools of PM & CA, which we will discuss in this presentation.
- Merv to talk about the Behavioral Demographics of candy consumers within DePaul.
- Shows that 37 consumers get candy information at a store
- Shows that most consumers answered that they buy candly weekly and monthly
- 32% of consumers spent a price of $2.01-$3.00
- From this pie chart, we can state that 35% of consumers believe that taste is the most important attribute when buying candy.
- 38% of the consumers we surveyed were seniors
- Our surveyed consumers were 53% female & 47% male.
- Now here is our Raman to talk about Perceptual Mapping
- -Map of our customers mind, which are DePaul students -We surveyed 60 consumers from our target market -PM helps to figure out competition & the attributes we need to improve on
- These are the candy brands that are directly competing for Snickers
- These are the candy attributes that most consumers think of in terms of candy
- In the real world, it is best if marketers get at least 60% of data captured when doing a perceptual map.
- Here we have our Grand Map where our brands and attributes are shown. The lines with arrows are vectors which represent attributes. Vectors also represent magnitude and direction. For instance, the vector attractive shows that the higher the brand, the more attractive it would be. Also, in the other direction, it would show brands that are attractive. On this map, the brands are placed based on the survey taken by our target market of DePaul students. Additionally, the red vector represents preference which is the key attribute.
- Say what the axes are named as
- Shows our consumers the brands that compete with each other For example, Snickers competes with FS, JR, Twizzlers in the “Randoms” cluster.
- Represents order of preference from Reese’s being the most preferred to Jolly Rancher being the least preferred From the point of origin to the right, brands are more preferred From the point of origin to the left, brands are not preferred
- Rectangles = spaces that are linked with a gap Ovals = gaps which fall in between brands on the preference vector
- Secondary go the opposite way of where they’re originally placed Reposition snickers by making customers aware of Primary (in green): Tastes good, flavor, popularity Additionally improve on Secondary (in blue): Chocolatey, Not fruity, not sharable
- We want to make consumers of Snickers more aware of Primary attributes: Tastes good, flavor, popularity Additionally improve on Secondary attributes: Chocolatey, Not fruity, not sharable
- -As a recap, PM is a map of a customer’s mind. Our TVE was 54% which is less than the industry percent of 60%. -From the competitive cluster map, we can conclude that Snickers is in direct competition with Fruit snacks, Jolly Ranchers, and Twizzlers -From the repositioning map, we can conclude that we need to make consumers of Snickers more aware of the primary attributes of Tastes good, flavor, popularity and enhance on secondary attributes of chocolatey, not fruity, not sharable.
- I will now turn it to Merv to discuss Conjoint Analysis. Shayla - graphs